Download 2004 Annual Report - Polymetal

Future payments under capital leasesYear ending December 312005 22 5822006 11 8492007 5 8452008 1 5642009 16Later years 11Total 41 867Less amount representing interest (@ 16%) (7 205)Total present value of minimum payments 34 662Less current maturities of capital lease liabilities (19 467)Long−term capital lease liabilities 15 195Equipment with a carrying value of U.S. Dollar 2 120 was pledged as collateral on the capital lease liability to OOOBaltisky LeasingNote 20Reclamation and Mine Closure ObligationMine closure obligations are recognized on the basis of existing project business plans as follows:DepositVorontsovskoyemineBarun−KholbaDukatLunnoyemineKhakandjinskoyemineReclamation and mine closure obligation atDecember 31, 2003805 1 018 1 512 770 725 4 830Revision in estimated cash flows (62) (80) (117) (60) 79 (240)Accretion of reclamation and mine closureobligation108 136 202 103 116 665Settlements − − − − − −Translation effects 52 67 99 50 48 316Disposal (1 141) (1 141)Reclamation and mine closure obligation atDecember 31, 2004903 − 1 696 863 968 4 430Barun−Kholba field is the deposit owed by ZAO Zun Hada, which was a subsidiary of the Group till December 2004(Note 25).TotalNOTE 21Shareholders’ EquityThe authorized share capital ofthe Company is comprised of 4850 000 of common shares (ofwhich 550 000 were issued andoutstanding as at December 31,2004 and 2003) with par valueRuble 100 and 100 000 seriesA preference shares (of which is−sued nil) with par value Ruble 100.In 2003 ISPA “Polymetal” issuedan additional 50 000 ordinaryshares for a price of Ruble 16000 per share.The structure of share capital of theCompany is as follows:Year of issuance Number of shares Exchange rate, U.S. Dollar/RR Share capital, U.S. Dollar2001 350 000 6,08 5 7522002 and subsequent 200 000 29,45 − 31,58 645Total 550 000 6 397Appendix #1: Consolidated financial statements65