Siddiqsons Annual 2009 Final

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Vision/Mission and Corporate Strategy Company Information Notice of Annual General Meeting Six Years at a Glance Directors Report to the Shareholders Statement of Ethics & Business Practices Statement of Compliance with the Code of Corporate Governance Review Report To The Members on Statement of Compliance With Best Practices of Code of Corporate Governance Auditors Report to the Members Balance Sheet Profit & Loss Account Cash Flow Statement Statement of Changes in Equity Notes to the Financial Statements Pattern of Shareholdings Proxy Form
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Annual Report 2009
CORPORATE STRATEGY
VISION
To become a professionally managed, fully integrated, customer focused prime quality Tin Plate producer, offering value added quality tin plate products to our customers within and outside Pakistan meeting International Standard.
To enable STPL a modest tin plate company with global acceptability, to attain new heights of success with the help of Al-mighty Allah, we plan to further expand our business network and penetrate in global tin industry through joint venture with different neighboring countries and contribute to generate robust foreign reserve for our country. Our objective is to successfully deliver quality products and services to our customers and enlighten the awareness of tin plate for food packaging industry in the country.
MISSION
To continuously provide quality tin plate to our valuable customers at affordable price, build strong and permanent relation with domestic and international patrons under the umbrella of quality, reliability and affordability, focused to our customers and always put our customers on first priority. Our mission is going to be the course chart and radar of our ship so that every time we move we check our parameters to comply and follow our mission and do not deviate from it.
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COMPANY INFORMATION
Board of Directors Mr. Abdullah Rafi Mr. Tariq Rafi Mr. S. Walliullah Shah Mr. Ibrahim Shamsi Mr. Sanaullah Abdullah Mr. Saturo Oki Mr. Jean Pierre Gugenheim Audit Committee Mr. Ibrahim Shamsi Mr. Abdullah Rafi Mr. Sanaullah Abdullah Mr. Saturo Oki Mr. M. Javid Ansari Chief Financial Officer Mr. Rashid Khaleeque Company Secretary Mr. M. Javid Anasri Bankers Allied Bank Limited Dubai Islamic Bank Limited Habib Metropolitan Bank Limited Habib Bank Limited MCB Bank Limited Meezan Bank Limited National Bank of Pakistan Soneri Bank Limited The Hong Kong Shanghai Banking Corporation Limited Auditors M. Yousuf Adil Saleem & Company Chartered Accountants Legal Advisor Awan Law Associates 1st Floor, Burhani Terrace, Bohi Road, Opp. Customs House Karachi - 74000 Shares Registrar THK Associates (Private) Limited Ground Floor, State Life Building # 3 Dr. Ziauddin Ahmed Road UAN # 111 000 322 Karachi - 75530 Registered/Head Office D-53, Textile Avenue S.I.T.E., Karachi - 75700 Factory Special Industrial Zone Winder, Baluchistan Web Presence www.siddiqsonstinplate.com Chairman Chief Executive Officer Director Director Director Director Director Chairman Member Member Member Secretary
04 Annual Report 2009
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Notice of the 14th Annual General Meeting

NOTICE is hereby given that the 14th Annual General Meeting of M/s. Siddiqsons Tin Plate Limited will be held on Monday, October 26, 2009 at 8:30 a.m. at registered office situated at D-53, Textile Avenue, S.I.T.E., Karachi, to transact the following ordinary business: 1. 2. 3. 4. 5. To confirm the Minutes of the Extra-ordinary General Meeting held on December 31, 2008. To receive, consider and adopt the Annual Audited Accounts of the Company for the year ended June 30, 2009, together with the Auditors' Directors' Report thereon. To appoint Auditors of the Company for the year ending June 30, 2010 and fix their remuneration. To consider and approve the payment of cash dividend @ 10%, that is Re. 1.00 per ordinary share of Rs.10/each for the year ended June 30, 2009, as recommended by the Board of Directors of the Company. To transact any other business with the permission of the Chair.
By order of the Board Karachi September 29, 2009 NOTES: 1. 2. M. Javid Ansari Company Secretary
The Share Transfer Books of the Company will remain closed from October 20, 2009 to October 27, 2009 (both days inclusive). A member entitled to attend, and vote a Meeting is entitled to appoint another member as a proxy to attend, speak and vote on his/her behalf. A corporation being a member may appoint as its proxy any of its official or any other person whether a member of the company or otherwise. An instrument of proxy and a Power of Attorney or other authority (if any) under which it is signed, or notarized copy of such Power of Attorney must be valid and deposited at the Share Registrar of the Company M/s. THK Associates (Private) Limited, Ground Floor, State Life Building # 3, Dr. Ziauddin Ahmed Road, Karachi-75530, not less than 48 hours before the time of the Meeting. Those shareholders, whose shares are deposited with Central Depository Company of Pakistan Ltd. (CDC) are requested to bring their original Computerized National Identity Card (CNIC) along with participant's ID number and their account/sub-account numbers in CDC to facilitate identification at the time of Annual General Meeting. In case of Proxy, attested copies of proxy's CNIC or passport, Account and Participation's I.D. numbers must be deposited alongwith the Form of Proxy with our Share Registrar as per paragraph No. 3 above. In case of Proxy for corporate members, the Board of Directors' Resolution/Power of Attorney with specimen signature of the nominee shall be produced at the time of the meeting (unless it has been provided earlier to the Share Register). Shareholders are requested to notify the Company of the change in their address, if any, to our Share Registrar M/s. THK Associates (Pvt.) Limited.
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sIX YEARS AT A GLANCE

D E S C R I PTI O N 2009 2008 2007 2006 Rupees in "000" TRADING RESULTS Net Turnover Gross Profit Operating Profit Loss / Profit before tax Loss / Profit after tax Dividend BALANCE SHEET Share Capital Unappropriated profit Total Assets Long Term Liabilities INVESTORS INFORMATION Gross Profit in percent of sales Loss / Earnings Per Share Loss / Profit before tax in percent of sales Loss / Profit after tax in percent of sales Inventory Turnover (times) Debtor turnover (times) Break-up value per share (Rs) Market Value Per Share (Rs) Price earnig Ratio Dividend per share (Rs) Dividend yield ratio (%) Dividend Payout Ratio (%) Return on capital employed (%) Debt : Equity ratio Current Ratio Interest cover (times) * Post balance sheet event 8.61% (1.59) (4.48%) (4.73%) 1.73 7.36 18.23 8.51 (5.35) 1.00 11.75 (9) 1.37 1.31 0.15 15.55% 2.15 7.56% 7.06% 3.40 4.75 21.32 19.32 8.97 1.50 8 70 10 0.78 1.63 4.05 12.07% 3.17 7.86% 7.36% 4.81 6.79 20.66 32.35 10.20 1.50 5 47 15 0.37 2.22 5.28 16.22% 4.33 11.69% 11.18% 2.50 11.30 20.24 33.25 7.67 1.00 3 21 24 0.80 1.42 6.80 20.96% 7.17 16.61% 16.11% 2.72 18.23 15.48 10.00 1.39 3.56 36 45 51 1.09 1.12 10.07 20.13% 3.85 14.79% 14.29% 2.42 20.85 13.40 10.00 2.60 1.25 13 20 38 1.94 0.96 7.53 785,201 646,102 3,387,484 785,201 888,736 2,978,353 785,201 873,368 2,227,728 713,819 731,035 2,605,366 713,819 389,688 2,304,931 473,512 161,200 2,342,837 156,710 2,639,940 227,413 21,339 (118,165) (124,853) * 78,520 2,397,536 372,789 240,599 181,137 169,148 117,780 3,383,978 408,314 328,249 266,026 249,097 117,780 3,042,064 493,486 417,114 355,762 340,218 71,382 3,485,488 730,729 642,975 579,107 561,603 253,802 2,116,770 426,112 383,641 313,138 302,538 59,189 2005 2004
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DIRECTORS REPORT TO THE SHAREHOLDERS

