AUDITED FINANCIAL STATEMENTS

LUCKY ONE(PRIVATE) LIMITED

AS ATJUNE 30, 2015

",.~

RAHMAN SARFARAZ RAHIM IQBAL RAFIQCHARTERED ACCOUNTANTS

"

Ra huia n Sa rfa L1 z R2 h! [11 Iq b ~1IRa flqCHARTERED ACCOUNTANTS

Plot No. 180. Block-A, S.Iv1.C.H.S.Karachi-74400, PAKISTAN.Tel. No. :(021) 34549345-9Fax No.: (02;) 34548210E-~\/:8i! : i~fc@rsrl!".comWebsite: www.rsrir.cornOrner Offices atLahore - isiamabad

AUDITORS' REPORT TO THE rViErViBERS

We have audited the annexed balancesheet of Lucky One (Private) Limited ("the Company") ~s at30 June 2015 and the related profit and loss account, statement of comprehensive income, cashflow statement and statement of changes in equity together with the notes forming part thereof, forthe 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 necessaryfor the purposes of our audit.

It is the responsibility of the Company'smanagement to establish and maintain a system of internalcontrol, and prepare and present the above said statements in conformity with the approvedaccounting standards and the requirementsof the Companies Ordinance, 1984. Our responsibility isto express an opinion on these statementsbased on our audit.

We conducted our audit in accordancewith the auditing standards as applicable in Pakistan. Thesestandards require that we plan and perform the audit to obtain reasonable assurance about whetherthe above said statements are free of any material misstatement. An audit includes examining, on atest basis, evidence supporting the amounts and disclosures in the above said statements. An auditalso includes assessing the accountingpolicies and significant estimates made by management, aswell as, evaluating the overall presentationof the above said statements. We believe that our auditprovidesa reasonable basis for our opinion and, after due verification, we report that:

(a) in our opinion, proper books of accounts have been kept by the Company as required by theCompanies Ordinance, 1984:

(b) in our opinion:

(i) the balance sheet and profit and loss account together with the notes thereon have beendrawn up in conformitywith the Companies Ordinance, 1984, and are in agreementwiththe books of accounts and are further in accordance with accounting policiesconsistently applied;

(ii) the expenditure incurred during the year was for the purpose of the Company'sbusiness; and

(iii) the business conducted, investmentsmade and the expenditure incurred during the yearwere in accordance with the objects of the Company;

(c) 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, statement of comprehensive income, casf flowstatement and statement of changes in equity together with the notes forming part thereofconform with approved ~ccounti.ngstandards ~s applicable in Pakist~n and give the .inforr1}~tionrequired by the Companies Ordinance, 1984, In the manner so required and respectively give atrue and fair view of the state of the Company's affairs as at 30 June 2015 and of the profit'j totalcomprehensive income, cash flows and changes in equity for the year then ended; and

(d) in our opinion, no zakat was deductibleat source under the Zakat and Ushr Ordinance, 1980.

t1~ ~,W f'f::;-t\ Rahman Sarfaraz Rahim Iqbal Rafiq

Chartered AccountantsEngagement Partner: Muhammad Rafiq DossaniA member of

Russet! Bedford tnternationalA global netwrok of independent accountancy firms.business consultanrs and speciuhst l~g,,1 advisers.

, .

Lucky One (Privata] LimitedBalance Sheet .As at June 30, 2015

2015 2014Note Rupees---_

653,070 590,284

9,720,127 6,892,5459,814,592 4,032,1961,892,471 2,173,366

22,080,260 13,688,391

ASSETS

Non-Current AssetsLong term Investments 4

Current AssetsSupervision fees receivableAdvance taxCash and bank balances

56

EQUITYAND LIABILITIES

SHARE CAPITAL AND RESERVES

Authorized share capital of 5,000,000 (2014: 5,000,000)Ordinary share of Rs. 100/==each 500,000,000

3,000

884,397

160,8841,048,281

7 1,237,2148 19,794,765

21,031,9799

22,080,260

Issued, subscribed and paid up capital30 ordinary shares of Rs. 100 each fully paid in cash

Unappropriated profit

Unrealized appreciation on re-measurement ofinvestments classified as 'available for sale'

Current LiabilitiesTrade and other payablesProject accounts

Contingencies and commitments

The annexed notes from 1 to 15 form.an integral part of these financial statements.

