annual_report_2019_en

(coco) #1

122 Huawei Investment & Holding Co., Ltd.


16 Long-term leasehold prepayments
(CNY million) 2018
At January 1 5,152
Additions 1,876
Amortisation for the year (132)
At December 31 6,896

On transition to IFRS 16, the long-term leasehold prepayments which represent the premium, resettlement fee
and taxes paid in relation to acquisition of the underlying land use right, were reclassified as right-of-use assets
at January 1, 2019. See note 4.

17 Interests in associates and joint ventures
Associates A Joint venture Total
(CNY million) 2019 2018 2019 2018 2019 2018
Material 497 486 – – 497 486
Immaterial 195 36 57 58 252 94
Subtotal 692 522 57 58 749 580
Less: impairment loss (18) (18) – – (18) (18)
Total 674 504 57 58 731 562

Associates and the joint venture are accounted for using the equity method.

Particulars of the material associate, which is an unlisted corporate entity whose quoted market price is not
available, are set out below:

Name of associate
Form of business
structure

Place of
incorporation
and business

Proportion of ownership
interest
Principal activities

2019 2018
Associate
TD Tech Holding Limited
(TD Tech)
Incorporated Hong Kong, PRC 49% 49% Note

Note: TD Tech’s principal activity is to provide wireless enterprise solution for vertical market.
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