China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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China Fangda Group Co., Ltd.
The 3rd Quarterly Report 2010 (Full Text)
§1 Important Declaration
1.1 The Board of Directors and the directors of the Company guarantee that there are no significant
omissions, fictitious or misleading statements carried in the Report and we will accept individual and joint
responsibilities for the truthfulness, accuracy and completeness of the Report.
1.2 Directors other than the followings presented at the Board Meeting on which this report was examined:
Name of the director
absented Position Reason for not presenting the meeting Name of consignee
Wang Shengguo Director Business engagement Xiong Jianwei
1.3 The 3rd Quarterly Report is not audited by CPA.
1.4 Mr. Xiong Jianming, the Chairman, Mr. Lin Kebing, the Financial Principal, and Mr. Chen Yonggang, the Accounting
Manager hereby declares that: The financial statements carried in this quarterly report are of authentic and complete.
§2 Company Profile
2.1 Financial highlights
In RMB Yuan
2010.9.30 2009.12.31 Extent of Change (%)
Gross Assets (RMB) 1,946,272,504.19 1,482,814,012.11 31.26%
Owners’ equity attributable to the
shareholders of the listed company
(yuan)
997,297,165.22 623,295,593.57 60.00%
Capital shares (shares) 504,606,604.00 426,786,359.00 18.23%
Net asset per share attributable to the
shareholders of the listed company
(Yuan/share)
1.98 1.46 35.62%
July-Sept. 2010 Changed over the same
period of last year (%) Jan-Sept. 2010 Changed over the same
period of last year (%)
Turnover (yuan) 296,966,441.24 27.99% 720,346,203.98 19.66%
Net profit attributable to shareholders
of the listed company (yuan) 9,830,018.98 33.26% 43,438,600.40 15.98%
Net Cash flow generated by business
operation (RMB) - - -47,509,068.59 -584.12%
Net Cash flow per share generated by
business operation (yuan/share) - - -0.09 -570.75%
Basic earnings per share (Yuan/share) 0.02 0.00% 0.092 12.20%
Diluted earnings per share
(Yuan/share) 0.02 0.00% 0.092 12.20%
Weighted average net
income/asset ratio (%) 0.99% -0.25% 5.76% -0.65%
Weighted average net
income/asset ratio less non-recurring
gain/loss(%)
0.80% -0.23% 2.80% 0.10%China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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Non-recurring gain and loss items
Amount from beginning of
year to the end of report
term
Note
Gain/loss of non-current assets 10,727,318.70
Government subsidies accounted into current gain/loss account, other than those closely related to
the Company ’ s common business, comply with the national policy and continues to enjoy at
certain fixed rate or amount.
3,673,500.00
Gain/loss from change of fair value of transactional asset and liabilities, and investment gains
from disposal of transactional financial assets and liabilities and sellable financial assets, other
than valid period value instruments related to the Company’s common businesses
3,173,366.97
Gain/loss from change of fair value of investment property measured at fair value in follow-up
measurement 8,729,924.08
Other non-business income and expenditures other than the above -598,009.45
Influenced amount of minority shareholders’ equity -34,595.09
Influenced amount of income tax -3,320,559.15
Total 22,350,946.06 -
2.2 Total of shareholders and the top 10 holders of unconditional shares
In shares
Total shareholders at the end of the report period
(accounts) 63,677
Top ten holders of the shares without subscription limitation
Full name of shareholder Amount of unconditional shares held at
the end of report term Categories
Shenzhen Banglin Technologies Development
Co., Ltd. 45,849,515 RMB common shares
Shenzhen Shilihe Investment Co., Ltd. 20,067,328 RMB common shares
Hong Kong Onforce International Co., Ltd. 8,500,000 Foreign shares placed in domestic
exchange
Cao Yifan 2,291,267 Foreign shares placed in domestic
exchange
China Industrial & Commercial Bank – Nuo’an
Stock Investment Fund 1,540,955 RMB common shares
Chen Lihong 1,536,777 Foreign shares placed in domestic
exchange
China Merchants Securities Hong Kong Ltd. 1,533,971 Foreign shares placed in domestic
exchange
Yu Baixiang 1,419,993 Foreign shares placed in domestic
exchange
Zhu Yicai 1,411,331 RMB common shares
GUOTAI JUNAN SECURITIES(HONGKONG)
LIMITED 1,159,247 Foreign shares placed in domestic
exchange
§3 Significant Events
3.1 Details and causations of major change in major accounting subjects and financial indices
√ applicable □ not applicable
1. For the rapid increasing of business, and the newly opened branches, the business turnover, receivable accounts, administrative
expenses, and sales expenses increased by 19%, 14%, 33%, and 30% respectively.China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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2. For the increasing of orders, the prepayment for materials has increased and caused 330% of increase in prepaid accounts.
