IGG Inc — Interim / Quarterly Report 2011

Nov 25, 2010

CORPORATE INFORMATION

公司資料

BOARD OF DIRECTORS	Mr. Yeung Ming Biu (Chairman) Mr. Yeung Him Kit, Dennis (Managing Director) Mr. Fung Kwong Yiu (Executive Director) Madam Yeung Man Yee, Shirley (Executive Director) Mr. Lam Hing Lun, Alain (Finance Director) Mr. Choi Kwok Yum (Executive Director) Dr. Sun Ping Hsu, Samson (Independent Non-executive Director) Dr. Li Sau Hung, Eddy (Independent Non-executive Director) Mr. Choi Man Chau, Michael (Independent Non-executive Director)	董事會	楊明標先生(主席) 楊衍傑先生 (董事總經理) 馮廣耀先生 (執行董事) 楊敏儀女士 (執行董事) 林慶麟先生 (財務董事) 蔡國欽先生 (執行董事) 孫秉樞博士 (獨立非執行董事) 李秀恒博士 (獨立非執行董事) 蔡文洲先生 (獨立非執行董事)
COMPANY SECRETARY	Mr. Lam Hing Lun, Alain	公司秘書	林慶麟先生
PRINCIPAL BANKERS	Hang Seng Bank Limited Bank of China (Hong Kong) Limited	主要往來銀行	恒生銀行有限公司 中國銀行(香港)有限公司
AUDITOR	Deloitte Touche Tohmatsu Certified Public Accountants	核數師	德勤‧關黃陳方會計師行 執業會計師
HONG KONG BRANCH SHARE REGISTRARS	Tricor Secretaries Limited 26/F, Tesbury Centre 28 Queen's Road East Wanchai Hong Kong	股份過戶登記處 香港分處	卓佳秘書商務有限公司 香港 灣仔 皇后大道東28號 金鐘滙中心26樓
HONG KONG LEGAL ADVISER	Jennifer Cheung & Co	香港法律顧問	張美霞律師行
BERMUDA LEGAL ADVISER	Conyers, Dill & Pearman		百慕達法律顧問 Conyers, Dill & Pearman
REGISTERED OFFICE	Clarendon House Church Street Hamilton HM 11 Bermuda	註冊辦事處	Clarendon House Church Street Hamilton HM 11 Bermuda
PRINCIPAL PLACE OF BUSINESS	Room 312-8 China Insurance Group Building 141 Des Voeux Road Central Central Hong Kong	主要營業地點	香港 中環 德輔道中141號 中保集團大廈 312-8室

INTERIM RESULTS

The Board of Directors of Oriental Watch Holdings Limited (the "Company") is pleased to announce the unaudited consolidated results of the Company and its subsidiaries (the "Group") for the six months ended 30th September, 2010 together with the comparative figures for the corresponding period in 2009 as follows:

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the six months ended 30th September, 2010

中期業績

東方表行集團有限公司(「本公司」)董事 會欣然宣佈,本公司及其附屬公司(「本集 團」)截至二零一零年九月三十日止六個月 之未審核綜合業績連同二零零九年同期之 比較數字如下:

簡明綜合全面收益表

截至二零一零年九月三十日止六個月

			(Unaudited) Six months ended (未審核)
		Notes 附註	30th September, 2010 二零一零年 九月三十日 HK\$'000 千港元	截至下列日期止六個月 30th September, 2009 二零零九年 九月三十日 HK\$'000 千港元
Turnover Cost of goods sold	營業額 銷貨成本		1,678,823 (1,419,147)	1,417,809 (1,223,629)
Gross profit Other income Distribution and selling expenses Administrative expenses Finance costs	毛利 其他收入 分銷及銷售開支 行政開支 融資成本		259,676 24,156 (69,089) (118,688) (5,733)	194,180 20,345 (53,724) (106,776) (7,701)
Profit before taxation Taxation	除稅前溢利 稅項	4 5	90,322 (19,868)	46,324 (12,011)
Profit for the period attributable to owners of the Company	本公司擁有人應佔期內 溢利		70,454	34,313
Other comprehensive income (expense) Exchange difference arising on translation of foreign operations Change in fair value of	其他全面收益(開支) 換算海外業務所產生之 匯兌差額 可供出售金融資產之公		8,437	—
available-for-sale financial assets	平值變動		726	(1,155)
Other comprehensive income (expense) for the period	期內其他全面收益(開支)		9,163	(1,155)
Total comprehensive income for the period attributable to owners of the Company	本公司擁有人應佔期內全 面收益總額		79,617	33,158
Earnings per share — Basic	每股盈利 — 基本	7	18.09 HK cents 港仙	9.56 HK cents 港仙
— Diluted	— 攤薄		17.66 HK cents 港仙	9.56 HK cents 港仙

2 東方表行集團有限公司 Oriental Watch Holdings Limited

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

At 30th September, 2010

簡明綜合財務狀況表

於二零一零年九月三十日

		Notes 附註	(Unaudited) (未審核) 30th September, 2010 二零一零年 九月三十日 HK\$'000 千港元	(Audited) (經審核) 31st March, 2010 二零一零年 三月三十一日 HK\$'000 千港元
Non-current assets Property, plant and equipment Available-for-sale financial assets Property rental deposits Deposit paid for acquisition of associates	非流動資產 物業、機器及設備 可供出售金融資產 物業租金按金 就收購聯營公司支付之 按金	8	139,832 23,020 20,995 6,800	142,883 43,694 24,978 —
Current assets Inventories Trade and other receivables Taxation recoverable Bank balances and cash	流動資產 存貨 貿易及其他應收賬款 可退回稅項 銀行結餘及現金	9	190,647 1,347,305 165,025 310 197,895	211,555 1,247,838 132,221 397 224,881
Current liabilities Trade and other payables Taxation payable Current portion of secured long term bank loans Short-term bank loans	流動負債 貿易及其他應付賬款 應付稅項 有抵押長期銀行貸款之 即期部分 短期銀行貸款	10	1,710,535 197,500 21,285 30,000 117,716 366,501	1,605,337 101,466 12,921 30,000 186,862 331,249
Net current assets Total assets less current liabilities	流動資產淨值 資產總值減流動負債		1,344,034 1,534,681	1,274,088 1,485,643
Non-current liabilities Secured long-term bank loans	非流動負債 有抵押長期銀行貸款		75,000	90,000
Net assets Capital and reserves Share capital Reserves	資產淨值 資本及儲備 股本 儲備	11	1,459,681 38,948 1,420,733	1,395,643 38,948 1,356,695
Total equity	權益總額		1,459,681	1,395,643

