contracts received (111) 2,293 - 1,420 Currency swap cost paid (68,256) (66,189) (68,256) (64,836) Issue of shares to minority interests 6,855 - - - Dividends paid (127,050) (158,813) (127,050) (158,813) Dividends paid to minority interests (28,400) (11,760) - - Deferred financing charges paid (287) (282) (287) (282) Interest paid (143,291) (206,444) (87,053) (118,853) Net cash payments from financing activities (1,793,664) (583,644) (1,903,485) (415,144) Net (decrease) increase in cash and cash equivalents (1,313,255) 370,695 (1,115,210) (107,415) Beginning balance 1,898,816 1,591,564 1,172,158 1,187,298 Ending balance 585,561 1,962,259 56,948 1,079,883 Analysis of cash and cash equivalents Cash on hand and at banks 223,909 1,707,455 59,183 795,321 Deposits with financial institutions 439,015 300,000 - 300,000 Bank overdrafts (77,363) (45,196) (2,235) (15,438) Total 585,561 1,962,259 56,948 1,079,883 The notes to the interim consolidated and company financial statements on pages 9 to 26 are an integral part of these interim financial statements. 1 Accounting Policies The interim consolidated and company financial statements are prepared in accordance with accounting principles generally accepted in Thailand. However, the primary statements (i.e. balance sheets, statements of income, changes in shareholders equity, retained earnings and cash flows) are presented in the full format as prescribed by the Ministerial Regulation No. 7 (B.E. 2539) in accordance with the Securities and Exchange Commissions and the Stock Exchange of Thailands requirements, rather than in the condensed format as required by Thai Accounting Standard No. 41, Interim Financial Reporting. The accounting policies used in the preparation of the interim financial statements are consistent with those used in the annual financial statements for the year ended 31 December 1999. The Group has implemented the following new Thai Accounting Standards, effective 1 January 2000, in these interim financial statements: TAS 43 Business Combinations TAS 44 Consolidated Financial Statements and Accounting for Investment in Subsidiaries TAS 45 Accounting for Investment in Associates TAS 47 Related Party Disclosures The comparatives, where appropriate, have been adjusted or extended to take into account the requirements of those newly effective standards. Costs that incur unevenly during the financial year are recognised as expense or deferred in the interim report only if it would be also appropriate to recognise or defer such costs at the end of the financial year. Income tax expense is recognised based on the best estimate of the weighted-average annual income tax rate expected for the full financial year. The estimated average annual tax rate used is 30% These interim financial statements should be read in conjunction with the 1999 annual financial statements as certain disclosures are not presented in these notes to interim financial statements. 2 Segment Information For financial accounting purposes the Group divides its core business into two areas: Packaging & Consumer products and Technical products & Imaging. Non-core operations are grouped as Others. The results of operations for the period ended 30 September 2000 and 1999 are summarised below: Financial information by business segments Group (Unaudited) For the three month period ended 30 September Packaging & Technical 2000 1999 Consumer products & Others Total Total products Imaging Baht Baht Baht Baht million Baht million million million million Sales 2000 1,838.2 995.5 61.5 2,895.2 1999 1,909.7 777.3 68.6 2,755.6 Operating profit (loss) before interest excluding proportion attributable to minority interests 2000 154.9 28.0 (6.4) 176.5 1999 299.4 48.8 (20.0) 328.2 Minority interests proportion in Operating profit before tax 35.9 49.1 Operating profit before interest 212.4 377.3 General corporate expenses (31.9) (38.6) Other financing expenses - (39.6) Interest expense, net (15.6) (42.6) Gain (Loss) on foreign exchange 34.3 (26.2) (Loss) Gain on disposal of investment (0.4) 1.1 Net profit before income tax 198.8 231.4 Income tax (40.9) (64.6) Net profit before minority interests 157.9 166.8 Minority interests (38.5) (3.4) Net profit after minority interests 119.4 163.4 Financial information by business segments Company (Unaudited) For