DIRE

500,000,000

3,000

686,381

98,098787,479

13,688,391

2015 2014Note Rupees

Revenue 10 2,827,582 4,174,047

Operating expenses:Administrative expenses 11 (4,323,177) (5,794,989)

IOperating loss (1,495,595) (1,620,942)

Finance cost (101,329) (97,237)

Other income 12 1,892,470 2,173,3661,791,141 2,076,129

Profit before taxation 295,546 455,187

Taxation- Current tax (97'~30)1 (154,764)

- Prior year (110,338)(97,530) (265,102)

Profit after taxation 198,016 190,086

Lucky One (Private) ~imitedvr". • y,""",-, J ... , ....... '"

Profit and Loss AccountFor the year ended June 30, 2015

The annexed notes from 1 to 15 form an integral part of these financial statements.

· '.Lucky One (Private) LimitedStatement of Comprehensive Incomefor the year ended June 30, 2015

Profit after taxation

Other comprehensive income:-Unrealized appreciation during the year on re-measurement of

investments classified as 'available for sale'

Total comprehensive income for the year

2015---- Rupees ----

2014

198,016

62,786

190,086

42,034

260,802 232,120

IThe annexed notes from 1 to 15 form an integral part of these financial statements.

Lucky One (Private) L!mftedStatement of Changes in EquityFOithe year ended June 30, 2015

I

Share Capital UnappropriatedProfit

Total

Balance as at July 01, 2013 3,000 496,295

Total comprehensive incomefor the year

Profit after taxationOther comprehensive income

190,086 190,086142,034

Unrealizedappreciation during

the year on re­measurement of

investmentsclassified as

'available for sale'Rupees

56,064

42,034

555,359

190,086 42,034 232,120

787-,479Balance as at June 30, 2014 3,000 686,381

Total comprehensive incomefor the year

Profit after taxationOther comprehensive income

98,098

198,016 198,016162,78662,786

198,016 62,786 260,802

1,048,281Balance as at June 30, 2015 3,000 884,397 160,884

The annexed notes from 1 to 15 form an integral part of these financial statements.

Lucky One (Private) LlmitedStatement of Cash FlowsFor the year ended June 30, 2015

2015 2014---- Rupees ----

CASH FLOWS FROM OPERATING ACTIVITIES

Profit before taxation 295,546 455,187

Adjustments for non-cash charges and other items:Finance cost 101,329 97,237

396,875 552,424

(2,827,581 ) (4,174,048)(51,547 498,215

(2,879,128) (3,675,833)

(2,482,253) (3,123,409)

(5,937,159) (1,030,825)

(8,419,412) (4,154,234)

Changes in working capital:Increase in supervision fees receivable(Decrease) / Increase in trade and others payable

Cashflows used in operations

Taxes paid

Netcashflows used in operating activities

CASH FLOWS FROM INVESTING ACTIVITIESLong term investment

CASH FLOWS FROM FINANCING ACTIVITIESProject accountsFinance cost paid

8,239,847 5,298,245(101,329) '97,237)8,138,518 5,201,008(280,894) 1,046,773

2,173,365 1,126,592

1,892,471 2,173,365

Net (decrease) / increase in cash and cash equivalents

Cash and cash equivalents at the beginning of the year

Cash and cash equivalents at the end of the year

The annexed notes from 1 to 15 form an integral part of these financial statements.

