1. Basis of preparation
The consolidated financial statements present the financial record
for the years ended
31 March 2003 and 31 March 2002.
The subsidiary and associated undertakings in the group operate in
the local currency of the country in which they are based. From a
functional perspective, the group regards these operations as being
US dollar-based as the transactions of these entities are, insofar
as is possible, evaluated in US dollars. In management accounting
terms all companies report in
US dollars.
The directors of the company regard the US dollar as the functional
currency of the group, being the most representative currency of its
operations. Therefore the consolidated financial statements are presented
in US dollars. The exchange rates of rand to US dollar used in preparing
the consolidated financial statements were as follows:
Weighted
Closing
average rate
rate
Year ended 31 March 2002
9.71
11.40
Year ended 31 March 2003
9.50
7.91
The weighted average exchange rates have been calculated based on
an average of the exchange rates during the relevant year and weighted
according to the turnover of the group's businesses.
