Wrap Text
AngloGold Ashanti Ultimatum to Workers on Unprotected Strike
AngloGold Ashanti Limited
(Incorporated in the Republic of South Africa \ Reg. No. 1944/017354/06)
ISIN No. ZAE000043485 – JSE share code: ANG \ CUSIP: 035128206 – NYSE share code: AU
Website: www.anglogoldashanti.com
News Release
22 October 2012
AngloGold Ashanti Ultimatum to Workers on Unprotected Strike
(Johannesburg – Press Release) – AngloGold Ashanti has done its utmost over the past month
to work towards a mutually agreeable solution to the unprotected strike at the company’s Vaal
River and West Wits operating units. The strike has cost approximately 32,000oz a week in lost
production.
The company has engaged with striking workers in a respectful and honest way throughout this
period, despite the fact that the work stoppage is unprocedural and unprotected. AngloGold
Ashanti has continued to seek dialogue and compromise, including the offer of a fair and
reasonable salary package improvement through the established bargaining system agreed
between elected representatives of organised labour and South Africa’s major gold producers,
and facilitated by the Chamber of Mines.
The action has been conducted largely in a peaceful manner on AngloGold Ashanti’s mines,
with minimal injury to people and damage to property. Nonetheless, AngloGold Ashanti’s
management remains concerned about the level of intimidation which appears to be prevalent
during the recent illegal strike actions.
It is gratifying to note that initial indications are that employees have begun returning at the
Kopanang and Great Noligwa operations and metallurgical plants in the Vaal River region.
However, employees at the balance of the operations appear to have rebuffed these efforts at
resolution. Meanwhile, conditions of the ore bodies and underground infrastructure across these
ultra-deep operations have continued to deteriorate, raising the risk that portions of these mines
will be sterilised and jobs permanently lost. The point has now been reached where further steps
must be taken to try break the deadlock and encourage a rapid return to normal operations.
As such, AngloGold Ashanti is today issuing a final call for all workers to return to work by 12h00
on Wednesday, 24 October 2012. Those who return to work by this time will receive the
improved wage offer which has been communicated to all members of the workforce directly by
AngloGold Ashanti and separately by elected union representatives.
Those who do not present themselves for work by 12h00 on Wednesday 24 October will be
dismissed.
“Failure to return to work, in order that we resume normal operations, will result in the issue of
notices of dismissal to any and all employees who have not complied with the ultimatum,” Chief
Executive Officer Mark Cutifani said. “It is regretful that matters have reached this stage, with job
losses now being threatened and livelihoods for thousands of families being placed at risk.”
Conference Call
AngloGold Ashanti will host a conference call to provide an update on the strike activity
at 4pm today, Monday 22 October, at 4pm, Johannesburg time. (10am EST, 3pm BST).
Please see details below:
South Africa (Toll-Free) 0 800 200 648
South Africa - Johannesburg 011 535 3600
South Africa - Johannesburg Alternate 010 201 6616
UK (Toll-Free) 0808 162 4061
UK Alternative (Toll-Free) 0 800 917 7042
Canada (Toll-Free) 1 866 605 3852
USA (Toll) 412 858 4600
USA (Toll-Free) 1 800 860 2442
About AngloGold Ashanti’s South African Operations
AngloGold Ashanti’s South Africa operations accounted for approximately 32% of total group
production during the first half of the year. Approximately 35,000 people are employed across
AngloGold Ashanti’s South African operations. This figure is inclusive of contractors and those
working on two major capital projects under way at the Moab Khotsong and Mponeng mines.
AngloGold Ashanti is a member of the gold industry’s collective wage bargaining unit at the
Chamber of Mines and as such is committed to addressing demands regarding pay and other
substantive issues through this framework. At present, the gold industry is in the second year of
a two-year wage agreement with the latest increases, ranging from 8% to 10%, awarded to the
workforce in July, under the agreement reached in 2011. A similar increase was awarded last
year. South Africa’s annual Consumer Price Inflation is currently 5% in August.
