Quarterlytics / Infomedia

Infomedia

ifm · ASX
Claim this profile
Ticker ifm
Exchange ASX
Sector
Industry
Employees 201-500
← All annual reports
FY2000 Annual Report · Infomedia
Sign in to download
Loading PDF…
1
2
4
6
10
26
30
31
58
59

Chairman’s Letter

Results at a Glance

Introduction to FY2000 Annual Report

Orientation to Company

Achievements by Department

Outlook for FY2001

Directors’ Report

Audited Accounts

Audit Report

Additional Information

©2000 - Copyright Infomedia Ltd - 
ALL  RIGHTS  RESERVED WORLDWIDE - This  docu-
ment may not be reproduced in whole or in part without the
express written permission of Infomedia Ltd.

23 October 2000

Dear Shareholder,

It is with pride that I present this first Annual Report of Infomedia Ltd as a public company.

In preparing this document, management has strived to provide a detailed record of your company's
performance during the year ending 30 June 2000, an insight into the work of the Company and an out-
look for the year ahead.   Through the following pages, I trust you will gain a better understanding of your
company - Infomedia Ltd.

In the course of FY2000, Infomedia exceeded its forecast of revenue and after-tax profit.  Company
revenue increased 98% over FY1999 to $21,700,000. Net profit after tax increased 88% over the
previous financial year to $7.67 million.  Our core business, electronic parts catalogues for the global
automotive  industry,  grew  from  12,392  subscriptions  at  the  opening  of  the  year  to  24,057  at  the
close of it.  This was an admirable growth of 94%.  In the audited accounts section you can review
in greater detail the financial performance of your company.

FY 2000 was a demanding year of growth and transformation.  New product versions were introduced,
new territories were opened, new personnel joined the Company, new facilities were established and
our first acquisition took place.  Throughout the second half of the year we were making the signifi-
cant transition from private company to listed public company.   I am pleased to inform you that
your management and staff achieved all this with aplomb and integrity.  

In the year ahead we remain focused on the further commercial development of our core assets, both the
traditional ones and the newly acquired ones.  New versions of our EPC products will be released
domestically and internationally; advertising will be introduced into our traditional and electronic
publications; we will release what we expect to be a breakthrough in publishing EPCs via the Internet; and
will smoothly integrate recent and future acquisitions into a position of strength within our asset portfolio.

In closing, let me invite you to consider the words "your company" as a very genuine sentiment.  Let me
invite you to hold Infomedia not just as an investment, but also as a stand for excellence.  And finally, let
me invite you to care for Infomedia's success and engage in its achievement.

On behalf of the Board of Directors, management and staff, I commend this Annual Report to you.

Respectfully Yours,

Richard D. Graham

Chairman and CEO

www.infomedia.com.au

1

1997
(H)

$'000
44,000

40,000

36,000

32,000

28,000

24,000

20,000

16,000

12,000

8,000

4,000

0

$'000
16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

1997
(H)

Revenue

1998
(H)

1999
(H)
Year-End 30 June

2000
(H)

2001
(F)

Profit After Tax

1998
(H)

1999
H)
Year-End 30 June

2000
(F)

2001
(F)

$'000
25000

22500

20000

17500

15000

12500

10000

7500

5000

2500

0

$'000
20,000

18,000

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

EBITDA

1997
(H)

1998
(H)

1999
(H)
Year-End 30 June

2000
(H)

2001
(F)

Operating Expenses 
Actual and as a % of Revenue

Operating Expenses

Operating Expenses 
as a % of revenue

110

99

88

77

66

55

44

33

22

11

0

1997
(H)

1998
1999
(H)
(H)
Year-End 30 June

2000
(H)

2001
(F)

EPC Subscriptions

24,000

22,000

20,000

18,000

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

J uly '9 9

A u g '9 9

S e p '9 9

O ct '9 9

N o v '9 9

D e c '9 9

J a n '0 0

F e b '0 0

M ar '0 0

A pr '0 0

M a y '0 0

J u n '0 0

Microcat Asia - Pacific           Microcat Europe            Microcat North America           Partfinder Pacific

                               
                                   
Company revenue increased 98% over FY1999 to $21.7 million. Net
profit after tax increased 88% over the previous financial year to $7.7
million.  Both these results exceeded forecasts.

Forecasts Exceeded

Five new versions of Infomedia's flagship electronic parts catalogue,
Microcat, were released - Daihatsu Europe, Ford Japan, Ford 
North America, Hyundai Australia and Honda Australia.

Continued Global
Expansion

Subscriptions to Microcat grew from 12,392 subscriptions at the
opening of the year, to 24,057 at the close of it.  This was an
admirable growth of 94%.  

Admirable Growth

Datateck Publishing Pty Ltd was acquired to expand Infomedia's
operations.  Integration of Datateck operations and products has
gone smoothly.

Datateck Acquired

A smooth transition from being a private to a public company took
place in a public offering that raised $19 million for the Company.

Successful IPO Listing

The Product Development department was restructured into three teams:
Application Development, Data Centre Development and
Communication Development - each led by an experienced programmer.

Efficient Restructuring

By the close of FY2000, 11 versions of Microcat on more than 38,000
discs were being produced each month.  

Expanded Production

Development and testing of Microcat Online continued. Internet
initiatives began with the release of concurrent licensing and remote
pricing updates via the Internet for Ford dealers in Mexico.

Internet Strategy
Begins

The release of Microcat for Hyundai Australia and Honda Australia
achieved a 100% penetration soon after release.

Targets Achieved

The first phase was completed in Infomedia's internal electronic
document management system.  The system facilitates easy and
rapid access of corporate correspondence and documentation.

Datateck pilots Partfinder for Whitegoods and continued to develop
this opportunity, allowing the Company to expand its market into a
second major global industry.

Document
Management

Second Global
Industry

www.infomedia.com.au

3

Introduction
Some of the information covered in this Annual Report was presented in the Prospectus for the Company's

recent initial public offering and successful listing on the Australian Stock Exchange. However, as the Annual

Report will stand as the official record of your company's achievements, we have reiterated some of that

material here for the information of shareholders and the investment community.

We trust you agree, the achievements you will read about in this report contribute to building a successful

public  company  -  a  company  built  to  last.  During  the  following  pages  you  will  learn  about  the  work,

achievements and near-term plans of the Company, its management and its staff.  

The  sentiment  of  the  1999/2000  financial  year  could  best  be  captured  by  the  words  GROWTH  and

TRANSFORMATION. 

During the year we made great strides in our product development with the introduction of new versions of

Microcat for new markets. Major advances were also made on developing a comprehensive approach to

transform EPCs from CD/DVD-ROM delivery into a product able to be delivered effectively on the Internet.

Toward the end of FY2000, the acquisition of Datateck added further depth to the Company's skill base and

product offerings.

Our production and operations activities increased throughput, automated new functions and achieved good

on-time performances.  Throughout the year, subscription numbers increased globally through the work of

our sales and marketing teams. And finally, our administrative teams performed admirably, not only

managing the significant growth of the Company, but also with the transformation of the Company from

closely held to publicly listed.

It is intended that the following pages will give you a strong sense of the ability, commitment and the

determination to achieve that the management and staff of Infomedia have.

Welcome to  the  first annual repor t of
Infomedia Ltd.

www.infomedia.com.au

5

Infomedia is an Australian software and content development company which specialises in serving
the automotive trade worldwide.  It is a global leader in the field of electronic parts catalogues (EPC) for
the automobile industry.  Infomedia's EPC products, Microcat® and Partfinder®, enable sales and service
staff at vehicle dealerships to swiftly and accurately find replacement parts for customers or for in-house
service mechanics.  

The  Industr y
The US$1 trillion per annum automotive industry is one of the largest global markets for electronic parts
catalogues. It is serviced by a  relatively small number of EPC suppliers. Producing an EPC in the automotive
industry requires the cooperation of the vehicle manufacturers.  They own the original data and license its use
to EPC suppliers.  Infomedia has developed and maintained excellent relationships with its data  licensors.
For  example,  during  this  year  Infomedia  executives  received  the  prestigious  Ford  Motor  Company
President's Award for Customer Driven Quality.

The needs of automotive dealers drive the demand for EPCs. After-sales service and repairs provide
a significant proportion of auto dealer's income and profitability.  Microcat and Partfinder provide a higher level
of precision and are faster to use than paper or microfiche-based catalogues.  Dealers are able to identify the
right replacement part the first time with a minimum of fuss.  Industry developments, such as built-to-order
vehicles, will increase the need for EPCs as vehicle complexity increases.

The  Company
Infomedia commenced business in January 1988 as Infomagic Australia Pty Limited, importing and
distributing software and peripherals.  However, management sought long-term success in the development
and  marketing  of  the  Company's  own  products.    Consequently  Infomedia  purchased  the  complete
intellectual property rights to an automotive EPC project called MicroCat in 1991 and launched

it in Australia the following year after substantial development. 

In October 1994, the Company sold its importation and distribution business and
the Infomagic name  and re-launched itself as Infomedia Australia Pty Limited.
The business focused on further marketing and development of Microcat. July
1997  saw  Microcat  launched  internationally  when  Ford  Europe  exclusively
licensed its parts catalogue data to Infomedia to produce a multilingual version
of Microcat for Ford Europe dealers.  In 1999, Ford operations in Canada,
Japan, Mexico and the USA granted Infomedia distribution or licensing rights
to expand Microcat into these countries. 

In March 2000, Infomedia acquired Melbourne-based Datateck Publishing Pty Limited.  Datateck owns the
complementary EPC, Partfinder, and a range of other complementary products such as printed and online oil
and  lubrication  publications  used  by  leading  oil  companies,  petroleum  product  agents  and  consumers.
Datateck also provides a variety of other data analysis and cataloguing services to the automotive industry.

Infomedia's competitive advantage is partly a result of the business model which has been structured so
that  many  labour  and  capital  intensive  functions  are  undertaken  with  alliance  partners,  distributors  or
service agents. Sales, duplication and distribution of CD/DVD-ROMs and help desk services are some of
the  functions  that  are  'outsourced',  thus  reducing  the  engagement  of  capital,  and  managerial  resources
required by Infomedia.  

Another important element of Infomedia's competitive advantage is the key value proposition for customers
based on providing EPCs for a reasonable monthly subscription price, without tying them to a long-term
contract.  The quality, affordability and user-friendly nature of the product means that dealers rarely terminate
their subscription. 

Importantly, a majority of Infomedia's monthly subscriptions are invoiced directly to vehicle manufacturers or
their national distributors. As such, rather than receiving more than 24,000 individual subscription fees every
month, Infomedia collects monthly payments from a small number of large and highly credible companies.

Flagship Product
Infomedia's flagship product is the Microcat electronic parts selling system for the automotive industry. While
Microcat is generally defined as an electronic parts catalogue, it is actually much more transaction oriented
than the typical EPC.  Microcat is a specialised business tool designed to make the selection and sale of
replacement parts quick, easy and accurate. At the heart of Infomedia's products is a sophisticated parts
analysis program. Microcat delivers information in a variety of user-friendly ways that have been developed
with input from both the vehicle manufacturers and the dealership users. 

Infomedia's systems can operate on both local area networks or in stand-alone environments.  They are
currently provided on CD/DVD-ROM, either on a monthly or quarterly basis, and are designed to operate
on a Pentium PC platform. Each edition is easy to install and can be integrated with most of the leading
dealership accounting systems. Microcat dispatches its order-lists directly into the dealership's accounting
system. This integration helps dealers to manage their inventory, order-entry process and debtors.  

To  protect  the  Company's  intellectual  property  from  unauthorised  use,  Microcat  employs  a  physical  security
device known as a "dongle". Each dongle has an individual serial number and is programmed by Infomedia to
allow a user to install and operate a specific version of the Microcat system. It is difficult for dongle security to
be thwarted because the device is a physical piece of hardware and not practical to replicate.  These dongles
are not sold to the subscribers. They remain the property of the Company and must be returned in the event of
a subscription cancellation. If lost or stolen the dongle is deactivated from accessing future releases of the system.

www.infomedia.com.au

7

Talent, Culture  and Values
Youth, strength, experience and commitment combined with seasoned business savvy and a strong corporate
culture is what makes the Infomedia team so successful.

The Company is divided into six departments: Executive, Product Development, Production & Operations,
Sales & Marketing, Finance & Human Resources and Legal & Security.   Corresponding functions within
subsidiaries report through these six departments.  The nature of Infomedia's raw material resource is creative
talent in the form of programmers, graphic artists, data analysts, production specialists and executives.  

Staff  and  management  are  encouraged  to  be  innovative,  imaginative,  analytical,  action-oriented  and
communicative. These qualities address the core of our corporate culture. Personnel use this environment of
creativity  to  invent  the  products  and  carry  out  the  processes  of  the  business  with  skill,  enthusiasm  and
commitment.  As  a  talent  based  organisation  Infomedia  has  built  the  enterprise  upon  four  basic  tenets  -
product innovation, transaction simplicity, retention of revenue streams and personal integrity.

The Company is committed to the pro-active development of young minds. To give expression to this
commitment, the Company operates apprenticeship and internship programs for younger people. At the
end of FY2000, these programs had  nine participants. Three of the Company's management staff have
successfully emerged from such programs.

Infomedia also has a scholarship program that encourages all staff to improve their skills and credentials. In
the last financial year, more than half the staff availed themselves of this opportunity. Staff took up training
opportunities in programming, personal development, management skills and office productivity software. 

