| Wed 22 Oct 2008, 14:24 | | SNU - Sentula Mining Limited - Audited abridged financial results for the year |
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SNU
SNU
SNU - Sentula Mining Limited - Audited abridged financial results for the year
ended 31 March 2008
SENTULA MINING LIMITED
(Formerly Scharrig Mining Limited)
Incorporated in the Republic of South Africa
(Registration number 1992/001973/06)
Share code: SNU???ISIN code: ZAE000107223
("Sentula" or "the company" or "the group")
Audited abridged financial results for the year ended 31 March 2008
Group revenue increased to R2.66 billion
(Restated 2007: R1.25 billion)
Adjusted operating profit up to R424 million
(Restated 2007: R199 million)
Adjusted basic EPS of 127.9 cents per share
(Restated 2007: 49.1 cents per share)
Net asset value per share of R8.03
(Restated 2007: R4.29)
"It was a very challenging second half to the financial year, but we have dealt
with all the problematic issues outlined in our trading statement on 2 June
2008. The March 2007 results have been restated and our performance in 2008 has
shown relative growth. Unfortunately further events transpired that also
necessitated a restatement of the 2008 reviewed results. The extraordinary
challenges we`ve been faced with over the last year are now behind us and the
fundamentals of the company are sound, integration of acquisitions is complete
and the operations are well poised for sustained growth. We will continue to
pursue our growth strategy and our prospects are exceptionally good. We are
facing an exciting future with renewed determination and clarity of purpose." -
Robin Berry, CEO
Consolidated Income Statement
for the year ended Audited Restated
31 March 31 March
2008 2007
R`000 R`000
Revenue 2 656 039 1 250 484
Cost of sales (2 112 874) (895 213)
Gross profit 543 165 355 271
Other income 22 874 -
Impairment (2 131) (34 613)
Provision for unaccounted funds (241 661) -
Administrative expenses (188 300) (175 809)
Profit from operations 133 947 144 849
Finance expense (158 311) (71 013)
Finance income 8 766 1 622
Excess of fair value of assets and 77 411 5 511
liabilities acquired over purchase
price
Income from investment in associate 68 133 -
(net of tax)
Profit before taxation 129 946 80 969
Taxation (16 379) (26 604)
Profit for the year 113 567 54 365
Attributable to:
Equity holders of Sentula Mining 113 567 45 976
Limited
Minority interest - 8 389
2008 2007
Basic earnings per share (cents) 56.3 30.4
Diluted earnings per share (cents) 56.1 30.1
Headline (loss) earnings per share (cents) (8.2) 41.6
Diluted headline (loss) earnings per share (8.2) 41.3
(cents)
Adjusted basic earnings per share (cents) 127.9 49.1
Adjusted diluted earnings per share (cents) 127.4 48.7
The weighted average number of shares was:
Weighted average number of shares (`000) 201 699 151 352
Add: Potential share based payment effect 688 1 338
(`000)
Diluted weighted average number of shares 202 387 152 690
(`000)
Adjusted and headline earnings:
The group has also presented an adjusted earnings per share figure
to exclude the impact of impairments, amortisation of intangible
assets and other non-recurring items in order to present a more
useful comparison for the years shown in the consolidated
financial statements. Adjusted earnings per share has been based
on the adjusted headline earnings for each financial year and on
the same weighted average shares in issue as the basic earnings
per share calculation. Headline earnings per share has been
calculated in accordance with the new South African Circular
8/2007 entitled `Headline Earnings` which forms part of the
Listing Requirements of the JSE Limited.
2008 2007
Reconciliation of Headline Earnings R`000 R`000
The adjustments made to arrive at headline
earnings and adjusted earnings are as
follows:
Net profit for the year attributable to 113 567 45 976
equity holders of the parent
Adjust for:
Profit on sale of plant and equipment (8 017) (2 870)
Loss on sale of plant and equipment 1 827 -
Impairment of plant and equipment 2 131 34 613
Excess of fair value of assets and (49 847) -
liabilities acquired over purchase price -
Koornfontein
Excess of fair value of assets and (77 411) -
liabilities acquired over purchase price -
Nkomati
Excess of fair value of assets and - (5 511)
liabilities acquired over purchase price -
Benicon Opencast Mining
Tax effect of above adjustment 1 177 (9 206)
Headline earnings attributable to ordinary (16 573) 63 002
shareholders
Provision for unaccounted funds 241 661 -
Amortisation of customer base and workforce 46 258 19 333
Fair value adjustment on vendor liabilities - 14 030
Foreign exchange adjustment on vendor - (13 470)
liabilities
Tax effect on the above (13 415) (5 769)
Adjusted earnings attributable to minority - (2 825)
shareholders
Adjusted earnings attributable to ordinary 257 931 74 301
shareholders
Consolidated Balance Sheet
As at Audited Restated
31 March 31 March
2008 2007
R`000 R`000
ASSETS
Non-current assets 3 235 825 1 588 590
Property, plant and equipment 2 234 927 1 302 318
Mineral rights 364 305 -
Intangible assets 12 008 38 667
Investments in equity-accounted 233 550 -
associate
Goodwill 372 691 203 425
Deferred tax 18 344 44 180
Current assets 1 137 753 691 085
Inventories 301 120 210 394
Trade and other receivables 551 458 316 180
Cash and cash equivalents 285 175 164 511
Total assets 4 373 578 2 279 675
EQUITY AND LIABILITIES
Total ordinary shareholders` funds 1 892 298 807 519
Share capital 2 356 1 884
Share premium 1 558 640 572 684
Treasury shares (30 779) (35 626)
Reserves 32 721 9 933
Retained earnings 329 360 258 644
Minority interest 87 335 8 389
Total shareholders` funds 1 979 633 815 908
Liabilities
Non-current liabilities 1 512 333 522 659
