Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Shandong Airlines Co., Ltd.
Summary of Semi-Annual Report 2011
§1. Important Notes
1.1 Board of Directors, Supervisory Committee, all directors, supervisors and senior executives of
Shandong Airlines Co., Ltd. (hereinafter referred to as the Company) hereby confirm that there are
no any fictitious statements, misleading statements, or important omissions carried in this report,
and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completion of
the whole contents.
The summary of semi-annual report is abstracted from the full text of semi-annual report 2011; and
full text of the report is published on the Internet website http://www.cninfo.com.cn in the mean
time. The investors are suggested to read the full text of semi-annual report 2011 to understand
more details.
1.2 The Semi-annual Financial Report 2011 of the Company has not been audited.
1.3 Person in charge of the Company Mr. Zhang Xingfu, person in charge of accounting works Mr.
Xu Guojian and person in charge of accounting institution (managerial accountant) Mr. Wang
Wuping, hereby confirm the truthfulness and completeness of the Financial Report in the
Semi-annual Report 2011.
§2. Company Profile
2.1 Basic information
Short form of stock SHANHANG B
Stock code 200152
Listed stock exchange Shenzhen Stock Exchange
Secretary of the Board of Authorized Representative in
Directors Charge of Securities Affairs
Name Dong Qiantang Fan Peng
19/F, SDA Building, No. 5746, Er 19/F, SDA Building, No. 5746, Er
Contact address
Huan East Road, Jinan, Shandong Huan East Road, Jinan, Shandong
Telephone 0531－85698229 0531－85698678
Fax 0531－85698679 0531－85698679
E-mail dongqt@shandongair.com.cn fanp@shandongair.com.cn
2.2 Major Financial Data and Indexes
2.2.1 Major accounting data and financial indexes
Unit: RMB
Increase/decrease at
the end of this report
At the end of this At the period-end
period compared with
report period of last year
that in period-end of
last year (%)
Total assets(RMB) 9,168,356,882.85 8,923,799,368.85 2.74%
Owners’ equity attributable to
shareholders of the listed company 1,643,705,471.23 1,406,659,169.90 16.85%
(RMB)
Share capital(Share) 400,000,000.00 400,000,000.00 0.00%
Net assets per share attributable to
shareholders of the listed 4.11 3.52 16.85%
company(RMB/Share)
This The same period Increase/decrease in
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
period(Jan.-June0 of last year this report period
year-on-year (%)
Total operating income(RMB) 4,322,532,092.31 3,133,663,094.58
37.94%
Operating profit (RMB) 462,403,813.87 270,675,793.11
70.83%
Total profit(RMB) 471,886,182.46 274,130,932.38
72.14%
Net profit attributable to shareholders 72.29%
of the listed company(RMB) 354,185,295.46 205,570,723.33
Net profit attributable to shareholders
of the listed company after deducting 351,626,127.86 203,190,509.86
73.05%
non-recurring gains and losses (RMB)
Basic earnings per share (RMB/Share) 0.89 0.51 72.29%
Diluted earnings per share 0.89 0.51 72.29%
(RMB/Share)
Weighted average ROE (%) 22.94% 22.14% Up 0.8 percents
Weighted average ROE after deducting 22.78% 21.89% Up 0.89 percents
non-recurring gains/losses (%)
Net cash flow arising from operating 73.03%
activities (RMB) 833,321,188.67 481,613,574.90
Net cash flow per share arising from 2.08 1.20 73.03%
operating activities(RMB/Share)
2.2.2 Items of non-recurring gains and losses
√Applicable □Inapplicable
Unit: RMB
Items of non-recurring gains and losses Amount Note (If applicable)
Loss/gain from disposal of non-current assets -7,499,888.36
Governmental subsidy calculated into current gains
and losses, while closely related with the business of Governmental
the Company, excluding the fixed-amount or 4,631,000.10 airlines subsidies
fixed-proportion governmental subsidy according to and others
the unified national standard
Held transaction financial asset, gains/loses of
changes of fair values from transaction financial
liabilities, and investment gains from disposal of
transaction financial asset, transaction financial -6,096,877.46
liabilities and financial asset available for sales,
exclude the effective hedging business relevant to
normal operations of the Company
Airport airlines
subsidies and other
Other non-operating income and expense excluded 12,351,256.85 non-operating
the aforementioned items
income and
expenses
Impact on income tax -967,043.16
Influence amount of minority shareholders’ equity 140,719.63
Total 2,559,167.60 -
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
2.2.3 Differences between CAS and IAS:
□Applicable √Inapplicable
§3. Changes in Share Capital and Particulars about Shareholders
