Anglo American plc notification: Kumba Iron Ore Limited year end results 2011
09 February, 2012
Anglo American wishes to draw attention to Kumba Iron Ore Limited’s announcement of its results for the year ended 31 December 2011. Kumba Iron Ore Limited reported headline earnings of ZAR17,048 million.
Anglo American will report underlying earnings in respect of Kumba Iron Ore Limited of US$1,462 million for the year ended 31 December 2011, which takes into account certain adjustments.
| $m | 2011 | 2010 |
|---|---|---|
| IFRS headline earnings(1) | 2,366 | 1,964 |
| Exploration | 4 | 9 |
| Other adjustments | 3 | 1 |
| 2,373 | 1,974 | |
| Non-controlling interests | (826) | (710) |
| Elimination of intercompany interest | (27) | 2 |
| Depreciation of assets fair valued on acquisition (net of tax) | (9) | (9) |
| Corporate cost allocation | (49) | (47) |
| Contribution to Anglo American plc underlying earnings | 1,462 | 1,210 |
(1) The US$ equivalent of the rand IFRS headline earnings published by Kumba Iron Ore Limited is calculated by translating the movement each month at the average exchange rate for the month.
Anglo American will report results for the year ended 31 December 2011 on 17 February 2012. The above figures are unaudited.
Underlying earnings
Underlying earnings is net profit attributable to equity shareholders, adjusted to remove special items and remeasurements, and any related tax and non-controlling interests. Special items are those items of financial performance that the Group believes should be excluded from underlying financial performance. Operating special items include impairment charges and reversals and other exceptional items, including restructuring costs. Non-operating special items include profits and losses on disposals of investments and businesses as well as certain adjustments relating to business combinations. Remeasurements include adjustments to ensure that the unrealised gains or losses on non-hedge derivative instruments are recorded in underlying earnings in the same period as the underlying transaction against which these instruments provide an economic, but not formally designated, hedge as well as foreign exchange impact arising in US dollar functional currency entities on deferred tax balances.