Kumba Annual Report 2005

GROUP CASH VALUE ADDED STATEMENT

for the year ended 31 December 2005

The value added statement shows the wealth the group has created through mining, benefication, trading and investing operations. The statement below summarises the total cash wealth created and how it was disbursed among the group’s stakeholders, leaving a retained amount which was re-invested in the group for the replacement of assets and further development of operations.

			Restated
	12-months		18-months
	ended		ended
	31 Dec	Wealth	31 Dec	Wealth
	2005	created	2004	created
	Rm	%	Rm	%
Cash generated
Cash derived from sales and services	11 261		12 568
Income from investments and interest received
Paid to suppliers for materials and services	(5 137)		(7 214)
Cash value added	6 124	100	5 354	100
Cash utilised to:
Remunerate employees for services	2 110	34	2 646	49
Pay direct taxes to the state	821	13	313	6
Provide lenders with a return on borrowings	339	6	402	8
Provide shareholders with cash dividends	1 447	24	361	7
Cash disbursed among stakeholders	4 717	77	3 722	70
Cash retained in the group to maintain and develop operations	1 407	23	1 632	30

NOTES TO THE GROUP VALUE ADDED STATEMENT
1. Taxation contribution
Direct taxes (as above)	821		313
Value added taxes levied on purchases of goods and services	963		1 169
Regional service council levies	23		19
Rates and taxes paid to local authorities	19		21
Gross contributions	1 827		1 522
2. Additional amounts collected by the group on behalf of government
Value added tax and other duties charged on turnover	852		985
Employees’ tax deducted from remuneration paid	439		416
	1 292		1 401