| Group (R’million) |
Goodwill | Trademarks, licence agreements and other |
Customer lists |
Total | |||||||||
| 12 | Goodwill and intangible assets | ||||||||||||
| 12.1 | Movement of group goodwill and intangible assets | ||||||||||||
| 2019 | |||||||||||||
| Carrying value at the beginning of the year | |||||||||||||
| Cost | 2 568,6 | 1 756,3 | 542,3 | 4 867,2 | |||||||||
| Accumulated amortisation and impairment | (873,2) | (474,7) | (72,1) | (1 420,0) | |||||||||
| Net balance at the beginning of the year | 1 695,4 | 1 281,6 | 470,2 | 3 447,2 | |||||||||
| Current year movements – cost | |||||||||||||
| Addition of trademark | – | 2,3 | – | 2,3 | |||||||||
| Exchange rate adjustments | – | (0,5) | – | (0,5) | |||||||||
| Cost movements for the current year | – | 1,8 | – | 1,8 | |||||||||
| Current year movements – accumulated amortisation and impairment | |||||||||||||
| Amortisation | – | (8,6) | (0,6) | (9,2) | |||||||||
| Impairment (refer note 13) | (218,0) | – | – | (218,0) | |||||||||
| Accumulated amortisation and impairment movement for the current year | (218,0) | (8,6) | (0,6) | (227,2) | |||||||||
| Carrying value at the end of the year | |||||||||||||
| Cost | 2 568,6 | 1 758,1 | 542,3 | 4 869,0 | |||||||||
| Accumulated amortisation and impairment | (1 091,2) | (483,3) | (72,7) | (1 647,2) | |||||||||
| Net balance at the end of the year | 1 477,4 | 1 274,8 | 469,6 | 3 221,8 | |||||||||
| 2018 | |||||||||||||
| Carrying value at the beginning of the year | |||||||||||||
| Cost | 2 567,0 | 1 753,6 | 542,3 | 4 862,9 | |||||||||
| Accumulated amortisation and impairment | (792,8) | (401,6) | (71,5) | (1 265,9) | |||||||||
| Net balance at the beginning of the year | 1 774,2 | 1 352,0 | 470,8 | 3 597,0 | |||||||||
| Current year movements – cost | |||||||||||||
| Exchange rate adjustments | 1,6 | 2,7 | – | 4,3 | |||||||||
| Cost movements for the current year | 1,6 | 2,7 | – | 4,3 | |||||||||
| Current year movements – accumulated amortisation and impairment | |||||||||||||
| Amortisation | – | (9,2) | (0,6) | (9,8) | |||||||||
| Impairment (refer note 13) | (80,4) | (63,9) | – | (144,3) | |||||||||
| Accumulated amortisation and impairment movement for the current year | (80,4) | (73,1) | (0,6) | (154,1) | |||||||||
| Carrying value at the end of the year | |||||||||||||
| Cost | 2 568,6 | 1 756,3 | 542,3 | 4 867,2 | |||||||||
| Accumulated amortisation and impairment | (873,2) | (474,7) | (72,1) | (1 420,0) | |||||||||
| Net balance at the end of the year | 1 695,4 | 1 281,6 | 470,2 | 3 447,2 |
Trademarks comprise well-established, growing brands. The brand portfolios are considered to have indefinite useful lives and are therefore not amortised, with the exception of trademarks with a carrying value of R65,0 million (2018: R74,6 million) which are viewed with a definite useful life and thus amortised. Refer to the accounting policies for further details on amortisation. |
| Goodwill | Indefinite useful life intangible asset |
|||||||||||
| Group (R’million) |
2019 | 2018 | 2019 | 2018 | ||||||||
| 12.2 | The carrying value is allocated to cash-generating units as follows: | |||||||||||
| Exports and International | 579,7 | 791,7 | 519,1 | 519,1 | ||||||||
| Beverages | 580,5 | 580,5 | 194,6 | 194,6 | ||||||||
| Snacks and treats | – | – | 119,6 | 119,6 | ||||||||
| Groceries | 72,3 | 72,3 | 725,0 | 725,0 | ||||||||
| Value Added Meat Products | – | 6,0 | – | – | ||||||||
| Home, Personal Care and Baby (HPCB) | 244,9 | 244,9 | 121,2 | 118,9 | ||||||||
| 1 477,4 | 1 695,4 | 1 679,5 | 1 677,2 | |||||||||