Wrap Text
AEG - Aveng Limited - Audited group results for the 12 months ended 30 June 2010
AVENG LIMITED
Incorporated in the Republic of South Africa
Registration number 1944/018119/06
Share code: AEG
ISIN code: ZAE000111829
AUDITED GROUP RESULTS FOR THE 12 MONTHS ENDED 30 JUNE 2010
Leaders in infrastructure development
Improved safety performance
Revenue increased 1% to R34,0bn
Operating profit before depreciation and amortisation increased 5% to R3,2bn
Operating profit constant at R2,1m
Headline earnings decreased 8% to R1,9bn
Cash generated by operations increased 7% to R3,2bn
Net cash of R7,5bn (2009: R7,4bn)
Dividend maintained at 145,0 cents
Two year order book increased by 2% to R31,1bn
INTRODUCTION
The Aveng Group delivered a solid performance in 2010 given the difficult
operating environment, particularly in the Manufacturing and Processing segment.
General tender activity in the Construction and Engineering segments of the
Group`s markets was constrained with projects taking much longer to be awarded
and margins tightening.
The Construction and Engineering: South Africa and Africa segment improved its
performance substantially as Grinaker-LTA benefited from the completion of
significant infrastructure projects linked to the 2010 FIFA World CupTM. Margins
in the Construction and Engineering: Australasia and Pacific segment were
affected by difficulties on two pipeline contracts and a stronger Australian
dollar. Notwithstanding this, the margin of McConnell Dowell remains in the
upper quartile of its peer group.
The demand for steel and fabricated products remained under pressure and was
compounded by volatile steel prices. However a more stable steel pricing regime
since January 2010 supported an improved performance from the Manufacturing and
Processing segment in the second half of the year.
The Opencast Mining segment experienced an increase in volumes mined which,
together with ongoing efficiency initiatives and a much improved performance
from its South African contracts, led to an improved operating performance.
SAFETY
The safety of people remains paramount to The Aveng Group and is never
compromised in the pursuit of any objective - this financial year management was
deeply saddened to report that five people lost their lives while working with
the Group. The Aveng Group extends its sincere condolences to the families of
its deceased colleagues. A single fatality is unacceptable and the Group is
committed to continuing on the journey of embedding safety as a core value and
improving the safety culture so that everyone returns home to their families
without harm everyday.
The operations of The Aveng Group achieved a significant number of safety
milestones during 2010, including a 41% reduction in the Lost Time Injury
Frequency Rate (LTIFR) to 0,26 (2009: 0,44). A programme of reporting
significant incidents has been implemented, providing a leading indicator of
future safety performance.
FINANCIAL REVIEW
The Aveng Group reported a 1% increase in revenue to R34,0 billion (2009: R33,8
billion) with the Construction and Engineering segment and the Opencast Mining
segment showing single digit revenue growth in a tough market. The Manufacturing
and Processing segment showed revenue growth of 4% in the second half of 2010
compared to the first half of the year, tempering its 12 month year-on-year
revenue decline to 13%.
Operating profit before depreciation and amortisation increased by 5% to R3,2
billion (2009: R3,0 billion) which represents 9,4% of revenue compared to 8,9%
in the prior year. Operating profit was in line with the prior year at R2,1
billion which was 6,1% of revenue. This included foreign exchange gains of R119
million which is included in the administration operational segmentation.
Operating profit for the second half of the financial year showed a 20%
improvement over the corresponding period in 2009.
Construction and Engineering: South Africa and Africa and the Opencast Mining
segment reported substantial operating profit increases of 32% and 16%
respectively. The Construction and Engineering: Australasia and Pacific
segment`s contribution to operating profit declined by 25% primarily as a result
of material losses on two pipeline contracts. Although the Manufacturing and
Processing segment reported a better second half performance, facilitated by the
relative stability of steel prices and an incremental recovery in demand in the
second half, it still reported a 30% decline in operating profit for the full
year.
Depreciation increased by R127 million to R1,1 billion, reflecting the
significant capital expenditure programme undertaken in 2009. This included
substantial investments at Moolmans which contributed to its improved
performance. Total capital expenditure in 2010 declined to R1,2 billion (2009:
R2,7 billion).
