Advanced Paging Co., Ltd. Service provider of digital Shareholder 350.00 99.99 1,703.36 216.57 1,919.93 - (formerly "Shinawatra Paging Co., Ltd.") paging system network, trading of pagers and providing pager for rent Advanced Wireless Marketing Co., Ltd. Importer and distributor of Shareholder 240.00 99.99 600.00 636.44 1,236.44 - (formerly "Shinwatra Wireless cellular phones, related Markeing Co., Ltd.") accessories, and cellular Phone rental service provider Total investments in subsidiaries 2,303.36 853.01 3,156.37 - The Company - 30 September 1998 (Million Baht) Accumulated share of net result of Nature of Investment investment Nature of business relationship Paid-up capital portion (%) Cost in subsidiary Equity Dividend Subsidiary Advanced Paging Co., Ltd. Service provider of digital Shareholder 350.00 59.99 753.76 102.62 856.38 - paging system network, trading of pagers and providing pagers for rent Total investment in subsidiary 753.76 102.62 856.38 - Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 8. Long-term investments (continued) Consolidated and The Company - 30 September 1999 (Million Baht) Accumulated share of net result of Nature of Investment investment Nature of business relationship Paid-up capital portion (%) Cost in associate Equity Dividend Associate Shinawatra Datacom Co., Ltd. Service provider of voice/data Shareholder 457.52 27.87 147.37 (16.39) 130.98 - communications via telephone line network Total investment in associate 147.37 (16.39) 130.98 - Consolidated and The Company - 30 September 1998 (Million Baht) Accumulated share of net result of Nature of Investment investment Nature of business relationship Paid-up capital portion (%) Cost in associate Equity Dividend Associate Shinawatra Datacom Co., Ltd. Service provider of voice/data Shareholder 457.52 13.77 95.87 (26.20) 69.67 - communications via telephone line network Total investment in associate 95.87 (26.20) 69.67 - Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 8. Long-term investments (continued) Percentage of holding by The Group and The Company 1999 1998 Nature of business Percent Percent Other company: Unlisted company Fonepoint (Thailand) Co., Ltd. Service provider of cellular phones 17.80 17.80 Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Other company: Unlisted company Investment, at cost 17.20 17.20 17.20 17.20 Less: Provision for diminution in value (17.20) (17.20) (17.20) (17.20) Total investment in other company, net - - - - Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 9. Property and equipment Property and equipment as at 30 September comprise: Consolidated 1999 Million Baht Less: Accumulated Cost depreciation Net Owned assets Land 8.45 - 8.45 Buildings and improvements 56.47 23.75 32.72 Leasehold rights 3.58 1.66 1.92 Leasehold building improvements 152.68 70.31 82.37 Tools and equipment 2,571.80 1,136.12 1,435.68 Furniture, fixtures and office equipment 563.69 333.65 230.04 Pagers and mobile phones for rent 84.27 58.91 25.36 Vehicles 50.95 21.76 29.19 Assets under construction and installation 30.52 - 30.52 3,522.41 1,646.16 1,876.25 Assets purchased under finance leases Vehicles 4.24 2.57 1.67 3,526.65 1,648.73 1,877.92 Less: provision for unused assets (5.02) Total property and equipment 1,872.90 Depreciation charge for the three-month period 154.73 Depreciation charge for the nine-month period 436.73 Depreciation of assets purchased under finance leases included in the depreciation charge for the three-month period 0.21 Depreciation of assets purchased under finance leases included in the depreciation charge for the nine-month period 0.67 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 9. Property and equipment (continued) Consolidated 1998 Million Baht Less: Accumulated Cost depreciation Net Owned assets Land 10.98 - 10.98 Buildings and improvements 66.02 22.62 43.40 Leasehold rights 3.58 1.29 2.29 Leasehold building improvements 119.99 49.59 70.40 Tools and equipment 1,960.11 677.06 1,283.05 Furniture, fixtures and office equipment 505.62 238.66 266.96 Pagers and mobile phones for rent 70.77 32.38 38.39 Vehicles 43.73 15.21 28.52 Assets under construction and installation 170.54 - 170.54 2,951.34 1,036.81 1,914.53 Assets purchased under finance leases Vehicles 4.77 1.91 2.86 Total property and equipment 2,956.11 1,038.72 1,917.39 Depreciation charge for the three-month period 122.86 Depreciation charge for the nine-month period 352.24 Depreciation of assets purchased under finance leases included in the depreciation charge