NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
26
CAPITAL COMMITMENTS
27
Capital commitments outstanding at 31 December 2015 not provided for in the financial statements were as follows:
Contracted for
Authorised but not contracted for
CONTINGENT LIABILITIES
Financial guarantees issued
At 31 December 2015, the Company has issued the following guarantees:
2015
HK$'000
2014
HK$'000
208,307
162,833
891
80,146
209,198
242,979
(a)
guarantees to certain suppliers in respect of granting or giving credit facilities to its wholly-owned subsidiaries; and
(b)
guarantees to a bank in respect of banking facilities granted to its wholly-owned subsidiaries.
Under the guarantees, the Company is liable to the amount due from the subsidiaries to these respective parties in the event of any default and its liability shall at no time exceed the sum stated on the letters of guarantee.
At the end of the reporting period, the directors do not consider it probable that a claim will be made against the Company under any of the guarantees. The maximum liability of the Company at the end of the reporting period under the guarantees issued above is the outstanding amount due to the relevant parties by its wholly-owned subsidiaries, being HK$645,000
(2014: HK$662,000).
The Company has not recognised any deferred income in respect of the guarantees issued as its fair value cannot be reliably measured using observable market data and its transaction price was HK$NiI.
Hong Kong Ferry (Holdings) Company Limited
125
Annual Report 2015