FEDERAL INTERNATIONAL (2000) LTD

Federal International (2000) Ltd AR 2002and its Subsidiary Companies56Notes to the Financial Statements5. SUBSIDIARY COMPANIESCOMPANY2002 2001$ $Unquoted shares, at cost 17,638,520 29,299,5846. ASSOCIATED COMPANIESGROUPCOMPANY2002 2001 2002 2001$ $ $ $Unquoted shares, at cost 6,846,024 3,811,073 1,015,866 1,015,866Less : Goodwill on acquisition 260,991 (857,918) – –7,107,015 2,953,155 1,015,866 1,015,866Share of losses- post-acquisition losses (2,063,135) (2,234,942) – –Currency realignment 332,284 46,580 – –5,376,164 764,793 1,015,866 1,015,8667. INTANGIBLE ASSETSNEGATIVE DEVELOPMENTGOODWILL GOODWILL COSTS TOTALGROUP $ $ $ $CostAt beginning of year 2,111,180 – – 2,111,180Acquisition through purchaseof associated company – (1,118,909) – (1,118,909)Reclassification from fixed assets – – 108,488 108,488Internally developed – – 21,332 21,332At end of year 2,111,180 (1,118,909) 129,820 1,122,091Accumulated amortisationAt beginning of year 211,118 – – 211,118Charge for the year 211,118 (111,891) 24,343 123,570Reclassification from fixed assets – – 9,657 9,657Currency realignment – – 781 781At end of year 422,236 (111,891) 34,781 345,126Charge for 2001 211,118 – – 211,118Carrying amountAt end of year 1,688,944 (1,007,018) 95,039 776,965At beginning of year 1,900,062 – – 1,900,062