The Group remains highly cash generative with total cash generated by operations
growing by 7% to R3,2 billion (2009: R3,0 billion). Reported net cash of R7,5
billion is in line with the 2009 closing balance. Unencumbered cash at 30 June
2010 amounted to R3,5 billion (2009: R2,9 billion).
The Group remained in a net positive interest position, although lower
prevailing interest rates during the year led to decreased net income from
investments of R472 million (2009: R757 million).
Headline earnings declined by 8% to R1,9 billion (2009: R2,1 billion),
translating into headline earnings per share of 483,6 cents (2009: 528,5 cents).
The number of shares in issue has remained constant at 396 million since June
2009.
OPERATIONAL REVIEW
Construction and Engineering
The Construction and Engineering segment (comprising Grinaker-LTA, E+PC and
McConnell Dowell) generated a 5% increase in revenue to R23,8 billion (2009:
R22,7 billion). Construction and Engineering: South Africa and Africa lifted its
operating margin to 6,2% (2009: 4,8%), which did not fully offset a lower
contribution from Construction and Engineering: Australasia and Pacific and
consequently the segment reported stable operating profit to R1,3 billion (2009:
R1,3 billion).
Grinaker-LTA reported marginally higher revenue of R10,0 billion as progress on
large projects counteracted the market slowdown. It delivered a fifth
consecutive year of improved operating profit which increased more than 30% over
last year due to the successful execution of significant projects and the
sustained turnaround of previously underperforming business units. The Civil
Engineering business unit delivered double digit revenue growth for the period.
The Earthworks Engineering business unit reported stable revenue as several
contracts were awarded later than anticipated, while operating profit ramped up
significantly as some older problematic contracts were completed. The Mining
business unit produced solid revenue growth with strong annuity revenue streams
but operating margins were impacted by losses on a coal contract. The Building
business unit showed stable revenue with a slightly improved operating margin.
Following a streamlining process, the Mechanical and Electrical business unit
delivered to its potential, reporting substantial revenue and margin growth.
Grinaker-LTA has refined its "go to market approach", increasingly focusing on
the delivery of solutions which leverage its end-to-end capability rather than
business units pursuing contracts independently.
E+PC delivered a reasonable performance in a tough market as it successfully
commissioned three processing plants for clients and secured new long term
operations contracts on two significant water projects. Reflecting lower
activity levels in the Minerals Processing business unit, it reported a 7%
decline in revenue to R781 million. Operating profit was negatively affected as
the market recovery, which had appeared certain at the beginning of the year,
failed to materialise.
McConnell Dowell delivered a good performance against a tougher economic
backdrop. Revenue growth of 7% to R13,0 billion was pleasing in the context of
highly competitive markets. In line with management`s expectations, it reported
a lower operating margin of 4.6% for 2010, but remains in the upper quartile of
its peer group. The tighter business environment, adverse currency fluctuations
and losses incurred on two pipeline contracts contributed to a 25% reduction in
operating profit to R595 million (2009: R789 million). A significant portion of
the direct tender development costs incurred in the first half of the year were
recouped. The Civil and Marine business unit continues to be successful with
good execution on work on hand but the performance of the Mechanical business
unit was adversely affected by the tighter market. The Pipelines business unit,
which has a long track record of profitable project execution, had a
disappointing year due to difficulties on two projects which incurred material
losses. Built Environs remains strategically important to McConnell Dowell going
forward and has been fully integrated into the McConnell Dowell methods of
operations. Electrix delivered excellent revenue growth which it carried through
into increased operating profit.
Opencast Mining
Revenue grew 8% to R3,3 billion as the volumes mined by Moolmans increased
significantly in 2010. The strength of the Rand negatively impacted its foreign
denominated revenue streams by R51 million but the South African operations
lifted their contribution materially. Ongoing efficiency initiatives, together
with the impact of the capital expenditure in 2009 which reduced the average age
of the plant, combined to maintain the momentum of improving profitability.
