CENTRAL PATTANA PUBLIC COMPANY LIMITED INTERIM FINANCIAL STATEMENTS (UNAUDITED) 30 SEPTEMBER 2000 AUDITOR'S REPORT ON REVIEW OF INTERIM FINANCIAL STATEMENTS To the Shareholders and the Board of Directors of Central Pattana Public Company Limited I have reviewed the accompanying consolidated and company balance sheets of Central Pattana Public Company Limited as at 30 September 2000, and the related consolidated and company statements of income for the three- month and nine-month periods, and statements of changes in shareholders' equity, retained earnings and cash flows for the nine-month periods ended 30 September 2000 and 1999. These financial statements are the responsibility of the Company's management. My responsibility is to issue a report on these financial statements based on my review. I conducted my review in accordance with the standard of auditing applicable to review engagements. This standard requires that I plan and perform the review to obtain moderate assurance as to whether the financial statements are free of material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedures applied to financial data and thus provides less assurance than an audit. I have not performed an audit, and, accordingly, I do not express an audit opinion. Based on my review, nothing has come to my attention that causes me to believe that the consolidated and company financial statements referred in the first paragraph are not presented fairly, in all material respects, in accordance with generally accepted accounting principles. I have audited the consolidated and company financial statements of Central Pattana Public Company Limited for the year ended 31 December 1999 in accordance with generally accepted auditing standards and expressed an unqualified opinion on those statements in my report dated 22 February 2000. The consolidated and company balance sheets as at 31 December 1999, presented for comparative purposes, are a component of the audited financial statements which I have audited and issued a report thereon as stated above, and I have not performed any other auditing procedures subsequent to the date of that report. As explained in Note 5 to the financial statements, the company has restated the consolidated balance sheet as at 31 December 1999 to reflect the presentation of interest in joint ventures per Thai Accounting Standard No. 46. I have reviewed the adjustments described in Note 5 to the financial statements and found that such adjustments are appropriate for adjustment to the financial statements for the year ended 31 December 1999 and have been properly applied for the restatement. The comparative consolidated financial statements as at 31 December 1999 were parts of the aforementioned restated financial statements. SOONTORN DENTHAM Certified Public Accountant (Thailand) No. 3340 PricewaterhouseCoopers ABAS Limited Bangkok 14 November 2000 Central Pattana Public Company Limited Balance Sheets As at Consolidated Company Notes 30 September 31 December 30 September 31 December 2000 1999 2000 1999 (unaudited) (audited) (unaudited) (audited) (restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 ASSETS Current Assets Cash on hand and at banks 577,725 208,636 495,327 106,546 Short-term investments 1,554,311 708,579 1,552,840 699,432 Trade accounts receivable, net 6 120,768 124,009 70,058 71,794 Short-term loans and advances to related parties 16e 5,347 5,453 19,417 64,659 Other account receivable 7 - 449,093 - 449,093 Other current assets 8 148,374 152,834 75,804 45,284 Total Current Assets 2,406,525 1,648,604 2,213,446 1,436,808 Non-Current Assets Loans to related parties 16f 38,840 38,840 807,182 744,894 Investments in subsidiaries and joint ventures 16g - - 2,985,605 2,935,105 Other long-term investments 16h 161,694 161,694 120,315 120,315 Deferred tax assets 275,711 207,614 260,390 207,614 Property and equipment, net 9 8,272,175 8,531,425 3,135,203 3,343,470 Other assets 10 501,693 526,709 166,178 174,846 Total Non-Current Assets 9,250,113 9,466,282 7,474,873 7,526,244 Total Assets 11,656,638 11,114,886 9,688,319 8,963,052 Director Director The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Balance Sheets (Cont'd) As at Consolidated Company 30 September 31 December 30 September 31 December 2000 1999 2000 1999 (unaudited) (audited) (unaudited) (audited) (restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities Bank overdrafts and loans from financial institutions 38,057 46,336 15,399 11,034 Trade accounts payable 3,297 3,044 2,635 3,543 Current portion of long-term borrowings 12 266,963 255,800 266,963 