2012 Annual Report - ZTE

ANNUAL REPORT 2012Notes to Financial Statements (continued)(Prepared in accordance with PRC ASBEs)(All amounts in RMB’000 unless otherwise stated)(English translation for reference only)V. EXPLANATORY NOTES TO MAJOR ITEMS IN THE CONSOLIDATED FINANCIAL STATEMENTS(continued)4. Trade receivables (continued)Please refer to Note V. 18 for details of movements in bad debt provision for trade receivables forthe year.2012 2011Book balance Bad debt provision Book balance Bad debt provisionAmountPercentage(%) AmountPercentage(%) AmountPercentage(%) AmountPercentage(%)Individually significantand for which baddebt provision hasbeen separatelymade 554,861 2 554,861 100 591,722 2 591,722 100For which bad debtprovision has beencollectively made0–6 months 17,805,093 72 — — 20,303,011 77 — —7–12 months 3,362,458 13 214,545 6 2,462,395 10 165,875 713–18 months 1,001,150 4 245,689 25 1,111,816 4 308,769 2819–24 months 483,963 2 231,499 48 626,076 2 255,038 412–3 years 860,004 3 752,759 88 656,806 2 556,997 85Over 3 years 895,258 4 895,258 100 722,028 3 722,028 10024,407,926 98 2,339,750 10 25,882,132 98 2,008,707 824,962,787 100 2,894,611 12 26,473,854 100 2,600,429 10As at 31 December 2012, bad debt provisions for trade receivables which were individually significantand individually tested were as follows:BookbalanceBad debtprovisionPercentageof chargeReasonOverseas carriers 1 179,881 179,881 100% Debtor running into seriousfinancial difficultiesOverseas carriers 2 165,230 165,230 100% Debtor running into seriousfinancial difficultiesOverseas carriers 3 66,697 66,697 100% Debtor running into seriousfinancial difficultiesOthers 143,053 143,053 100% Debtor running into seriousfinancial difficulties554,861 554,861There was no write-back, write-off or recovery of individually significant trade receivables, or whichindividual provision for bad debts had been made, in 2012 (2011: Nil).205