3. On January 18, 2010, Fangda Aluminum Co. – one of the Company’s subsidiaries entered the Land Retrieving and Compensation
Agreement with Nanchang High-tech Industry Development Zone Administration Committee, on which the land of Aluminum Co. was
retrieved by the Administration Committee with RMB30.6043 million of compensation. This has caused 99% and 437% of increase on
other receivable and non-operational income.
4. In the report term, the construction of workshops of Shenyang Base has been completed, the semi-conductor production line in
Shenzhen has been moved to Shenyang and installation was started. This caused 372% of increase in construction-in-process.
5. In the report term, the Company use bank accepted notes to make payment to suppliers, which made 205% of increase on notes
payable.
6. Capitalizing of capital reserves and private issuing of 47.9452 million A shares caused 18% and 313% of increases on share capital
and capital reserves respectively.
3.2 Progress of significant events, their influence, countermeasures, and analysis
3.2.1 None-standard opinions
□applicable √ not applicable
3.2.2 Illegal providing of capital or guarantees to the holding shareholder or its related parties or external
parties
□applicable √ not applicable
3.2.3 Signing and execution of major business contracts
√ applicable □ not applicable
1. Contract of energy saving curtain wall for Hangzhou City Xinyu block 2, 3, 5, and 6 are amounted to RMB174.2864 million, and
has been basically completed.
2. Shenyhang Xingmo’er Shopping Mall was contract for RMB139.90 million, and is on schedule according to the contract.
3. Shenzhen Jiali Construction Plaza Phase II was contract for RMB105.08 million, and is on schedule according to the contract.
4. Shenzhen Metro Line 2 PSD system is contracted with RMB169.256 million. The installation has been completed, and is on
schedule according to the contract.
3.2.4 Misc.
√ applicable □ not applicable
(1) The Company neither provided capital to the controlling shareholder or its associates, nor provided any guarantee to outside parties
with illegal procedures;
(2) There is no shareholder holding over 30% of the Company’s shares, and there is no such share-increasing plan raised by
shareholder with over 30% of the Company’s shares;
(3) No cash dividend was distributed in the report term;
(4) No major contract engaged in the report term.
3.3 Fulfilling of commitment issues made by the Company, shareholder, or substantial controller
□applicable √ not applicableChina Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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3.4 Estimated accumulative profit from the year beginning to the end of the next report period may be of
deficits; or in comparison with the same period of the previous year, give the warning of great change and
the notice to the reasons.
□applicable √ not applicable
3.5 Major events needs to be explained
3.5.1 Investment in securities
□applicable √ not applicable
3.5.2 Reception of investigations, communications, or interviews
No such investigation, communication or visiting happened in the report term.
3.6 Investment in derivate financial instruments
√ applicable □ not applicable
Statement on analyzing and controlling of risks with derivate
investment in the report term (including but not limited to
market risks, liquidity risks, credit risks, operation risks, and
legal risks.
The Company adopts aluminum future contract in domestic future
market to avoid material price fluctuation risks. The Company has
established “Regulations of Hedging Instrument of China Fangda
Group Co., Ltd.” 方（发）[2010]03 号, and implemented strictly.
Change of derivate instrument market price or fair value,
information disclosing on the fair value, relative estimation and
setting of indexes
Derivate instrument fair value is at quotation opened in the future
contract market, along with retrospective evaluation process, all of the
hedging are highly effective.
Statement on major alternation in accounting polices and
accounting basis on derivate instruments comparing with last
year
No significant change.
