212 | CapitaLand Limited Annual Report 2014
Appendix
Notes to the Financial Statements
Year ended 31 December 2014
34 FAIR VALUE OF ASSETS AND LIABILITIES
(cont’d)
(d) Level 3 fair value measurements
(cont’d)
(iii) Valuation processes applied by the Group
The signimcant non-mnancial asset of the Group categorised within Level 3 of the fair value hierarchy is
investment properties. Generally, the fair values of investment properties are determined by external,
independent property valuers, having appropriate recognised professional qualimcations and recent
experience in the location and category of property being valued. The valuation companies provide the
fair values of the Group’s investment property portfolio every six months. The valuation and its mnancial
impact are discussed with the Audit Committee and Board of Directors in accordance with the Group’s
reporting policies.
35 COMMITMENTS
As at the balance sheet date, the Group and the Company had the following commitments
(a) Operating lease
The Group leases a number of ofmces, motor vehicles, ofmce equipments and serviced apartments under
operating leases. The leases have tenure ranging from one to 30 years, with an option to renew the lease
after that date. Lease payments are usually revised at each renewal date to renect the market rate. Future
minimum lease payments for the Group and the Company on non-cancellable operating leases are as follows
The Group
The Company
2014
$’000
2013
$’000
2014
$’000
2013
$’000
Restated
Lease payments payable
Not later than 1 year
45,656
56,638
8,366
7,405
Between 1 and 5 years
76,975
116,541
45,751
36,238
After 5 years
38,947
74,573
28,848
47,455
161,578
247,752
82,965
91,098
(b) Commitments
The Group
The Company
2014
$’000
2013
$’000
2014
$’000
2013
$’000
Restated
Commitments in respect of
- capital expenditure contracted
but not provided for in the
mnancial statements
69,581
115,485
15,360
9,303
- development expenditure
contracted but not provided
for in the mnancial statements
1,864,722
1,664,312
–
–
- capital contribution in
associates and joint ventures
460,433
679,758
–
–
- purchase of land/properties
contracted but not provided
for in the mnancial statements
693,840
905,961
–
–
- shareholders’ loan committed
to a joint venture and associates
99,112
5,710
–
–
3,187,688
3,371,226
15,360
9,303