The Board of Directors of Siddiqsons Tin Plate Limited is pleased to present Fourth Annual Report after listing with Karachi Stock Exchange (Guarantee) Limited, and Audited Financial Statements of the Company together with Auditor's Report thereon for the year ended June 30, 2009. General The principal activity of the Company is manufacturing and sale of tin plates and other steel products. The Company production capacity is 120,000 metric tons per annum. The plant is located at Winder Industrial Estate in the province of Balochistan. Industry and Financial Review The year under review was a very difficult year for all business houses and as such our Company was no exception. The Company has also been facing different challenges domestic as well as international. Despite that accumulative net sale of your company during the year has been slightly higher as compared to the last year's sales. Your Company has recorded net sales of Rs.2,640 million as compared to Rs.2,398 million during the same period of previous year which means there is an increase in sale revenue by Rs.242 million. The gross profit of the Company recorded for this year is Rs.227 million which is 8.61% of the sales revenue of the current year as compared to Rs.373 million which was 16% of the sales revenue of the last year. During the third and forth quarter of the year prices of TMBP sharply declined in international market, due to which we were forced to reduce our sales prices which has invariably affected gross profit margin and in turn we incurred net loss of Rs.125 million. The plant has continued to operate satisfactorily throughout the year but production was under capacity 36,810 MT only as compared to 46,330 MT during the same period last year due to the menace of dumping, misdeclaration and substitution of plastic as packaging material. The plant capacity has been under utilized by 69% during this year. Following is the comparative financial results for the year 2009 with 2008.
Rupees in Million Rupees Sales Gross Profit (Loss)/Profit before tax (Loss)/ Profit after tax (LPS)/EPS (Rupees)
2009 % of Sales 100 8.61 4.48 4.73 Rupees
2008 % of Sales 100 15.55 7.55 7.06
2,639 227 (118) (125) (1.59)
2,398 373 181 169 2.15
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Future outlook The year under review was a bad year for steel industry due to which we could not achieve set goals. However, we are confident that your company has the potential to remain market leader and would be able to sustain all external and internal pressures by maintaining its history of achieving good results even in the most challenging circumstances. Management has devotedly made following strategies which are being implemented and monitored periodically for achieving our goals in the forthcoming years, in addition to getting antidumping duty and ITP valuation successfully implemented as well as cascading of duty for our raw material. 4 Canning division has been established and we are cautiously moving forward. 4 Focusing on exploration of new markets in Middle East. 4 To arrange sufficient quantity of all grades of material as per requirement of customers. 4 To give preference for advance orders from the customers. 4 To analyze market demand and evolve policies accordingly. 4 To make all out efforts to curtail imports of under-invoiced material by correct ITP and antidumping. Auditors The present auditors M/s. M. Yousuf Adil Saleem & Co., Chartered Accountants are retiring and have offered themselves for reappointment. As suggested by the Audit Committee, the Board of Directors have recommended their reappointment as auditors of the company for the year ending June 30, 2010, at a remuneration to be mutually agreed. Compliance with the Code of Corporate Governance The requirement of the Code of Corporate Governance set out by the Karachi Stock Exchange in their Listing Regulations, relevant for the year ended June 30, 2009 have been adopted by the Company and have been duly complied with. A separate statement of compliance with the Code of Corporate Governance signed by the Chief Executive Officer included in this report. Statement of ethics and business practices The Board has adopted the statement of Ethics and Business Practices. All employees have been informed of this statement and are required to observe these rules of conduct in relation to customers, suppliers and regulations. Corporate and financial reporting frame work 4 The financial statements together with the notes thereon have been drawn up by the management in conformity with the Companies Ordinance, 1984. These Statements present fairly Company's state of affairs, the result of its operations, cash flows and changes in equity. 4 Proper books of accounts have been maintained by the Company. 4 Appropriate accounting policies have been consistently applied in the preparation of financial statements and accounting estimates are based on reasonable and prudent judgment.
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4 The International Accounting Standards / International Financial Reporting Standards, as applicable in Pakistan, have been followed in the preparation of financial statements. 4 The system of internal control is sound in design and has been effectively implemented and monitored. 4 There are no doubts upon the Company's ability to continue as a going concern. 4 There has been no departure from the best practices of Corporate Governance, as detailed in the listing regulations. 4 Significant diversion from last year's operating results has been disclosed in the Directors' Report. 4 The key operating and financial date for the last six (6) years is summarized in the form annexed with the report. Dividend You are aware that we have been quit liberal in giving cash dividends as well as stock dividends during the last six years which could be seen from the following: 2003 Cash Dividend Stock Dividend 12.5% 2004 12.5% 34% 2005 40% 12.5% 2006 10% 10% 2007 15% 2008 15% -
Board of directors' meetings During the year under reviewed the Board of Directors met four (4) times. The numbers of meetings attended by each director during the year is shown below: Name of Directors Mr. Abdullah Rafi Mr. Tariq Rafi Mr. S. Walliullah Shah Mr. Sanaullah Abdullah Mr. Ibrahim Shamsi Mr. Jean Peirre Gugenheim Mr. Satoru Oki No. of Meeting Attended 4 3 4 4 2 0 4
Overseas directors attended the meetings either in person or through alternate directors. Leave of absence was granted to Directors who could not attend the Board meetings.
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Audit Committee and internal audit control system The management of your Company believes in good corporate governance, implemented through a well defined and efficiently applied system of check and balance, and the provision of transparent, accurate and timely financial information. The board of directors establishes a system of sound internal control, which is effectively implemented at all level within the Company. The Audit Committee comprises of four (4) members, most of them are non-executive directors including the chairman of the Committee. The Committee has its terms of reference which were determined by the Board of Directors in accordance with the guidelines provided in the Listing Regulations. Pattern of shareholding The total number of Company's shareholders as at June 30, 2009 were 3,792. The pattern of shareholding as at June 30, 2009 along-with necessary disclosures as required under the Code of Corporate Governance is annexed with this report. Disclosure of shares trading by the Directors, CEO, CFO and Company Secretary: The directors, CEO, CFO, Company Secretary and their spouses or minor children did not carry put any trade in the shares of the Company during the year except disclosed as under: Purchased 12,000 279,000 Sold 119,000
Mr. Abdullah Rafi (Chairman) Mr. Ibrahim Shamsi (Director)
Acknowledge The Directors of the Company would like to take the opportunity to thank the Securities and Exchange Commission of Pakistan, Shareholders, Partners, Customers, Government Authorities, Autonomous bodies and the Financial Institutions for their co-operation & continued support. The Directors are also pleased to record their appreciation of the valuable and untiring services rendered by the staff of the Company.
ABDULLAH RAFI Chairman Karachi, September 19, 2009
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STATEMENT OF ETHICS AND BUSINESS PRACTICES

The Company discloses the Code of Ethic and Business Practices in Company's Annual Report and also that the Code is maintained on the website as well. All employees are bound by the following ethical obligations, and each agrees that he or she will: Perform his or her duties in an honest and ethical manner. Refrain from engaging in any activity or having a personal interest that presents an actual or apparent conflict of interest. Take all necessary actions to ensure full, fair, accurate, timely and understandable disclosure in report and documents that the Company files with or submits to government agencies and in other public communications. Comply with all applicable laws, rules and regulations of federal, provincial and local governments. Proactively promote and be an example of ethical behavior in the work environment. Will not support any political party nor contribute to the funds of groups whose activities promote party interest. It is important that all disclosure in reports and documents that the Company files with Securities and Exchange Commission of Pakistan, Stock Exchanges, Federal and Provincial Government, Autonomous Bodies and in other General Public communications, fair, accurate, timely and understandable. Company assets both tangible and intangible are to be used only for legitimate business purposes of the Company and by authorized employees. Make best use of Company's equipment, system and technological methods in order to have fast and reliable communication and strong MIS system in accordance with Company's guidelines. Conduct Company's business with integrity and endeavor to deal honestly with the customers, suppliers, competitors, and employees under the laws prevailing in the country. All confidential information concerning the Company is the property of the Company and must be protected. Confidential information includes the company's trade secrets, business trends and projections, information about financial performance, new product or marketing plans, manufacturing processes, information about potential acquisitions, divestitures and investment, significant personnel changes, existing and potential major contracts, orders, suppliers, customers or finance sources and any other material information which directly relates with share price sensivity of the company. Agrees that Company is an equal opportunity employer. Its employee recruitment and promotional policies are free of any gender bias, and is merit, and excellence oriented. It believes in providing its employees safe and healthy working environment, and in maintaining good channels of communications. Agrees that Company strives to serve best interest of its shareholders to provide consistent growth and a fair rate of return on their investment, to maintain our position and reputation as a leading company, to protect shareholders investment and to provide full and timely information. By conducting our business in accordance with the principles of fairness, decency and integrity set forth here, we help to build shareholder value. By accepting employment with the company, each of us is now accountable for compliance with these standards of conduct and with all laws and regulations of the Company.
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STATEMENT OF COMPLIANCE WITH THE CODE OF CORPORATE GOVERNANCE

This statement is being presented to comply with the Code of Corporate Governance contained in listing regulations of Karachi Stock Exchanges (Guarantee Limited) for the purpose of establishing a framework of good governance, whereby a listed company is managed in compliance with the best practices of corporate governance. The Company has applied the principles contained in the Code in the following manner: 1. The Company encourages the representation of independent nonexecutive Directors on its Board of Directors (the Board). At present, the Board includes four (4) nonexecutive directors. The company encourages representing of minority shareholders on the Board, however, none of the minority shareholder offered himself for election. The directors have confirmed that none of them is serving as a director in more than ten listed companies, including this Company. All the resident directors of the Company are registered as taxpayers and none of them has defaulted in payment of any loan to a banking company, a Development Financial Institution or a Non-banking Financial Institution. None of the directors of the Company are members of any Stock Exchange. During the year casual vacancy arise due to the sad demise of Mr. Mohammad Mohsin. The Board of Directors of the company appoints Mr. Sanaullah Abdullah as director to fill the casual vacancy within time limit prescribed. The Company has adopted a 'Statement of Ethics and Business Practices', which has been signed by all the directors and key employees of the Company. The Board has developed a vision / mission statement, overall corporate strategy and significant policies of the Company. All the powers of the Board have been duly exercised and decisions on material transactions, including appointment and determination of remuneration and terms and conditions of employment of the Chief Executive Officer (CEO), have been taken by the Board. The related party transactions and pricing methods have been placed before the audit committee and approved by the Board with necessary justification for pricing methods for transactions that were made on terms equivalent to those that prevail in the arm's length transactions. The meetings of the Board were presided over by the Chairman and in his absence, by a director elected by the Board for this purpose. The Board met at-least once in every quarter. Written notices of the Board meetings were circulated at least seven days before the meetings. Agenda and working papers were also circulated before the meetings. The minutes of the meetings were appropriately recorded and circulated.
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The directors are conversant with the relevant laws applicable to the Company including the Companies Ordinance, 1984, Listing Regulations, Code of Corporate Governance, Company Memorandum and Articles of Association and other relevant rules and regulations and are aware of their duties and responsibilities. During the year orientation courses were arranged for the resident directors of the board. The Board has already approved the appointment of Company Secretary and Head of Internal Audit, including their remuneration and terms and conditions of employment, as determined by the CEO. The Directors' report has been prepared in compliance with the requirements of the Code and fully describes the salient matters required to be disclosed. The CEO and CFO duly endorsed the financial statements of the Company before approval of the Board. The directors, CEO and executives do not hold any interest in the shares of the Company other than that disclosed in the pattern of shareholdings. The Company has complied with all the corporate and financial reporting requirements of the Code. The Board has formed an Audit Committee. It comprises of four (4) members, three (3) of them are nonexecutive directors including the chairman of the committee. The meetings of the audit committee were held at least once in every quarter prior to approval of interim and final results of the Company as required by the Code. The terms of reference of the committee have been determined and approved by the Board of Directors and advised to the committee for compliance. The company has appointed an internal Auditor who is considered suitably qualified and experience for the purpose, however, the Company is still in the process of establishing a proper Internal Audit Department. The statutory auditors of the Company have confirmed that they have been given a satisfactory rating under the Quality control review programme of the Institute of Chartered Accountants of Pakistan, that they or any of the partners of the firm, their spouses and minor children do not hold shares of the Company and that the firm and all its partners are in compliance with International Federation of Accountants (IFAC) guidelines on code of ethics as adopted by Institute of Chartered Accountants of Pakistan. The statutory auditors or the persons associated with them have not been appointed to provide other services and the auditors have confirmed that they have observed IFAC guidelines in this regard. We confirm that all other material principles contained in the Code have been complied with.
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Karachi: 19 September, 2009
Chairman
Chief Executive Officer
Deloitte.
M. Yousuf Adil Saleem & Co Chartered Accountants Cavish Court, A-35, Block 7 & 8 KCHSU, Sharea Faisal, Karachi-75350 Pakistan UAN: FAX: Web: +92 (0) 21 111-55-2626 +92 (0) 21-454 1314 www.deloitte.com
REVIEW REPORT TO THE MEMBERS ON STATEMENT OF COMPLIANCE WITH THE BEST PRACTICES OF CODE OF CORPORATE GOVERNANCE
We have reviewed the Statement of Compliance with the best practices contained in the Code of Corporate Governance prepared by the Board of Directors of the SIDDIQSONS TINPLATE LIMITED to comply with the Listing Regulation of Karachi Stock Exchange, where the Company is listed. The responsibility for compliance with the Code of Corporate Governance is that of the Board of Directors of the Company. Our responsibility is to review, to the extent where such compliance can be objectively verified, whether the Statement of Compliance reflects the status of the Company's compliance with the provisions of the Code of Corporate Governance and report if it does not. A review is limited primarily to inquiries of the Company's personnel and review of various documents prepared by the Company to comply with the Code. As part of our audit of the financial statements, we are required to obtain an understanding of the accounting and internal control systems sufficient to plan the audit and develop an effective audit approach. We have not carried out any special review of the internal control system to enable us to express an opinion as to whether the Board's statement on internal control covers all controls and the effectiveness of such internal controls. Based on our review, nothing has come to our attention, which causes us to believe that the Statement of Compliance does not appropriately reflect the Company's compliance, in all material respects, with the best practices contained in the Code of Corporate Governance, as applicable to the company, for the year ended June 30, 2009.
M. Yousuf Adil Saleem & Co. Chartered Accountants Karachi Dated: 19 September, 2009
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Deloitte.
M. Yousuf Adil Saleem & Co Chartered Accountants Cavish Court, A-35, Block 7 & 8 KCHSU, Sharea Faisal, Karachi-75350 Pakistan UAN: FAX: Web: +92 (0) 21 111-55-2626 +92 (0) 21-454 1314 www.deloitte.com
AUDITORS' REPORT TO THE MEMBERS

