2012 Integrated report - Sappi

US$ million 2012 2011 2010
4. Operating profit continued
Silviculture costs (included within cost of sales) 70 79 67
Leasing charges for premises 14 14 14
Leasing charges for plant and equipment 18 22 48
Remuneration paid other than to employees of the company in respect
of: 28 35 31
– technical services 14 16 12
– administration services 14 19 19
Auditors’ remuneration: 8 8 8
– audit and related services 6 6 7
– tax planning and tax advice 2 1 1
– refinancing related services (1) – 1 –
Research and development costs 24 26 25
Amortisation 2 3 3
Cost on derecognition of loans and receivables (2) 10 11 14
(1) These costs have been capitalised.
(2) The cost on derecognition of trade receivables relates to the derecognition of trade receivables related to the securitisation programme in South Africa and to the sale
of letters of credit in Hong Kong.
US$ million 2012 2011 2010
4.1 Employment costs
Wages and salaries 984 1,112 1,054
Defined contribution plan expense (refer to note 27) 35 46 42
Defined benefit pension plan expense (refer to note 27) 24 14 15
Other defined benefit plan expense (refer to note 27) 13 14 14
Share-based payment expense 9 15 13
Other 33 37 38
1,098 1,238 1,176
4.2 Other operating (income) expenses
Included in other operating (income) expenses are the following:
Impairments (reversals) of assets and investments 10 167 (10)
Restructuring provisions and closure costs (reversed) raised (2) 135 46
Profit on disposal of associates and joint ventures (11) – –
Profit on disposal of non-current assets (52) (1) (5)
Alternative fuel mixture credits – – (51)
Black Economic Empowerment (BEE) charge: 3 5 23
– unwinding of the 2006 Black Economic Empowerment transaction – – 19
– IFRS 2 costs on management and employee share option plans 3 5 4
sappi Integrated Report 2012 121