Note 7 - Prepayments and deposit to suppliers

9 Months Ended

Sep. 30, 2013

Prepayments And Deposits To Suppliers Disclosure [Abstract]

Prepayments And Deposits To Suppliers Disclosure [Text Block]

7. Prepayments and deposit to suppliers

	September 30, 2013		December 31, 2012
	US$(’000)		US$(’000)
	(Unaudited)
Contract execution guarantees to TV advertisement and internet resources providers		8,168		9,463
Prepayments to TV advertisement and internet resources providers		6,845		5,069
Other deposits and prepayments		102		64
		15,115		14,596

Contract execution guarantees to TV advertisement and internet resource providers are paid as contractual deposits to the Company’s resources and services providers. These amounts will be either applied to the contract amounts and service fees that are needed to be paid for the resources and services provided in the last month of each contract period or refunded to the Company upon expiration of the purchase contracts.

According to the contracts signed between the Company and its suppliers, the Company is normally required to pay the contract amounts in advance. These prepayments will be transferred to cost of sales when the related services are provided.