3.1 Statement of change in shares
□Applicable √Inapplicable
3.2 Particulars about shares held by the top ten shareholders and the top ten shareholders
with unrestricted conditions
Unit: Share
Total shareholders 19,024
Particulars about shares held by the top ten shareholders
Total Amount of
Full Name of Nature of Amount of shares
Proportion amount of non-circulating
shareholder shareholders pledged or frozen
shares held shares held
Shandong Aviation State-owned 42.00% 168,004,000 168,004,000 0
Group legal person
State-owned
Air China Limited 22.80% 91,200,000 91,200,000 0
legal person
Domestic
Yao Ming natural 0.56% 2,242,492 0
person
Foreign
Chen Tianming natural 0.40% 1,590,322 0
person
Domestic
Chen jingjian natural 0.34% 1,343,600 0
person
Domestic
HUANG LIU LIA natural 0.23% 918,917 0
person
Domestic
Xie Qingjun natural 0.23% 900,000 0
person
GUOTAI JUNAN
Foreign
SECURITIES(HONG 0.22% 894,635 0
legal person
KONG) LIMITED
Domestic
Ou Yanping natural 0.22% 881,043 0
person
Domestic
Ye Qufa natural 0.20% 809,600 0
person
Particulars about shares held by the top ten shareholders of circulation share
Shareholder’s name Circulation shares held Type
Domestically listed foreign
Yao Ming 2,242,492
share
Domestically listed foreign
Chen Tianming 1,590,322
share
Chen jingjian 1,343,600 Domestically listed foreign
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
share
Domestically listed foreign
HUANG LIU LIA 918,917
share
Domestically listed foreign
Xie Qingjun 900,000
share
GUOTAI JUNAN
Domestically listed foreign
SECURITIES(HONGKONG) 894,635
share
LIMITED
Domestically listed foreign
Ou Yanping 881,043
share
Domestically listed foreign
Ye Qufa 809,600
share
Domestically listed foreign
Bao Xiuzhen 800,000
share
Domestically listed foreign
JOHN POSS 748,300
share
1. SDA is the first largest shareholder of the Company, representative of
state-owned shares which wasn’t listed to be traded.
2. Air China is the second largest shareholder of the Company, representative
of state-owned shares which wasn’t listed to be traded. At the mean time, Air
China is the actual controller of the Company for being the first largest
Explanation on the shareholder of SDA.
associated relationship 3. Among top 10 shareholders, shareholder with state-owned legal person
or consistent action shares--Air China is the first largest shareholder of SDA; there exists no
among the top ten associated relationship between SDA , Air China and other shareholders,
shareholders neither concerted action required by Information Disclosure Regulations of
Shareholding Change of Shareholders of Listed Companies. The Company is
not aware of their associated relationship among the other shareholders of
circulation share, neither whether other current shareholders belong to
concerted action required by Information Disclosure Regulations of
Shareholding Change of Shareholders of Listed Companies.
3.3 Particulars about changes in controlling shareholder and actual controller of the
Company
□Applicable √Inapplicable
§4. Particulars about Directors, Supervisors, and Senior Executives
4.1 Particulars about changes in shares held by directors, supervisors and senior executives
□Applicable √Inapplicable
§5. Report of Board of Directors
5.1 Statement of main operations classified according to industries and products
Unit: RMB’0000
Main operations classified according to industries
Increase/dec Increase/dec
Increase/decr
Classified rease in rease in cost
Income ease in gross
according to Cost of Gross profit income from of
from profit ratio
industries or operations ratio (%) operations operations
operations year-on-year
products year-on-year year-on-year
(%)
(%) (%)
Aviation
Down 0.17
transportation 425,087.11 330,841.71 22.17% 37.81% 38.12%
percents
service
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Logistics cargo 382.48 151.42 60.41% 14.45% 22.29%
Down 2.54
service percents
Hotel and food Down 14.66
1,073.06 1,016.10 5.31% -17.40% -2.27%
service percents
Down 6.18
Training service 1,016.85 461.52 54.61% 2,227.42% 2,593.95%
percents
Up 0.92
Other 4,693.71 19.29 99.59% 45.00% -55.10%
percents
Main operations classified according to products
Aviation
Down 0.17
transportation 425,087.11 330,841.71 22.17% 37.81% 38.12%
percents
service
Logistics cargo 382.48 151.42 60.41% 14.45% 22.29%
Down 2.54
service percents
Hotel and food 1,073.06 1,016.10 5.31% -17.40% -2.27%
Down 14.66
service percents
Down 6.18
Training service 1,016.85 461.52 54.61% 2,227.42% 2,593.95%
percents
Up 0.92
Other 4,693.71 19.29 99.59% 45.00% -55.10%
percents
5.2 Particulars about main operations classified according to areas
