SHANDONG CHENMING PAPER HOLDINGS LIMITED*
Third Quarterly Report 2009
§1 IMPORTANT NOTICE
1.1 The board of directors (the “Board”), the supervisory committee (the “Supervisory Committee”), directors (the “Directors”), supervisors (the “Supervisors”) and the senior management (the “Senior Management”) of the Company warrant that this report does not contain any false information, misleading statements or material omissions, and accept joint and several responsibility for the truthfulness, accuracy and completeness of the contents of this report. This report has been prepared in both Chinese and English. In case of any discrepancies, the Chinese version shall prevail.
1.2 None of the Directors, Supervisors and Senior Management is unable to warrant the truthfulness, accuracy and completeness of the contents of this report or holds any dissenting views.
1.3 This quarterly report has been considered and approved by the sixteenth meeting of the fifth session of the Board of the Company. All Directors attended this meeting.
1.4 The third quarterly financial report of the Company prepared in accordance with Accounting Standards for Business Enterprises issued by the Ministry of Finance of the People’s Republic of China (the “PRC”) by the Company and its subsidiaries (collectively referred to as the “Group”) has not been audited.
1.5 Chen Hongguo, the person in charge of the Company, Wang Chunfang, the financial controller of the Company, and Guo Xingping, head of accounting department (the person in charge of accounting) hereby declare their assurance of the truthfulness and completeness of the financial report contained in the quarterly report.
1.6 Unless otherwise stated, the currency unit in this report refers to Renminbi, the lawful currency of the PRC.
1§2 BASIC COMPANY INFORMATION
2.1 Major accounting data and financial indicators
Unit: RMB
At the end of the current reporting period (30 September 2009)
At the end of last year (31 December 2008)
Increase/decrease as at the end of the current reporting period compared with the end of last year (%)
Total assets
27,342,002,818.04
26,299,495,745.01
3.96
Equity attributable to owners of the Company (or shareholders’ equity)
12,617,631,676.04
12,259,078,901.99
2.92
Net assets per share
6.1190
5.9451
2.93
From the beginning of the year to the end of the reporting period (Nine months ended 30 September 2009)
The corresponding period of last year (Nine months ended 30 September 2008)
Increase/decrease compared with the corresponding period of last year (%)
Net cash flow generated from operating activities
827,943,359.85
1,984,224,635.60
-58.27
Net cash flow per share generated from operating activities
0.4015
0.9623
-58.27
Current reporting period (Three months ended 30 September 2009)
Increase/decrease compared with the corresponding period of last year (Three months ended 30 September 2008) (%)
From the beginning of the year to the end of the reporting period (Nine months ended 30 September 2009)
Increase/decrease compared with the corresponding period of last year (%)
Total operating revenue (RMB)
4,120,235,923.73
6.83%
10,795,602,483.46
-13.00%
Net profit attributable to owners of the Company
304,186,434.99
-5.72%
461,673,747.96
-63.65%
Basic earnings per share
0.14
0
0.22
-68.12%
Basic earnings per share after deducting extraordinary gains or losses
0.13
18.18%
0.18
-69.49%
Diluted earnings per share
N/A
N/A
N/A
N/A
Return on net assets
2.41%
Decreased by 0.18 percentage points
3.66%
Decreased by 6.54 percentage points
Return on net assets after deducting extraordinary gains or losses
2.13%
Decreased by 0.01 percentage points
3.01%
Decreased by 5.74 percentage points
2Extraordinary gains or losses items
Unit: RMB
Extraordinary gains or losses items
Amount from the beginning of the year to the end of the reporting period (Nine months ended 30 September 2009)
Net gains or losses from disposal of non-current assets
6,053,202.84
Government grants
71,868,438.86
Net gains or losses attributable to debt restructuring
248,447.14
Negative goodwill arising from acquisition of minority interests
11,427,033.25
Gains or losses attributable to financial instruments held for trading
6,993,100.00
Non-operating net gains and losses other than the above
12,439,695.22
Effect of extraordinary gains or losses on minority interests
-9,663,069.98
Effect of extraordinary gains or losses on income tax
-18,112,808.81
Total
81,254,038.52
2.2 Total number of shareholders and shareholdings of the top ten shareholders of non-restricted shares at the end of the reporting period
Unit: share
Total number of shareholders
Total number of shareholders was 140,180, including 110,095 equity holders of A shares, 29,350 equity holders of B shares and 735 equity holders of H shares.
