inter roller fa final

Notes to the Financial Statements3 Principal activities and revenueThe principal activities of the Company consist of the provision of engineering solutions, design, manufacture,installation and maintenance of material handling, air handling and pollution control systems. The principalactivities of the subsidiary companies are as stated in Note 10.Revenue represents total contract value of completed jobs and net additions to or deductions from work-inprogressfor the year and services at invoiced value less discounts and returns and includes works completedjointly with consortium partners. Revenue of the Group excludes sales between group companies.Revenue excludes applicable goods and services tax.4 Share capital2004 2003The Group and The Company $ $Authorised:250,000,000 ordinary shares of $0.20 each 50,000,000 50,000,000Issued and fully paid:76,547,954 (2003 - 74,335,954) ordinary shares of $0.20 each 15,309,591 14,867,1915 Other reservesThe GroupThe Company2004 2003 2004 2003$ $ $ $Share premium 3,303,030 3,059,070 3,303,030 3,059,070Revaluation reserve 6,700,575 7,608,740 6,149,210 7,731,902Statutory reserve 66,460 - - -Exchange fluctuation reserve (1,831,814) (952,910) (1,502,312) (954,962)Dividend reserve 4,592,877 2,973,438 4,592,877 2,973,43812,831,128 12,688,338 12,542,805 12,809,448The share premium account is set up in accordance with Section 69 of the Companies Act, Cap. 50 where theCompany issued shares above par at a premium.Revaluation reserve arises from the surplus on revaluation of leasehold properties and freehold land.The statutory reserve, under the regulations in the country in which the subsidiary company operates, will notbe available for dividend distribution.Exchange fluctuation reserve arises from the translation of foreign subsidiary companies assets and liabilitiesand net unrealised gains/ losses on hedging instruments.Dividend reserve refers to unpaid dividend proposed after balance sheet date.52 inter-roller engineering limited annual report2004