Guangdong Provincial Expressway Development Co., Ltd.
The Semi-Annual Report 2014
July 2014
1
I. Important Notice, Table of Contents and Definitions
The Board of Directors ,the Supervisory committee as well as all directors, supervisors and senior management
staff of the Company warrant that this report is factual, accurate and complete without any false record,
misleading statement or material omission. And they shall be jointly and severall liable for that
All the directors have attended the meeting of the board meeting at which this report was examined.
The Company has no plan of cash dividends carried out, bonus issued and capitalizing of common reserves either.
Mr.Zhu Zhanliang, Compant principal , Mr. Xiao Laijiu, Chief of the accounting owrk, Mr. Yun Junwu, Chief
financial Officer and Ms.Liu Xiaomei, Chief of the accounting organ (chief of accounting ) hereby confirm the
authenticity and completeness of the financial report enclosed in this Semi-annual report.
2
Table of Contents
2014 Semi-Annual Report
5.Important Notice, Table of contents and Definitions
II. Basic Information of the Company
III. Summary of Accounting Highlights and Business Highlights
IV. Report of the Board of Directors
V. Important Events
VI. Change of share capital and shareholding of Principal Shareholders
VII. Situation of the Preferred Shares
VIII.Information about Directors, Supervisors and Senior Executives
IX. Financial Report
X. Documents available for inspection
3
Definition
Terms to be defined Refers to Definition
The Company /This Company Refers to Guangdong Provincial Expressway Development Co.,Ltd.
Guangfo Refers to The controlling subsidiary Guangfo Expressway Co., Ltd.
Fokai Refers to The controlling subsidiary Fokai Expressway Co., Ltd.
Guangdong Expressway Technology Investment Co., a wholly-owned subsidiary of
Technology Company Refers to
the Company
Communication Group Refers to The controlling parent Company， Guangdong Communication Group Co., Ltd.
4
II. Basic Information of the Company
1.Company Information
Stock abbreviation: Expressway A, Expressway B Stock code： 000429,200429
Stock exchange for listing： Shenzhen Stock Exchange
Name in Chinese 广东省高速公路发展股份有限公司
Abbreviation of Registered
粤高速
Company (if any)
English name (If any) Guangdong Provincial Expressway Development Co.Ltd.
English abbreviation (If
GPED
any)
Legal Representative Zhu Zhanliang
2. Contact person and contact manner
Board secretary Securities affairs Representative
Name Zuo Jiang Feng Xinwei
46/F, Litong Plaza, No.32, Zhujiang East 45/F, Litong Plaza, No.32, Zhujiang East
Contact address Road, Zhujiang New City, Tihe Disrtict , Road, Zhujiang New City, Tihe Disrtict ,
Guangzhou Guangzhou
Tel 020-29004609 020-29004522
Fax 020-38787002 020-38787002
E-mail zuoj@126.com fengxw2007@163.com
3.Other
(1)Way to contact the Company
Whether registrations address, offices address and codes as well as website and email of the Company changed in
reporting period or not
□ Applicable □√ Not Applicable
The registered address, office address and their postal codes, website address and email address of the Company did not change
during the reporting period. The said information can be found in the 2013 Annual Report.
（2）About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?
□ Applicable √ Not applicable
The newspapers designated by the Company for information disclosure, the website designated by CSRC for
disclosing this report and the location where this report is placed did not change during the reporting period. The
said information can be found in the 2013 Annual Report.
5
（3）Registration changes of the Company
Whether registration has changed in reporting period or not
□ Applicable √ Not applicable
Date/place for registration of the Company, registration nmber for enterprise legal license number of taxation
registration and organization code have no change in reporting period, found more details in annual report 2013.
III. Summary of Accounting Highlights and Business Highlights
I.Summary of accounting /Financial Data
May the Company make retroactive adjustment or restatement of the accounting data of the previous years due to
change of the accounting policy and correction of accounting errors.
□Yes √No
Reporting period Same period of last year YoY+/-（%）
Operating income（RMB） 688,716,891.86 629,975,588.18 9.32%
Net profit attributable to the
shareholders of the listed company 178,192,944.02 57,611,897.53 209.30%
（RMB）
Net profit after deducting of
non-recurring gain/loss attributable
176,476,690.94 57,007,858.34 209.57%
to the shareholders of listed company
（RMB）
Cash flow generated by business
500,941,101.24 331,636,565.56 51.05%
operation, net（RMB）
Basic earning per share(RMB/Share) 0.14 0.05 180.00%
Diluted gains per
0.14 0.05 180.00%
share(RMB/Share)(RMB/Share)
Weighted average ROE(%) 4.15% 1.35% 2.80%
As at the end of the As at the end of last
YoY+/-（%）
reporting period year
Gross assets (RMB) 12,664,784,092.41 12,694,475,514.01 -0.23%
Net assets attributable to
4,325,105,535.80 4,237,999,072.46 2.06%
shareholders of the Company（RMB）
6
II. Differences between accounting data under domestic and overseas accounting standards
1. Differences of net profit and net assets disclosed in financial reports prepared under international and Chinese
accounting standards.
□ Applicable √Not applicable
No difference .
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese
accounting standards.
□ Applicable √Not applicable
No difference .
III.Items and amount of non-current gains and losses
√Applicable □Not applicable
In RMB
Items Amount Notes
Gain/loss from disposal of non-current assets, including the part
-573,448.41
offset with the provision for impairment of assets
Single impairment test for impairment of receivables
2,000,000.00
transferredback to preparation
Operating income and expenses other than the aforesaid items -417,903.81
Other non-business income and expenditures other than the above 415,618.67
Less：Amount of influence of income tax -166,849.50
Amount of influence of minority interests(after tax) -125,137.13
Total 1,716,253.08 --
For the Company‘s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Compaines Offering their Securities to the Public-Non-recurring Gains and Losses and
its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure
for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as
recurring gains and losses, it is necessary to explain the reason.
□ Applicable√ Not applicable
No such cases.
7
IV. Report of the Board of Directors
I. General
In the first half of 2014, the board of directors of the Company actively implemented all resolutions of
shareholders'general meeting, duly performed its duties and all directors did their duties diligently. Facing austere
macropolicy environment, the board of directors unceasingly improved and standardized all operation
management activities, further reinforced management foundation and enhanced management level through
strengthening internal management. Meanwhile, the management of the Company strictly implemented
resolutions of the board of directors and actively carried out operation management activities.
On January 24, 2014, the People's Government of Guangdong Province issued the Approval of Term of Toll
Collection for the Expansion and Reconstruction Project of Xiebian-Sanbao Section of Fokai Expressway (Yue Fu
Han (2014) No. 10) and approved the term of toll collection for the said project to be from the date of completion
and opening to traffic to March 14, 2036. It is expected that the percentage of increase of the charge for the
depreciation of fixed assets for the expansion project of Fokai Expressway will be lowered in 2014 and the years
thereafter and the extent of the influence of the investment in the expansion project of Fokai Expressway on the
increase of the Company's operating cost will be correspondingly decreased.Meanwhile, the natural growth in
traffic volume in the Guangzhou-Foshan Expressway and Fokai Expressway and the increase of investment
income from China Everbright Bank and other sections led to the net profit attributable to the shareholders of the
listed companies had a year-on-year growth of 209.30% in the report period
II. Analysis on principal Business
General
The Company is an infrastructure industry, with main business in developing and operating expressway and big
bridges. It is one of the main institutions of developing expressway and big bridge in Guangdong Expressway
System. The expressway industry is the industry helped by government.
In the report period, the vehicle traffic and toll income of the controlled subsidiaries and joint ventures of the
Company are as follows:
Traffic volume Toll income from Jan to
Increase
form Jan to June Jun 2014 Increase/Decrease(%)
/Decrease(%)
2014（Vehicles) (RMB‘0000)
Guangfo Expressway 21,454,288 13.78% 16,402.82 9.50%
Fokai Expressway 19,088,150 14.42% 51,385.06 11.47%
Shenzhen Huiyan 15,464,514 5.56% 10,893.19 -0.04%
Expressway
Jingzhu Expressway 25,682,994 1.07% 48,147.75 7.89%
Guangzhu Section
Guangzhao Expressway 11,627,040 4.61% 25,472.37 14.68%
8
Guanghui Expressway 15,686,270 5.06% 69,821.95 9.32%
Jiangzhong Expressway 17,452,795 3.92% 17,669.96 9.09%
Kangda Expressway 900,965 5.34% 11,373.04 11.96%
Gangkang Expressway 1,009,287 23.70% 8,192.60 6.06%
After the expansion project of Fokai Expressway is completed, the traffic has resumed growth, and led to an
increase of Guangfo Expressway traffic; kangda high-speed, Gankang high-speed affected by the formation of
surrounding road network, traffic volume and toll steadily rise;the short trip in Huiyan high-speed increased thus
toll revenue was essentially flat; the rest of the traffic volume and toll roads have a certain level of natural growth.
Year-on-year change of main financial data
In RMB
YOY change
This report period Same period last year Cause change
（%）
The finish of Fokai Expansion Project led to
Operating income 688,716,891.86 629,975,588.18 9.32% the recovery of traffic growth, led to the
increase of revenue.
The increase of traffic volume led to the
increase of depreciation and the combined
Operating cost 369,614,599.73 403,435,560.64 -8.38% effects of adjustment of tolling year and new
system to forecast led to the decrease of
depreciation
Administrative expenses 76,476,533.85 81,306,279.47 -5.94%
Interest-bearing liabilities decreased,
increased financial income and other aspects
Financial expenses 205,409,981.84 214,952,062.12 -4.44%
led to the year-on-year decrease of financial
cost
Mainly due to the increase of income owing to
the tax adjustments of Fokai at the same
Income tax expenses 31,692,786.86 15,594,330.60 103.23%
period and current reversal of deferred income
tax.
Mainly due to the toll income increased owing
to tax adjustments of Fokai at the same period,
Net cash flows from net toll revenue increased interconnection fees
500,941,101.24 331,636,565.56 51.05%
operating activities received from the liquidation households,
reduced tax expense and the current reversal
of deferred income tax.
The combined effects of reduced dividends
Net cash flows from
-172,731,374.19 -147,848,205.69 16.83% received, reduced projects expenditure and
investing activities
increased national debt reverse repurchase.
Net cash flows from -351,378,336.78 22,519,835.24 -1,660.31% The combined effects of decreased borrowing
9
financing activities and reduced repayment of borrowings over the
same period
The combined effects of inflow from
Net increase in cash and
-23,446,167.12 206,545,017.82 -111.35% operating activities and financing activities
cash equivalents
outflow
Major changes in profit composition or cources during the report period
□ Applicable √ Not applicable
The profit composition or sources of the Company have remained largely unchanged during the report period.
Delay of future development and plan disclosed in Company‘s IPO prospectus, fund raising prospectus and capital
reorganization report into this report period.\
□ Applicable √ Not applicable
No future development and plan disclosed in Company‘s IPO prospectus, fund raising prospectus and capital
reorganization report into this report period.\
Implementation of business plans disclosed in previous periods in this period.
The plannned operating income and operating cost of the Company for 2014 disclosed in the annual report
for 2013 were RMB 1.416 billion and RMB 828 million respectively. As of June 30, 2014, its operating income
and operating cost were RMB 689 million and RMB 370 million respectively.
III. Business composition
In RMB
Increase/decrease
Increase/decrease Increase/decrease
of rincipal
of reverue in the of gross profit
Gross profit business cost over
Turnover Operation cost same period of rate over the same
rate(%) the same period
the previous period of the
of previous year
year(%) previous year (%)
(%)
Industry
Highway
673,137,500.56 358,494,223.15 46.74% 9.37% -9.54% 11.13%
transportation
Other 5,611,159.45 4,381,343.12 21.92% 45.26% 38.19% 3.99%
Product
Highway
673,137,500.56 358,494,223.15 46.74% 9.37% -9.54% 11.13%
transportation
Other 5,611,159.45 4,381,343.12 21.92% 45.26% 38.19% 3.99%
Area
Guangfo
163,160,247.10 119,220,190.87 26.93% 9.05% 17.77% -5.41%
Expressway
Fokai
509,977,253.46 239,274,032.28 53.08% 10.61% -12.62% 12.47%
Expressway
10
Other 5,611,159.45 4,381,343.12 21.92% 45.26% 38.19% 3.99%
IV. Analysis On core Competitiveness
The Company is an infrastructure industry, with main business in developing and operating expressway and
big bridges. It is one of the main institutions of developing expressway and big bridge in Guangdong Expressway
System.
Guangfo Expressway holding company, the Fokai Expressway and Maozhan Expressway are the parts "five
vertical and seven horizontal part of the national highway network planning. The holding highways are also the
Guangdong Provincial Expressway Network Plan which provide a strong guarantee for the traffic flow. At the
same time, the regional economy is an important factor affecting highway traffic volume. With the gradual
implementation of expressway network planning of Guangdong Province in recent years, the road network
connection effect has been increasingly better, which contributes to accelerating the growth of vehicle traffic
volume of expressways run by the Company.
V. Analysis on investment Status
1. Foreign Equity investment
（1）External investment
□ Applicable √ Not applicable
There was no foreign investment of the Company in the reorting period.
11
（2）Holding of the equipty in financial enterprises
√Applicable □Not applicable
Number of
Shareholdin
shares held Number of Shareholding
g proportion
Intial at the shares held at proportion at the Gain.loss of the
Company Company at the the Book balance at the end of Accounting Source of the
Investment cost beginning of the end of the end of the reporting period
Name type beginning of the reporting period (RMB) items shares
(RMB) the reporting reporting reporting (RMB)
the reporting
period period(shares) period(%)
period (%)
(shares)
China
Commerci Financial assets Subscribe on
Everbright 528,000,000.00 235,254,944 0.59% 235,254,944 0.59% 597,547,557.76 -28,230,593.28
al Bank available for sale 2009
Bank
Total 528,000,000.00 235,254,944 -- 235,254,944 -- 597,547,557.76 -28,230,593.28 -- --
（3）Investment in securities
√Applicable □Not applicable
Number of shares Number of Shareholding
Shareholding Book balance at
Security Security Short form of Intial held at the shares held at proportion at the Gain.loss of the
proportion at the the the end of the Accounting Source of
category code security Investment cost beginning of the the end of the end of the reporting period
beginning of the reporting period items the shares
(RMB) reporting period reporting reporting (RMB)
reporting period (%) (RMB)
(shares) period(shares) period(%)
Financial
China
Stock assets Subscribe on
601818 Everbright 528,000,000.00 235,254,944 0.59% 235,254,944 0.59% 597,547,557.76 -28,230,593.28
available for 2009
Bank
sale
12
Total 528,000,000.00 235,254,944 -- 235,254,944 -- 597,547,557.76 -28,230,593.28 -- --
Disclosure Date of Announcement
on Securities Investment Approved July 22, 2009
by the Board of Directors
Disclosure Date of Announcement
on Securities Investment Approved August 7, 2009
by the Shareholders Meeting
Notes to holding of the equity in other listed companies
□ Applicable√ Not applicable
The company did not hold shares of other listed companies at the reporting period.
13
2.Information of trust management, derivative investment and entrusted loan
（1）Trust management
□ Applicable√ Not applicable
There was no trust management of the Company in the reorting period.
（2）Derivative investment
□ Applicable√ Not applicable
There was no derivative investment of the Company in the reporting period.
（3）Entrusted loan
□ Applicable√ Not applicable
There was no entrusted loan of the Company in the reporting period.
3.Application of the Raised funds
（1）General application of the raised funds
□ Applicable√ Not applicable
（2）Promised projects of raised funds
□ Applicable√ Not applicable
（3）Changes of raised funds projects
□ Applicable√ Not applicable
There is no change in raised funds in company reporting period.
（4）Fund-raising project
Fund-raising project overview Disclosure date Disclosure index
14
4. Analysis on principal subsidiaries and Mutual Shareholding Companies
√Applicable □Not applicable
Particulars about the principal subsidiaries and Mutual shareholding companies
In RMB
Company Company Sectors Registered Operating profit
Leading products and services Total assets(RMB) Net assets (RMB) Tumover (RMB) Net Profit (RMB)
Name type engaged in capital (RMB)
Operating Guangfo Expressway Co.,
Guangfo
Ltd.(starts from Hengsha, Guangzhou, RMB 200
Expressway Subsidiary Expressway 653,140,764.49 295,540,368.15 166,940,111.80 19,213,281.16 13,088,460.94
ends in Xiebian, Foshan. Total length million
Co., Ltd.
15.7 kilometers
Guangdong Operation and management of Fokai
Fokai Expressway Co., Ltd., supporting RMB 1.108
Subsidiary Expressway 7,342,141,771.55 3,062,425,233.61 514,076,889.14 112,131,051.98 85,895,687.33
Expresswa salvage, maintenance and cleaning, billion
y supply of parts and components
Investing in science and technology
industries. Investment in technical
industries and provision of relevant
consulting services, research and
development of lighting technology,
Guangdong
energy saving and storage technology,
Expressway
photovoltaic technology of solar energy RMB 100
Technology Subsidiary 50,363,545.74 -3,318,541.83 10,071,621.45 -1,333,312.90 -1,343,041.71
and production and sales of relevant million
Investment
products, design, production , release
Co., Ltd
and agency of all kinds of domestic and
foreign advertisements, construction
and maintenance management of
highway projects and domestic trade.
（excluding illegally， or prohibited
15
and restricted by law products）
The organization and management of
the construction of the main line of
Shenzhen section of Huiyan
Shenzhen
Expressway, its operation, management
Huiyan Sharing RMB 36
Expressway and maintenance after its completion, 526,304,247.42 416,877,327.95 109,916,174.08 58,482,415.93 46,735,304.77
Expressway company million
collection of toll and road service
Co., Ltd.
management, the construction
management of road, bridge and culvert
projects and engineering consultation
Jingzhu The operation and management of
Expressway Guangzhou-Zhuhai Expressway and
Sharing RMB 580
Guangzhu Expressway provision of supporting services 3,696,504,293.30 818,094,443.70 495,422,620.07 224,115,274.45 198,698,815.37
company million
Section Co., including fueling, salvage and supply
Ltd. of parts and components
Construction, operation and
Zhaoqing
management of Guangzhao
Yuezhao Sharing RMB
Expressway Expressway, old highways and their 2,060,880,562.52 983,364,666.15 255,506,103.42 130,723,204.81 100,473,322.59
Highway company 818.3million
supporting facilities, service facilities
Co., Ltd.
and integrated projects.
Investment in and construction of
Guangdong
Guanghui Expressway Co., Ltd. and
Guanghui Sharing RMB 2.352
Expressway supporting facilities, the toll collection 5,511,556,142.23 3,569,664,409.54 701,582,423.18 384,423,473.63 289,770,004.45
Expressway company billion
and maintenance management of
Co., Ltd.
Guanghui Expressway
Guangdong Investing in, constructing, operating
Jiangzhong Sharing and managing Jiangzhong Expressway RMB 1.015
Expressway 2,473,837,276.79 1,144,057,830.65 184,427,524.48 25,418,532.57 198,698,815.37
Expressway company Co., Ltd. and phase-II project of billion
Co., Ltd.. Jianghe Expressway and developing
16
supporting projects.
Construction, operation and
management of expressway projects;
Ganzhou highway maintenance; Advertising;
Kangda Sharing wholesale and retail of construction RMB 600
Expressway 1,548,461,656.88 369,586,204.74 113,740,917.00 38,288,923.10 35,563,559.16
Expressway company machinery equipments and accessories million
Co., Ltd. (the above-mentioned projects should
be in accordance with state special
provisions)
Project of Ganzhou-dayu expressway
(Maodian-Sanyi) and the construction
and management of Ganjiang Highway
project; earth mining and sale; highway
Ganzhou maintenance; advertising; service
Gankang Sharing facilities; building materials, decoration RMB 754
Expressway 1,929,617,855.73 680,778,956.18 82,994,061.67 13,477,333.01 11,897,440.02
Expressway company materials, metal materials, wholesale million
Co., Ltd. and retail of construction machinery
and equipments and accessories (the
above-mentioned projects should be in
accordance with state special
provisions).
Guangdong
Yueke Handle all small loans, and other busine
Sharing Financial
Technology sses approved by the Guangdong Provi RMB 1 billion 1,007,191,004.91 1,005,591,002.16 13,208,617.55 5,818,233.21 5,591,002.16
company industry
Petty Loan ncial Finance Office
Co., Ltd.
17
5. Significant projects of investments with non-raised funds
□ Applicable √ Not applicable
The company has no project invested by raised fund in the reporting period.
VI. Performance Forecast for January to September 2014
Alert of loss or significant change in net profit from the beginning of year to the end of next report period or
comparing with the same period of last year, and statement of causations.
□ Applicable √ Not applicable
VII. Explanation by the Board of Directors and the Supervisory Committee about the ―non-standard audit report‖ issued by the CPAs
firm for the reporting period
□ Applicable √ Not applicable
VIII. Explanation by the Board of Directors about the relevent situation of the ―non-standard
audit report‖ of the first half year
□ Applicable √ Not applicable
IX. Profit distribution carried out in the report period
Execution or adjustment of profit distribution, especially cash dividend, and capitalizing of reserves in the report
period.
√Applicable□ Not Applicable
Which has been adopted. According to the resolution passed at the annual shareholders‘ general meeting 2013,
The Company's dividend distribution plan for 2013: With the existing total share capital, i.e., 1,257,117,748 shares,
as the base, cash dividend of RMB 0.50 (including tax) is to be distributed for every 10 shares,Cash dividend of
RMB 62,855,887.40 is to be distributed, The undistributed profit was carried forward to the nest year. The
Company had implemented this distribution plan on June 11, 2013.
Special explanation of the cash dividend policy
Whether conformed with the regulations of the Articles of
association or the requirements of the resolutions of the Yes
shareholders‘ meeting:
Whether the dividend standard and the proportion were definite
Yes
and clear:
Whether the relevant decision-making process and the system
Yes
were complete:
Whether the independent director acted dutifully and exerted the
Yes
proper function:
Whether the medium and small shareholders had the chances to
Yes
fully express their suggestions and appeals, of which their legal
18
interest had gained fully protection:
Whether the conditions and the process met the regulations and
was transparent of the adjustment or altered of the cash dividend Yes
policy:
X. Preplan for profit distribution and turning capital reserve into share capital in the reporting period
□ Applicable √ Not applicable
The Company planed that no to distribute cash dividend, bonus shares and there was no turning of capital reserve
into share capital.
XI. Particulars about researches, visits and interviews received in this reporting period
□ Applicable √ Not applicable
There is no reception research, interviews and other activities during the reporting period.
V. Important Events
I. Administrative position
The company strictly abides by the requirements of laws and regulations of "Corporate Law", "Securities Law",
"Governance Rules of Listed Companies" and "Listing Rules of Stocks" to continuously perfect the corporate
governance structure and improve the norms operation level. Also, the company has set up the "Articles of
Association", the parliamentary procedure of three meetings operating, the work rules of the special committee of
the Board of Directors, the work rules of General Manager and other systems, as well as the internal control
systems basically covering the company's financial management, investment management, information disclosure,
affiliated transactions, external guarantee, funds-raising and all aspects of business management, and all the
systems have been implemented better.
At present, the actual status of corporate governance complied with the requirements of relevant documents of
CSRC and regulatory authority. According to the requirements of relevant laws and regulations and regulatory
documents, the Company will stick to the policy of continuous rectification, unceasingly strengthen the
construction of corporate governance structure, continously enhance its level of corporate governance and make
its governance structure more steady and transparent.
II. Major lawsuits and Arbitration affairs
□ Applicable √ Not applicable
The Company has no major lawsuit or arbitration in the report period.
III. Query form media
□ Applicable √ Not applicable
In the reporting year, the Company had no query from media
19
IV. Bankruptcy or Reorganization Events
□ Applicable √ Not applicable
There Company was not involved in any bankruptcy or reorganization events in the reporting period.
V. Transaction in Assets
1. Purchase of assets
□ Applicable √ Not applicable
There is no purchase of assets in the Company during the reporting period.
2. Sale of assets
□ Applicable √ Not applicable
There is no sale of assets in the Company during the reporting period
3. Business combination
□ Applicable √ Not applicable
There is no business combination in the Company during the reporting period.
VI. Implementation and Influence of Equity Incentive Plan of the Company
□ Applicable √ Not applicable
There is no equity incentive plan and its implementation in the Company during the reporting period.
VII. Significant related-party transactions
1. Related-party transactions concerning routine operation
□ Applicable √ Not applicable
The company has no transactions related to daily operations in the reporting period.
2. Related-party transactions arising from asset acquisition or sale
□ Applicable √ Not applicable
The Company was not involved in any related-party transactions arising from asset acquisition or sale during the
reporting period.
3. Related-party transitions with joint investments
□ Applicable √ Not applicable
The Company was not involved in any related-party transaction with joint investments during the reporting
period.
20
4. Credits and liabilities with related parties
√ Applicable □ Not applicable
Was there any non-operating credit or liability with any related party?
□ Yes √ No
The Company was not involved in any credits and liabilities with related parties during the reporting period.
5. Other significant related-party transactions
√ Applicable □ Not applicable
The 9th meeting of the seventh board of directors of the Company was held on March 27,2014. The meeting
examined and adopted the Proposal for Renewing the Lease of Litong Plaza as Office Building. The Company
approved to continue to lease the 43rd and 44th floor (conceptual design floor) of Litong Plaza as offices from
Guangdong Litong Property Investment Co., Ltd. The renewal period starts from May 5, 2014 to May 4, 2015
with the monthly rent per square meter (gross floor area) is RMB 152 , the total amount of the contract is RMB
10.1697 million .
The website to disclose the interim announcements on significant related-party transactions
Date of disclosing provisional Description of the website for disclosing
Description of provisional announcement
announcement provisional announcements
Related transaction announcement March 28, 2014 www.cninfo.com.cn
VIII. Particulars about the non-operating occupation of funds by the controlling shareholder
and other related parties of the Company
□ Applicable √ Not applicable
The Company was not involved in the non-operating occupation of funds by the controlling shareholder and other
related parties
during the reporting period.。
IX. Particulars about significant contracts and their fulfillment
1. Particulars about trusteeship, contract and lease
(1) Trusteeship
□ Applicable √ Not applicable
There was no any trusteeship of the Company in the reporting period.
(2) Contract
□ Applicable √ Not applicable
There was no any contract of the Company in the reporting period.
21
(3) Lease
□ Applicable √ Not applicable
There was not involved in ant lease of the Company in the reporting period.
2. Guarantees provided by the company
√ Applicable □ Not applicable
Unit:RMB‘0000
External Guarantee (Exclude controlled subsidiaries)
Guarante
Relevant e
Date of
disclosure Complete for
happening Actual
Name of the date/No. of Amount of Guarantee Guarantee implemen associate
(Date of mount of
Company the Guarantee type term tation d
signing guarantee
guaranteed or not parties
agreement)
amount (Yes or
no)
Guangdong
May 11,
Communication 150,000 May 31, 2013 150,000 Impawn No Yes
2012
Group Co., Ltd.
Total of external guarantee Total of actual external
0 0
approved in Period(A1) guarantee in Period(A2)
Total balance of actual
Total of external guarantee
0 external guarantee at 150,000
approved at Period-end(A3)
Period-end(A4)
Guarantee of the Company for the controlling subsidiaries
Guarante
Relevant e
Date of Complete
disclosure for
Name of the Amount happening Actual implemen
date/No. of Guarantee Guarantee associate
Company of (Date o mount of tation
the type term d
guaranteed guarantee signing guarantee or
guaranteed parties
agreement) not
amount (Yes or
no)
Total of Company’s guarantee（namely total of the large two aforementioned）
Total of guarantee in the Period Total of actual guarantee in
0 0
(A1+B1) the Period (A2+B2)
Total of guarantee at Period-end Total of actual guarantee at
0 150,000
(A3+B3) Period-end
22
(A4+B4)
The proportion of the total amount of actually guarantee in the
34.68%
net assets of the Company(that is A4+B4)
Including
Amount of guarantee for shareholders, actual controller and its
150,000
associated parties(C)
The debts guarantee amount provided for the
Guaranteed parties whose assets-liability ratio exceed 0
70% directly or indirectly(D)
Proportion of total amount of guarantee in net assets of the
0
company exceed 50%(E)
Total guarantee Amount of the abovementioned
150,000
guarantees(C+D+E)
Description of the guarantee with complex method
There was no particular about illegal external guarantee of the Company in the reporting period.
