2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
ANHUI GUJING DISTILLERY COMPANY LIMITED
2013 Semi-annual Report
August 2013
1
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
I. Important Reminders, Catalogue & Explanation
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and senior
management staff of Anhui Gujing Distillery Company Limited (hereinafter referred to as ―the
Company‖) warrant that this report is factual, accurate and complete without any false record,
misleading statement or material omission. And they shall be jointly and severally liable for that.
All directors attended the board session for reviewing this report.
The Company plans not to distribute cash dividends or bonus shares or turn capital reserve into
share capital.
Yu Lin, company principal, Ye Changqing, chief of the accounting work, and Zhu Jiafeng, chief of
the accounting organ (chief of accounting), hereby confirm that the Financial Report enclosed in
this report is factual, accurate and complete.
This report is prepared in both Chinese and English. Should there be any discrepancy between the
two versions, the Chinese version shall prevail.
This report in two languages, English program, in the two kinds of text understanding ambiguity
occurs, the Chinese version shall prevail.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Catalogue
I. Important Reminders, Catalogue & Explanation ....................................................................... 2
II. Company Profile ........................................................................................................................... 5
III. Accounting & Business Highlights ............................................................................................. 7
IV. Report of the Board of Directors ................................................................................................ 9
V. Significant Events ........................................................................................................................ 18
VI. Change in Shares & Shareholders ........................................................................................... 21
VII. Directors, Supervisors & Senior Management Staff ............................................................. 26
VIII. Financial Statements .............................................................................................................. 27
IX. Documents Available for Reference ....................................................................................... 142
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Explanation
Refers
Term Contents
to
Refers
Company, the Company, Gu Jing Anhui Gujing Distillery Company Limited
to
Refers
Group, the Group Anhui Gujing Distillery Company Limited (consolidated)
to
Refers
Gujing Group Anhui Gujing Group Co., Ltd.
to
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
II. Company Profile
I. Basic information of the Company
Stock abbreviation GJGJ, GJGB Stock code 000596, 200596
Stock exchange listed with Shenzhen Stock Exchange
Chinese name of the Company 安徽古井贡酒股份有限公司
Abbr. of the Chinese name of
古井
the Company (if any)
English name of the Company
ANHUI GUJING DISTILLERY COMPANY LIMITED
(if any)
Abbr. of the English name of
GU JING
the Company (if any)
Legal representative of the
Yu Lin
Company
II. Contact information
Company Secretary Securities Affairs Representative
Name Ye Changqing Ma Junwei
Gujing Town, Bozhou City, Anhui Gujing Town, Bozhou City, Anhui
Contact address
Province Province
Tel. （0558）5712231 （0558）5710057
Fax （0558）5317706 （0558）5317706
E-mail ycq@gujing.com.cn gjzqb@gujing.com.cn
III. Other information
1. Ways to contact the Company
Did any change occur to the registered address, office address and their postal codes, website address and email address of the
Company during the reporting period?
□ Applicable √ Inapplicable
The registered address, office address and their postal codes, website address and email address of the Company did not change
during the reporting period. The said information can be found in the 2012 Annual Report.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
2. About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?
□ Applicable √ Inapplicable
The newspapers designated by the Company for information disclosure, the website designated by CSRC for disclosing this report
and the location where this report is placed did not change during the reporting period. The said information can be found in the 2012
Annual Report.
3. Change of the registered information
Did any change occur to the registered information during the reporting period?
□ Applicable √ Inapplicable
The registration date and place of the Company, its business license No., taxation registration No. and organizational code did not
change during the reporting period. The said information can be found in the 2012 Annual Report.
4. Other relevant information
Did any change occur to other relevant information during the reporting period?
□ Applicable √ Inapplicable
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
III. Accounting & Business Highlights
I. Major accounting data and financial indicators
Does the Company adjust retrospectively or restate accounting data of previous years due to change of the accounting policy or
correction of any accounting error?
□ Yes √ No
Reporting period Same period of last year YoY +/-（％）
Operating revenues (RMB Yuan) 2,306,954,677.39 2,227,809,202.69 3.55%
Net profit attributable to shareholders of
375,752,833.11 413,724,138.05 -9.18%
the Company (RMB Yuan)
Net profit attributable to shareholders of
the Company after extraordinary gains and 366,358,371.54 408,186,092.30 -10.25%
losses (RMB Yuan)
Net cash flows from operating activities
142,716,150.70 147,934,126.72 -3.53%
(RMB Yuan)
Basic EPS (RMB Yuan/share) 0.75 0.82 -8.54%
Diluted EPS (RMB Yuan/share) 0.75 0.82 -8.54%
Weighted average ROE (%) 10.94% 14.21% -3.27%
As at the end of the
As at the end of last year YoY +/-（％）
reporting period
Total assets (RMB Yuan) 5,159,787,927.38 5,308,127,471.04 -2.79%
Net assets attributable to shareholders of
3,494,541,482.50 3,375,488,108.64 3.53%
the Company (RMB Yuan)
II. Differences between accounting data under domestic and overseas accounting standards
1. Differences of net profit and net assets disclosed in financial reports prepared under international and
Chinese accounting standards
Unit: RMB Yuan
Net profit attributable to shareholders of the Net assets attributable to shareholders of the
Company Company
Reporting period Same period of last year Closing amount Opening amount
According to Chinese
375,752,833.11 413,724,138.05 3,494,541,482.50 3,375,488,108.64
accounting standards
Items and amounts adjusted according to international accounting standards
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and
Chinese accounting standards
Unit: RMB Yuan
Net profit attributable to shareholders of the Net assets attributable to shareholders of the
Company Company
Reporting period Same period of last year Closing amount Opening amount
According to Chinese
375,752,833.11 413,724,138.05 3,494,541,482.50 3,375,488,108.64
accounting standards
Items and amounts adjusted according to overseas accounting standards
3. Explain reasons for the differences between accounting data under domestic and overseas accounting
standards
III. Items and amounts of extraordinary gains and losses
Unit: RMB Yuan
Item Amount Explanation
Gains/losses on the disposal of non-current assets (including the
-1,117,826.93
offset part of asset impairment provisions)
Government grants recognized in the current period, except for
those acquired in the ordinary course of business or granted at
1,066,335.23
certain quotas or amounts according to the country‘s unified
standards
Gains and losses on change in fair value from tradable financial
assets and tradable financial liabilities, as well as investment
income from disposal of tradable financial assets and tradable
581,538.48
financial liabilities and financial assets available for sales except
for effective hedging related with normal businesses of the
Company
Other non-operating income and expenses other than the above 11,995,901.98
Less: Income tax effects 3,131,487.19
Total 9,394,461.57 --
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Extraordinary Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item
□ Applicable √ Inapplicable
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
IV. Report of the Board of Directors
I. Overview
Affected by some certain policies, the first half of 2013 saw a slowdown in the growth of the industry of distilled
spirit as a whole, with a changing market environment and an increasingly fierce competition. The Company
made some adjustments to adapt to market changes, rationally allocating various resources, proactively
conducting in-depth marketing, sturdily pushing forward lean management and continuously improving the
product quality. As a result, it achieved normal business results on the main business of distilled spirit. For the
reporting period, the Company achieved operating revenues of RMB 2,306.9547 million, up 3.55% from the same
period of last year; and net profit of RMB 375.7528 million, down 9.18% on the year-on-year basis.
II. Main business analysis
Overview
In the reporting period, the income still mainly came from distilled spirit. For specific data and the reasons for the changes, see the
table below:
YoY change of major financial data:
Unit: RMB Yuan
Reporting period Same period of last year YoY +/-% Main reasons for change
Operating revenues 2,306,954,677.39 2,227,809,202.69 3.55%
Operating costs 726,521,456.89 573,199,355.13 26.75%
Selling expenses 617,749,743.85 601,302,281.14 2.74%
Administrative expenses 178,529,442.62 181,575,060.50 -1.68%
Financial expenses -34,200,295.79 -40,529,384.46 -15.62%
Income tax expenses 133,976,868.93 142,074,528.57 -5.7%
Net cash flows from
142,716,150.70 147,934,126.72 -3.53%
operating activities
Mainly for companies to invest in a
Net cash flows from
-1,013,354,196.93 -291,460,886.87 -247.68% one-year floating revenuefinancial
investing activities
products caused by.
Net cash flows from Company dividend is mainly caused
-251,800,000.00 -113,761,973.91 -121.34%
financing activities by.
Mainly for companies to invest
Net increase in cash and
-1,122,438,046.23 -257,288,734.06 -336.26% in floating caused by incomefinancial
cash equivalents
products and dividend.
Major changes to the profit structure or sources of the Company during the reporting period:
□ Applicable √ Inapplicable
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
No major changes occurred to the profit structure or sources of the Company during the reporting period.
Reporting period progress of the future development planning in the disclosed documents of the Company such as share-soliciting
prospectuses, offering prospectuses, asset reorganization reports, etc.:
□ Applicable √ Inapplicable
The Company did not mention any future planning for the reporting period in its disclosed documents such as share-soliciting
prospectuses, offering prospectuses, asset reorganization reports, etc.
Review the progress of the previously disclosed business plan in the reporting period:
Naught
III. Breakdown of main business
Unit: RMB Yuan
Increase/decrease Increase/decrease Increase/decrease
of operating of operating costs of gross profit
Operating Gross profit rate
Operating costs revenues over the over the same rate over the same
revenues (%)
same period of period of last year period of last year
last year (%) (%) (%)
Classified by industry:
Manufacture 2,294,278,118.16 714,795,639.60 68.84% 4.35% 27.7% -5.7%
Classified by product:
Distilled spirit 2,252,477,524.22 687,066,730.92 69.5% 4.58% 29.47% -5.86%
Hotel services 33,241,632.00 20,277,395.52 39% -7.53% -9.67% 1.45%
Other 8,558,961.94 7,451,513.16 12.94% -4.53% 12.33% -13.07%
Classified by region:
Domestic 2,294,278,118.16 714,795,639.60 68.84% 4.35% 27.7% -5.7%
Overseas 0.00 0.00 0% — — —
IV. Core competitiveness analysis
No major change occurred to the core competitiveness of the Company during the reporting period.
V. Investment analysis
1. Investments in equities of external parties
（1） Investments in external parties
Investments in external parties
Investment amount in the reporting period Investment amount in the same period of
+/-%
(RMB Yuan) last year (RMB Yuan)
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Particulars about investees
Proportion of the Company‘s investment in
Name of investee Main business
the investee‘s total equity interests (%)
（2）Equity-holdings in financial enterprises
Gain/loss
Initial Opening Opening Closing Closing Closing in the
Enterprise Enterprise investment equity-hol equity-hol equity-hol equity-hol book value reporting Accountin Equity
name variety cost (RMB dings ding ratio dings ding ratio (RMB period g title source
Yuan) (share) (%) (share) (%) Yuan) (RMB
Yuan)
Total 0.00 0 -- 0 -- 0.00 0.00 -- --
（3）Securities investments
Sharehold Sharehold Gain/loss
Initial Number Number Closing
ing ing for
investmen of shares of shares book
Variety of Code of Name of percentag percentag reporting Accounti Source of
t cost held at held at value
securities securities securities e at e at period ng title stock
(RMB period-be period-en (RMB
period-be period-en (RMB
Yuan) gin d Yuan)
gin d Yuan)
Available
25,199,99 21,458,76 -for-sale Subscript
Stock 002374 LPGF 1,938,461 1.82% 3,489,230 1.82% 0.00
3.00 4.50 financial ion
assets
25,199,99 21,458,76
Total 1,938,461 -- 3,489,230 -- 0.00 -- --
3.00 4.50
Shareholdings in other listed companies:
□ Applicable √ Inapplicable
2. Wealth management entrustment, derivative investments and entrustment loans
（1）Wealth management entrustment
Unit: RMB Ten thousand
Actual
Related-p Impairme
Payment Principal gain/loss
Name of arty Product Amount Beginnin Ending nt Predicted
Relation determina actually in
trustee transactio variety entrusted g date date provision gain
tion recovered reporting
n or not (if any)
period
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Total 0 -- -- -- 0 0 0
Source of the entrusted funds Naught
Cumulative overdue principals and gains 0
（2）Derivative investments
Unit: RMB Ten thousand
Proportio
n of the
closing
Actual
Related-p Type of Impairme investmen
Initial Opening Closing gain/loss
arty derivative Beginnin Ending nt t amount
Operator Relation investmen investmen investmen in
transactio investmen g date date provision in the
t amount t amount t amount reporting
n or not t (if any) Company
period
‘s closing
net assets
(%)
Total 0 -- -- 0 0 0% 0
Capital source for derivative investment Naught
（3）Entrustment loans
Unit: RMB Ten thousand
Related
Loan Interest Use of funds by
Borrower party or Guarantor or pawn
amount rate the borrower
not
Total -- 0 -- -- --
3. Use of raised funds
（1）Overview of the use of raised funds
Unit: RMB Ten thousand
Total raised funds 122,749.95
Raised funds input in the reporting period 23,321.49
Raised funds accumulatively input 83,725.91
Overview of the use of raised funds
The raised funds of the Company were used as planned without change.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
（2）Projects invested with raised funds as promised
Unit: RMB Ten thousand
Date
Project Investme
Accumul when the Material
Projects invested with changed nt Profit
Raised Investme Input in ative project Reach the change in
raised capital as or not progress generated
capital nt after the input up reaches expected the
promised and (includin up to the in the
input as adjustme reporting to the the profit or project
investments with g period-en reporting
promised nt (1) period period-en expected not feasibility
over-raised capital partially d (%)(3) period
d (2) usable or not
changed) ＝(2)/(1)
condition
Projects invested with raised capital as promised
Technological 31 Dec.
Transform on the
Brewage of No 13,500 12,194.42 640.99 7,943.49 65.14% 201 No
High-quality Base
Wine 3
Construction of Base 31 Dec.
Wine Blending &
No 68,600 65,921.06 21,661.87 44,029.62 66.79% 201 No
Filling Centre and
Ancillary Facilities 3
31 Dec.
Construction of
No 27,500 27,500 946.52 14,752.8 53.65% 201 No
Marketing Network
3
Construction of Brand
No 17,000 17,000 72.11 17,000 100% No
Promotion
Subtotal of promised 122,615.4
-- 126,600 23,321.49 83,725.91 -- -- -- --
investment projects 8
Investments of over-raised capital
122,615.4
Total -- 126,600 23,321.49 83,725.91 -- -- 0 -- --
8
Reason for failing to
reach scheduled
progress or projected Naught
income (explain one
project by one project)
Explanation on
significant changes in Naught
feasibility of projects
Amount, usage and Inapplicable
usage progress of
Naught
over-raised capital
Change of the Inapplicable
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
implementation
location of any raised
Naught
funds investment
project
Inapplicable
Adjustment of the
implementation
method of any raised Naught
funds investment
project
Applicable
In accordance with the explanation of the Particulars on the Private Issuance of A-share of Anhui Gujing
Distillery Co., Ltd. and the Listing Announcement, ―Before the raised proceeds being in place, the
Advanced input and Company can use the self-raised proceeds to input preliminarily in accordance with the actual progress of
exchange of any raised raised proceeds investment projects; after the raised proceeds being in place, the Company can use the
funds investment raised proceeds to replace the self-raised proceeds preliminarily input‖. And the Proposal on Using the
project Raised Proceeds to Replace the Self-raised Proceeds Preliminarily Input to the Raised Proceeds Investment
Projects was reviewed and approved at the 7th Session of the 6th Board of Directors, which agreed to use
the raised proceeds to replace the self-raised proceeds of RMB 27,058,143.42 preliminarily input to the
raised proceeds investment projects. The above funds replacement was completed on 6 Jan. 2012.
Idle raised capital for Inapplicable
temporarily
supplementing working Naught
capital
Outstanding raised Inapplicable
funds in project
implementation and Naught
reasons
Usage and whereabouts
Deposited in the special account for raised proceeds
of unused raise capital
Problems found in the
usage and disclosure
Naught
affairs of raised capital
and other situations
（3）Change of raised-funds-invested projects
Unit: RMB Ten thousand
Total raised Actual input Actual Investment Date when Profit Material
Project Reach the
Project after funds for cumulative progress up the project generated in change in
before expected
change planned to reporting input by to the reaches the the the
change profit or not
be input for period period-end period-end expected reporting after-change
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
the project (2) (%)(3)＝ usable period project
after change (2)/(1) condition feasibility
(1) or not
Total -- 0 0 0 -- -- 0 -- --
Reasons for change, decision-making
procedure and relevant information
Naught
disclosure (explain one project by one
project)
（4）Projects invested with raised funds
Overview of the project Disclosure date Index for the disclosed information
Technological Transform on the Brewage
November 29, 2010
of High-quality Base Wine
Construction of Base Wine Blending &
November 29, 2010
Filling Centre and Ancillary Facilities
Construction of Marketing Network November 29, 2010
Construction of Brand Promotion November 29, 2010
4. Analysis to main subsidiaries and stock-participating companies
Main subsidiaries and stock-participating companies:
Unit: RMB Yuan
Main
Company Company Registered Operating Operating
Industry products/ser Total assets Net assets Net profit
name variety capital revenues profit
vices
Wholesales
of distilled
Bozhou spirit,
Gujing Business construction 1,681,155,2 445,721,078 2,251,061,9 398,808,174 297,763,293
Subsidiary 84,860,000
Sales Co., trading materials, 96.17 .18 87.57 .3 .49
Ltd feeds and
assistant
materials
5. Significant projects of investments with non-raised funds
Unit: RMB Ten thousand
Cumulative actual
Total planned Input for the
Project name input as at the Project progress Project earnings
investment reporting period
period-end
Relocation and 55,000 6,866.75 39,099.5 71.09%
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Technological
Transform on the
Brewage of Base
Wine and the
supporting facilities
projects
Total 55,000 6,866.75 39,099.5 -- --
Date when the relevant interim
announcement was disclosed on the 2 Aug. 2011
designated website (if any)
Index to the designated website where the
relevant interm announcement was http://www.cninfo.com.cn/
disclosed
VI. Predict the operating results of Jan.-Sept. 2013
Warning of possible loss or considerable YoY change of the accumulated net profit made during the period-begin to the end of the
next reporting period according to prediction, as well as explanations on the reasons:
□ Applicable √ Inapplicable
VII. Explanation by the Board of Directors and the Supervisory Committee about the
“non-standard audit report” issued by the CPAs firm for the reporting period
N/A
VIII. Explanation by the Board of Directors about the “non-standard audit report” of last
year
N/A
IX. Implementation of profit allocation during the reporting period
Profit allocation plan implemented during the reporting period, especially execution and adjustment of the cash dividend plan and the
plan for turning capital reserve into share capital:
√ Applicable □ Inapplicable
The equity distribution for 2012 was reviewed and approved at the 2012 Annual Shareholders‘ General Meeting for 2012 convened
on 31 May 2013, of which execution was completed in Jun. 2013. Profit allocation plan: Based on the existing total 503,600,000
shares of the Company, a cash dividend of RMB 5 (tax included) was distributed for every 10 shares held by shareholders.
X. Pre-plan for profit allocation and turning capital reserve into share capital for the
reporting period
Naught
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
XI. Particulars about researches, visits and interviews received in this reporting period
The Company received no field research or written inquiry from investors in the reporting period.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
V. Significant Events
I. Corporate governance
Since foundation, the Company constantly perfects corporate governance structure and standardize its
management strictly in accordance with the Company Law, Securities Law, Standard for Governance of Listed
Companies, Guide Opinion on Setting up Independent Directors Systems for Listed Companies as well as
principles and requirements of other relevant laws, regulations and normative documents. In the reporting period,
as per requirements of Basic Standard for Enterprise Internal Control and Shenzhen Stock Exchange Guideline on
Internal Control of Listed Companies, the Company developed internal control activity, perfected internal control
system step by step, promoted normative operation and healthy development. The Board of Directors, the
Supervisory Committee and the management of the Company make decisions, perform rights and assume
obligation strictly according to the standard operation rules and inner control system so as to make sure the
standard operation of the Company in the frame of rules and systems.
In the reporting period, according to requirements of China Securities Regulatory Commission and Rules for
Listing of Shares in Shenzhen Stock Exchange and with the ―open, fair and just‖ principle, the Company seriously
and timely performed information disclosure obligation and guaranteed that the information disclosed is true,
accurate and complete, free from fictitious presentation, misleading statements or important omissions, so that all
the shareholders will equally acquaint themselves with all the notices of the Company.
At the end of the reporting period, the Company will constantly optimize and perfect listed corporate
governance structure, and improves its standardizing management level.
II. Significant lawsuits or arbitrations
□ Applicable √ Inapplicable
The Company was not involved in any significant lawsuit or arbitration during the reporting period.
III. The media’s doubts
□ Applicable √ Inapplicable
There was no such a case in the reporting period where most of the media raised the same doubt about the Company.
IV. Bankruptcy and reorganization
No bankruptcy or reorganization occurred in the reporting period.
V. Asset transaction
1. Asset acquisition
N/A
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
2. Sale of assets
N/A
3. Business combination
N/A
VI. Implementation of equity incentive and its influence
N/A
VII. Significant related-party transactions
1. Related-party transactions arising from routine operation
N/A
2. Related-party transactions arising from acquisition and sale of assets
N/A
3. Significant related-party transactions arising from joint investment in external parties
N/A
Was there any credit or liability with any related party for non-operating purpose?
□Yes √No
4. Credits and liabilities with related parties
Was there any credit or liability with any related party for non-operating purpose?
□Yes √No
5. Other significant related-party transactions
N/A
VIII. Significant contracts and their fulfillment
1. Trusteeship, contracting and leasing
（1）Trusteeship
Particulars about trusteeship
N/A
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Any trusteeship event with an over-10% influence on the total profit of the Company for the reporting period:
□ Applicable √ Inapplicable
（2）Contracting
Particulars about contracting
N/A
Any contracting event with an over-10% influence on the total profit of the Company for the reporting period:
□ Applicable √ Inapplicable
（3）Leasing
Particulars about leasing
N/A
Any leasing event with an over-10% influence on the total profit of the Company for the reporting period:
□ Applicable √ Inapplicable
2 Guarantees provided by the Company
N/A
3. Other significant contracts
N/A
4. Other significant transactions
N/A
IX. Commitments made by the Company or shareholders holding over 5% of the Company’s
shares in the reporting period, or such commitments carried down into the reporting period
N/A
X. Engagement and disengagement of the CPAs firm
Has the semi-annual financial report been audited or not?
□ Yes √ No
XI. Punishment and rectification
Name of the Type of the Type of Conclusion (if
Reason Disclosure date Disclosure index
punished punished investigation/puni any)
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
shment
Particulars about rectification:
□ Applicable √ Inapplicable
XII. Explanation on other significant events
During the end of the reporting period, the Company‘s investment in securities was the total holding shares of subscription share of
the Company participating in the non-public issued share of Shandong Lipeng Co., Ltd. (hereinafter referred to as Lipeng Company)
in Nov. 2012 and Lipeng Company s Implementation of the equity distribution for 2012 in May 2013. Details were as follows:
Type of Code Abbreviatio Cost of initial Number of Proportion in Number of Proportion in Amount in the
securities n investment (Yuan) share holding the opening share holding the closing closing period
in the opening period （%）in the closing period （%） (Yuan)
period (share) period
Stock 002374 Lipeng Co., 25,199,993.00 1,938,461 1.82% 3,489,230 1.82% 21,458,764.50
Ltd
Total 25,199,993.00 1,938,461 -- 3,489,230 -- 21,458,764.50
VI. Change in Shares & Shareholders
I. Change in shares
Before the change Increase/decrease (+, -) After the change
Capitalizat
Issuance ion of
Proporti Bonus Proportio
Amount of new public Others Subtotal Amount
on (%) shares n (%)
shares reserve
fund
I. Restricted shares 900 0% 900 0%
1. Share held by senior
900 0% 900 0%
management staff
II. Non-restricted shares 503,599,100 100% 503,599,100 100%
1. Renminbi ordinary
383,599,100 76.17% 383,599,100 76.17%
shares
2. Domestically listed
120,000,000 23.83% 120,000,000 23.83%
foreign shares
III. Total shares 503,600,000 100% 503,600,000 100%
Reason for the change in shares
□ Applicable √ Inapplicable
Approval of the change in shares
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
□ Applicable √ Inapplicable
Transfer of share ownership
□ Applicable √ Inapplicable
Effects of the change in shares on the basic EPS, diluted EPS, net assets per share attributable to common shareholders of the
Company and other financial indexes over the last year and last period
□ Applicable √ Inapplicable
Other contents that the Company considered necessary or were required by the securities regulatory authorities to disclose
□ Applicable √ Inapplicable
Change of the total shares, shareholder structure, asset structure and liability structure
□ Applicable √ Inapplicable
II. Total number of shareholders and their shareholdings
Unit: share
Total number of shareholders at the
36,591
end of the reporting period
Particulars about shares held by shareholders with a shareholding percentage over 5%
Increase/d Pledged or frozen shares
Number of Number of
Shareholding Total shares ecrease
Name of Nature of restricted non-restricte
percentage held at the during the Status of Number of
shareholder shareholder shares d shares
(%) period-end reporting shares shares
held held
period
ANHUI GUJING
GROUP State-owned
53.89% 271,404,022 0 271,404,022 Pledged 114,000,000
COMPANY Corporation
LIMITED
SPECIAL
ACCOUNT,
AGREED TO
Other 2.98% 15,000,000 15,000,000
BUY BACK OF
GF SECURITIES
CO., LTD
KGI ASIA Foreign
1.62% 8,161,594 8,161,594
LIMITED corporation
UBS
Foreign
(LUXEMBOUR 1.47% 7,396,320 7,396,320
corporation
G) S.A.
