Singapore Airlines 2008 Annual Report Download - page 112

Download and view the complete annual report

Please find page 112 of the 2008 Singapore Airlines 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 178

  • 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
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178

Singapore Airlines Annual Report 2007-08
110
14 Share Capital (in $ million)
The Group and the Company
Number of shares Amount
2008 2007 2008 2007
Issued and fully paid share capital
Ordinary shares
Balance at 1 April 1,246,833,370 1,224,704,750 1,494.9 1,202.6
Share options exercised during the year 22,717,093 22,128,620 322.8 292.3
Shares cancelled during the year pursuant
to the capital reduction exercise (84,309,846) - (155.9) -
Shares issued during the year in relation
to the top-up offer pursuant to the
capital reduction exercise 1,093,530 - 20.2 -
Balance at 31 March 1,186,334,147 1,246,833,370 1,682.0 1,494.9
Special share
Balance at 1 April and 31 March 1 1 # #
# The value is $0.50
The holders of ordinary shares are entitled to receive dividends as and when declared by the Company. All ordinary shares
carry one vote per share without restriction.
During the financial year, the Company issued 22,717,093 shares (2006-07: 22,128,620) upon exercise of options granted
under the Employee Share Option Plan.
In addition, the Company cancelled 84,309,846 shares (2006-07: Nil) at the price of $18.46 per share pursuant to a
capital reduction exercise under Section 78G of the Singapore Companies Act.
1,093,530 shares (2006-07: Nil) were issued under a top-up offer of new shares at the price of $18.46 per share following
the capital reduction. The offer was given to shareholders to round up their holding of shares after the capital reduction to
the nearest multiple of 200 shares.
The Company’s ability to operate its existing route network and flight frequency is derived solely from and dependent
entirely on the Air Service Agreements (“ASAs”) concluded between the Government of Singapore and the governments of
other countries. ASAs are therefore critical to the Company’s operations. In almost all the ASAs, it is a condition that the
Company must at all times be “effectively controlled” and “substantially owned” by Singapore nationals for the tenure of
the respective ASAs.
In order to comply with the above requirement, one non-tradeable Special Share was issued to the Ministry of Finance.
The Special Share enjoys all the rights attached to ordinary shares. In addition, pursuant to Article 3A of the Articles of
Association, no resolution may be passed on certain matters without prior written approval of the Special Member.
The Company can also issue non-tradeable redeemable cumulative preference shares, which carry full voting rights
(“ASA shares”). When issued, the ASA shares will be paid at $0.01 each and will carry equal voting rights as those of
ordinary shares. These shares will be issued only when the directors determine that the Company’s operating rights
under any of the ASAs are threatened by reason of the nationality of the majority shareholders.
NOTES TO THE FINANCIAL STATEMENTS
31 March 2008