Particular comments of the independent directors, sponsors, or
financial consultants on investment of derivate instruments and
risk controlling
Hedging instruments are used strictly according to relative
regulations, and only used to secure the raw materials needed by the
Company. It is not manipulation of future contracts, thus effectively
reduced the risks. This will benefit the steady development of the
Company.
3.6.1 Derivate financial instrument stock at end of report term
√ applicable □ not applicable
In RMB Yuan
Category of contracts Amount of the contract
at beginning of term
Amount of the contract
at end of term
Gain/loss in the report
term
Percentage of value of
contracts on net asset
at end of report term %
Shanghai Aluminum 11,279,750.00 0.00 -1,295,175.00 0.00%
Total 11,279,750.00 0.00 -1,295,175.00 0.00%China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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§4 Attachments
4.1 Balance Sheet
Prepared by China Fangda Group Co., Ltd. Ended Sept. 30, 2010 RMB Yuan
Items
Balance at the end of term Balance at the beginning of year
Consolidated Parent company Consolidated Parent company
Current asset:
Monetary capital 513,831,744.28 5,848,044.30 225,638,874.09 42,274,488.50
Settlement provision
Outgoing call loan
Transactional financial assets
Notes receivable 5,820,000.00 620,000.00
Account receivable 382,969,235.40 7,451,835.71 333,653,242.73 10,360,034.57
Prepayment 63,956,750.05 688,148.42 14,855,691.29 142,638.53
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts receivable
Interest receivable 360,525.00
Dividend receivable 1,500,000.00 68,300,000.00
Other account receivable 69,683,216.81 220,344,787.04 34,909,899.09 254,201,660.72
Repurchasing of financial assets
Inventories 231,294,633.85 198,970,648.46
Non-current asset due in 1 year
Other current asset 3,315,075.00
Total of current asset 1,267,555,580.39 235,832,815.47 812,323,955.66 375,278,822.32
Non-current assets
Loans and payment on other’s behalf disbursed
Disposable financial asset 4,522,000.00 4,522,000.00 7,520,445.42 3,496,410.96
Expired investment in possess
Long-term receivable
Long-term share equity investment 2,997,216.45 662,507,024.75 2,997,216.45 327,121,953.02
Investment properties 268,227,602.88 259,610,702.88 259,497,678.80 251,001,478.80
Fixed assets 196,383,520.26 55,328,525.57 259,250,051.32 56,120,248.80
Construction in process 86,663,437.05 51,282.05 18,327,957.02
Engineering goods
Fixed asset disposal 868.59 455,423.65
Production physical assets
Gas & petrol
Intangible assets 72,779,437.31 9,888,483.24 78,469,313.92 10,270,993.34
R&D expense 3,093,872.03 1,185,899.73
Goodwill 8,197,817.29 8,197,817.29
Long-term amortizable expenses
Differed income tax asset 35,851,151.94 18,939,848.65 34,588,252.85 18,497,571.25
Other non-current asset
Total of non-current assets 678,716,923.80 1,010,847,867.14 670,490,056.45 666,508,656.17
Total of assets 1,946,272,504.19 1,246,680,682.61 1,482,814,012.11 1,041,787,478.49China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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Current liabilities
Short-term loans 397,000,000.00 200,000,000.00 370,000,000.00 210,000,000.00
Loan from Central Bank
Deposit received and hold for others
Call loan received
Trade off financial liabilities
Notes payable 73,843,153.02 24,166,495.62
Account payable 232,565,437.91 1,901,490.36 200,145,847.34 7,653,666.23
Prepayment received 65,041,408.85 693,045.60 82,972,481.39 771,848.60
Selling of repurchased financial assets
Fees and commissions receivable
Employees’ wage payable 6,674,540.13 443,979.71 4,583,925.93 10,251.76
