|
KCM
KCM
KCM - Kimberley Consolidated Mining - Audited Abridged Financial
Information, Change Statement and Notice of Annual General Meeting
Kimberley Consolidated Mining Limited
(Incorporated in the Republic of South Africa)
(Registration number 2007/010470/06)
JSE share code: KCM
ISIN Number: ZAE0000119996
("KCM" or "the Company" or "the Group")
Audited Abridged Financial Information, Change Statement and Notice of
Annual General Meeting
1. Posting of Annual Report
Shareholders are informed that KCM`s Annual Report will be posted on 30
September 2008.
2. Audited Financial Information
Condensed Group balance sheet
As at 29
February 2008
Audited
R`000
ASSETS
Non-current assets 169,557
Property, plant and equipment 67,513
Goodwill 21,114
Intangible assets 78,449
Other financial assets 2,481
Current assets 4,685
Inventories 1,011
Trade and other receivables 3,045
Cash and cash equivalents 629
TOTAL ASSETS 174,242
EQUITY AND LIABILITIES
Equity and reserves 120,157
Non-Current liabilities 32,618
Current liabilities 21,467
TOTAL EQUITY AND LIABILITIES 174,242
Condensed Group income statements
Eleven months Eleven
ended 29 months ended
February 2008 29 February
2008
Audited Estimate
R`000 R`000
Turnover 40,025 49,783
Other income 2,711 -
Operating costs (64,634) (68,917)
Loss from operations (21,898) (19,134)
Net finance costs (832) (222)
Loss before taxation (22,730) (19,356)
Taxation (3,336) 704
Loss after taxation (26,066) (18,652)
Cents Cents
Loss per share (8.48) (5.59)
Headline loss per share (2.23) (5.59)
Headline (loss)\earnings per share (0.37) 0.16
before IFRS adjustments
Below is a reconciliation of the audited and the estimated headline
earnings to the audited and estimated headline earnings before IFRS
adjustments.
Eleven months Eleven months
ended 29 ended 29 February
February 2008 2008
Audited Estimate
R`000 R`000
Net loss for the year (26,066) (18,652)
Add back
IFRS 3 amortisation of mining rights 4,176 2,506
Tax effect of amortisation (1,169) (704)
IFRS 2 payments to suppliers in lieu
of cash 4,775 17,386
IFRS 6 Impairment of Assets 17,135
Net (loss)\profit (excluding IFRS
adjustments) (1,149) 536
Condensed Group statement of changes in equity
Ordinary Share Accumulat- Total
share premium ed loss
capital
R`000 R`000 R`000 R`000
Balance at 1 April 2007 - - -
Shares issued during
the period 4 146,219 146,223
Net loss for the year (26,066) (26,066)
Balance at 29 February 4 146,219 (26,066) 120,157
2008
Condensed Group cash flow statement
As at 29
February 2008
Audited
R`000
Net cash flows from operating activities 12,459
Net cash flows from investing activities (36,264)
Net cash flows from financing activities 24,434
Net increase in cash and cash equivalents 629
3. Basis of preparation
The financial information has been prepared in accordance with IAS 34:
Interim Financial Reporting, International Financial Reporting Standards,
the International Financial Reporting Interpretations Committee
interpretations adopted by the Accounting Practices Board and the
Companies Act of South Africa. The financial information has been
prepared under the historical cost convention.
The financial information set out above has been prepared from the annual
financial statements for the year ended 29 February 2008 which have been
audited by Moore Stephens BKV Inc. and their modified audit opinion is
available for inspection at KCM`s registered office. The audit opinion
has been modified to include the following emphasis of matters:
3.1 reporting of a reportable irregularity in terms of the Auditing
Professions Act, 2005 relating to the late submissions of VAT and PAYE
which have subsequently been rectified;
3.2 the Group`s ability to continue as a going concern as the Group`s
current liabilities exceed its current assets by R16.8 million; and
3.3 corporate governance as the as the composition of the Group`s audit
committee does not meet the requirements of the Alternative Exchange`s
Listings Requirements and it was only constituted after year end.