Infomedia has established employee share plans for full-time staff who have been with the Company one
year or more.

Talent flourishes in an atmosphere conducive to respect for the individual. Our
headquarters is a campus style facility in Narrabeen that allows people to walk
about by the lake or ocean, refreshing their body and mind.

Tina and people from more than ten countries comprise Infomedia’s staff.

www.infomedia.com.au

9

Luke Thompson considers coding challenges of producing a
best-in-class Internet EPC - Microcat Online.

l

l

l

l

l

i t ,

  s k i

  W h e r e

l a s t   t w o   w e e k s .
i n s p i r e d   b y   t h e   a c h i e v e m e n t s   o f   t h e   a t h l e t e s   o v e r   t h e  
  p e r f e c t i o n .
I n f o m e d i a   O l y m p i a d
l e v e l s   n e a r i n g   p h y s i c a l
l y   a r e   e x t r a - o r d i n a r y   p e o p l e .
i n  
S o   m a n y   y e a r s   o f   s a c r i f i c e   e n d i n g  
I   w a s  
  t h o s e   r e a l
  k n o w i n g   t h e y   w i
  a n d   s t r e n g t h ,
  a n d   s h i n e   a t   w h a t   t h e y   d o .
i f e   t h e r e   a r e   p e o p l e   c o n t e n t   t o   w a t c h   g r e a t n e s s ,
S o   m u c h   p r i d e ,
i s   a   p l a c e   w h e r e   p e o p l e   d o   s h i n e ,
  a n d   t h o s e   w h o   s t a n d   o u t ,
  I n f o m e d i a  
I n  
n e v e r   t a k e   p a r t ,
  T h e   p e o p l e   w h o   w e r e   r u n n i n g   2
a n d   w i n   s o m e   p r e t t y   h a r d   r a c e s   t o o .
I n   m y   e x p e r i e n c e   o f  
  a n d   h a v e   b e c o m e   c o a c h e s .
  w i t h   o n l y   2   a t h l e t e s   a n d   2
  s p o n s o r s h i p ,
  a t   t h e   s a m e   t i m e ,
  h a s   c h a n g e d .
  d e l e g a t e s ,
l
i s   c h a n g i n g ,
  a l
  e x p e c t i n g   t o   s e e   s o m e t h i n g   m o r e   g r e a t .
i n   d i f f e r e n t   e v e n t s ,
f r o m   r a c i n g ,
  a n d   o f f i c i a l
i c   o f   C o n g o ,
I n f o m e d i a  
  T h e   p r o d u c t i o n   t e a m  
y e a r s   a g o   a r e   r e t i r e d  
  a n d   c o a c h e s ,
  A t h l e t e s   t a k i n g   p a r t  
i k e   t h e   R e p u b l
  T h e y ' r e   o f f   -   r a c i n g   t o   t h e   h a n d - o v e r   p o i n t   -   P r o d u c t i o n   a n d
  w e   n o w   h a v e   g r o u n d   c r e w ,
  a r e   s e a t e d   w i t h   a n   e x p e c t a n t   h u s h .
l
w e   w e r e   o n c e  
l o o k i n g   o n ,
i n   t o w.
i t
  D e v e l o p m e n t   g e t t i n g   r e a d y   t o   t a k e  
a n d   a   t r a c k   r e c o r d   o f   m a n y   m e d a l s  
l a r g e r   c r o w d s  
  L u k e
o f f i c i a l s ,
j u s t   b e h i n d ,
i n c r e a s i n g l y  
  a n d   a l
i t y
i n   t h e   c r o w d s ,
  Q u a l
w i t h   e x p e c t a t i o n s   a n d  
  t h e   w a y   t o   t h e   h a n d - o v e r ,
  b e s t .
l e a d ,
  t h r e e   a r e   r u n n i n g   a b o v e   t h e i r   p e r s o n a l
  B a n g !
  J o r d e n   a n d   C h r i s   c l o s e
t h e  
  b o u g h t  
i n   h a n d .
i s  
O u r   o f f i c i a l s   h a v e   s e t   u p   t h e   r a c e s ,
i s   a w a y   -   J u s t i n  
  d a t a   b a t o n  
  p u s h i n g   h a r d   a l
i n   G a r y ' s   f a c e   a s   Q S   a p p r o a c h   t h e   S a l e s   a n d   M a r k e t i n g
l e a d   w i t h   P e t e ,
i n e d   u p   o n   t h e   s t a r t i n g   b l o c k s ,
  P r o d u c t   D e v e l o p m e n t  
l e a d i n g   t h e   f i e l d ,
  a n d   C l a y   v y i n g
  r e c o r d   f o r   J u s t i n   -   a l
i s   t a k i n g   a n   e a r l y  
  T h e   t e a m   h a v e   o u t d o n e
  M i k e   a n d   I a n  
  A l
t h e r e .
l y   b r i n g i n g   t h i s   o n e   h o m e .
  To n y  
i n g   t o   c a t c h   t h e m   -   t h i s   c o u l d   b e   a   n a t i o n a l
  A   g o o d   c h a n g e   o v e r  
i s   p a s s e d .
O p e r a t i o n s ’
  Yo u   c a n   s e e
  a n d   t h e   b a t o n  
  Yo u   c a n   s e e   t h e   a n t i c i p a t i o n  
  1 0 0 %   m a r k e t   t a k e - u p .
i k e   a   1 0 .
  H e ' s   r e a l
f o r w a r d .
i n   e x p e c t a t i o n ,
  L o o k s  
i s   o f f   t o   a   g o o d   s t a r t .
  Yo u   c a n   s e e   t h e   s c o r e s   g o i n g   u p   o n   t h e   b o a r d   t h e r e .
  s u c c e s s ,
s t r u g g l
l e a d .
S e r v i c e s   s t a r t   r u n n i n g  
o n   h i s   h e e l s   -   Q S   m a i n t a i n i n g   t h e  
  I t ' s   a   t o t a l
  G a r y  
  Ye s !
i t ' s   g o i n g   t o   b e   a   n e w   r e c o r d .
  N o w   S a l e s   t a k e s   o f f .
  W h a t   a   r a c e !
i e f   o n   t h e i r   f a c e s .
h a n d - o v e r .
i t .
i k e  
l o v i n g  
l o o k s  
i s  
  A n d   t h e   c r o w d  
i t  
  a n d   t h e   r e l
l v e r ,
f o r   s i
i n t o   t h i s ,
j u s t   p l a i n   b l o o d y   h a r d   w o r k   t h a t   h a s   g o n e  
t h e m s e l v e s .
t h e   e f f o r t   t h a t   h a s   g o n e  
i n   t h e   m o m e n t   h e r e .
i t t l e   c a r r i e d   a w a y  
  a n d   t h e  
l
M a y b e   I ' m   a  
  t h e   t e a m s h i p ,
  t h e   p a i n ,
  t h e   n e a r - p e r f e c t   r e c o r d s ,
t h e   s a c r i f i c e ,
p r i d e ,
p r o u d   t o   b e   a   p a r t   o f .
  t h e   b e s t   f o r   o u r   n e x t   e v e n t ,

l
i s   a n y   r e a s o n   w h y   w e   s h o u l d   n o t   a l
  b e   a n d  
l
l
  O u r   r e w a r d   w i
i f t e d   u p   b y,
i n t o   t h i s   t e a m .
i c   r e c o g n i t i o n   t h a t   t e a m s   o f   o t h e r   s p o r t s   a r e  

  B u t   I   d o n ' t   b e l

  a n d   t h e   p u b l

i e v e   t h e r e  

  S i m o n  

i n  

i s

l

l

l

l

l

l

l

A l

l

  s e e   t h a t
i s   t h e
  a n d   f e e l

L u k e

Stronger, Higher, Faster
The  day  the  27th  Olympiad  finished,  Luke  Thompson,  Manager-
Communication Development, circulated an email to all staff. It express-
es  his  realisation  that  the  essences  of  any  elite  achievement  such  as
Olympic  athletics  or  world-class  product  development,  is  a  deep  and
committed human endeavour.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Executive
The charter of the Executive is to establish and maintain an environment conducive to achieving the goals
established for the Company by the Board of Directors.  The Executive is responsible for empowering the
senior management with knowledge, strategic direction and resources to be able to achieve their departments’
optimum contribution to those goals.

Throughout  the  year,  the  Executive  led  by  Richard  Graham,  CEO,  continued  to  make  significant
progress in transforming the Company from its entrepreneurial origins into its public company structure.
This process began in the previous financial year, when Legal & Security and Human Resources were
created  as  separate  senior  management  roles.  Mid-year,  Andrew  Pattinson  joined  the  Department  as
Chief of Special Projects.  

The predominant achievements of the Executive in the FY2000 year, were:

Facilitating senior management according to above charter;
Transition support for the new Legal & Security and HR management;
Determining and planning transformation to public company;
International product planning and senior client liaison;
Corporate financial planning;
Acquisition planning and negotiation;
Support of acquisition management for smooth integration and asset maximisation; 
IPO planning and implementation, including due diligence and international and domestic roadshow events.

1
2
3
4
5
6
7
8

The continued development of the Executive team is progressing well.  It is the intention of management to
further strengthen the senior management team during the new financial year, through the recruitment of a Chief
Financial Officer to take over those hands-on financial duties still performed by the CEO. 

www.infomedia.com.au

11

Creative and talented people flourish in an environment of respect and admiration

The  Finance  &  Human  Resources  department  secures,  administers  and  develops  the  financial  and  human
resources of the Company.  The finance side of the department is responsible for accounting and treasury,
while HR is responsible for recruitment, remuneration, recreation and retention. 

Human Resources
Human Resources, led by Linda Graham-McCann, began the 2000 financial year by establishing its infrastructure
and methods. Previously, HR management was the responsibility of each department manager. 

HR also embarked upon an intensive recruitment campaign for Product Development.  The HR team worked
to add structure to the Company's policy of apprenticeship and internship.  By the end of the year, the initiative
encompassed programming, paralegal and network administration. 

HR supported the reorganisation of the Product Development department.  This saw the transformation of a
monolithic team into three smaller, more focused and agile teams - Application Development, Communication
Development, Data Centre Development - each one being managed by a senior developer.  Staff also benefited from
generalised Business and Time Management training provided by the department. 

HR commenced the annual performance and remuneration review process.  Working closely with department
managers, HR established more formal performance and goals analysis.  Personnel scholarship funds were renewed
and the department worked with professional advisors to frame employee share ownership programs.

The  final  quarter  of  the  year  was  largely  focused  on  the  smooth  integration  of  the  Datateck  staff  into  the
expanding Infomedia organisation.  

Q1
Q2

Q3
Q4

Finance
During the 1999/2000 financial year, Finance,
managed  by  Chief  Accountant  John  Peterson,
met  all  milestones  and  deadlines  on  time  and
without strain.  In the latter half of the year, the
department  made  substantial  contributions  to
the  Due  Diligence  process  leading  to  the
Company's Initial Public Offering.

During  the  first  quarter,  Finance  brought  an
orderly close to the previous financial year and
commenced preparation for the annual audit by
Ernst & Young. In the second quarter, with the
FY1999  audit  complete  all  required  statutory
matters  were  attended  to  on  time.    Having
decided in December to proceed with public listing, the department began preparations
for a half-year audit.

Throughout the second half of the year, the Finance team successfully coped with the
substantial  increase  in  workload  brought  on  by  its  participation  in  the  IPO  Due
Diligence  process.    Despite  this  added  responsibility,  the  Finance  team  admirably
handled the daily workload of the business.  

www.infomedia.com.au

13

Nick Georges’ mentoring is a valuable part of Michael Richardson’s internship.

Legal & Security
The  Legal  &  Security  department  secures,  administers  and  develops  the  Company's  contractual
relationships  with  other  parties.    The  department  is  responsible  for  supporting  compliance  to
contracts and legislation and managing appropriate access to contracts and confidential information.

The Legal & Security department, led by Nick Georges, General Counsel and Company Secretary, operated
at full capacity throughout the year in terms of productivity, throughput and infrastructure development. 

The  department  worked  on  a  variety  of  specific  projects  such  as  providing  support  to  HR  and  Product
Development for visa applications and service agreements, due diligence on acquisitions, company secretarial
functions, and most significantly, participation in the Company's IPO due diligence process.

Building upon the foundation begun in the previous financial year, the Legal & Security department made
positive  progress  in  establishing  a  strong  and  able  legal  resource.    Legal  &  Security  has  worked  to  protect
Infomedia's intellectual property globally through the registration of trademarks and securing key domain names. 

Infomedia’s environmental
contribution 

Infomedia  has  the  privilege  of  having  its  work  contribute  to  a
healthier  environment  for  our  planet.  With  its  Microcat  and
Partfinder  electronic  catalogue  products  and  its  Internet  based
lubrication guides, Infomedia has been at the forefront of greening
the automotive industry. 

Infomedia’s Microcat and Partfinder products have made it possible
to replace paper and microfiche parts catalogues for tens of thousands
of  automotive  catalogue  users  around  the  world.    Subsequent  to  the
success  of  the  Infomedia  products,  Ford  Motor  Company  in
Europe  and  Australia  has  ceased  production  of  microfiche  parts
catalogues.    In  February,  Ford  Motor  Company  in  America
announced that as of July 2000 it would cease its annual production
of paper catalogues for cars and trucks.  This represents a reduced
paper consumption greater than 60 tonnes annually. 

www.infomedia.com.au

15

Simon Forwood leads a Data Centre think tank group to develop leading-edge data handling models.

