QUESTE COMMUNICATIONS LIMITED — Interim / Quarterly Report 2014

May 12, 2014

April 2014 Monthly Cash Flow Report

Name of entity:

QUESTE COMMUNICATIONS LTD and controlled entity

	ACN or ARBNMonth Ended
	081 688 16430 April 2014
	Consolidated statement of cash flows	Company			Consolidated
		Current Month	Year to Date	Current Month	Year to Date
		Apr 14	10 months	Apr 14	10 months
		$' 000	$' 000	$' 000	$' 000
	Cash flows related to operating activities
1.1	Receipts from customers	-	-	13	185
1.2	Payments for
	staff costs(a)	(47)	(221)	(79)	(558)
	(b)advertising and marketing	-	-	-	-
	(c)research and development	-	-	-	-
	(d)leased assets	-	-	-	-
	other working capital(e)	(22)	(195)	(69)	(655)
1.3	Dividends received	-	18	-	223
1.4	Interest and other items of a similar nature received	1	17	8	64
1.5	Interest and other costs of finance paid	-	-	-	-
1 61.6	Income taxes (paid)/refundIncome taxes	-	-	-	-
1.7	Other (provide details if material)	-	-	-	-
	Net operating cash flows	(68)	(381)	(127)	(741)

Notes:

The Company currently has a 58.51% (31 March 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.

		Company		Consolidated
		Current Month	Year to Date	Current Month	Year to Date
		Apr 14	10 months	Apr 14	10 months
		$' 000	$' 000	$' 000	$' 000
1.8	Net operating cash flows (carried forward)	(68)	(381)	(127)	(741)
	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)	-	-	-	-
	(d)physical non-current assets	-	-	-	-
	(e)other non-current assets	-	-	-	-
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	(68)	(374)	(127)	(546)
	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	(1)	(107)	(1)	(107)
	- OEQ On-Market Share Buy Back	-	-	-	(481)
	Net financing cash flows	(1)	(107)	(1)	(588)
	Net increase (decrease) in cash held	(69)	(481)	(128)	(1,134)
1.21	Cash at beginning of month/year to date	662	1,073	1,762	2,766
1.22	Exchange rate adjustments to item 1.20	-	1	-	2
1.23	Cash at end of month	593	593	1,634	1,634

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 Month
		Apr 14
		$' 000
1.24	Aggregate amount of payments to the parties included in item 1.2	49
1.25	Aggregate amount of loans to the parties included in item 1.11	-

1.26 Explanation necessary for an understanding of the transactions

Payments for Staff costs (in Item 1.24) includes:
(1) $12,287 Attributable to the Company; and
(2) $37,072 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 2.2 Details of outlays made by other entities to establish or increase their share in businesses in which the reporting 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
		$' 000	$' 000
3.1	Loan facilities	-	-
3.2	Credit standby arrangements	-	-

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		Month	Month	Month	Month
items in the accounts is as follows:		$' 000	$' 000	$' 000	$' 000
4.1	Cash on hand and at bank	173	142	1,014	442
4.2	Deposits at call	420	520	620	1,320
4.3	Bank overdraft	-	-	-	-
4.4	Other (Bank Bills)	-	-	-	-
	Total: cash at end of month (item 1.23)	593	662	1,634	1,762

Acquisitions and disposals of business entities

Name of entity
----------------

• Place of incorporation or registration
• Consideration for acquisition or disposal
• Total net assets
• 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

		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	-	-	-	-

Date:	13 May 2014

The Company currently holds the following listed share investments:		30-Apr-14
	No Shares	% Interest		Last Bid Price		Market Value
Shares in Orion Equities Limited (OEQ)	9,367,653	58.51 %	$	0.260	$	2,435,590
Shares in Bentley Capital Limited (BEL)	1,740,625	2.36 %	$	0.140	$	243,688
Shares (Other)					$	4,177
					$	2,683,455

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