CHINA
MERCHANTS State-owned
1.12% 5,616,400 5,616,400
SECURITIES Corporation
(HK) CO., LTD
CHINA State-owned 1.11% 5,597,011 5,597,011
22
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
CONSTRUCTIO Corporation
N BANK－
BANK OF
COMMUNICATI
ONS
SCHRODERS
SUSTAINING
ALLOCATION
MIXED TYPE
FUND
CHINA
CONSTRUCTIO
N BANK－
TEDA HONGLI State-owned
0.88% 4,454,398 4,454,398
EFICIENCY Corporation
SELECTED
MIXED TYPE
FUND
TRIVEST
Foreign
CHINA FOCUS 0.84% 4,251,751 4,251,751
corporation
MASTER FUND
GOLDEN
Foreign
CHINA 0.73% 3,678,234 3,678,234
corporation
MASTER FUND
CHINA
CONSTRUCTIO
N BANK－
FIRST STATE State-owned
0.72% 3,603,185 3,603,185
CINDA Corporation
LEADING
GROWTH
STOCK FUND
Among the shareholders above, no affiliated relationship exists between the Company‘s
controlling shareholder—Anhui Gujing Group Company Limited—and other shareholders,
Explanation on associated
nor they are parties acting in concert as defined in the Administrative Measures on
relationship or persons acting in
Information Disclosure of Changes in Shareholding of Listed Companies. As for other
concert among the above-mentioned
shareholders, the Company does not know whether they are related parties or whether they
shareholders:
belong to parties acting in concert as defined in the Administrative Measures on Information
Disclosure of Changes in Shareholding of Listed Companies
Particulars about shares held by the top ten shareholders holding shares not subject to trading moratorium
Type of shares
Name of shareholder Number of tradable shares held at the year-end
Type Number
23
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
ANHUI GUJING GROUP Renminbi
271,404,022 271,404,022
COMPANY LIMITED ordinary shares
SPECIAL ACCOUNT, AGREED
Renminbi
TO BUY BACK OF GF 15,000,000 15,000,000
ordinary shares
SECURITIES CO., LTD
Domestically
KGI ASIA LIMITED 8,161,594 listed foreign 8,161,594
shares
Domestically
UBS (LUXEMBOURG) S.A. 7,396,320 listed foreign 7,396,320
shares
Domestically
CHINA MERCHANTS
5,616,400 listed foreign 5,616,400
SECURITIES (HK) CO., LTD
shares
CHINA CONSTRUCTION BANK
－BANK OF COMMUNICATIONS
Renminbi
SCHRODERS SUSTAINING 5,597,011 5,597,011
ordinary shares
ALLOCATION MIXED TYPE
FUND
CHINA CONSTRUCTION BANK
Renminbi
－TEDA HONGLI EFICIENCY 4,454,398 4,454,398
ordinary shares
SELECTED MIXED TYPE FUND
Domestically
TRIVEST CHINA FOCUS
4,251,751 listed foreign 4,251,751
MASTER FUND
shares
Domestically
GOLDEN CHINA MASTER FUND 3,678,234 listed foreign 3,678,234
shares
CHINA CONSTRUCTION BANK
－FIRST STATE CINDA Renminbi
3,603,185 3,603,185
LEADING GROWTH STOCK ordinary shares
FUND
Among the shareholders above, no affiliated relationship exists between the Company‘s
Explanation on associated
controlling shareholder—Anhui Gujing Group Company Limited—and other shareholders,
relationship or/and persons acting in
nor they are parties acting in concert as defined in the Administrative Measures on
concert among the top ten tradable
Information Disclosure of Changes in Shareholding of Listed Companies. As for other
shareholders and between the top ten
shareholders, the Company does not know whether they are related parties or whether they
tradable shareholders and the top ten
belong to parties acting in concert as defined in the Administrative Measures on Information
shareholders
Disclosure of Changes in Shareholding of Listed Companies.
Explanation on shareholders
Inapplicable.
participating in the margin trading
24
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
business (if any) (note 4)
Did any shareholder of the Company carry out an agreed buy-back in the reporting period?
□ Yes √ No
The shareholder of Special Account Agreed to Buy Back of GF Securities Co., Ltd is Puning Xinhong Industrial Investment Co., Ltd.
During the reporting period, the amount and proportion of the initial transaction of agreed to buy back were the same with that
expired the end of the reporting period, which was 15,000,000 shares, 2.98% of the total equity.
III. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable √ Inapplicable
Change of the actual controller in the reporting period
□ Applicable √ Inapplicable
25
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
VII. Directors, Supervisors & Senior Management Staff
I. Shareholding changes of directors, supervisors and senior management staff
□ Applicable √ Inapplicable
Shareholdings of directors, supervisors and senior management staff did not change in the reporting period. For details, see the 2012
Annual Report.
II. Directors, supervisors and senior management staff who left their posts
N/A
26
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
VIII. Financial Statements
I. Audit report
Has this semi-annual report been audited?
□ Yes √ No
The semi-annual financial report has not been audited.
II. Financial statements
Currency unit for the statements in the notes to these financial statements: RMB Yuan
1. Consolidated balance sheet
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 1,395,212,305.86 2,609,650,352.09
Settlement reserves
Intra-group lendings
Transactional financial assets
Notes receivable 210,620,845.61 156,449,495.65
Accounts receivable 14,975,603.50 7,887,007.25
Accounts paid in advance 78,182,222.48 85,305,973.47
Premiums receivable
Reinsurance premiums receivable
Receivable reinsurance contract
reserves
Interest receivable 20,036,811.87 7,253,858.34
Dividend receivable
Other accounts receivable 47,665,316.27 21,559,146.98
Financial assets purchased under
agreements to resell
Inventories 879,898,376.73 782,399,498.85
Non-current assets due within 1 year
27
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Other current assets 800,000,000.00
Total current assets 3,446,591,482.32 3,670,505,332.63
Non-current assets:
Loans by mandate and advances
granted
Available-for-sale financial assets 21,458,764.50 27,991,376.84
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment
Investing property 30,059,825.07 31,451,269.49
Fixed assets 849,860,475.87 783,740,205.15
Construction in progress 428,506,272.31 423,672,281.54
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 319,374,794.98 320,716,225.67
R&D expense
Goodwill
Long-term deferred expenses 44,158,545.35 30,959,542.67
Deferred income tax assets 19,777,766.98 19,091,237.05
Other non-current assets
Total of non-current assets 1,713,196,445.06 1,637,622,138.41
Total assets 5,159,787,927.38 5,308,127,471.04
Current liabilities:
Short-term borrowings
Borrowings from Central Bank
Customer bank deposits and due to
banks and other financial institutions
Intra-group borrowings
Transactional financial liabilities
Notes payable 220,660,000.00 224,460,000.00
Accounts payable 413,441,186.29 461,112,575.26
Accounts received in advance 234,396,426.04 114,610,235.81
Financial assets sold for repurchase
28
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Handling charges and commissions
payable
Employee‘s compensation payable 73,486,383.58 178,726,582.68
Tax payable 441,772,654.60 645,410,021.57
Interest payable
Dividend payable
Other accounts payable 272,026,596.29 297,098,777.98
Reinsurance premiums payable
Insurance contract reserves
Payables for acting trading of
securities
Payables for acting underwriting of
securities
Non-current liabilities due within 1
year
Other current liabilities 1,060,125.05 2,120,250.11
Total current liabilities 1,656,843,371.85 1,923,538,443.41
Non-current liabilities:
Long-term borrowings
Bonds payable
Long-term payables
Specific payables
Estimated liabilities
Deferred income tax liabilities 697,845.96
Other non-current liabilities 8,403,073.03 8,403,073.03
Total non-current liabilities 8,403,073.03 9,100,918.99
Total liabilities 1,665,246,444.88 1,932,639,362.40
Owners‘ equity (or shareholders‘
equity)
Paid-up capital (or share capital) 503,600,000.00 503,600,000.00
Capital reserves 1,292,132,571.82 1,297,032,031.07
Less: Treasury stock
Specific reserves
Surplus reserves 218,736,964.73 218,736,964.73
Provisions for general risks
29
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Retained profits 1,480,071,945.95 1,356,119,112.84
Foreign exchange difference
Total equity attributable to owners of
3,494,541,482.50 3,375,488,108.64
the Company
Minority interests
Total owners‘ (or shareholders‘) equity 3,494,541,482.50 3,375,488,108.64
Total liabilities and owners‘ (or
5,159,787,927.38 5,308,127,471.04
shareholders‘) equity
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
2. Balance sheet of the Company
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 1,166,183,881.00 2,390,346,607.43
Transactional financial assets
Notes receivable 147,521,286.41 139,414,615.95
Accounts receivable 1,209,624.07 1,293,202.89
Accounts paid in advance 25,337,168.37 1,151,359.52
Interest receivable 18,111,200.75 6,129,902.78
Dividend receivable
Other accounts receivable 159,089,133.27 161,967,822.69
Inventories 814,405,164.11 748,777,364.57
Non-current assets due within 1 year
Other current assets 800,000,000.00
Total current assets 3,131,857,457.98 3,449,080,875.83
Non-current assets:
Available-for-sale financial assets 21,458,764.50 27,991,376.84
Held-to-maturity investments
Long-term accounts receivable 4,335,450.63 4,172,166.85
30
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Long-term equity investment 258,089,408.32 258,089,408.32
Investing property 28,493,236.93 29,814,360.87
Fixed assets 640,394,056.79 562,993,821.32
Construction in progress 428,224,142.19 423,672,281.54
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 200,369,521.03 200,084,457.08
R&D expense
Goodwill
Long-term deferred expenses 41,640,545.33 27,338,996.93
Deferred income tax assets 19,621,756.12 18,496,292.51
Other non-current assets
Total of non-current assets 1,642,626,881.84 1,552,653,162.26
Total assets 4,774,484,339.82 5,001,734,038.09
Current liabilities:
Short-term borrowings
Transactional financial liabilities
Notes payable 28,880,000.00 80,000,000.00
Accounts payable 405,570,041.56 446,890,857.97
Accounts received in advance 1,010,792,913.65 714,794,965.38
Employee‘s compensation payable 53,531,561.50 79,627,703.42
Tax payable 129,443,215.67 314,625,057.22
Interest payable
Dividend payable
Other accounts payable 148,044,496.76 168,504,557.80
Non-current liabilities due within 1
year
Other current liabilities 999,422.52 1,998,845.04
Total current liabilities 1,777,261,651.66 1,806,441,986.83
Non-current liabilities:
Long-term borrowings
Bonds payable
31
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Long-term payables
Specific payables
Estimated liabilities
Deferred income tax liabilities 697,845.96
Other non-current liabilities 8,403,073.03 8,403,073.03
Total non-current liabilities 8,403,073.03 9,100,918.99
Total liabilities 1,785,664,724.69 1,815,542,905.82
Owners‘ equity (or shareholders‘
equity)
Paid-up capital (or share capital) 503,600,000.00 503,600,000.00
Capital reserves 1,244,356,185.98 1,249,255,645.23
Less: Treasury stock
Specific reserves
Surplus reserves 213,634,704.46 213,634,704.46
Provisions for general risks
Retained profits 1,027,228,724.69 1,219,700,782.58
Foreign exchange difference
Total owners‘ (or shareholders‘) equity 2,988,819,615.13 3,186,191,132.27
Total liabilities and owners‘ (or
4,774,484,339.82 5,001,734,038.09
shareholders‘) equity
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
3. Consolidated income statement
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Jan.-Jun. 2013 Jan.-Jun 2012
I. Total operating revenues 2,306,954,677.39 2,227,809,202.69
Including: Sales income 2,306,954,677.39 2,227,809,202.69
Interest income
Premium income
Handling charge and
commission income
II. Total operating cost 1,809,750,924.11 1,679,394,597.06
32
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Including: Cost of sales 726,521,456.89 573,199,355.13
Interest expenses
Handling charge and
commission expenses
Surrenders
Net claims paid
Net amount withdrawn for the
insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 320,387,063.09 363,847,284.75
Selling and distribution expenses 617,749,743.85 601,302,281.14
Administrative expenses 178,529,442.62 181,575,060.50
Financial expenses -34,200,295.79 -40,529,384.46
Asset impairment loss 763,513.45
Add: Gain/(loss) from change in fair
value (―-‖ means loss)
Gain/(loss) from investment (―-‖
581,538.48
means loss)
Including: share of profits in associates
and joint ventures
Foreign exchange gains (―-‖ means
loss)
III. Business profit (―-‖ means loss) 497,785,291.76 548,414,605.63
Add: non-operating income 13,333,882.69 8,591,072.54
Less: non-operating expense 1,389,472.41 1,207,011.55
Including: loss from non-current asset
1,268,843.71 303,137.32
disposal
IV. Total profit (―-‖ means loss) 509,729,702.04 555,798,666.62
Less: Income tax expense 133,976,868.93 142,074,528.57
V. Net profit (―-‖ means loss) 375,752,833.11 413,724,138.05
Including: Net profit achieved by
combined parties before the
combinations
Attributable to owners of the
375,752,833.11 413,724,138.05
Company
33
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Minority shareholders‘ income
VI. Earnings per share -- --
(I) Basic earnings per share 0.75 0.82
(II) Diluted earnings per share 0.75 0.82
Ⅶ. Other comprehensive incomes -4,899,459.25
Ⅷ. Total comprehensive incomes 370,853,373.86 413,724,138.05
Attributable to owners of the
370,853,373.86 413,724,138.05
Company
Attributable to minority
shareholders
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
4. Income statement of the Company
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Jan.-Jun. 2013 Jan.-Jun 2012
I. Total sales 1,266,183,592.34 1,373,991,362.63
Less: cost of sales 732,026,686.34 552,748,073.80
Business taxes and surcharges 295,760,161.37 343,532,474.26
Distribution expenses 60,800,957.44 284,453,474.89
Administrative expenses 134,997,985.02 99,682,004.17
Financial costs -32,699,748.91 -21,895,510.32
Impairment loss 336,363.46
Add: gain/(loss) from change in fair
value (―-‖ means loss)
Gain/(loss) from investment (―-‖ means
581,538.48
loss)
Including: income form investment on
associates and joint ventures
II. Business profit (―-‖ means loss) 75,542,726.10 115,470,845.83
Add: non-business income 5,319,101.86 6,166,248.63
Less: non-business expense 1,032,917.90 431,479.11
Including: loss from non-current asset 970,408.62
34
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
disposal
III. Total profit (―-‖ means loss) 79,828,910.06 121,205,615.35
Less: income tax expense 20,500,967.95 35,151,097.11
IV. Net profit (―-‖ means loss) 59,327,942.11 86,054,518.24
V. Earnings per share -- --
(I) Basic earnings per share 0.12 0.17
(II) Diluted earnings per share 0.12 0.17
VI. Other comprehensive income -4,899,459.25
VII. Total comprehensive income 54,428,482.86 86,054,518.24
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
5. Consolidated cash flow statement
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Jan.-Jun. 2013 Jan.-Jun 2012
I. Cash flows from operating activities:
Cash received from sale of
2,388,476,781.91 1,865,698,167.01
commodities and rendering of service
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 deposits of policy
holders and investment fund
Net increase of disposal of tradable
financial assets
Cash received from interest, handling
charges and commissions
35
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Net increase of intra-group
borrowings
Net increase of funds in repurchase
business
Tax refunds received
Other cash received relating to
423,118,271.69 140,956,983.36
operating activities
Subtotal of cash inflows from operating
2,811,595,053.60 2,006,655,150.37
activities
Cash paid for goods and services 694,259,783.60 414,219,022.36
Net increase of customer lendings
and advances
Net increase of funds deposited in the
central bank and amount due from
banks
Cash for paying claims of the original
insurance contracts
Cash for paying interest, handling
charges and commissions
Cash for paying policy dividends
Cash paid to and for employees 417,115,008.72 231,081,015.76
Various taxes paid 955,081,121.16 1,007,128,786.60
Other cash payment relating to
602,422,989.42 206,292,198.93
operating activities
Subtotal of cash outflows from
2,668,878,902.90 1,858,721,023.65
operating activities
Net cash flows from operating activities 142,716,150.70 147,934,126.72
II. Cash flows from investing activities:
Cash received from withdrawal of
investments
Cash received from return on
581,538.48
investments
Net cash received from disposal of
fixed assets, intangible assets and other 386,600.00
long-term assets
Net cash received from disposal of
subsidiaries or other business units
Other cash received relating to
36
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
investing activities
Subtotal of cash inflows from
581,538.48 386,600.00
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 213,935,735.41 291,847,486.87
assets
Cash paid for investment 800,000,000.00
Net cash paid to acquire subsidiaries
and other business units
Other cash payments relating to
investing activities
Subtotal of cash outflows from
investing activities
Net cash flows from investing activities 1,013,935,735.41 291,847,486.87
Net cash paid to acquire subsidiaries
-1,013,354,196.93 -291,460,886.87
and other business units
III. Cash Flows from Financing
Activities:
Cash received from capital
contributions
Including: Cash received from
minority shareholder investments by
subsidiaries
Cash received from borrowings
Cash received from issuance of
bonds
Other cash received relating to
financing activities
Subtotal of cash inflows from financing
activities
Repayment of borrowings
Cash paid for interest expenses and
251,800,000.00 113,761,973.91
distribution of dividends or profit
Including: dividends or profit paid
by subsidiaries to minority shareholders
Other cash payments relating to
financing activities
Sub-total of cash outflows from 251,800,000.00 113,761,973.91
37
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
financing activities
Net cash flows from financing activities -251,800,000.00 -113,761,973.91
IV. Effect of foreign exchange rate
changes on cash and cash equivalents
V. Net increase in cash and cash
-1,122,438,046.23 -257,288,734.06
equivalents
Add: Opening balance of cash and
2,409,650,352.09 2,082,032,491.33
cash equivalents
VI. Closing balance of cash and cash
1,287,212,305.86 1,824,743,757.27
equivalents
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
6. Cash flow statement of the Company
Prepared by Anhui Gujing Distillery Company Limited
Unit: RMB Yuan
Item Jan.-Jun. 2013 Jan.-Jun 2012
I. Cash flows from operating activities:
Cash received from sale of
1,455,720,537.05 1,395,279,587.72
commodities and rendering of service
Tax refunds received
Other cash received relating to
206,306,800.65 41,126,590.91
operating activities
Subtotal of cash inflows from operating
1,662,027,337.70 1,436,406,178.63
activities
Cash paid for goods and services 534,007,644.68 479,559,767.86
Cash paid to and for employees 215,108,866.37 140,012,751.43
Various taxes paid 602,748,898.68 579,265,398.31
Other cash payment relating to
174,542,357.54 122,148,502.51
operating activities
Subtotal of cash outflows from
1,526,407,767.27 1,320,986,420.11
operating activities
Net cash flows from operating activities 135,619,570.43 115,419,758.52
II. Cash flows from investing activities:
Cash received from retraction of
38
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
investments
Cash received from return on
581,538.48
investments
Net cash received from disposal of
fixed assets, intangible assets and other 327,600.00
long-term assets
Net cash received from disposal of
subsidiaries or other business units
Other cash received relating to
investing activities
Subtotal of cash inflows from
581,538.48 327,600.00
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 208,563,835.34 279,012,461.54
assets
Cash paid for investment 800,000,000.00 19,998,000.00
Net cash paid to acquire subsidiaries
and other business units
Other cash payments relating to
investing activities
Subtotal of cash outflows from
1,008,563,835.34 299,010,461.54
investing activities
Net cash flows from investing activities -1,007,982,296.86 -298,682,861.54
III. Cash Flows from Financing
Activities:
Cash received from capital
contributions
Cash received from borrowings
Cash received from issuance of
bonds
Other cash received relating to
financing activities
Subtotal of cash inflows from financing
activities
Repayment of borrowings
Cash paid for interest expenses and
251,800,000.00 113,761,973.91
distribution of dividends or profit
Other cash payments relating to
39
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
financing activities
Sub-total of cash outflows from
251,800,000.00 113,761,973.91
financing activities
Net cash flows from financing activities -251,800,000.00 -113,761,973.91
IV. Effect of foreign exchange rate
changes on cash and cash equivalents
V. Net increase in cash and cash
-1,124,162,726.43 -297,025,076.93
equivalents
Add: Opening balance of cash and
2,290,346,607.43 1,885,937,555.53
cash equivalents
VI. Closing balance of cash and cash
1,166,183,881.00 1,588,912,478.60
equivalents
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
7. Consolidated Statement of Changes in Owners’ Equity
Prepared by Anhui Gujing Distillery Company Limited
Jan.-Jun. 2013
Unit: RMB Yuan
Jan.-Jun. 2013
Equity attributable to owners of the Company
Paid-up
Total
Item capital Minority
Less: General
Capital Specific Surplus Retaine owners‘
(or treasury risk Others interests
reserve reserve reserve d profit equity
share stock reserve
capital)
I. Balance at the end of the 503,600 1,297,03 218,736 1,356,11 3,375,488,
previous year ,000.00 2,031.07 ,964.73 9,112.84 108.64
Add: change of accounting
policy
Correction of errors in
previous periods
Other
II. Balance at the beginning of 503,600 1,297,03 218,736 1,356,11 3,375,488,
the year ,000.00 2,031.07 ,964.73 9,112.84 108.64
III. Increase/ decrease in the -4,899,4 123,952, 119,053,37
40
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
period (―-‖ means decrease) 59.25 833.11 3.86
375,752, 375,752,83
(I) Net profit
833.11 3.11
(II) Other comprehensive -4,899,4 -4,899,459.
incomes 59.25 25
375,752,
Subtotal of (I) and (II)
833.11
(III) Capital paid in and
reduced by owners
1. Capital paid in by
owners
2. Amounts of share-based
payments recognized in
owners‘ equity
3. Others
-251,80 -251,800,0
(IV) Profit distribution
0,000.00 00.00
1. Appropriations to
surplus reserves
2. Appropriations to
general risk provisions
3. Appropriations to -251,80 -251,800,0
owners (or shareholders) 0,000.00 00.00
4. Other
(V) Internal carry-forward of
owners‘ equity
1. New increase of capital
(or share capital) from capital
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve
1. Withdrawn for the
period
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
2. Used in the period
(Ⅶ) Other
503,600 1,292,13 218,736 1,480,07 3,494,541,
IV. Closing balance
,000.00 2,571.82 ,964.73 1,945.95 482.50
Jan.-Jun. 2012
Unit: RMB Yuan
Jan.-Jun. 2012
Equity attributable to owners of the Company
Paid-up
Total
Item capital Less: General Minority
Capital Specific Surplus Retaine owners‘
(or treasury risk Others interests
reserve reserve reserve d profit equity
share stock reserve
capital)
I. Balance at the end of the 251,800 1,546,73 147,070 815,506, 2,761,115,
previous year ,000.00 8,493.19 ,297.60 493.66 284.45
Add: retrospective
adjustment due to business
combination under the same
control
Add: change of accounting
policy
Correction of errors in
previous periods
Other
II. Balance at the beginning of 251,800 1,546,73 147,070 815,506, 2,761,115,
the year ,000.00 8,493.19 ,297.60 493.66 284.45
III. Increase/ decrease in the 251,800 -249,70 71,666, 540,612, 614,372,82
period (―-‖ means decrease) ,000.00 6,462.12 667.13 619.18 4.19
725,589, 725,589,28
(I) Net profit
286.31 6.31
(II) Other comprehensive 2,093,53 2,093,537.
incomes 7.88 88
2,093,53 725,589, 727,589,28
Subtotal of (I) and (II)
7.88 286.31 6.31
(III) Capital paid in and
reduced by owners
1. Capital paid in by
42
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
owners
2. Amounts of share-based
payments recognized in
owners‘ equity
3. Others
71,666, -184,97 -113,310,0
(IV) Profit distribution
667.13 6,667.13 00.00
1. Appropriations to 71,666, -71,666,
surplus reserves 667.13 667.13
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for -113,31 -113,310,0
making up losses 0,000.00 00.00
4. Other
(V) Internal carry-forward of 251,800 -251,80
owners‘ equity ,000.00 0,000.00
1. New increase of capital
251,800 -251,80
(or share capital) from capital
,000.00 0,000.00
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve
1. Withdrawn for the
period
2. Used in the period
(Ⅶ) Other
503,600 1,297,03 218,736 1,356,11 3,375,488,
IV. Closing balance
,000.00 2,031.07 ,964.73 9,112.84 108.64
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
8. Statement of Changes in Owners’ Equity of the Company
Prepared by Anhui Gujing Distillery Company Limited
Jan.-Jun. 2013
Unit: RMB Yuan
Jan.-Jun. 2013
Paid-up
Less: General Total
Item capital (or Capital Specific Surplus Retained
treasury risk owners‘
share reserve reserve reserve profit
stock reserve equity
capital)
I. Balance at the end of the 503,600,00 1,249,255, 213,634,70 1,219,700, 3,186,191,
previous year 0.00 645.23 4.46 782.58 132.27
Add: change of accounting
policy
Correction of errors in
previous periods
Other
II. Balance at the beginning of 503,600,00 1,249,255, 213,634,70 1,219,700, 3,186,191,
the year 0.00 645.23 4.46 782.58 132.27
III. Increase/ decrease in the -4,899,459. -192,472,0 -197,371,5
period (―-‖ means decrease) 25 57.89 17.14
59,327,942 59,327,942
(I) Net profit
.11 .11
(II) Other comprehensive -4,899,459. -4,899,459.
incomes 25 25
-4,899,459. 59,327,942
Subtotal of (I) and (II)
25 .11
(III) Capital paid in and
reduced by owners
1. Capital paid in by owners
2. Amounts of share-based
payments recognized in owners‘
equity
3. Others
(IV) Profit distribution -251,800,0 -251,800,0
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
00.00 00.00
1. Appropriations to surplus
reserves
2. Appropriations to general
risk provisions
3. Appropriations to owners -251,800,0 -251,800,0
(or shareholders) 00.00 00.00
4. Other
(V) Internal carry-forward of
owners‘ equity
1. New increase of capital
(or share capital) from capital
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve
1. Withdrawn for the period
2. Used in the period
(Ⅶ) Other
503,600,00 1,244,356, 213,634,70 1,027,228, 2,988,819,
IV. Closing balance
0.00 185.98 4.46 724.69 615.13
Jan.-Jun. 2012
Unit: RMB Yuan
Jan.-Jun. 2012
Paid-up
Less: General Total
Item capital (or Capital Specific Surplus Retained
treasury risk owners‘
share reserve reserve reserve profit
stock reserve equity
capital)
I. Balance at the end of the 251,800,00 1,498,962, 141,968,03 688,010,77 2,580,740,
previous year 0.00 107.35 7.33 8.37 923.05
Add: change of accounting
policy
Correction of errors in
previous periods
45
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Other
II. Balance at the beginning of 251,800,00 1,498,962, 141,968,03 688,010,77 2,580,740,
the year 0.00 107.35 7.33 8.37 923.05
III. Increase/ decrease in the 251,800,00 -249,706,4 71,666,667 531,690,00 605,450,20
period (―-‖ means decrease) 0.00 62.12 .13 4.21 9.22
716,666,67 716,666,67
(I) Net profit
1.34 1.34
(II) Other comprehensive 2,093,537. 2,093,537.
incomes 88 88
2,093,537. 716,666,67 718,760,20
Subtotal of (I) and (II)
88 1.34 9.22
(III) Capital paid in and
reduced by owners
1. Capital paid in by owners
2. Amounts of share-based
payments recognized in owners‘
equity
3. Others
71,666,667 -184,976,6 -113,310,0
(IV) Profit distribution
.13 67.13 00.00
1. Appropriations to surplus 71,666,667 -71,666,66
reserves .13 7.13
2. Appropriations to general
risk provisions
3. Appropriations to owners -113,310,0 -113,310,0
(or shareholders) 00.00 00.00
4. Other
(V) Internal carry-forward of 251,800,00 -251,800,0
owners‘ equity 0.00 00.00
1. New increase of capital
251,800,00 -251,800,0
(or share capital) from capital
0.00 00.00
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
(VI)Specific reserve
1. Withdrawn for the period
2. Used in the period
(VII)Other
503,600,00 1,249,255, 213,634,70 1,219,700, 3,186,191,
IV. Closing balance
0.00 645.23 4.46 782.58 132.27
Legal representative: Yu Lin Person-in-charge of the accounting work: Ye Changqing
Chief of the accounting division: Zhu Jiafeng
(III) Statement notes
1. Company history
Authorized by document WGZGZ (1996) No.053 of Anhui Administrative Bureau of State-owned Property, Anhui Gujing Distillery
Company Limited (―the Company‖) was established as a limited liability company with net assets of RMB 377,167,700 and
state-owned shares of 155,000,000 shares and considered Anhui Gujing Group as the only promoter. The registration place was
Bozhou Anhui China. The Company was established on 5 March 1996 by document of WZM (1996) No.42 of Anhui People‘ s
Government. The Company set up plenary session on 28 May 1996 and registered in Anhui Administrative Bureau for Industry and
Commerce on 30 May 1996 with business license of 14897271-1.
