CSG HOLDING CO., LTD.
THE THIRD QUARTER REPORT 2010
Chairman of the Board:
ZENG NAN
October 2010CSG HOLDING CO., LTD. The Third Quarter Report 2010
I Important Notes
i The Board of Directors and the Supervisory Committee of CSG Holding Co., Ltd. (hereinafter referred to as the Company), along with its directors, supervisors and senior executives hereby confirms that there are no important omissions, fictitious statements or serious misleading information carried in this report, and shall take all responsibilities, jointly and severally, for the truthfulness, accuracy and completeness of the whole contents.
ii No director, supervisor or senior executive stated any objection for the correctness, accuracy and completeness of the contents of this report.
iii The third quarter financial report of 2010 has not been audited.
iv Mr. Zeng Nan, Chairman of the Board & CEO of the Company, CFO Mr. Luo Youming and principle of the financial department Mr. Huang Yanbin confirm that the Financial Report enclosed in this report is true and complete.
v This report is prepared both in Chinese and in English. Should there be any difference in interpretation of the text between the two versions, the Chinese version shall prevail.
II Company Profile
i Main Accounting Data and Financial Indexes
Unit: RMB
Increase/decrease (%)
30 September 2010
31 December 2009
Total assets
11,507,504,680
10,913,350,017
5.44%
Total equity attributable to equity
5,962,305,762
5,315,523,161
12.17%holders of the Company
Capital (share)
2,076,721,060
1,223,738,124
69.70%
Total equity per share for equity
2.87
4.34
-33.87%holders of the Company
Increase/Decrease in
From 1 January to
Increase/Decrease in
The 3rd quarter in
Note: The financial data in the same period last year have been adjusted as new paid-in capital.
2010comparison with the same period of 2009 30 September comparison with the 2010 same period of 2009
Revenue
2,073,630,567
39.94%
5,478,698,571
54.45%
Net profit attributable to equity
405,596,733
28.17%
1,041,548,328
80.32%holders of the Company
Net cash flows from operating
-
-
1,549,198,125
47.00%activities
Net cash flows from operating
-
-
0.75
-12.79%activities per share
Basic earnings per share Note
0.20
33.33%
0.50
78.57%
Diluted earnings per share Note
0.20
33.33%
0.50
78.57%
Increase 0.74 percentage points
Increase 6.42 percentage points
Weighted average return on equity
7.16%
18.40%
Weighted average return on equity
Increase 1.11 percentage points
Increase 6.56 percentage points
7.06%
17.74% after extraordinary gains and losses
-1-CSG HOLDING CO., LTD. The Third Quarter Report 2010
Items of extraordinary gains and losses
Amount From 1 January to 30 September 2010
Gain and losses on disposal of non-current assets
10,389,426
Government subsides recognized as gains and losses
16,089,394
Gains on disposal of available-for-sale financial assets
9,055,044
Net value of other non-operating expenses
7,397,132
Tax effects on extraordinary gain and losses
-4,291,940
Extraordinary gains and losses of minority interests
-1,527,645
Total
37,111,411
ii Total number of shareholders and statement of shares held by the top ten shareholders with unrestricted conditions at the end of the report period.
Unit: Share
Total shareholders:
169,033（Including: 126,108 shareholders of A-share and 42,925 shareholders of B-share）
Particulars about the shares held by the top ten unrestricted shareholders
Name of shareholder
Unrestricted shares held
Share type
Shenzhen International Holdings (Shenzhen) Co., Ltd. Note
77,690,000
A-share
China Northern Industries Corporation
75,167,934
A-share
Xing Tong Chan Industrial Development (Shenzhen) Co., Ltd.
74,120,000
A-share
China Construction Bank -Yinhua Core Value Select Stock Fund
57,781,158
A-share
China Construction Bank – Yinhua - Dow Jones China 88 Select Equity Fund.
