FATFISH GROUP LIMITED — Annual Report 2004

Aug 30, 2004

Appendix 4E

Preliminary final report

Name of entity

Atech Holdings Ltd
ABN	88 004 080 460
Financial year ended ('current period')	30 June 2004	Previous corresponding period	30 June 2003

RESULTS FOR ANNOUNCEMENT TO THE MARKET

Revenues from ordinary activities	down	65.06%	$\mathbf{t}$	112.390
Profit (loss) from ordinary activities after tax attributable to members Net profit (loss) for the period attributable to members	down down	94.70% 94.70%	to tο	7,619 7.619
Dividends (distributions) No divídends were proposed.

ATECH HOLDINGS LIMITED (ABN 88 004 080 460) STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2004

	Note	30 June 2004 S	30 June 2003 $\mathbf{r}$
Revenues from ordinary activities Other expenses from ordinary activities	$\overline{2}$	112,390	172,748
		(104, 771)	(91, 817)
Borrowing costs expense	$\overline{2}$
Depreciation expense	2		(391)
Profit/(loss) from ordinary activities before income tax expense Income tax (revenue)/expense relating to		7,619	80,540
ordinary activities	3
Profit/(loss) from ordinary activities after related income tax (revenue)/expense		7,619	80,540
Net profit/(loss)		7,619	80,540
Net profit/(loss) attributable to outside equity interests
Net profit/(loss) attributable to members of the parent entity	15	7,619	80,540
Total changes in equity other than those resulting from transactions with owners as owners		7,619	80,540
Basic earnings (loss) cents per share	6	0.0392	0.4148

The accompanying notes form part of these financial statements

ATECH HOLDINGS LIMITED (ABN 88 004 080 460) STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2004

	Note	30 June 2004 S	30 June 2003 \$
Current Assets
Cash Assets Receivables	8 9	2,361,404 6,575	2,363,402 5,342
Total Current Assets		2,367,979	2,368,744
Non-Current Assets
Property, Plant and Equipment	10
Total Non-Current Assets
Total Assets		3,367,979	2,368,744
Current Liabilities
Payables Provisions	$\mathbf{1}$ 12	8,741	17,125 3,317
Total Current Liabilities		8,741	20,442
Total Liabilities		8,741	20,442
Net Assets		2,359,238	2,348,302
Equity
Contributed equity Reserves Accumulated Losses	13 $\overline{14}$ 15	3,916,480 52,199 (1,609,441)	3,916,480 53,054 (1,621,232)
Total Equity		2,359,238	2,348,302

The accompanying notes form part of these financial statements.

ATECH HOLDINGS LIMITED (ABN 88 004 080 460) STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2004

	Note	30 June 2004 - S	30 June 2003 S
Cash flows from operating activities
Cash receipts from Operations
Payments to suppliers		(115,193)	(134, 803)
Interest received		113,195	111,370
Other – Legal Settlement			62,000
Net cash provided by (used in) operating activities		(1,998)	38,567
Cash flows from investing activities
Proceeds from sale of property, plant and equipment			5,000
Net cash provided by investing activities			5,000
Net increase in cash held	7a	(1998)	43,567
Cash at 1 July 2003	8	2,363.402	2,319,835
Cash at 30 June 2004	8	2,361.404	2,363,402

The accompanying notes form part of these financial statements

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies adopted by ATECH Holdings Limited and its controlled entities (economic entity) are stated below to assist in the general understanding of this financial report. The accounting policies adopted have been consistently applied, unless otherwise stated.

$(a)$ Basis of Accounting

The financial report is a general purpose financial report that has been prepared in accordance with Accounting Standards, Urgent Issues Group Consensus Views and other authoritative pronouncements of the Australian Accounting Standards Board and the Corporations Act 2002. The financial report has also been prepared on an accruals basis and is based on historical costs and does not take into account changing money values or, except where stated, current valuations of non current assets. Cost is based on the fair value of the consideration given in exchange for assets.

The financial report covers the economic entity of ATECH Holdings Limited and controlled entities and ATECH Holdings Limited as an individual parent entity. ATECH Holdings Limited is a listed public company, incorporated and domiciled in Australia.

The following is a summary of the material accounting policies adopted by the economic entity in the preparation of the financial report. The accounting policies have been consistently applied, unless otherwise stated.

$(b)$ Principles of Consolidation

A controlled entity is any entity controlled by ATECH Holdings Limited. Control exists where ATECH Holdings Limited has the capacity to dominate the decision-making in relation to the financial and operating policies of another entity so that the other entity operates with ATECH Holdings Limited to achieve the objectives of ATECH Holdings Limited. A list of controlled entities is contained in Note 11 to the financial statements.

All inter-company balances and transactions between entities in the economic entity, including any unrealised profits or losses, have been eliminated on consolidation.

