[ Contents ]

Notes to the group financial statements (continued)
for the year ended 31 December 2000
   
Figures in million

	1999	2000			2000	1999
	US Dollars				SA Rands
			25	Borrowings
				Unsecured
	357	361		Syndicated loan facility	2,734	2,195
				Interest charged at libor plus 0.9% per annum. Loan is repayable
				in February 2002.
	150	150		Dresdner Gold Loan	1,136	923
				The loan has been swapped into dollars. Interest charged at libor
				plus 1% per annum. Loan is repayable in March 2001.
	-	120		Credit Agricole	910	-
				Interest charged at libor plus 0.75% per annum. Loan is repayable
				by July 2002.
	-	110		Dresdner Bank Luxembourg SA	837	-
				Interest charged at libor plus 0.6% per annum. Loan is repayable
				in November 2001.
	71	43		Loans from Anmercosa Finance Limited	325	440
				Interest charged at libor plus 2% per annum. Loan is repayable in
				half-yearly instalments terminating in May 2002.
	26	22		Syndicated loan facility	169	162
				Interest charged at Bank Bill Swap Offer Rate plus 0.45% per annum. Loan
				is repayable by September 2002.
	20	22		Loans from Anmercosa Finance Limited	164	124
				Interest charged at libor plus 1% per annum. Loan is repayable
				by May 2002.
	23	8		J.P. Morgan Gold Loan	57	142
				Interest charged at 4.72% per annum. Loan is repayable in May 2001.
	-	11		Citibank NA	83	-
				Interest charged at libor plus 1.1% per annum. Loan is repayable in
				October and November 2002.
	-	10		Bank Boston	78	-
				Interest charged at libor plus 1.475% per annum. Loan is repayable
				in instalments commencing May 2002 and terminating in July 2002.
	32	8		Unibanco	58	201
				Interest charged at libor plus 3.15% per annum. Loan is repayable
				by August 2001.
	-	6		Rolls Royce	48	-
				Interest is index linked. Loan is repayable in monthly instalments
				terminating in December 2010.
	-	5		HSBC Bamerindus	38	-
				Interest charged at libor plus 1.3% per annum. Loan is repayable in May 2003.
	6	4		Senstar Capital Corporation	33	37
				Interest charged at an average rate of 8,29% per annum. Loans are repayable
				in monthly instalments terminating in June 2006.
	-	3		Government of Mali	23	-
				Interest charged at libor plus 2% per annum. Loan is repayable in
				half-yearly instalments terminating in March 2006.
	-	3		Dresdner Bank Luxembourg SA	23	-
				Interest charged at libor plus 1.5% per annum. Loan is
				repayable in June and July 2002.
	1999	2000			2000	1999
	US Dollars				SA Rands
			25	Borrowings (continued)
				Unsecured (continued)
	-	2		Banco do Brasil	15	-
				Interest charged at libor plus 1.15% per annum. Loan is
				repayable in September 2002.
	2	1		Economic Development Corporation	9	11
				Interest charged at libor plus 0.6% per annum. Loan is
				repayable in half-yearly instalments terminating in December 2002.
	8	-		Sudamaris Gold Loan	-	51
	5	69		Local money market short-term borrowings	514	27
	700	958		Total unsecured borrowings	7,254	4,313
				Secured
	-	67		Geita - Project finance	511	-
				Dresdner Bank Luxembourg SA
				Interest charged at libor plus 1.2% per annum. Loan is repayable
				half-yearly until 2007.
	78	63		Cerro Vanguardia - Project finance	479	479
				Chase Manhattan Syndication Group
				Interest charged at libor plus 3.75% per annum. Loan is repayable
				in half-yearly instalments terminating in December 2004.
	-	34		Morila - Project finance	259	-
				NM Rothschild Syndication Group
				Interest charged at libor plus 2.75% per annum. Loan is repayable
				in half-yearly instalments terminating in December 2005.
	31	18		Sadiola - Project finance	139	191
				Semos Senior Lenders
				Interest charged at libor plus 3.5% per annum. Loan is repayable
				in half-yearly instalments terminating in May 2002.
	809	1,140		Total borrowings	8,642	4,983
	130	430		Less: Current portion of borrowings included in current liabilities	3,261	802
	679	710		Total long-term borrowings	5,381	4,181
				Amounts falling due
	130	430		Within one year	3,261	802
	203	605		Between one and two years	4,587	1,252
	476	105		Between two and five years	794	2,929
	809	1,140			8,642	4,983
				Undrawn borrowing facilities as at 31 December 2000 amount
				to R1,554 million, $205 million (1999: R540 million, $89 million).
				Morila and Geita Project Finance
				Secured by a fixed and floating charge over the project assets (note 14),
				the hedging contracts and major project contracts and a pledge over
				the shares in the project company.
				Sadiola and Cerro Vanguardia Project Finance
				Secured by a fixed and floating charge over the project assets (note 14),
				the major project contracts and a pledge over the shares in the project
				company.
	1999	2000			2000	1999
	US Dollars				SA Rands
			26	Debentures
	16	19		Balance at beginning of year	115	92
	6	2		Allocations during the year	13	34
	(2)	-		Exercised during the year	(3)	(11)
	-	(1)		Lapsed during the year	(5)	-
	(1)	(4)		Translation adjustment
	19	16		Balance at end of year (note 20)	120	115
				494,900 (1999: 487,500) unsecured variable rate compulsory convertible
				debentures issued in terms of the AngloGold Share Incentive Scheme.
				Interest on these debentures is payable annually at the official interest
				rate per the seventh schedule of the South African Income Tax Act.
				The terms and conditions of the debentures are detailed in the
				directors' report.
			27	Provisions
				Post-retirement medical funding
	170	140		Balance at beginning of year	862	999
	6	-		Through acquisition of subsidiaries (note 32)	-	36
	(3)	-		Charge to income statement (note 9)	4	(16)
	(27)	-		Less: Utilised during the year	(1)	(167)
	(6)	(22)		Translation adjustment	27	10
	140	118		Balance at end of year	892	862
				The provision for post-retirement medical funding represents the
				provision for health care benefits for employees and retired employees
				and their registered dependants.
				The post-retirement benefit costs are assessed in accordance with the
				advice of independent professionally qualified actuaries. The actuarial
				method used is the projected unit credit funding method.
				The main assumptions used in calculating the costs were an annual
				discount rate of 13.5 per cent, health care inflation of 10.5 per cent,
				normal retirement age of 63 years, and fully eligible age of 55 years.
				The last valuation was performed as at 31 December 2000.
				Environmental rehabilitation obligations
				Provision for decommissioning
	36	62		Balance at beginning of year	383	211
	25	-		Through acquisition of subsidiaries (note 32)	-	154
	3	-		Unwinding of decommissioning obligation (refer note 6)	2	18
	-	1		Prior year adjustment	4	-
	(2)	(10)		Translation adjustment	12	-
	62	53		Balance at end of year	401	383
				Provision for restoration
	67	132		Balance at beginning of year	814	396
	54	1		Through acquisition of subsidiaries (note 32)	4	331
	14	-		Charge to income statement	-	87
	(3)	(21)		Translation adjustment	37	-
	132	112		Balance at end of year	855	814
	334	283		Total provisions	2,148	2,059

