SHNOS OJSC (Kazakhstan): financial indices

/IRBIS, March 6, 01/ - Following is a brief description of financial and economic indicators of Shymkentnefteorgsintez OJSC (SHNOS OJSC, Shymkent). The description compiled according to the conclusion of Listing commission of Kazakhstan Stock Exchange (KASE). Information is published in connection with admission of the first issue bonds of the company into official list of the KASE securities under category "A". The management of SHNOS OJSC takes all responsibility for information submitted to KASE Listing commission. SHNOS OJSC makes its financial statements in compliance with the Kazakhstani accounting standards (KAS). After the auditing of the company's 1997 financial statements conducted by Arthur Andersen (Almaty, Kazakhstan), the statements submitted to the Exchange by the issuer are made based on the auditor's standards. As a result, financial and economic ratios calculated by the company and independent auditor match each other. Following is the table created by the KASE specialists based on non-audited financial statements of the issuer (in KZT, thousands unless otherwise specified). They were made in compliance with the KAS requirements; data of issuer's financial statements, which were audited by Arthur Andersen and those audited by Kazakhconculting. --------------------------------------------------------------------------------- Index As of Jan As of As of As of As of 1'98 by Jan.1 '98 Jan.1 '99 Jan.1 '00 Oct.1 '00 KAS by Arthur by Arthur by Arthur by Kazakh- Andersen Andersen Andersen consulting -------------------------- ---------- ---------- ---------- ---------- ---------- Authorized capital (paid) 83,097 83,097 83,097 83,097 83,096 Shareholders' equity 10,848,924 8,866,016 11,301,652 14,357,386 26,647,533 Total assets 11,289,473 10,563,656 12,880,517 17,884,068 31,202,968 Working capital 2,429,531 1,968,736 3,603,681 6,737,230 18,723,331 Doubtful debt reserves - 540,761 860,751 463,677 2,426,967 Accounts receivable 1,568,907 785,184 3,167,897 3,591,950 22,416,339 Accounts payable 440,550 1,697,640 1,578,865 3,350,907 4,269,934 Operating cash flows -720,117 63,021 8,226,349 -2,284,975 Sales 15,250,823 13,592,322 18,705,022 31,827,675 56,887,184 Net income 2,511,988 1,899,108 2,399,269 8,415,980 12,290,495 Book value of a share, KZT 13,055.75 10,669.49 13,600.57 229.67 426.27 Return on sales (ROS), % 28.18 31.89 28.77 48.64 39.14 Return on assets (ROA), % 23.15 17.98 18.63 47.06 39.39 Return on equity (ROE), % 22.25 21.42 21.23 58.62 46.12 --------------------------------------------------------------------------------- In the opinion of Arthur Andersen, financial statements of the company give a reliable and objective representation of financial situation of SHNOS OJSC in 1997 - 1999, as well as results of its activities and cash flow statements for indicated periods according to Kazakhstani Accounting Standards. In 9 months of 2000 accounts receivable of SHNOS OJSC grew by KZT18.4 bln, reaching KZT22.4 bln. Most of the growth is attributable to the increase in liabilities of the companies of the Group led by the Canadian Hurricane Hydrocarbons (Hurricane Hydrocarbons Ltd., head office is in Calgary, Alberta, Canada) to SHNOS OJSC: KZT10.7 bln is other receivables of Hurricane Hydrocarbons (to mature on March of this year), KZT5.1 bln - current liability of Hurricane Kumkol Munai (Kyzyl-Orda). Doubtful debt reserves of SHNOS OJSC were at KZT2.47 bln as of October 1, 2000. The most of the debt, classified by SHNOS OJSC as bad debt, is the debt of Energoproekt LLP (Almaty) for amount of KZT1.664 bln.