2018 UEM Edgenta Annual Report

29. BORROWINGS (CONT’D.) Reconciliation of liabilities arising from financing activities Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 At 1 January 2018 559,761 989,699 301,691 475,788 Cash flows Drawdown of borrowings 149,636 368,607 50,000 300,000 Repayment of borrowings (175,320) (586,661) (50,000) (467,030) Repayment of finance lease (1,113) (6,493) – – Interest paid (26,249) (41,834) (14,314) (21,433) Non-cash changes: Transaction costs capitalised 1,325 1,727 124 3,430 Disposal of a subsidiary (Note 17(e)) – (176,150) – – Other changes 24,425 10,866 14,314 10,936 At 31 December 2018 532,465 559,761 301,815 301,691 Included in the other changes are the effects of foreign currency translations and accrued but not yet paid interest on interest-bearing loans and borrowings. The Group classifies interest paid as cash flows from operating activities. 30. FINANCE LEASES Group 2018 2017 RM’000 RM’000 Future minimum lease payments: Not later than 1 year 1,311 1,382 Later than 1 year and not later than 2 years 1,249 1,351 Later than 2 years and not later than 5 years 923 2,171 Total future minimum lease payments 3,483 4,904 Less: Future finance charges (356) (664) Present value of finance lease liabilities 3,127 4,240 Analysis of present value of finance lease liabilities: Not later than 1 year 1,101 1,074 Later than 1 year and not later than 2 years 1,132 1,140 Later than 2 years and not later than 5 years 894 2,026 3,127 4,240 Less: Amount due within 12 months (1,101) (1,074) Amount due after 12 months 2,026 3,166 The Group obtains finance leases for various items of computer equipment and surveying equipment (Note 13). These lease contracts expire within one to five years. The leases have terms of renewal, purchase options and escalation clauses. These terms are at the option of the specific entity that holds the lease. These obligations are secured by a charge over the leased assets. Other information on financial risks of finance lease are disclosed in Note 42. The finance leases bear interest at rates ranging from 4.5% to 7.1% (2017: 2.5% to 4.7%) per annum. Financial Review Stakeholder Information AGM Information 223 Governance Review of Sustainability Activities