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

簡明綜合權益變動表

For the six months ended 30th September, 2010

截至二零一零年九月三十日止六個月

		Share capital 股本 HK\$'000 千港元	Share premium 股份溢價 HK\$'000 千港元	Share option reserve 購股權儲備 HK\$'000 千港元	Capital redemption reserve 資本贖回儲備 HK\$'000 千港元	Subscription right reserve 認購權儲備 HK\$'000 千港元	Asset revaluation reserve 資產重估儲備 HK\$'000 千港元	Special reserve 特別儲備 HK\$'000 千港元	Translation reserve 換算儲備 HK\$'000 千港元	Retained profits 保留溢利 HK\$'000 千港元	Dividend reserve 股息儲備 HK\$'000 千港元	Total 合計 HK\$'000 千港元
At 1st April, 2010 (audited)	於二零一零年 四月一日(經審核)	38,948	262,188	1,774	425	—	1,129	5,180	39,989	1,030,431	15,579	1,395,643
Exchange difference arising on translation of foreign operations Change in fair value of available for-sale financial assets Profit for the period	換算海外業務所產生 之匯兌差額 可供出售金融資產 之公平值變動 期內溢利	— — —	— — —	— — —	— — —	— — —	— 726 —	— — —	8,437 — —	— — 70,454	— — —	8,437 726 70,454
Total comprehensive income for the period 2010 final dividend paid 2011 interim dividend declared	期內全面收益總額 已派發二零一零年 末期股息 已宣派二零一一年 中期股息	— — —	— — —	— — —	— — —	— — —	726 — —	— — —	8,437 — —	70,454 — (11,932)	— (15,579) 11,932	79,617 (15,579) —
At 30th September, 2010 (unaudited)	於二零一零年九月 三十日(未審核)	38,948	262,188	1,774	425	—	1,855	5,180	48,426	1,088,953	11,932	1,459,681
At 1st April, 2009 (audited)	於二零零九年 四月一日(經審核)	32,325	208,938	1,774	425	920	2,551	5,180	38,401	942,683	11,314	1,244,511
Change in fair value of available for-sale financial assets Profit for the period	可供出售金融資產 之公平值變動 期內溢利	— —	— —	— —	— —	— —	(1,155) —	— —	— —	— 34,313	— —	(1,155) 34,313
Total comprehensive income for the period Issue of new shares upon exercise of warrants Bonus issue of shares	期內全面收益總額 因行使認股權證而 發行新股份 派送紅股	— 900 3,323	— 15,570 —	— — —	— — —	— (180) —	(1,155) — —	— — —	— — —	34,313 — (3,323)	— — —	33,158 16,290 —
2009 final dividend paid in respect of shares issued since the approval of the 2009 consolidated financial statements 2009 final dividend paid 2010 interim dividend declared	二零零九年綜合財務 報表批准後才發行 之股份之已派發 二零零九年 末期股息 已派發二零零九年 末期股息 已宣派二零一零年	— —	— —	— —	— —	— —	— —	— —	— —	(315) —	— (11,314)	(315) (11,314)
At 30th September, 2009 (unaudited)	中期股息 於二零零九年九月 三十日(未審核)	— 36,548	— 224,508	— 1,774	— 425	— 740	— 1,396	— 5,180	— 38,401	(5,827) 967,531	5,827 5,827	— 1,282,330

The special reserve of the Group comprises the difference between the nominal amount of the share capital issued by the Company and the nominal amount of the issued share capital and special reserves of those companies which were acquired by the Company pursuant to a group reorganisation in 1993. The special reserves of these acquired subsidiaries represent the credit arising on reduction of their paid up share capital under the group reorganisation.

本集團之特別儲備包括本公司已發行股本 面值與本公司根據一九九三年進行集團重 組而收購之公司已發行股本面值之差額及 所收購公司之特別儲備。該等所收購附屬 公司之特別儲備指根據集團重組,削減該 等公司已繳足股本而產生之進賬。

CONDENSED CONSOLIDATED STATEMENT

OF CASH FLOWS

For the six months ended 30th September, 2010

簡明綜合現金流量表

截至二零一零年九月三十日止六個月

			(Unaudited) Six months ended (未審核)
		截至下列日期止六個月 30th September, 2010 二零一零年 九月三十日 HK\$'000 千港元	30th September, 2009 二零零九年 九月三十日 HK\$'000 千港元
Net cash from (used in) operating activities	經營業務所產生(所耗) 之現金淨額	72,133	(12,324)
Investing activities Purchase of property, plant and equipment Deposit paid for acquisition of associates Proceeds from disposal of available-for sale financial assets Proceeds from disposal of property, plant and equipment Other investing activities	投資業務 購買物業、機器及設備 收購聯營公司之已付 按金 出售可供出售金融資產 之所得款項 出售物業、機器及設備 之所得款項 其他投資業務	(7,517) (6,800) 22,900 2 203	(16,353) — — — 1,038
Net cash from (used in) investing activities 投資業務所產生(所耗)	之現金淨額	8,788	(15,315)
Financing activities Interest paid Proceeds from issue of new shares New bank loans raised Repayment of bank loans Dividends paid	融資活動 已付利息 發行新股份之所得款項 新造銀行貸款 償還銀行貸款 已付股息	(5,936) — 324,009 (411,939) (15,579)	(7,791) 16,290 572,272 (578,182) (11,629)
Net cash used in financing activities	融資活動所耗之現金淨額	(109,445)	(9,040)
Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of the period Effect of foreign exchange rate changes	現金及等同現金項目之 減少淨額 期初之現金及等同 現金項目 匯率變動之影響	(28,524) 224,881 1,538	(36,679) 202,618 —
Cash and cash equivalents at end of the period, represented by bank balances and cash	期終之現金及等同現金 項目,由銀行結餘及 現金代表	197,895	165,939

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

For the six months ended 30th September, 2010

1. Basis of preparation

The condensed consolidated financial statements have been prepared in accordance with the applicable disclosure requirements of Appendix 16 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Stock Exchange") and with Hong Kong Accounting Standard 34 ("HKAS") "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants (the "HKICPA").

2. Principal accounting policies

The condensed consolidated financial statements have been prepared on the historical cost basis except for certain financial instruments, which are measured at fair values.

The accounting policies adopted in the condensed consolidated financial statements are consistent with those followed in the preparation of the Group's annual audited financial statements for the year ended 31st March, 2010, except for the accounting policies described below.

In the current interim period, the Group has applied, for the first time, a number of new and revised standards, amendments and interpretation ("new or revised HKFRSs") issued by the HKICPA.

The Group has applied Hong Kong Financial Reporting Standard ("HKFRS") 3 (Revised) "Business Combinations" prospectively to business combinations of which the acquisition date is on or after 1st April, 2010. The requirements in HKAS 27 (Revised) "Consolidated and Separate Financial Statements" in relation to accounting for the Group's changes in ownership interests in a subsidiary after control is obtained and for loss of control of a subsidiary have also been applied prospectively by the Group on or after 1st April, 2010.

As there was no transaction during the current interim period to which HKFRS 3 (Revised) and HKAS 27 (Revised) are applicable, the application of HKFRS 3 (Revised), HKAS 27 (Revised) and the consequential amendments to other new or revised HKFRSs has had no effect on the condensed consolidated financial statements of the Group for the current or prior accounting periods.

Results of the Group in future periods may be affected by future transactions to which HKFRS 3 (Revised), HKAS 27 (Revised) and the consequential amendments to the other new or revised HKFRSs are applicable. The application of the other new and revised HKFRSs had no effect on the condensed consolidated financial statements of the Group for the current or prior accounting periods.

簡明綜合財務報表附註

截至二零一零年九月三十日止六個月

1. 編撰基準

簡明綜合財務報表乃按香港聯合交易所有限公 司(「聯交所」)證券上市規則附錄16之適用披 露規定及香港會計師公會(「香港會計師公會」) 所頒佈之香港會計準則(「香港會計準則」)第34 號「中期財務報告」而編撰。

2. 主要會計政策

除若干金融工具以公平值計量外,簡明綜合財 務報表乃按歷史成本基準編撰。

簡明綜合財務報表採用之會計政策與本集團編 撰截至二零一零年三月三十一日止年度之年度 經審核財務報表所依循者符合一致。

於本中期期間,本集團已首次應用由香港會計 師公會頒佈之若干新訂及經修訂準則、修訂本 及詮釋(「新訂或經修訂香港財務報告準則」)。

本集團已就收購日期為二零一零年四月一日或 其後之業務合併追溯應用香港財務報告準則 (「香港財務報告準則」)第3號(經修訂)「業務 合併」。本集團亦追溯應用香港會計準則第27 號(經修訂)「綜合及獨立財務報表」之會計要求 處理本集團於二零一零年四月一日或之後所取 得或失去控制權後之附屬公司擁有權之變動。

由於本中期期間並無適用於香港財務報告準則 第3號(經修訂)及香港會計準則第27號(經修 訂)之交易,故應用香港財務報告準則第3號 (經修訂)、香港會計準則第27號(經修訂)及 其他新訂或經修訂香港財務報告準則之相應修 訂對本集團於本會計期間或過往會計期間之簡 明綜合財務報表並無影響。

本集團於未來期間之業績可能因適用於香港財 務報告準則第3號(經修訂)、香港會計準則第 27號(經修訂)及其他新訂或經修訂香港財務報 告準則相應修訂之未來交易而受影響。應用其 他新訂及經修訂香港財務報告準則對本集團於 本會計期間或過往會計期間之簡明綜合財務報 表並無影響。

二零一零年中期業績報告 Interim Report 2010 7

NOTES TO THE CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS (Continued) 2. Principal accounting policies (Continued)

The Group has not early applied the following new or revised standards, amendments or interpretations that have been issued but are not yet effective:

HKFRSs (Amendments)	Improvements to HKFRSs 20101
HKAS 24 (Revised)	Related party disclosures3
HKFRS 1 (Amendment)	Limited exemption from comparative HKFRS 7 disclosures for first-time adopters2
HKFRS 9	Financial instruments4
HK(IFRIC) — INT 14 (Amendment)	Prepayments of a minimum funding requirement3
HK(IFRIC) — INT 19	Extinguishing financial liabilities with equity instruments2

• 1 Effective for annual periods beginning on or after 1st July, 2010 and 1st January, 2011, as appropriate.
• 2 Effective for annual periods beginning on or after 1st July, 2010.
• 3 Effective for annual periods beginning on or after 1st January, 2011.
• 4 Effective for annual periods beginning on or after 1st January, 2013.

