Page 135 - ar2012

annual report 2012
133
24 Related party transactions
For the purposes of these fnancial statements, parties are considered to be related to HBT or H-REIT if
HBT or H-REIT has the ability, directly or indirectly, to control the party or exercise signifcant infuence
over the party in making fnancial and operating decisions, or vice versa, or where HBT or H-REIT and the
party are subject to common signifcant infuence. Related parties may be individuals or other entities.
The H-REIT Manager and the master lessees of Orchard Hotel, Grand Copthorne Waterfront Hotel,
M Hotel, Copthorne King’s Hotel and Studio M Hotel are indirect wholly-owned subsidiaries of a
substantial holder of the Stapled Securities in the Stapled Group.
In the normal course of the operations of H-REIT, the H-REIT Manager’s management fee and H-REIT
Trustee’s fee have been paid or are payable to the H-REIT Manager and H-REIT Trustee respectively.
During the fnancial year, other than the transactions disclosed elsewhere in the fnancial statements,
there were the following related party transactions:
HBT H-REIT Group Stapled Group
2012 2011 2012 2011 2012 2011
Transaction Value $’000 $’000 $’000 $’000 $’000 $’000
Shared service expenses
paid/payable to a related
corporation of the
H-REIT Manager – – 133 126 133 126
Provision of accounting
services by a related
corporation of the
H-REIT Manager – – 96 54 96 54
Rental expense paid/
payable to a related
corporation of the
H-REIT Manager – – 755 589 755 589
Rental income received/
receivable from related
corporations of the
H-REIT Manager – – 90,472 85,351 90,472 85,351
Cleaning fees paid/
payable to a related
corporation of the
H-REIT Manager – – 143 142 143 142
Notes to the Financial Statements