Tax payable 27,632,475.40 983,352.68 30,026,775.63 1,156,239.74
Interest payable 495,250.00 280,250.00 557,551.25 323,688.75
Dividend payable
Other account payable 26,434,948.84 66,212,664.21 29,077,737.90 194,524,051.83
Reinsurance fee payable
Insurance contract provision
Entrusted trading of securities
Entrusted selling of securities
Non-current liability due in 1 year
Other current liability
Total of current liability 829,687,214.15 270,514,782.56 741,530,815.06 414,439,746.91
Non-current liabilities
Long-term borrowings
Bond payable
Long-term payable
Special payable
Contingent liabilities 698,331.59
Differed income tax liability 26,585,676.03 26,175,569.64 22,622,907.36 21,285,505.98
Other non-recurring liabilities 5,200,000.00 4,250,000.00
Total of non-current liabilities 32,484,007.62 26,175,569.64 26,872,907.36 21,285,505.98
Total of liability 862,171,221.77 296,690,352.20 768,403,722.42 435,725,252.89
Owners’ equity (or shareholders’ equity)
Capital paid in (or share capital) 504,606,604.00 504,606,604.00 426,786,359.00 426,786,359.00
Capital reserves 333,365,214.92 293,964,559.54 80,622,488.67 35,682,213.36
Less: Shares in stock
Special reserves
Surplus reserves 13,360,180.84 13,360,180.84 13,360,180.84 13,360,180.84
Common risk provision
Retained profit 145,965,165.46 138,058,986.03 102,526,565.06 130,233,472.40
Different of foreign currency translation
Total of owner’s equity belong to the parent company 997,297,165.22 949,990,330.41 623,295,593.57 606,062,225.60
Minor shareholders’ equity 86,804,117.20 91,114,696.12
Total of owners’ equity 1,084,101,282.42 949,990,330.41 714,410,289.69 606,062,225.60
Total of liabilities and owners’ equity 1,946,272,504.19 1,246,680,682.61 1,482,814,012.11 1,041,787,478.49China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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4.2 Income Statement of the report term
Prepared by: China Fangda Group Co., Ltd. July-Sept 2010 RMB Yuan
Items
Amount of the Current Term Amount of the Previous Term
Consolidated Parent
company Consolidated Parent
company
I. Total revenue 296,966,441.24 11,184,761.30 232,026,806.87 9,581,023.63
Incl. Business income 296,966,441.24 11,184,761.30 232,026,806.87 9,581,023.63
Interest income 0.00 0.00
Insurance fee earned 0.00 0.00
Fee and commission received 0.00 0.00
II. Total business cost 288,861,922.54 10,805,118.50 225,284,273.11 9,549,539.38
Incl. Business cost 243,732,694.55 2,822,319.03 193,012,580.81 2,765,197.47
Interest expense 0.00 0.00
Fee and commission paid 0.00 0.00
Insurance discharge payment 0.00 0.00
Net claim amount paid 0.00 0.00
Net insurance policy reserves provided 0.00 0.00
Insurance policy dividend paid 0.00 0.00
Reinsurance expenses 0.00 0.00
Business tax and surcharge 4,117,694.18 448,573.30 4,880,978.93 428,112.27
Sales expense 9,348,182.96 192,906.12 5,642,321.76 435,296.28
Administrative expense 23,885,309.26 5,157,596.89 17,034,320.18 4,123,819.30
Financial expenses 4,576,303.28 2,149,756.17 3,991,841.20 1,645,066.99
Asset impairment loss 3,201,738.31 33,966.99 722,230.23 152,047.07
Plus: Gains from change of fair value (“-“ for loss) 2,176,467.76 2,110,967.76 6,380.20 1,136,406.00
Investment gain (“-“ for loss) -700.00 0.00 0.00
Incl. Investment gains from affiliates 0.00 0.00
Gains from currency exchange (“-“ for loss) 0.00 0.00
III. Operational profit (“-“ for loss) 10,280,286.46 2,490,610.56 6,748,913.96 1,167,890.25
Plus: Non business income 256,133.42 17,000.00 1,373,607.11 87,648.41
Less: Non-business expenses 66,759.30 30,000.00 1,158,274.65 9,781.20
Incl. Loss from disposal of non-current assets 0.00 0.00
IV. Gross profit (“-“ for loss) 10,469,660.58 2,477,610.56 6,964,246.42 1,245,757.46