Where controlled entities have entered or left the economic entity during the year, their operating results have been included from the date control was obtained or until the date control ceased.

Outside interest in the equity and results of the entities that are controlled are shown as a separate item in the consolidated financial report.

Income Tax $(c)$

The economic entity adopts the liability method of taxeffect accounting whereby the income tax expense is based on the profit from ordinary activities adjusted for any permanent differences.

Timing differences which arise due to the different accounting periods in which items of revenue and expense are included in the determination of accounting profit (loss) and taxable income are brought to account as either a provision for deferred income tax or an asset described as future income tax benefit at the rate of income tax applicable to the period in which the benefit will be received or the liability will become payable.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (Cont'd)

Future income tax benefits are not brought to account unless realisation of the asset is assured beyond reasonable doubt. Future income tax benefits in relation to tax losses are not brought to account unless there is virtual certainty of realisation of the benefit.

The amount of benefits brought to account or which may be realised in the future is based on the assumption that no adverse change will occur in income taxation legislation and the anticipation that the economic entity will derive sufficient future assessable income to enable the benefit to be realised and will continue to comply with the conditions of deductibility imposed by the law.

$(d)$ Cash

For the nurnose of the Statement of Cash Flows, cash includes cash on hand and denosits at call with banks or financial institutions, which are readily convertible to cash, net of bank overdrafts.

Receivables $(e)$

Trade receivables and other receivables are recorded at amounts due less any provision for doubtful debts.

$(f)$ Payables

Trade payables and other accounts payable are recognised when the economic entity becomes obliged to make future payments resulting from the purchase of goods and services.

$(g)$ Borrowings

Debentures, bank loans and other loans are recorded at an amount equal to the net proceeds received. Interest expense is recognised on an accruals basis.

$(h)$ Comparative Figures

Where required by Accounting Standards, comparative figures have been reclassified to conform with changes in presentation for the current financial year.

$(i)$ Earnings Per Share

Basic earnings(loss) per share

Basic earnings (loss) per share is determined by dividing the net profit (loss) after income tax attributable to members of the company, excluding any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus elements in ordinary shares issued during the year.

Diluted earnings(loss) per share

Diluted earnings (loss) per share adjusts the figures used in the determination of basic earnings (loss) per share to take into account the after income tax effect of interest and other financing costs associated with dilutive potential ordinary shares and the weighted average number of shares assumed to have been issued for no consideration in relation to dilutive ordinary shares.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (Cont'd)

$\ddot{\mathbf{u}}$ Non Current Investments

Investments are brought to account at cost. The carrying amount of investments is reviewed annually by Directors to ensure they are not in excess of the recoverable amount of these investments. The recoverable amount is assessed from the shares current market value or the underlying net assets in the particular entities.

The expected net cash flows from investments have not been discounted to their present value in determining the recoverable amounts, except where stated.

Dividends are brought to account when received except for dividends from controlled entities which are brought to account when they are proposed by the controlled entity.

$(k)$ Revenue

Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial assets.

Dividend revenue is recognised when the right to receive a dividend has been established.

All revenue is stated net of the amount of goods and services tax (GST).

$\left( 1\right)$ Goods and Services Tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST.

NOTE 2: PROFIT/(LOSS) FROM ORDINARY ACTIVITIES BEFORE INCOME TAX EXPENSE (BENEFIT) Profit/(Loss) from ordinary activities before income tax expense (benefit) includes the following revenues and expenses.	30 June 2004 \$	30 June 2003 \$
(a) Expenses
Depreciation of property, plant & equipment - Motor Vehicles		391
(b) Revenue Interest received from Operating Activities: - Other persons and/or bodies corporate	112,390	110,748
Other: - Legal settlement and recoveries		62,000
Total Revenue	112,390	172,748

	30 June 2004 \$	30 June 2003 \$
NOTE 3: INCOME TAX
The prima facie tax on profit (loss) from ordinary activities before income tax is reconciled to the income tax as follows: -
Prima facie tax payable (benefit) on profit (loss) from ordinary activities before income tax at $30\%$	2,286	24,162
Less: Recoupment of prior year tax losses not previously brought to account	(2,286)	(24, 162)
Income tax expense (benefit) attributable to profit (loss) from ord inary activities
Future income tax benefits not brought to account, the benefits of which will only be realised if the conditions for deductibility set out in Note 1(c) occur:
- timing differences at 30% - tax losses at 30%	212,420	214.706
	212,420	214,706
Balance of franking account at year end adjusted for franking credits from payment of provision for income tax and dividends recognised as receivables, franking debits arising from payment of proposed dividends and franking credits that may be prevented from distribution in subsequent financial years at 30%.

