广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
1
Guangdong Rieys Group Company Ltd.
The First Quarterly Report 2009
§ 1 Important Notes
1.1 The Board of Directors, the Supervisory Board, directors, supervisors and other senior
management personnel of Guangdong Rieys Group Company Ltd. (hereinafter referred to as “the
Company”) hereby confirm that this report contains no false information, misleading statements or
material omission, and accept, individually and collectively, the responsibilities for the authenticity,
accuracy and completeness of the contents of this report.
1.2 Naught
1.3 All other directors attended in person the board meeting where this quarterly report was
reviewed except for the director mentioned below.
Name Position Reason for not attending the meeting in person Name of proxy
Chen Honghai Director Job Chen Hongcheng
Chen Xuewen Director Job Ding Lihong
1.4 The First Quarterly Financial Report has not been audited by a CPA firm.
1.5 Chairman of the Board Mr. Chen Hongcheng, Chief Financial Officer and concurrently
Financial Manager Ms. Chen Peixia hereby confirm that the Financial Report enclosed in the
Quarterly Report is true and complete.
§2. Company Profile
2.1 Main accounting data and financial indicators
Unit: (RMB) Yuan
31 Mar. 2009 31 Dec. 2008 Increase/decrease (%)
Total assets 620,309,479.00 626,364,355.62 -0.97%
Owner’s equity attributable to the
parent company
338,601,803.00 345,621,316.85 -2.03%
Stock capital 318,600,000.00 318,600,000.00 0.00%
Net assets per share attributable to the
owner of the parent company
1.06 1.08 -1.85%
Jan.-Mar. 2009 Jan.-Mar. 2008 Increase/decrease (%)
Total operation income 45,171,011.00 48,993,173.00 -7.80%
Net profit attributable to the owner of
the parent company
-7,019,515.00 -14,437,295.00 51.37%
Net cash flow generated from
operating activities
5,863,170.00 -4,676,186.00 225.38%
Net cash flow per share generated
from operating activities
0.0184 -0.0147 225.38%
Basic earnings per share -0.02 -0.04 50.00%
Diluted earnings per share -0.02 -0.05 60.00%
Rate of return on net assets -2.07% -3.31% 1.24%
Rate of return on net assets after
deducting extraordinary gains and
losses
-2.50% -3.12% 0.62%
Items of extraordinary gains and losses Jan. –Mar. 2009广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
2
Profit and loss from disposal of non-current assets -249,723.35
Equity transfer 1,847,416.59
Unauthorized examination and approval, or lack of official approval documents, or occasional tax
revenue return and abatement
0.00
Capital occupation fees charged to the non-financial enterprises and counted into the current profit and
loss
0.00
Gains when the investment cost of acquiring a subsidy, an allied enterprise and a joint venture is less
than the fair value of the identifiable net assets of the invested entity
0.00
Profit and loss from non-monetary assets exchange 0.00
Retained asset impairment provisions resulting from force majeure such as natural disasters 0.00
Profit and loss from debt restructuring 0.00
Enterprises ’ reorganization fees, such as staffing expenses and integration fees 0.00
Profit and loss that exceeds the fair value in transaction with unfair price 0.00
Current net profit and loss of the subsidies established by merger of enterprises under unified control
from the beginning of the period to the merger day
0.00
Profit and loss on contingency that has no relation with the normal operation of the company 0.00
Other non-operating income and expenses besides the above items -84,684.34
Amount influenced by income tax -75,903.47
Amount influenced by minority interests -2.30
Total 1,437,103.13
Statements on the items of non-recurring gains and losses:
By transferring 51% equities of Shenzhen Heyiyi Fashion Co., Ltd. at the price of RMB 1 Yuan per
share, reversal of loss cost, as well as investment income of RMB 1,847,416.59.
