Chemalite B

Chemalite B US GAAP

Cash flow statement (direct method) Cash Flow from Operating Activities Cash Received from Customers Cash paid to suppliers and Employees Material Labour Rent Utilities Advertising Research & Development Insurance Selling and Admin Finished goods increase Interest Income tax Net Cash Provided by Operating Activities Cash Flow from Investing Activities Purchase of Land, Building Sale of machinery Purchase of machinery & Land, Building Net Cash Used in Investing Activities Cash Flow from Financing Activities Buy back of shares Raise short term debt Raise Long term debt Dividend paid

1816220 473150 660000 25000 82000 70000 63250 97500 195750 99680 58750 39150

1864230 -48010 -425000 215500 -520000 -729500 -26000 200000 510000 -10000

674000 Net Decrease in Cash and Cash Equivalents Cash and Cash Equivalent at Beginning of Period Cash and Cash Equivalents at End of Period

-103510 113000 9490

US GAAP indirect method Cash Flow from Operating Activities Profit after Income tax Adjustments to Reconcile Net Profit to Cash Flow from Operating Activities Add:Depreciation 61625 Add:Amortization of patent 25000 Less: Gain on sale of equipment -24250 0

118995

62375 Operating profit before Changes in Working capital Less: Increase in Accounts Receivable Less:Increase in Inventory - Raw material Less:Increase in Inventory -finished goods Less:Increase in Prepaid Insurance Less: Decrease in Taxes payable

181370

-70030 -20450 -99680 -65000 -950

Add: increase Deferred taxes

26730 -229380 -48010

Net Cash Provided by Operating Activities Cash Flow from Investing Activities Purchase of Land Sale of machinery Purchase of machinery Net Cash Used in Investing Activities Cash Flow from Financing Activities Buy back of shares Raise short term debt Raise Long term debt Dividend paid

-425000 215500 -520000 -729500 -26000 200000 510000 -10000 674000

Net Decrease in Cash and Cash Equivalents Cash and Cash Equivalent at Beginning of Period Cash and Cash Equivalents at End of Period

-103510 113000 9490

No Accounts payable

1370

Less: increase in CA Add: Increase in CL Less: decrease in CL Add: decrease in CA

62375

total depn provided during the 66625 year depn on new plant 56000 depn on old plant 10625 book value of old plant 191250 proceeds from old plant 215500

Chemalite B Indian GAAP

Cash flow statement (direct method) Cash Flow from Operating Activities Cash Received from Customers Cash paid to suppliers and Employees Material Labour Rent Utilities Advertising Research & Development Insurance Selling and Admin Income tax Net Cash Provided by Operating Activities Cash Flow from Investing Activities Purchase of Land, Building Sale of machinery Purchase of machinery & Land, Building Net Cash Used in Investing Activities Cash Flow from Financing Activities Buy back of shares Raise short term debt Raise Long term debt Interest paid Dividend paid

1816220 572830 660000 25000 82000 70000 63250 97500 195750 39150

1805480 10740 -425000 215500 -520000 -729500 -26000 200000 510000 -58750 -10000 615250

Net Decrease in Cash and Cash Equivalents Cash and Cash Equivalent at Beginning of Period Cash and Cash Equivalents at End of Period

-103510 113000 9490

Indian GAAP indirect method

Cash Flow from Operating Activities Profit before Income tax Adjustments to Reconcile Net Profit to Cash Flow from Operating Activities Add:Depreciation 61625 Add:Amortization of patent 25000 Less: Gain on sale of equipment -24250 Add:Interest expense 58750

121125 305050

Operating profit before Changes in Working capital Less: Increase in Accounts Receivable Less:Increase in Inventory - Raw material Less:Increase in Inventory -finished goods Less:Increase in Prepaid Insurance

183925

-70030 -20450 -99680 -65000

-255160 49890 -39150 10740

Net Cash Provided by Operating Activities before tax Income tax paid Net Cash Provided by Operating Activities after tax Cash Flow from Investing Activities Purchase of Land Sale of machinery Purchase of machinery Net Cash Used in Investing Activities Cash Flow from Financing Activities Buy back of shares Raise short term debt Raise Long term debt Interest paid Dividend paid

-425000 215500 -520000 -729500 -26000 200000 510000 -58750 -10000 615250

Net Decrease in Cash and Cash Equivalents Cash and Cash Equivalent at Beginning of Period Cash and Cash Equivalents at End of Period

-103510 113000 9490

Less: increase in CA Add: Increase in CL Less: decrease in CL Add: decrease in CA

62375

total depn provided during the 66625 year depn on new plant 56000 depn on old plant 10625 book value of old plant 191250 proceeds from old plant 215500