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Unaudited interim group results 25 December 2016, cash dividend declaration and changes to the board of Directors
Woolworths Holdings Limited
(Incorporated in the Republic of South Africa)
Registration number 1929/001986/06
Share code: WHL
ISIN: ZAE000063863
('the Group' or 'the company')
UNAUDITED INTERIM GROUP RESULTS FOR THE 26 WEEKS ENDED 25 DECEMBER 2016,
CASH DIVIDEND DECLARATION AND CHANGES TO THE BOARD OF DIRECTORS
HIGHLIGHTS
TURNOVER AND CONCESSION SALES: +6.7%
EARNINGS PER SHARE +36.0%
HEADLINE EARNINGS PER SHARE: -4.3%
ADJUSTED DILUTED HEADLINE EARNINGS PER SHARE: -2.4%
INTERIM DIVIDEND PER SHARE: Maintained at 133.0 cents
RETURN ON EQUITY: 22.8%
COMMENTARY
Group sales increased by 6.7% to R37.8 billion despite difficult trading conditions in both South Africa
and Australia. Earnings per share increased by 36.0%, which includes the A$172 million (R1 762 million)
profit on disposal by David Jones of its Market Street property in Sydney. Adjusted diluted HEPS
declined by 2.4%.
WOOLWORTHS
CLOTHING AND GENERAL MERCHANDISE
Clothing and General Merchandise sales grew by 3.5%, a good result in a tough and promotional
market. Price movement was held to 7.3%, despite the impact of a weaker rand on imported product.
Comparable sales grew by 1.2%.
Gross margin declined by 0.4% to 47.7%, impacted by the higher promotional activity. Store costs
increased by 9.7% and comparable store costs increased by 2.4%. 2.9% of additional space was
added. Other operating costs increased by 1.4%. Adjusted profit before tax declined by
4.8% to R1 195 million.
FOOD
Food sales grew by 9.5%, with comparable sales up 5.6%. Price movement of 9.2% remains high due
to the impact of the drought. We continue to grow ahead of the market.
Gross margin decreased by 0.4% to 25.0% as a result of our investment in lower prices and increased
levels of promotion. Store costs increased by 10.3% and comparable store costs increased by 4.7%.
7.9% of additional space was added. Other operating costs were 2.5% up on last year. Adjusted profit
before tax increased by 7.5% to R919 million.
WOOLWORTHS FINANCIAL SERVICES (WFS)
Woolworths Financial Services grew its debtors book by 1.6% on an average year-on-year basis. The
annualised impairment rate for the six months ended 31 December 2016 was 5.9% (31 December
2015: 4.8%). Profit after tax increased by 3.9%.
DAVID JONES
David Jones' sales grew by 4.0% and comparable sales by 0.5% (in A$) after adjusting for the timing
of the Boxing Day sale(a material event), which falls into the second half of this financial year,
as well as by last year's termination of the Dick Smith electronics concession. This negatively
impacted sales growth by 2.7% and 1.6% respectively.
Gross profit margin improved by 0.8% to 39.5%. Costs were well controlled, with total expenses
increasing by 1.1%. Adjusted profit before tax increased by 2.9% to A$105 million.
COUNTRY ROAD GROUP
Country Road Group sales were 0.9% lower than the prior period after adjusting for the Boxing Day
sale and the inclusion of sales from the new acquisition Politix, which affected sales growth
by -1.1% and +1.8% respectively. Sales performance was impacted by high levels of promotional
activity in the market.
Higher markdowns and promotions resulted in gross profit margin declining by 0.4% to 60.6%, while
costs were well controlled, increasing by 2.3%. Adjusted profit before tax declined by 16.7% to
A$50 million.
The acquisition of Politix complements our portfolio of iconic brands in Country Road and provides
opportunity to extend the brand into David Jones.
OUTLOOK
Economic and market conditions are expected to remain difficult into the second half of the financial
year. The environment in both markets is expected to continue to be highly promotionally driven.
We expect growth for the Group in the second half in each market to be in line with the growth in
the first half.
