SCIlines iss6.qxd

SCI lines linesTHE NEWSLETTER
Issue 1
March 2004
German members
forge new joint venture
SCI welcomes new
firm in China
Your chairman writes
SCI makes steady
gains in 2003
North American firms
launch marketing
initiatives
Around the regions
Regional conference
season
SCI business
SCI resources
A note from
the editor
German members forge new joint venture
German members Ebner Stolz & Partner (Stuttgart) and Profunda Treuhand GmbH (Hamburg)
have announced the formation of a new joint venture between the two firms, Ebner, Stolz,
Monning GmbH which will comprise 450 employees, and rank in the top ten auditing and tax
consulting firms in Germany.
continued on page 3
SCI welcomes new firm in China
SCI are proud to welcome Shanghai based
Shanghai Fuxing Mingfang into membership.
This eight partner firm has over 70 employees
and ranks in the top 10 accounting organisations
in the Shanghai market.
OF SC INTERNATIONAL
Ebner, Stolz, Monning GmbH partners from left Bernhard Titz, Dr. Wolfgang Russ, Udo Potthast,
Dirk Schuetzenmeister and Werner von Salzen
1
Shanghai is the economic and financial centre
of China and has maintained its impressive
GDP growth rate in recent years. The hosting
of the 2008 Olympic Games and the 2010
World Expo are guaranteed to provide a range
of commercial opportunities for the region.
With a client base including government
agencies, public institutions and private enterprises,
Shanghai Fuxing Mingfang offers a
wide portfolio of services ranging from audit
and taxation to insolvency and mergers &
acquisitions.
For further information contact Shao Cheng
Hong (e-mail: fuxing@citiz.net). Full contact
details are provided on the SCI website
www.scinter.com

Your Chairman Writes
Taking the initiative
Clive Nicholson
Chairman, SC International
2003 was a good year for
the network. Steady gains
amongst member firms saw
global fee income rise by
almost 9%; we witnessed a
productive round of regional
and annual conferences
which strengthened the
bond between members,
and we agreed a new three
year strategy plan which
Clive Nicholson provides a clear vision for
the manner in which we want the organisation to evolve.
But perhaps the most encouraging aspect of the last year
was the increasing frequency of collaborative projects and
initiatives undertaken by firms on a national, international
and international level - activities that have been fostered
by the common approaches, business practices and culture
shared by members in the network.
One of the prime examples of this is the recently
announced joint venture between the two German member
firms Ebner Stolz & Partners and Profunds Treuhand
GmbH (see page 3) who have formed a vehicle, Ebner,
Stolz, Monning GmbH which will enable them to benefit
from the synchronisation of internal working practices
SCI makes steady gains in 2003
SCI continued to demonstrate strong growth in 2003,
reflected in the International Accounting Bulletin World
Survey, published in December. Whilst the continuing
impact of Andersen was evident in the slower growth figures
for the Big Four, SCI posted an 9% global fee income
increase last year, which saw the network move to 26th in
the global rankings.
As can be seen from figure (1), barring 2000, there has
been a steady, consistent growth in global fee income,
Year
1999
2000
2001
2002
2003
300
Fee Income 1999-2003
319
333
333
365
0 50 100 150 200 250 300 350 400
US$ (million)
2
such as auditing, tax and legal services, with full merger a
potential goal in the future.
Similarly, we have seen the on-going development of a
number of special interest groups across the network,
ranging from audit, taxation and financial planning to
practice management, corporate governance and information
technology. These international groups have provided
a practical environment in which firms can focus on niche
activities and share advice, experiences and technical
expertise.
Fostering a climate in which firms are encouraged to
exploit the global resources of the network is a priority in
maximising the commercial opportunities that membership
provides.
So what of 2004? We will be looking to expand SCI into
defined regional markets that we believe will provide a tangible
contribution to the network. At the same time we
aim to extend/improve the range of services available to
members, by, for example, assessing the demand for further
standardised working papers, tools and materials, and
exploring the potential for a benchmarking programme to
provide members with comparable performance indicators.
With the forthcoming round of regional confernces
approaching (see page 7) there is a real opportunity to
build on the commitment and energy of member firms to
move the network forwards and further enhance our reputation
as a leading global player.
which reflects both the managed expansion of the network,
and the successful performance of member firms in
their respective markets.
Figure (2) illustrates that audit services continued to predominate
member activity in 2003, with accounting and
taxation also core services. However, it should be noted
that management consultancy now accounts for 10% of
total activity, as a network.