Accordingly Moolmans` operating margin increased to 11,2% from 10,4%. It
achieved a significant margin turnaround in South Africa by pursuing selected
opportunities which enabled it to enhance project specific returns.
Manufacturing and Processing
The Manufacturing and Processing segment (comprising Trident Steel and Aveng
Manufacturing) showed a 13% decline in revenue to R6,9 billion mainly due to
lower demand across most product ranges as well as lower pricing on steel
products. However the performance improved in the second half of the financial
year compared to the first six months. Operating profit declined by 30% to R458
million with the operating margin down from 8% to 7%.
The results of Aveng Manufacturing are reflective of the adverse conditions in
its markets and the impact of the volatile steel price which affects all of its
operations. While revenue decreased by 23% to R2,5 billion due to lower activity
levels and price reductions, it maintained market share in all divisions.
Infraset showed a strong performance in the second half of the year. The
revenues of Lennings Rail Services and Duraset declined in line with the slower
market. The performance of Steeledale was the most severely affected with
substantially lower volumes and prices as the larger projects came to a
conclusion and decisions on new projects were deferred. Aveng Manufacturing
maintained its position as lowest cost. The reduction in operating profit was
limited to 6% due to lower overheads in line with stringent cost management and
savings resulting from lower production.
Trident Steel reported a 7% decline in revenue for the year to R4,5 billion as
the 8% improvement in year on year volumes could not offset a 14% reduction in
average selling prices during the year. An incremental volume recovery and more
consistent steel prices during the second half of the financial year led to an
improved gross margin for that period, but were not sufficient to recover the
material decline in margin experienced in the first half of the year.
Consequently operating profit for the year was down by 42%. Demand from the
automotive industry improved in line with global demand. As a result, Trident
Steel has made significant investments during the year to commission additional
automotive capacity in line with increasing export vehicle production in South
Africa. Supply agreements have been established with four international steel
mills and Trident Steel imported some 20% of its total volumes. Inventories
continued to be monitored closely to ensure sufficient stock holdings to satisfy
customer requirements while effectively managing inventory risk.
STRATEGY REVIEW
During the year the Board approved a growth strategy which is focused on
reinforcing the existing leadership position of The Aveng Group within the
infrastructure value chain in South Africa and consolidating its position as a
first tier player in Australia.
The strategy includes continuous optimisation and redesigning of the current
business portfolio to extract more shareholder value. Early benefits of these
initiatives include the accelerated turnaround of Grinaker-LTA and improving
profitability at Moolmans. An Executive Growth Committee, established in 2010
and chaired by the CEO is focused on cross-selling opportunities and leveraging
the end to end value proposition of The Aveng Group.
The strategic objectives also include the expansion of the current business
portfolio by increasing the Group`s exposure to value creating services and
solutions internationally. Identified industries include expansion into water,
power and concessions in the short to medium term. During the year, the Group
made progress in entrenching its position in the water sector, making
significant progress on a number of desalination and acid mine drainage
projects, both in southern Africa and Australia. In the power sector, work
continues on the Medupi Power Station in Limpopo while McConnell Dowell
completed several renewable energy projects.
The geographic growth will be focused on Africa and the Middle East and will be
pursued over the medium to long term.
In support of this strategy, The Aveng Group continued reinforcing its
capabilities at the Group corporate office in areas which include additional
resources focused on information technology, business intelligence, capital
management, acquisitions, risk management, cost and talent management.
COMPETITION MATTERS
Shareholders have been kept informed of the Group`s involvement with the
Competition Commission via a number of SENS announcements which have been issued
since 2008. The current status on Competition Commission matters within The
Aveng Group is as follows:
-Following discussions with the Competition Commission, Aveng (Africa) Limited
entered into an agreement with the Competition Commission in August 2010 to
settle the complaint of historical anti-competitive practices within the Roof
Bolt division of Duraset, which agreement was confirmed by the Competition
Tribunal on 25 August 2010. Duraset is a business unit of Aveng Manufacturing,
which is in turn a division of Aveng (Africa) Limited. Aveng (Africa) Limited
agreed to pay an administrative penalty in the amount of R21,9 million,
representing 5% of Duraset`s annual turnover for the financial year ending 2008.
