|
|
|
|
|
|
|
|
|
|
|
| Report
and Accounts 1996 |
|
| MAPLE
LEAF ELECTRIC COMPANY LIMITED |
|
| A
Company of Kohinoor (Rawalpindi) Group |
|
|
|
| COMPANY
INFORMATION |
|
|
| BOARD
OF DIRECTORS |
|
| MR.
TARIQ SAYEED SAIGOL |
Chairman |
|
| MR.
TAUFIQUE SAYEED SAIGOL |
|
| MR.
SARMAD AMIN |
|
| MR,
AAMIR FAYYAZ SHEIKH |
|
| MR.
ASAD FAYYAZ SHEIKH |
|
| MR.
USMAN SAID |
|
| MR.
MASUD-UL-AZIZ |
|
Chief Executive |
|
|
| COMPANY
SECRETARY |
|
| MR.
GUL7AR SALEEM |
|
|
| AUDITORS |
|
| M/S.
AMIN, MUDASSAR & CO. |
|
| Chartered
Accountants |
|
| 119-Habitat,
Jail Road, |
|
| Lahore. |
|
|
| LEGAL
ADVISOR |
|
| MIAN
MUHAMMAD ARSHAD |
|
| 1
- Turner Road, Lahore. |
|
|
| BANKERS |
|
| UNION
BANK LIMITED |
|
| SCHON
BANK LIMITED |
|
| NATIONAL
BANK OF PAKISTAN |
|
| AMERICAN
EXPRESS BANK LIMITED |
|
| MUSLIM
COMMERCIAL BANK LIMITED |
|
|
| REGISTERED
OFFICE |
|
| &
SHARES DEPARTMENT |
|
| 42-LAWRENCE
ROAD, |
|
| LAHORE
- 54000 |
|
| Tel:
6302261 -6302262 |
|
| Fax:
92 - 042 - 6368721 |
|
|
| PROJECTS |
|
| ISKENDERABAD,
DISTT. MIANWALI |
|
| TEL:
(0459) 392323 |
|
|
| 9TH,
KILOMETRE PESHAWAR ROAD, |
|
| RAWALPINDI. |
|
| TEL:
(051) 476153-4 |
|
|
| NOTICE
OF MEETING |
|
| Notice
is hereby given that the Fourth Annual General Meeting of the members of
MAPLE LEAF |
|
| ELECTRIC
COMPANY LIMITED will be held on Sunday, December 29, 1996 at 03.00 p.m. at
its |
|
| Registered
Office, 42-Lawrence Road, Lahore, to transact the following business:- |
|
|
| 1.
To confirm the minutes of the last Extra-Ordinary General Meeting held on
November |
|
| 10,
1996. |
|
|
| 2.
To receive, consider and adopt the audited accounts of the company for the
year ended June |
|
| 30,
1996 together with the Directors' and Auditors' reports thereon. |
|
|
| 3.
To appoint Auditors and fix their remuneration. M/s. Amin Mudassar 8, Co.,
Chartered |
|
| Accountants,
the retiring auditors, being eligible offer themselves for re-appointment. |
|
|
| 4.
To transact any other business with the permission of the Chair. |
|
|
| By
order of the Board |
|
| GULZAR
SALEEM |
|
| Company
Secretary |
|
|
| NOTES: |
|
| 1.
The share transfer books of the company shall remain closed from December 29,
1996 |
|
| to January 04, 1997 (both days inclusive).
Transfers received in order at the Registered |
|
| Office of the company by the close of
business on December 28; 1996 will be treated in |
|
| time. |
|
|
| 2.
A member entitled to vote at this meeting is entitled to appoint another
member as |
|
| proxy.
Proxies in order to be effective must be received at 42-Lawrence Road,
Lahore, |
|
| the
Registered Office of the company not less than 48 hours before the meeting
and |
|
| must
be duly stamped, signed and witnessed. |
|
|
| 3.