Loans and borrowings 1 232 865 348 667
Rehabilitation provision 67 790 -
Deferred taxation 211 678 173 992
Current liabilities 881 612 941 108
Trade and other payables 345 226 308 069
Loans and borrowings 472 458 309 353
Other financial liabilities 5 851 284 586
Taxation payable 58 077 39 100
Total liabilities 2 393 945 1 463 767
TOTAL EQUITY AND LIABILITIES 4 373 578 2 279 675
Net asset value per share (cents) 803 429
Net tangible asset value per share 640 300
(cents)
Consolidated Cash Flow Statement
for the year ended Audited Restated
31 March 31 March
2008 2007
R`000 R`000
Cash flows from operating activities
Profit for the year 113 567 54 365
Adjustments for:
Depreciation 225 243 151 582
Provision for unaccounted funds 241 661 -
Amortisation of intangible assets 46 258 19 333
Impairment 2 131 34 613
Foreign exchange (gains) (5 790) (13 470)
Excess of fair value of assets and (77 411) (5 511)
liabilities acquired over purchase
price
Finance income (8 766) (1 622)
Finance expense 158 311 71 013
-paid 126 726 61 260
-accrued 31 585 9 753
Equity settled share-based payment 20 606 2 282
expense
Income from investment in associate (68 133) -
(net of tax)
Net gain on sale of property, plant (6 190) (2 870)
and equipment
Income tax expense 16 379 26 604
Cash flows from operating activities 657 866 336 319
before changes in working capital and
provisions
Increase in inventories (78 020) (130 522)
Increase in trade and other (161 469) (28 463)
receivables
(Decrease)/increase in trade and (29 298) 46 153
other payables
(Decrease) in provisions and employee (250) -
benefits
Cash generated from operations 388 829 223 487
Income taxes paid (52 537) (5 083)
Interest paid (126 726) (61 260)
Net cash from operating activities 209 566 157 144
Investing activities
Acquisitions of subsidiaries, net of (57 817) (17 326)
cash acquired
Acquisition of minority interest (13 880) -
Purchase of property, plant and (1 083 582) (518 619)
equipment
Cost price adjustment on plant and (241 661) -
equipment
Proceeds from disposal of property, 150 863 20 200
plant and equipment
Purchases of investment in associate (165 417) -
Interest received 8 766 1 622
Net cash utilised in investing (1 402 728) (514 123)
activities
Financing activities
Proceeds from issue of ordinary 698 730 316 052
shares
Proceeds from borrowings 659 703 203 209
Dividends paid (44 607) (21 411)
Net cash from financing activities 1 313 826 497 850
Net increase in cash and cash 120 664 140 871
equivalents
Cash and cash equivalents at 164 511 23 640
beginning of year
Cash and cash equivalents at end of
year
285 175 164 511
Purchase of Investments
Classic
Benicon Ritchie Challenge
Coal Crane Hire Trading
(Proprietary) (Proprietary) (Proprietary)
Limited Limited Limited
R`000 R`000 R`000
Property, plant 59 898 36 402 25 042
and equipment
Amortised - - -
customer base
Goodwill - - -
Other receivables 4 474 - 9 651
Inventories 10 655 761 199
Receivables 18 584 - 17 058
Cash and cash 3 303 - 9 123
equivalents
Lease obligations - - (19 165)
Long-term (34 657) (7 496) (614)
liabilities
Payables (46 518) - (9 105)
Provisions (68 040) - -
Tax payable - - (13 454)
Deferred tax - - -
liability
Book value (52 301) 29 667 18 735
Fair value - - -
adjustment
Property, plant - - 21 447
and equipment
Receivables - - -
Intangibles 364 305 - -
Deferred tax (102 005) - (6 005)
Minority interest (87 335) - -
Fair value 122 664 29 667 34 177
Goodwill/(excess (77 411) 17 740 35 138
of fair value of
assets and
liabilities
acquired over
purchase price)
Consideration - - -
paid
Cash 112 21 776 22 929
Loan acquired 8 193 - -
Ordinary shares 36 948 25 630 46 386
Costs of 45 253 47 406 69 315
acquisition
Cash - - -
consideration
paid net of cash
acquired
Purchase of Investments (continued)
Acquisition
in minority
- Geosearch
Pioneer Holdings
Drilling & (Proprietary)
Blasting CC Total Limited
R`000 R`000 R`000
Property, plant and 51 098 172 440 30 011
equipment
Amortised customer base - - 7 733
Goodwill - - 37 291
Other receivables - 14 125 -
Inventories 1 091 12 706 6 752
Receivables 22 504 58 146 30 506
Cash and cash equivalents (6 226) 6 200 14 589
Lease obligations (37 038) (56 203) -
Long-term liabilities - (42 767) (81 861)
Payables (12 588) (68 211) (28 929)
Provisions - (68 040) -
Tax payable - (13 454) (5 325)
Deferred tax liability - - (2 378)
Book value 18 841 14 942 8 389
Fair value adjustment - - -
Property, plant and 27 322 48 769 -
equipment
Receivables 1 538 1 538 -
Intangibles 19 599 383 904 -
Deferred tax (5 488) (113 498) -
Minority interest - (87 335) -
Fair value 61 812 248 320 8 389
Goodwill/(excess of fair 19 687 (4 847) 96 702
value of assets and
liabilities acquired over
purchase price)
Consideration paid - - -
Cash 19 200 64 017 13 880
Loan acquired - 8 193 (17 829)
Ordinary shares 62 299 171 263 108 507
Costs of acquisition 81 499 243 473 104 558
Cash consideration paid net - 57 817 -
of cash acquired
Statement of Changes in Equity
Employee
share
incentive
reserve/
Share Share Capital
capital premium reserve
R000 R000 R000
Balance at 31 March 2006 as 1 374 100 055 6 076
previously reported
Prior year adjustments - 5 250 (5 469)
Restated balance as at 1 374 105 305 607
31 March 2006
Restated profit - - -
for the year - - -
Profit for the year as - - -
previously reported
Prior year adjustments - profit - - -
Dividend paid - - -
Foreign exchange translation - - -
Restated share-based payments - 13 464 503
Restated shares issued 510 453 915 -
Prior year adjustments - equity - - -
Restated balance as at 1 884 572 684 1 110
31 March 2007
Profit for the year - - -
Foreign currency translation - - -
movement
Nkomati minority as a result of - - -
business acquisition
Dividend paid - - -
Share-based payments - (4 073) 20 244
Minority acquired - - -
Shares issued 472 990 029 -
