Five-year summaries

For the year ended 31 December

Summarised group financial results – income statement

US Dollar million		2009	2008	2007	2006	2005
Gold income		3,768	3,619	3,002	2,646	2,393
Cost of sales		(2,813)	(2,728)	(2,458)	(2,138)	(2,149)
Loss on non-hedge derivatives and other commodity contracts ⁽¹⁾		(1,533)	(297)	(792)	(231)	(135)
Gross (loss) profit		(578)	594	(248)	277	109
Corporate administration and other expenses		(154)	(131)	(128)	(84)	(64)
Market development costs		(10)	(13)	(16)	(16)	(13)
Exploration costs		(150)	(126)	(117)	(58)	(44)
Other net operating expenses		(8)	(6)	(20)	(20)	(24)
Operating special items		691	(1,538)	(13)	(7)	(67)
Operating (loss) profit		(209)	(1,220)	(542)	92	(103)
Dividend received from other investments		–	–	2	–	–
Interest received		54	66	43	31	24
Exchange gain (loss)		112	4	(1)	(5)	2
Fair value adjustment on option component of convertible bond		(33)	25	47	16	(32)
Finance costs and unwinding of obligations		(139)	(114)	(120)	(116)	(102)
Fair value loss on interest rate swaps		–	–	–	–	(1)
Share of equity accounted investments’ profit (loss)		94	(138)	35	115	43
(Loss) profit before taxation		(121)	(1,377)	(536)	133	(169)
Taxation		(147)	197	(101)	(146)	46
Loss after taxation from continuing operations		(268)	(1,180)	(637)	(13)	(123)
Discontinued operations
Profit (loss) from discontinued operations		–	25	7	(2)	(36)
Loss for the year		(268)	(1,155)	(636)	(15)	(159)
Allocated as follows:
Equity shareholders		(320)	(1,195)	(668)	(45)	(182)
Non-controlling interests		52	40	32	30	23
		(268)	(1,155)	(636)	(15)	(159)
Other financial data
Adjusted gross profit (loss) ⁽¹⁾	$m	412	(384)	835	884	395
Headline loss	$m	(852)	(30)	(648)	(82)	(145)
Adjusted headline (loss) earnings ⁽¹⁾	$m	(50)	(897)	278	411	153
Adjusted headline earnings excluding hedge buy-back costs	$m	708	19	278	411	153
Adjusted gross margin excluding hedge buy-back costs	%	13	(16)	25	29	16
EBITDA⁽¹⁾	$m	1,663	1,131	1,224	1,409	772
EBITDA margin	%	52	48	37	47	30
Interest cover ⁽¹⁾	times	11	8	9	11	7
Loss per ordinary share (cents)
Basic	US cents	(89)	(377)	(237)	(16)	(69)
Diluted	US cents	(89)	(377)	(237)	(16)	(69)
Headline	US cents	(236)	(9)	(230)	(30)	(55)
Adjusted headline (loss) earnings ⁽¹⁾	US cents	(14)	(283)	99	151	58
Dividends paid per ordinary share	US cents	17	11	19	62	36
Weighted average number of shares	million	361	317	281	273	265
Issued shares at year-end	million	366	357	282	280	265

⁽¹⁾ Refer to Non-GAAP disclosure notes.

As at 31 December

Summarised group financial results – statement of financial position

US Dollar million		2009	2008	2007	2006	2005
Assets
Tangible and intangible assets		5,996	4,493	7,041	6,329	6,139
Cash and cash equivalents		1,100	575	477	471	197
Other assets		2,691	2,992	2,190	2,022	1,859
Total assets		9,787	8,060	9,708	8,822	8,195
Equity and liabilities
Total equity		3,030	2,511	2,442	3,047	2,661
Borrowings		1,931	1,933	1,848	1,448	1,856
Deferred taxation		753	617	1,042	1,093	1,136
Other liabilities		4,073	2,999	4,376	3,234	2,542
Total equity and liabilities		9,787	8,060	9,708	8,822	8,195
Other financial data
Equity		3,915	3,242	3,926	4,529	4,217
Net capital employed ⁽¹⁾		4,876	4,683	5,360	5,568	5,935
Net debt ⁽¹⁾		868	1,283	1,318	1,015	1,726
Net asset value – per share ⁽¹⁾	US cents	828	702	867	1,087	1,004
Net tangible asset value – per share ⁽¹⁾	US cents	779	661	718	946	862
Market capitalisation ⁽¹⁾		14,555	9,795	11,878	13,008	13,069
Financial ratios
Return on net capital employed excluding
hedge buy-back costs	%	18	3	7	9	4
Net debt to net capital employed	%	18	27	25	18	29
Net debt to equity	%	22	40	34	22	41
Exchange rates
Rand/dollar average exchange rate		8.39	8.25	7.03	6.77	6.37
Rand/dollar closing exchange rate		7.44	9.46	6.81	7.00	6.35
Australian dollar/dollar average exchange rate		1.26	1.17	1.19	1.33	1.31
Australian dollar/dollar closing exchange rate		1.12	1.44	1.14	1.27	1.36
Brazilian real/dollar average exchange rate		2.00	1.84	1.95	2.18	2.44
Brazilian real/dollar closing exchange rate		1.75	2.34	1.78	2.14	2.35

⁽¹⁾ Refer to Non-GAAP disclosure notes.