We have audited the annexed balance sheet of SIDDIQSONS TIN PLATE LIMITED as at June 30 , 2009 and the related profit and loss account, cash flow statement and statement of changes in equity together with the notes forming part thereof, for the year then ended and we state that we have obtained all the information and explanations which, to the best of our knowledge and belief, were necessary for the purposes of our audit. It is the responsibility of the Company's management to establish and maintain a system of internal control, and prepare and present the above said statements in conformity with the approved accounting standards and the requirements of the Companies Ordinance, 1984. Our responsibility is to express an opinion on these statements based on our audit. We conducted our audit in accordance with the auditing standards as applicable in Pakistan. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the above said statements are free of any material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the above said statements. An audit also includes assessing the accounting policies and significant estimates made by management, as well as, evaluating the overall presentation of the above said statements. We believe that our audit provides a reasonable basis for our opinion and, after due verification, we report that: a. b. i. in our opinion, proper books of account have been kept by the Company as required by the Companies Ordinance, 1984; in our opinion: the balance sheet and profit and loss account together with the notes thereon have been drawn up in conformity with the Companies Ordinance, 1984, and are in agreement with the books of account and are further in accordance with accounting policies consistently applied; the expenditure incurred during the year was for the purpose of the Company's business; and the business conducted, investments made and the expenditure incurred during the year were in accordance with the objects of the Company; in our opinion and to the best of our information and according to the explanations given to us,the balance sheet, profit and loss account, cash flow statement and statement of changes in equity together with the notes forming part thereof conform with approved accounting standards as applicable in Pakistan, and, give the information required by the Companies Ordinance, 1984 in the manner so required, and respectively give a true and fair view of the state of the Company's affairs as at June 30, 2009 and of the profit, its cash flows and changes in equity for the year then ended; and in our opinion, Zakat deductible at source under Zakat and Ushr Ordinance, 1980 (XVIII of 1980) was deducted by the company and deposited in the central Zakat Fund established under section 7 of that Ordinance.
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Chartered Accountants Karachi Dated: 19 September, 2009

A member firm of Deloitte Touche Tohmatsu
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BALANCE SHEET
AS AT JUNE 30, 2009

Note 2009 Rupees 2008 Rupees
NON-CURRENT ASSETS Property, plant and equipment Long-term deposits CURRENT ASSETS Stores, spares and loose tools Stock-in-trade Trade debts Loans and advances Trade deposits and short-term prepayments Other receivables Other financial assets Sales tax refundable- considered good Cash and bank balances 5 6 7 8 9 10 11 12 14,057,340 1,755,818,486 410,320,032 185,958,069 4,960,288 1,644,035 112,486,995 206,834 82,972,632 2,568,424,711 3,387,483,512 14,556,382 1,031,817,214 306,646,926 280,435,099 9,793,242 14,621,761 210,324,260 206,834 258,849,410 2,127,251,128 2,978,353,077 3 4 811,502,146 7,556,655 819,058,801 843,555,294 7,546,655 851,101,949
SHARE CAPITAL AND RESERVES Authorized 120,000,000 ordinary shares of Rs.10/- each Issued, subscribed and paid-up Unappropriated profits CURRENT LIABILITIES Trade and other payables Interest / mark-up accrued Short-term borrowings Taxation - income tax - sales tax CONTINGENCIES AND COMMITMENTS 17 3,387,483,512 2,978,353,077 14 15 16 496,370,057 35,912,030 1,298,674,424 86,934,382 38,289,215 1,956,180,108 44,602,084 16,471,566 1,121,141,339 80,245,630 41,955,477 1,304,416,096 13 1,200,000,000 785,201,270 646,102,134 1,431,303,404 1,200,000,000 785,201,270 888,735,711 1,673,936,981
The annexed notes form an integral part of these financial statements CHIEF EXECUTIVE OFFICER
DIRECTOR
S I D D I Q S O N S
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FOR THE YEAR ENDED JUNE 30, 2009

Note Sales - net Cost of goods sold Gross profit 18 19 2009 Rupees 2,639,940,126 (2,412,526,658) 227,413,468 2008 Rupees 2,397,535,638 (2,024,746,400) 372,789,238
PROFIT & LOSS ACCOUNT
Distribution cost Administrative expenses Other operating expenses Finance cost Other operating loss
20 21 22 23 24
(17,362,607) (54,276,343) (45,650,695) (139,503,213) (88,785,245)
(13,083,293) (45,697,468) (60,869,799) (59,461,680) (12,539,668)
(Loss) / profit before taxation Provision for taxation (Loss) / profit for the year Earnings per share - Basic and diluted 25
(118,164,635) (6,688,752) (124,853,387) (1.59)
181,137,330 (11,989,474) 169,147,856 2.15
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The annexed notes form an integral part of these financial statements
CHIEF EXECUTIVE OFFICER
DIRECTOR
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CASH FLOW STATEMENT

A.

CASH FLOWS FROM OPERATING ACTIVITIES (Loss) / Profit before taxation Adjustments for: Depreciation on property, plant and equipment Finance cost Provision for doubtful debts Provision for slow moving and obsolete items Provision for doubtful receivables Balances written off - Advances Gain on disposal of property, plant and equipment Dividend income Gain on sale of investments Loss on remeasurement of investment at market value Operating cash flows before movement in working capital (Increase) / decrease in current assets Stores, spares and loose tools Stock in trade Trade debts Loans and advances Trade deposits and short-term prepayments Other receivables Increase / (decrease) in current liabilities Trade and other payables Sales tax payable Cash used in operations Income taxes paid Interest / markup paid Long term deposits paid Net cash used in operating activities
2009 Rupees
(118,164,635) 42,869,135 139,503,213 400,379 303,179 2,194,334 2,133,110 (336,697) (9,585,850) 102,976,381 162,292,549 195,863 (724,001,272) (104,073,485) 102,187,389 4,832,954 10,893,392 451,626,306 (3,666,262) (99,712,566) (9,843,480) (120,062,749) (10,000) (229,628,795)
2008 Rupees
181,137,330 44,749,475 59,461,680 1,266,523 (433,945) (518,850) (33,630,290) 64,887,785 316,919,708 (6,777,219) (872,665,753) 394,099,784 (157,544,238) (3,293,523) (6,780,886) (9,840,969) 41,955,477 (303,927,619) (26,043,860) (51,123,788) (300,000) (381,395,267)
B.
CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of property, plant and equipment Purchase of property, plant and equipment Purchase of investments Dividends income Net cash used in investing activities 429,750 (10,909,040) (5,139,105) 9,475,850 (6,142,545) 1,706,880 (12,816,441) (241,581,756) 518,850 (252,172,467)
C.
CASH FLOWS FROM FINANCING ACTIVITIES Short term borrowing - net Dividend paid Net cash (used in) / from financing activities Net decrease in cash and cash equivalents (A+B+C) Cash and cash equivalents at beginning of the year Cash and cash equivalents at the end of the year Cash and cash equivalents Cash and bank balances Short term running finance Book overdraft The annexed notes form an integral part of these financial statements 80,328,995 (117,638,523) (37,309,528) (273,080,868) (189,654,575) (462,735,443) 82,972,632 (545,708,075) (462,735,443) 198,311,653 (117,780,190) 80,531,463 (553,036,271) 363,381,696 (189,654,575) 258,849,410 (443,740,601) (4,763,384) (189,654,575)

DIRECTOR
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
STATEMENT OF CHANGES IN EQUITY

Issued, subscribed & paid up capital Unappropriated profit Total
---------------------------Rupees ----------------------Balance at July 1, 2007 Final cash dividend for the year ended June 30, 2007 @ Rs.1.5/- per share Profit for the year Balance at June 30, 2008 Final cash dividend for the year ended June 30, 2008 @ Rs.1.5/- per share Loss for the year Balance at June 30, 2009 785,201,270 (117,780,190) (124,853,387) 646,102,134 (117,780,190) (124,853,387) 1,431,303,404 785,201,270 (117,780,190) 169,147,856 888,735,711 (117,780,190) 169,147,856 1,673,936,981 785,201,270 837,368,045 1,622,569,315
The annexed notes form an integral part of these financial statements
DIRECTOR
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
NOTES TO FINANCIAL STATEMENTS

