| Restated 2010 |
2011 | |
|---|---|---|
| Rm | Rm | |
| 9.1 Discontinued operations | ||
| Telkom Media (Proprietary) Limited | ||
| On 4 May 2009 Telkom sold its 75% shareholding in Telkom Media to Shenzhen Media South Africa (Proprietary) Limited for a nominal amount. The results and cash flows of the subsidiary are disclosed as a discontinued operation in accordance with IFRS. | ||
| Analysis of the results of discontinued operations: | ||
| Revenue* | 2 | - |
| Expenses* | 104 | - |
| Profit before taxation of discontinued operations | 106 | - |
| Taxation | - | - |
| Profit after taxation of discontinued operations | 106 | - |
| * Revenue comprises operating revenue, other income and investment income. Expenses comprises operating expenses and finance charges and reversal of onerous lease in Telkom Media in 2010. | ||
| Operating results for 2010 were all non-cash items, thus there were no cash flows for the one month in 2010. | ||
| 9.2 Disposal groups held for sale | ||
| CDMA business of Multi-Links Telecommunications Limited | ||
| On 26 November 2010 the Telkom Board announced its decision to exit the CDMA business of Multi-Links Telecommunications Limited ('Multi-Links'). On 31 March 2011, Telkom and Visafone Communications Limited ('Visafone') entered into a legally binding agreement regarding the sale of the Multi-Links' CDMA business through a number of transaction steps. The sale is conditional on inter-alia regulatory approvals and renegotiation of the Helios contract. Upon the successful closing of the transaction, Telkom will retain Multi-Links' fibre network and fixed line operations in Nigeria. | ||
| Analysis of the results of discontinued operations: | ||
| Revenue* | 1,832 | 1,033 |
| Expenses* | (4,807) | (1,691) |
| Loss before taxation of discontinued operations | (2,975) | (658) |
| Taxation | - | - |
| Loss after taxation of discontinued operations | (2,975) | (658) |
| Pre-tax loss recognised on the re-measurement of assets of disposal group to fair value less cost to sell | - | (215) |
| Taxation | - | - |
| After-tax loss recognised on the re-measurement of assets of disposal group to fair value less cost to sell | (2,975) | (873) |
| Loss for the year from discontinued operations | (2,975) | (873) |
| * Revenue comprises operating revenue, other income and investment income. Expenses comprises operating expenses, finance charges and impairment of R139 million (2010: R1,897 million). | ||
| The major classes of assets and liabilities of the business classified as a disposal group: | ||
| Assets | 89 | |
| Property, plant and equipment | 29 | |
| Inventories | 13 | |
| Trade and other receivables | 23 | |
| Cash and cash equivalents | 14 | |
| Deferred expenses | 10 | |
| Liabilities | 452 | |
| Interest-bearing debt | 7 | |
| Non-current portion of provisions | 5 | |
| Current portion of provisions | 2 | |
| Trade and other payables | 367 | |
| Current portion of deferred revenue | 18 | |
| Credit facilities utilised | 53 | |
| Reserve of disposal group held for sale | ||
| Exchange difference on translating the disposal group (included in other comprehensive income) | (1,033) | |
| The net cash flows attributable to the operating, investing and financing activities of discontinued operations: | ||
| Operating cash flows | (607) | |
| Investing cash flows | (118) | |
| Financing cash flows | 693 | |
| Total cash outflow | (32) |