2018E — Page 154

152

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

23

CAPITAL AND RESERVES (Continued)

(b) Share capital

Ordinary shares, issued and

fully paid:

At 1 January/31 December

2018

2017

Number of

shares

Number of

HK$'000

shares

HK$'000

356,273,883

1,754,801

356,273,883

1,754,801

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company. All ordinary shares rank equally with regard to the Company's residual assets.

(c) Nature and purpose of reserves

(i)

(ii)

Securities revaluation reserve (recycling)

The securities revaluation reserve (recycling) comprises the cumulative net change in the fair value of debt securities measured at FVOCI under HKFRS 9 held at the end of the reporting period (see note 1(f)). Prior to 1 January 2018, this reserve included the cumulative net change in the fair value of available-for-sale financial assets held at the end of the reporting period in accordance with HKAS 39. This amount has been reclassified to fair value reserve (recycling) upon the initial adoption of HKFRS 9 at 1 January 2018 (see note 1(c)(i)).

Securities revaluation reserve (non-recycling)

The securities revaluation reserve (non-recycling) comprises the cumulative net change in the fair value of equity investments designated at FVOCI under HKFRS 9 that are held at the end of the reporting period (see note 1(f)).

(iii)

Other capital reserves

The other capital reserves comprise the unrealised profit on inter-company interest capitalised under investment properties.

Hong Kong Ferry (Holdings) Company Limited Annual Report 2018