Product  Development
The  Product  Development  department  creates  and  maintains  the  Company's  software  products,  software
manufacturing  tools,  software  data  and  image  processing  tools  and  participates  in  the  design  and  analysis
stages of development work.  The department is also responsible for the warehousing of client data and the
pre-processing of the data for product assembly. The Product Development team experienced significant
expansion throughout the year, both in terms of team size and product throughput.

The department, led by Director of Product Development, Ian Joicey, provided the Company with three new
versions of Microcat.  These included Microcat for Ford Canada, Ford Japan and Daihatsu Europe.  Each of
these  versions  of  Microcat  required  solving  programming  and  production  challenges  not  previously
encountered.   Work continued on the Internet initiative, Microcat Online.

Q1

The  department  underwent  a  reorganisation  that  resulted  in  establishment  of  three  specialised  teams:
Application  Development,  led  by  Justin  Sher;  Data  Centre  Development,  led  by  Simon  Forwood;  and
Communication Development, led by Luke Thompson.  This new structure provides more flexibility of task
and resource allocation and provides greater personal development potential for the group managers.  

Q2

Application Development is responsible for programming the core Microcat application for newly acquired
data licenses and for the update and improvement of existing Microcat applications. The Data Centre team
implements more powerful data management models to support our traditional and online delivery methods.
Communication  Development  specialises  in  Internet  programming  for  Microcat  Online  and
communications interfaces between Microcat and dealership accounting systems.

The benefits of the re-organization were seen as the department delivered more new versions of Microcat for
the  world  market.   These  included  Microcat  for  Ford  USA  and  Ford  Mexico.    Development  of  Microcat
Online  continued and moved into limited testing over the Internet. This quarter saw the completion of a
massive technology upgrade that had commenced during the previous quarter.  This involved the deployment
of new processing power for every member of staff and a high-security isolated network to assure security of
the Company's and its clients' intellectual property. 

Q3

The department's contributions continued with the deployment of Infomedia’s Internet enabling technologies.
These were concurrent licensing authorisation and remote pricing updates for Microcat. Both were launched
with the April release of Microcat for Ford Mexico.  The developers also delivered new versions of Microcat
for Hyundai and Honda in Australia.  These products were created and released in less than twelve weeks.   

Q4

A fourth team, Multimedia Development, was added to the department, led by Robert Davidson.  This team
immediately applied its skills to the unique user-interfaces of Microcat Online, which moved to alpha testing.  

Datateck  developers  met  their  Sydney-based  colleagues  and  exchanged  ideas  and
information.  During this last quarter of the year, they stayed focused on the continuous
improvement of automotive and whitegoods versions of Partfinder.  A new release of the
Telstra White Pages CD-ROM was also prepared.  

Generally throughout the year, the department director and managers have embraced
our company goals of quality product development, business with integrity and
personnel development. 

www.infomedia.com.au

17

Key to the department’s success are its image keying specialists who have enhanced more than 250,000 illustrations.

Production and Operations
The  Production  and  Operations  department  manages  the  product  assembly  and  manufacturing  processes.
This is the point where data is turned into a CD/DVD-ROM product.  The department is also responsible
for pre-processing and keying all image data elements.  Keying provides a sense of intelligence to inanimate
data.   The department's graphic artists and illustrators generate new illustrations for some versions of our
products, as well as much of the Company's brochure and advertising artwork.

Throughout  the  year,  the  Production  and  Operations  team  focused  on  improving  processes  and  utilising
increased capital infrastructure to handle more input elements, to increase throughput.

The  department,  led  by  Michael  Foster,  Director  of  Production  and  Operations  -  Sydney,  worked  in  con-
junction with Product Development to release new versions of Microcat for Canada, Japan and Europe.  In
addition, the department produced six other versions of Microcat each month.  Plans were made to introduce
more automation and higher performance equipment to support the larger workload resulting from the new
releases. Negotiations established Sony Disc Manufacturing Inc. as the DVD-ROM duplication supplier for
North America.

The Production and Operations team supported pre-release beta-testing of Microcat for North America and
Europe.   This  involved  great  persistence  and  effort  on  the  part  of  the  team  to  cycle  through  numerous
database revisions and re-manufacturing processes  until the product was ready for final production release.
As part of the overall technology upgrade, the department implemented its plan for a unique 'data assembly
plant'.  As a result, production times were reduced and first-time quality assurance passes increased.

The  department focused on pre-processing and image keying of the Honda and Hyundai data elements.  The
team worked closely with Product Development and Sales and Marketing teams during the pre-release phase
of these new versions.  Senior Graphic Artist, Helene Ruma, commenced design of the prospectus the Company
issued for the IPO.  Integration of the tech-
nology  upgrade  continued  and  the  ‘data
assembly plant' commenced its ramp-up.

Michael Foster
stands before the
data assembly
plant.

By the end of the fourth quarter, the depart-
ment  was  handling  the  monthly  manufac-
ture of eleven versions of the Microcat sys-
tem.    They  coordinated  the  monthly
duplication  of    more  than  38,000  discs
from four locations - the USA, Austria, and
2 in Australia.  More seamless links between
the  Quality  Services  and  product  rework
teams were established.  The IPO prospectus
moved  into  its  final  presentation  structure
and the Infomedia website was prepared to
handle its electronic release.  

Q1

Q2

Q3

Q4

During the year, the department made bold strides to increase capacity while reducing
costs per unit.  This was realised through planning, training and capital expenditure.
Mid-year, the department demonstrated its maturity and stability with the successful
senior management transition from Andrew Pattinson to Michael Foster.  Michael's
promotion resulted in the successful upward movement of other personnel. 

www.infomedia.com.au

19

Courtney Sloane rushes the latest batch of CD ROMs to be dispatched to users around the world.

Sales and Marketing
The Sales and Marketing department manages the successful and profitable commercialisation of the Company's
intellectual property, products and services.  The department is responsible for developing, implementing and
monitoring sales and promotion strategies.

Throughout the year, Sales and Marketing grappled with establishing a departmental structure to keep apace
of triple digit growth and rapid product releases. For most of the year, the department was generally short
handed for the volume of business it managed.  However, by the end of the financial year a clear recruitment
plan had emerged that would establish new staff positions to control orderly growth. 

The department, led by Gary Martin, Director of Sales and Marketing, was intensely focused on three
significant product rollouts - Microcat for Ford Canada, Ford Japan and Daihatsu Europe.  The department
was directly involved with establishing distribution channels and providing distributor product orientation.
The  team  also  liased  between  customers  and  Product  Development  to  fine-tune  product  releases.
Domestically, the team commenced use of the Fordstar satellite television system to deliver monthly training
sessions to Ford dealers around Australia and New Zealand.

Microcat for Ford North America and Daihatsu Europe continued as the department's main focus.  Pre-release
trials were run in the US and user comments for improvements were communicated to the developers.  The
department established specifications with Ford Europe for a major expansion of Microcat's functionality to
support productivity gains in dealership service departments.  The team worked with European and North
American distributors to establish the administrative routine.  Advances were made to selected automakers to
secure licenses to reproduce their data in new Microcat versions.  

Quality Services, led by Tony Magnus, Manager, resides within this department.  During his first quarter with
the Company, Tony and his team introduced rigorous assurance procedures.  Quality Services also worked
with Product Development to create a suite of automated testing tools to reduce human testing fatigue.

The main focus of the first half-year came to fruition and delivered revenue growth.  With the Company's
first full United States release, Sales and Marketing pursued a strategy to build-up market recognition and
acceptance, distributor capabilities and third party training support.  In a modest but well attended booth, the
team demonstrated Microcat at the North America Dealer Association show.  A third-party relationship was
nurtured with a USA firm that provides one-on-one Microcat training to users. In New Zealand, Microcat
was selected over the competition for use by the Ford Retail Joint Venture initiative.

Soon  after  the  acquisition  of  Datateck,  the  two  sales  and  support  teams  merged  into  one  and  successfully
launched Microcat for Hyundai in April and for Honda in May.  These were two record setting launches with
100% of dealers quickly taking up Microcat. On the other side of the world, another record was being set with
the launch of Microcat for Ford Mexico.  There, for the first time, the dealers were
using our new Internet based concurrent licensing technology instead of Infomedia
proprietary dongles.  By the end of the quarter, the department was organising the
international  Microcat  Internet  Workshop  in  Leura,  NSW.  Infomedia  used  the
Workshop,  attended  by  senior  management  from  automakers  and  distributors,  to
preview  the  Company's  approach  to  providing  effective  EPC  delivery  via  the
Internet.

Q1

Q2

Q3

Q4

www.infomedia.com.au

21

Barry Pow and his illustrator colleagues apply years of skill and knowledge into the illustration of a part image.

The role of the Datateck Publishing division is to develop, manage and successfully commercialise original
data and information research, for selected industries that utilise significant replacement parts strategies.   

Throughout the year, the division's data analysts, illustrators, and research specialists focused on enhancing
existing publication assets as well as redesigning or creating new ones, especially for the Internet or inclusion
with the Company's EPC products.

As Datateck became part of Infomedia only during the last quarter of the financial year, it is more appropriate
to review here the overall achievements of the division rather than quarterly ones.

Data  Management Outsourcing
Datateck has a long standing and excellent reputation for handling vital cataloguing and service documentation
for  Australian  automakers.    Led  by  Mike  Reece,  New  Business  Development  Executive,  and  Michael
Roach,  Manager  of  Production  and  Operations  -  Melbourne,  the  outsourcing  team  has  performed  for
leading automakers including Ford, GM-Holden, Mercedes, and  Toyota to name a few.  

This team of analysts and illustrators have a rich tradition and experience in this type of specialised work.
The  Division  is  able  to  support  automakers  for  short-term  special  projects  or  takeover  the  automaker's
entire cataloguing activity.

Throughout the year the team provided the Australian data analysis for the Audatex system as well as parts
illustrations for GM-Holden.  For Toyota, the divisions analysis wrote franchised service manuals, while
for Mercedes and the Australian Defence Forces the team developed highly specialised documentation for
certain vehicles.

Original
Research - 
Oil  Industr y 
Datateck  has  a  special  relationship  with
leading  Australian  oil  companies  led  by
Project  Manager  Peter  Bates.    Datateck
researches, collects and maintains gener-
ic  lubricant  information  and  data  per-
taining  to  the  servicing  of  automotive
and  other  mechanical  devices  sold  in
Australia and New Zealand.  It then cor-
relates  these  generic  specifications  to
specific  oil  company  product  equiva-
lents. This  work  assists  lubricant  stock-
ists to identify their branded lubrication
product, according to specifications of the original equipment manufacturer.  

Datateck published the PC Lube database as customised books for each oil company's
products as well as providing the database for use on the companies' Internet sites. 

www.infomedia.com.au

23

Alan Emery is confident that Partfinder® for Whitegoods will be the toast of the appliance repairer industry.

Par tfinder® for Whitegoods
Alan Emery is the Project Manager for the division's first EPC outside of the automotive arena.  Partfinder for
Whitegoods was created in conjunction with parts data supplied by Australian appliance manufacturer and dis-
tributor Email Limited.  

The  division  expects  to  continue  to  mature  the  development  and  marketing  of  this  EPC  publication
throughout  the  2001  financial  year.    It  anticipates  this  genre  of  EPC  will  experience  an  escalation  in
demand  during  the  2002  financial  year,  and  accordingly  is  planning  additional  investments  in  further
product development and marketing to ensure supply.

Lubrication and  Tune-Up Guide
For 39 years Datateck has produced this well respected publication. For the first time in its history, the 800
page guide is being opened to advertising, which is expected to be the start of a significant new revenue stream
for the division's publications.  The guide provides automotive workshop operators and mechanics necessary
service metrics information in a time-tested fashion.

The next publication will be supported by a direct marketing campaign to increase sales and penetration. A
pay-as-you-go Internet version of the guide has also been developed and is projected for release during the
2001 calendar year.

Partfinder for Independent Motor Trade 
Partfinder for Independent Motor Trade (IMT) is under development for use by independent mechanics
and repairers. Partfinder IMT will support the identification of replacement parts directly in the workshop
or service bay. 

For years the independent motor trade has
needed  a  reasonably  priced,  illustration
driven  front  end  to  their  quotation  and
business  management  systems.  Prior  to
Pathfinder IMT, such systems were generally
limited to text-only user interfaces.

Once  completed,  the  new  Datateck  ini-
tiative  will  be  able  to  cover  all  leading
vehicle  brands 
in  Australia.
However,  each  OEM  will  have  to
approve  the  release  of  their  data  to  the
trade.

sold 

www.infomedia.com.au

25

Microcat has transformed parts catalogues from reference books to business tools .

Infomedia's growth outlook for FY2001 is strong. The Directors have forecast a near doubling of revenue to
30  June  2001  to  $41,974,000.  Similarly  both  EBITDA  and  profits  after  tax  are  forecast  to  grow  to
$24,689,000 and $15,930,000 respectively. Due to its recurrent revenue structure, the Company is on track
to achieve substantial growth.

The main platform for Infomedia's domestic and international growth strategy will continue to be its EPC
products.  In  the  IPO  Prospectus,  the  Directors  forecast  that  these  products  will  have  approximately
34,000 monthly subscribers by 30 June 2001.

