Notes to the consolidated annual financial statements

for the year ended 30 September

		2008	2007	2006	2008	2007	2006
		Rm	Rm	Rm	Rm	Rm	Rm
5.	Investment in associates and joint ventures*
			Income			Investment
	Associates	8	21	19	195	409	314
	Joint ventures	64	32	35	900	519	435
		72	53	54	1 095	928	749
	Per business segment:
	Continuing operations
	– Equipment	62	36	27	822	523	553
	– Automotive	6	17	27	234	304	84
	– Handling	3			26
	– Logistics				2
	– Corporate and other	1			11	13	29
	Total continuing operations	72	53	54	1 095	841	666
	Discontinued operations
	– Car rental – Scandinavia					2
	– Cement		5
	– Coatings	5	15	18		85	83
	– Steel tube		1	4			5
	Total discontinued operations	5	21	22		87	88
	Total group	77	74	76	1 095	928	754
	Discontinued operations/amounts classified as held for sale	(5)	(21)	(22)			(5)
	Total per income statement/balance sheet	72	53	54	1 095	928	749
			Associates			Joint ventures
	Cost of investment	147	136	139	230	179	134
	Share of associates and joint
	ventures’ reserves	39	76	83	174	107	64
	Beginning of year	76	83	47	107	64	26
	Normal and exceptional profit for
	the year	13	27	23	64	47	53
	Dividends received		(25)	(30)	(6)	(14)	(17)
	Unbundling of Coatings	(63)
	Unbundling of Cement		(8)
	Reclassifications	(6)			(9)
	Disposals and other reserve movements	19	8	43	18	10	2
	Impairments during the year		(9)

	Carrying value excluding amounts owing	186	212	222	404	286	198
	Loans and advances to associates and
	joint ventures**	9	197	97	496	233	237
	Discontinued operations			(5)
	Carrying value including amounts owing	195	409	314	900	519	435
			Associates			Joint ventures
	Carrying value by category
	Unlisted associates and joint ventures
	– shares at carrying value	186	212	222	404	286	198
	Unlisted associates of discontinued
	operations – shares at carrying value			5
		186	212	227	404	286	198
	Valuation of shares
	Directors’ valuation of unlisted associate
	companies and joint ventures	461	307	306	711	696	440
	Directors’ valuation of unlisted associate
	companies – discontinued operations			5

		461	307	311	711	696	440
	Aggregate of group associate companies and joint ventures’ net assets, revenue and profit
	Property, plant and equipment and
	other non-current assets	244	245	203	159	172	297
	Current assets	73	126	284	1 255	844	920
	Long-term liabilities		25	80	719	154	294
	Current liabilities	18	103	112	258	476	460
	Revenue	241	377	568	2 633	1 698	1 485
	Profit after taxation	6	18	16	63	47	53
	Cash flow from operations	(34)	(12)	91	(279)	(118)	(139)

	* Refer note 39 and 40 for a detailed list of associate and joint venture companies. In the current year Phavisworld has been reclassified from an associate to a joint venture.
	** In 2007 associate loans amounting to R99 million were impaired relating to the investment in Finaltair (2006: R17 million). The impairment was based on deteriorating prospects in the market that Finaltair operates.

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