Our endeavour is to enhance Stakeholders' Value - Uflex Ltd.

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UFLEX LIMITED
DIRECTOR’S FLEX P. FILMS REPORT (EGYPT) S.A.E.
Notes to the Financial Statements For the year ended March 31, 2009
1. Legal Status and business activity
a) Flex P. Films (Egypt) S.A.E was established as an Egyptian Joint Stock Company on 11th January 2009 subject to the provisions
of the Companies Law No. 159 of 1981 and the regulations thereof.
b) The parent company is Flex Middle East FZE which is a free zone establishment with limited liability incorporated in the Dubai,
UAE.
c) The establishment is at inception stage and will be engaged in the Manufacturing and Marketing of high quality BOPP, BOPET,
Plastic and Metalized fi lms.
2. Basis of preparation
a) The Financial Statements are prepared in accordance with the historical cost basis. The fi nancial statements have been prepared
in accordance with the International Accounting Standards and applicable requirements of Egyptian Laws and regulations.
The Financial Statements prepared as per Egyptian Pound has been translated into United States Dollar (USD) based on the
exchange rate prevailing on the closing date of the Financial Statements except for Capital Stock which has been denominated
into historical cost and diff erence being reported under the head foreign currency translation Reserve and reported under the
head “Reserve & Surplus”.
b) The preparation of the fi nancial statements according to the Egyptian Accounting Standards require that the management
use estimates and assumptions that aff ect the values of the assets and liabilities and the revenues and expenses during the
fi nancial periods and years.
3. Signifi cant Accounting Policies
The accounting policies in dealing with items that are considered material in relation to the establishment’s fi nancial statements
are as follows :
a) Foreign Currency Transactions
Monetary Assets and Liabilities denominated in the Foreign Currency are converted into Egyptian Pound at the rate prevailing
on the date of the transaction. Unsettled Monetary Transaction at the year end has been translated at the year end rate and
resulting profi t/(loss) are being adjusted under the head Exchange Rate Fluctuation Account. Non-Monetary Assets and
Liabilities are reported at their historical cost.
b) Cash & Cash Equivalents:
Cash and cash equivalent for the purpose of the Cash Flow Statement comprise cash on hand, Current Accounts, Deposits free
of encumbrances with a maturity date of three months or less from the date of deposit and highly liquid investments with a
maturity date of three months or less from the date of investments.
4. Cash and Cash equivalent:
This represents balance with a bank in current account.
5. Income Statement:
The establishment has not carried out any commercial activity during the period under review, the entire expenses incurred are
carried forward as startup and project development cost under the Capital Work in Progress.
6. Financial Instruments: Credit, interest rate and exchange rate risk exposures
Credit Risk
Financial assets, which potentially expose the Company to concentrations of credit risk comprise principally of bank accounts.
The company is maintaining bank account with high credit rating fi nancial institution.
Interest Rate Risk
In the absence of bank borrowings, there is no interest rate risk.
Exchange Rate Risk
There are no signifi cant exchange rate risks as substantially all fi nancial assets and fi nancial liabilities are denominated in US
Dollars.
7. Contingent Liabilities:
There were no liabilities of contingent nature as at the balance sheet date.
8. Capital Commitment:
Particulars Amount
(USD Millions)
Estimated amount of Unexecuted Capital Contracts (Net of Advances) 25.87
9. Comparative Figures:
This being fi rst year of establishment, there are no comparative fi gures.
TWENTIETH ANNUAL REPORT 2008 - 2009