Osim FR 050407.indd

Notes to the Financial Statements - 31 December 2006 (cont’d)33. Financial expenses and financial income (cont’d)(b)Group2006 2005$’000 $’000Financial income- Interest income- fi xed deposits 934 963- bank balances 95 36- gain on interest rate swaps 172 738- others 19 211,220 1,75834. Share of financial expenses of a joint ventureShare of fi nancial expenses of a joint venture relates to the Group’s share of dividends accrued on the joint venture’s cumulativepreference shares, which are accounted for in accordance with the accounting policy stated in Note 2.29. The preference sharescarry a dividend of 12% (2005: 12%) per annum and the dividend rights are cumulative.35. Taxationa) Major components of income tax expenseThe major components of income tax expense for the years ended 31 December 2006 and 2005 are:Group2006 2005$’000 $’000Current income tax- current year 11,017 6,917- (over)/under provision in respect of previous years (1,704) 10Deferred tax- Movement in temporary differences (1,740) (1,329)- underprovision in respect of previous years 251 219Income tax expenses recognised in profi t and loss account 7,824 5,817Notes to the Financial Statements 147Annual Report 2006