Annual Report 2019

151 Transport International Holdings Limited 2019 Annual Report Notes to the Financial Statements 1 Significant accounting policies (continued) (c) Changes in accounting policies (continued) b. Lessee accounting and transitional impact (continued) The right-of-use assets in relation to leases previously classified as operating leases have been recognised at an amount equal to the amount recognised for the remaining lease liabilities. So far as the impact of the adoption of HKFRS 16 on leases previously classified as finance leases is concerned, the Group is not required to make any adjustments at the date of initial application of HKFRS 16. There is no impact on the opening balance of equity. The following table summarises the impacts of the adoption of HKFRS 16 on the Group’s consolidated statement of financial position: Carrying amount at 31 December 2018 Capitalisation of operating lease contracts Carrying amount at 1 January 2019 $’ 000 $’ 000 $’ 000 Line items in the consolidated statement of financial position impacted by the adoption of HKFRS 16: Other property, plant and equipment 7,373,397 6,952 7,380,349 Total non-current assets 13,518,875 6,952 13,525,827 Lease liabilities (current) – 3,122 3,122 Current liabilities 1,179,816 3,122 1,182,938 Net current assets 711,272 (3,122) 708,150 Total assets less current liabilities 14,230,147 3,830 14,233,977 Lease liabilities (non-current) – 3,830 3,830 Total non-current liabilities 4,034,583 3,830 4,038,413 Net assets 10,195,564 – 10,195,564