HKFRS 9 "Financial Instruments" introduces new requirements for the classification and measurement of financial assets and will be effective from 1st April, 2013, with earlier application permitted. This Standard requires all recognised financial assets that are within the scope of HKAS 39 "Financial Instruments: Recognition and Measurement" to be measured at either amortised cost or fair value. Specifically, debt investments that (i) are held within a business model whose objective is to collect the contractual cash flows and (ii) have contractual cash flows that are solely payments of principal and interest on the principal outstanding are generally measured at amortised cost. All other debt investments and equity investments are measured at fair value. The application of HKFRS 9 might affect the classification and measurement of the Group's financial assets.

The directors of the Company anticipate that the application of other new and revised standards, amendments or interpretations will have no material impact on the results and the financial position of the Group.

簡明綜合財務報表附註(續)

2. 主要會計政策(續)

本集團並無提早應用以下已頒佈但尚未生效之 新訂或經修訂準則、修訂本或詮釋:

香港財務報告準則	二零一零年頒佈之香港
(修訂本)	財務報告準則之改進1
香港會計準則第24	關連人士之披露3
號(經修訂)
香港財務報告準則	首次採納者有關香港財
第1號(修訂本)	務報告準則第7號比
	較披露資料之有限
	豁免2
香港財務報告準則	金融工具4
第9號
香港(國際財務報告	預付最低融資要求3
詮譯委員會)—
詮釋第14號
(修訂本)
香港(國際財務報告	發行權益工具以註銷金
詮譯委員會)—	融負債2
詮釋第19號

• ¹ 適用於二零一零年七月一日或二零一一 年一月一日(視情況而定)或之後開始 之年度期間。
• ² 適用於二零一零年七月一日或之後開始 之年度期間。
• ³ 適用於二零一一年一月一日或之後開始 之年度期間。
• ⁴ 適用於二零一三年一月一日或之後開始 之年度期間。

香港財務報告準則第9號「金融工具」引入對金 融資產分類及計量之新規定,並將於二零一三 年四月一日起生效,准予提早應用。該準則規 定所有符合香港會計準則第39號「金融工具: 確認及計量」範疇之已確認金融資產將按攤銷 成本或公平值計量。特別是,(i)根據業務模式 以收取合約現金流量為目的所持有;及(ii)僅為 支付本金及未償還本金之利息而產生合約現金 流量之債務投資,一般按攤銷成本計量。所有 其他債務投資及權益投資乃按公平值計量。採 用香港財務報告準則第9號可能對本集團金融 資產之分類及計量造成影響。

本公司董事預計應用其他新訂及經修訂準則、 修訂本或詮釋將不會對本集團之業績及財務狀 況產生重大影響。

NOTES TO THE CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS (Continued)

3. Segment information

The Group's operation is sales of goods. The Group's turnover represents consideration received and receivable from sales of watches.

The Group has two operating segments, which are analysed based on geographical location of customers, being (a) Hong Kong, and (b) Macau and the People's Republic of China (the "PRC"), which are managed separately. The Group determines its operating segments based on the internal reports reviewed by the Managing Director of the Group that are used to allocate resources and assess performance.

The following is an analysis of the Group's segment revenue and results by operating segments.

簡明綜合財務報表附註(續)

3. 分部資料

本集團從事銷售貨品業務,而其營業額指銷售 鐘表之已收及應收代價。

本集團有兩個按客戶所在地分析之營運分部, 分別為(a)香港,以及(b)澳門及中華人民共和 國(「中國」),兩個分部分開管理。本集團按已 由本集團董事總經理審閱並賴以作出資源分配 及評估表現之內部報告釐定其營運分部。

本集團按營運分部劃分之分部營業額及業績之 分析如下:

			Turnover 營業額		Results 業績 Six months ended
		Six months ended 截至下列日期止六個月			截至下列日期止六個月
		30th	30th	30th	30th
		September,	September,	September,	September,
		2010	2009	2010	2009
		二零一零年	二零零九年	二零一零年	二零零九年
		九月三十日	九月三十日	九月三十日	九月三十日
		HK\$'000	HK\$'000	HK\$'000	HK\$'000
		千港元	千港元	千港元	千港元
Hong Kong	香港	1,135,781	930,576	80,461	40,652
Macau and the PRC	澳門及中國	543,042	487,233	31,426	23,160
		1,678,823	1,417,809	111,887	63,812
Unallocated other income	未分配其他收入			203	1,038
Unallocated corporate expenses	未分配企業開支			(16,035)	(10,825)
Finance costs	融資成本			(5,733)	(7,701)
Profit before taxation	除稅前溢利			90,322	46,324

Segment profit represents the profit earned by each segment without allocation of directors' salaries, unallocated other income and expenses and finance costs. This is the measure reported to the Managing Director of the Group for the purposes of resources allocation and performance assessment.

Inter-segment sales are charged at the prevailing market rate.

分部溢利指在未分配董事薪金、未分配其他收 支及融資成本下各分部賺取之溢利,此乃向本 集團之董事總經理就資源分配及表現評估作出 報告之計量方式。

分部間銷售乃按現行市場利率計算。

NOTES TO THE CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS (Continued)

4. Profit before taxation

簡明綜合財務報表附註(續)

4. 除稅前溢利

			Six months ended
			截至下列日期止六個月
		30th	30th
		September,	September,
		2010	2009
		二零一零年	二零零九年
		九月三十日	九月三十日
		HK\$'000	HK\$'000
		千港元	千港元
Profit before taxation has been arrived at after charging:	除稅前溢利已扣除:
Depreciation of property, plant and equipment	物業、機器及設備之折舊	11,979	13,868
Directors' remuneration (note)	董事酬金(附註)	14,907	9,730
Loss on disposal of property, plant and equipment 出售物業、機器及設備之虧損		1,080	—
and after crediting:	並已計入:
Dividend income from available-for-sale	可供出售金融資產之股息收入
financial assets		—	1,000
Interest income	利息收入	203	38
Note: Key management personnel of the Group mainly include directors of the Company.	附註:	司之董事。	本集團之主要管理人員主要包括本公

5. Taxation

directors of the Company.

5. 稅項

		Six months ended 截至下列日期止六個月
		30th	30th
		September,	September,
		2010	2009
		二零一零年	二零零九年
		九月三十日	九月三十日
		HK\$'000	HK\$'000
		千港元	千港元
Hong Kong Profits Tax calculated at 16.5% (2009: 16.5%) on the estimated assessable profit for	根據期內估計應課稅溢利按稅率 16.5%(二零零九年:16.5%)
the period	計算之香港利得稅	(11,415)	(6,915)
Taxation in other jurisdictions	其他司法權區之稅項	(8,453)	(5,096)
		(19,868)	(12,011)

Taxation in other jurisdictions is calculated at the rates prevailing pursuant to the relevant laws and regulations.

其他司法權區之稅項乃根據有關法例及法規按 現行稅率計算。

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

6. Dividend

During the six months ended 30th September, 2010, a final dividend of 4.0 Hong Kong cents per share, totalling HK\$15,579,000, in respect of the year ended 31st March, 2010 (2009: 3.5 Hong Kong cents per share, totalling HK\$11,629,000) was approved at the annual general meeting held on 24th August, 2010.