Shareholders are requested to promptly notify the company of any change in
their |
|
| addresses. |
|
|
| DIRECTORS'
REPORT TO THE SHAREHOLDERS |
|
| Your
Directors are pleased to present their annual report alongwith the audited
accounts of the |
|
| company
for the year ended June 30, 1996. |
|
|
| Public
Issue |
|
| 12.0
million shares of the company were offered to general public for subscription
on January 30, 1996 |
|
| at
a premium of Rs. 10/- each. The shares were fully subscribed by the general
public and the |
|
| underwriters.
The amount of Rs. 240.0 million received by the company was utilized towards
completion |
|
| of
the project. |
|
|
| The
Company was listed on Karachi and Lahore Stock Exchanges respectively on
April 15, 1996 and |
|
| trading
in the share certificates commenced with effect from April 21, 1996. |
|
|
| Project
Completion |
|
| It
was envisaged that the trial runs would be completed during February/March,
1996 but there was a |
|
| slight
delay. By the grace of Almighty, the trial runs were successfully completed
during the month of |
|
| April/May
and the plants came into commercial production with effect from June 1, 1996.
During 'the |
|
| period
under review, accordingly, the plants operated on commercial basis for the
month of June, 1996 |
|
| only. |
|
|
| Operating
Results |
|
| The
plants supplied 7,683.62 MW electricity during the month of June, 1996 and
made a profit of |
|
| Rs.
3.212 million. After adding Rs. 18.678 million, being accumulated profit on
bank deposits(net) earned |
| during
pre-commencement of operations, the resultant figure of Rs. 21.890.million
has been carried |
|
| forward. |
|
|
| Pay-out |
|
| The
management is under commitment to pay 30% dividend to the share holders,
after completion of |
|
| one
years' commercial operation. The pay-out shall Insha Allah be declared next
year. |
|
|
| Expansion |
|
| In
order to meet with the requirements of Maple Leaf Cement Factory Limited,
your management has |
|
| planned
to install one more engine of the same make and capacity. Arrangements to
open the letter of |
|
| credit
are in hand and it is hoped that the expansion will be completed by September
1997, to co- |
|
| ordinate
with the start up of the expansion project of Maple Leaf Cement. Factory
Limited. |
|
|
| Directors |
|
| Mr.
Masud ul Aziz was inducted on the board to fill in the vacancy created on
resignation of Mr. Zakir |
|
| Muhammad.
He was also appointed as Chief Executive of the company in place of Mr. Usman
Said. |
|
|
| Auditors |
|
| The
retiring auditors M/s. Amin, Mudassar & Co., Chartered Accountants have
offered themselves for |
|
| reappointment
for the ensuing period. |
|
|
| Pattern
of Shareholding |
|
| Statement
showing pattern of share holding is annexed separately in the report. |
|
|
| Appreciation |
|
| Your
directors take the opportunity to thank its consultants, suppliers of
machinery and contractors for |
| their
support' in completion of the project. The employees of the Company also
deserve |
|
| acknowledgment
