1. Presented by Cathy Motsisi Chief Financial Officer
Monthly Financial Performance report
31 December 2011
Presented by Cathy Motsisi Chief Financial Officer

2. Summary: Expenditure per Economic Classification – (Linear Benchmark 75%)
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Compensation of employees
76%
68%
60%
Goods and services
67%
78%
54%
Office Accommodation
62%
46%
Transfers and subsidies
74%
65%
Infrastructure
45%
35%
34%
Machinery and equipment
99 623
50 328
51%
41%
38%
Of which capitalised goods and services is:
32 266
24 066
75%
87%
110%
Total
55%
7% lag from the benchmark of 75%

3. Financial Performance per Programme – (Linear Benchmark 75%)
Adjusted budget allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Prog 1. Administration
74%
70%
60%
Prog 2. Immovable Asset
Management
71%
68%
57%
Prog 3. Expanded Public
Works Programme
55%
53%
45%
Prog 4. Property and
Construction Industry
Policy Regulation
34 900
27 791
80%
76%
Prog 5. Auxiliary and
Associated Services
31 580
25 201
75%
84%
Total
65%

4. Expenditure per economic classification- Programme One
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Compensation of employees
82%
77%
62%
Goods and services
99%
89%
88%
Property Management
60%
46%
Transfers and subsidies
594
623
105%
91%
36%
Machinery and equipment
26 092
20 008
167%
106%
Of which capitalised goods and services is:
13 435
9 478
71%
195%
143%
Total
74%
70%

5. Expenditure per economic classification- Programme Two
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Compensation of employees
76%
67%
62%
Goods and services
58%
72%
42%
Transfers and subsidies
86%
70%
Infrastructure
45%
35%
34%
Machinery and equipment
71 423
27 972
39%
25%
28%
Of which capitalised goods and services is:
18 097
13 926
77%
100%
Total
71%
68%
57%

6. Expenditure per economic classification- Programme Three
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Compensation of employees
99 110
67 843
68%
60%
43%
Goods and services
87 679
51%
74%
40%
Transfers and subsidies
54%
49%
45%
Machinery and equipment
1 984
2 270
114%
92%
83%
Of which capitalised goods and services is:
638
625
98%
84%
53%
Total
56%

7. Expenditure per economic classification- Programme Four
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Compensation of employees
12 005
6 420
53%
39%
41%
Goods and services
22 771
21 293
94%
88%
Transfers and subsidies -
Machinery and equipment
124 78
63%
54%
68%
Of which capitalised goods and services is: 96 30
31%
27%
47%
Total
34 900
27 791
80%
71%
62%
Cost drivers:
Payment to Agrement SA = R9,8 mil
Border Fence = R 6 mil
Independent R1,1 mil ( Construction Policy)
SAIA R1mil

8. Expenditure per economic classification- Programme Five
Budget Allocation
2011/12
Exp
31 Dec 2011
% Spent as at 31 Dec 2011
% Spent as at 30 Nov 2011
% Spent at 31 Dec
2010
R'000
Goods and services
12 182
11 967
98%
125%
Transfers and subsidies
19 398
13 234
68%
62%
79%
Total
31 580
24 923
76%
75%
84%

9. Budget and Expenditure per Branches and Regional offices

10. Analysis of the Current Budget per Branch - 31 December 2011
Branches
Compensation of Employees
Goods & Services
Budget
R’000
Exp %
Spent
% Spent
Minister and Support
8 558
6 242
73%
10 000
6 037
60%
Deputy. Minister and Support
5 369
3 771
70%
6 100
4 262
Asset Management
25 707
22 072
86%
5 250
4 534
EPWP
63 818
33 776
53%
75 484
49%
Projects
65 106
46 842
72%
11 030
9 442
Policy Regulation
9 162
6 353
69%
8 970
5 808
65%
Inner City
6 609
5 066
77%
1 100
793
KAM and Prestige
20 393
15 217
75%
2 400
1 531
64%
DG Direct Reports
36 106
28 561
79%
10 840
7 114
66%
COO and Direct Reports
8 069
7 064
88%
1 830
1 439
Corporate Services
72 603
66 979
92%
76 365
88 965
116%
Regions
102%
Finance and SCM
52 270
42 122
81%
23 590
23 424
99%