Unit: RMB’0000
Increase/decrease in income
Areas Income from operations from operations over last
year (%)
Domestic 419,270.98 39.07%
International 6,278.60 20.60%
Regions 6,703.62 0.35%
5.3 Explanation on reasons of material changes in main operations and its structure
□Applicable √Inapplicable
5.4 Explanation on reasons of material changes in profitability (gross profit ratio) of main
operations compared with that of last year
□Applicable √Inapplicable
5.5 Analysis on reasons of material changes in profit structure compared with the previous
year
□Applicable √Inapplicable
5.6 Application of the raised proceeds
5.6.1 Comparison sheet of usage of raised funds
□Applicable √Inapplicable
5.6.2 Particulars about items invested in raised funds
□Applicable √Inapplicable
5.7 The modification plan of Board to the business plan for the second half year
□Applicable √Inapplicable
5.8 Estimation on accumulative net profit from the beginning of the year to the end of next
report period to be loss probably or the warning of its material change compared with the
corresponding period of the last year and explanation on reason
□Applicable √Inapplicable
5.9 Explanation of the Management on “Qualified Opinion” from the Certified Public
Accountants in the report period by the Board of Directors
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
□Applicable √Inapplicable
5.10 Explanation of the Management on changes and disposal of the issues involved in
“Qualified Opinion” from the Certified Public Accountants in the last year by the Board of
Directors
□Applicable √Inapplicable
§6. Significant Events
6.1 Purchases and sales of assets and assets restructure
6.1.1 Assets purchased
√Applicable □Inapplicable
6.1.2 Assets sold
□Applicable √Inapplicable
6.1.3 Progress of the events and their influence on the Company’s operating results and
financial status in the report period after the Report on Assets Restructure or Public Notice
on Acquisition and Sales of Assets being published
□Applicable √Inapplicable
6.2 Guarantees
□Applicable √Inapplicable
6.3 Current non-operating related credits and liabilities
□Applicable √Inapplicable
6.4 Material lawsuits and arbitrations
□Applicable √Inapplicable
6.5 Other significant events and analysis on their influences and solutions
□Applicable √Inapplicable
6.5.1 Particulars about securities investment
□Applicable √Inapplicable
6.5.2 Equity of other listed companies held
□Applicable √Inapplicable
6.5.3 Occupation and its progress of paying off on non-operational funds by largest
shareholder and its affiliated enterprises
□Applicable √Inapplicable
6.5.4 Implementation of commitments made by the Company, shareholders and the actual
controller
The following events committed by related parties such as listed companies, directors, supervisors,
senior management, shareholders holding above 5% shares of the Company as well as actual
controllers in reporting period or extending to reporting period.
√Applicable □Inapplicable
Commitments Promisee Content of commitments Implementation
Commitments for
N/A N/A N/A
Share Merger Reform
Commitment made in purchase
N/A N/A N/A
report or equity change report
Commitment made when major
assets restructure was carrying N/A N/A N/A
out
Commitment made when
N/A N/A N/A
issuing
SHANDON The compensation Effected by earthquake
Other commitments(additional G commitment for profit occurred in Japan, training
commitments included) AVIATION estimation was made by quantity for Japan clients
GROUP first largest shareholder has a sharply decline,
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
SDA, based on training volume for
“Appraisal Report” while international clients has a
100 percent equity of y-o-y decrease of 886 hours
Qingdao Feisheng was with 72% down over same
bided by the Company. period the year before.
The above commitments which occupied majority of
are: calculated by income the international proportion
approach, net profit in Qingdao Feisheng.
generated from Qingdao Compared with profit status
Feisheng in next 3 years in commitment period, the
predicted to 4.8049 2nd year of Qingdao
million yuan, 5.3614 Feisheng’s performance,
million yuan and 5.7784 profit targets was not
million yuan respectively. approached, and the
If Qingdao Feisheng does difference between realized
not accomplish the net profit and commitment
estimative profit in profit amount to 2.86
operation performance on million yuan. SDA Group
the continual appraisal agrees to compensate the
basis, which causes the differences to the Company.
Company’s profit loss,
SDA Group committed
for the cash compensation
for the above difference.