Shareholdings of the top ten shareholders of non-restricted outstanding shares
Name of shareholder
No. of non-restricted outstanding shares held at the end of the reporting period
Class of shares
HKSCC Nominees Limited
389,915,500
H Share
NIHK-CUSTOMERS’ SEGREGATED ACCOUNT
48,042,208
B Share
China Construction Bank — 鵬華價值優勢股票型證券投資基金
36,031,345
A Share
KEYWISE CREATER CHINA OPPORTUNITIES MASTER FUND
23,727,609
B Share
Industrial and Commercial Bank of China — 廣發聚豐股票型證券投資基金
22,689,822
A Share
Industrial and Commercial Bank of China — 諾安股票證券投資基金
21,742,106
A Share
PLATINUM ASIA FUND
16,234,459
B Share
China Construction Bank — 華寶興業行業精選股票型證券投資基金
15,767,709
A Share
KEYWISE CREATER CHINA MASTER FUND
15,666,099
B Share
BILL & MELINDA GATES FOUNDATION TRUST
14,525,844
A Share
3§3 Important Matters
3.1 Details of and reasons for significant changes in major accounting statement items and financial indicators of the Company
.. Applicable
Not Applicable
1. Bills receivable increased by 117.67%, mainly because the Group recorded a more significant improvement in sales, which boosted revenue.
2. Advance to supplias increased by 96.50%, mainly because the Company recorded increased prepayments for raw materials as the market gradually improved.
3. Construction in progress increased by 200.06%, mainly due to the increase of prepayments in relation to project equipment by Zhanjiang Chenming Paper Pulp Co., Ltd. and Shouguang Meilun Paper Co., Ltd., as well as equipment modification of Fuyu Chenming Paper Co., Ltd. which transferred fixed assets into construction in progress.
4. Consumable biological assets increased by 50.48%, mainly due to purchase, growing and fair value change of forestry by the Company.
5. Short-term borrowings increased by 189.04%, mainly due to (1) increase in unmatured discounted bills; and (2) the Company increased short-term borrowings to repay short-term debentures.
6. Advances form cusfoners receipts increased by 133.31%, mainly because the Company received more advanced payments for goods.
7. Tax payables increased by 330.77% during the period, mainly due to the increase in income tax and value added tax payable during the period as a result of improved efficiency.
8. Non-current liabilities due within one year reduced by 61.9%, mainly because the Group repaid part of the borrowings due within one year upon maturity.
9. Short-term debentures payable decreased by 100% during the period, principally because the Company repaid all short-term debentures upon maturity.
10. Finance expenses increased by 49.54%, mainly because gains on currency exchange reduced compared with the corresponding period of last year, as a result of the effect of changes in exchange rates.
11. Reversal of loss on impairment of assets reduced by 87.29%, mainly due to the effect of reversal of bad debts of Foshan Shunde XingchenPaper Co,Lts in the amount of RMB32.47 million in the corresponding period of last year.
12. Gains on change in fair value reduced by 44.55%, mainly due to smaller change in fair value of timber assets compared with the corresponding period of last year.
13. Non-operating income decreased by 45.77%, primarily attributable to (1) lower amount received in government grants compared with the corresponding period of last year; and (2) negative goodwill arising from acquisition of minority interests in the corresponding period of last year.
14. Income tax expenses decreased by 54.96%, mainly due to lower profit.
15. Net cash flow generated from operating activities decreased by 58.27%, mainly due to lower sales price by the Company led to reduced revenue as affected by the financial crisis, as well as unmatured bills received during the current period increased, which resulted in lower net cash flow generated from operating activities.
