CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY
12 Months Ended
Dec. 31, 2013
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY  
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY

27.                     CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY

 

CONDENSED BALANCE SHEETS

(Amounts in thousands of Renminbi (“RMB”) and US dollars (“US$”))

 

 

 

 

 

As of December 31,

 

 

 

Note

 

2012

 

2013

 

 

 

 

 

RMB

 

RMB

 

US$

 

ASSETS:

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

 

 

164,024

 

117,626

 

19,431

 

Restricted cash

 

12

 

 

60,000

 

9,911

 

Prepaid expenses and other current assets

 

 

 

2,673

 

9,477

 

1,568

 

Available-for-sale investments

 

11

 

 

24,636

 

4,070

 

 

 

 

 

 

 

 

 

 

 

Total current assets

 

 

 

166,697

 

211,739

 

34,980

 

 

 

 

 

 

 

 

 

 

 

Non-current assets:

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

 

11,466

 

8,359

 

1,381

 

Long term investments

 

10

 

9,033

 

13,847

 

2,287

 

Available-for-sale investments

 

11

 

82,292

 

 

 

Investments in subsidiaries

 

 

 

393,371

 

423,804

 

70,008

 

 

 

 

 

 

 

 

 

 

 

Total non-current assets

 

 

 

496,162

 

446,010

 

73,676

 

 

 

 

 

 

 

 

 

 

 

TOTAL ASSETS

 

 

 

662,859

 

657,749

 

108,656

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY:

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

Accrued expenses and other payables

 

 

 

970

 

4,616

 

763

 

 

 

 

 

 

 

 

 

 

 

Total current liabilities

 

 

 

970

 

4,616

 

763

 

 

 

 

 

 

 

 

 

 

 

Total liabilities

 

 

 

970

 

4,616

 

763

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of December 31,

 

 

 

Note

 

2012

 

2013

 

 

 

 

 

RMB

 

RMB

 

US$

 

LIABILITIES AND SHAREHOLDERS’ EQUITY: (CONTINUED)

 

 

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

 

 

 

 

Ordinary shares (US$0.0001 par value; 1,000,000,000 and 1,000,000,000 shares authorized; 374,464,476 and 374,464,476 shares issued and outstanding as of December 31, 2012 and 2013, respectively)

 

 

 

275

 

282

 

47

 

Additional paid-in capital

 

 

 

1,220,198

 

1,247,730

 

206,110

 

Treasury stock

 

 

 

(73,101

)

(73,101

)

(12,075

)

Statutory reserves

 

 

 

1,326

 

1,326

 

219

 

Accumulated deficit

 

 

 

(490,032

)

(524,261

)

(86,601

)

Accumulated other comprehensive income

 

16

 

3,223

 

1,157

 

193

 

 

 

 

 

 

 

 

 

 

 

Total shareholders’ equity

 

 

 

661,889

 

653,133

 

107,893

 

 

 

 

 

 

 

 

 

 

 

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

662,859

 

657,749

 

108,656

 

 

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Amounts in thousands of Renminbi (“RMB”) and US dollars (“US$”))

 

 

 

 

 

For the years ended December 31,

 

 

 

Note

 

2011

 

2012

 

2013

 

 

 

 

 

RMB

 

RMB

 

RMB

 

US$

 

 

 

 

 

 

 

 

 

 

 

 

 

General and administrative expenses

 

 

 

(13,555

)

(9,210

)

(14,072

)

(2,325

)

Impairment of an available-for-sale investment

 

11(b)

 

 

 

(1,217

)

(201

)

Post-acquisition settlement consideration

 

4(a)

 

(7,158

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating loss

 

 

 

(20,713

)

(9,210

)

(15,289

)

(2,526

)

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

 

47

 

657

 

1,075

 

178

 

Other income

 

 

 

 

680

 

6

 

1

 

Foreign exchange loss

 

 

 

(6,967

)

(2,437

)

(6,608

)

(1,092

)

Equity in income of subsidiaries

 

 

 