The Company intends to increase its subscriber base by:
· Completing more vehicle manufacturer data license agreements and producing new versions of Microcat;
· Achieving deeper penetration of products in existing customer base, especially in service departments;
· Completing agreements to allow Infomedia's licensed products to be used by non-franchised users such as 
fleets, insurance assessors and independent repairers;
· Introducing Internet versions of Microcat to serve non-dealer catalogue users;
· Completing agreements to have existing data licenses expanded into new territories; and
· Marketing ancillary products directly to dealers in association with agents.

Acquisitions
The  second  platform  for  growth  is  through  selective  acquisitions  which  can  increase  the  breadth  of
Infomedia's data license agreements, introduce new subscribers or provide core intellectual property and
products. Infomedia expects that it will continue to acquire other organisations and intellectual property,
both domestically and internationally, to complement its business.

In making acquisitions Infomedia will seek:
· Intellectual property associated with new and enabling technologies applicable to automotive business tools
(for example products that will assist Infomedia to further serve its subscriber and distribution network) 
and extending Infomedia's product suite into new industries;
· Data license agreements not presently represented; or
· Additional EPC product subscriber licensees.
Inter net Deployment
The  substantial  size  and  complexity  of  electronic  parts  catalogues  has,  until  recently,  prevented  them  from
being commercially published over the Internet. The large volume of data that an EPC holds did not permit
quick  response  times  for  commercialisation.  However,  the  Directors  believe  new  compression  and  data
modelling strategies, increasing growth of broadband capabilities and reduced bandwidth costs will enable the
Company to deliver Microcat Online, as a new subscription product, over the Internet.

Pilot  runs  of  these  products  are  anticipated  to  commence  by  December  2000  for
North America.

www.infomedia.com.au

27

Microcat as an  Adver tising Medium
Microcat Online has the potential to generate advertising revenue. It will be ideal for banner, pay-per-click
and pay-per-transaction advertising. Microcat Online will be a targetable affinity ASP, meaning that advertisers
will  be  able  to  target  specific  demographic  audiences  such  as  trade  repairers  or  motor  enthusiasts.  As  specific
demographic  advertising  is  desirable,  sites  with  this  capability  are  able  to  charge  higher  rates.
Personalisation of each user will make it possible to serve even more targeted ads. The Directors believe
the operational nature of Microcat Online will ensure several of its content pages are viewed per user visit,
with each page providing a new advertising revenue opportunity.

New Industries for Microcat and Partfinder
Although  Infomedia  developed  its  EPC  products  specifically  for  the  automotive  industry,  the  systems  are
equally relevant to any industry that manufactures or distributes merchandise which is defined by models, is
repairable, has many replaceable parts and is supported by a significant number of decentralised repair outlets.

While  Infomedia  is  keenly  focused  on  the  global  automotive  industry,  the  Company  also  produces  a
whitegoods  version  of  Partfinder  for  some  Australian  whitegoods  manufactured  and  distributed  by  Email
Limited. Infomedia will continue to develop this market towards its full potential in the years ahead.

A company built  to  last
The next year will see continued growth in market share for Infomedia's key products of Microcat and Partfinder.
New products and services will be released.  The business solutions offered in CD/DVD-ROM based data
management will be augmented by the successful automotive publishing projects acquired with Datateck. 

Furthermore, the next generation of Infomedia products and services are in development. Some of these
will be in the market in the coming year. While it is the Company’s general policy to retain strict confidentiality
about commercially sensitive product information development, it will provide shareholders non-sensitive
updates  about  new  developments  in  its  intra-year  reports.  Acquisitions  will  add  revenue,  products,  and
experienced and committed management and staff. 

Today,  Infomedia views the Internet as an unregulated public utility that will, over time, mature into a
reliable telecommunications facility for business. But just like the telephone or facsimile, it will be the quality
and effectiveness of the business application which traverses the facility that will win and keep customers
and not the mere existence of the facility. When Infomedia releases its EPC products and services via the
Internet, they will be commercially effective, technically reliable and profitably implemented. 

Infomedia's listing on the ASX is a solid step toward the construction of a new Australian based information
science company.  The completion of Infomedia's IPO is the beginning of the next phase of material business
growth and product development. Infomedia’s management team has been committed for more than a decade
to create a company built to last and they remain fully engaged in that commitment today.

www.infomedia.com.au

29

Your FY2000 Directors

From left to right: Richard Graham, Myer Herszberg, Linda Graham-McCann, Fran Hernon and Barry Ford.

Your directors submit their report for the year ended 30 June 2000. The names and details of the directors of the Company in office
during the financial year and until the date of this report are: 

Richard Graham Chairman and CEO
Richard Graham has held senior management positions in the American and Australian computer industry since 1977.  Mr Graham
has been Managing Director of Infomedia since 1988.  He commenced his technology career at ComputerLand Corp (USA) and
ComputerLand Australia Pty Ltd, where he held the positions of Marketing Director and General Manager respectively.  In 1982 he
founded Wiser-Microsoft, Microsoft's first full service distributor in Australia.

Barry Ford Non-Executive Director (Chairman of Audit and Corporate Governance Committee)
Barry Ford was appointed to the Infomedia Board of Directors on the 19 June 2000.  Mr Ford was Director of Finance and Chief
Financial Officer of Goodman Fielder Ltd from 1997 to 1999 and has sat on a number of boards, including the Island Food Company
and Yallourn Energy where he was Chairman of the Audit Committee.  Mr Ford held various financial management positions at
General Motors Corporation between 1964 and 1989.

Fran Hernon Non-Executive Director (Chairman of Remuneration Committee)
Fran Hernon was appointed to the Infomedia Board of Directors on the 19 June 2000.  Ms Hernon has a background in publishing.
She has held various senior editorial and publicity positions at Channel 10, the Sunday Telegraph and New Woman magazine.  Since
joining the NRMA in 1993 as Managing Editor of Open Road magazine she has held several senior positions including Manager of
Business Communications and most recently, Manager of Multi-Business Solutions for NRMA Information Services Division.

Myer Herszberg Non-Executive Director
Myer Herszberg has been a director of Infomedia since 1992.  Mr Herszberg has extensive consumer electronics experience and was
active in bringing home computers to Australia in the early 1980s.  As founder and proprietor of Melbourne's Denman Audio chain
25 years ago, he has also brought many leading edge electronic products to Australia.  

Linda Graham-McCann Executive Director, Human Resources
Linda Graham-McCann was appointed to the Board of Directors on the 11 May 2000.  She has held senior management positions
in the Australian computer industry since 1980.  She commenced her career at ComputerLand Australia Pty Ltd.  From 1983 to 1988
she was Managing Director of Microsoft Australia Pty Ltd.  Ms Graham-McCann retired to her NSW country property for a decade
before joining Infomedia in 1999 as Director of Human Resources.

Directors were in office from the beginning of the financial year until the date of this report, unless otherwise stated.

Interests in the shares and options of the Company and related bodies corporate 
As at the date of this report, the interests of the directors in the shares and options of the Company were:

I N F O M E D I A LT D

Ordinary Shares
fully paid

Options over
Ordinary Shares

Wiser Laboratory Pty Limited
Rentamobile Pty Limited
Yarragene Pty Limited
Wiser Centre Pty Limited
Richard  Graham
Myer Herszberg
Linda Graham-McCann
Barry Ford
Fran Hernon

116,277,501
35,717,154
57,304,445
1,000,000
-  
-
25,000
50,000
5,000

-
-
-
-
450,000
450,000
-
200,000
200,000

Richard Graham is the sole director and beneficial shareholder of Wiser Laboratory Pty Limited.  Richard Graham and
Linda Graham-McCann are directors of Wiser Centre Pty Limited, trustee for the Sidford Superannuation Fund.  Myer Herszberg
is a director and major shareholder of Rentamobile Pty Limited and Yarragene Pty Limited.

PRINCIPAL ACTIVITIES
The principal activities during the year of entities within the consolidated entity were:
(cid:127) developer and supplier of electronic parts catalogues for the automotive industry globally; and
(cid:127) information management, analysis and creation for the domestic automotive and oil industries. 
There have been no significant changes in the nature of those activities during the year.

EARNINGS PER SHARE
Basic earnings per share
Diluted earnings per share
The  number  of  ordinary  shares  on  issue  used  in  the  calculation  of  basic  and  dilutive  earnings  is  315,499,190  and
325,501,510 respectively.

CENTS
2.40
2.30

DIVIDENDS
Dividends paid in the year:
· on ordinary shares

$8,721,600

REVIEW AND RESULTS OF OPERATION
Financial
The consolidated entity experienced a significant improvement in both sales and profits in the last year.  Operating revenue increased
by 98% and operating profit before tax increased by 102%

SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
On 31 March 2000, the Company acquired 100% of the share capital in Datateck Publishing Pty Limited, being 4 ordinary shares of
$1, as well as providing a loan of $4,978,288 to discharge an outstanding loan.  
On 31 May 2000, the Company changed its name from Infomedia Australia Pty Ltd to Infomedia Pty Limited.
On 19 June 2000, the shares were split to increase the number of shares issued from 480,000 to 296,499,190 in preparation for
listing on the ASX.
On the 14 July 2000 the   changed from a proprietary company to a public company.

SIGNIFICANT EVENTS AFTER THE THE BALANCE DATE
On 16 August 2000 the parent entity listed on the ASX and offered 19,000,000 new ordinary shares of $1.00 each.  
On 21 August 2000 the parent entity entered into a Call Option to purchase the business of Online Computing Pty Limited, a Perth
based software development house established in 1976.  The option must be exercised on or before 31 October 2000, or be forfeited.  
On 31 August 2000 the commercial bill of $5,000,000 was repaid in full from the float proceeds.
On 1 September 2000 3,675,352 ordinary shares were offered under the Selective Share Plan.

LIKELY DEVELOPMENTS AND EXPECTED RESULTS
The directors foresee that the 2001 financial year will be a period of managed growth of its traditional business and maximising the
integration success of its acquisitions made.  The most significant area for change will be in:
· continued expansion of subscription revenues for Infomedia’s products;
· continued development of Infomedia’s software including delivery via the Internet;
· organisation of an enhanced product range arising from the acquisition of new businesses.
It was anticipated that the 2001 financial year would show continued improvement in profits.  

ENVIRONMENTAL REGULATION AND PERFORMANCE
The consolidated entity is not subject to any particular or significant environmental regulation under a law of the Commonwealth or
of a State or Territory.

www.infomedia.com.au

31

SHARE OPTIONS
Unissued shares
As at the date of this report, there were 1,300,000 unissued ordinary shares under options with an exercise price of $1.00.  The option
holders include directors, Richard Graham, Myer Herszberg, Barry Ford and Fran Hernon.  Mr Ford and Ms Hernon may exercise
their options in three equal tranches after each anniversary of their engagement by the Company and prior to 28 June 2003.   In recog-
nition of their past service with the Company Mr Graham and Mr Herszberg may exercise their options at any time after 19 June
2001 and prior to 19 June 2003.  

Selective Share Plan
The Company will offer Shares to selected persons on set offer dates.  Under the Selective Share Plan, the participants
are limited to 17 individuals named in the Schedule to the Plan.  The total number of Shares offered will be 8,802,320.  The
consideration for each Share offered will be nil unless otherwise determined by the Directors.  At the date of this report, 3,675,352
shares have been offered to selected persons pursuant to the Selective Share Plan.

INDEMNIFICATION AND INSURANCE OF DIRECTORS AND OFFICERS
During or since the financial year, the Company has paid premiums in respect of a contract insuring all the directors of Infomedia
Ltd against costs incurred in defending proceedings for conduct involving:
(a) a willful breach of duty; or
(b) a contravention of Sections 182 or 183 of the Corporations Law,
as permitted by section 199B of the Corporations Law.
The total amount of insurance contract premiums paid was $19,184.  This amount has not been included in Directors’ Remuneration.

DIRECTORS’ AND OTHER OFFICERS’ EMOLUMENTS
The Remuneration Committee of the Board of Directors is responsible for determining and reviewing compensation arrangements
for the directors and the executive team. The Remuneration Committee assesses the appropriateness of the nature and amount of
emoluments of such officers on a periodic basis by reference to relevant employment market conditions with the overall objective of
ensuring maximum stakeholder benefit from the retention of a high quality board and executive team. 

To assist in achieving these objectives, the Remuneration Committee links the nature and amount of executive directors’ and
officers’ emoluments to the Company’s financial and operational performance. 

Details of the nature and amount of each element of the emolument of each director of the Company and the consolidated entity:
Emoluments of directors of Infomedia Ltd 

Richard  Graham

Myer Herszberg

Linda Graham-McCann

Barry Ford

Fran Hernon

ANNUAL EMOLUMENTS

Base Fee
$

135,827

-

92,340

9,205

5,590

Bonus
$

-

-

-

-

-

Other
$

8,033

-

-

-

-

LONG TERM
EMOLUMENTS
Superannuation
$

9,508

-

1,966

644

391

The elements of emoluments have been determined on the basis of the cost to the Company and the consolidated entity. 
The category ‘Other’ includes the value of any non-cash benefits provided.