On 17th November, 2010, the directors resolved to declare an interim dividend of 3.0 Hong Kong cents per share in respect of the six months ended 30th September, 2010 (2009: 1.5 Hong Kong cents per share), totalling HK\$11,932,000 (2009: HK\$5,827,000), to be paid in cash to those shareholders whose names appear on the Company's register of members on 10th December, 2010.

7. Earnings per share

簡明綜合財務報表附註(續)

6. 股息

截至二零一零年九月三十日止六個月內,已於 二零一零年八月二十四日舉行之股東週年大會 上批准派發截至二零一零年三月三十一日止年 度之末期股息每股4.0港仙,合共15,579,000 港 元(二 零 零 九 年: 每 股3.5港 仙, 合 共 11,629,000港元)。

於二零一零年十一月十七日,董事議決宣派 截至二零一零年九月三十日止六個月之中期 股息每股3.0港 仙(二 零 零 九 年: 每 股1.5港 仙 ), 合 共11,932,000港 元(二 零 零 九 年: 5,827,000港元),將以現金派付予二零一零年 十二月十日名列本公司股東名冊之股東。

7. 每股盈利

Six months ended
截至下列日期止六個月
30th	30th
September,	September,
2010	2009
二零一零年	二零零九年
九月三十日	九月三十日
HK\$'000	HK\$'000
千港元	千港元
70,454	34,313

			Number of shares 股份數目 Six months ended 截至下列日期止六個月
		30th	30th
		September,	September,
		2010	2009
		二零一零年	二零零九年
		九月三十日	九月三十日
Weighted average number of ordinary shares for the purpose of calculating basic earnings per share Effect of dilutive potential ordinary shares — share options	計算每股基本盈利之加權平均 普通股數目 潛在攤薄普通股之影響 — 購股權	389,478,520 9,448,205	359,054,710 —
Weighted average number of ordinary shares for the purpose of calculating diluted earnings per share	計算每股攤薄盈利之加權平均 普通股數目	398,926,725	359,054,710

Profit for the period attributable to owners of the Company for the purposes of basic and diluted earnings per share

計算每股基本及攤薄盈利 之本公司擁有人應佔期內溢利

NOTES TO THE CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS (Continued) 8. Property, plant and equipment

During the six months ended 30th September, 2010, the Group incurred HK\$9,226,000 (2009: HK\$16,753,000) to acquire plant and equipment for its operation.

The Group has pledged certain land and buildings with an aggregate carrying value of HK\$41,253,000 (31st March, 2010: HK\$41,475,000) to a bank to secure the bank loan facilities granted to the Group.

9. Trade and other receivables

簡明綜合財務報表附註(續)

8. 物業、機器及設備

於截至二零一零年九月三十日止六個月內, 本集團購買了9,226,000港元(二零零九年: 16,753,000港元)之機器及設備作其營運用途。

本集團已向銀行抵押總賬面值為41,253,000 港元(二零一零年三月三十一日:41,475,000 港元)之若干土地及樓宇,以作為本集團獲授 銀行貸款融資之抵押。

9. 貿易及其他應收賬款

		30th	31st
		September,	March,
		2010	2010
		二零一零年	二零一零年
		九月三十日	三月三十一日
		HK\$'000	HK\$'000
		千港元	千港元
Trade receivables	貿易應收賬款	137,806	93,523
Balance of consideration receivable	應收出售可供出售金融資產
from sale of available-for-sale financial assets	代價之餘款	—	1,500
Property rental and utilities deposits	物業租金及公用設施按金	18,563	16,570
Advances to apparel suppliers	向服裝供應商墊款	793	1,272
Advances to other suppliers	向其他供應商墊款	2,229	336
VAT receivables	可退回增值稅	4,521	16,591
Other receivables	其他應收賬款	1,113	2,429
		165,025	132,221

The Group maintains a general credit policy of not more than 30 days for its wholesales customers. Sales made to retail customers are made on a cash basis. The following is an aged analysis of trade receivables presented based on the invoice date at the end of the reporting period:

本集團對其批發客戶實行不超過30日之一般 信貸政策。零售銷售主要以現金進行。以下為 貿易應收賬款於呈報期末按發票日期之賬齡分 析:

		30th	31st
		September,	March,
		2010	2010
		二零一零年	二零一零年
		九月三十日	三月三十一日
		HK\$'000	HK\$'000
		千港元	千港元
Age	賬齡
0 to 30 days	0至30日	126,888	88,354
31 to 60 days	31至60日	5,928	3,863
61 to 90 days	61至90日	4,063	1,187
Over 90 days	90日以上	927	119
		137,806	93,523

二零一零年中期業績報告 Interim Report 2010 11

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

簡明綜合財務報表附註(續)

10. Trade and other payables

10. 貿易及其他應付賬款

		30th September, 2010 二零一零年	31st March, 2010 二零一零年
		九月三十日 HK\$'000	三月三十一日 HK\$'000
		千港元	千港元
Trade payables Payroll and welfare payables Commission payables Advances from customers Renovation work payables VAT payables Interest payables Property rental payables Other payables	貿易應付賬款 應付工資及福利 應付佣金 向客戶墊款 應付翻新工程賬款 應付增值稅 應付利息 應付物業租金 其他應付賬款	150,473 22,826 3,659 2,310 3,329 815 885 — 13,203	61,294 14,807 7,433 4,559 1,620 1,923 1,088 128 8,614
		197,500	101,466

The following is an aged analysis of trade payables presented based on the invoice date at the end of the reporting period:

以下為貿易應付賬款於呈報期末按發票日期呈 列之賬齡分析:

		30th	31st
		September,	March,
		2010	2010
		二零一零年	二零一零年
		九月三十日	三月三十一日
		HK\$'000	HK\$'000
		千港元	千港元
Age	賬齡
0 to 60 days	0至60日	149,517	58,795
61 to 90 days	61至90日	389	1,883
Over 90 days	90日以上	567	616
		150,473	61,294

Age	賬齡

NOTES TO THE CONDENSED CONSOLIDATED

簡明綜合財務報表附註(續)

FINANCIAL STATEMENTS (Continued)

11. Share capital

11. 股本

			Number of shares 股份數目	Amount 價值 HK\$'000 千港元
	Ordinary shares of HK\$0.10 each	每股面值0.10港元之普通股
	Authorised: At 1st April, 2009 Increase on 26th August, 2009	法定: 於二零零九年四月一日 於二零零九年八月二十六日增加	500,000,000 500,000,000	50,000 50,000
	At 31st March, 2010 and 30th September, 2010	於二零一零年三月三十一日及 二零一零年九月三十日	1,000,000,000	100,000
	Issued and fully paid: At 1st April, 2009 Issue of shares upon exercise of warrants Bonus issue of shares	已發行及繳足: 於二零零九年四月一日 於行使認股權證時發行股份 派送紅股	323,253,200 33,000,000 33,225,320	32,325 3,300 3,323
	At 31st March, 2010 and 30th September, 2010	於二零一零年三月三十一日及 二零一零年九月三十日	389,478,520	38,948
(a)	An ordinary resolution was passed at the annual general meeting of the Company held on 26th August, 2009 such that the authorised share capital of the Company was increased from HK\$50,000,000 to HK\$100,000,000 by the creation of 500,000,000 ordinary shares of HK\$0.10 each.	(a)	藉本公司於二零零九年八月二十六日 舉行之股東週年大會上通過之普通決 議 案, 本 公 司 之 法 定 股 本 透 過 增 設 500,000,000股每股面值0.10港元之 普 通 股, 由50,000,000港元增加至 100,000,000港元。
	Another ordinary resolution was passed at the same annual general meeting such that the issued share capital was increased by way of a bonus issue by charging HK\$3,323,000 to the retained profits account in payment in full at par of 33,225,320 ordinary shares of HK\$0.10 each on the basis of one new ordinary share for every ten ordinary shares held on 26th August, 2009.		藉於同一股東週年大會上通過之另一 項普通決議案,已發行股本以派送紅 股方式增加,方式為自保留溢利賬扣 除3,323,000港元以按面值繳足根據於 二零零九年八月二十六日每持有十股普 通股獲派一股新普通股之基準派送之 33,225,320股每股面值0.10港元之普通

(b) During the year ended 31st March, 2010 and prior to the bonus issue of shares set out in (a) above, 9,000,000 shares were issued upon exercise of warrants at a subscription price of HK\$1.81 per share, resulting in the issue of 9,000,000 ordinary shares of HK\$0.10 each in the Company.