	30 June 2004 S	30 June 2003 S
NOTE 4: DIRECTORS' REMUNERATION
Income paid or payable, or otherwise made available, in respect of the financial year, to all directors of the economic entity, directly or indirectly, by the economic entity or by any related party
Income paid or payable, or otherwise made available, in respect of the financial year, to all directors of the parent entity, directly or indirectly, by the parent entity or by any related party
Number of parent entity directors whose income from the parent entity and any related parties was within the following band:
$$0 - $$ - 9.999
The names of the parent entity directors who have held office during the financial year are:
Tan Sri Ir Talha Bin Hj Mohamad Hashim Stephen Leslie Adrian Suzanne Borelli There were no amounts paid to superannuation funds on behalf of directors during the financial year.
NOTE 5: AUDITORS' REMUNERATION
Remuneration of the auditor of the parent entity for: - Auditing and reviewing the financial report

19,905 12,715

	30 June 2004 S	30 June 2003 \$
NOTE 6: EARNINGS PER SHARE
(a) Reconciliation of Earnings to Net Profit/(Loss) Net Profit Net Profit/(Loss) attributable to outside equity interest	7,619	80,540
Earnings used in the calculation of basic EPS	7,619	80,540
(b) Weighted average number of ordinary shares outstanding during the year used in calculation of basic EPS	19,415,406	19,415,406
(c) As the dilutive earnings per share is not materially different from basic earnings per share, it is not required to be disclosed.
NOTE 7: CASH FLOW INFORMATION (a) Reconciliation of Cash Flows from Operating Activities with Profit (Loss) from Ordinary Activities after Income Tax
Profit (loss) from Ordinary Activities after Income Tax Non-cash flows in profit (loss) from Ordinary Activities	7,619	80,540
Loss on disposal of Property, plant and equipment Depreciation Changes in assets and liabilities, net of the effects of purchase and disposal of controlled		5,185 391
entities (Increase) Decrease in debtors Increase/(Decrease) in sundry creditors	(1,233) (8,384)	2,174 (49, 723)
Net cash provided by (used in) operating Activities	(1,998)	38,567
(b) Financing Facilities Bank Overdraft at Reporting Date	511

	30 June 2004 S	30 June 2003 \$
NOTE 8: CASH ASSETS
Cash at bank Deposits at call	6,344 2,355,060	14,495 2,348,905
	2,361,404	2,363,400
NOTE 9: RECEIVABLES
CURRENT Other debtors Amounts receivable from: - wholly owned controlled entities	6,575	5,342
	6,575	5,342
NOTE 10: PROPERTY, PLANT AND EQUIPMENT
Motor Vehicles at cost Accumulated depreciation
Total property, plant and equipment
NOTE 11: PAYABLES
CURRENT Unsecured Liabilities: - Sundry Creditors - Loan from controlled entity	8,741	17,125
	8,741	17,125
NOTE 12: PROVISIONS
CURRENT Dividends		3,317

NOTE 13:CONTRIBUTED EQUITY	30 June 2004 S	30 June 2003 5
Issued and Paid-up Capital
19,415,406 Fully paid ordinary shares (2002: 19,415,406)	3,916,480	3,916,480
(a) Paid Up Capital Balance at Beginning of the Financial Year Shares issued during the year - Nil	3.916.480	3,916,480
Balance at End of the Financial Year	3.916.480	3.916,480

(b) At 30 June 2004, the company had no options on issue $(2003; 4,997,305)$ . Options entitled the holder to subscribe for one ordinary share exercisable at 20c each on or before 8 December 2003, of which none were exercised.

(c) Ordinary shares participate in dividends and the proceeds on winding up of the parent entity in proportion to the number of shares held. At shareholders' meetings each ordinary share is entitled to one vote when a poll is called, otherwise each shareholder has one vote on a show of hands.

NOTE 14: RESERVES

Capital Profits Reserve movements during the
year: Opening balance	53.054	53.054
Loss On Debt Forgiven	(855)
Closing balance	52.199	53.054

Capital profits reserve records capital profits on disposal of non-current assets.

NOTE 15: ACCUMULATED LOSSES

Accumulated losses at the beginning of the financial year	(1,621,232)	(1.701, 772)
Net profit (loss) attributable to the members of the parent entity	7.619	80.540
Provisions Written Off Loss On Debt Forgiven	3,317 855
Accumulated losses at the end of the financial year	(1.612,758)	(1.621, 232)

NET TANGIBLE ASSET BACKING	Current period	$\Gamma$ Previous corresponding period
Net tangible asset backing per ordinary security	12.15c	12.09c

REVIEW OF OPERATIONS

During the year, the economic entity invested in cash. As the economic entity continued to search for new business opportunities the only revenue arose from investment activities. The entity earned a profit for the year, which is significantly better than prior years and arises from decreases in legal and administrative expenses incurred.

DIRECTORS STATEMENT

This report is based on accounts, which have been audited.

Sign here:	,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,	$\Box$ Date:
	(Director/Company Secretary)

Print name: Stephen Leslie Adrian