Fan Milk Limited Annual Report 2009

FAN MILK LIMITED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2009 FAN MILK LIMITED Year finished December 31, 2009 Contents Corporate data Pages 1 Report of the chiefs 2-3 Corporate administration 4-5 Report of the autonomous examiner 6-7 Financial articulations: I. Explanation of thorough pay 8 ii. Explanation of money related position 9 iii. Proclamation of changes in value 10 iv. Explanation of incomes 11 v. Notes 12 †30 0 FAN MILK LIMITED Year finished December 31, 2009 CORPORATE INFORMATION Directors Charles Mensa (Dr. ) Jesper Bjorn Jeppesen Kodjo Biamawu Aziagbe Einar Mark Christensen Jens Jorgen Kollerup George H.Okai Thompson Peace Ayisi-Okyere Lennap and Co. P. O. Box 37 Accra PricewaterhouseCoopers Chartered Accountants No. 12 Airport City Una Home, third Floor PMB CT 42 Cantonments Accra No. 1 Dadeban Road North Industrial Area P. O. Box 6460 Accra-North Quist, Brown, Wontumi and Associates P. O. Box 7566 Accra National Trust Holding Company Limited Martco H ouse P. O. Box 9563 Airport, Accra Barclays Bank of Ghana Limited Ecobank Ghana Limited SG-SSB Bank Limited Prudential Bank Limited Agricultural Development Bank Limited Ghana Commercial Bank Limited Standard Chartered Bank Ghana Limited (Chairman) (Managing Director)Secretary Auditor Registered Office Solicitor Registrar and Transfer Office Bankers 1 FAN MILK LIMITED Year finished December 31, 2009 REPORT OF THE DIRECTORS The executives present their report along with the inspected budget summaries of Fan Milk Limited for the year finished December 31, 2009. Proclamation of directors’ obligations The chiefs are answerable for the readiness of budget summaries for each budgetary year which give a valid and reasonable perspective on the situation of the organization and of the benefit or misfortune and incomes for that period.In setting up these fiscal reports, the executives have chosen appropriate bookkeeping approaches and afterward applied them reliably, made decisions and appraisals that are sensible and judicious and kept International Financial Reporting Standards (IFRS). The chiefs are answerable for guaranteeing that the organization keeps appropriate bookkeeping records that uncover with sensible precision whenever the budgetary situation of the organization. The chiefs are additionally answerable for protecting the benefits of the organization and making sensible strides for the avoidance and discovery of extortion and other irregularities.Principal movement The foremost action of the organization is the assembling and appropriation of dairy items and natural product drinks. Monetary outcomes The money related consequences of the organization are set out beneath: 2009 GH? ‘000 Profit before charge for the year is from which is deducted assessment of giving a benefit after expense for the time of to which is included equalization presented held income of from which is deducted endorsed profit of giving a parity conveyed forward on held pr ofit of 20,175 (5,019) 15,156 15,410 (1,484) 29,082 The company’s total assets expanded from GH? 1. 4 million as at January 1, 2009 to GH? 35. 1 million at December 31, 2009. 2 FAN MILK LIMITED Year finished December 31, 2009 REPORT OF THE DIRECTORS (proceeded) Dividends The chiefs suggest a profit of GH? 0. 10 for each offer (2008: GH? 0. 0750 for each offer) in regard of the year finished December 31, 2009. Examiner The evaluator, PricewaterhouseCoopers, has communicated eagerness to proceed in office as per Section 134 (5) of the Companies Code, 1963 (Act 179). BY ORDER OF THE BOARD: Name of Director:†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Name of Director:†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Signature:†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Date:†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Signature:†¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Date:†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3 FAN MILK LIMITED Year finished December 31, 2009 CORPORATE GOVERNANCE Introduction Fan Milk Limited is focused on the standards and usage of good corporate administration. The Company perceives the important commitment that it makes to long haul business thriving and to guaranteeing responsibility to its investors. The Company is overseen in a manner that boosts long haul investor worth and considers the premiums of the entirety of its stakeholders.Fan Milk Limited accepts that complete honesty and straightforwardness in its tasks are in light of a legitimate concern for good administration. As showed in the announcement of obligations of chiefs and notes to the records, the business embraces standard bookkeeping rehearses and guarantees sound inner control to encourage the unwavering qual ity of the fiscal summaries. The Board of Directors The Board is answerable for setting the Company's key course, for driving and controlling the