3. Other significant contracts
□ Applicable √ Not applicable
There was no other significant contract of the Company in the reporting period.
4. Other significant transactions
□ Applicable √ Not applicable
There was no other significant transaction of the Company in the reporting period.
X. Commitments made by the Company or shareholders holding over 5% of the Company‘s shares in the
reporting period or such commitments carried down into the reporting period
□ Applicable √ Not applicable
There was no commitments made by the company or shareholders holding over 5% of the company's shares in the
reporting period or such commitments carried down into the reporting period.
XI. Particulars about engagement and disengagement of CPAs firm
Whether the semi-annual financial report had been audited?
□ Yes √ No
XII. Punishment and Rectification
□ Applicable √ Not applicable
There was no any punishment and rectification of the Company in the reporting period.
XIII. Reveal of the delisting risks of illegal or violation
□ Applicable √ Not applicable
There was no any delisting risk of illegal or violation of the Company in the reporting period.
23
XIV. Explanation about other significant matters
□ Applicable √ Not applicable
There was no significant matters of the company need to be explained in the reporting period.
24
VI. Change of share capital and shareholding of Principal Shareholders
(I).Changes in share capital
In shares
Before the change Increase/decrease（+，-） After the Change
Amount Proporti Capitalizat
on Share ion of
Bonus Subtot Proportio
allotm common Other Quantity
shares al n
ent reserve
fund
1.Shares with conditional
440,485,326 35.04% 440,485,326 35.04%
subscription
1.State-owned shares 409,948,548 32.61% 409,948,548 32.61%
2.State-owned legal person
22,301,977 1.77% 22,301,977 1.77%
shares
3.Other domestic shares 8,234,801 0.66% 8,234,801 0.66%
Including ：Domestic
7,518,100 0.60% 7,518,100 0.60%
Legal person shares
Domestic natural person
716,701 0.06% 716,701 0.06%
shares
II.Shares with
816,632,422 64.96% 816,632,422 64.96%
unconditional subscription
1.Common shares in RMB 467,882,422 37.22% 467,882,422 37.22%
2.Foreign shares in
348,750,000 27.74% 348,750,000 27.74%
domestic market
III. Total of capital shares 1,257,117,748 100.00% 1,257,117,748 100.00%
Reasons for share changed
□ Applicable √ Not applicable
Approval of Change of Shares
□ Applicable √ Not applicable
Ownership transfer of share changes
□ Applicable √ Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to
common shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security
regulators
□ Applicable √ Not applicable
25
Explanation on changes in aspect of total shares, shareholders structures as well as structure of assets and liability
of the Company
□ Applicable √ Not applicable
II. Number of shares and shares held
In shares
Total number of preferred
shareholders that had restored
Total number of common
the
shareholders at the end of the 87,178 0
voting right at the end of the
reporting period
reporting period (if any) (note
8)
Shareholding of shareholders holding more than 5% shares
Proportio Changes Amount of Number os share
Number of Amount of
Nuture of n of in un-restricte pledged/frozen
Shareholders shares held at restricted
shareholder shares reportin d shares
period -end shares held State of share Amount
held（%） g period held
Guangdong
State-owned legal
Communication 40.83% 513,328,290 0 409,948,548 103,379,742 Frozen 103,379,742
person
Group Co.,Ltd
Guangdong
State-owned legal
Expressway Co., 1.56% 19,582,228 0 19,582,228
person
Ltd
Haerbin Hali Domestic non
-344719
Industrial Co., State-owned 1.44% 18,153,092 18,153,092
2
Ltd. Legal person
Xinyue Co., Ltd. Foreign legal person 1.05% 13,201,086 13,201,086
Guangdong
Yuecai Trust State-owned legal
0.97% 12,174,345 12,174,345
Investment CO., person
Ltd.
Domestic natural
Li Zhuo 0.86% 10,820,184 -609899 10,820,184
person shares
Shanxi Huiteng
International Domestic non
Freight State-owned 0.30% 3,807,289 93799 3,807,289
Forwarding Co., Legal person
Ltd.
Domestic natural
Liu Feng 0.29% 3,673,852 -269669 3,673,852
person shares
Hu Maohua Domestic natural 0.24% 3,052,280 -7000 3,052,280
26
person shares
Domestic natural
Lu Weiqiang 0.23% 2,953,992 65144 2,953,992
person shares
Strategy investors or general legal
person becomes top 10 shareholders
None
due to rights issued (if applicable)（See
Notes 3）
Guangdong Communication Group Co., Ltd. is the parent company of Guangdong
Expressway Co., Ltd. and Xinyue Co., Ltd.. It is unknown whether there is relationship
Explanation on associated relationship
between other shareholders and whether they are persons taking concerted action specified
among the aforesaid shareholders
in the Regulations on Disclosure of Information about Change in Shareholding of
Shareholders of Listed Companies.
Shareholding of top 10 shareholders of unrestricted shares
Quantity of unrestricted shares held at the end of Share type
Name of the shareholder
the reporting period (Note 4) Share type Quantity
Guangdong Communication Group
103,379,742 RMB Common shares 103,379,742
Co.,Ltd
Haerbin Hali Industrial Co., Ltd. 18,153,092 RMB Common shares 18,153,092
Foreign shares placed
Xinyue Co., Ltd. 13,201,086 13,201,086
in domestic exchange
Guangdong Yuecai Trust Investment
12,174,345 RMB Common shares 12,174,345
CO., Ltd.
Li Zhuo 10,820,184 RMB Common shares 10,820,184
Shanxi Huiteng International Freight
3,807,289 RMB Common shares 3,807,289
Forwarding Co., Ltd.
Liu Feng 3,673,852 RMB Common shares 3,673,852
Foreign shares placed
Hu Maohua 3,052,280 3,052,280
in domestic exchange
Foreign shares placed
Lu Weiqiang 2,953,992 2,953,992
in domestic exchange
Foreign shares placed
Chen Shukai 2,680,400 2,680,400
in domestic exchange
Explanation on associated relationship
or consistent action among the top 10 Guangdong Communication Group Co., Ltd. is the parent company of Xinyue Co., Ltd.. It
shareholders of non-restricted is unknown whether there is relationship between other shareholders and whether they are
negotiable shares and that between the persons taking concerted action specified in the Regulations on Disclosure of Information
top 10 shareholders of non-restricted about Change in Shareholding of Shareholders of Listed Companies.
negotiable shares and top 10
shareholders
27
Harbin Hali Industry Co., Ltd. holds18,152,811 A shares of the Company through stock
account with credit transaction and guarantee and holds 281 A shares through ordinary
stock account. hold 18,153,092 shares of the Company's stock totally；Li Zhuo holds
Notes to the shareholders
10,776,604 A shares of the Company through stock account with credit transaction and
involved in financing securities
guarantee and holds 43,580 A shares through ordinary stock account, hold10,820,184
(if any)(See Notes 4)
shares of the Company's stock totally；Liu Feng holds 3,623,752 A shares of the Company
through stock account with credit transaction and guarantee and holds50,100 A shares
through ordinary stock account. hold 3,673,852 shares of the Company's stock totally.
Did any shareholder of the Company carry out an agreed buy-back in the reorting period?
□ Yes √ No
Shareholders of the Company had not carried out any agreed buy-back in the reporting period.
III. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable √ Not Applicable
There was no any change of the controlling shareholder of the Company in the reporting period.
Change of the actual controller in the reporting period
□ Applicable √ Not applicable
There was no any change of the actual controller of the Company in the reporting period.
IV. Particulars on shareholding increase scheme during the reporting period proposed or implemented by the
shareholders and act-in-concert persons
□ Applicable √ Not applicable
Within the scope known to the Company, there was no any shareholding increase scheme during the reporting
period proposed or implemented by the shareholders and act-in-concert persons.
28
Section VII. Situation of the Preferred Shares
I.Situation of preferred stock issuance and listing during the reporting period
□ Applicable √ Not Applicable
II.Situation of number of preference shareholders and shareholding
□ Applicable √ Not Applicable
III.Situation of repurchase or conversion of preferred shares
1.situation of repurchase of preferred shares
□ Applicable √ Not Applicable
2.situation of conversion of preferred shares
□ Applicable √ Not Applicable
IV.Situation of restoration and usage of voting preference shares
□ Applicable √ Not Applicable
V.Accounting policies and reasons adopted by preferred shares
□ Applicable √ Not Applicable
29
VIII. Information about Directors, Supervisors and Senior Executives
I. Change in shares held by directors, supervisors and senior executives
□ Applicable √ Not Applicable
There was no change in shareholding of directors, supervisors and senior management staffs, for the specific
information please refer
to the 2013 Annual Report.
II. Changes in directors, supervisors and senior management staffs
√Applicable □ Not applicable
Name Title Type Date Reason
Board March 14,
Li Xiyuan Resignation Job transfer
Chairman, 2014
Director ,
March 14, Job transfer
Hou Jingfang Deputy Resignation
2014
Manager
Zheng Renfa Directoer Be elected April 21, 2014 Elected by the general meeting
Wang Ping Director Be elected April 21, 2014 Elected by the general meeting
30
IX. Financial Report
1. Audit report
Has this semi-annual report been audited?
□ Yes √ No
The semi-annual financial report has not been audited.
II. Financial statements
Currency unit for the statements in the notes to these financial statements:RMB
1. Consolidated balance sheet
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items At the end of term Beginning of term
Current asset：
Monetary fund 953,022,518.70 976,468,685.82
Settlement provision
Outgoing call loan
Trading financial assets
Bill receivable
Account receivable 92,524,304.33 27,898,415.37
Prepayments 1,759,930.82 2,921,945.75
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts
receivable
Interest receivable 12,444.44
Dividend receivable 137,853,597.49 16,648,284.74
Other account receivable 24,859,337.67 27,827,811.48
Repurchasing of financial assets
Inventories
Non-current asset due in 1 year
31
Other current asset 76,007,760.00 5,001,000.00
Total of current assets 1,286,027,449.01 1,056,778,587.60
Non-current assets：
Loans and payment on other‘s behalf
disbursed
Disposable financial asset 597,547,557.76 625,778,151.04
Expired investment in possess
Long-term receivable
Long term share equity investment 3,289,502,833.06 3,241,637,484.40
Property investment 4,380,504.58 4,612,611.28
Fixed assets 7,449,784,801.53 7,696,941,214.30
Construction in progress 2,487,520.64 8,332,139.39
Engineering material
Fixed asset disposal
Production physical assets
Gas & petrol
Intangible assets 4,641,377.54 5,326,522.51
R & D petrol
Goodwill
Long-germ expenses to be amortized 5,885,967.92 8,596,068.39
Differed income tax asset 24,202,280.37 46,472,735.10
Other non-current asset 323,800.00
Total of non-current assets 11,378,756,643.40 11,637,696,926.41
Total of assets 12,664,784,092.41 12,694,475,514.01
Current liabilities
Short-term loans 50,000,000.00
Loan from Central Bank
Deposit received and hold for others
Call loan received
Trade off financial liabilities
Bill payable
Account payable 181,187,568.90 317,797,859.76
Prepayment 4,964,353.56 4,405,334.64
Selling of repurchased financial assets
32
Fees and commissions receivable
Employees‘ wage payable 2,691,276.45 2,378,720.62
Tax payable 11,964,394.75 11,713,374.15
Interest Payable 89,188,235.28 35,887,681.26
Dividend Payable 11,420,850.42 37,860,468.95
Other account payable 326,423,384.71 255,719,356.70
Reinsurance fee payable
Insurance contract provision
Entrusted trading of securities
Entrusted selling of securities
Non-current liability due in 1 year 1,210,410,177.08 857,757,334.35
Other current liability
Total of current liability 1,888,250,241.15 1,523,520,130.43
Non-current liabilities：
Long-term loan 4,485,920,000.00 4,993,761,250.00
Bond payable 997,000,000.00 997,000,000.00
Long-term payable 2,022,210.11 2,022,210.11
Special payable
Expected liabilities
Differed income tax liability 126,994,704.91 125,427,487.64
Other non-current liabilities
Total of non-current liabilities 5,611,936,915.02 6,118,210,947.75
Total of liability 7,500,187,156.17 7,641,731,078.18
Owners‘ equity
Share capital 1,257,117,748.00 1,257,117,748.00
Capital reserves 1,614,745,396.53 1,642,975,989.81
Less：Shares in stock
Special reserves
Surplus reserves 233,750,778.75 233,750,778.75
Common risk provision
Undistributed profit 1,219,491,612.52 1,104,154,555.90
Different of foreign currency translation
Total of owner‘s equity belong to the parent
4,325,105,535.80 4,237,999,072.46
company
33
Minor shareholders‘ equity 839,491,400.44 814,745,363.37
Total of owners‘ equity 5,164,596,936.24 5,052,744,435.83
Total of liabilities and owners‘ equity 12,664,784,092.41 12,694,475,514.01
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
2.Parent Company Balance Sheet
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items At the end of term Beginning of term
Current Assets
Monetary fund 663,888,969.92 782,174,175.59
Trading financial assets
Bills receivable
Accounts receivable
Prepayment 2,378,580.00 1,378,580.00
Interest receivable 992,180.57 1,294,211.12
Dividend receivable 137,853,597.49 90,422,700.78
Other receivables 2,640,992.54 2,896,626.91
Inventory
Non-current assets due within 1 year
Other current assets 256,007,760.00 680,001,000.00
Total of current assets 1,063,762,080.52 1,558,167,294.40
Non-current assets
Sellable financial assets 597,547,557.76 625,778,151.04
Expired investment in possess
Long-term receivables
Long –term equity investment 5,690,929,834.39 5,642,264,637.88
Investment real estate 4,128,366.33 4,360,473.03
Fixed assets 6,453,556.74 7,732,964.17
Construction in progress
Construction materials
34
Disposal of fixed assets
Capitalized biological assets
Oil-gas assets
Intangible assets 899,583.35 915,666.67
Development expenditure
Goodwill
Long-term deferred expenses 5,805,271.00 5,956,652.35
Deferred tax assets
Other non-current assets 405,000,000.00 30,000,000.00
Total of non-current assets 6,710,764,169.57 6,317,008,545.14
Total assets 7,774,526,250.09 7,875,175,839.54
Current Liabilities
Short-term loans
Trading financial liabilities
Bill payable
Account payable
Advances from the customers
Employees wage payable 329,576.18 546,839.09
Taxes payable 2,484,939.63 2,335,313.62
Interests payable 83,312,777.67 29,235,694.35
Dividends payable 11,420,850.42 11,013,452.27
Other payables 3,737,925.88 6,652,222.81
Non-current liabilities due within 1 year 799,610,177.08 798,713,584.35
Other current liabilities 141,308,593.60 308,172,232.80
Total of current liabilities 1,042,204,840.46 1,156,669,339.29
Non-current liabilities
Long-term loans 1,500,000,000.00 1,500,000,000.00
Bonds payables 997,000,000.00 997,000,000.00
Long-term payable 2,022,210.11 2,022,210.11
Specific purpose account payable
Contingent liabilities
Deferred tax liabilities
Other non-current liabilities
Total of Non-current liabilities 2,499,022,210.11 2,499,022,210.11
35
Total liabilities 3,541,227,050.57 3,655,691,549.40
Shareholders‘ Equity
Share capital 1,257,117,748.00 1,257,117,748.00
Capital surplus 1,614,893,537.28 1,643,124,130.56
Less：Treasury stock
Special reserves
Surplus reserves 233,750,778.75 233,750,778.75
Common risk provision
Undistributed profit 1,127,537,135.49 1,085,491,632.83
Different of foreign currency
translation
Total of owners‘ equity 4,233,299,199.52 4,219,484,290.14
Total of liabilities and owners‘ equity 7,774,526,250.09 7,875,175,839.54
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
3.Consolidated Profit statement
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items Amounof Current term Amoun of last year
I.Total business income 688,716,891.86 629,975,588.18
Inc l：Business income 688,716,891.86 629,975,588.18
Interest income
Interest income
Fee and commission income
II.Total business cost 674,784,919.23 722,654,539.00
Incl：Business cost 369,614,599.73 403,435,560.64
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Net insurance policy reserves provided
36
Insurance policy dividend paid
Reinsurance expenses
Business tax and surcharge 25,283,803.81 22,960,636.77
Sales expense
Administrative expense 76,476,533.85 81,306,279.47
Financial expenses 205,409,981.84 214,952,062.12
Asset impairment loss -2,000,000.00
Add：Gains from change of fair value
（“-”for loss）
Investment gain（“-”for loss） 221,691,147.54 171,036,882.96
Incl：Investment gains from affiliates 179,155,666.77 157,116,882.96
Gains from currency exchange（“-”for
loss）
III. Operational profit（“-”for loss） 235,623,120.17 78,357,932.14
Add：Non-Business income 1,404,438.99 1,596,067.44
Less：Non-Business expenses 2,395,791.21 361,144.21
Incl：loss from disposal of non-current
574,948.41 237,286.47
assets
IV. Gross profit（“-”for loss） 234,631,767.95 79,592,855.37
Less：Income tax expenses 31,692,786.86 15,594,330.60
V.Net profit（“-”for net loss） 202,938,981.09 63,998,524.77
Incloding: The net profit of the
combined parties before business
combination
Net profit attributable to the owners of
178,192,944.02 57,611,897.53
parent company
Minor shareholders‘ equity 24,746,037.07 6,386,627.24
VI. Earnings per share： -- --
（i）Basic earnings per share 0.14 0.05
（ii）Diluted earnings per share 0.14 0.05
VII. Other comprehensive income -28,230,593.28 -38,400,000.00
VIII. Total comprehensive income 174,708,387.81 25,598,524.77
Total comprehensive income
attributable to the owner of the parent 149,962,350.74 19,211,897.53
company
Total comprehensive income 24,746,037.07 6,386,627.24
37
attributable minority shareholders
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
4.Parent Company income statement
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items Amounof Current term Amoun of last year
I. Operating revenue 22,907,325.49 10,120,351.13
Less：Operating cost 232,106.70 232,106.70
Business tax and surcharges 1,313,133.51 574,803.60
Sales expense
Administrative expense 38,695,469.38 45,509,510.89
Financial expenses 99,941,995.83 94,044,294.50
Asset impairment loss
Add：Gains from change of fair value
（“-”for loss）
Investment gain（“-”for loss） 222,490,995.39 171,036,882.96
Incl：Investment gains from affiliates 179,955,514.62 157,116,882.96
II. Operational profit 105,215,615.46 40,796,518.40
Add：Non-Business income 37,574.60
Less：Non-Business expenses 351,800.00 206,730.38
Incl：loss from disposal of non-current
351,800.00 206,432.52
assets
III. Gross profit 104,901,390.06 40,589,788.02
Less：Income tax expenses
IV.Net profit 104,901,390.06 40,589,788.02
V. Earnings per share -- --
（i）Basic earnings per share 0.083 0.032
（ii）Diluted earnings per share 0.083 0.032
VI. Other comprehensive income -28,230,593.28 -38,400,000.00
VII. Total comprehensive income 76,670,796.78 2,189,788.02
38
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
5.Consolidated Cash Flow statement
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items Amount of Current term Amoun of last year
I.Net cash flow form business operation
Cash received from sales of
620,179,322.98 585,549,326.84
products and providing of services
Net increase of customer deposits and
capital kept for brother company
Net increase of loans from central bank
Net increase of inter bank loans from
other financial bodies
Cash received against original insurance
contract
Net cash received from reinsurance
business
Net increase of client deposit and
investment
Net increase of trade financial asset
disposal
Cash received as interest, processing
fee, and commission
Net increase of inter bank fund received
Net increase of repurchasing business
Tax returned
Other cash received from business
89,206,337.64 38,895,080.25
operation
Subtotal of cash inflow from business
709,385,660.62 624,444,407.09
activities
Cash paid for purchasing of
45,413,383.90 60,806,358.20
merchandise and services
Net increase of client trade and advance
39
Net increase of savings in central bank
and brother company
Cash paid for original contract claim
Cash paid for interest, processing fee
and commission
Cash paid for policy dividend
Cash paid to staffs or paid for staffs 102,801,679.64 102,501,247.42
Taxes paid 33,837,595.01 60,907,408.56
Other cash paid for business activities 26,391,900.83 68,592,827.35
Subtotal of cash outflow from business
208,444,559.38 292,807,841.53
activities
Cash flow generated by business
500,941,101.24 331,636,565.56
operation, net
II. Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment gains 52,650,682.13 80,229,464.66
Net cash retrieved from disposal of
fixed assets, intangible assets, and other 11,180.00 13,000.00
long-term assets
Net cash received from disposal of
subsidiaries or other operational units
Other investment related cash received 2,000,000.00
Subtotal of cash inflow due to
54,661,862.13 80,242,464.66
investment activities
Cash paid for construction of fixed
assets, intangible assets and other 156,356,280.32 228,090,670.35
long-term assets
Cash paid at investment 71,036,956.00
Net increase of loan against pledge
Net cash received from subsidiaries
and other operational units
Other cash paid for investment
activities
Subtotal of cash outflow due to
227,393,236.32 228,090,670.35
investment activities
Net cash flow generated by investment -172,731,374.19 -147,848,205.69
40
III.Cash flow generated by financing
Cash received as investment 3,119,600.00
Incl: Cash received as investment from
3,119,600.00
minor shareholders
Cash received as loans 60,000,000.00 1,322,300,000.00
Cash received from bond placing
Other financing –related cash
received
Subtotal of cash inflow from
60,000,000.00 1,325,419,600.00
financing activities
Cash to repay debts 166,085,000.00 1,074,031,250.00
Cash paid as dividend, profit, or
242,293,336.78 225,868,514.76
interests
Incl: Dividend and profit paid by
24,591,472.01
subsidiaries to minor shareholders
Other financing –related cash received 3,000,000.00 3,000,000.00
Subtotal of cash outflow due to
411,378,336.78 1,302,899,764.76
financing activities
Net cash flow generated by financing -351,378,336.78 22,519,835.24
IV. Influence of exchange rate
-277,557.39 236,822.71
alternation on cash and cash equivalents
V.Net increase of cash and cash
-23,446,167.12 206,545,017.82
equivalents
Add：Balance of cash and cash
976,468,685.82 798,485,320.49
equivalents at the beginning of term
VI. Balance of cash and cash
953,022,518.70 1,005,030,338.31
equivalents at the end of term
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
6.Parent company statement of Cash Flow
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
In RMB
Items Amount of Current term Amoun of last year
41
I.Net cash flow form business operation
Cash received from sales of products
2,281,772.56 2,810,264.02
and providing of services
Tax returned
Other cash received from business
10,312,629.10 12,781,375.22
operation
Subtotal of cash inflow from business
12,594,401.66 15,591,639.24
activities
Cash paid for purchasing of
merchandise and services
Cash paid to staffs or paid for staffs 24,746,877.91 27,032,688.75
Taxes paid 1,807,778.31 493,460.19
Other cash paid for business activities 185,272,667.71 88,183,648.84
Subtotal of cash outflow from
211,827,323.93 115,709,797.78
business activities
Cash flow generated by business
-199,232,922.27 -100,118,158.54
operation, net
II. Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment gains 126,425,098.17 80,229,464.66
Net cash retrieved from disposal of
fixed assets, intangible assets, and other 4,500.00 13,000.00
long-term assets
Net cash received from disposal of
subsidiaries or other operational units
Other investment related cash received 515,824,040.28 6,367,755.56
Subtotal of cash inflow due to
642,253,638.45 86,610,220.22
investment activities
Cash paid for construction of fixed
assets, intangible assets and other 1,387,080.63 3,510,205.06
long-term assets
Cash paid at investment 71,036,956.00 40,150,500.00
Net cash received from subsidiaries and
other operational units
Other cash paid for investment
375,000,000.00 500,000,000.00
activities
Subtotal of cash outflow due to 447,424,036.63 543,660,705.06
42
investment activities
Net cash flow generated by investment 194,829,601.82 -457,050,484.84
III.Cash flow generated by financing
Cash received as investment
Cash received as loans 750,000,000.00
Cash received from bond placing
Other financing –related cash received
Subtotal of cash inflow from financing
750,000,000.00
activities
Cash to repay debts
Cash paid as dividend, profit, or
110,604,327.83 99,401,866.79
interests
Other financing –related cash received 3,000,000.00 3,000,000.00
Subtotal of cash outflow due to
113,604,327.83 102,401,866.79
financing activities
Net cash flow generated by financing -113,604,327.83 647,598,133.21
IV. Influence of exchange rate
-277,557.39 236,822.71
alternation on cash and cash equivalents
V.Net increase of cash and cash
-118,285,205.67 90,666,312.54
equivalents
Add：Balance of cash and cash
782,174,175.59 625,270,216.39
equivalents at the beginning of term
VI. Balance of cash and cash
663,888,969.92 715,936,528.93
equivalents at the end of term
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
43
7.Consolidated Statement of Changes in Owners‘ Equity
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
Amount in this period
In RMB
Amount of the current period
Owners‘ Equity attributable to Parent Company
Items Commo
Less: Speciali Total of owners‘
n risk Minor shareholders‘ equity
Share Capital Capital reserves Shares zed Surplus reserves Attributable profit Other equity
provisio
in stock reserve
n
I.Balance at the end of last year 1,257,117,748.00 1,642,975,989.81 233,750,778.75 1,104,154,555.90 814,745,363.37 5,052,744,435.83
Add: Change of accounting
policy
Correcting of previous errors
Other
II.Balance at the beginning of
1,257,117,748.00 1,642,975,989.81 233,750,778.75 1,104,154,555.90 814,745,363.37 5,052,744,435.83
current year
III.Changed in the current year -28,230,593.28 115,337,056.62 24,746,037.07 111,852,500.41
（I） Net profit 178,192,944.02 24,746,037.07 202,938,981.09
（II）Other misc.income -28,230,593.28 -28,230,593.28
Total of (I) and (II) -28,230,593.28 178,192,944.02 24,746,037.07 174,708,387.81
44
(III) Investment or decreasing
of capital by owners
1. Capital inputted by owners
2．Amount of shares paid and
accounted as owners‘ equity
3. Other
（IV）Profit allotment -62,855,887.40 -62,855,887.40
1.Providing of surplus reserves
2．Common risk provision
3. Allotment to the owners (or
-62,855,887.40 -62,855,887.40
shareholders)
4. Other
(V) Internal transferring of
owners‘ equity
1. Capitalizing of capital
reserves (or to capital shares)
2. Capitalizing of surplus
reserves (or to capital shares)
3．Making up losses by surplus
reserves.