Lucky One' (Private) LimitedNotes to the financial statementFor the year ended June 30, 2015

1. STATUS AND NATURE OF BUSINESS

1.1 Lucky One (Private) Limited is a company incorporated in Pakistan under the Companies Ordinance1984. It wasIncorporated on 24 February 201O.Thecompany's registered office is located at LA-2/B Block 21 Rashid Minhasroad Federal "B" Area Karachi Pakistan. The principal activity of the company is to engage in activities ofsupervising building, constructing, managing ,project management and promoting real estate for and on behalfof group companies i.e. Lucky Landmark (Private) Limited and Lucky Textile Mills Limited and to carry on similarwork for other customers. The company is a subsidiary of YB Holdings (Private) Limited.

1.2 The company is currently engaged under an agreement with Lucky Landmark (Private) Limited and Lucky TextileMills Limited (its associatesj.for the supervision of activities related to construction of mega mall and luxuriousresidential apartments(the project) on their commercialized land situated adjacent to each other owned by thesaid associated companies. Under the terms of agreement, funds for meeting the requirements of the projectare provided by the associated companies, and all payments related to the construction of the project are madeby the company for and on, their behalf. The Company has for this purpose also entered into an agreementwith a construction company that has been given the task of construction of the project till its completion underits supervision.

1.3 Scheme of Arrangement - Demerger of Real Estate Undertaking from Fazal Textile Mills Limited and itsMerger with Lucky Landmark (Pvt) LtdA Petition No. 41 of 2014 has been filed with the High Court of Sindh at Karachi for De-merger of Real EstateUndertaking (The Lucky One Project) owned by Fazal Textile Mills Ltd and then its merger with Lucky Landmark(Pvt) Ltd under a Scheme of Arrangement in December 2014. The said Scheme is sanctioned by the Courtthrough its order dated June 4, 2015 and pursuant to this sanction the Real Estate Undertaking has Jeen takenover by Lucky Landmark (Pvt) Ltd from Fazal Textile Mills Ltd. I

2. BASIS OF PREPARATION

2.1 Statement of compliance

These financial statements have been prepared in accordance with the Accounting and Financial reportingstandards for Small Sized Entities as applicable in Pakistan and the requirements of the Companies Ordinance,1984. In case requirements differ, the provisions or directives of the Companies Ordinance, 1984 shall prevail.

2.2 Basis of measurement

These financial statements have been prepared under the historical cost convention except as other wise statedin the respective policies and notes given hereunder.

2.3 Functional and presentation currency

Items include in the financial statements are measured using the currency of the primary economic environmentin which the company operates. The financial statements are presented in Pakistani Rupees, which is theCompany's functional and presentation currency.

2.4 Use of Estimates and Judgments

The preparation of financial statements in conformity with the Accounting and Financial Reporting staodaros forSmall-Sized Entities issued by the Institute of Chartered Accountants of Pakistan requires management to makejudgments, estimates and assumptions that affect the application of policies and reported amounts of assets andliabilities, income and expenses.

The estimates and associated assumptions are based on historical experience and various other factors that arebelieved to be reasonable under the circumstances, the results of which form the basis of making the judgmentsabout carrying values of assets and iiabiiitiE:sthai are not readlly apparent from other o,0uiCE:S.Actual \E:su:tsmaydiffer from these estimates.

The estimates and underlying assumptions are r~viewed on an ongoing basis. Revisi'ons to accounting estimates'are recognized in the period in which the estimates are revised if the revision affects only that period, or in theperiod of the revision and future periods if the revision affects both current and future periods.

Judgments made by management in the application of approved Accounting Standards, as applicable inPakistan, that have significant effect on the financial statements and estimates with a significant risk of materialjudgment in the future periods are as mentioned in accounting policies.

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The significant accounting policies adopted in the preparation of these financial statements are set out below.These policies have been consistently applied to all the years presented.

3.1 Share Capital

Ordinary shares are classified as equity and recognized at their face value. Incremental costs directly attributableto the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

3.2 Borrowings

Borrowings are recognized initially at fair value, net of transaction costs incurred. Borrowings are subsequentlycarried at amortized cost; any difference between the proceeds (net of transaction costs) and the redemptionvalue is recognized in the profit and loss account over the period of the borrowings using the effective interestrate method.

Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlementof the liability for at least 12 months after the balance sheet date.

3.3 Staff Retirement benefits

The Company is operating a contributory provident fund scheme. The scheme is applicable to all permanentemployees of the Company. Monthly contributions are made by the Company and employees @ 8.33% permonth of the basic salary.

From June 2014 the company has stopped Contributing in Provident fund and the Fund has eventually beenclosed,. all employees contributions till that date have been paid back to employees. Now from that date theCompany Started Gratuity Scheme in place of Provident Fund. Actuarial Valuation have been performed byActuaries to know the Cost till June 30, 2014, as a result of which Gratuity Cost is Recognised in Books till June30, 2014 as Past Service Cost. Since Next Valuation is Not Yet Carried, Therefore Current Service Cost for thePeriod from July 2014 to June 2015 is not Yet Booked.

3.4 Provisions

Provisions are recognized when the Company has a present legal or constructive obligation as a result of pastevents, it is probable that an out flow of resources embodying economic benefits will be required to settle theobligation and a reliable estimate can be made of the amount of obligation.

3.5 Taxation

Income tax expense comprises current and deferred tax. Income tax expense is recognized in the profit and lossaccount, except to the extent that it relates to items recognized directly in comprehensive income or below equity,in which case it is recognized in comprehensive income or below equity respectively.

Current tax

Provision for current taxation is based on taxable income at the current tax rates of taxation after taking intoaccount tax credit and rebates available, if any. The charge for the current tax also includes adjustments wherenecessary, relating to prior years which arise from assessment framedlfinalized during the year.

IDeferred tex

Deferred income tax is recognized using the balance sheet liability method on all temporary differenc;es arisingbetween the carrying amount of assets and liabilities in the financial statements and the corresponding tax basesused in the computation of taxable profit. Deferred tax liabilities are recognized for all taxable temporarydifferences. A deferred tax assets are recognized only to the extent that it is probable that future taxable profitswill be available against which deductible temporary differences can be utilized. Deferred tax is calculated at therates that are expected to apply to the period when the differences reverse based on the tax rates that have beenenacted substantively enacted by the reporting date. Deferred tax is charged or credited to income except in thecase of items credited or charged to equity in which case it is included in equity. Deferred tax assets arereviewed at each reporting date and are reduced to the extent that it is no longer probable that the related taxbenefit will be realized.

3.6 Property, plant and equipment

Property, plant and equipment are stated at cost less accumulated depreciation and accumulated impairrnentlosses except freehold land and capital work in progress, which are stated at cost. Cost comprises acquisitionand other directly attributable costs.

Exchange differences in respect of foreign currency transactions relating to fixed assets are incorporated in thecost of relevant assets.

Capital work - in - progress which is stated at cost less accumulated impairment losses (if any). All expendituresconnected to the specific assets incurred during installation and construction period are carried under capitalwork - in - progress. These are transferred to specified assets as and when assets are available for use.

Subsequent costs are included in the asset's carrying amounts or recognized as a separate assets, asappropriate, only when it is probable that future benefits associated with the items will flow to the Group and thecost of the item can be measured reliably.

An assets carrying amount is written down immediately to its recoverable amount if the carrying amount isgreater than the recoverable amount.

Depreciation is.charged to income on all property, plant and equipment using straight line method. Depreciationon additions to property, plant and equipment is charged from the month in which an item is put to use while nodepreciation is charged for the month in which the item is derecognized /disposed off.

Gains and losses on disposal of fixed assets are included in income currently.

Maintenance and repairs are charged to profit and loss account as and when incurred. Major renewals andimprovements are capitalized and the assets so replaced, if any, are written off. Gains and losses on disposal ofassets, if any, are included in profit and loss account currently.

3.7 Stores, spares & loose tools

Stores, spares and loose tools are valued at weighted average cost except for items in transit which are stated atcost incurred up to the.balance sheet date. Obsolete and used items are recorded at nil value. Value of items isreviewed at each balance sheet date to record provision for any slow moving items.