-The referral to the Competition Tribunal of the investigation involving the
Steeledale Mesh business unit has been set down for the hearing of evidence and
argument in November 2010.
-In other matters which may potentially involve Group businesses, the
Competition Commission is still engaged in investigations relating to the steel
reinforcing and construction industries as well as other infrastructure products
and services.
The Aveng Group remains committed to fully co-operating with the Competition
Commission and ensuring that its employees, management and directors do not
engage in any conduct which constitutes a prohibited practice in terms of The
Aveng Group Code of Business Conduct or the Competition Act.
AQUARIUS PLATINUM SETTLEMENT
Aquarius Platinum (South Africa) (Pty) Limited withdrew its R963,8 million
damages claim against Aveng (Africa) Limited and Moolmans` managing director Mr
Brian Wilmot early in August 2010. Moolmans and Aquarius subsequently entered
into an agreement of settlement, which was made an order of court on 20 August
2010 and in terms of which Aquarius paid an amount of R100,092 million inclusive
of VAT to Moolmans in respect of its counterclaims on 31 August 2010. As this
amount relates to events that occurred after the end of the financial year, the
amount received will be brought to account in 2011.
The settlement agreement constituted a full and final settlement of all issues,
claims and counterclaims including Aquarius` claim for rescission of its
contract with Moolmans. The Board considers this a favourable outcome to the
matter for The Aveng Group given the alternative of prolonged litigation.
BOARD OF DIRECTORS
Simon Scott resigned from the Board with effect from 26 September 2010 to resume
his career in the platinum mining sector. The Board thanks Mr. Scott for his
contribution to The Aveng Group.
The Board welcomes Kobus Verster who joined the Group with effect from 1
September 2010 and who will assume the role of Financial Director from 27
September 2010. Mr. Verster joins The Aveng Group from ArcelorMittal South
Africa where he has held various senior roles in financial management with that
company for the past 20 years.
OUTLOOK AND PROSPECTS
The Aveng Group has identified its total project pipeline based on projects
being targeted, which remains at approximately R102 billion. The two-year
construction order book of the Group remains healthy at R31,1 billion which is
in line with last year. With its relatively stable two-year work on hand of R9,7
billion, Grinaker-LTA should maintain current activity levels in 2011 while
deriving further benefits from its business transformation initiatives. The
South African government`s much publicised infrastructure initiative could
materially impact this outlook if projects are fast tracked but to date there
has been no indication of this. Although McConnell Dowell has a solid two-year
order book amounting to R13,4 billion, industry margins are expected to remain
under pressure.
Within the Manufacturing and Processing segment incremental monthly volume
improvements should improve performance. Although global steel demand is
increasing which should support higher prices, the outlook for steel prices
domestically is unclear as prices have declined in July. This segment requires a
stable steel price together with improved volumes to drive a material
improvement in performance.
The Opencast Mining segment has a strong order book amounting to R7,0 billion
and 90% of its required work is already secured for 2011. As such it is well
positioned to extend its strong performance in the year ahead.
As a result of the Group`s strong cash position, the Board has approved a
dividend for 2010 in line with the prior year at 145 cents. In addition the
Board has approved the implementation of a share repurchase programme in terms
of which the Group will execute share repurchases to a maximum of R1,0 billion
when opportunities arise in the market. The Aveng Group will also continue to
seek acquisitions that are in line with its stated strategy.
With a stable order book and a healthy total project pipeline as well as its
multi disciplinary capabilities over a number of geographies, the Board believes
that The Aveng Group is well positioned to compete successfully, in what is
likely to be a difficult market, over the next year.
DECLARATION OF DIVIDEND
Dividend No 12 of 145 cents per share in respect of the financial year ended 30
June 2010 (2009: Ordinary 145 cents per share) has been declared payable to
shareholders recorded in the share register at close of business on Friday 15
October 2010.
