| 1.
The financial statements comply with South African Statements
of Generally Accepted Accounting Practice. Accounting policies
used are consistent with those applicable for the June 2002
financial statements, except as follows: Following the introduction
of AC133 - Financial instruments: recognition and measurement,
gains and losses on certain qualifying financial instruments
taken out as cash flow hedges for future transactions and
fair value adjustments on available-for-sale financial assets
are carried in equity. In addition, loans originated by the
group are now reflected at amortised cost.These changes have
had the effect of increasing reported profit after tax by
R0.8m. In accordance with the provisions of AC133, comparative
figures have not been restated.
Certain other comparative figures have been changed to bring
them in line with classifications used in the current period.
| 2. |
Exceptional items |
2003
Rm |
|
2002
Rm |
 |
 |
| |
Continuing operations |
|
|
|
| |
Goodwill amortisation |
10.0 |
|
12.1 |
| |
Provision for onerous lease commitment |
13.7 |
|
7.4 |
| |
Loss on disposal of listed investment |
- |
|
4.8 |
| |
Impairment of property |
- |
|
17.2 |
|
|
| |
|
23.7 |
|
41.5 |
|
|
| |
Discontinued operations |
|
|
|
| |
(Profit)/loss on discontinuance |
(1.5) |
|
131.6 |
| |
Restructuring costs |
- |
|
8.0 |
|
|
| |
|
(1.5) |
|
139.6 |
|
|
| |
|
22.2 |
|
181.1 |
|
|
| |
There is no tax effect arising from the
exceptional items, other than in respect of the onerous
lease provision of R4.1m (2002: R2.2m). |
3. The effective
tax rate of 29.3% (2002: 34.0%) on continuing operations is
mainly due to the STC charge, offset by tax adjustments of
R31.5m relating to previous years, and the efffect of the
utilisation of tax losses.
4. The difference between
earnings per share and diluted earnings per share results
from outstanding options in terms of the share purchase scheme.
5. Distributions
comprise the interim dividend of 10.5c per share, paid on
17 March 2003 and the proposed final distribution from share
premium of 18.5c per share on 20 August 2003.
| 6. |
Gross capital expenditure on property, plant and equipment |
2003
Rm |
|
2002
Rm |
|
|
| |
Woolworths |
377.9 |
|
273.7 |
| |
Country Road |
36.2 |
|
61.3 |
|
|
| |
|
414.1 |
|
335.0 |
|
|
7. Unutilised banking
facilities amount to R1 266.8m (2002: R1 549.3m). In terms
of the Articles of Association, the borrowing powers of the
group are unlimited.
8. The group’s
annual financial statements have been audited by the group’s
auditors, Ernst & Young, and a copy of their unqualified
report is available for inspection at the company’s
registered office.
|