The Company has been issued 60,000,000 domestic listed foreign shares (―B‖ shares) in June 1996 and 20,000,000 ordinary shares
(―A shares) on September 1996, ordinary shares are listed in national and par value is RMB 1.00 per share. Those A share and B share
are listed in Shenzhen Stock exchange.
Headquarter of the Company is located in Gujing Bozhou Aihui. The Company and its subsidiaries (the Group) specialize in
producing and selling white spirit.
Registered capitals of the Company were RMB 215,000,000 with stocks of 215,000,000, of which 155,000,000 shares were issued in
China and 60,000,000 shares were issued abroad with a face value of RMB 1 per share.
On May 29, 2006, a shareholder meeting was held to discuss and approval a program of equity division of A share, the program was
implement in June 2006. After implementation, all shares are outstanding share, which include 147,000,000 shares with restrict
condition on disposal, represent 62.55% of total equity, and 88,000,000 shares without restrict condition on disposal, represent
37.45% of total equity.
The Company issued on June 27, 2007,
11,750,000 outstanding shares with restrict condition on disposal are listed in stock market on June 29, 2007. Up to that day,
outstanding shares with restrict condition on disposal are 135,250,000, representing 57.55% of total equity, the share without restrict
condition are 99,750,000, representing 42.45% of total equity.
The Company issued on July 17, 2008,
11,750,000 outstanding shares with restrict condition on disposal are listed in stock market on July 18, 2008. Up to that day,
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
outstanding shares with restrict condition on disposal are 123,500,000, representing 52.55% of total equity, the share without restrict
condition are 111,500,000, representing 47.45% of total equity.
The Company issued on July 24, 2009,
123,500,000 outstanding shares with restrict condition on disposal are listed in stock market on 29 July, 2009. Up to that day, the
Company‘s all shares are all tradable.
As approved by the CSRC Document Zheng-Jian-Xu-Ke [2011] No. 943, the Company privately offered 16,800,000 ordinary shares
(A-shares) to special investors on 15 Jul. 2011, with a par value of RMB 1 and the price of RMB 75.00 per share, raising RMB
1,260,000,000.00 in total, the net amount of raised funds stood at RMB 1,227,499,450.27 after deducting RMB 32,500,549.73 of
various issuance expenses. Certified Public Accountants verified the raised capital upon its arrival and issued the Capital Verification
Report Reanda-Yan-Zi [2011] No. 1065.
In accordance with the resolutions made at the 2011 Annual Shareholders‘ General Meeting, basing on the total share capital of
251,800,000 shares, the Company decided to transfer the capital reserves to share capital by 10 shares upon each 10 shares to the
A-share holders registered in the Company on 27 Apr. 2012 and the B-share holders registered in the Company on 4 May 2012, thus
the total share capital increased to RMB 503,600,000 after the capitalization. Reanda Certified Public Accountants verified the raised
capital (Capital Verification Report Reanda-Yan-Zi [2012] No. 1022). Up to 4 May 2012, the Company has transferred RMB
251,800,000 of capital reserves to share capital.
Pursuant to the decision of annual shareholders meeting in 2012, the Company that considered 251,800,000 shares as base number on
31 December 2013 transferred capital reserve into share capital at a rate of ―10 shares for per 10 shares‖ accounting for 251,800,000
shares and implemented in the year of 2012. Upon the transference, the registered capitals increased to RMB 503,600,000.
By 30 June 2013, the Company issued 503,600,000 shares. More details please refer to Note VII, 24.
The approved business of the Company including procurement of grain (operating with business license), manufacture of distilled
spirits, wine distilling facilities, packaging material, bottles, alcohol, grease (limited to byproducts from wine manufacture), and
research and development of high-tech, biotechnology development, agricultural and sideline products deep processing, as well as
sale of self-manufacturing products.
The Company and the final parent company is Anhui Gujing Group Co., Ltd in China.
Financial statement of the Company will be released on 28 August 2013 by the board of directors.
2. Basis for the preparation of financial statements
The financial statements of the Company have been prepared on the going concern basis with reference to the actual occurrence of
transactions and events and in accordance with the China Enterprise Accounting Standards (CAS) issued by the Ministry of Finance
on 15 Feb. 2006 and 38 accounting policies, application guides of ASBE, explanations and other relevant stipulations of ASBE
(ASBE), and disclosure stipulations ―Compiling stipulations of public information disclosure No.15---general rules of financial
statement‖ (revised in 2010).
In line with relevant rules of ASBE, financial accounting of the Group is based on accrual system. Except financial instruments and
instrument real estate, the financial statement is calculated on the basis of history costs. Available-for-sale non-current assets are
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
calculated by the lower one of fair value deducting estimated costs and original costs meeting the standard of available-for-sale. If
assets confront impairment, it shall be withdrawn provision for impairment in line with relevant stipulations.
3. Declaration of Compliance with the Enterprise Accounting Standards
The financial statements of the Company have been prepared in accordance with the Enterprise Accounting Standards to present truly
and completely the financial position of the Group on 30 June 2013, operating results, cash flow from January to June in 2013 and
other relevant information. The financial statement of the Group met the relevant disclosure requirements of financial statement and
notes of ―Compiling stipulations of public information disclosure No.15---general rules of financial statement‖ (revised in 2010).
4. Main accounting policies and accounting estimates
(1) Accounting year
Accounting year is divided to annual term and medium term. Accounting medium refers to reporting period shorter than a complete
accounting period. The Company employs a period of calendar days from 1 Jan. to 31 Dec. each year as accounting year.
(2) Bookkeeping base currency
The Company‘s bookkeeping base currency is Renminbi (―RMB‖). Currency used to compile the financial statement is RMB.
(3) Accounting treatment of the business combination
Business combination refers to combination of two or more than two corporations to establish a reporting entity. Business
combination is divided to combination under the same control and combination not under the same control.
(a) Accounting treatment of the business combination that is under the same control
A business combination involving enterprises under common control is a business combination in which all of the combining
enterprises are ultimately controlled by the same party or parties both before and after the business combination, and that control is
not transitory. The assets and liabilities obtained are measured at the carrying amounts as recorded by the enterprise being combined
at the combination date. The difference between the carrying amount of the net assets obtained and the carrying amount of
consideration paid for the combination (or the total face value of shares issued) is adjusted to share premium in the capital reserve. If
the balance of share premium is insufficient, any excess is adjusted to retained earnings. Other direct expenses occur when the Group
conducting business combinations is recognized in current profit and loss. The combination date is the date on which one combining
enterprise effectively obtains control of the other combining enterprises.
Those assets and liabilities obtained by the Company during the business combination should be recognized in the carrying value of
the equity of the merged party on the merger date. The difference between the carrying amount of the net assets obtained and carrying
49
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
amount of the merger consideration (or total par value of issued shares) paid shall be adjusted to capital reserve. If the capital reserve
is not sufficient to absorb the difference, any excess shall be adjusted against retained earnings.
Direct costs of a business combination shall be reckoned into current gains and losses.
(b) Accounting treatment of the business combination that is not under the same control
A business combination involving entities not under common control is a business combination in which all of the combining entities
are not ultimately controlled by the same party or parties both before and after the business combination. In business combination not
under the same control, acquirer refers to party obtaining control of other combining corporations in the date of acquisition and
acquiree refers to corporation participating in combination. Date of acquire refers to the date the acquirer actually obtaining control of
the acquiree.
As for combination not under the same control, costs of combination includes assets that acquirers occur in the date of combination in
order to obtain control of acqirees, loans, fair value of issued equity securities, intermediary costs such as audit, legal services and
evaluation consultation, and other administrative fees occurred in the reporting period. As for trading costs that acquirers as
combination consideration issue equity securities or debt securities, it shall be reckoned into initial accounts of equity securities or
debt securities. As for business combination realized by several exchanges and trades, in the combined financial statement of the
Group, the Company shall recalculate the stock right obtained by acquirees before the date of acquisition in line with fair value of the
stock right in the date of acquisition. The difference of fair value and its book value shall be reckoned into current investment gains.
At the same time, other relevant comprehensive gains of acquirers before the date of acquisition shall be reckoned into current
investment gains. Combination costs shall be the aggregation amount of fair value of stock rights in the date of acquisition obtained
by acquirers before the date of acquisition and fair value of stock rights in the date increased and obtained by acquirers in the date of
acquisition.
When the Group acts as the combination party, the cost of a business combination paid by the acquirer is the aggregate of the fair
value at the acquisition date of assets given (including share equity of the acquiree held before the combination date), liabilities
incurred or assumed, and equity securities issued by the acquirer. Any excess of the cost of a business combination over the acquirer‘s
interest in the fair value of the acquiree‘s identifiable net assets is recognized as goodwill, while any excess of the acquirer‘s interest
in the fair value of the acquiree‘s identifiable net assets over the cost of a business combination is recognized in profit or loss. The
cost of equity securities or liability securities as on combination consideration offering is recognized in initial recording capital on
equity securities or liability securities. Other direct expenses occur when the Group conducting business combinations is recognized
in current profit and loss. The difference between the fair value and the carrying amount of the assets given is recognized in profit or
loss. The Group, at the acquisition date, recognized the acquiree‘s identifiable asset, liabilities and contingent liabilities at their fair
value at that date. The acquisition date is the date on which the acquirer effectively obtains control of the acquiree.
As for deductible temporary difference of aquirers obtained by acquirers which can‘t be confirmed due to failure of meeting the
confirmation requirements of deferred income tax assets, if there is newly information proving the existence of relevant situation in
the date of acquisition in a year after the acquisition date and financial benefits of deductible temporary difference of aquirers in the
date of acquisition are estimated to be realized, deferred income tax assets shall be confirmed. At the same time, goodwill shall be
50
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
decreased. If goodwill is insufficient, the difference shall be reckoned into current gains and losses; except the above circumstance,
reliable deferred income tax assets relevant to the Company shall be reckoned into current gains and losses.
4. Methods for preparing consolidated financial statements
(1) Principle for determining the consolidation scope
The consolidated financial statements prepared are in accordance with the No. 33 Enterprise Accounting Standards – Consolidated
Financial Statement issued in Feb. 2006. The consolidated financial statements incorporate the financial statements of the Company
and its subsidiaries directly controlled or indirectly controlled by the Company as well as units with special purpose. Control is
achieved where the Company has the power to govern the financial and operating policies of an invested enterprise so as to obtain
benefits from its operating activities. If there is evidence provide that the invested company is not controlled by holding company, the
invested company would not be included in the consolidation scope.
(2) Methods for preparing consolidated financial statements
The Group begins to include subsidiaries into consolidation scope from the date obtaining net assets of subsidiaries and actual control
of production and operation and terminates to include subsidiaries into consolidation scope from the date losing actual control of
subsidiaries. As for the disposal of subsidiaries, operating results and cash flow are included in consolidated income statement and
consolidated statement of cash flow before the date of the disposal; as for current disposal of subsidiaries, opening balance of the
consolidated balance sheet shall not be adjusted. As for subsidiaries increased in the combination not under the same control,
operating results and cash flow after the date of the acquisition are included in consolidated income statement and consolidated
statement of cash flow, in addition, opening balance of the consolidated balance sheet shall not be adjusted. As for subsidiaries
increased in the combination under the same control and combined parties under acquisition, operating results and cash flow form the
beginning of combination to the date of combination are included in consolidated income statement and consolidated statement of
cash flow, in addition, opening balance of the consolidated balance sheet shall be adjusted.
Where a subsidiary was acquired during the reporting period, through a business combination involving entities under common
control, the financial statements of the subsidiary are included in the consolidated financial statements as if the combination had
occurred at the date that common control was established. Therefore the opening balances and the comparative figures of the
consolidated financial statements are restated. In the preparation of the consolidated financial statements, the subsidiary‘s assets,
liabilities and results of operations are included in the consolidated balance sheet based on their carrying amounts; while results of
operations are included in the consolidated income statement, from the date that common control was established.
All the significant inter-company balances, trading and unrealized profits shall be offset when preparing the consolidated financial
statement.
If current loss shoulder by minority shareholders of a subsidy over the proportion enjoyed by minority shareholders in a subsidy at
owners‘ equity at period-begin, its balance still offset minority shareholders‘ equity.
When the accounting period or accounting policies of a subsidiary are different from those of the Company, the Company makes
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
necessary adjustments to the financial statements of the subsidiary based on the Company‘s own accounting period or accounting
policies. Intra-group balances and transactions, and any unrealized profit or loss arising from intra-group transactions, are eliminated
in preparing the consolidated financial statements. Unrealized losses resulting from intra-group transactions are eliminated in the
same way as unrealized gains but only to the extent that there is no evidence of impairment.
When losing control right of subsidiaries because of the disposal of stock right investment or other reasons, the Company shall
recalculate residual stock right in accordance to the fair value in the date of losing control right. As for remaining equity investment
after disposal, the Group will re-account it according to the fair value at the date the control was lost. Any profit or loss occurred
shall be recorded into the investment income during the period of losing control right. Then follow-up measurement of remaining
equity shall be arranged in line with ―Accounting Standards for Business Enterprises No.2—Long-term Equity Investment‖ or
―Accounting Standards for Business Enterprises No.22—Affirmation and Calculation of Financial Instrument‖. More details please
refer to Note IV, 10 ―Long-term Equity Investment‖ or Note IV, 7 ―Financial Instrument‖.
5. Standard of cash and cash equivalents
Cash equivalents are short-term (normally with a maturity date within three months from the date of acquisition), high-liquidity
investments that are readily convertible to known amounts of cash and low-risk of changes in value.
6. Foreign currency business and translation of foreign currency financial statement
(1) Foreign currency transactions
The Company‘s foreign currency transactions are converted into presentation currency (RMB) at spot exchange rates of transaction
date (usually refer to the middle price of the foreign exchange rate of transaction date). However, as for foreign currency exchange or
trading involving in foreign currency exchange, it shall be translated to amount of recording currency according to the actual
exchange rate.
(2) Translation methods of foreign currency items and foreign non-currency items
On the balance sheet date, foreign currency items shall be converted in line with sight rate on the balance sheet date. Balance of
exchange occurred due to this shall be reckoned into current gains and losses, except the following circumstances: a. balance of
exchange which belongs to assets meeting the condition of capitalization and which is generated by special foreign currency
borrowings shall be disposed in line with principal of borrowing costs capitalization; b. balance of exchange of effective arbitrage
tool used as net investment overseas (the balance shall be reckoned into other comprehensive gains. It is not until net investment is
disposed, it can be reckoned into current gains and losses.); c. available-for-sale foreign currency item shall be reckoned into current
gains and losses except balance of exchange generated by the changes of other book balances other than amortized costs which shall
be reckoned into other comprehensive gains.
Monetary items denominated in foreign currencies are translated to renminbi at the spot exchange rate at the balance sheet date. The
resulting exchange differences are recognised in profit or loss, except those arising from the principals and interests on foreign
52
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
currency borrowings specifically for the purpose of acquisition, construction of qualifying assets. Non-monetary items denominated
in foreign currencies that are measured at historical cost are translated to renminbi using the foreign exchange rate at the transaction
date. Non-monetary items denominated in foreign currencies that are measured at fair value are translated using the foreign exchange
rate at the date the fair value is determined; the exchange differences, if it‘s the difference arising from the non-monetary item of
available-for-sale financial assets, which shall be considered as other comprehensive income and recognised in capital reserve; other
differences shall be recognised in current profit or loss.
(3) Translation of foreign currency financial statement
Those involving operation overseas when compiling consolidated financial statement and generating balance of exchange due to the
changes of exchange rate shall be included into item of owners‘ equity ―Translation Reserve‖; when disposing overseas operation, it
shall be reckoned into current gains and losses of the disposal.
Those items of assets and liabilities in the balance sheet shall be converted at the spot rate on the balance sheet date; Items of owners‘
equity other than undistributed profits shall be converted at the spot rate on the transaction date. Those items of income and expenses
in income statement shall be converted at the spot rate on the transaction date. The difference caused from the above translation
method shall be individually listed under the owners‘ equity in the balance sheet. The items in cash flow statement shall be converted
at the spot rate on the occurrence date of the cash flow. And the affected amount due to the changes of exchange rate shall be as the
adjusted item and individually listed in the cash flow statement.
Cash flow of foreign currency and subsidiaries overseas adopt spot exchange rate of the occurence of cash flow. The affected amount
due to the changes of exchange rate shall be as the adjusted item and individually listed in the cash flow statement.
The opening amount and actual amount of last year shall be listed according to the amounts translated in the financial statement of
last year.
7. Financial Instruments
(1) Recognition method of fair value of financial assets and financial liabilities
Fair value refers to the amount, at which both parties to a transaction who are familiar with the condition exchange their assets or
clear off their debts under fair conditions. In a fair transaction, both parties to it shall be enterprises in continuous operation, and do
not plan or do not need to carry out any liquidation, significantly reduce their operational scale or carry out transactions
notwithstanding the unfavorable conditions they face. As for the financial assets or financial liabilities for which there is an active
market, the quoted prices in the active market shall be used to determine the fair values thereof. If there is no active market, company
should adopt valuation techniques to determine the fair value. Valuation techniques include prices adopted in market trading with
voluntary trading parties, current fair value of other similar financial instruments, discount cash flow method and options pricing
model, etc.
(2) Classification, recognition and calculation of financial assets
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Financial assets traded in general method shall be made accounting affirmation and terminating affirmation on the trading day. The
Company classified its financial assets into four categories in accordance with the investment purpose and economic substance,
which are financial assets measured at fair value and the change in fair value recorded into current profits and losses,
held-to-maturity investments, loans and receivables, available-for-sale financial assets. As for financial assets of initial recognition, it
shall be calculated on the basis of fair value. As for financial assets calculated on the basis of fair value and reckoned into current
gains and losses, relevant trading costs shall be reckoned into current gains and losses. As for other financial assets, relevant trading
costs shall be reckoned into initially affirmative amounts.
① Financial assets or financial liabilities measured at fair value and the change in fair value recorded into current profits and losses
Financial assets or financial liabilities measured at fair value and the change in fair value recorded into current profits and losses
includes transactional financial assets or financial liabilities and financial assets or financial liabilities designated by the Company to
be measured at fair value and the change in fair value recorded into current profits and losses.
Transactional financial assets or financial liabilities refer to the financial assets or financial liabilities meeting one of the following
conditions:
a. The main purpose of acquiring the financial assets or bearing the financial liabilities is to sell or repurchase in the near term; or
b. Part of a portfolio of identified financial instruments that are managed together and there is evidence that the Company manage
them under the pattern of short-term profit-gaining recently; or
c. A derivative instrument (except for a derivative instrument that is a designated and effective hedging instrument, a derivative
instrument of financial guarantee contract, a derivative instrument that connected with and settled by equity instrument, whose price
could not be quoted in active market and the fair value could not be measured reasonably).
Financial assets or financial liabilities designated by the Company to be measured at fair value and the change in fair value recorded
into current profits and losses refer to the financial assets or financial liabilities meeting one of the following conditions:
a. The designation can eliminate or significantly reduce the inconsistent situation of the relevant gains and losses on the aspects of
recognition and measurement caused by adopting different measurement basis of financial assets and financial liabilities;
b. The official documents on Company risk management or investment strategy has stated that the financial assets portfolio, the
financial liabilities portfolio, or the financial assets and financial liabilities portfolio are managed and evaluated on the basis of fair
value and reported to key management person.
② Held-to-maturity investments refer to non-derivative financial assets with fixed maturity date, fixed or determinable payments
that enterprise has the clear intention and ability to hold to maturity.
Held-to-maturity investments adopt actual interest rate method with follow-up measurement in line with amortized costs. Gains and
looses occurred in terminating affirmation, occurring impairment or amortization shall be recorded into current gains and losses.
The actual interest rate method refers to the method by which the post-amortization costs and the interest incomes of different
installments or interest expenses are calculated in light of the actual interest rates of the financial assets or financial liabilities
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(including a set of financial assets or financial liabilities). The actual interest rate refers to the interest rate adopted to cash the future
cash flow of a financial asset or financial liability within the predicted term of existence or within a shorter applicable term into the
current carrying amount of the financial asset or financial liability.
When the actual interest rate is determined, the future cash flow shall be predicted on the basis of taking into account all the
contractual provisions concerning the financial asset or financial liability (including the right to repay the loan ahead of schedule, call
options, similar options and etc.), and the future credit losses shall not be taken into account.
③ Loans and account receivables
Receivables shall be made subsequent measurement at amortized cost using the effective interest method, the gains and losses from
termination of recognition, depreciation or amortization shall be recorded into current profits.
Loans and account receivables adopt actual interest rate method with follow-up measurement in line with amortized costs. Gains and
looses occurred in terminating affirmation, occurring impairment or amortization shall be recorded into current gains and losses.
④ Available-for-sale financial assets
Available-for-sale financial assets includes non-derivative financial assets designated as available-for-sale in the initial affirmation,
financial assets which are not calculated on the basis of fair value and whose changes are not recorded into current gains and losses,
loans and account receivables, financial assets except hold-to-maturity investment.
Available-for-sale financial assets shall be made subsequent measurement at its fair value, the gains and losses from the change of
fair value shall be recorded into capital reserve. Disposal of available-for-sale financial assets, the difference between consideration
received and carrying value of the financial assets included into investment profits or losses account; at the same time, turn out the
disposal amount corresponding to the cumulative amount of changes in fair value that originally directly recorded into owners‘ equity
investment, and recorded into investment profits or losses account. The impairment losses of such financial assets and exchange
differences of foreign monetary financial assets shall be recorded into current profits and losses.
Interest received and cash dividends declared to distribute by the invested company during the holding period of such financial assets
shall be recognized into investment income.
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(3) Impairment of financial assets
The carrying amounts of financial assets (other than those at fair value through profit or loss) are reviewed at each balance sheet date
to determine whether there is objective evidence of impairment.
The Group makes individual impairment test for individual financial assets with significant amount: As for individual financial assets
with significant amount, the Group makes individual impairment or makes impairment included in financial assets portfolios with
similar credit risks. Financial assets with individual test but without impairment (including individual financial assets with significant
and insignificant amounts) are made impairment included in financial assets portfolios with similar credit risks. Financial assets have
be recognized individual impairment are made impairment excluded in financial assets portfolios with similar credit risk
① Impairment of held-to-maturity investments, loans and account receivables
Held-to-maturity investments are assessed for impairment on an individual basis. An impairment loss in respect of a
held-to-maturity investment is calculated as the excess of its carrying amount over the present value of the estimated future cash
flows (exclusive of future credit losses that have not been incurred) discounted at the original effective interest rate. All impairment
losses are recognized in profit or loss. If, after an impairment loss has been recognized on held-to-maturity investments, there is
objective evidence of a recovery in value of the financial asset which can be related objectively to an event occurring after the
impairment was recognized, the previously recognized impairment loss is reversed through profit or loss. The reversed carrying
amount shall not be any more than the post-amortization costs of the said financial asset on the day of reverse under the assumption
that no provision is made for the impairment.
② Available-for-sale financial assets
When the fair value of available-for-sale equities investment slumps severely or drops non-transiently, it indicates impairment of
available-for-sale equities investment.
Available-for-sale financial assets are assessed for impairment on an individual basis. When an available-for-sale financial asset is
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
impaired, the cumulative loss arising from a decline in fair value that has been recognized directly in equity is removed from equity
and recognized in profit or loss even though the financial asset has not been derecognized.
After reorganization of impairment, if there is any sign proving that the value of financial assets are recovered and objectively are
relevant to the aftermath of the losses, the previous losses of impairment are reversed. The impairment losses of available-for-sale
equity investment are reverses and affirmed as other comprehensive gains and the impairment losses of available-for-sale liability
instrument are reversed and recorded into current gains and losses.
If, after an impairment loss has been recognized on an available-for-sale debt instrument, the fair value of the debt instrument
increases in a subsequent period and the increase can be objectively related to an event occurring after the impairment loss was
recognized, the impairment loss is reversed through profit or loss. An impairment loss recognized for an investment in an equity
instrument classified as available-for-sale is not reversed through profit or loss.
(4) Recognition basis and measurement of financial asset transfers
Financial assets meeting one of the following conditions shall be derecognized: a. contract rights withdrawing the cash flow of
financial assets terminated: b. the financial assets have been transferred and almost all the risks and revenues of financial assets
ownership have been transferred to transferee; c. the financial assets have been transferred. Although transferred almost all the risks
and revenues of financial assets ownership have not been transferred, the Company gave up control of the financial assets.
If corporations have transferred and remained almost all the risks and revenues of financial assets ownership and have not given up
control of the financial assets, relevant financial assets and liabilities shall be confirmed in line with continuous involvement in the
transferred financial asset. Continuous involvement in the transferred financial asset refers to risk level through the changes of the
financial assets.
A financial asset is derecognized if the Group‘s contractual rights to the cash flows from the financial asset expire or if the Group
transfers substantially all the risks and rewards of ownership of the financial asset to another party.
If partial transfers of financial assets meeting the derecognizing requirement, book value transferring financial assets shall be
amortized between derecognized part and not derecognized part according to relative fair value. In addition, the consideration
received due to transference and changes of fair value shall be recorded into current gains and losses.
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(5) Classification and calculation if financial liabilities
The Company‘s financial liability is recognized at its fair value initially. For financial assets or financial liabilities measured at fair
value and the change in fair value recorded into current profits and losses, relevant transaction costs that are directly recorded into
current profits and losses; for other types of financial assets or financial liabilities, relevant transaction costs are recorded into the
initial recognized amount.
①Financial liabilities measured at fair value and the change in fair value recorded into current profits and losses
The condition of trading financial liabilities and financial liabilities measured at fair value and the change in fair value recorded into
current profits and losses at the initial confirmation shall be in compliance with the condition of trading financial assets and financial
assets measured at fair value and the change in fair value recorded into current profits and losses at the initial confirmation.
Financial liabilities measured at fair value and the change in fair value recorded into current profits and losses shall be made
subsequent measurement at its fair value, the gains and losses from the change of fair value and termination of recognition shall be
recorded into current profits and losses.
②Other financial liabilities
Other financial liabilities that connected with and settled by equity instrument, whose price could not be quoted in active market and
the fair value could not be measured reasonably shall be made subsequent measurement by cost. Other financial liabilities shall be
made subsequent measurement at amortized cost using the effective interest method, the gains and losses from termination of
recognition or amortization shall be recorded into current profits and losses.