CORPORATE GOVERNANCE
In recognising the need for the highest standards of corporate behaviour and accountability, the directors of Infomedia Ltd support and
have adhered to the principles of corporate governance. 
As at the date of this report, the Company had an Audit Committee, a Remuneration Committee and Corporate Governance Committee
of the Board of Directors. The Audit, Corporate Governance and Remuneration Committee’s were established on the 19 June 2000.
Prior to this, such matters were dealt with by the full Board.

The members of the Audit and Corporate Governance Committees are Barry Ford, Fran Hernon and Myer Herszberg.  They are also
members of the Remuneration Committee, as is Linda Graham-McCann.

Signed in accordance with a resolution of the directors.

Richard  Graham 
Chairman
Sydney, 7 September 2000 

YEAR ENDED 30 JUNE 2000

Notes

CONSOLIDATED

INFOMEDIA LTD

OPERATING REVENUE 

OPERATING PROFIT BEFORE INCOME TAX

INCOME TAX ATTRIBUTABLE TO 

OPERATING PROFIT

OPERATING PROFIT AFTER INCOME TAX

RETAINED PROFITS at the beginning of the financial year 

TOTAL AVAILABLE FOR APPROPRIATION

DIVIDENDS PROVIDED FOR OR PAID

RETAINED PROFITS at the end of the financial year

2

2

3

4

2000

$

1999

$

2000

$

1999

$

21,696,249

10,933,369

20,604,906

10,933,369

12,119,969

5,985,781

11,958,721

5,985,781

4,457,233

7,662,736

3,972,637

1,910,984

4,326,029

1,910,984

4,074,797

7,632,692

4,074,797

272,240

3,972,637

272,240

11,635,373

4,347,037

11,605,329

4,347,037

8,721,600

2,913,773

374,400

8,721,600

374,400

3,972,637

2,883,729

3,972,637

www.infomedia.com.au

33

AT 30 JUNE 2000

Notes

CONSOLIDATED

INFOMEDIA LTD

CURRENT ASSETS

Cash on hand 

Receivables 

Investments 

Inventories

Other 

TOTAL CURRENT ASSETS

NON-CURRENT ASSETS

Receivables 

Investments 

Property, plant and equipment

Intangibles

Other 

TOTAL NON-CURRENT ASSETS

TOTAL ASSETS

CURRENT LIABILITIES

Accounts payable 

Borrowings 

Provisions

Other

TOTAL CURRENT LIABILITIES

NON-CURRENT LIABILITIES

Borrowings 

Provisions

TOTAL NON-CURRENT LIABILITIES

TOTAL LIABILITIES

NET ASSETS

SHAREHOLDERS' EQUITY 

Share capital

Retained profits

5

6

7

8

9

10

12

13

14

15

16

17

18

19

20

2000

$

1999

$

2000

$

1999

$

1,242,629

4,153,231

362,607

4,153,229

3,286,673

2,373,208

2,606,727

2,373,208

-

39,200

115,163

-

-

-

39,200

-

2,298,698

14,490

1,920,291

14,490

6,943,163

6,580,129

4,889,625

6,580,127

-

-

-

-

5,634,653

6

-

2

2,117,452

1,269,653

1,916,188

1,269,653

4,265,451

248,332

-

-

-

164,239

-

-

6,631,235

1,269,653

7,715,086

1,269,655

13,574,398

7,849,782 12,604,711

7,849,782

2,247,587

863,058

2,123,230

5,050,940

376,890

5,050,940

863,058

376,890

2,140,408

2,042,408

1,710,060

2,042,408

389,664

-

-

-

9,828,599

3,282,356

8,884,230

3,282,356

40,343

311,683

352,026

91,243

23,546

40,343

316,409

91,243

23,546

114,789

356,752

114,789

10,180,625

3,397,145

9,240,982

3,397,145

3,393,773

4,452,637

3,363,729

4,452,637

21

480,000

480,000

480,000

480,000

2,913,773

3,972,637

2,883,729

3,972,637

TOTAL SHAREHOLDERS' EQUITY

3,393,773

4,452,637

3,363,729

4,452,637

YEAR ENDED 30 JUNE 2000

Notes

CONSOLIDATED 

INFOMEDIA LTD

CASH FLOWS FROM OPERATING ACTIVITIES

Receipts from customers

Payments to suppliers and employees

Interest received

Borrowing costs

Income tax paid 

2000

$

1999

$

2000

$

1999

$

20,849,700

9,130,790

19,748,836

9,130,790

(8,701,852)

(4,039,670)

(8,291,587)  (4,039,670)

191,852

(130,487)

73,264

(8,321)

188,763

(39,266)

(4,735,903)

-

(4,712,784)

73,264

(8,321)

-

NET CASH FLOWS FROM OPERATING ACTIVITIES

22 (a)

7,473,310

5,156,063

6,893,962

5,156,063

CASH FLOWS FROM INVESTING ACTIVITIES

Acquisition of property, plant and equipment

(1,444,357)

(1,153,552)

(1,131,545)

(1,153,552)

Proceeds from sale of investments

Purchase of business

Purchase of options

235,809

22 (e)

(5,121,107)

-

-

235,809

-

-

-

(99,849)

(39,200)

(99,849)

(39,200)

Cash acquired in purchase of business

22 (e)

113,062

Purchase of shares

-

-

-

-

(4)

-

(2)

NET CASH FLOWS/(USED IN) INVESTING ACTIVITIES

(6,316,442)

(1,192,752)

(995,589)

(1,192,754)

CASH FLOWS FROM FINANCING ACTIVITIES

Advances-related parties

Repayments of advances-related parties

Borrowings-other

Borrowing repayments-other

Dividends paid on ordinary shares

Finance lease principal

(240,000)

240,000

-

-

(5,861,525)

240,000

-

-

5,000,000

190,591

5,000,000

190,591

(308,451)

-

(308,451)

-

(8,721,600)

(374,400)

(8,721,600)

(374,400)

(37,419)

(22,919)

(37,419)

(22,919)

NET CASH FLOWS FROM FINANCING ACTIVITIES

(4,067,470)

(206,728)

(9,688,995)

(206,728)

NET (DECREASE)/INCREASE IN CASH HELD

(2,910,602)

3,756,583

(3,790,622)

3,756,581

Add opening cash brought forward

4,153,231

396,648

4,153,229

396,648

CLOSING CASH CARRIED FORWARD

22 (b)

1,242,629

4,153,231 

362,607

4,153,229

www.infomedia.com.au

35

AT 30 JUNE 2000

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

(a) Basis of accounting
The financial statements have been prepared in accordance with the historical cost convention.
The  financial  report  is  a  general  purpose  financial  report  which  has  been  prepared  in  accordance  with  the  requirements  of  the
Corporations Law which includes applicable Accounting Standards. Other mandatory professional reporting requirements (Urgent
Issues Group Consensus Views) have also been complied with.

(b) Changes in accounting policies 
The accounting policies adopted are consistent with those of the previous year.

(c) Principles of consolidation
The consolidated financial statements are those of the economic entity, comprising Infomedia Ltd (the parent entity) and all entities
which Infomedia Ltd controlled from time to time during the year and at balance date.
Information from the financial statements of subsidiaries is included from the date the parent company obtains control until such
time as control ceases.  Where there is loss of control of a subsidiary, the consolidated financial statements include the results for the
part of the reporting period during which the parent company has control.
Subsidiary acquisitions are accounted for using the purchase method of accounting.
The financial statements of subsidiaries are prepared for the same reporting period as the parent entity, using consistent accounting
policies.  Adjustments are made to bring into line any dissimilar accounting policies which may exist.
All intercompany balances and transactions, including recognised profits arising from intra-group transactions, have been eliminated
in full.  Unrealised losses are eliminated unless costs cannot be recovered.

(d) Foreign currencies
Translation of foreign currency transactions
Transactions in foreign currencies of entities within the consolidated entity are converted to local currency at the rate of exchange rul-
ing at the date of the transaction.
Amounts payable to and by the entities within the consolidated entity that are outstanding at the balance date and are denominated
in foreign currencies have been converted to local currency using rates of exchange ruling at the end of the financial year.
Except for certain specific hedges and hedges of foreign currency operations, all resulting exchange differences arising on settlement
or re-statement are brought to account in determining the profit or loss for the financial year, and transaction costs, premiums and
discounts on forward currency contracts are deferred and amortised over the life of the contract. 

(e) Cash and cash equivalents
Cash on hand and in banks and short-term deposits are stated at the lower of cost and net recognised value.
For the purposes of the Statement of Cash Flows, cash includes cash on hand and in banks, and money market investments readily
convertible to cash within 2 working days, net of outstanding bank overdrafts.

(f) Trade and other receivables
Trade receivables are recognised and carried at original invoice amount less a provision for any uncollectable debts.  An estimate for
doubtful debts is made when collection of the full amount is no longer probable.  Bad debts are written-off as incurred.
Receivables from related parties are recognised and carried at the nominal amount due.  Interest is taken up as income on an accrual
basis.

(g) Investments
All other non-current investments are carried at the lower of cost and recoverable amount.

AT 30 JUNE 2000

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT'D) 

(h) Inventories
Manufacturing
Inventories are valued at the lower of cost and net recognised value.
Costs incurred in bringing each product to its present location and condition are accounted for as follows:
· Raw materials - purchase cost on a first-in-first-out basis; and 
· Work-in-progress - cost of direct labour and materials.

(i) Recoverable Amount
Non-current assets are not carried at an amount above their recoverable amount, and where carrying values exceed this recoverable
amount assets are written down.  

(j) Property, plant and equipment
Cost and valuation
Property, plant and equipment are carried at cost.
Depreciation 
Depreciation is provided on a straight line basis on all property, plant and equipment, other than freehold land.

Major depreciation periods are:
Freehold buildings:
Leasehold improvements:
Plant and equipment:
Plant and equipment under lease:

2000
40 years
6 years
3 to 15 years
3 years

1999
40 years
6 years
3 to 15 years
3 years

(k) Leases
Leases are classified at their inception as either operating or finance leases based on the economic substance of the agreement so as to
reflect the risks and benefits incidental to ownership.

Operating leases
The minimum lease payments of operating leases, where the lessor effectively retains substantially all of the risks and benefits of
ownership of the leased item, are recognised as an expense on a straight line basis.
Contingent rentals are recognised as an expense in the financial year in which they are incurred.

Finance leases
Leases which effectively transfer substantially all of the risks and benefits incidental to ownership of the leased item to the group are
recognised at the present value of the minimum lease payments and disclosed as property, plant and equipment under lease.  A lease
liability of equal value is also recognised.

Capitalised lease assets are depreciated over the estimated useful life of the assets.  Minimum lease payments are allocated between interest
expense and reduction of the lease liability with the interest expense calculated using the interest rate implicit in the lease and charged
directly to profit and loss. 

The cost of improvements to or on leasehold property is recognised, disclosed as leasehold improvements, and amortised over the
unexpired period of the lease or the estimated useful lives of the improvements, whichever is the shorter.

(l) Intangibles
Goodwill
Goodwill represents the excess of the purchase consideration over the fair value of identifiable net assets acquired at the time of
acquisition of a business or shares in a controlled entity.
Goodwill is amortised by the straight line method over the period during which benefits are expected to be received. This is taken as
being 10 years.

www.infomedia.com.au

37

AT 30 JUNE 2000

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D)
(m) Trade and other payables
Liabilities for trade creditors and other amounts are carried at cost which is the fair value of the consideration to be paid in the future
for goods and services received, whether or not billed to the consolidated entity.
Payables to related parties are carried at the principal amount.  Interest, when charged by the lender, is recognised as an expense on
an accrual basis.

(n) Revenue in advance
Certain contracts allow annual subscriptions to be invoiced in advance.  Revenue relating to the subscription period beyond balance
date is recorded as a current liability.  

(o) Loans and borrowings
All loans are measured at the principal amount.  Interest is charged as an expense as it accrues.
Finance lease liability is determined in accordance with the requirements of AASB 1008: Leases.

(p) Share capital
Ordinary share capital is recognised at the fair value of the consideration received by the Company.
Any transaction costs arising on the issue of ordinary shares are recognised directly in equity as a reduction of the share proceeds
received.

(q) Revenue recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the entity and the revenue can
be reliably measured. The following specific recognition criteria must also be met before revenue is recognised:

Subscriptions
Control of goods under a period of license has passed to the buyer.

Production charge
Control of a right to be compensated for the conversion of paper medium catalogue to electronic form has been attained and stage
of completion can be reliably measured.

Interest
Control of a right to receive consideration for the provision of, or investment in, assets has been attained.

(r) Income tax
Tax-effect accounting is applied using the liability method whereby income tax is regarded as an expense and is calculated on the
accounting profit after allowing for permanent differences.  To the extent timing differences occur between the time items are
recognised in the financial statements and when items are taken into account in determining taxable income, the net related taxation
benefit or liability, calculated at current rates, is disclosed as a future income tax benefit or a provision for deferred income tax.  The
net future income tax benefit relating to tax losses and timing differences is not carried forward as an asset unless the benefit
is virtually certain of being realised.

The income tax expense for the year is calculated using the 36% tax rate, however the deferred tax balances have been adjusted for
the decreased corporate tax rate of 34% for the tax year 2000-01 and 30% thereafter.  The adjustment recognises that reversal of timing
differences will occur within the 2000-01 or later income tax year, at which time tax will be attributed at a lower rate.  The
corresponding adjustment has been charged to income tax expense.

