Auditor's report on consolidated financial statements of RG Brands OJSC (Kazakhstan) for 2003

/IRBIS, Galina Tsalyuk, May 19, 04/ - RG Brands OJSC (Almaty), whose bonds are circulating in Kazakhstan stock exchange's (KASE) official "А" listing category, has presented KASE auditor's report of Deloitte (Almaty) on the company's consolidated financial statements for 2003 prepared in compliance with International Financial Reporting Standards (IFRS). Following indicators are the result of the company's financial and economic activity in 2003 (th. KZT, unless otherwise specified): ------------------------------------------------------------- Indicator 2002 2003 --------------------------------------- --------- --------- Authorized capital (paid) 1,478,023 1,478,023 Shareholders' equity 1,574,231 1,903,924 Assets, total 4,512,599 6,839,024 Net working capital 1,033,804 3,110,283 Accounts receivable, total 2,223,669 3,826,645 Liabilities, total 2,938,368 4,935,100 Attracted loans 1,244,224 925,057 Bonds issued 622,400 2,340,430 Long-term rent liabilities (leasing) 336,171 231,820 Accounts payable 678,642 1,329,058 Sales volume 1,664,357 3,945,145 COGS 1,279,677 3,133,327 Net income 66,660 208,411 --------------------------------------- --------- --------- It's been calculated by auditor's data: --------------------------------------- --------- --------- Return on sales (ROS), % 23.11 20.58 Return on equity (ROE), % 4.23 10.95 Return on assets (ROA), % 1.48 3.05 ------------------------------------------------------------- Audit of financial statement of the company and its subsidiary companies (hereinafter-Group) was performed by Deloitte in compliance with International Standards on Auditing. The Group accounted for activities under International Accounting Standards (IAS) in 2003. Financial statements of 2002 prepared in compliance with KAS were correspondingly corrected to make financials comparable. The group's consolidated financial statements for 2002-2003 comprises financial statements of RG Brands OJSC and its daughter companies: PRG Bottlers OJSC (Almaty, production and bottling of nonalcoholic gas drinks), in which RG Brands OJSC possesses 100% of floated shares, Tealand LLP (Almaty, packing and sale of tea), in which RG Brands OJSC possesses 100% stake in the paid authorized capital). In the auditor's opinion consolidated financial reports in all essential aspects for sure reflect financial position of RG Brands OJSC and its daughter companies as of December 31 of 2003, results of their financial and economic activity and cash flow for the year, which ended by that date, in compliance with Kazakhstan accounting standards. Company's primary activities - production and sale of natural juices and drinks, rendering of marketing services. [2004-05-19]