CHINA RUITAI INTERNATIONAL HOLDINGS CO., LTD. AND SUBSIDIARIES Consolidated Statements of Cash Flows | ||||||
Three months ended March 31, | ||||||
2011 | 2010 | |||||
Cash flows from operating activities: | ||||||
Net income before allocation to non-controlling interests | $ | 743,327 | $ | 1,958,919 | ||
Adjustments to reconcile net income before non-controlling interests to net cash provided by/(used in) operating activities | ||||||
Depreciation | 612,956 | 564,625 | ||||
Amortization of land use rights | 28,067 | 27,122 | ||||
Bad debt provision | 134,208 | (280,793) | ||||
Changes in operating assets and liabilities: | ||||||
Restricted cash | (4,977,691) | 879,900 | ||||
Accounts receivable | (2,917,333) | (3,477,901) | ||||
Notes receivable | (60,033) | (556,011) | ||||
Advances to suppliers | (1,212,063) | 201,892 | ||||
Inventories | (1,226,621) | 575,753 | ||||
Other receivables | 104,922 | (284,794) | ||||
Accounts payable | (994,087) | 770,749 | ||||
Notes payable | (3,642,213) | (1,613,150) | ||||
Other payables
| 128,592 | 1,191,228 | ||||
Advances from customers
| 281,773 | 491,841 | ||||
Income taxes payable | 297,976 | 281,188 | ||||
Net cash (use in)/provided by operating activities | (12,698,220) | 730,568 | ||||
Cash flows from investing activities: | ||||||
Advanced payment to purchase equipment | (285,451) | - | ||||
Purchase of property and equipment | (101,520) | (609,265) | ||||
Net cash used in investing activities | (386,971) | (609,265) | ||||
Cash flows from financing activities: | ||||||
Proceeds from bank loans | 10,158,740 | 6,003,851 | ||||
Repayment of bank loans | (10,158,740) | (7,910,301) | ||||
Proceeds from loan from a related party | 4,856,285 | - | ||||
Repayment in loan from a related party | (1,250,157) | (347,609) | ||||
Repayment in loan from employee | (175,403) | (118,513) | ||||
Net cash provided by/(used in) financing activities | 3,430,725 | (2,372,572) | ||||
Effect of foreign exchange rate fluctuation on cash and cash equivalents | 132,008 | 29,931 | ||||
Net decrease in cash and cash equivalents | (9,522,458) | (2,221,338) | ||||
Cash and cash equivalents- beginning of period | 25,286,619 | 10,174,528 | ||||
Cash and cash equivalents-end of period | $ | 15,764,161 | $ | 7,953,190 | ||
Supplementary disclosure of cash flow information: | ||||||
Cash paid for interest expense | $ | 739,953 | $ | 578,487 | ||
Cash paid for income tax | $ | - | $ | 365,239 | ||