	1999	2000			2000	1999
	US Dollars				SA Rands
			28	Deferred taxation
				Deferred taxation relating to temporary differences is made up
				as follows:
				Deferred taxation liabilities
	810	610		Mining assets	4,621	4,987
	14	17		Inventories	131	87
	5	8		Other	63	30
	829	635			4,815	5,104
				Deferred taxation assets
	118	82		Provisions	628	729
	711	553		Net deferred taxation	4,187	4,375
				The movement on the deferred tax balance is as follows:
	733	711		Balance at beginning of year	4,375	4,311
	73	-		Through acquisition of subsidiary (note 32)	-	449
	-	(28)		Fair value adjustment (note 33)	(173)	-
	6	21		Income statement charge (note 11)	153	38
	-	(26)		Taxation on impairment (note 11)	(196)	-
	(69)	-		Taxation rate change (note 11)	-	(423)
	(32)	(125)		Translation adjustment	28	-
	711	553		Balance at end of year based on the liability method	4,187	4,375
				If partial provision had been made for deferred taxation the
	615	505		taxation liability would have decreased by	3,823	3,787
				Balance at 31 December 2000 based on the partial provision
	96	48		for deferred taxation	364	588
			29	Trade and other payables
	111	165		Trade creditors	1,251	684
	138	69		Accruals	524	847
	94	81		Other creditors	614	580
	343	315			2,389	2,111
			30	Retirement benefits
				Defined benefit pension fund - South African Region
	105	91		Fair value of fund assets	687	647
	95	88		Present value of fund obligation	669	587
	10	3		Funded benefit plan asset	18	60
	105	91		Market value of plan assets	687	647