%
35
30
25
20
15
10
5
0
35
25
Member Activity 2003
Audit Accounting Tax Management
Consultancy
Figure 1 Figure 2
24
10
3 3
Corporate Finance Legal

North American firms launch marketing initiatives
SCI member firms in North America recently undertook a
marketing planning session in Las Vegas in order to identify
and launch region-wide marketing initiatives that would
deliver substantial value to the group.
The meeting began with each firm providing an overview
of their practice during the preceding two quarters - with
the conclusion that firms were generally optimistic about
both their firm's performance and the general business
environment within the USA and Canada.
JH Cohn representative Glenn Davis then delivered a presentation
to the group summarising the potential market
opportunities the Sarbannes Oxley Act provided, and discussed
how his firm in particular were taking specific
actions to take advantage of these opportunities.
Participant firms then proceed to identify and evaluate
potential niche activities/markets that the group could
address. Further to lenghty discussions, the group agreed
on three specific initiatives, focusing on:
� Corporate Governance
� Wealth Management
� Auto Dealerships
German members forge new joint venture
continued from page 1...
Following the merger of SCI and Smith and Williamson in
1999, the organisation found itself with two firms providing
representation in Germany, with Ebner Stolz focusing
on South and East Germany and Profunda Treuhand servicing
North Germany.
However both firms gradually realised they had a shared a
number of common business factors and goals including:
� Compatible markets - primarily privately owned mid
sized enterprises and some stock listed corporations
� Focus on developing long lasting client relationships
with a strong focus on partner responsibility.
� A wide portfolio of services including auditing, tax,
business consultancy and legal services.
Given this commonality, since 1999 there has been a history
of both formal and informal cooperation between the
two firms, which took the form of:
� Joint training of staff in auditing and taxation.
� Staff exchanges
� Development of common working papers
� Development of common auditing and internal software
tools
3
Chuck Ludmer, JH Cohn, faciltates the group discussion
Firms were assigned to each initiative, and charged with
developing business and marketing plans that would ultimately
enable SCI to build a presence and deliver these
services throughout the region, utilising the experience of
those firms that have specific expertise and established
client base in these areas.
At the conclusion of the session, each group agreed to
present these plans to the forthcoming Western
Hemisphere conference in San Francisco (18-21 May).
For further information contact Chuck Ludmer (cludmer@jhcohn.com).
As such, the development of a joint venture between the
two firms seemed inevitable.
In developing the new venture, their key objective will be
to enhance the profile of the brand name Ebner Stolz within
the German market, and the synchronisation of internal
working practices between the two firms, particularly
within auditing, tax and legal services.
Ultimately, it is hoped that the success of this joint venture
will make the business case for a full merger between the
firms harder to resist!
For further details contact Markus Emmrich:
m.emmrich@moenningpartner.de
Full contact details for Ebner StolzMonning GmbH are provided
on the SCI website (www.scinter.com)

Around the Regions
Asia Pacific
New Year, New Name, New Era
Left to right: Andrew Roscoe & Bill Anderson
Bill Anderson and Andrew Roscoe are delighted to
announce that McKenzie & Partners has changed its name
to Anderson Roscoe Chartered Accountants effective from
1 January 2004.
Rod McKenzie retired as a Partner in June 2002 and has
been retained as a consultant with the Firm.
Anderson Roscoe is a medium size Chartered Accounting
firm offering a wide range of services including Business
Services, Tax, Audit, Corporate Advisory and Financial
Planning via its subsidiary, PFS Premier Financial Solutions.
The Partners and staff wish to thank their clients for their
continued support and look forward to working together
in 2004.
Level 2,
479 St Kilda Road
Melbourne Vic 3004
Australia
Telephone: 61 3 9867 1555
Facsimile: 61 3 9867 1550
Email: info@andersonroscoe.com.au
Website: www.andersonroscoe.com.au
Successful new Public Listing in Hong Kong
K.L. Lee & Partners C.P.A. Limited (Hong Kong) successfully
completed another corporate finance assignment
recently. It acted as reporting accountant and auditor for
China Northern Enterprises Investment Fund Limited
("China Northern") which was recently listed on the Hong
Kong Stock Exchange, raising funds of HK$50 million.
China Northern is an investment company investing in listed
and unlisted companies in China
K.L. Lee & Partners have successfully assisted over 10 companies
to be listed on the Main Board and Growth
Enterprise Market of the Hong Kong Stock Exchange.
4
Stephen Liu elected National President of the
Hong Kong Australia Business Association
(HKABA)
Stephen Liu, Partner of Liu
Madden Partners, (Sydney,
Australia) was elected
National President of the
HKABA at its AGM in Hong
Kong in October 2003. The
HKABA has over 800 members
all over Australia. The
HKABA is a member of the
Federation of Hong Kong
Business Association
Worldwide - a unique network
of 28 Hong Kong
Business Associations in 22 countries with over 8000 individual
associates.
