China Unicom (Hong Kong) Limited provides a full range of telecommunications services, including mobile and fixed online services, in China. They are listed on the New York Stock Exchange and filed a Form 20-F with the SEC for the period ended December 31, 2008.

Required
a. Special Note, etc.
1. Financial statements were prepared under what reporting standards?
2. Did they reconcile to GAAP? Comment.
3. Why did they not provide audited financial statements for the year ended December 31, 2006?
4. Statements for years 2006 and prior were submitted using what GAAP?
b. Audit Report
1. How many years are included?
2. What reporting standards were used?
3. Internal control was guided by what?
4. Comment on management’s responsibility for the statements.
5. Comment on the auditing standards used.
6. Proper internal controls will prevent or detect misstatements. Comment.
c. Consolidated Balance Sheet
1. Why presented in RMB and U.S. $?
2. Comment on the assets presentation.
3. Comment on the equity presentation.
4. Comment on the liabilities presentation.