annual report: all you need to know

Material Uncertainty Regarding Continuation as a Going Concern and Carrying Value of Deferred Tax Assets

Without qualification to our audit opinion expressed above, attention s drawn to the foflowing matter. At 30 June 2008, the considered entity had a working capital deficiency of $5,735,009 and had incurred a loss for the year of $12,681.120. As a result of the matters described in Note 2(a) “Going Concern Assumption’ to the financial report, there is significant uncertainty whether the company and the consolidated entity Will be able to continue as going concerns and therefore wether they will be able to pay their debts as and when they fall due and realize their assets and extinguish their liabilities in the normal course of business and at amounts stated in the financial report. The financial report does not include any adjustments relating to the recoverability and classification of the recorded asset amounts nor to the amounts and classification of liabilities that might be necessary should the company and/or the consolidated entity not continue as going concerns. The recoverability of the net deferred tax assets of the Company and of the group is dependent on the Company and its subsidiaries returning to profitability and earning sufficient tax profits to utilise the net deferred tax assets. N the event that this does not occur, the tax assets will need to be expensed.


Auditor’s opinion on the AASB 124 remuneration disclosures contained in the directors’ report our opinion the remuneration disclosures that are contained in pages 6 to 7 of the Directors Report comply with section 300 A of the Corporations Act 2001.