(6) Termination of recognition of financial liabilities
If the transfer of partial financial asset doesn‘t satisfy the conditions to stop the recognition, the Company shall continue to recognize
the financial assets and recognized the consideration it receives as a financial liability. For those financial assets transferred by
adopting continuous involvement method, the Company should recognize one financial asset and one financial liability, according to
the extent of the transferred financial assets under continuous involvement.
If the transfer of partial financial asset satisfies the conditions to stop the recognition, the entire book value of the transferred
financial asset shall, between the portion whose recognition has been stopped and the portion whose recognition has not been stopped,
be apportioned according to their respective relative fair value, and the difference between the amounts of the following two items
shall be included into the current profits and losses.
(7) Derivative instruments and embedded derivative instruments
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Derivative instruments are made initial measurement on the basis of fair value on the contract date and arranged follow-up
measurement on the basis of fair value. Except derivative instruments designated as highly effective arbitrage tools whose gains and
losses from changes in fair value shall be recorded into gains and losses according to the nature of hedging relationship and
requirements of hedging accounting, other fair value changes of derivative instruments shall be recorded into current gains and
losses.
Blender instruments including embedded derivative instruments are not designated calculating on the basis of fair value and whose
changes are recorded into financial assets and financial liabilities of current gains and losses. In addition, embedded derivative
instruments are not closely related to the master contract in economic characteristics and risks, and instruments existing alone comply
with the definition of derivative instruments. Under this circumstance, embedded derivative instruments shall be separated from
blender instruments and dealt with as individual derivative financial instruments. If the circumstance can not be achieved or
follow-up balance sheet individually calculates embedded derivative instruments, blender instruments shall be calculated on the basis
of fair value and its changes shall be recorded into financial assets or liabilities of current gains and looses.
(8) Offset of financial assets and financial liabilities
The Group has the legal right to offset affirmed financial assets and financial liabilities and can implement the right at present.
Amounts after the offset of financial assets and financial liabilities would be listed in the balance sheet when the Group plans netting
settlement or realizes the financial assets at the same time and liquidates the financial liabilities. Otherwise, financial assets and
financial liabilities would be listed in the balance sheet separately and not be offset.
(9) Equity instruments
Equity instruments refer to contract which can prove owning remaining equities in assets after deducting all liabilities. If costs of
issuing equity instruments by combining parties can not offset the premium income of equity instruments, retaining income might be
reduced. Other equity instruments increase ownership equities after deducting trading costs by consideration received at issuance.
As for distribution to owners of equity instruments (excluding stock dividend), the Group decreases ownership equities. The Group
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would not the amount of changes in fair value of equity instruments.
8. Accounts receivable
Accounts receivable includes accounts receivable and other accounts receivable.
(1) Recognition standard of bad debt provision
After inspecting book value of accounts receivable in balance sheet, the Group withdraws bad debt provision when there is any
object following provident indicating impairment of accounts receivable: ①Debtor confronts severe financial difficulty: ②Debtor
infringe terms of the contract (such as infringement or overdue payment of interests or principals); ③Debtor probably goes
bankruptcy or implement other financial recombination; ④Other objective basis indicating impairment of accounts receivable.
(2) Method of withdrawal of provision for bad debt
①Recognition standard and method of individual provision for bad debts of individually significant accounts receivable
The Group refers accounts receivable more than RMB 2,000,000 as individual accounts receivable with significant amounts.
When making individual impairment test on accounts receivable with significant amount, if there is objective evidence that the
accounts receivable have been impaired, the impairment loss shall be recognized based on the difference of the book values higher
than the present value of future cash flows, then withdraw the bad debts provision. If the accounts receivable with significant amount
has not been impaired under the individual test, which shall be withdrawn the bad debts provision by aging group as the credit risk
group.
②Recognition standard of accounts receivable and method of withdrawal of bad debt provision by portfolio of credit risk
A. Recognition basis of portfolio of credit risk
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As for accounts receivable with individually significant amounts and with significant amounts but without impairment after
individual testing, the Group divides financial assets in accordance with similarity and correlation of credit risk features. The credit
risk generally reflects the ability of debtor to repay all the amounts due in line with terms in the contract. In addition, the credit risk is
correlated to future cash flow of inspected assets.
Recognition basis of different groups:
Item Recognition basis of groups
Aging group Aging state
Related-party group Company of the Group in the consolidated scope
B. method of withdrawal of provision for bad debt by portfolio of credit risk
When impairment test implemented according to group method, amounts of bad debt provision would be affirmed according to
history experiences of losses, current financial state and evaluation of losses existed in the group of estimated accounts receivable.
Withdrawal method of provision for bad debt in different groups:
Item Method
Aging group Aging analysis method
Related-party group Not withdrawal of provision for bad debt
In the groups, adopting aging analysis method to withdraw bad debt provision:
Withdrawal proportion for accounts Withdrawal proportion for other
Age
receivable (%) accounts receivable (%)
Within 1 year (including 1 year)
Of which: within six months
1.00 1.00
Six months to one year
5.00 5.00
1-2 years
10.00 10.00
2-3 years
50.00 50.00
Over 3 years
100.00 100.00
③Accounts receivable with insignificant amount but being individually withdrawn bad debts provision
When making individual impairment test on accounts receivable with insignificant amount but high credit risk, the impairment loss
shall be recognized based on the difference of the book values higher than the present value of future cash flows, then withdraw the
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
bad debts provision. For example, accounts receivable of related parties; accounts receivable involving dispute or litigation,
arbitration; accounts receivable having clear signs to indicate that debtor probably can not implement obligations of payment.
(3) Reversal of provision for bad debt
If there is any provident demonstrating recovery of the value of the accounts receivable and objectively correlating to the issues after
the confirmation of the losses, the original confirmed losses would be reversed and recorded into current gains and losses. However,
the reserved book value shall not exceed the amortized costs of the accounts receivable under non-withdrawing impairment
circumstance.
9. Inventory
(1) Category of inventory
Inventory mainly includes raw materials, packing materials, self-made semi-manufactured products, goods in process and finished
goods, etc.
(2) Pricing method for outgoing inventories
Inventory is priced by actual costs when it is obtained. Inventory costs include procurement costs, processing costs and other costs.
Weighted average method is used to price inventory when it is received and delivered.
(3) Recognition basis of net realizable value and withdrawal method of falling price provision for
inventories
Net realizable value in daily activity, it is referred to the estimated selling price minus the estimated selling expenses and related tax
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and fees in normal operating process. When confirming the net realizable value of inventories, the Company shall take the intention
of inventories into consideration and influence of issues after balance sheet date.
On the balance sheet date, the evaluation criteria should base on the lower value between costs and net realizable value. When net
realizable value is lower than costs, falling price provision of inventories shall be made. Under normal circumstances, the Company
withdraws the falling price provision in according to individual inventory items, but for large quantity and low-unit-price inventories,
falling price provision of inventories shall be made based on the category of inventories; for those inventories that relating to the
same product line that have similar purposes or end uses, are produced and marketed in the same geographical area, and cannot be
practicably evaluated separately from other items in that product line, their falling price provision of inventories shall be
consolidated.
After withdrawing the depreciation reserves for inventories, if the factors, which cause any write-down of the inventories, have
disappeared, the amount of write-down shall be recovered and reversed from the original amount of depreciation reserve for
inventories. The reversed amount shall be included in the profits and losses of the current period.
(1) Inventory system for inventories is perpetual inventory system
(2) Amortization method of the low-value consumption goods and packing articles
Low-value consumption goods: one-off amortization method
Packing articles: one-off amortization method
10. Long-term equity investment
(1) Recognition of initial investment costs
For obtaining subsidiary under common control, the consideration cost can be paid by cash payment, non-monetary assets transfer or
taking over the subsidiary‘s liability. Under this situation, the investment cost is carrying amount of owners‘ equity of the subsidiary
on the merger date. For obtaining subsidiary not under common control, the cost of long-term equity investment is fair value of assets
paid, liabilities undertaken by the Company, or the fair value of equity bonds issued. Where the cost of a business combination
exceeds the acquirer‘s interest in the fair value of the acquiree‘s identifiable net assets, the difference shall be recognized as goodwill,
Where the cost of combination is less than the acquirer‘s interest in the fair value of the acquiree‘s identifiable net assets, after
reassessment, the difference shall be recognized in profit or loss for the current period. The costs related to business combinations,
including the commission fees for audit, law services, assessment & consultancy services and other relevant expenses occurred in the
business combination by the combining party, shall be recorded into current profits and losses upon their occurrence; the transaction
expense from the issuance of equity securities or bonds securities which are as consideration for combination by the combining party,
should be recorded as the initial amount of equity securities and bonds securities.
Except long-term equity investment due to business combination, other equity investments are initially calculated on the basis of
costs are confirmed according to prices actually paid by the Group, fair value of equity securities issued by the Group, investment
contract or value agreed in the treaty, fair value or original book value of assets from non-monetary assets trading, fair value of the
long-term equity investment. Costs, taxes and other necessary costs relating to acquisition of the long-term equity investment shall be
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recorded into investment costs.
(2) Subsequent measurement and recognition of gains or losses
The Company uses cost method for the following conditions: a long-term equity investment where the investing enterprise does not
have joint control or significant influence over the investee, the investment can‘t be quoted in an active market and its fair value can‘t
be reliably measured; the Company uses equity method for the following conditions: a long-term equity investment where the
investing enterprise has joint control or significant influence over the investee; as for a long-term equity investment where the
investing enterprise does not have joint control or significant influence over the investee, the investment can‘t be quoted in an active
market and its fair value can be reliably measured, the Company considers it as available-for-sale financial assets or calculates it on
the basis of fair value and records it into financial assets of current gains and losses.
Besides, the Company uses cost method in the company financial statement to account long-term equity investments where the
investing enterprises have control over the investee.
① When using cost method, increase or recovery of investment need to adjust the cost of long term equity investment.
When gaining cash dividends or profit distributions declared by the investee, the return on investment at current period shall be
recognized in accordance with the cash dividend or profit announced to distribute by the invested entity, except the announced but
not distributed cash dividend or profit included in the actual payment or consideration upon gaining the investment.
②When measured by adopting equity method, the investment profits or losses at current period shall be the attributable share of the
net profits or losses of the investee, and adjust the carrying amount of the investment accordingly.
The Company shall recognize current period investment profits or losses following the attributable share of the net profits or losses of
the investee. When recognizing the attributable share of the net profits or losses of the investee, basing on the investee‘s book value
of net profit, if the investee used inconsistent accounting policies with the Company, the Company shall withdraw the depreciation
amount and amortization amount basing on the fair value of fixed assets and intangible assets of the investee on the investment
acquired date, and the Company shall adjust the affected net profits of the investee with the recognized amount of impairment
provision of fixed assets basing on the fair value of relevant assets on the investment acquired date, and offset the internal transaction
profit and loss between the Company and the joint enterprises or the jointly-run enterprises, and then recognize the investment profit
or loss on this basis. The internal transaction profit and loss between the Company and the joint enterprises or the jointly-run
enterprises, refer to the ―Enterprise Accounting Standard 8--Impairment of assets‖, belong to asset impairment loss, and recognized in
full.
The Company shall recognize the net losses of the invested enterprise until the book value of the long-term equity investment and
other long-term rights and interests which substantially form the net investment made to the invested entity are reduced to zero
(unless the investing enterprise has the obligation to undertake extra losses). If the invested entity realizes any net profits later, the
investing enterprise shall, after the amount of its attributable share of profits exceeding its attributable share of the un-recognized
losses, resume the book value of the long-term equity and long-term investment according to attributable un-recognized losses.
Those long term equity investment on joint venture and associate company held before first executive date, if their is relevant
investment debit difference, according to residual time to amortize in straight line method, and the amortization amount shall be
recognized in current profits and losses account.
③ Acquiring shares of minority interest
In the preparation for the financial statements, the balance existed between the long-term equity investment increased by acquiring
shares of minority interest and the distributable net assets on the subsidiary calculated by the increased shares held since the purchase
date (or combination date), the capital reserves shall be adjusted, if the capital reserves are not sufficient to offset, the retained profits
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
shall be adjusted.
④ Disposal of long-term equity investment
In the preparation of financial statements, the Company disposed part of the long-term equity investment on subsidiaries without
losing its controlling right on them, the balance between the disposed price and distributable net assets of subsidiaries by disposing
the long-term equity investment shall be recorded into owners‘ equity; where the Company losses the controlling right by disposing
part of long-term equity investment on such subsidiaries, it shall treated in accordance with the relevant accounting policies in Note
IV, 4, (2).
For other ways on disposal of long-term equity investment, the balance between the book value of the disposed equity and its actual
payment gained shall be recorded into current profits and losses; for the long-term equity investment measured by adopting equity
method, the other comprehensive income originally recorded into owners‘ equity shall be transferred into current profits and losses
by proportions upon the disposal. The remained equity shall be recognized as long-term equity investment or other relevant financial
assets in accordance with the book value, and carried out the follow-up measurement in accordance with the above accounting
policies for the long-term equity investment or financial assets. If the measurement method of remained equity is transferred from
cost method to equity method, it shall be subject to retrospective adjustment in accordance with relevant rules and stipulations.
(3) Recognition basis of joint control and significant influences
The term "control" refers to the power to determine the financial and operating polices of an enterprise and obtain benefits from its
operating activities of the enterprise. The term "joint control" refers to the control over an economic activity in accordance with the
contracts and agreements, which does not exist unless the investing parties of the economic activity with one an assent on sharing the
control power over the relevant important financial and operating decisions. The term "significant influences" refers to the power to
participate in making decisions on the financial and operating policies of an enterprise, but not to control or do joint control together
with other parties over the formulation of these policies. When ascertaining whether or not it is able to control or have significant
influences on an invested entity, an enterprise shall take into consideration the invested enterprises' current convertible corporate
bonds and current executable warrants held by the investing enterprise and other parties, as well as other potential factors concerning
the voting rights.
(4) Testing method of impairment and withdrawal method of provision for impairment
The Group shall, on the day of balance sheet, make a judgment on whether there is any sign of possible impairment of the long-term
equity investment. Where there is sign of impairment, the Group shall estimate the recoverable amount of the long-term equity
investment. Where the recoverable amount of the long-term equity investment is lower than its book value, which balance shall be
withdrawn the provision for impairment and recorded into current profits and losses.
Once any loss of impairment of the long-term equity investment is recognized, it shall not be switched back in the future accounting
periods.
11. Investment properties
Investment properties of the Company are properties held to earn rentals or for capital appreciation or both, mainly comprising: Land
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
use right which has already been rented; land use right which is held for transfer out after appreciation; property that has already been
rented. An investment property is measured initially at its cost. Subsequent costs relevant to investment properties shall be recorded
into investment properties costs if economic benefits are likely to flow in and its costs can be reliable calculated. As for other
subsequent costs, it shall be recorded into current gains and losses.
The Group uses cost modeling to subsequently measure investment property and make depreciation or amortization according to
usage right of housing or land.
As for impairment test and withdrawal method of impairment provision of investment property, please refer to Note IV, 17
―Impairment of Non-current and Not-financial Assets‖.
When self-owned properties or inventories transfer into investment properties or investment properties transfer into self-owned
properties or inventories, book value before transference shall be used as the entry value after transference.
From the date of transference, investment properties shall be transferred into fixed assets or intangible assets when investment
properties transfer into self-owned properties. From the date of transference, fixed assets or intangible assets shall be transferred into
investment properties when the intention of self-owned properties changes to be earning rents. Upon transference, investment
properties using cost modeling shall use its book value before transference as the entry value after transference; investment properties
using fair value shall use its fair value in the date of transference as the entry value after transference.
As for investment property disposed or perpetually out of use, and estimated without economic benefits from the disposal,
confirmation shall be terminated. Disposal consideration of the investment property after sale, transference, discard or damage
deducting its book value and relating taxes shall be recorded into current gains and losses.
12. Fixed assets
(1) Recognized standard of fixed assets
The term "fixed assets" refers to the tangible assets that simultaneously possess the features as follows: they are held for the sake of
producing commodities, rendering labor service, renting or business management; and their useful life is in excess of one fiscal year.
(2) Depreciation methods of fixed assets
The initial measurement of a fixed asset shall be made at its cost after considering the effect of expected discard expenses. The Group
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shall withdraw the depreciation of fixed assets by adopting the straight-line method since the second month of its useful life. Useful
life, expected net salvage value (refers to the expected amount that the Group may obtain from the current disposal of a fixed asset
after deducting the expected disposal expenses at the expiration of its expected useful life) and annual depreciation rate of each fixed
assets are as below:
Expected net salvage
Category of fixed assets Useful life (Y) Annual deprecation
value
Housing and building 8-35 3-5 2.7-12.1
Machinery equipments 8-10 3-5 9.5-12.1
Transportation vehicle 4 3 24.25
Office equipment and others 3 3 32.33
Estimated net residual value refers to that the Group obtains amounts from the disposal of the fixed asset after deducting estimated
disposal fees when the life of the fixed assets is estimated expired and the fixed assets are on the stage of life-end.
(3) Impairment test method and withdrawal method of impairment provision
As for impairment test method and withdrawal method of impairment provision, please refer to Notes IV, 17 ―Impairment of
Non-current and Not-financial Assets‖.
(4) Recognition basis and pricing method of fixed assets by finance lease
The Company recognized a lease that has transferred in substance all the risks and rewards related to the ownership of an asset as
finance lease. The cost of fixed asset acquired by finance lease shall be recognized by the lower one between the fair value of the
asset on the inception date of such finance lease and the current value of the lowest rental. The fixed assets by finance lease shall
adopt the same depreciation policy for self-owned fixed assets to withdraw the depreciation of leased assets. If it is reasonable to be
certain that the lessee will obtain the ownership of the leased asset when the lease term expires, the leased asset shall be fully
depreciated over its useful life. If it is not reasonable to be certain that the lessee will obtain the ownership of the leased asset at the
expiry of the lease term, the leased asset shall be fully depreciated over the shorter one of the lease term or its useful life.
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(5) Other explanations
The follow-up expenses related to a fixed asset, if the economic benefits pertinent to this fixed asset are likely to flow into the
enterprise and its cost can be reliably measured, shall be recorded into cost of fixed assets and ultimately recognized as the book
value of the replaced part; otherwise, they shall be included in the current profits and losses.
When the Group sells, transfers or discards any fixed assets, or when any fixed assets of the Group is damaged or destroyed, the
Group shall deduct the book value of the fixed assets as well as the relevant taxes from the disposal income, and include the amount
in the current profits and losses.
The Group shall check the useful life, expected net salvage value and depreciation method of the fixed assets at the end of the year at
least, if there is any change, it shall be regarded as a change of the accounting estimates.
13. Construction in progress
Construction in process is measured at actual cost. Actual cost comprises construction costs, borrowing costs that are eligible for
capitalization before the fixed assets being ready for their intended us and other relevant costs. Construction in process is transferred
to fixed assets when the assets are ready for their intended use.
As for impairment test and withdrawal method of impairment provision, please refer to Note IV, 17 ―Impairment of Non-current and
Not-financial Assets‖.
14. Borrowing costs
The borrowing costs shall include interest on borrowings, amortization of discounts or premiums on borrowings, ancillary expenses,
and exchange balance on foreign currency borrowings. Where the borrowing costs incurred to an enterprise can be directly
distributable to the acquisition and construction or production of assets eligible for capitalization, it shall start to be capitalized when
the asset disbursements have already incurred, the borrowing costs has already incurred and the acquisition and construction or
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production activities which are necessary to prepare the asset for its intended use or sale have already started; When the qualified
asset under acquisition and construction or production is ready for the intended use or sale, it shall stop to be capitalized. Other
borrowing costs shall be recognized as costs upon their occurrence.
The to-be-capitalized amount of interests shall be determined in light of the actual interests incurred of the specially borrowed loan at
the present period minus the income of interests earned on the unused borrowing loans as a deposit in the bank or as a temporary
investment; the enterprise shall calculate and determine the to-be-capitalized amount on the general borrowing by multiplying the
weighted average asset disbursement of the part of the accumulative asset disbursements minus the general borrowing by the
capitalization rate of the general borrowing used. The capitalization rate shall be calculated and determined in light of the weighted
average interest rate of the general borrowing.
During the period of capitalization, the exchange balance on foreign currency special borrowings shall be capitalized; the exchange
balance on foreign currency general borrowings shall be recorded into current profits and losses.
The term ―assets eligible for capitalization‖ refers to the fixed assets, investment real estate, inventories and other assets, of which the
acquisition and construction or production may take quite a long time to get ready for its intended use or for sale.
Where the acquisition and construction or production of a qualified asset is interrupted abnormally and the interruption period lasts
for more than 3 months, the capitalization of the borrowing costs shall be suspended.
15. Intangible assets
(1) Intangible assets
The term "intangible asset" refers to the identifiable non-monetary assets possessed or controlled by enterprises which have no
physical shape.
The intangible assets shall be initially measured according to its cost. The costs related with the intangible assets, if the economic
benefits related to intangible assets are likely to flow into the enterprise and the cost of intangible assets can be measured reliably,
shall be recorded into the costs of intangible assets; otherwise, it shall be recorded into current profits and losses upon the occurrence.
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The use right of land gained is usually measured as intangible assets. For the self-developed and constructed factories and other
constructions, the related expenditures on use right of land and construction costs shall be respectively measured as intangible assets
and fixed assets. For the purchased houses and buildings, the related payment shall be distributed into the payment for use right of
land and the payment for buildings, if it is difficult to be distributed, the whole payment shall be treated as fixed assets.
As for limited intangible assets from the date available, the Company uses method of line to averagely amortize amounts of original
deducting estimated net residual value and accumulating amounts with provision for impairment within estimated usage life.
Intangible assets with indefinite life shall not be amortized.
At the end of period, the Group shall check the service life and amortization method of intangible assets with finite service life, if
there is any change, it shall be regarded as a change of the accounting estimates. Besides, the Group shall check the service life of
intangible assets without certain service life, if there is any evidence showing that the period of intangible assets to bring the
economic benefits to the enterprise can be prospected, it shall be estimated the service life and amortized in accordance with the
amortization policies for intangible assets with finite service life. After checking the service life and amortization method of
intangible assets with finite service life, the service life and amortization method of intangible assets at the period-end is same with
the previous estimation.
(2) Expenditures of R&D project
Expenditures of R&D project of the Group includes expenditures in the research and stage expenditures in the development stage
Expenditures for research and development shall be recorded into current profits and losses upon the occurrence.
The development expenditures for its internal research and development projects of an enterprise may be confirmed as intangible
assets when they satisfy the following conditions simultaneously, otherwise，it shall be recorded into current profits and losses.
① It is feasible technically to finish intangible assets for use or sale;
② It is intended to finish and use or sell the intangible assets;
③ The usefulness of methods for intangible assets to generate economic benefits shall be proved, including being able to prove that
there is a potential market for the products manufactured by applying the intangible assets or there is a potential market for the
intangible assets itself or the intangible assets will be used internally;
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④ It is able to finish the development of the intangible assets, and able to use or sell the intangible assets, with the support of
sufficient technologies, financial resources and other resources;
⑤ The development expenditures of the intangible assets can be reliably measured.
If the expenditures for research and expenditures for development can not be distinguished from each other, all the expenditures for
research and development shall be recorded into current profits and losses.
(3) Impairment test and withdrawal method of provision for impairment of intangible assets
As for impairment test and withdrawal method of impairment provision of intangible assets, please refer to Note IV, 17 ―Impairment
of Non-current and Not-financial Assets‖.
16. Long-term deferred expenses
Long-term deferred expenses refer to general expenses with the apportioned period over one year (one year excluded) that have
occurred but distributable to the current and future periods. Long-term deferred expense shall be amortized averagely within benefit
period.
17. Impairment of non-current and non-financial assets
As for non-current and non-financial assets relating to fixed assets, progress in construction, intangible assets with limited life,
investment properties measured by cost modeling and long-term equity investments to subsidiaries, joint ventures and corporative
enterprises, the Group judges impairment on the balance sheet date. If there is any sign indicating impairment, the Company shall
estimate its recoverable amounts and make impairment test. As for intangible assets with uncertain goodwill, life and not
available-for-sale, the Company shall make impairment test every year not matter whether there is sign of impairment or not.
If the result of the impairment test indicates that the recoverable amount of the asset is less than its book value, a provision for
impairment and an impairment loss are recognized for the amount by which the asset‘s book value exceeds its recoverable amount.
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The recoverable amount is the higher of an asset‘s fair value less costs to sell and the present value of the future cash flows expected
to be derived from the asset. The fair value of an asset shall be determined in light of the basis of the price as stipulated in the sales
agreement. Where there is no sales agreement but there is an active market of assets, the fair value of the asset shall be determined
according to the price bidden by the buyer of the asset; Where there is no sales agreement and no active market of assets, the fair
value of an asset shall be estimated in light of the best information available. The disposal expenses shall include the relevant legal
expenses, relevant taxes, trucking charge as well as the direct expenses for bringing the assets into a marketable state. The current
value of the expected future cash flow of an asset shall be determined by the discounted cash with an appropriate discount rate, on the
basis of the expected future cash flow generated during the continuous use or final disposal of an asset. A provision for asset
Impairment is determined and recognized on an individual asset basis. If it is not possible to estimate the recoverable amount of an
individual asset, the recoverable amount of the group of assets to which the asset belongs is determined. A group of assets is the
smallest group of assets that is able to generate independent cash inflows.
For the goodwill separately listed in the financial statements, during the impairment test, the book value of this goodwill is allocated
to the related asset group or groups of asset group which is expected to benefit from the synergies of the business combination. If the
result of the test indicates that the recoverable amount of an asset group or groups of asset group including the goodwill allocated is
lower than its book value, the corresponding impairment loss is recognized. The impairment loss is first deducted from the book
value of goodwill allocated to the asset group or groups of asset group, and then deducted from the book value of the remaining
assets of the asset group or groups of asset group pro rata with goodwill.
Once the asset impairment loss mentioned above is recognized, it is not allowed to be reversed even if the value is recovered in the
subsequent periods.
18. Estimated liabilities
When those meet with the following conditions at the same time with the obligation which related to the contingent evens, would
recognized as estimated liabilities: (1) The obligation is the current obligation undertaken by the Company; (2) Fulfill the obligation
may cause the outflow of the economic interest; (3) The amount of the obligation could be calculated reliably.
On the balance sheet date, should calculate the estimated liabilities by the best assessment which needed to expend according to the
fulfillment of the relevant current obligation, with the consideration of the factors such as the risk related to the events, the
uncertainty as well as the time value of money and so on.
If all of or parts of the expenditures which required to settle the estimated liabilities are estimated to be compensated by third party
and the compensated amount is reasonably certain to receive, should recognized individually as the assets, and the compensated
amount should not exceed the book value of the estimated liabilities.
19. Revenues
(1) Commodity sales revenues
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No revenue from selling goods may be recognized unless the following conditions are met simultaneously: the significant risks and
rewards of ownership of the goods have been transferred to the buyer by the enterprise; the enterprise retains neither continuous
management right that usually keeps relation with the ownership nor effective control over the sold goods; the relevant amount of
revenue can be measured in a reliable way; the relevant economic benefits may flow into the enterprise; and the relevant costs
incurred or to be incurred can be measured in a reliable way.
