Sunny Tew

STATEMENTS OF CHANGES IN EQUITYFOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2007 (Continued)The GroupNoteSharecapitalSharepremiumAttributable to equity holders of the CompanyCapitalreserveHedgingreserveForeigncurrencytranslationaccountAccumulatedprofitsTotalMinorityinterestsTotal equity$ $ $ $ $ $ $ $ $Balance as at 1 October 2005 35,243,232 30,366 - (36,572) 15,099,830 50,336,856 861,766 51,198,622Effect of adopting FRS 39 13 - - - (4,870,228) - - (4,870,228) - (4,870,228)Deferred tax asset on hedging reserve 14 - - - 974,000 - - 974,000 - 974,000Currency translation adjustments 18 - - - - (59,734) - (59,734) (162,153) (221,887)Net expenses directly recognised in equity - - - (3,896,228) (59,734) - (3,955,962) (162,153) (4,118,115)Profit for the financial year - - - - - 13,756,942 13,756,942 119,666 13,876,608Total recognised net income andexpense for the financial year - - - (3,896,228) (59,734) 13,756,942 9,800,980 (42,487) 9,758,493Effect of Companies (Amendment) Act2005 30,366 (30,366) - - - - - - -Arising from acquisition of subsidiaries - - - - - - - 546,610 546,610Recognition of equity componentof convertible loan 12&16 - - 100,610 - - - 100,610 - 100,610Dividends 25 - - - - - (2,192,899) (2,192,899) - (2,192,899)Balance as at 30 September 2006 35,273,598 - 100,610 (3,896,228) (96,306) 26,663,873 58,045,547 1,365,889 59,411,436The accompanying notes form an integral part of these financial statements.38 HG METAL MANUFACTURING LIMITED ANNUAL REPORT 2007