Page 171 - CCS_AR2011

Notes To The Consolidated Financial Statements

(Expressed in Renminbi)

Annual Report 2011 /

1

43 Financial risk management and fair values

(continued)

(c) Liquidity risk

Individual operating entities within the Group are responsible for their own cash management,

including the short term investment of cash surpluses and the raising of loans to cover expected

cash demands, subject to approval by the Company’s board when the borrowings exceed certain

predetermined levels of authority. The Group’s policy is to regularly monitor its liquidity requirements,

to ensure that it maintains sufficient reserves of cash and readily realisable marketable securities and

adequate committed lines of funding from major financial institutions to meet its liquidity requirements

in the short and longer term.

The following tables show the remaining contractual maturities at the balance sheet date of the

Group’s and the Company’s non-derivative financial liabilities, which are based on contractual

undiscounted cash flows (including interest payments computed using contractual rates or, if floating,

based on rates current at the balance sheet date) and the earliest date the Group and the Company

can be required to pay:

The Group

2011

2010

Contractual

undiscounted

cash outflow

within

1 year or

on demand

Balance

sheet

carrying

amount

Contractual

undiscounted

cash outflow

within

1 year or

on demand

Balance

sheet

carrying

amount

RMB’000 RMB’000

RMB’000 RMB’000

Interest-bearing borrowings

1,014,336

998,335

1,817,388 1,780,523

Account and bills payable

12,728,882 12,728,882

9,768,792 9,768,792

Receipt in advance

1,150,095 1,150,095

1,083,587 1,083,587

Accrued expenses and other payable

6,807,175 6,807,175

6,564,306 6,564,306

21,700,488 21,684,487

19,234,073 19,197,208

The Company