8. Share capital and additional paid in capital (continued) 2000 1999 1998 Additional paid in capital: Balance at beginning of year 3,453,808 2,965,421 2,914,889 Additional paid in capital from ordinary shares of common stock issued under public offering 4,825,800 - - Share issue costs arising on ordinary shares of common stock issued under public offering ( 790,669) - - Reduction in additional paid in capital from cancellation of treasury shares ( 1,087,856) - - Additional paid in shares issued under Directors’ Share Plan (see Note 16) 40,815 11,970 - Additional paid in capital on stock options (see Note 16) - 466,401 40,498 Additional paid in capital from exercise of warrants (see Note 16) 280,000 - - Additional paid in capital on preferred stock issued under employee share plan (see Note 16) 4,851 10,016 10,034 Balance at end of year $ 6,726,749 $ 3,453,808 $ 2,965,421 Vested redeemable preferred stock of CI$1.00 each issued and fully paid (Note 16): Balance of vested redeemable preferred stock at beginning of year 934 (1999: 7,072; 1998: nil) 1,121 8,486 - Preferred stock vested during the year 11,400 (1999: 7,036; 1998: 7,072) 13,680 8,444 8,486 Vested preferred stock redeemed and issued as ordinary shares 2,348 (1999: 13,174; 1998: nil) ( 2,818) ( 15,809) - Balance of vested redeemable preferred stock at end of year 9,986 (1999: 934; 1998: 7,072) $ 11,983 $ 1,121 $ 8,486 Non-vested redeemable preferred stock of CI$1.00 each issued and fully paid (Note 16): Balance of non-vested redeemable preferred stock at beginning of year 40,124 (1999: 36,833; 1998: 34,088) 48,149 44,200 40,906 Preferred stock vested during the year 11,400 (1999: 7,036; 1998: 7,072) ( 13,680) ( 8,444) ( 8,486) Non-vested preferred stock issued 3,415 (1999: 11,988; 1998: 10,027) 4,098 14,386 12,032 Non-vested preferred stock redeemed 200 (1999: nil; 1998: nil) ( 240) - - Non-vested preferred stock redeemed and issued as Ordinary shares 8,291 (1999: 1,661; 1998: 210) ( 9,949) ( 1,993) ( 252) Balance of non-vested redeemable preferred stock at end of year 23,648 (1999: 40,124; 1998: 36,833) $ 28,378 $ 48,149 $ 44,200 (Expressed in United States dollars) CONSOLIDATED WATER CO. LTD. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS