SHOPRITE HOLDINGS: PRELIMINARY RESULTS FOR THE 53 WEEKS ENDED JUNE 2010

SHOPRITE HOLDINGS LIMITED (Reg. No. 1936/007721/06) (ISIN: ZAE 000012084) (JSE Share code: SHP) (NSX Share code: SRH) (LuSE Share code: SHOPRITE) (“the Group”) 

 Key information

Trading profit was up 18,7% to R3,490 billion. 

Turnover increased 13,6% - from R59,319 billion to R67,402 billion. 

Diluted headline earnings per share rose 15,6% to 451,6 cents. 

Dividend per share declared 147,0 cents (2009: 130,0 cents) an increase of 13,1%. 

Whitey Basson, chief executive, commented: During the period under review the Group continued to build on its historical price positioning which  is to consistently offer low prices on the most important basic foods. By sticking to these principles,  the Group was able not only to retain the loyalty and support of customers across the spectrum, but  also to extend its customer base. In doing so it outperformed the rest of the sector and grew market  share further to 32,6%. By controlling costs in all areas of the business and obtaining  further efficiencies  from its investment in systems and logistics infrastructure, the Group managed to increase its trading margin from 4,96% to 5,18%. Although the after-effects of the recession will be felt for a long time to come, the Group is investing heavily for the recovery when it comes. The Group envisages opening 85 new stores in the new financial year and it will invest more than R3 billion over the next four years in its systems and logistics infrastructure. In addition to the added investment in bricks and mortar, the Group has increased expenditure on training and recruitment and expect to create an estimated additional 5 700 job opportunities during the next financial year.OPERATING ENVIRONMENT South African consumers remained price sensitive due to the high rate of unemployment and personal debt. The benefits of the substantial drop in food inflation and the highly competitive prices of imported durable goods were largely offset by the sharp rise in the cost of living expenses across a broad spectrum, from energy and transport costs to municipal rates and taxes. The Soccer World Cup, coming at the end of the Group’s reporting period, engendered in South Africans an invigorating sense of optimism in the future of the country although the event as such did not have a noticeable effect on food retailing. Tumbling internal food inflation at 0,2% in the latter half of the year brought prices back to what they were a year ago. While positive for consumers, especially those in lower income groups, the virtual absence of food inflation placed pressure on food retailers in a market of suppressed sales and escalating costs. 

COMMENTS ON THE RESULTS Statement of Comprehensive Income Total turnover Total turnover increased by 13,6% from R59,319 billion to R67,402 billion for the period under review (11,1% in the case of 52 weeks). This must be seen in relation to the drop in internal food inflation from 15,8% in 2009 to 2,2%. Expenses The 18,7% increase in trading profit compared to a turnover that rose 13,6% is due to a combination of controlling costs in all areas of the business, solid customer growth, further efficiencies in the systems and logistics infrastructure and stringent controls that reduced stock losses due to theft. Trading margin The trading margin increased from 4,96% to its highest level of 5,18% and reflects the efficiencies that management brought to bear during the reporting period. Exchange rate losses During the year the strong rand prevailed - while the currencies of some of the countries in Africa where the Group does business weakened against the US dollar, the rand held firm. The result was a currency loss of R77,8 million compared to a currency profit of R3,0 million in the previous financial year. 

OPERATIONAL REVIEW

Under challenging conditions all the segments showed satisfactory turnover growth for the 53-week reporting period while, with the exception of the Furniture Division, all also reported increased profitability. All three supermarket brands, the core of the Group’s business, increased market share. To add to shoppers’ convenience the Group, without deviating from its primary function as a food retailer, continued to add to its in-store services and, in doing so, turned each of the new services into growing profit centres.