Balance at 31 March 2008 2 356 1 558 640 21 354
Statement of Changes in Equity (continued)
Foreign
exchange
Treasury translation Retained
shares reserve earnings
R`000 R`000 R`000
Balance at 31 March 2006 as (8 397) - 217 397
previously reported
Prior year adjustments (5 297) - 13 414
Restated balance as at 31 (13 694) - 230 811
March 2006
Restated profit for the year - - 45 976
Profit for the year as - - 148 853
previously reported
Prior year adjustments - - - (102 877)
profit
Dividend paid - - (20 923)
Foreign exchange translation - (5 043) 2 780
Restated share-based payments 10 443 - -
Restated shares issued (32 375) - -
Prior year adjustments - - - -
equity
Restated balance as at 31 (35 626) (5 043) 258 644
March 2007
Profit for the year - - 113 567
Foreign currency translation - 2 544 -
movement
Nkomati minority as a result - - -
of business acquisition
Dividend paid - - (42 851)
Share-based payments 4 847 - -
Minority acquired - - -
Shares issued - - -
Balance at 31 March 2008 (30 779) (2 499) 329 360
Statement of Changes in Equity (continued)
Total
Non- Ordinary
distri- share-
butable Minority holders`
reserve Interest Funds
R`000 R`000 R`000
Balance at 31 March 2006 as 13 866 - 330 371
previously reported
Prior year adjustments - - 7 898
Restated balance as at 31 13 866 - 338 269
March 2006
Restated profit for the year - 8 389 54 365
Profit for the year as - 8 389 157 242
previously reported
Prior year adjustments - - - (102 877)
profit
Dividend paid - - (20 923)
Foreign exchange translation - - (2 263)
Restated share-based payments - - 24 410
Restated shares issued - - 422 050
Prior year adjustments - - - -
equity
Restated balance as at 31 13 866 8 389 815 908
March 2007
Profit for the year - - 113 567
Foreign currency translation - - 2 544
movement
Nkomati minority as a result - 87 335 87 335
of business acquisition
Dividend paid - - (42 851)
Share-based payments - - 21 018
Minority acquired - (8 389) (8 389)
Shares issued - - 990 501
Balance at 31 March 2008 13 866 87 335 1 979 633
Effects of restatements (line items as reported at 31 March 2008 affected by the
restatement)
Benicon
Earthworks
Balance as (Proprietary)
previously Share- Limited
reported at based acquisition
31 March 2007 payments adjustment
R`000 R`000 R`000
(1) (2)
Effect on opening retained
earnings on 1 April 2006:
Retained earnings as 217 397 13 414 -
previously reported
Share capital 1 374 - -
Share premium 100 055 5 250 -
Employee share incentive 6 076 (5 469) -
reserve/capital reserve
Treasury shares (8 397) (5 297) -
Net effect on ordinary 316 505 7 898 -
shareholders` funds
Cumulative effect for the
year ended 31 March 2007:
Balance sheet
Equity
Share premium 532 370 18 714 21 600
Employee share incentive 7 209 (6 099) -
reserve/capital reserve
Treasury shares (16 411) (19 215) -
Foreign currency (2 263) - -
translation reserve
Retained earnings 344 838 1 995 (23 827)
Net effect on ordinary 865 743 (4 605) (2 227)
shareholders` funds
Assets and liabilities
Property, plant and 1 399 575 - (11 235)
equipment
Receiver of Revenue (26 960) (4 605) (3 300)
Inventory 137 752 - -
Long-term liability (322 855) - -
Deferred taxation (182 008) - 12 308
Trade receivables 338 462 - -
Trade payables (252 441) - -
Goodwill and intangible 227 785 - -
assets
Net effect on assets 1 319 310 (4 605) (2 227)
Income statement
Revenue 1 368 760 - -
Cost of sales 822 357 - -
Gross profit 546 403 - -
Impairment - - -
Administrative expenditure 250 041 7 224 (1 307)
Profit from operations 296 362 (7 224) 1 307
Excess of fair value of - - (37 287)
assets and liabilities
acquired
Profit before tax 226 969 (7 224) (35 980)
Taxation expenditure 69 728 4 605 (12 074)
Profit for year 157 242 (11 829) (23 906)
Attributable to:
- Equity holders of 148 853 (11 829) (23 906)
Sentula Mining Limited
Earnings per share (cents)
- Attributable earnings 98.3 (7.8) (15.8)
Reconciliation of
disclosure in notes to the
annual financial
statements
Staff cost 240 935 1 148 -
Impairment of property, - - -
plant and equipment
Bad debts - 6 076 -
Restraint of trade - - -
Foreign exchange (19 173) - -
adjustment
Depreciation 152 780 - (1 198)
Profit on sale of assets (2 977) - 108
Effects of restatements (line items as reported at 31 March 2008 affected by the
restatement) (continued)
Scharrighuisen
Benicon Drilling
and Shares
Sales Blasting issued
(Proprietary) (Proprietary) regarding
Limited/ Limited asset restraint
Enjee Trust impairment of trade
R`000 R`000 R`000
(3) (4) (5)
Effect on opening
retained earnings on
1 April 2006:
Retained earnings as - - -
previously reported
Share capital - - -
Share premium - - -
Employee share - - -
incentive
reserve/capital reserve
Treasury shares - - -
Net effect on ordinary - - -
shareholders` funds
Cumulative effect for
the year ended
31 March 2007:
Balance sheet
Equity
Share premium - - -
Employee share - - -
incentive
reserve/capital reserve
Treasury shares - - -
Foreign currency - - -
translation reserve
Retained earnings - (24 567) (6 212)
Net effect on ordinary - (24 567) (6 212)
shareholders` funds
Assets and liabilities
Property, plant and - (34 613) -
equipment
Receiver of Revenue - - -
Inventory 8 000 - -
Long-term liability (18 629) - -
Deferred taxation - 10 046 2 538
Trade receivables - - (8 750)
Trade payables 10 629 - -
Goodwill and intangible - - -
assets
Net effect on assets - (24 567) (6 212)
Income statement
Revenue - - -
Cost of sales - - -
Gross profit - - -
Impairment - 34 613 -
Administrative - - 8 750
expenditure
Profit from operations - (34 613) (8 750)
Excess of fair value of - - -
assets and liabilities
acquired
Profit before tax - (34 613) (8 750)
Taxation expenditure - (10 046) (2 538)
Profit for year - (24 567) (6 212)
Attributable to:
- Equity holders of - (24 567) (6 212)
