I
annual report 2014
Notes to the Financial Statements
31 December 2014 (Cont’d)
84
9.
INVESTMENTS IN SUBSIDIARIES (cont’d)
Effective interest
Country of
in equity
Name of company
incorporation
2014
2013
Principal activities
Subsidiaries of HPFJ
Fujian Province
PRC
100% 100% Design, manufacturing and
Jinjiang City
marketing of sports shoes
Chendai
HongPeng
Footwear
Manufacturing
Co., Ltd.
(“CDHP”) #
XiDeLang
PRC
100% 100% The registered scope of business
Sports Goods
under its business license is
Co., Ltd.
manufacturing of shoes and
(“XDLSG”) #
apparel. It is the registered
owner of the proprietary of
the Group “XiDeLang” brand
# Subsidiaries not audited by BDO.
10. INVENTORIES
Group
2014
2013
RMB’000
RMB’000
At cost
Raw materials
624
3,366
Work-in-progress
2,738
4,252
Finished goods
7,729
2,664
11,091
10,282
During the financial year, the Group wrote off inventories of RMB116,000 (2013: RMB217,000), which were included
in cost of sales.
Cost of inventories of the Group recognised as an expense during the financial year amounted to RMB334,734,000
(2013: RMB409,728,000).