Supermarkets RSAGuided by their need for value at low prices, consumers turned to the Group’s three supermarket chains in increasing numbers. According to the most recent AMPS figures, 60% of the country’s population now shop at Group supermarkets. The segment grew sales by 14,6% while the total South African food retailing market increased by 9,6%. This produced turnover of R53,367 billion for the period compared to R46,551 billion in the 2009 financial year and trading profit was 19,6% higher at R2,755 billion. RSA supermarkets’ results enabled the Group to increase market share for the year from 31,4% to 32,6%, the highest of all South African supermarket groups, according to the revised VAT inclusive information now used by Nielsen. In the 53-week period, Shoprite found itself ideally positioned to benefit from a declining market. Adding a net 11 stores during the year, it increased total turnover by 13,5%. The number of customer transactions increased by 6,4% while the value per transaction was up 6,6%. Due to its successful repositioning for higher-income consumers Checkers increased turnover by 13,5%. It grew the number of customer transactions by 5,5% and the value per transaction by 7,5% - the highest of the three chains. The small-format Usave chain experienced a year of exceptional growth, opening new stores at a rate of almost one a week. It ended the year with a net 39 new outlets which enabled it to increase turnover by 33,5% and its customer count by 36,2%. Due to the heavy reliance on its basket of basic commodities, of which the prices in some instances dropped to 30% below what it was a year ago, the value per transaction was 2,0% below last year. 

Supermarkets Non-RSA In constant currency terms, the division grew turnover by 18,0% in a low inflationary environment while contributing R7,164 billion to Group turnover after conversion to rand. Due to the strength of the rand relative to the US dollar and the weakening of most African currencies in which the Group trades, this translated into a turnover decline of 2,1% in rand terms compared to the previous year. Growth in store numbers slowed due to a lack of foreign investment in property development in Africa. As a consequence, a net four supermarkets were opened during the reporting period to bring the number of supermarkets outside South Africa to 124. The pace of new store openings is expected to quicken in the new financial year with a total of 13 outlets being planned. 

GROUP PROSPECTS AND OUTLOOK Management does not expect market conditions to change markedly in the months ahead as the country’s economic recovery is expected to remain lacking real momentum. With most of the country’s major infrastructural projects completed, job losses are expected to continue. Rising input costs are expected to impact food inflation which is bound to start rising in the second half of the new financial year. However, the Group expects to continue growing turnover and trading profit at comparable levels and to this end continues to invest in staff development, new stores and infrastructural capabilities. 

DIVIDEND No. 123The Board has declared a final dividend of 147,0 cents (2009: 130,0 cents) a share, payable to shareholders on Monday, 20 September 2010. This brings the total dividend for the year to 227,0 cents per ordinary share (2009: 200,0 cents). The last day to trade cum dividend will be Friday, 10 September 2010. As from Monday, 13 September 2010, all trading of Shoprite Holdings Ltd shares will take place ex dividend. The record date is Friday, 17 September 2010. Share certificates may not be dematerialised or re-materialised between Monday, 13 September 2010, and Friday, 17 September 2010, both days inclusive.

By order of the Board   CH WieseChairman JW BassonChief Executive  Cape Town 23 August 2010   DIRECTORATE AND ADMINISTRATION Directorate and Administration Executive directors: JW Basson (chief executive), CG Goosen (deputy managing director), B Harisunker, AE Karp, EL Nel, BR Weyers Executive alternate directors: JAL Basson, M Bosman, PC Engelbrecht Non-executive director: CH Wiese (chairman)Independent non-executive directors: EC Kieswetter, JA Louw, JF Malherbe, JG Rademeyer Non-executive alternate director : JD Wiese Company secretary: PG du Preez 

Sponsors South Africa: Nedbank Capital, PO Box 1144, Johannesburg, 2000, South Africa • Telephone: +27 (0)11 295 8525• Facsimile: +27 (0)11 294 8525 • Website: www.nedbank.co.za Namibia: Old Mutual Investment Group (Namibia) (Pty) Ltd, PO Box 25549, Windhoek, Namibia • Telephone: +264 (0)61 299 3527 • Facsimile: +264 (0)61 299 3528 Zambia: Lewis Nathan Advocates, PO Box 37268, Lusaka, Zambia • Telephone: +260 (0)211 262 009 • Facsimile: +260 (0)211 261 997  

CAVMONT CAPITAL HOLDINGS ZAMBIA PLC

POSTPONED 

TO 16 SEPTEMBER 2010

NOTICE IS HEREBY GIVEN THAT the Eleventh Annual General Meeting of Cavmont Capital Holdings Zambia PLC which was scheduled to be held on Thursday 12th August 2010 has been postponed to Thursday 16 th September 2010 at the Pamodzi Hotel, Church Road, Lusaka starting at 10:00 hours for the following purposes:

1.0To confirm and sign the minutes of the 10th Annual General Meeting held on Friday 25th September 2009.