David Jones is continuing on its transformational journey with good progress being made on our key
transformational initiatives.
Any reference to future financial performance included in this statement has not been reviewed and
reported on by the Group's external auditors and does not constitute an earnings forecast.
CHANGES TO THE BOARD OF DIRECTORS
The Board advises that Thina Siwendu, an independent non-executive director and Chairman of the
Social and Ethics Committee, has resigned from the Board with effect from 15 February 2017.
Her resignation follows her appointment as a full-time judge of the Gauteng Local Division of
the High Court, Johannesburg.
The Board expresses its deep gratitude to Thina for her significant contribution, particularly
for her instrumental role as Chairman of the Social and Ethics Committee. In this capacity, Thina
steered the evolution of the committee as it evolved to oversee and contribute to the Group's
corporate citizenship credentials. She did this in a very personal and pragmatic manner. We wish
her great success with her new responsibilities.
Nombulelo Moholi, an independent non-executive director, will assume the role of Chairman of the
Social and Ethics Committee.
S N Susman I Moir
Chairman Group Chief Executive Officer
Cape Town, 15 February 2017
DIVIDEND DECLARATION
Notice is hereby given that the Board of Directors have declared an interim gross cash dividend per
ordinary share (dividend) of 133.0 cents (113.05 cents net of dividend withholding tax), for the 26
weeks ended 25 December 2016, thereby maintaining the dividend as per the prior period. The
dividend has been declared from income reserves and therefore does not constitute a distribution of
'contributed tax capital' as defined in the Income Tax Act, 58 of 1962. A dividend withholding tax of
15% will be applicable to all shareholders who are not exempt.
The issued share capital at the declaration date is 1 047 355 308 ordinary shares.
The salient dates for the dividend will be as follows:
Last day of trade to receive a dividend Tuesday, 7 March 2017
Shares commence trading "ex" dividend Wednesday, 8 March 2017
Record date Friday, 10 March 2017
Payment date Monday, 13 March 2017
Share certificates may not be dematerialised or rematerialised between Wednesday, 8 March 2017
and Friday, 10 March 2017, both days inclusive. Ordinary shareholders who hold dematerialised shares
will have their accounts at their CSDP or broker credited or updated on Monday, 13 March 2017. Where
applicable, dividends in respect of certificated shares will be transferred electronically to shareholders'
bank accounts on the payment date. In the absence of specific mandates, dividend cheques will be
posted to shareholders.
Chantel Reddiar
Group Company Secretary
Cape Town, 15 February 2017
DIRECTORATE AND STATUTORY INFORMATION
Non-executive Directors
Simon Susman (Chairman), Patrick Allaway (Australian), Peter Bacon (British), Zarina Bassa, Tom
Boardman (Lead Independent Director), Hubert Brody, Andrew Higginson (British), Gail Kelly
(Australian), Nombulelo Moholi, Lord Rose (British), Thina Siwendu
Executive Directors
Ian Moir (Group Chief Executive Officer) (Australian), Reeza Isaacs, Sam Ngumeni, Zyda Rylands
Group Company Secretary
Chantel Reddiar
Share code
WHL
ISIN
ZAE000063863
Registered address
Woolworths House, 93 Longmarket Street, Cape Town, 8001
PO Box 680, Cape Town, 8000
Registration number
1929/001986/06
Tax number
9300/149/71/4
JSE sponsor
Rand Merchant Bank (A division of FirstRand Bank Limited)
Transfer secretaries
Computershare Investor Services Proprietary Limited
15 Biermann Avenue, Rosebank, 2196
