CTF Services Limited — Earnings Release 2000

Oct 25, 2000

Listed Company Information

PACIFIC PORTS<0659> - Results Announcement Pacific Ports Company Limited announced on 25/10/2000: (stock code: 659) Year end date: 30/6/2000 Currency: HK$ (Audited) (Audited) 18-month 12-month Period Period from 1/1/1999 from 1/1/1998 to 30/6/2000 to 31/12/1998 ('000) ('000) Turnover : 149,668 81,379 Profit/(Loss) from Operations : (54,977) (246,994) Finance cost : (6,989) (17,075) Share of Profit/(Loss) of Associates : 83,190 - Share of Profit/(Loss) of Jointly Controlled Entities : 47,262 - Profit/(Loss) after Tax & MI : 65,793 (240,052) % Change over Last Period : N/A EPS/(LPS)-Basic : 2.58 cents (29.29 cents) -Diluted : 2.58 cents N/A Extraordinary (ETD) Gain/(Loss) : - - Profit/(Loss) after ETD Items : 65,793 (240,052) Final Dividend per Share : NIL NIL (Specify if with other options) : N/A N/A B/C Dates for Final Dividend : N/A Payable Date : N/A B/C Dates for Annual General Meeting : 11/12/2000 to 18/12/2000 bdi. Other Distribution for Current Period : N/A B/C Dates for Other Distribution : N/A Remarks: 1. Change in financial year end date Pursuant to a resolution of the Company passed on 22 April, 1999, the financial year end date of the Company was changed from 31 December to 30 June to achieve a conterminous year end date with New World Development Company Limited, its then controlling shareholder. Accordingly, current period audited consolidated results of the Group are presented for a period of 18 months rather than for a period of 12 months as was adopted for the financial year ended 31 December, 1998. 2. Basis of presentation The Group has adopted the revised Statement of Standard Accounting Practice No. 2.101 "Presentation of Financial Statements" ("SSAP 1") and the format of the profit and loss account has been revised in accordance with SSAP 1. 3. Prior year adjustment In prior years, pre-operating expenses of the Group were capitalised and amortised over five years from the date of commencement of operation on a straight-line basis. During the period, the Group adopted the revised SSAP 1 and pre-operating expenses are now expensed when incurred. Accordingly, the comparative amounts for the year ended 31 December, 1998 have been restated, the principal effect of which is to increase the other operating expenses by HK$3,206,000, the share of loss by minority interests by HK$209,000 and the net loss attributable to shareholders by HK$2,997,000. 4. Loss from operating activities The Group's loss from operating activities included the following items which were exceptional in their nature and size: Period from 1 January, Year ended 1999 to 30 31 Decemeber June, 2000 1998 HK$'000 HK$'000 Write back of provisions against short-term loan receivables 9,100 - Provisions against short-term loan receivables - (28,504) Write-off of previously capitalised expense - (32,000) Legal and professional fees incurred in relation to a conditional cash offer for the shares of the Company - (2,941) Legal and professional fees in respect of claims against a former director and certain former related companies - (3,584) Provisions for impairment in value of listed equity securities * (6,035) (18,085) Provisions against amounts due from a former director and/or certain former related companies - (84,718) --------------------------- 3,065 (169,832) ========================= Effective from 1 January, 1999, the Group adopted the revised Statement of Standard Accounting Practice No.2102 "Net Profit or Loss for the Period, Fundamental Errors and Changes in Accounting Policies ("SSAP 2"). Exceptional items previously disclosed on the face of the profit and loss account for the 12 months ended 31 December, 1998 are now disclosed in a note as recommended by SSAP 2. * During the period, the Group adopted a new accounting policy on listed equity securities to comply with the new Statement of Standard Accounting Practice No. 2.124 "Accounting for Investments in Securities" ("SSAP 24"). Changes in the fair values of listed equity securities are dealt with as movements in the securities revaluation reserve, until the securities are sold or are determined to be impaired, when the cumulative gain or loss derived from the securities recognised in the security revaluation reserve, together with the amount of any impairment, is charged to the profit and loss account for the period in which the impairment arises. The provision for impairment in values of listed equity securities of the Group previously disclosed as part of the provisions against amounts due from a former director and/or certain former related companies, as the amount was subjected to legal proceedings against a former director for recovery, is now separately disclosed to reflect the amount charged to the profit and loss account in accordance with SSAP 24. 5. Earnings/(loss) per share The calculation of basic and diluted earnings/(loss) per share are based on: Period from 1 January Year ended 1999 to 30 31 December June, 2000 1998 HK$'000 HK$'000 (Restated) Earnings/(loss) --------------- Net profit/(loss) from ordinary activities attributable to share- holders 65,793 (240,052) Less: 4% cumulative convertible redeemable preference share dividend (38,351) - -------------------------- Earnings/(loss) used in basic and diluted earnings/(loss) per share calculation 27,442 (240,052) =========================== Number of shares ---------------- Weighted average number of ordinary shares in issue during the period/year used in basic earnings/(loss) per share calculation 1,064,388,230 819,462,000 Weighted average number of ordinary shares assumed issued at no consideration on deemed exercise of all share options outstanding during the period/year 187,580 - --------------- Weighted average number of ordinary shares during the period/year used in diluted earnings/(loss) per share calculation 1,064,575,810 N/A ================ 6. Transfer between reserves During the period ended 30 June 2000, a transfer of HK$288,302,000 was made from special reserve to accumulated losses to eliminate the consolidated accumulated loss position of the Group at 31 December, 1998.