the three month period ended 30 September Packaging & Technical 2000 1999 Consumer products & Others Total Total products Imaging Baht Baht Baht Baht million Baht million million million million Sales 2000 748.8 493.4 - 1,242.2 1999 469.5 789.7 6.4 1,265.6 Operating profit (loss) before interest 2000 60.2 20.6 - 80.8 1999 63.5 63.3 (4.4) 122.4 General corporate expenses (32.7) (38.5) Other financing expenses - (39.6) Interest income (expense), net 36.0 (5.3) Loss on foreign exchange (0.6) (15.5) (Loss) gain on disposal of investment (0.4) 1.1 Operating profit 83.1 24.6 Share of profits of subsidiaries and associates 58.1 135.3 Net profit before income tax 141.2 159.9 Income tax (21.8) 3.5 Net profit 119.4 163.4 Financial information by business segments Group (Unaudited) For the nine month period ended 30 September Packaging & Technical 2000 1999 Consumer products & Others Total Total products Imaging Baht Baht Baht Baht million Baht million million million million Sales 2000 5,577.0 2,673.0 220.5 8,470.5 1999 5,717.2 2,280.7 233.4 8,231.3 Operating profit (loss) before interest excluding proportion attributable to minority interests 2000 557.3 85.5 34.1 676.9 1999 954.6 115.9 (54.2) 1,016.3 Minority interests proportion in operating profit before tax 26.9 54.9 Operating profit before interest 703.8 1,071.2 General corporate expenses (144.3) (145.5) Other financing expenses (5.2) (24.4) Interest expense, net (88.0) (127.3) Gain (Loss) on foreign exchange 20.2 (26.9) Gain (loss) on disposal of investment 39.2 (2.5) Net profit before income tax 525.7 744.6 Income tax (129.2) (218.6) Net profit before minority interests 396.5 526.0 Minority interests 23.0 (3.1) Net profit after minority interests 419.5 522.9 As at 30 September 2000 and 1999 property, plant and equipment, net of accumulated depreciation and amortisation, were allocated as follows (Unaudited) For the nine month period ended 30 September Packaging & Technical 2000 1999 Consumer products & Others Total Total products Imaging Baht Baht Baht Baht million Baht million million million million Property, plant and equipment: 2000 5,394.5 234.3 199.9 5,828.7 1999 5,874.1 307.5 244.0 6,425.6 General assets used 713.6 761.6 Total property, plant and equipment net 6,542.3 7,187.2 Financial information by business segments Company (Unaudited) For the nine month period ended 30 September Packaging & Technical 2000 1999 Consumer products & Others Total Total products Imaging Baht Baht Baht Baht million Baht million million million million Sales 2000 2,238.1 1,373.3 - 3,611.4 1999 2,217.9 1,857.4 19.3 4,094.6 Operating profit (loss) before interest 2000 173.3 62.6 - 235.9 1999 249.0 127.5 (10.9) 365.6 General corporate expenses (145.5) (145.9) Other financing expenses (5.2) (24.4) Interest income (expense), net 48.5 (8.9) Loss on foreign exchange - (11.8) Loss on disposal of investment (1.8) (2.5) Operating profit 131.9 172.1 Share of profits of subsidiaries and associates 320.1 373.7 Net profit before income tax 452.0 545.8 Income tax (32.5) (22.9) Net profit 419.5 522.9 As at 30 September 2000 and 1999, property, plant and equipment, net of accumulated depreciation and amortisation, were allocated as follows (Unaudited) For the nine month period ended 30 September Packaging & Technical 2000 1999 Consumer Product & Total Total Products Imaging Baht Baht Baht million Baht million million million Property, plant and equipment: 2000 20.3 44.3 64.6 1999 8.7 23.0 31.7 General assets used 713.6 761.6 Total property, plant and equipment net 778.2 793.3 3 Trade Accounts Receivable and Notes Receivable, net Consolidated Company (Unaudited) (Audited) (Unaudited) (Audited) 30 September 31 December 30 September 31 December 2000 1999 2000 1999 Baht000 Baht000 Baht000 Baht000 Accounts receivable trade 2,374,929 2,877,330 1,094,334 1,083,958 Installment receivables 208,314 266,471 208,314 266,471 Less : Unearned interest on installment contracts (27,153) (41,603) (27,153) (41,603) 2,556,090 3,102,198 1,275,495 1,308,826 Less : Allowance for doubtful accounts (144,244) (150,534) (113,676) (122,935) 2,411,846 2,951,664 1,161,819 1,185,891 Aging analysis is as follows: Consolidated Company (Unaudited) (Audited) (Unaudited) (Audited) 30 September 31 December 30 September 31 December 2000 1999 2000 1999 Baht000 Baht000 Baht000 Baht000 Less than 6 months 2,326,493 2,880,079 1,117,719 1,119,559 Over 6 months to 12 months 36,815 58,993 12,158 45,936 Over 12 months 192,782 163,126 145,618 143,331 2,556,090 3,102,198 1,275,495 1,308,826 4 Earnings per Share Basic earnings per share is calculated by dividing the net profit attributable to shareholders by the weighted average number of ordinary shares outstanding during the period (2000: 158,812,500 shares; 1999: 158,812,500 shares). 