INTERIM GROUP STATEMENT OF COMPREHENSIVE INCOME
52 weeks 26 weeks 26 weeks
to 26 Jun to 25 Dec to 27 Dec
2016 2016 2015 %
Rm Notes Rm Rm change
66 978 Revenue 35 262 32 939 7.1
72 137 Turnover and concession sales 37 819 35 458 6.7
(7 133) Concession sales (3 586) (3 447) 4.0
65 004 Turnover 34 233 32 011 6.9
38 618 Cost of sales 20 329 18 821 8.0
26 386 Gross profit 13 904 13 190 5.4
1 926 Other revenue 988 907 8.9
21 343 Expenses 11 182 10 265 8.9
15 640 Store costs 8 167 7 438 9.8
5 703 Other operating costs 3 015 2 827 6.7
6 969 Operating profit 3 710 3 832 (3.2)
- Profit on sale of property, net of impairment 1 420 - -
- Profit on sale of property 1 762 - -
- Impairment due to sale of property 342 - -
48 Investment income 41 21 95.2
1 234 Finance costs 660 615 7.3
5 783 Profit before earnings from joint ventures and associate 4 511 3 238 39.3
249 Earnings from joint ventures 134 129 3.9
1 Earnings from associate - 1 (100.0)
6 033 Profit before tax 4 645 3 368 37.9
1 680 Tax 1 328 939 41.4
4 353 Profit for the period 3 317 2 429 36.6
Other comprehensive income:
Amounts that may be reclassified to profit or loss
(104) Fair value adjustments on financial instruments, after tax (140) 206
3 748 Exchange differences on translation of foreign subsidiaries (2 363) 3 543
Amounts that may not be reclassified to profit or loss
7 Post-retirement medical benefit liability - actuarial gain, after tax - -
3 651 Other comprehensive income for the period (2 503) 3 749
8 004 Total comprehensive income for the period 814 6 178
4 353 Profit attributable to: 3 317 2 429
4 344 Shareholders of the parent 3 315 2 422
9 Non-controlling interests 2 7
8 004 Total comprehensive income attributable to: 814 6 178
7 988 Shareholders of the parent 813 6 163
16 Non-controlling interests 1 15
Reconciliation of headline earnings
4 344 Basic earnings attributable to shareholders of the parent 3 315 2 422 36.9
Net (profit)/loss on disposal of property, plant and equipment
22 and intangible assets (1 758) 6
(7) Profit on disposal of associate - (7)
7 Impairment of property, plant and equipment and intangible assets 350 1
(8) Tax impact of adjustments 423 (2)
4 358 Headline earnings 2 330 2 420 (3.7)
13 Unrealised foreign exchange (gains)/losses (6) (21)
- Transaction and swap close-out costs 52 8
(4) Tax impact of adjustments (11) 4
4 367 Adjusted headline earnings 2 365 2 411 (1.9)
454.2 Earnings per share (cents) 2 345.1 253.7 36.0
455.6 Headline earnings per share (cents) 242.6 253.5 (4.3)
456.6 Adjusted headline earnings per share (cents) 246.2 252.6 (2.5)
451.0 Diluted earnings per share (cents) 2 343.3 252.0 36.2
452.5 Diluted headline earnings per share (cents) 241.3 251.7 (4.1)
453.4 Adjusted diluted headline earnings per share (cents) 244.9 250.8 (2.4)
960.1 Number of shares in issue (millions) 961.1 956.3 0.5
956.5 Weighted average number of shares in issue (millions) 960.5 954.5 0.6
INTERIM GROUP STATEMENT OF FINANCIAL POSITION
At At At
26 June 25 Dec 27 Dec
2016 2016 2015
Rm Notes Rm Rm
ASSETS
37 001 Non-current assets 34 346 38 356
15 324 Property, plant and equipment 3 13 814 16 878
78 Investment properties 3 78 78
18 965 Intangible assets 3 17 891 18 505
978 Investment in joint ventures 1 025 957
8 Participation in export partnerships 6 15
83 Fair value lease adjustment 71 86
41 Other loans 38 44
72 Derivative financial instruments 6 21 171
1 452 Deferred tax 1 402 1 622
10 340 Current assets 13 313 11 723
7 117 Inventories 7 999 7 299
1 312 Trade and other receivables 1 552 1 501
90 Derivative financial instruments 6 100 530
296 Tax 937 868
1 525 Cash and cash equivalents 2 725 1 525
2 049 Non-current assets held for sale 3 - 30