Subsequent to the bonus issue of shares set out in (a) above, 24,000,000 shares were issued upon exercise of warrants at an adjusted subscription price of HK\$1.65 per share, resulting in the issue of 24,000,000 ordinary shares of HK\$0.10 each in the Company.

The new bonus shares issued on 26th August, 2009 are not entitled to the final dividend for the year ended 31st March, 2009. All other shares issued during that year rank pari passu with the then existing shares in all respects.

享有截至二零零九年三月三十一日止年度之末 期股息。於年內發行之所有其他股份在各方面 與當時之現有股份享有同等權益。

於二零零九年八月二十六日發行之新紅股並不

(b) 於截至二零一零年三月三十一日止年 度內及於上文(a)所載之派送紅股前, 9,000,000股股份已於按每股1.81港元 之認購價行使認股權證後發行,本公司 為此而發行9,000,000股每股面值0.10

於上文(a)所 載 之 派 送 紅 股 後, 24,000,000股股份已於按每股1.65港元 之經調整認購價行使認股權證後發行, 本公司為此而發行24,000,000股每股面

二零一零年中期業績報告 Interim Report 2010 13

值0.10港元之普通股。

股。

港元之普通股。

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

12. Share-based payment transaction

The Company has share options scheme for eligible directors of the Company, employees, consultants, customers, suppliers or advisors of the Company or a company in which the Company holds an interest or a subsidiary of such company.

Number of share

options outstanding at 1st

Details of specific categories of options are as follows:

4th June, 2007 12,430,000 Nil 4th June, 2007 二零零七年六月四日 無 二零零七年六月四日至 No share option was exercised during the six months ended 30th

September, 2010 (2009: nil).

13. Warrants

On 11th June, 2007, the Company entered into two warrants placing agreements with two independent subscribers in relation to private placing of an aggregate of 55,000,000 warrants to the subscribers, at an issue price of HK\$0.02 per warrant, representing an aggregate subscription price of HK\$1,100,000. The warrants entitle the subscribers to subscribe for new ordinary shares of the Company of HK\$0.10 each at an initial subscription price of HK\$1.81 per share (subject to anti-dilutive adjustment) for a period of 30 months commencing from the date of issue of warrants. Following the bonus issue of the Company's shares on the basis of one new share for every ten shares held on 26th August, 2009, the above subscription price per share was adjusted from HK\$1.81 to HK\$1.65.

During the year ended 31st March, 2010, 33,000,000 new shares were issued on exercise of the warrants.

The subscription rights conferred by the warrants lapsed during the year ended 31st March, 2010. Issue price of these unexercised rights, amounting to HK\$260,000, was credited directly to retained profits.

簡明綜合財務報表附註(續)

12. 以股份為基礎之付款交易

本公司為本公司之合資格董事、本公司之僱 員、顧問、客戶、供應商或諮詢人或本公司持 有該公司之權益之公司或該公司之附屬公司設 有購股權計劃。

特定購股權類別之詳情如下:

April, 2010 and 30th September, 2010 於二零一零年四月一日 及二零一零年九月三十日	Vesting period	Exercisable period	Exercise price per share
之未行使購股權數目	歸屬期間	可行使期間	每股行使價
		to 15th January, 2014 二零一四年一月十五日	HK\$1.547 1.547港元
		to 3rd June, 2017 二零一七年六月三日	HK\$1.604 1.604港元

於截至二零一零年九月三十日止六個月內,概 無購股權已獲行使(二零零九年:無)。

13. 認股權證

於二零零七年六月十一日,本公司就按每份認 股權證0.02港元之發行價向認購人私人配售 合共55,000,000份認股權證而與兩名獨立認 購人訂立兩份認股權證配售協議,總認購價為 1,100,000港元。認股權證賦予認購人權利, 可於自發行認股權證日期起計30個月之期間 內按每股1.81港元(視乎反攤薄調整)之初步 認購價認購本公司每股面值0.10港元之新普通 股。於本公司按於二零零九年八月二十六日每 持有十股股份獲派一股新股份之基準派送紅股 後,上述每股認購價由1.81港元調整至1.65 港元。

於截至二零一零年三月三十一日止年度內, 33,000,000股新股已於行使認股權證時發行。

認股權證賦予之認購權於截至二零一零年三月 三十一日止年度內失效。該等未行使權利之發 行價260,000港元直接計入保留溢利。

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

簡明綜合財務報表附註(續)

14. 其他承擔

At the end of the reporting period, the Group committed to pay royalties for the usage of a fashion brand for manufacture and trading of apparels with a minimum guarantee royalties payment as follows:

於呈報期末,本集團承諾就使用某一時尚品牌 以製造及經銷服飾支付版稅,最低保證版稅之 付款額如下:

31st March,
2010
二零一零年
三月三十一日
HK\$'000
千港元
1,646
8,249
9,895

14. Other commitments

The Group was also subject to pay royalties at 6% on total net wholesales made per annum on top of the above minimum guarantee royalties.

15. Event after the reporting period

On 3rd November, 2010, a wholly owned subsidiary of the Company entered into an agreement with an independent third party for the acquisition of 40% equity interest in each of two companies (the "Target Companies") for a consideration of NT\$80,136,000 (equivalent to approximately HK\$20 million). The Target Companies are incorporated in Taiwan. They are principally engaged in the sales of watches in Taiwan. Upon completion of the transaction, the Target Companies will become associates of the Group.

At 30th September, 2010, a refundable deposit amounting to NT\$27,200,000 (equivalent to HK\$6,800,000) was paid to the seller. This deposit was included in the condensed consolidated statement of financial position at 30th September, 2010 as a non-current asset.

除上述最低保證版稅外,本集團亦須按每年總 批發淨額之6%支付版稅。

15. 呈報期後事項

於二零一零年十一月三日,本公司之全資附屬 公司就收購兩間公司(「目標公司」)各自之40% 股權與獨立第三方訂立協議,代價為新台幣 80,136,000元(相等於約20,000,000港元)。 目標公司乃於台灣註冊成立,主要在台灣從事 銷售鐘表。於交易完成後,目標公司將成為本 集團之聯營公司。

於 二 零 一 零 年 九 月 三 十 日, 為 數 新 台 幣 27,200,000元(相等於6,800,000港元)之可退 回按金已支付予賣方。該筆按金已計入於二零 一零年九月三十日之簡明綜合財務狀況表,列 作非流動資產。

DIRECTORS' INTERESTS AND SHORT POSITIONS IN SECURITIES

As at 30th September, 2010, the interests and short positions of the directors of the Company in the shares and underlying shares of the Company, as recorded in the register required to be kept under Section 352 of the Hong Kong Securities and Futures Ordinance (the "SFO"), or as otherwise notified to the Company and The Stock Exchange of Hong Kong Limited (the "Stock Exchange") pursuant to the Model Code for Securities Transactions by Directors of Listed Companies were as follows:

根據香港證券及期貨條例(「證券及期貨條 例」)第352條規定保管之登記冊所記錄, 於二零一零年九月三十日,本公司之董事 於本公司之股份及相關股份中擁有之權益 及淡倉,或根據上市公司董事進行證券交 易的標準守則須知會本公司及香港聯合交 易所有限公司(「聯交所」)之權益及淡倉如 下:

