2nd Quarter Results

ZCCM Invs.Hldgs PLC
14 April 2003


ZCCM Investments Holdings Plc

Incorporated in the Republic of Zambia







Directors' Quarterly Summary

incorporating Financial Results

for the quarter ended 31 December 2002





DIRECTORS



Mr G K Chibuye (Non-Executive)
Chairman of the Board



Mr D S Diangamo
Acting Secretary to the Treasury
Ministry of Finance and National Planning



Mr S Mpishi
Permanent Secretary
Ministry of Mines & Minerals Development



Dr A C J Sichinga
Permanent Secretary
Ministry of Energy & Water Development



Dr A Mwenda
Deputy Governor - Operations
Bank of Zambia



Mr E Mutale
General Secretary
Mineworkers' Union of Zambia





Company Secretary
W S Musama





Management Committee





General Manager
M Shandavu                             Chairman



Company Secretary
W S Musama



Technical Investment Manager
J M D Patterson



Finance and Investment Manager
Z Zekko



Legal Investment Manager
J K Kaite



Technical Investment Officer
W K Katoto



Financial Analyst
K K Mulaisho                          Committee Secretary



Environmental Manager
J Makumba





ZCCM INVESTMENTS HOLDINGS PLC
and subsidiary companies



DIRECTORS' QUARTERLY SUMMARY



The sale of one of the subsidiaries, Smelterco, during the last quarter has had
a significant impact on the Group's current consolidated financial figures.
Consequently, any comparison with last year's figures needs to take this into
account.



ZCCM-IH Group sales of K44 525 million were achieved during the quarter ended 31
December 2002 compared to K41 461 million at December 2001.  However, an
increased group operational expenditure of K51 777 million was recorded during
the quarter, compared to K46 405 last year.



A net operating loss of K7 252 million was incurred in the quarter, as against
K4 944 million loss last year.  However, exchange gains amounting to K70 094
million were recorded on account of the Kwacha appreciation at the close of the
quarter.  During the quarter, Dividends of K5 372 million were received from an
associate company, Copperbelt Energy Corporation.  The profit after tax for the
quarter was K66 234 million, compared to K767 million last year.



Subsequent to quarter end, Zambia Privatisation Agency advised that the
privatisation of Ndola Lime Company Limited will now proceed with the aim of
attracting a Strategic Equity Partner with a 30% stake.  This is as a result of
the rejection of all the three bids received, as they were deemed commercially
and technically unacceptable and did not  fully address the privatisation
objectives.



Bids for a shareholding interest in KCM by a strategic equity partner, submitted
by 28 February 2003 and evaluated by the Financial Advisors, Standard Bank
London, have been reviewed by the shareholders during March 2003.



Ms A O Chifungula, Acting Secretary to the Treasury, was appointed as a
Permanent Alternate Director to the Secretary to the Treasury after the end of
the quarter under review.





By Order of the Board



W S Musama
Company Secretary



Lusaka
14 April 2003




ZCCM INVESTMENTS HOLDINGS PLC


GROUP PROFIT/( LOSS) ACCOUNT FOR THE QUARTER ENDED 31 DEC 2002


                                          QUARTER ENDED   QUARTER ENDED
                                             31 DEC '02      31 DEC '01

                            notes            K' million      K' million

Sales                         1                  44,525          41,461
Cost of sales                 2                 (51,777)        (46,405)

Operating profit/(loss)                          (7,252)         (4,944)

Other income                                      7,440          30,723

Exchange gain/(loss)                             70,093         (15,029)
Environmental expenses                           (3,562)         (2,773)  
Interest charge                                  (3,322)         (7,901)
Interest income                                     341           1,435
Dividend receivable                               5,372
Royalty on minerals                                (444)           (275)
Profit/(loss) before taxation                    68,666           1,236

Income tax                                       (2,432)           (469)

Retained profit/(loss)                           66,234             767


Notes:

1 & 2                   Represents revenue /sales and administrative costs/cost 
                        of sales for the Company and its subsidiaries.

