09:03 SINOTRANS<00598> - Results Announcement Sinotrans Limited announced on 22/03/2005: (stock code: 00598 ) Year end date: 31/12/2004 Currency: RMB Auditors' Report: Unqualified (Audited ) (Audited ) Last Current Corresponding Period Period from 01/01/2004 from 01/01/2003 to 31/12/2004 to 31/12/2003 Note ('000 ) ('000 ) Turnover : 21,879,831 17,373,888 Profit/(Loss) from Operations : 1,237,191 1,118,718 Finance income, net : 68,283 72,451 Share of Profit/(Loss) of Associates : 13,960 9,637 Share of Profit/(Loss) of Jointly Controlled Entities : N/A N/A Profit/(Loss) after Tax & MI : 802,819 705,022 % Change over Last Period : +13.87 % EPS/(LPS)-Basic (in dollars) : 0.19 0.17 -Diluted (in dollars) : 0.19 0.17 Extraordinary (ETD) Gain/(Loss) : N/A N/A Profit/(Loss) after ETD Items : 802,819 705,022 Final Dividend : RMB0.034 RMB0.030 per Share (Specify if with other : N/A N/A options) B/C Dates for Final Dividend : 05/05/2005 to 03/06/2005 bdi. Payable Date : 30/06/2005 B/C Dates for Annual General Meeting : 05/05/2005 to 03/06/2005 bdi. Other Distribution for : N/A Current Period B/C Dates for Other Distribution : N/A Remarks: 1. Turnover Turnover recognised for the years comprised: For the year ended 31 December 2004 2003 (RMB'000) (RMB'000) Freight forwarding 15,706,852 12,300,129 Shipping agency 504,761 417,415 Express service 2,197,715 1,760,031 Marine transportation 3,056,333 2,781,441 Storage and terminal services 653,944 533,470 Other 151,100 143,054 Less: inter-segment elimination (390,874) (561,652) Total turnover 21,879,831 17,373,888 ========== ========== 2. Earnings per share Basic and diluted earnings per share for the years ended 31 December 2004 and 2003 have been computed by dividing the profit for the years by 4,249 ,002,200 shares and 4,049,057,340 shares, respectively, being the weighted average number of ordinary shares in issue for the years. As there are no potentially dilutive securities, there is no difference between basic and diluted earnings per share. 3. Discontinuing operation A distinguishable component of the Group's express services business has been conducted by the Group through an agreement for international express package delivery services with UPS World Forwarding Inc. ("UPS") and its affiliates, as well as the operation of a jointly controlled entity with UPS (collectively referred to as "UPS Express Business"). On 1 December 2004, the Group entered a framework agreement with UPS to transfer the UPS Express Business to UPS over a period until 31 December 2007 for a base consideration of US$100,000,000, subject to certain adjustments depending primarily on the achievement of certain revenue targets of the UPS Express Business. The base consideration covers the transfer of the following: - Agreement by the Group not to permit or cause the customers of UPS Express Business to terminate or materially reduce its business with UPS, as well as other locations of UPS Express Business operated by the Group for a period until 31 December 2007; - Transfer of customer lists and the Group's interest in the jointly controlled entity with UPS to UPS; - Provision by the Group of customer data transition, regulatory assistance, non-solicitation of employees and employment services to facilitate the transition of the UPS Express Business to UPS; - Transfer of locations and other assets and rights related to the UPS Express Business to UPS The base consideration is to be paid by three installments of US$40,000, 000, US$10,000,000 and US$50,000,000 respectively with the final payment due on 31 December 2006, subject to certain closing conditions and adjustments as described above. For more details, please refer to the press announcement today.