for the three-month period 0.24 Depreciation of assets purchased under finance leases included in the depreciation charge for the nine-month period 0.71 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 9. Property and equipment (continued) The Company 1999 Million Baht Less: Accumulated Cost depreciation Net Owned assets Buildings and improvements 16.12 3.67 12.45 Leasehold building improvements 103.49 31.81 71.68 Tools and equipment 2,326.07 980.69 1,345.38 Furniture, fixtures and office equipment 449.96 235.29 214.67 Vehicles 45.30 18.08 27.22 Assets under construction and installation 21.16 - 21.16 2,962.10 1,269.54 1,692.56 Assets purchased under finance leases Vehicles 4.24 2.57 1.67 Total property and equipment 2,966.34 1,272.11 1,694.23 Depreciation charge for the three-month period 133.84 Depreciation charge for the nine-month period 374.86 Depreciation of assets purchased under finance leases included in the depreciation charge for the three-month period 0.21 Depreciation of assets purchased under finance leases included in the depreciation charge for the nine-month period 0.67 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 9. Property and equipment (continued) The Company 1998 Million Baht Less: Accumulated Cost depreciation Net Owned assets Land 2.53 - 2.53 Buildings and improvements 26.05 4.62 21.43 Leasehold building improvements 81.57 21.76 59.81 Tools and equipment 1,844.32 583.34 1,260.98 Furniture, fixtures and office equipment 418.05 166.01 252.04 Vehicles 40.60 12.14 28.46 Assets under construction and installation 170.54 - 170.54 2,583.66 787.87 1,795.79 Assets purchased under finance leases Vehicles 4.77 1.91 2.86 Total property and equipment 2,588.43 789.78 1,798.65 Depreciation charge for the three-month period 106.88 Depreciation charge for the nine-month period 304.10 Depreciation of assets purchased under finance leases included in the depreciation charge for the three-month period 0.24 Depreciation of assets purchased under finance leases included in the depreciation charge for the nine-month period 0.71 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 10. Cost of mobile phone and pager service networks under concession agreements Cost of mobile phone and pager service networks under concession agreements as at 30 September comprises of the following: Consolidated The Company 1999 1998 1999 1998 Restated Restated Million Baht Million Baht Million Baht Million Baht Cost of mobile phone networks 35,607.43 32,483.55 35,607.43 32,483.55 Less: Accumulated amortisation Previously reported - (6,476.95) - (6,476.95) Balance as at 30 September (11,024.07) - (11,024.07) - Prior period adjustment (Note 2) - (1,100.24) - (1,100.24) Accumulated amortisation - as restated (11,024.07) (7,577.19) (11,024.07) (7,577.19) Cost of mobile phone networks, net 24,583.36 24,906.36 24,583.36 24,906.36 Cost of pager service networks 1,271.69 1,183.85 - - Less: Accumulated amortisation (513.32) (387.70) - - Cost of pager service networks, net 758.37 796.15 - - Total cost of mobile phone and pager service networks under concession agreements, net 25,341.73 25,702.51 24,583.36 24,906.36 Amortisation of cost of mobile phone and pager service networks under concession agreements for the periods ended 30 September is summarised as follows: Consolidated The Company 1999 1998 1999 1998 Restated Restated Million Baht Million Baht Million Baht Million Baht Amortisation of cost of mobile phone and pager service networks under concession agreements for the three -month periods 910.02 822.87 878.05 792.79 Amortisation of cost of mobile phone and pager service networks under concession agreements for the nine -month periods 2,702.43 2,260.29 2,607.12 2,172.32 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 11. Other assets Other assets as at 30 September comprise of the following: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Deferred charges 651.95 510.48 570.18 510.24 Less: Accumulated amortisation (225.27) (151.37) (212.51) (151.28) Deferred charges, net 426.68 359.11 357.67 358.96 Goodwill 1,080.38 548.98 - - Less: Accumulated amortisation (323.21) (247.04) - - Goodwill, net 757.17 301.94 - - Others 132.47 164.28 99.62 145.51 Total other assets, net 1,316.32 825.33 457.29 504.47 Amortisation of deferred charges and goodwill for the periods ended 30 September are summarised as follows: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Amortisation of deferred charges for the three-month periods 18.35 13.42 12.62 13.42 Amortisation of deferred