AT 30 JUNE 2000

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D)

(s) Employee entitlements
Provision is made for employee entitlement benefits accumulated as a result of employees rendering services up to the reporting date.
These benefits include wages and salaries, annual leave, sick leave and long service leave.

Liabilities arising in respect of wages and salaries, annual leave, sick leave and any other employee entitlements expected to be settled with-
in twelve months of the reporting date are measured at their nominal amounts.  All other employee entitlement liabilities are measured
at the present value of the estimated future cash outflow to be made in respect of services provided by employees up to the reporting date.
In determining the present value of future cash outflows, the interest rates attaching to government guaranteed securities which have
terms to maturity approximating the terms of the related liability are used.

Employee entitlements expenses and revenues arising in respect of the following categories:
·  wages and salaries, non-monetary benefits, annual leave, long service leave, sick leave and other leave entitlements; and
·  other types of employee entitlements are charged against profits on a net basis in their respective categories.

The value of the employee share scheme described in note 24 is not being charged as an employee entitlement expense.

In respect of the consolidated entity's accumulated benefits superannuation plans, any contributions made to the superannuation funds
by entities within the consolidated entity are charged against profits when due.

(t)Derivative financial instruments
Forward exchange contracts
The consolidated entity enters into forward exchange contracts where it agrees to sell specified amounts of foreign currencies in the future
at a predetermined exchange rate.  The objective is to match the contract with anticipated future cash flows from sales and purchases in
foreign currencies, to protect the consolidated entity against the possibility of loss from future exchange rate fluctuations.  The forward
exchange contracts are usually for no longer than 12 to 24 months.
Forward exchange contracts are recognised at the date the contract is entered.  Exchange gains or losses on forward exchange contracts
are charged to the profit and loss except those relating to hedges of specific commitments which are deferred and included in the meas-
urement of the sale or purchase.

(u) Research and development costs
Research and development costs are expensed as incurred.

www.infomedia.com.au

39

30 JUNE 2000

s

Notes

CONSOLIDATED INFOMEDIA LTD
2000

2000

1999

1999

2. OPERATING PROFIT

The operating profit before income tax is arrived 

at after charging/(crediting) the following items:

Amortisation of non-current assets 

Goodwill

Leasehold improvements

Plant and equipment under lease

Depreciation of non-current assets 

Plant and equipment

Buildings

Bad and doubtful debts

Trade debtors

Borrowing costs expensed

Interest expense

Other related parties

- controlled entities

Other persons/corporations 

Other borrowing costs

Finance charges - lease liability 

Total borrowing costs

Operating lease rental

- minimum lease payments

Net (profit)/loss on disposal of investments

Research and development costs

Other provisions 

$

$

$

$

109,370

20,437

72,973

202,780

372,063

6,179

378,242

-

-

119,511

119,511

10,976

130,487

132,612

(96,760)

614,899

-

31,064

20,400

51,464

53,429

6,000

59,429

2,674

2,029

27,966

29,995

6,293

36,288

-

20,437

58,609

79,046

368,804

6,179

374,983

-

-

28,290

28,290

10,976

39,266

-

-

395,532

108,670

(96,760)

614,899

-

31,064

20,400

51,464

53,429

6,000

59,429

2,674

2,029

27,966

29,995

6,293

36,288

-

395,532

Provision for employee entitlements 

228,076

48,869

183,030

48,869

Included in the operating profit are the
following revenues arising from operating activities: 

Sales revenue

Production charge

Freight charge

Export development grant

Sundry income

Foreign currency exchange gain

Interest

- other related parties

- controlled entities

- directors & director related entities

- other persons/corporations

20,744,839

10,388,133

19,643,997

10,388,133

297,021

261,567

297,021

261,567

41,232

40,968

97,404

47,124

30,392

50,555

1,378

128,080

41,232

40,968

96,864

47,124

30,392

50,555

1,378

128,080

29

29

-

1,800

190,052

191,852

-

-

73,264

73,264

13,128

1,800

186,963

201,891

-

-

73,264

73,264

AT 30 JUNE 2000

Notes CONSOLIDATED INFOMEDIA LTD

2. OPERATING PROFIT (cont'd)

Proceeds on sale of non-current assets

Operating revenue 

3. INCOME TAX 

The prima facie tax, using tax rates applicable in the country 

of operation, on operating profit differs from the income tax 

provided in the financial statements as follows:

Prima facie tax on operating profit

Tax effect of permanent differences

Non deductible depreciation

Legal expense

Entertainment

Other items (net)

Depreciation of buildings

Amortisation of intangible assets

Over provision of previous year

Adjustment to deferred tax balances

Tax losses utilised 

2000

$

1999

$

2000

$

1999

$

235,809

-

235,809

-

21,696,249

10,933,369

20,604,906

10,933,369

4,363,189

2,154,881

4,305,140

2,154,881

5,035

11,400

10,974

(786)

2,224

39,373

2,961

22,336

6,606

-

-

-

5,035

11,400

10,900

(786)

2,224

-

2,961

22,336

6,606

-

-

-

(48,986)

(31,980)

(48,986)

(31,980)

75,674

-

46,250

-

-

(243,820)

-

(243,820)

Net profit attributable to change in income tax rate 

(864)

-

(5,148)

-

Income tax expense attributable to operating profit

4,457,233

1,910,984

4,326,029

1,910,984

4.    DIVIDENDS PAID

Dividends paid during the year

Franked dividends - ordinary

The tax rate at which dividends were franked is 36% (1999: 36%)

The amount of franking credits available for the subsequent 

financial year are:

8,721,600

374,400

8,721,600

374,400

- franking account balance as at the end of the financial year

2,068

345,383

2,068

345,383

- franking credits that will arise from the payment of income tax

payable as at the end of the financial year

2,781,090

3,268,359

2,554,164

3,268,359

2,783,158

3,613,742

2,556,232

3,613,742

www.infomedia.com.au

41

AT 30 JUNE 2000

Notes CONSOLIDATED INFOMEDIA LTD

5. RECEIVABLES (CURRENT)

Trade debtors

Provision for doubtful debts

Other debtors

2000

$

1999

$

2000

$

1999

$

3,002,711

2,289,782

2,331,721

2,289,782

-

-

-

-

3,002,711

2,289,782

2,331,721

2,289,782

259,771

83,426

250,815

83,426

Amounts other than trade debts receivable from related parties:

Directors and director-related entities

29

24,191

-

24,191

-

3,286,673

2,373,208

2,606,727

2,373,208

(a) Australian dollar equivalent of amounts receivable 

in foreign currencies not effectively hedged:

New Zealand dollars

(b) Terms and conditions relating to the above financial instruments

(i) Credit sales are on 30 day terms.

(ii) Details of the terms and conditions of related 
party receivables are set out in Note 29.

6. INVESTMENTS (CURRENT)

Options listed on the ASX -  at cost.  

7. INVENTORIES (CURRENT) 

Raw materials

At cost

Work in progress

At cost

Total inventories at the lower of cost and net realisable value

8. OTHER CURRENT ASSETS

Prepayments

Deposit paid on property

(a) Prepayments at balance date include costs of listing on the ASX.  

These amounts will be transferred against equity upon 
receiving float proceeds. 

20,797

20,797

-

-

7,782

7,782

-

-

-

39,200

17,644

97,519

115,163

-

-

-

-

-

-

-

39,200

-

-

-

1,989,504

14,490

1,920,291

14,490

309,194

-

-

-

2,298,698

14,490

1,920,291

14,490

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

2000

$

1999

$

2000

$

1999

$

8. OTHER CURRENT ASSETS (cont'd)

(b) Infomedia Investments Pty Ltd has entered into a contract 

for the acquisition of property with a total purchase price of 

$1.40 million.  The balance of the purchase price of $1.09 million

has not been brought to account as the completion of the contract 

is conditional upon registration of the proposed strata plan pertaining

to the property. The details of this commitment are detailed at Note 23.  

29

11

-

-

-

-

-

-

9. RECEIVABLES (NON-CURRENT) 

Wholly-owned group

- subsidiary entities

10. INVESTMENTS (NON-CURRENT) 

Investments at cost comprise:

Unlisted shares at cost

Total investments in balance sheet

11. INTERESTS IN SUBSIDIARIES 

Name

Country
of incor-
poration

Percentage of equity
interest held by the 
consolidated entity

Infomagic New Zealand Pty Ltd
- ordinary shares 

New Zealand

2000

1999

%

-

%
100

Infomedia Investments Pty Ltd
- ordinary shares 

Datateck Publishing Pty Ltd
- ordinary shares

Australia

100

100

Australia

100

-

(a) Infomagic New Zealand Pty Ltd was a dormant 
company that was voluntarily liquidated on the 23 June 2000.  

(b) Datateck Publishing Pty Ltd was acquired on the 31 March 2000. 
Refer Note 22(a).

5,634,653

6

6

-

2

4

6

-

2

2

-

2

-

2

www.infomedia.com.au

43

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

12. PROPERTY, PLANT AND EQUIPMENT 

Freehold land and buildings

At cost

Provision for depreciation

Leasehold improvements

At cost

Provision for amortisation

Total land and buildings

Office furniture & equipment

At cost

Provision for depreciation

Furniture & fittings

At cost

Provision for depreciation

Plant and equipment

At cost

Provision for depreciation

Plant and equipment under lease

At cost

Provision for amortisation

Total plant and equipment

Total property, plant and equipment

At Cost

2000

$

1999

$

2000

$

1999

$

647,194

647,194

647,194

647,194

(12,180)

(6,000)

(12,180)

(6,000)

635,014

641,194

635,014

641,194

157,668

93,092

151,153

93,092

(73,888)

(52,857)

(73,296)

(52,857)

83,780

40,235

77,857

40,235

718,794

681,429

712,871

681,429

717,211

313,573

717,211

313,573

(247,101)

(257,188)

(247,101)

(257,188)

470,110

56,385

470,110

56,385

189,650

49,458

189,650

49,458

(45,178)

(23,561)

(45,178)

(23,561)

144,472

25,897

144,472

25,897

1,072,718

464,150

860,346

464,150

(355,186)

(114,341)

(338,155)

(114,341)

717,532

349,809

522,191

349,809

198,612

213,012

198,612

213,012

(132,068)

(56,879)

(132,068)

(56,879)

66,544

156,133

66,544

156,133

1,389,658

588,224

1,203,317

588,224

2,983,053

1,780,479

2,764,166

1,780,479

Provision for depreciation and amortisation

(865,601)

(510,826)

(847,978)

(510,826)

Total written down amount

2,117,452

1,269,653

1,916,188

1,269,653

13. INTANGIBLES

Goodwill

Provision for amortisation

22 (e)

4,374,821

(109,370)

4,265,451

-

-

-

-

-

-

-

-

-

AT 30 JUNE 2000

Notes CONSOLIDATED INFOMEDIA LTD

2000

$

1999

$

2000

$

1999

$

14. OTHER NON-CURRENT ASSETS 

Future income tax benefit

15. ACCOUNTS PAYABLE (CURRENT)

Trade creditors

Other creditors

(a) Terms and conditions relating to the above financial instruments

(i) Trade liabilities are normally settled on 30 day terms.

16. BORROWINGS (CURRENT)

Lease liability 

Borrowings secured by mortgage

- bank loans

- commercial bills

248,332

248,332

-

-

164,239

164,239

-

-

1,052,978

787,588

964,607

787,588

1,194,609

75,470

1,158,623

75,470

2,247,587

863,058

2,123,230

863,058

23

50,940

68,439

50,940

68,439

-

308,451

-

308,451

5,000,000

-

5,000,000

-

5,050,940

376,890

5,050,940

376,890

(b) Terms and conditions relating to the above financial instruments

(i) Finance leases have an average lease term of 3 years with the

option to purchase the asset at the completion of the lease term 
for the asset's residual value.  The average discount rate implicit
in the leases is 8%,(1999: 9.3%).  Lease liabilities are secured 
by a charge over the leased assets. 

(ii) The bank loan was repaid during the year.  Interest was charged 
at the bank's floating rate.  The bank loan was secured by first 
mortgage over the freehold land and buildings of the companies 
carrying the liabilities.

(iii) The commercial bills are rolled monthly.  Interest is charged 
at the bank's floating rate.  The commercial bill is secured by 
first mortgage over the freehold land and buildings of 
the Company carrying the liability.

www.infomedia.com.au

45

AT 30 JUNE 2000

Notes CONSOLIDATED INFOMEDIA LTD

17. PROVISIONS (CURRENT)

Taxation

Employee entitlements

18. OTHER (CURRENT)

Revenue in advance

19. BORROWINGS (NON-CURRENT)

Lease liability

2000

$

1999

$

2000

$

1999

$

1,564,363

1,887,438

1,436,717

1,887,438

24

576,045

154,970

273,343

154,970

2,140,408

2,042,408

1,710,060

2,042,408

389,664

389,664

-

-

-

-

-

-

23

40,343

40,343

91,243

91,243

40,343

40,343

91,243

91,243

(b) Terms and conditions relating to the above financial instruments
(i) Finance leases have an average lease term of 3 years with the 

option to purchase the asset at the completion of the lease term 
for the asset's residual value.  The average discount rate implicit 
in the leases is 8% (1999: 9.3%).  Secured lease liabilities are 
secured by a charge over the leased assets.