3                       The exchange rates applied are :

                        June 2002           :US$=K4516  
                        December 2002       :US$=K4368
                        December 2001       :US$=K3800



ZCCM INVESTMENTS HOLDINGS PLC

GROUP BALANCE SHEET

                                As at  31 Dec '02         As at  31 Dec '01

                                       K' million                K' million

Current assets
                                        
Bank & cash                                58,355                    26,439
Inventories                                43,646                    49,174
Metal debtors                                   0                   109,788
Other debtors                             253,259                   105,305

Total current assets                      355,260                   290,706


Current liabilities
Creditors
            local                          56,806                    91,061
            Overseas                       38,374                    18,441
Provisions                                286,814                   259,757  
Taxation                                   10,977                       864
Bank overdraft                                  0                       323
Total current liabilities                 392,971                   370,446

Net current assets/(liabilities)          (37,711)                  (79,740)


Long term  receivables                    123,154                   315,400
Investments                               449,409                   218,213
Fixed assets                               31,668                   308,577
Long term borrowings                   (1,563,587)               (1,490,523)
Grants/others                              (2,508)                  (93,758)
Subordinated loan                        (865,445)                 (865,445)

Total Net Liabilities                  (1,865,020)               (1,687,276)


Financed by:

Share capital                                 909                       893
Reserves                               (1,865,929)               (1,688,169)
Total shareholders' funds              (1,865,020)               (1,687,276)




ZCCM INVESTMENTS HOLDINGS PLC

GROUP CASH FLOW STATEMENT

                                        Quarter ended          Quarter ended
                                           30 Dec '02             30 Dec '01
                                                                                      
                                           K' million             K' million
Operating activities

     Cash received from customers              22,073                113,667

     Cash paid to suppliers and employees     (43,099)              (134,162)
Net cash generated from operating activities  (21,026)               (20,495)

     Interest received                            305                   1534
     Interest paid                                (63)                   (18)
     Taxation paid                               (137)                  (475)
                                                  105                  1,041

Net cashflow from operating activities        (20,921)               (19,454)

Investing activities

    Purchase of fixed assets                   (3,168)               (43,241)
    Proceeds from sale of fixed assets             58                    682
    Proceeds from sale of operating units           0                      -                                            
                                               (3,110)               (42,559)

Financing activities

    Long term borrowings received              27,274                 23,683
    Long term borrowing paid                   (1,960)                     -
    Grants                                          0                  3,674

Net cashflow from investing activities         25,314                 27,357
Dividend received                              10,301                      -
                                               35,615                 27,357

Net cash inflow/(outflow) for period           11,584                (34,656)

Cash balances at start of period
    Cash and bank balances                     46,772                 63,428
    Bank overdrafts                                 0                 (1,874)
                                               46,772                 61,554

Cash balances at end of period
    Cash and bank balances                     58,356                 27,221
    Bank overdrafts                                 0                   (323)
                                               58,356                 26,898



CORPORATE LOCATIONS


Registered Office                             UK Registrars

Mukuba Pension House                          CAPITA IRG Plc
First Floor                                   Bourne House
5309 Dedan Kimathi Road                       34 Beckenham Road
P O Box 30048                                 Beckenham
LUSAKA                                        Kent BR3 4TU
Lusaka, 10101, Zambia                         England

Tel Numbers    260 (01) 221023                Tel No.   020 8639 2000
                        220351                Fax No.   020 8658 3430
                        220654
                        228833                Depository for American Shares

Fax Numbers    260 (01) 221057                JP Morgan Chase & Co
                        220449                60 Wall Street
                        220727                New York, NY 10260-0060
                                              United States of America
E-mail:[e-mail]
                                              Tel No.  001 212 648 3207
Kitwe Office                                  Fax No. 001 212 648 5104/5

Investments House
Kantanta Street
P O Box 20172
Kitwe

Tel Numbers 260 (02) 245008
                     245117
                     245118
                     245054
                     245160
                     245155
                     245319
                     245322

Numbers     260 (02) 245363
                     245364
                     245473

E-mail:[e-mail]   



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