ASL Marine Holdings Ltd.
Annual Report 2016
63
Emphasis of matter
We draw attention to Note 2.1 to the financial statements. As at 30 June 2016, the Group’s and Company’s
total borrowings amounted to $592,186,000 and $150,000,000 of which $362,920,000 and $100,000,000
were classified as current. As disclosed in that Note, the Group’s loans and borrowings that are due for
repayment in the next 12 months exceed its cash and bank balances of $24,710,000 as at 30 June 2016.
This factor together with the others disclosed in that Note indicates the existence of a material uncertainty
which may cast significant doubt on the ability of the Group and the Company to continue as going
concerns. As disclosed further in that Note, the ability of the Group and the Company to continue as going
concerns is dependent on the successful completion of the renounceable non-underwritten rights issue,
successful completion of the club term loan facility and the ability of the Group to generate sufficient cash
flows from operations as forecasted.
If the Group and Company are unable to continue in operational existence for the foreseeable future, the
Group and Company may be unable to discharge their liabilities in the normal course of business and
adjustments may have to be made to reflect the situation that assets may need to be realised other than
in the normal course of business and at amounts which could differ significantly from the amounts at
which they are currently recorded in the balance sheets. In addition, the Group and Company may have
to reclassify non-current assets and liabilities as current assets and liabilities. No such adjustments have
been made to these financial statements. Our opinion is not qualified in respect of this matter.
Report on Other Legal and Regulatory Requirements
In our opinion, the accounting and other records required by the Act to be kept by the Company and by
those subsidiaries incorporated in Singapore of which we are the auditors have been properly kept in
accordance with the provisions of the Act.
Ernst & Young LLP
Public Accountants and
Chartered Accountants
Singapore
4 November 2016
