DAWN - DISPOSAL OF ALUMINIUM EXTRUSION BUSINESS OF ALMAR ALUMINIUM

DISTRIBUTION AND WAREHOUSING NETWORK LIMITED
(INCORPORATED IN THE REPUBLIC OF SOUTH AFRICA)
(REGISTRATION NUMBER 84/08265/06)
("DAWN" OR "THE COMPANY")

DISPOSAL OF ALUMINIUM EXTRUSION BUSINESS OF ALMAR ALUMINIUM (PROPRIETARY)
LIMITED (ALMAR")
1. INTRODUCTION

BISHOP CORPORATE FINANCE (PROPRIETARY) LIMITED IS AUTHORISED TO ANNOUNCE THAT
DAWN HAS SUCCESSFULLY CONCLUDED THE DISPOSAL OF THE BUSINESS OF ALMAR TO
METALLUMIN (PROPRIETARY) LIMITED ("THE DISPOSAL") WITH EFFECT FROM 1 JUNE 2000
("THE EFFECTIVE DATE").
2. NATURE OF DISPOSED BUSINESS

ALMAR OPERATES TWO ALUMINIUM EXTRUSION PLANTS IN SOUTH AFRICA, PRODUCING
ALUMINIUM EXTRUDED PROFILES TO CUSTOMER SPECIFICATIONS.  THE EXTRUDED PROFILES
ARE PRODUCED USING DIES EITHER OWNED BY CUSTOMERS OR BY ALMAR.
3. RATIONALE FOR THE DISPOSAL

DURING 1998 DAWN (THEN CITYHOLD) ANNOUNCED THAT IT WAS IN THE PROCESS OF
REFOCUSING ITS BUSINESS FROM MANUFACTURING TO WHOLESALE DISTRIBUTION AND
LOGISTICS.  OVER THE PAST TWO YEARS DAWN HAS SYSTEMATICALLY, AND IN A

CONTROLLED MANNER, GROWN ITS WHOLESALE DISTRIBUTION AND LOGISTICS BUSINESS AND
SIMILARLY DISPOSED OF NON-CORE MANUFACTURING OPERATIONS CULMINATING WITH THE
DISPOSAL OF THE ALMAR BUSINESS.

THE PROCEEDS RECEIVED FROM THE DISPOSAL SHALL BE UTILISED BY THE COMPANY IN THE
FURTHERANCE OF ITS WHOLESALE DISTRIBUTION AND LOGISTICS BUSINESSES, WHICH
PRODUCE SUBSTANTIALLY IMPROVED RETURNS AND ARE LESS CAPITAL-INTENSIVE THAN THE
DISPOSED BUSINESS.
4. DETAILS OF THE DISPOSAL

DAWN HAS ENTERED INTO AN AGREEMENT TO DISPOSE OF THE ALUMINIUM EXTRUSION
BUSINESS OF ALMAR TO METALLUMIN (PROPRIETARY) LIMITED FOR AN ESTIMATED
CONSIDERATION OF R15 MILLION. THE CONSIDERATION IS TO BE SETTLED AS FOLLOWS:
- R10 MILLION CASH ON COMPLETION DATE, WHICH HAS BEEN RECEIVED; AND

- R5 MILLION TO BE PAID IN FOUR EQUAL MONTHLY CASH INSTALMENTS, COMMENCING 90
DAYS AFTER THE EFFECTIVE DATE.
5. FINANCIAL EFFECTS OF THE DISPOSAL

THE TABLE BELOW SETS OUT THE FINANCIAL EFFECTS OF THE DISPOSAL ON THE EARNINGS
AND NET ASSET VALUE PER DAWN SHARE, BASED ON THE PUBLISHED RESULTS OF DAWN FOR
THE SIX MONTHS ENDED 31 DECEMBER 1999 AND ON THE ASSUMPTION THAT THE
TRANSACTION HAD TAKEN EFFECT ON 1 JULY 1999:

                               ACTUAL            PRO FORMA

                               BEFORE DISPOSAL   AFTER DISPOSAL   CHANGE
                               (CENTS)           (CENTS)          (%)

EARNINGS PER SHARE             8,17              7,40             (9,4)
HEADLINE EARNINGS PER SHARE    7,43              7,75             4,3

NET ASSET VALUE PER SHARE      34,95             34,20            (2,1)
JOHANNESBURG
28 JULY 2000
CORPORATE ADVISOR
BISHOP CORPORATE FINANCE (PTY) LTD
(REGISTRATION NUMBER 1998/07638/07)
SPONSORING BROKER
ABN-AMRO SECURITIES (SOUTH AFRICA) (PTY) LTD.
REGISTRATION NUMBER 1995/001231/07
MEMBER OF THE JOHANNESBURG STOCK EXCHANGE