Less: Income tax expenses 1,640,874.13 588,628.68 997,070.02 0.00
V. Net profit (“-“ for net loss) 8,828,786.45 1,888,981.88 5,967,176.40 1,245,757.46
Net profit attributable to the owners of parent company 9,830,018.98 1,888,981.88 7,376,329.77 1,245,757.46
Minor shareholders’ equity -1,001,232.53 -1,409,153.37 0.00
VI. Earnings per share:
(I) Basic earnings per share 0.02 0.02 0.00
(II) Diluted earnings per share 0.02 0.02 0.00
VII. Other misc. incomes 2,474,095.00 1,042,720.00 130,819.36 606,121.38
VIII. Total of misc. incomes 11,302,881.45 2,931,701.88 6,097,995.76 1,851,878.84
Total of misc. incomes attributable to the owners of the parent
company 12,304,113.98 2,931,701.88 7,507,149.13 1,851,878.84
Total misc gains attributable to the minor shareholders -1,001,232.53 -1,409,153.37 0.00China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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4.3 Income Statement from the beginning of year to the end of report term
Prepared by: China Fangda Group Co., Ltd. Jan-Sept 2010 RMB Yuan
Items
Amount of the Current Term Amount of the Previous Term
Consolidated Parent
company Consolidated Parent
company
I. Total revenue 720,346,203.98 29,743,006.90 601,972,120.76 26,990,814.07
Incl. Business income 720,346,203.98 29,743,006.90 601,972,120.76 26,990,814.07
Interest income
Insurance fee earned
Fee and commission received
II. Total business cost 698,797,122.84 29,425,577.00 590,649,857.92 26,820,007.68
Incl. Business cost 582,900,345.14 7,600,160.18 492,555,505.92 7,235,546.95
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Net insurance policy reserves provided
Insurance policy dividend paid
Reinsurance expenses
Business tax and surcharge 11,386,079.38 1,184,932.97 14,648,309.88 1,092,806.98
Sales expense 22,081,238.31 797,716.40 16,544,470.43 1,026,912.73
Administrative expense 63,607,210.77 14,838,081.52 48,663,552.57 12,997,968.72
Financial expenses 14,765,900.41 5,210,875.97 13,756,388.23 4,205,559.77
Asset impairment loss 4,056,348.83 -206,190.04 4,481,630.89 261,212.53
Plus: Gains from change of fair value (“-“ for loss) 8,729,924.08 8,609,224.08 3,521,776.72 3,385,743.72
Investment gain (“-“ for loss) 3,173,366.97 16,922,613.40
Incl. Investment gains from affiliates 0.00
Gains from currency exchange (“-“ for loss)
III. Operational profit (“-“ for loss) 33,452,372.19 8,926,653.98 31,766,652.96 3,556,550.11
Plus: Non business income 15,000,180.97 3,469,536.32 2,790,182.99 525,183.68
Less: Non-business expenses 1,197,371.72 430,960.00 1,442,409.95 11,607.71
Incl. Loss from disposal of non-current assets
IV. Gross profit (“-“ for loss) 47,255,181.44 11,965,230.30 33,114,426.00 4,070,126.08
Less: Income tax expenses 8,127,159.96 4,139,716.67 104,100.99
V. Net profit (“-“ for net loss) 39,128,021.48 7,825,513.63 33,010,325.01 4,070,126.08
Net profit attributable to the owners of parent company 43,438,600.40 7,825,513.63 37,452,964.05 4,070,126.08
Minor shareholders’ equity -4,310,578.92 -4,442,639.04
VI. Earnings per share:
(I) Basic earnings per share 0.092 0.082
(II) Diluted earnings per share 0.092 0.082
VII. Other misc. incomes -4,822,100.48 717,519.45 -4,456,168.53 1,590,246.58
VIII. Total of misc. incomes 34,305,921.00 8,543,033.08 28,554,156.48 5,660,372.66
Total of misc. incomes attributable to the owners of the parent
company 38,616,499.92 8,543,033.08 32,996,795.52 5,660,372.66
Total misc gains attributable to the minor shareholders -4,310,578.92 -4,442,639.04China Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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4.4 Cash Flow Statement from the beginning of year to the end of report term.