SPONSOR: UBS South Africa (Pty) Limited
ENDS
__________________________________________________________________________________________________________________
Contacts
Media
Alan Fine +27-11 637- 6383 / +27 (0) 83 250 0757 afine@anglogoldashanti.com
Chris Nthite +27 (0) 11 637 6388/+27 (0) 83 301 2481 cnthite@anglogoldashanti.com
Stewart Bailey +1 646 338 4337/ +1 212 858-7702 / +27 83 253 2021 sbailey@anglogoldashanti.com
General inquiries +27 11 637 6031 media@anglogoldashanti.com
Investors
Stewart Bailey +1 646 338 4337/ +1 212 858-7702 / +27 83 253 2021 sbailey@anglogoldashanti.com
Sabrina Brockman (US & Canada) +1 (212) 858 7702 / +1 646 379 2555 sbrockman@anglogoldashanti.com
Mike Bedford (UK & Europe) +44 779 497 7881 / +44 1225 93 8483 mbedford@anglogoldashanti.com
General inquiries +27 11 637 6059 investors@anglogoldashanti.com
Certain statements made in this communication, other than statements of historical fact, including, without limitation, those concerning the economic outlook
for the gold mining industry, expectations regarding gold prices, production, cash costs and other operating results, growth prospects and outlook of
AngloGold Ashanti’s operations, individually or in the aggregate, including the achievement of project milestones, the completion and commencement of
commercial operations of certain of AngloGold Ashanti’s exploration and production projects and the completion of acquisitions and dispositions, any plan
regarding the restructuring of any of AngloGold Ashanti’s operations, AngloGold Ashanti’s liquidity and capital resources and capital expenditure and the
outcome and consequence of any potential or pending litigation or regulatory proceedings or environmental issues, are forward-looking statements regarding
AngloGold Ashanti’s operations, economic performance and financial condition. These forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause AngloGold Ashanti’s actual results, performance or achievements to differ materially from the anticipated
results, performance or achievements expressed or implied in these forward-looking statements. Although AngloGold Ashanti believes that the expectations
reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly,
results could differ materially from those set out in the forward-looking statements as a result of, among other factors, changes in economic, social, political
and market conditions, success of business and operating initiatives, changes in the regulatory environment and other government actions including
environmental approvals and actions, fluctuations in gold prices and exchange rates, and business and operational risk management. For a discussion of
certain of these and other factors, refer to AngloGold Ashanti's annual report for the year ended 31 December 2011, which was distributed to shareholders
on 4 April 2012, the company’s 2011 annual report on Form 20-F, which was filed with the Securities and Exchange Commission in the United States on 23
April 2012 and the prospectus supplement to the company’s prospectus dated July 17, 2012 that was filed with the Securities and Exchange Commission on
July 25, 2012. These factors are not necessarily all of the important factors that could cause AngloGold Ashanti’s actual results to differ materially from those
expressed in any forward-looking statements. Other unknown or unpredictable factors could also have material adverse effects on future results.
Consequently, stakeholders are cautioned not to place undue reliance on forward-looking statements. AngloGold Ashanti undertakes no obligation to update
publicly or release any revisions to these forward-looking statements to reflect events or circumstances after today’s date or to reflect the occurrence of
unanticipated events, except to the extent required by applicable law. All subsequent written or oral forward-looking statements attributable to AngloGold
Ashanti or any person acting on its behalf are qualified by the cautionary statements herein.
This communication may contain certain “Non-GAAP” financial measures. AngloGold Ashanti utilises certain Non-GAAP performance measures and ratios
in managing its business. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the reported operating results or cash
flow from operations or any other measures of performance prepared in accordance with IFRS. In addition, the presentation of these measures may not be
comparable to similarly titled measures other companies may use.
AngloGold Ashanti posts information that is important to investors on the main page of its website at www.anglogoldashanti.com and under the “Investors”
tab on the main page. This information is updated regularly. Investors should visit this website to obtain important information about AngloGold Ashanti.
Date: 22/10/2012 11:42:00 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 