16,119

 

(6,681

)

(13,413

)

(2,215

)

 

 

 

 

 

 

 

 

 

 

 

 

Loss from continuing operations before income taxes

 

 

 

(11,514

)

(16,991

)

(34,229

)

(5,654

)

 

 

 

 

 

 

 

 

 

 

 

 

Net loss from continuing operations

 

 

 

(11,514

)

(16,991

)

(34,229

)

(5,654

)

Income from discontinued operations

 

22

 

31,977

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income/ (loss)

 

 

 

20,463

 

(16,991

)

(34,229

)

(5,654

)

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

 

 

773

 

29

 

(1,975

)

(326

)

Unrealized gain from available-for-sale investments

 

 

 

90

 

1,594

 

1,821

 

301

 

Amounts reclassified from accumulated other comprehensive income

 

11

 

 

(224

)

(1,912

)

(316

)

Total other comprehensive income, net of tax

 

 

 

863

 

1,399

 

(2,066

)

(341

)

Comprehensive income/ (loss)

 

 

 

21,326

 

(15,592

)

(36,295

)

(5,995

)

 

CONDENSED STATEMENTS OF CASH FLOWS

(Amounts in thousands of Renminbi (“RMB”) and US dollars (“US$”))

 

 

 

For the years ended December 31,

 

 

 

2011

 

2012

 

2013

 

 

 

RMB

 

RMB

 

RMB

 

US$

 

Net cash used in operating activities

 

(63,412

)

(108,007

)

(40,370

)

(6,669

)

 

 

 

 

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

Purchases of property and equipment

 

(7,779

)

(5,716

)

 

 

Deconsolidation of a consolidated VIE

 

(2,204

)

 

 

 

Cash paid pursuant to post-acquisition settlement consideration agreement

 

(4,286

)

 

 

 

Cash paid for available-for-sale investments

 

(99,190

)

 

 

 

Cash paid for available-for-sale investment on behalf of a subsidiary

 

 

 

(12,240

)

(2,022

)

Cash paid for long term investment (Note 10)

 

(6,033

)

(3,000

)

(4,815

)

(795

)

Cash received from sale of available-for-sale investments (Note 11)

 

 

18,582

 

57,260

 

9,459

 

Net cash used in investing activities

 

(119,492

)

9,866

 

40,205

 

6,642

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

Proceeds from employee share options exercised

 

4,019

 

3,351

 

15,683

 

2,591

 

Cash guaranteed as restricted cash

 

 

 

(60,000

)

(9,911

)

Payment for repurchase of ordinary shares

 

(63,631

)

(9,463

)

 

 

Payment of dividend

 

 

(130

)

 

 

Net cash used in financing activities

 

(59,612

)

(6,242

)

(44,317

)

(7,320

)

Net decrease in cash and cash equivalents

 

(242,516

)

(104,383

)

(44,482

)

(7,347

)

Cash and cash equivalents at beginning of the year

 

519,221

 

269,859

 

164,024

 

27,095

 

Effect of foreign exchange rate changes on cash

 

(6,846

)

(1,452

)

(1,916

)

(317

)

Cash and cash equivalents at end of the year

 

269,859

 

164,024

 

117,626

 

19,431

 

 

(a)  Basis of presentation

 

The condensed financial information of the Company has been prepared using the same accounting policies as set out in the Company’s consolidated financial statements except that the Company used the equity method to account for investment in its subsidiaries and VIEs. The Company records its investment in its subsidiaries and VIEs under the equity method of accounting. Such investment is presented on the balance sheets as “Investment in subsidiaries” and share of their income as “Equity in income of subsidiaries” on the statements of comprehensive income (loss). The PRC subsidiary and VIEs have restrictions on their ability to pay dividends to the Company under PRC laws and regulations (Note 21). The subsidiaries and VIEs did not pay any dividends to the Company for the years presented.

 

Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted by reference to the consolidated financial statements.

 

(b)  Commitments

 

The Company does not have a significant commitments or long-term obligations as of any of the periods presented.