The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
1
Lu Thai Textile Co., Ltd.
The First Quarterly Report for 2010
§1 Important Notice
1.1 The Board of Directors, the Supervisory Committee as well as directors, supervisors and senior
management staffs of Lu Thai Textile Co., Ltd. (hereinafter referred to as “the Company”)
individually and jointly accepted responsibility for the correctness, accuracy and completeness of
the contents of this report and confirmed that there was no false information, misleading statement
or material omissions.
1.2 The first quarterly financial report has not been audited by Accounting Firm.
1.3 Mr. Liu Shizhen, Chairman of the Board of the Company, Ms. Zhang Hongmei, person in
charge of accounting work and accounting organ (Financial Manager) hereby confirmed that the
Financial Report enclosed in Quarterly Report is true and complete.
§2 Company Profile
2.1 Main accounting data and financial indices
Unit: RMB Yuan
At the end of the
reporting period At the end of last year Increase/decrease (%)
Total assets (RMB Yuan) 6,601,011,712.40 6,303,066,959.60 4.73%
Owner’s equity attributable to shareholders of listed
company (RMB Yuan) 4,067,998,783.12 3,919,660,709.28 3.78%
Share capital (Share) 994,864,800.00 994,864,800.00 0.00%
Net asset per share attributable to shareholders of listed
company (RMB Yuan/share) 4.09 3.94 3.81%
Reporting period Same period of last
year Increase/decrease (%)
Sales turnover (RMB Yuan) 1,007,921,744.76 842,468,539.81 19.64%
Net profit attributable to shareholders of listed company
(RMB Yuan) 148,214,182.13 122,078,955.79 21.41%
Net cash flow arising from operating activities (RMB
Yuan) 99,390,411.92 97,291,541.21 2.16%
Net cash flow per share arising from operating activities
(RMB Yuan/share) 0.10 0.10 0.00%
Basic earnings per share (RMB Yuan/share) 0.15 0.12 25.00%
Diluted earnings per share (RMB Yuan/share) 0.15 0.12 25.00%
Weighted average return on equity (%) 3.71% 3.40% 0.31%
Weighted average return on equity after deducting
extraordinary gains and losses (%) 3.63% 3.27% 0.36%
Items of extraordinary gains and losses Amount from 1 Jan. to
31 Mar. 2010
Gains on disposal of non-current assets 294,328.43
Government grant recognized in current year, except for those acquired in the ordinary course of business or
granted continuously in certain standard quota according to relevant national laws and regulations 8,330,000.00
In addition to the normal operations associated with the company effective hedging business, holders of
tradable financial assets, trading financial liabilities resulting from changes in fair value gains and losses, as
-7,755,436.02The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
2
well as the disposal of trading financial assets, trading financial liabilities and financial assets available for
sale achieved an investment return
Other non-operating income and expense other than abovementioned 1,729,576.46
Influence amount of income tax 717,570.92
Total 3,316,039.79
Explanation on important items of extraordinary gains and losses:
N/A
2.2 Statement on total number of shareholders and shares held by the top ten shareholders not
subject to trading moratorium
Unit: share
Total number of shareholders 128,375
Shares held by the top ten shareholders not subject to trading moratorium
Full name of shareholders
Shares not subject to trading
moratorium held at the
period-end
Type of share
Zibo Lucheng Textile Investment Co., Ltd. 24,956,700 RMB common shares
DBS VICKERS (HONG KONG) LTD A/C CLIENTS 40,626,252 Domestically listed foreign share
GF Large-Cap Growth Mixed Type Fund 13,599,841 RMB common shares
Guotai Jinma Sustaining Return Fund 9,585,503 RMB common shares
Fullgoal Tianhe Stable Selected Stock Fund 5,239,326 RMB common shares
Hua An Dynamic Asset Allocation Mixed Type Fund 3,630,540 RMB common shares
HTHK-VALUE PARTNERS INTELLIGENT FD-CHINA B SHS
FD 3,603,926 Domestically listed foreign share
TOYO SECURITIES ASIA LIMITED-A/C CLIENT. 3,416,840 Domestically listed foreign share
