Telkom AR front.qxp

More documents

Recommendations

Info

268 Telkom Annual Report 2009 Notes to the annual financial statements (continued) for the three years ended March 31, 2009 5. OPERATING EXPENSES (continued) 2007 2008 2009 Rm Rm Rm 5.4 Service fees 2,236 2,410 2,760 Facilities and property management 1,140 1,221 1,261 Consultancy services 209 160 324 Security and other 833 978 1,122 Auditors’ remuneration 54 51 53 Audit services 53 51 50 Company auditors 47 46 46 Current year 47 43 46 Prior year underprovision – 3 – Other auditors – current year 6 5 4 Other services 1 – 3 Included in the current year’s consultancy services is an amount of R177 million relating to services rendered in respect of the transaction to dispose of the Company’s stake in Vodacom Group (Proprietary) Limited. The increase in the current year’s security and other costs is mainly attributable to the new contract negotiated to secure the copper network in the Company’s drive to cutting down on cable thefts. 5.5 Operating leases 762 619 613 Land and buildings 131 142 166 Equipment 79 49 58 Vehicles 552 428 389 5.6 Depreciation, amortisation and write-offs 3,583 3,732 4,358 Depreciation of property, plant and equipment (refer to note 9) 2,994 3,062 3,398 Amortisation of intangible assets (refer to note 10) 305 408 638 Write-offs of property, plant and equipment and intangible assets 284 262 322 Included in the current year’s amortisation of intangible assets is an amount of R134 million relating to the FIFA brand intangible asset. In recognition of the changed usage patterns of certain items of property, plant and equipment and intangible assets, the Company revised their remaining useful lives as at March 31. The assets affected were individual items of Network equipment, Data processing equipment, Support equipment, Freehold land and buildings and Intangible assets. The revised estimated useful lives of these assets as set out below, resulted in a decrease of the current year depreciation and amortisation charges of R11,4 million (2008: R196 million; 2007: R942 million). Previous life Revised life Years Years Property, plant and equipment Other 2 – 15 2 – 20
Notes to the annual financial statements (continued) for the three years ended March 31, 2009 Telkom Annual Report 2009 269 2007 2008 2009 Rm Rm Rm 6. INVESTMENT INCOME 3,202 3,739 2,907 Interest income 196 142 160 Dividend income from joint venture 2,700 2,970 2,600 Dividend income from subsidiaries 306 627 147 Included in investment income is an amount of R160 million (2008: R142 million; 2007: R196 million) which relates to interest earned from financial assets not measured at fair value through profit or loss. 7. FINANCE CHARGES AND FAIR VALUE MOVEMENTS 1,027 1,289 1,460 Finance charges on interest-bearing debt 1,142 1,499 1,655 Local debt 1,303 1,675 1,818 Finance charges capitalised (161) (176) (163) Foreign exchange gains and losses and fair value movements (115) (210) (195) Foreign exchange losses/(gains) 58 116 (318) Fair value adjustments on derivative instruments (173) (326) 123 Capitalisation rate 14.8% 12.6% 12.4% Included in finance charges is an amount of R1,655 million (2008: R1,499 million; 2007: R1,142 million) which relates to interest paid on financial liabilities not measured at fair value through profit or loss.
Page 1 and 2:
We are... one of Africa’s largest
Page 3 and 4:
Telkom shareholding as at March 31,
Page 5 and 6:
Grow profitable revenue through wir
Page 7 and 8:
600 500 400 300 200 100 0 07 08 09
Page 9 and 10:
The telecommunications industry Con
Page 11 and 12:
egulation that stipulated standard
Page 13 and 14:
a - Euros a - Euros a - Euros 0.25
Page 15 and 16:
ated management team with experienc
Page 17 and 18:
The regulatory environment The regu
Page 19 and 20:
On target for 2010 Telkom Annual Re
Page 21 and 22:
Online impairments, the fixed-line
Page 23 and 24:
• Remodelling - reaching for new
Page 25 and 26:
in this annual report has been upda
Page 27 and 28:
Capital expenditure for the Group i
Page 29 and 30:
More than100 years of combined tele
Page 31 and 32:
Management team Telkom Annual Repor
Page 33 and 34:
Telkom Annual Report 2009 33 Age at
Page 35 and 36:
uild a partnership with communities
