KENANGA ANNUAL REPORT 2019

227 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 36. SIGNIFICANT RELATED PARTY TRANSACTIONS AND BALANCES (CONT’D.) Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other party in making financial or operational decisions, or if one other party controls both. The related parties of the Bank are: (i) Subsidiaries Details of the subsidiaries are shown in Note 13. (ii) Associates Details of the associates are as disclosed in Note 14. (iii) Joint Venture Details of the joint venture are disclosed in Note 15. (iv) Other related parties Name Relationship CMS Capital Sdn Bhd Substantial shareholder of the Bank Cahya Mata Sarawak Berhad Holding company of a substantial shareholder of the Bank The directors are of the opinion that the above transactions were entered into in the normal course of business and have been established under terms that are no less favourable than those obtainable in transactions with unrelated parties. 37. CREDIT TRANSACTIONS AND EXPOSURES WITH CONNECTED PARTIES Group and Bank 2019 RM’000 2018 RM’000 Outstanding credit exposures with connected parties 171,387 164,104 Percentage of outstanding credit exposures to connected parties: - as a proportion of total credit exposures 5.06% 4.97% - which is impaired or in default - -