Company and for observing exercises of official administration. The Board presents a reasonable and justifiable evaluation of the Company's advancement and prospects.The Board comprises of the Chairman, five non-official chiefs and an official executive (the overseeing chief). The non-official executives are autonomous of the board and liberated from any limitations, which could physically meddle with the activity of their free judgment. They have understanding and information on the business, markets, money related and additionally different business data to make a significant commitment to the Company's advancement. The overseeing chief is a different individual from the Chairman and he actualizes the administration techniques and approaches received by the Board.They meet in any event four times each year. The Audit Committee The Audit Committee is comprised of four chiefs of whom three are non-official executives and they meet two times every year. The primary Board decides its terms of reference and they report back to the Board. Its obligations incorporate holding under survey the degree and consequences of the outer review, just as the autonomy and objectivity of the reviewer. The Audit Committee likewise holds under survey inside money related controls, consistence with laws and guidelines and the defending of assets.It additionally surveys the ampleness of the arrangement of the inward review and surveys its review reports. 4 FAN MILK LIMITED Year finished December 31, 2009 CORPORATE GOVERNANCE (proceeded) Systems of Internal Control Fan Milk Limited has entrenched interior control frameworks for distinguishing, overseeing and observing dangers. These are intended to give sensible confirmation that the dangers confronting the business are being controlled. The corporate inside review capacity of the Company assumes a key job in giving a target see and proceeding with appraisal of the adequacy of the interior control frameworks in the business.The frameworks of inward control are executed and checked by suitably prepared work force and their obligations and revealing lines are plainly characterized. Code of Business Ethics Management has conveyed the standards in the Company’s Code of Conduct to its workers in the release of their obligations. This code sets the demonstrable skill and honesty required for business activities which covers consistence with the law, irreconcilable circumstances, ecological issues, unwavering quality of budgetary revealing, pay off and severe adherence to the standards in order to wipe out the potential for unlawful practices. REPORT OF THE INDEPENDENT AUDITOR TO THE MEMBERS OF FAN MILK LIMITED REPORT ON THE FINANCIAL STATEMENTS We have examined the going with fiscal summaries of Fan Milk Limited set out on pages 8 to 30. These budget reports include the announcement of money related situation at December 31, 2009, and the announcement of complete salary, articulation of changes in value and proclamation of incomes for the year at that point finished, and a synopsis of critical bookkeeping arrangements and other illustrative notes.Directors’ duty regarding the fiscal summaries The executives are answerable for the readiness and reasonable introduction of these fiscal reports as per International Financial Reporting Standards and with the prerequisites of the Companies Code, 1963 (Act 179). This obligation incorporates: planning, actualizing and keeping up inside control pertinent to the arrangement and reasonable introduction of budget summaries that are liberated from material misquote, regardless of whether because of misrepresentation or blunder; choosing and applying suitable bookkeeping strategies; and making bookkeeping gauges that are sensible in the circumstances.Auditor’s duty Our duty is to communicate a conclusion on the fiscal reports dependent on our review. We directed our review as per International Standards on Auditing. Those principles necessitate that we consent to moral prerequisites and design and play out our review to acquire sensible confirmation that the budget reports are liberated from material misquote. A review includes performing methods to get review proof about the sums and revelations in the money related statements.The strategies chose rely upon the auditor’s judgment, including the appraisal of the dangers of material misquote of the budget reports, regardless of whether because of misrepresentation or mistake. In making those hazard appraisals, the reviewer considers interior control applicable to the entity’s readiness and reasonable introduction of the fiscal summaries so as to configuration review methods that are proper in the conditions, yet not to communicate a feeling on the adequacy of the company’s inward control.An review add itionally incorporates assessing the suitability of bookkeeping approaches utilized and the sensibility of bookkeeping gauges made by the chiefs, also