Cathay Pacific 2008 Annual Report Download - page 59

Download and view the complete annual report

Please find page 59 of the 2008 Cathay Pacific annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 104

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104

Notes to the Accounts STATEMENT OF COMPREHENSIVE INCOME
2. Segment information (continued)
(b) Secondary reporting by geographical segment
2008
HK$M
2007
HK$M
Turnover by origin of sale:
North Asia
– Hong Kong and Mainland China 35,921 32,906
– Japan, Korea and Taiwan 12,189 11,324
South West Pacific and South Africa 6,144 5,073
South East Asia and Middle East 9,937 7,722
Europe 10,670 8,707
North America 11,717 9,626
86,578 75,358
South West Pacific and South Africa includes Australia, New Zealand and Southern Africa. South East Asia and
Middle East includes Singapore, Indonesia, Malaysia, Thailand, the Philippines, Vietnam, Indian sub-continent and
Middle East. Europe includes Continental Europe, the United Kingdom, Scandinavia, Russia, Baltic and Turkey.
North America includes U.S.A., Canada and Latin America.
Analysis of net assets by geographical segment:
The major revenue earning asset is the aircraft fleet which is registered in Hong Kong and is employed across its
worldwide route network. Management considers that there is no suitable basis for allocating such assets and
related liabilities to geographical segments. Accordingly, segment assets, segment liabilities and other segment
information is not disclosed.
3. Settlement of the United States Department of Justice cargo investigations
The Company is the subject of investigations and proceedings in respect of its air cargo operations by the
competition authorities of various jurisdictions, including the European Union, Canada, Australia, Switzerland, Korea
and New Zealand. The Company has been cooperating with the authorities in their investigations and, where
applicable, vigorously defending itself. The investigations are focused on issues relating to pricing and competition.
On 22nd July 2008, the United States District Court for the District Columbia accepted a plea agreement between
the United States and the Company in which it paid a fine of US$60 million, or HK$468 million. Cathay Pacific
pleaded guilty to a one-count violation of the United States Sherman Act and this concludes the investigation in the
United States. This payment was incorporated by way of provision in the 2008 Interim Results.
Cathay Pacific Airways Limited Annual Report 2008 57