3.8 Inventory work in process

Inventory in process comprising of construction material are stated at cost except for stock in transit which isvalued at invoice price and related expenses incurred upto the balance sheet date. Cost includes applicablepurchase cost and proportionate conversion cost. Cost is determined using weighted average method.

3.9 Advances, deposits and other receivables

Trade debts and other receivables are stated at original invoice amount less provision for doubtful debts, if any.Provision for doubtful debts/receivables is based on the management's assessment of customer's outstandingbalances and creditworthiness. Bad debts are written-off when identified.

I

3.10 Cash and cash equivalents'

Cash and cash equivalents are carried in the balance sheet at cost. For the purpose of cash flow statement, cashand cash equivalents comprise cash in hand, cash with banks on current, saving and deposit accounts and shortterm running finance.

3.11 Foreign Exchange transactions

Foreign currency transactions are recognized at the exchange rate applicable at the transaction date. Monetaryassets and liabilities are translated into rupees using exchange rates applicable at the balance sheet date. Gainsand losses on settlement and translation at the year end are recognized in the income statement.

3.12 Revenue

Revenue is recognized when it is probable that the economic benefits associated with the transaction will flow tothe company and the amount of revenue and the associated cost incurred or to be incurred can be measuredreliably, on the following basis:

(i) revenue from supervision of the project is accrued on billing basis from the sub-contractors;

(ii) interest income is recognized on a time proportion basis taking into account the principal outstandingand the interest rate applicable.

3.13 Borrowing Costs

Borrowing costs are recognized as an expense in the period in which these are incurred except to the extent ofborrowing cost that is directly attributable to the acquisition, construction or production of a qualifying asset. Suchborrowing costs, if any are capitalized as part of the cost of the asset.

3.14 Impairment

Impairment of financial assets

The Company assesses at the end of each reporting period whether there is objective evidence that a financialasset or a group of financial assets is impaired. A provision for impairment in trade debts and other receivables ismade when there is objective evidence that the Company will not be able to collect all amounts due according tooriginal terms of receivables.

Impairment of non-financial assets

Assets that are subject to depreciation/amortization are reviewed at each balance sheet date to identifycircumstances indicating occurrence of impairment loss or reversal of previous impairment losses. Animpairment loss is recognized for the amount by which the asset's carrying amount exceeds its recoverableamount. The recoverable amount is the higher of an asset's fair value less cost to sale and value in use.Reversal of impairment loss is restricted to the original cost of the asset.

3.15 Financial Instruments

Financial assets

The Company classifies its financial assets in the following categories: at fair value through profit or loss, held tomaturity, loans and receivables, and available-for-sale. The classification depends on the purpose fo~which thefinancial assets were acquired. Management determines the classification of its financial assets at initialrecognition.

a) Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss are financial assets held for trading. A financial asset isclassified in this category if acquired principally for the purpose of selling in the short-term. Derivatives are alsocategorized as held for trading uniess they are designated as hedges. Assets in this category are classified ascurrent assets.

b) Loans and receivables

ILoans and receivables are non-derivative financial assets with fixed or determinable payments that are notquoted in an active market. They are included in current assets, except for maturities greater than 12 monthsafter the end of the reporting period. Tnese are classified as non-current assets. The Company's loans andreceivables comprise 'trade debts', 'short term loans', 'trade deposits and other receivables' and 'cash and cashequivalents' in the balance sheet.

c) Held to maturity financial assets

Held to maturity financial assets are non-derivative financial assets with fixed or determinable payments and fixedmaturity with a positive intention and ability to hold to maturity. There were no held to maturity financial assets atthe reporting date.

d) Available-for-sale financial assets

Available-for-sale financial assets are non-derivatives that are either designated in this category or not classifiedin any of the other categories. They are included in non-current assets unless the investment matures ormanagement intends to dispose off it within 12 months of the end of the reporting date.