1. GENERAL INFORMATION 1.1 Siddiqsons Tin Plate Limited (the Company) was incorporated in Pakistan on January 29, 1996 as public company limited by shares under Companies Ordinance 1984. The shares of the Company are listed at Karachi Stock Exchange. Registered office of the company is situated at D-53, Textile Avenue, S.I.T.E, Karachi in the province of Sindh and the plant is located at Winder Industrial Estate in the province of Balochistan. During the year, the company started production of cans. The canning plant is located at B-26, Textile Avenue, S.I.T.E. Karachi in the province of Sind. The principal activity of the company is manufacturing and sale of tin plates, canes ,and other steel products. The financial statements are presented in Pak Rupee which is the company's functional and presentation currency.
1.2 2.
SIGNIFICANT ACCOUNTING POLICIES 2.1 Statement of compliance These financial statements have been prepared in accordance with approved accounting standards as applicable in Pakistan. Approved accounting standards comprise of such International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board as are notified under the Companies Ordinance, 1984, provisions of and directives issued under the Companies Ordinance, 1984. In case requirements differ, the provisions or directives of the Companies Ordinance, 1984 shall prevail. 2.2 Adoption of new International Financial Reporting Standards In the current year, the company has adopted all new Standards and Interpretations issued by the International Accounting Standards Board (the IASB) and the International Financial Reporting Interpretations Committee (IFRIC) of the IASB and as notified by the Securites and Exchange Commission of Pakistan that are relevant to its operations and effective for company's accounting period beginning on July 01, 2008. The adoption of these new Standards and Interpretations has resulted in changes to the Company's accounting policies in the following areas: IFRS 7 - Financial Instruments: Disclosures April 28, 2008
IFRS 7 requires extensive disclosures about the significance of financial instruments for the company's financial position and performance, and quantitative and qualitative disclosures on the nature and extent of risks. These requirements incorporate many of the requirements previously in IAS 32 Financial Instruments : Presentation. The company has adopted this standard from the financial year beginning July 01, 2008 and its initial application has led to extensive disclosures in the company's financial statements. IFRIC 14 - IAS 19 - The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction January 01, 2008
IFRIC 14 provides guidance on assessing the limit in IAS 19 on the amount of the surplus that can be recognised as an asset. It also explains how the pension asset or liability may be affected by a statutory or contractual minimum funding requirement. The adoption of this Interpretation will have no material impact on the company's financial statements.
S I D D I Q S O N S
T I N
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2.2.1 New accounting standards and IFRS interpretations that are not yet effective The following International Financial Reporting Standards and Interpretations as notified by the Securities and Exchange Commission of Pakistan are only effective for accounting periods, beginning on or after the date mentioned against each of them : IFRS 8 - Operating Segments IFRIC 15 - Agreements for the Construction of Real Estate IFRIC 16 - Hedges of a Net Investment in a Foreign Operation IFRIC 17 - Distributions of Non-cash Assets to Owners IFRIC 18 - Transfer of Assets from Customers January 01, 2009 January 01, 2009 October 01, 2008 July 01, 2009 July 01, 2009
2.2.2 Interpretations to existing standards that are effective and not relevant for the companys operations The following interpretation to existing standards has been published and is mandatory for the companys accounting year beginning on July 01, 2008 but is not relevant for the companys operations: IFRIC 12 - Service Concession Agreements IFRIC 13 - Customer Loyalty Programs 2.3 Basis of preparation The financial statements have been prepared under the historical cost convention modified by certain financial instruments which are stated at fair value. The principal accounting policies adopted are set out below: 2.4 Property, plant and equipment Property, plant and equipment except land and capital work-in-progress are stated at cost less accumulated depreciation and impairment in value, if any. Land and capital work-in-progress are stated at cost less impairment in values, if any. Assets residual values, if significant and their useful lives are reviewed and adjusted, if appropriate, at each balance sheet date. Depreciation is charged using reducing balance method over its estimated useful life at the rates specified in note 3.1. Depreciation is charged from the month of acquisition and up to the month preceding the month of disposal respectively. Maintenance and normal repairs are charged to income as and when incurred. Major renewals and improvements are capitalized. Gains or losses on disposal of property, plant and equipment, if any, are recognized as and when incurred, to profit and loss account.
Effective from accounting period beginning on or after January 01, 2008 Effective from accounting period beginning on or after July 01, 2008
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L I M I T E D
All expenditure connected with specific assets incurred during installation and construction period are carried under capital work-in-progress. These are transferred to specific assets as and when these assets are available for use. 2.5 Stores, spares and loose tools These are valued at the cost. The cost is determined on moving average basis less allowance for obsolete and slow moving items. Stores and spares in transit are stated at invoice values plus other charges incurred thereon up to balance sheet date. 2.6 Stock in trade Stock-in-trade are valued at the lower of cost and net realizable value on the following basis: Raw Material Raw material in transit Finished goods Waste At weighted average cost At cost accumulated up to the date of balance sheet At average manufacturing cost At net realizable value
Average cost signifies, in relation to finished goods, the average manufacturing cost including related direct overheads. Net realizable value signifies the estimated selling prices in the ordinary course of business less estimated cost of completion and the estimated cost necessary to make the sale. 2.7 Trade debts and other receivables Trade debts and other receivables are carried at original invoice amount less an estimate made for doubtful receivables based on review of outstanding amounts at the year end. Balances considered bad and irrecoverable are written off when identified. 2.8 Investment Regular way purchase or sale of investment All purchases and sales of investment are recognised using trade date accounting. Trade date is the date that the Company commits to purchase or sell the investment. Financial assets at fair value through profit or loss These include investments held for trading and those that are designated at fair value through profit or loss at inception. Investments are classified as held for trading if they are acquired for the purpose of selling in the near term. They are initially measured at fair value and changes on re-measurement are taken to profit and loss account. Available for sale investment Investment securities held by the Company which may be sold in response to needs for liquidity or changes in interest rates or equity prices are classified as available for sale. These investments are initially recognised at fair value plus transaction cost and subsequently re-measured at fair value. The investments for which quoted market price is not available, are measured at costs as it is not possible to apply any other valuation methodology. Gains and losses arising from re-measurement at fair value is recognised directly in the equity under fair value reserve until sold, collected, or otherwise disposed off at which time, the cumulative gain or loss previously recognised in equity is included in profit and loss account.
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Held to maturity Held to maturity investments are financial assets with fixed or determinable payments and fixed maturity that the Company has the positive intent and ability to hold to maturity. Held to maturity investments are initially recognised at cost inclusive of transaction cost and are subsequently carried at amortised cost using effective interest rate method. Derecognition All investments are de-recognised when the rights to receive cash flows from the investments have expired or have been transferred and the Company has transferred substantially all risks and rewards of ownership. 2.9 Cash and cash equivalents Cash and cash equivalents are carried in the balance sheet at cost. For the purpose of cash flow statement, cash and cash equivalents consist of cash in hand, balances with banks and short-term running finance under mark-up arrangements. 2.10 Employee benefit cost Defined Contribution Plan The Company operates an approved funded contributory provident fund scheme for all its employees eligible for benefit. Equal monthly contributions are made both by the company and its employees at the rate of 10% per annum of the basic salary plus cost of living allowance. The Company's contribution to the fund is charged to profit and loss account for the year. 2.11 Trade and other payables Liabilities for trade and other amounts payable are carried at cost which is the fair value of the consideration to be paid in the future for goods and services received whether billed to the Company or not. 2.12 Provisions Provisions are recognized when the Company has a present, legal or constructive obligation as a result of past events, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate of the amount can be made. Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. 2.13 Impairment Financial Assets A financial asset is assessed at each reporting date to determine whether there is any objective evidence that it is impaired. A financial asset is considered to be impaired if objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of that asset. Individually significant financial assets are tested for impairment on an individual basis. The remaining financial assets are assessed collectively in groups that share similar credit risk characteristics. Non-financial Assets An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference between its carrying amount, and the present value of the estimated future cash flows discounted at the original effective interest rate. An impairment loss in respect of an available-forsale financial asset is calculated by reference to its fair value. All impairment losses are recognised in profit or loss. Any cumulative loss in respect of an availablefor-sale financial asset recognised previously in equity is transferred to profit or loss.
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2.14 Financial instruments Financial assets and liabilities are recognized when the Company becomes a party to the contractual provisions of the instrument and de-recognized when the Company loses control of the contractual rights that comprise the financial asset and in case of financial liability when the obligation specified in the contract is discharged, cancelled or expired. Other particular recognition methods adopted by the Company are disclosed in the individual policy statements associated with each item of financial instruments. 2.15 Offsetting of financial assets and financial liabilities A financial asset and a financial liability is offset and the net amount is reported in the balance sheet, if the Company has a legal enforceable right to set off the transaction and also intends either to settle on a net basis or to realize the asset and settle the liability simultaneously. 2.16 Revenue Recognition Revenue is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business. Sales of goods are recognized when goods are delivered and title has passed. Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that assets net carrying amount. Dividend income from investments is recognised when the shareholders rights to receive payment have been established. Capital gains / (losses) arising on sale of investments are included in the profit and loss account in the period in which the transaction takes place. Unrealised capital gain / (losses) arising on mark to market of investment classified as financial assets at fair value through profit and loss - held for trading are included in the Income Statement in the year in which they arise. 2.17 Taxation Current The charge for current taxation is calculated on the basis of the tax laws enacted or substantively enacted at the balance sheet date. Management periodically evaluates position taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities. Deferred Deferred income tax is provided using the liability method for all temporary differences at the balance sheet date between tax bases of assets and liabilities and their carrying amounts for financial reporting purposes. In this regard, the effects on deferred taxation of the portion of income subject to final tax regime is also considered in accordance with the requirement of Technical Release 27 of Institute of Chartered Accountants of Pakistan. Deferred income tax asset is recognized for all deductible temporary differences and carry forward of unused tax losses, if any, to the extent that it is probable that taxable profit will be available against which such temporary differences and tax losses can be utilized.
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Deferred income tax assets and liabilities are measured at the tax rate that are expected to apply to the period when the asset is realized or the liability is settled, based on tax rates that have been enacted or substantively enacted at the balance sheet date. 2.18 Foreign Currencies Transactions in currencies other than Pak. Rupees are recorded at the rates of exchange prevailing on the dates of the transaction. At each balance sheet date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the balance sheet date except where forward exchange contracts have been entered into for repayment of liabilities, in that case, the rates contracted for are used. Gains and losses arising on retranslation are included in net profit or loss for the period. 2.19 Borrowing Costs Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. Investment income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization. All other borrowing costs are recognized in profit or loss in the period in which they are incurred. 2.20 Dividend and other appropriations The dividend is recognized as liability in the year in which it is approved. Appropriations of profit are reflected in the statement of changes in equity in the year in which such appropriations are made. 2.21 Critical accounting estimates The estimates and underlying assumption are reviewed on ongoing basis. Revision to accounting estimates are recognized in the period in which estimates are revised. 2.22 Critical judgments in applying the company's accounting policies The preparation of financial statements in conformity with approved accounting standards requires the use of certain critical accounting estimates. It also requires the management to exercise its judgment in the process of applying the Company's accounting policies. Estimates and judgments are continually evaluated and are based on historical experience, including expectation of future events that are believed to be reasonable under the circumstances. The areas where various assumptions and estimates are significant to the Company's financial statements or where judgment was exercised in application of accounting policies are as follows: Useful lives and depreciation rates of property, plant and equipment As described at 3.1, the Company reviews the estimated useful lives and depreciation rates of property, plant and equipment at the end of each balance sheet date. During the financial year, the management determined that the useful life and depreciation rates are same as reported in prior years. 3. PROPERTY, PLANT AND EQUIPMENT Operating fixed assets Capital work in progress Notes 3.1 3.4 2009 Rupees 793,961,761 17,540,385 811,502,146 2008 Rupees 829,556,549 13,998,745 843,555,294
3.1
Cost at July 01, 2008 Additions /transfers Cost at (disposals) June 30, 2009 Accumulated depreciation at July 01, 2008 Dep. Rate % Depreciation Accumulated for the year depreciation Carrying (depreciation at June 30, value at June on disposal) 2009 30, 2009
Operating fixed assets
---------------------------------------------------Rupees -------------------------------------------------7,533,750 130,006,832 990,954,747 87,828,425 14,113,433 13,238,548 5,859,526 2,730,917 2,474,628 29,505,155 1,284,245,961 41,000 (959,700) 7,367,400 (959,700) 330,900 174,500 2,905,417 2,805,528 28,586,455 1,290,653,661 5,600 5,865,126 13,238,548 8,318,458 2,239,007 1,516,918 1,832,878 14,305,624 454,689,412 292,811 14,406,244 7,772,670 634,376 492,009 366,211 426,832 80,313 3,042,373 (866,647) 42,869,135 (866,647) 87,828,425 38,366,479 4,946,197 3,471,893 994,426,640 302,745,650 27,573,649 330,319,299 43,312,676 8,407,046 8,810,467 2,605,218 1,943,750 1,913,191 16,481,350 496,691,900 3,050,696 133,057,528 77,591,728 5,307,175 82,898,903 7,533,750 7,533,750 50,158,625 664,107,341 44,515,749 5,999,198 4,428,081 3,259,908 961,667 892,337 12,105,105 793,961,761 10 4 10 10 10 10 33.33 10 20
Leasehold land
S I D D I Q S O N S
Buildings on leasehold land
Plant and machinery
Power and other installations
T I N
Factory equipment
Generators
Office equipment
P L A T E
Data processing equipment
Furniture and fixtures
Vehicles
L I M I T E D
2009
3.1.1 Canning plant costing to Rs.3,050,696/- has been installed on the land and building of associated company. No rent is charge by the associated company.
For comparative period

