REPORT AND CONSOLIDATED FINANCIAL STATEMENTS Annual Report 2005 Supalai Public Company Limited
The financial information by business segment in the consolidated balance sheets as at 31 December 2005 and 2004 is as follow :(Unit : Baht) .. . . .. .. Real estate business ... Hotel business and management... .. Eliminated Total .. .. .. .. . . . . . .. 2004 ... 2005 ... 2004 ... 2005 ... 2004 ... 2005 ... 2004 .. 2005 ... .. .. .. .. .. .. .. .. . .. .. .. .. .. Property, plant and equipment for rent, net ... 41,396,101 ... 57,562,878 ... 41,396,101 .. .. .. .. .. 57,562,878 .. .. .. .. .. .. .. . .. 952,378,300 .. 593,238,850 .. .. .. 7,672,642 .. .. 960,050,942 ... 593,238,850 Projects under construction .. . . . . . . . .. 325,584,078 ... 366,729,418 ... 20,625,679 ... 13,164,793 ... (6,297,918)... (6,372,684)... 339,911,839 ... 373,521,527 Property, plant and equipment, net .. . . . . . . . ..6,513,713,074 ...5,035,028,995 ... 23,762,868 ... 24,115,530 ... (422,061,483)... (335,106,976)...6,115,414,459 ... 4,724,037,549 Other assets .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. Total assets 7,833,071,553 6,052,560,141 44,388,547 37,280,323 (420,686,759) (341,479,660) 7,456,773,341 .. .. .. .. .. .. .. .. 5,748,360,804
39. PROVIDENT FUND During the year 2003, the Company and its employees have jointly established a provident fund as approved by the Ministry of Finance in accordance with Provident Fund Act B.E. 2530. The fund is monthly contributed to by the Company and its employees at the rate of 2 percent of the employeesû basic salaries, and wil be paid to the employees upon termination in accordance with the rules of the Companyûs provident fund. The fund is managed by Kasikorn Asset Management. Total contributions of the Company for the year 2005 amounted to Baht 1.2 mil ion (2004 : Baht 1.1 mil ion). 40. FINANCIAL INSTRUMENTS 40.1 Financial risk management policies The Company and its subsidiaries are exposed to risks from changes in market interest rates and from non-performance of contractual obligations by counterparties. The Company and its subsidiaries do not use derivative instruments to manage such risks and do not hold or issue derivative instruments for speculative or trading purposes. 40.2 Interest rate risk The interest rate risk is the risk that future movements in market interest rates wil affect the results of the Companyûs and its subsidiariesû operations and their cash flows. The Companyûs and its subsidiariesû exposure to interest rate risk relates primarily to their deposits with financial institutions, bank overdrafts, other short-term loans, long-term loans from financial institutions and debentures. The Company and its subsidiaries do not use derivative financial instruments to hedge such risk and believe that there wil be no material impact on the financial statements. Details of loans and debentures are presented in Notes 18 to 21. 40.3 Credit risk The Company and its subsidiaries are exposed to credit risk primarily with respect to trade accounts. However, due to the large number of entities comprising the Company and its subsidiariesû customer base, the management believes that the maximum exposure to credit risk is limited to the carrying amount of receivable less allowance for doubtful debt as stated in the balance sheets. Report and consolidated financial statements
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