Page 133 - ar2012

Notes to the Financial Statements
For the fnancial year ended 31 December 2012
33. Related party transactions (cont’d)
Compensation of key management personnel of the Group
Group
2012 2011
Rp million Rp million
Salaries and short-term employee benefts 148,079 123,729
Termination benefts 4,059 17,900
Post-employment benefts 15,700 5,061
Total compensation paid to the key management personnel 167,838 146,690
Comprise amounts paid to :
- Directors of the Company 67,302 33,361
- Other key management personnel 100,536 113,329
167,838 146,690
34. Fair value of financial instruments and their classification
(a) Financial instruments carried at fair value or amortised cost
Net receivables and payables arising from future commodity contracts are stated based on their quoted market prices.
Plasma receivables and long-term loans to employees are carried at amortised cost using the effective interest method and
the discount rates used are the current market incremental lending rate for similar types of lending.
Interest bearing Bonds and Sukuk Ijarah payables are carried at amortised cost using the effective interest method.
(b) Fair value of fnancial instruments by classes that are not carried at fair value and whose carrying amounts are reasonable
approximation of fair value
Cash and cash equivalent, trade and other receivables, current trade and other payables, amounts due to related parties,
current bank loans and accrued expenses
The carrying amounts of these fnancial assets and liabilities are reasonable approximation of fair values, either due to their
short-term nature or that they are foating rate instruments that are re-priced to market interest rates on or near the end of
the reporting period.
Indofood Agri Resources Ltd. • Annual Report 2012 131