Auditor's report on financial statement of Corporation Ordabasy JSC (Kazakhstan) for year 2003

/IRBIS, Galina Tsalyuk, August 18, 05/ - Corporation Ordabasy JSC (Almaty), whose shares are circulating in the official "A" listing category of Kazakhstan stock exchange JSC (KASE), has presented to KASE auditor's report of KPMG Janat (Almaty) made on the company's consolidated financial statement for year 2003, which was prepared in compliance with Kazakhstan accounting standards (KAS). According to auditor's data result of the company's financial and economic activity for year 2003 is as follows (th. KZT, unless otherwise indicated): ---------------------------------------------------------------------- as of as of Indicator Dec 31, 02 Dec 31, 03 --------------------------------------------- ---------- ----------- Authorized capital (paid) 1,313,254 1,500,000 Shareholders' equity 1,586,751 1,855,675 Total assets 6,359,256 7,922,910 Net working capital 38,684 1,566,117 Accounts receivable 3,312,194 4,105,609 Total liabilities 4,569,205 6,062,960 Borrowed loans (excluding bonds) 2,988,827 3,713,212 Issued bonds 517,196 1,443,514 Accounts payable 1,055,375 616,483 Stake of minority 203,300 4,275 Sales volume 7,354,596 7,752,741 Cost of goods sold 6,728,562 6,509,784 Expenses of the period 628,937 1,894,950 Net income (loss) for the year 49,768 (497,613) --------------------------------------------- ---------- ----------- Calculated by audited data: --------------------------------------------- ---------- ----------- Return on sales (ROS), % 8.51 16.03 Return on equity (ROE), % 3.14 -26.82 Return on assets (ROA), % 0.78 -6.28 Earnings (loss) per 1 common share (EPS), KZT 4,423.82 (46,565.60) Book value of 1 share, KZT 124,451.06 123,711.67 ---------------------------------------------------------------------- * - were redeemed by the company on August 8 of 2005. Price earning ratio (P/E) were not calculated because company's common shares were included in exchange's official "A" listing category on February 12 of 2004. Audit of the consolidated financial statement for year 2003, which comprises financial statements of the company and its daughter companies (hereinafter - the Group), was made by KPMG Janat in compliance with international auditing standards. The group's consolidated financial statement for year 2003 comprises financial statements of Corporation Ordabasy JSC and its two daughter companies - Aktyubinsk oil equipment plant JSC and Ust-Kamenogorsk reinforcement plant JSC. In the auditor's opinion the consolidated financial statement in all essential aspects for sure reflects financial condition of the Group as of December 31 of 2003, and also results of its activity and cash flow for the year, which ended by the mentioned date, in compliance with KAS. Primary activities of Corporation Ordabasy JSC - trade-intermediary activity, production of oil and gas equipment, production and distribution of heat- and electrical energy, agriculture, investing activity. [2005-08-18]