QUESTE COMMUNICATIONS LIMITED — Interim / Quarterly Report 2014

Jun 11, 2014

May 2014 Monthly Cash Flow Report

Name of entity:

QUESTE COMMUNICATIONS LTD and controlled entity

ACN or ARBNMonth Ended
	081 688 164	30 May 2014
	Consolidated statement of cash flows	Company		Consolidated
		Current Month	Year to Date	Current Month	Year to Date
		May 14	11 months	May 14	11 months
		$' 000	$' 000	$' 000	$' 000
	Cash flows related to operating activities
1.1	Receipts from customers	-	-	18	203
1.2	Payments for
	staff costs(a)	(27)	(248)	(75)	(633)
	advertising and marketing(b)	-	-	-	-
	research and development(c)	-	-	-	-
	leased assets(d)	-	-	-	-
	other working capital(e)	(23)	(218)	(62)	(717)
1.3	Dividends received	-	18	-	223
1.4	Interest and other items of a similar nature received	2	19	5	68
1.5	Interest and other costs of finance paid	-	-	-	-
1.6	Income taxes (paid)/refund	-	-	-	-
1.7	Other (provide details if material)	-	-	-	-
	Net operating cash flows	(48)	(429)	(114)	(856)

Notes:

The Company currently has a 58.68% (30 April 2014: 58.51%) interest in ASX listed investment company, Orion Equities Limited ("OEQ"). OEQ is a controlled entity of the Company under the Accounting Standards. Therefore, the Consolidated columns in this Monthly Cash Flow Report takes into account the cash flows of the Company and its controlled entity, including OEQ.

The Company's interest in OEQ increased during the month as a consequence of OEQ cancelling 46,755 shares bought-back pursuant to an on-market share buy-back.

		Company		Consolidated
		Current Month	Year to Date	Current Month	Year to Date
		May 14	11 months	May 14	11 months
		$' 000	$' 000	$' 000	$' 000
1.8	Net operating cash flows (carried forward)	(48)	(429)	(114)	(856)
	Cash flows related to investing activities
1.9	Payment for acquisition of:
	businesses (item 5)(a)	-	-	-	-
	equity investments(b)	-	-	-	-
	intellectual property(c)	-	-	-	-
	physical non-current assets(d)	-	(10)	-	(28)
	other non-current assets(e)	-	-	-	-
1.10	Proceeds from disposal of:
	businesses (item 5)(a)	-	-	-	-
	equity investments(b)	-	-	-	-
	intellectual property(c)	-	-	-	-
	physical non-current assets(d)	-	-	-	-
	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)
	- Distribution of capital return from equity investment	-	17	-	223
	Net investing cash flows	-	7	-	195
1.14	Total operating and investing cash flows	(48)	(422)	(114)	(661)
	Cash flows related to financing activities
1.15	Proceeds from issues of shares, options, etc.	-	-	-	-
1.16	Proceeds from sale of forfeited shares	-	-	-	-
1.17	Proceeds from borrowings	-	-	-	-
1.18	Repayment of borrowings	-	-	-	-
1.19	Dividends paid	-	-	-	-
1.20	Other (provide details if material)
	- QUE Off-Market Share Buy Back	-	(107)	-	(107)
	- OEQ On-Market Share Buy Back	-	-	(13)	(493)
	Net financing cash flows	-	(107)	(13)	(600)
	Net increase (decrease) in cash held	(48)	(529)	(127)	(1,261)
1.21	Cash at beginning of month/year to date	593	1,073	1,634	2,766
1.22	Exchange rate adjustments to item 1.20	-	1	-	2
1.23	Cash at end of month	545	545	1,507	1,507

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

		Current MonthMay 14$' 000
1.24	Aggregate amount of payments to the parties included in item 1.2	35
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) $6,260 Attributable to the Company; and Payments for Staff costs (in Item 1.24) includes: (2) $28,905 Attributable to Controlled Entity, OEQ.

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$' 000	Amount used$' 000
3.1	Loan facilities	-	-
3.2	Credit standby arrangements	-	-

Reconciliation of cashReconciliation of cash at the end of the month (as shown in		Company		Consolidated
		Current	Previous	Current	Previous
the consolidated statement of cash flows) to the related items		Month	Month	Month	Month
in the accounts is as follows:		$' 000	$' 000	$' 000	$' 000
4.1	Cash on hand and at bank	325	173	587	1,014
4.2	Deposits at call	220	420	920	620
4.3	Bank overdraft	-	-	-	-
4.4	Other (Bank Bills)	-	-	-	-
	Total: cash at end of month (item 1.23)	545	593	1,507	1,634

Acquisitions and disposals of business entities

		Acquisitions(Item 1.9(a))		Disposals(Item 1.10(a))
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

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

Victor Ho Company Secretary

Date: 12 June 2014

The Company currently holds the following listed share investments:		30-May-14
	No Shares	% Interest		Last Bid Price		Market Value
Shares in Orion Equities Limited (OEQ)	9,367,653	58.68 % $		0.245	$	2,295,075
Shares in Bentley Capital Limited (BEL)	1,740,625	2.36 % $		0.140	$	243,688
Shares (Other)					$	4,282
					$	2,543,045

The above investments are regarded as liquid assets to supplement the Company's cash reserves.