		Personal interest	Family interest	Corporate Interest	Total number of shares	Percentage of issued share capital of the Company 佔本公司已發行
Name of director	董事姓名	個人權益	家族權益	公司權益	股份總數	股本百分比
Yeung Ming Biu	楊明標	15,022,986	6,600,000	106,803,801 (note (a)) (附註(a))	128,426,787	32.97%
Yeung Him Kit, Dennis	楊衍傑	2,970,000	—	(note (b)) (附註(b))	2,970,000	0.76%
Fung Kwong Yiu	馮廣耀	4,953,467	—	(note (c)) (附註(c))	4,953,467	1.27%
Yeung Man Yee, Shirley	楊敏儀	2,970,000	184,301	(note (d)) (附註(d))	3,154,301	0.81%
Lam Hing Lun, Alain	林慶麟	2,970,000	—	—	2,970,000	0.76%
Choi Kwok Yum	蔡國欽	2,970,000	—	—	2,970,000	0.76%
Sun Ping Hsu, Samson, Dr.	孫秉樞博士	—	—	2,200,000 (note (e)) (附註(e))	2,200,000	0.56%

DIRECTORS' INTERESTS AND SHORT POSITIONS IN SECURITIES (Continued)

Notes:

(a) Mr. Yeung Ming Biu and his wife, Madam Au Po Kee, are the beneficial owners of 45% and 22.5% respectively of the issued share capital of Realtower Holdings Limited. Realtower Holdings Limited is the beneficial owner of 65% of the issued share capital of Furama Investments Limited, which is the beneficial owner of 80% of the issued share capital of Datsun Holdings Limited. Datsun Holdings Limited is the beneficial owner of 106,480,000 shares in the Company.

Mr. Yeung Ming Biu is the beneficial owner of 47.5% of the issued share capital of Y.H. Chan Limited, which is the beneficial owner of 25% of the issued share capital of Furama Investments Limited. Y.H. Chan Limited also directly holds 323,801 shares in the Company.

• (b) Mr. Yeung Him Kit, Dennis is the beneficial owner of 10% and 8% of the issued share capital of Realtower Holdings Limited and Real Champ Limited respectively. Real Champ Limited is the beneficial owner of 20% of the issued share capital of Datsun Holdings Limited.
• (c) Mr. Fung Kwong Yiu is the beneficial owner of 6% of the issued share capital of Real Champ Limited.
• (d) Madam Yeung Man Yee, Shirley is the beneficial owner of 7.5% of the issued share capital of Realtower Holdings Limited.
• (e) Dr. Sun Ping Hsu, Samson and his family members are beneficial owners of the entire issued share capital of Sun International Limited, which is the beneficial owner of 2,200,000 shares in the Company.
• (f) The personal interest of each of the above named directors (except Dr. Sun Ping Hsu, Samson) includes/refers to options to subscribe for 2,970,000 shares of the Company as detailed in the paragraph headed "Share option scheme and directors' rights to acquire shares or debentures" below.

Save as disclosed above, and other than certain nominee shares in subsidiaries held by a director in trust for the Company, none of the directors of the Company had any interest or short positions in any shares, underlying shares or debentures of the Company or any of its associated corporations (within the meaning of Part XV of the SFO) as recorded in the register required to be kept under Section 352 of the SFO or as otherwise notified to the Company and the Stock Exchange pursuant to the Model Code for Securities Transactions by Directors of Listed Companies.

董事擁有之證券權益及淡倉(續)

附註:

(a) 楊明標先生及其妻子區寶琪女士分別實益擁 有Realtower Holdings Limited已發行股本 45%及22.5%。Realtower Holdings Limited 實益擁有Furama Investments Limited已 發 行股本65%。Furama Investments Limited 實益擁有Datsun Holdings Limited已發行股 本80%。Datsun Holdings Limited實益擁有 106,480,000股本公司股份。

楊明標先生實益擁有陳耀洪有限公司已發行股 本47.5%。陳耀洪有限公司實益擁有Furama Investments Limited已發行股本25%。陳耀洪 有限公司亦直接持有323,801股本公司股份。

• (b) 楊衍傑先生分別實益擁有Realtower Holdings Limited及Real Champ Limited已發行股本 10%及8%。Real Champ Limited實益擁有 Datsun Holdings Limited已發行股本20%。
• (c) 馮廣耀先生實益擁有Real Champ Limited已發 行股本6%。
• (d) 楊敏儀女士實益擁有Realtower Holdings Limited已發行股本7.5%。
• (e) 孫秉樞博士及其家族成員實益擁有Sun International Limited全 部 已 發 行 股 本。Sun International Limited實益擁有2,200,000股本 公司股份。
• (f) 上述董事(孫秉樞博士除外)各自之個人權益包 括╱指可認購2,970,000股本公司股份之購股 權(於下文「購股權計劃及董事購買股份或債券 之權利」一段詳述)。

除上文所披露者及一名董事以信託形式代 本公司持有附屬公司之若干代理人股份 外,根據證券及期貨條例第352條規定保 管之登記冊所記錄,本公司之董事概無於 本公司或其任何相聯法團(定義見證券及 期貨條例第XV部)之任何股份、相關股份 或債券中擁有任何權益或淡倉,或根據上 市公司董事進行證券交易的標準守則須知 會本公司及聯交所之權益或淡倉。

SHARE OPTION SCHEME AND DIRECTORS' RIGHTS TO ACQUIRE SHARES OR DEBENTURES

Pursuant to an ordinary resolution passed in the Company's special general meeting held on 3rd November, 2003, the Company approved and adopted a Share Option Scheme.

Under the Share Option Scheme, options may be granted to any director of the Company, employee, consultant, customer, supplier or advisor of the Company or a company in which the Company holds an interest or a subsidiary of such company (the "Eligible Persons"), the trustee of the Eligible Persons or a company beneficially owned by the Eligible Persons. The purpose of the Share Option Scheme is to attract and retain quality personnel and other persons to provide incentive to them to contribute to the business and operation of the Company. The total number of shares available for issue under the Share Option Scheme is 38,947,852 shares, representing 10% of the issued share capital of the Company as at the date of this report. No Eligible Persons shall be granted an option in any 12-month period for such number of shares (issued and to be issued) which in aggregate would exceed 1% of the share capital of the Company in issue on the last day of such 12-month period unless approval of the shareholders of the Company has been obtained in accordance with the Rules Governing the Listing of Securities on the Stock Exchange (the "Listing Rules"). The exercisable period is determined by the directors, which shall not be more than 10 years from the date of grant, and may include a minimum period for which the options must be held before it can be exercised. An offer of the grant of an option shall be opened for acceptance in writing received by the secretary of the Company for a period of 21 days from the Eligible Persons without paying any consideration upon the acceptance of the offer. The exercise price per share payable on the exercise of an option equals to the highest of:

• (a) the average closing price per share as quoted in the Stock Exchange's daily quotations sheet for the five business days immediately preceding the date of grant.
• (b) the closing price per share as stated in the Stock Exchange's daily quotations sheet on the date of grant; and
• (c) the nominal value of the share.

購股權計劃及董事購買股份或債券 之權利

根據本公司於二零零三年十一月三日舉行 之股東特別大會上通過之普通決議案,本 公司已批准及採納購股權計劃。

根據購股權計劃,購股權可授予本公司之 任何董事、僱員、顧問、客戶、本公司之 供應商或諮詢人或本公司持有該公司之權 益之公司或該公司之附屬公司(「合資格人 士」)、合資格人士之信託人或合資格人 士實益擁有之公司。購股權計劃旨在向優 秀人才及其他人士給予獎勵,以吸引彼等 在本集團留任及對本公司之業務及經營作 出貢獻。購股權計劃項下可供發行之股份 數目合共為38,947,852股,佔本公司於 本報告日期之已發行股本10%。根據聯 交所證券上市規則(「上市規則」),除非 獲本公司股東批准,否則於任何十二個月 期間內,合資格人士不得獲授予涉及股份 數目(已發行及將予發行)合共超過本公司 於該十二個月期間之最後一日之已發行股 本1%之購股權。行使期乃由董事釐定, 惟不得超過自授出日期起計十年及包括購 股權行使前必須持有之最短期限。合資格 人士可於提呈授予購股權當日起21日內 以書面方式向本公司秘書表示是否接受該 提呈,而於接受該提呈時毋須支付任何代 價。在行使購股權時應付之每股行使價將 為以下三者中之最高者:

• (a) 股份於緊接授出當日前五個營業日在 聯交所每日報價表所報之每股平均收 市價。
• (b) 股份於授出當日在聯交所每日報價表 所報之每股收市價;及
• (c) 股份面值。

SHARE OPTION SCHEME AND DIRECTORS' RIGHTS TO ACQUIRE SHARES OR DEBENTURES (Continued)

The Share Option Scheme is valid for a period of ten years commencing on the adoption date on 3rd November, 2003.

