2007 Annual Report - Sappi

Group cash flow statement in Rands convenience translation
for the year ended September 2007
Unaudited
ZAR million 2007 2006*
Cash retained from operating activities* 2,783 1,057
Cash generated from operations 4,234 2,650
– Decrease (increase) in working capital 430 (112)
Cash generated from operating activities 4,664 2,538
– Finance costs paid (1,313) (1,083)
– Finance revenue received 151 172
– Taxation paid (194) (86)
Cash available from operating activities 3,308 1,541
– Dividends paid (525) (484)
Cash utilised in investing activities* (2,611) (1,896)
Investment to maintain operations (272) (952)
– Replacement of non-current assets (832) (1,057)
– Proceeds on disposal of non-current assets 359 26
– Decrease in other non-current assets 201 79
Investment to expand operations (2,339) (944)
– Additions of non-current assets (2,339) (944)
Cash effects of financing activities 703 (138)
Proceeds from interest-bearing borrowings 5,782 6,109
Repayment of interest-bearing borrowings (5,158) (5,237)
Increase (decrease) in bank overdrafts 79 (1,010)
Net movement in cash and cash equivalents 875 (977)
Cash and cash equivalents at beginning of year 1,741 2,336
Translation effects (115) 382
Cash and cash equivalents at end of year 2,501 1,741
* Reclassification
Cash outflows relating to contributions to post employment benefit funds of ZAR449 million in 2006, previously separately reflected in cash utilised in investing activities,
have been included in cash retained from operating activities.
Note:
The financial statements have been translated into ZAR using the rate of exchange of the US Dollar at the end of our fiscal year in September each year. The translation
was made solely for the convenience of the readers and is not defined in IAS 21. It should be noted that the translated ZAR figures from US Dollar do not necessarily represent
that these US Dollar amounts could be converted into ZAR at the time when the transaction occurred. The rate of exchange used for the convenience translation at
September was US$1 = ZAR6.8713 for the balance sheet (2006: US$1 = ZAR7.7738) and US$1 = ZAR7.1741 used for the income statement and cash flow (2006:
US$1 = ZAR6.6039) representing the average rate during fiscal 2007, except for dividends which have been translated at the rate of exchange on the date of declaration.
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