4. Other
(VI) Special reserves
1. Provided this year
2．Used this term
(VII).Other
45
IV. Balance at the end of this
1,257,117,748.00 1,614,745,396.53 233,750,778.75 1,219,491,612.52 839,491,400.44 5,164,596,936.24
term
Amount in last year
In RMB
Amount in last year
Owner‘s equity Attributable to the Parent Company
Items Commo
Less: Speciali Total of owners‘
n risk Minor shareholders‘ equity
Share Capital Capital reserves Shares zed Surplus reserves Attributable profit Other equity
provisio
in stock reserve
n
I.Balance at the end of last year 1,257,117,748.00 1,738,758,715.57 204,691,882.55 1,068,291,617.75 843,602,412.35 5,112,462,376.22
Add：Business
combinationinvolving entities
under common control
Add: Change of accounting
policy
Correcting of previous errors
Other
II.Balance at the beginning of
1,257,117,748.00 1,738,758,715.57 204,691,882.55 1,068,291,617.75 843,602,412.35 5,112,462,376.22
current year
III.Changed in the current year -95,782,725.76 29,058,896.20 35,862,938.15 -28,857,048.98 -59,717,940.39
（I） Net profit 127,777,721.75 -27,727,676.97 100,050,044.78
（II）Other misc.income -95,782,725.76 -95,782,725.76
Total of (I) and (II) -95,782,725.76 127,777,721.75 -27,727,676.97 4,267,319.02
(III) Investment or decreasing 23,462,100.00 23,462,100.00
46
of capital by owners
1. Capital inputted by owners 23,462,100.00 23,462,100.00
2．Amount of shares paid and
accounted as owners‘ equity
3. Other
（IV）Profit allotment 29,058,896.20 -91,914,783.60 -24,591,472.01 -87,447,359.41
1.Providing of surplus reserves 29,058,896.20 -29,058,896.20
2．Common risk provision
3. Allotment to the owners (or
-62,855,887.40 -24,591,472.01 -87,447,359.41
shareholders)
4. Other
(V) Internal transferring of
owners‘ equity
1. Capitalizing of capital
reserves (or to capital shares)
2. Capitalizing of surplus
reserves (or to capital shares)
3．Making up losses by surplus
reserves.
4. Other
(VI) Special reserves
1. Provided this year
2．Used this term
(VII).Other
IV. Balance at the end of this 1,257,117,748.00 1,642,975,989.81 233,750,778.75 1,104,154,555.90 814,745,363.37 5,052,744,435.83
47
term
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
8.Parent statement of Changes in Owners‘ Equity
Prepared by:：Guangdong Provincial Expressway Development Co., Ltd.
Amount in this period
In RMB
Amount of the current term
Less： Common
Items Specialized
Practical capital collected Capital reserves Shares in Surplus reserves risk Attributable profit Total of owners‘ equity
reserve
stock provision
I.Balance at the end of last year 1,257,117,748.00 1,643,124,130.56 233,750,778.75 1,085,491,632.83 4,219,484,290.14
Add: Change of accounting
policy
Correcting of previous errors
Other
II.Balance at the beginning of
1,257,117,748.00 1,643,124,130.56 233,750,778.75 1,085,491,632.83 4,219,484,290.14
current year
III.Changed in the current year -28,230,593.28 42,045,502.66 13,814,909.38
（I） Net profit 104,901,390.06 104,901,390.06
48
（II）Other misc.income -28,230,593.28 -28,230,593.28
Total of (I) and (II) -28,230,593.28 104,901,390.06 76,670,796.78
(III) Investment or decreasing of
capital by owners
1. Capital inputted by owners
2．Amount of shares paid and
accounted as owners‘ equity
3. Other
（IV）Profit allotment -62,855,887.40 -62,855,887.40
1.Providing of surplus reserves
2．Common risk provision
3. Allotment to the owners (or
-62,855,887.40 -62,855,887.40
shareholders)
4. Other
(V) Internal transferring of
owners‘ equity
1. Capitalizing of capital reserves
(or to capital shares)
2. Capitalizing of surplus
reserves (or to capital shares)
3．Making up losses by surplus
reserves.
4. Other
(VI) Special reserves
1. Provided this year
49
2．Used this term
(VII).Other
IV. Balance at the end of this
1,257,117,748.00 1,614,893,537.28 233,750,778.75 1,127,537,135.49 4,233,299,199.52
term
Amount in last year
In RMB
Amount of last year
Less： Common
Items Specialize
Practical capital collected Capital reserves Shares in Surplus reserves risk Attributable profit Total of owners‘ equity
d reserve
stock provision
I.Balance at the end of last year 1,257,117,748.00 1,738,906,856.32 204,691,882.55 886,817,454.46 4,087,533,941.33
Add: Change of accounting
policy
Correcting of previous errors
Other
II.Balance at the beginning of
1,257,117,748.00 1,738,906,856.32 204,691,882.55 886,817,454.46 4,087,533,941.33
current year
III.Changed in the current year -95,782,725.76 29,058,896.20 198,674,178.37 131,950,348.81
（I） Net profit 290,588,961.97 290,588,961.97
（II）Other misc.income -95,782,725.76 -95,782,725.76
Total of (I) and (II) -95,782,725.76 290,588,961.97 194,806,236.21
(III) Investment or decreasing of
capital by owners
1. Capital inputted by owners
50
2．Amount of shares paid and
accounted as owners‘ equity
3. Other
（IV）Profit allotment 29,058,896.20 -91,914,783.60 -62,855,887.40
1.Providing of surplus reserves 29,058,896.20 -29,058,896.20
2．Common risk provision
3. Allotment to the owners (or
-62,855,887.40 -62,855,887.40
shareholders)
4. Other
(V) Internal transferring of
owners‘ equity
1. Capitalizing of capital reserves
(or to capital shares)
2. Capitalizing of surplus
reserves (or to capital shares)
3．Making up losses by surplus
reserves.
4. Other
(VI) Special reserves
1. Provided this year
2．Used this term
(VII).Other
IV. Balance at the end of this
1,257,117,748.00 1,643,124,130.56 233,750,778.75 1,085,491,632.83 4,219,484,290.14
term
51
Legal Representative:Zhu Zhanliang Person in charge of accounting：Xiao Laijiu
Mr. Yun Junwu, Chief financial Officer Accounting Dept Leader: Liu Xiaomei
52
III. Company Profile
(1).History
The Company was established in February 1993, which was originally named as Guangdong Fokai Expressway
Co., Ltd. On June 30, 1993, it was renamed as Guangdong Provincial Expressway Development Co., Ltd. after
reorganization pursuant to the approval of the Office of Joint Examination Group of Experimental Units of Share
Holding System with YLSB (1993)No. 68 document. The share capital structure after reorganization is as follows:
Composition of state-owned shares: The appraised net value of state-owned assets of Guangdong Jiujiang Bridge
Co. and Guangfo Expressway Co., Ltd. as of January 31, 1993 confirmed by Guangdong State-owned Asset
Management Dept., i.e.,RMB 418.2136 million, was converted into 155.025 million shares. Guangdong
Expressway Co. invested cash of RMB 115 million to subscribe for 35.9375 million shares. Other legal persons
invested cash of RMB 286.992 million to subscribe for 89.685 million shares. Staff of the Company invested
RMB 87.008 million to subscribe for 27.19 million shares. The total is RMB 307.8375.
2． Pursuant to the approval of Guangdong Economic System Reform Committee and Guangdong Securities
Regulatory Commission with YTG (1996) No. 67 document, part of the shareholders of non-state-owned legal
person shares transferred 20 million non-state-owned legal person shares to Malaysia Yibao Engineering Co., Ltd.
in June 1996.
3. Pursuant to the approval of Securities Commission under the State Council with WF (1996) No. 24 approval
document and that of Guangdong Economic System Reform Committee with YTG (1996) No. 68 document, the
Company issued 135 million domestically listed foreign investment shares (B shares) to overseas investors at the
price of HKD 3.54 (equivalent to RMB 3.8) with the par value of each share being RMB 1 during June to July
1996.
4. Pursuant to the reply of the Ministry of Foreign Trade and Economic Cooperation of the People‘ s Republic of
China with (1996) WJMZYHZ No. 606 document, the Company was approved to be a foreign-invested joint
stock company limited.
5．The Company distributed dividends and capitalized capital common reserve for the year 1996 in the following
manner: The Company paid 1.7 bonus shares f or each 10 shares and capitalized capital common reserve on
3.3-for-10 basis.
6. Pursuant to the approval of China Securities Regulatory Committee (CSRC) with ZJFZ (1997) No. 486 and No.
487 document, the Company issued 100 million public shares (A shares) at the price of RMB 5.41 in term of
―payable in full on application, pro-rate placing and subject to refund‖ with the par value of each share being
RMB 1 in January 1998.
7．In accordance with the Resolutions of the 1999 Shareholders‘ General Meeting of the Company and pursuant to
the approval of Guangzhou Securities Regulatory Office under CSRC with GZZJH (2000) No. 99 and that of
CSRC with ZJGSZ (2000) No. 98, the Company offered 3 Rights for every 10 shares of 764.256249 million
shares at the price of RMB 11 per Right.73,822,250 ordinary shares were actually placed to all
53
8. Pursuant to the reply of the General Office of the People‘ s Government of Guangdong Province with YBH
(2000) No. 574 document, the state-owned shares were transferred to Guangdong Communication Group Co., Ltd.
(Group Co.) for holding and management without compensation.
9.Pursuant to the approval of Shenzhen Stock Exchange, 53.0205 million staff shares of the Company (132,722
shares held by directors, supervisors and senior executives are temporarily frozen) were listed on February 5,
2001.As of June 30, 2013, the quantity of the shares subject to sale restriction held by senior executives is
156,442.
10.In accordance with the resolutions of 2000 annual shareholders‘ general meeting, the Company capitalized
capital common reserve into 419,039,249 shares on 5-for-10 basis with the total share capital as of the end of 2000,
i.e., 838,078,499 shares as base. The date of stock right registration was May 21, 2001. The ex-right date was May
22, 2001.
11．On March 8, 2004,As approved by China Securities Regulatory Commission by document
Zheng-Jian-Gong-Si-Zi [2003]No.3, the 45,000,000 non-negotiable foreign shares were placed in Shenzhen Stock
12. On December 21, 2005, the Company's plan for share holding structure reform was voted through at the
shareholders' meeting concerning A shares. On January 26 2006, The Ministry of Commerce of PRC issued ―The
approval on share converting of Guangdong Provincial Expressway Development Co., Ltd.‖ to approve the share
equity relocation and transformation. On October 9 2006, according to the ―Circular about implementing of share
equity relocation and relative trading‖ issued by Shenzhen Stock Exchange, the abbreviation ID of the
Company‘s A shares was restored from ―G-Expressway‖ ―Expressway A‖.
(2)Organization structure and the actual controller of the Company
As of June 30, 2014，Registration capital :RMB1,257,117,748，Legal representative：Zhu Zhanliang，Registration
place:No.85, Baiyun Road, Guangzhou, Headquarters Office: 45-46/F, Litong Plaza, No.32, Zhujiang East Road,
Zhujiang New City, Tihe Disrtict , Guangzhou，The company has set up: Investment Development Dept, Security
Affairs Department, Management Department, Financial Management Department, Base construction Department,
Audit and Supervise Department, Affairs Department, Personnel Department , Party Work Department, Law
affairs Department and Labour union etc.
Guangdong Communication Group Co., Ltd. is the largest shareholder of the Company. legal representative: Li
Jing. Date of establishment: June 23, 2000. As of June 30, 2014,Registered capital: RMB 26.8 billion. It is a solely
state-owned limited company. Business scope：equity management, organization of asset reorganization and
optimized allocation, raising funds by means including mortgage, transfer of property rights and joint stock
system transformation, project investment, operation and management, traffic infrastructure construction, highway
and railway project operation and relevant industries, technological development, application, consultation and
services, highway and railway passenger and cargo transport, ship industry, relevant overseas businesses（if the
above mentioned business scope requires licenses to operate, then operation licenses are required）..
（3）The companys main business and share ,Holding company
The Company is mainly engaged in the investment, construction, charge collection, maintenance and operation
management concerning expressways, high-grade highways, bridges, tunnels, pipelines and other traffic
infrastructures, R&D, sales and services concerning highway communication system, monitoring system, charge
collection system and information network supporting the said business, investment consultation and services
concerning traffic and transportation projects. (Subject to special national regulations).
54
The Company is mainly engaged in tolling and maintenance of Guangfo Expressway, Fokai Expressway and
Jiujiang Bridge, investment in technological industries and provision of relevant consultation while investing in
Shenzhen Huiyan Expressway Co., Ltd., Guangdong Maozhan Expressway Co.,Ltd, Guangzhou Guanghui
Expressway Co., Ltd.,Jingzhu Expressway Guangzhu Co., Ltd.,Guangdong Jiangzhong Expressway Co., Ltd.,
Zhaoqing Yuezhao Expressway Co., Ltd.,Ganzhou Kangda Expressway , Ganzhou Gankang Expressway Co.,
Ltd.，Guangzhou Guangle Expressway Co., Ltd. ,Guangdong Yueke Technology Petty Loan Co., Ltd.and Asia
Kitchen & Bath City Co., Ltd invest by the Companys subsiduary company Fokai Expressway.
IV. Principal accounting policies, accounting estimates and early errors
1.Basis for Preparing the Financial Statements
The company prepares the financial statements on the basis of a continuous operation, the actual
transactions, ―Accounting Standards for Enterprises – Basic Standards‖, other accounting standards & related
regulations. Furthermore, all the materials of financial statements of the company meet the relevant disclosure
requirements of financial statements and notes on the ―Editing and Reporting Rules Regarding Information
Disclosure for Companies Publicly Issuing Securities No. 15 – General Provisions of Financial Statements‖
promulgated and revised by China Securities Regulatory Commission in 2010.
2. Statement on the Accounting Standard Followed by the Company
The financial statements prepared by the Company comply with the requirements of corporate accounting
standards. They truly and completely reflect the financial situations, operating results, equity changes and cash
flow, and other relevant information of the company.
3.Fiscal Year
The Company adopts the Gregorian calendar year commencing on January 1 and ending on December 31 as the
fiscal year.
4.Standard currency for bookkeeping
The Company takes RMB as the standard currency for bookkeeping.
5.Accountings for Business Combinations under the Same Control & Business Combinations not under the Same
Control
(1).Business Combinations under the Same Control
The assets and liabilities that the company obtains in a business combination shall be measured on the basis of
their carrying amount in the combined party on the combining date. As for the balance between the carrying
amount of the net assets obtained by the combining party & the carrying amount of the consideration paid by it (or
the total par value of the shares issued), the additional paid-in capital shall be adjusted. If the additional paid-in
capital is not sufficient to be offset, the retained earnings shall be adjusted.
The direct costs for the business combination of the company, including the expenses for audit, assessment and
legal services, shall be recorded into the profits & losses at the current period.
55
The handling fees, commissions & other expenses for the issuance of equity securities for the business
combination shall be credited against the surplus of equity securities; if the surplus is not sufficient, the retained
earnings shall be offset.
Where the accounting policies adopted by the combined parties are different from those adopted by the company,
the company shall adjust them on the combining date according to the accounting policy it adopts, and shall,
pursuant to the Accounting Standards for Enterprises, recognize them on the basis of such adjustments.
(2). Business Combinations not under the Same Control
The assets paid as the consideration for the business combination & the liabilities assumed on the acquisition date
shall be measured in accordance with the fair value. The difference between the fair value & its carrying amount
shall be recorded into the profits & losses at the current period.
The company will distribute the combination costs on the acquisition date.
The company shall recognize the positive balance between the combination costs & the fair value of the
identifiable net assets it obtains from the acquire as Goodwill while it shall record the negative balance between
the combination costs & the fair value of the identifiable net assets it obtains from the acquire into the profits &
losses of the current period.
As for the assets other than intangible assets acquired from the acquire in a business combination (not limited to
the assets which have been recognized by the acquire), if the economic benefits brought by them are likely to flow
into the enterprise and their fair values can be measured reliably, they shall be separately recognized and measured
in light of their fair values. As for any intangible asset acquired in a combination, if its fair value can be measured
reliably, it shall be separately recognized as an intangible asset and shall measured in light of its fair value. As for
the liabilities other than contingent liabilities acquired from the acquire, if the performances of the relevant
obligations are likely to result in any out-flow of economic benefits from the enterprise, and their fair values can
be measured reliably, they shall be separately recognized and measured in light of their fair values. As for the
contingent liabilities of the acquire obtained in a combination, if their fair values can be measured reliably, they
shall be separately recognized as liabilities and shall be measured in light of their fair values.
6.Methods for Preparing the Consolidated Financial Statements
(1) Methods for Preparing the Consolidated Financial Statements
The scope of the consolidated financial statements will be recognized on the basis of controlling. All the
subsidiaries will be included into the consolidated financial statements.
The accounting policies & accounting periods adopted by all the subsidiaries that have been included into the
scope of the consolidated financial statements should be consistent with those adopted by the company. If the
accounting policies & accounting periods adopted by the subsidiaries are different from those adopted by the
company, the company shall make necessary adjustments according to the accounting policies & accounting
periods it adopts when preparing the consolidated financial statements.
After adjusting the long-term equity investments on its subsidiaries according to the equity method, the company
shall prepare the consolidated financial statements based on the financial statements of the company & its
subsidiaries, and other related documents.
56
The influences of the internal transactions between the company & its subsidiaries, and its subsidiaries themselves
on the consolidated balance sheet, consolidated profit statement, consolidated cash flow statement &
consolidated statement of changes in owner‘s equity will be counteracted at the preparation of the consolidated
financial statements.
The portion of a subsidiary‘s equity that is not attributable to the parent is treated as minority shareholders‘
interest and presented as ―minority interest‖ in the consolidated balance sheet within owners‘ equity. The portion
of net profits or losses of subsidiaries for the period attributable to minority interest is presented in the
consolidated income statement below the ―net profit‖ line item as ―minority interest‖. In the consolidated financial
statements, when the amount of loss for the period attributable to the minority shareholders of a subsidiary
exceeds the minority shareholders‘ portion of the opening balance of owners‘ equity of the subsidiary, the excess
amount should be still allocated against minority interest.
In the report period, If the subsidiary is added through the business combination under the same control, the
beginning balance of the consolidated balance sheet shall be adjusted. The incomes, expenses & profits of the
subsidiary incurred from the beginning of the current period to the end of the reporting period shall be included
into the consolidated profit statement. The cash flow from the beginning of the current period to the end of the
reporting period shall be included into the consolidated cash flow statement.
In the report period, If the subsidiary is added through the business combination not under the same control, the
beginning balance of the consolidated balance sheet shall not be adjusted. The incomes, expenses & profits of the
subsidiary incurred from the acquisition date to the end of the reporting period shall be included into the
consolidated profit statement. The cash flow from the acquisition date to the end of the reporting period shall be
included into the consolidated cash flow statement.
For purchase of minority interests held by the minority shareholders of a subsidiary, when preparing the
consolidated financial statements, the difference between the long-term equity investment newly gained by buying
minority interests and the portion of net assets consistently calculated from the acquisition date (or the
consolidation date) pursuant to newly added shareholding percentage entitled by the subsidiary should be adjusted
to the owners‘ equity (the capital reserve). If the capital reserve is not sufficient to absorb the difference, any
excess is adjusted against retained earnings.
In the report period, If the company disposes its subsidiary, the incomes, expenses & profits incurred from the
beginning of the subsidiary to the disposal date shall be included into the consolidated profit statement. The cash
flow from the beginning of the subsidiary to the disposal date shall be included into the consolidated cash flow
statement.
（2）Accounting treatment when the share equity of the same subsidiary is purchased and sold, or sold
andsurchased in successively two years.
7. Recognition Standard of Cash & Cash Equivalents
The company recognizes its cash in vault & the deposits that are ready for payment at any time as cash when
preparing the cash flow statement.which are featured with short term (expire within 3 months since purchased),
57
high liquidity, easy to convert to know cash, low in risk of value change, could be recognized as cash equivalents.
Equity investment are not recognized as cash equivalents.
8.Foreign Currency Transaction and foreign currency convert
(1)Foreign Currency Transaction
(2) Foreign currency convert
The foreign currency transaction uses the spot rate at the time of the transaction as the exchange rate to convert
the currency into CNY for keeping account.
The balances of the foreign currency monetary items shall be converted according to the spot rate on the balance
sheet date. Except that the exchange balances on the foreign currency borrowings for expenses on the assets
eligible for capitalization shall be dealt according to the principle of loan expense capitalization, all the other
exchange balances shall be included into the profits & losses at the current period. The foreign currency
non-monetary items measured in historical costs shall still be converted according to the spot rate at the time of
the transaction. Their account standard money amounts shall not be changed. The foreign currency non-monetary
items measured in fair values shall be converted according to the spot rate on the recognition date of the fair
values. The exchange balances incurred accordingly shall be recorded into the profits & losses at the current
period or the additional paid-in capital.
9.Financial tools
1. Categories of financial Tools
The Company divides the financial assets into four categories: financial assets measured at fair value and their
variations are recognized as current gain/loss, including trade financial assets or financial liabilities and
recognized directly as financial assets measured at fair value and their variations are recognized as current
gain/loss; Investment hold till expiration; loans and account receivable; saleable financial assets .The company
divides the financial liabilities into two categories: financial liabilities measured at fair value and their variations
are recognized as current gain/loss; other financial liabilities.
2. Recognition and measurement of financial tools
(1) Financial assets and liabilities measured at fair value and their variations are recognized as current gain/loss
The fair value (after deducting of announced but not distributed cash dividend or due but not obtained bond
interests) is recognized as initial amount when obtained.
Interests or cash dividends during the period of holding are recognized as investment gains. The fair value will be
adjusted and accounted as current gain/loss.
When disposed, the differences between fair value and initial amount are recognized as investment gains, and thus
adjust the gain/loss of fair value.
(2) Investment hold till expiration
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The fair value (after deducting of due but not obtained bond interests) plus the related trade expenses is
recognized as initial amount when obtained.
Interest gains will be calculated at amortizing of costs and actual interest rate (the face rate is adopted when the
difference between the actual rate and face rate is minor) during the period of holding, and accounted as
investment gains. Actual rate is recognized when obtained, and is not changed in the predictable holding period or
applicable shorter period.
When disposed, the difference between the obtained price and book value is accounted as investment gains.
If the company sells or reclassifies large-amount due investments before the expired date (large amount refers to
comparing with the amount before the selling or reclassifying the investments), the company will reclassify the
rest of the investments as financial assets for sale, and in the current accounting period or within two complete
accounting years, no financial assets will be classified as holding due assets, except for the following situations:
the sale date or reclassification date is close to the expired date of the investment (such as three months before the
expired), and the change of interest rate has no significant influence on the fair value of the investment; after all
the initial principal is mostly recovered according to periodic payments or repay in advance regulated in the
contract, the rest part will be sold or reclassified; the sale and reclassification is caused by the independent events
which are uncontrollable and unexpected and will not happen any more.
(3) Account receivable
The receivable debts of selling goods or providing services, and the credits of other company hold by the
company not including the debt which has price in active market, including accounts receivable, notes receivable,
prepaid accounts, other receivables, long-term receivables, etc. The contract or agreement price charging from
purchaser should be taken as the initial confirmation amount; if it has the nature of financing, it should be
confirmed according its current value.
When retrieved or disposed of, the difference between the actual received amount and the book value is accounted
as current gain/loss.
(4) Saleable financial assets
The fair value (after deducting of announced but not distributed cash dividend or due but not obtained bond
interests) plus the related trade expenses is recognized as initial amount when obtained.
Interest or cash dividend occurred during the period of holding is recognized as investment gains. Change of fair
value is accounted as capital reserves (other capital reserves) at the end of term.
When disposed, the difference between the obtained price and book value is accounted as investment gains.
Meanwhile, the corresponding part of accumulated change of fair value accounted as owners‘ equity is transferred
into investment gain/loss.
(5) Other financial liabilities
Other financial liabilities are recognized initially at the sum of fair value and related trade expenses. Successive
measurement will be on the basis of amortized costs.
3. Recognition and measurement basis of financial asset transposition
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When financial asset transposition occurred, the recognition of this particular financial asset is terminated if
almost all risks and rewards attached to the asset have been transferred to the acceptor. If retain all the risks and
rewards of ownership of financial assets, the financial assets can be confirmed.
When determine whether the transfer of financial assets meet the conditions of confirmation of the above financial
assets, the principle of substance being more important than form should be adopted. The transfer of financial
assets can be divided into overall transfer and part transfer of financial assets. If the transfer of financial assets
meet the conditions of terminating confirmation, the following the difference of the two amounts will be included
in the current profit and loss:
(1) Book value of the financial asset to be transposed;
(2) The sum of price received due to the transposition, and the accumulation of change in fair value originally
accounted as owners equity (when the asset to be transposed is saleable financial asset).
If part transfer of financial assets meet the conditions of terminating confirmation, the book value of the
transferred financial assts, the difference between the confirmed part and the unconfirmed part (in this case, the
service assets retained should be deemed as the part of unconfirmed financial assets), should be amortized in
accordance with their relative fair value, and the difference between the following two amount should be included
current profit and loss: ① Book value of the confirmed part; ②All fair values of financial assets and financial
liabilities are recognized with reference to the price in the active market.
If the transfer of financial assets does not meet the conditions of terminating confirmation, the financial assets
should be confirmed again, the prices received will recognized as financial liabilities.
4.The conditions to stopping the financial liabilities
The obligation of financial liabilities are already cancelled which should be stopped confirming the financial
liability or the part of it. Our company could stop confirming the currently financial liability and begin to confirm
the newly financial liability if the loaner made an agreement that they would assume the new way of financial
liability which replace the current one, and make sure the newly financial liability is totally different from the old
one in contract with our company.
Stop admitting the financial liability or a part of it, and at mean time we could admit the newly financial liability
which is in new insertions of contract as the newly financial liability if the current financial liability has been
revised.
Stop admitting the balance of value of financial liability and consideration (Including the roll-out of non-cash
assets or financial liabilities) which could be consider as current profits and losses.
Stop and continue admitting a part of value, and distribute the value of financial liability, if our company
repurchased the part of financial liability. And the balance of value of which distributed to the part of stopping
admitting and paid (Including the roll-out of non-cash assets or financial liabilities) which could be consider as
current profits and losses.
5.Recognition basis of financial assets and financial liabilities
All fair values of financial assets and financial liabilities are recognized with reference to the price in the active
market（Using valuation technique, etc）.
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6. Impairment provision for financial assets
①Impairment provision for financial assets for sale:
If the fair value of financial assets for sale greatly drops at the end of the period, or after considering all the
relevant factors and expecting decrease trend is non-temporary, the impairment should be confirmed, and the
accumulative loss formed by the decrease of fair value of owner‘s equity originally included should be transferred
out altogether and confirmed as impairment loss.
②Holding the impairment provision of expired investments:
The measurement of holding the impairment provision of expired investment will be according to the method of
the measurement of impairment provision for receivables.
Various recognition standards of various kinds of available for sale financial assets impairment
（7）If investment held to mature is recztegorized to sellable financial assets, please state the intention or
evidence of change incapability .
10 Accounts receivable
(1)Accounts receivable with material specific amount and specific provisioned bad bebt preparation.
The accounts receivable whose single amount is over RMB 1
Judgment criteria or amount standard of material specific amount or million & accounts for over 10% of the accounts receivable
amount criterial： amount.
Conduct the devalue test separately. Set up the bad debt
reserve according to the shortfall of the present value of
Provision method with material specific amount and provision of
expected future cash flows against its carrying amount and
specific bad debt preparation：
record it into the profits & losses at the current period.
(2.) The accounts receivable of bad debt provisions made by Group
Name Method Recognition basis of credit risk feature portfolio：
The accounts receivable whose single amount is over RMB 1
The adopting aging analysis million & accounts for over 10% of the accounts receivable
method amount. the accounts receivable under 5 years of age which are
not significant without any business connections any more.
In Group, the adopting aging analysis method
√Applicable□Not applicable
Reserve proportion for account
Aging account Reserve proportion for other receivables (%)
receivable (%)
Within 1 year (including 1 year) 0.00% 0.00%
1－2 years 10.00% 10.00%
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2－3 years 30.00% 30.00%
3－4 years 50.00% 50.00%
4－5 years 90.00% 90.00%
Accounts on percentage basis in group
□ applicable √not applicable
Accounts on other basis in group
√Applicable □ not applicable
Name Mechod
Conduct the devalue test separately. Set up the bad debt reserve according to
the shortfall of the present value of expected future cash flows against its
carrying amount and record it into the profits & losses at the current period.
