NOTES

    
Condensed consolidated Unaudited   Unaudited     Audited
  half-year   half-year   year ended
  30 June   30 June   31 December
Rmillion 2007   2006   2006

1. BEE IFRS 2 charge and transaction costs

A once-off R320 million IFRS 2 charge has been brought to account in respect of the facilitation of the 18% BEE equity participation transaction. Advisory and other transaction related costs of R34 million have been brought to account.

             
2. Hulamin unbundling and restatement of comparatives
 

Pursuant to the listing and unbundling of Hulamin at the end of June 2007, Tongaat Hulett’s 50 percent investment in Hulamin was fair valued through profit or loss by R3 348 million and thereafter unbundled as a distribution in specie. Comparative figures in the profit or loss and segmental analysis have been restated to reflect Hulamin as a discontinued operation, as required by IFRS 5 Non-current Assets Held for Sale and Discontinued Operations.

             
3. Net financing costs          
  Interest paid (90)   (22)   (38)
  Financial instrument income     19   104
  Interest received 53   18   22
 
 
    (37)   15   88
 
 
             
4. Tax          
  Normal (63)   (38)   (85)
  Deferred 4   (38)   (90)
  Secondary tax on companies (47)   (37)   (63)
 
 
    (106)   (113)   (238)
 
 
             
5. Headline earnings          
  Profit attributable to shareholders 3 198   317   723
  Less after tax effect of surplus on sale of fixed assets (5)   (20)   (20)
  Reversal of fair value adjustment of Hulamin (3 348)        
 
 
    (155)   297   703
 
 
             
6. Capital expenditure commitments          
  Contracted 196   115   169
  Approved 1 298   199   640
 
 
    1 494   314   809
 
 
             
7. Operating lease commitments 20   34   45
 
 
             
8. Guarantees and contingent liabilities 27   51   79
 
 
9. Trade and other payables
   Included in trade and other payables is the maize obligation (interest bearing) of R160 million (30 June 2006: R75 million and 31 December 2006: R130 million).
   
10. Basis of preparation

  
The condensed consolidated unaudited results for the half-year ended
30 June 2007 have been prepared in accordance with the accounting policies which fully comply with International Financial Reporting Standards and are consistent with the audited annual financial statements at 31 December 2006. The interim report has been prepared in accordance with IAS 34 Interim Financial Reporting. Tongaat Hulett continues to account for its Zimbabwean operations, including Triangle Sugar and Hippo Valley Estates, on a dividend received basis.