RCL FOODS LIMITED - Avian influenza announcement

Avian influenza announcement

RCL FOODS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1966/004972/06)
ISIN: ZAE000179438
Share Code: RCL
(“RCL FOODS” or “the company”)

AVIAN INFLUENZA ANNOUNCEMENT

RCL FOODS confirms that an outbreak of the highly pathogenic H5N8
strain of avian influenza (AI) has recently been detected at the
company’s Heuningdal breeder farm in the Western Cape, situated
between Malmesbury and Darling, after also having experienced a
small outbreak at our Viva breeder farm near Muldersdrift in
Gauteng.

The affected sites have been depopulated, and the loss amounts to
approximately 5% of the company’s total breeder stock. The
cumulative direct costs associated with AI amount to approximately
R26m, and the company is evaluating all opportunities to minimise
the possible impact of this reduced volume.

AI has been spreading across South Africa, with over 50 reported
cases since June 2017. AI is not known to affect humans, so there
is no concern from a chicken consumption perspective.

Although containing the spread of the virus is proving difficult
in South Africa, RCL FOODS will continue to relentlessly implement
the strictest possible biosecurity measures at all sites to
safeguard the health of its flocks. RCL FOODS is also working
closely with government and other authorities in this regard.


Durban
20 September 2017


Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)

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