charges for the nine-month periods 93.45 49.08 76.95 49.05 Amortisation of goodwill charges for the three-month periods 26.11 9.15 - - Amortisation of goodwill charges for the nine-month periods 67.02 27.45 - - Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 12. Trade accounts and notes payable Trade accounts and notes payable as at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Trade accounts payable - Third parties 2,150.24 5,278.43 1,597.82 5,145.23 - Related companies 14.66 113.90 22.79 99.84 2,164.90 5,392.33 1,620.61 5,245.07 Notes payable - third parties - 1,308.33 - 1,308.33 Total trade accounts and notes payable 2,164.90 6,700.66 1,620.61 6,553.40 Trade accounts payable - related companies at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Parent company - 28.32 - 28.32 Subsidiaries - - 8.14 0.21 Other related companies 14.66 85.58 14.65 71.31 Total trade accounts payable - related companies 14.66 113.90 22.79 99.84 13. Short-term debentures As at 30 September 1999, short-term debentures represent 1,255,700 units of Baht 1,000 each of unsecured debentures amounting to Baht 1,255.7 million. The short-term debentures bear interest at the fixed rate of 12% per annum throughout the term of the debentures and will be redeemed on 11 October 1999. The interest on the debentures is payable on a semi-annual basis commencing from the issuing date of 12 October 1998. During the second quarter of 1999, the company early redeemed partial of such debentures amounting to Baht 744.30 million, incurring a penalty of Baht 13.65 million. Short-term debentures as at 30 September 1998 represented 20,000 units of Baht 1,000 each of unsecured debentures, totalling Baht 20 million. The short-term debentures carried interest at the MLR (Minimum Loan Rate) of two commercial banks, payable on a semi-annual basis commencing from the issuing date on 26 January 1998. The debentures were redeemed early on 12 October 1998. Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 13. Short-term debentures (continued) Debenture holders as at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht A major shareholder of a related company 102.80 - 102.80 - Directors of a related company and the company 10.00 20.00 10.00 20.00 Others 1,142.90 - 1,142.90 - 1,255.70 20.00 1,255.70 20.00 14. Other current liabilities Other current liabilities as at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Income tax payable 1,457.62 1,243.66 1,059.35 1,132.27 Accrued transmission expenses 925.30 153.65 919.31 153.65 Accrued expenses 1,063.95 452.41 825.07 452.41 Others 341.26 266.53 335.71 240.85 Total other current liabilities 3,788.13 2,116.25 3,139.44 1,979.18 15. Long-term debentures As at 30 September 1999, long-term debentures represent 1.5 million units of Baht 1,000 each of unsecured debentures amounting to Baht 1,500 million. The long-term debentures bear interest at the fixed rate of 8.25% per annum throughout the term of the debentures, payable on a semi-annual basis commencing from the issuing dates. The 0.5 million units and 1 million units of debentures will be redeemed on 18 February 2001 and 5 March 2002 respectively. As at 30 September 1998, long-term debentures represented 2 million units of Baht 1,000 each of unsecured debentures, totalling Baht 2,000 million. The debentures carried interest at the average MLR (Minimum Loan Rate) of two commercial banks, payable on a semi-annual basis commencing from the issuing date. The debentures were repayable during 26 January 2001 through 12 June 2001. On 19 February 1999, the company redeemed early such debentures before their due date without incurring any penalty. Debenture holders at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht A major shareholder of parent company - 2,000.00 - 2,000.00 A major shareholder of a related company 270.00 - 270.00 - Others 1,230.00 - 1,230.00 - 1,500.00 2,000.00 1,500.00 2,000.00 Notes to the interim Consolidated and Company financial statements for the three-month and the nine-month periods ended 30 September 1999 and 1998 16. Long-term liabilities Long-term liabilities as at 30 September comprise: Consolidated The Company 1999 1998 1999 1998 Million Baht Million Baht Million Baht Million Baht Long-term loans 4,235.89 9,447.16 4,235.89 9,447.16 Obligations under finance leases 1.96 3.07 1.96 3.07 Total 4,237.85 9,450.23 4,237.85 9,450.23 Less: Current portion (1,646.08) (3,487.96) (1,646.08) (3,487.96) 2,591.77 5,962.27 2,591.77 5,962.27 Long-term loans as at 30 September comprise: (more)