The following table discloses movements of the options granted under the Share Options Scheme to directors and certain employees during the year:

購股權計劃及董事購買股份或債券 之權利(續)

購股權計劃自採納日期二零零三年十一月 三日起計十年內有效。

下表披露董事及若干僱員於年內根據購股 權計劃獲授購股權之變動:

			Number of share options 購股權數目
Name or category of participant 參與者姓名或類別	At 1st April, 2010 於二零一零年 四月一日	Granted during the period 期內授出	Lapsed during the period 期內失效	At 30th September, 2010 於二零一零年 九月三十日	Date of grant of share options 購股權 授出日期	Original exercise price per share 原有每股 行使價 HK\$ 港元	Adjusted exercise price per share 經調整每股行 使價 HK\$ 港元	Exercisable period 可行使期間
Directors 董事
Yeung Ming Biu 楊明標	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Yeung Him Kit, Dennis 楊衍傑	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Fung Kwong Yiu 馮廣耀	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Yeung Man Yee, Shirley 楊敏儀	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Lam Hing Lun, Alain 林慶麟	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Choi Kwok Yum 蔡國欽	2,970,000	—	—	2,970,000	16.01.2004	1.702	1.547	16.01.2004 — 15.01.2014
Other employees 其他僱員	17,820,000 12,430,000	— —	— —	17,820,000 12,430,000	04.06.2007	1.764	1.604	04.06.2007 — 03.06.2017
Total 總計	30,250,000	—	—	30,250,000

SUBSTANTIAL SHAREHOLDERS

As at 30th September, 2010, according to the register maintained by the Company pursuant to Section 336 of the SFO, the following persons (not being a director or chief executive of the Company) had interests in the share capital of the Company.

主要股東

本公司根據證券及期貨條例第336條規定 存置之登記冊所示,於二零一零年九月 三十日,以下人士(並非為本公司之董事 或行政總裁)於本公司股本中擁有權益。

Percentage of

	issued share capital
Name of shareholder 股東名稱	Number of shares held 所持股份數目	of the Company 佔本公司已發行 股本百分比
Datsun Holdings Limited	106,480,000	27.34%
Furama Investments Limited	106,480,000	27.34%
Realtower Holdings Limited	106,480,000	27.34%

Realtower Holdings Limited holds 65% of the issued share capital of Furama Investments Limited which holds 80% of the issued share capital of Datsun Holdings Limited. Accordingly, both Realtower Holdings Limited and Furama Investments Limited are deemed under the SFO to be interested in the 106,480,000 shares in the Company held by Datsun Holdings Limited.

Save as disclosed above, at 30th September, 2010, there was no person who had any interests or short position in the shares or underlying shares of the Company according to the register maintained by the Company pursuant to Section 336 of the SFO.

CLOSURE OF REGISTER OF MEMBERS

The Register of Members of the Company will be closed from 7th December, 2010 to 10th December, 2010 (both days inclusive) during which period no transfer of shares will be registered. In order to qualify for the proposed interim dividend which will be payable on 17th December, 2010, all transfers accompanied by the relevant share certificates must be lodged with the Company's Branch Share Registrars, Tricor Secretaries Limited at 26/F., Tesbury Centre, 28 Queen's Road East, Hong Kong not later than 4:00 p.m. on 6th December, 2010.

Realtower Holdings Limited擁有Furama Investments Limited已發行股本65%, Furama Investments Limited則擁有 Datsun Holdings Limited已發行股本 80%。 因 此, 根 據 證 券 及 期 貨 條 例, Realtower Holdings Limited 及 Furama Investments Limited均視為擁有Datsun Holdings Limited所持之106,480,000股本 公司股份權益。

按本公司根據證券及期貨條例第336條規 定存置之登記冊所示,除上文所披露者 外,於二零一零年九月三十日,概無任何 人士於本公司之股份或相關股份中擁有任 何權益或淡倉。

暫停辦理股份過戶登記手續

本公司將於二零一零年十二月七日至二零 一零年十二月十日(包括首尾兩天)暫停辦 理股份過戶登記手續,期間不會登記任何 股份轉讓。如欲享有擬派之中期股息(將 於二零一零年十二月十七日派發),所有 過戶文件連同有關股票須於二零一零年 十二月六日下午四時正前送交本公司之股 份過戶登記分處卓佳秘書商務有限公司, 地址為香港皇后大道東28號金鐘匯中心 26樓。

MANAGEMENT DISCUSSION AND ANALYSIS

Group results

The Group's unaudited consolidated turnover for the period under review was HK\$1,679 million (2009: HK\$1,418 million) whilst the profit for the period was HK\$70 million (2009: HK\$34 million). The basic earnings per share for the period was 18.09 Hong Kong cents (2009: 9.56 Hong Kong cents). These figures reflected an increase of 18% for the turnover and 105% for the profit respectively, over the same period last year.

Business review and prospects

The management is very encouraged by the results. We have recorded an increase in sales and profit in all segments of our markets: Hong Kong, China and Macau. This is a solid proof that the purchasing power for the luxury market recovered fully from the economic turmoil in 2009. Mainland Chinese customers remain the major source of our growth. As our shops are in prime mainland tourist locations, we are well positioned to capture their business. Chinese economic growth is firmly in a secular uptrend, whist mainland tourists with their purchasing power rising, continue to make Hong Kong the top shopping destination. We are confident that the fast growth in Hong Kong and China's luxury markets would sustain.

During the period, we have opened two new shops in China: a Rolex & Tudor boutique in Taiyuan, Shanxi province; one multi-brand store in Nanjing, Jiangsu province. A shop in Urumqi was closed due to a less than satisfactory performance. In Hong Kong, the shop opened in Yaumatei last year performed very well, already generating positive returns in the few months of operations. The Group remains committed in seeking for choice locations to expand our distribution network in China, Hong Kong and Macau.

In order to broaden the Group's market scope, adding to our growth momentum, we have recently acquired a 40% interest in a Taiwanese watch company, as part of our long term strategic plan. This target company is a wellestablished retailer in Taiwan's high-end luxury market. This acquisition will allow the Group to partner with the target company in exploring the Taiwanese market's growth potential as mainland Chinese are now able to tour more freely.

管理層討論及分析

集團業績

回顧期內,本集團之未審核綜合營業額 為1,679,000,000港 元(二 零 零 九 年: 1,418,000,000港元);溢利為70,000,000 港元(二零零九年:34,000,000港元);每 股基本盈利為18.09港仙(二零零九年: 9.56港仙)。與去年同期比較,營業額上 升18%,純利上升105%。

業務回顧及展望

管理層對業績非常滿意。我們在香港、國 內及澳門的銷售及利潤各方面均錄得上升 幅度。引證著客人對高消費產品的購買能 力已由二零零九年金融海嘯中全面復甦過 來。客源主要來自國內。香港分店遍佈國 內遊客常到的購物區,位於理想地域上, 使我們能準確捕捉更多銷售目標。另一方 面,國內經濟不斷發展,國民陸續訪港旅 遊。我們認為現時高消費產品市場會是生 機處處的。

期內我們在國內多開了兩所新店,包括一 所位於山西省太原市的勞力士及帝舵專賣 店,及另一所位於江蘇省南京市的多品牌 分店。同時,烏魯木齊店因為銷售不理想 而撤店。香港方面,去年開業的油麻地分 店在短短數月內成績斐然。管理層會不斷 物色理想地段,於中、港、澳開設更多新 店,不斷擴展零售網絡。

除著業績增長的氣勢,我們亦希望擴張公 司的業務範圍。最近,我們收購了一台資 鐘表貿易公司的40%股份,以作長線而策 略性的投資。目標公司是一所信譽超卓的 台資鐘表貿易公司,主要於臺北經營高級 鐘表零售業務。這一次策略性合作計劃, 我們相信台灣是具高度發展潛能的市場, 目標是將來中台兩地能自由飛返往來,帶 動我們不斷發展的手表零售業務。

MANAGEMENT DISCUSSION AND ANALYSIS (Continued)

Business review and prospects (Continued)

Internally, the Group has implemented a new service improvement programme: "the Mystery Shoppers Programme". This is designed to further enhance the service level in our retail shops. The results so far are very encouraging with positive customer feedback. The Group is determined to maintain top service level as this is one of our competitive advantages in the luxury product business.