In the Company‘s daily accounting practices, as for the domestic sales, when the products had shipped out of the library and had
handed over to the buyers, and the major risk as well as the reward on the ownership of the products had transferred to them, without
keeping any continued management right which commonly related to the ownership nor carrying out any effective control of the
products which had been sold, and at the same time the amounts received could be calculated reliably, and the relevant economic
interest may flow into the enterprise, as well as the relevant costs which had occurred or is going to occur could be calculated reliably,
should recognize the implementation of the commodity sales revenues. As for the overseas sales, should recognize the
implementation of the revenues when the goods had made shipment and gained the customs export declaration.
(2) Revenues from providing labor services
If an enterprise can reliably estimate the outcome of a transaction concerning the labor services it provides, it shall recognize the
revenue from providing services employing the percentage-of-completion method on the balance sheet date. The
percentage-of-completion is determined by the proportion of the costs incurred against the estimated total costs.
The outcome of a transaction concerning the providing of labor services can be measured in a reliable way, means that the following
conditions shall be met simultaneously: ① The amount of revenue can be measured in a reliable way; ② The relevant economic
benefits are likely to flow into the enterprise; ③ The schedule of completion under the transaction can be confirmed in a reliable way;
④ The costs incurred or to be incurred in the transaction can be measured in a reliable way.
If the Company can not measure the result of a transaction concerning the providing of labor services in a reliable way, it shall be
conducted in accordance with the following circumstances, respectively: If the cost of labor services incurred is expected to be
compensated, the compensation amount for the cost of labor services shall be recognized as the revenue from providing labor service,
and the cost of labor service incurred shall be as the current cost; if the cost of labor services incurred is not expected to compensate,
no revenue from the providing of labor services may be recognized.
Where a contract or agreement signed between Group and other enterprises concerns selling goods and providing of labor services, if
the part of sale of goods and the part of providing labor services can be distinguished from each other and can be measured
respectively, the part of sale of goods and the part of providing labor services shall be treated respectively. If the part of selling goods
and the part of providing labor services can not be distinguished from each other, or if the part of sale of goods and the part of
providing labor services can be distinguished from each other but can not be measured respectively, both parts shall be conducted as
selling goods.
(3) Royalty revenue
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In accordance with relevant contract or agreement, the amount of royalty revenue should be recognized as revenue on accrual basis.
In the Company‘s daily accounting practices, it should be calculated and recognized according to the chargeable time and methods in
accordance with the relevant contract or agreement.
(4) Interest revenue
In accordance with the time that others use the Group‘s monetary capital and the actual rate.
20. Government subsidies
A government subsidy means the monetary or non-monetary assets obtained free by the Group from the government, but excluding
the capital invested by the government as the owner of the enterprise. Government subsidies consist of the government subsidies
pertinent to assets and government subsidies pertinent to income.
If a government subsidy is a monetary asset, it shall be measured in the light of the received or receivable amount. If a government
subsidy is a non-monetary asset, it shall be measured at its fair value. If its fair value cannot be obtained in a reliable way, it shall be
measured at its nominal amount. The government subsidies measured at their nominal amounts shall be directly included in the
current profits and losses.
The government subsidies pertinent to assets shall be recognized as deferred income, equally distributed within the useful lives of the
relevant assets, and included in the current profits and losses. The government subsidies pertinent to incomes shall be treated
respectively in accordance with the circumstances as follows: those subsidies used for compensating the related future expenses or
losses of the enterprise shall be recognized as deferred income and shall included in the current profits and losses during the period
when the relevant expenses are recognized; or those subsidies used for compensating the related expenses or losses incurred to the
enterprise shall be directly included in the current profits and losses.
Where it is necessary to refund any government subsidy which has been recognized, it shall be treated respectively in accordance
with the circumstances as follows: if there is the deferred income concerned, the book balance of the deferred income shall be offset
against, but the excessive part shall be included in the current profits and losses; or if there is no deferred income concerned to the
government subsidy, it shall be directly included in the current profits and losses.
21. Deferred income tax assets/ deferred income tax liabilities
(1) Current income tax
The balance sheet date, as for the current income tax liabilities (or assets) formed in the current and the previous period, should be
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calculated by the amount of the estimated payable (or returnable) income tax according to the expected period measured by the
rules of tax law. When calculating the current income tax expenses, the result of the taxes payable revenues, which the former in
accordance with, was gained from the calculating after the corresponding adjustment of the pre-tax accounting profits in the current
year according to the relevant rules of the tax law.
(2) Deferred income tax assets and deferred income tax liabilities
The balance between the book value of deferred tax assets and deferred tax liabilities and its taxable amount, as well as the temporary
difference between the book value of those unrecognized as assets and liabilities but with clear taxable amount and the taxable
amount should adopt law of liabilities for balance sheet to recognize deferred income tax assets and deferred income tax liabilities.
Recognition of assets or liabilities due to a transaction other than a business combination, which affects neither accounting profit nor
taxable profit (or deductible loss). Besides, no deferred tax assets is recognized for the taxable temporary differences related to the
investments of subsidiary companies, associated enterprises and joint enterprises, and the investing enterprise can control the time of
the reverse of temporary differences as well as the temporary differences are unlikely to be reversed in the excepted future.
Otherwise, the Group should recognize the deferred income tax liabilities arising form other taxable temporary difference.
No deferred taxable assets should be recognized for the deductible temporary difference of initial recognition of assets and liabilities
arising from the transaction which is not business combination, the accounting profits will not be affected, nor will the taxable
amount or deductible loss be affected at the time of transaction. Besides, no deferred taxable assets should be recognized for the
deductible temporary difference related to the investments of the subsidiary companies, associated enterprises and joint enterprises,
which are not likely to be reversed in the expected future or is not likely to acquire any amount of taxable income tax that may be
used for making up such deductible temporary differences. Otherwise, the Company shall recognize the deferred income tax assets
arising from a deductible temporary difference basing on the extent of the amount of the taxable income that is likely to be acquired
to make up such deductible temporary differences
For any deductible loss or tax deduction that can be carried forward to the next year, the corresponding deferred income tax asset
shall be determined to the extent that the amount of future taxable income to be offset by the deductible loss or tax deduction to be
likely obtained.
On the balance sheet date, the deferred income assets and deferred income tax liabilities shall be measured at the tax rate applicable
to the period during which the assets are expected to be recovered or the liabilities are expected to be settled.
The book value of deferred income tax assets shall be reviewed at each balance sheet date. If it is unlikely to obtain sufficient taxable
income to offset against the benefit of the deferred income tax asset, the book value of the deferred income tax assets shall be written
down. Any such write-down should be subsequently reversed where it becomes probable that sufficient taxable income will be
available.
(3) Income tax expenses
Income tax expenses include current income taxes and deferred income taxes.
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In addition to the current income taxes and deferred income taxes which are calculated into the other comprehensive income or the
owners‘ equity and related to the trades and matters calculated into the other comprehensive income or the owners‘ equity as well as
the book value of the adjusted goodwill of the deferred income taxes generated from the business merge, the rest of the current
income taxes and deferred income taxes should be calculated into the current gains and losses.
(4) Offset of income tax
When the Group, which has the legal right of settlement through netting, intends to settle through netting or obtain the assets, satisfy
the liabilities, the current income tax assets and the current income tax liabilities should be presented by the net amounts after the
offset.
When the Group has the legal right to settle the current income tax assets and current income tax liabilities through netting and the
deferred income tax assets and deferred income tax liabilities are related to the income taxes of the same taxpaying bodies collected
by the same tax collection department or the different taxpaying bodies, but during the significant period of the reversal of the
deferred income tax assets and liabilities in the future the relevant taxpaying bodies intend to settle the current income tax assets and
liabilities or obtain the assets, repay the liabilities at the same time, the deferred income tax assets and deferred income tax liabilities
of the Group should be presented by the net amounts after offset.
22. Lease
Financial lease is the lease which had actually transferred all the risks of the ownership and the reward related to the asset, and its
ownership may transfer ultimately or may not transfer. Except for the financial lease, the other lease was the operating lease.
(1) The Group records the operating lease as the leasee
The rental payment from operating leases shall be recorded by the lessee in the relevant asset costs or the profits and losses of the
current period by using the straight-line method over each period of the lease term. The initial direct costs incurred by a lessee shall
be recognized as the profits and losses of the current period. The contingent rents shall be recorded into the profits and losses of the
current period in which they actually arise.
(2) The Group records operating leases as the lessor
The rents from operating leases shall be recorded in the profits and losses of the current period by using the straight-line method over
each period of the lease term. An initial direct cost of a large amount shall be capitalized when it is incurred and shall be recorded in
the profits and losses of the current period over the lease term on installment on the same basis adopted when recognizing the lease
income; an initial direct cost of a small amount shall be recorded in the profits and losses of the current period when it is incurred.
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Contingent rents shall be recorded in the profits and losses of the current period in which they are actually incurred.
(3) The Group records finance leases as the lessee
On the lease beginning date, the Group shall record the lower one of the fair value of the leased asset and the present value of the
minimum lease payments on the lease beginning date as the entering value in an account, recognize the amount of the minimum lease
payments as the entering value in an account of long-term account payable, and treat the balance between the recorded amount of the
leased asset and the long-term account payable as unrecognized financing charges. The initial direct costs attributable to the leased
item incurred during the process of lease negotiating and signing the leasing agreement shall be recorded in the value of the leased-in
asset. The balances of the minimum lease payments after deducting the unrecognized financing charges shall be presented in the
long-term liabilities and the long-term liabilities due within 1 year respectively.
As for the unrecognized financing charges, the effective interest rate method shall be adopted over the lease term when calculating
and recognizing the financing charge in the current period. Contingent rents shall be recorded in the profits and losses of the current
period in which they are actually incurred.
(4) The Group records finance leases as the lessor
On the lease beginning date, the Group shall recognize the sum of the minimum lease receipts on the lease beginning date and the
initial direct costs as the entering value in an account of the financing lease values receivable, and record the unguaranteed residual
value at the same time. The balance between the sums of the minimum lease receipts, the initial direct costs and the unguaranteed
residual value, and the sum of their present values shall be recognized as unrealized financing income. The balances of the financing
lease values receivable after deducting the unrealized financing income shall be presented in the long-term credits and the long-term
credits due within 1 year respectively.
As for the unrealized financing income, the effective interest rate method shall be adopted over the lease term when calculating and
recognizing the financing income in the current period. Contingent rents shall be recorded in the profits and losses of the current
period in which they are actually incurred.
23. Assets held for sale
Where the Group has made a decision on disposing a non-current asset, entered into an irreversible transfer agreement with the
transferee and the transfer is likely to be completed within one year, the non-current asset is measured as a non-current asset held for
sale. It shall not be depreciated or amortized. It shall be measured at the lower one of the net amounts of the book value and the fair
value after deducting the disposal expense. Non-current assets held for sale include single-item assets and disposal groups. Where a
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disposal group is an asset group and the goodwill obtained in the business combination is apportioned to the asset group according to
the ―Accounting Standard No. 8 for Business Enterprises—Asset Impairment‖, or a disposal group is an operation in such an asset
group, the disposal group shall include the goodwill in the business combination.
An asset or an disposal group was classified as held for sale before, but if it couldn‘t meet the recognition conditions for held-for-sale
non-current asset later, the Company shall cease to classify it as held for sale, and measure it by the lower amount of the followings:
(1) its carrying amount before the asset (or disposal group) was classified as held for sale, adjusted for any depreciation, amortization
or impairment before the asset (or disposal group) being classified as held for sale; or (2) its recoverable amount on the date of the
subsequent decision not to sell.
24. Payroll payable
During the accounting period of an employee' providing services to the Group, the Group shall recognize the payroll payable as
liabilities.
As required, the Group takes part in the employee social security system set up by the government, including basic endowment
insurance, medical insurance, housing accumulation funds and other social security systems. The relevant expenses shall be recorded
in the relevant asset costs or the profits and losses of the current period when they are actually incurred.
Where the Group cancels the labor relationship with any employee prior to the expiration of the relevant labor contract or brings
forward any compensation proposal for the purpose of encouraging the employee to accept a layoff, if the Group has formulated a
formal plan on the cancellation of labor relationship or has brought forward a proposal on voluntary layoff and will execute it soon,
and at the same time the Group is unable to unilaterally withdraw the plan on the cancellation of labor relationship or the layoff
proposal, the Group shall recognize the expected liabilities incurred due to the compensation for the cancellation of the labor
relationship with the employee, and shall simultaneously record them into the profit or loss for the current period.
Any employee early retirement plan shall be treated according to the aforesaid layoff compensation principle. The Group will record
the salaries, social insurance fares and so on to be paid to and for the employee to retire early from the date when the employee
ceases to provide labor service to the original retirement date in the profits and losses of the current period (layoff compensation)
when the recognition conditions of the expected liabilities are met.
25. Changes in main accounting policies and estimates
(1) Change of accounting policies
Naught
(2) Change of accounting estimates
Naught
26. Correction of previous accounting errors
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Naught
27. Major accounting judgments and estimates
During the process of the use of accounting policies, the group needs to judge, estimate and suppose the book value of the report
items unable to be calculated exactly due to the internal uncertainty of the business activities. And these kinds of judgment, estimate
and supposal are based on the historical experience of the past management of the group combining with the other related factors.
These kinds of judgment, estimate and supposal will affect the reported amount of the income, cost, capital and debt as well as the
disclosure of the contingent liabilities in the balance sheet date. However, the result caused by the uncertainty of the estimate will
probably give rise to the significant adjustment of the book value of the asset or debt affected consequently.
The group re-checks the judgment, estimate and supposal mentioned above in regular intervals based on the going concern. The
change estimated by the accountant will merely have an impact on the period of the change and the influence number will be
confirmed in the period of the change; if the change influences no only the period of the change but future, the influence number will
be conformed in the period of the change and the future.
In the balance sheet date, the fields in which the group should judge, estimate and suppose the amount of money of the financial
report items as follows:
(1) The Category of Lease
According to Accounting Standards for Business Enterprises No.21——lease the group divides the lease into operating lease and
financial lease. During the process of classifying the lease, the management layer should analyze and estimate whether all the risk
and remuneration related to the lease-out assets have been substantially transferred to the tenants or whether the group has
substantially undertaken all the risk and remuneration related to rental assets.
(2) Provision for Bad Debt
According to the accounting policies of receivables, the group calculates the bad debt losses through the allowance method.
Receivables impairment is based on the estimate of the return-ability of the receivables. The identification of the receivables
impairment requires the judgment and estimate of the management layer. The difference between the actual result and the former
estimate will affected the book value and the bad-debt provision or reversal of the receivables.
(3) Inventory Falling Price Reserves
According to the accounting policies of inventory, for the inventories which the cost is more than the net realizable value or the old
and unsalable inventory, the inventory falling price reserves shall be made. The decrease of the value of the inventories to the net
realizable value is based on the estimate of the salability and the net realizable value of the inventories. The identification of the
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inventory impairment requires the management layer to judge and estimate based on the exact evidence, the consideration about the
purpose for holding the inventories and the effect of the matters after the balance sheet date and other factors. The difference between
the actual result and the former estimate will affected the book value and the inventory falling price provision or reversal.
(4) Financial Instruments Fair Value
For the financial instruments not existing in the active trading market, the group uses many kinds of valuation methods to confirm the
fair value. These kinds of methods include the Discounted Cash Flow Model of FCFE and others. During the period of the valuation
the group needs to estimate the future cash flow, credit risks, market volatility and the correlation and other aspects as well as choose
appropriate discount rate. The related supposals have uncertainty so that the change will influence the fair value of the financial
instatement.
(5) Held-to-maturity investments
The Group classifies non-derivative financial assets with fixed or determinable payments and fixed maturity dates that it has the clear
intention and ability to hold to maturity as held-to-maturity investments. Such classification involves a great deal of judgment. In the
process of judging, the Group will assess its intention and ability to hold these investments to the maturity dates. Except for
specificed cases such as the case where an insignificant investment is sold when the maturity date is close, where the Group fails to
hold an investment to the maturity date, it shall reclassify the investment to available-for-sale financial assests and shall not classify
the financial asset as a held-to-maturity investment in the current accounting year and the subsequent two complete accounting years.
If such a case arises, great influence may be incurred on the value of the relevant financial asset presented in the financial statements
and the financial instrument risk management strategy of the Group may be also influenced.
(6) Impairment of held-to-maturity investments
The Group depends largely on the judgment of its management to determine the impairment of a held-to-maturity investment. The
objective evidences that can prove the impairment include the situation where the financial asset can no longer continue to be traded
in the active market due to serious financial difficulties of the issuer, the inability to execute the contract terms (for instance, contract
violation in interest or principal payment), etc. In the process of judging, the Group shall assess the influence of the objective
evidences that prove impairment on the expected future cash flows of the investment.
(7) Impairment of available-for-sale financial assets
The Group depends largely on the judgment and assumption of its management to determine the impairment of an available-for-sale
financial asset and whether the impairment loss shall be recognized in the income statement. In the process of judging and assuming,
the Group shall assess the amount and the duration of the fair value of the investment lower than the cost and the financial position
and short-term business outlook of the investee, including the industry situation, technological reform, credit rating, contract
violation rate and the counterparty risk.
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(8) Non-financial and Non-current assets impairment provision
On the balance sheet date, in addition to the financial assets, the Group judges whether there are any signs to show the possibility of
the non-current assets impairment. For the intangible assets with uncertain lifetime, in addition to the annual impairment tests, they
will also be tested for impairment when there are any impairment signs. The other non-current assets except financial assets will be
tested for impairment when there are any signs to prove that the book value can not be recovered.
When the book value of the assets or the asset group is more than the recoverable amount which means the higher of the net amount
of the fair value deducting the disposal expenses and the predicted future cash flow, which means the impairment, has happened.
The net amount of the fair value deducting the disposal expense is confirmed by deducting the incremental cost which can directly
belong to the asset disposal in the reference with the sales negotiated price of the similar assets and the observable market price in the
fair dealing.
When the group predicts the present value of future cash flow it should make the significant judgment about the output of assets (or
asset group), selling price, related operating cost and discount rate when calculating the present value. When the group estimates the
recoverable amount it will use all the available related material including the prediction of the output, selling price and operating cost
according to the reasonable and supportable suppose.
The group tests whether there is any goodwill impairment at least annually. The test requires the group to estimate the present value
of future cash flow of the asset group or the combination of asset groups has been distributed the goodwill to. When the group
estimates the present value of future cash flow it should estimate the cash flow caused by the future assets group or the combination
of asset groups and choose the proper discount rate to confirm the present value of future cash flow.
(9) Depreciation and Amortization
After the consideration about the scrap value by the group the investment property, fixed assets and intangible assets can be said to
require depreciation and amortization in their lifetime through the method of line. The group will re-check the lifetime at regular
intervals in order to deciding the amount which will be included into the cost of depreciation and amortization. The identification of
lifetime is decided based on the historic experience of the similar assets combining with the expectant technology update. If the
previous estimate has a great change, the cost of depreciation and amortization will be adjusted in the future period.
(10) Development Expenditure
When the group confirms the sum of the capitalization the management should make the supposal of the anticipated future cash flow,
the proper discount rate and supposal in the anticipated period of benefit.
(11) Deferred Income Tax Assets
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
In the limitation that there is enough taxable profit to deduct the loss in all probability, the group confirms the deferred income tax
assets based on all the dormant tax losses. It requires the management layer of the group to estimate the sum and the time of
occurrence of the future taxable profit through a lot of judgment combining with the tax planning strategy and confirm the sum of
deferred income tax assets.
(12) Income Tax
There exists some uncertainty in the final tax treatment and calculation of the part of trade in the normal business activities of the
group. The permission of the pre-tax deduction of Part of projects should be examined and approved by the tax authorities. If the
final result of these tax transactions is different from the sum of the initial estimate, the difference will influence the current income
tax and the deferred income tax in the final confirmation period.
(13) Estimated liabilities
According to the contractual terms, the existing knowledge and historical experiences, the Group estimates product quality
guarantees, contractual losses, liquidated damages for late delivery, etc. and make relevant provisions. Where a contigent event has
given rise to a a current obligation and it is likely to cause any economic benefit to flow out of the Group as a result of performance
of the current obligation, the Group recognizes the best estimate of the necessary expenses for the performance of the current
obligation as an estimated liability. The recognition and measurement of an estimated liability depend largely on the judgment of the
management. In the process of judging, the Group shall assess the risks, uncertainties, time value of money and othe factors pertinent
to the contingent event.
Of which, the Company estimated liabilities according to the sales of goods, modifying and repairing the commodities sold and
services provided for clients. The estimated liabilities had considered the data of repair; however, the recent repairing data may not
reflect the future condition. Any increase or decrease of provision may influence the future annual profit or loss.
(V) Taxation
1. Main taxes and tax rate
Category of taxes Particulars about specific tax rate
Income tax was in accordance with 17% of tax rate to calculate output tax, and
VAT according to the balance of the current the deductibility deduct the input tax to
calculate value added tax.
Sales of wine per 1000 ml or per kg 1 Yuan to calculate the amount of
Consumption tax consumption tax, a flat rate, 20% of the annual turnover to calculate the amount
of consumption tax at valorem.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Category of taxes Particulars about specific tax rate
Business Tax 5% of turnover tax payable.
Urban maintenance and construction
1,5,7% of the actual taxable turnover amount.
tax
Education expenses surcharge 3% of the actual taxable turnover amount.
Local education surcharge 2% of the actual taxable turnover amount.
Enterprise income tax 25% of the actual taxable turnover amount.
The business income of the Group engaging in the advertising calculated and paid business tax according to 5% tax rate before.
According to some relevant provisions of the Announcement of about the Transportation Industry and Part of the Modern Service
Industry in Shanghai‘s Business Tax Change to VAT Pilot from the Ministry of Finance, State Administration of Taxation (Fiscalit
NO. [2011]111); Shanghai Hongbang Culture Communication Co., Ltd, the subsidiary of the Group in shanghai, since established,
paid VAT for its engaging in the advertising at 6% tax rate. According to some relevant provisions of the Announcement of about the
Transportation Industry and Part of the Modern Service Industry in Beijing‘s Business Tax Change to VAT Pilot from the Ministry of
Finance, State Administration of Taxation (Fiscalit NO. [2012]71), the sub-subsidiary of the company in Anhui province, mainly
engaging in the advertising, Anhui Jinyunlai Culture & Media Co.,Ltd. s business income since 1st Sep. 2012 change to paid VAT at
6% tax rate.
(VI) Business combination and consolidated financial statements
1. Subsidiaries
(1) Subsidiaries obtained by establishment and investment
Unit: RMB Ten thousand Yuan
Registered Business Registered types of Legal Organization
Subsidiaries Type Business scope
place nature capital companies representative code
Wholesales of
Bozhou Gujing distilled spirit,
Limited
Sales Co., Ltd construction
8,486.00 liability Liang Jinhui 151944818
(hereinafter materials, feeds
company
refer to as Limited Bozhou, Business and assistant
Gujing Sales) company Anhui trading materials
Bozhou Gujing
Transportation
Co., Ltd Transportation, Limited
(hereinafter Bozhou,Anhui Transportation 695.00 sales and repair liability Bai Yun 151940067
refer to as service company
―Gujing Limited
Transportation‖) company
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Registered Business Registered types of Legal Organization
Subsidiaries Type Business scope
place nature capital companies representative code
Bozhou Gujing
Glass Co., Ltd Manufacture Limited
(hereinafter Bozhou,Anhui Manufacture 8,666.03 and sale of liability Qian Zhenhai 151946047
refer to as Limited glass products company
―Gujing Glass‖) company
Bozhou Gujing
Waste
Collect and sale
Reclamation
of recycled Limited
Co., Ltd
Bozhou,Anhui Waste cycled 100.00 glass bottle, liability Qian Zhenhai 151946522
(hereinafter
glass, company
refer to as
wastebasket
―Gujing Limited
Waste‖) company
Design,
publish, design
Anhui Jinyunlai and proxy of
Culture & ads in China;
Limited
Media Co.,Ltd. ceremony
Hefei, Anhui Ads marketing 200.00 liability Yan Lijun 562165325
(hereinafter service for
company
refer to as conferences as
―Jinyunlai‖) well as sales of
Limited gifts in arts and
company crafts
Administrative
licence items：
Naught;
General
Bozhou Gujing operating
Packing Co., items:
Limited
Ltd. (hereinafter Limited Productiomand providing
Anhui Bozhou 3,000.00 liability Huai Huiying 58886276X
refer to as company manufacture packings for
company
―Bozhou Gujing Brand,
Packing‖) serials wine,
fruit and
vegetable wine,
health wine of
Gujing Brand
Shanghai Subsidiary Design, Limited
Hongbang of wholly Shanghai Advertising 500.00 publish, design liability Yan Lijun 593139218
Culture owned and proxy of company
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Registered Business Registered types of Legal Organization
Subsidiaries Type Business scope
place nature capital companies representative code
Communication subsidiary ads in China;
Co., Ltd. ceremony
(hereinafter service for
refer to as conferences as
―Shanghai well as sales of
Hongbang‖) gifts in arts and
crafts(exception
of special
project) Public
Relations
Planning；
Corporate
image design
and planning(If
there is need
administrative
licensing,
operating based
on the license.)
(Continues)
Actual amount of The proportion The proportion
of holding of voting rights
Subsidiaries investments at the Other essential investment
shares (%) (%)
period-en
Gujing Sales 8,486.00 0.00 100.00 100.00
Gujing
695.00 0.00 100.00 100.00
Transportation
Gujing Glass 8,666.03 0.00 100.00 100.00
Gujing Wast 100.00 0.00 100.00 100.00
Jinyunlai 200.00 0.00 100.00 100.00
Bozhou Packing 3,000.00 0.00 100.00 100.00
Shanghai Hongbang 500.00 0.00 100.00 100.00
(Continues)
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Included in
Minority interest Deductible minority interests
Subsidiaries consolidated Note
statement or not
Gujing Sales Yes 0.00 0.00
Gujing
Yes 0.00 0.00
Transportation
Gujing Glass Yes 0.00 0.00
Gujing Wast Yes 0.00 0.00
Jinyunlai Yes 0.00 0.00
Bozhou Packing Yes 0.00 0.00
Shanghai Hongbang Yes 0.00 0.00
(2) Subsidiaries obtained by business combination under same control
Unit: RMB Ten thousand Yuan
Registered Business Registered types of Legal Organization
Subsidiaries Type Business scope
place nature capital companies representative code
Hotel management
(Except for
catering
Shanghai
management、
Gujing JinBo
Except for hotel
Hotel
operation);
Management Limited
Limited Hotel Self-owned
Co., Ltd. Shanghai 5,400.00 liability Gong Lei 134565998
company management housing rental;
(hereinafter company
establish branch.
refer to as
(If there is need
―Shanghai
administrative
Jinhao‖)
licensing,
operating based on
the license.)