Recognition and measurement

Regular purchases and sales of financial assets are recognized on the trade date - the date on which theCompany commits to purchase or sell the asset. Investments are initially recognized at fair value plus transactioncosts for all financial assets not carried at fair value through profit or loss. Financial assets carried at fair valuethrough profit or loss are initially recognized at fair value, and transaction costs are expensed in the profit andloss account. Financial assets are derecognized when the rights to receive cash flows from the investments haveexpired or have been transferred and the Company has transferred substantially all risks and rewards ofownership. Available-for-sale financial assets and financial assets at fair value through profit or loss aresubsequently carried at fair value. Loans and receivables are subsequently carried at amortized cost using the

!effective interest method.

Gains or losses arising from changes in the fair value of the 'financial assets at fair value through profit or loss'category are presented in the profit and loss account within income / expenses in the period in which they arise.Dividend income from financial assets at fair value through profit or loss is recognized in the profit and lossaccount as part of operating income when the Company's right to receive payments is established.

Changes in fair value of monetary and non-monetary securities classified as available-for-sale are recognized inother comprehensive income. When securities classified as available-for-sale are sold or impaired, theaccumulated fair value adjustments recognized in equity are included in the profit and loss account as 'gains andlosses from investment securities'.

Interest on available-for-sale securities calculated using the effective interest method is recognized in the profitand loss account as part of other income. Dividends on available for sale equity instruments are recognized in theprofit and loss account as part of other income when the Company's right to receive payments is established.

Financial liabilities

Financial liabilities are classified according to the substance of the contractual agreements entered into.Significant financial liabilities are long term loans, liabilities against assets subject to finance lease, short termfinances utilized under mark-up arrangements, creditors, accrued and other liabilities and unclaimed dividends.

All financial liabilities are initially recognized at cost, which is the fair value of the consideration received at initialrecognition. After initial recognition financial liabilities held for trading are carried at fair value and all otherfinancial liabilities are measured at amortized cost.

3.16 Offsetting offinancial assets and financial liabilities

Financial assets and liabilities are offset and the net amount reported in the balance sheet when there Is a legallyenforceable right to offset the recognized amounts and there is an intention to settle either on a net basis, orrealize the asset and settle the liability simultaneously.

~~

2015 20i4Rupees

4. LONG TERM INVESTMENTS

I • Available for saleCost of investment 492,186 492,186

Unrealised gain- At beginning of the year 98,098 I 56,064- Arising during the year 42,03462,786

160,884 98,098653,070 590,284

4.1 These represents investment in Units of JS Income Fund an open end fund.

5. ADVANCE TAX

These represents advance tax deducted at source under section 151, 236, 148, 231A, 234 of Income TaxOrdinance 2001 to be claimed from Income Tax Department.

Note 2015 2014Rupees

6. CASH AND BANK BALANCES

I Cash at bank 6.1 1,892,471 2,173,366

6.1 These represents cash in deposit account generated by the company from the deposits of jts associatedcompanies.

2015 2014Note Rupees

7. TRADE AND OTHER PAYABLES

Salaries and wages payable 539,684 216,231

Other payable 600,000 975,000

Provision for taxation 97,530 154,7641,237,214 1,345,995

Amount received-From Associated CompaniesLucky Landmark (Private) LimitedLucky Textile Mills Limited

8. PROJECT ACCOUNTS

-Other SourcesY.B Pakistan LimitedY.B Holdings (Private) LimitedCreditors, accrued and other payables

2,055,286,691 1,487,686,6911,602,354,972 1,092,652,8863,657,641,663 2,580,339,577

98,000,000 85,000,00020,000,000

164,681,958 104,081,712282,681,958 189,081,712

3,940,323,621 2,769,421,289(3,888,050,550) (2,757,017,786)

