ANNUAL REPORT 06 - Bosnalijek dd

Bosnalijek d.d.Notes to financial statements for the year ended 31 December 2006(All amounts are expressed in thousands of KM)16. OTHER RECEIVABLES17. CASH AND CASH EQUIVALENTSPrepaid income taxOther receivables from customersAdvances givenReceivables from prepaid expensesReceivables from employeesReceivables from BBM d.o.o. Sarajevofor sold office spaceOther2006.2.45742330920155-283.4732005.1.758-1119662324-2.351Current accountsForeign currency accountsCash on hand2006.1.2907871562.2332005.1.019637381.69418. SHARE CAPITAL5,843,276 common shares withnominal value of KM 10Less: International FinanceCorporation (IFC) conversion option2006.58.432(7.316)51.1162005.58.432(7.316)51.116The ownership structure as of 31 December 2006 and 2005 can besummarised as follows:Federation of Bosnia and HerzegovinaWorld Bank, Washington D.C. USA (IFC)Other% SHARE28,9012,5258,58100,002006.16.8847.31634.23258.432% SHARE28,9012,5258,58100,002005.16.8847.31634.23258.432IFC loan conversion option was exercised in August 2001 and theCompany increased its share capital by the amount of 7,316 thousand.These shares have been restated as debt as required by InternationalFinancial Reporting Standards due to the existence of a Put Option, whichIf the IFC were to sell their shares at any time in the five years prior to theexpiry of the Put Option Agreement on 9 August 2007, the Put Optionwould lapse and the shares would be restated in the accounts at KM 7,316thousand plus or minus a discount or premium.gives the IFC the right to require the Company to repurchase the shares.serving Your health INDEPENDENT AUDITOR’S REPORT ANNUAL REPORT 06 67