Sentula Mining Limited
Earnings per share
(cents)
- Attributable earnings - (16.2) (4.1)
Reconciliation of
disclosure in notes to
the annual financial
statements
Staff cost - - -
Impairment of property, - 34 613 -
plant and equipment
Bad debts - - -
Restraint of trade - - 8 750
Foreign exchange - - -
adjustment
Depreciation - - -
Profit on sale of - - -
assets
Effects of restatements (line items as reported at 31 March 2008 affected by the
restatement) (continued)
Benicon
Sales
(Proprietary)
Limited
Scharrighuisen
Opencast Geosearch
Mining Holdings
(Proprietary) (Proprietary) Loyalty
Limited Limited Rebates
R`000 R`000 R`000
(6) (7) (8)
Effect on opening
retained earnings on 1
April 2006:
Retained earnings as - - -
previously reported
Share capital - - -
Share premium - - -
Employee share - - -
incentive
reserve/capital reserve
Treasury shares - - -
Net effect on ordinary - - -
shareholders` funds
Cumulative effect for
the year ended 31 March
2007:
Balance sheet
Equity
Share premium - - -
Employee share - - -
incentive
reserve/capital reserve
Treasury shares - - -
Foreign currency - - (2 780)
translation reserve
Retained earnings (16 882) (4 049) (12 653)
Net effect on ordinary (16 882) (4 049) (15 433)
shareholders` funds
Assets and liabilities
Property, plant and (51 409) - -
equipment
Receiver of Revenue - - (4 235)
Inventory 29 450 - 35 192
Long-term liability 12 827 (20 010) -
Deferred taxation 25 275 1 654 375
Trade receivables (14 322) - 790
Trade payables (18 703) - (47 555)
Goodwill and intangible - 14 307 -
assets
Net effect on assets (16 882) (4 049) (15 433)
Income statement
Revenue (10 312) - (8 215)
Cost of sales 30 092 - 1 259
Gross profit (40 404) - (9 474)
Impairment - - -
Administrative 1 753 5 703 2 100
expenditure
Profit from operations (42 157) (5 703) (11 574)
Excess of fair value of - - -
assets and liabilities
acquired
Profit before tax (42 157) (5 703) (11 574)
Taxation expenditure (25 275) (1 654) 3 858
Profit for year (16 882) (4 049) (15 432)
Attributable to:
- Equity holders of (16 882) (4 049) (15 432)
Sentula Mining Limited
Earnings per share
(cents)
- Attributable earnings (11.2) (2.7) (10.2)
Reconciliation of
disclosure in notes to
the annual financial
statements
Staff cost 14 738 - -
Impairment of property, - - -
plant and equipment
Bad debts - - -
Restraint of trade - - -
Foreign exchange - 5 703 -
adjustment
Depreciation - - -
Profit on sale of - - -
assets
Effects of restatements (line items as reported at 31 March 2008 affected by the
restatement) (continued)
31 March
Reclassifi- Total 2007
cations adjustments Restated
R`000 R`000 R`000
(9)
Effect on opening retained
earnings on 1 April 2006:
Retained earnings as - 13 414 230 811
previously reported
Share capital - - 1 374
Share premium - 5 250 105 305
Employee share incentive - (5 469) 607
reserve/capital reserve
Treasury shares - (5 297) (13 694)
Net effect on ordinary - 7 898 324 403
shareholders` funds
Cumulative effect for the
year ended 31 March 2007:
Balance sheet
Equity
Share premium - 40 314 572 684
Employee share incentive - (6 099) 1 110
reserve/capital reserve
Treasury shares - (19 215) (35 626)
Foreign currency - (2 780) (5 043)
translation reserve
Retained earnings - (86 195) 258 643
Net effect on ordinary - (73 975) 791 698
shareholders` funds
Assets and liabilities
Property, plant and - (97 257) 1 302 318
equipment
Receiver of Revenue - (12 140) (39 100)
Inventory - 72 642 210 394
Long term liability - (25 812) (348 667)
Deferred taxation - 52 196 (129 812)
Trade receivables - (22 282) 316 180
Trade payables - (55 629) (308 070)
Goodwill and intangible - 14 307 242 092
assets
Net effect on assets - (73 975) 1 245 335
Income statement
Revenue (99 749) (118 276) 1 250 484
Cost of sales 41 506 72 856 895 213
Gross profit (141 255) (191 132) 355 271
Impairment - 34 613 34 613
Administrative expenditure (98 457) (74 234) 175 809
Profit from operations (42 798) (151 511) 144 849
Excess of fair value of 42 798 5 511 5 511
assets and liabilities
acquired
Profit before tax - (146 000) 80 969
Taxation expenditure - (43 124) 26 604
Profit for year - (102 877) 54 365
Attributable to:
- Equity holders of Sentula - (102 877) 45 976
Mining Limited
Earnings per share (cents)
- Attributable earnings - (68.0) 30.4
Reconciliation of
disclosure in notes to the
annual financial statements
Staff cost - 15 886 256 821
Impairment of property, - 34 613 34 613
plant and equipment
Bad debts - 6 076 6 076
Restraint of trade - 8 750 8 750
Foreign exchange adjustment - 5 703 (13 470)
Depreciation - (1 198) 151 582
Profit on sale of assets - 108 (2 869)
Notes to the prior year restatement:
Note 1 - Recognition of accounting impact for share-based payments incorrectly
accounted for in the prior year.
Note 2 - Correction of purchase price adjustment on acquisition of Benicon
Earthworks (Proprietary) Limited acquisition and correction of fair value of
fixed assets.
Note 3 - Correction of balances on vendor loan accounts pertaining to funding
for Benicon Sales (Proprietary) Limited.
Note 4 - Impairment of 11 drill rigs acquired as part of the Fixtrade CC
acquisition, which are deemed to be inappropriate for the business of
Scharrighuisen Drilling and Blasting (Proprietary) Limited.
Note 5 - Expenses associated with restraint of trade payments to previous
director.
Note 6 - Adjustments resulting from the reconciliation of fixed asset register
and accounts associated with funding arrangements.
Note 7 - Purchase price adjustments pertaining to acquisition of Geosearch
Holdings (Proprietary) Limited.
Note 8 - Post-review adjustments relating to loyalty rebates and reallocations.
Note 9 - Reclassifications resulting from prior year accounting errors and
change in disclosure in the current year.