24,676,086
A-share
Guotai Junan Securities (Hong Kong) Limited
19,115,631
B-share
Dreyfus Premier Investment FDS Inc.- Dreyfus Greater China FD
15,494,681
B-share
15,254,939
A-share
Bank of China－ E-fund Shenzhen Stock Exchange 100ETF
13,000,035
A-share
ICBC－ China Universal Asset Equilibrium Growth Stock Security Investment Fund
12,305,791
A-share
China Construction Bank－Yinhua Rich Theme Stock Investment Fund
Note：Yiwan Industrial Development (Shenzhen) Co., Ltd. Changed its name to Shenzhen International Holdings (Shenzhen) Co., Ltd.
III Significant events
i Particulars about material changes and reasons in items of main accounting statement and financial index.
√Applicable □Non-applicable
-2-CSG HOLDING CO., LTD. The Third Quarter Report 2010
Unit: RMB’0000
Item
Note
30 September 2010
Increase/
31 December
Amount of
decrease (%)2009change
Accounts receivable
(a)
41,875
28,791
13,084
45%
Other receivables
(b)
5,233
1,538
3,695
240%
Other current assets
(c)
-
1,750
(1,750)
-100%
Available-for-sale financial assets
(d)
-
753
(753)
-100%
Interest payable
(e)
3,279
1,488
1,791
120%
Current portion of non-current liabilities
(f)
21,236
6,369
14,867
233%
Other current liabilities
(g)
209
631
(422)
-67%
Paid-in capital
(h)
207,672
122,374
85,298
70%
Capital surplus
(i)
130,633
212,761
(82,128)
-39%
Development expenditure
(j)
1,172
-
1,172
-
Long-term prepaid expense
(k)
93
16
77
481%
Deferred tax liabilities
(l)
1,422
1,033
389
38%
From 1 January to
From 1 January to
Increase/
30 September 201030 September
Amount of
decrease (%)2009change
Revenue
(m)
547,870
354,733
193,137
54%
Cost of sales
(n)
355,000
234,542
120,458
51%
Asset impairment losses
(o)
360
165
195
118%
Investment income
(p)
1,132
1,905
(773)
-41%
Operating profit
(q)
131,692
66,455
65,237
98%
Non-operating expenses
(r)
483
221
262
119%
Income tax expenses
(s)
20,375
6,536
13,839
212%
Note:
(a) The increase of accounts receivable is because of the growth of income.
(b) The increase of other receivables is because of the growth of payment for land, receivable export tax rebate and deposit from subordinate subsidiary of the Company.
(c) The decrease of other current assets is because of the principal-protected financial products purchased by subordinate subsidiary of the Company were due in the report period.
(d) The decrease of available-for-sale financial assets is because of selling of A-shares held by the Company in the report period.
(e) The increase of interest payable is because of the undue repayment of short-term financial interest withdrew by the Company.
(f) The increase of current portion of non-current liabilities is because of the increase of long-term loans due within one year of the Company.
(g) The decrease of other current liabilities is because of the payment of partial predicted liabilities that withdrew in previous year.
(h) The increase of paid-in capital is because of the dividend distribution which was the conversion of capital surplus into share capital this year.
(i) The decrease of capital surplus is because of the dividend distribution which was the conversion of capital surplus into share capital this year.
(j) The increase of development expenditure is because the partially expenditures from research projects met the
-3-CSG HOLDING CO., LTD. The Third Quarter Report 2010
qualification of capitalize and were listed as development expenditures in statement according to Accounting Standard.
(k) The increase of long-term prepaid expenses is because of the mine rental paid by Jiangyou CSG Mining Development Co., Ltd., a subordinated subsidiary of the Company.
(l) The increase of deferred tax liabilities is because the Company withheld income tax from its overseas subsidiary which calculated according to the proportion of the profit distributed by the subsidiary of the Company in China.
(m) The increase of revenue is because of the increase of sale price and volume of main products in flat glass industry and solar industry compared with the same period in last year.
(n) The increase of cost of sales is because of the expansion of operational scale.
(o) The increase of asset impairment losses is because of the increase of account receivable that correspondingly increased the withdrawal of bad debt provision.
(p) The decrease of investment income is because of the income confirmed from the available-for-sale financial assets was less than that recognized at the same period in last year.
(q) The increase of operating profit is because of economies of scale realized due to the expansion of operational scale.
