|
Article 30
|
The section providing review and analysis of financial condition and financial performance shall describe the following:
- Financial condition: The prospectus shall explain the reason for, and impact of, any material change over the most recent 2 fiscal years in the company's assets, liabilities, or equity. Where the impact is of material significance, the prospectus shall further describe how the company plans to respond.
- Financial performance: The prospectus shall: (1) explain the reasons for any material changes over the most recent 2 fiscal years in operating revenue, operating income, and income before tax; (2) forecast the company's expected sales volume and provide the basis for the forecast; and (3) describe the possible impact of such changes upon the company's financial and business affairs, and how the company plans to respond.
- Cash flows: The prospectus shall: (1) analyze and explain any changes over the most recent fiscal year in the company's cash flows; (2) describe how the company plans to address any illiquidity problems; and (3) provide an analysis of the company's cash liquidity for the coming fiscal year.
- The impact of any material capital expenditures over the most recent fiscal year upon the company's financial and operating condition;
- The company's policy for the most recent fiscal year on investments in other companies, the main reasons for profit/losses resulting therefrom, plans for improvement, and investment plans for the coming fiscal year;
- Other important matters.
|