AVIVA INVESTORS 3,394,515 Domestically listed foreign share
Everbright Pramerica Dividend Stock Fund 3,299,979 RMB common shares
§3 Significant Events
3.1 Significant changes in major accounting data, financial highlights and reasons for these changes.
□Applicable √Non-applicable
3.2 Process of significant events and influence, as well as analysis and explanation on resolving
proposal
□Applicable √Inapplicable
3.3 Special commitments made by the company, shareholders and actual controllers
√Applicable □Inapplicable
Commitment Commitment
maker Contents of the commitment Execution
Commitment concerning share
merger reform
Zibo Lucheng
Textile Investment
Co., Ltd
Zibo Lucheng will not reduce its shareholding within 60
months after share merger reform and, within 24 months
after that, the price of selling holding shares shall not be
lower than RMB 15 per share (if the share capital changes,
ex-rights will be conducted); it proposed and voted for a cash
distribution not lower than 50% of the profit available for
In the process of
executionThe First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
3
distribution in the year at the 2006 Shareholders’ General
Meeting and 2007 Shareholders’ General Meeting; it will
increase the LUTHAI A shares held by it through trading at
the secondary market with the dividends received in 2005
and 2006, and the increase of the LUTHAI A shares held
shall be accomplished within 12 months after the dividend is
transferred to its account. In 2008, the total profit shall
increase by not less than 30% compared with that in 2005.
Commitment concerning share
trading moratorium N/A N/A N/A
Commitments made in a purchase
report or a report on changes of
owners’ equity
N/A N/A N/A
Commitments made in material
asset reorganization N/A N/A N/A
Commitments made when issuing Lu Thai Textile
Co., Ltd. Investment projects with raised funds
In the process of
execution as
scheduled
Other commitments (including
supplementary ones) N/A N/A N/A
3.4 Warnings of possible loss or large-margin change of the accumulated net profit made during the
period from the beginning of the year to the end of the next report period compared with the same
period of the last year according to prediction, as well as explanations on the reasons
□Applicable √Inapplicable
3.5 Other significant events need to be explained
3.5.1 Securities investment
□Applicable √Inapplicable
3.5.2 Reception of research, interviews and visits in the reporting period
Reception time Reception place Reception way Reception object Major discussion content and the
information provided by the Company
8 Apr. 2010 Reception room of the
Company Field research Kong Jun of China Jianyin
Investment Securities
Basic information of the Company and
recovery of export
3.5.3 Explanation on other significant events
□Applicable √Inapplicable
3.6 Derivative Investment
√Applicable □Inapplicable
Analysis on risks and control
measures of derivative
products held in the report
period (including but not
limited to market risk,
liquidity risk, credit risk,
operation risk, law risk, etc.)
Analysis on risks and control measures concerning derivatives investments
The Company conducted forward settlements in order for hedging. And the forward
settlement hedging was operated by installments, with the relevant amount not more
than the planned earnings from exchanges. And all hedging business was
zero-deposit. Meanwhile, the Company had a complete risk control system for
sufficient analysis and prevention of possible risks such as risk of laws and
regulations, credit risk, operation risk and market risk.
1. Risk of laws and regulations
When conducting hedging business, the Company must abide by relevant laws,
regulations and rules of the stock exchange, and the rights and obligations between
the Company and the bank must be specified.
Precautionary measures: The Company carefully studied and mastered relevant laws,The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
4
regulations and market rules, formulated internal control rules for the forward
settlement hedging business, strengthened supervision, and strictly abided by relevant
laws, regulations and the Company’s internal management rules.
