# Additional information

Information on inventory balances of the Group, for only ribbed smoked sheets, concentrated latex and block rubber, are as follows:

(Unit: Thousand Baht)

<table><tr><td rowspan="2"></td><td colspan="2">Consolidated 
financial statements</td><td colspan="2">Separate 
financial statements</td></tr><tr><td>2018</td><td>2017</td><td>2018</td><td>2017</td></tr><tr><td>Inventories at net realisable value (NRV)*</td><td>10,411,061</td><td>15,979,154</td><td>5,886,610</td><td>7,773,263</td></tr><tr><td>Inventories at lower of cost or net</td><td></td><td></td><td></td><td></td></tr><tr><td>realisable value (NRV) - as measured and
included in the financial statements</td><td>10,201,733</td><td>15,394,383</td><td>5,793,784</td><td>7,467,859</td></tr><tr><td>Difference</td><td>209,328</td><td>584,771</td><td>92,826</td><td>305,404</td></tr></table>

\* For reporting purposes, inventories are stated at the lower of cost or net realisable value, while for inventory management purposes the Group uses net realisable value (NRV) which is the estimated selling price in the ordinary course of business less the necessary costs of completion and cost to make the sale. The use of different valuation methods for these two purposes resulted in a difference at the reporting date.

Under Thai Financial Reporting Standards, such differences are not allowed to be recognised in the profit and loss until the inventories are actually sold. The amount of such difference changes over time depending on the actual price at the time of sale.

# 10. Derivative financial instruments

(Unit: Thousand Baht)

<table><tr><td rowspan="3"></td><td colspan="4">Consolidated financial statements</td></tr><tr><td colspan="2">2018</td><td colspan="2">2017</td></tr><tr><td>Assets</td><td>Liabilities</td><td>Assets</td><td>Liabilities</td></tr><tr><td>Cross currency swaps</td><td>-</td><td>(4,479)</td><td>23,778</td><td>(55,844)</td></tr><tr><td>Foreign exchange options</td><td>641</td><td>(14,483)</td><td>-</td><td>(65,293)</td></tr><tr><td>Rubber options</td><td>127</td><td>(157)</td><td>14,161</td><td>(58,646)</td></tr><tr><td>Forward foreign exchange contracts</td><td>10,642</td><td>(45,743)</td><td>113,261</td><td>(5,183)</td></tr><tr><td>Rubber futures</td><td>45,413</td><td>(106,524)</td><td>256,739</td><td>(45,338)</td></tr><tr><td>Physical forward contracts</td><td>2,778</td><td>(17)</td><td>-</td><td>(939)</td></tr><tr><td>Total derivative financial instruments</td><td>59,601</td><td>(171,403)</td><td>407,939</td><td>(231,243)</td></tr></table>

(Unit: Thousand Baht)

<table><tr><td rowspan="3"></td><td colspan="4">Separate financial statements</td></tr><tr><td colspan="2">2018</td><td colspan="2">2017</td></tr><tr><td>Assets</td><td>Liabilities</td><td>Assets</td><td>Liabilities</td></tr><tr><td>Cross currency swaps</td><td>-</td><td>(4,479)</td><td>23,778</td><td>(55,844)</td></tr><tr><td>Foreign exchange options</td><td>641</td><td>(11,394)</td><td>-</td><td>(48,665)</td></tr><tr><td>Rubber options</td><td>127</td><td>(157)</td><td>14,161</td><td>(58,646)</td></tr><tr><td>Forward foreign exchange contracts</td><td>1,569</td><td>-</td><td>64,804</td><td>(971)</td></tr><tr><td>Rubber futures</td><td>30,742</td><td>(95,302)</td><td>153,777</td><td>(34,004)</td></tr><tr><td>Total derivative financial instruments</td><td>33,079</td><td>(111,332)</td><td>256,520</td><td>(198,130)</td></tr></table>

# 11. Restricted bank deposits

As at 31 December 2018, the subsidiaries had fixed deposits pledged as collateral amounting to Baht 2 million (2017: Baht 12 million).

Fixed deposits, which were opened with a bank on behalf of the subsidiary, were pledged as collateral for contract compliance with government agencies.

# 12. Investments in subsidiaries

12.1 Details of investments in subsidiaries as presented in separate financial statements are as follows:

(Unit: Million Baht)

<table><tr><td>Company’s name</td><td colspan="2">Paid-up capital</td><td colspan="2">Shareholding
percentage</td><td colspan="2">Cost</td><td colspan="2">Dividend received
during the year</td></tr><tr><td></td><td>2018</td><td>2017</td><td>2018</td><td>2017</td><td>2018</td><td>2017</td><td>2018</td><td>2017</td></tr><tr><td></td><td></td><td></td><td>(%)</td><td>(%)</td><td></td><td></td><td></td><td></td></tr><tr><td>Subsidiaries</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Sri Trang USA, Inc.</td><td>179</td><td>114</td><td>100.00</td><td>100.00</td><td>179</td><td>114</td><td>-</td><td>-</td></tr><tr><td>PT Sri Trang Lingga Indonesia</td><td>359</td><td>359</td><td>90.00</td><td>90.00</td><td>330</td><td>330</td><td>-</td><td>-</td></tr><tr><td>Anvar Parawood Co., Ltd.</td><td>10</td><td>10</td><td>99.94</td><td>99.94</td><td>26</td><td>26</td><td>-</td><td>-</td></tr><tr><td>Rubberland Products Co., Ltd.</td><td>1,600</td><td>1,600</td><td>99.99</td><td>99.99</td><td>1,935</td><td>1,935</td><td>500</td><td>500</td></tr><tr><td>Namhua Rubber Co., Ltd.</td><td>500</td><td>500</td><td>99.99</td><td>99.99</td><td>560</td><td>560</td><td>-</td><td>-</td></tr><tr><td>Sadao P.S. Rubber Co., Ltd.</td><td>40</td><td>40</td><td>99.99</td><td>99.99</td><td>54</td><td>54</td><td>-</td><td>-</td></tr><tr><td>Startex Rubber Co., Ltd.</td><td>2,198</td><td>2,115</td><td>99.99</td><td>99.99</td><td>2,196</td><td>2,113</td><td>-</td><td>-</td></tr><tr><td>Premier System Engineering Co., Ltd.</td><td>50</td><td>50</td><td>82.00</td><td>82.00</td><td>100</td><td>100</td><td>-</td><td>-</td></tr><tr><td>Starlihgt Express Transport Co., Ltd.</td><td>15</td><td>15</td><td>76.67</td><td>76.67</td><td>39</td><td>39</td><td>23</td><td>25</td></tr><tr><td>Sri Trang Rubber & Plantation Co., Ltd.</td><td>6,495</td><td>6,298</td><td>99.99</td><td>99.99</td><td>6,495</td><td>6,297</td><td>-</td><td>-</td></tr><tr><td>Shi Donhg Shangai Rubber Co., Ltd.</td><td>155</td><td>155</td><td>100.00</td><td>100.00</td><td>155</td><td>155</td><td>-</td><td>-</td></tr><tr><td>Sri Trang Gloves (Thailand) Co., Ltd.</td><td>200</td><td>200</td><td>81.50</td><td>81.50</td><td>6,430</td><td>6,430</td><td>408</td><td>2,707</td></tr><tr><td>Total</td><td></td><td></td><td></td><td></td><td>18,499</td><td>18,153</td><td>931</td><td>3,232</td></tr></table>