SET Announcements

(Translation) 1600 / 009 / 2542 February 26, 1999 The Stock Exchange of Thailand. 62, Ratchadapisek Road, Klongtoey, Bangkok 10110. Attention : The President of The Stock Exchange of Thailand Subject : Filing of the Auditors Report and the Financial Statements for December 31, 1998 According to the Stock Exchange of Thailands regulations related to rules, conditions and procedures for the reporting of financial status and business performance of listed companies; a listed company is required to file an audited Financial Statements within 60 days following the end of each fiscal year. In compliance with this regulation, The Bangchak Petroleum Public Company Limited would like to file herewith its Financial Statements and the Auditors Report for the period ending December 31, 1998 with endorsement from the Board of directors of company on February 17, 1998. As for the financial and economic crisis of 1998, the Oil Demand Growth in the country decreased about 11% while the Companys total sales in retail market maintained at the same level as 1997 by decreasing about 1.5%. For the performance of 1998, the Companys financial results posted a total revenue of Baht 34,645 million, a profit before tax of Baht 93 million and net profit Baht 59 million. For the Companys financial status at the ended 1998, it has total assets of Baht 27,418 million, total liabilities of Baht 17,366 million, and the shareholders equity of Baht 10,052 million and the Debt to Equity Ratio was 1.7. Please be informed accordingly. Yours sincerely, Rabil Pornpatkul Senior Manager, Corporate Planning Office Attachment : The Auditors Report and The Financial Statements as of December 31, 1998 Corporate Planning Office Tel: 301-2842 (TRANSLATION ) AUDITORS REPORT To The Shareholders of The Bangchak Petroleum Public Company Limited We have audited the balance sheets of The Bangchak Petroleum Public Company Limited as of 31st December ,1998 and 1997 , the related statements of income, retained earnings and cash flows for the years then ended. These financial statements are the responsibility of the Companys management as to their correctness and completeness of the presentation. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with the generally accepted auditing standards. These standards require that we plan we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. . The audit includes examining, on a test basis , evidence supporting the amounts and disclosures in the financial statements. The audit also includes assessing the accounting principles used and significant estimates made by management , as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion . In our opinion , the financial statements referred to above present fairly, in all material respects, the financial position of The Bangchak Petroleum Public Company Limited as of 31st December,1998 and 1997, and the results of its operations and its cash flows for the years then ended is in conformity with the generally accepted accounting principles. Attention should be drawn to note No.11 pertaining to the solving of computer problems for the year 2000, which is not considered a condition and not included in the opinion for these financial statements. (Signed) Pradharn Darbphechra ( Mr. Pradharn Darbphechra) Deputy Auditor General For Auditors General (Signed) Rushaneeboon Huansuriya ( Ms. Rushaneeboon Huansuriya ) Auditor-in-charge THE BANGCHAK PETROLEUM PUBLIC COMPANY LIMITED BALANCE SHEETS AS OF DECEMBER 31,1998 AND 1997 1998 1997 Baht Baht ASSETS Current Assets Cash on hand and at banks 772,091,342 2,180,412,193 Short -term investments (Note 2) 173,386,200 114,506,299 Trade accounts and notes receivable - Net (Note 2) 1,695,648,389 2,574,837,897 Inventories 2,265,849,929 4,011,492,920 Other current assets Materials and supplies 437,354,760 477,123,020 Others 433,939,683 452,958,555 Total Current Assets 5,778,270,303 9,811,330,884 Investments and Loans to Related Parties (Note 3) 427,198,292 421,460,437 