Cost at July 01, 2007 Cost at June 30, 2008 Additions / transfers (disposals) Accumulated depreciation at July 01, 2007 Dep. Rate % Depreciation for the year (depreciation on disposal) Accumulated Carrying depreciation value at June at June 30, 30, 2008 2008
----------------------------------------------------Rupees ----------------------------------------------------
Leasehold land 130,006,832 989,954,747 87,828,425 13,908,763 13,138,548 5,859,526 1,933,124 2,380,578 26,826,665 94,050 2,474,628 797,793 2,730,917 1,139,865 1,403,074 5,859,526 1,836,727 100,000 13,238,548 7,777,338 541,120 402,280 377,053 429,804 204,670 14,113,433 7,447,254 325,416 7,772,670 8,318,458 2,239,007 1,516,918 1,832,878 87,828,425 32,870,708 5,495,771 38,366,479 49,461,946 6,340,763 4,920,090 3,620,519 1,213,999 641,750 2,699,581 14,305,624 15,199,531 (850,115) 6,998,053 1,284,245,961 410,790,052 44,749,475 454,689,412 829,556,549 (2,123,050) (850,115) 1,000,000 990,954,747 274,091,101 28,654,549 302,745,650 688,209,097 - 130,006,832 71,767,827 5,823,901 77,591,728 52,415,104 10 4 10 10 10 10 33.33 10 20
7,533,750
7,533,750
7,533,750
Buildings on leasehold land
S I D D I Q S O N S
Plant and machinery
Power and other installations
T I N
Factory equipment
Generators
Office equipment
P L A T E
Data processing equipment
Furniture and fixtures
Vehicles
4,801,540 29,505,155 12,456,158 (2,123,050)
L I M I T E D
2008
1,279,370,958
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
3.2
Allocation of depreciation Cost of goods sold Administration expenses 3.3
Notes 19.1 21
2009 Rupees 38,953,406 3,915,729 42,869,135
2008 Rupees 40,840,757 3,908,718 44,749,475
The following assets were disposed off during the year: Depriciation Vehicle
Written Sale Mode of Particulars Down proceed disposal of Buyer value ---------------------------------------------------Rupees --------------------------------------------------Cost Accumulated Depreciation
894,000
810,707
83,293
422,750
Negotiation
Mr. Rauf Ahmed Sheikh, A-130, Block 2 Gulshan-d-Iqbal, Karachi. Mr. Muhammad Siddiq, R-1978, Block-14 F.B Area, Karachi.
Vehicle
65,700
55,940
9,760
7,000
Negotiation
2009 2008
959,700 2,123,050
866,647 850,115
93,053 1,272,935 Notes
429,750 1,706,880 2009 Rupees 4,808,661 2,074,022 10,657,702 17,540,385 2008 Rupees 3,877,924 2,074,022 8,046,799 13,998,745
3.4
Capital work in progress Machinery and equipment Civil work Advance for capital expenditure
4.
LONG TERM DEPOSITS For electricity Others 7,179,250 377,405 7,556,655 7,179,250 367,405 7,546,655
5.
STORES, SPARES AND LOOSE TOOLS Stores, spares and loose tools Less: Provision for slow-moving and obsolete items 5.1 Provision for slow moving and obsolete items Opening balance Addition during the year Closing balance 8,814,373 303,179 9,117,552 8,814,373 8,814,373 5.1 23,174,892 (9,117,552) 14,057,340 23,370,755 (8,814,373) 14,556,382
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Notes 6. STOCK-IN-TRADE Raw materials (including in transit Rs.216,494,466/- (2008: Rs. 180,627,492/-)) Finished goods 7. TRADE DEBTS Export Unsecured - considered good Local Secured- considered good Unsecured-considered good Unsecured-considered doubtful Less: Provision for doubtful debts
2009 Rupees
2008 Rupees
1,071,026,639 684,791,847 1,755,818,486
563,860,252 467,956,962 1,031,817,214
3,485,984 7.1 15,374,649 391,459,399 4,221,443 (4,221,443) 391,459,399 410,320,032
92,580,776 214,066,150 3,821,064 (3,821,064) 214,066,150 306,646,926
7.2
7.1 These are secured against local LC maturing within 45 to 90 days.
7.2 Movement in provision for doubtful debt Opening Balance Addition during the year Written off during the year Closing balance 3,821,064 400,379 4,221,443 3,108,639 1,266,523 (554,098) 3,821,064
7.2.1 In determining the recoverability of a trade debt, the company considers any change in the credit quality of the trade debt from the date credit was initially granted up to the reporting date. The concentration of credit risk is limited due to the customer base being large and unrelated. Accordingly, the directors believe that there is no further provision required in excess of the allowance for doubtful debts. 7.2.2 Included in the provision for doubtful debts are individually impaired trade debts with a balance of Rs. 4,221,443(2008: Rs.3,821,064). The impairment recognised represents the difference between the carrying amount of these trade receivable and the present value of the expected proceeds. The company does not hold any collateral over these balances. 7.3 Trade receivables are non-interest bearing and are generally on 30 to 90 days terms.
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
2009 Rupees 8. LOANS AND ADVANCES - Considered good Loan to Executives Loan to employees Advance to suppliers against expenses Income tax Letters of credit fee and expenses L/C's margin 1,138,090 312,118 37,279,702 1,785,541 127,388,943 18,053,675 185,958,069
2008 Rupees
1,667,800 160,778 26,386,774 1,008,849 117,545,474 3,339,426 130,325,998 280,435,099
9.
TRADE DEPOSITS AND SHORT TERM PREPAYMENTS Security deposits Short term prepayments 3,543,330 1,416,958 4,960,288 9,458,330 334,912 9,793,242
10.
OTHER RECEIVABLES - Considered good Receivable against sale of securities Dividend Quality claim LC Claim Others Others Less: Provision for doubtful receivables 97,582 110,000 1,436,453 1,644,035 2,194,334 (2,194,334) 1,644,035 7,947,237 4,480,190 2,194,334 14,621,761 14,621,761
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T I N
P L A T E
L I M I T E D
11.
OTHER FINANCIAL ASSETS - Investments in equity securities - financial assets at fair value through profit or loss In quoted companies Ordinary shares of Rs. 10/- each
2008 2009 ----------No. of shares---------Held in ready market 857,800 1,161,000 375,500 699,000 20,000 35,000 100,000 40,900 1,125,600 1,161,000 410,500 776,666 24,000 35,000 100,000 40,900 National Bank of Pakistan Fauji Fertilizer Bin Qasim Ltd. Pakistan Telecommunication Company Ltd. Arif Habib Bank Ltd. Habib Bank Ltd. Artistic Denim Mills Ltd. JS Bank Limited Century Paper & Board Mills Ltd.
----------Market Value---------2009 2008 --------------Rupees-------------75,448,979 20,538,090 7,077,020 5,428,895 2,065,440 786,100 603,000 539,471 112,486,995 126,525,500 41,761,170 14,509,320 13,406,820 4,172,600 1,489,950 1,374,000 2,045,000 205,284,360
Held in future market 25,000 35,000 National Bank of Pakistan Pakistan Telecommunication Company Ltd. 112,486,995 3,687,500 1,352,400 210,324,260
11.1Cost of investments is Rs.280,351,184/- (2008 : Rs.275,212,079/-).
12.
CASH AND BANK BALANCES Cash in hand Cash at banks on: - Current accounts Local currency Foreign currency - PLS saving accounts - Term deposit accounts
Notes
2009 Rupees 145,355 11,350,810 32,861 71,443,606 82,972,632
2008 Rupees 127,028 186,386,137 25,390 62,257,348 10,053,507 258,849,410
12.1 & 12.2
12.1 This include Rs.51.25 million (2008 : Rs.26.25 million) in respect of margin against guarantee issued by a banking company to Excise and Taxation Department. 12.2 Effective mark-up rate in respect of saving accounts, range from 7.5 % to 12% (2008 : 3% and 7.75 %) per annum.
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
13.
ISSUED, SUBSCRIBED AND PAID UP CAPITAL 2008 2009