(32,478,306) (848,585)19,794,765 11,554,918

8.1

Less: Amount utilizedLess: Amount unutilized

8.28.3

I

I

I

This balance represents the amount provided by the associated companies and expended over the period ofconstruction to date and payments related to the construction of the project are made by the company for andon behalf of the associated companies as per three party agreement. The Project is to be completed in twophases i.e. the construction and completion of Commercial Mall (herein after referred to as 'phase one')whereas second phase is Construction of Housing Towers. The above mentioned balances have been utilizedin the construction work of Commercial Mall. The construction of project was commenced on 01 May 2012. Thephase one i.e. construction of structure of Commercial Mall is ninty eight percent completed and the project is tobe completed by 31 March 2016. The estimated cost of phase one is Rs. 4.5 billion and Cost Incurred till June30, 2015 was Rs. 3.402 Billion. (2014 : 2.397 billion ). Paragon Constructors (Private) Limited who aresupervising the Construction of the Project have also charged supervision fee at four percent of total CostIncurred till December 2014, which afterwards agreed at Rupees 3.5 Million per month. Total Supervision FeePaid to Paragon Constructors Till June 30, 2015 was Rs 115.133 million (2014: 62.823 million).

2015 20148.1 Creditors, accrued and other payables Note Rupees

Payable to?',.:170,121 ~903,302Suppliers

Contractors 1,853,319 6,670,80250,023,440 63,574,104

Accrued expenses and other payablesAdvance from customers 8.1.1 (,,68,500,000 ~700,000Retention and integrity money 8.1.2 ~63,992 ~412,332Salaries and wages payable 097,640 ~95,550Provident fund payable 8.1.3 ~8,817 ~89,851Gratuity payable 8.1.4 t"":4;,; 03,000 ~28,846Tax deducted at source (2,628,457 ~g14,734Tax payable ~,O11 ~2,011Other payables 804,601 , M,284

rt,j;4,658,518 r~0,5b7,608("'16426812958 nQ4,OB1,712

8.1.1

8.1.2

8.1.3

8.1.4

8.2

8.2.1

These represent advances received from parties for appropriation of apartments and shops to be constructedunder the project.

This represents retention money withheld, out of payments to the sub-contractor for construction of the project,@3% of contract amount, which shall be settled against final bills.

The company maintains, on behalf of its associated companies, an unrecognized Provident fund scheme forthe employees working on the project. The fund bears 8.33% of the basic salary on behalf of the employeesand similar amount is deducted from the monthly salary of the employees. Now this provident fund scheme isclosed with effect from June 2014 and all employee Contributions are paid back to employees.

The Company has established an unrecognised Gratuity Fund Scheme in place of Provident Fund Scheme. AnActuarial Valuation has been carried, as a result of which company recognises the Past Service Cost iill June30,2014 in its books of accounts.

2015 2014Amount Utilized Note ---- Rupees ----

670,002,372 ~812,228\3,402,358,595 2,397,168,421~5,905,955 ci03,796,718n9,783,628 ("'"62,240,418328882050,550 2,757,017,786

Property, plant and equipmentInventory in processStores and sparesAdvances, prepayments and other receivables

8.2.18.2.28.2.38.2.4

Property, plant and equipment

These represents written down value of the property, plant and equipments held by the company on behalf onits associated companies. These assets relates, solely, for the development, construction and maintenance ofthe project. The associated companies have adopted straight lines method for depreciating these assets. Thebreakup of written down value of these assets is as follows:

2015 20 4--------Rupees-------

CostAccumulated depreciation

r 244,043,310r-i74,040,938170002372

636,598,508("( 42,786,280)

[ 193,812,228

I8.2.2 Inventory in process

These represents construction work capitalized on the project based on the extent of work completed whichconsists of:

2015 2014

Stores, spares and tools issuanceOverheadsContractor costSalaries, wages and other benefits

---- Rupees ----

~31,320 ~506,072~75,410 ('f6g,751 ,112~74,193,206 ~ 632,513n23,858,659 ~278,723

r"":3,402,358,595 r1d[7, 168,421

8.2.3 Stores and Spares

These represents stores, spares and loose tools held by the company to be consumed for the development,construction and maintenance of the project on behalf of its associated companies. These includes assets ofboth capital nature and consumables.

