At 31 March 2009
33. Subsidiaries
32. Financial instruments(continued) Estimation of fair values
The following summarises the methods in determining the fair values of financial instruments stated above.
Forward exchange contracts, currency options, commodity options and commodity futures are based on rates assuming these contracts and options are liquidated at the balance sheet date and are determined by reference to the difference between the contracted rate and market rate as at the balance sheet date applied to a contract of similar quantum and maturity profile.
Cross currency swap is based on the amount that would be payable or receivable assuming the contract is liquidated at the balance sheet date, and is based on the broker’s quote on a contract of similar quantum and maturity profile.
For other financial assets and liabilities, fair value is determined using the estimated future cash flows discounted using market related rate from a similar instrument at balance sheet date.
The interest rate used to discount estimated cash flows for the loans are 3.00% to 6.45% (2008 - 3.30% to 6.33%).
33. Subsidiaries(continued)
Effective ownership
Name of Company Principal activities interest (%)
2009 2008
Maxincome Resources Sdn. Bhd. Distribution of lubricants oil 100.00 100.00
Chingsan Development Sdn. Bhd. Dormant 100.00 100.00
QL AgroResources Sdn. Bhd. Investment holding, feed 80.00 80.00
and its subsidiary milling and distribution of animal feed raw materials
QL Livestock Farming Sdn. Bhd. Layer, broiler farming and 80.00 80.00 poultry breeding
QL Feed Sdn. Bhd. Distribution of animal feed 100.00 100.00
raw materials and food grain
QL Deep Sea Fishing Sdn. Bhd. Deep sea fishing 100.00 100.00
Riteshop Sdn. Bhd. Dormant 80.00 80.00
QL Farms Sdn. Bhd. Distribution of animal feed 100.00 100.00
and its subsidiaries raw materials, layer and broiler farming, wholesale of frozen chicken parts and investment holding
Tong Her Marine Products Property holding 100.00 100.00
Sdn. Bhd.
Adequate Triumph Sdn. Bhd. Property holding 100.00 100.00
QL Inter-Food Sdn. Bhd. General trading and 100.00 100.00
manufacture and selling of meehoon, noodle and ice
QL Tawau Feedmill Sdn. Bhd. Manufacture and sales of 100.00 100.00 animal feed
QL Breeder Farm Sdn. Bhd. Poultry breeding and farming 100.00 100.00 and sundry provisions
QL Ansan Poultry Farm Sdn. Bhd. Investment holding and 85.00 -
(formerly known as Heap Loong layer farming Poultry Farm Sdn. Bhd.)
and its subsidiary
QL Rawang Poultry Farm Sdn. Bhd. Layer farming 85.00 80.00
QL Vietnam AgroResources Dormant 100.00 -
Liability Limited Company***
QL Oil Sdn. Bhd. Investment holding and 100.00 100.00
and its subsidiaries oil palm cultivation and sale of fresh fruit bunches
Notes to the Financial Statements
33. Subsidiaries(continued)
Effective ownership
Name of Company Principal activities interest (%)
2009 2008
QL Plantation Sdn. Bhd. Oil palm cultivation and 100.00 100.00
marketing of palmoil products
Tophill Corporation Sdn. Bhd. Oil palm cultivation and 100.00 100.00 sale of fresh fruit bunches
QL BioEnergy Sdn. Bhd. Oil palm cultivation and 100.00 100.00
sale of fresh fruit bunches
QL Natureco Sdn. Bhd. Investment holding 80.00 60.00
and its subsidiaries QL Palm Pellet Sdn. Bhd.
(formerly known as Natural
Oscar Sdn. Bhd.) Dormant 80.00 100.00
QL ZeroPoint Green Energy Sdn. Bhd. (formerly known
as QL Properties Sdn. Bhd.) Dormant 80.00 100.00
QL Mutiara (S) Pte. Ltd.* Investment holding 78.42 78.42
and its subsidiary
PT Pipit Mutiara Indah ** Oil palm cultivation 74.50 74.50
QL Fishery Sdn. Bhd.
and its subsidiaries Investment holding 100.00 100.00
QL Marine Products Sdn. Bhd. Manufacturing of surimi 100.00 100.00 and surimi-based products
QL Foods Sdn. Bhd. Manufacturing of surimi 100.00 97.59
and surimi-based products
QL Fishmeal Sdn. Bhd Manufacturing of fishmeal 100.00 97.59
and its subsidiary
PT QL Hasil Laut** Dormant 99.95 -
QL Endau Marine Products Sdn. Bhd. Manufacturing of fishmeal 65.89 64.32 and its subsidiary and surimi
QL Endau Deep Sea Fishing Deep sea fishing 65.89 64.32
Sdn. Bhd.
