AngloGold Ashanti Update on Unprotected Strike at SA Mines

AngloGold Ashanti Update on Unprotected Strike at SA Mines 
JOHANNESBURG, SOUTH AFRICA -- (Marketwire) -- 10/01/12 --  AngloGold
Ashanti (NYSE: AU) confirms that its mines in South Africa remain at
a standstill amid the unprotected strike which began on 20 September
2012 at the Kopanang operation and spread to the remaining five
operations on 25 September 2012. Our priority remains to protect the
safety of our employees and the communities in which we operate and
we continue to work with the authorities to that end. AngloGold
Ashanti has safeguarded its own rights in relation to the strike by
obtaining a court interdict to formally declare the work stoppage
unprotected. 
"Clearly for South Africa's gold sector, as for many others, there is
a very clear trade-off between investing in the sustainability of our
business and not putting employment at risk," Chief Executive Officer
Mark Cutifani said. "If the current unprotected strike continues, it
compounds the potential likelihood of a premature downsizing of
AngloGold Ashanti's South African operations." 
Our stance on the strike remains clear: 


 
--  We are deeply disappointed that our employees have chosen to break
    their commitment to the current wage agreement and collective
    bargaining structures
--  We do not intend to reward broken commitments, violence and threats of
    intimidation
--  We remain committed to our employees and the collective bargaining
    processes as a way to resolve our differences with recognized unions
    and associations
--  We are open to consider ideas to bring forward negotiations and work
    together with our social partners to renew our commitment to, and
    delivery on, our social compact for the mining industry, as agreed in
    the Mining Charter
--  If striking employees return to work and engage in constructive
    discussion we will find a pathway to a sustainable and shared future
--  If the current unprotected strike continues, it compounds risks of a
    premature downsizing of AngloGold Ashanti's South African operations
--  In a country where roughly one in four people do not have work, it is
    incomprehensible that strikers are engaged in activities that threaten
    jobs in a cornerstone industry that is central to South Africa's
    growth aspirations, and where wage rates are highly competitive as
    compared to other labour intensive sectors in the country.

  
About AngloGold Ashanti's South African Operations 
AngloGold Ashanti's South Africa operations accounted for
approximately 32% of total group production during the first half of
the year. Approximately 35,000 people are employed across AngloGold
Ashanti's South African operations. This figure is inclusive of
contractors and those working on two major capital projects under way
at the Moab Khotsong and Mponeng mines. 
AngloGold Ashanti is a member of the gold industry's collective wage
bargaining unit at the Chamber of Mines and as such is committed to
addressing demands regarding pay and other substantive issues through
this framework. At present, the gold industry is in the second year of
a two-year wage agreement with the latest increases, ranging from 8%
to 10%, awarded to the workforce in July, under the agreement reached
in 2011. A similar increase was awarded last year. South Africa's
annual Consumer Price Inflation is currently 5% in August. 
SPONSOR: UBS South Africa (Pty) Limited 
Certain statements made in this communication, other than statements
of historical fact, including, without limitation, those concerning
the economic outlook for the gold mining industry, expectations
regarding gold prices, production, cash costs and other operating
results, growth prospects and outlook of AngloGold Ashanti's
operations, individually or in the aggregate, including the
achievement of project milestones, the completion and commencement of
commercial operations of certain of AngloGold Ashanti's exploration
and production projects and the completion of acquisitions and
dispositions, AngloGold Ashanti's liquidity and capital resources and
capital expenditure and the outcome and consequence of any potential
or pending litigation or regulatory proceedings or environmental
issues, are forward-looking statements regarding AngloGold Ashanti's
operations, economic performance and financial condition. These
forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause AngloGold Ashanti's
actual results, performance or achievements to differ materially from
the anticipated results, performance or achievements expressed or
implied in these forward-looking statements. Although AngloGold
Ashanti believes that the expectations reflected in such
forward-looking statements are reasonable, no assurance can be given
that such expectations will prove to have been correct. Accordingly,
results could differ materially from those set out in the
forward-looking statements as a result of, among other factors,
changes in economic and market conditions, success of business and
operating initiatives, changes in the regulatory environment and other
government actions including environmental approvals and actions,
fluctuations in gold prices and exchange rates, and business and
operational risk management. For a discussion of certain of these and
other factors, refer to AngloGold Ashanti's annual report for the
year ended 31 December 2011, which was distributed to shareholders on
4 April 2012, the company's 2011 annual report on Form 20-F, which
was filed with the Securities and Exchange Commission in the United
States on 23 April 2012 and the prospectus supplement to the
company's prospectus dated July 17, 2012 that was filed with the
Securities and Exchange Commission on July 25, 2012. These factors
are not necessarily all of the important factors that could cause
AngloGold Ashanti's actual results to differ materially from those
expressed in any forward-looking statements. Other unknown or
unpredictable factors could also have material adverse effects on
future results. Consequently, stakeholders are cautioned not to place
undue reliance on forward-looking statements. AngloGold Ashanti
undertakes no obligation to update publicly or release any revisions
to these forward-looking statements to reflect events or
circumstances after today's date or to reflect the occurrence of
unanticipated events, except to the extent required by applicable
law. All subsequent written or oral forward-looking statements
attributable to AngloGold Ashanti or any person acting on its behalf
are qualified by the cautionary statements herein.
 This
communication may contain certain "Non-GAAP" financial measures.
AngloGold Ashanti utilises certain Non-GAAP performance measures and
ratios in managing its business. Non-GAAP financial measures should be
viewed in addition to, and not as an alternative for, the reported
operating results or cash flow from operations or any other measures
of performance prepared in accordance with IFRS. In addition, the
presentation of these measures may not be comparable to similarly
titled measures other companies may use. 
AngloGold Ashanti posts information that is important to investors on
the main page of its website at www.anglogoldashanti.com and under the
"Investors" tab on the main page. This information is updated
regularly. Investors should visit this website to obtain important
information about AngloGold Ashanti. 
Contacts 
Media
Alan Fine
+27-11 637- 6383 / +27 (0) 83 250 0757
afine@anglogoldashanti.com 
Chris Nthite
+27 (0) 11 637 6388/+27 (0) 83 301 2481
cnthite@anglogoldashanti.com 
Stewart Bailey
+1 646 338 4337/ +1 212 858-7702 / +27 83 253 2021
sbailey@anglogoldashanti.com 
General inquiries
+27 11 637 6031
media@anglogoldashanti.com 
Investors
Stewart Bailey
+1 646 338 4337/ +1 212 858-7702 / +27 83 253 2021
sbailey@anglogoldashanti.com 
Sabrina Brockman (US & Canada)
+1 (212) 858 7702 / +1 646 379 2555
sbrockman@anglogoldashanti.com 
Mike Bedford (UK & Europe)
+44 779 497 7881 / +44 1225 93 8483
mbedford@anglogoldashanti.com 
General inquiries
+27 11 637 6059
investors@anglogoldashanti.com
 
 
Press spacebar to pause and continue. Press esc to stop.