(r) The increase of non-operating expenses is because of the losses from disposal of fixed assts of Shenzhen CSG Float Glass Co., Ltd., a subsidiary of the Company.
(s) The increase of income tax expenses is because of the increase of pre-tax profits and the rise of enterprise income tax-rate.
ii Analysis and explanation of significant events and their influence and solutions
(i) Qualified opinion
□Applicable √Non-applicable
(ii) Particular about fund offers to controlling shareholders and associated parties, and external guarantee that against the regulation.
□Applicable √Non-applicable
(iii)Particular about signing and implementation on significant contracts of ordinary management
□Applicable √Non-applicable
(iv) Others
√Applicable □Non-applicable
(a) Implementation of incentive plan
According to Restricted A Share Incentive Plan (hereinafter Incentive Plan for short) approved by the Shareholders’ General Meeting, the Company actually issued 49,140,000 restricted A-shares to 244 incentive staff privately in July 2008, at price of RMB 8.58 per share. The amount of raised fund is RMB 421,621,200.
The Company bought back and wrote off totally 14,407,500 restricted A-shares respectively on 18 June 2009 and 20 January 2010. Among these shares, amount of 12,0652,500 restricted A-shares has been bought back and wrote off because achievement index of the Company did not satisfied unlocking conditions in 2009, and the balance 2,345,000 restricted A-shares has been bought back and wrote off because the 22 incentive staff had dismissed successively and hadn’t accorded with incentive condition.
On 13 May 2010, the Company implemented 2009 Profit Distribution Plan (to distribute RMB 3.5 included tax and transfer capital surplus into share capital by the rate of 7 shares for each 10 shares) and restricted shares increasing from 34,732,500 shares to 59,045,250 shares.
According to the regulations of Incentive Plan, the 13th meeting of the 5th Board of Directors held on 26 March 2010 audited the incentive staffs’ release conditions and concluded the restricted shares held by incentive staffs satisfied unlocking conditions in 2010. At 25 June 2010, there were totally 19,035,750 restricted A-shares held by 214 incentive staffs were released.
On 30 July 2010, the 7 incentive staff had dismissed successively and hadn’t accorded with incentive condition, and the amount of 1,861,500 restricted A-shares held by them has been bought back and wrote off. -4-CSG HOLDING CO., LTD. The Third Quarter Report 2010
At present, the amount of 76,500 restricted A-shares held by one original incentive staff still are in the process of buying back and writing off.
Details of the aforesaid could be found in relevant notices published on China Securities Journal, Securities Times, Hong Kong Wen Wei Po and Juchao Information website (www.cninfo.com.cn) dated 17 June 2008, 14 July 2008, 19 June 2009 as well as published on China Securities Journal, Securities Times, Hong Kong Commercial Daily and Juchao Information website (www.cninfo.com.cn) dated 22 January, 26 May, 24 June and 30 July 2010.
(b) Corporate bonds
On 23 November 2009, the 2nd Extraordinary Shareholders’ General Meeting 2009 of the Company approved Proposal on Issuing Corporate Bonds, and agreed the Company to issue unsecured corporate bonds with the amount of RMB 2 billion, the duration lasts less than 7 years (including 7). The bonds with single period or multiple periods both are allowed, and the Company doesn’t plan to distribute and sell bonds to the original shareholders preferentially. These raised funds intend to be used in paying back for short-term bank borrowings and complementing operation capitals of the Company. On the premise of fulfilling listed conditions, Shareholders’ General Meeting of Shareholders authorized Board of Directors to deal with the listing issues of the corporate bonds according to relevant regulations of Stock Exchanges.The validity period of this issue is 18 months from the day Shareholders’ General Meeting approved it.
On 8 September 2010, the bonds offering was being approved by China Securities Regulatory Commission.
(c) Particulars of the joint stock listed company
The Company and its wholly-owned subsidiary -- CSG (Hong Kong) Ltd. had a joint share in Golden Glass Technologies Limited (“Golden Glass” for short). The application for IPO of Golden Glass had been approved at the 22nd Meeting 2010 by the Issuing Approval Committee of Growth Enterprises Market of CSRC on 27 April 2010. On 8 July 2010, Golden Glass (300093) issued shares publicly and listed in Growth Enterprises Market.
