AER - Amalgamated Electronic Corporation Limited - Update on legal dispute

AER - Amalgamated Electronic Corporation Limited - Update on legal dispute      
concerning formerly contingently issuable shares                                
Amalgamated Electronic Corporation Limited                                      
("Amecor")                                                                      
(Incorporated in the Republic of South Africa)                                  
(Registration number 1997/010036/06)                                            
Share code: AER                                                                 
ISIN: ZAE000070587                                                              
UPDATE ON LEGAL DISPUTE WITH RABIE VAN DER MERWE CONCERNING FORMERLY            
CONTINGENTLY ISSUABLE SHARES WHICH ARE NO LONGER CONTINGENTLY ISSUABLE AND      
REMOVAL OF CONTINGENT LIABILITY                                                 
Shareholders are referred to the SENS announcement of 26 July 2007, "Cautionary 
Announcement - Dispute with Rabie van der Merwe" and to the subsequent SENS     
announcement of 30 July 2007, "Further announcement on dispute with Rabie van   
der Merwe". In the period since 26 July 2007 Rabie van der Merwe (RVDM) has     
failed to proceed with the proposed arbitration. Consequently Amecor lodged an  
application in the South Gauteng High Court, Johannesburg, under case number    
2010/8607 against RVDM and others to have the arbitration proceedings, initiated
by RVDM, set aside. The matter came before the High Court on 9 June 2010, and a 
Court order was granted with the following terms:                               
1. It is declared that reference to arbitration of a dispute between RVDM (First
Respondent) and Acquired Finance (Proprietary) Limited, which dispute is pending
is of no force and effect in terms of section 3(2)(c) of the Arbitration Act 42 
of 1965.                                                                        
2. RVDM is interdicted and restrained from proceeding with, or taking any steps 
to give effect to the referral; and                                             
3. RVDM is ordered to pay the costs of this application.                        
The effect of the order is that the arbitration proceedings are at an end and   
RVDM has been ordered to pay the cost of the application. Consequently the RVDM 
claim in respect of contingently issuable shares is cancelled and the formerly  
contingent liability no longer exists.                                          
By order of the Board                                                           
HS Courtney                                                                     
Chairman                                                                        
DH Alexander                                                                    
Chief Executive                                                                 
Johannesburg                                                                    
28 June 2010                                                                    
Sponsor                                                                         
Sasfin Capital (a division of Sasfin Bank Limited)                              
Date: 28/06/2010 14:30:01 Supplied by www.sharenet.co.za                     
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