Haier 2009 Annual Report Download - page 121
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31 December 2009
NOTES TO FINANCIAL STATEMENTS 財務報表附註
海爾電器集團有限公司 119
15. Property, Plant and Equipment (Cont’d)
All buildings of the Group are erected on land in Mainland China
held under medium term leases.
As at 31 December 2009, certain of the Group's buildings with an
aggregate net book value of approximately RMB211,910,000 (2008:
RMB236,364,000) did not have building ownership certificates
registered under the names of the respective subsidiaries of the
Company.
With respect to the above properties and the Group’s investment
properties, on 24 February 2005 and 20 September 2006, Haier
Corp issued two undertakings to the Company, pursuant to which
Haier Corp agreed to provide other suitable properties to the Group
to ensure the operations of certain subsidiaries of the Company
operating in Qingdao and Wuhan and indemnify the Group against
any losses arising from the above defective property title issue
and for any moving cost/loss incurred, if, for any reason, the
respective subsidiaries were not able to continue to use the buildings
before the related acquisition and registration procedures have
been completed. The aggregate net book value of the Group’s
buildings and investment properties indemnified by Haier Corp as
at 31 December 2009 amounted to approximately RMB129,166,000
(2008: RMB155,712,000).
In the opinion of the directors, the Group is entitled to lawfully
and validly occupy and use the buildings and investment properties
for its daily operations, notwithstanding the fact that the related
building ownership certificates have not yet been obtained.
15.
211,910,000
236,364,000
129,166,000
155,712,000