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Name of entity
Principal place
of business/
country of
incorporation
Group’s effective
equity interest
Principal
activities
2017
%
2016
%
Held by AAIL
PT Indonesia AirAsia (“IAA”)+
Indonesia
–*
49.0
Commercial air transport
services
Thai AirAsia Co. Ltd (“TAA”)
ƒ
Thailand
45.0
45.0
Commercial air transport
services
AirAsia Go Holiday Co Ltd
Thailand
49.0
49.0
Tour operating business,
currently dormant
AirAsia Inc ("PAA")
+
Philippines
–*
40.0
Commercial air transport
services
AirAsia (India) Private Limited (“AAIPL”)
+
India
49.0
49.0
Commercial air transport
services
AirAsia Japan Co., Ltd (“JAA”)
+
^
Japan
56.9
49.0
Commercial air transport
services
+ Audited by a member of Ernst & Young Global.
ƒ Audited by a firm other than Ernst & Young.
* Subsequent to the deemed acquisition, these associates became subsidiaries of the Company as disclosed in Note 12.
^ These investees are deemed to be the associates of the Group as the Group has significant influence and not control over the
relevant activities.
All of the investment in associates are accounted for using the equity method.
All of the associates have the same reporting period as the Group except for AAIPL which is 31 March. For the purpose of applying
the equity method of accounting for associates, the last audited financial statements available and the management financial
statements as at end of the accounting period of the associate was used.
All the associates listed above are private companies for which there are no quoted market price available for their shares.
There are no contingent liabilities relating to the Group’s interest in the associates.
Acquisition of additional interests in associates during the financial year ended 31 December 2017
On 14 April 2017, AAIL, a wholly-owned subsidiary of the Company, subscribed to 13,999,999 shares in JAA for a cash consideration
of JPY980.0 million (equivalent to RM38.3 million). On 16 October 2017, AAIL subscribed to an additional 33,501,194 shares in JAA
for a cash consideration of JPY2,345.1 million (equivalent to RM88.1 million). The Group’s equity interest in JAA has increased from
49% to 56.9%. JAA officially started operations on 29 October 2017.
14. Investment in associates (cont’d.)
The details of the associates are as follows: (cont’d.)
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017
[ ]
AirAsia Berhad
REPORTS AND FINANCIAL STATEMENTS
300