416. Net cash flow generated from financing activities reduced by 81.45%, mainly because the Company issued H shares during June 2008, thus generating more cash flow from financing activities than the current period.
3.2 The progress of significant events and analysis of their impact and solutions
Applicable
.. Not Applicable
3.3 Performance of undertakings by the Company, shareholders and de facto controller
.. Applicable
Not Applicable
Shouguang Cheming Holdings Co., Ltd., the controlling shareholder of the Company, has committed that shares held by it shall not be listed for trading within 48 months from the date of the reform of Conversion (i.e. 29 March 2006). Shouguang Cheming Holdings Co., Ltd. strictly observed such commitment during the reporting period.
3.4 Warning on the potential loss in accumulated net profit for the period from the beginning of the year to the end of the next reporting period or any material change in accumulated net profit from the corresponding period of last year and analysis of the reasons thereof
Applicable
.. Not Applicable
3.5 Other significant events that require explanation
Nil
3.5.1 Investment in securities
Applicable
.. Not Applicable
3.5.2 Holding of equity interests of other listed companies
Applicable
.. Not Applicable
3.5.3 Table setting out reception activities including investigation and research, communication and interviews during the reporting period
Date of reception
Place of reception
Manner of reception
Parties accommodated
Main topics of discussion and information provided
29 July 2009
Shouguang, Shandong
On-site research and investigation
Individual investors from Shanxi
Matters including recent development of the industry and development trend in the future, production and operation of the Company, as well as strategic development.
5 August 2009
Shouguang, Shandong
On-site research and investigation
10 persons, including those from CICC, etc.
Matters including recent development of the industry and development trend in the future, production and operation of the
5Company, as well as strategic development.
12 August 2009
Shouguang, Shandong
On-site research and investigation
Research personnel from institutions, such as Guotai Fund, Huaan Fund
Matters including recent development of the industry and development trend in the future, production and operation of the Company, as well as strategic development.
16 September 2009
Shouguang, Shandong
On-site research and investigation
Research personnel from institutions, such as Everbright Securities, China Merchants Securities
Matters including recent development of the industry and development trend in the future, production and operation of the Company, as well as strategic development.
§4 APPENDICES
4.1 Balance sheet
30 September 2009
Prepared by: Shandong Chenming Paper Holdings Limited
Unit: RMB
Closing balance (30 September 2009)
Opening balance (31 December 2008)
Items
Consolidated
The Company
Consolidated
The Company
CURRENT ASSETS:
Monetary assets
2,782,391,849.59
2,201,851,416.94
2,853,418,128.07
2,142,439,739.51
Settlement reserves
Lendings to banks
Marketable financial assets
12,200,000.00
Bills receivable
2,120,119,671.60
1,313,027,053.46
974,009,788.24
465,681,067.32
Accounts receivable
1,824,127,319.03
2,382,542,661.44
1,752,409,349.17
1,937,280,312.86
Advance to suppliers
908,859,818.01
683,164,920.52
462,526,338.87
438,759,362.48
Premiums receivable
Reinsurance accounts receivable
Reinsurance reserve receivable
Dividend receivable
126,874,997.10
164,874,997.10
Other receivables
85,906,635.34
1,565,256,060.86
135,889,612.93
936,468,514.72
