Notes to the Financial Statements
for the year ended 31 December 2004
2 Foreign Currencies
The information contained in these financial statements is expressed in both Sterling and South African Rand. This is in order both to meet the legal requirements of the UK Companies Act 1985 and to provide the users of the accounts in South Africa with illustrative information.
The principal exchange rates used to translate the operating results, assets and liabilities of key foreign business segments to Sterling are:
| Rand | US$ | ||||
| 2004 | 2003 | 2004 | 2003 | ||
Profit and loss account (average rate for the year) |
11.7986 | 12.3487 | 1.8327 | 1.6354 | |
Balance sheet (closing rate, at 31 December) |
10.8482 | 11.9367 | 1.9158 | 1.7833 |
Foreign currency transactions are translated at average exchange rates for the year. Foreign currency assets and liabilities are translated at year-end exchange rates. Exchange differences arising from the translation of net investments in foreign subsidiary undertakings are taken to the consolidated statement of total recognised gains and losses. Exchange differences arising on the translation of foreign integrated operations are taken through the non-technical profit and loss account. Exchange differences on trading activities are included in the profit and loss account.
