LOANS RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTS

9 Months Ended

Mar. 31, 2013

Notes to Financial Statements

LOANS RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTS (IN THOUSANDS, EXCEPT EARNINGS PER SHARE AND NUMBER OF SHARES)

The following table presents TTCQ’s loan receivable from property development projects in China as of March 31, 2013. The exchange rate is based on the date published by the Monetary Authority of Singapore as on March 31, 2013.

	Loan Expiry	Loan Amount		Loan Amount
	Date	(RMB)		(U.S. Dollars)
Investment in JiaSheng (Project B-48 Phase 2)	31-Oct-2013		5,000		804
Investment in JiangHuai (Project - Yu Jin Jiang An)	31-May-2013		2,000		322
Net loan receivable from property development projects			7,000		1,126

On November 1, 2010, TTCQ entered into a Memorandum Agreement with JiaSheng Property Development Co. Ltd. (“JiaSheng”) to invest in their property development projects (Project B-48 Phase 2) located in Chongqing City, China. Due to the short-term nature of the investment, the amount was classified as a loan based on ASC Topic 310-10-25 Receivables, amounting to RMB 5,000, or approximately $804 based on the exchange rate as at March 31, 2013 published by the Monetary Authority of Singapore. The agreement guaranteed TTCQ an income of RMB 1,250, or approximately $196, payable in four installments. The amount is unsecured and repayable at the end of the term. The loan was renewed in November 2011 for a period of one year and was renewed again for another year which will expire on October 31, 2013.  The book value of the loan receivable approximates its fair value due to the short term nature of the asset TTCQ recorded other income of $50, and $149, from JiaSheng for the three and nine months ended March 31, 2013, respectively and recorded other income of $49 and $147 respectively, for the same periods in the last fiscal year.

On November 1, 2010, TTCQ entered into another Memorandum Agreement with JiangHuai Property Development Co. Ltd. (“JiangHuai”) to invest in their property development projects (Project - Yu Jin Jiang An) located in Chongqing City, China. Due to the short-term nature of the investment, the amount was classified as a loan based on ASC Topic 310-10-25 Receivables, amounting to RMB 2,000, or approximately $322. The agreement guaranteed TTCQ an income of RMB 400, or approximately $63, payable in 12 installments. The amount is secured by the underlying property and repayable at the end of the term. The loan was renewed, which expires on May 31, 2013.The renewed agreement guaranteed TTCQ an income of RMB 433, or approximately $68, payable in 13 installments. The book value of the loan receivable approximates its fair value, due to the short term nature of the asset. TTCQ recorded other income of $21 and $47 respectively, from JiangHuai for the three and nine months ended March 31, 2013, respectively and recorded other income of $16 and $47 respectively, for the same periods in the last fiscal year.