Financial assets purchased under repurchase agreements
Inventories
2,458,638,492.32
1,045,068,928.73
3,397,792,930.38
1,682,657,074.51
Non-current assets due within one year
1,382,500,000.00
982,000,000.00
6Other current assets
100,432,541.73
50,948,713.27
151,993,045.95
52,747,204.98
TOTAL CURRENT ASSETS
10,292,676,327.62
10,751,234,752.32
9,728,039,193.61
8,802,908,273.48
NON-CURRENT ASSETS:
Loans extended and advance receipts
Available-for-sale financial assets
Entrusted loans
395,000,000.00
965,000,000.00
Long-term receivables
Long-term equity investments
84,775,248.15
4,094,302,596.03
92,673,769.14
4,081,859,577.02
Investment properties
26,861,032.12
26,861,032.12
28,164,724.15
28,164,724.15
Fixed assets
13,650,699,949.65
5,878,298,626.42
14,213,441,758.08
6,258,618,550.53
Construction in progress
1,296,715,992.71
57,932,512.80
431,379,272.50
59,788,891.26
Construction materials
33,958,944.96
3,546,471.64
42,079,864.21
1,981,408.48
Disposal of fixed assets
Consumable biological assets
453,270,702.18
301,212,691.14
Oil and gas assets
Intangible assets
1,310,922,591.64
351,466,518.14
1,277,076,588.53
364,509,396.99
Development costs
Goodwill
20,283,787.17
20,283,787.17
Long term expenses to be amortised
40,300,345.48
37,227,730.36
Deferred income tax assets
131,537,896.36
77,337,193.33
127,916,366.12
78,605,721.73
Other non-current assets
Total non-current assets
17,049,326,490.42
10,884,744,950.48
16,571,456,551.40
11,838,528,270.16
TOTAL ASSETS
27,342,002,818.04
21,635,979,702.80
26,299,495,745.01
20,641,436,543.64
CURRENT LIABILITIES:
Short-term borrowings
4,384,512,796.74
3,846,603,672.93
1,516,945,042.67
1,144,068,305.68
Borrowings from the central bank
Deposits taken and balances with other banks
Borrowings from banks
Marketable financial liabilities
5,200,000.00
5,200,000.00
198,900.00
Bills payable
354,864,539.56
267,664,539.56
367,627,562.14
210,151,045.59
Accounts payable
2,041,542,514.44
1,588,641,245.50
2,642,308,185.90
1,716,031,795.17
Advances from customers
237,257,724.80
181,282,291.17
101,693,578.57
66,019,457.87
Financial assets sold under repurchase agreements
Fees and commissions payable
Employee benefits payable
236,545,303.37
128,717,035.38
190,209,067.13
98,888,359.60
Tax payable
215,236,243.04
155,949,467.69
49,965,982.34
16,156,180.51
Dividend payable
78,807.71
78,807.71
36,089.31
36,089.31
Other payables
266,405,501.95
186,048,765.91
346,226,242.06
283,099,241.86
Reinsurance accounts payable
Insurance reserves
7Trading securities on a commissioned basis
Underwriting securities on a commissioned basis
Non-current liabilities due within one year
395,516,035.72
279,989,000.00
1,038,125,240.62
883,602,600.00
Short-term debentures payable
1,941,874,444.43
1,941,874,444.43
TOTAL CURRENT LIABILITIES
8,137,159,467.33
6,640,174,825.85
8,195,210,335.17
6,359,927,520.02
NON-CURRENT LIABILITIES:
Long-term borrowings
4,683,470,456.49
3,490,432,035.94
4,019,250,823.86
3,064,076,035.94
Bonds payable
Long-term payables
Special items payable
Deferred gains
71,149,214.45
12,072,541.95
56,828,375.23
5,537,541.95
Anticipated liabilities
Deferred income tax liabilities
6,929,685.73
6,431,545.79
Other non-current liabilities
TOTAL NON-CURRENT LIABILITIES
4,761,549,356.67
3,502,504,577.89
4,082,510,744.88
3,069,613,577.89
TOTAL LIABILITIES
12,898,708,824.00
10,142,679,403.74
12,277,721,080.05
9,429,541,097.91
OWNERS’ EQUITY (or SHAREHOLDERS’ EQUITY):
Paid-up capital (or Share capital)
2,062,045,941.00
2,062,045,941.00
2,062,045,941.00
2,062,045,941.00
Capital reserve
6,093,483,801.92
6,187,367,227.69
6,093,483,801.92
6,184,215,988.77
Less: treasury shares
Surplus reserve
825,476,850.53
813,287,268.62
