/IRBIS, Galina Tsalyuk, October 7, 05/ - Mining and smelting concern Kazakhaltyn JSC (Spepnogorsk, hereinafter - company), whose bonds are circulating in Kazakhstan stock exchange's (KASE) official "A" listing category, has presented KASE auditor's report of BDO Kazakhstanaudit LLP (Almaty) on the company's financial statement for 2004, prepared in compliance with International Financial Reporting Standards (IFRS).

According to the auditor's data, result of the company's financial and economic activity for 2004 is as follows (in th. KZT, unless otherwise indicated):

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                                        As of        As of
Indicator                         Dec. 31, 03  Dec. 31, 04
--------------------------------  -----------  -----------
Authorized capital (paid)           1,538,711    1,538,711
Shareholders' equity                1,401,056    2,419,965
Total assets                        3,408,370    6,703,829
Net working capital                   280,507      642,921
Accounts receivable                 1,069,490    1,088,421
Total liabilities                   2,007,314    4,283,864
Borrowed loans (excluding bonds)    1,490,536    1,543,688
Accounts payable                      331,824      354,538
Issued bonds                                -    1,723,316
Sales volume                        1,526,355    1,141,180
Prime cost of sales                 1,115,945      937,321
Net income for the year                44,602        5,386
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Calculated according to the auditor's data:
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Return on sales (ROS), %                26.89        17.86
Return on equity (ROE), %                3.18         0.22
Return on assets (ROA), %                1.31         0.08
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Audit of the company's financial statement for 2004 was performed by BDO Kazakhstanaudit LLP in compliance with international auditing standards.

In the opinion of BDO Kazakhstanaudit LLP, financial statements exactly in all significant aspects reflects financial position of the company as of December 31, 2004, and also results of its activity, cash flow and changes in shareholders equity for the year, ended on the above date, in compliance with IFRS.

Company's primary activities - exploration and prospecting works, extraction and processing of gold-containing ore, production of gold-containing goods, manufacture, storage and sale of gold and other precious metals, export of gold and other precious metals and precious stones, jewelry production, operations with refined precious metals and precious stones in physical condition, transportation, organization of scientific and development works and development projects.

[2005-10-07]