（3）Recognition Standard and Counting & Drawing Method of Bad Debt Reserves for the Accounts Receivable Whose Single
Amount Is not Significant
The accounts receivable under 5 years of age which are not significant without any
Reason business connections any more.
Conduct the devalue test separately. Set up the bad debt reserve according to the
Mechod shortfall of the present value of expected future cash flows against its carrying
amount and record it into the profits & losses at the current period.
11.Inventories
1.Investories class: The company‘s stocks can be classified as: raw materials, inventory goods, low-value
consumables & other materials, etc.
2. Valuation method of inventory issued :The company calculates the prices of its inventories according to the
weighted averages method or the first-in first-out method.
3. Recognition Basis of Inventories‘ Net Realizable Values and Counting & Drawing Method of Obsolete
Inventory Reserves:After taking stock at the end of the period,
4. Inventory System:Adopts the Perpetual Inventory System
5.Amortization method of consumption goods with low value and wrap page
Consumption goods with low value
Consumption goods with low value adopt one time amortization method when used.
Packing
Amortization method：
12.Long-term equity investment
1. Initial measurement
（1）Long-term equity investment formed by Consolidation
For Consolidation of enterprise under common control, merger cost is determined on equity combination basis.
For equity investment paid by the Company in terms of cash, non-monetary asset, undertaking of debts, or issuing
of equity securities, the initial cost will be the booking value of the long-term investment provided by the
enterprise to be merged at the day of consolidation. The differences between the initial investment cost of
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long-term investment and cash paid, the non-monetary asset transferred out or book value of debt undertaken and
the total face value of shares placed, is used to adjust the capital reserves. When the capital reserve is not enough
to cover the adjustment, the retained gains will be adjusted. All direct expenses attached to the Consolidation are
included in the gain/loss account of the current term.Business combination not under the same control: The
combination costs shall be the fair values, on the acquisition date, of the assets paid, the liabilities incurred or
assumed and the equity securities issued by the acquirer in exchange for the control on the acquiree & all relevant
direct costs incurred for the business combination. For a business combination realized by two or more
transactions of exchange, the combination costs shall be the summation of the costs of all separate transactions.
Where any future event that is likely to affect the combination costs is stipulated in the combination contract or
agreement, if it is likely to occur and its effects on the combination costs can be measured reliably, the amount
shall also be recorded into the combination costs. (2) Long-term equity investment obtained by other
ways.Long-term equity investment obtained by cash payment is recognized for initial investment cost according
to the price practically paid.
Long-term equity investment obtained by placing of equity stocks is recognized for initial investment cost at the
fair value of the stock.Long-term equity investment input by investors is recognized for initial investment cost
according to the investment contract or agreement (less the cash dividend or profit announced but not distributed).
However when the value in the contract or agreement is not fair value is not adopted.
The non-monetary asset exchange for a commercial real income and assets or the fair value other assets can be
reliably measured, the initial investment cost should be determined according to long-term equity investment
exchanged through the non-monetary asset exchange, unless there is evidence showing that for the fair value of
assets is more reliable; the non-monetary asset exchange which does not meet the above premises, the book value
of the exchanged assets to and the relevant fees and taxes to be paid should be the initial investment cost of the
long-term equity investment. The initial investment cost of the long-term equity investments obtained through
debt restructuring should be determined in accordance with fair value.
(2)Follow-up Measurements & Recognitions of Profits or Losses
(1)Cost basis is adopted in accounting of long-term equity investment without joint control or major influence,
and with no quotation in an active market, thus the fair value is not able to be reliably measured. Equity basis will
be adopted for the long-term equity investment with joint control or major influence.The long-term equity
investment that has joint control or significant influences over the invested entity shall be measured by employing
the equity method. If the initial cost is more than the investing enterprise' attributable share of the fair value of the
invested entity's identifiable net assets for the investment, the initial cost of the long-term equity investment may
not be adjusted. If the initial cost is less than the investing enterprise' attributable share of the fair value of the
invested entity's identifiable net assets for the investment, the difference shall be recorded into the profits & losses
at the current period.The treatment for the other changes of owner‘s equity besides net loss and profit of the unit
being invested: for the other changes of owners‘ equity besides net profit and loss of the unit being invested, when
shareholding ratio remains unchanged, the part shared or undertaken according to share ratio, the book value of
long-term equity investment should be adjusted, and at the same time, the capital surplus (other capital surplus).
（2）Recognition of Profits or Losses.Employing the cost method, besides acquiring the actual payment for
investing or the dividends / profits which have already been declared but not distributed yet, the company shall
recognize its current investment income by enjoying the dividends / profits declared to be distributed by the
invested entity.
The investment income Recognition by cost method is only limited to distribution of accumulated net profit after
the unit being invested receives investment, the part of profit and cash dividends more than the amount will be
regarded as initial investment cost recovery. The loss which should be confirmed to the unit being invested under
equity method should be treated in accordance with the following orders: First of all, deduct the book value of
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long-term equity investment. Second, if the book value of long-term equity investment can not be deducted, the
long-term equity value of the net value of the unit being invested should be further confirmed as investment loss
and used to deduct the book value of long-term receivables. Finally, after the above treatment, the additional
liabilities to be undertaken according to investment contract or agreement should be confirmed as expected
liability according to the expected liability and be concluded in the current investment loss. If the unit being
invested achieves profit in the following period, after deducting the unconfirmed liabilities, it should be treated
according to the adverse order as described above, the book value of the confirmed expected liabilities should be
deducted, the book value of the long-term equity investment and long-term equity of net assets of the unit being
invested should also be resumed, and at the same time, the investment income should be confirmed.
（3）Disposal of a long-term equity investment.On disposal of a long term equity investment, the difference
between the proceeds actually received and the carrying amount is recognized in profit or loss for the current
period. For a long-term equity investment accounted for using the equity method, any changes in the owners‘
equity of the investee other than net profits or losses included in the owners‘ equity of the investing enterprise,
shall be transferred to profit or loss for the current period on a pro-rata basis according to the proportion disposed
of.
(3.) Recognition Basis for the Joint Control & the Significant Influence over the Invested Entity
The control over an economic activity in accordance with the contracts and agreements, which does not exist
unless the investing parties of the economic activity with one an assent on sharing the control power over the
relevant important financial & operating decisions, shall be recognized as the joint control together with other
parties over the invested entity. The power to participate in making decisions on the financial & operating policies
of a company, but not to control or to do joint control together with other parties over the formulation of these
policies shall be recognized as the significant influence of the investing party on the invested entity.
(4). Test Method for Impairment and Counting & Drawing Method for Impairment Reserves
As to a long-term equity investment with no significant influence, if there is no offer in the active market for it
and its fair value cannot be reliably measured, its impairment loss shall be recognized according to the difference
between its carrying amount & the current value recognized by discounting the future cash flow according to the
current market return similar to the financial asset.Besides the business reputation formed by the business
combination, where the measurement results of the removable amounts show that the receivable amount of any
other long-term equity investment is lower than its carrying value, the difference shall be recognized as the
impairment loss.No matter whether there is any sign of possible assets impairment, the business reputation formed
by the business combination shall be subject to impairment test every year.Once any loss of the long-term equity
investment impairment is recognized, it shall not be switched back any more.
13.Commissioned loan
Commissioned loan should be accounted according to actual commissioned loan amount. Account receivable
interest rate according to the interest rate stipulated in commissioned loan.
Make overall inspection on the principal of commissioned loan on the balance sheet date, if there is evidence
showing that the principal of commissioned loan is higher than the recoverable amount, impairment provision
should be accounted on the commissioned loan.
14.Investment Real Estates
The term ―Investment real estates‖ refers to the real estates held for generating rentand/orcapital appreciation,
including the right to use any land which has already been rented, the right to use any land which is held and
prepared for transfer after appreciation & the right to use any building which has already been rented.
The company shall make a measurement to the investment real estate through the cost pattern.The company shall
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adopt the same depreciation policy as its fixed assets for the investment real estates measured by the cost
pattern-buildings for renting & the same amortization policy as its intangible assets for the right to use any land
for renting. Where any evidence shows that there is possible impairment, the recoverable amount of the fixed
assets shall be estimated. Where the tecoverable amount is lower than its carrying value, the corresponding
impairment loss shall be recognized. Once any loss of the investment real estate impairment is recognized, it
shall not be switched back any more.
15.Fixed assets
（1）Confirmation conditions of fixed assets
Fixed assets refer to physical assets owned for purpose of production, service providing, leasing or management,
and operation with service life of more than one year. Fixed assets are recognized when all of the following
conditions are satisfied：Financial benefits attached to the fixed asset is possibly inflowing to the Company;(2)
The cost of the fixed asset can be reliable measured.
（2）Cognizance evidence and pricing method of financial leasing fixed assets
Provision for depreciation of highways and bridges is made with work amount method. Estimatednet residual
value rate is zero. Estimated useful life is determined according to the period of peration right in respect of charge
collection. The concrete calculation method is as follows: The amount of provision for depreciation per standard
vehicle traffic volume is to be calculated based on the estimated total standard vehicle traffic volume within
expected useful life of highways and bridges and the original value or book value of highways and Bridges. Then
provision for depreciation is made according to the actual standard vehicle traffic volume in each fiscal period.
The company regularly rechecks the estimate total standard vehicle traffc volume withintheremaining operation
period of highways and bridges. When there is big difference between actual standard vehicle traffic volume and
estimated standard vehicle traffic volume, the Company will re-estimate future total standard vehicle traffic
volume and adjust the provision for depreciation per standard vehicle traffic volume to ensure that the book value
of relevant highways and bridges will be completely amortized within useful life.
（3）Fixed assets depreciation method
The company adopts the straight line method for the depreciation of fixed assets excepthighways & bridges,
and recognizes the depreciation rate according to the fixed asset group, expected useful life & the expected net
salvage value rate.
Depreciable life
Classification of fixed asset Residual rate（%） Depreciation rate（%）
（Year）
Highway and Bridge
Including：Guangfo Expressway 28 years 0% Working flow basis
Fokai Expressway 30 years 0% Working flow basis
House Building 20-30 years 3%—10% 3%-4.85%
Machine Equipment 10 years 3%—10% 9%-9.7%
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Transportation Equipment 5-8 years 3%—10% 11.25%-19.4%
Electric Equipment and other equipment 5-15 years 3%—10% 6 %-19.4%
(4) Test Method for Fixed Asset Impairment and Counting & Drawing Method for Fixed Asset Impairment
Reserves
The company shall, at the end of each period, make a judgment on whether there is any sign of possible fixed
assets impairment.
Where any evidence shows that there is possible fixed assets impairment, the recoverable amount of the fixed
assets shall be estimated. The recoverable amount shall be determined in light of the higher one of the net amount
of the fair value of the fixed assets minus the disposal expenses & the current value of the expected future cash
flow of the fixed assets.
Where a fixed asset's recoverable amount is lower than its carrying value, the carrying value of the fixed asset
shall be recorded down to the recoverable amount, and the reduced amount shall be recognized as the loss of the
fixed asset impairment and be recorded into the profits & losses at the current period. Simultaneously, the fixed
asset impairment reserve shall be made accordingly.
After the loss of the fixed asset impairment has been recognized, the depreciation expense of the impaired fixed
asset shall be adjusted accordingly in the future period so as to amortize the post-adjustment carrying value of the
fixed asset systematically (deducting the expected net salvage value) within the residual service life of the fixed
asset.
Once any loss of the fixed asset impairment is recognized, it shall not be switched back in the future accounting
periods.
（5）Other
16.Construction-in process
1. Calculation of Construction-in-process
The constructions in process are classified & accounted according to the established projects.
2. Standard & Time Point for Carrying Constructions in Process Forward to Fixed Assets
All the expenditures that bring the construction in process to the expected condition for use shall be the credit
value of the fixed asset. If the fixed asset construction in process has already reached the expected condition for
use, but hasn‘t been made the final account; it shall be carried forward to a fixed asset according to its estimated
value based on the budget, cost or actual cost of the construction starting from the date when it reaches the
expected condition for use, and the fixed asset shall be depreciated according to the company‘s depreciation
policy for fixed assets. After the final account has been made, the original provisional estimated value shall be
adjusted according to the actual cost, but the depreciation which has originally been counted & drawn shall not be
adjusted.
3. Test Method for Construction-in-Process Impairment and Counting & Drawing Method
The company shall, at the end of each period, make a judgment on whether there is any sign of possible
constructions-in-process impairment.
Where any evidence shows that there is possible constructions-in-process impairment, the recoverable amount of
the constructions-in-process shall be estimated. The recoverable amount shall be determined in light of the higher
one of the net amount of the fair value of the constructions-in-process minus the disposal expenses & the current
value of the expected future cash flow of the constructions-in-process.
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Where a construction-in-process's recoverable amount is lower than its carrying value, the carrying value of the
construction-in-process shall be recorded down to the recoverable amount, and the reduced amount shall be
recognized as the loss of the construction-in-process impairment and be recorded into the profits & losses at the
current period. Simultaneously, the construction-in-process impairment reserve shall be made accordingly.
Once any loss of the construction-in-process impairment is recognized, it shall not be switched back in the future
accounting periods.
17.Loan expenses
(1) Recognition principles for capitalizing of loan expenses
Borrowing expenses occurred to the Company that can be accounted as purchasing or production of asset
satisfying the conditions of capitalizing, are capitalized and accounted as cost of related asset. Other borrowing
expenses are recognized as expenses according to the occurred amount, and accounted into gain/loss of current
term.
The assets meeting capital conditions refer to the fixed assets, investment real estates and inventories which
are constructed or produced in a long time to reach the predicted use or sale state.
When a loan expense satisfies all of the following conditions, it is capitalized:
1. Expenditures on assets have taken place, asset expenditures include the assets used to construct or produce the
assets which meet the capitalization conditions, and expend by cash or transferring non-cash assets or bearing
interest debt;
2. Loan costs have taken place;
3. The construction or production activities to make assets to reach the intended use or sale of state have begun.
(2) Duration of capitalization of Loan costs
The capitalization period refers to the period from starting capitalization of loan costs to the stop of capitalization,
the period of the break of capitalization of Loan costs is not included.
When the construction or production meets the intended use or sale of state of capitalization conditions, the Loan costs should stop
capitalization.
When the construction or production meets the conditions of capitalization and can be used individually, the
capitalization of the loan costs of the assets should be stopped.
Where each part of a asset under acquisition and construction or production is completed separately and is ready
for use or sale during the continuing construction of other parts, but it can not be used or sold until the asset is
entirely completed, the capitalization of the borrowing costs shall be ceased when the asset is completed entirely.
(3)Capitalization Suspension Period
Where the acquisition and construction or production of a qualified asset is interrupted abnormally and the
interruption period lasts for more than 3 months, the capitalization of the borrowing costs shall be suspended. If
the interruption is a necessary step for making the qualified asset under acquisition and construction or production
ready for the intended use or sale, the capitalization of the borrowing costs shall continue. The borrowing costs
incurred during such period shall be recorded into the profits & losses at the current period, till the acquisition and
construction or production of the asset restarts.
(4) Calculation of the amount of capitalization of Loan costs
Interest expense due to specialized Loan and its auxiliary expenses shall be capitalized before the asset which
satisfies the capitalizing conditions reaches its useable or saleable status.
Interest amount of common Loan to be capitalized equals to accumulated asset expense less weighted
average of specialized loan part of asset expense multiplies capitalizing rate of common Loan occupied.
Capitalizing rate is determined according to weighted average interest of common Loan.
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If the Loan has discount or premium, the discount or premium amount should be determined according to
actual interests in each accounting period. The interest amount should be adjusted in each period.
18.Intangible assets
1. The valuation methods of intangible assets
(1)The initial measurement is conducted according to the actual cost when the intangible assets are acquired
The cost of the purchased intangible assets includes its buying price, relevant tax and the othe expenses that
are directly attributed to this assets meeting its predetermined objective and other expenses that occur. The buying
price of intangible assets is over the deferred payment under normal credit conditions, which has the nature of
financing materially, the cost of intangible assets is determined on the basis of the present value of its buying
price.
We acquire the mortgaged intangible assets from debtors through debt restructuring and determine the entry
value on the basis of the fair value of the intangible assets,we have the balance between the book value of debt
restructuring and the fair value of intangible assets used for mortgage charged to the current profit and loss.
The entry value of the non-monetary assets exchanged into by the non-monetary assets are determined on the
basis of the fair value of the assets exchanged out if the exchange of non-monetary assets has commercial nature
and the assets exchanged into or out can be reliably measured, unless there is authentic evidence indicating that
the fair value of assets exchanged into are more reliable; if the non-monetary assets that cannot meet the above
prerequisite use the book value of the assets exchanged out and relevant taxes payable as the cost of the
non-monetary assets, the profit and loss is not confirmed.
The entry value of the intangible assets acquired by the absorption merger under the control of one company
is determined by the book value of the merged party;the entry value of the intangible assets acquired by the
absorption merger that is not under the control of one company is determined by the fair value.
The cost of the intangible assets developed internally includes the materials consumed in developing the
assets, cost of service, registration fees, other patent used in developing, amortization of concession and interest
charges meeting the capitalization conditions and othe direct costs that occur before the intangible assets
meeting the predetermined objective.
（2）Subsequent measurement
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The Company analyses and makes judgment of its serviceable life when acquiring the intangible assets.
The intangible assets that have limited serviceable life are amortized by the straight-line method during the
period when the assets can bring about economic interests;The intangible assets are deemed as uncertain
serviceable life and are not amortized if it is impossible to expect the period when the assets could bring about
economic interests.
2.Extimate of service life for the intangible assets with limited life
Items Amortisation periods Basis
3.The judgment basis of the intangible assets with indefinite life
4.Provision for the depreciation of value of the intangible assets
The intangible assets that have certain serviceable life are conducted at the ending with the test of
depreciation of value if the assets indicate obviously that those are depreciating
For conducting a test of depreciation of value of the intangible assets, it needs to estimate the recoverable
amount of the assets. The recoverable amount is determined by the higher between the net amount obtained
through the fair value of intangible assets minus settlement changes and the present value of the future cash flow
expected by the intangible assets.
When the recoverable amount of intangible assets is below their book value, the book value of intangible
assets is written down to the recoverable amount and the amount written down is confirmed as the loss of
depreciation of value of intangible assets and is charged to the current profit and loss, while the corresponding
provision for the depreciation of value of intangible assets is made.
The depletion of the depreciation of value of intangible assets or the amortization charge in the future period
will be adjusted accordingly after confirmation of the loss of the depreciation of value of intangible assets so that
it can systematically allocate the book value of intangible assets adjusted in the residual serviceable life of
intangible assets(deduction of anticipated net value).
Upon confirmation of the loss of the depreciation of value of intangible assets, the loss will not be reversed in
the subsequent accounting period any longer.
5.Recondition criterion for capitalization of cost of R& D (Research and development )
6.Accounting of internal R& D expenses
19.Long-term amortizable expenses
Long-term prepaid expenses refer to that enterprises have already spent, and amortization periods of all expenses
are more than one year (excluding 1 year), they should be amortized in the regulated years.
20.Bond payable
When the company is issuing bonds, the total price issued should be included in the ―Payable bonds‖ subject.
The difference between bond issuance total amount and the total amount of bond face valueshould be
worked as bond premium or discount and be amortized within the bond period according to actual interest rate
and vertical line method, and be treated according to borrowing costs described below。
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21.Revenues
（1）Recognition time for sales of goods
The toll income refers to the operation of toll Road fees, to actually collect revenues.
（2）Confirm the eveidence to provide labor income
The service started and completed in the same accounting year should be confirmed upon the completion of labor
income . if the beginning and completion of the service belongs to different accounting year. When the results of
providing service transaction can be reliably estimated, on the balance sheet date. The company should confirm
the relevant service income according to the completion percentage. When all the following conditions can be
met,the results of the transaction can reliably estimated:
(1) Total labor revenue and total labor costs can be reliably measured;
(2)The economic benefits relating to transactions will flow into the enterprise;
(3)The progress of completion of the service can be reliably identified.
22.Government subsidies
（1）Type
Government subsidies mean that the Company free of charge acquires the monetary assets and the non-monetary
assets. Government subsidies can be classified into capital-related government subsidies and earnings-related one.
（2）Accounting treatment
The purchasing of the fixed assets, intangible assets and other long-term assets related to government
subsidies are confirmed as deferred revenue, the revenue is in installments charged to the non-operating earnings
in accordance with the serviceable life of assets built or purchased.
The earning-related government subsidies that are used to compensate the relevant expenses or loss are
confirmed as deferred earnings when the subsidies are acquired, the deferred earnings are charged to the current
non-operating earnings; When the subsidies are used to compensate the relevant expenses or loss that occurred,
the subsidies are directly charged to the current non-operating earnings.
23.Deferred income tax assets and deferred income tax liabilities
1. References for confirmation of deferred income tax assets
The company is likely to determine the deferred income tax assets produced from deductible temporary
differences with the limit of offsetting the taxable income of temporary difference.
2.The confirmation basis of deferred income tax liabilities
The Company confirms the temporary differences of the taxable that is not paid in the current and prior
periods as the deferred income tax liabilities. However, the goodwill, the transactions formed from non-business
merger and those will affect either accounting profit or the temporary differences of the taxable income when the
transactions occur are not included in the deferred income tax liabilities.
70
24.Accounting Methods of Income tax
The company‘s income tax is accounted in Balance sheet liability approach.
The company recognizes the sum of current income tax and deferred tax as the income tax expenses(or income) in
the income statement on the basis of calculating and determining the income tax of the current period(namely
the current taxes payable) and the deferred tax (the deferred tax expenses or income ), but excluding the
effects of the business combination and the income taxes related to the transactions or events directly recorded
in the owner‘s rights and interests.
25.Change of main accounting policies and estimations
Is there any material change of accounting policies occurred in the year
√Yes □ No
On April 21st, the 2013 Annual General Meeting of the company approved the Proposal of Change in
Accounting Estimates and approved the change in accounting estimates of owned subsidiary Fokai Expressway
Co., Ltd.. It is approved that the company modify the depreciation period towards the reconstruction and
expansion project of Xiebian to Sanbao Section of Fokai Expressway since January 1, 2014, in which the
depreciation period has been extended to March 14, 2036. It is approved that the company implement depreciation
measures according to Fokai Expressway Traffic Estimates Report by Guandong Highway Design Institute Co.,
Ltd. provided to Guandong Fokai Expressway Co., Ltd. in 2013. The company will adopt prospective application.
The change in accounting estimate resulted in the current depreciation of fixed assets reduced RMB
71,742,958.53 compared with the original accounting estimates; the net profit increased RMB 53,807,218.90; Net
profit attributable to owners of the parent increased by RMB 40,355,414.17 .
（1）Change of accounting policies
Is there any change in accounting policies in the report period
□ Yes √ No
（2）Change of accounting estimations
Is there any change in accounting estimations in the report period
√Yes □ No
On April 21st, the 2013 Annual General Meeting of the company approved the Proposal of Change in
Accounting Estimates and approved the change in accounting estimates of owned subsidiary Fokai Expressway
Co., Ltd.. It is approved that the company modify the depreciation period towards the reconstruction and
expansion project of Xiebian to Sanbao Section of Fokai Expressway since January 1, 2014, in which the
depreciation period has been extended to March 14, 2036. It is approved that the company implement depreciation
measures according to Fokai Expressway Traffic Estimates Report by Guandong Highway Design Institute Co.,
Ltd. provided to Guandong Fokai Expressway Co., Ltd. in 2013. The company will adopt prospective application.
The change in accounting estimate resulted in the current depreciation of fixed assets reduced RMB
71,742,958.53 compared with the original accounting estimates; the net profit increased RMB 53,807,218.90; Net
71
profit attributable to owners of the parent increased by RMB 40,355,414.17 .
Detailed description
In RMB
Approval proces Name of the stat
The content and causes of the changes in accounting estimates Amount affected
s ement affected
The owned subsidiary Fokai Expressway Co. Ltd. had
change in accounting estimates. The company modify
the depreciation period towards the reconstruction an
d expansion project of Xiebian to Sanbao Section of F Shareholders' Ge Net profit
okai Expressway, in which the depreciation period has neral Meeting in attributable to
40,355,414.17
been extended to March 14, 2036. The company impl 2013 owners of the
ement depreciation measures according to Fokai Expre parent
ssway Traffic Estimates Report by Guandong Highwa
y Design Institute Co., Ltd. provided to Guandong Fok
ai Expressway Co., Ltd. in 2013.
26.Correction of accounting errors in previous period
Is there any accounting error with previous period found in the report period
□ Yes √ No
The company has no previous accounting error corrected in the report period.
（1）Retrospective restatement
Is there any retrospective restatement on the accounting error with previous periods done in the report term
□ Yes √ No
（2）Future adoption method
Is there any future adoption method apply able to accounting errors with previous period, found in the report
period.
□ Yes √ No
V. Taxation
1. Major category of taxes and tax retes
Tax category Tax basis Tax rate
Business tax Toll income 3%
City maintenance and construction tax Turnover tax. 7%、5%
Business tax Gains from rents 5%
Business tax Gains from sevice providing 5%
.Education surcharges Turnover tax. 3%
72
Local Education surcharges
Turnover tax. 2%
Defend expense Tax income 0.045%-0.96%
Income tax rate applicable to branches and factories
2.Preferential tax and approving documents
3.Other
Pay enterprise income tax according to Provisional Regulations of Enterprise Income Tax of PRC with Tax rate is
25%.
73
VI. Enterprise Consolidated and Consolidated Financial Statement
（I）Informationof subsidiaries
1.The subsidiary acquired through the establishment or investment and other means.
In RMB
The balance between current
losses assumed by minority
Amoun shareholders‘ deducted from
Balance of Wheth
t deduct
Regi The year end‘s other essenfaly Equity er Minority
Name of Business Registere from owners‘ equity belongs to parent
Type stered Operating scope actual amount of constituting net holdingVoting power consolidate shareholders‘
subsidiary nature d capital minority
address capital investment investment in percentage （%） financial equity
shareholders company and the minority
subsidiary statement
‘ equity
shareholders‘ attributable share of
owners‘ equity at the opening
balance
Investment in technical
industries and provision of
4/F,Expr
G relevant consulting services,
uangdon essway Technol
g research and development of
Holding Builidin ogy
Express lighting technology of City
way subsidia No.85 Investm 100,000
and Road, energy saving and 95,920,000.00 100.00% 100.00% Yes
Technol Baiyun, ent and ,000.00
ries
ogy storage technology,
Investm Yuexiu , Consult
ent Co., photovoltaic technology of
Guangz ation
Ltd. solar energy and production
hou
and sales of relevant products,
design, production, release
74
and agency of all kinds of
domestic and foreign
advertisements, construction
and maintenance management
of highway projects and
domestic trade. (excluding
gold, silver, motor vehicles
and dangerous chemicals)
Notes
2.The Subsidiary through business combination under the same control
In RMB
The balance between current
losses assumed by minority
Balance of Wheth Amount shareholders‘ deducted from
Regi The year end‘s other essenfaly Equity er deduct from
Name of Business Registere Minority owners‘ equity belongs to parent
Type stered Operating scope actual amount of constituting netholding Voting power consolidate minority
subsidiary nature d capital shareholders‘ equity
address capital investment investment in percentage （%） financial shareholders‘
company and the minority
subsidiary statement equity
shareholders‘ attributable share of
owners‘ equity at the opening
balance
Guangfo Holding
West Express Construction, tolling,
Expressw 200,000
ay Co., subsidia way maintenance and 242,151,386.98 75.00% 75.00% Yes 73,885,092.04
Shabei, ,000.00
Ltd. ries Manage management of Guangfo
75
Guangz ment Expressway, automobile
fueling, Form Hengsha
hou
Guangzhou to Foshan
xiebian，A total length of
15.7 km, salvage,
maintenance and cleaning
up.