Stephen has had a pioneering involvement with the
HKABA as one of its founding members in 1987. He has
been on the HKABA NSW Chapter Committee since 1988.
He assumed a more active role with the HKABA since 1997
as Vice President of the NSW Chapter and was NSW
Chapter President from 1999 until his election to the
National President role.
In his capacity as National President of the HKABA,
Stephen says the challenges will be to raise the profile and
awareness of the HKABA at a national and international
level, to promote trade between Australia and Greater
China including Hong Kong and to build the financial
strength of the HKABA.
For further information, visit: HKABA
http://www.hkaba.com.au/
Stephen Liu
Shanker Iyer & Co appoint Tax Director
Shanker Iyer & Co.
(Singapore) are pleased to
announce the appointment
of Richard Ellard as Tax
Director.
Richard joins the firm in April,
after over 10 years with
KPMG's offices in London,
Hong Kong and Singapore.
Richard is a member of UK's
Chartered Institute of
Richard Ellard Taxation and will spearhead
the expansion of Shanker Iyer's tax services both in
Singapore and in the Asia Pacific region.
The firm is positioning itself to take advantage of the significant
interest shown by the international business community
in the wide ranging tax reforms implemented by
Singapore in recent years.

SAMEA
Our Talent pays Dividends
1994 marked the birth of our democracy…The new South
Africa…and a new progressive company, SAB&T. Like
South Africa, SAB&T will be celebrating 10 years of service
excellence to its constituency that comprises our clients,
staff and corporate partners.
Our road to success was not a smooth one. It was paved
with many challenges, which we met with courage and
strong leadership from which we emerged victors.
Credit for much of our past successes must be handed to
our outgoing CEO, Mr. Bashier Adam, who steered the
firm through many challenging times and helped the company
forge ahead and secure its place as the largest
empowerment firm in South Africa.
To uphold our commitment to unsurpassed professionalism
and excellence, we at SAB&T are proud to announce
the appointment of our new CEO, Ms. Lily Zondo. Ms
Zondo qualified as a Chartered Accountant in 1995 and
through her years has gained extensive experience in the
Accounting industry. She comes with a wealth of knowledge
and expertise that ably equips her to mould the company
into a force to be reckoned with.
Lily Zondo
As Mr. Adam hands over the reins, we feel confident that
with his guidance, Ms Zondo will be able to realize the
company's aspirations and fulfill its vision of “Living a culture
of excellence, individuality and success”. Mr. Adam
will be still playing a very pivotal role at SAB&T and will also
maintain his position as one of the Board of Directors at
Europe
Survey reveals UK firms ill prepared for IAS 2005
A recent survey by UK accounting journal "Accountancy
Age" (February 2004) has revealed that a significant percentage
(40%) of listed companies in the UK believe they
are ill prepared for the introduction of International
Accounting Standards (IAS) in 2005.
A further 9% of firms believed their staff were "very poorly
prepared".
5
SCI International and still be responsible for SCI international
affairs.
2004 also saw the appointment of Mr. Hassen Kajie, who
joined SAB&T as a Director. Prior to joining SAB&T, Mr.
Kajie was professionally affiliated to the South African
Institute of Chartered Accountants (SAICA). He chaired the
board of SAICA and SAICA Audit Committee, and was also
the President of SAICA - Southern region.
As we enter a new decade,
we have every faith that Ms
Zondo, Mr. Kajie and the rest
of our mighty team will take
SAB&T, in keeping with its
vision, to new and greater
heights. With Ms Zondo at
the helm, SAB&T is well on
its way to becoming a truly
South African firm that will
survive and beat a market
dominated by international
firms. In so doing it will be Hassen Kajie
transformed into a world
class organization and claim its rightful place in the global
arena.
First International Financial Services Centre to
take off in Mumbai, India
The Indian government plans to set-up India's first international
financial services centre (IFSC) in Mumbai. This will
mark the opening up of "Special Economic Zones" for the
service sector. According to existing rules, IFSCs will be eligible
for 100% income tax exemption for three years.
Mumbai based Indian member firm SKP Cross Border
Consulting firmly believe the Government's move is in the
right direction. Sapan Parekh, Director of SKP, comments:
"The proposed Special Economic Zone will lead to employment
generation and economic activity that will have its
spin-off effects. While tax exemption is available, new
technologies will flow in to benefit Indian industry, which
is touted to become a supplier of financial services for the
entire world, supporting transactions taking place anywhere".