49 390 TOTAL ASSETS 47 659 50 109
EQUITY AND LIABILITIES
19 853 TOTAL EQUITY 18 959 19 078
19 826 Equity attributable to shareholders of the parent 18 931 19 017
27 Non-controlling interests 28 61
18 559 Non-current liabilities 14 225 18 738
15 703 Interest-bearing borrowings 11 578 15 552
2 264 Operating lease accrual and fair value lease adjustment 2 052 2 129
387 Post-retirement medical benefit liability 398 385
187 Provisions 190 380
12 Derivative financial instruments 6 - 4
6 Deferred tax 7 288
10 978 Current liabilities 14 475 12 293
9 107 Trade and other payables 9 473 9 741
863 Provisions 801 1 004
135 Operating lease accrual and fair value lease adjustment 64 141
265 Derivative financial instruments 6 148 84
393 Tax 1 387 925
215 Overdrafts and interest-bearing borrowings 2 602 398
29 537 TOTAL LIABILITIES 28 700 31 031
49 390 TOTAL EQUITY AND LIABILITIES 47 659 50 109
2 065 Net asset book value - per share (cents) 1 970 1 989
GROUP ANALYSIS
49 390 Total assets 47 659 50 109
11 940 Woolworths* 13 991 13 024
29 250 David Jones 25 288 29 064
7 208 Country Road Group 7 340 7 023
971 Woolworths Financial Services 1 018 951
21 Treasury** 22 47
7 117 Inventories 7 999 7 299
3 279 Woolworths* 3 728 3 277
2 345 David Jones 2 831 2 542
1 493 Country Road Group 1 440 1 480
29 537 Total liabilities 28 700 31 031
5 672 Woolworths* 7 023 6 945
6 534 David Jones 5 802 6 625
1 850 Country Road Group 1 695 2 071
15 481 Treasury 14 180 15 390
3 902 Approved capital commitments 2 023 2 113
2 066 Woolworths* 1 008 1 105
1 330 David Jones 728 642
506 Country Road Group 287 366
* Includes Woolworths Clothing and General Merchandise, Woolworths Food and Woolworths Logistics.
** Comparative information has been restated for the change in the composition of reportable segments; consequently R47 million of assets
previously reported within the Woolworths segments have been reclassified to Treasury.
INTERIM GROUP STATEMENT OF CASH FLOWS
52 weeks 26 weeks 26 weeks
to 26 June to 25 Dec to 27 Dec
2016 2016 2015
Rm Notes Rm Rm
8 940 Cash inflow from trading 4 803 5 118
(311) Working capital movements (926) (117)
8 629 Cash generated by operating activities 3 877 5 001
40 Investment income received 41 20
(1 168) Finance costs paid (655) (592)
(1 536) Tax paid (1 073) (962)
5 965 Cash generated by operations 2 190 3 467
162 Dividends received from joint ventures 87 63
7 Dividends received from associate - 7
(2 464) Dividends to ordinary shareholders (1 733) (1 442)
3 670 Net cash inflow from operating activities 544 2 095
Cash flow from investing activities
(2 829) Net investment in property, plant and equipment, intangible assets
and investment properties (1 228) (1 432)
- Proceeds on disposal of property 3 677 -
- Acquisition of subsidiary, net of cash acquired 10 (703) -
20 Other 4 15
(2 809) Net cash inflow/(outflow) from investing activities 1 750 (1 417)
Cash flow from financing activities
(34) Settlement of share-based payments through share purchase 4 (37) (25)
(1) Share purchase costs - -
(12) Finance lease payments (5) (5)
190 Borrowings raised 4 264 295
(384) Borrowings repaid (5 315) (412)
(85) Acquisition of non-controlling interests in subsidiaries - -
(326) Net cash outflow from financing activities (1 093) (147)
535 Increase in cash and cash equivalents 1 201 531
891 Net cash and cash equivalents at the beginning of the period 1 497 891
71 Effect of foreign exchange rate changes 27 103
1 497 Net cash and cash equivalents at the end of the period 2 725 1 525
GROUP ANALYSIS
8 629 Cash generated by operating activities 3 877 5 001
4 906 Woolworths 2 542 2 701
2 508 David Jones 857 1 696
1 215 Country Road Group 478 604