Operation and
management of Fokai
Expressway and its
supporting facilities,
automobile salvage,
maintenance and
cleaning, supply of
No.83 automobile parts and
components, maintenance
Guangdon Holding Baiyun Express and management of
g Fokai subsidia Road,Yu 1,108,0
way Jiujiang Bridge of 2,930,851,165.7 765,606,308.4
Expressw 00,000. 75.00% 75.00% Yes
ries
ay Co., exiu, Manage Guangzhan Highway. 7 0
00
Ltd. ment Auto rescue and repair
Guangz
(operated by subsidiaries).
hou Sales of industrial capital
goods (excluding gold,
silver, motor vehicles and
dangerous chemicals),
construction materials,
department goods,
needles, textiles, metals,
cross-powers.
Notes
76
(2) Explanation to changes in scope of consolidation
Notes
N/A
□ Applicable √ not applicable
VII. Notes to the major items of consolidated financial statement
1.Monetary Capital
In RMB
Amount in year-end Amount in year-begin
Items Exchange Foreign Exchange
Foreign currency RMB RMB
rate rate
currency
Cash -- -- 46,514.67 -- -- 110,388.36
RMB -- -- 46,514.67 -- -- 110,388.36
Bank deposit -- -- 952,158,696.27 -- -- 975,162,633.84
RMB -- -- 952,092,150.11 -- -- 975,096,721.47
HKD 83,837.68 0.7938 66,546.16 83,833.44 0.7862 65,912.37
Other currency -- -- 817,307.76 -- -- 1,195,663.62
RMB -- -- 817,307.76 -- -- 1,195,663.62
Total -- -- 953,022,518.70 -- -- 976,468,685.82
Notes of Monetary fund has not these conditions such as usage limitation for mortgage, pledge or frozen fund,
stored overseas, with potential recovery risk.
2.Dividends receivable
In RMB
Whether the
Amount at year Increase at this Decrease at this Amount at period Reasons for not relevant funds
Items
beginning period period end being recovered have signs for
impairment
The dividends
receivable with
16,648,284.74 173,410,180.21 52,204,867.46 137,853,597.49
account age less
than one year
Including： -- -- -- -- -- --
The dividend of 16,648,284.74 68,290,318.11 16,648,284.74 68,290,318.11 Not paydividends No
77
Jingzhu
Expressway
Guangzhu Section
Co., Ltd.. in 2013
and 2012
The dividend of
Ganzhou Gankang Not paydividends
3,000,000.00 3,000,000.00 No
Expressway Co.,
Ltd.. in 2013 .
The dividend of
Shenzhen Huiyan
Not paydividends
Expressway Co., 60,000,000.00 35,000,000.00 25,000,000.00 No
Ltd.. in 2013 and
2012
The dividend of
Not paydividends
China Everbright 40,463,850.37 40,463,850.37 No
Bank in 2013
The dividend of
Guangdong Rodio
and Television
Networks
Not paydividends
investment No.1 1,656,011.73 556,582.72 1,099,429.01 No
Limited
partnership
enterprise
in 2013 and 2012.
Including： -- -- -- -- -- --
Total 16,648,284.74 173,410,180.21 52,204,867.46 137,853,597.49 -- --
Notes
3. Interest receivable
（1）Interest receivable
In RMB
Amount at year Increase at this period Decrease at this period Amount at period end
Items
beginning
Deposit interest
12,444.44 12,444.44 0.00
receivable
Total 12,444.44 12,444.44
4.Account receivable
78
(1)Classification accojunt receivables
In RMB
Amount in year-end Amount in year- begin
Book Balance Bad debt provision Book Balance Bad debt provision
Classification
Amount Proportion( Amount Proportion( Amount Proportion( Amount Proportion(%
%) %) %) )
Receivables with major
individual amount and bad
debt provision provided
individually receivables 90,018,530. 21,999,18
97.11% 78.38%
with major individual 96 2.39
amount and bad debt
provision provided
individually
Receivables provided bad debt provision in groups
Incl:account reveivables
on which bad debt 2,675,975.1 6,069,434
2.89% 170,201.80 6.36% 21.62% 170,201.80 2.80%
provisions are provided on 7 .78
age basis
2,675,975.1 6,069,434
Subtotal of group 2.89% 170,201.80 6.36% 21.62% 170,201.80 2.80%
7 .78
92,694,506. 28,068,61
Total -- 170,201.80 -- -- 170,201.80 --
13 7.17
Category explanation of accounts receivable
Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable √not applicable
Account reveivable on which bad debt proisions are provided on age basis in the group
□Applicable √not applicable
In RMB
Balance in year-end Balance in year-begin
Balance of book Balance of book
Age
Bad debt Bad debt
Propertion( Propertion(
Amount provision Amount provision
%) %)
Within 1 year
Including： -- -- -- -- -- --
Within 1year 973,957.16 36.40% 4,367,416.77 71.96%
1-2 years 1,702,018.01 63.60% 170,201.80 1,702,018.01 28.04% 170,201.80
79
Total 2,675,975.17 -- 170,201.80 6,069,434.78 -- 170,201.80
Receivable accounts on which had debt provisions are provided on percentage analyze basis in a portfolio
□Applicable √Not applicable
Receivable accounts on which had debt provisions are provided by other ways in the portfolio
□Applicable √Not applicable
Receivable accounts with minor amount but on which had debt provisions are provided individually at end of
period
□Applicable √Not applicable
（2）The front 5 units‘ information of account receivable
In RMB
Relation with the Portion in total other
Name Amount Ages
Company receivables (%)
Guangdong Union
Non-related parties
Electronic Services Co., 85,379,200.72 Within 1 year 92.11%
enterprise
Ltd.
Guangdong Expressay Controlled by the same
3,163,071.00 Within 1 year 3.41%
Co., Ltd.
parent company
Guangzhou Zhongqiu Non-related parties
1,476,259.24 Within 1 year 1.59%
Adverting Co., Ltd. enterprise
Guangzhou Xiehou
Non-related parties
Adverting Media Co., 450,000.00 Within 1 year 0.49%
enterprise
Ltd.
Huizhou Huidong
Non-related parties
International Furniture 436,000.00 1-2 years 0.47%
enterprise
Expo Co., Ltd.
Total -- 90,904,530.96 -- 98.07%
（3）Account receivable from Related parties
In RMB
Portion in total other receivables
Name Relation with the Company Amount
(%)
Guangdong Exprwssway Controlled by the same
3,163,071.00 3.41%
Co.,Ltd.
parent company
Guangdong Yangmao Controlled by the same
60,000.00 0.06%
Expressway Co., Ltd.
parent company
80
Guangdong Kaiyang Controlled by the same
56,507.04 0.06%
Expressway Co., Ltd.
parent company
Guangdong Taishan Coast Controlled by the same
30,000.00 0.03%
Expressway Co., Ltd.
parent company
Total -- 3,309,578.04 3.56%
5. Other receivable
(1).Type analyses:
In RMB
Amount in year-end Amount in year-begin
Book Balance Bad debt provision Book Balance Bad debt provision
Type
Amount Proportio Amount Proportio Amount Proportion( Amount Proportio
n(%) n(%) %) n(%)
Other receivables with
major individual amount 60,215,977.0 60,215,977.0 62,215,977.0
69.43% 100.00% 67.84% 62,215,977.01 100.00%
and had debt provision 1 1 1
provided individuarlly
Other receivables provided bad debt provision in groups
Group 1：The other
receivables based on 13,421,853.0 16,464,223.5
15.47% 1,659,703.68 12.37% 17.96% 1,659,703.68 10.08%
ageing analysis over the 8 3
provision for bad debts
Group 2：The other
receivables based on 13,097,188.2 13,023,291.6
15.10% 14.20%
Othe analysis over the 7 3
provision for bad debts
26,519,041.3 29,487,515.1
Subtotal of group 30.57% 1,659,703.68 6.26% 32.16% 1,659,703.68 5.63%
5 6
86,735,018.3 61,875,680.6 91,703,492.1
Total -- -- -- 63,875,680.69 --
6 9 7
Notes
Other receivable accounts with large amount and were provided had debt provisions individually at end of period
□ Applicable √ Not applicable
Other receivable account in Group on which bad debt provisions were provided on age basis
√ Applicable □ Not applicable
In RMB
Balance at the period end Balance in year-begin
Age
Bad debt balance Bad debt provisio Bad debt balance Bad debt provisio
81
Proporti Amount Proporti
Amount Amount
on(%) on(%)
Within 1 year
Including：
Subtotal of Within 1
11,762,149.40 87.63% 20,106,497.92 92.37%
year
Over 5 years 1,659,703.68 12.37% 1,659,703.68 1,659,703.68 7.63% 1,659,703.68
Total 13,421,853.08 -- 1,659,703.68 21,766,201.60 -- 1,659,703.68
Other receivable account in Group on which bad debt provisions were provided on percentage basis
□ Applicable √ not applicable
Receivable account on which bad debt provisions are provided by other ways in the portfolio
□ Applicable √ not applicable
Other receivable accounts with minor amount but were provided had debt provisions individually at end of period
□ Applicable √ not applicable
（2）Other receivable accounts written back or retrieved in the report period
In RMB
Accumulatively Accruing
Cause of written back Determine the Basis of Allowances for Bad Debt Amount of Reversal or
Content
oor retrieved Bad Debt Provision before Reversal or Recovery
Recovery
Stop production due
Beijing Gelin Enze Organic Reach an
to the poor operating 12,220,079.91 2,000,000.00
Fertilizer Co., Ltd. accommodation
conditions
Total -- -- 12,220,079.91 --
Separate amount is big at end of the period or not big but other account receivable and doubtful reserves shall be
withdrawn
In RMB
Description Book balance Amount of bad debts Proportion（%） Reason
The parent company
once paid RMB
33,683,774.79 into
Kunlun Securities Co.,
Kunlun Sercurities Ltd, Guangdong
49,995,897.10 49,995,897.10 100.00%
Co.,Ltd. Expressway technology
investment Co., Ltd
once paid RMB
18,000,000.00 into
Kunlun Securities Co.,
82
Ltd. Qinghai Province
Xining City‘s
intermediate people‘s
court made a
adjudication under law
declared that Kunlun
Securities Co., Ltd went
bankrupt and repaid debt
in Novemeber 11, 2006.
On March 2007, The
Company and
Guangdong Expressway
Technology Investment
Co., Ltd had switched
the money that paid into
Kunlun Secutities Co.,
Ltd to other account
receivable, and follow
the careful principle to
doubtful debts
provision. The RMB
710,349.92 CREDIT
WAS RECOVERED IN
2008, and the provision
for bad debt is deducted,
The RMB977,527.77
credit was recovered in
2011, and the provision
for had debt is deducted.
Guangdong
Expresswaytechnology
investment Co.,
Ltd .should charge
Beijing Gelin Enze
Organic Fertilizer Co.,
Beijing Gelin Enze Ltd.for
Organic Fertilizer Co., 10,220,079.91 10,220,079.91 100.00% RMB12,220,079.91.
Ltd. RMB 8 million of it was
entrust loan,RMB 3
million was temporary
borrowing RMB
12,400.00 is the
commission loan
interest, the rest of it
83
was advance money for
another, Beijing Gelin
Enze Organic Fertilizer
Co., Ltd‘s operating
status was poor and had
already ceased
production, Accordingly,
the controlling
subsidiary of the
company Guangdong
Expressway Investment
Co., Ltd. accounted full
provision for Bad debt
RMB 12,220,079.91
provision. On April
2014, the company had
recovery of arrears of
200 million, has
reversed provision for
bad debts.
Total 60,215,977.01 60,215,977.01 -- --
Other receivable account in Group on which bad debt provisions were provided on percentage basis
（3）The front 5 units information of Other account receivable
In RMB
Relation with the Portion in total
Name Company Amount Age receivables (%)
Kunlun Securities Subsidiary shares Over 5 years
49,995,897.10 57.64%
Co.,Ltd
Joint venture Over 5 years
Beijing Gelin Enze 10,220,079.91 11.78%
Foshan Land resources
No relationship Over 5 years
Bureau,Chancheng 7,366,300.00 8.49%
Branch
No relationship Over 5 years
Heshan Finance Bureau 1,835,391.00 2.12%
Guangdong Litong
Controlled by the same Within 3 year
Property Investment Co., 1,485,856.00 1.71%
Ltd. parent company
Total -- 70,903,524.01 -- 81.74%
（4） Other accounts receivable from the Related parties
84
In RMB
The proportion of the total of
Name Relationship with the Company Amount other receivables (%)
Beijing Gelin Enze Joint venture 10,220,079.91 11.78%
Guangdong Litong Property Controlled by the same parent
1,485,856.00 1.71%
Investment Co., Ltd. company
Guangdong Xinlu Controlled by the same parent
741,000.00 0.85%
AdvertingCo., Ltd. company
Guangdong Guanghui
Joint venture 668,034.00 0.77%
Expressway Co., Ltd.
Guangdong Kaiyang Controlled by the same parent
512,038.95 0.59%
Expressway Co., Ltd. company
Zhaoqing Yuezhao Highway
Joint venture 411,178.00 0.47%
Co., Ltd.
Guangdong Yunwu Controlled by the same parent
137,196.07 0.16%
Expressway Co., Ltd. company
Guangdong Gaoda Property Controlled by the same parent
87,000.00 0.10%
Development Co., Ltd. company
Guangdong Maozhan Controlled by the same parent
40,100.00 0.05%
Expressway Co., Ltd. company
Guangdong Expressway Co., Controlled by the same parent
39,654.00 0.05%
Ltd. company
Guangdong Yangmao Controlled by the same parent
27,497.91 0.03%
Expressway Co., Ltd. company
Yunfo Guangyun Expressway Controlled by the same parent
6,143.00 0.01%
Co., Ltd. company
Guangdong Shenshanxi Controlled by the same parent
4,723.32 0.01%
Expressway Co., Ltd. company
Guangdong Xinyue
Controlled by the same parent
Communication Investment 2,158.60
company
Co., Ltd.
Total -- 14,382,659.76 16.58%
6. Prepayments
（1）Age analysis
In RMB
Age Balance in year-end Balance in year-begin
85
Proportion Proportion
Amount Amount
（%） （%）
Within 1 year 1,438,362.82 81.73% 2,537,047.75 86.83%
1-2 years 18,750.00 1.07%
2-3 years 164,160.00 5.62%
Over 3 years 302,818.00 17.20% 220,738.00 7.55%
Total 1,759,930.82 -- 2,921,945.75 --
Notes to age of prepayment:
（2） The front 5 units‘ information of prepayment:
In RMB
Relationship with the Reasons for pending
Name Amount Time
Company accounts
Prepayment has not been
CPIC No relationship 705,166.67 Within 1 year
deducte
Guangdong Nengda High
Prepayment has not been
Grade maintenance Co., No relationship 411,252.20 Within 1 year
deducte
Ltd.
Guangzhou Maritime Prepayment has not been
No relationship 220,738.00 Over 5 years
Court deducte
Huizhou Construction Prepayment has not been
No relationship 193,362.75 Within 1 year
Engineering Company deducte
Guangzhou Xinruan
Controlled by the same Prepayment has not been
Computer Technology 128,580.00 Within 1 year
parent company deducte
Co., Ltd.
Total -- 1,659,099.62 -- --
Notes
（3）Prepayment from related parties
Relationship with the Proportion
Name Amount Time
Company (%)
Guangzhou Xinruan Computer Technology Controlled by the same 128,580.00 Within 1 year 7.31
Co., Ltd. parent company
Zhaoqing Yuezhao Highway Co., Ltd. Joint venture 18,750.00 Within 1 year 1.07
Total 147,330.00 8.38
86
7.Other current assets
In RMB
Items End of term Beginning of term
National debt reverse repurchase balance 76,007,760.00 5,001,000.00
Total 76,007,760.00 5,001,000.00
Notes
In order to improve capital efficiency, increase revenue, the company use its temporary idle own money to reverse
repurchase national debts.
8.Disposable financial assets
（1）Sellable financial assets
I In RMB
Items
Fair value at end of term Fair value at beginning of term
Other 597,547,557.76 625,778,151.04
Total 597,547,557.76 625,778,151.04
The amount of investment held to mature recategorized to sellable financial assets was RMB 0 , Account for 0%
of total investment held to mature.
Statement on sellable financial assets:
As June 30, 2014, the company held 235,254,944 shares of stock of the China Everbright Bank, according to
the closing price 2089 yran on 30, June 2014, the fair value at the end of the period is RMB 597,547,557.76.
9.Investment to joint venture and affiliated Enterprises
In RMB
Voting End total End total net Total current
Name Proportion (%) End total assets Net profit
proportion(%) liablilities assets revenues
I. Joint venture
Guangdong
5,511,556,142. 1,941,891,732. 3,569,664,409.
30.00% 30.00% 701,582,423.18 289,770,004.45
Guanghui 23 69 54
Expressway
Zhaoqing 2,060,880,562. 1,077,515,896.
25.00% 25.00% 983,364,666.15 255,506,103.42 100,473,322.59
52 37
Yuezhao
87
Highway
Co., Ltd.
Beijing Gelin
35.00% 35.00% 25,925,805.89 16,707,626.85 9,218,179.04
Enze
2. Affiliated Company
Shenzhen
Huiyan 33.33% 33.33% 526,304,247.42 109,426,919.47 416,877,327.95 109,916,174.08 46,735,304.77
Expressway
Jingzhu
3,696,504,293. 2,878,409,849.
Exprwssway 20.00% 20.00% 818,094,443.70 495,422,620.07 198,698,815.37
30 60
Guanzhu
Guangdong
2,473,837,276. 1,329,779,446. 1,144,057,830.
Jiangzhong 15.00% 15.00% 184,427,524.48 19,729,091.69
79 14 65
Expressway
Ganzhou
1,548,461,656. 1,178,875,452.
Kangda 30.00% 30.00% 369,586,204.74 113,740,917.00 35,563,559.16
88 14
Expressway
Ganzhou
1,929,617,855. 1,248,838,899.
Gankang 30.00% 30.00% 680,778,956.18 82,994,061.67 11,897,440.02
73 55
Expressway
Guangdong
Yueke
1,007,191,004. 1,005,591,002.
Technology 20.00% 20.00% 1,600,002.75 13,208,617.55 5,591,002.16
91 16
Petty Loan Co.,
Ltd.
Asian Kitchen
& Bath City 15.00% 15.00% 142,291,005.43 63,775,137.18 78,515,868.25 -5,332,318.98
Co., Ltd.
Statements on material diversity in accounting policies, estimations adopted by the Company and the affiliates:
10. Long term share equity investment.
（1）Details of long-term equity investment
In RMB
Sharehold Voting Explainati
Accounti ing right on of
Investme Original Ending Current Cash
Name ng Change proportio proportio difference Devalue
nt cost balance Balance devalue bonus
method n in the n in the between
investmen investmen sharehold
88
t (%) t (%) ing
proportio
n and
voting
right
proportio
n in
investmen
t
Guangdo
ng
Guanghui Equity 705,503,4 983,968,3 86,931,00 1,070,899
30.00% 30.00%
Expressw method 00.00 21.53 1.34 ,322.87
ay Co.,
Ltd.
Zhaoqing
Yuezhao Equity 201,770,9 233,723,7 24,755,51 258,479,2
25.00% 25.00%
method 45.42 41.37 4.67 56.04
Highway
Co., Ltd.
Beijing
Equity 6,614,483
Gelin 35.00% 35.00%
method .90
Enze
Shenzhen
Huiyan Equity 35,231,29 194,635,6 -45,132,4 149,503,2 60,000,00
33.33% 33.33%
Expressw method 9.69 33.82 04.64 29.18 0.00
ay
.Jingzhu
Exprwss Equity 247,848,4 319,111,0 -32,416,7 286,694,2 68,290,31
20.00% 20.00%
way method 88.93 83.28 97.90 85.38 8.11
Guanzhu
Guangdo
ng
Jiangzhon
Equity 166,500,0 168,649,3 2,959,363 171,608,6
g 15.00% 15.00%
method 00.00 10.84 .75 74.59
Expressw
ay Co.,
Ltd.
Ganzhou
Equity 216,251,1 141,707,1 9,881,086 151,588,2
Kangda 30.00% 30.00%
method 00.00 20.95 .85 07.80
Expressw
89
ay
Ganzhou
Gankang Equity 226,379,0 203,664,4 569,232.0 204,233,6 3,000,000
30.00% 30.00%
Expressw method 00.00 54.84 1 86.85 .00
ay
Guangdo
ng Yueke
Technolo Equity 200,000,0 200,000,0 1,118,200 201,118,2
20.00% 20.00%
gy Petty method 00.00 00.00 .43 00.43
Loan Co.,
Ltd.
Asian
Kitchen
Equity 19,907,40 17,809,41 -799,847. 17,009,56
& Bath 15.00% 15.00%
method 0.00 6.04 85 8.19
City Co.,
Ltd.
Guangdo
ng
Guangle Cost 729,997,5 728,141,6 728,141,6
9.00% 9.00%
Expressw method 00.00 01.73 01.73
ay（Notes
1）
Huaxia
Securities
Cost 5,400,000 5,400,000 5,400,000 5,400,000
Co., 0.27% 0.27%
method .00 .00 .00 .00
Ltd.(Note
s 2)
Huazheng
Assets
Managem Cost 1,620,000 1,620,000 1,620,000 1,393,200
0.54% 0.54%
ent method .00 .00 .00 .00
Co. Ltd.
(Notes 3)
Kunlun
Securities
Cost 30,000,00 30,000,00 30,000,00 30,000,00
Co., 5.74% 5.74%
method 0.00 0.00 0.00 0.00
Ltd.(Note
s 4)
Guangdo
Cost 50,000,00 50,000,00 50,000,00 1,656,011
ng Rodio 3.11%
method 0.00 0.00 0.00 .73
and
90
Televisio
n
Networks
investme
nt No.1
Limited
partnershi
p
enterprise
2,843,023 3,278,430 47,865,34 3,326,296 36,793,20 132,946,3
Total -- -- -- --
,617.94 ,684.40 8.66 ,033.06 0.00 29.84
11. Investment real estate
（1）Cost
In RMB
Items Balance in year-begin Increase at this period Decrease at this period Balance in year-end
1. Original price 12,664,698.25 12,664,698.25
1.Hoses and building 12,664,698.25 12,664,698.25
II.Total accumulated
depreciation
8,052,086.97 232,106.70 8,284,193.67
accumulated
amortization
1.Hoses and building 8,052,086.97 232,106.70 8,284,193.67
III. Total book Net
value of investment 4,612,611.28 -232,106.70 4,380,504.58
real estate
1.Hoses and building 4,612,611.28 -232,106.70 4,380,504.58
III. Total book value
of investment real 4,612,611.28 -232,106.70 4,380,504.58
estate
1.Hoses and building 4,612,611.28 -232,106.70 4,380,504.58
In RMB
This period
Current amount of depreciation and amortization 232,106.70
91
12.Fixed assets
（1）Fixed assets
In RMB
Balance in year- Increase at this Decrease at this Balance in
Items
begin period period year-end
1.Total of Original price of
10,804,965,722.71 29,442,794.31 6,273,373.00 10,828,135,144.02
fixed assets
Including ：House and
270,017,999.90 270,017,999.90
building
Machine equipment 110,593,943.58 110,593,943.58
Transporation Equipment 59,174,350.78 5,952,373.00 53,221,977.78
Electricity equipment and
379,362,525.26 29,442,794.31 121,000.00 408,684,319.57
other
Guangfo Expressway 1,461,818,976.16 1,461,818,976.16
Fokai Expressway 8,523,997,927.03 200,000.00 8,523,797,927.03
Book balance in Current term new Current term Decrease at this Balance in
--
year-begin extra provision period year-end
II. Total of Accumulated
3,108,024,508.41 275,814,578.67 5,488,744.59 3,378,350,342.49
depreciation
Including ：House and
109,095,498.35 7,690,903.18 116,786,401.53
building
Machine equipment 16,286,505.92 5,030,024.33 21,316,530.25
Transporation Equipment 38,864,187.58 2,040,274.43 5,377,619.59 35,526,842.42
Electricity equipment and
187,439,956.78 15,948,351.69 111,125.00 203,277,183.47
other
Guangfo Expressway 981,171,936.48 68,516,132.78 1,049,688,069.26
Fokai Expressway 1,775,166,423.30 176,588,892.26 1,951,755,315.56
Book balance at Balance in
-- --
year beginning year-end
III. Total book value of
7,696,941,214.30 -- 7,449,784,801.53
Fixed assets
Including ：House and
160,922,501.55 -- 153,231,598.37
building
Machine equipment 94,307,437.66 -- 89,277,413.33
Transporation Equipment 20,310,163.20 -- 17,695,135.36
92
Electricity equipment and
191,922,568.48 -- 205,407,136.10
other
Guangfo Expressway 480,647,039.68 -- 412,130,906.90
Fokai Expressway 6,748,831,503.73 -- 6,572,042,611.47
Electricity equipment and
--
other
Guangfo Expressway --
Fokai Expressway --
V. Total book value of Fixed
7,696,941,214.30 -- 7,449,784,801.53
assets
Including ：House and
160,922,501.55 -- 153,231,598.37
building
Machine equipment 94,307,437.66 -- 89,277,413.33
Transporation Equipment 20,310,163.20 -- 17,695,135.36
Electricity equipment and
191,922,568.48 -- 205,407,136.10
other
Guangfo Expressway 480,647,039.68 -- 412,130,906.90
Fokai Expressway 6,748,831,503.73 -- 6,572,042,611.47
Current depreciation is RMB275,814,578.67 . The issue of fixed assets transferred from construction in progress
original price is RMB 29,168,929.51.
13. Project under construction
（1）Project under construction
In RMB
Year-end balance Year-beginning balance
Items Book Provision for Book Net value Book Provision for Book Net value
balance devaluation balance devaluation
Provincial network construction 1,451,017.75 1,451,017.75
Jingzhubei EMC whole tunnel lig
hting retrofit 2 phases projects 4,829,486.00 4,829,486.00
Odd project 2,487,520.6
2,487,520.64 2,051,635.64 2,051,635.64
4
2,487,520.6
Total 2,487,520.64 8,332,139.39 8,332,139.39
4
(2). The variation in constructing the engineering project
In RMB
Name Budget Amount Increase Transferr Other Proportio Progress Capitalis Includin Capitalis Source Balance
93
at year at this ed to decrease n(%) of work ation of g： ation of of funds in
beginnin period fixed interest Current interest year-end
g assets accumul amount ratio（%)
ated of
balance capitaliz
ation of
interest
Provinci
al
1,451,01 14,657,2 16,108,2
network 1,629.61 98.85% 100.00 Self fund
7.75 58.76 76.51
construct
ion
Jingzhub
ei EMC
whole tu
nnel ligh
4,829,48 8,231,16 13,060,6
ting retro 1,330.00 98.20% 100.00 Self fund
6.00 7.00 53.00
fit 2 phas
es projec
ts
Odd pr 2,051,63 435,885. 2,487,52
Self fund
oject 5.64 00 0.64
8,332,13 23,324,3 29,168,9 2,487,52
Total 2,959.61 -- -- -- --
9.39 10.76 29.51 0.64
Notes
14. Intangible assets
（1） Intangible assets
In RMB
Items Book Balance in Increase at this Decrease at this Book Balance in
year-begin period period year-end
1. Total original price 8,852,988.81 127,800.00 8,980,788.81
Yayao Land use right 1,311,658.00 1,311,658.00
Siftware 7,541,330.81 127,800.00 7,669,130.81
II.Total of accumulative
3,526,466.30 812,944.97 4,339,411.27
amortized
Yayao Land use right 769,338.10 75,672.60 845,010.70
Siftware 2,757,128.20 737,272.37 3,494,400.57
94
III.Total lbook value of
5,326,522.51 -685,144.97 4,641,377.54
intangible assets
Yayao Land use right 542,319.90 -75,672.60 466,647.30
Siftware 4,784,202.61 -609,472.37 4,174,730.24
Yayao Land use right
Siftware
V. Book value Total of
5,326,522.51 -685,144.97 4,641,377.54
intangible assets
Yayao Land use right 542,319.90 -75,672.60 466,647.30
Siftware 4,784,202.61 -609,472.37 4,174,730.24
Current amortization of RMB812,944.97.