Ordinary shares of Rs. 10/-each fully paid 47,351,200 31,168,927 78,520,127 47,351,200 In cash 31,168,927 As bonus shares 78,520,127 473,512,000 311,689,270 785,201,270 473,512,000 311,689,270 785,201,270
Number of Shares
2009 Rupees
2008 Rupees
13.1 There were no movements in share capital during the reporting periods. 13.2 An associated undertaking, Siddiqsons Denim Mills Limited held 6,455,717 (2008 : 4,941,167) ordinary shares at the year end. 13.3 The company has one class of ordinary shares which carry no right to fixed income. The share holders are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company. All shares rank equally with regard to the Company's residual assets. 13.4 The company has no reserved shares under options and sales contracts. Notes 14. TRADE AND OTHER PAYABLES Creditors Foreign bills payable Accrued liabilities Advance from customers Employees Provident Fund Workers Profit Participation Fund Workers' Welfare Fund Withholding tax payable Unclaimed dividend Others 14.1 14.2 19,380,056 458,493,939 3,254,864 3,220,405 9,338,829 529,001 912,275 1,240,688 496,370,057 10,359,315 1,799,799 10,081,904 217,593 10,813,299 9,338,829 114,100 770,608 1,106,637 44,602,084 2009 Rupees 2008 Rupees
14.3
14.4
14.1 This includes Rs. 3,582,331/- (2008:Nil) payable to related parties including M/s. Siddiqsons Services (Private) Limited and Siddiqson Denim Mills Limited. Trade payables are non-interest bearing and are normally settled on 30-day terms. 14.2 This represents letters of credit against import of raw material and are due for payment with in 150 days. These are secured by way of hypothecation on fixed assets, stock in trade, stores and spares, trade debts and present and future current assets of the company.
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
Notes 14.3 Workers profit participation fund Balance as at July 01, Interest on funds utilized in the Companys business Payment made to the Fund during the year Allocation for the year Balance as at June 30, 14.3.1Interest on Fund is charged @ 16.5 % (2008: 13.14%) per annum. 14.3.1
2009 Rupees
2008 Rupees
10,813,299 449,715 11,263,014 (11,263,014) -
15,135,630 664,757 15,800,387 (14,761,394) 1,038,993 9,774,306 10,813,299
14.4 This include Rs. 876,176/- (2008: Nil) payable to Siddiq Sons Denim Mills Limited an associated company. 15. 16. It includes markup payable on borrowing from WPPF Rs. 8,830,484/- (2008:5,679,576/-) SHORT-TERM BORROWINGS Secured From banking companies Finances against imports Running finances under markup arrangements Book overdraft Unsecured From related party
16.2 16.3
752,966,349 545,708,075 1,298,674,424
667,037,354 443,740,601 4,763,384 5,600,000 1,121,141,339
16.1 The aggregate unavailed short term borrowing facilities amounts to Rs.332.26 million (2008 : Rs.2,949.23 million) as of the balance sheet date. 16.2 This represent facilities obtained from banking companies for the purpose of imports and are secured against hypothecation on fixed assets, stock in trade, stores and spares, trade debts, promissory notes and charge on present and future current assets of the company and import documents and are subject to mark-up based on LIBOR ranging between 3.82% to 7.77% (2008 : 4.22% to 7.75%) per annum payable on maturity. 16.3 Thses are secured against charge on fixed assets, stock, stores and spares, trade debts and present and future current assets of the company and are subject to the mark-up ranging between 13.37% to 17.18% (2008 : 10.03% to 10.64%) per annum payable on demand. 16.4 The company has borrowed from Worker's Profit Participation Fund (related party) for their working capital needs. Markup @ 13.14% (2008 : 13.14%) per annum is payable on demand.
S I D D I Q S O N S
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17.
CONTINGENCY AND COMMITMENT 17.1 Contingency Excise and tax department has levied Sindh Development and Infrastructure Fee and Duty on imports made by the Company, which are not acknowledged. The case is pending in the Sindh High Court. A bank gurantee has been issued for Rs. 90,000,000/- (2008: Rs. 75,000,000/-) as per the order of the High Court. Management is confident of favourable outcome. Notes 17.2 Commitment Letters of credit for raw material import 108,129,000 425,849,848 2009 Rupees 2008 Rupees
18.
SALES - NET Sales Local Tinplate Side cuts, end cuts, damaged cuts, etc. Export - Tinplate - Cannes 3,055,647,324 183,220,728 3,238,868,051 10,725,290 3,485,984 3,253,079,325 (24,500,479) (173,121,237) (415,517,483) (613,139,199) 2,639,940,126 2,818,542,219 103,883,972 2,922,426,191 2,922,426,191 (48,483,293) (103,362,927) (373,044,333) (524,890,553) 2,397,535,638
Less : Commission and discount Sales returns Sales tax
19.
COST OF GOODS SOLD Cost of goods manufactured Finished stocks Opening stock Purchase of finished goods Closing Stock 19.1 2,544,525,600 467,956,962 84,835,943 (684,791,847) (131,998,942) 2,412,526,658 2,481,679,264 2,109,058 8,915,040 (467,956,962) (456,932,864) 2,024,746,400
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
Note 19.1 Cost of good manufactured Raw materials Packing materials Salaries, wages and benefits Fuel and power Stores and spares Sorting, slitting and cutting Rent, rates and taxes Repair and maintenance Insurance Transportation Traveling and conveyance Printing and stationery Fees and subscription Communication Entertainment Depreciation Provision for slow moving stores Other manufacturing cost 19.1.1Raw material consumed Opening stock Purchase and purchase expenses Closing stock 19.1.1 19.1.2
2009 Rupees
2008 Rupees
3.2
2,333,731,328 13,771,618 50,847,466 72,170,552 14,010,032 6,368,305 2,289,600 1,429,272 2,676,060 959,246 2,527,438 477,548 149,712 466,521 129,400 38,953,406 303,179 3,264,917 2,544,525,600
2,296,937,599 10,717,910 45,770,001 65,677,854 5,021,537 3,422,744 56,400 4,484,429 2,746,697 527,797 2,382,201 703,871 111,040 326,878 70,580 40,840,757 1,880,969 2,481,679,264
383,232,760 2,795,132,662 3,178,365,422 (844,634,094) 2,333,731,328
53,912,212 2,626,258,147 2,680,170,359 (383,232,760) 2,296,937,599
19.1.2This includes employees retirement benefits of Rs. 1,076,621/- (2008 : Rs.990,002/-). 20. DISTRIBUTION COST Salaries and benefits Traveling Advertisement Sales promotion Rent, rates and taxes Others 20.1 8,801,494 1,839,547 999,995 974,101 1,162,240 3,585,230 17,362,607 7,472,234 941,253 907,090 1,141,124 542,717 2,078,875 13,083,293
20.1 This includes employees retirement benefits amounting to Rs. 357,970/- (2008 : Rs.358,926/-).
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
21.
ADMINISTRATIVE EXPENSES Salaries and benefits Repair and maintenance Insurance Rent, rates and taxes Traveling and conveyance Communication Printing and stationery Auditors remuneration Legal and professional Fees and subscription Entertainment Vehicles running and maintenance Balances written off - Advances Provision for doubtful Debts Provision for doubtful receivables Charity and donations Depreciation Others
Note 21.1
2009 Rupees 24,686,070 798,754 2,318,627 927,120 3,677,314 2,229,583 1,106,953 985,000 1,613,975 989,186 694,478 4,175,320 2,133,110 400,379 2,194,334 767,873 3,915,729 662,538 54,276,343
2008 Rupees 22,205,320 1,586,964 1,455,622 424,798 2,087,033 2,356,028 838,893 1,070,000 509,883 555,109 485,063 3,593,673 2,297,044 1,266,523 791,835 3,908,718 264,962 45,697,468
21.2
7.2 10.1 21.3 3.2
21.1 This includes employees retirement benefits of Rs.818,224/- (2008 : Rs.660,404/-). 21.2 Auditor's remuneration Annual audit Half yearly accounts review Review of complience of Code of Corporate governance CDC certification Tax and other services Out of pocket expenses 21.3 None of the director or his spouse has any interest in the donees' fund. 22. OTHER OPERATING EXPENSES Workers Profit Participation Fund Workers' Welfare Fund Exchange loss 23. FINANCE COST Interest / mark-up on: Short-term borrowings Workers profit participation fund Bank charges and commission 128,496,796 449,715 10,556,702 139,503,213
500,000 200,000 30,000 10,000 200,000 45,000 985,000
350,000 150,000 30,000 10,000 475,000 55,000 1,070,000
14.1
45,650,695 45,650,695
9,774,306 3,909,722 47,185,771 60,869,799
51,007,734 664,757 7,789,189 59,461,680
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
24.
OTHER OPERATING LOSS Income from financial assets Profit on bank deposits Dividend income Loss on remeasurement of investment at market value Gain on sale of investments Profit on investment in continuous funding system Income from assets other than financial assets Scrap sales Others Gain on sale of property plant and equipment
2009 Rupees
2008 Rupees
4,261,118 9,585,850 (102,976,381) -
16,762,073 518,850 (64,887,785) 33,630,290 722,580
7,471 336,697 (88,785,245)
215,379 65,000 433,945 (12,539,668)
25.
PROVISION FOR TAXATION Current for the year for the prior years 6,688,752 6,688,752 11,989,474 11,989,474
25.1 The income of the company is exempt from tax up to June 2009 under clause 126 of the Second Schedule to the Income Tax Ordinance, 2001.The relationship between tax expense and accounting profit has not been presented in these financial statements. The minimum tax under section 113 of the Income Tax Ordinance, 2001, has been abolish through Finance Act, 2008. Tax assessments of the company have been amended for the tax years 2003 and 2005 under section 122 of the Ordinance by the tax department. The company contested the levy of tax by department on the ground that the company is enjoying exemption under clause 126 of part 1 of 2nd Schedule to the ordinance so no minimum tax has been levied on the company. Appeals are pending for hearing before Sind High Court for the tax year 2003 and at ITAT for the tax year 2005. The company is confident that the outcome will be in favour of the company. However, as a matter of prudence provision has been made in the financial statements for tax under section 113 of the Ordinance. For the tax year 2008, the tax department amended the deemed assessment under section 122(5A) of the ordinance by levying tax liablility of Rs. 18,472,182/- on account of minimum tax, interest and dividend income etc. The company has filed an appeal before CIT (Appeal) which is pending for decision. However, as a matter of prudence, the company already provided Rs. 11, 989,474/last year and the balance amount of Rs. 6,482,706/- is being provided during the year as prior year tax in the financial statements. The management of the company is confident for a favourable outcome. 25.2 Deferred As the Company is entitled to tax exemption under clause 126 of the Second Schedule to the Income Tax Ordinance, 2001, no accelerated tax depreciation has been claimed and no other material timing difference has arisen.
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
26.
EARNINGS PER SHARE -Basic and diluted There is no dilutive effect of the basic earnings per share of the Company, which is computed as under: 2009 Rupees (Loss) / profit for the year (Rupees) Weighted average number of ordinary shares outstanding at the year end Earnings per share (Rupees) (124,853,387) 2008 Rupees 169,147,856
78,520,127 (1.59)
78,520,127 2.15
27.
TRANSACTIONS WITH RELATED PARTIES The related parties comprise associated undertakings, other related group companies, directors of the company, key management personnel and post employment benefit plans. The company in the normal course of business carries out transactions with various related parties. Amounts due from and to related parties and key management personnel, if any, are shown under receivables and payables. Remuneration of directors and key management personnel is disclosed in note 28. Other significant transactions with related parties are as follows: Relationship with the Company Associated company Nature of Transactions Purchase of goods and services Purchase of property, plant and equipment Reimbursable expenses paid Payment of dividend Key management personnel Short-term employee benefits Post-employment benefits Other related parties Short term borrowings obtained from WPPF Short term borrowings paid to WPPF Markup on borrowing from WPPF 2009 Rupees 105,707,949 7,596,755 14,111,880 709,244 117,000,000 122,600,000 10,952,651 2008 Rupees 59,732,808 1,000,000 870,764 6,698,048 14,228,658 529,884 5,600,000 5,679,576
S I D D I Q S O N S
T I N
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28.
REMUNERATION OF DIRECTORS AND EXECUTIVES

