PRG Holdings Berhad Annual Report 2019

ANNUAL REPORT 2019 165 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 cont’d 27. COMMITMENTS (continued) (b) Capital commitment Group 2019 2018 RM’000 RM’000 Contracted but not provided for - Acquisition of property, plant and equipment - 1,707 - Acquisition of agriculture land - 89,200 - Proposed subscription of shares in Capital World Limited - 13,298 - 104,205 28. CONTINGENT LIABILITIES Group Company 2019 2018 2019 2018 RM’000 RM’000 RM’000 RM’000 Corporate guarantees given to banks for credit facilities granted to subsidiaries - unsecured (Note 23) - Limit of guarantee 196,860 200,678 196,860 200,678 - Amount utilised 27,641 21,092 27,641 21,092 Corporate guarantees given to third parties for credit limit granted to subsidiaries - unsecured - Limit of guarantee 119,250 109,250 119,250 109,250 - Amount utilised 438 1,590 438 1,590 Corporate guarantee given to a bank for credit facilities granted to an associate - unsecured - Limit of guarantee 2,046 2,086 - - - Amount utilised 2,046 2,086 - - The Directors are of the view that the chances of the banks and the third parties to call upon the corporate guarantees are remote. Accordingly, the fair values of the above corporate guarantees given to the subsidiaries for credit facilities are negligible.