|Fixed asset investments||42c||12,925||12,883|
|Amounts due from subsidiaries||1,305||208|
|Prepayments and other debtors||138||114|
|Cash at bank and in hand||2||–|
|Creditors due within one year|
|Cash held on behalf of subsidiaries||(59)||(41)|
|Amounts owed to subsidiaries||(215)||(596)|
|Net current assets/(liabilities)||1,163||(319)|
|Total assets less current liabilities||14,088||12,564|
|Capital and reserves|
|Called-up share capital||42b||738||738|
|Share premium account||42b||2,713||2,713|
|Capital redemption reserve||42b||115||115|
|Share-based payment reserve||42b||22||22|
|Profit and loss account||42b||8,545||7,021|
|Total shareholders' funds (equity)||14,088||12,564|
The financial statements were approved by the Board of directors on 19 February 2009.
|US$ million||Called-up share capital||Share premium account||Capital redemption reserve||Other reserves(1)||Share-based payment reserve||Profit
and loss account(2)
|Balance at 1 January 2007||771||2,713||82||1,955||15||4,075||9,611|
|Profit for the financial year||–||–||–||–||–||11,404||11,404|
|Issue of treasury shares under employee share schemes||–||–||–||–||–||143||143|
|Capital contribution to group undertakings||–||–||–||–||–||14||14|
|Cancellation of treasury shares||(33)||–||33||–||–||–||–|
|Transfer between share-based payment reserve and profit and loss account||–||–||–||–||(4)||4||–|
|Dividend in specie relating to Mondi demerger||–||–||–||–||–||(5,044)||(5,044)|
|Balance at 1 January 2008||738||2,713||115||1,955||22||7,021||12,564|
|Profit for the financial year||–||–||–||–||–||2,936||2,936|
|Issue of treasury shares under employee share schemes||–||–||–||–||–||41||41|
|Capital contribution to group undertakings||–||–||–||–||–||20||20|
|Transfer between share-based payment reserve and profit and loss account||–||–||–||–||(12)||12||–|
|Balance at 31 December 2008||738||2,713||115||1,955||22||8,545||14,088|
The audit fee in respect of the parent company was $10,000 (2007: $14,000). Fees payable to Deloitte for non-audit services to the Company are not required to be disclosed because they are included within the consolidated disclosure in note 4.
|Investments in subsidiaries|
|At 1 January||12,891||12,883|
|Disposals and demerger||–||(5,099)|
|At 31 December||12,933||12,891|
|Provisions for impairment|
|At 1 January and 31 December||(8)||(8)|
|Net book value|
|At 31 December||12,925||12,883|
The Anglo American plc (the Company) balance sheet and related notes have been prepared in accordance with United Kingdom Generally Accepted Accounting Principles (UK GAAP) and in accordance with UK company law. The financial information has been prepared on a historical cost basis as modified by the revaluation of certain financial instruments.
A summary of the principal accounting policies is set out below.
The preparation of financial statements in accordance with UK GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Although these estimates are based on management's best knowledge of the amount, event or actions, following implementation of these standards, actual results may differ from those estimated.
As permitted by section 230 of the Companies Act 1985, the profit and loss account of the Company is not presented as part of these financial statements. The profit after tax for the year of the Company amounted to $2,936 million (2007: $11,404 million).
Deferred tax is provided in full on all timing differences that result in an obligation at the balance sheet date to pay more tax, or a right to pay less tax, at a future date, subject to the recoverability of deferred tax assets. Deferred tax assets and liabilities are not discounted.
The Company has applied the requirements of FRS 20 Share-based Payment. In accordance with the transitional provisions, FRS 20 has been applied to all grants of equity instruments after 7 November 2002 that had not vested as at 1 January 2005.
The Company makes equity settled share-based payments to the directors, which are measured at fair value at the date of grant and expensed on a straight line basis over the vesting period, based on the Company's estimate of shares that will eventually vest. For those share schemes with market vesting conditions, the fair value is determined using the Monte Carlo method at the grant date. The fair value of share options issued with non-market vesting conditions has been calculated using the Black Scholes model. For all other share awards, the fair value is determined by reference to the market value of the share at the date of grant. For all share schemes with non-market related vesting conditions, the likelihood of vesting has been taken into account when determining the associated charge. Vesting assumptions are reviewed during each reporting period to ensure they reflect current expectations.
The Company also makes equity settled share-based payments to certain employees of certain subsidiary undertakings. Equity settled share-based payments that are made to employees of the Company's subsidiaries are treated as increases in equity over the vesting period of the award, with a corresponding increase in the Company's investments in subsidiaries, based on an estimate of the number of shares that will eventually vest.
Any payments received from subsidiaries are applied to reduce the related increases in investments in subsidiaries.
Accounting for share-based payments is the same as under IFRS 2 and details on the schemes and option pricing models relevant to the charge included in the Company financial statements are set out in note 28 to the consolidated financial statements of the Group for the year ended 31 December 2008.
Investments represent equity holdings in subsidiaries, joint ventures and associates and are held at cost less provision for impairment.