QUESTE COMMUNICATIONS LIMITED — Interim / Quarterly Report 2005

Apr 13, 2005

Appendix 4C

Quarterly Report for entities admitted on the basis of commitments

	Name of entity
	QUESTE COMMUNICATIONS LIMITED and controlled entities
	ACN or ARBN			Quarter Ended
	081 688 164	31 March 2005
Consolidated statement of cash flows		ConsolidatedCompany
		Current Quarter	Year to Date	Current Quarter	Year to Date
		Mar 2005	9 months	Mar 2005	9 months
		$'000	$'000	$'000	$°000
	Cash flows related to operating activities
1.1	Receipts from customers
1.2	Payments for
	(a) staff costs	(64)	(234)	(123)	(403)
	(b) advertising and marketing
	(c) research and development
	(d) leased assets
	(e) other working capital	32	35	(70)	(274)
1.3	Dividends received		417	7	160
1.4	Interest and other items of a similar nature received		2	168	483
1.5	Interest and other costs of finance paid				(1)
1.6	Income taxes paid	4	4	4	4
1.7	Other (provide details if material)
			(6)	(136)	(425)
	Net operating cash flows	(28)	218	(150)	(456)

Note:

The Company currently has a 48% interest in ASX listed Central Exchange Limited ("CXL").

CXL is a controlled entity of the Company pursuant to Accounting Standard AASB 1024 "Consolidated Accounts."

Therefore, the Consolidated columns in this Quarterly Cash Flow Report takes into account the cash flows of the Company and its controlled entities, including CXL.

		Company		Consolidated
		Year to DateCurrent Quarter		Current QuarterYear to Date
		Mar 2005	9 months	Mar 2005	9 months
		$°000	$' 000	$'000	$'000
1.8	Net operating cash flows (carried forward)	(28)	218	(150)	(456)
	Cash flows related to investing activities
1.9	Payment for acquisition of:
	businesses (item 5)(a)
	equity investments(b)		(469)	(5,059)	(16, 604)
	intellectual property(c)
	(d)physical non-current assets			(3,746)	(3,796)
	other non-current assets(e)			(8)	(8)
1.10	Proceeds from disposal of:
	businesses (item 5)(a)
	(b)equity investments	23	199	3,323	8,988
	intellectual property(c)
	(d)physical non-current assets
	other non-current assets(e)
1.11	Loans to other entities
1.12	Loans repaid by other entities
1.13	Other (provide details if material)
	Hedging contracts			11	60
	Net investing cash flows	23	(270)	(5, 479)	(11, 360)
1.14	Total operating and investing cash flows	(5)	(52)	(5,629)	(11, 816)
	Cash flows related to financing activities
1.15	Proceeds from issues of shares, options, etc.				8
1.16	Proceeds from sale of forfeited shares
1.17	Proceeds from borrowings
1.18	Repayment of borrowings
1.19	Dividends paid			(4)	(417)
1.20	Other (provide details if material)
	Payments in relation to share buy back			(1)	(3)
	Net financing cash flows	$\blacksquare$	$\blacksquare$	(5)	(412)
	Net increase (decrease) in cash held	(5)	(52)	(5,634)	(12, 228)
1.21	Cash at beginning of quarter/year to date	52	99	11,619	18,213
1.22	Exchange rate adjustments to item 1.20
$1.23 -$	Cash at end of quarter	47	47	5,985	5,985

Queste Communications Ltd (ABN 58 081 688 164) Level 14, The Forrest Centre, 221 St Georges Terrace, Perth, Western Australia 6000 Tel: (08) 9214 9777 Email: info@queste.com.au Fax: (08) 9322 1515

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

		Current Quarter
		Mar 2005
		$000
1.24	Aggregate amount of payments to the parties included in item 1.2	93
1.25	Aggregate amount of loans to the parties included in item 1.11

• 1.26 Explanation necessary for an understanding of the transactions
  • (1) $33,534 Salaries, fees and superannuation paid by the Company to Directors;
  • (2) $59,138 Salaries and superannuation paid by Central Exchange Ltd to its Directors.

Non-cash financing and investing activities

$2.1$ Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

"None.
--------

$2.2$ Details of outlays made by other entities to establish or increase their share in businesses in which the reporting entity has an interest

None.

Financing facilities available

Add notes as necessary for an understanding of the position. (See AASB 1026 paragraph 12.2).

		Amt available	Amount used
		$$^{\circ}000$	$$^{\circ}$ 000
3.1	Loan facilities	m.
3.2	Credit standby arrangements	$\sim$

Disposals

(item $1.10(a)$ )

$\overline{a}$

$\overline{a}$

$\overline{a}$

$\overline{a}$

$\overline{a}$

Reconciliation of cash		Company		Consolidated
Reconciliation of cash at the end of the month (as shown in		Current	Previous	Current	Previous
the consolidated statement of cash flows) to the related		Quarter	Quarter	Quarter	Quarter
items in the accounts is as follows		$ 000	$$^{\circ}000$	$$^{\circ}000$	$000
$-4.1$	Cash on hand and at bank	47	52	(42)	385
4.2	Deposits at call
4.3	Bank overdraft
4.4	Other (Bank Bills)			6,027	11,234
	Total: cash at end of quarter (item 1.22)	47	52	5,985	11,619

Acquisitions

(Item $1.9(a)$ )

$\blacksquare$

$\overline{a}$

$\overline{a}$

$\blacksquare$

$\overline{a}$

Acquisitions and disposals of business entities

• $5.1$ Name of entity
• $5.2$ Place of incorporation or registration
• 5.3 Consideration for acquisition or disposal
• 5.4 Total net assets
• 5.5 Nature of business

Compliance statement

• This statement has been prepared under accounting policies which comply with accounting standards as defined in the 1 Corporations Law (except to the extent that information is not required because of note 2) or other standards acceptable to ASX.
• $\overline{2}$ This statement does give a true and fair view of the matters disclosed.

13 April 2005 Date:

Victor Ho Company Secretary

Notes:

The Company also currently has the following listed share investments:

		13-Apr-05
	No Shares	% Interest	Last Closing Price	Value
Shares in Central Exchange Ltd (CXL)	8.303.779	48.22%	$0.62	$5,148,343
Shares in Altera Capital Ltd (AEA)	10.699.428	17.25%	suspended
Other Listed Securities	various		various	$2,915,029

The Company regards its share investments as being liquid assets to supplement its cash reserves.