2.2 Total number of shareholders at period-end, as well as shares held by the top ten tradable
shareholders
Unit: Share
Total number of shareholders at period-end 19,748
Shares held by the top ten tradable shareholders
Name of shareholder (full name)
Number of tradable shares held at
period-end
Type of share
MO TING 901,548 Domestically listed foreign shares
DENG XIAO ZHEN 725,260 Domestically listed foreign shares
SHUI GUO WEI 647,310 Domestically listed foreign shares
HUANG KUI YING 644,400 Domestically listed foreign shares
ZHOU XIAO QUN 635,800 Domestically listed foreign shares
XU HUI 582,000 Domestically listed foreign shares
LIN MING YU 560,000 Domestically listed foreign shares
CHEN ZHEN HONG 554,200 Domestically listed foreign shares
ZHONG YAO XIANG 541,299 Domestically listed foreign shares
SI LEI 487,801 Domestically listed foreign shares
§ 3 Significant Events
3.1 Particulars about major changes of main accounting statement items and financial indicators, as
well as reasons for the changes
√Applicable □Inapplicable广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
3
Balance sheet Closing balance Opening balance Increase/decrease (%) Remark
Monetary fund 18,342,111 13,151,057 39.47 Reversal of payment
for goods and current
payment
account collected in
advance
660,583 2,067,753 -68.05 Making sale in the
reporting period
Income statement Amount in this period Amount in last period Increase/decrease (%) Remark
Financial expenses 5,768,305 9,054,641 -36.29 Decrease of bank loan
Investment income (“-”
means loss)
1,847,417 Transfer equity of
Heyiyi at the price of
RMB 1 Yuan per share,
reversal of loss costs
Less: Non-operating
expense
334,413 942,571 -64.52 Disposal of equipment
in 2007
Less: Income tax
expense
1,178,268 264,806 344.96 Increase of income tax
due to increase of
profit
Cash flow statement Amount in this period Amount in last period Increase/decrease (%) Remark
Cash received from
sales of goods or
rending of services
34,466,423 53,644,888 -35 Decrease of returned
cash due from sale
Cash paid for goods
and services
21,093,822 50,219,730 -58 Decrease of purchasing
prepare material
Cash received from
borrowings
0 15,000,000 -100 The Company failed to
repay borrowing in the
reporting period
Cash paid for settling
debt
0 15,000,000 -100 The Company failed to
repay borrowing in the
reporting period
Cash paid for
distribution of
dividends or profit or
reimbursing interest
849,612 1,673,743 -49 Decrease of total loan
3.2 Progress and influence of significant events, as well as the analysis on solutions
√Applicable □Inapplicable
Beijing Xinghua Certified Public Accountants audited the Annual Report 2008 and produced the
Auditors’ Report 2008 with qualified opinion ((2009) JKXSZi No. 6-168):
1. Described as XIII Notes to financial statement, based on contract on shares transfer of Puning
Rieys Paper Co., Ltd be executed, Puning Rieys Paper Co., Ltd continued to durative operate,
withdrew assets impairment provisions and prepared financial statements. When prepared
consolidated statements, the Company didn’t adjusted financial statements with basis of liquidation.
The Company and its related parties didn’t withdraw bad debt provision with creditor’s right of RMB
180 million, but decreased investment to RMB 51.94 million. We had no adequate audit evidence to
confirm rationality and accuracy of withdrawing assets impairment provision by the Board of
Directors.
2. Described as XIII Notes to financial statement, the Company was in loss for the last two years and
need to repay overdue borrowing and interest amounting to RMB 175 million, which indicated that it
was uncertain of durative operating ability. The Board of Directors formulated relevant plan that sole广东
雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
4
Puning Rieys Paper Co., Ltd as soon as possible to repay overdue borrowings. Whether the share
transfer will be completed or not lied on decisions and capital of buyer.
By the end of reporting period, the matters involved in the above-mentioned qualified opinion have
no substantial progress.