15. Long term amortize expenses
In RMB
Amortized
Balance in Increase in this expenses Balance in Other loss
Items year-begin period Other loss
year-end Reasons
Renovation fee 5,956,652.35 682,850.41 834,231.76 5,805,271.00
Advertisement
pillar property 110,958.22 30,261.30 80,696.92
insurance
Office Decoration 2,528,457.82 255,694.55 2,272,763.27
Total a 8,596,068.39 682,850.41 1,120,187.61 2,272,763.27 5,885,967.92 --
Notes:
16. Deferred income tax assets and deferred income tax liability
(1)Confirmed the deferred income tax assets and deferred income tax liability
Recognized deferred income tax assets and deferred income tax liabilities
In RMB
Items Balance in year-end Balance in year-begin
Deferred income tax assets:
Neutralizable losses 24,202,280.37 46,472,735.10
Subtotal 24,202,280.37 46,472,735.10
Deferred income tax liability：
Timing difference between accounting and tax 126,994,704.91 125,427,487.64
Total 126,994,704.91 125,427,487.64
Details of taxable differcnces and deductible difference
In RMB
95
Item At end of term At beginning of term
Impairment of assets prepares to deduct timing
24,709,770.62 25,209,770.62
differences
Neutralizable losses 198,162,507.21 162,515,429.31
Total 222,872,277.83 187,725,199.93
Deductible losses of the un-recognized deferred income tax asset will expire in the following years
In RMB
Year At end of term At beginning of term Notes
2014 55,334,845.81 55,334,845.81
2015 89,107,257.98 89,107,257.98
2016 144,232,836.09 144,232,836.09
2017 222,416,075.93 222,416,075.93
2018 160,626,365.98 138,970,701.42
2019 120,932,647.04
Total 792,650,028.83 650,061,717.23 --
Details of taxable differences and deductible differences
In RMB
Amount of temporary differences
Items
At end of term At beginning of term
Differences in taxable items
Timing difference between accumulated
507,978,819.63
depreciation
Subtotal 507,978,819.63
Deductible difference items
Neutralizable losses 96,809,121.47
Subtotal 96,809,121.47
（2）Deferred income tax assets and liabilities are presented as net amount after neutralization
Statement on deferred income tax assets and liabilities：
In RMB
Temporarily Temporarily
Deferred Income Tax Deferred Income Tax
Deductable or Deductable or
Assets or Liabilities Assets or Liabilities
Items Taxable Difference at Taxable Difference at
at the End of Report at the Beginning of
the End of Report the Beginning of
Period Report Period
Period Report Period
Deferred income tax assets： 24,202,280.37 46,472,735.10
96
Deferred income tax liability： 126,994,704.91 125,427,487.64
Details of taxable differences and deductible differences
In RMB
Items Offsetting Amounts of This Period
Details of taxable differences and deductible differences
17. Provision for depreciation of assets
In RMB
Decreased in this period
Book balance at the Increase in this Balance in
Items Switch
beginning of term period Switch back year-end
cancellation
I.Provision for bad debts 64,045,882.49 2,000,000.00 62,045,882.49
V.Provision for devaluation of
36,793,200.00 36,793,200.00
long-term equity investment
Total 100,839,082.49 2,000,000.00 98,839,082.49
Notes
18. Other non-current assets
In RMB
Items Balance in year-end Balance in year-Beinning
Prepaid acquisition of purchase assets 323,800.00
Total 323,800.00
Notes
19. Short-term loan
（1）Categories of short-term loans
In RMB
Items Balance in year-end Balance in year-Beinning
Credit loan 50,000,000.00
Total 50,000,000.00
Notes
20. Account payable
（1）Account payable
In RMB
Items Balance in year-end Balance in year-Beinning
97
Within 1 year（ inclding 1 year） 81,132,564.39 262,018,661.78
1-2 years（Inclding 2 years） 77,530,058.36 24,455,318.90
2-3 years（Inclding 3 years） 5,969,680.67 5,717,960.60
Over 3 years 16,555,265.48 25,605,918.48
Total 181,187,568.90 317,797,859.76
(2)There was account payable due from shareholders with more than 5% (including 5%) of the voting shares of
the company
In RMB
Name Balance in year-end Balance in year-begin
Guangdong Changda Highway Engineering Co.,
18,591,514.70 16,960,140.06
Ltd.
Guangdong Expressway Co., Ltd. 13,728,261.18 13,728,261.18
Guangdong Guanghui Expressway Co., Ltd. 8,652,361.01 7,002,361.01
Guangdong Xinyue Communication Investment
1,198,426.64
Co., Ltd
Guangdong Hualu Communication Technology
614,663.45 298,222.00
Co., Ltd
Guangzhou Xinruan Computer Technology Co.,
288,320.00 134,400.00
Ltd.
Guangdong Gaoda Property Development
100,098.00
Co.,Ltd.
Guangdong East Thinking Management
78,234.00 78,234.00
Technology Development Co., Ltd.
Guangdong Maozhan Expressway 50,000.00
Guangdong Lulutong Co. ltd. 416,941.41
Total 43,301,878.98 38,618,559.66
⑶High balance account payable over 1 year has listed below：
Debtor Amount Not return Remark
cause
Guangdong Expressway Co., Ltd. 13,728,261.18 Not settlement Expansion project remainning fund and Xiebian
Grade separation fund
Guangdong Guanghui Expressway Co.,ltd. 5,352,361.01 Not settlement Rent of advertisement spot
Guangdong Jingtong Highway Engineering 2,127,091.50 Not settlement Progress fund and Engineering Quality prize penalty
Construction Group Co., Ltd.
Guangdong Jingtong Highway Engineering 1,035,596.00 Not settlement Progress fund
Construction Group Co., Ltd.
98
Total 22,243,309.69
21. Advance account
(1)Advance account
In RMB
Items Balance in year-end Balance in year-begin
Within 1 year（Including 1 year） 797,685.54 72,000.00
1-2 years（Including 2 years）
2-3 years（Including 3 years）
Over 3 years 4,166,668.02 4,333,334.64
Total 4,964,353.56 4,405,334.64
(2). There was Advance account due from shareholders with More than 5% (including 5%) of the voting shares of the company.
In RMB
Name BalaNce in yeawr-end Balance in year-begin
Guangdong Province Telecomunications
4,166,668.02
Engineering Management Center
Total 4,166,668.02
22. Payable Employee wage
In RMB
Items Balance in year-begin Increase in this period Payable in this period Balance in year-end
1.Wage,bonuds,subsi
465,063.49 63,565,949.01 63,565,949.01 465,063.49
dy
2.Employee welfare 380,000.00 6,548,046.00 6,928,046.00
3.Security insurance 27,404.50 12,535,956.56 12,535,956.56 27,404.50
1. Basic Medical
3,451,785.06 3,451,785.06
insurance
2. Supplement
116,008.50 116,008.50
Medical insurance
3. Basic old-age
7,022,079.85 7,022,079.85
insurance
4. Annuity Payment
1,129,227.76 1,129,227.76
（Supplement
99
old-age insurance）
5.. Unemployment
286.00 360,525.82 360,525.82 286.00
insurance
6. Work injury
213,081.42 213,081.42
insurance
7. Maternity
27,118.50 243,248.15 243,248.15 27,118.50
insurance
8.Other
IV. Housing fund 39.74 11,910,460.00 11,194,656.00 715,843.74
V.Redemption for
terminations of labor 238,768.00 238,768.00
contract
VI. Other 1,506,212.89 6,106,495.43 6,129,743.60 1,482,964.72
Total 2,378,720.62 100,905,675.00 100,593,119.17 2,691,276.45
The amounts of arrears of staff salary and welfare payable are RMB 0 00.
The amounts of trade union funds and staff education expenses are RMB 2,336,390.04 the amounts of
non-monetary benefits are RMB2,657,028.72 and the compensations for the lifting of labor relations is 0
The expected release time and amount of staff salary
23. Tax Payable
In RMB
Items At end of term At beginning of term
VAT 31,576.85 8,650.82
Business Tax 5,397,807.20 5,600,086.34
3,512,902.15 1,346,107.12
Enterprise Income tax
Individual Income tax 1,871,362.72 3,091,448.28
City Construction tax 325,209.39 344,687.32
Land use tax 229,130.28 394,915.08
Education subjoin 150,305.08 158,652.63
Locality Education subjoin 86,389.84 91,965.82
Defend expense 117,766.46 319,906.23
Stamp tax 868.30 2,852.88
Cultural construction costs 27,256.83 -4,563.14
House property Tax 213,819.65 358,664.77
100
Total 11,964,394.75 11,713,374.15
Statement on tax payable: Please provide the calculating processes then taxable income is balanced between
branch companies or factories as approved by the tax bureau.
24. Interest payable
In RMB
Items Balance in year-end Balance in year-begin
Pay the interest for long-term loans by
8,521,290.95 9,654,070.24
installments.
Interest of company bonds 80,583,611.00 26,233,611.02
Payable interest for short-term borrowings 83,333.33
Total 89,188,235.28 35,887,681.26
Notes
25. Dividend payable
In RMB
Amount
Balance in year-end Balance in year-begin
Reason of overdue for over 1 year
Incl: Did not receive dividends of
Dividends for shareholders of RMB11,011,839.52 of Legal
11,420,850.42 11,013,452.27
Guangdong Expressway shareholders overdue for over 1
year
Guangdong Expressway Co., Ltd. 24,591,472.01
Zhujiang Basic Construction
2,255,544.67
Investment Co., Ltd.
Total 11,420,850.42 37,860,468.95 --
Notes
26. Other payable
（1）Other payable
In RMB
Items Balance in year-end Balance in year-begin
Within 1 year(Including 1 year) 148,721,138.72 77,618,989.13
1-2 years(including 2 years) 21,678,538.61 55,811,451.03
2-3 years(including 3 years) 46,883,360.17 39,147,384.72
Over 3 years 109,140,347.21 83,141,531.82
Total 326,423,384.71 255,719,356.70
101
(2)There were other receivable from the main shareholders of the Company holding nore than 5% (including 5%)
of the total shares of the Company.
In RMB
Name Balance in year-end Balance in year-begin
Guangdong Changda Highway Engineering
82,322,432.94 78,597,522.94
Co., Ltd.
Guangdong Expressway Co., Ltd. 12,718,745.06 14,742,813.17
Guangdong Xinyue Communication Investment
432,595.50 472,595.50
Co., Ltd.
Guangdong Highway Construction Co., Ltd. 177,077.98
Guangzhou Xinruan Computer Technology Co.,
136,335.00 578,185.75
Ltd.
Guangdong Shenshanxi Expressway Co., Ltd. 121,454.85
Guangdong Lulutong Co., Ltd. 66,604.23 66,604.23
Guangdong Hualu Communication Technology
53,600.00 268,750.50
Co., Ltd.
Guangdong Xinlu Advertising Co., Ltd. 30,000.00 30,000.00
Guangdong Eest Coastal Expressway Co., Ltd. 29,758.20
Guangdong Zhaoyang Expressway Co., Ltd. 27,497.91
Guangdong Eest Coastal Expressway Co., Ltd. 26,000.00 26,000.00
Guangdong Yuzhan Expressway Co., Ltd. 25,105.74
Guangdong Xinyue Asplalt Co., Ltd. 3,100.00 3,100.00
Guangdong Second Guang Expressway Co., Ltd. 14.77
Guangdong Communication Group Co., Ltd. 1,646,011.38
Total 96,170,322.18 96,431,583.47
（3）High balance account payable over 1 year has listed below:
Debtor Amount Not return cause Remark
Guangdong Changda Highway Engineering 66,716,730.50 Project Quality guarantees/ Bid Gruarantees/
Co., Ltd. Performance Gruarantee
Guangdong Guanyue Luqiao Co., Ltd 23,807,580.85 Project Quality guarantees/ Bid Gruarantees/
Performance Gruarantee
Guangdong Jingtong Highway Engineering 16,855,614.19 Project Quality guarantees/ Bid Gruarantees/
Construction Group Co., Ltd. Performance Gruarantee
China Railway 12 Bureau Group Co., ltd. 15,684,801.00 Project Quality guarantees
102
Jilin Great wall Highway Bridge 7,764,427.00 Project Quality guarantees, Bid Gruarantees
Construction Co., Ltd.
China Railway 23 Bureau Group Co., ltd. 5,985,885.00 Project Quality guarantees
Guangdong Nengda Grade Highway 3,399,776.27 Project Quality guarantees/ Bid Gruarantees/
Maintenance Co., Ltd. Performance Gruarantee
Ziguang Jietong Technology Co., Ltd. 3,021,139.00 Project Quality guarantees, Bid Gruarantees
Guangdong Xinguang International Group 2,736,116.00 Project Quality guarantees
Co., ltd.
Hubei Highway Bridge Group Co., Ltd. 2,241,245.00 Project Quality guarantees
Shengshi International Highway Bridge 1,122,228.00 Project Quality guarantees
Construction Co., ltd.
Total 149,335,542.81
（4）Large amount of other payable
Creditor Amount Content Remark
Guangdong Changda Engineering Co., Ltd. 82,322,432.94 Project fund/Quality guarantee fund
Guangdong Guanyue luqiao Co., Ltd. 31,507,821.75 Project fund/Quality guarantee fund
Guangdong Jingtong Highway Engineering 17,838,382.58 Project fund/Quality guarantee fund
Construction Group Co., ltd.
China Railway 12 Bureau Group Co., ltd. 17,013,153.00 Project fund/Quality guarantee fund
Guangdong Expressway Co., Ltd. 12,718,745.06 Project fund/Quality guarantee fund
Jilin Great wall Highway Bridge 10,261,271.00 Project fund/Quality guarantee fund
Construction Co., Ltd.
China Railway 23 Bureau Group Co., ltd. 6,214,728.00 Project fund/Quality guarantee fund
Guangdong Nengda Grade Highway 4,205,673.57 Project fund/Quality guarantee fund
Maintenance Co., Ltd.
Hanlan Environment Co., ltd. 4,200,000.00 Project fund/Quality guarantee fund
Ziguang Jietong Technology Co., Ltd. 3,824,647.00 Project fund/Quality guarantee fund
Guangdong Xinguang International Group 3,194,798.00 Project fund/Quality guarantee fund
Co., Ltd.
Hubei Highway Bridge Group Co., ltd. 3,148,483.00 Project fund/Quality guarantee fund
Guangdong Union Electronic toll Co., Ltd. 2,817,531.52 Settle services
Shengshi International Highway Bridge 1,268,674.00 Project fund/Quality guarantee fund
Construction Co., ltd.
Total 200,536,341.42
103
27.Non-Current liablility due in 1 year
（1）Non-Current liablility due in 1 year
In RMB
Items Balance in year-end Balance in year -begin
Long-term loan due in 1 year 410,800,000.00 59,043,750.00
Bonds payables due in 1 year 799,610,177.08 798,713,584.35
Total 1,210,410,177.08 857,757,334.35
（2）Long-term loan due in 1 year
Long-term loan due in 1 year
In RMB
Items Balance in year-end Balance in year -begin
Credit loan 410,800,000.00 59,043,750.00
Total 410,800,000.00 59,043,750.00
The long-term loans due within 1 year and belong to overdue loans gain the extension amount is RMB 0.00.
Long –term loans due in 1 year top 5 in amount
In RMB
Date of Loan Balance in year-end Balance in year -begin
Interest rate
Unit commenceme termination Currency Foreign Foreign
（%） RMB RMB
nt of loan date currency currency
Communicati
ons Bank, 148,000,000.
June 23, 2008 June 23, 2015 RMB
Fengchi 00
Branch
Communicati
ons Bank, 100,000,000.
June 25, 2008 June 25, 2015 RMB
Fengchi 00
Branch
China
Merchants
Bank ,Guang April 26, April 25, 100,000,000.
RMB
zhou 2010 2015 00
Branch,Taoji
n Sub-branth
Communicati March 26, March 26, 52,000,000.0
RMB
ons Bank, 2008 2015 0
104
Fengchi
Branch
China
Everbright
Bank.
January 9,
Guangzhou June 26, 2015 RMB 2,000,000.00
2009
Wuyang
Branch
Bank of
China,
March 7, March 7, 53,843,750.0
Guangzhou RMB
2013 2016 0
Tianhe Nanyi
Road Branch
China
Everbright
Bank. January 9,
June 25, 2019 RMB 4,000,000.00
Guangzhou 2009
Wuyang
Branch
China
Merchants
Bank ,Guang
September September
zhou World RMB 1,200,000.00
30, 2013 29, 2016
Trade
Building
Branch
402,000,000. 59,043,750.0
Total -- -- -- -- -- --
00 0
Overdue loans among the long-term loan due in 1 year
In RMB
Annual interest Reason for Scheduled
Loan provided by Total amount Date of mature Usage of loan
rate(%) overdue repaying date
Among repaid in post-balance-sheet day
Statement on long-term loans due in 1 year
（3）Bonds payable due within 1 year
In RMB
Date of Issuing Interest Interest Interest paid Interest End of
Bond Face value Bond term
issue amount payable at occurred this period payable at balance
105
beginning this period end of
of period period
09
Guangdong September 800,000,000 11,333,333. 20,400,000. 31,733,333. 799,610,177
100.00 5 years
Expressway 21, 2009 .00 33 00 33 .08
Bonds
Notes
28.Loang-term loan
（1）Classifications of long-term loans
In RMB
Items Year-end balance Year-beginning balance
Guarantee loan 1,500,000,000.00 1,500,000,000.00
Credit loan 2,985,920,000.00 3,493,761,250.00
Total 4,485,920,000.00 4,993,761,250.00
Notes
（2）The top five of long-term loans
In RMB
Date of Loan Balance in year-end Balance in year-begin
Interest rate
Unit commenceme termination Currency Foreign Foreign
（%） RMB RMB
nt of loan date currency currency
September March 24, 1,500,000,00
CPIC RMB
25, 2012 2020 0.00
China
Construction
April 30, April 30, 969,210,000.
Bank,Guangz RMB
2008 2020 00
hou Liwan
Branch
China
Construction
October 20, October 19, 487,000,000.
Bank,Guangz RMB
2003 2018 00
hou Liwan
Branch
Industrial and
Commercial September Augest 246,000,000.
RMB
Bank of 1,2008 31,2023 00
China ,Guang
106
zhou the
Second
Branch
China
Merchants
Bank ,Gua
ngzhou April 23, April 23, 208,000,000.
RMB
Branch,Ta 2008 2023 00
ojin
Sub-branc
h
3,410,210,00
Total -- -- -- -- -- --
0.00
Statement on long-term loans. For long-term loans over due but extended for another period, please provide the
conditions, principal,interest rate, and repayment arrangement.
29.Bonds payable
In RMB
Interest Interest
Interest
Date of Issuing payable at Interest paid payable at End of
Bond Face value Bond term occurred
issue amount beginning this period end of balance
this period
of period period
11
Guangdong October 13, 1,000,000,0 14,900,277. 33,949,999. 48,850,277. 997,000,000
100.00 5 years
Expressway 2011 00.00 69 98 67 .00
MINI
Statement on bonds payable, including the condition and time of converting of the convertible bonds
30.Long-term payable
（1）Top 5 long-term payable
In RMB
Name Term Initial amount Interest rate（%） Interest payable End balance Condition
（2）Details of finance leasing payments in long-term payable
In RMB
Unit Year-end balance Bear-beginning balance
107
Foreign currency RMB Foreign currency RMB
Guarantee provided by the 3rd Party for the leasing finance is amounted to RMB 0.
Statement on Long-term payables
Items Year-end balance Year-beginning balance
Non-operating assets of payable 2,022,210.11 2,022,210.11
Total 2,022,210.11 2,022,210.11
31. Stocks capital
In RMB
Changed（+，-）
Balance in Capitalization Balance in
Issuance of
year-begin Bonus shares of public Other Subtotal year-end
new share
reserve
Total of capital 1,257,117,748. 1,257,117,748.
shares 00 00
Statement of change in capital shares. Name of CPA and number of verification report shall be provided if capital
increasing or decreasing occurred in the report period; as for shareholding limited companies incorporated for less
than three years, only net assets is required for the years prior to incorporation; for shareholding limited
companies reformed from limited companies shall provide the capital verification at incorporation.
32. Capital reserves
In RMB
Items Year-beginning balance Increase in the current Decrease in the current Year-end balance
period period
Share premium 1,534,759,970.60 1,534,759,970.60
Other 108,216,019.21 28,230,593.28 79,985,425.93
Total 1,642,975,989.81 28,230,593.28 1,614,745,396.53
Notes
The current changes of capital reserve was influenced by the changes in fair value of available-for-sale financial
assets and the fair value from financial assets available for sale transferred.
33. Surplus reserve
In RMB
108
Items Year-beginning balance Increase in the current Decrease in the current Year-end balance
period period
Statutory surplus reserve 233,750,778.75 233,750,778.75
Total 233,750,778.75 233,750,778.75
Statement on surplus reserves. Please state the related resolutions of the Board on capitalizing of reserves, making
up losses, and dividends：
34. Retained profits
In RMB
Items Amount Extraction or distribution of
the proportion
Retained profit at the beginning of current year 1,104,154,555.90 --
Add：Net profit attributable to the owners of
178,192,944.02 --
parent company
Common stock dividend payable 62,855,887.40
Retained profit at the end of this term 1,219,491,612.52 --
As regards the details of adjusted the beginning undistributed profits
(1)As the retroactive adjustment on Enterprise Accounting Standards and its related new regulations, the affected
beginning undistributed profits are RMB 0.00.
(2) As the change of the accounting policy, the affected beginning undistributed profits are RMB 0.00.
(3) As the correction of significant accounting error, the affected beginning undistributed profits are RMB 0.00 .
(4) As the change of consolidation scope caused by the same control, the affected beginning undistributed profits
are RMB 0.00.
(5) Other adjustment of the total affected beginning undistributed profits are RMB 0.00 .
Statement on retained profit: for companies issued their securities for the first time, if the accumulated profit
before the issuing is shared by the new and existing shareholders as approved by the shareholders‘ meeting, shall
be described particularly; if the accumulated profit before the issuing is shared only by existing shareholders as
approved by the shareholders‘ meeting, the Company shall provide the details of dividend payable to the existing
shareholders as audited by CPA.
35. Business income, Business cost
（1）Operating income and operating cost
In RMB
109
Items Report period Same period of the previous year
Income from Business income 678,748,660.01 619,350,894.79
Other business income 9,968,231.85 10,624,693.39
Business cost 369,614,599.73 403,435,560.64
（2）Main business（Industry）
In RMB
Name Amount of current period Amount of previous period
Business income Business cost Business income Business cost
Highway
673,137,500.56 358,494,223.15 615,488,183.97 396,294,111.79
Transportation
Other 5,611,159.45 4,381,343.12 3,862,710.82 3,170,416.11
Total 678,748,660.01 362,875,566.27 619,350,894.79 399,464,527.90
（3）Main operating（Product）
In RMB
Report period Same period of the previous year
Name Income for main Income for main Income for main Income for main
operation operation operation operation
Toll income 673,137,500.56 358,494,223.15 615,488,183.97 396,294,111.79
Other 5,611,159.45 4,381,343.12 3,862,710.82 3,170,416.11
Total 678,748,660.01 362,875,566.27 619,350,894.79 399,464,527.90
（4）.Main operating (Area)
In RMB
Same period of the previous
Report period year
Name
Income for main Income for main
Cost for main operation Cost for main
operation operation
operation
Guangfo Expressway 163,160,247.10 119,220,190.87 149,624,856.17 101,228,616.31
Fokai Expressway 509,977,253.46 239,274,032.28 461,051,509.80 273,820,038.34
Jiujiang Bridge 4,811,818.00 21,245,457.14
Other 5,611,159.45 4,381,343.12 3,862,710.82 3,170,416.11
Total 678,748,660.01 362,875,566.27 619,350,894.79 399,464,527.90
36. Business tax and subjoin
In RMB
Items Report period Same period of the Standard
110
previous year
Business tax 22,006,698.77 19,782,796.28 3%、5%
Urban construction tax 1,546,091.45 1,391,763.89 7%、5%
Education surcharge 662,610.69 596,444.60 3%
Defend expense 574,497.70 737,885.54 0.045%-0.096%
Locality Education surcharge 441,745.23 397,580.06 2%
Culture Construction fee 52,159.97 44,240.96
Other 9,925.44
Total 25,283,803.81 22,960,636.77 --
Notes
37. Management expenses
In RMB
Items Report period Same period of the previous year
Wage 51,637,449.06 52,395,015.27
Depreciation of fixed assets 2,456,780.45 2,702,040.55
Amortization of long-term prepaid
3,362,689.58 993,467.05
expensed
Low consumables amortization 267,036.17 750,563.16
Travel expenses 476,612.21 1,525,925.73
Office expenses 1,484,687.84 1,486,382.45
Leased experses 5,930,752.23 6,476,060.78
The fee for hiring agenc 1,732,623.49 1,472,169.00
Consultation expenses 74,280.00 355,522.03
Directorate Expenses 219,302.00 255,865.50
Expenses of taxation 2,043,217.67 1,512,679.94
Listing fee 10,740.00 10,808.40
Spintual civilization fee 62,363.20 269,120.86
Information cost and maintenance fee 106,206.02 397,828.00
Other 6,611,793.93 10,702,830.75
Total 76,476,533.85 81,306,279.47
38. Financial Expenses
In RMB
Items Report period Same period of the previous year
111
Interest expense 213,965,517.01 218,232,239.58
Deposit interest income（-） -9,029,261.50 -3,739,571.14
Exchange Income and loss（Gain-） 277,477.78 -236,822.71
Bank commission charge 196,248.55 696,216.39
Total 205,409,981.84 214,952,062.12
39. Investment income
（1）Investment income
In RMB
Items Report period Same period of the previous year
Long-term equity investment income by
1,656,011.73
Cost method
Long-term equity investment income by
179,155,666.77 157,116,882.96
equity method
Hold the investment income during from
40,463,850.37 13,920,000.00
available-for-sale financial assets
Other 415,618.67
Total 221,691,147.54 171,036,882.96
（2）Long-term equity investment income by costing
In RMB
Same period of the
Name Report period Reason to increase or decrease
previous year
Guangdong Rodio and Television
Current period of declared distribution
Networks investment No.1 Limited 1,656,011.73
of dividends
partnership enterprise
Total 1,656,011.73 --
（3）long-term equity investment incomes confirmed by equity method include:
In RMB
Same period of the
Name Report period Reason to increase or decrease
previous year
Has been transferred in November
Guangdong Maozhan Expressway 11,833,548.81
2013
112
Co., Ltd.
Jingzhu Expressway Guangzhu 35,873,520.21 34,954,291.99 Increase in net profit Investment Unit
Guangdong Jiangzhong Expressway 2,959,363.75 2,527,720.90 Increase in net profit Investment Unit
Guangdong Guanghui Expressway 86,931,001.34 62,865,731.49 Increase in net profit Investment Unit
Ganzhou Gangkang Expressway 3,569,232.01 2,790,959.42 Increase in net profit Investment Unit
Gankang Kangda Expressway 9,881,086.85 8,276,037.03 Increase in net profit Investment Unit
Shenzhen Huiyan Expressway 14,867,595.36 14,112,098.84 Increase in net profit Investment Unit
Zhaoqing Yuezhao Highway 24,755,514.67 19,756,494.48 Increase in net profit Investment Unit
Guangdong Yueke Technology Petty
1,118,200.43 Investment units started operations
Loan Co., Ltd
Asian Kitchen & Bath City Co., Ltd. -799,847.85 Under construction
Total 179,155,666.77 157,116,882.96 --
Statement on investment gains, please state whether or not there are material constrains on retrieving of
investment gains.
