1. Report back to - Trade and Industry Portfolio Committee Presented by:
Gert Gouws
Chief Financial Officer
Industrial Development Corporation of South Africa Ltd

2. Contents Vision, Mission and Core Strategies Organisational Structure
Key Focus Areas
Annual Highlights and Performance
Financial Aspects
Prospects for the Future

3. Vision ...
“To be the primary driving force of commercially sustainable industrial development and innovation to the benefit of South and southern Africa”

4. Mission ...
Contribute to the generation of balanced, sustainable economic growth in southern Africa
Economically empower the southern African population
Promote entrepreneurship through the building of competitive industries and enterprises based on sound business principles

5. Core Strategies ... 4
Providing risk capital to widest range of industrial projects
Maintaining its financial independence
internal profitability
divestments from mature assets
borrowings
Identifying and supporting opportunities not yet addressed by the market
Establishing local and global involvement & partnerships in projects that are rooted in or benefit SA and SADC
Building upon and investing in human capital in ways that systematically and increasingly reflect the diversity of SA’s society

6. IDC’s Operational Structure ...
15 strategic business units (SBUs), each focussed on specific economic sectors
CEO / President
Khaya Ngqula
Industrial Sectors
Andile Reve
Projects
Jaco Kriek
Service
Sectors
Raisibe Morathi
Professional
Services
Geoffrey Qhena
Finance and Funding
Gert Gouws
HR & Corporate Support Services
Lesé Matlhape
21 departments are tasked with providing the necessary operational services to the SBUs
Marketing & Corporate Affairs
Neo Sowazi

7. IDC’s Focus Areas ... Empowering of emerging entrepreneurs
Support manufacturing, tourism development, agro-industries and small-scale mining
New initiatives:
Development funding
Public & private partnerships
Energy sectors
Continue with the establishment of internationally competitive, large, resource-based beneficiation projects and downstream value-added industries
Regional (African) development

8. The IDC as a Regional Player …
By acting as a catalyst for
investments in productive capacity
By identifying sound investment opportunities
By assisting in the financing of exports of South African capital goods & services
By providing consulting services

9. Highlights for 2001…
515 approvals with a total value of R9,3 billion (265 and R3,6 billion for July to December)
Strengthening of IDC’s Treasury function through the appointment of a Corporate Treasurer
Conclusion of an agreement on the restructuring of ISCOR and the sale of Saldanha Steel to ISCOR
IDC’s portfolio outside South Africa increased to 47 projects in 16 countries from 30 in 9 countries at the beginning of the period
Establishment of a Development Funding Department with a €59 million Risk Capital Facility from the EU
Finalisation of the IDC mandate and IDC Act amendments
Significant progress with the implementation of a new IT system to support the growth of IDC business

10. Performance: Approvals by SBU …
Net after cancellations

11. Performance: Development Impact …
Investment facilitated during 2001:
Assisted in the creation of new job opportunities ( for July to December)
Generated R10,5 billion of additional export earnings (R2,5 billion for July to December)
Finance to empowerment companies represented 33% of the total number of approvals

12. Performance: Empowerment Financing…
Credit facilities for
delivery on government
contracts
Wholesale
finance
Warehousing of
shares
Take-overs and
acquisitions
Loan finance

13. Performance: SME Financing …

14. Performance: Regional Development …
47 projects in 16 countries
plus...
19 export finance
applications approved or
under consideration
equals ...
Almost R7.6 billion in African approvals since 1998
Togo
Spices
Nigeria
Telecoms
DRC
Copper & Cobalt
Uganda
Hydropower
Kenya
Railway
Tanzania
Tanzanite
Bags
Pharmaceuticals
Sisal
Moringa
Health resort
Ghana
Bauxite and Alumina
Shopping mall
Soft drinks
Angola
Hotel (x2)
Port expansion
Dry docks
Malawi
Tea
Hotel
Shopping mall
Electricity
Zambia
Copper (x2)
Horti and floriculture
Hotel
Timber
Roses
Telecomms
Mining equipment
Clothing
Madagascar
Prawns
Mauritius
Sugar and power
Tourism resort
Namibia
Table grapes
Tantalite
Sepiolite
Bags
Diamonds
Mozambique
Aluminium (x2)
Titanium
Cotton
Sesame
Sugar
Hotel
Brewery
Timber
Pallets
Prawns
Zimbabwe
Platinum
Botswana
GSM pay phones
Hydroponic farming
Fencing
Parkade
Swaziland
Wattle
Distillery
Leather tanning
Roses
Frozen foods
Telecoms
Lesotho
Diamonds (x2)

15. Abridged Consolidated Income Statements for the 6 months Ended 31 December (R’mil)
Six months to December
2001
2000
% Change
Year
2001
Revenue
Net operating income
Net capital gains
Income before equity accounted
investments
1 723
545
2 576
3 121
(384)
(2 583)
154
110 44
1 771
343
387
730
(322) -
408 47
361   3 59
566
328 19
3 679
787
1 772
2 559
(838)
(1 900)
(179) 79
(258)
Equity accounted investments
- Losses from ordinary operations
- Exceptional impairment losses
Net income/(loss) from operations
Taxation
Net attributable income/(loss)

16. Abridged Consolidated Balance Sheets as at 31 December (R’mil)
2001
2000
% Change
30 June
2001
Assets
Cash and cash equivalents
Loans, advances and investments
Fixed assets
Other assets
Equity and Liabilities
Capital and reserves
Long term loans
Other liabilities
Debt/Equity ratio
1 680
28 144
1 621
1 795
33 240
24 390
7 371
1 479
30%
1 139
21 715
1 426
1 267
25 547
18 470
5 713
1 364
31%  47 30 14 42 32 29 8
1 740
23 382
1 422
1 421
27 965
20 896
5 713
1 356
27%

17. Analysis of Income/Loss

18. Strengthened Financial Base
Excl. fair value revaluation
Fair value revaluation
Debt/Equity Ratio
Capital and reserves

19. Prospects SME’s role in the economy expected to increase
Regional development focus
Public & Private Partnership Business Unit facilitation of infrastructural development