NOTE 28

		2015 Rm	2014 Rm	2013 Rm
28.	Commitments
	Capital expenditure commitments to be incurred:
	Contracted – Property, plant and equipment	406	674	718
	Contracted – Vehicle rental fleet	1 354	1 251	1 021
	Approved but not yet contracted	352	993	523
		2 112	2 918	2 262

Commitments will be spent substantially in the next financial year. Capital expenditure will be financed by funds generated by the business, existing cash resources and borrowing facilities available to the group.

Lease commitments:

	Long term >5 years Rm	Medium term 2 – 5 years Rm	Short term <1 year Rm	2015 Total Rm	2014 Total Rm	2013 Total Rm
Operating lease commitments
Land and buildings	549	875	391	1 815	1 544	1 357
Motor vehicles	11	168	84	262	136	151
Capital equipment and other	3	577	530	1 110	1 474	716
	562	1 620	1 005	3 187	3 154	2 224

Land and building commitments include the following items:

•	Commitments for the operating and administrative facilities used by the majority of business segments. The average lease term is five years. Many lease contracts contain renewal options at fair market rates.
•	Properties used for office accommodation and used car outlets in the major southern African cities. Rentals escalate at rates which are in line with the historical inflation rates applicable to the southern African environment. Lease periods do not exceed five years.
•	Properties at airport locations. The leases are in general for periods of five years and the rental payments are based on a set percentage of revenues generated at those locations subject to certain minimums.

Motor vehicle commitments are mainly for vehicles in use in the offshore operations. The average lease term is four years.

Capital equipment and other commitments mainly consists of lease agreements for lifting equipment, office containers, photocopiers and printers.

	Long term >5 years Rm	Medium term 2 – 5 years Rm	Short term <1 year Rm	2015 Total Rm	2014 Total Rm	2013 Total Rm
Finance lease commitments
Present value of minimum lease payments
Land and buildings	87	128	69	283	372	437
Motor vehicles		826	229	1 055	880	420
Rental fleets						15
Other		94	20	114
	87	1 047	318	1 451	1 252	872
Minimum lease payments
Land and buildings	110	190	95	395	524	634
Motor vehicles		950	306	1 255	1 035	419
Rental fleets						15
Other		108	26	134
Total including future finance charges	110	1 248	426	1 784	1 559	1 068
Future finance charges				(332)	(307)	(196)
Present value of lease commitments (note 14)				1 451	1 252	872

Land and building commitments are for certain fixed rate leases in the automotive division for trading premises with an average term of 12 years including a purchase option at the end of the term.