		2000	1999
30	Retirement benefits (continued)
	The assumptions used in calculating the above amounts as at 31 December are:	%	%
	Discount rate	12	12
	Rate of compensation increase	9	9
	Pension increase	8	8
	Rate of return on assets	12	12

	The group has made provision for pension and provident schemes covering substantially all employees. Eligible employees are members of either AngloGold's defined benefit fund or one of the industry-based defined contribution funds. There is one defined benefit scheme and three defined contribution schemes. The assets of these schemes are held in administered trust funds separated from the group's assets. Scheme assets primarily consist of listed shares, property trust units and fixed income securities. South African operations At the last statutory valuation of the fund as at 31 December 1999, the Pension Fund was certified by the reporting actuaries as being in a sound financial position, subject to the continuation of the current contribution rates. In arriving at their conclusions, the actuaries took into account reasonable long-term estimates of inflation, increases in wages, salaries and pension as well as returns on investments. The interim valuation of the fund as at 31 December 2000 is reflected above. Any deficits in the defined benefit scheme advised by the actuaries are funded either immediately or through increased contributions to ensure the ongoing soundness of the scheme. Contributions to the various defined contribution retirement schemes are fully expensed during the year in which they are funded and the cost of providing retirement benefits for the year amounted to R303 million, $45 million (1999: R353 million, $58 million). All funds are governed by the Pension Funds Act of 1956. North American operations The AngloGold North America Inc. Retirement Plan and the AngloGold North America Inc. Retiree Medical Plan were incorporated during 1999 with the purchase of the Minorco assets. Retirement Plan - Substantially all AngloGold North America employees at 31 December 1999 were covered by the AngloGold North America Inc. Retirement Plan (the "Plan"), a non-contributory defined benefit pension plan. Benefits are based on years of service and the employee's average monthly compensation. AngloGold North America's funding policy is to contribute annually an amount equal to or exceeding the minimum funding requirements under the Employee Retirement Income Security Act, but not more than the maximum tax deductible contribution. Effective 31 December 1999 the benefits of the Plan participants were frozen. The Plan was terminated during 2000. Curtailment accounting was applied to the Plan at 31 December 1999 and the liability has been extinguished at 31 December 2000 with the termination of the Plan and related distribution of Plan assets to participants.
30	Retirement benefits (continued)
	North American operations (continued) Post-retirement benefits - AngloGold North America provides health care and life insurance benefits for certain retired employees under the AngloGold North America Retiree Medical Plan (the "Retiree Medical Plan"). Participants with ten to fifteen years of service generally become eligible after reaching retirement age, and AngloGold North America pays a fixed monthly amount that varies on years of service. Post-retirement benefits are not funded. Effective 31 December 1999, no additional employees were eligible to receive post-retirement benefits under the Retiree Medical Plan. Curtailment accounting was applied at 31 December 1999. The Retirement Plan was last evaluated by independent actuaries upon termination of the plan in 2000. The 1999 evaluation of the Retirement Plan reflected a fair value of the Plan assets of the scheme at R97 million, $16 million and Plan liabilities of R104 million, $17 million at 31 December 1999. At 31 December 2000, all of the Retirement Plan assets were distributed and accrued liabilities related to final dissolution of the plan are R1 million, $0.1 million. The Retiree Medical Plan was last evaluated by independent actuaries in December 2000 who took into account reasonable long-term estimates of increases in health care costs and mortality rates in determining the obligations of AngloGold North America under the Retiree Medical Plan. The evaluation of the Retiree Medical Plan reflected liabilities of R19 million, $3 million (1999: R12 million, $3 million). The Retiree Medical Plan is an unfunded plan. The Retiree Medical Plan is evaluated on an annual basis using the projected benefit method. The cost of providing benefits under the Retirement Plan and the Retiree Medical Plan for the year amounted to R nil million, $ nil million (1999: R14 million, $2 million) and R nil million, $ nil million (1999: R6 million, $1 million) respectively. Defined Contribution Plan - AngloGold North America sponsors a 401(k) savings plan whereby employees may contribute up to 16% of their salary, of which up to 5% is matched at a rate of 150% by AngloGold North America. AngloGold North America's contributions were R15 million, $2 million (1999: R10 million, $2 million) during the year. Supplemental Employee Retirement Plan - Certain former employees of Minorco (USA) Inc. were covered under the Minorco (USA) Inc. Supplemental Employee Retirement Plan (the "SERP"), a non-contributory defined benefit plan. The SERP was last evaluated by independent actuaries in 1999 who took into account reasonable long-term estimates of inflation, and mortality rates in determining the obligations of AngloGold North America under the SERP. This evaluation of the SERP reflected Plan liabilities of R6 million, $1 million (1999: R5 million, $1 million). The SERP is an unfunded plan. The SERP is evaluated on an annual basis using the projected benefit method. The cost of providing benefits under the SERP for the year were nominal (1999: R3 million, $0.4 million). South American operations The South American operations operate a number of defined contribution arrangements for their employees. These arrangements are funded by the operations (basic plan) and operations/employees (supplementary plan) and are embodied in a pension plan entity, Fundambrás Sociedade de Previdência Privada, which is responsible for administering the funds and making arrangements to pay the benefits. In accordance with the annual valuation of the pension fund, performed by independent qualified actuaries, there is no material deficit to be covered by the operation. Australian operations The operation contributes to the Australian Retirement Fund for the provision of benefits to employees and their dependants on retirement, disability, death, resignation or retrenchment. The fund is a multi-industry national fund with defined contribution arrangements. Contribution rates by the operation on behalf of employees varies, with minimum contributions meeting compliance requirements under the Superannuation Guarantee legislation. Members also have the option of contributing to approved personal superannuation funds. The operations contributions are legally enforceable to the extent required by the Superannuation Guarantee legislation and relevant employment agreements.