Before Golden Glass listing, the Company and CSG (Hong Kong) Ltd. totally held 11.11% of Golden Glass’s original share capital before offering, that was 10 million shares and RMB 23 million initial investments.
(d) Since June 2010, Wujiang CSG Glass Co., Ltd. has been added into the consolidated scope whose main business was processing and selling flat glass, and the Company had 100% equities of it.
iii Implementations of commitments by the Company, shareholders and actual controller
√Applicable □Non-applicable
Item of Commitments
Promisee
Content of commitments
Implementation
Commitments for Share
-
-
- Merger Reform
Commitments made in Acquisition Report or
-
-
- Reports on Change in Interests
Commitments made in Material Assets
-
-
- Reorganization
China Pingan Trust Co., Ltd and Citic Securities Co., Ltd. holding over 5% shares of the Company
The shares subscribed by private issue in 2007 are forbidden to transfer in 36 months since the last day of private issue.
By the end of the report period, they have strictly carried out their promises.
Commitments made in issuing
Other commitments
Shenzhen International Holdings (SZ) Limited and Xing Tong Chan Industrial Development (Shenzhen) Co., Ltd.
Additional commitments of the original non-tradable shareholders for Share Merger Reform:
By the end of the report period, the original non-tradable shareholders of the Company have strictly carried out their promises. (including additional commitments)
The Company has implemented share merger reform in May 2006. Till June 2009, the share of the original non-tradable shareholders which holding over 5% total shares of the Company had all released. Therein, the original non-tradable shareholder Shenzhen International Holdings (SZ) Limited (with former name of Yiwan Industrial Development (Shenzhen) Co., Ltd. ) and Xing Tong Chan Industrial Development (Shenzhen) Co., Ltd. both are wholly-funded
-5-CSG HOLDING CO., LTD. The Third Quarter Report 2010
subsidiaries to Shenzhen International Holdings Limited (hereinafter Shenzhen International for short) listed in Hong Kong united stock exchange main board. On 9 July 2009, Shenzhen International held the Shareholders’ General Meeting and authorized its board of directors to sale the CSG A share held by Shenzhen International at price of no less than RMB 8.5. At the same time, Shenzhen International made commitment that it would strictly carry out related regulations of Securities Law, Administration of the Takeover of Listed Companies Procedures and Guiding Opinions on the Listed Companies’ Transfer of Original Shares Released from Trading Restrictions issued by CSRC during implementing share decreasingly-held plan and take information disclosure responsibility timely.
iv Estimation of accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the warning of its material change compared with the corresponding period of the last year and explanation of reason
□Applicable √Non-applicable
v Other significant events
(i) Particular about security investment
□Applicable √Non-applicable
(ii) Reception of investigation, communication and interview in the report period
Date
Place
Method
Investor
2010.8.10
Conference room
Telephone communication
Value Partners Ltd.
2010.8.27
Conference room
Spot investigation
Yinhua Fund Management Co., Ltd.
China Southern Fund Management Co., Ltd.
Bosera Asset Management Co., Ltd.
SYWG BNP Paribas Asset Management Co., Ltd.
China Jianyin Investment Securities Co., Ltd.
Guotai Junan Securities Co., Ltd.
Citic Securities Co., Ltd.
Sealand Securities Co., Ltd.
China Merchants Securities Co., Ltd….
And other more than 30 fund companies and securities.
2010.9.6
Conference room
Spot investigation
KGI Asia Limited
Prudential Securities Investment Trust Co., Ltd.
Guotai Securities Investment Trust Co., Ltd.
2010.9.13
Conference room
Telephone communication
Tsit Securities Investment Trust Co., Ltd.
2010.9.15
Conference room
Spot investigation
Huafu Fund Management Co., Ltd.
Guosen Securities Co., Ltd.
Pingan Dahua Fund Management Co., Ltd.
Bonny Investment Consultant Co., Ltd.
China Nature Asset Management Co., Ltd.
Essence Securities Co., Ltd.
Shanghai Headwaters Investment Development Co., Ltd.
Introduction the disclosed information about operation and production of the Company. The material offered is the 2009 Annual Report.