The salient dates are:
Last date to trade shares cum dividend Friday, 8 October 2010
Shares trade ex dividend on Monday, 11 October 2010
Record date to receive dividend Friday, 15 October 2010
Payment date Monday, 18 October 2010
No dematerialisation or rematerialisation of shares may take place for the
period from 11 October 2010 to 15 October 2010, both days inclusive.
On Monday, 18 October 2010, the dividend will be electronically transferred to
the bank accounts of all certificated shareholders unless this has not been
requested by, or is not available to them. If electronic funds transfer is not
applicable, cheques dated 18 October 2010 will be posted on or about that date.
Transfers will be made to the dematerialised shareholder accounts at their CSDP
or broker on 18 October 2010.
By order of the Board
AWB Band WR Jardine SJ Scott
(Chairman) (Chief Executive) (Financial Director)
6 September 2010
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
at 30 June 2010 2010 2009
Audited Audited
Rm Rm
ASSETS
Non-current assets
Property, plant and equipment 5 146 5 062
Goodwill and other intangibles 1 085 1 093
Investments 211 119
Deferred tax 982 612
7 424 6 886
Current assets
Inventories 2 027 1 598
Trade and other receivables 6 863 6 321
Cash and cash equivalents 7 828 7 910
16 718 15 829
TOTAL ASSETS 24 142 22 715
EQUITY AND LIABILITIES
Capital and reserves
Equity attributable to ordinary shareholders of 12 215 10 865
Aveng Limited
Non-controlling interests 5 21
Total equity 12 220 10 886
Non-current liabilities
Interest-bearing borrowings 28 118
Deferred tax 655 240
683 358
Current liabilities
Trade and other payables 10 720 10 768
Interest-bearing borrowings 339 361
Taxation payable 180 342
11 239 11 471
TOTAL EQUITY AND LIABILITIES 24 142 22 715
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
for the year ended 30 June 2010 2010 2009
Audited Audited %
Rm Rm change
Revenue 33 981 33 772 1
Operating profit before depreciation 3 171 3 032
and amortisation
Depreciation 1 063 936
Amortisation of intangibles 17 17
Operating profit before non-trading 2 091 2 079 1
items
Non-trading items (13) 49
Operating profit 2 078 2 128 (2)
Share of profits and losses from 61 67
associates and joint ventures
Income from investments 472 757
Operating income 2 611 2 952
Finance cost 17 42
Profit before taxation 2 594 2 910
Taxation 722 809
Profit for the year 1 872 2 101
Other comprehensive income/(loss) for
the year
Exchange differences on translation of 44 (266)
foreign operations
Total comprehensive income for the year 1 916 1 835
Profit for the year attributable to:
Equity holders of Aveng Limited 1 873 2 091
Non-controlling interests (1) 10
Profit for the year 1 872 2 101
Total comprehensive income attributable
to:
Equity holders of Aveng Limited 1 917 1 827
Non-controlling interests (1) 8
1 916 1 835
Determination of headline earnings
Profit attributable to equity holders 1 873 2 091
of Aveng Limited
Non-trading items net of taxation 13 (40)
Headline earnings 1 886 2 051 (8)
EARNINGS PER SHARE (cents)
Earnings 480,3 538,8 (11)
Headline earnings 483,6 528,5 (8)
Diluted earnings 441,3 487,0 (9)
Diluted headline earnings 444,4 477,6 (7)
DIVIDEND PER SHARE 145,0 145,0
CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 30 June 2010 2010 2009
Audited Audited
Rm Rm
Cash retained from operating activities
Cash retained from operations 2 078 2 128
Depreciation and amortisation 1 079 952
Non-cash items 41 (78)
Cash generated by operations 3 198 3 002
Income from investments 472 757
(Increase)/Decrease in working capital (1 026) 204
Cash generated by operating activities 2 644 3 963
Finance cost (17) (42)
Taxation paid (834) (1 286)
Cash available from operating activities 1 793 2 635
Dividends paid (579) (1 138)
1 214 1 497
Investing activities
Property, plant and equipment purchased (926) (1 695)
- expansion
- replacement (253) (1 019)
Investment in associate companies 47 83
Proceeds on disposal of property, plant and 62 199
equipment
Purchase of subsidiaries (23) (59)
Purchase of other investments (82) -
(1 175) (2 491)
Financing activities
Long-term borrowings repaid (90) (67)
Shares repurchased - (415)
(90) (482)
Net decrease in cash and cash equivalents (51) (1 476)
Cash and cash equivalents at beginning of year 7 601 9 207