Accommodation
Bozhou Gujing
and parking
Hotel Co.,
services；lunch Limited
Ltd.(hereinafter Limited Bozhou, Hotel
62.80 processing, sales liability Zhao Yufeng 151944834
refer to as company Anhui management
of alcohol and company
―Gujing
tobacco and sales
Hotel‖)
of daily
86
2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Registered Business Registered types of Legal Organization
Subsidiaries Type Business scope
place nature capital companies representative code
commodity
(Continues)
The
The proportion
Actual amount of investments at proportion of
of voting rights
Subsidiaries Other essential investment holding shares
the period-en (%)
(%)
Shanghai Jinhao 4,990.69 0.00 100.00 100.00
Gujing Hotel 64.86 0.00 100.00 100.00
(Continues)
Included in
consolidated
Minority interest Deductible minority interests
Subsidiaries Note
statement or
not
Shanghai Jinhao Yes 0.00 0.00
Gujing Hotel Yes 0.00 0.00
2. Subsidiaries that newly combined into consolidation scope in the reporting period
(1) There was no subsidiary that newly combined into consolidation scope in the reporting period
(VII) Notes on major items in consolidated financial statements of the Company
The following notes (including notes on major items in consolidated financial statements of the Company), unless otherwise noted,
the opening period was 1st Jan. 2013, the closing period was 30 Jun. 2013, last period referred to 1st Jan-30 Jun. 2012, this period
referred to 1st Jan-30 Jun. 2013.
1. Monetary funds
Closing balance Opening balance
Item Amount in Exchange Amount in Exchange
Amount in RMB Amount in RMB
foreign currency rate foreign currency rate
Cash in treasury: 202,044.43 205,736.37
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Closing balance Opening balance
Item Amount in Exchange Amount in Exchange
Amount in RMB Amount in RMB
foreign currency rate foreign currency rate
- RMB — — 202,044.43 — — 205,736.37
Bank deposit: 1,395,010,261.43 2,609,444,615.72
- RMB — — 1,395,010,261.43 — — 2,609,440,918.78
- USD 588.17 6.2855 3,696.94
Total 1,395,212,305.86 2,609,650,352.09
Notes: the pledged deposit of the book value of RMB 200,000,000.00 Yuan in the last period using for bank acceptance draft had
been fully reclaimed expiring the end of the reporting period. Expired on 30 Jun. 2013, the pledged deposit of the book
value of RMB 108,000,000.00 Yuan was used for bank acceptance draft.
2. Notes receivable
(1) Category of notes receivable
Category Closing balance Opening balance
Bank acceptance bill 210,620,845.61 156,449,495.65
Total 210,620,845.61 156,449,495.65
Notes: On 30 Jun. 2013, the pledged notes receivable of the book value of RMB 36,000,000.00Yuan was used for bank acceptance
draft.
(2)The top 5 of the largest amount of notes receivable pledged at period-end
Issuing entity Date of issuance Expiring date Amount Remark
Anhui golden bridge business co., Ltd 2013/3/22 2013/8/22 1,000,000.00
Anhui golden bridge business co., Ltd 2013/4/8 2013/9/8 1,000,000.00
Anhui golden bridge business co., Ltd 2013/4/8 2013/9/8 1,000,000.00
Anhui golden bridge business co., Ltd 2013/4/8 2013/9/8 1,000,000.00
Anhui golden bridge business co., Ltd 2013/4/8 2013/9/8 1,000,000.00
Total 5,000,000.00
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
(3) Notes transferred to accounts receivable because drawer of the notes fails to execute the contract or
agreement, and undue notes endorsed to other parties at the end of the period
(4) Undue notes endorsed to other parties by the Company ( The top 5 of the largest amount)
Recognition
was
Issuance unit Issuance date Expired date Amount Remark
stopped or
not
Guangdong HaiXing Trading Co.,Ltd. 17 Jan. 2013 17 Jul. 2013 2,917,000.00 Yes
Guangdong HaiXing Trading Co.,Ltd. 1 Feb. 2013 1 Aug. 2013 2,028,500.00 Yes
Anqing Guangtong trade co., Ltd 21 May 2013 21 Nov. 2013 2,000,000.00 Yes
Guangdong HaiXing Trading Co.,Ltd. 29 Jan. 2013 29 Jul. 2013 1,839,600.00 Yes
Anhui Graceman International wine co., LTD 4 Feb. 2013 23 Jul. 2013 1,100,000.00 Yes
Total 9,885,100.00
3. Accounts receivable
(1) Accounts receivable listed by categories
Closing balance
Category Book balance Bad debt provision
Amount Proportion (%) Amount Proportion (%)
Accounts receivable with significant
single amount and individually withdrawn 0.00 0.00 0.00 0.00
bad debt provision
Accounts receivable for which bad debt
provisions are made on the group basis
Aging group 15,816,443.69 100 840,840.19 5.32
Subtotal of the groups 15,816,443.69 100 840,840.19 5.32
Accounts receivable with insignificant
single amount and individually withdrawn 0.00 0.00 0.00 0.00
bad debt provision
Total 15,816,443.69 100 840,840.19 5.32
(Continues)
Category Opening balance
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Book balance Bad debt provision
Amount Proportion (%) Amount Proportion (%)
Accounts receivable with significant
single amount and individually withdrawn 0.00 0.00 0.00 0.00
bad debt provision
Accounts receivable for which bad debt
provisions are made on the group basis
Aging group 8,727,847.44 100.00 840,840.19 9.63
Subtotal of the groups 8,727,847.44 100.00 840,840.19 9.63
Accounts receivable with insignificant
single amount and individually withdrawn 0.00 0.00 0.00 0.00
bad debt provision
Total 8,727,847.44 100.00 840,840.19 9.63
(2) Accounts receivable adopting aging analysis method to withdraw bad debt provision:
Closing balance Opening balance
Item
Amount Proportion (%) Amount Proportion (%)
Within 1 year 13,786,016.79 87.16 6,983,110.97 80.01
Including: within 6 months 11,577,317.02 73.20 6,194,326.53 70.97
7 months to 1 year 2,208,699.77 13.96 788,784.44 9.04
1 year to 2 years 1,565,008.59 9.89 1,066,990.07 12.23
2 years to 3 years 14,574.28 0.09 89,975.40 1.03
Over 3 years 450,844.03 2.86 587,771.00 6.73
Total 15,816,443.69 100.00 8,727,847.44 100.00
(3) Particulars about withdrawal of bad debt provision
Accounts receivable adopting Aging combination to withdraw bad debt provision:
Closing balance Opening balance
Aging Book balance Provision for Book balance Provision for
Amount Proportion bad debts Amount Proportion bad debts
Within 1 year 13,786,016.79 87.16 226,208.16 6,983,110.97 80.01 101,382.49
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Including: within 6
11,577,317.02 73.20 115,773.18 6,194,326.53 70.97
months 61,943.27
7-12 months 2,208,699.77 13.96 110,434.98 788,784.44 9.04 39,439.22
1 year to 2 years 1,565,008.59 9.89 156,500.86 1,066,990.07 12.23 106,699.00
2 years to 3 years 14,574.28 0.09 7,287.14 89,975.40 1.03 44,987.70
More than 3 years 450,844.03 2.86 450,844.03 587,771.00 6.73 587,771.00
Total 15,816,443.69 100.00 840,840.19 8,727,847.44 100.00 840,840.19
(4) There was not any account receivable reversed or collected in the reporting period
(5) There was not any write-off account receivable
(6) There was not any account receivable due to shareholders holding 5% (including 5%) voting rights of
the Company
(7) The amounts due from related parties
The relationship Proportion of the total
Name of entity Amount Year
with the Company
（%）
Non-related
Dealer A 1,544,998.15 Within 1 year
9.77
relationship
Non-related
Dealer B 1,497,959.60 Within 6 months
9.47
relationship
Non-related
Dealer C 807,106.92 Within 6 months
5.10
relationship
Non-related
Dealer D 498,170.87 Within 6 months
3.15
relationship
Non-related
Dealer E 486,494.01 Within 6 months
3.08
relationship
Total 4,834,729.55
30.57
(8) There was noy any amount due from related parties
4. Prepayment
(1) List by aging analysis:
Closing balance Opening balance
Aging
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Amount Proportion (%) Amount Proportion (%)
Within 1 year 78,081,000.21 99.87 85,184,699.47 99.86
1 year to 2 years 101,222.27 0.13 121,274.00 0.14
Total 78,182,222.48 100.00 85,305,973.47 100.00
(2) Information of the top 5 prepayment
Relationship with
Name of entity Amount Aging Reason for unsettled
the Company
Beijing Zhicheng Advertising co., Non-related Advance for
12,179,246.44
Ltd relationship Within 1 year advertising expense
Non-related Advance for
6,000,000.00
AHTV relationship Within 1 year advertising expense
Beijing Jinqiao Jiaren Media TV Non-related Advance for
5,701,415.12
Ads Co., Ltd. relationship Within 1 year advertising expense
Non-related Advance for
5,549,056.60
HNTV relationship Within 1 year advertising expense
Non-related Advance for
5,031,672.31
CCTV relationship Within 1 year advertising expense
Total 34,461,390.47
(3) Information about amount due from shareholders with more than 5% (including 5%) of the voting
shares of the Company in prepayment
5. Interest receivable
(1) Interest receivable
Item Closing balance Opening balance
Certificate of deposit 20,036,811.87 7,253,858.34
Total 20,036,811.87 7,253,858.34
(2) There was not any overdue interest
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
6. Other accounts receivable
(1) Other accounts receivable disclosed by type:
Closing balance
Category Balance Provision for doubtful debts
Amount Proportion (%) Amount Proportion (%)
Other accounts receivable that is
individually significant and provisions for 51,109,940.55 50.90 51,109,940.55 100.00
bad debts individually
Other accounts receivable that provisions
for bad debts by group
Aging group 49,293,889.58 49.10 1,628,573.31 3.30
Subtotal of group 49,293,889.58 49.10 1,628,573.31 3.30
Other accounts receivable that is
individually insignificant but provisions for 0.00 0.00 0.00 0.00
bad debts individually
Total 100,403,830.13 100.00 52,738,513.86 52.53
(Continues)
Opening balance
Category Balance Provision for doubtful debts
Amount Proportion (%) Amount Proportion (%)
Other accounts receivable that is
individually significant and provisions for 51,109,940.55 69.51 51,109,940.55 100.00
bad debts individually
Other accounts receivable that provisions
0.00 0.00 0.00 0.00
for bad debts by group
Aging group 22,424,206.84 30.49 865,059.86 3.86
Subtotal of group 22,424,206.84 30.49 865,059.86 3.86
Other accounts receivable that is
individually insignificant but provisions for 0.00 0.00 0.00 0.00
bad debts individually
Total 73,534,147.39 100.00 51,975,000.41 70.68
(2) Other accounts receivable disclosed by aging
Period-end Period-begin
Aging
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Amount Proportion (%) Amount Proportion (%)
Within 1 year 48,097,620.97 47.90 21,567,003.41 29.33
Including:：within 6
39,660,240.09 39.50 20,250,146.49 27.54
months
7-12 months 8,437,380.88 8.40 1,316,856.92 1.79
1 year to 2 years 280,018.61 0.28 206,998.42 0.28
2 years to 3 years 268,300.00 0.27 148,205.01 0.20
More than 3 years 51,757,890.55 51.55 51,611,940.55 70.19
Total 100,403,830.13 100.00 73,534,147.39 100.00
(3) Withdrawal for bad debt provision
①Other closing accounts receivable that is individually significant and provisions for bad debts individually.
Other account Provision for bad Proportion
receivable Book balance debts (%) Reason
The enterprise entered into
Jianqiao Securities 12,223,000.00 12,223,000.00 100.00 bankruptcy and settlement
procedure
The enterprise entered into
Hengxin Securities 29,502,438.53 29,502,438.53 100.00 bankruptcy and settlement
procedure
The enterprise entered into
Minfa Securities Co.,
9,384,502.02 9,384,502.02 100.00 bankruptcy and settlement
Ltd.
procedure
Total 51,109,940.55 51,109,940.55 100.00
②Other accounts receivable that provision for bad debts by group
Other accounts receivable that provision for bad debts by aging analysis:
Period-end Period-begin
Aging Book balance Provision for Book balance Provision for
Amount Proportion bad debts Amount Proportion bad debts
Within 1 year 48,097,620.97 97.58 818,471.44 21,567,003.41 96.18 268,257.51
Including:：within 6
39,660,240.09 80.46 396,602.40 20,250,146.49 90.31 202,414.67
months
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
7-12 months 8,437,380.88 17.12 421,869.04 1,316,856.92 5.87 65,842.84
1 year to 2 years 280,018.61 0.57 28,001.87 206,998.42 0.92 20,699.84
2 years to 3 years 268,300.00 0.54 134,150.00 148,205.01 0.66 74,102.51
More than 3 years 647,950.00 1.31 647,950.00 502,000.00 2.24 502,000.00
Total 49,293,889.58 100.00 1,628,573.31 22,424,206.84 100.00 865,059.86
(4) There was no other long term accounts receivable recovered withdrawal provision for bad debts of
last period in the reporting period
(5) There was no other accounts receivable written off in the reporting period
(6) Other accounts receivable is due from shareholders with more than 5% (including 5%) of the
voting shares of the Company
For details see note VIII, 6. The accounts receivable or payable of related party.
(7) Information of the top 5 of other account receivable
Relationship
Proportion of the total
Name of entity with the Amount Year
Company (%)
Non-related
Hengxin Securities 29,502,438.53 Over 3 years 29.38
relationship
Non-related
Jianqiao Securities 12,223,000.00 Over 3 years 12.17
relationship
Non-related
Minfa Securities Co., Ltd. 9,384,502.02 Over 3 years 9.35
relationship
Beijing Zhicheng Advertising co., Non-related Within 6
9,905,000.00 9.87
Ltd relationship months
Non-related Within 6
CCTV 8,487,649.00 8.45
relationship months
Total 69,502,589.55 69.22
7. Inventory
(1) Category
Closing balance
Item
Book balance Impairment of Book value
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
inventories
Raw materials & Wrappage 82,009,533.63 3,692,051.40 78,317,482.23
Homemade semi-finished
products and products in 709,219,909.35 0.00 709,219,909.35
process
Finished products 93,522,656.97 1,161,671.82 92,360,985.15
Total 884,752,099.95 4,853,723.22 879,898,376.73
(Continues)
Opening balance
Item Impairment of
Book balance Book value
inventories
Raw materials & Wrappage 98,182,927.82 3,692,051.40 94,490,876.42
Homemade semi-finished
582,438,096.08 0.00 582,438,096.08
products and products in
process
Finished products 106,632,198.17 1,161,671.82 105,470,526.35
Total 787,253,222.07 4,853,723.22 782,399,498.85
(2) Change in provision for falling price of inventories
decrease
Closing
Item Opening balance Increase Reversal
Write-off amount balance
amount
Raw materials & Wrappage 3,692,051.40 0.00 0.00 0.00 3,692,051.40
Finished products 1,161,671.82 0.00 0.00 0.00 1,161,671.82
Total 4,853,723.22 0.00 0.00 0.00 4,853,723.22
8. Other current assets
Item Closing balance Opening balance
Other current assets 800,000,000.00 0.00
Total 800,000,000.00 0.00
Notes: other current assets held by the Company were one-year floating proceeds bank financial products.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
9. Available-for-sale financial assets
Item Closing fair value Opening fair value
Available-for-sale equity instruments 21,458,764.50 27,991,376.84
Less：provision for impairment 0.00 0.00
Total 21,458,764.50 27,991,376.84
Notes: Available-for-sale equity instruments held by the company was the equity of Lipeng Co., Ltd, its restricted period since 8
Nov. 2012 for 12 months.
10. Investment property
(1) Particulars about details of investment property
Increase in the Decrease in the
Item Opening amount Closing amount
reporting period reporting period
Investment real which adopted follow-u
65,304,784.89 0.00 0.00 65,304,784.89
p measurement through cost mode
Less: Accumulated depreciation or
33,853,515.40 1,391,444.42 0.00 35,244,959.82
amortization of investment property
Less: Depreciation reserves of investment
0.00 0.00 0.00 0.00
property
Net value of investment property 31,451,269.49 0.00 0.00 30,059,825.07
(2) Investment property measured by cost
Increase in the Decrease in the
Item Opening amount Closing amount
reporting period reporting period
I. Total original book value 65,304,784.89 0.00 0.00 65,304,784.89
Houses & buildings 62,660,192.89 0.00 0.00 62,660,192.89
Land use right 2,644,592.00 0.00 0.00 2,644,592.00
II. Accumulated depreciation and
33,853,515.40 1,391,444.42 0.00 35,244,959.82
accumulated amortization
Houses & buildings 33,549,464.05 1,378,947.33 0.00 34,928,411.38
Land use right 304,051.35 12,497.09 0.00 316,548.44
III. Total of depreciation reserves 0.00 0.00 0.00 0.00
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Increase in the Decrease in the
Item Opening amount Closing amount
reporting period reporting period
Houses & buildings 0.00 0.00 0.00 0.00
Land use right 0.00 0.00 0.00 0.00
IV. Total of book value 31,451,269.49 0.00 0.00 30,059,825.07
Houses & buildings 29,110,728.84 0.00 0.00 27,731,781.51
Land use right 2,340,540.65 0.00 0.00 2,328,043.56
(3) The amount of depreciation and amortization of the investment property was of RMB 1,391,444.42 in
the reporting period.
(4) List of failed to accomplish certification of property
Item Reason Estimated accomplish date Book value
Feed factory renovation Certification of property being
In the year of 2013 8,191,094.39
project conducting
Filling workshop building Certification of property being
In the year of 2013 9,102,052.38
(three layers) conducting
Filling workshop office Certification of property being
In the year of 2013 2,836,939.70
building (two layers) conducting
Total 20,130,086.47
11. Fixed assets
(1) Information
Decrease in the
Item Opening amount Increase in the reporting period Closing amount
reporting period
I. Total original book value 1,316,970,713.91 108,916,875.90 5,174,977.54 1,420,712,612.27
Including: Property and
838,150,082.80 69,022,050.97 15,124.91 907,157,008.86
building
Machineries 390,289,506.58 34,546,873.40 3,865,149.97 420,971,230.01
Vehicles 43,491,873.86 3,271,364.10 1,109,418.49 45,653,819.47
Official equipments and other
45,039,250.67 2,076,587.43 185,284.17 46,930,553.93
equipment
II. Accumulated depreciation Newly increase i Withdrawal in
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Decrease in the
Item Opening amount Increase in the reporting period Closing amount
reporting period
n the reporting p the reporting
eriod period
Total of accumulated
526,393,278.88 41,261,583.03 3,639,955.39 564,014,906.52
depreciation
Including: Property and
303,328,231.38 17,234,786.71 3,790.06 320,559,228.03
building
Machineries 165,209,052.09 17,415,914.72 2,898,320.66 179,726,646.15
Vehicles 22,657,180.86 3,746,437.60 567,636.82 25,835,981.64
Official equipments and other
35,198,814.55 2,864,444.00 170,207.85 37,893,050.70
equipment
III. The net book value of fixed
790,577,435.03 856,697,705.75
assets
Including: Property and
534,821,851.42 586,597,780.83
building
Machineries 225,080,454.49 241,244,583.86
Vehicles 20,834,693.00 19,817,837.83
Official equipments and other
9,840,436.12 9,037,503.23
equipment
IV. Total impairment provision 6,837,229.88 6,837,229.88
Including: Property and
4,264,099.10 4,264,099.10
building
Machineries 1,905,450.42 1,905,450.42
Vehicles 0.00 0.00
Official equipments and other
667,680.36 667,680.36
equipment
V. Total book value 783,740,205.15 849,860,475.87
Including: Property and
530,557,752.32 582,333,681.73
building
Machineries 223,175,004.07 239,339,133.44
Vehicles 20,834,693.00 19,817,837.83
Other equipment 9,172,755.76 8,369,822.87
Notes: Depreciation amount of this reporting period was of RMB 41,261,583.03, RMB 98,868,321.30 was transferred into fixed
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
assets from construction project in the reporting period.
(2) Fixed assets of ownership restrictions
□Applicable √Inapplicable
(3) Temporary idle fixed asset
Original book Accrued Impairment
Item Net book value Remark
value depreciation provision
House and buildings 15,646,500.09 11,190,960.05 4,264,099.10 191,440.94
Machinery equipments 11,428,316.96 9,408,106.00 1,905,450.42 114,760.54
Official equipments and
1,772,209.55 1,104,529.19 667,680.36 0.00
other equipment
Total 28,847,026.60 21,703,595.24 6,837,229.88 306,201.48
(4) Fixed assets leased out from operation lease
Category Closing book value Opening book value
Machinery equipments 1,054,011.92 1,202,652.55
Electronic equipments and other 100,839.57 141,334.83
Total 1,154,851.49 1,343,987.38
(5) Information of hold-for-sale fixed assets at period-end
□Applicable √Inapplicable
(6) Information of fixed assets failed to accomplish certification of property
Item Reason Estimated accomplish date Book value
Certification of property being
Boiler workshop In the year of 2013 1,201,918.16
conducting
Certification of property being
Steam turbine workshop In the year of 2013 511,711.52
conducting 中
Workshop of 35KV power Certification of property being
In the year of 2013 90,739.95
transformation conducting
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Item Reason Estimated accomplish date Book value
Finished wine warehouse in west Certification of property being
In the year of 2013 3,285,967.32
district conducting
Packaging comprehensive building Certification of property being
In the year of 2013 2,235,049.34
project (Contain seven workshop) conducting
Packing materials warehouse in west Certification of property being
In the year of 2013 4,275,902.17
district conducting
Steel web of finished wine warehouse Certification of property being
In the year of 2013 3,574,555.61
in west district conducting
Steal structure platform of Precision Certification of property being
In the year of 2013 632,067.30
Team in west district conducting
Certification of property being
Filling workshop In the year of 2013 4,822,673.28
conducting
Uniform handling after the
Certification of property being
No.1 Peiqu building completion of the industrial park 14,032,223.88
conducting
project
Uniform handling after the
Certification of property being
No.2 Peiqu building completion of the industrial park 14,032,223.88
conducting
project
Uniform handling after the
Certification of property being
No.3 Peiqu building completion of the industrial park 14,032,223.89
conducting
project
Uniform handling after the
Certification of property being
Industrial park No. 1 brewhouse completion of the industrial park 23,525,755.81
conducting
project
Uniform handling after the
Certification of property being
Industrial park No. 2 brewhouse completion of the industrial park 23,847,414.76
conducting
project
Uniform handling after the
Certification of property being
Industrial park No. 3 brewhouse completion of the industrial park 24,188,641.95
conducting
project
Uniform handling after the
Certification of property being
Industrial park No. 4 brewhouse completion of the industrial park 24,137,371.96
conducting
project
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Item Reason Estimated accomplish date Book value
Uniform handling after the
Certification of property being
Bran warehouse, Qu warehouse completion of the industrial park 41,091,131.60
conducting
project
Uniform handling after the
Certification of property being
Industrial Park No.1 filling house completion of the industrial park 39,279,420.58
conducting
project
Total 238,796,992.96
12. Construction in progress
(1)
Closing balance Opening balance
Item Impairment Impairmen
Book balance Book value Book balance Book value
provision t provision
Marketing network construct
136,125,829.10 0.00 136,125,829.10 134,984,829.10 0.00 134,984,829.10
ion
Bottle water filtration
0.00 0.00 0.00 1,170,773.54 0.00 1,170,773.54
equipment
Digital Qu workshop 2,148,230.00 0.00 2,148,230.00 2,148,230.00 0.00 2,148,230.00
Reform project of brewing
technique on highly qualified 30,734,506.19 0.00 30,734,506.19 29,315,006.20 0.00 29,315,006.20
base liquid
Hook store, filling and
packing center of base liquid
112,260,742.48 0.00 112,260,742.48 147,924,721.89 0.00 147,924,721.89
and construction project of
supplemental facilities
Removal and R&D project of
base liquid and support 147,236,964.54 0.00 147,236,964.54 105,640,963.16 0.00 105,640,963.16
facility project
Operation network of Gujing 0.00 0.00 0.00 1,875,172.70 0.00 1,875,172.70
Others 0.00 0.00 0.00 612,584.95 0.00 612,584.95
Total 428,506,272.31 0.000 428,506,272.31 423,672,281.54 0.000 423,672,281.54
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
(2) Changes in construction in progress
Opening Transferred to Closing
Name of project Budget Increase Other decrease
balance fixed assets
amount
Reform project of
brewing technique on
102,000,000.00 29,315,006.20 1,684,195.72 264,695.73 30,734,506.19
highly qualified base
liquid
Hook store, filling and
packing center of base
147,924,721.8 112,260,742.4
liquid and construction 586,000,000.00 34,484,759.88 70,148,739.29
9 8
project of supplemental
facilities
Removal and R&D
project of base liquid 105,640,963.1 147,236,964.5
550,000,000.00 68,667,529.17 27,071,527.79
and support facility 6 4
project
Operation network of
3,050,000.00 1,875,172.70 932,929.41 2,808,102.11 0.00
Gujing
Marketing network co 134,984,829.1 136,125,829.1
275,000,000.00 1,141,000.00
nstruction 0 0
Bottle water filtration
1,369,805.00 1,170,773.54 1,170,773.54 0.00
equipment
Digital Qu workshop 3,068,900.00 2,148,230.00 2,148,230.00
Others 1,025,000.00 612,584.95 212,584.95 400,000.00 0.00
423,672,281.5 428,506,272.3
Total 1,521,513,705.00 106,910,414.18 98,868,321.30 3,208,102.11
4 1
(Continues)
Including:
Including: Capitalization capitalizati
Capitalization Capitalization of Source of
Name of project capitalization of of interest rate on of
of interest interest funding
interest this period (%) interest
this period
Reform project of
brewing technique on Offering funds,
0.00 0.00 0.00 75.01
highly qualified base 65.14
other source
liquid
Hook store, filling and
0.00 0.00 0.00 72.35 Offering funds,
packing center of base
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Including:
Including: Capitalization capitalizati
Capitalization Capitalization of Source of
Name of project capitalization of of interest rate on of
of interest interest funding
interest this period (%) interest
this period
liquid and construction 66.79
other source
project of supplemental
facilities
Removal and R&D
project of base liquid and 0.00 0.00 0.00 85.34 Other source
71.09
support facility project
Operation network of
0.00 0.00 0.00 100.00 Other source
Gujing 92.07
Marketing network cons
Offering funds,
truction 0.00 0.00 0.00 54.20
53.65
other source
Bottle water filtration
0.00 0.00 0.00 100.00 Other source
equipment 85.47
Digital Qu workshop
0.00 0.00 0.00 70.00 Other source
70.00
0.00 0.00 0.00 100.00 Other source
Others 59.76
Total 0.00 0.00 0.00
Notes: Other decrease was the long-term prepaid expenses transferred into, with the amount of RMB 400,000.00, and intangible
assets transferred into was of RMB 2,808,102.11.
