2015 — Page 112

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NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

18 TRADE AND OTHER RECEIVABLES (Continued)

(a) Ageing analysis

Included in trade and other receivables are trade debtors (net of allowance for doubtful debts) with the following ageing analysis based on due date at the end of the reporting period:

2015

2014

HK$'000

HK$'000

Current

125,133

151,119

1 to 3 months overdue

19,566

25,761

More than 3 months but less than 12 months overdue

4,265

2,575

More than 12 months overdue

7

1,307

148,971

180,762

Trade debtors are due ranging from 7 to 45 days from the date of billing. Debtors with balances that are more than 60 days overdue are generally required to settle all outstanding balances before any further credit is granted. Further details on the Group's credit policy are set out in note 24(a).

(b)

Impairment of trade debtors

Impairment losses in respect of trade debtors are recorded using an allowance account unless the Group is satisfied that recovery of the amount is remote, in which case the impairment loss is written off against trade debtors directly (see note 1(k)(i)).

The movement in the allowance for doubtful debts during the year, including both specific and collective loss components, is as follows:

At 1 January

Impairment losses recognised

At 31 December

2015

HK$'000

2014

HK$'000

—

2,070

2,070

At 31 December 2015, the Group's trade debtors of HK$2,070,000 (2014: HK$Nil) were individually determined to be impaired. The individually impaired receivables related to customers that were in financial difficulties and management assessed that recovery of the receivables is considered doubtful. Consequently, specific allowances for doubtful debts of HK$2,070,000 (2014: HK$Nil) were recognised.

Hong Kong Ferry (Holdings) Company Limited

Annual Report 2015