Segmental Analysis
Opencast
mining Explor- Drilling
and earth- ation And
moving drilling Blasting
R`000 R`000 R`000
2008
Revenues 1 315 533 774 179 132 430
Intersegment revenue 44 385 - 69 658
Total segment revenue 1 359 918 774 179 202 088
Segment result 215 954 162 314 (6 865)
Unaccounted funds written off (241 661) - -
Net finance costs - - -
Excess of fair value of assets - - -
and liabilities acquired over
purchase price
Share of profit of equity- - - -
accounted investees
Income tax expense - - -
Profit for the period - - -
Segment assets 2 147 011 767 456 197 088
Investment in equity-accounted - - -
associate
Unallocated assets - - -
Total assets - - -
Segment liabilities 161 956 102 488 14 977
Unallocated liabilities - - -
Total liabilities - - -
2007
Revenues 801 379 293 254 42 264
Intersegment revenue (1 962) - -
Total segment revenue 799 417 293 254 42 264
Segment result 234 660 72 220 (1 830)
Net finance costs - - -
Excess of fair value of assets 5 511 - -
and liabilities acquired over
purchase price
Income tax expense - - -
Profit for the period - - -
Segment assets 1 410 806 651 383 35 556
Unallocated assets - - -
Total assets - - -
Segment liabilities 707 577 558 873 59 231
Unallocated liabilities - - -
Total liabilities - - -
Segmental Analysis (continued)
Equipment
trading Coal
Crane hire and spares Mining
R`000 R`000 R`000
2008
Revenues 28 960 404 937 -
Intersegment revenue - 17 762 -
Total segment revenue 28 960 422 699 -
Segment result 20 717 11 647 -
Unaccounted funds written off - - -
Net finance costs - - -
Excess of fair value of - - 77 411
assets and liabilities
acquired over purchase price
Share of profit of equity- - - 68 133
accounted investees
Income tax expense - - -
Profit for the period - - -
Segment assets 75 725 205 072 461 091
Investment in equity- - - 233 550
accounted associate
Unallocated assets - - -
Total assets - - -
Segment liabilities 1 108 36 972 69 909
Unallocated liabilities - - -
Total liabilities - - -
2007
Revenues - 113 587 -
Intersegment revenue - - -
Total segment revenue - 113 587 -
Segment result - 826 -
Net finance costs - - -
Excess of fair value of - - -
assets and liabilities
acquired over purchase price
Income tax expense - - -
Profit for the period - - -
Segment assets - 116 150 -
Unallocated assets - - -
Total assets - - -
Segment liabilities - 51 960 -
Unallocated liabilities - - -
Total liabilities - - -
Segmental Analysis (continued)
Elimi- Consoli-
Other nations Dated
R`000 R`000 R`000
2008
Revenues - - 2 656 039
Intersegment revenue - (131 805) -
Total segment revenue - (131 805) 2 656 039
Segment result (28 159) - 375 608
Unaccounted funds written - - (241 661)
off
- - 133 947
Net finance costs - - (149 545)
Excess of fair value of - - 77 411
assets and liabilities
acquired over purchase
price
Share of profit of equity- - - 68 133
accounted investees
Income tax expense - - (16 379)
Profit for the period - - 113 567
Segment assets 268 241 - 4 121 684
Investment in equity- - - 233 550
accounted associate
Unallocated assets - - 18 344
Total assets - - 4 373 578
Segment liabilities 1 736 780 - 2 124 190
Unallocated liabilities - - 269 755
Total liabilities - - 2 393 945
2007
Revenues - - 1 250 484
Intersegment revenue - 1 962 -
Total segment revenue - 1 962 1 250 484
Segment result 19 606 (180 633) 144 849
Net finance costs - - (69 391)
Excess of fair value of - - 5 511
assets and liabilities
acquired over purchase
price
Income tax expense - - (26 604)
Profit for the period - - 54 365
Segment assets 8 888 - 2 222 783
Unallocated assets - - 56 892
Total assets - - 2 279 675
Segment liabilities (126 966) - 1 250 675
Unallocated liabilities - - 213 092
Total liabilities - - 1 463 767
Reconciliation of Post Tax Earnings
2008 2007
Note R`000 R`000
Net profit after tax as disclosed at 234 779 93 663
reviewed and restated results
Reversal of erroneous accounting of 1 - (12 651)
loyalty rebate
Transfer of foreign exchange gain to 2 - (2 780)
foreign exchange translation reserve
Erroneous revenue recognition 3 (10 010) (16 003)
Adjustment for unaccrued expenses 4 (12 344) (7 864)
Provision for unaccounted funds 5 (241 661) -
Tax effect of adjustments to fixed 74 365 -
asset cost base
Purchase price adjustment - Benicon 6 18 591 -
Coal acquisition
Purchase price adjustment - 7 49 847 -
Koornfontein acquisition
Net profit after tax as adjusted 113 567 54 365
Notes to post-tax earnings reconciliation
Note 1 - Correction of erroneous accounting entries pertaining to
customer loyalty rebates recognised in the 2007 accounting year.
Note 2 - Reversal of a foreign exchange gain to the foreign
exchange translation reserve.
Note 3 - Adjustment for erroneous revenue recognition pertaining
to an over invoicing of services rendered.
Note 4 - Adjustment for wages and fuel expenses in correct
accounting period.
Note 5 - An ongoing forensic investigation revealed a bank account
in the name of Scharrighuisen Opencast Mining (Proprietary)
Limited that was not recorded in its accounting records. The
transactions reflected in the bank account are still under
investigation and, pending finalisation of the investigation, the
receivable has been impaired.
Note 6 - Purchase price adjustment pertaining to acquisition of
Benicon Coal (Proprietary) Limited (Nkomati Mine).
Note 7 - Purchase price adjustment pertaining to acquisition of an
interest in the Koornfontein Mine.
Financial Review
CEO OVERVIEW
Looking at the past year and in line with our strategy, Sentula continued to
maintain its positive, but sustainable growth trend through the posting of solid
results and the recording of strategic and operational highlights. The group
grew its business organically and through acquisitions, enhancing its breadth of
service provision, continuing to diversify geographically and developing a
portfolio of equity stakes in several exciting coal projects.
The company has taken several steps to address significant issues which emerged
earlier this year. New financial management appointments were made, internal
financial reporting systems and robust controls were implemented which should
ensure that the unique circumstances and control failures of the past should not
reoccur.
Additionally, an independent `Investigation Committee` was constituted to work
closely with KPMG and their forensic unit to investigate a number of accounting
irregularities. In addition to restating the financial results for 2007 and
2008, the forensic investigation revealed an apparent misappropriation of funds.
The forensic investigation is still to be concluded but it is conceivable that
some of the misappropriated funds may be recovered.
The company and Board are united and determined to deal appropriately with all
these significant issues and we will keep shareholders informed of our progress.
We will continue to make further advances in this regard over the coming year
and focus on accelerating the development of Sentula consistent with our
intended growth strategy.
