DANDOT CEMENT COMPANY LIMITED        
NOTES TO THE ACCOUNTS              
FOR THE PERIOD ENDED DECEMBER 31, 2004  (un-audited)    
                       
                       
1. These financial statements have been prepared in accordance with the requirements of International Accounting Standard (IAS) 34 "Interim Financial Reporting". The accounting policies adopted in these accounts are the same as those applied in the preparation of the preceding annual published accounts.
                       
2. Figures have been rounded off to the nearest thousand rupees and figures of previous year have been rearranged wherever necessary to facilitate the comparison.
                       
                  December   June
                  2004   2004
                  ( Rupees in thousand )
3. CONTINGENCIES AND COMMITMENTS        
           
  Saudi Pak Commercial Bank Limited has issued  Bank Guarantee  in  favour  of   Sui Northern Gas Pipelines Limited.        
          42,236        41,966
                       
  Saudi Pak Commercial Bank limited has issued Bank Guarantee in favour of Director Industries and Mineral development .        
            3,632          3,632
                       
  Company is in litigation with some suppliers, pending for decision in Court. Company's exposure in the case could be of Rs.17,504,456.(June 30,2004: Rs. 17,504,456)        
         
         
                       
          Second Quarter ended   Jul.2004 to Dec.2004   Jul.2003 to Dec.2003
          Dec.2004   Dec.2003    
          (Rupees in thousand)   (Rupees in thousand)
4 COST OF SALES                  
                       
  Raw materials consumed       18,724       17,920         40,455        34,951
  Salaries, wages and benefits       30,550       32,016         63,472        59,396
  Fuel, gas and electricity     146,620       99,410       288,867      173,542
  Stores and spares           9,265         7,638         17,216        23,939
  Rent, rates and taxes            108                 6              175                58
  Vehicle running and maintenance       2,464         2,594           4,892          4,838
  Packing material         17,983       17,625         35,780        32,566
  Depreciation         25,922       49,607         51,711        99,131
  Others             7,018         4,705         11,245          7,595
            258,654     231,521       513,813      436,016
                       
  Adjustment of work in process        (4,064)           (251)          (9,138)          8,519
                       
  Cost of goods manufactured     254,590     231,270       504,675      444,535
                       
  Adjustment of finished goods        (3,018)         5,352          (6,363)          4,931
                       
            251,572     236,622       498,312      449,466
                       
5. Administration and General expenses includes deferred cost amortized amounting to Rs.20.164 million (2003:Nill).
 
                       
6. TRANSACTIONS WITH ASSOCIATED COMPANY          
                       
  Expenses paid by Associated Company                  610              287
  Expenses paid on behalf of Associated Company               1,489          6,819
  Inventory transferred                      -            2,134
  Inventory received                      -          35,663
                       
7. DATE OF AUTHORISATION                
                       
  These financial statements were authorised for issue on February 24, 2005 by the Board of Directors of the company.
 
                       
                       
                       
                       
 A.SHOEB PIRACHA             ABDUR RAFIQUE KHAN
      DIRECTOR                      CHIEF EXECUTIVE