Auditing report on 2000 financial statements of VITA LLP (Kazakhstan)

/KASE, Oct 3, 01/ - VITA LLP (Almaty) provided the KASE with auditing report of KPMG Janat (Almaty, Kazakhstan) made on its 2000 consolidated financial statements. Based data of an independent auditor the following are financial and economic results of the issuer's activities as of December 31, 1999 and 2000 (in th. KZT unless otherwise specified): ----------------------------------------------------------- as of as of Indicator Jan 1, 00 Jan 1, 01 --------------------------------------- --------- --------- Authorized capital (announced) 100,000 100,000 Authorized capital (paid) 54,433 54,433 Shareholders' equity 234,504 242,148 Total assets 568,091 901,263 Net working capital 45,630 26,270 Accounts receivable 147,197 388,936 Liabilities 333,587 659,115 Credits attracted 165,295 423,262 Accounts payable 168,292 158,994 Issued bonds - 76,859 Sales 115,166 617,185 Cost of goods sold 81,233 486,192 Net income (loss) (27,201) 7,644 --------------------------------------- --------- --------- Calculated based on the auditor's data: --------------------------------------- --------- --------- Return on sales (ROS), % - 21.2 Return on equity (ROE), % - 3.2 Return on assets (ROA), % - 0.8 ----------------------------------------------------------- Auditing was conducted by KPMG Janat in compliance with the International Accounting Standards. As of December 31, 2000 consolidated financial statements of the company included statements of its subsidiary Irtysh OJSC, where VITA LLP has 100% stake. In its report, the auditor notes that due to the fact that auditing did not cover December 31, 1998 results, then possible corrections of the balance sheet as of that date could have made significant impact on the comparable figures of the year 1999. Also, auditor notes that he could not confirm the presence of the company's inventory as of December 31, 2000 (since during 2000 the company did not kept an adequate records regarding the movements of inventory), as well as on December 31, 1999 because he was assigned as an auditor after that date and therefore was not present at inventory stock taking for that period. In the opinion of the auditor, consolidated financial statements give true picture of financial situation of the company in all essential aspects as of December 31, 2000, as well as results of income and cash flow statements in compliance with Kazakhstani Accounting Standards, except for the corrections that could have appeared due to the presence of inventory as of December 31, 1999 and 2000 and showing the balance on December 31, 1998. Second issue inscribed coupon bonds (KZ2CKAPUBA19, trade code - VITAb2; $100; $1.5m; Dec 1.00 - Dec 1.01; semiannual coupon at 14.0% APR) of VITA LLP were entered into official list of KASE securities under category "B" on December 6, 2000. Primary activities: purchasing, processing, production and sale of butter and oil products.