for their dedication shown in achieving the target assigned to them. |
|
|
| For
and on behalf of the Board |
|
|
| MASUD
UL AZIZ |
|
| Chief
Executive |
|
|
| PATTERN
OF SHARES HELD BY THE SHAREHOLDERS |
|
| AS
AT JUNE 30, 1996 |
|
|
| SR. |
NO. OF |
SHAREHOLDINGS |
TOTAL |
|
| NO. |
SHAREH- |
FROM |
TO |
SHARES |
|
|
OLDERS |
|
HELD |
|
|
| 1 |
1 |
1 |
100 |
12 |
|
| 2 |
941 |
101 |
500 |
470,050 |
|
| 3 |
33 |
501 |
1,000 |
32,600 |
|
| 4 |
26 |
1,001 |
5,000 |
84,200 |
|
| 5 |
27 |
5,001 |
10,000 |
256,000 |
|
| 6 |
6 |
10,001 |
15,000 |
87,000 |
|
| 7 |
5 |
15,001 |
20,000 |
100,000 |
|
| 8 |
5 |
20,001 |
25,000 |
120,000 |
|
| 9 |
5 |
25,001 |
30,000 |
143,800 |
|
| 10 |
4 |
30,001 |
35,000 |
136,000 |
|
| 11 |
1 |
40,001 |
45,000 |
45,000 |
|
| 12 |
3 |
45,001 |
50,000 |
150,000 |
|
| 13 |
1 |
50,O01 |
55,000 |
50,500 |
|
| 14 |
1 |
70,001 |
75,000 |
75,000 |
|
| 15 |
1 |
95,001 |
100,000 |
100,000 |
|
| 16 |
1 |
120,001 |
125,000 |
125,000 |
|
| 17 |
1 |
140,001 |
145,000 |
142,500 |
|
| 18 |
1 |
155,001 |
160,000 |
160,000 |
|
| 19 |
4 |
295,001 |
300,000 |
1,199,100 |
|
| 20 |
1 |
385,001 |
390,000 |
390,000 |
|
| 21 |
1 |
395,001 |
400,000 |
400,000 |
|
| 22 |
1 |
1,390,001 |
1,395,000 |
1,393,656 |
|
| 23 |
3 |
1,995,001 |
2,000,000 |
6,000,000 |
|
| 24 |
1 |
2,295,001 |
2,300,000 |
2,297,000 |
|
| 25 |
1 |
2,320,001 |
2,325,000 |
2,322,761 |
|
| 26 |
1 |
2,785,001 |
2,790,000 |
2,787,300 |
|
| 27 |
1 |
2,995,001 |
3,000,000 |
2,996,000 |
|
| 28 |
1 |
4,290,001 |
4,295,000 |
4,291,000 |
|
| 29 |
1 |
4,645,001 |
4,650,000 |
4,645,521 |
|
| 30 |
1 |
8,995,001 |
9,000,000 |
9,000,000 |
|
| --------- |
--------- |
--------- |
--------- |
--------- |
|
| Total |
1080 |
|
40,000,000 |
|
| ========= |
========= |
========= |
========= |
========= |
|
|
| Note:
The slabs not applicable, have not been shown. |
|
|
| SR. |
CATEGORIES OF |
|
NUMBER OF |
|
SHARES |
|
PERCENTAGE OF |
|
| NO. |
SHAREHOLDERS |
|
SHAREHOLDERS |
|
HELD |
|
CAPITAL |
|
|
| 1 |
Individuals |
|
1053 |
|
1,499,162 |
|
3.75 |
|
| 2 |
Investment Companies |
6 |
|
11,201,577 |
|
28.00 |
|
| 3 |
Insurance Companies |
1 |
|
25,000 |
|
0.06 |
|
| 4 |
Joint Stock Companies |
9 |
|
16,353,500 |
|
40.88 |
|
| 5 |
Financial Institutions |
3 |
|
2,837,761 |
|
7.09 |
|
| 6 |
Foreign Companies |
|
4 |
|
7,048,000 |
|
17.62 |
|
| 7 |
Modarba Companies |
|
4 |
|
1,035,000 |
|
2.59 |
|
| --------- |
--------- |
--------- |
--------- |
--------- |
--------- |
--------- |
--------- |
--------- |
|
| Grand
Total |
|
1080 |
|
40,000,000 |
|
100.00 |
|
| ========= |
========= |
========= |
========= |
========= |
========= |
========= |
========= |
========= |
|
|
|
| AUDITORS'REPORT
TO THE MEMBERS |
|
| We have audited the annexed balance sheet
of MAPLE LEAF ELECTRIC COMPANY LIMITED as at |
|
| June
30, 1996 and the related profit and loss account and the statement of changes
in financial position, |
| together
with the notes forming part thereof, for the year then ended and we state
that we have obtained |
| all
the information and explanations which to the' best of our knowledge and