246,139 Euro convertible bonds due within one year 1,738,690 - 1,738,690 - Advance from directors and related companies 1,790 4,991 102,201 42,286 Income tax payable 32,865 275,081 22,285 268,778 Other current liabilities 11 436,649 411,326 250,311 205,729 Total Current Liabilities 2,518,311 996,578 2,398,484 777,509 Non-Current Liabilities Long-term borrowings 12 2,452,127 1,833,208 1,914,621 1,216,036 Euro convertible bonds - 1,697,690 - 1,697,690 Unearned rental and service income 2,169,093 2,266,403 1,273,476 1,344,839 Deposits received from customer 681,270 606,470 494,284 464,064 Guarantee for leasehold right 51,448 59,930 4,414 4,414 Total Non-Current Liabilities 5,353,938 6,463,701 3,686,795 4,727,043 Total Liabilities 7,872,249 7,460,279 6,085,279 5,504,552 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Balance Sheets (Cont'd) As at Consolidated Company 30 September 31 December 30 September 31 December 2000 1999 2000 1999 (unaudited) (audited) (unaudited) (audited) (restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 LIABILITIES AND SHAREHOLDERS' EQUITY (CONT'D) Shareholders' Equity Share capital Authorised share capital 1,210,000 1,210,000 1,210,000 1,210,000 Issued and paid-up share capital 1,000,000 1,000,000 1,000,000 1,000,000 Premium on share capital 1,185,000 1,185,000 1,185,000 1,185,000 Unrealised loss of investment in available-for-sale securities (2,690) (2,356) (2,690) (2,356) Negative goodwill 112,594 112,594 112,594 112,594 Retained earnings Appropriated Legal reserve 121,000 121,000 121,000 121,000 Unappropriated 1,187,136 1,042,262 1,187,136 1,042,262 Minority interests 181,349 196,107 - - Total Shareholders' Equity 3,784,389 3,654,607 3,603,040 3,458,500 Total Liabilities and Shareholders' Equity 11,656,638 11,114,886 9,688,319 8,963,052 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Income (Unaudited) For the Three-Month Period Ended 30 September Consolidated Company Notes 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Revenues Rental and service income 567,096 502,260 383,050 340,666 Food and beverage sales 66,470 108,056 - - Interest income 12,229 3,345 20,478 14,451 Other income 38,211 18,752 37,824 19,110 Total revenues 693,006 632,413 441,352 374,227 Expenses Cost of rental and service 268,888 234,208 137,871 113,095 Cost of food and beverage sales 50,724 81,349 - - Administrative expenses 65,284 69,962 43,735 41,170 Provision for loan to related company - 40,000 - 40,000 Loss on exchange 117,621 179,561 117,615 179,561 Directors' remuneration 4,835 4,131 4,835 4,130 Interest expenses 93,759 90,157 86,093 77,806 Total expenses 601,111 699,368 390,149 455,762 Operating profit (loss) 3 91,895 (66,955) 51,203 (81,535) Share of profit of subsidiaries - - 38,578 10,616 Profit (loss) before tax 91,895 (66,955) 89,781 (70,919) Income tax (13,755) 19,307 (15,355) 22,684 Profit (loss) before minority interests 78,140 (47,648) 74,426 (48,235) Share of (profit)/loss in subsidiaries to minority interest (3,714) (587) - - Net profit (loss) for the period 74,426 (48,235) 74,426 (48,235) Baht Baht Baht Baht Basic earnings per share 4 Profit (loss) before minority interest 0.78 (0.47) 0.74 (0.48) Share of (profit)/loss in subsidiaries to minority interest (0.04) (0.01) - - Net profit (loss) for the period 0.74 (0.48) 0.74 (0.48) Diluted earnings (loss) per share 4 Profit (loss) before minority interest 0.78 (0.47) 0.74 (0.48) Share of (profit)/loss in subsidiaries to minority interest (0.04) (0.01) - - Net profit (loss) for the period 0.74 (0.48) 0.74 (0.48) The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Income (Unaudited) For the Nine-Month Period Ended 30 September Consolidated Company Notes 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Revenues Rental and service income 1,661,740 1,488,999 1,110,813 1,020,663 Food and beverage sales 285,803 296,346 - - Interest income 40,214 32,061 56,465 60,450 Gain from redemption of ECD 17,775 56,185 17,775 56,185 Gain from sale of investment 15 81,721 - 19,835 - Other income 83,532 79,393 88,560 66,090 Total revenues 2,170,785 1,952,984 1,293,448 1,203,388 Expenses Cost of rental and services 761,467 693,064 377,654 339,427 Cost of food and beverage sales 218,651 220,772 - - Administrative expenses 229,784 224,538 149,037 139,759 Provision for loss of property under development 147,786 30,000 91,226 - Provision for loan to related company - 80,000 - 80,000 Loss on exchange 186,519 184,533 186,516 184,533 Directors' remuneration 10,834 10,971 10,834 10,971 Interest expenses 273,474 261,701 237,010 208,842 Total expenses 1,828,515 