PRG Holdings Berhad Annual Report 2019

PRG HOLDINGS BERHAD 158 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 cont’d 25. LEASE LIABILITIES The Group as lessee Long-term leasehold land Buildings Plant and machinery Motor vehicles Total Group RM’000 RM’000 RM’000 RM’000 RM’000 Carrying amount Balance as at 1 January 2019 - - - - - Effects of adoption of MFRS 16 (Note 5.1) 4,818 1,390 629 210 7,047 Additions - 16,900 - 241 17,141 Acquisition of subsidiaries (Note 10) - 500 - - 500 Lease payments (278) (2,388) (527) (154) (3,347) Interest expense 167 916 24 17 1,124 Translation adjustments (90) (4) - - (94) Reclassification to liabilities directly associated with assets held for sale (Note 26) (2,082) - - (124) (2,206) Balance as at 31 December 2019 2,535 17,314 126 190 20,165 2019 RM’000 Represented by: Current liabilities 4,059 Non-current liabilities 16,106 20,165 Lease liabilities owing to financial institutions 316 Lease liabilities owing to non-financial institutions 19,849 20,165 (a) The Group has certain leases of assets with lease term of 12 months or less, and low value leases of office equipment of RM20,000 and below. The Group applies the “short-term lease” and “lease of low- value assets” exemptions for these leases. (b) During the financial year, the Group had total cash outflow for leases of RM3,347,000.