3.3 Fulfillment of commitments made by the Company, shareholders and the actual controller
□Applicable √Inapplicable
3.4 Warnings of possible losses or major changes of the accumulative net profit achieved during the
period from the beginning of the year to the end of the next reporting period compared with the
same period of last year according to prediction, as well as the reasons
√Applicable □Inapplicable
Performance estimates Loss
From January - June 2009
From January –June
2008
Increase/decrease (%)
Estimate of accumulative net profit
(RMB, Ten Thousand Yuan)
-2,500.00 -3,123.00 down 20%
Basic earnings per share
(Yuan/share)
-0.08 -0.10 down 20%
Remarks on performance estimates
As affected by the global financial crisis, the textile and garment market still remained low, as a
result, the number of export order failed to recover quickly, and the lower price when accepting
the orders, insufficient consumption confidence in the domestic market, which caused that main
operation did not pick-up obviously. Although, the Company adopted many measures to take
away liabilities and expenses and withdraw cash, but the fundamental of the company did not be
changed. Compared to the same period of last year, the financial expense and administrative
expense had decreased, but with the larger base number, resulting in loss.
3.5 Other significant events
3.5.1 Stock investment
□Applicable √Inapplicable
3.5.2 Visits and interviews received in the reporting period
3.5.3 Other significant events
□Applicable √Inapplicable
§4 Appendix
4.1 Balance sheet
Prepared by Guangdong Rieys Group Company Ltd. 31 Mar. 2009 Unit: RMB Yuan
Closing amount Opening amount
Items
Consolidation Parent company Consolidation Parent company
Current assets:
Monetary funds 18,342,111.00 4,367,174.00 13,151,057.05 1,602,713.55
Settlement fund reserve
Dismantle fund
Transaction financial asset广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
5
Notes receivable
Account receivable 83,011,463.00 21,491,449.00 76,757,525.75 30,154,165.74
Account paid in advance 82,463,621.00 22,741,628.00 78,781,149.10 18,211,105.60
Premium receivables
Receivables from reinsures
Reinsurance contract reserve
receivables
Interest receivable
Dividend receivable
Other account receivable 46,668,120.00 178,348,320.00 48,779,676.14 182,572,201.02
Financial assets purchased
under agreements to resell
Inventories 43,933,687.00 340,973.00 56,639,215.71 340,973.16
Non-current assets due within 1
year
2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00
Other current assets
Total current assets 276,419,002.00 229,289,544.00 276,108,623.75 234,881,159.07
Non-current assets:
Loans and advance
Available for sale financial assets
Held to maturity investments
Long-term account receivable 5,000,000.00 5,000,000.00 5,000,000.00 5,000,000.00
Long-term equity investment 5,130,000.00 207,845,599.00 5,130,000.00 207,345,600.49
Investing property
Fixed asset 252,260,671.00 65,408,336.00 258,240,859.74 66,903,157.70
Project in construction 2,199,942.00 1,040,572.00 2,199,942.29 1,040,571.59
Engineering material
Fixed asset disposal
Bearer biological asset
Oil assets
Intangible assets 69,091,652.00 50,331,937.00 69,476,718.29 50,608,839.32
Development expense
Goodwill
Long-term expense to be
apportioned
Deferred tax assets 10,208,212.00 30,073,779.00 10,208,211.55 30,073,778.85
Other non-current assets
Total of non-current assets 343,890,477.00 359,700,223.00 350,255,731.87 360,971,947.95
Total assets 620,309,479.00 588,989,767.00 626,364,355.62 595,853,107.02
Current liabilities:
Short-term borrowings 221,847,632.00 201,030,000.00 221,847,631.91 201,030,000.00
Borrowing from Central Bank
Deposits and due to banks and
other financial institutions
Placements from banks and other
financial institutions
Transaction financial liabilities
Notes payable广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
6
Account payable 6,007,640.00 30,194.00 7,015,487.60 30,193.72