825,476,850.53
813,287,268.62
General risk reserve
Undistributed profits
3,635,764,261.31
2,430,599,861.75
3,277,192,810.40
2,152,346,247.34
Difference on translation of foreign currency statements
860,821.28
879,498.14
TOTAL EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY
12,617,631,676.04
11,493,300,299.06
12,259,078,901.99
11,211,895,445.73
Minority interests
1,825,662,318.00
1,762,695,762.97
TOTAL OWNERS’ EQUITY
14,443,293,994.04
11,493,300,299.06
14,021,774,664.96
11,211,895,445.73
TOTAL LIABILITIES AND OWNERS’ EQUITY
27,342,002,818.04
21,635,979,702.80
26,299,495,745.01
20,641,436,543.64
84.2 Income statement for the current reporting period
Prepared by: Shandong Chenming Paper Holdings Limited
Unit: RMB
Current period (Three months ended 30 September 2009)
Corresponding period of last year (Three months ended 30 September 2008)
Items
Consolidated
The Company
Consolidated
The Company
I. Total operating revenue
4,120,235,923.73
3,556,034,689.58
3,856,931,013.60
3,312,342,058.31
Including: Operating revenue
4,120,235,923.73
3,556,034,689.58
3,856,931,013.60
3,312,342,058.31
Interest income
Premiums earned
Fees and commission income
II. Total costs of operations
3,713,315,016.63
3,242,810,538.06
3,434,641,795.64
3,089,530,491.21
Including: Costs of operations
3,255,117,404.31
3,000,839,650.70
3,065,025,345.89
2,923,304,592.53
Interest expenses
Fees and commission expenses
Surrender charges
Net claim payments
Net premium reserves on drawn-down polices
Policy dividend payments
Reinsurance fee
Tax and levies on operations
4,374,294.04
195,741.33
3,218,719.25
81,530.74
Selling and distribution expenses
215,787,629.06
119,679,867.19
155,069,594.54
60,257,219.00
General and administrative expenses
179,356,725.60
65,586,938.07
138,054,171.65
47,178,051.25
Finance expenses
75,310,745.65
65,554,043.13
89,987,690.14
74,015,893.12
Loss on impairment of assets
-16,631,782.03
-9,045,702.36
-16,713,725.83
-15,306,795.43
Add: Gain on change in fair value (“-” denotes loss)
Investment income (“-” denotes loss)
-4,366,800.87
18,217,978.31
-2,050,614.99
55,556,402.27
Including: Investment income from associates and joint ventures
Gain on translation (“-” denotes loss)
III. Operating profit (“-” denotes loss)
402,554,106.23
331,442,129.83
420,238,602.97
278,367,969.37
Add:Non-operating income
52,965,347.81
25,392,882.55
54,965,807.86
25,256,034.20
Less: Non-operating expenses
993,128.66
384,143.48
992,945.41
32,877.14
Including: Loss on disposal of non-current assets
IV. Total profit (“-” denotes total loss)
454,526,325.38
356,450,868.90
474,211,465.42
303,591,126.43
Less: Income tax expenses
108,471,443.85
90,445,157.53
89,557,388.14
72,100,785.85
V. Net profit (“-” denotes net loss)
346,054,881.53
266,005,711.37
384,654,077.28
231,490,340.58
Net profit attributable to owners of the Company
304,186,434.99
266,005,711.37
322,648,771.15
231,490,340.58
9Profit and loss of minority interests
41,868,446.54
62,005,306.13
VI. Earnings per share:
(I) Basic earnings per share
0.14
0.14
(II) Diluted earnings per share
N/A
N/A
4.3 Income statement for the period from the beginning of the year to the end of the reporting period
Prepared by: Shandong Chenming Paper Holdings Limited
Unit: RMB
Current period (Nine months ended 30 September 2009)
Corresponding period of last year (Nine months ended 30 September 2008)
Items
Consolidated
The Company
Consolidated
The Company
I. Total operating revenue
10,795,602,483.46
9,737,647,002.35
12,409,333,283.00
10,565,520,568.55
Including: Operating revenue
10,795,602,483.46
9,737,647,002.35
12,409,333,283.00
10,565,520,568.55
Interest income
Premiums earned