For further information, contact: sapan@itax.skparekh.com
Given the need for adequate IT systems to handle the
impending changes, the Accountancy Age report also
noted that 39% of respondents had stated they had yet to
start to implement such systems.
On a more positive note, 38% of FTSE 100 companies
believed that the UK was proceeding sufficiently towards
convergance, and 40% of firms surveyed believed the
International Accounting Standards Board (IASB) and
respective accounting institutes involved in IAS were
"doing a good job".

Western Hemisphere
LJ Soldinger Associates (Chicago)
Ben Soldinger pictured in the reception of their new premises
L J Soldinger Associates (Chicago, USA) has moved its
offices into larger and more efficient space in order to better
accommodate the firm's continuing practice growth,
especially in its SEC practice and its emerging enterprise
division. In the post-Enron era, and under the new regulations
of the Sarbanes-Oxley Act, our public securities
work has increased dramatically. Many of our new clients
were unhappy with the pricing and service that they were
receiving from the remaining "Big Four" firms.
These new clients find LJ Soldinger Associates (LJSA) to be
an excellent alternative to using a Big Four firm especially
because of the substantial savings in fees along with the
vast improvement in service that they experience, while
they continue to retain the same expertise and knowledge
necessary to operate as a public company. Additionally the
economic trends in the United States have shown vast
improvement over the past year and new business opportunities
have been prevalent for the firm's existing and
new clientele.
LJSA prides itself on always being on the cutting edge in
servicing our clients and maintaining the technology necessary
to do so. After fourteen years in our previously
expanded space, the move into a brand new office building
is as exciting as it was necessary in our continuing
growth. Our new address is in the village of Deer Park,
aptly named for the deer that we see roaming outside our
windows!
Our new office location:
L J Soldinger Associates
21925 Field Parkway, Suite 240
Deer Park, Illinois 60010
Tel: +847-726-8100 Fax: +847-726-6770
E-mail: ljsa@soldinger.com
Web: www.soldinger.com
JH Cohn announces the formation of Cohn Real
Estate, LLC.
J.H. Cohn LLP (Roseland, New Jersey) has recently
announced the formation of Cohn Real Estate LLC, a joint
venture between JH Cohn and BBK, LLP, with offices in
New York, New Jersey, Washington D.C. and California.
6
With the combination of a full service accounting and real
estate consulting firm (with a team boasting over 100
years of commercial and business real estate experience)
the newly established firm will be able to deliver a highly
focused service to businesses of all sizes both nationally
and internationally.
JH Cohn CEO (and SCI Board member) Tom Marino comments:
"We understand the importance of offering a full complement
of integrated services that lead to appropriate business
solkutions. Cohn Real Estate LLC will be able to provide
a high level of real estate consulting and financial services
that are not typically available through a single source
provider."
For further information, contact Chuck Ludmer: cludmer@jhcohn.com
FCT feature in industry journal
FCT partners Andy Taubman and Ron Friedman
Florida based member firm Friedman Cohen Taubman
built on their recent media exposure having been the
receipient of one of “Practical Accountants” annual
“Practice Innovation Awards”, by being interviewed for a
major feature "Strategies for Growing a CPA Firm" in the
latest edition of “CPA Magazine”.
In the article, founding partner Ron Friedman explained
the rapid growth of the firm from revenues of US$600,000
in 1997 to US$2,500,000 in 2003 as a process of aggressive
acquisition of smaller local CPA firms coupled with the
expansion of services, raising of rates, capturing time more
efficiently and analysing client profitability.
This has enabled FCT, as Ron remarks, to "find diamonds
in the rough (both clients and CPA firms), rid themselves of
the coal (low margin clients) and then polish what's left
into top quality clients".
Ultimately, they put the secret to their firm's success in a
nutshell: "we hire excellent people, treat them great, and
give them challenging work. We combine cool technology
with fun clients. And we constantly challenge ourselves to
get better".
For more information contact: ronf@fctcpa.com

Western Hemisphere - continued
Lippman Leebosh April welcome new partner
Montreal member firm Lippman Leebosh April has admitted
Joseph Eli, CA, CPA to partnership. The areas of his
particular expertise are real estate and portfolio investments.
Joseph speaks Turkish fluently and is developing
relationships within this community in Montreal.
In addition, Lippman Leebosh April have recently launched
their newly designed web site www.lla.com.
Regional conference season
This year's round of regional conferences are approaching in April and
May. In addition to the business agenda of each conference, SCI delegates
benefit from the opportunity to discuss the development of business
opportunities between firms, share expertise and practice experience
and, most importantly network and renew old acquaintances!