11. Analysis of the Regions Budget per Branch - 31 December 2011
Branches
Compensation of Employees
Goods & Services
Budget
R’000
Exp %
Spent
% Spent
Bloemfontein
76 894
54 618
71%
11 949
7,199
60%
Cape Town
75%
24 550
28 184
115%
Durban
91 013
78%
18 260
15 204
83%
Johannesburg
74 076
57 964
7 405
5 209
70%
Kimberley
41 982
33 642
80%
8 550
7 832
92%
Mmabatho
46 607
36 833
79%
8 900
7 819
88%
Nelspriut
41 716
31 425
8 380
6 815
81%
Polokwane
55 512
42 711
77%
8 600
7 300
85%
Port Elizabeth
74 424
54 306
12 400
9 293
Pretoria
17 100
33 181
194%
Umthatha
34 965
26 295
6 578
7 123
108%
TOTAL
102%

12. Expenditure Analysis- Earmarked Funds 31 December 2011
Function
Budget
R’000
Expenditure
30 Dec 2011
% Spent
30 Dec 2011
30 Dec
2010
Office Accommodation
62%
35%
DPW Infrastructure
45%
34%
CIDB
65 959
100%
50%
CBE
27 059
Agrement Board
9 431
IDT (Sustainability) 0%
Boundary Fencing
7 000
6 091
87%
90%
Aug of PMTE
Property Rates – Conditional Grants
79%
54%
EPWP Incentives to Provinces
56%
22%
EPWP Incentives to Municipalities
36%
17%
IDT Intermediaries
9 180

13. Expenditure Analysis- Earmarked Funds Cont.
Function
Budget
R’000
Expenditure
31 Oct 2011
% Spent
31 Nov 2011
31 Nov
2010
EPWP – Non State Sector
100%
52%
EPWP – Social Sector (Province)
80%
CETA (HR)
2 482
278
11 % 0%
Parliamentary Villages
7 401
100 %
Energy Efficiency (PPM)
70 000
52 000
74%
Audit fee
30 000
33 110
110%
82%
Compensation for Losses
2 062 -
State Function
10 119
11 967
118 %
173%
Common Wealth War Graves
18 515
12 956
70%
79%
Distress relief 1
Loskop Settlement
Updating of Asset Register
Total
66%
43%

14. Notes to the expenditure
Compensation of employees Expenditure under compensation of employees is above the guideline by 1%. The major contributing factors are the new posts created, performance bonus payments and overtime. New posts created for the following units: - Information System - Supply Chain Management (Movable Assets) - Finance (Compliance and Trading Entity) - Security Management and Human Resource

15. Notes to the expenditure
Goods and services
Expenditure for goods and services for month ended November 2011 is R468 million, and expenditure is equivalent to 78% of the total allocation of R 604 million.
Payment for energy efficiency has been processed, and expenditure is classified under advance since the work is still in progress. Once report received expenditure will be moved to voted fund.
Office Accommodation expenditure for the end of November is R242 million and expenditure is equivalent to 60 % of the total allocation.

16. Notes to the expenditure
Goods and services
In comparison with expenditure for the expenditure for the same period last year, the following were identified as cost pushing items:
Items
2011/12
R`000
2010/11
% Change
Audit fees
33 110
26 396
25%
Telephone
15 327
14 172 8%
Events (state functions)
29 735
20 875
42%
Professional staff
26 178
14 118
85%
Fuel for fleet cars and generator
22 355
13 364
67%
Accommodation (including international)
22 304
10 764
107%
Air transport (including international)
23 017
15 575
48%
Kilometers own transport including GG vehicles
24 560
18 966
29%
46%

17. Notes to the expenditure on Goods & Services
Telephone Services
Telephone expenditure for the month ended December is 8% higher in comparison to the same period last financial year.
The following offices have contributed significantly to the high expenditure:
- Head Office R million
- Pretoria Region R million
- Mmabatho Region R million
- Cape Town Region R million
- Durban Region R million