Fees and commission income
II. Total costs of operations
10,212,958,070.56
9,318,703,035.32
10,805,178,729.66
9,560,011,891.56
Including: Costs of operations
8,884,372,450.49
8,579,453,945.77
9,712,241,489.80
9,084,592,055.67
Interest expenses
Fees and commission expenses
Surrender charges
Net claim payments
Net premium reserves on drawn-down polices
Policy dividend payments
Reinsurance fee
Tax and levies on operations
11,483,327.57
350,527.08
9,974,274.80
216,874.62
Selling and distribution expenses
555,716,874.31
334,399,984.12
557,995,596.97
258,160,336.82
General and administrative expenses
515,256,080.13
180,055,944.12
403,772,880.07
149,504,378.50
Finance expenses
252,158,061.49
220,696,467.46
168,622,882.52
104,707,584.63
Loss on impairment of assets
-6,028,723.43
3,746,166.77
-47,428,394.50
-37,169,338.68
Add: Gain on change in fair value (“-” denotes loss)
8,985,659.76
-5,200,000.00
16,204,457.27
Investment income (“-” denotes loss)
-13,898,520.99
54,625,576.72
-14,340,078.08
286,221,989.86
Including: Investment income from associates and joint ventures
Gain on translation (“-” denotes loss)
III. Operating profit (“-” denotes loss)
577,731,551.67
468,369,543.75
1,606,018,932.53
1,291,730,666.85
Add: Non-operating
121,350,177.10
58,201,268.02
223,770,426.56
105,301,470.83
10income
Less: Non-operating expenses
6,315,760.46
5,050,723.68
8,922,112.50
5,976,411.76
Including: Loss on disposal of non-current assets
IV. Total profit (“-” denotes total loss)
692,765,968.31
521,520,088.09
1,820,867,246.59
1,391,055,725.92
Less: Income tax expenses
160,596,260.16
140,164,176.63
356,559,439.69
290,452,244.09
V. Net profit (“-” denotes net loss)
532,169,708.15
381,355,911.46
1,464,307,806.90
1,100,603,481.83
Net profit attributable to owners of the Company
461,673,747.96
381,355,911.46
1,270,076,180.19
1,100,603,481.83
Profit and loss of minority interests
70,495,960.19
194,231,626.71
VI. Earnings per share:
(I) Basic earnings per share
0.22
0.69
(II) Diluted earnings per share
N/A
N/A
4.4 Cash flow statement for the period from the beginning of the year to the end of the reporting period
Prepared by: Shandong Chenming Paper Holdings Limited Unit: RMB
Current period (Nine months ended 30 September 2009)
Corresponding period of last year (Nine months ended 30 September 2008)
Items
Consolidated
The Company
Consolidated
The Company
I. Cash flows from operating activities:
Cash received from sales of goods and rendering of services
9,552,751,851.75
8,009,085,467.39
12,633,809,779.63
10,860,426,325.60
Net increase in customer deposits and balances with other banks
Net increase in borrowings from the central bank
Net increase in borrowings from other financial institutions
Cash received as premiums under original policies
Net cash received from the reinsurance business
Net increase in reserves and investments funds held under trust for customers
Net increase in disposal of marketable financial assets
Cash received as interest, fees and commission
Net increase in borrowings from other banks
Net increase in funds related to the repurchase business
11Refund of taxes and levies
11,739,567.95
27,966,125.14
Other cash received relating to operating activities
183,248,812.32
108,594,971.12
286,906,521.32
114,906,295.51
Subtotal of cash inflows from operating activities
9,747,740,232.02
8,117,680,438.51
12,948,682,426.09
10,975,332,621.11
Cash paid for goods and services
7,225,355,525.35
6,731,497,360.77
8,481,136,717.94
8,607,042,374.91
Net increase in customer loans and advances
Net increase in funds placed with the central bank and other banks
Cash paid for claims under original policies