For the year ended 31 December

Summarised group financial results – statement of cash flows

US Dollar million		2009	2008	2007	2006	2005
Cash flows from operating activities
Cash generated from operations		1,345	632	983	1,132	619
Cash utilised by discontinued operations		–	(1)	(2)	(1)	(31)
Dividends received from equity accounted investments		101	78	65	85	51
Taxation paid		(147)	(125)	(180)	(110)	(22)
Cash utilised for hedge buy-back costs		(797)	(1,113)	–	–	–
Net cash inflow (outflow) from operating activities		502	(529)	866	1,106	617
Cash flows from investing activities
Capital expenditure		(1,019)	(1,194)	(1,015)	(811)	(711)
Net (payments) proceeds from acquisition and disposal of mines, subsidiaries, associates and joint ventures		(354)	10	1	9	4
Net proceeds from disposal and acquisition of investments, associate loans, and acquisition and disposal of tangible assets		1,132	82	(13)	46	(16)
Dividend received from other investments		–	–	2	–	–
Interest received		55	67	35	24	18
Net loans repaid (advanced)		1	–	–	5	(1)
(Increase) decrease in cash restricted for use		(10)	(6)	(25)	(3)	17
Utilised in hedge restructure		–	–	–	–	(69)
Other investing activities		–	–	–	1	(2)
Net cash outflow from investing activities		(195)	(1,041)	(1,015)	(729)	(760)
Cash flows from financing activities
Net proceeds from share issues		295	1,668	34	507	9
Net borrowings proceeds (repaid)		43	239	323	(394)	305
Finance costs paid		(111)	(93)	(72)	(82)	(73)
Dividends paid		(56)	(58)	(144)	(132)	(169)
Net cash inflow (outflow) from financing activities		171	1,756	141	(101)	72
Net increase (decrease) in cash and cash equivalents		478	186	(8)	276	(71)
Translation		47	(88)	14	(2)	(8)
Cash and cash equivalents at beginning of year		575	477	471	197	276
Cash and cash equivalents at end of year		1,100	575	477	471	197
Other financial data
Free cash flow ⁽¹⁾		(104)	(1,069)	336	633	160
Cash generated to cash invested ⁽¹⁾	times	2.3	0.6	0.7	1.6	0.8

⁽¹⁾ Refer to Non-GAAP disclosure notes.

For the year ended 31 December

Summarised group operating results – operating results

		2009	2008	2007	2006	2005
Underground operations
Metric tonnes milled	000	11,944	12,335	13,112	13,489	13,806
Yield	g/t	6.41	6.89	6.99	7.20	7.31
Gold produced	000 oz	2,461	2,734	2,948	3,123	3,243
Surface and dump reclamation
Metric tonnes treated	000	12,779	11,870	12,429	12,414	8,061
Yield	g/t	0.51	0.42	0.49	0.50	0.52
Gold produced	000 oz	208	161	197	201	136
Open-pit operations
Metric tonnes mined	000	167,000	175,999	172,487	173,178	168,904
Stripping ratio ⁽¹⁾		5.58	5.24	4.48	4.82	5.02
Metric tonnes treated	000	25,582	25,388	25,312	26,739	25,541
Yield	g/t	1.96	2.12	2.34	2.14	2.74
Gold produced	000 oz	1,609	1,734	1,904	1,843	2,246
Heap-leach operations
Metric tonnes mined	000	57,456	54,754	59,720	63,519	61,091
Metric tonnes placed ⁽²⁾	000	19,887	23,462	22,341	23,329	22,227
Stripping ratio ⁽¹⁾		1.94	1.43	1.77	1.83	1.97
Recoverable gold placed ⁽³⁾	kg	12,958	14,496	16,242	18,162	18,500
Yield ⁽⁴⁾	g/t	0.65	0.62	0.73	0.78	0.83
Gold produced	000 oz	321	353	428	468	541
Total gold produced	000 oz	4,599	4,982	5,477	5,635	6,166
– Southern Africa		1,862	2,167	2,408	2,640	2,757
– Continental Africa		1,520	1,562	1,575	1,693	2,067
– Australasia		401	433	600	465	455
– North America		218	258	282	283	330
– South America		598	562	612	554	557
Average price received ⁽⁵⁾	$/oz sold	751	485	629	577	439
Total cash costs ⁽⁶⁾	$/oz produced	514	444	357	308	281
Total production costs ⁽⁶⁾	$/oz produced	646	567	476	414	374
Capital expenditure	$m	1,027	1,201	1,059	817	722
Monthly average number of employees		63,364	62,895	61,522	61,453	63,993
LTIFR		6.57	7.32	8.24	7.70	6.77
FIFR		0.10	0.09	0.21	0.22	0.14

Definitions

⁽¹⁾ Stripping ratio = (total tonnes mined – ore tonnes mined)/ore tonnes mined.

⁽²⁾ Tonnes placed onto leach pad.

⁽³⁾ Recoverable gold placed onto leach pad inventory.

⁽⁴⁾ Recoverable gold placed/tonnes placed.

Comments

⁽⁵⁾ Average gold price received negatively impacted by the reduction of the hedge book in 2008 and 2009.

⁽⁶⁾ Unit cost increases have been driven primarily by lower production and input cost inflation.

ANGLOGOLD ASHANTI Annual Financial Statements 2009