220 / 248
For the year ended 31 May 2015
218
BLUE LABEL INTEGRATED ANNUAL REPORT 2015
NOTES TO THE COMPANY ANNUAL FINANCIAL STATEMENTS
CONTINUED
2014
R’000
14.
EMPLOYEE COMPENSATION AND BENEFIT EXPENSE
Salaries and wages
48 416
44 878
Bonuses
24 753
3 583
Equity compensation benefit
11 274
4 972
Other
743
2 269
85 186
55 702
The average number of employees for the year is 34 (2014: 36).
15.
OPERATING PROFIT/(LOSS)
The following items have been charged/(credited), in arriving at
operating profit/(loss):
Acquisition-related costs
1 971
2 901
Audit fees – other
128
867
Audit fees – services as auditors
3 962
5 217
Consulting fees
9 909
7 147
Dividend received**
—
(10 107)
Foreign exchange profit**
(10 559)
(2 908)
Impairment of loans and investments*
23 484
30 136
Reversal of impairment of loans and investments***
(53 927)
—
Insurance
890
1 041
Legal fees
914
623
Management fees received**
(108 272)
(79 944)
Operating lease rentals – premises
(1 298)
(1 826)
Rental paid
12 358
12 358
Rental recovery
(13 656)
(14 184)
Overseas travel
2 266
1 671
Profit on disposal of property, plant and equipment**
(1)
(23)
Loss on disposal of subsidiary
334
—
* An impairment loss of R23.5 million (2014: R30.1 million) was recognised in the current year relating to the
impairment of related party loans in line with our stated accounting policies (refer to note 21). The related party
loans have been fully impaired due to the continuing trading losses in these entities which are not considered to be
immediately recoverable.
** Included in other income.
*** The reversal of impairment relates to the loan to Gold Label Investments Proprietary Limited (Gold Label). The
reversal arose due to Gold Label repaying a portion of the loan previously impaired.
2015
R’000