Distribution and Warehousing Network Limited - Trading Update

(Incorporated in the Republic of South Africa)
(Registration number 1984/008265/06)
("DAWN" or "the Group")
TRADING UPDATE

Current trading conditions are acceptable and in line with all expectations.
The Group however experienced difficult trading conditions during the first
quarter of the financial year which commenced on 1 July 2001, resulting in
trading volumes being well below budget.

During the implementation of new information systems, which incorporated an
improved discount matrix system, conversion disruptions caused trading
margins to be adversely affected for the abovementioned period. The

anticipated advantages of the improved information systems are now becoming
evident through improved inventory and margin management.

Despite an overall improvement in trading revenues during the second

quarter, the Group will report significantly lower headline earnings for the
six months to 31 December 2001. Attributable earnings will however show an
improvement over the comparative period.
Johannesburg
15 February 2002
Sponsor
Deloitte & Touche Sponsor Services (Pty) Ltd
(Registration Number 1996/000034/07)