	1999	2000			2000	1999
	US Dollars				SA Rands
			31	Cash generated from operations
	476	251		Profit on ordinary activities before taxation	1,694	2,911
				Adjusted for:
	196	217		Amortisation of mining assets (note 14)	1,508	1,199
	(4)	(7)		Profit on sale of assets (note 6)	(51)	(26)
	10	2		Non-cash movements	16	55
	(72)	(37)		Interest receivable (note 7)	(250)	(437)
	(7)	(4)		Income from associates before taxation	(27)	(43)
	(4)	(4)		Growth in AngloGold Environmental Rehabilitation Trust (note 7)	(25)	(26)
	(1)	-		Dividends received from other investments (note 7)	-	(5)
	3	-		Unwinding of decommissioning obligation (note 6)	2	18
	53	69		Finance costs (note 8)	481	321
	(89)	-		Profit on sale of associate	-	(543)
	-	93		Impairment of mining assets (note 14)	708	-
	55	20		Amortisation of goodwill (note 15)	135	335
	(28)	(43)		Movements in working capital	(294)	(172)
	588	557			3,897	3,587
				Movements in working capital:
	4	(35)		(Increase) decrease in inventories	(241)	25
	(4)	(43)		Increase in trade and other receivables	(292)	(27)
	(28)	35		Increase (decrease) in trade and other payables	239	(170)
	(28)	(43)			(294)	(172)
			32	Through acquisition of subsidiaries and joint ventures
	982	311		Mining assets (note 14)	2,254	6,045
	4	-		Investments (note 17)	-	27
	-	-		Long-term loans	-	2
	78	6		Inventories	43	480
	80	5		Trade and other receivables	36	491
	49	3		Cash and cash equivalents	22	298
	(29)	-		Minority interests	-	(176)
	(182)	(101)		Borrowings	(742)	(1,122)
	(85)	(1)		Provisions (note 27)	(4)	(521)
	(73)	-		Deferred taxation (note 28)	-	(449)
	(140)	(18)		Trade and other payables	(139)	(863)
	(1)	-		Taxation	-	(8)
	683	205		Carrying value	1,470	4,204
	276	143		Goodwill (note 15)	1,080	1,700
	959	348		Purchase consideration	2,550	5,904
	49	3		Less: Cash and cash equivalents	22	298
	419	-		Less: Paid by issue of ordinary shares	-	2,580
	23	-		Less: Still to be paid by the issue of ordinary shares	-	143
	468	345		Cash flow on acquisition	2,528	2,883