4. Change statement
4.1. Balance Sheet Changes
1.) Deferred Tax
The deferred tax liability arising from the Bo-Karoo business
combination, amounting to R21,052 million, was not taken into
account previously. Following the impairment charge of capitalised
exploration expenditure (see below), the accumulated tax loss of
Channal Mining was not taken into consideration in the calculation
of a possible deferred tax asset.
2.) Goodwill and Intangible Assets
These amounts were impacted upon by the impairment of assets, as
described below.
3.) Share Premium
The opening balance of the share premium account was incorrect and
overstated by R 14,65 million as it incorporated amounts for shares
issued after the financial year end, prior to listing. The start-up
cost of R11,929 million (refer to note 4.2. below) that were written
off against this account was not accounted for in the May figures.
4.2. Income Statement Changes
Major changes were effected to Operational Costs and the main reason
was the impact of a subsequent event after year-end, which resulted
in the impairment of assets in terms ofIFRS6. Channal Mining
(Channal), a wholly owned subsidiary of the Group, capitalized all
exploration and evaluation expenditure on projects where it carried
out exploration activities with the aim of proving a viable reserve.
The major project was its Taung operation where it operated in a
joint venture with the licencor - Taung Giant Diamond Miners (TGDM).
The Group evaluated the project subsequent to year end and concluded
that this project will not be viable for the future and followed a
prudent approach and decided to account for the full effect in the
current Annual Financial Statements. This resulted in an impairment
of intangible assets on the income statement of Channal. The effect
on the income statement was that acquired capitalised exploration
costs amounting to R17,135 million and current year expenses of
R10,517 million that would have been capitalised, were expensed
through the income statement. Expenses for the current year that
were capitalised for projects that qualify (in accordance with the
Group`s accounting policy) amounted to R7,422 million.
The impact of IFRS 2 - Shares issued in lieu of cash - on the income
statement was re-evaluated and it was discovered that the provision in
the estimated forecast was overstated due to the fact that the estimates
were done before finalisation of year-end results and lead to the fact
that some of the share-based payments were double accounted for in the
estimate figures - which were also used for reporting in May as a prudent
approach. This impact was adjusted with the finalisation of the results
and reduced the charge to the income statement from R17,6 million to
R4,775 million.
Another material change to the May comparative figures were the
adjustment for start-up costs that were written off against the share
premium account. As these expenses could not be determined and estimated
when compiling the estimates (due to the fact that listing happened 3
months after year end), none were written off against the share premium
account of the estimates. The amount that qualified up to 29 February
2008 was R 11,929 million.
5. Notice of Annual General Meeting
The AGM of KCM shareholders will be held at the Protea Hotel,
Stellenbosch on 14 November 2008 at 11h00. Details of the proceedings and
resolutions are contained in the Annual Report.
By order of the board
Hein le Riche Koos Pieterse
CEO FD
CORPORATE INFORMATION
Executive directors: HP le Riche, JJ Pieterse, POR Sehunelo, DJS van
Tonder and JJ Cilliers
Non-executive directors: RJ Rakgoale, AS Rodionov and TD Pikwane
Registration number: 2007/010470/06
Registered address: Unit 240B, 2nd Floor, The Colosseum, Century City
Postal address: Suite 04, Private Bag X4, Century City, 7446
Company Secretary: JJ Pieterse
Transfer Secretaries: Computershare Investor Services (Proprietary)
Limited
Auditors: Moore Stephens BKV Inc.
Designated Advisor: QuestCo Sponsors (Proprietary) Limited
Date: 30/09/2008 11:12:01 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
| Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information. | |||||||||||||
| Other Profile Group sites: FundsData Online (unit trust data) | Profile Group corporate site | |||||||||||||
| [ Terms of Use | Privacy Policy | PAIA manual | FAQs/Help | Site Map | © Copyright Reserved 2026 ] | |||||||||||||
|
|||||||||||||
