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BUSINESS MODEL
AND STRATEGIC
OBJECTIVES
LEADERSHIP
GOVERNANCE
OPERATING
PERFORMANCE
SHAREHOLDERS’
INFORMATION AND
ADMINISTRATION
FINANCIAL
PERFORMANCE
BLUE LABEL INTEGRATED ANNUAL REPORT 2014
171
NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS
CONTINUED
For the year ended 31 May 2014
2014
R’000
2013
R’000
11.
INVENTORIES
Finished goods – airtime and related products
1 306 206
1 858 511
1 306 206
1 858 511
Inventory impairments of R0.4 million (2013: R1.5 million) have been
charged to the statement of comprehensive income and are included
in other expenses.
Inventories with a cost of R18.1 billion (2013: R17.7 billion) were sold
during the year and have been charged to the statement of
comprehensive income and are included in changes of inventories of
finished goods.
A general notarial bond is held by Investec Bank Limited over airtime up
to R900 million (2013: R900 million).
12.
CASH AND CASH EQUIVALENTS
Cash at bank
1 184 064
941 216
Cash on hand
67
66
1 184 131
941 282
Guarantees to the value of R104 million (2013: R660 million) are issued by the Group’s bankers in favour of
suppliers, on behalf of the Group.
Included in this balance is restricted cash of R9.8 million (2013: R5.1 million).