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Tycoons Worldwide Group (Thailand) Plc.

Financial assets designated at FVOCI (equity instruments)

Upon initial recognition, the Group can elect to irrevocably classify its equity investments
which are not held for trading as equity instruments designated at FVOCI. The classification
is determined on an instrument-by-instrument basis.

Gains and losses recognised in other comprehensive income on these financial assets are
never recycled to profit or loss.

Dividends are recognised as other income in profit or loss, except when the dividends clearly

represent a recovery of part of the cost of the financial asset, in which case, the gains are
recognised in other comprehensive income.

Equity instruments designated at FVOCI are not subject to impairment assessment.

Financial assets at FVTPL

Financial assets measured at FVTPL are carried in the statement of financial position at fair
value with net changes in fair value recognised in profit or loss.

These financial assets include derivatives.

Classification and measurement of financial liabilities

Except for derivative liabilities, at initial recognition the Group’ s financial liabilities are
recognised at fair value net of transaction costs and classified as liabilities to be subsequently
measured at amortised cost using the EIR method. Gains and losses are recognised in profit
or loss when the liabilities are derecognised as well as through the EIR amortisation process.

In determining amortised cost, the Group takes into account any fees or costs that are an
integral part of the EIR. The EIR amortisation is included in finance costs in profit or loss.

Derecognition of financial instruments

A financial asset is primarily derecognised when the rights to receive cash flows from the
asset have expired or have been transferred and either the Group has transferred
substantially all the risks and rewards of the asset, or the Group has transferred control of the
asset.

A financial liability is derecognised when the obligation under the liability is discharged or

cancelled or expires. When an existing financial liability is replaced by another from the same
lender on substantially different terms, or the terms of an existing liability are substantially
modified, such an exchange or modification is treated as the derecognition of the original
liability and the recognition of a new liability. The difference in the respective carrying amounts

is recognised in profit or loss.

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