2. Credit risk and liquidity risk
Hedging business developed by the Company was carried out on the basis of contract
of forward settlement of exchange signed between the Company and bank, the
delivery on schedule or extension is recognized based on one of the contract price and
exchange tendency after such contract of forward settlement of exchange falls due, no
default risk exists in the Company so as to ensure delivery on schedule or extension.
Precaution measure: the Company formulated the internal control management
system for hedging of forward settlement of exchange, in which the appropriate
authorization system shall be set out, and amount for hedging shall be confirmed by
installments in accordance with the production and operation scale and exchange
revenue progress, and ensure no credit risk and liquidity risk occurred by means of
extension at the specified date.
3. Operation risk
Faulty internal progress, employees, as well as system and external matters resulted in
risk as well in the course of hedging, including employee risk, process risk, system
risk and external risk.
Precaution measure: the Company set up stringent authorization and approval system,
stipulated organization, business operating process and examination and approval
process, and perfect regulation can reduce the operation risk effectively.
4. Market risk
In the operation of hedging of forward settlement and surrender exchange, if the
RMB is devalued by a large margin on the basis of the current situation before the
contract is due, so then, the larger losses shall incur in the contract on forward
settlement of exchange signed by the Company.
Risk analysis and precaution measure: at present, in face of the appreciation pressure
on Renminbi, there was no risk on large devaluation of the RMB before the contract
is due signed by the Company. According to price quoted from each bank, the RMB
shows appreciation tendency within a narrow range within 1 year, thus, gain on
change in fair value shall occur in the forward contract signed by the Company.
Changes of market prices or
fair values in the report
period of the invested
derivatives. And the analysis
on the fair value of the
derivatives should include
the specific use methods and
the relevant assumptions and
parameters.
In the reporting period, the due forward settlement of the Company totaled USD
203,735,700, among which USD 101,655,700 was delivered as scheduled, generating
a loss of RMB 18,888,100, and USD 102,080,000 was extended, reducing loss by
RMB 125,800 after the extension. As at the end of the reporting period, the contract
amount of forward settlement of exchange held by the Company stood at USD
317,580,000. During the holding period of forward contract, it is estimated that
Renminbi will still present steadily increasing trend. Under this situation, fair value
variation of the forward contract held by the Company will present an income.
Whether significant changes
occurred to the Company’s
accounting policy and
specific accounting
principles of derivatives in
the report period compared
to the previous report period
Unchanged
Specific opinion from
independent directors,
sponsors or financial
consultants on the
Company’s derivatives
investment and risk control
Independent opinions from the independent directors of Lu Thai Textile Co., Ltd. on
the Company’s hedging business of forward settlement and sale of foreign exchange
Concerning the Company’s hedging business of forward settlement and sale of
foreign exchange, the Company’s independent directors Zhou Zhiji, Li Zhixian, Qi
Haodong, Bi Xiuli and Wang Lei issued their professional opinions as follows:
1. As at the end of the reporting period, the contract amount of undue forwardThe First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
5
settlement of exchange stood at USD 317,580,000.
2. In the reporting period, the due forward settlement of the Company totaled USD
203,735,700, among which USD 101,655,700 was delivered as scheduled, generating
a loss of RMB 18,888,100, and USD 102,080,000 was extended, reducing loss by
RMB 125,800 after the extension.
3. When operating its hedging business of forward settlement and sale of foreign
exchange, the Company went through relevant approving procedures, which was in
line with relevant laws, regulations and the Company’s Articles of Association.
4. Concerning its hedging business of forward settlement and sale of foreign
exchange, the Company established and improved its relevant internal control
systems such as the organization structure, the business operation flow and the
approving procedures, which was effectively executed.
5. On the basis of its normal operation, the Company used its own funds to conduct
the hedging business of forward settlement and sale of foreign exchange, which could
help the Company avoid the risk of RMB exchange rate changes and improve the
Company’s resistance ability to exchange rate fluctuations. Such a move of the
Company would do no harm to the interest of the Company and its shareholders.
