Mate,My answers to two of your questions1. Note 28 is prepared...

Mate,

My answers to two of your questions

1. Note 28 is prepared to satisfy information required in accordance with AASB 114 Segment Reporting which is based on IAS 14. It states:

An entity must look to its organisational structure and internal reporting system to identify reportable segments. In particular, IAS 14 presumes that segmentation in internal financial reports prepared for the board of directors and chief executive officer should normally determine segments for external financial reporting purposes. Only if internal segments are not along either product/service or geographical lines is further disaggregation appropriate. [IAS 14.26]

Geographical segments may be based either on where the entity's assets are located or on where its customers are located. [IAS 14.14] Whichever basis is used, several items of data must be presented on the other basis if significantly different. [IAS 14.71-72]

So they might be classifying all the China revenue as belonging to the Malaysia segment because that's where the assets used to generate that revenue are located and/or China revenue is reported under the Malaysia segment for internal reporting purposes. There is no China segment in Note 28 so I would assume that China revenue is treated as belonging to Malaysia segment.

2. In relation to your question about receivables, I think they have to be from China, because the company stated that Malaysia contract ramp-up was slow so the receivables would not amount to $ 42 million.

Also note that Dykes is 250,000 shares short, see my post on the other thread (http://www.hotcopper.com.au/post_single.asp?fid=1&tid=1029051&msgid=5732825)

MrPeaman can you give me David's and Liza's email addresses? I will email them an earful too.

About suing the auditors, I would first want ASIC to investigate this company and shut it down if it is dodgy, to avoid snaring other unsuspecting punters. I am planning to call ASIC tomorrow as they have not replied to my queries.

If they don't take any action, might be good to engage a law firm and lodge a class action.