SAMEA
Dates: 25-26 April
Location: Dubai
Venue: Mina Salaam Hotel
Contact: Shahab Haider (shahab@sajjadhaider.com)
Asia Pacific
Dates: 28 April - 1 May
Location: Melbourne
Venue: The Westin Melbourne
Contact: Sandra Simionato (ssimionato@schoenfelds.com.au
Europe
Dates: 12-15 May
Location: Paris
Venue: Hotel Le Parc
Contact: Nathalie Cautain (n.cautain@sefico-jwa.com)
Western Hemisphere
Dates: 18-21 May
Location: San Francisco
Venue: Sheraton Fisherman's Wharf
Contact: Art Louie (alouie@louiewongcpa.com)
Annual Conference
Dates: 20-22 October
Location: Las Vegas
Venue: Bellagio Hotel
Contact: Larry Soldinger (ljsa@soldinger.com)
7
Zeifman & Co
Toronto based Zeifman & Co. have recently launched their
new firm brochure, which can be accessed via their website:
www.zeifman.ca/Brochure.pdf
Solloa, Tello de Meneses
Mexico City based member firm Solloa, Tello de Meneses
have recently amended their telephone and fax numbers
by one digit. Please note these numbers are now are now:
Tel: +52 55 2629-7230
Fax: +52 55 2629 7239
Mina A’ Salam Hotel, Dubai
The Sheraton Fisherman’s Wharf, San Francisco
The Bellagio Hotel, Las Vegas

SCI Business
Management Board conference call
focuses on strategic growth
The SCI Management Board convened a
conference call on January 22.
During the one hour call, the Board
reviewed a number of key issues, including
recruitment activity in 2004, corporate identity
guidance regarding the adoption of the
SCI name as a prefix/suffix, the potential
development of strategic alliances with partner
organisations, the application of PR sup-
SCI resources
A reminder to members of some of the
resources available to member firms:
Website (www.scinter.com)
SCI website
Public Area includes:
� Member Listing
� Member Search (By region/A-Z)
Members Area includes: (for login details
contact sandra.joseph@saffery.com)
Work Tools:
� Standard Financial Statements
� International Audit Guidance
� Due Diligence Checklist
� Business Plan Checklist
A note from the Editor
We welcome all contributions to future SCI
lines newsletter. Please forward news items,
press releases, articles and photographs to
the Executive Director (scisec@saffery.com)
port for annual review and regional conferences
and the production of a SCI Annual
Review publication.
The next full meeting of the SCI
Management Board will take place on
Saturday 24 April in Dubai.
Minutes of previous Board meetings are
available on the SCI website
(www.scinter.com) in the "SCI Business"
section of the Members Area.
PPC "Guide to Audits of Small Business": a
number of free online licenses are available
to members. Contact sandra.joseph@saffery.com
for more details.
Member Resources Database - provides a
greater ranger of information about individual
member firms, search/select firms by
location/industry expertise/practice area
Stationery
� SCI Marketing Folder
� SCI Client Care Charter
� SCI Document covers
To order SCI stock contact
sandra.joseph@saffery.com
8
SCI Marketing Folder
The next publications will be:
� Friday 18 June
� Friday 17 September
� Friday 3 December
SCI Contact
Details:
SCI Chairman:
Clive Nicholson
(Saffery Champness)
Tel: +44 20 7841 4000
Fax: +44 20 7841 4182
e-mail:
clive.nicholson@saffery.com
SCI Vice Chairman:
Alfredo Solloa
(Solloa, Tello de Meneses y Cia)
Tel: +52 55 358 4399
Fax: +52 55 576 9861
e-mail:
alfredo.solloa@solloacp.com.mx
SCI Executive Director:
Donal Watkin
Tel: +44 20 7841 4181
Fax: 44 20 7841 4182
e-mail:
SCISec@saffery.com
Europe
Chairman:
Konrad Annasohn
(Internationale Truehand AG)
Tel: +41 61 319 51 51
Fax: +41 61 319 52 52
e-mail:
k.annasohn@itaggroup.ch
Asiia Paciifiic
Chairman:
Michael Schoenfeld
(Schoenfelds)
Tel: +613 9521 5411
Fax: +613 9521 5410
e-mail:
Mschoenfeld@schoenfelds.com.au
SAMEA
Chairman:
Bashier Adam
(SAB&T Inc.)
Tel: +27 12 665 0950
Fax: +27 12 665 0959
e-mail:
bashier@sab-t.co.za
Western Hemiisphere
Chairman:
Tom Marino
(J.H. Cohn LLP)
Tel: 1 973 228 3500
Fax: 1 973 364 6690
e-mail:
tmarino@JHCohn.com