6. In the report period, the Company operated its hedging business of forward
purchase/sale of foreign currencies in strict compliance with relevant laws,
regulations, the Company’s Articles of Association and the Company’s Internal
Control System on Hedging Business of Forward Purchase/Sale of Foreign
Currencies.
7. The Management System for Derivative Transaction, which was amended in
accordance with the Stock Listing Rules of Shenzhen Stock Exchange and Shenzhen
Stock Exchange, Working Guidelines for Information Disclosure of Listed
Companies (No. 8) - Derivative Investment, was examined and approved at the 36th
meeting of the 5th Board of Directors of the Company, so as to further perfect
management of derivative transaction.
8. In accordance with the requirements of Shenzhen Stock Exchange, Working
Guidelines for Information Disclosure of Listed Companies (No. 8) - Derivative
Investment, the Company perfected relevant obligation of information disclosure in
the first quarterly report for 2010.
To sum up, we were of the opinion that it would strengthen the Company’s
competitiveness to use the hedging forward settlement and sale of foreign exchange
business as an effective tool to avoid foreign exchange risks, to strengthen the
relevant internal control and to carry out the loss and risk prevention measures so as
to improve the operation and management. It was considered feasible for the
Company to conduct the hedging business of forward purchase/sale of foreign
currencies and the relevant risks were controllable.
3.6.1 Derivatives held as at the end of the report period
√Applicable □Inapplicable
Unit: RMB
Type of contract Beginning contract
amount
Closing contract
amount
Gain or loss in the
reporting period
Proportion of the
closing contract
amount in the closing
net assets of the
Company (%)
Forward settlement of exchange
contract 2,748,279,800.00 2,110,765,860.00 -18,888,118.02 51.89%
Total 2,748,279,800.00 2,110,765,860.00 -18,888,118.02 51.89%
§4 Attachment
4.1 Balance sheet
Prepared by Lu Thai Textile Co., Ltd. 31 Mar. 2010 Unit: RMB YuanThe First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
6
Closing balance Opening balance
Item
Consolidation Parent company Consolidation Parent company
Current assets:
Monetary funds 650,728,920.73 398,947,258.62 569,968,526.84 324,783,025.04
Settlement fund reserve
Dismantle fund
Transaction financial asset
Notes receivable 108,931,181.95 110,422,064.91 141,412,742.46 120,774,297.57
Account receivable 187,715,565.79 166,721,376.95 154,069,325.62 167,091,056.87
Account paid in advance 185,251,412.69 464,403,031.79 160,759,295.40 435,828,408.63
Premium receivables
Receivables from reinsurers
Reinsurance contract reserve
receivables
Interest receivable
Dividend receivable
Other account receivable 42,918,869.66 10,380,476.21 49,697,710.62 14,017,123.91
Financial assets purchased
under agreements to resell
Inventories 1,384,389,341.29 922,145,863.55 1,229,494,890.25 801,504,131.77
Non-current assets due within 1
year
Other current assets
Total current assets 2,559,935,292.11 2,073,020,072.03 2,305,402,491.19 1,863,998,043.79
Non-current assets:
Loans and advance
Available for sale financial assets
Held to maturity investments
Long-term account receivable
Long-term equity investment 12,160,000.00 897,482,752.85 160,000.00 897,482,752.85
Investing property
Fixed asset 3,604,236,898.49 2,158,854,015.36 3,620,298,059.46 2,141,043,636.81
Project in construction 90,717,826.40 61,489,607.45 73,045,428.62 53,545,369.31
Engineering material 288,748.72 288,748.72 11,712,153.66 11,712,153.66
Fixed asset disposal
Bearer biological asset
Oil assets
Intangible assets 278,938,709.41 166,380,200.86 228,956,536.92 116,170,958.25
Development expense
Goodwill 20,563,803.29 20,563,803.29
Long-term expense to be
apportioned
Deferred income tax assets 34,170,433.98 25,296,076.54 42,928,486.46 25,551,960.18
Other non-current assets