belief were necessary for |
|
| the
purposes of our audit and, after due verification thereof, we report that: |
|
|
| (a)
in our opinion, proper books of account have been kept by the company as
required by the |
|
| Companies
Ordinance, 1984; |
|
|
| (b)
in our opinion : |
|
|
| (i)
the balance sheet and profit and loss account together with the notes thereon
have |
|
| been
drawn up in conformity with the Companies Ordinance, 1984 and are in |
|
| agreement
with the books of account and are further in accordance with accounting |
|
| policies
consistently applied; |
|
|
| (ii)
the expenditure incurred during the year was for the purpose of the company's |
|
| business; and |
|
|
| (iii)
the business conducted, investments made and the expenditure incurred during
the |
|
| year were in accordance with the objects of
the company; |
|
|
| (c)
in our opinion, and to the best of our information and according to the
explanations given to |
|
| us, the balance sheet, profit and loss
account and the statement of changes in financial |
|
| position, together with the notes forming
part thereof, give the information required by the |
|
| Companies Ordinance, 1984 in the manner so
required and respectively give a true and fair |
|
| view of the state of the company's affairs
as at June 30, 1996 and of the profit and the |
|
| changes in the financial position for the
year then ended; and |
|
|
| (d)
in our opinion, no Zakat was deductible at source under the Zakat and Ushr
Ordinance, 1980. |
|
|
| AMIN,
MUDASSAR & CO. |
|
| Chartered
Accountants |
|
|
| BALANCE
SHEET AS AT |
|
| JUNE
30, 1996 |
|
|
1996 |
1995 |
|
|
Note |
Rupees |
Rupees |
|
| CAPITAL
AND LIABILITIES |
|
|
|
| SHARE
CAPITAL AND RESERVES |
|
| Authorised |
|
| 75,000,000
Ordinary shares of Rs. 10 each |
|
750,000,000 |
750,000,000 |
|
|
=========== |
=========== |
|
|
| Issued,
subscribed and paid up: |
|
| 40,000,000
(1995:28,000,000) ordinary |
|
| shares
of Rs. 10/- each fully paid in cash |
|
400,000,000 |
280,000,000 |
|
| Capital
reserve |
|
3 |
240,000,000 |
120,000,000 |
|
| Un-appropriated
profit |
|
21,890,310 |
-- |
|
|
----------- |
----------- |
|
|
661,890,310 |
400,000,000 |
|
|
| CURRENT
LIABILITIES |
|
| Short
term finances |
|
4 |
30,000,000 |
-- |
|
| Creditors,
accrued and other liabilities |
5 |
20,797,723 |
2,189,108 |
|
|
|
------------ |
------------ |
|
|
50,797,723 |
2,189,108 |
|
|
| CONTINGENCIES
& COMMITMENTS |
|
6 |
-- |
-- |
|
|
------------ |
------------ |
|
|
712,688,033 |
402,189,108 |
|
|
=========== |
=========== |
|
|
|
|
| The
annexed notes form an integral part of these accounts. |
|
|
|
1996 |
1995 |
|
|
Note |
Rupees |
Rupees |
|
| PROPERTY
AND ASSETS |
|
| TANGIBLE
FIXED ASSETS |
|
| Operating
assets |
|
7 |
597,476,646 |
868,509 |
|
| Capital
work in progress |
|
8 |
50,000 |
18,230,844 |
|
|
|
------------ |
------------ |
|
|
597,526,646 |
19,099,353 |
|
|
| DEFERRED
COSTS |
|
9 |
17,474,373 |
4,182,900 |
|
|
| CURRENT
ASSETS |
|
|
| Stores,
spares and loose tools |
|
10 |
12,382,061 |
- |
|
| Trade
debts |
|
11 |
10,395,964 |
- |
|
