05 operating cash flow - 44 mill

Statement of Cash Flows
For the Financial Year Ended 30 June 2005
Consolidated
Notes 2005 2004
$000 $000
Cash Flows from Operating Activities
Receipts from customers 199,086 204,381
Payments to suppliers and employees (212,111) (226,646)
Interest received 1,549 611
Income tax paid (935) (440)
Dividends received 6 --
Interest paid and borrowing costs (6,219) (3,396)
Technology licence fee 1,052 9,942
Research and development expenditure (22,865) (13,524)
Restructure costs (3,917) (7)
Net cash (outflow) from operating activities (44,354) (29,079)
Cash Flows from Investing Activities
Advances to associated entity (1,059) (9,979)
Repayments from associated entity -- 4,932
Net inflow from purchased controlled entity -- 1,252
Proceeds from sale of controlled entity, net of cash disposed -- 5,746
Payments for property, plant and equipment (4,360) (4,409)
Proceeds from sale of property, plant and equipment 14,883 32,707
Proceeds from sale of investment 2,609 96
Net cash inflow from investing activities 12,073 30,345
Cash Flows from Financing Activities
Repayment of deferred consideration (15,974) (21,404)
Proceeds from issue of shares 67,088 --
Share issue expenses (4,229) (88)
Proceeds from borrowings 3,000 17,500
Repayment of borrowings (19,800) (2,000)
Bond payments (96) (5,866)
Return of bonds 2,723 --
Net cash inflow (outflow) from financing activities 32,712 (11,858)
Net increase/(decrease) in cash held 431 (10,592)
Cash at the beginning of the financial year 12,298 22,873
Effects of exchange rate changes on the balance of cash held in foreign currencies (978) 17
Cash at the end of the financial year 11,751 12,298