Results of OJSC "SHNOS" (Kazakhstan) in the first quarter 2000

/KASE, May 26, 00, Galina Chudinova, Galina Tsalyuk/ - According to listing requirements, "SHNOS" (Shymkent, Almaty, official list of securities, category "A") provided Kazakhstan Stock Exchange (KASE) with its consolidated financial statements for the first quarter 2000: balance sheet and income statement. Following are the results of the company in the first quarter 2000 by the data of the issuer (in th. KZT): ------------------------------------------------------------------------------- Ratio As ofApril 1 '99 As ofApril 1 '00 Change,% ----------------------------- ---------------- ---------------- -------- Authorized capital (announced) 83,097 100,000 +20.3 Authorized capital (paid up) 83,097 83,096 0 Shareholders' equity 10,894,540 17,974,976 +65.0 Total assets 13,367,462 22,452,187 +68.0 Net working capital 3,294,827 9,942,477 +201.8 Accounts receivable (net basis) 3,386,383 10,483,154 +209.6 Accounts payable 1,540,171 3,165,561 +105.5 Sales (services offered) 2,722,688 11,722,125 +330.5 Cost of goods sold (services offered) 2,117,289 7,678,277 +262.6 Net income (loss) (463,840) 3,691,474 +895.9 Book value of a share, KZT 131.11 287.54 +119.3 ------------------------------------------------------------------------------- Compared to the first quarter of 1999: - shareholders' equity rose by KZT7.08 bln, or 65.0% (including increases in fixed assets revaluation fund - KZT4.30 bln, total undistributed profit - KZT2.80 bln, and decrease caused by withdrawal of a capital - KZT20.78 mln); - assets grew by KZT9.08 bln, or 68%; - liabilities rose by KZT2.00 bln, or 81.0%. Sales (services offered) increased by KZT9.00 bln, or 4.3 times. Cost of goods and services sold increased by KZT5.56 bln, or 3.6 times. Total expenses for the period declined by KZT68.25 mln, or 6.6%. As a result, net income of SHNOS, by results for the reported period, totaled KZT3.69 bln against losses KZT463.84 mln occurred in the same period of 1999. For the reported date, KZT463.68 mln of provisions for possible loan losses were formed. Provisions for outdated materials totaled KZT47.00 mln. According to the commentary given by OJSC "SHNOS", the loss and income statement was composed without consideration of special provisions. It is possible that auditing report conducted by "Deloitte & Touch" will require a creation of special provision on the sum of KZT1.3 bln. This will lead to lowering of financial results of the company by the corresponding amount.