| Advances,
deposits, prepayments |
|
| and
other receivables |
|
12 |
7,282,942 |
2,432,878 |
|
| Cash
and bank balances |
|
13 |
67,626,047 |
376,473,977 |
|
|
------------ |
------------ |
|
|
97,687,014 |
378,906,855 |
|
|
|
------------ |
------------ |
|
|
712,688,033 |
402,189,108 |
|
|
=========== |
=========== |
|
| AAMIR
FAYYAZ SHEIKH |
|
| Director |
|
|
| PROFIT
AND LOSS ACCOUNT FOR THE PERIOD OF ONE MONTH |
|
| ENDED
JUNE 30, 1996 |
|
|
|
June 01, 1996 |
|
|
|
to June 30, 1996 |
|
|
Note |
|
Rupees |
|
|
| Sales
(net of discount Rs. 2,221,726) |
|
19,995,532 |
|
|
| Cost
of sales |
|
14 |
|
15,262,526 |
|
|
|
|
----------- |
|
| Gross
Profit |
|
4,733,006 |
|
|
| Administrative
and general expenses |
|
15 |
|
1,627,544 |
|
|
|
|
----------- |
|
| Operating
profit |
|
3,105,462 |
|
|
| Other
income |
|
16 |
|
874,251 |
|
|
|
|
----------- |
|
|
3,979,713 |
|
|
| Financial
charges |
|
17 |
|
598,476 |
|
|
| Workers'
profit participation fund |
|
169,062 |
|
|
|
|
----------- |
|
|
767,538 |
|
|
|
|
|
----------- |
|
| Profit
for the period |
|
3,212,175 |
|
|
| Accumulated
profit on bank deposits (net) |
|
| pre
commencement of operations |
|
18 |
|
18,678,135 |
|
|
|
|
----------- |
|
| Unappropriated
profit carried forward |
|
21,890,310 |
|
|
=========== |
|
|
| The
annexed notes form and integral part of these accounts. |
|
|
| MASUD UL AZIZ |
AAMIR FAYYAZ SHEIKH |
|
| Chief Executive |
Director |
|
|
| THE
STATEMENT OF CHANGES IN FINANCIAL POSITION |
|
| (CASH
FLOW STATEMENT) |
|
| FOR
THE YEAR ENDED JUNE 30, 1996 |
|
|
|
1996 |
1995 |
|
|
Note |
Rupees |
Rupees |
|
|
|
| Cash
Generated from operations |
|
A |
13,795,552 |
(367,016) |
|
|
|
|
|
|
| Payment
for interest on short term finances |
|
(13,674,419) |
- |
|
|
----------- |
----------- |
|
| Net
cash inflow from operating activities |
|
121,133 |
(367,016) |
|
|
| Cash
flows from investing activities |
|
| Fixed
assets purchased |
|
587,835,339) |
(1,060,263) |
|
| Capital
work in progress |
|
(50,000) |
(21,823,344) |
|
| Profit
on bank deposits |
|
22,503,925 |
- |
|
|
----------- |
----------- |
|
| Net
cash outflow from investing activities |
|
565,381,414) |
(22,883,607) |
|
|
| Cash
flows from financing activities |
|
| Issue
of shares |
|
120,000,000 |
279,650,000 |
|
| Share
premium |
|
120,000,000 |
120,000,000 |
|
| Public
issue expenses |
|
(13,587,649) |
- |
|
|
----------- |
----------- |
|
| Net
cash inflow from financing activities |
|
226,412,351 |
399,650,000 |
|
|
|
----------- |
----------- |
|
| Net
(decrease)/increase in cash and cash equivalents |
(338,847,930) |
376,399,377 |
|
|
|
|
|
| Cash
& cash equivalents at beginning of the year |
B |
376,473,977 |
74,600 |
|
|
|
----------- |
----------- |
|
| Cash
and cash equivalents at end of the year |
B |
37,626,047 |
376,473,977 |
|
|
|
=========== |
=========== |
|
|
|
|
|
| The
annexed notes form an integral part of this statement. |
|
|
| NOTES
TO THE STATEMENT OF CHANGES IN FINANCIAL POSITION |
|
| FOR
THE YEAR ENDED JUNE 30, 1996 |
|
|
1996 |
1995 |
|
|
Rupees |
Rupees |
|
|
| A.