	1999	2000			2000	1999
	US Dollars				SA Rands
			33	Subsequent changes in value of identifiable assets and liabilities
				There was a subsequent change to the fair value of assets acquired in
				Acacia Resources Limited at 31 December 1999. Subsequent to
				acquisition, additional evidence became available to assist with the
				estimation of amounts assigned to the assets of Acacia Resources
				Limited, and has resulted in fair value adjustments made as follows:
	-	(134)		Mining assets (note 14)	(823)	-
	-	100		Goodwill (note 15)	611	-
	-	6		Trade and other receivables	39	-
	-	28		Deferred taxation (note 28)	173	-
	-	-			-	-

34	Related parties
	Related party transactions are concluded on an arm's length basis. Details of material transactions with those related parties not dealt with elsewhere in the financial statements are summarised below:

		2000		1999
		Purchases	Amounts owed	Purchases	Amounts owed
		from related	to related	from related	to related
		parties	parties	parties	parties
	SA Rands
	With fellow subsidiaries, associates and joint ventures of the Anglo
	American plc group
	Boart Longyear Limited - mining services	55	9	67	1
	Haggie Limited - mining equipment	32	3	35	2
	Mondi Limited - timber	153	-	138	-
	Scaw Metals Limited - steel and engineering	56	-	50	-
	Shaft Sinkers (Pty) Ltd - mining services	93	-	112	-
	With associates
	Rand Refinery Limited - gold refinery	27	-	25	-
	US Dollars
	With fellow subsidiaries, associates and joint ventures of the
	Anglo American plc group
	Boart Longyear Limited - mining services	7	1	11	-
	Haggie Limited - mining equipment	4	-	6	-
	Mondi Limited - timber	20	-	18	-
	Scaw Metals Limited - steel and engineering	7	-	7	-
	Shaft Sinkers (Pty) Ltd - mining services	12	-	18	-
	With associates
	Rand Refinery Limited - gold refinery	4	-	4	-

Directors Details relating to directors' emoluments and shareholdings in the company are disclosed in the directors' report. Shareholders The principal shareholders of the company are detailed on page 101.

	1999	2000			2000	1999
	US Dollars				SA Rands
			35	Commitments and contingencies
				Mining assets
	62	59		Contracted for	447	382
	906	656		Not contracted for	4,969	5,576
	968	715		Authorised by the directors	5,416	5,958
				Allocated for:
				Expansion of capacity
	309	55		- within one year	413	1,901
	628	546		- thereafter	4,134	3,864
	937	601			4,547	5,765
				Maintenance of capacity
	5	4		- within one year	34	31
	26	110		- thereafter	835	162
	31	114			869	193

