| 2008 | 2009 | Figures in million | 2009 | 2008 |
|---|---|---|---|---|
| SA Rands | US Dollars | |||
| Goodwill | ||||
| Cost | ||||
| 3,965 | 3,461 | Balance at beginning of year | 366 | 582 |
| (1,356) | – | Transferred to assets held for sale (1) | – | (148) |
| 852 | (432) | Translation | 42 | (68) |
| 3,461 | 3,029 | Balance at end of year | 408 | 366 |
| Accumulated amortisation and impairment losses | ||||
| 1,258 | 2,253 | Balance at beginning of year | 238 | 184 |
| (358) | – | Transferred to assets held for sale (1) | – | (43) |
| 1,080 | – | Impairment of goodwill (notes 6 and 14) (2) | – | 109 |
| 273 | (402) | Translation | 11 | (12) |
| 2,253 | 1,851 | Balance at end of year | 249 | 238 |
| 1,208 | 1,178 | Net book value | 159 | 128 |
| Net carrying amount allocated to each of the cash generating units: | ||||
| 998 | 1,013 | Sunrise Dam | 136 | 105 |
| 135 | 106 | AngloGold Ashanti Brasil Mineração | 15 | 15 |
| 75 | 59 | Serra Grande | 8 | 8 |
| 1,208 | 1,178 | 159 | 128 | |
| Real pre-tax discount rates applied in impairment calculations on cash generating units (CGUs) for which the carrying amount of goodwill is significant are as follows: | ||||
| Sunrise Dam (3) | 9.9% | 11.0% | ||
| (1) Goodwill allocated to Boddington joint venture of
$105m, R998m was reclassified to assets held for
sale during 2008. (2) Goodwill has been allocated to its respective CGUs where it is tested for impairment as part of the CGU (note 16). The group reviews and tests the carrying value of goodwill on an annual basis for impairment. Following the impairment review, goodwill to the value of $109m, R1,080m at Geita Gold Mining Limited was impaired utilising a real pre-tax discount rate of 11.5% during 2008. (3) The discount rates for 2009 were calculated on a basis consistent with the 2008 discount rates. | ||||
| Royalty, tax rate concession and other | ||||
| Cost | ||||
| 335 | 472 | Balance at beginning of year | 49 | 49 |
| 6 | – | Additions | – | – |
| 131 | (101) | Translation | – | – |
| 472 | 371 | Balance at end of year | 49 | 49 |
| Accumulated amortisation and impairment losses | ||||
| 183 | 277 | Balance at beginning of year | 29 | 27 |
| 21 | 18 | Amortisation (notes 4 and 33) | 2 | 2 |
| 73 | (62) | Translation | – | – |
| 277 | 233 | Balance at end of year | 31 | 29 |
| 195 | 138 | Net book value | 18 | 20 |
| 1,403 | 1,316 | Total intangible assets | 177 | 148 |
| The government of Ghana agreed to a concession on the royalty payments by maintaining a rate of 3% for 15 years from 2004. | ||||
| The tax rate concession was granted at a rate of 30% for the Ashanti business combination in 2004. During 2005, the corporate tax rate in Ghana decreased to 25% and the tax rate concession, which expires in 2019, was fully impaired. | ||||
(1) Goodwill allocated to Boddington joint venture of $105m, R998m was reclassified to assets held for sale during 2008.
(2) Goodwill has been allocated to its respective CGUs where it is tested for impairment as part of the CGU (note 16). The group reviews and tests the carrying value of goodwill on an annual basis for impairment. Following the impairment review, goodwill to the value of $109m, R1,080m at Geita Gold Mining Limited was impaired utilising a real pre-tax discount rate of 11.5% during 2008.
(3) The discount rates for 2009 were calculated on a basis consistent with the 2008 discount rates.