Full Report - Fraser and Neave Limited

NOTES TO THE FINANCIAL STATEMENTS
for the year ended 30 September 2006
4. PROFIT BEFORE TAXATION AND EXCEPTIONAL ITEMS
THE GROUP THE COMPANY
2006 2005 2006 2005
($’000) ($’000) ($’000) ($’000)
(Restated) (Restated)
Profit before taxation and exceptional items
have been arrived at after charging:
Depreciation of fixed assets 112,071 108,592 – –
Depreciation of investment properties 4,788 2,229 – –
Impairment of fixed assets 2,885 361 – –
Impairment of properties under development 12,830 – – –
Amortisation of properties under development 2,889 105 – –
Amortisation of brands 661 1,658 169 1,167
Amortisation of intangibles 4,901 4,329 – –
Intangible assets written off – 1,870 – –
Provision for/(Write back of) doubtful trade debts
and bad debts 3,122 (77) – –
Provision for inventory obsolescence 9,223 11,176 – –
Provision for employee benefits
Directors of the Company:
3,456 2,705 – –
Fee 1,080 641 803 436
Remuneration of members of Board committees 241 204 241 204
Remuneration of executive directors
Central Provident Fund contribution for
4,985 5,057 – –
executive directors 15 19 – –
Consultancy fees 1,243 – – –
Retirement gratuity of an executive director – 3,000 – –
Ex-gratia payment of an executive director 1,000 – – –
Share-based payments
Key executive officers:
1,566 921 – –
Remuneration 4,785 3,886 – –
Provident Fund contribution 136 143 – –
Share-based payments 712 312 – –
Staff costs (exclude directors and key executives)
Defined contribution plans (exclude directors and
315,021 296,910 – –
key executives)
Share-based payments (exclude directors and
18,810 21,691 – –
key executives)
Auditors’ remuneration:
7,884 2,972 1,698 930
Auditor of the company 1,218 1,086 158 158
Other auditors
Professional fees paid to:
2,399 2,124 2 –
Auditor of the company 161 116 – 7
Other auditors 543 600 – –
Interest expense (see details) 83,663 61,043 39,192 20,494
Exchange loss 4,845 13 177 –
Loss on disposal of fixed assets
Provision for foreseeable losses on properties
1,891 902 – –
held for sale 7,753 16,517 – –
Fair value loss on financial instruments 1,136 – 814 –
and crediting:
Interest income (see details) 23,312 20,104 1,547 605
Exchange gain – 7,093 – 72
Write back of provision for employee benefits 262 804 – –
Reversal of impairment charge of fixed assets 1,320 234 – –
Fair value gains on financial instruments 180 – – –
Fraser and Neave, Limited & Subsidiary Companies Annual Report 2006 111