This excerpt taken from the CHA 20-F filed May 24, 2005.
25. BASIC EARNINGS PER SHARE
The calculation of basic earnings per share for the years ended December 31, 2002, 2003 and 2004 is based on the net income of RMB8,219, RMB13,882 and RMB28,023 respectively, and the weighted average number of shares in issue during the year of 69,241,674,942, 75,614,186,503 and 78,839,968,917 shares, respectively. The weighted average number of shares for the year ended December 31, 2004 reflects the issuance of 5,318,181,818 new H shares in May 2004 (Note 17). For the year ended December 31, 2002, the weighted average number of shares reflects as if the 68,317,270,803 shares issued and outstanding upon the legal formation of the Company on September 10, 2002 had been outstanding for all periods presented. The weighted average number of shares for the year ended December 31, 2002 also reflects the issuance of 7,296,915,700 shares in 2002 in connection with the Companys global initial public offering.
The amount of diluted earnings per share is not presented as there were no dilutive potential ordinary shares in existence for all periods presented.