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for the year ended 30 June
NOTES TO THE GROUP FINANCIAL STATEMENTS continued
24. BORROWINGS (continued)
Interest rates
Year end interest and dividend rates are as follows:
Short term banking facilities 8.0% 9.6%
Term facilities 5.8% 10.3%
V&A loan 12.2% 12.2%
Redeemable preference shares 6.7% 7.3%
Lease liabilities 12.0% 12.4%
Vacation Club Members 10.9% 11.3%
Weighted average 7.3% 8.9%
As at 30 June 2010, interest rates on 35% (2009: 45%) of the group’s borrowings were fixed. 20%
(2009: 67%) of these fixed borrowings were for periods longer than 12 months. The interest rates
other than on the V&A loan, approximate those currently available to the group in the market.
Redeemable preference shares
SIL 1 851 1 851
SISA 1 000 1 000
Dinokana 225 220
Preference dividends on the SIL preference shares are payable semi-annually on 31 March and
30 September and are calculated at a rate of 67% (2009: 67%) of the bank prime overdraft rate.
The preference shares are redeemable on 1 August 2012.
Preference dividends on the SISA preference shares are payable semi-annually on 31 August and
28 February and are calculated at a rate of 63% (2009: 63%) of the bank prime overdraft rate. The
preference shares are redeemable on 13 October 2011.
Preference dividends on the Dinokana preference shares are payable semi-annually on 31 March
and 30 September and are calculated at a rate of 80% (2009: 80%) of the bank prime overdraft
rate. The preference shares are redeemable on 3 December 2010.
A register of non current borrowings is available for inspection at the registered office of the company.
The group had unutilised borrowing facilities of R1 313 million (2009: R1 329 million) at 30 June
2010. All undrawn borrowing facilities are renewable annually and none has a fixed interest rate.
Capitalised lease liabilities
Finance lease liabilities are primarily for buildings and slot machines. At the time of entering into
the capital lease arrangements, the commitments are recorded at the present value using applicable
interest rates. The aggregate amounts of minimum lease payments and the related imputed interest
under the capitalised lease contracts payable in each of the next five financial years and thereafter
are as follows:
2010
Rm
2009
Rm
3 076 3 071
Gross minimum lease payments:
No later than 1 year 70 75
Later than 1 year and no later than 5 years 72 143
142 218
Imputed interest:
No later than 1 year (12) (20)
Later than 1 year and no later than 5 years (4) (18)
(16) (38)
Net capital payments of finance lease liabilities 126 180
Net carrying value of assets held under finance leases 120 128
173