40 Loss of assets impairment
In RMB
Items
Amount of current period Amount of previous period
Loss for bad debts -2,000,000.00
Total -2,000,000.00
41.Non-operating income
（1）Non-operating income
In RMB
The amount of
Items Amount of current period Amount of previous period non-operating gains &
lossed
Total income from liquidation of
1,500.00 1,500.00
non-current assets
Including：Income from liquidation of
1,500.00 1,500.00
fixed asset
Road property claim income 666,411.69 853,480.50 666,411.69
Insurance claim income 574,607.60 649,274.04 574,607.60
Other 161,919.70 93,312.90 161,919.70
Total 1,404,438.99 1,596,067.44 1,404,438.99
Notes
113
42. Non-Operation expense
In RMB
The amount of
Amount of current period Amount of previous
Items non-operating gains &
lossed
period
Total of non-current asset Disposition loss 574,948.41 237,286.47 574,948.41
Incl: loss of fixed assets disposition 574,948.41 237,286.47 574,948.41
Exprese of fine 351.77
Road repair expens 1,712,913.37 14,288.00 1,712,913.37
Other 107,929.43 109,217.97 107,929.43
Total 2,395,791.21 361,144.21 2,395,791.21
Notes
43. Income tax expenses
In RMB
Items
Amount of current period Amount of previous period
The current income tax calculated by the tax law and
7,855,114.86 5,665,023.90
the relevant regulations
Adjustment of Deferred income tax 23,837,672.00 9,929,306.70
Total 31,692,786.86 15,594,330.60
44. Calculation of Basic earnings per share and Diluted earnings per share
Items Line Report period Same period of the previous year
Net profit attributable to shareholders of parent 1 178,192,944.02 57,611,897.53
company
Non-recurring gain/loss attributable to the 2 1,716,253.08 604,039.19
netprofit of common shareholders of the parent
company after deducting of income tax
influences
Net profit attributable to common share holdersof 3=1-2 176,476,690.94 57,007,858.34
the Company after deducting of non-recurring
gain/loss
Total shares at the beginning of the year 4 1,257,117,748 1,257,117,748
Additional share capital transferred from public 5
reserve or additional shares from shares dividend
distribution
Additional shares from issuing new shares or 6
debt-converted shares
Accumulative months of the additional share 7
114
commencing from the next moth till the end of
the year
Decreased shares due to repurchase 8
Accumulative months of the decreased shares 9
commencing from the next month till the end of
the year
Months during the report period 10 6 6
Weighted average of comm. Shares issued 11=(4+6×7÷10-8×9÷1 1,257,117,748 1,257,117,748
0)×(4+5+6)÷(4+6)
Basic earning per share（Net profit attributable to 12=1÷11 0.14 0.05
shareholders of parent company）
Basic earning per share（Non-recurring gain/loss 13=3÷11 0.14 0.05
attributable to the netprofit of common
shareholders of the parent company after
deducting of income tax influences）
Diluted potential comm. Shares dividend 14
recognized as expense
Income tax rate 15
Conversion expense 16
Weighted average of comm. Shares added 17
throuthwarrant, exercise of option and
convertible bonds
Diluted earnings per share（Net profit attributable 18=[1+(14-16)×(1-15) 0.14 0.05
to shareholders of parent company） ]÷(11+17)
Diluted earnings per share（Non-recurring 19=[3+(14－ 0.14 0.05
gain/loss attributable to the netprofit of common 16)×(1-15)]÷(11+17)
shareholders of the parent company after
deducting of income tax influences）
45. Other comprehensive income
In RMB
Items Amount of current period Amount of previous period
Loss amount produced by sellable financial assets -28,230,593.28 -38,400,000.00
Subtotal -28,230,593.28 -38,400,000.00
Total -28,230,593.28 -38,400,000.00
Notes
The Company is an investment enterprise. After deduction of investment income not subject totaxpayment, tax
loss occurs each year, which is to be made up in the future Based on the principle of prudence, the Company
has not recognized deferred incme tax assets corresponding to uncovered losses. As it is expented that the
115
incme from the disposal of financial assets available for sale is insufficient to make up the Company‘s tax loss,
the Company needs not pay income tax. Therefore, the Company will not calculate the influence on income tax
arising from these financial assets available for sale.
46. Notes Cash flow statement
(1) Other cash received from business operation
In RMB
Items Amount
Newwork received toll income 62,764,326.00
Interest income 9,029,261.50
Unit current account 17,412,750.14
Total 89,206,337.64
Notes
（2）Other cash paid for business activities
In RMB
Items Amount
Management expense 18,835,067.18
Unit current account 7,556,833.65
Total 26,391,900.83
Notes
(3)Cash received related to other investment activities
In RMB
Items Amount
Debt restructuring and withdraw entrusted loan 2,000,000.00
Total l 2,000,000.00
Notes
(4)Cash paid related to other investment activities
In RMB
Items Amount
Notes
(5) Cash received related to financing activities
116
Notes
(6) Cash paid related to financing activities
In RMB
Items Amount
The medirm –term notes underwriting fees 3,000,000.00
Total 3,000,000.00
Notes
47. Supplement Information for cash flow statement
（1）Supplement Information for cash flow statement
In RMB
Supplement Information Amount of current period Amount of previous period
-- --
I. Adjusting net profit to cash flow from operating activities
Net profit 202,938,981.09 63,998,524.77
Add: Impairment loss provision of assets -2,000,000.00
Depreciation of fixed assets, oil and gas assets and
276,046,685.37 320,923,003.11
consumable biological assets
Amortization of intangible assets 812,944.97 4,418,334.50
Amortization of Long-term deferred expenses 3,392,950.88 1,023,728.35
Loss on disposal of fixed assets, intangible assets and other
573,448.41 237,286.47
long-term deferred assets
Financial cost 214,242,994.79 217,995,416.87
Loss on investment -221,691,147.54 -171,036,882.96
Decrease of deferred income tax assets 22,270,454.73
Increased of deferred income tax liabilities 1,567,217.27 9,929,306.70
Decease of operating receivables -59,098,396.23 -34,411,709.18
Increased of operating Payable 61,884,967.50 -81,440,443.07
Net cash flows arising from operating activities 500,941,101.24 331,636,565.56
II. Significant investment and financing activities that
-- --
without cash flows:
III. Net increase of cash and cash equivalents -- --
Ending balance of cash 953,022,518.70 1,005,030,338.31
Less: Beginning balance of cash equivalents 976,468,685.82 798,485,320.49
117
Net increase of cash and cash equivalents -23,446,167.12 206,545,017.82
(2)Composition of cash and cash equivalents
In RMB
Items Amount of current period Amount of previous period
953,022,518.70 976,468,685.82
I. Cash
46,514.67 110,388.36
Of which: Cash in stock
Bank savings could be used at any time 952,158,696.27 975,162,633.84
Other monetary capital could be used at any time 817,307.76 1,195,663.62
III. Balance of cash and cash equivalents at the period end 953,022,518.70 976,468,685.82
Notes
VIII.Related parties and related-party transactions
1. Parent company information of the enterprise
The parent The
The parent
company ultimate
Legal company Organizati
Related Registered Registrate of the controlling
Name Tyep representat Nature of the on Code
parties address d capital Company's party of
ive Company‘
shareholdi the
s vote ratio
ng ratio Company
Equity
manageme
No. 27,
Guangdon nt, traffic Guangdon
Baiyyun
g infrastruct g
Holding State
Road,Yuex
communic ure 2,680,000. communic 72383855
Shareholde owned Li Jng 40.83% 43.65%
iu
ation constructio 00 ation 2
r Co., Ltd.
District ,
Group Co., n and Group Co.,
Guangzho
Ltd railway Ltd
u.
project
operation
Notes :
Guangdong Communication Group Co., Ltd. is the largest shareholder of the Company. legal representative: Li
Jing. Date of establishment: June 23, 2000. As of June 30, 2014,Registered capital: RMB 26.8 billion. It is a solely
state-owned limited company. Business scope：equity management, organization of asset reorganization and
optimized allocation, raising funds by means including mortgage, transfer of property rights and joint stock
system transformation, project investment, operation and management, traffic infrastructure construction, highway
and railway project operation and relevant industries, technological development, application, consultation and
services, highway and railway passenger and cargo transport, ship industry, relevant overseas businesses
（if the above mentioned business scope requires licenses to operate, then operation licenses are required）.
118
2.Particulars of the subsidiaries
The
The
subsidiaries
Legal subsidiaries Organizatio
Related Registered Registrated of the
Name Tyep representati Nature of the n Code
parties address capital Company's
ve Company‘s
shareholdin
vote ratio
g ratio
Limited
liability
Company(T
aiwan, Shabei Expressway
Guangfo
Subsidiary Hong Kong West,Guang Xiao Laijiu Managemen 20,000.00 75.00% 75.00% 617401437
Expressway and Macao zhou t
and in
cooperation
）
No.83,
Baiyun
Guangdong Limited Expressway
Road, Zhu
Subsidiary liability Managemen 110,800.00 75.00% 75.00% 231124318
Fokai Yuexiu Zhanliang
Company t
District ,Gu
Expressway
angzhou
4/F,Guangd
Limited
ong
liability
Guangdong Expressway
Company Investment
Building, in technical
Expressway （Foreign-i
No.85, industries
nvested Xiao Laijiu 10,000.00 100.00% 100.00% 731456984
Technology Baiyun and
enterprises
Road, provision of
Investment and
Yuexiu relevant
domestic
Co., Ltd. District,
join
Guangzhou
3.Infornation of Joint venture and Affiliated company
Legal Registrated Held Share Voting
Registrated Related Orgabuzatui
Name Type representati Nature capital proportion( proportion(
address parties b code
ve （RMB‘00 %) %)
119
00）
I. Joint venture
Guangdong
Limited Expressway
Guanghui Guangzhou, Liu 2,351,678,0 Joint
liability Managemen 30.00% 30.00% 707685410
00.00 venture
Expressway Guangdong Gangliang t
Company
Co., Ltd.
2. Zhaoqing
Limited Expressway
Yuezhao Zhaoqing, 818,300,000 Joint
liability Wang Ping Managemen 25.00% 25.00% 708157003
.00 venture
Highway Guangdong t
Company
Co., Ltd.
Limited Organic
.Beijing fertilizer 20,000,000. Joint
liability Beijing Wang Jianji production 00 35.00% 35.00% 735596044
venture
Gelin Enze
and sell
Company
II. Affiliated company
Shenzhen
Limited Expressway
Huiyan Shenzhen, Qiao 36,000,000. Affiliated
liability Managemen 33.33% 33.33% 192203792
Hongwei 00 company
Expressway Guangdong t
Company
Co., Ltd.
Jingzhu Limited Expressway
Guangzhou, Wang 580,000,000 Affiliated
Expressway liability Managemen 20.00% 20.00% 617401445
Kangchen .00 company
Guangdong t
Company
Guanzhu
Guangdong
Limited Expressway
Jiangzhong Guangzhou, Wang 1,110,000,0 Affiliated
liability Managemen 15.00% 15.00% 742962356
Kangchen 00.00 company
Expressway Guangdong t
Company
Co., Ltd.
Other
Expressway
Limited Ganzhou, 600,000,000 Affiliated
Yao Diming Managemen 30.00% 30.00% 772390395
.00 company
Ganzhou liability Jiangzi t
Kangda
Expressway Company
120
Ganzhou Limited Expressway
Gankang Gangzhou, Wen 754,596,667 Affiliated
liability Managemen 30.00% 30.00% 799467196
Expressway Yanghan .00 company
Co., Ltd. Jiangxi t
Company
Guangdong
Yueke Limited Hande all
Guangzhou, 1,000,000,0 Affiliated
Technology liability Li Quanhui kinds of 20.00% 20.00% 071892245
00.00 company
Petty Loan Guangdong small loans
Company
Co., Ltd.
Asian
Limited Real estate
Kitchen & Heshan, 132,716,000 Affiliated
liability Chen Lize Developme 15.00% 15.00% 06214240X
Bath City Guangdon .00 company
Company nt and sales
Co., Ltd.
4. Other Related parties
Organization Code
Relation with the Company
Name
Fully owned subsidiary of the
Guangdong Expressway Co., Ltd. 190330413
parent company
Fully owned subsidiary of the
Guangdong Changda highway Co., Ltd. 190334510
parent company
Guangdong Hualu communication Fully owned subsidiary of the
736195293
Technology Co., Ltd. parent company
Guangdong Xinyue Communication Fully owned subsidiary of the
707656521
Investment Co., Ltd. parent company
Guangdong Gaoda Property Development Fully owned subsidiary of the
707685592
Co., Ltd. parent company
Guangdong East Thinking Management Fully owned subsidiary of the
724762107
Technology Development Co., Ltd. parent company
Guangzhou Xinruan Computer Fully owned subsidiary of the
725017352
Technology Co., Ltd parent company
Fully owned subsidiary of the
Guangdong Lulutong Co., Ltd. 231125505
parent company
Fully owned subsidiary of the
Guangdong Xinlu Adverting Co., Ltd. 747072344
parent company
Fully owned subsidiary of the
Guangzhou Xinyue Asphalt Co., Ltd. 714289942
parent company
Guangdong Highway Construction Fully owned subsidiary of the
190335177
Co.,Ltd. parent company
121
Guangdong Zhaoyang Expressway Fully owned subsidiary of the
681314303
Co.,Ltd. parent company
Fully owned subsidiary of the
Guangdong Kaiyang Expressway Co., Ltd. 712226008
parent company
Fully owned subsidiary of the
Guangdong Yuzhan Expressway Co., Ltd. 752877577
parent company
Fully owned subsidiary of the
Guangdong Shanfen Expressway Co., Ltd. 719339187
parent company
Fully owned subsidiary of the
Guangdong Yunwu Expressway Co., Ltd. 75108396X
parent company
Guangdong Shenshanxi Expressway Co., Fully owned subsidiary of the
675660592
Ltd. parent company
Fully owned subsidiary of the
Yunfu Guangyun Expressway Co., Ltd. 744489224
parent company
Guangdong Litong Real estate Investment Fully owned subsidiary of the
774031126
Co., Ltd. parent company
Guangdong West coastal Expressway Fully owned subsidiary of the
737563043
Co.,Ltd. parent company
Guangdong Taishan Coastal Expressway Fully owned subsidiary of the
707968736
Co., Ltd parent company
Guangdong Highway Bridge Construction Fully owned subsidiary of the
190376243
Development Co., Ltd. parent company
Guangdong Yangmao Expressway Co., Fully owned subsidiary of the
74170833X
Ltd. parent company
Guangdong Second Guand Expressway Fully owned subsidiary of the
556657112
Co., Ltd. parent company
Guangdong Maozhan Expressway Co., Fully owned subsidiary of the
707668637
Ltd. parent company
Notes
5. Related transactions.
（1）Related transactions on purchasing goods and receiving services
In RMB
Content of related Pricing principle of Amount in current period Amount in last period
Related parties
transaction related transactions Amount Proportio Amount Proportio
122
n（%） n（%）
Guangdong Changda Project fund
Market price 2,509,653.00 0.68%
highway Co., Ltd
Guangdong
Guanghui
Rent Market price 1,650,000.00 0.45% 1,420,833.34 0.35%
Expressway Co.,
Ltd.
Guangdong Gaoda
Property
Rent Market price 200,196.00 0.05%
Development Co.,
Ltd.
Guangzhou Xinruan
Computer Project fund
Market price 153,920.00 0.04% 157,020.00 0.04%
Technology Co.,
Ltd.
Zhaoqing Yuezhao
Rent Market price 112,500.00 0.03% 112,500.00 0.03%
Highway Co., Ltd.
Guangdong Litong
Property Rent Management fees Market price 4,200,528.00 5.49% 5,084,850.00 6.25%
Investment Co., Ltd
Guangdong Gaoda
Property
Rent Management fees Market price 384,668.65 0.50% 1,176,367.75 1.45%
Development Co.,
Ltd.
Guangzhou Xinruan
Computer
Project fund Market price 5,771,846.00 24.75%
Technology Co.,
Ltd.
Guangdong Xinyue
Project fund
Communication
Market price 5,474,321.50 23.47%
Investment
Co., Ltd.
Guangdong Hulu
Project fund
Communication
Market price 356,051.03 1.53% 6,472,654.00 8.49%
Technology
Co., Ltd.
Guangdong Changda Project fund
Market price 62,697,512.00 82.25%
Highway Co., Ltd.
Related transactions on sale goods and receiving services
123
In RMB
Amount in current period Amount in last period
Content of related Pricing principle of
Related parties Proportio Proportio
transaction related transactions Amount Amount
n（%） n（%）
Guangdong
Expressway Co., Project fund Market price 2,292,150.00 0.33% 1,680,050.00 0.27%
Ltd.
Guangdong Xinlu
Rent Market price 921,864.26 0.13% 651,101.37 0.10%
Adverting Co., Ltd.
Asian Kitchen &
Rent Market price 275,000.00 0.04%
Bath City Co., Ltd.
Guangdong Kaiyang
Expressway Co., Project fund Market price 146,035.68 0.02% 146,035.68 0.02%
Ltd.
Guangdong
Yangmao
Project fund Market price 60,000.00 0.01% 30,000.00 0.01%
Expressway Co.,
Ltd.
Guangdong Taishan
Coastal Expressway Project fund Market price 30,000.00 0.00% 30,000.00 0.01%
Co., Ltd
Guangdong Shipping
Planning and Design Rent Market price 21,680.00 0.00%
Institute
Guangdong Changda Rent, Polyesterfiber
Market price 18,816.00 0.00%
highway Co., Ltd. cloth for sale
Zhaoqing Yuezhao
Project fund Market price 8,300.00 0.00%
Highway Co., Ltd.
（2）Other Relationships Transactions
Our controlled subsidiary company Guangdong Fokai Expressway Co.,Ltd. is planning to carry out expansion &
reconstruction for the section from xiebian to sanbao. On May 20, 2005,Guangdong Fokai Expressway Co.,Ltd.
and Guangdong Expressway Co.,Ltd. had signed《the agreement of construction and management entrustment in
fo-kai highway extension project for the section from xiebian to sanbao》.This agreement and its complementary
agreement had been approved and made effective by the resolutions of the 2nd provisional shareholders‘ meeting
held by our company in Feb. of 2008. According to the above agreement, Guangdong Fokai Expressway Co.,Ltd.
will entrust the construction and management of fo-kai highway extension project for the section from xiebian to
sanbao to Guangdong Expressway Co.,Ltd. and Guangdong Fokai Expressway Co.,Ltd. will pay the construction
& management Fee of entrustment to Guangdong Expressway Co.,Ltd.
the project was completed and open to traffic on June 30, 2014.
6. Payables and receivables of the related party
124
Listed company related party fund
In RMB
Amount at year end Amount at year beginning
Name Related party
Balance of Book Bad debt Provision Balance of Book Bad debt Provision
Guangdong
Account receivable 3,163,071.00 1,068,921.00
Expressway Co., Ltd
Guangdong Yangmo
Account receivable 60,000.00
Expressway Co., Ltd.
Guangdong Kaiyang
Account receivable 56,507.04 360,671.36
Expressway Co., Ltd.
Guangdong Taishan
Account receivable Coastal Expressway 30,000.00
Co., Ltd
Guangdong
Account receivable Maozhan Expressway 96,000.00
Co., Ltd.
Guangzhou Xinruan
Prepayable account Computer 128,580.00 128,580.00
Technology Co., Ltd.
Zhaoqing Yuezhao
Prepayable account 18,750.00 131,250.00
Highway Co., Ltd.
Guangdong Xinyue
Prepayable account Communication Co., 1,432,981.80
Ltd.
Guangdong Changda
Prepayable account 242,502.50
highway Co., Ltd.
Dividend receivable Jingzhu Expressway
68,290,318.11 16,648,284.74
Guangzhu
Dividend receivable Shenzhen Huiyan
25,000,000.00
Expressway Co., Ltd.
Dividend receivable Ganzhou Gankang
3,000,000.00
Expressway Co., Ltd.
Other Account receivable Beijing Gelin Enze 10,220,079.91 10,220,079.91 12,220,079.91 12,220,079.91
Guangdong Litong
Other Account receivable Property Investment 1,485,856.00 1,435,856.00
Co., Ltd.
Guangdong Xinlu
Other Account receivable 741,000.00 493,115.31
Adverting Co., Ltd.
Other Account receivable Guangdong 668,034.00 668,034.00
125
GuanghuiExpressway
Co., Ltd.
Guangdong Kaiyang
Other Account receivable 512,038.95 73,244.00
Expressway Co., Ltd.
Zhaoqing Yuezhao
Other Account receivable 411,178.00 411,178.00
Highway Co., Ltd.
Guangdong Yunwu
Other Account receivable 137,196.07 136,980.96
Expressway Co., Ltd.
Guangdong Gaoda
Property
Other Account receivable 87,000.00 91,500.00
Development Co.,
Ltd.
Guangdong Maozhan
Other Account receivable 40,100.00 40,100.00
Expressway Co., Ltd.
Guangdong
Other Account receivable 39,654.00 39,654.00
Expressway Co., Ltd
Guangdong Yangmao
Other Account receivable 27,497.91
Expressway Co., Ltd.
Yunfu Guangyun
Other Account receivable 6,143.00 6,143.00
Expressway Co., Ltd.
Guangdong
Other Account receivable Shenshanxi 4,723.32
Expressway Co., Ltd.
Guangdong Xinyue
Other Account receivable Communication 2,158.60 2,158.60
Investment Co., Ltd.
Guangdong Shanfen
Other Account receivable 24,486.00
Expressway Co., Ltd
Guangdong Luqiao
Construction
Other Account receivable 3,762.70
Development Co.,
Ltd.
The listed company Payables of the related party
In RMB
Amount at year end Amount at year beginning
Name Related party
Guangdong Changda highway
Account payable 18,591,514.70 16,960,140.06
Co., Lt
Guangdong Expressway Co.,
Account payable 13,728,261.18 13,728,261.18
Ltd.
126
Guangdong Guanghui
Account payable 8,652,361.01 7,002,361.01
Expressway Co., Ltd.
Guangdong Xinyue
Account payable Communication Investment 1,198,426.64
Co., Ltd.
Guangdong Hualu
Account payable 614,663.45 298,222.00
communication
Technology Co., Ltd.
Guangzhou Xinruan
Account payable Computer Technology 288,320.00 134,400.00
Co., Ltd
Guangdong Gaoda Property
Account payable 100,098.00
Development Co., Ltd.
Guangdong East Thinking
Account payable Management 78,234.00 78,234.00
Technology Development
Co., Ltd.
Guangdong Maozhan
Account payable 50,000.00
Expressway Co., Ltd.
Guangdong Lulutong Co.,
Account payable 416,941.41
Ltd.
Guangdong Expressway Co.,
Dividend payable 24,591,472.01
Ltd.
Guangdong Changda highway
Other payable 82,322,432.94 78,597,522.94
Co., Lt
Guangdong Expressway Co.,
Other payable 12,718,745.06 14,742,813.17
Ltd.
Guangdong Xinyue
Other payable Communication Investment 432,595.50 472,595.50
Co., Ltd
Guangdong Highway
Other payable 177,077.98
Construction Co., Ltd.
Guangzhou Xinruan
Other payable Computer Technology 136,335.00 578,185.75
Co., Ltd
Other payable Guangdong Shenshanxi 121,454.85
127
Expressway Co., Ltd.
Other payable Guangdong Lulutong Co., Ltd 66,604.23 66,604.23
Guangdong Hualu
Other payable 53,600.00 268,750.50
communication
Technology Co., Ltd.
Guangdong Xinlu Adverting
Other payable 30,000.00 30,000.00
Co., Ltd.
Guangdong West Coastal
Other payable 29,758.20
Expressway Co., Ltd.
Guangdong Zhaoyang
Other payable 27,497.91
Expressway Co., Ltd.
Guangdong East Thinking
Other payable Management 26,000.00 26,000.00
Technology Development
Co., Ltd.
Guangdong Yuzhan
Other payable 25,105.74
Expressway Co., Ltd.
Guangzhou Xinyue Asphalt
Other payable 3,100.00 3,100.00
Co., Ltd.
Guangdong Second Guang
Other payable 14.77
Expressway Co., Ltd.
Guangdong communication
Other payable 1,646,011.38
Group Co., Ltd.
IX. Subsequent events
1.Liabilities formed from pending lawsuit and mediation and it financial impact.
Naught
2.For other units to provide debt guarantees, forming of contingent liabilities and the financial impact.
Naught.
Other Liabilities and their financial impact:
The current accounting period did not occur this matter
128
X. Commitment events.
1.Importance commitment events
2. Information guaranteed at the former period.
（1）The foreign investment contracts which had signed but not fulfiled or notcompletely fulfilled and the
related financial expenditure.
1. The controlling Subsidiary of the Company Fokai Expressway Co., Ltd is expanding the construction of
Yayao Xiebian Yayao – Xiebian. On May 22, 2007, Guangdong Development & Reform Commission issued
Gaijiaoyun [2007] No.1119 File, the Official Reply to the approval of the project of Guangdong Xiebian-Sanbao
Highway Expansion Construction from State Development and Reform Commission: Approved the expansion
project of Xiebian- Sanbao Highway, with the investment of the project for 3.71 billion Yuan, of which: the capital
1.47 billion Yuan by the Guangdong Fokai Expressway Co., Ltd, the remaining funds 2.24 billion Yuan by loans
from domestic banks. On April 3, 2008, State Highway Traffic Department released TAC [2008]No. 16, : the total budget approved as
RMB 4,002,409,114.00, total construction period of the project is (since the date of opening) four years. As of the
end of the report period, the main part of the expansion project of Xiebian- Sanbao of Fokai Expressway has been
finished but has not performed the completion final accounts.
2. The Company held the second provisional Shareholders‘ General meeting on September 28, 2009 , The
meeting examined and adopted to review and approve the Motion of Investing in 30% Equity of
Guangzhou-Lechang Expressway Project. The board of directors consented to invest RMB2,561.914 million in
30% equity of Guangzhou-Lechang highway project. Total investment and capital invested by shareholders shall
be the final accounts approved by the competent government authority.
On January 13, 2014 the Company held the 2014 First Extraordinary General Meeting. The meeting agreed to
the reduction of the scale of the Company's investment in Guangle Company. The amount of the
Company's capital contribution is to decrease to RMB 768.6012 million (including registered
capital contribution of RMB 150 million and capital contribution of RMB 618.6012 million). The
proportion of Guangle Company's equity held by the Company is to decrease from 30% to 9%. The
total project investment and the project capital to be contributed by shareholders shall be subject to
the final accounts approved by the competent governmental department.As of June 30, 2014.The
company has invested accumulated RMB 729.9975 million.
（2）Contingent liability formed by providing debt guarantee to other unit anditsinfluence on finance
.The controlling subsidiary of the company Guangdong Expressway Technology Investment Co., Ltd. signed the
and related supplementary agreements with Guangdong
Guanghui Expressway Co., Ltd., Guangdong Expressway Technology Investment Co., Ltd. leased advertisement
position from Guangdong Guanghui Expressway Co., Ltd. the total rental fee reduced to 25.20 million Yuan, the
leasing period from July 1, 2006 to June 30, 2016.
XI. Other Important events
129
1.Other
1．June 15,2007 early in the morning, The 325 Jiujiang Bridge collapsed on # 23 pier for ―Nanguijii 035‖
collision owned by the controlling subsidiary of the company Guangdong Fokai Expressway Company leads the
collapse and the traffic jam of 200 meters long of the Jiujiang Bridge. On June 10, 2009, Jiujiang Bridge opened
to traffic has been restored.
