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What is the current financial position of the company?

For the 2006 financial year, the Worley Parsons Group accomplished net revenue subsequent to a duty of $27. 79 m, an increase of 53. 0% from the previous financial year. The revenue in 2005, which was an all inclusive of the company’s share of its incorporated joint ventures with 7 global companies around the world in different technical projects, augmented by $197. 4 m to $546. 2 m, which was a substantial increase of 45%. The overall returns on the regular equity was 42. 9%, up by 7. 8% from 21. 0% in the year 2005.

The Return on equity is the key assessment for the organization and is the foundation for computation of the fresh performance administration incentive plan. The effectual duty charge for the year was 46. 9% (as compared to 46. 6% in 2004), therefore reflecting the summary of delayed duty balance in line with the alterations in the Australian corporate tax rate. An account of the aspects that directly contribute to the consequences is controlled by the Chief Executive Officer’s report in the company’s Annual Report.

Bonuses Paid The entities in the Worley Limited and Worley Engineering Pty Ltd, compensated completely franked bonuses of $2. 671 m each on 21 August 2005 and 26 February 2006. The Worley Limited and Worley Engineering Pty Ltd hold adequate franking credit to make certain that bonuses owed in the year ending 30 June 2003 will be fully franked also. However, no dividends were paid by the Worley Limited at the Hong Kong Global centre entities, during the year ended 30 June 2002. Declaration of Financial Position

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At 30 June 2006, the overall possessions of the Worley Parson group were estimated to be at $398. 0 m, which was a substantial augmentation of at least $39. 0m during the financial year. The bulk of the asset expansion carries on being in exceptional phase all across the Worley Parson group. The sum total receivables stood at $201. 2m. A boost was also noticed within the investment scenario of the Worley Parson group, which was calculated to rise up by $3. 9 m during the financial year.

This figure actually reflected the augmented venture in Petrocon Arabia, the preliminary assets that were given in the establishment of Worley Qatar, and increases in the value of a number of the existing investments in the included joint ventures of the company. In calculation, for the duration of the year, Worley Parsons got hold of the big business of Newcastle based engineering consultancy group, and Worley’s earlier joint venture partner, TYP, for $1. 4 m and made payment funds of $0. 5m to the founding and formation of Transfield Worley Solutions, which is an expansion of its existing association with Transfield Services.

Worley Parson also improved its share within the Indonesian unit, Ceria Worley, to over 86. 5%. The Plant and equipment purchases for this project rose to a large extent during the year, thereby reflecting an asset investment in the upgrade of much of Worley’s information technology potential and communications network. The total responsibilities and liabilities amplified to $96. 3 m, up from $74. 2 m in the previous financial year, with the most important increase in deal creditors and worker provisions. These two clearly reflected the fundamental growth in the business.

There were no additions to the issued capital for the duration of the financial year. No options were issued under the Worley Parson Option scheme owing to the imminent reorganizing of the legal organization of the Worley Parson group. Financial Arrangements The Worley Limited (Hong Kong) has right to use to a bank overdraft facility and a multi option capability that consent to for a combination of off and on balance sheet amenities contained by an overall limit. These conveniences are protected by fixed and hanging charges over the possessions of those entities.

During the year, the amenities accessible to the Worley Limited (Hong Kong) were amplified to agree to for adequate functioning capital to meet the increased growth and investment across the business. In addition to the augmented bank overdraft facility available to the Worley Limited (Hong Kong), the entities in the Worley Limited (Hong Kong) set up an information technology equipment facility laboratory with IBM Global Financing for about $3. 99 m and therefore enhanced the present bond facility available to the Worley Limited (Hong Kong) to $18. 0 m.

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