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

DIRECTOR’S FLEX MIDDLE REPORT EAST FZE
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UFLEX LIMITED
Raw materials and consumables are stated at cost including direct expenses using fi rst in fi rst out method.
Finished goods are valued at cost of direct materials and labour plus attributable overheads based on a normal level of
activities.
Net realisable value is based on estimated selling price less any further costs expected to be incurred on completion and
disposal.
e) Accounts receivable:
An estimate for doubtful debts is made when collection of the full amount is no longer probable and provided for in the
accounts.
f) Accounts payable and accruals:
Liabilities are recognized for amounts to be paid for goods or services received whether invoiced by the supplier or not.
g) Staff end-of-services benefi ts:
Liability for staff end of service benefi ts, as accrued, is provided for in the accounts as per the local labour laws prevailing
in the U.A.E.
h) Revenue:
Sales represents net amount invoiced for goods supplied during the year, Technical services fees are recognized to the
income statement at the time of rendering of technical services. Interest income is recognized as the interest accrues.
i) Foreign currency transactions:
Transactions in foreign currencies are converted into US Dollars at the rate of exchange ruling on the date of the
transaction.
Assets and liabilities expressed in foreign currencies are translated into US Dollars at the rate of exchange ruling at the
Balance Sheet date.
Gains/losses arising from the foreign currency transactions are taken to the income statement.
j) Cash and cash equivalents:
Cash and cash equivalents for the purpose of the cash fl ow statement comprise cash on hand, bank current accounts,
deposits free of encumbrance 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 investment.
k) Financial instruments:
Financial assets and fi nancial liabilities are recognised when, and only when, the establishment becomes a party to the
contractual provisions of the instrument.
Financial assets are de-recognised when, and only when, the contractual rights to receive cash fl ows expire or when
substantially all the risks and rewards of ownership have been transferred.
Financial liabilities are de-recognised when, and only when, they are extinguished, cancelled or expired.
Current and non-current assets that have fi xed or determinable payments and for which there is no active market which
comprise trade and other receivables are stated at cost less any write down for impairment losses plus reversals of
impairment losses. Impairment losses and reversals thereof are recognised in the income statement.
Current and non-current fi nancial liabilities, which comprise bank borrowings, trade and other payables are measured at
cost or, if the impact is material, at amortised cost.
TWENTIETH ANNUAL REPORT 2008 - 2009