6.5.5 Profit distribution of Board of Directors this time or preplan of capital reserve
capitalizing
□Applicable √Inapplicable
6.5.6 Details of other consolidated income
Unit: RMB
Amount occurred in the Amount occurred in last
Items
report period period
1. Gains/losses from financial assets
available for sales
Less: Income tax influences from financial
assets available for sales
Net amount reckoned into other
consolidated income in previous period but
transferred into gains/losses in current
period
Subtotal
2. Shares in the other consolidated income
of the investee calculated based on equity
method
Less: Income tax influences of shares in the
other consolidated income of the investee
calculated based on equity method
Net amount reckoned into other
consolidated income in previous period but
transferred into gains/losses in current
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
period
Subtotal
3. Gains/losses from cash flow hedge
instrument
Less: Income tax influences from cash flow
hedge
Net amount reckoned into other
consolidated income in previous period but
transferred into gains/losses in current
period
Adjusted amount transferred to initial
confirmed amount of the arbitraged items
Subtotal
4. Differences from translating foreign
currency financial statements
Less: Net amount of disposing overseas
business transferred to current gains/losses
Subtotal
5. Others
Less: Income tax influences by others
reckoned into other consolidated income
Net amount reckoned into other
consolidated income in previous period but
transferred into gains/losses in current
period
Subtotal 0.00 0.00
Total 0.00 0.00
6.6 Registration form for receiving research, communication and interview in the report
period.
The received Contents discussed and
Date Place Way
parties materials supplied
January
Telephone Individual Operations of the Company;
–June of Jinan
communications investor material not supplied.
2011
Securities
media, Operations of the Company;
2011-4-28 Jinan Field research institutional provided annual report of the
shareholder, Company
private investor
§7. Financial Report
7.1 Auditing opinion
Financial Report √Un-audited □Audited
7.2 Financial statement
7.2.1 Balance Sheet
Prepared by Shandong Airlines Co., Ltd. June 30, 2011 Unit: RMB
Amount at period-end Amount at year-begin
Items
Merger Parent Company Merger Parent Company
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Current assets:
Monetary funds 255,692,858.12 248,370,812.70 333,572,647.76 328,897,146.25
Settlement
provisions
Capital lent
Transaction finance 7,239,213.88 7,239,213.88 9,290,846.62 9,290,846.62
asset
Notes receivable
Accounts receivable 235,812,484.73 221,438,391.88 192,444,914.49 185,873,337.88
Accounts paid in 41,130,924.31 40,981,995.91 28,353,455.80 28,201,391.84
advance
Insurance receivable
Reinsurance
receivables
Contract reserve of
reinsurance receivable
Interest receivable 1,744,288.87 1,744,288.87 1,409,528.13 1,409,528.13
Dividend receivable 11,365,400.00 11,365,400.00
Other receivables 204,246,505.78 212,615,554.86 224,905,440.68 225,345,428.46
Purchase restituted
finance asset
Inventories 82,939,291.42 82,939,291.42 77,787,249.46 77,787,249.46
Non-current asset
due within one year
Other current assets
Total current assets 840,170,967.11 826,694,949.52 867,764,082.94 856,804,928.64
Non-current assets:
Granted loans and
advances
Finance asset
available for sales
Held-to-maturity
investment
Long-term account
receivable
Long-term equity 88,352,100.00 169,842,785.43 88,352,100.00 169,842,785.43
investment
Investment property
Fixed assets 6,402,643,111.32 6,340,660,080.90 6,616,497,360.85 6,551,672,655.53
Construction in 1,374,715,435.28 1,354,026,601.98 937,253,250.34 925,773,327.54
progress
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Engineering
material
Disposal of fixed
asset
Productive
biological asset
Oil and gas asset
Intangible assets 46,797,351.24 31,967,824.21 47,146,366.53 32,299,511.53
Expense on
Research and
Development
Goodwill 10,220,816.22 10,220,816.22
Long-term expenses 241,794,440.88 241,480,612.94 229,830,196.19 229,493,082.25
to be apportioned
Deferred income tax 163,662,660.80 163,354,520.06 126,735,195.78 126,425,389.96
asset
Other non-current
asset
Total non-current asset 8,328,185,915.74 8,301,332,425.52 8,056,035,285.91 8,035,506,752.24
Total assets 9,168,356,882.85 9,128,027,375.04 8,923,799,368.85 8,892,311,680.88
Current liabilities:
Short-term loans 994,424,197.43 994,424,197.43 1,001,269,036.73 1,001,269,036.73