	This expenditure will be financed from existing cash resources and future borrowings. The group has given collateral security to certain banks in respect of mortgage loans advanced to employees under its home ownership scheme amounting to: R3 million, $0.4 million (1999: R8 million, $1 million). The group has also given collateral to certain bankers for satisfactory contract performance in relation to exploration and development tenements and mining operations in Australia amounting to R61 million, $8 million, (1999: R40 million, $6 million). The hedge book of Cerro Vanguardia S.A. has been guaranteed by AngloGold Limited. The marked-to-market loss amounts to R37 million, $5 million at 31 December 2000. At 31 December 1999 the marked-to-market loss amounted to R246 million, $40 million. AngloGold has provided a completion guarantee on the Geita Project Finance. This contingent liability amounts to R68 million, $9 million. AngloGold USA Incorporated has posted reclamation bonds with various Federal, Nevada, and Colorado governmental agencies in amounts aggregating approximately R438 million, $58 million (1999: R297 million, $48 million). These performance bonds are guaranteed by AngloGold Limited. There is a potential claim against the South African region in respect of contamination of the water supply amounting to R9 million, $1 million.
36	Risk management activities
	In the normal course of its operations, the group is exposed to gold price, currency, interest rate, liquidity and credit risks. In order to manage these risks, the group may enter into transactions which make use of both on- and off-balance sheet financial instruments. The group does not acquire, hold or issue derivative instruments for trading purposes. The group has developed a comprehensive risk management process to facilitate, control and to monitor these risks. The board has approved and monitors this risk management process, inclusive of documented treasury policies, counterpart limits, controlling and reporting structures. Controlling risk in the group The executive committee and the treasury committee are responsible for risk management activities within the group. The treasury committee, chaired by an independent member of the AngloGold audit committee, comprising executive members and treasury executives, reviews and recommends to the executive committee all treasury counterparts, limits, instruments and hedge strategies. The treasurer is responsible for managing investment, gold price, currency and liquidity risk. Within the treasury function, there is an independent risk function, which monitors adherence to treasury risk management policy, counterpart and dealer limits and provides regular and detailed management reports.
36	Risk management activities (continued)
	Gold price and currency risk Gold price risk arises from the risk of an adverse effect on current or future earnings resulting from fluctuations in the price of gold. The gold market is predominately priced in US dollars which exposes the group to the risk that fluctuations in the SA rand/US dollar, Brazilian real/US dollar and Australian dollar/US dollar exchange rate may also have an adverse effect on current or future earnings. A number of products, including derivative instruments are used to manage well-defined gold price and foreign exchange risks, that arise out of the group's core business activities. Fixed and spot-deferred forward-sales contracts and call and put options are used by the group to protect itself from downward fluctuations in the gold price. These instruments establish a minimum price for a portion of future production while maintaining the ability to benefit from increases in the gold price for the majority of future gold production. Net delta open hedge position as at 31 December 2000 The group had the following net forward-pricing commitments outstanding against future production. A portion of these sales consists of US dollar-priced contracts which have been converted to rand prices at average annual forward rand exchange rates/values based on a spot rand/dollar rate of R7.57 available on 31 December 2000.

Table A: Summary: Net delta open hedge position as at 31 December 2000

	12 Months ending	Kilograms	Forward price	Forward price	Ounces
	31 December	sold	R/kg	US$/oz	sold (000)
	2001	169,166	74,574	301	5,439
	2002	102,949	81,600	313	3,310
	2003	71,979	87,732	317	2,314
	2004	51,614	94,099	319	1,659
	2005	43,111	109,164	346	1,386
	January 2006 - December 2010	115,882	121,742	335	3,726
		554,701	91,944	317	17,834

	Table B: Summary: All open contracts in the group's gold hedge position as at 31 December 2000
		Year 2001	2002	2003	2004	2005	2006-2010	Total
	Dollar/Gold
	Forward contracts
	Amount (kg)	87,901	41,427	37,263	28,854	23,437	77,970	296,852
	US$/oz	$308	$317	$324	$324	$335	$350	$326
	Put options purchased
	Amount (kg)	10,109	3,110	4,977	1,866			20,062
	US$/oz	$313	$407	$362	$433			$351
	*Delta (kg)	5,858	3,020	3,799	1,643			14,320
	Call options purchased
	Amount (kg)	2,658	741	667	572			4,638
	US$/oz	$342	$340	$350	$360			$345
	*Delta (kg)	139	142	181	186			648
	Call options sold
	Amount (kg)	24,503	11,885	10,463	3,303	1,704	2,234	54,092
	US$/oz	$305	$373	$372	$342	$358	$338	$338
	*Delta (kg)	8,590	1,432	2,211	1,391	723	1,331	15,678
	Rand/Gold
	Forward contracts
	Amount (kg)	41,382	41,474	16,706	13,311	12,700	18,433	144,006
	R/kg	R73,962	R78,433	R83,670	R89,500	R115,704	R127,526	R88,350
	Put options purchased
	Amount (kg)	2,644						2,644
	R/kg	R71,668						R71,668
	*Delta (kg)	1,457						1,457

