Auditors' report on financial statements of Development Bank of Kazakhstan CJSC for 2003

/IRBIS, Galina Tsalyuk, March 2, 03/ - Development Bank of Kazakhstan CJSC (Astana), whose bonds are circulating in Kazakhstan stock exchange's (KASE) official "А" listing category, presented KASE report on audit results conducted by Ernst & Young LLP (Almaty) on bank's financial statements for 2003, prepared in compliance with International Accounting Standards (IAS). The report confirms following financial results of the company for the period ended December 31, 2003: -------------------------------------------------------------------- Index 2002 2002 ---------------------------------------------- ---------- ---------- Issued (paid) authorized capital 30,000,000 37,700,000 Shareholders equity 32,810,403 41,721,072 Total assets 57,589,614 84,137,211 Total current assets 45,635,396 64,410,254 Loans granted to clients (net of bad debt) 11,740,139 19,310,848 Loans granted to other banks (net) 16,918,173 14,512,459 Liabilities, total 24,779,211 42,416,139 Clients' deposits 51,012 353,289 Borrowings from banks 4,456,713 4,763,555 Issued outstanding bonds 20,105,155 32,811,489 Total revenues 3,678,682 4,940,661 Total expenses 1,641,879 3,729,992 Net income 2,036,803 1,210,669 ---------------------------------------------- ---------- ---------- Financial ratios calculated based on auditor's data: ---------------------------------------------- ---------- ---------- Return on equity (ROE), % 6,21 2,90 Return on assets (ROA), % 3,54 1,44 -------------------------------------------------------------------- Bank's financial statements compliant with IAS were audited by Ernst & Young LLP in adherence to International Standards of Auditing. In the auditor's opinion, the financial statement exactly and in all significant aspects reflects the bank's financial position as of December 31 of 2003, and results of its activities, cash flow for the year, ended on December 31 of 2003, in compliance with international accounting standards. Primary activity - rendering of banking activities (except attracting of deposits and opening of accounts for physical and juridical entities, excluding opening and maintaining of accounts of conditional deposits, reserve accounts in compliance with agreements on loans that are guaranteed by the state, and also on servicing of investment projects, which are financed at the expense of means of Republican and local budgets). [2004-03-02]