Loan from central
bank
Absorbing deposit
and interbank deposit
Capital borrowed
Transaction 3,820,968.44 3,820,968.44 3,865,809.52 3,865,809.52
financial liabilities
Notes payable 28,000,000.00 28,000,000.00 135,042,835.33 135,042,835.33
Accounts payable 1,291,190,642.49 1,288,495,974.81 1,008,600,051.49 1,009,216,769.85
Accounts received 229,456,675.80 226,571,736.57 202,453,668.78 200,972,965.98
in advance
Selling financial
asset of repurchase
Commission charge
and commission payable
Wage payable 144,420,392.92 144,300,213.34 236,150,660.44 236,130,188.66
Taxes payable 233,310,602.31 233,274,302.88 170,115,170.97 169,899,177.32
Interest payable 13,558,435.31 13,471,663.31 9,656,528.23 9,569,756.23
Dividend payable 11,940.00 11,940.00 11,940.00 11,940.00
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Other accounts 128,226,156.19 125,076,518.52 140,733,981.14 141,469,803.57
payable
Reinsurance
payables
Insurance contract
reserve
Security trading of
agency
Security sales of
agency
Non-current
liabilities due within 1 448,308,016.22 436,008,016.22 476,767,879.05 464,467,879.05
year
Other current liabilities
Total current liabilities 3,514,728,027.11 3,493,455,531.52 3,384,667,561.68 3,371,916,162.24
Non-current liabilities:
Long-term loans 3,086,144,388.48 3,086,144,388.48 3,180,283,177.55 3,180,283,177.55
Bonds payable
Long-term account 807,856,324.31 807,856,324.31 863,013,847.54 863,013,847.54
payable
Special accounts
payable
Projected liabilities
Deferred income tax 1,809,803.47 1,809,803.47 2,322,711.66 2,322,711.66
liabilities
Other non-current 101,282,785.23 101,282,785.23 73,390,628.74 73,390,628.74
liabilities
Total non-current 3,997,093,301.49 3,997,093,301.49 4,119,010,365.49 4,119,010,365.49
liabilities
Total liabilities 7,511,821,328.60 7,490,548,833.01 7,503,677,927.17 7,490,926,527.73
Owner’s equity (or
shareholders’ equity):
Paid-in capital (or 400,000,000.00 400,000,000.00 400,000,000.00 400,000,000.00
share capital)
Capital public 86,911,168.71 86,911,168.71 84,050,162.84 84,050,162.84
reserve
Less: Inventory
shares
Reasonable reserve
Surplus public 122,944,754.89 122,284,050.36 122,944,754.89 122,284,050.36
reserve
Provision of general
11
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
risk
Retained profit 1,033,849,547.63 1,028,283,322.96 799,664,252.17 795,050,939.95
Balance difference of
foreign currency
translation
Total owner’s equity
attributable to parent 1,643,705,471.23 1,637,478,542.03 1,406,659,169.90 1,401,385,153.15
company
Minority interests 12,830,083.02 13,462,271.78
Total owner’s equity 1,656,535,554.25 1,637,478,542.03 1,420,121,441.68 1,401,385,153.15
Total liabilities and 9,168,356,882.85 9,128,027,375.04 8,923,799,368.85 8,892,311,680.88
owner’s equity
7.2.2 Profit Statement
Prepared by Shandong Airlines Co., Ltd. January-June, 2011 Unit: RMB
Amount in this period Amount in last period
Items Parent Parent
Merger Merger
Company Company
I. Total operating income 4,322,532,092.31 4,311,491,445.33 3,133,663,094.58 3,130,557,084.43
Including: Operating 4,322,532,092.31 4,311,491,445.33 3,133,663,094.58 3,130,557,084.43
income
Interest income
Insurance gained
Commission charge
and commission income
II. Total operating cost 3,865,396,800.98 3,855,734,891.23 2,863,871,178.16 2,861,260,458.31
Including: Operating cost 3,324,900,493.51 3,320,114,273.92 2,407,584,188.29 2,406,587,181.10
Interest expense
Commission charge
and commission expense
Cash surrender
value
Net amount of expense of
compensation
Net amount of
withdrawal of insurance
contract reserve
Bonus expense of
guarantee slip
Reinsurance
expense
Operating tax and 143,039,334.76 142,582,912.25 87,411,121.39 87,244,032.10
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Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
extras
Sales expenses 272,496,547.90 272,496,547.90 208,998,341.78 208,998,341.78
Administration 80,241,899.17 76,626,822.73 61,598,497.67 59,897,863.18
expenses
Financial expenses 43,934,555.41 43,123,703.92 97,703,103.83 97,957,114.95
Losses of devaluation 783,970.23 790,630.51 575,925.20 575,925.20
of asset
Add: Changing income
of fair value(Loss is -2,006,791.66 -2,006,791.66 238,547.62 238,547.62
listed with “-”)
Investment income (Loss 7,275,314.20 7,275,314.20 645,329.07 645,329.07
is listed with “-”)
Including: Investment
income on affiliated
company and joint
venture
Exchange income (Loss
is listed with “-”)
III. Operating profit 462,403,813.87 461,025,076.64 270,675,793.11 270,180,502.81