RESTATED AUDITED FINANCIAL RESULTS 2008
The results for the year reflect continued growth in the size and diversity of
Sentula`s revenue base. Revenue for the year increased by 112% to R2.7 billion
from R1.3 billion restated for the prior year. Above-average rainfall during the
last quarter of the year, the delay in the start-up of several contracts, mining
inflation, high financing costs and operations inefficiencies adversely affected
operations, and saw operating efficiencies and resulting gross profit margins
decline from 28% to 20% in the financial year ended 31 March 2008 ("F2008").
Operating profit, adjusted for impairments, amortization of intangible assets
and the provision for the unaccounted funds of R242 million, increased from R199
million to R424 million, an increase of 113%. Adjusted basic earnings per share
increased from 49.1 cents to 127.9 cents, an increase of 160%.
Headline earnings per share however decline to a loss of 8.2 cents from earnings
of 41.6 cents in the prior year as a result of the provision for unaccounted
funds of R242 million, the details of which are alluded to in the commentary
below.
Cash flow generated by operating activities before changes in working capital
and provisions amounted to R658 million, compared with R336 million in the
restated prior year.
Notwithstanding increased capital expenditure during the year, the group
successfully managed its net debt to equity ratio to 72% up from 61% in the 2007
financial year but in line with target net debt to equity ratio.
Improved results saw a final declared dividend of 10 cents per share to bring
the total dividend for the year to 21 cents per share (2007: 17 cents per
share).
Capital expenditure
During the year Sentula invested R1.1 billion in capital equipment, of which
R803 million was allocated to replacing outdated or old equipment.
Segmental analysis
The bulk of the earnings for the year under review were generated by the mining
services part of the group, with the three opencast mining subsidiaries
contributing the largest share. Earnings from the growing coal portfolio were
recognised for the first time during this year.
The delay in finalising the audited results also afforded Sentula the
opportunity to review the assessment of the purchase price adjustments on the
Benicon Coal (Proprietary) Limited acquisition, resulting in an increase of the
negative goodwill on this transaction of R18.6 million to R77.4 million. In this
period, the purchase price adjustment on the acquisition of a 49.998% interest
in the Koornfontein mine was also finalised, resulting in additional negative
goodwill recognition of R49.8 million.
During the year, the internal control systems of the company and Scharrighuisen
Open Cast Mining were overridden or failed in certain instances as a consequence
of either being inadequate and/or the result of collusion between past senior
members of management. This resulted in a restatement of the 2007 financial
year`s results and the raising of a debtor of R242 million for a probable
misappropriation of company assets. As the recovery of the debtor is uncertain a
full provision of R242 million was made in the 2008 financial year.
CEO`s STRATEGIC REVIEW AND OBJECTIVES
Safety track record
Sentula is proud to announce a fatality-free year for F2008. Our Classified
Injury Frequency Rate for the group was 2.38 which is well below industry norms
and Sentula will continue to place the health and safety of its employees as its
top priority.
Mining services
The provision of mining services remains the core of Sentula`s business, as
reflected in the segmental earnings analysis and the five operating divisions,
with their nine underlying subsidiaries, continue to trade well, given the
buoyant market conditions experienced currently.
The group`s vision of developing the mining services business to be the company
of choice across the African continent, on the back of sustainable growth in the
sector, remains at the heart of Sentula`s strategy. During the last period the
company has actively worked towards this vision through both organic growth and
by acquisition, and restructuring in support of its non-South African
activities.
Through this, the Sentula group has grown to become the leading open-cast coal
mining contractor in South Africa, an international mining services provider
with operations in 12 African countries and a leading exploration drilling
company across the continent. The company`s foothold in the coal and energy
sector, coupled with its diversified service offering, client base, mineral
exposure and geographical spread has created a solid platform for ongoing
sustainable growth.
Opencast mining
The above-average rainfall experienced during the second half, while impacting
negatively on the physical operating environment, had a greater impact in
reducing overall margins, through increased operating expenses and the necessity
to deploy additional resources to meet contracted obligations.
Coupled with abnormal input cost and finance charge increases, both SOC and
Benicon opencast mining services experienced margin erosion during the latter
part of the year, but are now enjoying the benefit of recently priced new work
and the opportunity to reprice existing contracts in a buoyant market.
While SOC`s operations in coal are set to grow by some 20% during the coming
year, predominantly on the back of the start-up of Billiton Energy Coal SA`s
Douglas Middelburg Optimisation project boxcut.
Benicon has doubled the number of its medium-term steady state sites from three
to six. The consolidation of CCT opencast mining, with its expertise in non-coal
mining activities, for the second half, resulted in a reduction of the exposure
of this segment to coal by some 7% in F2008, on the strength of its contribution
and higher overall margins. This reduction is expected to double in the coming
year, with the award and start-up of the Smokey Hills open pit platinum project
to CCT in March 2008. At approximately 45%, this segment is envisaged to
continue to be a significant contributor to the group`s earnings in the
financial year ending 31 March 2009 ("F2009"). Strategically, under the Benicon
entity, the group has established an equipment hire business in Moatise,
Mozambique in preparation for the large-scale coal mining operations, planned to
come on stream from 2010 onwards.
Drilling and blasting
As the company sought to expand its mining services offering in support of the
core opencast businesses, this resulted in the acquisition of JEF Drill and
Blast. The rationale for the transaction, consolidated from 1 June 2007, was an
opportunity to create critical mass with the Scharrighuisen Drilling and
Blasting unit, developed on the back of the previously acquired Fixtrade
business, early in 2006. It was also seen as an opportunity to acquire the
necessary expertise required to operate and manage a business of this nature.
Although the segment made no contribution to the group in the last year, due in
large to write downs on impaired assets, it is set to grow its business by some
25% in the coming year, through a diversification of its client base and
improved contract pricing.
Equipment trading, spares and engineering
The three subsidiaries, Benicon Sales, Caston and NWN Automotive, continue to
play a strategic role in supplying the group`s requirements from an equipment
and spares perspective and the in-house retention of key maintenance facilities
and skills. The ongoing limited contribution of this segment is offset by its
strategic offering.
Exploration drilling
Through the Geosearch acquisition in 2006, and the subsequent acquisition of the
remaining 20%, effective 1 April 2007, this segment has significantly
diversified the group. On the back of its solid contribution in the F2008 year,
as a result of its solid growth, wide geographic spread and good overall
margins, Geosearch is expected to remain a significant contributor to the
group`s earnings, on the back of moderate growth of 15% and solid margins, for
the year ahead. Growth in all segments of the exploration sector remain strong
at this time.