1,705,579 1,052,277 963,532 Operating profit 3 342,270 247,405 241,171 239,856 Share of profit (loss) of subsidiaries - - 92,451 (6,740) Profit before tax 342,270 247,405 333,622 233,116 Income tax (85,521) (85,259) (66,959) (74,007) Profit before minority interests 256,749 162,146 266,663 159,109 Share of (profit)/loss in subsidiaries to minority interest 9,914 (3,037) - - Net profit for the period 266,663 159,109 266,663 159,109 Baht Baht Baht Baht Basic earnings per share 4 Profit before minority interest 2.57 1.62 2.67 1.59 Share of (profit)/loss in subsidiaries to minority interest 0.10 (0.03) - - Net profit for the period 2.67 1.59 2.67 1.59 Diluted earnings per share 4 Profit before minority interest 2.57 1.62 2.67 1.59 Share of (profit)/loss in subsidiaries to minority interest 0.10 (0.03) - - Net profit for the period 2.67 1.59 2.67 1.59 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Changes in Shareholders' Equity (Unaudited) For the Nine-Month Period Ended 30 September Consolidated Company 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Share Capital Beginning balance 1,000,000 1,000,000 1,000,000 1,000,000 Increase during the period - - - - Decrease during the period - - - - Ending balance 1,000,000 1,000,000 1,000,000 1,000,000 Premium on Share Capital Beginning balance 1,185,000 1,185,000 1,185,000 1,185,000 Increase during the period - - - - Decrease during the period - - - - Ending balance 1,185,000 1,185,000 1,185,000 1,185,000 Unrealised gain (loss) of investment in available-for-sale securities Beginning balance (2,356) - (2,356) - Increase during the period (334) (2,356) (334) (2,356) Decrease during the period - - - - Ending balance (2,690) (2,356) (2,690) (2,356) Negative goodwill Beginning balance 112,594 112,594 112,594 112,594 Increase during the period - - - - Decrease during the period - - - - Ending balance 112,594 112,594 112,594 112,594 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Changes in Shareholders' Equity (Unaudited) For the Nine-Month Period Ended 30 September Consolidated Company Note 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Retained Earnings Appropriated retained earnings Legal reserve Beginning balance 121,000 121,000 121,000 121,000 Increase during the period - - - - Decrease during the period - - - - Ending balance 121,000 121,000 121,000 121,000 Unappropriated retained earnings Beginning balance, as previously reported 1,045,473 838,998 1,045,473 838,998 Prior year adjustments 5 - (70,294) - (70,294) Beginning balance, as restated 1,045,473 768,704 1,045,473 768,704 Increase during the period 266,663 159,109 266,663 159,109 Decrease during the period (125,000) (100,000) (125,000) (100,000) Ending balance 1,187,136 827,813 1,187,136 827,813 Minority interests Beginning balance, as previously reported 685,703 662,885 - - Prior year adjustment 5 (494,440) (471,666) - - Beginning balance, as restated 191,263 191,219 - - Increase during the period - 3,888 - - Decrease during the period (9,914) - - - Ending balance 181,349 195,107 - - Total 3,784,389 3,439,158 3,603,040 3,252,589 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Retained Earnings (Unaudited) For the Six-Month Period Ended 30 September Consolidated Company Note 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Unappropriated retained earnings: Beginning balance - As previously reported 1,045,473 838,998 1,045,473 838,998 - Prior year adjustments 5 - (70,294) - (70,294) - As restated 1,045,473 768,704 1,045,473 768,704 Less: Appropriation - Dividend (125,000) (100,000) (125,000) (100,000) Net profit for the period 266,663 159,109 266,663 159,109 Unappropriated retained earnings at end of the period 1,187,136 827,813 1,187,136 827,813 Appropriated retained earnings at end of the period Legal reserve 121,000 121,000 121,000 121,000 Retained earnings at end of the period 1,308,136 948,813 1,308,136 948,813 The notes to the interim consolidated and company financial statements on pages 11 to 27 are an integral part of these interim financial statements. Central Pattana Public Company Limited Statements of Cash Flows (Unaudited) For the Nine-Month Period Ended 30 September Consolidated Company Notes 2000 1999 2000 1999 (Restated) (Restated) Baht' 000 Baht' 000 Baht' 000 Baht' 000 Cash flows from operating activities 14 1,027,124 11,339 753,160 (21,125) Cash flows from investing activities (Increase) in short-term investment (1,107,448) - (1,114,946) - Cash receipt from sales of marketable securities 8,337 (225) 8,337 (225) Loans made to related companies - (12,641) (17,045) (509,675) (more)