(Loss is listed with “-”)
Add: Non-operating 17,819,973.11 17,819,973.11 6,438,539.47 6,438,539.47
income
Less: Non-operating 8,337,604.52 7,868,539.08 2,983,400.20 2,983,400.20
expense
Including: Disposal loss 7,667,031.42 7,667,031.42 2,860,149.01 2,860,149.01
of non-current asset
IV. Total Profit (Loss is 471,886,182.46 470,976,510.67 274,130,932.38 273,635,642.08
listed with “-”)
Less: Income tax expense 118,333,075.76 117,744,127.66 68,488,541.33 68,408,910.50
V. Net profit (Net loss is 353,553,106.70 353,232,383.01 205,642,391.05 205,226,731.58
listed with “-”)
Net profit attributable to
owner’s of parent 354,185,295.46 353,232,383.01 205,570,723.33 205,226,731.58
company
Minority shareholders’ -632,188.76 71,667.72
gains and losses
VI. Earnings per share
i. Basic earnings per 0.89 0.51
share
ii. Diluted earnings per 0.89 0.51
share
VII. Other consolidated
income
13
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
VIII. Total consolidated 353,553,106.70 353,232,383.01 205,642,391.05 205,226,731.58
income
Total consolidated
income attributable to 354,185,295.46 353,232,383.01 205,570,723.33 205,226,731.58
owners of parent
company
Total consolidated
income attributable to -632,188.76 71,667.72
minority shareholders
The merger realized net profit RMB 0.00 before consolidation during enterprises consolidation
under a same control.
7.2.3 Cash Flow Statement
Prepared by Shandong Airlines Co., Ltd. January-June, 2011 Unit: RMB
Amount in this period Amount in last period
Items
Merger Parent Company Merger Parent Company
I. Cash flows arising
from operating activities:
Cash received from
selling commodities and 4,311,495,703.81 4,301,263,995.38 3,103,986,764.56 3,102,782,754.30
providing labor services
Net increase of
customer deposit and
interbank deposit
Net increase of loan
from central bank
Net increase of capital
borrowed from other
financial institution
Cash received from
original insurance
contract fee
Net cash received from
reinsurance business
Net increase of
insured savings and
investment
Net increase of
disposal of transaction
financial asset
Cash received from
interest, commission
charge and commission
Net increase of capital
borrowed
Net increase of
14
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
returned business capital
Write-back of tax
received
Other cash received
concerning operating 64,896,819.96 64,884,259.15 12,474,129.71 12,219,005.89
activities
Subtotal of cash
inflow arising from 4,376,392,523.77 4,366,148,254.53 3,116,460,894.27 3,115,001,760.19
operating activities
Cash paid for
purchasing commodities 2,561,325,472.28 2,561,230,007.91 1,976,453,214.03 1,976,441,336.34
and receiving labor
service
Net increase of
customer loans and
advances
Net increase of
deposits in central bank
and interbank
Cash paid for
original insurance
contract compensation
Cash paid for
interest, commission
charge and commission
Cash paid for bonus
of guarantee slip
Cash paid to/for 501,914,224.17 499,680,602.95 353,667,841.00 352,019,777.48
staff and workers
Taxes paid 453,095,121.29 450,288,640.47 250,766,690.79 250,270,593.38
Other cash paid
concerning operating 26,736,517.36 34,349,045.94 53,959,573.55 53,713,743.78
activities
Subtotal of cash
outflow arising from 3,543,071,335.10 3,545,548,297.27 2,634,847,319.37 2,632,445,450.98
operating activities
Net cash flows arising 833,321,188.67 820,599,957.26 481,613,574.90 482,556,309.21
from operating activities
II. Cash flows arising
from investing activities:
Cash received from
recovering investment
Cash received from 1,097,573.07 1,097,573.07
investment income
15
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
Net cash received from
disposal of fixed, 167,143.06 167,143.06 9,380.00 9,380.00
intangible and other
long-term assets
Net cash received
from disposal of
subsidiaries and other
units
Other cash received
concerning investing
activities
Subtotal of cash inflow 167,143.06 167,143.06 1,106,953.07 1,106,953.07
from investing activities
Cash paid for
purchasing fixed, 555,500,516.86 546,245,829.36 465,535,817.20 465,439,336.20
intangible and other
long-term assets
Cash paid for 12,255,000.00 12,255,000.00
investment
Net increase of
mortgaged loans
Net cash received
from subsidiaries and
other units
Other cash paid
concerning investing 2,914,720.42 2,914,720.42
activities
Subtotal of cash outflow 570,670,237.28 561,415,549.78 465,535,817.20 465,439,336.20
from investing activities
Net cash flows arising -570,503,094.22 -561,248,406.72 -464,428,864.13 -464,332,383.13
