China Communications Services Corporation Limited Annual Report 2015
160
NOTES TO THE
CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2015
42. RELATED PARTIES
(continued)
(b) Transactions with other government-related entities in the PRC
The Company is a state-controlled enterprise and operates in an economic regime currently dominated by entities
directly or indirectly controlled by the People’s Republic of China through government authorities, agencies,
affiliations and other organisations (collectively referred to as “government-related entities”).
Apart from transactions with parent company and its affiliates (note 42(a)), the Group has collectively, but not
individually significant transactions with other government-related entities, which include but are not limited to the
following:
— Rendering and receiving services, including but not limited to telecommunications services
— Sales and purchases of goods, properties and other assets
— Lease of assets
— Depositing and borrowing money
— Use of public utilities
These transactions are conducted in the ordinary course of the Group’s business on terms comparable to the terms of
transactions with other entities that are not government-related. The Group prices its telecommunications services
and products based on government-regulated tariff rates, where applicable, or based on commercial negotiations.
The Group has also established its procurement policies and approval processes for purchases of products and
services, which do not depend on whether the counterparties are government-related entities or not.
The directors of the Company believe the above information provides meaningful disclosure of related party
transactions.
(c) Transactions with key management personnel
Remuneration for key management personnel, including amounts paid to the Company’s directors and supervisors as
disclosed in note 12 and certain of the highest paid employees as disclosed in note 13, is as follows:
2015
2014
RMB’000
RMB’000
Salaries and other emoluments
5,687
4,278
Retirement benefits
1,342
1,519
Discretionary bonuses
11,357
9,068
18,386
14,865