Property,Plant and Equipment-Net (Note 4) 18,995,771,326 18,804,046,324 Other Assets Deferred income tax 1,554,832,548 1,595,042,408 Deferred charges 193,789,516 174,134,595 Long term investment - service station 449,261,781 306,603,322 Others 18,463,582 16,810,552 TOTAL ASSETS 27,417,587,348 31,129,428,522 The accompanying notes are an integral part of these statements. (Signed) Somchai Richupan (Signed) Sophon Suphapong (Mr.Somchai Richupan) (Mr.Sophon Suphapong) Chairman President LIABILITIES AND SHAREHOLDERS'EQUITY Current Liabilities Bank overdrafts and loans from financial institutions (Note 5) 6,211,041,253 5,206,740,698 Trade accounts payable 2,783,502,391 8,309,655,268 Current portion of long-term loan (Note 6) 1,063,565,000 5,266,827,000 Other current liabilities Accrued excise tax and oil stabilization fund 255,579,163 239,891,900 Accrued expenses 486,543,280 301,086,195 Other accounts payable 315,272,741 125,683,560 Others 433,612,082 299,953,530 Total Current Liabilities 11,549,115,910 19,749,838,151 Long - Term Loan (Note 6) 5,685,335,446 794,505,820 Other Liabilities Deferred Revenue 84,952,503 90,029,641 Others 46,673,218 27,312,623 Total Liabilities 17,366,077,077 20,661,686,235 Shareholders' Equity Share capital Authorized share capital Common stock 522,040,940 shares par value at Baht 10 per share 5,220,409,400 5,220,409,400 Issued and paid-up share capital Common stock 522,040,940 shares par value at Baht 10 per share 5,220,409,400 5,220,409,400 Paid - in capital Premium on share capital 2,007,950,671 2,007,950,671 Surplus on fixed assets revaluation (Note 4) 4,682,210,416 5,164,565,549 Retained earnings Appropriated Legal reserve 547,594,555 547,594,555 Unappropriated (2,375,848,318) (2,420,225,704) Deferred losses from foreign exchange fluctuations prior to year 1996 (30,806,453) (52,552,184) Total Shareholders' Equity 10,051,510,271 10,467,742,287 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 27,417,587,348 31,129,428,522 The accompanying notes are an integral part of these statements. THE BANGCHAK PETROLEUM PUBLIC COMPANY LIMITED STATEMENTS OF INCOME FOR THE YEARS ENDED DECEMBER 31, 1998 AND 1997 1998 1997 Baht Baht Revenues Sales (Note 7) 34,138,115,990 38,384,026,744 Other income Interest income 159,752,748 530,993,296 Transportation income 165,284,331 200,147,461 Others 181,546,267 176,192,532 Total Revenues 34,644,699,336 39,291,360,033 Expenses Cost of sales 32,689,128,558 35,634,012,411 Administrative and selling expenses 1,246,857,017 1,213,407,037 Interest expenses (Note 8) 1,021,615,161 1,007,490,133 Directors' remuneration 468,600 1,502,750 Losses (Gains) from foreign exchange fluctuations (406,393,683) 26,048,125 Total Expenses 34,551,675,653 37,882,460,456 Net Operating Income Losses from foreign exchange fluctuations Profit (Loss) before income tax 93,023,683 1,408,899,577 Income Tax 33,686,140 - Profit before extraordinary items 59,337,543 1,408,899,577 Extraordinary Items Losses from foreign exchange fluctuations-Managed float - (6,788,447,536) Income tax credit - 1,595,042,408 0 (5,193,405,128) Net Profit (Loss) 59,337,543 (3,784,505,551) Earnings Per Share Profit before extraordinary items 0.11 2.70 Extraordinary items - (9.95) Net Profit (Loss) 0.11 (7.25) The accompanying notes are an integral part of these statements. THE BANGCHAK PETROLEUM PUBLIC COMPANY LIMITED STATEMENTS OF RETAINED EARNINGS FOR THE YEARS ENDED DECEMBER 31, 1998 AND 1997 1998 1997 Baht Baht Unappropriated Retained Earnings (Accumulated Deficit) At Beginning of Year Less Prior year adjustment (2,420,225,704) 2,016,831,022 Unappropriated Retained Earnings (Accumulated Deficit) after adjustment 14,960,157 - Less Dividend paid (2,435,185,861) 2,016,831,022 - 652,551,175 Net profit (loss) for the year (2,435,185,861) 1,364,279,847 Total unappropriated Accumulated Deficit 59,337,543 (3,784,505,551) Appropriated Retained Earnings (2,375,848,318) (2,420,225,704) Legal reserve Total Accumulated Deficit 547,594,555 547,594,555 (More)