Foreign currency translation reserve movement 81 (130)
Cash and cash equivalents at beginning of year 7 682 9 077
Cash and cash equivalents at end of year 7 631 7 601
OTHER GROUP INFORMATION
2010 2009
Audited Audited
Rm Rm
Non-trading items:
Net loss/(surplus) on disposal of properties, * (24)
plant and equipment
Net surplus on disposal of investments (25)
Impairment of goodwill 13
13 (49)
*Amounts are less than R1 million
Number of shares (millions)
In issue 396 396
Weighted average 390 388
Diluted weighted average 407 429
Goodwill and other intangibles
At beginning of year 1,093 823
Acquired in business combination 29 322
Amortisation of intangibles (17) (17)
Impairment of goodwill (13)
Foreign exchange movements (7) (35)
Total goodwill and other intangibles 1 085 1 093
SEGMENTAL INFORMATION
for the year ended 30 June 2010 2009
Audited Audited
Rm % Rm %
Operational segmentation
Revenue
Construction and Engineering South 10 782 32 10 601 31
Africa and Africa
Construction and Engineering 12 981 38 12 081 36
Austalasia and Pacific
Opencast Mining 3 261 10 3 016 9
Manufacturing and Processing 6 937 20 8 009 24
Administration 20 * 65 *
33 981 100 33 772 100
Operating profit
Construction and Engineering South 673 6 511 5
Africa and Africa
Construction and Engineering 595 5 789 7
Austalasia and Pacific
Opencast Mining 365 11 314 10
Manufacturing and Processing 458 7 654 8
Administration (13) * (140) *
2 078 6 2 128 6
Assets
Construction and Engineering South 3 742 25 3 390 24
Africa and Africa
Construction and Engineering 3 485 23 3 301 23
Austalasia and Pacific
Opencast Mining 2 786 19 2 925 21
Manufacturing and Processing 5 044 33 4 372 31
Administration 65 * 86 1
15 122 100 14 074 100
Liabilities
Construction and Engineering South 4 498 42 4 281 40
Africa and Africa
Construction and Engineering 3 845 36 3 660 34
Austalasia and Pacific
Opencast Mining 995 9 858 8
Manufacturing and Processing 1 253 12 1 333 12
Administration 129 1 636 6
10 720 100 10 768 100
Capital expenditure
Construction and Engineering South 255 22 352 12
Africa and Africa
Construction and Engineering 343 29 506 18
Austalasia and Pacific
Opencast Mining 213 18 1 579 58
Manufacturing and Processing 280 24 249 9
Administration 87 7 54 2
1 178 100 2 740 100
Depreciation
Construction and Engineering South 137 13 114 12
Africa and Africa
Construction and Engineering 359 34 389 42
Austalasia and Pacific
Opencast Mining 436 41 315 33
Manufacturing and Processing 114 11 109 12
Administration 17 1 9 1
1 063 100 936 100
Geographic segmentation
Revenue
Republic of South Africa 18 001 53 18 342 54
Rest of Africa and Mauritius 2 973 9 3 331 10
Australasia and Pacific islands 10 720 31 10 021 30
South East Asia 2 271 7 2 060 6
Middle East and other 16 * 18 *
33 981 100 33 772 100
Assets
Republic of South Africa 9 763 65 8 905 63
Rest of Africa and Mauritius 1 867 12 1 867 13
Australasia and Pacific islands 2 569 17 2 195 16
South East Asia 923 6 945 7
Middle East and other 162 1
15 122 100 14 074 100
Capital expenditure
Republic of South Africa 750 64 1 451 53
Rest of Africa and Mauritius 86 7 784 29
Australasia and Pacific islands 343 29 478 17
South East Asia (1) * 27 1
Middle East and other
1 178 100 2 740 100
*Amounts less than 0,05%
NOTES
Accounting policies
The financial results have been compiled in accordance with
IAS 34 - Interim Reporting, issued by the International Accounting Standards
Board (IASB). The presentation of these results also conforms to the Listings
Requirements of the JSE Limited and Schedule 4 of the South Africa Companies
Act. The accounting policies adopted are consistent with those of the previous
year, except for the adoption of IAS 1 Presentation of Financial Statements,
IFRS 8 Operating Segments, IFRS 3 Revised Business Combinations and IAS 27
Consolidated and Separate Financial Statements. The adoption of these standards
has had no effect on the financial statements of the Group except for disclosure
of additional information. In addition to the above adoption of accounting
standards, the Group has prospectively changed its accounting policy with
regards to borrowing costs. Borrowing costs incurred in respect of qualifying
assets will in future be capitalised to the assets. All other borrowing costs
will be expensed.