Contents discussed and materials supplied
-6-CSG HOLDING CO., LTD. The Third Quarter Report 2010
vi Particular about derivatives investment
□Applicable √Non-applicable
(i) Particular about derivatives investment held at the end of report period
□Applicable √Non-applicable
IV Financial Statement
i Balance Sheet
Prepared by: CSG Holding Co., Ltd. 30 September 2010 Unit: RMB
30 September 2010
31 December 2009
Items
Consolidated
Company
Consolidated
Company
Current assets
Cash in bank and on hand
565,140,807
368,244,095
653,555,310
370,558,509
Notes receivable
205,099,862
247,083,387
Accounts receivable
418,749,726
287,912,855
Advances to suppliers
88,829,799
340,000
101,019,512
300,000
Dividends receivable
48,521,586
Other receivables
52,331,588
1,776,459,737
15,377,152
2,074,373,917
Inventories
436,850,602
371,296,246
Other current assets
17,500,000
Total current assets
1,767,002,384
2,193,565,418
1,693,744,462
2,445,232,426
Non-current assets
Available-for-sale financial assets
7,528,589
7,528,589
Long-term receivables
496,080,722
571,250,420
Long-term equity investments
23,000,000
3,362,847,190
27,200,000
3,037,789,922
Fixed assets
8,444,176,545
18,128,616
8,054,820,901
18,831,791
Construction in progress
783,114,026
631,983,774
Intangible assets
388,290,984
5,417,354
392,040,050
5,766,855
Development expenditure
11,723,929
Goodwill
18,404,380
18,404,380
Long-term prepaid expense
933,114
162,487
Deferred tax assets
70,859,318
87,465,374
Total non-current assets
9,740,502,296
3,882,473,882
9,219,605,555
3,641,167,577
Total assets
11,507,504,680
6,076,039,300
10,913,350,017
6,086,400,003
Current liabilities
Short-term borrowings
2,336,383,168
1,362,253,700
2,481,152,687
1,714,462,400
Notes payable
294,094,403
298,120,810
Accounts payable
893,700,683
988,710,853
Advances from customers
175,601,439
152,085,476
Employee benefits payable
87,223,920
31,060,655
118,810,114
49,393,197
Taxes payable
56,471,873
1,181,642
72,035,028
1,226,076
Interest payable
32,789,542
14,880,351
1,849,500
-7-CSG HOLDING CO., LTD. The Third Quarter Report 2010
Dividends payable
687,627
687,627
687,627
687,627
Other payables
137,541,307
197,018,657
117,866,771
112,637,801
Current portion of non-current liabilities
212,363,146
63,694,062
Other current liabilities
2,094,071
6,310,532
Total current liabilities
4,228,951,179
1,592,202,281
4,314,354,311
1,880,256,601
Non-current liabilities
Long-term borrowings
921,816,214
908,309,884
Special payables
3,480,008
1,275,002
Deferred tax liabilities
14,224,495
10,333,313
Other non-current liabilities
64,654,600
68,004,475
Total non-current liabilities
1,004,175,317
987,922,674
Total liabilities
5,233,126,496
1,592,202,281
5,302,276,985
1,880,256,601
Owners' equity
Paid-in capital
2,076,721,060
2,076,721,060
1,223,738,124
1,223,738,124
Capital surplus
1,306,332,642
1,351,429,155
2,127,613,867
2,170,406,108
Less: Treasury stock
76,500
76,500
1,492,500
1,492,500
Surplus reserve
437,054,602
437,054,602
437,054,602
437,054,602
Undistributed profits
2,140,513,715
618,708,702
1,526,908,861
376,437,068
Translation difference of foreign currency financial
1,760,243
1,700,207 statements
Total equity attributable to equity holders of the
5,962,305,762
4,483,837,019
5,315,523,161
4,206,143,402 Company
Minority interest
312,072,422
295,549,871
Total owners' equity
6,274,378,184
4,483,837,019
5,611,073,032
4,206,143,402
Total liabilities and owner’s equity
11,507,504,680
6,076,039,300
10,913,350,017
6,086,400,003
ii Income Statement from July to September 2010
Prepared by: CSG Holding Co., Ltd. July to September in 2010 Unit: RMB