Figo Foods Sdn. Bhd. Manufacturing and sales of 100.00 72.73
and its subsidiaries frozen “halal” foodstuff
QL Fujiya Pastry Sdn. Bhd. Manufacturing and sales of 60.00 43.64 frozen “halal” foodstuff
NFood Industry Pte. Ltd.* Manufacturing and processing 100.00 72.73 of frozen fish products
QL ANNUAL REPORT
95
33. Subsidiaries(continued)
Effective ownership
Name of Company Principal activities interest (%)
2009 2008
QL Fresh Choice Seafood Sdn. Bhd. Investment holding, processing 100.00 80.00 and its subsidiaries and sale of frozen seafood
QL Endau Fishmeal Sdn. Bhd.
(formerly known as Incokaya
Sdn. Bhd.)# Dormant 100.00 80.00
Pasifik Raya Sdn. Bhd. Coastal trawling and 100.00 80.00
wholesale of marine products
* Subsidiaries incorporated in Singapore and audited by another firm of accountants.
** Subsidiaries incorporated in Indonesia and audited by another firm of accountants.
*** Subsidiary incorporated in Vietnam and has not been audited since incorporation in May 2008 as it has not commenced operations as at 31 March 2009. The results were consolidated based on management accounts as at 31 March 2009.
# QL Endau Fishmeal Sdn. Bhd. (formerly known as Incokaya Sdn. Bhd.) become a wholly owned subsidiary of QL Endau Marine Products Sdn. Bhd. subsequent to balance sheet date.
All other subsidiaries are incorporated in Malaysia and audited by KPMG.
33.1 The Company’s shareholdings in non-wholly owned subsidiaries are as follows:
Number of ordinary shares of RM1 each
At At
1.4.2008 Bought Sold 31.3.2009
Interest in non-wholly owned subsidiaries via
QL Feedingstuffs Sdn. Bhd.
Pacific Vet Group (M) Sdn. Bhd. 2,736,000 - - 2,736,000
and its subsidiary
QL Pacific Vet Group Sdn. Bhd. 2,000,000 - - 2,000,000
QL AgroResources Sdn. Bhd.
and its subsidiary 3,680,000 4,800,000 - 8,480,000
QL Livestock Farming Sdn. Bhd. 100,000 19,900,000 - 20,000,000
QL Ansan Poultry Farm Sdn. Bhd. - 17,000,000 - 17,000,000
(formerly known as Heap Loong Poultry Farm Sdn. Bhd.)
and its subsidiary
QL Rawang Poultry Farm Sdn. Bhd. 3,520,000 880,000 - 4,400,000
QL Agrobio Sdn. Bhd. 510,000 - - 510,000
Riteshop Sdn. Bhd. 8 - - 8
Notes to the Financial Statements
33. Subsidiaries(continued)
33.1 The Company’s shareholdings in non-wholly owned subsidiaries are as follows:
(continued)
Number of ordinary shares of RM1 each
At At
1.4.2008 Bought Sold 31.3.2009
Interest in non-wholly owned
subsidiaries via QL Oil Sdn. Bhd.
QL NatureCo Sdn. Bhd.
and its subsidiaries 599,999 1,000,000 - 1,599,999
QL Palm Pellet Sdn. Bhd.
(formerly known as Natural
Oscar Sdn. Bhd.) 200,000 203,666 - 403,666
QL ZeroPoint Green Energy Sdn. Bhd.
(formerly known as
QL Properties Sdn. Bhd.) 250,000 - - 250,000
Interest in non-wholly owned
subsidiaries via QL Fishery Sdn. Bhd.
QL Endau Marine Products Sdn. Bhd.
and its subsidiary 2,553,000 584,980 - 3,137,980
QL Endau Deep Sea Fishing Sdn. Bhd. 23,000,000 5,200,000 - 28,200,000
QL Fujiya Pastry Sdn. Bhd. 299,999 1,200,000 - 1,499,999
Interest in non-wholly owned subsidiary via QL Oil Sdn. Bhd.
QL Mutiara (S) Pte. Ltd. ## 5,959,996 2,980,000 - 8,939,996
Interest in non-wholly owned subsidiary via QL Mutiara (S) Pte. Ltd.
PT Pipit Mutiara Indah @ 594,643 1,685,357 - 2,280,000
Interest in non-wholly owned subsidiary via QL Fishmeal Sdn. Bhd.
PT QL Hasil Laut ## - 1,999,000 - 1,999,000
## Ordinary shares of USD 1.00 each
@ Ordinary shares of RP50,000 each