(3) Information of procedures of significant construction in progress
Item Project process % Note
Reform project of brewing technique on highly Estimated by the engineering image
75.01
qualified base liquid
process
Hook store, filling and packing center of base liquid Estimated by the engineering image
72.35
and construction project of supplemental facilities
process
Estimated by the engineering image
Removal and R&D project of base liquid 85.34
process
Estimated by the engineering image
Operation network of Gujing 100.00
process
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Item Project process % Note
Marketing network construction
Estimated by the engineering image
51.20
process
Bottle water filtration equipment
Estimated by the engineering image
100.00
process
Digital Qu workshop
Estimated by the engineering image
70.00
process
Estimated by the engineering image
100.00
Others process
23. Intangible assets
(1) Information
Increase in the Decrease in the
Item Opening balance Closing balance
reporting period reporting period
I. Total original book value 392,504,660.06 2,825,220.74 395,329,880.80
Land use right 351,249,420.80 351,249,420.80
Patent 38,150,000.00 38,150,000.00
Software 3,105,239.26 2,825,220.74 5,930,460.00
II. Total accrued amortization 71,230,278.83 4,166,651.43 75,396,930.26
Land use right 31,720,549.23 3,709,423.84 35,429,973.07
Patent 37,984,160.44 5,360.00 37,989,520.44
Software 1,525,569.16 451,867.59 1,977,436.75
III. Total accrued depreciation reserve 558,155.56 558,155.56
Land use right 0.00 0.00
Patent 0.00 0.00
Software 558,155.56 558,155.56
IV. Total book value 320,716,225.67 319,374,794.98
Land use right 319,528,871.57 315,819,447.73
Patent 165,839.56 160,479.56
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Increase in the Decrease in the
Item Opening balance Closing balance
reporting period reporting period
Software 1,021,514.54 3,394,867.69
Notes: ①Amortization was of RMB 4,166,651.43 in the reporting period.
14. Long-term amortization expense
Amortization Reason for
Item Opening balance Increase Other decrease Closing balance
balance other decrease
Celebrity‘s House 2,399,147.90 638,315.37 1,760,832.53
Beijing club lease expe
9,900,000.00 9,900,000.00
nses
Repairing expenses of t
he Wine Culture Museu 448,225.15 448,225.15
m
Sewage treatment plant 3,000,000.00 3,000,000.00
Zhengzhou club house
1,750,400.20 656700.06 1,093,700.14
lease expenses
Repairing expenses of
Zhengzhou experience 1,131,579.14 236571.42 895,007.72
club
Repairing expenses of
Hangzhou experience 738,566.40 170,438.40 568,128.00
club
Repairing expenses of
511,439.44 1,612,028.26 834,803.52 1,288,664.18
specialty store
Repairing of sales
2,229,349.91 313,335.20 1,916,014.71
company's image store
Reform on highly
18,607,008.62 1,860,700.86 16,746,307.76
qualified base liquid
Qu frame and Qu bed 3,592,051.06 3,603,200.53 653,586.43 6,541,665.16
Total 30,959,542.67 18,563,453.94 5,364,451.26 44,158,545.35
15. Deferred tax assets / deferred tax liabilities
(1) Deferred tax assets and liabilities that already recognized
①Deferred tax assets that already recognized
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Closing amount Opening amount
Deductible Deductible
Item
Deferred tax assets temporary differences and Deferred tax assets temporary differences and
deductible losses deductible losses
Provision for bad debts 13,394,545.54 53,578,182.15 13,203,667.18 52,814,668.70
Provision for obsolete stocks 1,213,430.81 4,853,723.22 1,213,430.81 4,853,723.22
Fixed assets depreciation re
1,709,307.47 6,837,229.88 1,709,307.47 6,837,229.88
serves
Internal unrealized purchase
0.00 0.00 174,624.28 698,497.12
and sale profits
Deferred income 2,365,799.51 9,463,198.08 2,630,830.79 10,523,323.14
Changes in the fair value of
Available-for-sale financial 935,307.13 3,741,228.50 0.00 0.00
assets
Deductible losses 19,837.63 99,188.13 19,837.63 99,188.13
Intangible assets 139,538.89 558,155.56 139,538.89 558,155.56
Total 19,777,766.98 79,130,905.52 19,091,237.05 76,384,785.75
②Deferred tax liabilities that already recognized
Closing amount Opening amount
Item Taxable temporary Taxable temporary
Deferred tax liabilities Deferred tax liabilities
differences differences
Changes in the fair value of
Available-for-sale financial 0.00 0.00 697,845.96 2,791,383.84
assets
Total 0.00 0.00 697,845.96 2,791,383.84
(2)List of deferred tax assets that unrecognized
Item Closing amount Opening amount
Provision for bad debts 1,171.90 1,171.90
Deductible losses 576,916.99 576,916.99
Total 578,088.89 578,088.89
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
16. List of provision for assets impairment
Withdrawal in Decrease
Closing
Item Opening amount the reporting
Reversal Written off amount
period
I. Provision for bad debt 52,815,840.60 763,513.45 0.00 0.00 53,579,354.05
II. Provision for inventory falling price 4,853,723.22 0.00 0.00 0.00 4,853,723.22
III. Impairment provision of fixed assets 6,837,229.88 0.00 0.00 0.00 6,837,229.88
IV. Impairment provision of intangible
558,155.56 0.00 0.00 0.00 558,155.56
assets
Total 65,064,949.26 763,513.45 0.00 0.00 65,828,462.71
17. Ownership or use right restricted assets
Item Closing amount Restricted assets
Subtotal of pledged assets
Bank deposits 108,000,000.00 Pledge for issuing bank acceptance
Notes receivable 36,000,000.00 Pledge for issuing bank acceptance
Total 144,000,000.00
18. Notes payable
Category Closing amount Opening amount
Bank acceptance 220,660,000.00 224,460,000.00
Total 220,660,000.00 224,460,000.00
19. Accounts payable
(1) List of accounts payable
Item Closing amount Opening amount
Within 1 year 408,336,702.41 455,187,252.75
Over 1 year 5,104,483.88 5,925,322.51
Total 413,441,186.29 461,112,575.26
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
(2) The accounts payable to shareholders with more than 5% (including 5%) of the voting shares of the
Company
□Applicable √Inapplicable
(3) Notes of the accounts payable aging over 1 year
Reason for unsettlem Amount pay back after
Name of creditor Amount
ent Balance Sheet Date
Settlement of final
SHANGHAI TIMES PRINTING CO., LTD. 474,696.76 0.00
payment
Settlement of final
SHENZHEN TIMES PRINTING CO., LTD. 243,732.61 0.00
payment
Settlement of final
Xinle Renjie Glass Products Co., Ltd. 234,289.47 0.00
payment
Settlement of final
Shenzhen Gome Packing Co., Ltd. 155,801.66 0.00
payment
Shandong Dingxin Electronic Glass Settlement of final
148,797.22 0.00
Group Co., Ltd. payment
Total 1,257,317.72 0.00
20. Advance from customers
(1)
Item Closing amount Opening amounnt
Within 1 year 233,450,992.56 108,264,258.06
Over 1 year 945,433.48 6,345,977.75
Total 234,396,426.04 114,610,235.81
(2) Advanced from customers from shareholders with more than 5% (including 5%) of the voting shares
of the Company
Details please refer to annotation VIII, 6, Receivables from and payables to related parties.
(3) Notes of significant advance from customers aging over one year
Name of creditor Amount Unsettlement reason
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Name of creditor Amount Unsettlement reason
Yongchen Shenhuo Lida Trading Co., Ltd. 79,857.23 Final payment
Pingliang Jiuding Trading Co., Ltd. 36,000.00 Final payment
Zhuhai Lijing Trading Development Co,Ltd. 29,753.35 Final payment
Qufu Yongda Trading Co., Ltd. 27,073.00 Final payment
Xi‘an Lintong District Yonghong trading Final payment
25,200.00
company
Total 197,883.58 Final payment
21. Payroll payable
Unit: RMB Yuan
Opening book
Item Increase Decrease Closing book balance
balance
I. Salary, bonus, allowance,
146,956,172.31 154,671,663.35 265,063,372.61 36,564,463.05
subsidy
II. Employee welfare 0.00 2,332,503.86 2,332,503.86 0.00
III. Social insurance 494,015.23 53,829,365.68 46,219,425.18 8,103,955.73
Including: 1.Medical
164,605.01 12,188,282.24 9,886,395.50 2,466,491.75
insurance premiums
2.Basic pension benefits 278,916.34 36,268,414.80 31,243,259.76 5,304,071.38
3.Unemployment insurance 32,409.52 3,474,019.29 3,173,036.21 333,392.60
4.Work-related injury
10,270.61 1,036,214.72 1,046,485.33 0.00
insurance
5.Maternity insurance 7,813.75 862,434.63 870,248.38 0.00
IV. Housing fund 13,601,766.37 49,233,915.72 55,551,274.74 7,284,407.35
V. Redemption for
0.00 0.00 0.00 0.00
terminations of labor contract
VI. Labour union budget and
17,674,628.77 4,865,056.20 1,006,127.52 21,533,557.45
other
VII. Non-monetary benefits 0.00 0.00 0.00 0.00
VIII. Compensation for
0.00 0.00 0.00 0.00
terminating the labor contract
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Opening book
Item Increase Decrease Closing book balance
balance
IX. Others 0.00 0.00 0.00 0.00
Total 178,726,582.68 264,932,504.81 370,172,703.91 73,486,383.58
22. Taxes payable
Unit: RMB Yuan
Item Closing balance Opening balance
VAT 127,424,001.36
54,049,225.39
Consumption tax 80,211,280.21 155,841,940.75
Business tax 349,211.09 541,563.17
Urban maintenance and construction tax 5,253,721.72 25,478,732.45
Corporate income tax 290,333,634.43 310,881,145.20
Personal income tax 2,942,747.82 12,215,372.29
Stamp tax 1,357,546.93 1,390,318.84
Education surtax 5,129,712.78 9,400,238.21
Other 2,145,574.23 2,236,709.30
Total 645,410,021.57
441,772,654.60
23. Other accounts payable
(1)
Unit: RMB Yuan
Item Closing balance Opening balance
Within 1 year 208,742,836.24 189,386,469.81
Over 1 year 63,283,760.05 107,712,308.17
Total 272,026,596.29 297,098,777.98
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
(2) Other accounts payable from shareholders with more than 5% (including 5%) of the voting shares of
the Company
The details please refer to annotations VIII, 6, Accounts payable of related party.
(3)Notes of the other large amount accounts payable aging over 1 year
Whether pay after the
Name of creditor Amount Reason for unsettlement Balance Sheet Date or
not?
Guangxi Construction Engineering Group No. 1
2,265,300.00 Final payment of project 0.00
Installation Co., Ltd
Hefei Yalong Construction and Installation Co., Ltd 1,300,000.00 Guarantee money 0.00
Wuxi Huaguang Industrial Boiler Co., Ltd 921,000.00 Guarantee money 0.00
Shanghai Sage Software Co., Ltd. 524,204.00 Guarantee money 0.00
Jiangsu Xincheng Printing Development Co., Ltd. 330,000.00 Guarantee money 0.00
Total 5,340,504.00 0.00
(4) Notes of other accounts payable with significant amount
Name of creditor Closing amount Nature or content
Guangxi Construction Engineering Group No.
2,265,300.00
1 Installation Co., Ltd Final payment of project
Total 2,265,300.00
24. Other current liabilities
Item Content Closing amount Opening amount
Deferred income Government subsidies 1,060,125.05 2,120,250.11
Total 1,060,125.05 2,120,250.11
Of which, the list of the deferred income was as follows:
Item Closing amount Opening amount
Government subsidies related to assets
Energy-saving and reform project of coal-fired
76,500.00 153,000.00
industry boiler and glass furnace
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Item Closing amount Opening amount
Bozhou city logistics center project 30,000.00 60,000.00
Special account for prevention and cure of waste
325,000.02 650,000.04
water directed by municipal finance
Financial subsidy for energy-saving project 265,811.76 531,623.52
Financial subsidy for technology innovation 267,110.76 534,221.52
Discount on technology reform of deposit in budget
19,999.98 39,999.96
directed by municipal finance
Enterprise development special funds appropriat
15,000.00 30,000.00
ed directly by municipal finance
Energy saving technology award 60,702.53 121,405.07
Total 1,060,125.05 2,120,250.11
25. Other non-current liabilities
Item Content Closing amount Opening amount
Deferred income Government subsidies 8,403,073.03 8,403,073.03
Total 8,403,073.03 8,403,073.03
Of which, the list of the deferred income was as follows:
Item Closing amount Opening amount
Government subsidies related to assets
Energy-saving and reform project of coal-fired
777,750.00 777,750.00
industry boiler and glass furnace
Bozhou city logistics center project 360,000.00 360,000.00
Special account for prevention and cure of waste
1,300,000.16 1,300,000.16
water directed by municipal finance
Financial subsidy for energy-saving project 2,592,451.00 2,592,451.00
Financial subsidy for technology innovation 3,087,038.50 3,087,038.50
Discount on technology reform of deposit in budget
83,333.37 83,333.37
directed by municipal finance
Enterprise development special funds appropriated
202,500.00 202,500.00
directly by municipal finance
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Total 8,403,073.03 8,403,073.03
26. Share capital
Opening amount Increase/decrease (+,－) Closing amount
Propor Issuance Capitalizatio
Item Bonus Proporti
Amount tion of new n of capital Others Subtotal Amount
shares
shares reserve on (%)
(%)
I. Restricted shares
1. National holdings
2.Domestic legal person
holdings
3.Other domestic shares 900 0.00 900 0.00
Including: Domestic legal
person shares
Domestic natural person
900 0.00 900 0.00
shares
4. Foreign holdings
Including: Overseas legal
person shares
Overseas natural person
shares
Total of restricted shares 900 0.00 900 0.00
II. Tradable shares
1.RMB common shares 383,599,100 76.17 383,599,100 76.17
2.Domestically listed
foreign shares 120,000,000 23.83 120,000,000 23.83
3.Overseas listed foreign
shares
4.Others
Total of tradable shares 503,599,100 100.00 503,599,100 100.0
III. Shares total 503,600,000 100.00 503,600,000 100.0
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27. Capital reserve
Increase in the Decreased in the
Item Opening amount Closing amount
reporting period reporting period
Share premium 1,262,552,456.05 1,262,552,456.05
Other capital reserves 34,479,575.02 4,899,459.25 29,580,115.77
Total 1,297,032,031.07 4,899,459.25 1,292,132,571.82
Other changes of capital reserves were changes of available-for-sale fair value of assets.
28. Surplus reserves
Increase in the Decreased in the
Item Opening amount Closing amount
reporting period reporting period
Legal surplus reserves 218,736,964.73 218,736,964.73
Total 218,736,964.73 218,736,964.73
29. Undistributed profit
(1) List of undistributed profit
Withdrawal or distribution
Item Current amount Amount of Last period
Proportion
Balance at the end of the year of 2011
1,356,119,112.84 815,506,493.66
(Before adjustment)
Total adjustment for the balance at the
0.00 0.00
beginning of the year of 2012
Balance at the beginning of the year of
1,356,119,112.84 815,506,493.66
2012 (After adjustment)
Add: Current distributable net profits for
375,752,833.11 725,589,286.31
owners of parent company
Less: Appropriation of statutory surplus
0.00 0.00
reserves
Other accounts which transferred into 0.00 0.00
Less: Appropriation of discretionary
0.00 71,666,667.13
surplus reserve
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Withdrawal or distribution
Item Current amount Amount of Last period
Proportion
Appropriation of normal risk provision 0.00 0.00
Ordinary shares dividend payables 251,800,000.00 113,310,000.00
Ordinary shares dividend capitalized to
0.00 0.00
share capital
Undistributed profits as at the period-end 1,480,071,945.95 1,356,119,112.84
30. Operating Revenues and Operating Costs
(1) Operating Revenues and Operating Costs
Item Amount of this period Amount of last period
Main operating revenues 2,294,278,118.16 2,198,669,591.12
Other operating revenues 12,676,559.23 29,139,611.57
Total of operating revenues 2,306,954,677.39 2,227,809,202.69
Operating costs 714,795,639.60 559,750,299.69
Other operating costs 11,725,817.29 13,449,055.44
Total of operating costs 726,521,456.89 573,199,355.13
(2) Main business (classified by products)
Amount of this period Amount of last period
Name of products
Operating revenue Operating revenue Operating revenue Operating cost
Sales of white wine 2,252,477,524.22 687,066,730.92 2,153,757,133.65 530,668,071.69
Hotel revenues 33,241,632.00 20,277,395.52 35,947,124.71 22,448,505.99
Others 8,558,961.94 7,451,513.16 8,965,332.76 6,633,722.01
Total 2,294,278,118.16 714,795,639.60 2,198,669,591.12 559,750,299.69
(3) Main business (classified by districts)
Amount of this period Amount of last period
Name of districts
Operating revenue Operating revenue Operating revenue Operating cost
Domestic districts 2,294,278,118.16 714,795,639.60 2,198,559,796.42 559,712,431.19
International districts 0.00 0.00 109,794.70 37,868.50
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Amount of this period Amount of last period
Name of districts
Operating revenue Operating revenue Operating revenue Operating cost
Total 2,294,278,118.16 714,795,639.60 2,198,669,591.12 559,750,299.69
(4) Business Income of Top Five Customers of Company
Proportion in overall business income
Term Total income of Top 5 customers
of company (%)
Jan.-Jun. in 2013 533,007,148.33 23.10
Jan.-Jun. in 2013 521,310,957.10 23.40
31. Business tax and surtax
Item Amount of this period Amount of last period
Consumption tax 268,351,304.25 281,948,973.70
Business tax 1,677,111.95 3,613,623.20
Urban construction tax and Education
50,341,935.53 77,956,594.02
surcharge
Flood protection fee 16,711.36 328,093.83
Total 320,387,063.09 363,847,284.75
Notes: Payment standard of each business tax and surtax please refer to annotations V, Taxes.
32. Sales expenses
Item Amount of this period Amount of last period
Employee compensations 23,735,680.81 20,609,658.63
Travel expenses 38,965,010.44 18,830,923.17
Advertisement fees 313,225,843.74 234,283,920.75
Transportation fees 39,706,706.53 11,121,496.39
Propaganda and promotion expenses 74,108,707.10 109,304,084.71
Sample wine 36,040,232.42 124,298,820.56
Labor costs 87,260,722.62 78,605,335.63
Other sales expenses 4,706,840.19 4,248,041.30
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Item Amount of this period Amount of last period
Total 617,749,743.85 601,302,281.14
33. Administration expenses
Item Amount of this period Amount of last period
Employee compensations 97,289,330.63 92,848,686.27
Office expenses 16,986,180.42 19,869,990.20
Taxes 6,170,973.32 7,623,361.93
Repairing fees 8,938,558.26 8,860,208.09
Depreciation expenses 10,987,318.28 11,958,277.98
Amortization of intangible assets 4,152,913.54 3,582,744.39
Pollution discharge fees 5,260,706.35 3,026,634.27
Material wastage 17,010,043.01 11,201,271.49
Travel expenses 2,361,177.29 8,621,116.86
Water and electricity fees 2,284,054.56 3,224,178.56
Others 7,088,186.96 10,758,590.46
Total 178,529,442.62 181,575,060.50
34. Financial expenses
Item Amount of this period Amount of last period
Interests costs 0.00 0.00
Less: Interests incomes 32,993,781.15 27,610,437.31
Less: Charges of notes received 1,621,956.23 13,507,234.85
Exchange gains and losses 0.00 0.00
Bank charges 415,441.59 588,287.70
Others 0.00 0.00
Total -34,200,295.79 -40,529,384.46
35. Asset impairment loss
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Item Amount of this period Amount of last period
Bad debt losses 763,513.45 0.00
Total 763,513.45 0.00
36. Non-Operating revenue
Amount included in
Amount of this Amount of last the current
Item
period period
non-recurring gains
and losses
Gains from disposal of non-current assets 151,016.78 342,179.94 151,016.78
Including: Gains from disposal of fixed assets 151,016.78 342,179.94 151,016.78
Government subsidies (Details please refer to the following
6,210.17 200,000.00 6,210.17
table: list of government subsidies)
Gains from penalties 7,928,538.48 2,855,826.04 7,928,538.48
Sale of waste 3,243,834.86 3,029,376.80 3,243,834.86
Accrued expenses non-payable 0.00 71,494.75 0.00
Deferred revenue amortization 1,060,125.06 1,037,854.38 1,060,125.06
Others 1,054,340.63
944,157.34 944,157.34
Total 13,333,882.69 8,591,072.54 13,333,882.69
Of which, the list of government subsidies:
Item Amount of this period Amount of last period Note
Subsidy income 0.00 200,000.00
Tax refunds 6,210.17 0.00
Total 6,210.17 200,000.00
37. Non-Operating costs
Amount included in the
Item Amount of this period Amount of last period current non-recurring
gains and losses
Loss on disposal of non-current assets 1,268,843.71 303,137.32 1,268,843.71
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Amount included in the
Item Amount of this period Amount of last period current non-recurring
gains and losses
Including: Loss on disposal of fixed
1,268,843.71 303,137.32 1,268,843.71
assets
Compensation expenses 3,000.00 300,000.00 3,000.00
Others 117,628.70 603,874.23 117,628.70
Total 1,389,472.41 1,207,011.55 1,389,472.41
38. Income tax expenses
Item Amount of this period Amount of last period
Current income tax expenses 133,785,990.57 141,815,064.98
Deferred income tax expenses 190,878.36 259,463.59
Total 133,976,868.93 142,074,528.57
39. Basic EPS and Diluted EPS
According to the current net profits of the Company‘s common shareholders, the basic EPS should be calculated by the weighted
average except for the outstanding common shares. The shares number of the newly issued common shares, according to the specific
clauses of the issues contracts, should be calculated and confirmed from the date of accounts receivable of consideration (ordinary is
the shares issue date)
The molecule of diluted EPS was confirmed by the following factors according to the current net profits which belongs to the
Company‘s common shareholders: (1) The interests which had been recognized to be the costs of diluted potential common shares; (2)
The gains or expenses when transferring the diluted potential common shares: and (3) The relevant influences of the income taxes
from the above adjustment.
The denominator of the diluted EPS incomes was equaled to the total of the following two items: (1) In the basic EPS of the parent
company, the weighted average of the issued common shares; and (2) The weighted average of the common shares which increased
owning to the transformation from the assumed diluted common shares to the common shares.
When calculating the weighted average of the common shares which increased owning to the transformation from the diluted
potential common shares to the issued common shares, the diluted potential common shares which issued in the previous period was
assumed to transfer at the period-begin in the current year; and the diluted potential common share issued in the current year was
assumed to transfer on the issue date.
(1) List of earnings per share and diluted earnings per share in each period
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Profit in reporting period Reporting period Same period of last year
Basic EPS Diluted EPS Basic EPS Diluted EPS
Net profit belongs to the
Company‘s common 0.75 0.75 0.82 0.82
shareholders
Net profit distributable to
common shareholders of the
Company after deducting 0.73 0.73 0.81 0.81
non-recurring gains and
losses
(2) Calculation procedure of basic EPS and diluted EPS
During the reporting period, there were no diluted potential common shares in the Company so that EPS-diluted equaled to basic
EPS.
①When calculated the EPS-basic, the net profits distributable to common shareholders were as follows:
Item Reporting period Same period of last year
Net profit distributable to common shareholders of the
Company 375,752,833.11 413,724,138.05
Of which: Net profit distributable to continual operating 375,752,833.11 413,724,138.05
Net profit distributable to discontinued operating 0.00 0.00
Net profit distributable to common shareholders of the
366,358,371.54 408,186,092.30
Company after deducting non-recurring gains and losses
Net profit distributable to continual operating 366,358,371.54 408,186,092.30
Net profit distributable to terminated operating 0.00 0.00
②When calculated the EPS-basic, the denominator refers to the weighted average amount of outstanding issued common shares,
and the accounting process as follows:
Item Reporting period Same period of last year
Amount of outstanding issued common shares at
503,600,000.00 503,600,000.00
period-begin
Add: weighted average amount of common shares issued at
0.00 0.00
current period
Less: weighted average amount of common shares
0.00 0.00
repurchased at current period
Weighted average amount of outstanding issued common 503,600,000.00 503,600,000.00
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shares at period-end
40. Other comprehensive income
Item Reporting period Same period of last
year
Gains (loss) from financial assets available for sale 0.00
-3,741,228.50
Deduct: income tax effects of financial assets available for sale 0.00
-935,307.13
Net amount of current gains and losses from previous comprehensive income -2,093,537.88 0.00
Total -4,899,459.25 0.00
41. Notes to cash flow statement
(1) Cash received related to other operating activities
Item Reporting period Same period of last year
Security deposit 167,653,789.52 96,255,254.81
Government subsidiaries 0.00 200,000.00
Interest income 21,914,782.69 27,610,437.31
Pledge of the regular collections which was used to issue notes
200,000,000.00 0.00
payable recovered
Others 33,549,699.48 16,891,291.24
Total 423,118,271.69 140,956,983.36
(2) Cash paid related to other operating activities
Item Reporting period Same period of last year
Cash paid in selling expenses and administrative expenses 413,307,529.24 189,452,890.42
Security deposit 69,260,428.71 6,355,035.42
Fixed term deposits used to issue the pledge for the notes payable 108,000,000.00 0.00
Others 11,855,031.47 10,484,273.09
Total 602,422,989.42 206,292,198.93
42. Supplemental information for cash flow statement
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(1) Information of the adjustment from the net profits to the cash flow statement of the operating activities
Item Reporting period Same period of last year
1. Reconciliation of net profit to net cash flows generated from operating
activities
Net profit 375,752,833.11 413,724,138.05
Add: Provision for impairment of assets 0.00 0.00
Depreciation of fixed assets, of oil-gas assets, of productive biological
41,261,583.03 26,345,893.97
assets
Depreciation of t he investment real estate. 1,391,444.42 631,826.06
Amortization of intangible assets 4,166,651.43 3,582,744.39
Amortization of long-term deferred expense 5,364,451.26 2,499,787.36
Losses on disposal of property, plant and equipment, intangible assets
and other 1,268,843.71 -39,042.62
long-term assets (gains: negative)
Loss on retirement of fixed assets (gains: negative) 0.00 0.00
Financial cost (gains: negative) 0.00 0.00
Investment loss (gains: negative) 0.00 0.00
Decrease in deferred income tax assets (gains: negative) 0.00
-581,538.48
Increase in deferred income tax liabilities (decrease: negative) 259,463.59
-190,878.36
Decrease in inventory (gains: negative) 0.00 0.00
Decrease in accounts receivable from operating activities (gains:
-52,059,145.09 42,094,428.92
negative)
Increase in payables from operating activities (decrease: negative) -93,025,318.04 -61,706,305.54
Other -140,632,776.29 -279,458,807.46
Net cash flows generated from operating activities 0.00 0.00
II. Investing and financing activities that do not involving
142,716,150.70 147,934,126.72
cash receipts and payment:
Conversion of debt into capital
Convertible bond due within one year 0.00 0.00
Fixed assets financed by finance leases 0.00 0.00
III. Net increase in cash and cash equivalents 0.00 0.00
Closing balance of cash
Less: Opening balance of cash 1,287,212,305.86 1,824,743,757.27
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Item Reporting period Same period of last year
Closing balance of cash equivalents 2,409,650,352.09 2,082,032,491.33
Add: Closing balance of cash equivalents 0.00 0.00
Less: Opening balance of cash equivalents 0.00 0.00
Net increase in cash and cash equivalents -1,122,438,046.23 -257,288,734.06
(2) Cash and cash equivalents
Item Closing amount Opening amount
①Cash
Including: Cash on hand 202,044.43 205,736.37
Bank deposit on demand 1,287,010,261.43 2,409,444,615.72
Other monetary funds on demand 0.00 0.00
Central bank deposit on demand 0.00 0.00
Deposits in other banks 0.00 0.00
Call loans from other banks 0.00 0.00
②Cash equivalent
Including: Bond investment due in three months 0.00 0.00
③Closing balance of cash and cash equivalents 1,287,212,305.86 2,409,650,352.09
(VIII) Related party and related Transaction
1. Information related to parent company of the Company
Name of parent Legal
Relationship Type Registration place Business scope
company representative
Beverage,
Construction
Anhui Gujing Controlling Limited liability
Anhui Yu Lin materials, and plastic
Group Co., Ltd. shareholder company
productions
manufacture
(Continues)
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Proportion of voting
Proportion of share
rights owned by The ultimate
Name of parent held by parent
Registered capital parent company controller of the Organization code
company against
company against the Company Company
the Company (%)
(%)
Anhui Province,
Anhui Gujing Group
353,380,000.00 53.89 53.89 Bozhou City 151947437
Co., Ltd.
government
2. Information on subsidiaries of the Company
Details please refer to the annotation VI, 1, the list of the subsidiaries.