Total of non-current assets 4,041,076,420.29 3,309,791,401.78 3,997,664,468.41 3,245,506,831.06
Total assets 6,601,011,712.40 5,382,811,473.81 6,303,066,959.60 5,109,504,874.85
Current liabilities:
Short-term borrowings 1,335,713,919.21 649,574,161.50 1,032,541,840.01 356,415,782.53The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
7
Borrowings from Central Bank
Deposits and due to banks and
other financial institutions
Borrowings from banks and
other financial institutions
Transactional financial
liabilities 50,275,468.00 42,148,100.00 61,408,150.00 50,861,900.00
Notes payable 107,029,713.16 369,175,953.14 100,969,783.06 385,837,761.77
Accounts payable 221,337,640.86 140,908,473.84 275,876,805.53 149,446,372.99
Accounts received in advance 73,375,964.76 25,397,239.09 41,441,458.66 24,231,017.36
Financial assets sold under
agreements to repurchase
Handling charges and
commissions payable
Employee’s compensation
payable 184,444,735.28 160,968,542.04 220,359,174.53 186,391,924.39
Taxes and fares payable 22,811,183.41 18,185,051.39 28,682,631.04 18,959,689.49
Interest payable 1,212,647.90 1,212,647.90 490,102.22 490,102.22
Dividend payable 442,538.04 442,538.04 442,538.04 442,538.04
Other accounts payable 77,873,543.98 13,292,324.95 90,408,797.00 13,425,412.94
Due to reinsurers
Insurance contract reserve
Amount payable for acting
trading securities
Amount payable for acting
underwriting securities
Non-current liabilities due
within 1 year 117,636,660.00 117,636,660.00 157,379,900.00 157,379,900.00
Other current liabilities
Total current liabilities 2,192,154,014.60 1,538,941,691.89 2,010,001,180.09 1,343,882,401.73
Non-current liabilities:
Long-term borrowings 55,680,480.00 55,680,480.00 92,612,200.00 92,612,200.00
Debentures payable
Long-term payables 9,735,560.00 9,735,560.00
Specific-purpose account
payables
Accrued liabilities
Deferred income tax liabilities 406,201.83 406,802.45
Other non-current liabilities 2,673,445.33 2,673,445.33
Total non-current liabilities 68,495,687.16 55,680,480.00 105,428,007.78 92,612,200.00
Total liabilities 2,260,649,701.76 1,594,622,171.89 2,115,429,187.87 1,436,494,601.73
Shareholders’ equity
Share capital 994,864,800.00 994,864,800.00 994,864,800.00 994,864,800.00
Capital surplus 1,135,356,168.72 1,125,522,201.27 1,135,356,168.72 1,125,522,201.27
Less: Treasury Stock
Special reserve
Surplus reserve 374,429,529.19 374,429,529.19 374,429,529.19 374,429,529.19
General risk provision
Retained earnings 1,566,682,884.77 1,293,372,771.46 1,418,468,702.64 1,178,193,742.66The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
8
Foreign exchange difference -3,334,599.56 -3,458,491.27
Total owners' equity attributable
to holding company 4,067,998,783.12 3,788,189,301.92 3,919,660,709.28 3,673,010,273.12
Minority interests 272,363,227.52 267,977,062.45
Total owners’ equity 4,340,362,010.64 3,788,189,301.92 4,187,637,771.73 3,673,010,273.12
Total liabilities and owners’
equity 6,601,011,712.40 5,382,811,473.81 6,303,066,959.60 5,109,504,874.85
4.2 Income Statement
Prepared by Lu Thai Textile Co., Ltd. Jan.- Mar. 2010 Unit: RMB Yuan
Jan. – Mar. 2010 Jan. – Mar. 2009
Items
Consolidation Parent company Consolidation Parent company
I. Total operating revenue 1,007,921,744.76 807,994,022.17 842,468,539.81 708,651,373.05
Including: Sales 1,007,921,744.76 807,994,022.17 842,468,539.81 708,651,373.05
Interest income
Premium income
Handling charges and commission income
II. Total operating cost 823,200,338.55 672,361,635.35 705,616,763.27 596,724,389.40
Including: Cost of sales 666,232,289.10 571,205,287.29 625,877,550.81 556,121,098.03
Interest expenses
Handling charges and commission expenses
Cash surrender value
Net amount of claims
Net provision for insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 456,638.83 901,220.96
Selling and distribution expenses 33,245,656.29 11,189,324.46 33,212,916.46 11,026,285.95
Administrative expenses 107,559,667.81 81,497,027.60 39,369,702.24 20,727,235.78