Account received in advance 660,583.00 2,067,753.37
Financial assets sold under
agreements to repurchase
Handling charges and commission
payable
Employee’s compensation
payable
1,784,186.00 277,110.00 2,382,538.14 154,697.19
Tax payable 5,978,959.00 1,183,440.00 4,976,744.77 1,549,464.84
Interest payable 29,472,726.00 26,910,202.00 24,640,578.80 22,793,407.21
dividend payable
Other account payable 9,467,264.00 45,126,430.00 11,324,382.99 47,832,618.32
Due to reinsures
Insurance contract reserve
Customer deposits
Amount payables under security
underwriting
Non-current liabilities due
within 1 year
Other current liabilities
Total current liabilities 275,218,990.00 274,557,376.00 274,255,117.58 273,390,381.28
Non-current liabilities:
Long-term borrowings
Debentures payable
Long-term payables
Specific purpose account payables
Provisions for contingent
liabilities
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities
Total liabilities 275,218,990.00 274,557,376.00 274,255,117.58 273,390,381.28
Owner’s equity (or shareholders’
equity)
Paid-in capital (or share capital) 318,600,000.00 318,600,000.00 318,600,000.00 318,600,000.00
Capital surplus 52,129,498.00 52,129,498.00 52,129,496.58 52,129,496.58
Less: Treasury Stock
Reserved fund 86,036,260.00 86,036,260.00 86,036,260.20 86,036,260.20
General risk provision
Retained earnings -118,163,955.00 -142,333,367.00 -111,144,439.93 -134,303,031.04
Foreign exchange difference
Total owners' equity attributable
to holding company
338,601,803.00 314,432,391.00 345,621,316.85 322,462,725.74
Minority interest 6,488,686.00 6,487,921.19
Total owner’s equity 345,090,489.00 314,432,391.00 352,109,238.04 322,462,725.74
Total liabilities and owner’s
equity
620,309,479.00 588,989,767.00 626,364,355.62 595,853,107.02广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
7
4.2 Income Statement
Prepared by Guangdong Rieys Group Company Ltd. Jan.- Mar. 2009 Unit: RMB Yuan
Amount in this period Amount in last period
Items
Consolidation Parent company Consolidation Parent company
I. Total sales 45,171,011.00 48,993,173.00 10,557,972.00
Including: Sales 45,171,011.00 48,993,173.00 10,557,972.00
Interests income
Premium income
Handling charges and commission
income
II. Total cost of sales 52,524,503.00 7,999,546.00 62,368,031.00 18,182,769.00
Including: Cost of sales 32,578,840.00 36,727,600.00 10,157,993.00
Interests expenses
Handling charges and commission
expenses
Claim expenses-net
Provision for insurance liability
reserve
Expenses for reinsurance accepted
Payments on surrenders
Policyholder dividends
Taxes and associate charges 42,324.00 47,380.00
Selling and distribution expenses 4,049,466.00 2,026.00 4,677,409.00 109,008.00
Administrative expenses 10,085,568.00 3,057,811.00 11,861,001.00 3,315,233.00
Financial expense 5,768,305.00 4,939,709.00 9,054,641.00 4,600,535.00
Impairment loss
Add: gain/(loss) from change in
fair value (“-” means loss)
Gain/(loss) from investment (“-”
means loss)
1,847,417.00
Including: income form
investment on affiliated enterprise
and jointly enterprise
1,847,417.00
Foreign exchange difference (“-”
means loss)
III. Business profit (“-” means
loss)
-5,506,075.00 -7,999,546.00 -13,374,858.00 -7,624,797.00
Add: non-business income 5.00 5.00 30,000.00
Less: non-business expense 334,413.00 30,793.00 942,571.00 465,050.00
Including: loss from non-current
asset disposal
IV. Total profit (“-” means loss) -5,840,483.00 -8,030,334.00 -14,287,429.00 -8,089,847.00
Less: Tax expense 1,178,268.00 264,806.00
V. Net profit (“-” means loss) -7,018,751.00 -8,030,334.00 -14,552,235.00 -8,089,847.00
-Attributable to parent company -7,019,515.00 -8,030,334.00 -14,437,295.00 -8,089,847.00
-Minority interest 765.00 -114,940.00
VI. Earnings per share
(I) Basic earnings per share -0.02 -0.03 -0.05 -0.03
(II) Diluted earnings per share -0.02 -0.03 -0.05 -0.03广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
8
4.3 Cash Flow Statement