2.0To receive and adopt the Financial Statements for financial year ended 31st December 2009. 

3.0To appoint auditors from the conclusion of the Annual General Meeting until the conclusion of the next Annual General Meeting and to authorise the Directors to fix their remuneration.

4.0To authorize the Board to fix the remuneration of the directors.

5.0To transact any such other business as may arise at the Annual General Meeting.

A member entitled to attend and vote is entitled to appoint a proxy to attend, speak and, on poll, vote instead of him/her.

In order to be valid, the proxy must be deposited at the Registered Office of the Company not later than 48 hours before the appointed time for the holding of the meeting.

By order of the Board

Madelyn Armstrong

Company Secretary

10 August 2010  

CAVMONT CAPITAL HOLDINGS PLC - ANNUAL GENERAL MEETING

The Annual General Meeting will be held on 11 August 2010 at the Taj Pamodzi Hotel at 15:00 hours

ZAMBIA SUGAR PLC - ANNUAL GENERAL MEETING

The Annual General Meeting for Zambia Sugar PLC will be held on 26 August 2010 at 12:00 hours in the Ballroom  at the Intercontinental Hotel .

ZAIN ZAMBIA - APPOINTMENT OF NEW MANAGING DIRECTOR

Mr Fayaz King has been appointed the new Managing Director of  Celtel Zambia PLC (Trading as Zain Zambia) with immediate effect following the resignation of Mr David Holiday. Mr King holds a Master of Business Administration and Bachelor of Business Studies (Honors) degrees from the University of Zimbabwe as well as a Diploma in Marketing from the Chartered Institute of Marketing, United Kingdom. Prior to joining Zain Zambia, Mr King was the Managing Director of Zain Malawi since April 2008.

FARMERS HOUSE PLC - FINAL RESULTS2009/2010 - The company is pleased to record a 60% increase in income, and through continued control of expenditure, the company shows a 94% increase in operating profit. This reflects a full period's income from the ZAIN (Celtel) Complex at the corner of Great East Road and Addis Ababa Road. This property was officially opened by H.E the President of the Republic of Zambia , Mr R. B. Banda on 6th August 2009. The Directors are pleased to confirm that in joint venture with Standard Bank Properties (Pty) Ltd, the construction of Stanbic Bank (Z) Ltd's new Head Office immediately adjacent to the Zain Complex progresses well.

FARMERS HOUSE PLC - NOTICE OF EXTRAORDINARY GENERAL MEETING -  Notice is hereby given that an Extraordinary General meeting of Farmers House PLC will take place at Southern Sun Ridgeway Hotel, Lusaka on Monday 14th June 2010 at 14:30hrs, to consider , and if deemed fit, pass the proposed special resolution below.

To consider the proposed acquisition  and if deemed possible pass a resolution to approve aqcuisition:

In line with its expansion programme, which was approved by shareholders at the EGM held on 15th December 2009, Farmers House Plc intends to acquire all the shares of Thistle Land development Compant limited, a property investment, development, management, and letting company, which owns Counting House Square a leased property situated on habo Mbeki Rd, south  of the Arcades Shopping Centre. As it is a related party transaction in terms of the LuSE Listing Rules shareholder approval is required.

In compliance with the LuSE Listing Rules a circular giving details of the proposed Aqcisition has been prepared and will be mailed to all shareholders as of record date Friday 14 May 2010.

ZAMBIA SUGAR PLC- SUMMARY OF RESULTS FOR THE YEAR ENDED 31 MARCH 2010 - The company recorded a revenue of K907,955 million (2009: 532,478 million). The profit before taxation was K112,721 million (2009: 78,046 million). After charging a taxation of K15,081 million  the profit for the year was K97,640 million (2009: 137,116).  The EPS was K16.09 (2009:25.27). 

Notice is hereby given that a second interim dividend of ZK2.00 per share  (2009: K6.00) has been declared in respect of the year end 31 March 2010. This dividend is payable on 14 June 2010 to shareholders registered  on 14 May 2010.