from investing activities
III. Cash flows arising
from financing activities
Cash received from
absorbing investment
Including: Cash
received from absorbing
minority shareholders’
investment by
subsidiaries
Cash received from 417,738,410.49 417,738,410.49 859,816,241.77 859,816,241.77
loans
Cash received from
issuing bonds
Other cash received 66,740,000.00 66,740,000.00
16
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
concerning financing
activities
Subtotal of cash inflow 484,478,410.49 484,478,410.49 859,816,241.77 859,816,241.77
from financing activities
Cash paid for settling 484,958,885.00 484,958,885.00 568,804,717.16 568,804,717.16
debts
Cash paid for
dividend and profit 189,987,656.41 189,167,656.41 154,943,882.25 154,943,882.25
distributing or interest
paying
Including: Dividend
and profit of minority
shareholder paid by
subsidiaries
Other cash paid
concerning financing 83,410,798.44 83,410,798.44 108,107,155.39 108,107,155.39
activities
Subtotal of cash
outflow from financing 758,357,339.85 757,537,339.85 831,855,754.80 831,855,754.80
activities
Net cash flows
arising from financing -273,878,929.36 -273,058,929.36 27,960,486.97 27,960,486.97
activities
IV. Influence on cash and
cash equivalents due to -78,954.73 -78,954.73 -30,532.87 -30,532.87
fluctuation in exchange
rate
V. Net increase of cash -11,139,789.64 -13,786,333.55 45,114,664.87 46,153,880.18
and cash equivalents
Add: Balance of
cash and cash equivalents 148,606,284.51 143,930,783.00 49,333,429.81 35,081,676.95
at the period -begin
VI. Balance of cash and
cash equivalents at the 137,466,494.87 130,144,449.45 94,448,094.68 81,235,557.13
period -end
17
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
7.2.4 Consolidated Statement on Changes of Owners’ Equity
Prepared by Shandong Airlines Co., Ltd. Semi-Annual of 2011 Unit: RMB
Amount of the Current Term Amount of Last Year
Owners’ equity attributable to parent company Owners’ equity attributable to parent company
Mino Mino
Paid- r Total Paid- r Total
Provi Provi
up Less: Reas share owne up Capit Less: Reas Surpl share owne
Capit Surpl sion sion
Items capit inven onabl Retai rs’ capit al inven onabl us Retai rs’
al us of Other holde of Other holde
al(or tory e ned rs’ equit al(or reser tory e ned rs’ equit
reser reser gener profit s reser gener profit s
share share reser equit y share ves share reser ves equit y
ves ves al al
capit s ve y capit s ve y
risk risk
al) al)
400,00 122,94 799,66 1,420,1 400,00 308,66 865,54
I. Balance at the end 84,050, 13,462, 84,050, 59,576, 13,251,
0,000.0 4,754.8 4,252.1 21,441. 0,000.0 8,390.1 6,154.2
of last year 162.84 271.78 162.84 069.03 532.27
0 9 7 68 0 1 5
Plus: Change of
accounting policy
Correcting of
previous errors
Others
II. Balance at the 400,00 122,94 799,66 1,420,1 400,00 308,66 865,54
84,050, 13,462, 84,050, 59,576, 13,251,
beginning of current 0,000.0 4,754.8 4,252.1 21,441. 0,000.0 8,390.1 6,154.2
162.84 271.78 162.84 069.03 532.27
year 0 9 7 68 0 1 5
III. Changed in 234,18 236,41 490,99 554,57
2,861,0 -632,18 63,368, 210,73
current term(Loss is 5,295.4 4,112.5 5,862.0 5,287.4
05.87 8.76 685.86 9.51
listed with “-”) 6 7 6 3
(I) Net profit 354,18 -632,18 353,55 634,36 210,73 634,57
18
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
5,295.4 8.76 3,106.7 4,547.9 9.51 5,287.4
6 0 2 3
(II) Other
consolidated income
354,18 353,55 634,36 634,57
-632,18 210,73
Subtotal of (I) and (II) 5,295.4 3,106.7 4,547.9 5,287.4
8.76 9.51
6 0 2 3
(III) Owners’ input
2,861,0 2,861,0
and withdraw of share
05.87 05.87
capital
1. Capital input by
owners
2. Share payment
accounted into
owners’ equity
2,861,0 2,861,0
3. Others
05.87 05.87
-120,00 -120,00 -143,36
(IV) Profit 63,368, -80,000
0,000.0 0,000.0 8,685.8
distribution 685.86 ,000.00
0 0 6
1. Providing of 63,368, -63,368
surplus reserves 685.86 ,685.86
2. Common risk
provision
3. Dividend to
-120,00 -120,00 -80,000 -80,000
owners’(or
19
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
shareholders) 0,000.0 0,000.0 ,000.00 ,000.00
0 0
4. Others
(V) Internal
settlement of owners’
equity
1. Capital reserves
transferred to share
capital
2. Surplus reserves
transferred to share
capital
3. Making up losses
by surplus reserves
4. Others
(VI) Reasonable
reserve
1. Withdrawal in the
report period
2. Usage in the report
period
(VII) Other
400,00 122,94 1,033,8 1,656,5 400,00 122,94 799,66 1,420,1
IV. Balance at the 86,911, 12,830, 84,050, 13,462,
0,000.0 4,754.8 49,547. 35,554. 0,000.0 4,754.8 4,252.1 21,441.
