NOTES TO THE CONSOLIDATED FINANCIAL  STATEMENTS  (RMB AND US$ AMOUNTS EXPRESSED IN THOUSANDS, EXCEPT PER SHARE DATA)  28.  Related party disclosures (cont’d) Entity with significant influence over the Group (cont’d) (ii)  Delivery expense charged by subsidiaries of State Holding Company. The fee is for the delivery of spare parts  charged, which were recorded in “Cost of sales” and “Selling, distribution and administrative costs” respectively.  Management considers that these transactions were entered into in the normal course of business and these  transactions continued on normal commercial terms. (iii)  Storage and distribution expenses charged by a subsidiary of State Holding Company for the storage of  engines, components and parts for Yuchai and distribution to the production facilities. (iv)  General and administrative expenses charged by a subsidiary of State Holding Company, which is also an  associate of Yuchai, for property management services rendered. (v)  Management fees, general and administrative expenses charged by HLA. (vi)  General and administrative expenses charged by affiliates of HLA. The fees mainly relate to office rental,  secretarial fees, insurance fees, professional and consultancy fees, and miscellaneous office expenses. (vii)  Hotel management fees, rental, administrative fees and license fees charged to joint ventures. In addition to the above, Yuchai also entered into transactions with other PRC Government owned enterprises.  Management considers that these transactions were entered into in the normal course of business and expects that  these transactions will continue on normal commercial terms. Balances with other PRC entities are excluded from this  caption. Terms and conditions of transactions with related parties The sales to and purchases from related parties are made on normal commercial terms. Outstanding balances at the  year-end are unsecured and interest free and settlement occurs in cash. Compensation of key management personnel of the Group 31.12.2011 31.12.2012 31.12.2013 31.12.2013 Rmb’000 Rmb’000 Rmb’000 US$’000 Short-term employee benefits 31,187 24,889 35,262 5,762 The non-executive directors do not receive pension entitlements from the Group. China Yuchai International Limited | Annual Report 2013 108