On June 19,2007， The Ministry of Communications, the State Production Safety Supervision and
Administration Commission issued the JiaoAnWeiming File [2007] No. 8 "Notification on the Guangdong"6.15
"Jiujiang Bridge Collision Accident", initially determined the causes of the accident are: the incident ship
suddenly met heavy fog on the way from Foshan Gaoming to Sunde, the captain neglected looking out, did not
take proper measures and deviated from the main channel, touched the 325 National Road Jiujiang Bridge the
non-navigation bridge pier and caused the collapsion of part of the Jiujiang bridge. The accident was an unilateral
responsibility of the ship.
On July 19,2007，Fokai Company applied preservation of property to Guangzhou Maritime Court.On August
22,2007，Fokai Company officially prosecuted to Guangzhou Maritime Court, asking Foshan South Sea Shipping
Company Limited and Yang Xiong to undertake the conpensation 25,587,684 yuan for the loss caused by
collapsion of Jiujiang Bridge. On August 28, 2007, Guangzhou Maritime Court accepted the case. According to
the (2007)-Canton Haifa No. 332 ruling book issued by Guangzhou Maritime Court, the proceeding of the case
was suspended.
After the court accepted the case, the incident investigation team of Guangdong Provincial Government had
not made the final report of Jiujiang Bridge accident. The Court, on November 5, 2007, decided to suspend the
proceeding. In September 2008, Jiujiang Bridge accident investigation report was officially reported and resumed
the proceedings. On December 5, 2008, Guangzhou Marine Court opened a court trial to procceeded the case.
Currently, Guangzhou Haizhu prosecutorial office was intend to prosecute the accident captain Shi Guide,
therefore, on January 5, 2009, Guangzhou Maritime Court ruled the suspension of the case. On September 17,
2013, the Guangzhou Maritime Court issued a notice of civil and eliminate the cause of suspension of proceedings,
the court decided to resume the trial. On December 19, 2013, the Guangzhou Maritime Court opened a court
session, has not yet made the first-instance judgment. On March 7, 2014 the Court made the first instance verdict:
the defendant Foshan Nanhai Yuhang ship Services Co., Ltd. and Yang Xiong compensated the plaintiff Fokai
Expressway Co., Ltd. toll revenue losses of RMB 19,357,500.96; the court dismissed the plaintiff other aspirations.
The defendant appealed to the Higher People's Court of Guangdong Province, the Guangdong Provincial Higher
People's Court ruled on June 5, 2014, the case discontinued proceedings.
2.In June 2003, Guangdong Expressway Technology Investment Co., Ltd., a wholly-owned subsidiary of the
Company, signed Entrusted Loan Agreement with Beijing Bank and Beijing Gelin Enze Organic Fertilizer Co.,
Ltd. According to the agreement, Guangdong Expressway Technology Investment Co., Ltd. entrusted Xisi
Sub-branch of Beijing Bank to lend RMB 8 million to Beijing Gelin Enze Organic Fertilizer Co., Ltd. with a term
of one year. Meanwhile, Guangdong Expressway Technology Investment Co., Ltd. Beijing Gelin Enze Organic
Fertilizer Co., Ltd. and Wang Jianji (the board chairman of Beijing Gelin Enze Organic Fertilizer Co., Ltd.) jointly
signed Guarantee Contract. According to the contract, Wang Jianji shall bear joint liability for repayment in
respect of the loan of RMB 8 million and corresponding interests, damages and expenses.
As Beijing Gelin Enze Organic Fertilizer Co., Ltd. failed to repay due borrowings, Guangdong Expressway
Technology Investment Co., Ltd. brought an action against Wang Jianji to Guangdong Guangzhou Yuexiu District
People's Court on May 31, 2006.
130
On September 11, 2008, Guangzhou Intermediate People's Court judged case transfer for jurisdiction. Beijing
Xicheng District People's Court held hearings on September 16, 2009. 2On April 15, 2010, Beijing Xicheng
District People's Court issued (2009) Xi Min Chu Zi No. 5881 Civil Judgment and judged that Guangdong
Expressway Technology Investment Co., Ltd. won the lawsuit. The Defendant refused to accept the judgment and
instituted an appeal to Beijing First Intermediate People's Court. 2On October 19, 2010, Beijing First Intermediate
People's Court made the final judgment and issued (2010) Yi Zhong Min Zhong Zi No. 10701 Civil Judgment to
reject the appeal of the Defendant and maintain the original judgment in the first instance.
In November 2010, Guangdong Expressway Technology Investment Co., Ltd. applied to the court for
enforcement in respect of the attached 2.5 flats of the Defendant. 2On February 15, 2011, the court informed that
the procedure for placing enforcement on file had been completed. File No.: (2011) Xi Zhi Zi No. 00039. At
present, the enforcement procedure is still being implemented. On July 14, 2011, Wang Jianji has applied for a
retrial.On May 8, 2012, Beijing Higher People's Court issued (2012) Gao Min Ti Zi No. 391 Written Civil
Judgment to revoke the judgment of Beijing First Intermediate People's Court and Xicheng District People's Court.
Within 15 days from the effective date of this judgment, Gelin Company shall pay RMB 8 million and accrued
interest and damages (1% of payment) to Technology Company with all its assets. When Gelin Company's assets
are insufficient to repay the loan, Wang Jianji shall pay the part that Gelin Company fails to pay. On January 10,
2013, the court suggested an amicable settlement but no settlement was reached. On June 27, 2013, Guangdong
Expressway Technology Investment Co., Ltd. submitted Bill for a New Trial to the Supreme People's Court,
Counterappeal Application to the Supreme People's Procuratorate and Application for Requesting Counterappeal
to Beijing Municipal People's Procuratorate.
Guangdong Expressway Technology Investment Co., Ltd. has separately received ―Notice of Acceptance‖
and ―Notice of Register‖ issued by Beijing Municipal Procuratorate in October and November.
On April 2014, Guangdong Expressway Technology Investment Co., Ltd. and Wang Jianji, Beijing Gelin Enze
Organic Fertilizer Co., Ltd. signed a settlement agreement, Wang Jianji agreed to pay back RMB 8 million in 4
installments to Guangdong Expressway Technology Investment Co., Ltd., each payment was RMB 2 million ; after
Wang Jianji settled RMB 8 million , Guangdong Expressway Technology Investment Co., Ltd. can no longer
recourse any other rights in the case final judgments, and transferred the equity investment of Beijing Gelin Enze
Organic Fertilizer Co., Ltd. with RMB 1. When the above agreement fulfilled Guangdong Expressway Technology
investment Co., Ltd., Wang Jianji and Beijing Gelin Enze Organic Fertilizer Co., Ltd. terminated the obligations
and rights; neither party shall not claim Guangdong Expressway Technology Investment Co., Ltd. due to the
operation, management problems and not bear any legal responsibilities. As of June 30, 2014, Guangdong
Expressway Technology Investment Co., Ltd. received RMB 2 million repayments in total from Wang Jianji.
3. The 26th (Provisional)Meeting of the sixth board of directors of Guangdong Provincial Expressway
Development Co., Ltd. was held of May 10, 2012. The meeting examined and adopted the proposal Concerning
the Companys Accepting the insurance Bond Investment Plan of Pacific Asset Management Co., Ltd. The
Company was approved to accept the insurance bond investment plan made by Pacific Asset Management Co.,
Ltd. The amount of proceeds to be raised is not more than RMB 1.5 billion . Floating interest rate plus guaranteed
base interest rate applies as the interest rate. The Floaing interest rate shall not exceed the basic interest rate of
RMB loan with a term of over five years on the day when the investment fund of the insureance company is
transferred into the Companys account and the corresponding days of the future years, which shall be adjusted
once each year. The guaranteed base interest rate is 5.6%. The concrete amount of raised proceeds shall be within
maximum limit of investment fund filed with CIRC. The actual amount wholly transferred to the Company shall
apply. The final interest rate is subject to investment Contract for Bond Investment Plan between Pacific and
131
Guangdong Expressway Filed with CIRC. It was approved to authorize the management of the Company to
implement the above-mentioned matters.
The Company was approved to provide counter guarantee to Guangdong Communication Group
Co.,Ltd.with 75% equity of Guangdong Fokai Expressway Co., Ltd. Held by it . as of June 30, 2013, the company
has borrowed RMB 1.5 billion.
4. The toll collection period of Jiujiang Bridge of No. 325 National Highway owned by Jiujiang Bridge
Branch of Guangdong Fokai Expressway Co., Ltd., a controlled subsidiary of the Company, which was approved
by Ministry of Communications, is 30 years. Up to the present, the accumulative toll collection period is 25 years.
According to the Notice of Relevant Matters Concerning Quickening Special Clearing of Toll Highways in
Guangdong Province (Yue Jiao Ming Dian (2013) No. 56 Document), the rectification measure proposed for
Jiujiang Bridge is "toll collection period shall be no more than 20 years". The result of rectification is "toll
collection shall be cancelled due to the expiration of toll collection period." As required by this document, Jiujiang
Bridge will stop toll collection from 24:00 of June 30, 2013. Jiujiang Bridge is a construction project in which an
enterprise under provincial administration invested. As for relevant problems occurred after rectification, the
Provincial State-owned Assets Commission shall coordinate in handling such problems according to the
requirements of the document.
In view of the cancellation of tolls, the relevant assets on Jiujiang Bridge are neither owned or controlled by
the company, nor brings any economic benefits to enterprise in future. According to the provision of Accounting
Standards, the company has made disposal of the assets at the end of 2013, and the relevant losses have been
recorded into the annual expenses outside of operation in 2013.
In May 2014, the company received Guangdong Provincial People's Government Office documents on the
opinions of the compensation for cancellation fee of Jiujiang Bridge as follow. The loss to the company resulted
from the early cancellation of Jiujiang Bridge toll fee will be compensated by Guangdong Communication Group.
The provincial SASAC conjunction with relevant units will examine the compensation amount base on Provincial
Legal Office; work with Provincial Department of Finance to make the compensation arrangements for provincial
government to approve.
As of the date of this report, the Company has not reached agreement with governmental departments
through consultation in respect of the scheme for project benefit compensation or asset disposal after the
enforcement of the above-mentioned notice. As the influence of this matter on the Company is quite uncertain, it
is impossible to appraise the influence on the operating status and financial position of the Company.
XII.Notes s of main items in financial reports of parent company
1.Other account receivable
（1）Other account receivable
In RMB
Year-end balance Year-beginning
Classification Provision for bad
Book balance Provision for bad debts Book balance
debts
132
Propo Propo Propo Propo
Amount rtion( Amount rtion( Amount rtion( Amount rtion(
%) %) %) %)
Other Receivables with
major individual amount and 88.33 100.0 87.72 100.0
32,530,422.85 32,530,422.85 32,530,422.85 32,530,422.85
bad debt provision provided % 0% % 0%
individually
Other Receivables provided bad debt provision in groups
Group 1：Other Account
reveivables on which bad 69.59 62.85
2,383,377.34 6.47% 1,658,571.80 2,639,011.71 7.11% 1,658,571.80
debt provisions are provided % %
on age basis in group
Group 2：Other Account
reveivables on which bad
1,916,187.00 5.20% 1,916,187.00 5.17%
debt provisions are provided
on other basis in group
11.67 38.58 12.28 36.41
Subtotal of group 4,299,564.34 1,658,571.80 4,555,198.71 1,658,571.80
% % % %
Total 36,829,987.19 -- 34,188,994.65 -- 37,085,621.56 -- 34,188,994.65 --
Notes
Other receivable accounts with large amount and were provided had debt provisions individually at end of period.
□Applicable √Not applicable
Other receivable account in Group on which bad debt provisions were provided on age basis：
√Applicable □Not applicable
In RMB
Year-end balance Year-beginning balance
Book balance Provision for bad Book balance
Age Provision for bad
Proporti debts Proporti
Amount Amount debts
on(%) Amount on(%)
Within 1 year
Inclding： -- -- -- -- -- --
Subtotal within
724,805.54 30.41% 980,439.91 37.15%
1 year
Over 5 years 1,658,571.80 69.59% 1,658,571.80 1,658,571.80 62.85% 1,658,571.80
Total 2,383,377.34 -- 1,658,571.80 2,639,011.71 -- 1,658,571.80
Other receivable account in Group on which bad debt provisions were provided on percentage basis：
□Applicable √Not applicable
Other receivable account in Group on which bad debt provisions were provided on Other basis：
133
□Applicable √Not applicable
Separate amount is big at end of the period or not big but other account receivable and doubtful reserves shall be
withdrawn.
□Applicable √Not applicable
（2）Switch back or regain of the other account receivable in the reporting period
In RMB
Switching back or taking
Reasons for switching Basis for confirming bad back the counted or Amount switched back
Other account receivable
back or taking back debt reserves drawn bad debt reserves or taken back
accumulated before
Separate amount is big at end of the period or not big but other account receivable and doubtful reserves shall be
withdrawn.
In RMB
Description of other Amount of bad
Book balance Rate（%） Reason
receivable debts
For the balance amount of our company‘s secutity
trading settlement funds RMB 33,683,774.79
deposited in Kunlun Securities Co., Ltd., The
Xin‘Ning Municipal intermediate People‘s Court of
Qinghai Province had made the judgment in
accordance with the law and declared on November
11, 2006. that Kunlun Securities Co., ltd. was
bankrupted for debt payment . In March of 2007, the
liquidating group of Kunlun Securities preliminary
judged the relationship between our company and
Kunlun Sercurities
32,530,422.85 32,530,422.85 100.00% Kunlun Securities Co., Ltd.is debtor creditor
Co.,Ltd.
relationship . as Kunlun Securities Co., Ltd.was
bankrupted for debt payment and it is in serious
insolvency. Our company had moved the security
trading settlement funds deposited in Kunlun
Securities Co., Ltd, to other receivables account for
reflection, we also have made full amount provision
for had debts based on conservatism principle. The
recovered debt amount in 2008 is RMB485,392.67
which had been offset from the provision for bad
debts. The recovered debt amount in 2011 is RMB
134
667,959.27 which had been offset from the provision
for bad debts.
Total 32,530,422.85 32,530,422.85 -- --
Notes
（3）The front 5 units‘ information of other account receivable
In RMB
Relation with the Portion in total other
Name Amount Ages
Company receivables(%)
Kunlun Securities Co.,
No relationship 32,530,422.85 Over 5 years 88.33%
Ltd.
Guangdong Litong
The controlling parent
Property Investment Co., 1,485,856.00 Within 3 years 4.03%
company
Ltd.
Heshan Transportation
Real estate Development No relationship 1,470,000.00 Over 5 years 3.99%
Company
Beijing Shibang Weilishi
Property Management No relationship 393,331.00 Within 2 years 1.07%
Services Co., Ltd.
Huihou Huxu Industry
No relationship 109,745.80 Over 5 years 0.30%
Company
Total -- 35,989,355.65 -- 97.72%
（4）Other accounts receivable from the related parties
In RMB
The proportion of the total of
Name Relationship with the Company Amount
other receivables(%)
Guangdong Litong Property
The controlling parent company 1,485,856.00 4.03%
Investment Co., Ltd.
Guangdong Expressway
Wholly owned subsidiary 103,543.20 0.28%
Technology Co., Ltd.
Guangdong Gaoda Property
The controlling parent company 87,000.00 0.24%
Development Co., Ltd.
Total -- 1,676,399.20 4.55%
135
2. Long- term s equity investment
In RMB
Explanation
of
diffidence
Shareholdin between
Voting right
g shareholdin
Accounting proportion Current Cash
Name Initial investment cost Original balance change Ending Balance proportion g Devalue
method in the devalue bonus
in the proportion
investee
investee and voting
right
proportion
in investee
Guangdong Guanghui Equity
705,503,400.00 983,968,321.53 86,931,001.34 1,070,899,322.87 30.00% 30.00%
Expressway Co., Ltd. method
ZhaoqingYuezhao Equity
201,770,945.42 233,723,741.37 24,755,514.67 258,479,256.04 25.00% 25.00%
Highway Co., Ltd. method
ShenzhenHuiyan Equity
35,231,299.69 194,635,633.82 -45,132,404.64 149,503,229.18 33.33% 33.33% 60,000,000.00
Expressway Co., Ltd. method
Jingzhu Exprwssway Equity
247,848,488.93 319,111,083.28 -32,416,797.90 286,694,285.38 20.00% 20.00% 68,290,318.11
Guanzhu method
Guangdong Jiangzhong
Expressway Equity
156,750,000.00 168,649,310.84 2,959,363.75 171,608,674.59 15.00% 15.00%
Co., Ltd. method
Ganzhou Kangda Equity
216,251,100.00 141,707,120.95 9,881,086.85 151,588,207.80 30.00% 30.00%
Expressway Co., Ltd method
Ganzhou Gankang Equity
226,379,000.00 203,664,454.84 569,232.01 204,233,686.85 30.00% 30.00% 3,000,000.00
Expressway method
136
Co., Ltd.
Guangdong
Equity
Yueke Technology Petty 200,000,000.00 200,000,000.00 1,118,200.43 201,118,200.43 20.00% 20.00%
method
Loan Co., Ltd.
Guangdong Guangle
Cost
Expressway Co., 729,997,500.00 728,141,601.73 728,141,601.73 9.00% 9.00%
method
Ltd.(Notes 1)
Huaxia Securities Co., Cost 5,400,000
5,400,000.00 5,400,000.00 5,400,000.00 0.27% 0.27%
Ltd.(Notes 2) method .00
Huazheng Assets
Cost 1,393,200
Management 1,620,000.00 1,620,000.00 1,620,000.00 0.54% 0.54%
method .00
Co. Ltd.(Notes 3)
Guangdong Rodio and
Television Networks Cost
50,000,000.00 50,000,000.00 50,000,000.00 3.11% 1,656,011.73
investment No.1 Limited method
partnership enterprise
GuangfoExpressway Co., Cost
154,982,475.25 154,982,475.25 154,982,475.25 75.00% 75.00%
Ltd method
Guangdong Expressway
Cost
Technology Investment 95,731,882.42 95,731,882.42 95,731,882.42 100.00% 100.00%
method
Co., Ltd.
Guangdong Fokai Cost
2,167,722,211.85 2,167,722,211.85 2,167,722,211.85 75.00% 75.00%
Expressway Co., Ltd. method
6,793,200
Total -- 5,195,188,303.56 5,649,057,837.88 48,665,196.51 5,697,723,034.39 -- -- -- 132,946,329.84
.00
Notes.
137
Notes 1:
The proportion of Guangle Company's equity held by the Company was 9% in current period. Refer to Specific Note-commitments.
Notes 2: The owner's equity of Huaxia Securities Co., Ltd. was negative and it entered liquidation procedure in December 2005. The Company made full provision for impairment in respect of
this long-term equity investment of RMB 5.4 million.
Notes 3: According to De Wei Ping Gu Zi 2005 No. 88 Appraisal Report issued by Beijing Dewei Appraisal Co., Ltd. As the June 30, 2005, the amount of net assets of Huazheng Asset
Management Co., Ltd. in book was RMB 279.132 million and the appraised value was RMB - 2299.5486 million ,On October 14, 2005, Jianyin CITIC Asset Management Co., Ltd. issued the
Letter of Soliciting Opinions on Equity Assignment to the Company. Jianyin CITIC Asset Management Co., Ltd. was willing to pay the price of not more than RMB 42 million to acquire 100%
equity of Huazheng Asset Management Co., Ltd. and solicited the Company's opinions. The Company replied on December 5, 2005, abandoning the preemptive right under the same conditions.
The Company made provision of RMB 1.3932 million for impairment in respect of this long-term equity investm ent of RMB 1.62 million.
138
3. Business income and Business cost
（1）Business income
In RMB
Same period of the
Items
Report period previous year
Other Business income 22,907,325.49 10,120,351.13
Total 22,907,325.49 10,120,351.13
Business cost 232,106.70 232,106.70
4. Investment income
（1）Income from investment
In RMB
Items
Amount of current period Amount of previous period
Long-term equity investment income by costing 1,656,011.73
Long-term equity investment income by equity method 179,955,514.62 157,116,882.96
Hold the investment income during from the
40,463,850.37 13,920,000.00
available-for-sale financial assets
Other 415,618.67
Total 222,490,995.39 171,036,882.96
(2) Long-term equity investment incomes confirmed by Cost method include:
In RMB
Same period of the
Unit Reason to increase or decrease
Report period previous year
Guangdong Rodio and Television Networks
Investment units are allocated profits of
investment No.1 Limited partnership 1,656,011.73
2012-2013
enterprise
Total 1,656,011.73 --
3.long-term equity investment incomes confirmed by equity method include:
In RMB
Same period of the
Unit Reason to increase or decrease
Report period previous year
Guangdong Maozhan Expressway 10,350,804.79 Has been transferred in November
139
2013
Jingzhu Expressway Guangzhu 35,873,520.21 34,204,135.06 Increase in net profit Investment Unit
Guangdong Jiangzhong Expressway 2,959,363.75 2,530,450.05 Increase in net profit Investment Unit
Guangdong Guanghui Expressway 86,931,001.34 62,865,731.49 Increase in net profit Investment Unit
Ganzhou Gankang Expressway 3,569,232.01 2,624,610.52 Increase in net profit Investment Unit
Ganzhou Kangda Expressway 9,881,086.85 8,278,564.69 Increase in net profit Investment Unit
Shenzhen Huiyan Expressway 14,867,595.36 14,365,466.84 Increase in net profit Investment Unit
Zhaoqing Yuezhao Highway Co., Ltd. 24,755,514.67 21,212,541.80 Increase in net profit Investment Unit
Guangdong Yueke Technology Petty Loan
1,118,200.43 Investment units started operations
Co., Ltd.
Total 179,955,514.62 156,432,305.24 --
Notes
5.Supplement Information of Cash flow statement
In RMB
Same period of the previous
Supplement Information
Report period year
I.Adjusting net profit to net cash flow in operating activities -- --
Net profit 104,901,390.06 40,589,788.02
Fixed assets depreciation,Oil and gas depreciation, Produce matter
1,241,214.13 1,216,629.56
depreciation
Amortization of intangible assets 24,333.33
Amortization of long-term expenses to be amortized 834,231.76 760,423.74
The loss from the disposal of fixed assets, intangible assets and other
351,800.00 206,432.52
long-term assets
Financial expenses 107,921,987.16 96,431,638.95
Investment loss -222,490,995.39 -171,036,882.96
Decrease of operating accounts receivable 255,634.37 -1,114,541.15
Increase of operating accounts payable -192,272,517.69 -67,171,647.22
Net cash flow generated from operating activities -199,232,922.27 -100,118,158.54
II.Investment and financing activities not involving cash receipts and
-- --
expenditure
III、Net increase of cash and cash equivalent -- --
Balance of cash at the end of the period 663,888,969.92 715,936,528.93
Less: Balance of cash at the beginning of the period 782,174,175.59 625,270,216.39
140
Net increase of cash and cash equivalent -118,285,205.67 90,666,312.54
XIII. Supplement information
1. Particulars about current non-recurring gains and loss
In RMB
Items Amount Notes
Non-current asset disposal gain/loss(including the write-off part
-573,448.41
for which assets impairment provision is made)
Single impairment test for impairment of receivables
2,000,000.00
transferredback to preparation
Operating income and expenses other than the aforesaid items -417,903.81
Other non-business income and expenditures other than the above 415,618.67
Less：Amount of influence of income tax -166,849.50
Amount of influence of minority interests（After tax） -125,137.13
Total 1,716,253.08 --
Government subsidies included in current gains and losses should be explained separately
□Applicable√Not applicable
2. Return on net assets and earnings per share
In RMB
Earnings per share（RMB）
Return on net assets .
Profit of the report period
Weighted（%）
Basic earnings per share Diluted gains per share
Net profit attributable to the Common stock
4.15% 0.14 0.14
shareholders of Company.
Net profit attributable to the Common stock
shareholders of Company after deducting of 4.11% 0.14 0.14
non-recurring gain/loss.
3. The explanation of abnormal circumstance and reasons of items in major accounting statement.
(1) The unusual amount or the abnormal changes in the comparative period in the Balance Sheet project
Balance in year-end Balance in Percentage Variable
Items year-begin Alteration reason
in total asset Ratio
Monetary 953,022,518.70 976,468,685.82 7.52% -2.40% Impact of reduced expenditures for projects,
capital borrowings decreased, increased investment,
recovered the cash dividend as well as cash
inflow from operating activities
141
Accounts 92,524,304.33 27,898,415.37 0.73% 231.65% Increase of toll unrecovered balance at the end
receivable of period
Dividends 137,853,597.49 16,648,284.74 1.09% 728.03% Current distribution of dividends by investees
receivable was greater than dividends paid in cash led to
the increase of dividends receivable balance
Other current 76,007,760.00 5,001,000.00 0.60% 1419.85% The balance of the investment in reverse
assets repurchase of National bonds increased
Financial assets 597,547,557.76 625,778,151.04 4.72% -4.51% China Everbright Bank Co., Ltd. stock price
available for changes led to changes in the fair value
sale
Long-term 3,289,502,833.06 3,241,637,484.40 25.97% 1.48% The net profit of equity units in the first half
equity increased, resulting in an increase of long-term
investment equity investments accounted for using the
equity method
Fixed assets 7,449,784,801.53 7,696,941,214.30 58.82% -3.21% Depreciation of fixed assets led to the reduction
of the book value of fixed assets
Construction in 2,487,520.64 8,332,139.39 0.02% -70.15% Completion of the project was transferred to
progress fixed assets, resulting in reduced construction
in progress
Long-term 5,885,967.92 8,596,068.39 0.05% -31.53% The effects of technology companies
deferred interruption lease, transfer fees and
expenses amortization of deferred expenses
Deferred 24,202,280.37 46,472,735.10 0.19% -47.92% Due to Fokai earnings covered part of the
income tax losses led to a reduction in deferred tax assets
assets
Long-term loan 50,000,000.00 0.39% 100.00% Due to the increase of borrowings for cash
flow
Account 181,187,568.90 317,797,859.76 1.43% -42.99% Fokai expansion expenditure led to accounts
payable payable balances reduced
Interest payable 89,188,235.28 35,887,681.26 0.70% 148.52% Unpaid accrued interest on bonds
Non-current 1,210,410,177.08 857,757,334.35 9.56% 41.11% Repayment of borrowings and bonds payable
liabilities due in from classified to non-current liabilities due
1 year within one year
Long-term loan 4,485,920,000.00 4,993,761,250.00 35.42% -10.17% borrowings reduced and partial long-term
borrowing from classified to non-current
liabilities due within one year
Capital surplus 1,614,745,396.53 1,642,975,989.81 12.75% -1.72% The fair value of financial assets
available-for-sale decreased, resulting in
reduction of capital surplus
(2)The unusual amount or the abnormal changes in the items of the income statement
142
Change
Items Report period Last period Rate Reason
Rate
Operating 688,716,891.86 629,975,588.18 293.53% 9.32% The finish of Fokai Expansion Project
income led to the recovery of traffic growth, led
to the increase of revenue.
Operating cost 369,614,599.73 403,435,560.64 157.53% -8.38% The increase of traffic volume led to the
increase of depreciation and the
combined effects of adjustment of
tolling year and new system to forecast
led to the decrease of depreciation
Financial 205,409,981.84 214,952,062.12 87.55% -4.44% Interest-bearing liabilities decreased,
expenses increased financial income and other
aspects led to the year-on-year decrease
of financial cost
Assets -2,000,000.00 -0.85% -100.00% Recovery of provision for claims led to
impairment loss changes in provision for bad debts
Investment 221,691,147.54 171,036,882.96 94.48% 29.62% Changes in shares of the company's
income profit and increase of Everbright Bank
dividend distribution led to the increase
of investment income this period.
Non-operating 2,395,791.21 361,144.21 1.02% 563.39% Road repair expenses increased led to
expenses the increase of non-operating expenses
143
X. Documents Available for Inspection
1. Accounting statements carried with personal signatures and seals of legal representative, Chief Financial officer
and Financial Principal.
2. The texts of all the Company's documents publicly disclosed on the newspapers and periodicals designated by
China Securities Regulatory Commission in the report period.
144
