PRG Holdings Berhad Annual Report 2018

30. RELATED PARTY DISCLOSURES (a) Identities of related parties Parties are considered to be related to the Group if the Group has the ability, directly or indirectly, to control the party or exercise significant influence over the party in making financial and operating decisions, or vice versa, or where the Group and the party are subject to common control or common significant influence. Related parties may be individuals or other entities. The Group has a related party relationship with its subsidiaries, associates, joint ventures, corporation in which a Director of an associate (formerly a subsidiary) has interest, Directors and key management personnel. (b) In addition to the transactions detailed elsewhere in the financial statements, the Group and the Company had the following transactions with related parties during the financial year which were carried out based on negotiated terms and conditions and mutually agreed with related parties: Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 Subsidiaries Dividend income - - - 26,594 Interest income - - 2,668 2,519 Associates Business development fee 206 104 - - Commission received/receivable 109 50 - - Interest income 137 36 - - Purchase of goods (114) (9) - - Progress billing payable (2,479) (96) - - Sales of goods 66 40 - - Joint venture Commission received/receivable 90 81 - - Dividend income 291 440 - - Sales of goods 1,446 1,216 - - Sales of services 63 - - - Purchase of materials (67) (131) - - Rental income 99 179 - - Joint venture partner * Sale of goods 2,400 4,547 - - * The joint venture partner of the Group is Trunet (UK) Limited, a company that owns 50% of Trunet (Vietnam) Co., Ltd., a joint venture. 149 PRG HOLD I NGS BERHAD notes to the financial statements 31 December 2018 (continued)