18. Notes to the expenditure on Goods & Services cont.
State Functions
Expenditure of R 29.7 million relates to both state events and state funeral.
Professional Staff
Expenditure for Professional staff amounting to R million represents an increase of 85% for the same time last year. The cost drivers are Information Systems = R 15.3 million and Construction Policy for Agrement SA – R9 million.
Fuel & Fleet Services %
Expenditure for fuel for fleet services of R million represents an increase of 67% for the same time last financial year. The following offices are showing high spending:
- Head Office R 1.902million
- Cape Town R million
- Pretoria Region R million
- Mafikeng Region R million
- Johannesburg R million
- Durban Region R million
- Umthatha R million

19. Notes to the expenditure on Goods & Services cont.
Travel & Accommodation
Expenditure for accommodation is 107% higher in comparison to the same time last financial year. Head office accounts for 41% of the total expenditure of R million.
The following units/branches within head office have expenditure exceeding a million:
Expanded Public Works Programme R million
Projects R million
Corporate Services R million
Ministry R million
Expenditure for air transport is higher by 48% in comparison to the same time last financial year. The following units in Head office accounts for 65% of the total expenditure of R million:
Expanded Public Works Programme R million
Corporate Services R million
Projects R million
DG and COO including direct reports R million

20. Debtors and Revenue Management

21. BAS Debtors December 2011

22. Staff & Suppliers Debtors Age Analysis
Type of Debt
debtors
0-3
Mths
3-6 Mths
6-12 Mths
1-3yrs
>3Yrs
TOTAL
Breach of contract Bursary holders 83
91,557
364,220
422,882
269,066
1,147,724
Employees 52
4,074
20,457
36,403
94,481
38,006
193,421
Ex- Employees
438
3,513
114,435
555,487
1,401,409
2,074,844
GG Accidents
State Guarantees
Telephone 6
208
607
117
932
Suppliers 38
833,365
5,100
830,649
5,852,521
7,521,635
617
4,282
949,499
520,275
1,903,499
7,561,001
10,938,556
87% of the debt is older than 3 years = doubtful debts

23. Staff & Suppliers Debtors Age Analysis Per Region
Regions
debtors
0-3
Mths
3-6 Mths
6-12 Mths
1-3yrs
>3Yrs
TOTAL
Head Office
178
4,282
941,585
473,904
1,480,095
734,456
3,634,322
Durban
101
247
108,018
405,058
513,322
Polokwane 44
6,197
11,133
17,169
34,159
68,658
Umtata 32
88,324
122,566
210,889
Port Elizabeth 4
10,191
Cape Town
201
1,717
9,484
114,683
5,403,420
5,529,259
Bloemfontein 17
23,008
31,059
22,532
76,599
Kimberley 6
2,498
750
780,785
784,033
Joburg
2,338
9,191
11,528
Pretoria 25
49,196
48,835
98,031
Mmabatho 3
1,723
949,499
520,275
1,903,499
7,561,001
10,938,556

24. Debtors Analysis Other Debts Head Office
South African Institute of Architects (SAIA) – R1,6 million
SAIA won the bid to host the UIA World Congress in Durban in 2014 and undertook to pay UIA the required amount of € in seven installments. SAIA requested DPW to provide the required guarantee on their behalf.
The amount of R1,5m was paid to UIA on behalf of SAIA. In terms of the MOU SAIA undertook to repay DPW plus interest any amount paid on their behalf for the guarantee called upon.
DPW may be required to make other payments in terms of the guarantee.
This account will be outstanding till 2014 after the conference where SAIA is expecting to generate revenue. No interest is being charged on this account at this stage. Finance wrote a letter as part of the process to inform debtors about outstanding balance.

25. RENTAL DEBTORS

26. Ministers/DMs/MPs Rental Debtors Age Analysis 31 December 2011
Current
30 days
60 days
90 days+
Balance
Credit balance
MPs
44,844.99
3,061.27
2,816.07
23,183.89
73,905.22
2,081.91
Former MP’s
291,111.48
0.00
Ministers/ Deputy Ministers
24,965.52
18,896.63
14,580.87
95,768.75
154,211.77
19,016.52
Former Ministers/
Deputy Ministers
950.85
170,910.76
171,861.61
TOTAL
69,809.51
21,957.90
18,347.79
691,090.08
21,098.43

27. I Thank You