Cash flows from operating activities |
|
|
| Profit
for the period |
|
3,212,175 |
-- |
|
|
| Add
Adjustment for non cash charges |
|
|
| Deferred
costs amortised |
|
296,176 |
-- |
|
| Depreciation |
|
5,632,256 |
191,754 |
|
| Interest
on short term finances |
|
14,262,226 |
-- |
|
|
----------- |
----------- |
|
| Profit
before working capital |
|
23,402,833 |
191,754 |
|
|
|
|
| Movement
in working capital (increase) in current assets |
|
|
| Stores,
spares and loose tools |
|
(12,382,061) |
-- |
|
| Trade
debts |
|
(10,395,964) |
-- |
|
| Advances,
deposits, prepayments |
|
| and
other receivables |
|
(4,850,064) |
(2,432,878) |
|
|
----------- |
----------- |
|
| Increase
in current liabilities |
|
(27,628,089) |
(2,432,878) |
|
|
|
|
| Creditors,
accrued and other liabilities |
|
18,020,808 |
1,874,108 |
|
|
----------- |
----------- |
|
| Cash
generated from operations. |
|
13,795,552 |
(367,016) |
|
|
----------- |
----------- |
|
|
| B.
Cash and cash equivalents |
|
| Cash
and bank balances |
|
67,626,047 |
376,473,977 |
|
|
| Short
term finances |
|
(30,000,000) |
-- |
|
|
----------- |
----------- |
|
|
37,626,047 |
376,473,977 |
|
|
=========== |
=========== |
|
|
| NOTES
TO THE ACCOUNTS FOR THE YEAR |
|
| ENDED
JUNE 30, 1996 |
|
|
| 1.
THE COMPANY AND NATURE OF BUSINESS |
|
| Maple
Leaf Electric Company Limited was incorporated on April 15, 1992 as a Public
Limited |
|
| company
under the Companies Ordinance 1984. The shares of the company are quoted on |
|
| Karachi
and Lahore Stock Exchanges respectively. The principal activity of the
company is to |
|
| generate
and supply electricity. The company commenced commercial operation with
effect from |
|
| June
1, 1996. |
|
|
| 2.
SIGNIFICANT ACCOUNTING POLICIES |
|
|
| 2.1
ACCOUNTING CONVENTIONS |
|
| These
accounts have been prepared under the historical cost convention. |
|
|
| 2.2
TAXATION |
|
| Profits
and gains derived by the company are exempt from income tax under Clause 176
of |
|
| Part
I of Second Schedule to the Income Tax Ordinance, 1979. |
|
|
| By
virtue of Clause 20 of Part IV of the Second Schedule of the Income Tax
Ordinance, 1979, |
|
| the
company is also exempt from minimum tax on turn over. |
|
|
| 2.3
TANGIBLE FIXED ASSETS AND DEPRECIATION |
|
| Operating
fixed assets are stated at cost less accumulated depreciation except capital
work- |
|
| in-progress
which are stated at cost. |
|
|
| Depreciation
is charged at the rates specified in Note 7 on reducing balance method. |
|
|
| Full
year's depreciation is charged on additions while no depreciation is charged
on the |
|
| assets
deleted during the year. However, in the year of commencement of commercial |
|
| operations,
depreciation on buildings, plant and machinery and electric equipment is |
|
| charged
for the proportionate period of their commercial operations. |
|
|
| Maintenance
and normal repairs are charged to income as and when incurred. Major |
|
| renewals
and improvements are capitalised. |
|
|
| Gain/loss
on disposal of assets, if any, is included in current year's income. |
|
|
| 2.4
UN-ALLOCATED CAPITAL EXPENDITURE |
|
| All
costs/expenditure not directly relating to any specific asset, incurred
during the project |
|
| implementation
period are capitalised and are apportioned to the respective cost of |
|
| buildings,
plant and machinery and electrical equipments at the time of completion of
the |
|
| project. |
|
|
| 2.5
DEFERRED COST |
|
| Expenses,
the benefits of which is expected to spread over several years, are deferred
and |
|
| amortised
over their useful life not exceeding five years. |
|
|
| 2.6
STORES, SPARES AND LOOSE TOOLS |
|
| These
are valued at cost. The method used for the calculation of cost are as
follows :- |
|
|
| Oil
and lubricants |
|
at moving average cost |
|
| Stores,
spares and loose tools |
at moving average cost |
|
|
| 2.7
FOREIGN CURRENCY |
|
| Assets
and liabilities in foreign currencies are translated into Pak Rupees at the
rates of |