The results have been audited by Ernst & Young Inc. and the unqualified audit
opinion is available on request from the company secretary at the company`s
registered office.
The Group`s annual report will be available by the end of September 2010.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
for the year Attributable to equity holders of Aveng Limited
ended 30 June
Non-distributable
reserves
Equity Foreign Other
portion of currency non-distri
Share Share compound trans- butable
capital premium instrument lation reserve
Rm Rm Rm Rm Rm
Balance at 20 1 896 11 77 43
1 July 2008
Profit for
the year
Other (264)
comprehensive
income/(loss)
Total (264)
comprehensive
income
Dividends
paid
Corporate * 74
bond
conversion
Corporate 11 (11)
bond equity
transfer
Movement in * *
treasury
shares
Share *
repurchase
programme
Transfers 18
Balance at 30 20 1 981 - (187) 61
June 2009
Profit for
the year
Other 42 2
comprehensive
income/(loss)
Total 42 2
comprehensive
income
Dividends
paid
Acquisition
of non-
controlling
interest
Movement in *
treasury
shares
Transfers 5
Balance at 20 1 981 - (145) 68
30 June 2010
Attributable to
equity holders of
Aveng Limited
Non-
Retained controlling Total
income Total interest equity
Rm Rm Rm Rm
Balance at 8 469 10 516 13 10 529
1 July 2008
Profit for 2 091 2 091 10 2 101
the year
Other (264) (2) (266)
comprehensive
income/(loss)
Total 2 091 1 827 8 1 835
comprehensive
income
Dividends (1 138) (1 138) (1 138)
paid
Corporate 74 74
bond
conversion
Corporate - -
bond equity
transfer
Movement in * *
treasury
shares
Share (414) (414) (414)
repurchase
programme
Transfers (18) - -
Balance at 8 990 10 865 21 10 886
30 June 2009
Profit for 1 873 1 873 (1) 1 872
the year
Other 44 44
comprehensive
income/(loss)
Total 1 873 1 917 (1) 1 916
comprehensive
income
Dividends (567) (567) (13) (580)
paid
Acquisition - (2) (2)
of non-
controlling
interest
Movement in * *
treasury
shares
Transfers (5) - -
Balance at 10 291 12 215 5 12 220
30 June 2010
*Amounts are less than R1 million.
DIRECTORS AWB Band* (Chairman),
WR Jardine (Chief Executive Officer),
SJ Scott (Financial Director), JJA Mashaba, DG Robinson (Australian), HJ
Verster, MA Hermanus*, RL Hogben*, VZ Mntambo*, MJD Ruck*, KC Rumble*, NL
Sowazi*, PK Ward*(*non-executive)
COMPANY SECRETARY K Robinson
REGISTERED OFFICE 204 Rivonia Road, Morningside, Sandton, 2057
REGISTRARS Computershare Investor Services (Pty) Limited (Registration number
2004/003647/07)
70 Marshall Street, Johannesburg, 2001
PO Box 61051, Marshalltown, 2107
Telephone (011) 370 5000
Telefax (011) 688 7717
www.aveng.co.za
Date: 08/09/2010 07:07:01 Supplied by www.sharenet.co.za
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.
Sharenet Sites 