Crane hire
The acquisition of Ritchie Crane Hire, effective 1 April 2007 further
diversified Sentula`s service offering. This high margin, medium to large mobile
crane hire business is set to continue to benefit from the ongoing large
infrastructure projects, currently being undertaken in South Africa. This
segment is expected to maintain its contribution to the group of approximately
5%, through growing the Ritchie business by some 25% during the coming year, on
the strength of the additional cranes purchased during 2007.
Coal mining opportunities
Sentula`s objective is to become a junior coal mining company producing between
15 and 20 million tons within five years. The group`s aim is to position the
company as a significant second-tier producer behind the `big five.`
The group is currently invested in six projects (four in South Africa, one in
Botswana and one in Zambia). The projects can be broadly described as follows;
Investments in operating coal mines
The acquisition of a 60% stake in the Nkomati Anthracite mine through Sentula`s
purchase of Benicon Coal currently produces a combination of domestic-sized and
export products, from its open pit operations. These are blended with coking
coals in various ferrochrome and steel manufacturing processes. While production
costs are high, due to the scale of the operation and the nature of the
resource, the reserve base is large and the sales products enjoy a substantial
portion of the current pricing associated with scarce, good-quality coking
coals. The final condition precedent was waived during March 2008 and the
results from this acquisition are to be consolidated from 1 April 2008. The mine
is in the process of developing a boxcut to access an underground reserve block,
in order to diversify its production sources and ramp the current operation up
to its optimal production capacity. Sales for current year F2009 are expected to
be 300kt with an increase to 400kt in subsequent years.
The acquisition of a 49.998% stake in the Koornfontein mine, effective 1
February 2008, has given Sentula a good base to grow a junior coal portfolio in
the heart of Mpumalanga. It is a large underground operation with well
capitalised infrastructure, a well-understood reserve base and 1.5 million tons
per annum entitlement through Richards Bay Coal Terminal ("RBCT"), which has
provided the group with a share in a good operating asset. The operation
continues to perform well, and while total exposure to buoyant export coal
pricing will only be realised once the coal marketing agreements in the original
BECSA sale agreements lapse in June 2009, the mine is already taking advantage
of such pricing on its excess production.
The mine has completed the feasibility study for the development of its
extensive four seam coal reserves. The contribution from Koornfontein in the
coming year is expected to be similar to that reflected in the current year on
an annualised basis. Overall, the two operating assets are expected to yield
some 20% of Sentula`s earnings for the F2009 year.
Development coal investments
Of the five resource areas in the Merafe Coal JV, two of the prospects, namely
Schoongezicht and Bankfontein are currently being progressed to development,
with first production planned for the second half of 2009. Both projects are
opencast and are well positioned to supply export quality, domestic "A" grade
and Eskom quality coal into a variety of markets. The combined annual sales
output of the two projects is planned to be 2.85 million tons. Further
exploration drilling is being undertaken on the remaining Merafe Coal Prospects.
Exploration coal investments
In exploration and development with Jonah Coal/Aquila Resources in Botswana
known as Asenjo Energy, Indonga mining in Zambia and Mabapa mining in the
northern Limpopo province of South Africa, exploration drilling is currently
under-way on all three prospect areas, with encouraging initial results.
PROSPECTS
Due to increased demand from Sentula`s existing and potential new client base
throughout the sectors in which mining services are provided, the group will
continue to grow its capacity, broaden its service offering and increase its
geographical footprint. The group has already begun the process of strengthening
its resource base, through the recruitment of experienced and qualified
personnel to support these growth aspirations. With all operations and the
acquisitions trading well, in many cases already ahead of budget, a continued
improvement in operating performance is expected, going forward.
ACCOUNTING POLICIES
The annual financial statements have been audited by KPMG Inc., whose qualified
audit report is available for inspection at Sentula`s registered office. An
extract of the opinion paragraph of the audit report is included below.
The accounting policies applied in preparing this report are consistent with
those applied in the previous audited annual financial statements for the year
ended 31 March 2007, and have been prepared in compliance with International
Financial Reporting Standards and in accordance with International Accounting
Standards (IAS 34: Interim Financial Reporting Standards) and the Companies Act
(Act 61 of 1973), as amended.
AUDIT OPINION
"Independent Auditor`s Report
To the members of Sentula Mining Limited
We have audited the group financial statements of Sentula Mining Limited for the
year ended 31 March 2008, from which the abridged financial statements were
derived, in accordance with International Standards on Auditing. In our report
dated 21 October 2008 we expressed a qualified opinion on the group`s balance
sheet and a disclaimer of opinion on the group`s income statement and cash flow
statement as follows:
"The directors` report indicates that there was a breakdown in the internal
control systems of the company and a subsidiary in the current and preceding
years and gives the effect of the irregularities arising therefrom on the
financial statements. In particular, the directors` report also indicates that
the carrying value of certain items of plant and equipment, in a subsidiary, may
not have been based at actual cost and that the investigation of transactions
reflected in a bank account of a subsidiary, not previously recorded, is in
progress. The directors` report, furthermore, gives an explanation for this
state of affairs.
In the absence of supporting documentation, we were unable to satisfy ourselves
as to:
- The cost of the existing plant and equipment as disclosed in the notes;
- The appropriate disclosure of the impairment of the unrecorded funds amounting
to R242 million in the income statement; and
- Whether the impairment and the reduction in depreciation referred to in the
directors` report, have been recorded in the correct accounting period.
In our opinion, except for the possible effects of the matters described in the
preceding paragraph, the group financial statements present fairly, in all
material respects, the consolidated financial position of Sentula Mining Limited
at 31 March 2008 in accordance with International Financial Reporting Standards,
and in the manner required by the Companies Act of South Africa.
Because of the significance of the matters described in the preceding paragraphs
we have not been able to obtain sufficient appropriate audit evidence to provide
a basis for an audit opinion on the group`s financial performance and cash flows
for the year ended 31 March 2008. Accordingly, we do not express an opinion on
the group income statement and group cash flow statement."
In our opinion, the accompanying abridged group financial statements are
consistent, in all material respects, with the group financial statements from
which they were derived and on which we expressed the above opinion.
For a better understanding of the group`s financial position, the results of its
operations for the year and the scope of our audit; the abridged financial
statements should be read in conjunction with the group financial statements,
from which the abridged financial statements were derived, and our auditor`s
report thereon.
KPMG Inc.