2 825 Additions to property, plant and equipment, intangible assets
and investment properties (gross) 1 900 1 305
1 186 Woolworths 654 709
1 093 David Jones 345 375
546 Country Road Group 901 221
INTERIM GROUP STATEMENT OF CHANGES IN EQUITY
Total Total Total
52 weeks Share- Non- 26 weeks Share- Non- 26 weeks
to 26 June holders of controlling to 25 Dec holders of controlling to 27 Dec
2016 the parent interests 2016 the parent interests 2015
Rm Notes Rm Rm Rm Rm Rm Rm
Shareholders'
interest at the
beginning
14 297 of the period 19 826 27 19 853 14 251 46 14 297
Movements for
the period:
4 353 Profit for the period 3 315 2 3 317 2 422 7 2 429
Other comprehensive
3 651 income (2 502) (1) (2 503) 3 741 8 3 749
Total comprehensive
8 004 income for the period 813 1 814 6 163 15 6 178
Shares issued, net
2 849 of costs 4 104 - 104 2 545 - 2 545
Share-based payments,
including settlements
(2 534) and costs 4 (79) - (79) (2 500) - (2 500)
Dividends to
(2 716) shareholders (1 733) - (1 733) (1 442) - (1 442)
Acquisition of
non-controlling
(47) interests - - - - - -
Shareholders' interest
19 853 at the end of the period 18 931 28 18 959 19 017 61 19 078
Dividend per ordinary
313.0 share (cents) 133.0 133.0
Dividend cover (based
1.45 on headline earnings) 1.80 1.90
INTERIM SEGMENTAL ANALYSIS
52 weeks 26 weeks 26 weeks
to 26 June to 25 Dec to 27 Dec
2016 2016 2015 %
Rm Notes Rm Rm change
REVENUE
65 004 Turnover 34 233 32 011 6.9
13 701 Woolworths Clothing and General Merchandise 7 238 6 994 3.5
24 956 Woolworths Food 13 256 12 102 9.5
515 Woolworths Logistics 291 248 17.3
15 185 David Jones 8 018 7 550 6.2
10 647 Country Road Group 5 430 5 117 6.1
1 974 Other revenue and investment income 1 029 928 10.9
27 Woolworths Clothing and General Merchandise 6 11 (45.5)
115 Woolworths Food 58 56 3.6
2 112 David Jones 1 110 985 12.7
43 Country Road Group 19 19 -
28 Treasury 24 16 50.0
(351) Intragroup 9 (188) (159) 18.2
66 978 Total Group 35 262 32 939 7.1
GROSS PROFIT
6 616 Woolworths Clothing and General Merchandise 3 454 3 362 2.7
6 370 Woolworths Food 3 313 3 071 7.9
6 902 David Jones 3 749 3 544 5.8
6 313 Country Road Group 3 287 3 126 5.2
185 Intragroup 9 101 87 16.1
26 386 Total Group 13 904 13 190 5.4
PROFIT BEFORE TAX
2 306 Woolworths Clothing and General Merchandise 1 195 1 255 (4.8)
1 826 Woolworths Food 919 855 7.5
248 Woolworths Financial Services 134 129 3.9
1 814 David Jones 1 078 1 076 0.2
1 016 Country Road Group 517 622 (16.9)
(1 164) Treasury (572) (582) (1.7)
6 046 Total Group-adjusted 3 271 3 355 (2.5)
(13) Adjustments 1 374 13
(13) Unrealised foreign exchange gains/(losses) 6 21
- Transaction and swap close-out costs (52) (8)
- Profit on sale of property 1 762 -
- Impairment due to sale of property (342) -
6 033 Total Group 4 645 3 368 37.9
2 295 Woolworths Clothing and General Merchandise 1 200 1 274 (5.8)
1 824 Woolworths Food 920 857 7.4
248 Woolworths Financial Services 134 129 3.9
1 814 David Jones 2 493 1 068 >100
1 016 Country Road Group 498 622 (19.9)
(1 164) Treasury (600) (582) 3.1
NOTES
1. STATEMENT OF COMPLIANCE AND BASIS OF PREPARATION
The interim Group financial statements have been prepared in accordance with International Financial Reporting
Standards (IFRS) and its interpretations adopted by the International Accounting Standards Board (IASB), IAS 34: Interim
Financial Reporting, the South African Institute of Chartered Accountants (SAICA) Financial Reporting Guides as issued by
the Accounting Practices Committee, Financial Pronouncements as issued by the Financial Reporting Standards Council
(FRSC), the requirements of the Companies Act of South Africa and the JSE Limited Listings Requirements.
