Anglo American Annual Report 2012

FINANCIAL STATEMENTS NOTES TO THE FINANCIAL STATEMENTS18. JOINT VENTURESThe Group’s share of the summarised financial information of joint venture entities that are proportionately consolidated in the financial statements is asfollows:US$ million 2012 2011Non-current assets 10,407 2,546Current assets 1,000 572Current liabilities (651) (434)Non-current liabilities (1,299) (703)Group’s share of joint venture entities’ net assets 9,457 1,981Revenue 2,394 1,932Operating costs (1,915) (944)Net finance costs (39) (44)Income tax expense (110) (230)Group’s share of joint venture entities’ profit for the financial year 330 714The Group’s share of joint venture entities’ contingent liabilities incurred jointly with other venturers is $25 million (2011: $32 million) and its share of capitalcommitments is $569 million (2011: $74 million).Within the Metallurgical Coal segment, the Group also holds interests in a number of proportionately consolidated jointly controlled operations. The Group’sshare of net assets of such operations is $1,802 million (2011: $1,538 million) and its share of profit for the financial year is $224 million (2011: $615 million).The Group’s share of these operations’ contingent liabilities incurred jointly with other venturers is $32 million (2011: $19 million) and its share of capitalcommitments is $85 million (2011: $80 million).Details of principal joint ventures are set out in note 38.19. FINANCIAL ASSET INVESTMENTSLoans andreceivablesAvailablefor saleinvestments2012 2011Loans andreceivablesAvailablefor saleinvestmentsUS$ millionTotalTotalAt 1 January 1,690 1,206 2,896 1,920 1,300 3,220Additions 8 8 16 4 84 88Acquired through business combinations 41 19 60 – – –Interest receivable 14 – 14 76 – 76Net repayments (79) – (79) (22) – (22)Transfer to assets held for sale (16) – (16) – – –Disposals (314) (273) (587) – (14) (14)Movements in fair value 26 173 199 (10) 115 105Currency movements (54) (69) (123) (278) (279) (557)At 31 December 1,316 1,064 2,380 1,690 1,206 2,896No provision for impairment is recorded against financial assets classified as ‘Loans and receivables’ (2011: nil).Maturity analysis of financial asset investments:US$ million 2012 2011Current 102 –Non-current 2,278 2,8962,380 2,89620. INVENTORIESUS$ million 2012 2011Raw materials and consumables 936 837Work in progress 1,500 1,488Finished products 2,569 1,1925,005 3,517The cost of inventories recognised as an expense and included in cost of sales amounted to $15,776 million (2011: $16,146 million). An additional $421 millionwas recognised as an expense within operating special items (2011: nil) relating to the reversal of fair value uplifts on De Beers inventory, see note 5.Inventories held at net realisable value amounted to $352 million (2011: $285 million).Write-down of inventories (net of revaluation of provisionally priced purchases) amounted to $145 million, including write-offs of $61 million relating toinventory at Loma de Níquel recorded in operating special items (2011: $16 million).There were nil inventory write-downs reversed and recognised as a reduction in the inventory expense for the year (2011: nil).164 Anglo American plc Annual Report 2012