Prepared by Guangdong Rieys Group Company Ltd. Jan.- Mar. 2009 Unit: RMB Yuan
Amount in this period Amount in last period
Items
Consolidation Parent company Consolidation Parent company
1. Cash flows for operating
activities:
Cash received from sales of goods
or rending of services
37,509,903.00 8,662,716.00 53,644,888.00 14,426,949.00
Cash received on deposits and
from banks and other financial
institutions
Net increased cash received on
borrowings from central bank
Cash received on placements from
other financial institutions
Premium received
Cash received from reinsurance
Net increased amount received on
policyholder deposit and
investment
Cash received from disposal of
held for trading financial assets
Interests, handling charges and
commission received
Cash received on placements from
bank, net
Cash received under repurchasing,
net
Refund of tax and fare received 2,900,000.00 3,803,516.00
Other cash received relating to
operating activities
5,112,824.00 4,224,232.00 9,599,772.00 4,947,623.00
Sub-total of cash inflows 45,522,727.00 12,886,948.00 67,048,176.00 19,374,572.00
Cash paid for goods and services 21,093,822.00 4,530,522.00 50,219,730.00 13,301,740.00
Loans and advances drawn
Cash paid to central bank, banks
and other financial institutions,
net
Claims paid
Interests, handling charges and
commission paid
Dividends paid to policyholders
Cash paid to and on behalf of
employees
7,438,484.00 562,727.00 7,075,934.00 473,947.00
Tax and fare paid 1,194,220.00 201,361.00 1,851,435.00 113,700.00
Other cash paid relating to
operating activities
9,933,031.00 4,054,094.00 12,577,263.00 6,862,810.00
Sub-total of cash outflows 39,659,557.00 9,348,704.00 71,724,362.00 20,752,197.00
Net cash flow from operating
activities
5,863,170.00 3,538,244.00 -4,676,186.00 -1,377,625.00
2. Cash Flows from Investment
Activities:
Cash received from return of 1.00 1.00广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
9
investments
Cash received from investment
income
Net cash received from disposal
of fixed assets, intangible assets
and other long-term assets
185,095.00 48,000.00 223,182.00 116,440.00
Proceeds from sale of subsidiaries
and other operating units
Other cash received relating to
investment activities
Sub-total of cash inflows 185,096.00 48,001.00 223,182.00 116,440.00
Cash paid for acquiring fixed
assets, intangible assets and other
long-term assets
7,600.00 477,487.00 3,999.00
Cash paid for acquiring
investments
Net cash used in loans
Net cash used in acquiring
subsidiaries and other operating
units
Other cash paid relating to
investment activities
Sub-total of cash outflows 7,600.00 477,487.00 3,999.00
Net cash flow from investing
activities
177,496.00 48,001.00 -254,305.00 112,441.00
3. Cash Flows from Financing
Activities:
Cash received from absorbing
investment
Including: Cash received from
increase in minority interest
Cash received from borrowings 15,000,000.00 5,000,000.00
Cash received from issuing
debentures
Other proceeds relating to
financing activities
Sub-total of cash inflows 15,000,000.00 5,000,000.00
Cash paid for settling debt 15,000,000.00 5,000,000.00
Cash paid for distribution of
dividends or profit or reimbursing
interest
849,612.00 821,748.00 1,673,743.00 345,452.00
Including: dividends or profit paid
to minority interest
Other cash payments relating to
financing activities
Sub-total of cash outflows 849,612.00 821,748.00 16,673,743.00 5,345,452.00
Net cash flow from financing
activities
-849,612.00 -821,748.00 -1,673,743.00 -345,452.00
4. Effect of foreign exchange rate
changes
-943,227.00
5. Increase in cash and cash
equivalents
5,191,054.00 2,764,497.00 -7,547,461.00 -1,610,636.00
Add : Cash and cash equivalents
at year-begin
13,151,057.00 1,602,714.00 8,712,973.00 1,665,416.00广东雷伊
(
集团
)
股份有限公司
2009
年第一季度季度报告全文
10
6. Cash and cash equivalents at
the end of the year
18,342,111.00 4,367,211.00 1,165,512.00 54,780.00
4.4 Auditors’ Report
Audit opinion: Un-audited