36	Risk management activities (continued)
	Table B: Summary: All open contracts in the group's gold hedge position as at 31 December 2000
		Year 2001	2002	2003	2004	2005	2006-2010	Total
	Call options sold
	Amount (kg)	18,214	14,357	4,519	1,875	3,119	1,874	43,958
	R/kg	R78,116	R87,003	R93,766	R93,603	R125,774	R93,603	R87,330
	*Delta (kg)	3,561	3,883	1,567	1,157	1,445	1,602	13,215
	AU dollar/Gold
	Forward contracts
	Amount (kg)	20,660	12,597	10,731	5,443	6,221	31,725	87,377
	AU$/oz	AU$518	AU$612	AU$554	AU$529	AU$622	AU$568	AU$562
	Call options purchased
	Amount (kg)	4,121	6,687	778		4,665	31,726	47,977
	AU$/oz	AU$717	AU$728	AU$703		AU$704	AU$684	AU$695
	*Delta (kg)	103	742	117		1,414	15,180	17,556
	Rand/Dollar (000)
	Forward contracts
	Amount (US$)	150,172	20,000					170,172
	ZAR per US$	R7.32	R6.48					R7.22
	Put options purchased
	Amount (US$)	190,000						190,000
	ZAR per US$	R7.33						R7.33
	*Delta (US$)	41,726						41,726
	Put options sold
	Amount (US$)	90,000						90,000
	ZAR per US$	R7.25						R7.25
	*Delta (US$)	17,341						17,341
	Call options purchased
	Amount (US$)	30,470	5,450					35,920
	ZAR per US$	R7.30	R6.48					R7.17
	*Delta (US$)	20,127	5,170					25,297
	Call options sold
	Amount (US$)	264,170	33,450	8,000				305,620
	ZAR per US$	R7.82	R7.06	R6.94				R7.71
	*Delta (US$)	141,676	27,644	7,297				176,617
	AU Dollar (000)
	Forward contracts
	Amount (US$)	39,161	43,748	29,427				112,336
	US$ Per AU$	AU$0.65	AU$0.58	AU$0.59				AU$0.61

*	The delta position indicated above reflects the nominal amount of the option multiplied by the mathematical probability of the option being exercised. This is calculated using the Black and Scholes option formula with the ruling market prices, together with interest rates and volatilities as at 31 December 2000. The mix of hedging instruments, the volume of production hedged and the tenor of the hedging book is continually reviewed in the light of changes in operational forecasts, market conditions and the group's hedging policy. Forward sales contracts require the future delivery of gold at a specified price. A number of these contracts are spot-deferred to be used by the group for delivery against production in a future period. A put option gives the put buyer the right, but not the obligation, to sell gold to the put seller at a predetermined price on a predetermined date.
36	Risk management activities (continued)
	A call option gives the call buyer the right, but not the obligation, to buy gold from the call seller at a predetermined price on a predetermined date. Net cash receipts received under the option hedging strategies for the year were R327 million, $48 million (1999: R281 million, $46 million). Interest rate and liquidity risk Fluctuations in interest rates impact on the value of short-term cash investments and financing activities, giving rise to interest rate risk. In the ordinary course of business, the group receives cash from the proceeds of its gold sales and is required to fund working capital requirements. This cash is managed to ensure surplus funds are invested in a manner to achieve market related returns while minimising risks. The group is able to actively source financing at competitive rates. The group has sufficient undrawn borrowing facilities available to fund any working capital requirements.
	Investment maturity profile