Page 37 and 38:
Customers: Through our Customer Cen
Page 39 and 40:
• Interfacing with the media Whil
Page 41 and 42:
Partnering with Human Resources Gro
Page 43 and 44:
The members’ resignations and app
Page 45 and 46:
Share dealings In line with JSE Lis
Page 47 and 48:
NYSE rules Telkom practice Telkom A
Page 49 and 50:
the codes of conduct and ethics tha
Page 51 and 52:
Telkom Annual Report 2009 51 Enterp
Page 53 and 54:
provider, we practice a risk manage
Page 55 and 56:
egulate the business of dealers in
Page 57 and 58:
addressing a number of significant
Page 59 and 60:
There was a major Over the past dec
Page 61 and 62:
payment policy that facilitates the
Page 63 and 64:
Headcount movement Compensation and
Page 65 and 66:
• Accelerated development of wome
Page 67 and 68:
14,500 union members participated i
Page 69 and 70:
were admitted to the university in
Page 71 and 72:
ole in exposing students to the rea
Page 73 and 74:
Sick leave indices • We saved R2
Page 75 and 76:
These will be augmented by another
Page 77 and 78:
Some of the key deliverables are:
Page 79 and 80:
Fittingly, the initiative was launc
Page 81 and 82:
Sponsorships Sponsorships continue
Page 83 and 84:
Item Comment and reference Governan
Page 85 and 86:
espond to competitive challenges Pe
Page 87 and 88:
Operational review History and deve
Page 89 and 90:
service. All costs including instal
Page 91 and 92:
Traffic was adversely affected in b
Page 93 and 94:
Telkom’s focus on bringing new in
Page 95 and 96:
esponse of the CDMA operators to ou
Page 97 and 98:
MWEB Africa On April 21, 2009, we a
Page 99 and 100:
VPN model that allows other service
Page 101 and 102:
services and also to support Telkom
Page 103 and 104:
Telkom’s fixed-line voice busines
Page 105 and 106:
Results of operations The Telkom Gr
Page 107 and 108:
EBITDA can be reconciled to operati
Page 109 and 110:
Telkom Annual Report 2009 109 Finan
Page 111 and 112:
Fixed-line operating revenue increa
Page 113 and 114:
The following table sets forth info
Page 115 and 116:
Interconnection revenue Year ended
Page 117 and 118:
Telkom Annual Report 2009 117 Fixed
Page 119 and 120:
Fixed-line payments to other networ
Page 121 and 122:
Service fees increased in the year
Page 123 and 124:
Vodacom’s operating revenue from
Page 125 and 126:
our fixed-line business, which were
Page 127 and 128:
Vodacom’s selling, general and ad
Page 129 and 130:
The increase in other operating rev
Page 131 and 132:
commercial paper bills, as well as
Page 133 and 134:
The following table sets forth our
Page 135:
challeng Consolidated financial sta
Page 138 and 139:
138 Telkom Annual Report 2009
Page 140 and 141:
140 Telkom Annual Report 2009 Direc
Page 142 and 143:
142 Telkom Annual Report 2009 Conso
Page 144 and 145:
144 Telkom Annual Report 2009 Conso
Page 146 and 147:
146 Telkom Annual Report 2009 Notes
Page 148 and 149:
Page 150 and 151:
Page 152 and 153:
Page 154 and 155:
Page 156 and 157:
Page 158 and 159:
Page 160 and 161:
Page 162 and 163:
Page 164 and 165:
Page 166 and 167:
Page 168 and 169:
Page 170 and 171:
Page 172 and 173:
Page 174 and 175:
Page 176 and 177:
Page 178 and 179:
Page 180 and 181:
Page 182 and 183:
Page 184 and 185:
Page 186 and 187:
Page 188 and 189:
Page 190 and 191:
Page 192 and 193:
Page 194 and 195:
Page 196 and 197:
Page 198 and 199:
Page 200 and 201:
Page 202 and 203:
Page 204 and 205:
Page 206 and 207:
Page 208 and 209:
Page 210 and 211:
Page 212 and 213:
Page 214 and 215:
Page 216 and 217:
Page 218 and 219: 218 Telkom Annual Report 2009 Notes
Page 250 and 251: 250 Telkom Annual Report 2009 Compa
Page 252 and 253: 252 Telkom Annual Report 2009 Compa
Page 318 and 319:
Page 320 and 321:
Page 322 and 323:
Page 324 and 325:
Page 326 and 327:
Page 328 and 329:
Page 330 and 331:
Page 332 and 333:
Page 334 and 335:
Page 336 and 337:
Page 338 and 339:
338 Telkom Annual Report 2009 Share
Page 340 and 341:
340 Telkom Annual Report 2009 Defin
Page 342 and 343:
342 Telkom Annual Report 2009 Defin
Page 344 and 345:
344 Telkom Annual Report 2009 Notic
Page 346 and 347:
346 VOTING AND PROXIES Ordinary sha
Page 348:
Notes Telkom Annual Report 2009 1.
show all

Telkom AR front.qxp

Create successful ePaper yourself

Delete template?

Save as template?