Per Hendrik van Heerden
Chartered Accountant (SA)
Registered Auditor
Director
21 October 2008"
EXTRACTS FROM THE DIRECTORS REPORT
"RESTATEMENT OF 2007 AUDITED FINANCIAL RESULTS
During the 2008 financial year, as part of the accounting process, management
reassessed the transactions in terms of which the assets and liabilities of
Benicon Earthworks (Proprietary) Limited and Fixtrade CC were acquired during
the 2007 financial year.
After due consideration and obtaining third-party professional advice management
concluded that these transactions were incorrectly accounted for in terms of
International Financial Reporting Standards 3, Business Combinations, and that
certain of the assets were overvalued and the fair value of the consideration
paid on acquisition had been understated, at the time of the acquisition,
resulting in the recognition of excessive negative goodwill of R37.3 million in
the 2007 financial year.
It also transpired that R34 million of impaired assets had not been provided for
in the 2007 financial year. The effect of these adjustments, together with
adjustments for certain expenses which had not been provided for in the 2007
financial year resulted in profit attributable to shareholders being restated
from R148.9 million to R85.33 million. This restatement was detailed in the
publication of the reviewed results on 25 June 2008.
Post year end it became apparent that certain of the internal control systems of
the company and Scharrighuisen Open Cast Mining (Proprietary) Limited ("SOC")
were overridden in the 2007 and 2008 financial years resulting in a number of
irregularities which led to the restatement. Subsequent to the provisional
results issued on 25 June 2008 KPMG`s forensic unit was engaged to assist in the
investigation of these irregularities and further irregularities were
identified. The effect of these irregularities, which included a number of
erroneous accounting treatments, resulted in a further reduction in prior year
profit attributable to shareholders of R39.3 million and therefore a total re-
statement of R102.9 million for the 2007 financial year. The corresponding
figures have been restated accordingly."
"RESTATEMENT OF 2008 REVIEWED RESULTS
Subsequent to the provisional results, issued on 25 June 2008, the directors of
the holding company became aware that the carrying values of some of the plant
and equipment, in SOC, may not have been based on actual cost and that certain
assets sold or traded in were not removed from the asset register.
At the same time the ongoing forensic investigation revealed a bank account in
the name of SOC that was not recorded in its accounting records ("the unrecorded
bank account"). On further investigation it became apparent to the directors
that there was a possible link between the inflated cost prices of certain items
of plant and equipment and the transactions in the unrecorded bank account and
that certain of these transactions may be of an irregular nature.
In the absence of adequate supporting documentation management embarked on a
complete review of each item of plant and equipment on SOC`s fixed asset
register. The review entailed the verification of the existence and an
assessment of the value of each item of plant and equipment. As a result of the
review the cost of plant and equipment was reduced by an amount of R242 million,
with a corresponding reduction in depreciation.
Furthermore, it became apparent that certain payments from the unrecorded bank
account, amounting to R242 million, may be recoverable and a receivable of this
magnitude was raised. The transactions reflected in the bank account are still
under investigation and, pending finalisation of the investigation, the
receivable has been impaired in full in the 2008 financial year.
Furthermore, post publication of the reviewed results, it also became apparent
that a number of expenses had not been correctly accounted in SOC in the 2007
and 2008 financial years. This erroneous accounting appears to be irregular and
was corrected by means of the restatement of the 2007 and 2008 results.
The Board is confident that the group has, notwithstanding the adjustments to
SOC`s fixed asset register and the impairment of the receivable, adequate
operating capacity and resources to meet its contractual obligations and growth
objectives for the 2009 financial year.
The Board of Directors and management are satisfied, to the best of their
knowledge and belief, and subject to any adjustments that may be required once
the forensic investigation is completed that the group`s income statement and
cash flow statement fairly present the financial performance of the group, in
all material respects.
The Board of Directors and management:
has reviewed the market values of the group`s assets and is satisfied that no
further impairment is required;
is in the process of implementing adequate internal controls to safeguard the
group`s assets and ensure the integrity of its records;
believe that although the forensic investigation is ongoing, any further
restatements to the financial results that will result in a reduction to
retained income on the balance sheet is unlikely; and
will review the results of the ongoing forensic investigation and will take the
necessary steps to recover the amounts written off."
"REPORTABLE IRREGULARITIES
In terms of section 45 of the Auditing Professions Act 26 of 2005 the auditor is
required to report any unlawful act or omission by any person responsible for
the management of an entity. In terms of this legislation the auditor has
reported a number of reportable irregularities to the Independent Regulatory
Board of Auditors ("IRBA")
All of the matters reported have been addressed to the satisfaction of the
auditor through corrective action and instituting the necessary controls to
ensure that a recurrence of these events cannot occur."
Sentula Shareholders are invited to attend a meeting to discuss this
announcement at 16:00 on Wednesday, 22 October 2008, in Committee Room 2 at the
Sandton Convention Centre.
Robin Berry
Chief Executive Officer
(22 October 2008)
Sir S E Jonah KBE* (Chairman), R Berry, G Louw, A Joffe*, J G Best,* R K Jonah*,
E H J Stoyell*, P Tshabalala Kingston*, ML Marole*, A Kawa*, J van Rooyen*, P
Modisane. *Non-executive
Registered office: 28 Patrick Road, Jet Park, Boksburg 1459, (PO Box 30193, Jet
Park 1469), Tel. 011 397 3870
Auditors: KPMG Inc., Chartered Accountants (SA), Registered Accountants and
Auditors, KPMG Crescent, 85 Empire Road Parktown 2193, (Private Bag X9, Parkview
2122), Tel. 011 647 7111
Sponsor: Merchantec (Proprietary) Limited, 2nd Floor, North Block, Hyde Park
Office Towers, Corner of 6th Road and Jan Smuts Avenue, Hyde Park, 2196 (PO Box
41480, Craighall 2024) Tel. 011 325 6363
Company Secretary: Morestat Corporate Services (Proprietary) Limited, 24A 18th
Street, Menlo Park 0081, (PO Box 35686, Menlo Park 0102), Tel. 012 346 7787
Transfer Secretaries: Link Market Services (Proprietary) Limited, 5th Floor, 11
Diagonal Street, Johannesburg 2001, (PO Box 4844, Johannesburg, 2001), Tel. 011
834 2266
Financial Communications: College Hill, Fountain grove, 5 Second Road, Hyde
Park, Sandton 2196, Tel. 011 447 3030
Date: 22/10/2008 14:24:20 Produced by the JSE SENS Department.
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