2003 - 04 Annual Report - Sbs

112Notes Consolidated Corporation13. Cash flow reconciliation2004 2003 2004 2003$'000 $'000 $'000 $'000Reconciliation of operating surplus to net cash fromoperating activities.Operating surplus before extraordinary items 2,993 12,294 2,708 12,796Non-Cash itemsDepreciation and amortisation of property, plant and equipment 7,896 8,072 7,896 8,072Decrease in payables to suppliers for capital purchases - 111 - 111(Decrease) in loan receivable - - (2,167) -(Gain) / loss on disposal of property, plant and equipment 39 113 39 113(Decrease) in provision for doubtful debts (22) (43) (22) (43)Increase in interest on capitalised investments 2,665 2,594 2,659 2,577(Increase) in revenue prepaid for analogue extensions (5,461) (5,457) (5,461) (5,457)(Gain) / loss on investment in associated company (283) 117 - -Changes in assets and liabilities:Decrease / (increase) in receivables (3,546) 3,729 (697) 3,681Increase in inventories (3,771) (5,573) (3,771) (5,573)Decrease / (increase) in prepayments paid (3,191) 127 (3,191) 127Increase in liabilities to employees 1,712 919 1,712 919Increase in payables to suppliers 365 879 411 864Increase in prepayments received 721 613 721 613Net cash from (used by) operating activities 117 18,495 837 18,800