Serba Dinamik Annual Report 2016

2016 Annual Report 139 NOTES TO THE FINANCIAL STATEMENTS (Cont’d) 13. CAPITAL AND RESERVES (CONT’D) 13.3 Other reserves (Cont’d) 13.3.1 Foreign currency translation reserve The translation reserve comprises all foreign currency differences arising from the translation of the financial statements of foreign operations. 13.3.2 Statutory reserve In accordance with the provisions of the Bahrain Commercial Companies Law, Decree Number 21 of 2012 in an indirect subsidiary’s Memorandum and Articles of Association, an amount equivalent to 10% of the indirect subsidiary’s net profit before appropriation is required to be transferred to a non-distributable reserve account until such time as a minimum of 50% of the share capital is set aside. 13.3.3 Capital redemption reserve Capital redemption reserve represents redeemable preference shares redeemed by a subsidiary for which amounts equivalent to the nominal value of such shares are transferred from retained earnings. 14. LOANS AND BORROWINGS - GROUP 2016 RM Non-current Term loans (Islamic) - secured 5,919,127 Term loans - secured 3,352,356 Finance lease liabilities - secured 6,957,714 16,229,197 Current Bank overdrafts (Islamic) - secured 5,074,265 Bank overdrafts - secured 5,516,915 Bankers’ acceptances - secured 300,000 Term loans (Islamic) - secured 1,955,320 Term loans - secured 1,550,254 Revolving credits (Islamic) - secured 529,168,221 Revolving credits - secured 77,088,488 Finance lease liabilities - secured 2,778,354 623,431,817 Total 639,661,014