The interim Group financial statements have been prepared under the supervision of the Group Finance Director, Reeza
Isaacs CA(SA) and are the full responsibility of the directors.
Accounting policies applied in the preparation of these interim Group financial statements are consistent with those
applied in the preparation of the Group Annual Financial Statements for the 52-week period ended 26 June 2016, and
are consistent with the prior period, except for the changes in accounting policy disclosed in note 5. The interim Group
financial statements have been prepared on the historical cost and going concern bases, except where otherwise
indicated. The presentation and functional currency is the South African rand, rounded to the nearest million, except
where otherwise indicated.
2. EARNINGS PER SHARE
The difference between earnings per share and diluted earnings per share is due to the impact of unexercised options
under the Group's share incentive schemes (refer to note 4).
3. PROPERTY, PLANT AND EQUIPMENT, INTANGIBLE ASSETS AND INVESTMENT PROPERTIES
The Group acquired property, plant and equipment at a fair value of R976 million (2015: R1 041 million) and acquired
intangible assets at a fair value of R924 million (2015: R264 million). This included acquisitions related to business
combinations (refer to note 10).
The Market Street building in Sydney, Australia, amounting to R2 049 million (A$182.0 million), and previously reclassified
as a non-current asset held for sale, was disposed of in the period.
4. ISSUE AND PURCHASE OF SHARES
1 328 464 (2015: 1 499 258) ordinary shares totalling R104 million (2015: R131 million) were issued and allocated to employees
in terms of the Group's share incentive schemes.
432 469 (2015: 256 743) ordinary shares totalling R37 million (2015: R25 million) were purchased from the market by
Woolworths Proprietary Limited and are held as treasury shares by the Group. 103 152 (2015: 350 014) ordinary shares
totalling R7 million (2015: R15 million) were allocated to employees in terms of the Group's Restricted Share Plan.
In the prior period, 24 361 954 ordinary shares totalling R2 414 million were issued and allocated to employees in
terms of the Group's Black Economic Empowerment Employee Share Ownership Scheme, which reached maturity
on 30 June 2015.
5. CHANGE IN ACCOUNTING POLICY
The adoption of certain new standards, which became effective in the current period, has resulted in minor changes
to accounting policies and disclosure, none of which have a material impact on the financial position or performance
of the Group.
6. FAIR VALUE OF FINANCIAL INSTRUMENTS
The carrying value of trade and other receivables, trade and other payables and borrowings approximate their fair
values.
In terms of IFRS 13: Fair value measurement, the Group's derivative financial instruments are measured at fair value and
determined to be level two under the fair value hierarchy using inputs that are observable for the asset or liability,
either directly or indirectly.
7. CONTINGENT LIABILITIES
Group companies are party to legal disputes and investigations that have arisen in the ordinary course of business.
Whilst the outcome of these matters cannot readily be foreseen, the directors do not expect them to have any material
financial effect.
8. BORROWING FACILITIES
Unutilised banking and debt facilities amount to R13 089 million (2015: R7 966 million). In terms of the Memorandum of
Incorporation, the Group has unlimited borrowing powers.