			Fixed rate		Floating rate
			investment		investment
		Currency	(borrowings)	Effective	(borrowings)	Effective
	Maturity date	millions	amount	rate %	amount	rate %
	Less than one year	SA Rand	-	-	45	9.5
		US$	28	6.6	151	6.4
		AU$	-	-	17	4.5

	Credit risk Credit risk arises from the risk that a counterpart may default or not meet its obligations timeously. The group minimises credit risk by ensuring that credit risk is spread over a number of counterparts. These counterparts are financial and banking institutions of the highest quality. Where possible, management tries to ensure that netting agreements are in place. Trade debtors comprise a small group of international companies. No provision for doubtful debts was made as the principal debtors continue to be in a sound financial position. The group does not generally obtain collateral or other security to support financial instruments subject to credit risk, but monitors the credit standing of counterparts. The group believes that no concentration of credit exists. Fair value The estimated fair values of financial instruments are determined at discrete points in time based on relevant market information. These estimates involve uncertainties and cannot be determined with precision. The estimated fair values of the group's financial instruments as at 31 December are as follows:
			2000			1999
	SA Rands	Carrying		Fair	Carrying		Fair
	Type of instrument	amount		value	amount		value
	Trade and other receivables	1,737		1,737	1,372		1,372
	Cash and cash equivalents	1,477		1,477	3,031		3,031
	- Cash and deposits on call	1,276		1,276	1,258		1,258
	- Money market instruments	201		201	1,773		1,773
	Borrowings	8,642		8,642	4,983		4,983
	Trade and other payables	2,389		2,389	2,111		2,111
	Forward sale contracts	-		1,451	-		1,204
	Option contracts	-		177	-		134
	Foreign exchange contracts	-		(145)	-		(25)
	Foreign exchange option contracts	-		(90)	-		(25)
36	Risk management activities (continued)
			2000			1999
	US Dollars	Carrying		Fair	Carrying		Fair
	Type of instrument	amount		value	amount		value
	Trade and other receivables	229		229	223		223
	Cash and cash equivalents	195		195	493		493
	- Cash and deposits on call	168		168	205		205
	- Money market instruments	27		27	288		288
	Borrowings	1,140		1,140	809		809
	Trade and other payables	315		315	343		343
	Forward sale contracts	-		192	-		196
	Option contracts	-		23	-		22
	Foreign exchange contracts	-		(19)	-		(4)
	Foreign exchange option contracts	-		(12)	-		(4)

	The following methods and assumptions were used to estimate the fair value of each class of financial instrument:
	Trade and other receivables, cash and cash equivalents and trade and other payables The carrying amounts approximate fair value because of the short-term duration of these instruments. Borrowings The existing debt re-prices on a short-term floating rate basis, and accordingly the carrying amount is considered to approximate fair value. Derivative instruments The fair values of forward sales contracts and derivative instruments are estimated based on the ruling market prices, volatilities and interest rates at 31 December 2000.
37	Comparative figures
	Where appropriate, comparative figures have been restated to facilitate improved disclosure. Dividends to shareholders are now accounted for on the date of declaration as a result of the adoption of IAS10. As a result, the retained earnings have been restated as disclosed in the statement of changes in shareholders' equity.
38	Events after balance sheet date
	AngloGold Limited has announced that it has reached agreement in principle on the sale of two of its South African gold mines, Elandsrand and Deelkraal, to Harmony Gold Mining Company Limited for R1 billion ($132 million) in cash. The transaction is subject to the fulfilment of the following suspensive conditions: obtaining the necessary regulatory approvals for the transfer of the mineral rights and the cession of the mining leases from the Minister of Minerals and Energy; granting the necessary mining authorisations to Harmony; obtaining approval of the transaction by the shareholders of Harmony in general meeting; obtaining approval of the transaction from the Competitions Tribunal and the Minister of Trade and Industry in terms of the Competition Act (Act 89 of 1998). The above will have a positive impact on the group's earnings.

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