2003 - KNM Steel Sdn Bhd

KNM GROUP BERHAD (521348-H)CASH FLOW STATEMENTSFOR THE YEAR ENDED 31 DECEMBER 2003Cash Flows from OperatingActivitiesGroupCompanyNote 2003 2003 2002RM’000 RM’000 RM’000Profit/(loss) before tax 29,055 2,806 (3)Adjustments for:Negative goodwill (20,829) – –Depreciation 1,355 – –Dividend income – (3,000) –Interest expense 1,428 – –Interest income (146) (57) –Unrealised foreign exchange gain 119 – –Operating profit/(loss) before workingcapital changes 10,982 (251) (3)(Increase)/Decrease in working capital:Inventories (1,490) – –Trade and other receivables (2,554) (3,001) 3Trade and other payables (8,104) 124 –Cash used in operations (1,166) (3,128) –Income taxes paid (2,358) – –Interest paid (2,292) – –Interest received 146 57 –Net Cash Used in Operating Activities (5,670) (3,071) –Cash Flows from Investing ActivitiesAcquisition of subsidiaries,net of cash acquired 27 1,422 (500) –Increase in pledged deposit placedwith licensed bank (50) – –Dividend received – 3,000 –Advances to subsidiary companies – (18,588) –Purchase of property, plant and equipment (i) (8,492) – –Net Cash Used in Investing Activities (7,120) (16,088) –Cash Flows from Financing ActivitiesNet proceeds from bills payable (8,992) – –Repayment of hire purchase liabilities (1,624) – –Proceeds from term loan 10,329 – –Repayment of term loan (16,299) – –Interest expenses (799) – –Proceeds from issuance of shares 19,202 19,202 –Net Cash Generated from FinancingActivities 1,817 19,202 –2003 ANNUAL REPORT35