3. Information on other related parties
Name of other related parties Relationship with the Company Organization code
Affiliated enterprise of controlling
Anhui Ruifuxiang Food Co., Ltd
shareholder and actual controller 77908892-2
Affiliated enterprise of controlling
Anhui Ruijing Trade Travel (Group) Co., Ltd
shareholder and actual controller 14912443-1
Affiliated enterprise of controlling
Bozhou Hotel Co., Ltd
shareholder and actual controller 554599270
Affiliated enterprise of controlling
Bozhou Gujing Hotel Co., Ltd
shareholder and actual controller 151940032
Affiliated enterprise of controlling
Anhui Gujing Real Estates Group Co., Ltd.
shareholder and actual controller 697383485
Affiliated enterprise of controlling
Anhui Hengxin Pawn Co., Ltd
shareholder and actual controller 752994458
Affiliated enterprise of controlling
Bozhou Ruineng Thermoelectricity Co., Ltd
shareholder and actual controller 560699980
4. List of related transactions
①Goods purchased and service received
Amount of this period Amount of last period
Pricing
Content of related
Name of company principle of Proportion in Proportion in
transaction
related parties Amount transactions of Amount transactions of
the same kind the same kind
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Amount of this period Amount of last period
Pricing
Content of related
Name of company principle of Proportion in Proportion in
transaction
related parties Amount transactions of Amount transactions of
the same kind the same kind
Anhui Ruifuxiang Food Purchase of
Market price 5,570,610.49 100.00 45,514,889.88 99.39
Co., Ltd materials
Food and
Bozhou Hotel Co., Ltd accommodation Market price 443,767.00 2.72 280,000.00 0.61
services
Total 6,014,377.49 45,794,889.88
②Sales of goods and rendering of service
Amount of this period Amount of last period
Content of
Pricing principle Proportion in
Name of company related Proportion in
of related parties transactions
transaction Amount transactions of Amount
of the same
the same kind
kind
Sales of small Market price
Anhui Gujing Group Co., Ltd. 24,286.02 1.40 6,098.49 0.28
sized materials
Providing Market price
Anhui Gujing Group Co., Ltd. catering 75,246.00 9.42 107,678.00 4.86
services
Anhui Ruifuxiang Food Co., Sales of white Market price
187,999.98 0.01 76,950.00 3.48
Ltd spirit
Anhui Ruijing Trade Travel Sales of white Market price
488,307.67 0.02 0.00 0.00
(Group) Co., Ltd spirit
Sales of white Market price
Bozhou Hotel Co., Ltd 148,769.22 0.01 35,815.00 1.62
spirit
Anhui Gujing Real Estate Sales of white Market price
195,384.61 0.01 45,000.00 2.03
Group Co., Ltd spirit
Bozhou Ruineng Sales of white Market price
143,999.99 0.01 27,720.00 1.25
Thermoelectricity Co., Ltd spirit
Market price
Sales of white
Anhui Hengxin Pawn Co., Ltd 325,692.29 0.01 0.00 0
spirit
Total 1,589,685.78 299,261.49
5. Related leasing
The Group was the lessee.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Pricing The lease income
Name of Category of Start date of end date of
Name of lessor evidence of confirmed in the
lessee leased assets lease lease
lease income report period
The Houses and
Anhui Gujing Group Co., Ltd. 1 Jun. 2010 31 May 2020 Market price 900,000.00
Company buildings
Houses and
Anhui Gujing Group Co., Ltd. Gujing Inn 1 Jun. 2010 31 May 2020 Market price 250,000.00
buildings
1,150,000.00
6. Receivables from and payables to related parties
(1) Payables and advanced accounts to related parties
Item Closing amount Opening amount
Accounts receivable in advance:
Anhui Ruijing Trade (Group) Co., Ltd 0.00 18,000.00
Ruijing Trade (Group) Co., Ltd, Shanghai branch
0.00 1,700.00
company
Total 0.00 19,700.00
Other accounts payable:
Anhui Ruijing Trade (Group) Co., Ltd
83,996.92
78,732.09
Anhui Gujing Group Co., Ltd. 4,964.37
Anhui Ruifuxiang Food Co., Ltd.
2,000.00
2,000.00
Anhui Ruijing Restaurant Management
27,000.00
Co., Ltd. -
Total 80,732.09 117,961.29
(IX) Contingencies
Up to 30 Jun. 2013, there is no contingency event that needs to be disclosed.
(X) Commitment events
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Up to 30 Jun. 2013, the list of the irrevocable operating lease contract which was foreign signed is as follows:
RMB Yuan
Item Closing amount Opening amount
Minimum amount of the lease payment of the irrevoc
able operating lease:
The 1st year after the reporting period 2,300,000.00 2,300,000.00
The 2nd year after the reporting period 2,300,000.00 2,300,000.00
The 3rd year after the reporting period 2,300,000.00 2,300,000.00
Following years 32,008,333.33 33,158,333.33
Total 38,908,333.33 40,058,333.33
As to 30 Jun. 2013, there are no significant commitment events of the group.
(XI) Events after balance-sheet-date
As to 30 Jun. 2013, there‘s no other significant event after the balance sheet date.
(XII) Explanation for other important events
1. Assets and liabilities measured by fair value
Changes of
gains and Accumulative Withdrawn
losses of fair changes of fair impairment
Item Opening amount Closing amount
value in the value included in in reporting
reporting equity period
period
Financial assets
Available-for-sale financial assets 27,991,376.84 0.00 -6,532,612.34 0.00 21,458, 764.50
Total
(XIII) Explanation on major projects of financial statement in the Company
1. Accounts receivable
(1) Category of accounts receivable
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Closing amount
Category Book balance Bad debts provision
Amount Proportion (%) Amount Proportion (%)
Accounts receivable of significant amount
and accounting and drawing for provision 0.00 0.00 0.00 0.00
of bad debts of single item
Accounts receivable accounting and
drawing for provision of bad debts in the
combination
Related party groups 1,209,624.07 67.30 0.00 0.00
Aging groups 587,771.00 32.70 587,771.00 100.00
Subtotal of groups 1,797,395.07 100.00 587,771.00 32.70
Accounts receivable of insignificant
amount and accounting and drawing for 0.00 0.00 0.00 0.00
provision of bad debts of single item
Total 1,797,395.07 100.00 587,771.00 32.70
(Continues)
Opening amount
Category Book balance Bad debts provision
Amount Proportion (%) Amount Proportion (%)
Accounts receivable of significant amount
and accounting and drawing for provision 0.00 0.00 0.00 0.00
of bad debts of single item
Accounts receivable accounting and
drawing for provision of bad debts in the
combination
Related party groups 1,293,202.89 68.75 0.00 0.00
Aging groups 587,771.00 31.25 587,771.00 100.00
Subtotal of groups 1,880,973.89 100.00 587,771.00 31.25
Accounts receivable of insignificant 0.00 0.00 0.00 0.00
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Opening amount
Category Book balance Bad debts provision
Amount Proportion (%) Amount Proportion (%)
amount and accounting and drawing for
provision of bad debts of single item
Total 1,880,973.89 100.00 587,771.00 31.25
(2) Aging of accounts receivable
Closing amount Opening amount
Item
Amount Proportion (%) Amount Proportion (%)
Within 1 year 1,209,624.07 67.30 1,293,202.89 68.75
Including: within 6
1,209,624.07 67.30 1,293,202.89 68.75
months
1 to 2 years 0.00 0.00 0.00 0.00
2 to 3 years 0.00 0.00 0.00 0.00
Over 3 years 587,771.00 32.70 587,771.00 31.25
Total 1,797,395.07 100.00 1,880,973.89 100.00
(3) Withdrawal of bad debts provision
In groups, accounts receivable for bad debts by aging method:
Closing amount Opening amount
Aging Book balance Bad debts Book balance Bad debts
Amount Proportion (%) provision Amount Proportion (%) provision
Within 1 year 0.00 0.00 0.00 0.00 0.00 0.00
Including: within 6
0.00 0.00 0.00 0.00 0.00 0.00
months
1 to 2 years 0.00 0.00 0.00 0.00 0.00 0.00
2 to 3 years 0.00 0.00 0.00 0.00 0.00 0.00
Over 3 years 587,771.00 100.00 587,771.00 587,771.00 100.00 587,771.00
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Total 587,771.00 100.00 587,771.00 587,771.00 100.00 587,771.00
(4) The receivables transferred back or taken back during the report period
□Applicable √Inapplicable
(5) The receivables of actual offset in the report period
□Applicable √Inapplicable
(6) Shareholder units holding 5% (including 5%) or above of voting stock of the receivables in the report
period
□Applicable √Inapplicable
(7) Receivables for related party
□Applicable √Inapplicable
2. Other receivables
(1) Category of other receivables
Closing amount
Category Book balance Bad debts provision
Amount Proportion (%) Amount Proportion (%)
Other accounts receivable of significant
amount and accounting and drawing for 51,109,940.55 24.26 51,109,940.55 100.00
provision of bad debts of single item
Accounts receivable accounting and
drawing for provision of bad debts in the
combination
Related party groups 147,400,000.00 69.96 0.00 0.00
Aging groups 12,172,417.84 5.78 483,284.57 3.97
Subtotal of groups 159,572,417.84 75.74 483,284.57 0.30
Other accounts receivable of insignificant
amount and accounting and drawing for 0.00 0.00 0.00 0.00
provision of bad debts of single item
Total 210,682,358.39 100.00 51,593,225.12 24.49
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(Continues)
Closing amount
Category Book balance Bad debts provision
Amount Proportion (%) Amount Proportion (%)
Other accounts receivable of significant
amount and accounting and drawing for 51,109,940.55 23.97 51,109,940.55 100.00
provision of bad debts of single item
Accounts receivable accounting and
drawing for provision of bad debts in the
combination
Related party groups 155,455,734.86 72.91 0.00 0.00
Aging groups 6,659,008.94 3.12 146,921.11 2.11
Subtotal of groups 162,114,743.80 76.03 146,921.11 0.09
Other accounts receivable of insignificant
amount and accounting and drawing for 0.00 0.00 0.00 0.00
provision of bad debts of single item
Total 213,224,684.35 100.00 51,256,861.66 24.04
(2) Aging of other accounts receivable
Closing amount Opening amount
Category
Amount Proportion (%) Amount Proportion (%)
Within 1 year 159,218,542.23 75.57 161,623,896.90 75.80
Including: within 6
months 153,183,752.63 72.71 161,082,945.80 75.55
7-12 months 6,034,789.60 2.86 540,951.10 0.25
1 to 2 years 135,575.61 0.06 457,055.02 0.22
2 to 3 years 216,300.00 0.1 31,791.88 0.01
Over 3 years 51,111,940.55 24.27 51,111,940.55 23.97
Total 210,682,358.39 100.00 213,224,684.35 100.00
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(3) Withdrawal of bad debts provision
① Withdrawal of debts receivable of significant amount and accounting and drawing for provision of bad debts
of single item
Contents of other Bad debts Withdrawal
accounts receivable Book balance provision proportion % Reason
The enterprise got in the
Jianqiao Securities 12,223,000.00 12,223,000.00 100.00
bankruptcy liquidation process
The enterprise got in the
Hengxin Securities 29,502,438.53 29,502,438.53 100.00
bankruptcy liquidation process
The enterprise got in the
Minfa Securities 9,384,502.02 9,384,502.02 100.00
bankruptcy liquidation process
Total 51,109,940.55 51,109,940.55 100.00
② In groups, other accounts receivable of bad debts by aging analysis methods
Closing amount Opening amount
Aging Book balance Bad debts Book balance Bad debts
Amount Proportion (%) provision Amount Proportion (%) provision
Within 1 year 97.09 6,168,162.04 92.63 83,319.67
11,818,542.23 359,577.01
Including : within 6
47.51 5,627,210.94 84.51 56,272.11
5,783,752.63 57,837.53
months
7-12 months 49.58 540,951.10 8.12 27,047.56
6,034,789.60 301,739.48
1 to 2 years 1.11 457,055.02 6.86 45,705.50
135,575.61 13,557.56
2 to 3 years 1.78 31,791.88 0.48 15,895.94
216,300.00 108,150.00
Over 3 years 0.02 2,000.00 2,000.00 0.03 2,000.00
2,000.00
Total 100.00 6,659,008.94 100 146,921.11
12,172,417.84 483,284.57
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(4) The other significant receivables of actual offset in the report period
□Applicable √Inapplicable
(5) Details of shareholder units holding 5% (including 5%) or above of voting stock of the other
receivables in the report period, please refer to the annotation VIII, 6, Receivables from and payables to
related parties.
(6) The top 5 units of other accounts receivable
Occupancy rate of the
Relationship with
Item Amount Period total amount of
the Company
receivables (%)
Shanghai Gujing Jinhao Ho Subsidiary of the Within 6
145,800,000.00 69.20
tel Management Co., Ltd Company months
Hengxin Securities Non-related party 29,502,438.53 Over 3 years 14.00
Jianqiao Securities Non-related party 12,223,000.00 Over 3 years 5.80
Minfa Securities Non-related party 9,384,502.02 Over 3 years 4.46
Anhui Jinyunlai Culture Subsidiary of the Within 6
1,600,000.00 0.76
Media Co., Ltd. Company months
Total 198,509,940.55 94.22
3. Long-term equity investment
(1) Category of long-term equity investment
Increase in the Decreased in
Item Opening amount reporting the reporting Closing amount
period period
Investment in subsidiary 258,089,408.32 0.00 0.00 258,089,408.32
Less: depreciation reserves of long-term
0.00 0.00 0.00 0.00
investment
Total 258,089,408.32 0.00 0.00 258,089,408.32
(2) List of long-term investment
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Increasing or
accounting Initial investment
Investee Opening balance decreasing Closing balance
method cost
amount
Bozhou Gujing Sales Co., Ltd. Cost method 84,864,497.89 0.00 0.00 84,864,497.89
Bozhou Gujing Glass Products
Cost method 85,793,666.00 0.00 0.00 85,793,666.00
Co., Ltd.
Shanghai Gujing Hotel
Cost method 49,906,854.63 0.00 0.00 49,906,854.63
Management Co., Ltd.
Bozhou Gujing Inn Co., Ltd. Cost method 648,646.80 0.00 0.00 648,646.80
Gujing Motor Transportation
Cost method 6,875,743.00 0.00 0.00 6,875,743.00
Co., Ltd.
Bozhou Gujing Packaging Co.,
Cost method 30,000,000.00 0.00 0.00 30,000,000.00
Ltd.
Total 258,089,408.32 0.00 0.00 258,089,408.32
(Continues)
Reasons for Accounting
Shareholdin
Voting power inconformity between and drawing
g proportion Depreciation Cash dividends
Investee proportion for Shareholding proportion depreciation
for investee reserves for this period
investee (%) and Voting power reserves for
(%)
proportion this period
Bozhou Gujing Sales
100.00 100.00 0.00 0.00 0.00
Co., Ltd.
Bozhou Gujing Glass
100.00 100.00 0.00 0.00 0.00
Products Co., Ltd.
Shanghai Gujing
Hotel Management 100.00 100.00 0.00 0.00 0.00
Co., Ltd.
Bozhou Gujing Inn
100.00 100.00 0.00 0.00 0.00
Co., Ltd.
Gujing Motor
100.00 100.00 0.00 0.00 0.00
Transportation Co.,
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Reasons for Accounting
Shareholdin
Voting power inconformity between and drawing
g proportion Depreciation Cash dividends
Investee proportion for Shareholding proportion depreciation
for investee reserves for this period
investee (%) and Voting power reserves for
(%)
proportion this period
Ltd.
Bozhou Gujing
100.00 100.00 0.00 0.00 0.00
Packaging Co., Ltd.
Total 100.00 100.00 0.00 0.00 0.00
(3) Depreciation reserves of long-term equity investment at the period-end in the reporting period
□Applicable √Inapplicable
4. Operating incomes and costs
(1) Operating incomes and costs
Item Amount of this period Amount of last period
Main Operating incomes 1,248,116,598.20 1,350,821,123.47
Other Operating incomes 18,066,994.14 23,170,239.16
Total of operating incomes 1,266,183,592.34 1,373,991,362.63
Main Operating costs 714,410,325.48 529,460,583.06
Other Operating costs 17,616,360.86 23,287,490.74
Total of operating costs 732,026,686.34 552,748,073.80
(2)Main business (classified by products)
Amount of this period Amount of last period
Name of products
Operating incomes Operating costs Operating incomes Operating costs
White spirit 1,248,116,598.20 714,410,325.48 1,350,821,123.47 529,460,583.06
Total 1,248,116,598.20 714,410,325.48 1,350,821,123.47 529,460,583.06
(3) Main business (classified by areas)
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Amount of this period Amount of last period
Name of areas
Operating incomes Operating costs Operating incomes Operating costs
Domestic areas 1,248,116,598.20 714,410,325.48 1,350,711,328.77 529,417,548.52
International areas 0.00 0.00 109,794.70 43,034.54
Total 1,248,116,598.20 714,410,325.48 1,350,821,123.47 529,460,583.06
(4) Lists of operating incomes from top five customers:
Proportion in overall business income
Term Overall business income
of company (%)
1-6 months of 2013 1,247,547,367.48 98.53
1-6 months of 2012 1,343,132,648.59 97.75
5. Investment income
(1) Details of investment income
Occurred in the current
Name of investee Occurred in the last period
period
Long-term equity investment income assessed by cost method 0.00 0.00
Allocate profits during holding available-for-sale financial assets 581,538.48 0.00
Total 581,538.48 0.00
(2) Long-term equity investment income measured by cost method
Occurred in the current
Name of investee Occurred in the last period
period
Bozhou Gujing Sales Co., Ltd. 0.00 0.00
Total 0.00 0.00
6. Supplemental information for cash flow statement
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Item Amount of this period Amount of last period
(1) Reconciliation of net profit to net cash flows generated from
operating activities
Net profit 59,327,942.11 86,054,518.24
Add: Provision for impairment of assets 0.00 0.00
Depreciation of fixed assets, of oil-gas assets, of productive biological
29,189,522.61 13,463,283.81
assets
Amortization of intangible assets 2,540,156.79 1,956,249.75
Amortization of long-term deferred expense 4,261,905.54 938,358.66
Amortization of depreciation of investment real estate 1,321,123.94 631,826.06
Losses on disposal of property, plant and equipment, intangible assets
and other 970,408.62 0.00
long-term assets (gains: negative)
Loss on retirement of fixed assets (gains: negative) 0.00 0.00
Financial cost (gains: negative) 0.00
0.00
Investment loss (gains: negative) 0.00 0.00
Decrease in deferred income tax assets (gains: negative) -581,538.48 0.00
Increase in deferred income tax liabilities (decrease: negative) -190,878.36 224,750.00
Decrease in inventory (gains: negative) 0.00 0.00
Decrease in accounts receivable from operating activities (gains:
-5,627,799.54 52,535,836.11
negative)
Increase in payables from operating activities (decrease: negative) -1,311,509.04 -34,328,188.74
Other 45,720,236.24 -6,056,875.37
Net cash flows generated from operating activities 0.00 0.00
(2) Investing and financing activities that do not involving
135,619,570.43 115,419,758.52
cash receipts and payment:
Conversion of debt into capital
Convertible bond due within one year 0.00 0.00
Fixed assets financed by finance leases 0.00 0.00
(3) Net increase in cash and cash equivalents 0.00 0.00
Closing balance of cash
Less: Opening balance of cash 1,166,183,881.00 1,588,912,478.60
Closing balance of cash equivalents 2,290,346,607.43 1,885,937,555.53
Add: Closing balance of cash equivalents 0.00 0.00
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Item Amount of this period Amount of last period
Less: Opening balance of cash equivalents 0.00 0.00
Net increase in cash and cash equivalents -1,124,162,726.43 -297,025,076.93
(XIV) Supplemental information
1. List of non-recurring gains and losses
Amount of Amount of last
Item
current period period
Loss and gains on disposal of non-current assets (Including write-off part of the
-1,117,826.93 -39,042.62
provision for asset impairment)
Tax rebates and cuts of ultra vires approval or without formal approval 0 0.00
Governmental subsidy included in the current profits and losses(is closely related with
the business event, except for the governmental subsidy that according to the national 1,066,335.23 200,000.00
unity standard quota or the quantitative regal assets)
Tax for the possession of funds from the non-financial business Included in the current
0.00 0.00
losses and gains
The quota of the Company receives from the subsidiaries, joint ventures and cooperative
enterprises of the costs of investment is less than that of the gains produced from the 0.00 0.00
investment which enjoys net assets of fair value that recognized by the investee.
Exchange gains and losses of non-monetary assets 0.00 0.00
Gains and losses of committing others of investment or managing assets 0.00 0.00
Withdrawing impairment of assets owning of force majeure factors, including suffer
0.00 0.00
from natural disasters
Gains and losses of debt restructuring 0.00 0.00
Enterprise restructuring charges, for example, staffing costs of integration 0.00 0.00
Gains and losses produced when exchanging prices unconscionable at the fair that
0.00 0.00
exceed the fair value
The current net profits and losses produced when the subsidiaries combine under
0.00 0.00
the same control from the beginning to the combining date
Gains and losses produced from the contingency which have nothing to do with
0.00 0.00
the Company‘s normal business operations
In addition to the valid hedging activity associated with the normal operation of the
Company, the changes in fair value through gains or losses which arising from the
holding trading financial assets and the trading financial liabilities as well as the 0.00
581,538.48
investment income that earning from the disposal of trading financial assets, trading
financial liabilities and available-for-sale financial assets
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
Amount of Amount of last
Item
current period period
The reversal of impairment of receivables of the individual impairment test 0.00 0.00
Gains and losses from the external entrusted loans 0.00 0.00
Gains and losses for changes in fair value of investment property resulting from the
0.00 0.00
subsequent measure through the fair value model
The impact of a one-time adjustment of current gains and losses according to the laws
0.00 0.00
and regulations of tax, accounting and others on current gains and losses
Trustee fee income earning from the entrusted management 0.00 0.00
Income and expenses of the other operation except for the mentioned above 11,995,901.98 7,223,103.61
The other items of gains and losses conforming the definition of non-recurring gains and
0.000 0.00
losses
Subtotal 12,525,948.76 7,384,060.99
The effect of income tax 3,131,487.19 1,846,015.24
The effect of minority interest (after tax) 0.00 0.00
Total 9,394,461.57 5,538,045.74
Notes: The number ―+‖ in the items of non-recurring gains and losses means profits and incomes, while ―-‖ means losses or costs.
The reorganization of the non-recurring gains and losses of the Group was executed according to rules of the ―Public Offering of
Securities of the Company Disclosure Explanatory Notice No. 1 - - Non-recurring Items‖ (SFC Announcement [2008] No.43).
2. Return on equity (ROE) and earnings per share (EPS)
EPS(Yuan/share)
Profit as of reporting period Weighted average ROE (%)
EPS-basic EPS-diluted
Net profit attributable to
common shareholders of the 10.94 0.75 0.75
Company
Net profit attributable to
common shareholders of the
10.75 0.73 0.73
Company after deduction of
non-recurring profit and loss
(2) Calculation of basic earnings per share and diluted earnings per share please refer to annotation VII,
37.
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2013 Semi-annual Report of Anhui Gujing Distillery Company Limited
3. Abnormalities in main items in financial statements of the Company and reasons thereof
Monetary capital at the period-end on 30 Jun. 2013 were of RMB 1,395,212,305.86 and down by 46.54% as compared with the
opening amount, which was mainly due to the purchase of financial assets by the owned funds in the reporting period.
Notes receivable at the period-end on 30 Jun. 2013 were of RMB 210,620,845.61 and up by 34.63% as compared with the opening
amount, which was mainly due to the sales profits which increased in the reporting period.
Accounts receivable at the period-end on 30 Jun. 2013 were of RMB 14,975,603.50 and up by 89.88% as compared with the opening
amount, which was mainly due to the sales profits which increased in the reporting period.
Interests receivable at the period-end on 30 Jun. 2013 were of RMB 20,036,811.87 and up by 176.22% as compared with the opening
amount, which was mainly due to the transformation from the monetary capitals to the bank fixed term depostis increased in the
reporting period.
Other accounts receivable at the period-end on 30 Jun. 2013 were of RMB 47,665,316.27 and up by 1.21 times as compared with the
opening amount, which was mainly due to the advance payments of the media advertising increased in the reporting period.
Long-term deferred expenses at the period-end on 30 Jun. 2013 were of RMB 44,158,545.35and up by 42.63% as compared with the
opening amount, which was mainly due to the project reform of the raise funds and the transformation of the repairing expenses.
Deposits received at the period-end on 30 Jun. 2013 were of RMB 234,396,426.04 and up by 104.52% as compared with
the opening amount, which was mainly due to the sales order increased in the Dragon Boat Festival busy season.
Payrolls payable at the period-end on 30 Jun. 2013 were of RMB 73,486,383.58 and down by 58.88% as compared with the opening
amount, which was mainly due to the payment of the wages of performance evaluation of the last year in the reporting period.
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IX. Documents Available for Reference
I. Financial statements signed and sealed by persons in charge of the Company, principal of
accounting work, and principal of accounting institution (manager of finance department);
II Originals of audit report sealed by accounting firm as well as signed and sealed by CPA.
III. In the reporting period, all originals of the Company‘s documents and public notices have been
publicly disclosed on China Securities Journal, Ta Kung Pao.
IV. Other relevant documents.
142
