ACFI 2011/12.indd - Gauteng Provincial Treasury

GAUTENG PROVINCE PUBLIC ENTITIESNotes to the Combined Financial Statementsas at 31 March 201112. Assets classified as held for sale and discontinued operations2011/2012Notes R’0002010/2011R’000Assets of a disposal group classifi ed as held for saleProperty, plant and equipmentTotal37,77737,77735,78835,788Liabilities of a disposal group classifi ed as held for saleTrade and other payablesTotal5,1095,1094,5994,599Analysis of the result of discontinued operations, and the result recognised on theremeasurement of assets or disposal group, is as follows:RevenueExpensesSurplus/(defi cit) before tax of discontinued operationsTaxationSurplus/(defi cit) after tax of discontinued operationsPre-tax gain/(loss) recognised on the remeasurement of assets of a disposal groupTaxationAfter tax gain/(loss) on the remeasurement of assets of a disposal groupSurplus/(defi cit) for the year from discontinued operations7,210(15,442)(8,232)-(8,232)---(8,232)7,206(11,201)(3,995)-(3,995)---(3,995)DISCONTINUED OPERATIONS - BLUE IQ INVESTMENT HOLDINGS (PTY) LTDGauteng Motorsport Company (Proprietary) LimitedBlue IQ is a shareholder of Gauteng Motorsport (Pty) Ltd (“GMSC’). The “GMSC” was mandated to deliver on the Department ofEconomic Development (“DED”) obligations in respect of the international motorsport event rights that the DED had acquired andto manage the marketing and operations of all such events. However, as a result of the review process undertaken by the Gautengprovincial government of all agency programmes, the DED took the decision to exit the motorsport programme and the related hostingrights agreements resulting in the company being placed into voluntary liquidation by Blue IQ, as the shareholder, on 7 December 2009.Greater Newtown Development Company (Proprietary) LimitedThe entity’s shareholders are Blue IQ Investment Holdings (Proprietary) Limited (77%) and City of Johannesburg Municipality (23%)(“COJ). Johannesburg Development Agency (“JDA”) is a wholly owned subsidiary of COJ. In October 2008 COJ assigned theirshareholding of 23% in Newtown to JDA. The shareholders have agreed to winding down of operations and liquidation of the entity asa result of the governing agreement of No.1 Central Place the net assets of the entity will be transferred to COJ upon liquidation. BlueCatalyst Investment (Proprietary) Limited. The entity is wholly owned by Blue IQ Investment Holdings (Proprietary) Limited. The Boardof Blue IQ resolved to wind down the operations and liquidate the entity as a result of the review process undertaken by the Gautengprovincial government of all agency programmes. The company was placed in voluntary liquidation in February 2011 and liquidator hasnot been appointed by the Master of the Court.Genesis Fitness (Proprietary) LimitedBlue IQ is 100% shareholder of Genesis Fitness (Proprietary) limited (“GF”). To date the Blue IQ has invested in excess of R29 million inBlue Catalyst associated entities (including the R5 million inter-bank guarantee).Subsequent to 2009/10 year end audit, management initiated a process of resolving the Genesis Fitness (GF) external audit fi ndings bysetting up a sub-committee to outline actions, steps and processes to close the fi ndings. To that end, a fi le comprising all steps taken byBlue IQ to address GF fi nancial management and audit fi ndings was prepared.72 Gauteng Provincial Government | Combined Financial Information Annual Report 2011/12