2015---- Rupees ----

2014

StoresSparesToolsCapital storesImport in process

176,837,34431,273,112

786,747

37,008,752245,905,955

8.2.4 Loans, advances and prepayments

These represents advances, loans and deposits paid by the company for the project.

2015

68,081,66110,508,690

645,0127666,76616,894,589103.796,718

---- Rupees ----2014

Loan and advance to project workersAdvance to suppliers and contractorsAdvance for purchasesDepositsPrepayments

(""'3,139,820("""64,810,925

('"'55,550C"3"14,O 00

cr;463,333t" 69,783,628

8.3 Cash and bank balances

t'"'f.933,306~~57,154, 244,281t'"314,000

\7,791,677F62,240,418

These represents the amount of cash and bank balances held by the company on behalf of the associatedcompanies. These excludes the amount of cash generated by the company out of issue of its share capital andincome generated by itself (l.e. return on deposit account).

2015---- Rupees ----

2014Note..

Cash at bank:- in current account- in deposit account

~2,948,723~535,2568.3.1

Cash in hand(31,483,979

994,327(' 32,478,306

8.3.1 These carry return on deposit accounts ranging from 6% to 7%(2014 :7 % to 8 %).

t-(6,687,689),6,551,137F;136,552)

9.85,137?i848,585

9. CONTINGENCIES AND COMM[TMENTS

IContingencies

The company has no contingencies as at the balance sheet date.

2015 2014Commitments Note Rupees

,

I Letters of credits 44,979,900 3,337,400

I·10. REVENUE

Project supervision fees 10.1 218271582 4174047

10.1 This represents management fees charged by the company from its associated companies. Management fees ischarged @ 0.25% for the sub-contractors charges plus its coordination charges as per agreement between thecompany and its associated companies.

2015 2014Rupees I

11. ADMINISTRA TIVE EXPENSES

Salaries, wages and other benefits 2,620,056 ,279,986Entertainment and mess 249,893 225,138Traveling and conveyance 400,906 354,234Communication 191,610 84,380Auditor's remuneration 600,000 600,000Legal and professional 30,000 126,500General and miscellaneous 230,712 124,751

41323,177 !D,794,989

11.1 Auditor's remuneration

Audit fee 400,000 400,000Consultancy fee 200,000 200,000

600,000 1600,000

12. OTHER INCOME

I Profit on deposit account 11892A70 211731366

13. RELATED PARTY TRANSACTIONS

Parties are considered to be related if one party has the ability to control the other party a exercise significantinfluence over other party in making financial and operating decisions.

The related parties comprise of major shareholders, associated companies with or without common directors,directors of the company and key management personnel, staff provident fund, and financial institution havingnominee on the Board of Directors. Remuneration and benefits to executives of the company are in accordancewith the terms of the employment while contribution to the provident fund is in accordance with staff se ice rules.Transactions with other related parties are entered into at rates negotiated with them.

I

2015 2014----Rupees

Balances

900,025

6,442,500 4.568.378

3,277,627 2.324.166

98,000,000 85.000.000

20,000,000

Unless other wise disclosed separately, the transactions and balances with related parties are as under;

2015 2014--- Rupees ---

I Transactions

Lucky Cement Limited Cement purchased 123,260,948 178.361.539

Lucky Landmark (Pvt) Ltd Supervision fees 1,874,121 2,766.558

Lucky Textile Mills Limited Supervisionfees 953,460 1,407,489

YB Pakistan Limited LongTerm Advance 13,000,000 85.000.000

Y.B Holdings (Pvt) Ltd LongTerm Advance 20,000,000

14. DATE OF AUTHORIZATION FOR ISSUE 03 OCT 2015These financial statements were authorized for issue on-0---------- by the Board of Directorsof the Company.

15. GENERAL

The figures have been rounded off to nearest rupees.

01