Financial expenses 13,413,964.57 7,851,177.73 18,222,960.04 8,849,769.64
Asset impairment loss 2,292,121.95 618,818.27 -11,967,587.24
Add: Gain/(loss) from change in fair value (“-” means
loss) 11,132,682.00 8,713,800.00 1,629,200.00
Gain/(loss) from investment (“-” means loss) -18,888,118.02 -15,156,321.02 -2,690,500.00 -832,500.00
Including: income form investment on affiliated
enterprises and jointly-run enterprises
Foreign exchange difference (“-” means loss)
III. Business profit (“-” means loss) 176,965,970.19 129,189,865.80 135,790,476.54 111,094,483.65
Add: non-operation income 11,317,958.25 7,329,344.07 10,001,231.22 3,235,579.73
Less: non-business expense 964,053.36 748,575.72 1,374,654.58 407,102.78
Including: loss from non-current asset disposal
IV. Total profit (“-” means loss) 187,319,875.08 135,770,634.15 144,417,053.18 113,922,960.60
Less: Income tax expense 34,719,527.88 20,591,605.35 23,347,472.84 17,088,444.09
V. Net profit (“-” means loss) 152,600,347.20 115,179,028.80 121,069,580.34 96,834,516.51
Attributable to parent company 148,214,182.13 115,179,028.80 122,078,955.79 96,834,516.51
Minority interests 4,386,165.07 -1,009,375.45
VI. Earnings per share
(I) basic earnings per share 0.15 0.12 0.12 0.10The First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
9
(II) diluted earnings per share 0.15 0.12 0.12 0.10
Ⅶ. Other comprehensive income 123,891.71
Ⅷ. Total comprehensive income 152,724,238.91 115,179,028.80 121,069,580.34 96,834,516.51
Attributable to owners of parent company 148,338,073.84 115,179,028.80 122,078,955.79 96,834,516.51
Attributable to minority shareholders 4,386,165.07 -1,009,375.45
4.3 Cash Flow Statement
Prepared by Lu Thai Textile Co., Ltd. Jan.- Mar. 2010 Unit: RMB Yuan
Jan. – Mar. 2010 Jan. – Mar. 2009
Items
Consolidation Parent company Consolidation Parent company
I. Cash flows from operating activities:
Cash received from sale of commodities and
rendering of service 1,111,919,061.37 897,606,220.43 901,371,132.80 807,027,692.90
Net increase of deposits from customers and dues
from banks
Net increase of loans from the central bank
Net increase of funds borrowed from other financial
institutions
Cash received from premium of original insurance
contracts
Net cash received from reinsurance business
Net increase of savings of policy holders and
investment fund
Net increase of disposal of tradable financial assets
Cash received from interest, handling charges and
commissions
Net increase of borrowings from banks and other
financial institutions
Net increase of buy-back funds
Tax refunds received 27,298,278.08 15,182,945.85 37,017,779.42 33,070,986.17
Other cash received relating to operating activities 19,199,638.81 11,458,572.27 168,097,933.85 156,814,360.71
Subtotal of cash inflows from operating activities 1,158,416,978.26 924,247,738.55 1,106,486,846.07 996,913,039.78
Cash paid for goods and services 757,121,903.49 642,780,076.15 740,866,238.79 811,391,637.98
Net increase of customer lending and advance
Net increase of funds deposited in the central bank
and amount due from banks
Cash for paying claims of the original insurance
contract
Cash for paying interest, handling charges and
commissions
Cash for paying policy dividends
Cash paid to and for employees 215,035,893.24 169,571,172.54 184,409,846.08 144,724,643.69
Various taxes paid 38,805,096.22 16,357,140.59 29,723,132.28 849,751.00
Other payment of cash relating to operating activities 48,063,673.39 30,060,929.61 54,196,087.71 23,586,767.62
Subtotal of cash outflows from operating activities 1,059,026,566.34 858,769,318.89 1,009,195,304.86 980,552,800.29
Net cash flows from operating activities 99,390,411.92 65,478,419.66 97,291,541.21 16,360,239.49
II. Cash Flows from investment activities:
Cash received from withdrawing investments
Cash received from investment incomeThe First Quarterly Report for 2010 of Luthai Textile Co., Ltd.
