Page 75

L.V. TECHNOLOGY Public Company Limited Annual Report 2011

Related Transactions •

Related Transactions in relation to Subsidiaries and Associate Companies In 2011, the Company undertook transactions related to its subsidiaries and associate companies by entering into sales agreements or service agreements with its subsidiaries and associate companies on terms and conditions as those applicable to third parties. These ralated transactions are disclosed in Note 5.

Procedures for Approval of Related Transactions The Company has laid down a standard and procedures for approving related transactions. In this instance, any transactions to be entered into by persons with any possible conflict of interest need to be considered by the Executive Committee and approved by the Company’s Board of Directors. Directors having any particular interest in the transactions shall not have the right to vote in respect of such matters.

Future Policy on Related Transactions Related transactions are expected to continually occur in the future due to the fact that these transactions are undertaken following a normal course of business operations, for example, income from technical consultancy and engineering services, accounts receivable, accounts payable,etc. The Company has a policy in which any related transaction in the future must be handled and concluded based on fair price and terms as compared to transactions with the third party. Moreover, the future related transactions must adhere to laws on securities and stock exchange, and Regulations of the Stock Exchange of Thailand by disclosing types and values of related transactions and giving reasons for executing related transactions at the Company’s meeting of shareholders as well as disclosing the same in the Company’s Annual Report.

73

LVT : Annual Report 2011  
LVT : Annual Report 2011  

Annual Report 2011

Advertisement