5 Property, Plant and Equipment, net (Unaudited) Consolidated Company For the nine month period ended 30 September 2000 Baht000 Baht000 Cost or valuation Beginning balance 12,662,112 1,509,991 Additions 609,693 77,352 Disposals (169,638) (80,206) Write off (521,659) (7,045) Disposal of Subsidiary (614,009) - Transfer to property foreclosed (23,960) - Exchange translation 36,899 - Ending balance 11,979,438 1,500,092 Impairment provision Beginning balance (182,071) - Decrease 95,943 - Ending balance (86,128) - Net cost or valuation, ending balance 11,893,310 1,500,092 Accumulated depreciation Beginning balance 5,516,580 699,359 Depreciation charges for the period 532,313 96,278 Disposals (44,661) (70,158) Write off (515,874) (3,626) Disposal of Subsidiary (137,325) - Ending balance 5,351,033 721,853 Net book amount, ending balance 6,542,277 778,239 Net book amount, beginning balance 6,963,461 810,632 6 Long-term Borrowings Consolidated Company (Unaudited) (Audited) (Unaudited) (Audited) 30 September 31 December 30 September 31 December 2000 1999 2000 1999 Baht000 Baht000 Baht000 Baht000 Baht loans from financial institutions 528,565 491,863 - - Foreign currency loans from financial institutions 23,173 2,202,073 - 1,940,839 Other loans 2,031 4,402 - - Total loans outstanding 553,769 2,698,338 - 1,940,839 6 Long-term Borrowings (Continued) Consolidated Company (Unaudited) (Audited) (Unaudited) (Audited) 30 September 31 December 30 September 31 December 2000 1999 2000 1999 Baht000 Baht000 Baht000 Baht000 Loan repayment within a period: Not exceeding one year 131,449 118,212 - - More than 1 year but not exceeding 2 years 125,126 179,707 - - More than 2 years but not exceeding 3 years 115,856 2,100,517 - 1,940,839 More than 3 years but not exceeding 4 years 115,825 144,360 - - More than 4 years but not exceeding 5 years 65,513 138,172 - - More than five years - 17,370 - - Total loans outstanding 553,769 2,698,338 - 1,940,839 Less : Amounts repayable within one year included in current liabilities (131,449) (118,212) - - Total long-term liabilities 422,320 2,580,126 - 1,940,839 The figures for foreign currency loans from financial institutions shown above disclose foreign currency borrowings at exchange rates prevailing on the balance sheets date or, where relevant, at exchange rates based on various foreign exchange contracts entered into to fix the exchange rate at which such foreign currency borrowings will be repaid in future. Loans are repayable in various annual installments at a weighted average rate of interest of 4.31% per annum as at 30 September 2000 (as at 31 December 1999: 6.26% per annum) for foreign currency loans, and at a weighted average rate of 6.58% per annum as at 30 September 2000 (as at 31 December 1999: 7.52% per annum) for Baht loans. Hedging costs for US dollar denominated loans vary between 7.23% and 7.25% per annum as at 31 December 1999. In December 1997 the Company crystallized a gain on its long term principal only swaps, amounting to Baht 1,428,946,000 of which Baht 973,516,000 was received in cash and the remaining Baht 455,430,000 relating to loans due in 2002 will be received in 2002. The movements in the borrowings can be analyzed as follows: (Unaudited) For the nine month period ended 30 September 2000 Consolidated Company Baht000 Baht000 Opening balance 2,698,338 1,940,839 Disposal of subsidiary (241,715) - Additional loan 91,298 - Unrealised gain on exchange rate of unpaid loan (111) - Unrealised gain on financial hedging agreements (207) - Repayment of borrowings (1,993,834) (1,940,839) Ending balance 553,769 - 7 Share Capital and Capital Surplus (Unaudited) Ordinary Share Donated For the nine month period Number of Shares Premium Surplus ended 30 September 2000 Shares Baht000 Baht000 Baht000 Opening balance 158,812,500 1,588,125 3,751,380 36,868 (more)