24

64,657

247,026

311,683

-

23,546

23,546

64,657

251,752

316,409

-

23,546

23,546

480,000

480,000

480,000

480,000

480,000

480,000

480,000

480,000

20. PROVISIONS (NON-CURRENT)

Employee entitlements

Deferred income tax liability

21. SHARE CAPITAL 

Issued and paid up capital

- 296,499,190 shares fully paid (1999: 480,000)

Share Split

On 19 June 2000, the existing 480,000 shares were split into 

296,499,190 shares prior to listing on the ASX.  

Employee Option Plan

On 19 June 2000, 1,300,000 options were issued over 

ordinary shares.  The details are provided in note 24.

Selective Share Plan

The Company will offer 8,802,320 shares to selected persons 

on set offer dates.  The details are provided in note 24.

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

22. STATEMENT OF CASH FLOWS 

(a) Reconciliation of the operating profit after tax to the net 

cash flows from operations

Operating profit after tax

Depreciation of non-current assets

Amortisation of non-current assets

Provision for employee entitlements

Net (profit)/loss on sale of investments

Changes in assets and liabilities

Trade receivables and other debtors

Trade and other creditors

Tax provision

Deferred income tax liability

Future income tax benefit

Prepayments

Interest Receivable

Inventories

Revenue in Advance

2000

$

1999

$

2000

$

1999

$

7,662,736

4,074,797

7,632,692

4,074,797

378,242

204,835

395,420

204,835

202,780

256,466

(96,760)

20,400

48,869

58,609

183,030

-

(96,760)

20,400

48,869

-

(79,610)

(1,716,785)

(233,519)

(1,716,785)

1,206,437

612,963

1,260,174

612,963

(323,075)

1,887,438

(450,721)

1,887,438

223,480

23,546

228,206

23,546

(179,075)

(1,905,584)

-

55,085

72,188

-

-

-

-

-

(164,239)

(1,905,801)

(13,128)

-

-

-

-

-

-

-

Net cash flow from  operating activities

7,473,310

5,156,063

6,893,963

5,156,063

(b) Reconciliation of cash

Cash balance comprises:

- cash on hand

(c) Financing facilities available

At balance date, the following financing facilities had been 

negotiated and were available.  Refer Note 25.

1,242,629

4,152,231

362,607

4,153,229

Total facilities

- commercial bill

6,000,000

Facilities used at balance date

25

5,000,000

Facilities unused at balance date

1,000,000

-

-

-

6,000,000

5,000,000

1,000,000

-

-

-

www.infomedia.com.au

47

CONSOLIDATED INFOMEDIA LTD
CONSOLIDATED INFOMEDIA LTD

2000

1999

1999

2000

2000
$

$

1999
$

$

2000
$

$

1999
$

$

AT 30 JUNE 2000

Notes

1999

22. STATEMENT OF CASH FLOWS (cont'd)

(e) Acquisition of Assets

On 31 March 2000, the parent entity acquired 100% of

the share capital of Datateck Publishing Pty Limited, an

unlisted Australian company. The acquisition details are:

Consideration

- cash paid

$

4

On the same day, and immediately prior to the 

above transaction, Datateck Publishing Pty Limited

acquired the following business assets and 

liabilities from Datateck Investments Pty Ltd as 

trustee for the CK Family Trust.  The assets and

liabilities are provided below:

- plant and equipment

- trade debtors

- other debtors

- prepayments

- future income tax benefits

- inventories

- trade creditors

- other creditors

- provision for employee entitlement

- revenue in advance

- fair value of net tangible assets

- goodwill arising on acquisition

Net cash effect

Cash consideration paid

Cash included in net assets acquired

Cash paid  for purchase of 

controlled entity as reflected in

$

215,268

832,086

1,769

69,430

69,257

170,248

1,358,058

(129,410)

(48,682)

(229,266)

(317,476)

633,224

4,374,821

5,008,045

5,121,107

(113,062)

the consolidated financial report

5,008,045

13

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

2000

$

1999

$

2000

$

1999

$

23. EXPENDITURE COMMITMENTS 

(a) Capital expenditure commitments

Estimated capital expenditure contracted for at 
balance date but not provided for

- payable not later than one year

- property 

1,090,000

-

-

The above capital expenditure commitment represents 
the payment due on completion of the acquisition of an 
office suite in a proposed strata plan.  The strata plan is
unregistered and completion is conditional upon the registration 
of the strata plan by 31 November 2001.  The Company expects
the vendor will be able to complete the contract within 12 
months of balance date.  

(b) Lease expenditure commitments

(i) Operating leases (non-cancellable):

Minimum lease payments 

-  not later than one year

-  later than one year and not later than five years

- aggregate operating lease expenditure contracted for at balance date

(ii) Finance leases: 

- not later than one year

- later than one year and not later than five years

- total minimum lease payments

- future finance charges

- lease liability

- current liability

- non-current liability

- aggregate finance lease expenditure contracted for at balance date

(c) Assets which are the subject of finance leases include

computer hardware and equipment.

(d) Operating leases have an average lease term of 3 years. 

Assets which are the subject of operating leases include office space.

-

-

-

-

212,814

258,571

471,385

-

-

-

131,814

137,070

268,884

56,407

41,339

97,746

79,010

98,519

177,529

56,407

41,339

97,746

79,010

98,519

177,529

(6,463)

(17,847)

(6,463)

(17,847)

91,283

50,940

40,343

91,283

159,682

68,439

91,243

159,682

91,283

50,940

40,343

91,283

159,682

68,439

91,243

159,682

16

19

www.infomedia.com.au

49

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

2000

$

1999

$

2000

$

1999

$

24. EMPLOYEE ENTITLEMENTS AND 
SUPERANNUATION COMMITMENTS

Employee Entitlements 

The aggregate employee entitlement liability is comprised of: 

Provisions (current)

Provisions (non-current)

17

20

576,045

154,970

273,343

154,970

64,657

-

64,657

-

640,702

154,970

338,000

154,970

Employee Option Plan
The  Employee  Option  Plan  entitles  the  Company  to  offer  'eligible  employees'  options  to  subscribe  for  shares  in  the  Company.
Options will be granted at a nil issue price unless otherwise determined by the directors of the Company and each Option enables
the holder to subscribe for one Share.  The exercise price for the Options granted will be as specified on the option certificate or, if
not specified, the volume weighted average price for Shares of the Company for the five days trading immediately before the day on
which the options were granted.  The Options may be exercised in accordance with the date determined by the Company, which must
be within three years of the option being granted.  The total number of Options issued at the date of this report is 1,300,000. 

Employee Share Plan
The Company provides employees, not including Directors, the opportunity to acquire shares in the Company.  The scheme applies
to  employees  with  at  least  12  months  service  and  provides  that  offers  be  made  to  at  least  75%  of  the  persons  employed  by  the
Company for at least 36 months and not more than twice in each financial year.  The offer to each employee cannot
exceed a market value of $1,000.  The consideration for each share offered will be nil unless otherwise determined by the Directors.
Shares may not be offered to employees who are ineligible, being employees with legal or beneficial interest in more than 5% of the
Company or that they control or may cast more than 5% of the maximum votes at a general meeting of the Company. 

Selective Share Plan
The Company will offer shares to selected persons on set offer dates.  Under the Selective Share Plan, the participants are limited to
17 individuals named in the schedule to the SSP.  The total number of shares offered will be 8,802,320.  The consideration for each
share offered will be nil unless otherwise determined by the Directors.  The set offer dates are provided below.  

Date
1 September 2000
30 March 2001
3 July 2001
30 March 2002
3 July 2002

Number of shares
3,675,352
988,331
2,594,368
988,331
555,938

Superannuation Commitments
Contributions are made by the Company in accordance with the relevant statutory requirements.  Contributions by the Company of
up to 7% to 30 June 2000 and 8% from 1 July 2000, of employee's wages and salaries which are legally enforceable in Australia.  The
superannuation plans provide accumulation benefits.

25.   SUBSEQUENT EVENTS
On 14 July 2000, the Company changed its status from a proprietary company to a public company.
On  16  August  2000,  the  Company  listed  on  the  ASX  and  raised  $19,000,000  with  associated  costs  amounting  to
$1,822,319 at balance date.  These offer costs have been included in prepayments and will be transferred against equity upon
receiving float proceeds.  The number of shares on issue will be 315,499,190.

On 21 August 2000, the Company entered into a call option to purchase the business of Online Computing Pty Limited, a Perth
based software development house established in 1976.  The option must be exercised on or before 31 October 2000, or be forfeited.

On 31 August 2000 the commercial bill of $5,000,000 was repaid in full from the float proceeds.

On 1 September 2000, 3,675,352 shares were offered to individuals participating in the Selective Share Plan.

AT 30 JUNE 2000

Notes

CONSOLIDATED INFOMEDIA LTD

2000

$

1999

$

2000

$

1999

$

26. ECONOMIC DEPENDENCY

A large proportion of the consolidated entity's sales are to

the one customer, Ford Europe.

27. REMUNERATION OF DIRECTORS
(a) Directors' remuneration 
Income paid or payable, or otherwise made available,
in respect of the financial year, to all directors of each 
entity in the consolidated entity, directly or indirectly, by the 
entities of which they are directors or any related party:

Income paid or payable, or otherwise made available, in respect 
of the financial year, to all directors of Infomedia Ltd, directly or
indirectly, from the entity or any related party:

The number of directors of Infomedia Ltd whose income
(including superannuation contributions) fell within the
following bands is:

2000

1999

$0   -$9,999 

$90,000   - $99,999

$130,000 - $139,999

$150,000 - $159,999

3

1

-

1

In the opinion of directors, remuneration 
paid to directors is considered reasonable.

1

-

1

-

28. AUDITORS' REMUNERATION 
Amounts received or due and receivable by the 
auditors of Infomedia Ltd for:

- an audit or review of the financial report of the entity and

any other entity in the consolidated entity

- other services in relation to the entity and any other 
entity in the consolidated entity

263,504

-

263,504

-

35,000

9,750

21,000

9,750

380,401

415,401

29,285

334,256

39,035

355,256

29,285

39,035

www.infomedia.com.au

51

AT 30 JUNE 2000

29. RELATED PARTY DISCLOSURES
(a) The directors of Infomedia Ltd during the financial year were: 

R D Graham
M Herszberg
L Graham-McCann (Appointed 11 May 2000)
B Ford (Appointed 19 June 2000)
F Hernon (Appointed 19 June 2000)

(b)  The following related party transactions occurred during the financial year:
(i) Transactions with related parties in the wholly owned group
1.  A loan of $322,322 was made to Infomedia Investments Pty Limited.  Interest is charged at the commercial borrowing 

rate published by Westpac Bank.

2.  An unsecured, interest free loan of $5,312,331 was made to Datateck Publishing Pty Limited by Infomedia Ltd.  The loan is 

repayable in seven days upon demand.  

(ii) Transactions with director-related entities
1. 

Infomedia Ltd rents office space from Wiser Laboratory Pty Limited, a company in which Richard D Graham is a director.  
The total rent payments for the year ended 30 June 2000 of $101,770 (1999: $76,788) were on commercial terms.
Infomedia Ltd provided a loan for an amount of $240,000 (1999: nil) to Yarragene Pty Limited, a company in which Myer 
Herszberg is a director.  The loan was fully repaid during the year and interest was charged at 6% pa.  

2. 

3.  An amount of $24,191 is owed by Wiser Laboratory Pty Limited, Yarragene Pty Limited and Rentamobile Pty Limited,

companies associated with Richard Graham and Myer Herszberg, pursuant to an indemnification agreement.  

4.  Consulting fees totalling $64,250 (1999: nil) were paid to Graham McCann Pty Limited and Kannely Pty Limited, companies 

of which Linda Graham-McCann is a director.  The amounts paid were on commercial terms and has been included in 
Directors Remuneration at Note 27.

(c) Equity instruments of directors

(i)Interests in the equity instruments of entities in the consolidated entity held by directors of the reporting entity and 
their director-related entities at balance date, being the number of instruments held are:

I N F O M E D I A LT D

Ordinary Shares
Fully Paid

Options Over
Ordinary Shares

Entitlement to Shares Under
Selective Share Plan*

Wiser Laboratory Pty Limited
Rentamobile Pty Limited
Yarragene Pty Limited
Richard Graham
Myer Herszberg
Linda Graham-McCann
Fran Hernon
Barry Ford
Total

2000
146,396,475
44,996,044
72,148,136
-
-
-
-
-
263,540,655

1999
237,000
72,800
116,800
-
-
-
-
-
426,600

2000
-
-
-
450,000
450,000
-
200,000
200,000
1,300,000

1999
-
-
-
-
-
-
-
-
-

2000
-
-
-
926,560
-
555,936
-
-
1,482,496

1999
-
-
-
-
-
-
-
-
-

*  The shares will be offered at the dates specified in note 24.

(ii) Movements in directors' equity holdings:

On 19 June 2000, directors and their related entities were granted options over unissued ordinary shares at an exercise 
price of $1.00.  There have been no other transactions concerning equity instruments during the financial year with 
directors or their director-related entities.  On 19 June 2000 shares held by the directors and the director-related entities 
were split on a ratio of 1 to 617.71 (rounded to 2 decimal places).

30. SEGMENT INFORMATION
The consolidated entity operates predominately in one industry - developing and distributing electronic parts catalogues for the
motor vehicle industry and sales originate from one geographical segment, Australia. 

