Notes to the annual financial statements

FOR THE YEAR ENDED 31 MARCH 2008

« Note 5 Note 7 »
               
6. INVESTMENTS – ASSOCIATED COMPANIES
  (Annexures B & C)            
      2008       2007    
    Listed   Unlisted   Total   Listed   Unlisted   Total  
    R million   R million   R million   R million   R million   R million  
  Shares – at cost 9 182   6 930   16 112   6 720   4 289   11 009  
  Equity adjustment 7 483   19 538   27 021   4 758   17 077   21 835  
  Carrying value 16 665   26 468   43 133   11 478   21 366   32 844  
  Long-term loans –   42   42   –   189   189  
    16 665   26 510   43 175   11 478   21 555   33 033  
  Market values of listed            
     investments 22 147     22 147   28 871     28 871  
  Directors’ valuation of            
     unlisted investments   82 286   82 286     62 969   62 969  
  Market values and directors’ valuation  22 147   82 286   104 433   28 871   62 969   91 840  
               
  Excess of market values and directors’ valuation      
     over the carrying value of investments:            
  – attributable to equity holders     61 258       58 807  
  – attributable to minority     –       –  
        61 258       58 807  
               
  Of the directors’ valuations of unlisted investments stated above, a substantial proportion amounting to R72 010 million
(2007: R55 283 million) was based on the stock exchange prices of underlying listed shares held by the unlisted investments concerned.
               
            2008   2007  
  Reconciliation of carrying value at the beginning and end of the year   R million   R million  
  Carrying value at 1 April         33 033   26 098  
  Exchange rate differences on translation of carrying value at the beginning      
     of the year to year-end rate         2 003   4 292  
               
  Income of associated companies retained         4 100   3 366  
  Share of net attributable profit of associated companies       7 230   6 003  
  Dividends received from associated companies         (3 297)  (2 748) 
  Exchange rate differences on translation between average rate to year-end rates 167   111  
               
  Equity-accounted movements on reserves         (154)  (824) 
  Loans repaid         (147)  (165) 
  Disposals/capital reductions         (236)  (85) 
  Investments made         3 411   201  
  Restructuring of interest in Unilever         1 167   –  
  Investments reclassified as associated companies         –   106  
  Other         (2)  44  
  Carrying value at 31 March         43 175   33 033