CMB_1998_Copy2 — Page 25

Consolidated Cash Flow Statement for the Year Ended 30th June, 1998 (Continued)

(Expressed in Hong Kong dollars)

NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT

(a) Reconciliation of profit from ordinary activities to net cash inflow from operating activities

1998

1997

$000's

$000's

Profit from ordinary activities

Exceptional items

Interest income

Dividends from listed investments

Depreciation

113,659

407,440

98,227

(339,202)

(164,454)

(50,381)

(96)

(29)

38,801

34,761

Loss on sales of fixed assets

425

333

Provision for employees' retirement schemes

23,548

71,699

Provision for major repairs to motor buses

6,195

Provision for insurance written back

(33,456)

(7,947)

Provision for obsolescence of stores and spare parts

21,533

2,423

Payments to employees' retirement schemes

(23,058)

(30,040)

Payments for major repairs to motor buses

(6,195)

Payments for insurance

(7,233)

(8,341)

Decrease/(increase) in stores and spare parts

7,995

(6,034)

Decrease in debtors, deposits and prepayments

2,540

4,607

(Decrease)/increase in creditors and accruals

(13,886)

8,784

Reclassification of deferred liabilities as current liabilities

(10,998)

(36,458)

Net cash inflow from operating activities

53,547

51,615

(b) Analysis of the balances of cash and cash equivalents as shown in the consolidated balance sheet

Short term deposits with banks

Cash at banks and in hand

20

1998

$000's

1997

$000's

2,554,491

18,137

1,044,433 19,593

2,572,628

1,064,026

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