9. RELATED-PARTY TRANSACTIONS
The Group entered into related-party transactions, the substance of which is disclosed in the Group's 2016 Annual
Financial Statements. Intragroup adjustments relate to the sale of concession goods between segments and
supply chain distribution adjustments.
10. ACQUISITION OF POLITIX
On 7 November 2016, Woolworths Holdings Limited (WHL), through its subsidiary, Country Road Group Proprietary
Limited (CRG), acquired the net assets of Politix for a total value of R703 million (A$68.0 million). The acquisition was
funded through internal sources.
Assets acquired and liabilities assumed
WHL has measured the identifiable assets and liabilities of Politix at their acquisition-date fair values. The
provisional values are presented below:
Rm A$m
Non-current assets 280 27
Property, plant and equipment 52 5
Intangible assets 228 22
Current assets 44 5
Inventories 36 4
Trade and other receivables 8 1
Non-current liabilities 7 1
Fair value lease adjustment 7 1
Current liabilities 29 3
Trade and other payables 12 1
Provisions 17 2
Total identifiable net assets at fair value 288 28
Goodwill arising on acquisition 415 40
Cash outflow on acquisition 703 68
Goodwill of R415 million (A$40.2 million) and the Politix brand amounting to R228 million (A$22.0 million) have been
recognised. Goodwill represents the value paid in excess of the fair value of net assets and consists largely of
synergies and economies of scale expected from strategic initiatives. Transaction costs of R19 million (A$1.8 million)
have been expensed in the current period and are included in other operating costs.
From the date of acquisition, R97 million of additional revenue and R14 million profit before tax has accrued. Had
the acquisition been effective from the beginning of the period, the directors consider that, on a pro-forma basis,
the contribution to revenue and profit before tax for the 26 weeks ended 25 December 2016 would have been a
further R348 million and R57 million respectively.
As a result of the acquisition, leases were determined to be either favourable or unfavourable in comparison to
market-related rentals, and accordingly, have been disclosed separately as assets or liabilities on the statement
of financial position. These will unwind over the duration of the leases through the statement of comprehensive
income.
The fair values are provisional and are subject to further review for a period of up to one year from acquisition
date, and as a result, not all of the required disclosures are contained herein.
The Australian dollar values have been translated at the closing exchange rate at 7 November 2016 of A$1:R10.3.
11. EVENTS SUBSEQUENT TO THE REPORTING DATE
No event material to the understanding of these interim Group financial statements has occurred between the
end of the financial period and the date of approval.
12. APPROVAL OF INTERIM GROUP FINANCIAL STATEMENTS
The interim Group financial statements were approved by the Board of Directors on 15 February 2017.
13. AUDIT OPINION
These interim Group financial statements have not been reviewed or audited.
DIRECTORATE AND STATUTORY INFORMATION
NON-EXECUTIVE DIRECTORS REGISTERED ADDRESS
Simon Susman (Chairman), Patrick Allaway (Australian), Woolworths House, 93 Longmarket Street,
Peter Bacon (British), Zarina Bassa, Cape Town, 8001
Tom Boardman (Lead Independent Director), PO Box 680, Cape Town, 8000
Hubert Brody, Andrew Higginson (British),
Gail Kelly (Australian), Nombulelo Moholi, REGISTRATION NUMBER
Lord Rose (British), Thina Siwendu 1929/001986/06
EXECUTIVE DIRECTORS TAX NUMBER
Ian Moir (Group Chief Executive Officer) (Australian), 9300/149/71/4
Reeza Isaacs, Sam Ngumeni, Zyda Rylands
JSE SPONSOR
GROUP COMPANY SECRETARY Rand Merchant Bank (A division of FirstRand Bank Limited)
Chantel Reddiar
TRANSFER SECRETARIES
JSE SHARE CODE Computershare Investor Services Proprietary Limited
WHL 15 Biermann Avenue, Rosebank, 2196
ISIN
ZAE000063863
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