The Group continues to exercise strict cost and stock control, maintaining our liquidity hence being able to respond quickly and aptly to any changes in the marketplace.

On behalf of the Group, I would like to thank our customers, suppliers and shareholders for their loyalty and relentless support.

Liquidity and financial resources

At 30th September, 2010, the Group's total equity reached HK\$1,460 million, compared with HK\$1,396 million as at 31st March, 2010. The Group had net current assets of HK\$1,344 million, including bank and cash balances of HK\$198 million as at 30th September, 2010 compared with balances of HK\$1,274 million and HK\$225 million respectively as at 31st March, 2010. At 30th September, 2010, bank loans totalled HK\$223 million (31st March, 2010: HK\$307 million). At 30th September, 2010, the gearing ratio (defined as total bank borrowing on total equity) was 0.15 (31st March, 2010: 0.22).

Management still considers that financial position of the Group is healthy with adequate funds and unused banking facilities.

Foreign exchange exposure

The Group's sales and purchase transactions are primarily denominated in Hong Kong dollars and Renminbi. The Group did not face significant risk from exposure to foreign exchange fluctuations.

管理層討論及分析(續)

業務回顧及展望(續)

內政方面,我們正推行著一個服務提昇計 劃,名為「神秘顧客密訪計劃」,希望藉此 加強改善我們零售店內的服務水平。我們 對計劃結果相當滿意,前線服務員的服務 質素已在短時間內大大提昇。我們會繼續 集中推行有關計劃,這些都是對從事高級 零售業務非常重要的。

管理層將繼續保持嚴謹的成本及品質控 制,保持著我們穩定的流動資金,令我們 能夠迅速適應不斷變化的市場需求。

在此,我謹代表公司多謝我們的顧客、供 應商及股東們,多年來對我們忠誠而從不 間斷的支持。

流動資金及財務資源

於二零一零年九月三十日,本集團之權益 總額達1,460,000,000港元,而於二零一 零年三月三十一日則為1,396,000,000港 元。於二零一零年九月三十日,本集團之 流動資產淨值為1,344,000,000港元,包 括198,000,000港元之銀行及現金結餘, 而於二零一零年三月三十一日之結餘則分 別 為1,274,000,000港元及225,000,000 港元。於二零一零年九月三十日,銀行貸 款合共為223,000,000港元(二零一零年三 月三十一日:307,000,000港元)。於二零 一零年九月三十日,負債資產比率(定義 為銀行借貸總額除以權益總額)為0.15倍 (二零一零年三月三十一日:0.22倍)。

管理層仍然認為本集團之財務狀況良好, 並具備充裕資金及未動用銀行信貸。

外匯風險

本集團之買賣交易主要以港元及人民幣為 單位。本集團並無面對重大外匯波動風 險。

STAFF AND EMPLOYMENT

As at 30th September, 2010, the Group employed a total work force of about 820 staff. The staff turnover rate is low. The Group's policy is to review its employee's pay levels and incentive bonus.

PURCHASE, SALE OR REDEMPTION OF THE COMPANY'S LISTED SECURITIES

During the six months ended 30th September, 2010, neither the Company nor any of its subsidiaries had purchased, redeemed or sold any of the Company's listed securities on The Stock Exchange of Hong Kong Limited.

CORPORATE GOVERNANCE

The Company is committed to the establishment of good governance practices and procedures. The Company has met the code provisions set out in the Code on Corporate Governance Practices ("CG Code") in Appendix 14 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited ("the Listing Rules"), throughout the six months ended 30th September, 2010, except the deviation from the code provision A.4.1 of the CG Code.

Under the Code Provision A.4.1, non-executive directors should be appointed for a specific term, subject to reelection. However, the Independent Non-executive Directors were not appointed for a specific term but are subject to retirement by rotation in annual general meeting of the Company in accordance with the Bye-laws of the Company. The management of the Company considered that there is no imminent need to revise the letter of appointment of Independent Non-executive Directors by adding a specific term in the letter of appointment.

MODEL CODE FOR SECURITIES TRANSACTIONS BY DIRECTORS

The Company has adopted the Model Code set out in Appendix 10 of the Listing Rules as its own code of conduct regarding Directors' securities transactions. Enquiry has been made with all Directors and all Directors have confirmed that they have complied with the required standard set out in the Model Code during the six months ended 30th September, 2010.

僱員及聘用

於二零一零年九月三十日,本集團共招 聘約820名僱員。本集團之僱員流失率極 低。本集團之政策向來為檢討僱員之薪酬 水平及獎勵花紅。

買賣或贖回本公司上市證券

截至二零一零年九月三十日止六個月內, 本公司或其任何附屬公司概無購買、贖回 或出售本公司於香港聯合交易所有限公司 上市之任何證券。

企業管治

本公司致力制定良好之企業管治常規及程 序。於截至二零一零年九月三十日止六個 月內,本公司一直符合香港聯合交易所有 限公司證券上市規則(「上市規則」)附錄14 所載企業管治常規守則(「企業管治守則」) 列載之守則條文,惟偏離企業管治守則之 守則條文A.4.1者除外。

根據守則條文A.4.1,非執行董事應按指定 年期委任,並須接受重選。然而,獨立非 執行董事並無按指定年期委任,但須根據 本公司之公司細則在本公司之股東週年大 會上輪值退任。本公司管理層認為並無迫 切需要透過在委任書加入指定年期修訂獨 立非執行董事之委任書。

董事進行證券交易之標準守則

本公司採納了上市規則附錄10所載標準 守則,作為其董事進行證券交易之操守守 則。本公司已向各董事作出查詢,並獲 各董事確認,彼等於截至二零一零年九月 三十日止六個月內一直遵守標準守則所載 之規定標準。

AUDIT COMMITTEE

The Audit Committee comprises three Independent Nonexecutive Directors of the Company. Terms of reference of the Audit Committee have been updated in compliance with the CG Code.

The Audit Committee, together with the management of the Company, have reviewed the accounting principles and practices adopted by the Group and discussed internal control and financial reporting matters including the review of unaudited consolidated financial statements for the six months ended 30th September, 2010.

REMUNERATION COMMITTEE

The Remuneration Committee of the Company ("the Remuneration Committee") comprises three members, a majority of whom are Independent Non-executive Directors of the Company. The principal functions of the Remuneration Committee include reviewing the remuneration policies of the Company, assessing the performance of the directors and senior management of the Company and determining the policies in respect to their remuneration packages.

By order of the Board Yeung Ming Biu Chairman

Hong Kong, 17th November, 2010

審核委員會

審核委員會由本公司三名獨立非執行董事 組成。審核委員會之職權範圍已按照企業 管治守則更新。

審核委員會(連同本公司管理層)已審閱本 集團所採用之會計原則及慣例,並已討論 有關內部監控及財務報告事宜,包括審閱 截至二零一零年九月三十日止六個月之未 審核綜合財務報表。

薪酬委員會

本公司之薪酬委員會(「薪酬委員會」)由三 名成員組成,當中大部分為本公司之獨立 非執行董事。薪酬委員會之主要職責包括 檢討本公司之薪酬政策、評估本公司董事 及高級管理人員之表現及釐定彼等薪酬組 合之相關政策。

承董事會命 主席 楊明標

香港,二零一零年十一月十七日