10
Net cash received from disposal of fixed assets,
intangible assets and other long-term assets 186,865.38 157,365.38 122,481.34 122,481.34
Net cash received from disposal of subsidiary or other
operating business units
Other cash received relating to investment
activities 571,533.38 293,758.14 2,195,331.67 1,422,772.04
Subtotal of cash inflows from investment
activities 758,398.76 451,123.52 2,317,813.01 1,545,253.38
Cash paid to acquire fixed assets, intangible assets
and other long-term assets 145,557,254.01 129,621,443.62 51,071,753.91 29,152,703.45
Cash paid for investment 12,000,000.00
Net increase of pledged loans
Net cash paid to acquire subsidiaries and other
operating units
Payment of cash relating to other investment
activities 18,888,118.02 15,156,321.02
Subtotal of cash outflows from investment activities 176,445,372.03 144,777,764.64 51,071,753.91 29,152,703.45
Net cash flows from investment activities -175,686,973.27 -144,326,641.12 -48,753,940.90 -27,607,450.07
III. Cash Flows from Financing Activities:
Cash received from absorbing investment
Including: Cash received by subsidiaries from
increase in minority interests
Cash received from borrowings 415,083,480.00 285,140,500.00 562,389,000.00 368,389,000.00
Cash received from issuance of bonds
Other cash received relating to financing activities 8,300,000.00 3,000,000.00
Subtotal of cash inflows from financing activities 423,383,480.00 285,140,500.00 565,389,000.00 368,389,000.00
Cash repayments of amounts borrowed 248,666,318.88 129,140,261.40 1,036,310,877.57 775,160,877.57
Cash paid for interest expenses and distribution of
dividends or profit 6,613,281.44 1,806,256.42 19,325,791.58 12,230,469.24
Including: dividends or profit paid by subsidiaries
to minority shareholders
Other cash payments relating to financing activities 10,000,000.00
Sub-total of cash outflows from financing activities 265,279,600.32 130,946,517.82 1,055,636,669.15 787,391,346.81
Net cash flows from financing activities 158,103,879.68 154,193,982.18 -490,247,669.15 -419,002,346.81
IV. Effect of foreign exchange rate changes on cash and
cash equivalents -1,046,924.44 -1,181,527.14 14,554,402.61 16,377,673.28
V. Increase in cash and cash equivalents 80,760,393.89 74,164,233.58 -427,155,666.23 -413,871,884.11
Add : Cash and cash equivalents at year-begin 569,968,526.84 324,783,025.04 1,141,056,407.10 884,493,526.89
VI. Cash and cash equivalents at the end of the year 650,728,920.73 398,947,258.62 713,900,740.87 470,621,642.78
4.4 Auditor’s report
Auditor’s opinion: un-audited