July to September in 2010
July to September in 2009
Items
Consolidated
Company
Consolidated
Company
1. Total revenue
2,073,630,567
78,000
1,481,782,225
Incl. Revenue
2,073,630,567
78,000
1,481,782,225
2. Total cost
1,560,949,356
15,134,538
1,127,448,759
4,685,237
Incl. Cost of sales
1,344,033,802
4,025
926,331,704
Taxes and surcharges
1,342,010
1,208,660
Selling and distribution expenses
66,734,966
66,427,977
General and administrative expenses
126,454,674
13,961,671
110,497,970
15,169,699
Financial (expenses)/income - net
19,883,181
1,168,842
21,453,894
-10,484,462
Asset impairment losses
2,500,723
1,528,554
Add: Investment income
2,268,000
7,456,567
12,114,733
14,607,566
3. Operating profit (“-“ for loss)
514,949,211
-7,599,971
366,448,199
9,922,329
Add: Non-operating income
6,386,022
17,908,021
2,450,000
Less: Non-operating expenses
2,081,724
54,894
902,897
Including: Loss on disposal of non-current assets
1,721,387
10,682
578,838
4. Total profit (“-“ for loss)
519,253,509
-7,654,865
383,453,323
12,372,329
Less: Income tax expenses
76,149,603
42,373,693
-8-CSG HOLDING CO., LTD. The Third Quarter Report 2010
5. Net profit (“-“ for net loss)
443,103,906
-7,654,865
341,079,630
12,372,329
Attributable to equity holders of the Company
405,596,733
-7,654,865
316,442,327
12,372,329
Minority interest
37,507,173
0
24,637,303
0
6. Earnings per share
(1) Basic
0.20
0.15
(2) Diluted
0.20
0.15
7. Other complex income
-1,853,068
-7,698,294
-6,757,532
8. Total complex income
441,250,838
-7,654,865
333,381,336
5,614,797
Attributable to equity holders of the Company
403,743,665
-7,654,865
308,744,033
5,614,797
Attributable to equity holders of minority interest
37,507,173
0
24,637,303
0
iii Income Statement from January to September 2010
Prepared by: CSG Holding Co., Ltd. January to September in 2010 Unit: RMB
January to September in 2010
January to September in 2009
Items
Consolidated
Company
Consolidated
Company
1. Total revenue
5,478,698,571
78,000
3,547,329,604
Incl. Revenue
5,478,698,571
78,000
3,547,329,604
2. Total cost
4,173,097,373
43,295,330
2,901,833,100
28,684,611
Incl. Cost of sales
3,549,997,367
4,025
2,345,420,473
Taxes and surcharges
3,796,565
3,997,445
Selling and distribution expenses
191,299,539
177,588,297
General and administrative expenses
347,047,205
43,220,889
298,031,992
51,821,967
Financial (expenses)/income - net
77,359,370
70,416
75,144,972
-23,137,356
Asset impairment losses
3,597,327
1,649,921
Add: Investment income
11,323,044
713,284,738
19,054,303
497,434,433
3. Operating profit (“-“ for loss)
1,316,924,242
670,067,408
664,550,807
468,749,822
Add: Non-operating income
36,434,325
220,000
33,074,548
2,452,600
Less: Non-operating expenses
4,826,373
72,306
2,205,067
3,963
Including: Loss on disposal of non-current assets
2,275,196
15,626
695,899
3,963
4. Total profit (“-“ for loss)
1,348,532,194
670,215,102
695,420,288
471,198,459
Less: Income tax expenses
203,749,672
65,364,296
5. Net profit (“-“ for net loss)
1,144,782,522
670,215,102
630,055,992
471,198,459
Attributable to equity holders of the Company
1,041,548,328
670,215,102
577,602,312
471,198,459
Minority interest
103,234,194
0
52,453,680
0
6. Earnings per share:
(1) Basic
0.50
0.28
(2) Diluted
0.50
0.28
7. Other complex income
-6,124,195
-6,184,231
-2,654,065
-3,098,844
8. Total complex income
1,138,658,327
664,030,871
627,401,927
468,099,615
Attributable to equity holders of the Company
1,035,424,133
664,030,871
574,948,247
468,099,615
Attributable to equity holders of minority interest
103,234,194
0
52,453,680
0
