STATEMENT OF CHANGES IN GROUP'S

FINANCIAL POSITION

FOR THE YEAR ENDED 31 DECEMBER 1989

SOURCE OF FUNDS

Profit before taxation

Adjustment for items not involving.

1989

HK$'000

85,016

1988

HK$'000

103,629

the movement of funds:-

Depreciation

38,398

35,805

(Profit)/ Loss on disposal of fixed assets

(145)

352

Provision for staff retirement benefits

50,165

12,289

Assets under construction written off

35

81

Total generated from operations

88,453 173,469

48,527

152,156

Funds from other sources:-

Proceeds from disposal of fixed assets Shares issued

462

318

115,931

462

173,931

116,249

268,405

APPLICATION OF FUNDS

Dividends paid

45,747

37,596

Tax paid

12,760

12,660

Additions to fixed assets and

assets under construction

34,390

57,573

Increase in other investments

357

4,525

Payments to staff retirement funds

17,498

15,192

Repayment of bank and other loans

49,627

42,544

160,379

170,090

13,552

98,315

INCREASE/(DECREASE) IN WORKING CAPITAL

Stocks and work in progress

(4,937)

10,750

Debtors

7,368

547

Creditors

(7,311)

(14,688)

Movements in net liquid funds:-

Short term deposit

4,000

128,000

Cash and bank balances

5,742

(18,911)

Bank overdrafts and loans

8,690

(7,383)

18,432

101,706

13,552

98,315

The notes on pages 15 to 25 form part of these accounts.

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