end of this term 168.71 083.02 162.84 271.78
0 9 63 25 0 9 7 68
20
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
7.2.5 Statement on Changes of Owners' Equity of Parent Company
Prepared by Shandong Airlines Co., Ltd. Semi-Annual of 2011 Unit: RMB
Amount of the Current Term Amount of Last Year
Paid-u Paid-u
p Less: Surplu Provisi Total p Less: Surplu Provisi Total
Items Capital Reason Retain Capital Reason Retain
capital( invento s on of owners capital( invento s on of owners
reserve able ed reserve able ed
or ry reserve general ’ or ry reserve general ’
s reserve profit s reserve profit
share shares s risk equity share shares s risk equity
capital) capital)
I. Balance at the end 400,000,0 84,050,16 122,284,0 795,050,9 1,401,385 400,000,0 84,050,16 58,915,36 304,732,7 847,698,2
of last year 00.00 2.84 50.36 39.95 ,153.15 00.00 2.84 4.50 67.23 94.57
Plus: Change of
accounting policy
Correcting of
previous errors
Others
II. Balance at the
400,000,0 84,050,16 122,284,0 795,050,9 1,401,385 400,000,0 84,050,16 58,915,36 304,732,7 847,698,2
beginning of current
00.00 2.84 50.36 39.95 ,153.15 00.00 2.84 4.50 67.23 94.57
year
III. Changed in
2,861,005 233,232,3 236,093,3 63,368,68 490,318,1 553,686,8
current term(Loss is
.87 83.01 88.88 5.86 72.72 58.58
listed with “-”)
353,232,3 353,232,3 633,686,8 633,686,8
(I) Net profit
83.01 83.01 58.58 58.58
(II) Other
21
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
consolidated income
353,232,3 353,232,3 633,686,8 633,686,8
Subtotal of (I) and (II)
83.01 83.01 58.58 58.58
(III) Owners’ input
2,861,005 2,861,005
and withdraw of share
.87 .87
capital
1. Capital input by
owners
2. Share payment
accounted into
owners’ equity
2,861,005 2,861,005
3. Others
.87 .87
(IV) Profit -120,000, -120,000, 63,368,68 -143,368, -80,000,0
distribution 000.00 000.00 5.86 685.86 00.00
1. Providing of 63,368,68 -63,368,6
surplus reserves 5.86 85.86
2. Common risk
provision
3. Dividend to -120,000, -120,000, -80,000,0 -80,000,0
owners’(or
000.00 000.00 00.00 00.00
shareholders)
4. Others
(V) Internal
settlement of owners’
22
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
equity
1. Capital reserves
transferred to share
capital
2. Surplus reserves
transferred to share
capital
3. Making up losses
by surplus reserves
4. Others
(VI) Reasonable
reserve
1. Withdrawal in the
report period
2. Usage in the report
period
(VII) Other
IV. Balance at the 400,000,0 86,911,16 122,284,0 1,028,283 1,637,478 400,000,0 84,050,16 122,284,0 795,050,9 1,401,385
end of this term 00.00 8.71 50.36 ,322.96 ,542.03 00.00 2.84 50.36 39.95 ,153.15
23
Shandong Airlines Co., Ltd. Summary of Semi-Annual Report 2011
7.3 Notes to financial statement
7.3.1 If there have been any changes to the accounting policy and accounting estimates, or
modification of accounting errors, give the relevant contents, reasons and the influenced
numbers.
□Applicable √Inapplicable
7.3.2 If there have been any material changes to the consolidation scope of the financial
statement, give the reasons and the influenced numbers.
□Applicable √Inapplicable
7.3.3 If Non-standard Unqualified Opinion is supplied, list the related notes to the matters
involved.
□Applicable √Inapplicable
Board of Directors of
Shandong Airlines Company Limited
August 18, 2011
24
