75
Notes to the Consolidated Financial Statements (continued)
For the year ended 31 December, 2012
(Expressed in Thousands of Trinidad and Tobago Dollars, except where otherwise stated)
22. Fair value and fair value hierarchies
(continued)
Determination of fair value and fair value hierarchies
The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation
techniques:
Level 1
Included in the Level 1 category are financial assets and liabilities that are measured in whole or in part by reference to
published quotes in an activemarket.Afinancial instrument is regarded as quoted in an activemarket if quoted prices are
readily and regularly available from an exchange, dealer, broker, industry group, pricing service or regulatory agency and
those prices represent actual and regularly occurring market transactions on an arm’s length basis.
Level 2
Included in the Level 2 category are financial assets and liabilities that aremeasured using a valuation technique based on
assumptions that are supported by prices fromobservable current market transactions and for which pricing is obtained
via pricing services, but where prices have not been determined in an active market. This includes financial assets with
fair values based on broker quotes and investments in private equity funds with fair values obtained via fund managers.
Level 3
Included in the Level 3 category are financial assets and liabilities that are not quoted as there are no active markets
to determine a price. These financial instruments are held at cost, being the fair value of the consideration paid for the
acquisition of the investment, and are regularly assessed for impairment.
As at 31 December, 2012 there were no financial assets in Levels 1, 2 or 3.
23. Subsidiary undertakings
The Group’s subsidiaries are as follows:
Country of incorporation
Ownership level
2012
2011
Readymix (West Indies) Limited
Trinidad and Tobago
71%
71%
TCL Packaging Limited
Trinidad and Tobago
80%
80%
TCL Ponsa Manufacturing Limited
Trinidad and Tobago
65%
65%
TCL Leasing Limited
Trinidad and Tobago
100%
100%
Caribbean Cement Company Limited
Jamaica
74%
74%
Jamaica Gypsum and Quarries Limited
Jamaica
74%
74%
Rockfort Mineral Bath Complex Limited
Jamaica
74%
74%
Caribbean Gypsum Company Limited
Jamaica
74%
74%
Arawak Cement Company Limited
Barbados
100%
100%
Premix & Precast Concrete Incorporated
Barbados
43%
43%
TCLTrading Limited
Anguilla
100%
100%
TCL Service Limited
Nevis
100%
100%
TCL (Nevis) Limited
Nevis
100%
100%
TCL Guyana Inc.
Guyana
80%
80%
The Group’s effective interest in Premix & Precast Concrete Incorporated is 43% but this company has been treated as
a consolidated subsidiary since the Group effectively has control to govern the financial and operating policies of the
company. During 2011 the Group disposed of its interest in Island Concrete Products N.V. and Island Concrete SARL.
TCL Haiti Inc. SA (THI) was incorporated in January 2012 in Haiti, however, due to ongoing discussions with a third party
that will affect the shareholding and operations of THI, no shares have been issued to date. At present THI is expected to
be a majority owned subsidiary of TCL (Nevis) Limited.
