| |
|
|
|
|
|
|
|
| 5. |
Intangible assets |
| |
|
|
2009 |
|
|
2008 |
|
| |
|
|
Accumulated |
|
|
Accumulated |
|
| |
|
Cost or |
impairment/ |
Net |
Cost or |
impairment/ |
Net |
| |
|
valuation |
amortisation |
value |
valuation |
amortisation |
value |
| |
|
R million |
R million |
R million |
R million |
R million |
R million |
| |
Goodwill |
347 |
– |
347 |
345 |
– |
345 |
| |
Trade marks and other |
144 |
(97) |
47 |
154 |
(91) |
63 |
| |
|
491 |
(97) |
394 |
499 |
(91) |
408 |
| |
|
|
|
|
|
|
|
| |
|
|
|
|
|
2009 |
2008 |
| |
Amortisation rates are as follows: |
|
|
% |
% |
| |
Trade marks and other |
|
|
|
|
5 – 100 |
5 – 100 |
| |
|
|
|
|
|
|
|
| |
Reconciliation of |
|
|
|
|
|
|
| |
carrying value at |
|
Trade marks |
|
|
Trade marks |
|
| |
the beginning and |
Goodwill |
and other |
2009 |
Goodwill |
and other |
2008 |
| |
end of the year |
R million |
R million |
R million |
R million |
R million |
R million |
| |
Balances at 1 April |
345 |
63 |
408 |
342 |
71 |
413 |
| |
Amortisation |
– |
(11) |
(11) |
– |
(12) |
(12) |
| |
Businesses acquired |
4 |
– |
4 |
2 |
– |
2 |
| |
Other |
(2) |
(5) |
(7) |
1 |
4 |
5 |
| |
Balances at 31 March |
347 |
47 |
394 |
345 |
63 |
408 |
| |
|
|
|
|
|
|
|
| |
Goodwill is tested annually for any possible impairment and for this reason allocated to the respective cash-generating units as indicated below. |
| |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
| |
|
|
|
|
Tsb Sugar |
|
|
| |
|
|
|
Rainbow |
Holdings |
Wispeco |
|
| |
|
|
|
Chicken |
(Pty) |
Holdings |
|
| |
|
|
|
Limited |
Limited |
Limited |
|
| |
|
|
|
and its |
and its |
and its |
2009 |
| |
|
|
|
subsidiaries |
subsidiaries |
subsidiaries |
Total |
| |
Goodwill allocated (R million) |
292 |
39 |
16 |
347 |
| |
Basis of valuation of cash-generating units |
Value |
Value |
Value |
|
| |
|
|
|
in use |
in use |
in use |
|
| |
|
|
|
|
|
|
|
| |
R287 million of the goodwill relating to Rainbow Chicken and its subsidiaries relates to the acquisition of Vector Logistics (Pty) Limited in 2005. In determining the value in use of the cash-generating unit to which this goodwill was allocated, the following assumptions were used: |
| |
|
|
|
|
|
|
|
| |
Discount rate |
|
|
13.5% |
|
|
|
| |
Growth rate |
|
|
5.0% |
|
|
|
| |
Period |
|
|
5 years |
|
|
|
| |
|
|
|
|
|
|
|
| |
Sensitivity analysis of assumptions used in the goodwill impairment test: |
| |
|
|
|
|
|
|
|
| |
Assumption |
|
Movement |
Impairment |
|
|
|
| |
Discount rate |
|
+5% |
Nil |
|
|
|
| |
Growth rate |
|
–5% |
Nil |
|
|
|
| |
|
|
|
|
|
|
|
| |
During the year under review no impairment of goodwill occurred. |
| |
|
|
|
|
|
|
|