Chief Directors Executives Total Executive 2009 2008 ----------------------------------------------------------Rupees 000---------------------------------------------------------
Remuneration House rent Bonus Retirement benefits Vehicle running Utilities Number of persons 28.1 29.
1,200,000 480,000 120,000 1,800,000 1
2,000,000 800,000 125,000 125,000 416,684 200,000 3,666,684 2
4,673,948 1,869,579 520,307 584,244 1,186,055 520,307 9,354,440 7
7,873,948 3,149,579 645,307 709,244 1,602,739 840,307 14,821,124
8,312,159 3,324,864 506,669 529,884 1,253,750 831,216 14,758,542
In addition, the chief executive, directors and few executives are provided with free use of Company maintained cars
FINANCIAL RISK MANAGEMENT The Companys principal financial liabilities comprise borrowings, trade and other payables. The main purpose of these financial liabilities is to raise finance for the Companys operations. The Company has loan and advances, trade and other receivables, and cash and short-term deposits that arise directly from its operations. The company also holds investment held for trading . The Companys activities expose it to a variety of financial risks: market risk (including currency risk, interest rate risk and price risk), credit risk and liquidity risk. The Companys senior management oversees the management of these risks. The Board of Directors reviews these policies periodically. 29.1 Credit risk and concentration of credit risk The Company is exposed to credit risk from its operating activities (primarily for trade receivables, advances and loan) and from its financing activities, including deposits with banks. Credit risk represents the accounting loss that would be recognized at the reporting date if counter parties to the financial instruments fails to perform as contracted. Out of the total financial assets of Rs.618,657,581/(2008 : Rs.809,275,920/-), the financial assets which are subject to credit risk amounted to Rs.535,863,165/(2008 : Rs.550,426,510/-). The company believe that it is not exposed to major concentration of credit risk. The management monitors and limits the Company's exposure to credit risk through monitoring of clients credit exposure review and conservative estimates of provision for doubtful receivable. The management is of the view that it is not exposed to significant concentration of credit risk. 29.1.1Credit risk related to receivables Customer credit risk is managed by each business unit subject to the Companys established policy, procedures and control relating to customer credit risk management. Credit limits are established for all customers based on past experience with the customer. Outstanding customer receivables are regularly monitored and any shipments to major customers are generally covered by letters of credit. At June 30, 2009, the Company had approximately 8 customers (2008: 12 customers) that owed more than Rs. 10 million each and accounted for approximately 45% of all receivables. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets mentioned in Note 7. The Company does not hold collateral as security.
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29.1.2 Credit risk related to financial instruments and cash deposits Credit risk on balances with banks is managed by management in accordance with the Companys policy. Excess funds are placed in deposits with reputable banks and financial institutions. 29.2 Liquidity Risk Management
Liquidity risk reflects the companys inability in raising funds to meet commitments. Management closely monitors the companys liquidity and cash flow position. This includes maintenance of balance sheet liquidity ratios, debtors and creditors concentration both in terms of the overall funding mix and avoidance of undue reliance on large individual customer. The Company manages liquidity risk by maintaining adequate reserves and borrowing facilities, by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities. Included in note 16.1 is a listing of additional undrawn facilities that the Company has at its disposal to further reduce liquidity risk. 29.3 Market Risk Management
Market Risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices will affect the Company's income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters while optimising returns. 29.3.1 Interest Rate Risk Management Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Companys exposure to the risk of changes in market interest rates relates primarily to the Companys short term debt obligations having floating interest rates. 29.3.1.1 Interest Rate Sensitivity If interest rates had been 50 basis points higher and all other variables were held constant, the Companys loss for the year ended June 30, 2009 would increase by Rs. 22,795,807/- (2008: profit decrease by Rs. 16,005,987/-) . This is mainly attributable to the Companys exposure to interest rates on its variable rate borrowings. The Companys sensitivity to interest rates has increased during the current period mainly due to the increase in borrowings and variable rate debts. 29.3.2 Foreign exchange risk management Foreign currency risk arises mainly where receivables and payables exist due to transactions with foreign undertakings. As at June 30, 2009, the total foreign currency risk exposure was Rs. 3,492,494/- (2008: Nil) million in respect of foreign trade debts and an amount of Rs. 879,221,428/- in respect of foreign currency bills payable and foreign currency borrowing. In respect of other monetary assets and liabilities denominated in foreign currencies, the Company ensures that its net exposure is kept to an acceptable level by buying or selling foreign currencies at spot rates when necessary to address short-term imbalances.
S I D D I Q S O N S
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29.3.2.1Foreign Currency Sensitivity Analysis At June 30, 2009, if the Rupee had weakened by 5% against the US dollar with all other variables held constant, post-tax loss for the year would have been increase by Rs. 43,784,800/- (2008: Post tax profit would decrease by Rs.45,107,197/-) mainly as a result of foreign exchange gains on translation of US dollar-denominated trade receivables and foreign exchange losses on translation of US dollar-denominated bill payable. Profit is more sensitive to movement in Rupee/US dollar exchange rates in 2009 than 2008 because of the increased amount of US dollar-denominated borrowings. 29.3.3 Equity Price Risk Management The Company is exposed to equity price risks arising from equity investments. Equity investment are held for trading purpose. 29.4 Determination of fair values
Fair value of financial instruments Fair value is the amount for which an asset could be exchanged, or a liability settled, between knowledgeable willing parties in an arms length transaction other than in a forced or liquidation sale. The carrying values of all financial assets and liabilities reflected in the financial statements approximate their fair values. 30. CAPITAL DISCLOSURE The company's objectives, policies and processes for managing capital are as follows: The Company is not subject to any externally imposed capital requirements. The companys objectives when managing capital are to safeguard the companys ability to continue as a going concern in order to provide returns for shareholders and benifits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital. Consistently with others in the industry, the company monitors capital on the basis of the debtto-adjusted capital ratio. This ratio is calculated as net debt divided by adjusted capital. Net debt is calculated as total debt (as shown in the balance sheet) less cash and cash equivalents. Adjusted capital comprises all components of equity (i.e., share capital and unappropriated profit). During the current year, the company's strategy remain uncharged from last year, to maintain its debt-to-adjusted capital ratio to 31%. The debt-to-adjusted capital ratios at June 30, 2009 and June 30, 2008 were as follows: 2009 2008 Rupees Rupees Total debt Add: Cash and cash equivalents Net debt Total equity Adjusted capital Debt-to-adjusted capital ratio
752,966,349 462,735,443 1,215,701,792 1,431,303,404 2,647,005,196 0.28
677,400,738 189,654,575 867,055,313 1,673,936,981 2,220,939,015 0.31
S I D D I Q S O N S
T I N
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2009 31. PLANT CAPACITY AND ACTUAL PRODUCTION Tin Plate Installed capacity Actual production
(Metric Tons)
2008
120,000 36,810 2009
120,000 46,330 2008
(Number per annum)
Cannes Installed capacity of various sizes Actual production of various sizes
4,015,000 24,280
31.1 Under utilization of available capacity was due to lack of demand caused by dumping of tin plate from European Countries. 32. EVENT AFTER BALANCE SHEET DATE In respect of current year, the directors have proposed to pay final cash dividend of Rs. 78,520,127/(2008: Rs. 117,780,190/-) @ Rs. 1 (2008: Rs. 1.50) per ordinary share of Rs. 10/- each for approval of the shareholders at the forthcoming Annual General Meeting. Financial effect of the proposed dividend has not been taken in these financial statements and will be accounted for subsequently in the year of approval. 33. DATE OF AUTHORIZATION FOR ISSUE These financial statement have been approved and authorized for issue by the Board of Directors of the Company on 19 September 2009. 34. GENERAL Figures have been rounded off to the nearest Rupee.
DIRECTOR
S I D D I Q S O N S
T I N
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L I M I T E D
PATTERN OF HOLDING OF SHARESHELD BY THE SHAREHOLDERS