AT 30 JUNE 2000

31. FINANCIAL INSTRUMENTS

31  (a) Interest rate risk 

The consolidated entity's exposure to interest rate risks and the effective interest rates of financial assets and financial liabilities, both

recognised and unrecognised at the balance date, are as follows:

Financial Instruments

(i) Financial assets

Cash

Receivables - trade

Receivables - related parties/entities

Receivables - related parties/entities

Listed share options

Unlisted shares

Total financial assets

fixed interest rate maturing in:

Floating interest rate

1 year or less

Over 1 to 5 years More than 5 years

2000
$

1999
$

2000
$

1999
$

2000
$

1999
$

2000
$

1999
$

1,242,629

4,153,251

-

-

-

-

-

-

-

-

-

-

1,242,629

4,153,251

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Financial Instruments (cont’d)

Non-interest bearing

Total carrying
amount as per
the balance
sheet

Weighted average
effective 
interest rate

(i) Financial assets

Cash

Receivables - trade

Receivables - related parties/entities

Receivables - related parties/entities

Listed share options

Unlisted shares

Total financial assets

2000
$

1999
$

2000
$

1999
$

2000
$

1999
$

-

-

1,242,629

4,153,231

3,002,711

2,289,782

3,002,711

2,289,782

-

-

-

-

-

-

39,200

-

-

-

-

-

-

-

39,200

-

5.07

N/A

N/A

N/A

N/A

N/A

3,002,711

2,328,382

4,245,340

6,482,213

-

3.95

N/A

N/A

N/A

N/A

N/A

-

N/A: not applicable for non-interest bearing financial instruments.

www.infomedia.com.au

53

AT 30 JUNE 2000

31.
31 (a)

FINANCIAL INSTRUMENTS (cont'd)
Interest rate risk  (cont'd)

Financial Instruments

(ii) Financial liabilities
Bank loans

Commercial bill

Trade & other creditors

Finance lease liability

Total financial liability

Floating interest rate

1 year or less

Over 1 to 5 years More than 5 years

fixed interest rate maturing in:

2000
$

1999
$

2000
$

1999

2000
$

1999

$

2000
$

1999
$

$

-

-

-

-

-

-

-

5,000,000

-

-

5,000,000

-

-

-

-

-

- 308,451

-

-

-

-

-

-

-

-

-

-

-

-

-

-

50,940

68,439

40,343

91,243

50,940

68,439

40,343 399,694

Financial Instruments (cont’d)

Non-interest bearing

Total carrying
amount as per
the balance
sheet

Weighted average
effective 
interest rate

(ii) Financial liabilities
Bank loans

Commercial bill

Trade & other creditors

Finance lease liability

Total financial liability

2000
$

1999
$

2000
$

1999
$

-

-

-

-

-

308,451

5,000,000

-

2,247,587

863,058

2,247,587

863,058

-

-

91,283

159,682

2,247,587

863,058

7,338,870 1,331,191

2000
$

-

7.64

N/A

8.0

-

1999
$

6.65

-

N/A

9.3

-

N/A - not applicable for non-interest bearing financial instruments

AT 30 JUNE 2000

31. FINANCIAL  INSTRUMENTS (cont'd)

31(b)  Terms, conditions and accounting policies

(i) The consolidated entity's policies, including the terms and conditions of each class of financial asset, financial liability and 
equity instrument, both recognised and unrecognised at balance date, are as follows:

Recognised
Financial
Instruments

Balance
Sheet
Notes

(i) Financial Assets

Receivables - trade

5

Unlisted Shares

10,11

(ii) Financial Liabilities

Accounting Policies

Terms and
Conditions

Trade receivables are carried at nominal amounts due less
any  provision  for  doubtful  debts.  A  provision  for
doubtful  debts is recognised when collection of the full
nominal amount is no longer possible.

Credit sales are on 30 day terms.

Unlisted  shares  are  carried  at  the  lower  of  cost  or
recoverable  amount.  Dividend  income  is  recognised
when dividends are declared by the investee. 

The unlisted shares held at balance 
date are ordinary shares.

Commercial Bill

16, 22 (c) 

The commercial bill is carried at the principal amount.
Interest is charged monthly as it accrues.

The commercial bill is repayable on demand.
Interest is charged at a floating rate.

Trade and 
other creditors

15

Liabilities  are  recognised  for  amounts  to  be  paid  in  the
future  for  goods  ad  services  received,  whether  or  not
billed to the Company. 

Trade  liabilities  are  normally  settled  in  30
day terms.

Finance lease liability 16,19

The  lease  liability  is  accounted  for  in  accordance  with
AASB 1008.

As  at  balance  date,  the  Company  had  an
average  finance  lease  term  of  three  years.
The  average  discount  rate  implicit  in  the
lease is 8%.  The security over finance
leases is disclosed in notes 16 and 19.

(iii) Equity

Ordinary Shares

21

Ordinary  share  capital  is  recognised  at  the  fair  value  of
the  consideration received by the Company. 

Details of shares issued at balance date are
set out in note 21.

(iv) Derivatives

Forward Exchange 
Contracts

31(d)

The consolidated entity enters into forward exchange
contracts  where  it  agrees  to  sell  specified  amounts  of
foreign  currencies  in  the  future  at  a  predetermined  rate.
The objective is to protect the consolidated entity against
the  possibility  of  loss  from  future  exchange  rate
fluctuations.  The  forward  exchange  contracts  are
charged  to  the  profit  and  loss  except  those  relating  to
hedges of specific commitments which are deferred and
included  in  the  measurement  of  specific  commitments
which are deferred and included in the  measurement
of the sale or purchase.

www.infomedia.com.au

55

AT 30 JUNE 2000

31 (c) Net fair values
The aggregate net fair value of financial assets and financial liabilities, both recognised and unrecognised, at balance date are
not significantly different from their carrying amount in the balance sheet.   

31 (d) Credit risk exposure
The consolidated entity's maximum exposures to credit risk at balance date in relation to each class of recognised financial assets, other
than derivatives, is the carrying amount of those assets as indicated in the balance sheet.  The maximum credit risk does not take into
account the value of any collateral or other security held, in the event other entities/parties fail to perform their obligations under the
financial instruments in question.

In relation to derivative financial instruments, whether recognised or unrecognised, credit risk arises from the potential failure of
counterparties to meet their obligations under the contract or arrangement.  The consolidated entity's maximum credit risk exposure in
relation to these is as follows:

(i)  Forward exchange contracts - the full amount of the currency it will be required to pay or purchase when settling the forward 

exchange contract, should the counterparty not pay the currency it is committed to delivery to the company.  At balance date the
net amount was $1,242,010 (1999: $nil).

Concentrations of credit risk
The company minimises concentrations of credit risk in relation to trade receivables by undertaking transactions with a large number
of  customers  within  Australia.    However,  the  majority  of  customers  are  concentrated  in  Europe.    Credit  risk  in  trade
receivables is managed in the following ways:
-
-
-

payment terms are 14 days;
an agent acts on the company's behalf in foreign locations;
customers must sign a standard user agreement, accepting terms and conditions.

In accordance with a resolution of the directors of Infomedia Ltd, I state that:

(1) In the opinion of the directors:

(a) the financial statements and notes of the Company and of the consolidated entity are in accordance 

with the Corporations Law, including:
(i) giving a true and fair view of the Company's and consolidated entity's financial position as at 30

June 2000 and of their performance for the year ended on that date; and 
(ii) complying with Accounting Standards and Corporations Regulations; and

(b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when 

they become due and payable.

On behalf of the Board

Richard Graham
Chairman

Sydney, 7 September 2000

www.infomedia.com.au

57

Independent Audit Report

To the members of Infomedia Ltd 

Scope
We have audited the financial report of Infomedia Ltd for the financial year ended 30 June 2000, as set out on pages
30  to  57,  including  the  Directors'  Declaration.  The  financial  report  includes  the  financial  statements  of
Infomedia Ltd, and the consolidated financial statements of the consolidated entity comprising the Company  and the
entities  it  controlled  at  year's  end  or  from  time  to  time  during  the  financial  year.   The  Company's    directors  are
responsible  for the financial report.  We  have  conducted an independent  audit of the financial report in order to
express an opinion on it to the members of the Company.

Our audit has been conducted in accordance with Australian Auditing Standards to provide reasonable assurance whether
the financial report is free of material misstatement.  Our procedures included examination, on a test basis, of evidence
supporting the amounts and other disclosures in the financial report, and the evaluation of accounting policies and
significant accounting estimates.  These procedures have been undertaken to form an opinion whether, in all material
respects, the financial report is presented fairly in accordance with Accounting Standards, other mandatory professional
reporting requirements and statutory requirements, so as to present a view which is consistent with our understanding
of the Company's and the consolidated entity's financial position and performance as represented by the results of their
operations and their cash flows.

The audit opinion expressed in this report has been formed on the above basis.

Audit Opinion
In our opinion, the financial report of Infomedia Ltd is in accordance with:

(a)

the Corporations Law including:
(i) giving a true and fair view of the Company's and the consolidated entity's financial position as at

30 June 2000 and of their performance for the year ended on that date; and
(ii) complying with Accounting Standards and the Corporations Regulations; and

(b)

other mandatory professional reporting requirements.

Ernst & Young

E A Lang
Partner
Sydney

Date:    7 September 2000

[THIS PAGE IS INTENTIONALLY LEFT BLANK]

www.infomedia.com.au

59

TOP TWENTY SHAREHOLDERS      11/10/2000       

NAME                                    

SHARES  

WISER LABORATORY PTY LIMITED

YARRAGENE PTY LIMITED

RENTAMOBILE PTY LIMITED

MR IAN JOICEY

PERMANENT TRUSTEE AUSTRALIA LIMITED

CHASE MANHATTAN NOMINEES LTD

WESTPAC CUSTODIAN NOMINEES LTD

NATIONAL NOMINEES LIMITED

MR ANDREW PATTINSON

BT CUSTODIAL SERVICES PTY LTD

QUEENSLAND INVESTMENT CORPORATION

PERPETUAL TRUSTEES NOMINEES LIMITED

CITICORP NOMINEES PTY LIMITED

COMMONWEALTH CUSTODIAL SERVICES LIMITED

ZURICH AUSTRALIA LIMITED

PERMANENT TRUSTEE AUSTRALIA

PERPETUAL TRUSTEES VICTORIA 
LIMITED

CALENDONIA INVESTMENTS LIMITED

HSBC CUSTODY NOMINEES

CASHTREE PTY LIMITED

116,277,501

57,304,445

35,717,154

15,114,539

13,505,669

10,272,837

8,421,751

6,628,572

4,277,988

2,532,613

2,502,100

1,973,048

1,942,000

1,755,338

1,439,980

1,425,484

1,250,000

1,145,000

1,073,335

1,000,000

INFOMEDIA LTD                                 
RANGE OF SHARES ORD/FULLY PAID ORDINARY            AS AT  12/10/00

% OF
ISSUED
CAPITAL

36.43

17.95

11.19

4.74

4.23

3.22

2.64

2.08

1.34

0.79

0.78

0.62

0.61

0.55

0.45

0.45

0.39

0.36

0.33

0.31

RANK

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

RANGE   
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 - OVER

TOTAL

Mr. Richard Graham
Mr. Myer Herszberg
Ms. Linda Graham-McCann
Ms. Fran Hernon
Mr. Barry Ford

HOLDERS 
109
777
297
303
86

UNITS
88,207
2,808,093
2,623,382
9,362,024
304,292,836

% OF ISSUED
CAPITAL
0.03
0.88
0.82
2.93
95.34

1,572

319,174,542

100.00

Full Meetings of Directors

Attended
18
18
2
1
1

Held*
18
18
2
1
1

* Number of meetings held while a Director of the Company

The Company has been granted a waiver from Listing Rule 10.14 ("Approval required to acquire securities under an employee incen-
tive scheme") to the extent necessary to permit the issue of 308,583 ordinary shares on 14 September 2000 to Richard Graham and
277,968 ordinary shares on 14 September 2000 to Linda Graham-McCann. The Company requested and was granted the waiver
on the basis that the terms and conditions of the issue of both shares and options to directors was:
(a) unanimously approved by all existing shareholders in a general meeting on 26 April 2000;
(b) clearly disclosed on pages 73-74, page 82 and pages 95-96 of the Infomedia Ltd Prospectus dated 14 July 2000.

INFOMEDIA LTD
Registered Head Office
1300 Pittwater Road
Narrabeen NSW 2101
Telephone: (02) 9913 4700
Facsimile: (02) 9970 8833
Internet: www.infomedia.com.au

Directors - FY2000
Mr Richard Graham, Chairman and CEO
Ms Linda Graham-McCann, Executive Director
Mr Myer Herszberg, Non-executive Director
Mr Barry Ford, Non-executive Director
Ms Fran Hernon, Non-executive Director

Company Secretary
Mr Nick Georges

Auditors
ERNST & YOUNG
The Ernst & Young Building
321 Kent Street
Sydney NSW 2000

Share Registry
COMPUTERSHARE REGISTRY SERVICES PTY LTD
GPO Box 7045
Sydney NSW 1115

Lawyers
COWLEY HEARNE
Level 10
60 Miller Street
North Sydney NSW 2060

Microcat and Partfinder are registered trademarks of Infomedia Ltd. -- Infomedia, PC Lube, NetLube, Internet Microcat,
Datateck, Datateck Lubrication & Tune-Up Guide and the ‘parts rainbow device’ are all trademarks of Infomedia Ltd. 

www.infomedia.com.au

61