Cash paid as interest, fees and commissions
Cash paid as policy dividends
Cash paid to and on behalf of employees
395,165,388.12
143,456,246.63
456,019,887.15
155,927,995.06
Payments of taxes and levies
598,079,168.62
344,209,194.94
1,247,940,207.95
779,379,976.89
Other cash paid relating to operating activities
701,196,790.08
1,094,018,738.75
779,360,977.45
1,038,107,931.79
Subtotal of cash outflows from operating activities
8,919,796,872.17
8,313,181,541.09
10,964,457,790.49
10,580,458,278.65
Net cash flows from operating activities
827,943,359.85
-195,501,102.58
1,984,224,635.60
394,874,342.46
II. Cash flows from investing activities:
Cash received from investments
589,500,000.00
1,676,000,000.00
Cash received from investment income
86,524,097.71
85,876.96
158,287,973.99
Net cash received from disposal of fixed assets, intangible assets and other long-term assets
19,904,053.97
19,422,976.05
410,841.76
1,006,638.42
Net cash received from disposal of subsidiaries and other operating entities
Other cash received relating to investing activities
14,675,000.00
6,535,000.00
43,759,208.30
1,809,000.00
Subtotal of cash inflows from investing activities
34,579,053.97
701,982,073.76
44,255,927.02
1,837,103,612.41
Cash paid to acquire fixed assets, intangible assets and other long-term assets
1,435,814,621.14
185,084,655.36
1,225,478,222.57
102,553,518.67
Cash paid on investments
6,000,000.00
426,000,000.00
10,000.00
2,576,000,000.00
Net increase in secured loans
Net cash received from subsidiaries and other operating entities
9,265,761.72
Other cash paid in relation to investing activities
1,026,762.37
Subtotal of cash outflows
1,451,080,382.86
611,084,655.36
1,226,514,984.94
2,678,553,518.67
12from investing activities
Net cash flows from investing activities
-1,416,501,328.89
90,897,418.40
-1,182,259,057.92
-841,449,906.26
III. Cash flows from financing activities:
Cash received from investment
2,735,267,915.86
2,735,267,915.86
Including: Cash received from capital contribution from minority shareholders in subsidiaries
Cash received from borrowings
9,115,481,026.09
7,623,431,808.88
4,212,744,962.27
3,630,818,112.56
Cash received from issuance of bonds
Other cash received relating to financing activities
1,892,484,421.81
1,892,400,000.00
Subtotal of cash inflows from financing activities
9,115,481,026.09
7,623,431,808.88
8,840,497,299.94
8,258,486,028.42
Cash repayments of amounts borrowed
6,246,160,098.12
5,161,079,356.26
6,572,110,891.22
5,538,234,344.64
Cash payments for interest expenses, or dividend or profit distribution
446,037,647.68
397,837,998.95
626,187,480.13
429,685,650.30
Including: Dividend and profit distribution paid by subsidiaries to their minority shareholders
Other cash payments relating to financing activities
2,118,617,231.46
2,141,596,099.28
Subtotal of cash outflows from financing activities
8,810,814,977.26
7,700,513,454.49
7,198,298,371.35
5,967,919,994.94
Net cash flows from financing activities
304,666,048.83
-77,081,645.61
1,642,198,928.59
2,290,566,033.48
IV. Effect of foreign exchange rate changes on cash and cash equivalents
-5,751,589.73
-499,092.06
-8,140,038.14
-13,378,948.73
V. Net increase in cash and cash equivalents
-289,643,509.94
-182,184,421.85
2,436,024,468.13
1,830,611,520.95
Add: Balance of cash and cash equivalents at the beginning of the period
2,687,579,159.85
2,080,005,634.40
740,621,843.91
348,948,724.68
VI. Balance of cash and cash equivalents at the end of the period
2,397,935,649.91
1,897,821,212.55
3,176,646,312.04
2,179,560,245.63
4.5 Audit report
Audit opinion: unaudited
29 October 2009
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