-9-CSG HOLDING CO., LTD. The Third Quarter Report 2010
iv Cash Flow Statement
Prepared by: CSG Holding Co., Ltd. January to September in 2010 Unit: RMB
January to September in 2010
January to September in 2009
Items
Consolidated
Company
Consolidated
Company
1. Cash flows from operating activities
Cash received from sales of goods or rendering of
6,153,401,436
3,865,976,685 services
Refund of taxes and levies
35,128,718
14,090,955
Cash received relating to other operating activities
53,723,130
3,037,062
60,176,232
666,285,735
Sub-total of cash inflows
6,242,253,284
3,037,062
3,940,243,872
666,285,735
Cash paid for goods and services
3,386,934,560
2,112,538,113
Cash paid to and on behalf of employees
478,548,309
84,362,122
288,806,693
9,663,182
Payments of taxes and levies
564,068,579
772,401
308,011,820
255,670
Cash paid relating to other operating activities
263,503,711
6,044,086
176,985,445
591,097,320
Sub-total of cash outflows
4,693,055,159
91,178,609
2,886,342,071
601,016,172
Net cash flows from operating activities
1,549,198,125
-88,141,547
1,053,901,801
65,269,563
2. Cash flows from investing activities
Cash received from disposal of investments
16,869,160
16,869,160
20,268,227
20,268,227
Cash received from returns on investments
653,440,107
1,516,000
204,511,340
Net cash received from disposal of fixed assets,
12,616,261
1,812,769 intangible assets and other long-term assets
Cash received relating to other investing activities
5,931,485
523,320,787
146,329,058
31,098,531
Sub-total of cash inflows
35,416,906
1,193,630,054
169,926,054
255,878,098
Cash paid to acquire fixed assets, intangible assets and
1,073,151,622
1,505,092
978,924,242
1,970,074 other long-term assets
Cash paid to acquire investments
299,526,000
197,220,000
Net cash received from subsidiaries and other
20,280,000
Cash paid relating to other investing activities
Sub-total of cash outflows
1,073,151,622
301,031,092
999,204,242
199,190,074
Net cash flows for investing activities
-1,037,734,716
892,598,962
-829,278,188
56,688,024
3. Cash flows from financing activities
Cash received from capital contributions
Including: Cash received from capital contributions
by minority shareholders of subsidiaries
Cash received from borrowings
1,377,336,335
364,276,500
3,608,266,619
1,362,513,800
Cash received form other financing activities
3,068,624
610,912,665
615,100,000
Sub-total of cash inflows
1,380,404,959
364,276,500
4,219,179,284
1,977,613,800
Cash repayments of borrowings
1,359,930,441
716,485,200
4,010,847,970
1,926,504,000
Cash payments for interest expenses and distribution of
598,251,409
436,607,031
339,711,172
149,422,461 dividends or profits
Including: Cash payments for dividends or profit to
88,556,493
64,416,978 minority shareholders of subsidiaries
Cash payments relating to other financing activities
17,738,370
17,738,370
114,671,700
114,671,700
Sub-total of cash outflows
1,975,920,220
1,170,830,601
4,465,230,842
2,190,598,161
Net cash flows from financing activities
-595,515,261
-806,554,101
-246,051,558
-212,984,361
4. Effect of foreign exchange rate changes on cash and
-1,294,026
-217,728
1,832,396
16,410 cash equivalents
5. Net increase in cash and cash equivalents
-85,345,878
-2,314,414
-19,595,549
-91,010,364
-10-CSG HOLDING CO., LTD. The Third Quarter Report 2010
Add: Cash and cash equivalents at beginning of year
635,618,163
370,558,509
394,923,631
168,142,506
6. Cash and cash equivalent at end of year
550,272,285
368,244,095
375,328,082
77,132,142
v Auditors’ Report
Auditors’ opinions: Un-audited
Board of Directors of
CSG Holding Co., Ltd.
21 October 2010
-11-