Prepared by: China Fangda Group Co., Ltd. Jan-Sept 2010 RMB Yuan
Items
Amount of the Current Term Amount of the Previous Term
Consolidated Parent company Consolidated Parent
company
I. Net cash flow from business operation
Cash received from sales of products and providing of
services 676,277,711.55 25,504,133.62 584,474,672.04 33,846,025.95
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 911,118.43 517,720.14
Other cash received from business operation 50,998,734.38 6,479,581.23 63,074,443.00 1,698,915.00
Sub-total of cash inflow from business activities 728,187,564.36 31,983,714.85 648,066,835.18 35,544,940.95
Cash paid for purchasing of merchandise and services 593,334,918.52 9,121,137.54 524,433,621.60 9,718,936.62
Net increase of client trade and advance
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 51,700,696.12 4,514,151.71 39,617,497.73 3,803,076.71
Taxes paid 42,721,607.59 3,016,833.58 25,169,688.72 3,758,154.04
Other cash paid for business activities 87,939,410.72 13,049,682.09 49,032,536.57 5,762,095.67
Sub-total of cash outflow from business activities 775,696,632.95 29,701,804.92 638,253,344.62 23,042,263.04
Cash flow generated by business operation, net -47,509,068.59 2,281,909.93 9,813,490.56 12,502,677.91
II. Cash flow generated by investing
Cash received from investment retrieving 854,089.54 11,678,754.96
Cash received as investment gains 3,176,516.97 66,800,000.00 19,368,989.83
Net cash retrieved from disposal of fixed assets, intangible
assets, and other long-term assets 2,372,184.95 129,181.00 1,220.00
Net cash received from disposal of subsidiaries or other
operational units
Other investment-related cash received 184,000.00
Sub-total of cash inflow due to investment activities 6,402,791.46 66,800,000.00 31,360,925.79 1,220.00
Cash paid for construction of fixed assets, intangible assets
and other long-term assets 36,566,978.97 1,460,864.11 11,036,746.82 332,098.19
Cash paid as investment 335,385,071.73 9,896,272.80
Net increase of loan against pledge
Net cash received from subsidiaries and other operational
unitsChina Fangda Group Co., Ltd. The 3rd Quarterly Report 2010 (Full Text)
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Other cash paid for investment activities
Sub-total of cash outflow due to investment activities 36,566,978.97 336,845,935.84 20,933,019.62 332,098.19
Net cash flow generated by investment -30,164,187.51 -270,045,935.84 10,427,906.17 -330,878.19
III. Cash flow generated by financing
Cash received as investment 340,499,960.00 340,499,960.00 50,000,000.00
Incl. Cash received as investment from minor shareholders
Cash received as loans 607,000,000.00 322,683,223.76 662,535,659.25 284,045,982.17
Cash received from bond placing
Other financing-related cash received 34,261,728.63
Subtotal of cash inflow from financing activities 947,499,960.00 663,183,183.76 746,797,387.88 284,045,982.17
Cash to repay debts 580,000,000.00 420,000,000.00 670,526,823.12 269,015,000.00
Cash paid as dividend, profit, or interests 13,606,869.75 7,619,498.75 14,851,393.71 8,392,536.90
Incl. Dividend and profit paid by subsidiaries to minor
shareholders
Other cash paid for financing activities 4,532,102.20 4,532,102.20 563,620.00 563,620.00
Subtotal of cash outflow due to financing activities 598,138,971.95 432,151,600.95 685,941,836.83 277,971,156.90
Net cash flow generated by financing 349,360,988.05 231,031,582.81 60,855,551.05 6,074,825.27
IV. Influence of exchange rate alternation on cash and cash
equivalents -20,146.53 2.70 -21,451.61 -796.44
V. Net increase of cash and cash equivalents 271,667,585.42 -36,732,440.40 81,075,496.17 18,245,828.55
Plus: Balance of cash and cash equivalents at the beginning
of term 210,823,550.83 42,274,488.50 112,333,106.38 3,702,206.23
VI. Balance of cash and cash equivalents at the end of term 482,491,136.25 5,542,048.10 193,408,602.55 21,948,034.78
4.5 Auditors’ Report
Auditor’s opinion: not audited.
China Fangda Group Co., Ltd.
The Board of Directors
October 21, 2010