as at June 30, 2009
Share Holding
100 500 1000 5000 10000 15000 20000 25000 30000 35000 40000 45000 50000 55000 60000 65000 70000 75000 80000 85000 90000 95000 100000 105000 120000 135000 140000 155000 180000 185000 190000 265000 270000 360000 375000 420000 430000 500000 595000 620000 720000 1280000 1495000 1545000 1555000 1930000 3105000 3145000 3150000 3225000 6460000 7300000 8095000 10295000
No. of Shareholders
649 446 1364 924 178 65 33 29 9 9 6 4 11 6 5 1 2 1 2 1 2 1 2 2 1 2 1 1 1 1 2 1 2 1 2 4 3 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 1 1 3792
From
To
Total Shares Held

36994 182461 872168 2122229 1348871 805700 590696 676250 255332 305094 235500 166456 541936 322493 296456 63600 137889 70500 160000 83200 178150 92000 200000 209500 120000 269500 138000 153500 179000 184000 375000 264150 537400 359648 745390 1680000 1285554 500000 592565 619500 720000 1278158 1490788 1541825 1551000 1927389 3102887 3142888 3146387 3224672 6455717 14594590 8092515 10294629 78520127
Percentage %
.0471 .2323 1.1107 2.7027 1.7178 1.0261 .7522 .8612 .3251 .3885 .2999 .2119 .6901 .4107 .3775 .0809 .1756 .0897 .2037 .1059 .2268 .1171 .2547 .2668 .1528 .3432 .1757 .1954 .2279 .2343 .4775 .3364 .6844 .4580 .9492 2.1395 1.6372 .6367 .7546 .7889 .9169 1.6278 1.8986 1.9636 1.9752 2.4546 3.9517 4.0026 4.0071 4.1068 8.2217 18.5870 10.3062 13.1108 100.0000
1 101 501 1001 5001 10001 15001 20001 25001 30001 35001 40001 45001 50001 55001 60001 65001 70001 75001 80001 85001 90001 95001 100001 115001 130001 135001 150001 175001 180001 185001 260001 265001 355001 370001 415001 425001 495001 590001 615001 715001 1275001 1490001 1540001 1550001 1925001 3100001 3140001 3145001 3220001 6455001 7295001 8090001 10290001
S I D D I Q S O N S
T I N
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L I M I T E D
CATEGORIES OF SHAREHOLDERS AS AT JUNE 30, 2009

Shareholder Category Directors, CEO and their Spouse and minor Children Executives Associated Companies Bank, DFI & NBFI Modarabas & Mutual Fund General Public (Local) General Public (Foreign) Foreign Companies Other COMPANY IN TOTALITY Number of Shareholders 11 3 1 3 6 3,698 11 3 56 3,792 Number of Shares Held 42,560,190 38,014 6,455,717 78,900 196,050 25,159,508 1,637,724 252,437 2,141,587 78,520,127 Percentage 54.20 0.05 8.22 0.10 0.25 32.04 2.09 0.32 2.73 100.00
S I D D I Q S O N S
T I N
P L A T E
L I M I T E D
INFORMATION AS REQUIRED UNDER THE CODE OF CORPORATE GOVERNANCE

As at June 30, 2009
Shareholders Category Associated Companies, Undertaking and Related Parties Siddiqsons Denim Mills Limited NIT and ICP Directors, CEO and their spouse and minor children Mr. Tariq Rafi (CEO) Mr. Abdullah Rafi (Chairman) Mr. S.Waliullah Shah Mr. Sanaullah Abdullah Mr. Ibrahim Shamsi Mr. Saturo Oki Mr. Jean Pierre Gugenheim Mrs. Naheed Abdullah W/o. Mr. Abdullah Rafi Mrs. Nighat Tariq W/o. Mr. Tariq Rafi Mrs. Rahma Ibrahim W/o. Mr. Ibrahim Shamsi Executives Public sector Companies and Corporations Banks, DFIs, NBFIs, Insurance Companies, Modaraba & Mutual Fund Shareholders holding ten percent or more Mr. Tariq Rafi (CEO) Mr. Abdullah Rafi (Chairman) Trading in share by Directors, CEO, CFO & Company Secretary Mr. Abdullah Rafi Mr. Ibrahim Shamsi 10,294,629 8,092,515 Share Purchase 12,000 279,000 13.11 10.31 Share Sold 119,000 10,294,629 8,092,515 65,756 372,695 1,278,158 7,297,295 7,297,295 1,490,788 3,146,387 3,224,672 38,014 NIL 274,050 0.35 13.11 10.31 0.08 0.47 1.63 9.29 9.29 1.90 4.01 4.11 0.05 Number of Shares held 6,455,717 NIL
Percentage 8.22
PROXY FORM
14th Annual General Meeting
I/We ____________________________________________________________________________________ of ____________________________________________________________________ being a member of SIDDIQSONS TIN PLATE LIMITED (the Company)__________________________________holding __________________________________ ordinary shares, hereby appoint(s)________________________________ Mr. / Mrs. / Miss. ________________________________________________________________________ of ________________________________________________ who is also a member of the Company, to be my/our proxy and to vote for me/us at the 14th Annual General Meeting of the Company to be held on Monday, October 26, 2009 at 8:30 a.m. and at any adjournment thereof. Signed this ______________________________ day of _________________, 2009
Folio No. _________________________ CDC A/c No _______________________ Sub A/c. No. _______________________ No. of Shares held ___________________ Member's Signature (Signature should agree with the specimen signature registered with the Company) Witness 2 Signature _____________________________ Name ________________________________ CNIC No/Passport No. ___________________ Address ______________________________ _____________________________________
Witness 1 Signature _____________________________ Name ________________________________ CNIC No/Passport No. ___________________ Address ______________________________ _____________________________________
Notes: 1.
A member entitled to attend and vote at the Annual General Meeting may appoint another member as his/her proxy to attend, speak and vote instead of him/her. A corporation being a member may appoint as its proxy any of its official of any other person whether a member of the Company or otherwise. An instrument of proxy and a Power of Attorney or other authorized (if any) under which it is signed, or notarized copy of such Power of Attorney must be valid and deposited at the Share Registrar of the Company M/s. THK Associates (Private) Limited, Ground Floor, State Life Building # 3, Dr. Ziauddin Ahmed Road, Karachi-75530 not less than 48 hours before the time of the Meeting. In case of proxy for an individual beneficial owner of CDC, attested copy of beneficial owner's National Identity Card, Account and Participant's ID numbers must be deposited alongwith the form of proxy with the Share Registrar. The proxy must produce his/her original identity card at the time of Meeting. In case of proxy for corporate members, he/she should bring the usual documents required for such purpose.
2.
3.

Siddiqsons Annual 2009 Final

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S I D D I Q S O N S

Annual Report 2009

04 Annual Report 2009

Notice of the 14th Annual General Meeting

05 Annual Report 2009

sIX YEARS AT A GLANCE

06 Annual Report 2009

DIRECTORS REPORT TO THE SHAREHOLDERS

2009 % of Sales 100 8.61 4.48 4.73 Rupees

2008 % of Sales 100 15.55 7.55 7.06

2,639 227 (118) (125) (1.59)

2,398 373 181 169 2.15

07 Annual Report 2009

Mr. Abdullah Rafi (Chairman) Mr. Ibrahim Shamsi (Director)

ABDULLAH RAFI Chairman Karachi, September 19, 2009

10 Annual Report 2009

STATEMENT OF ETHICS AND BUSINESS PRACTICES

11 Annual Report 2009

STATEMENT OF COMPLIANCE WITH THE CODE OF CORPORATE GOVERNANCE

12 Annual Report 2009

11. 12. 13. 14. 15. 16. 17.

Karachi: 19 September, 2009

Chief Executive Officer

13 Annual Report 2009

AUDITORS' REPORT TO THE MEMBERS

Chartered Accountants Karachi Dated: 19 September, 2009

AS AT JUNE 30, 2009

FOR THE YEAR ENDED JUNE 30, 2009

PROFIT & LOSS ACCOUNT

(17,362,607) (54,276,343) (45,650,695) (139,503,213) (88,785,245)

(13,083,293) (45,697,468) (60,869,799) (59,461,680) (12,539,668)

(118,164,635) (6,688,752) (124,853,387) (1.59)

181,137,330 (11,989,474) 169,147,856 2.15

The annexed notes form an integral part of these financial statements

CHIEF EXECUTIVE OFFICER

17 Annual Report 2009

CASH FLOW STATEMENT

FOR THE YEAR ENDED JUNE 30, 2009

CHIEF EXECUTIVE OFFICER

FOR THE YEAR ENDED JUNE 30, 2009

STATEMENT OF CHANGES IN EQUITY

The annexed notes form an integral part of these financial statements

CHIEF EXECUTIVE OFFICER

19 Annual Report 2009

NOTES TO FINANCIAL STATEMENTS

25 Annual Report 2009

Operating fixed assets

Buildings on leasehold land

Plant and machinery

Power and other installations

Data processing equipment

26 Annual Report 2009

Furniture and fixtures

For comparative period

Buildings on leasehold land

Plant and machinery

Power and other installations

Data processing equipment

27 Annual Report 2009

Furniture and fixtures

4,801,540 29,505,155 12,456,158 (2,123,050)

Allocation of depreciation Cost of goods sold Administration expenses 3.3

2009 Rupees 38,953,406 3,915,729 42,869,135