Notes to the Group financial statements | Note 10
for the year ended 31 December 2010
                   
    Land and
buildings*
Rm		 Leasehold
improvements
Rm		 Network
infrastructure
Rm		 Information
systems,
furniture
and office
equipment
Rm		 Capital
work-in-
progress/
other
Rm		   Vehicles**
Rm		 Total
Rm
10. PROPERTY, PLANT AND EQUIPMENT                
  Cost                
  Balance at 1 January 2009 4 067 897 83 438 6 149 6 887   944 102 382
  Acquisitions through business combinations — 7 157 106 —   4 274
  Additions 686 245 16 309 1 797 10 847   236 30 120
  Other movements 5 (7) 5 922 (3) (6 223)   2 (304)
  Reallocations (2) 115 1 204 152 (1 722)   1 (252)
  Disposals (144) (8) (5 518) (1 131) (169)   (64) (7 034)
  Effect of movements in exchange rates (696) (135) (17 688) (1 085) (1 815)   (236) (21 655)
  Balance at 31 December 2009 3 916 1 114 83 824 5 985 7 805   887 103 531
  Balance at 1 January 2010 3 916 1 114 83 824 5 985 7 805   887 103 531
  Additions 644 366 10 950 1 358 4 818   150 18 286
  Other movements (63) 160 (1 936) (619) 502   2 (1 954)
  Reallocations 680 46 3 872 446 (5 293)   — (249)
  Disposals — (16) (1 748) (76) (138)   (47) (2 025)
  Effect of movements in exchange rates (331) (134) (10 120) (658) (884)   (132) (12 259)
  Balance at 31 December 2010 4 846 1 536 84 842 6 436 6 810   860 105 330
  Accumulated depreciation and impairment                
  losses                
  Balance at 1 January 2009 (551) (494) (33 065) (3 631) (89)   (359) (38 189)
  Depreciation for the year (179) (180) (10 229) (1 015) (20)   (184) (11 807)
  Impairment loss — — (165) (2) —   — (167)
  Acquisitions through business combinations (2) (1) (30) (131) —   (4) (168)
  Other movements 7 (19) 54 15 5   (2) 60
  Disposals 142 4 4 874 1 008 —   50 6 078
  Effect of movements in exchange rates 151 86 7 178 668 24   96 8 203
  Balance at 31 December 2009 (432) (604) (31 383) (3 088) (80)   (403) (35 990)
  Balance at 31 December 2010 (432) (604) (31 383) (3 088) (80)   (403) (35 990)
  Depreciation for the year (242) (222) (11 498) (1 111) (14)   (161) (13 248)
  Reversal of impairment — — 231 — —   — 231
  Other movements 9 (37) 478 196 17   (1) 662
  Disposals — 12 1 452 68 —   39 1 571
  Effect of movements in exchange rates 60 72 4 209 383 9   72 4 805
  Balance at 31 December 2010 (605) (779) (36 511) (3 552) (68)   (454) (41 969)
  Carrying amounts                
  At 1 January 2009 3 516 403 50 373 2 518 6 798   585 64 193
  At 31 December 2009 3 484 510 52 441 2 897 7 725   484 67 541
  At 1 January 2010 3 484 510 52 441 2 897 7 725   484 67 541
  At 31 December 2010 4 241 757 48 331 2 884 6 742   406 63 361
  * Included in land and buildings are leased assets with a carrying amount of R247 million (December 2009: R264 million).
** Included in vehicles are leased assets with a carrying amount of R73 million (December 2009: R81 million).
10.1 Register of land and buildings

Registers with details of land and buildings are available for inspection by members or their duly authorised representatives at the registered office of the Company and its respective subsidiaries.
10.2 Impairment loss

MTN Nigeria reversed a portion of the previously recognised impairment loss amounting to R231 million (2009: Rnil). During the prior year, MTN Nigeria impaired its network infrastructure by R125 million, MTN Yemen by R35 million with the remaining balance contributed by various other MTN operations.
10.3 Lease property, plant and equipment

The Group leases various premises and sites which have varying terms, escalation clauses and renewal rights.
10.4 Capital work-in-progress

There are various capital work-in-progress projects under way within the Group. At year end, the main contributors to these project balances were: MTN South Africa R1,8 billion (2009: R2 billion), MTN Ghana R1 billion (2009: R2 billion), MTN Afghanistan R370 million (2009: Rnil), MTN Nigeria R369 million (2009: R737 million), MTN Côte d’Ivoire R149 million (2009: R606 million) and MTN Irancell R119 million (2009: R656 million).
10.5 Changes in estimates

There were no significant changes in the depreciation method, useful life or residual values of any items of property, plant and equipment during the current year.
10.6 Encumbrances

MTN Côte d’ Ivoire SA

Borrowings by MTN Côte d’ Ivoire are secured by a fixed charge over the company’s land and buildings with a carrying amount R999 million (December 2009: R1 432 million).

MTN Uganda Limited

In terms of the Inter-creditor Security Package, MTN Uganda Limited has provided a first ranking floating charge over all its present and future assets, excluding its licence. Its property, plant and equipment has a carrying amount of R2 081 million (December 2009: R3 220 million). This serves as security for syndicated loans made to MTN Uganda Limited by various banks and financial institutions.

MTN Sudan Company Limited

Borrowings by MTN Sudan are secured by certain categories of property, plant and equipment with a carrying amount of R332 million (December 2009: R92 million).

MTN Congo SA

Borrowings by MTN Congo are secured by certain categories of property, plant and equipment with a carrying amount of R232 million (December 2009: Rnil).

MTN Zambia Limited

Borrowings by MTN Zambia Limited were secured by certain categories of property, plant and equipment with a carrying amount of R527 million (December 2009: R973 million).

MTN (Proprietary) Limited

Borrowings by MTN (Proprietary) Limited were secured by certain categories of property, plant and equipment with a carrying amount in 2009: R264 million.