Redefine Income fund quartlerly distribution - 8,5 cents per linked unit

Redefine Income fund quartlerly distribution - 8,5 cents per linked unit        
Redefine Income Fund Limited                                                    
NEWS RELEASE                                                                    
Redefine Income fund quartlerly  distribution - 8,5 cents per linked unit       
HYBRID property loan stock company Redefine Income Fund recorded a second       
quarter distribution of 8,5 cents per linked unit which equalled that of the    
first quarter, and raised the total interim distribution to 17 cents per linked 
unit.                                                                           
Redefine stated: "Given the uneasy passage of the economy during the review     
period, we are delighted by the Fund"s strong performance and its capability to 
maintain distribution levels.                                                   
"We anticipate that we will be able to maintain total distributions at similar  
levels to the pay-outs made in the August 31 2002 financial year provided the   
property sector does not deteriorate and anticipated distributions from the     
listed security portfolio materialise."                                         
One of the most important outcomes in the review period was the successful      
private placing of 55-millon linked units to raise R137-million in cash net of  
costs which was used to reduce gearing from 60 percent to a more comfortable 55 
percent. The willingness of investors to secure allocations is ample testimony  
to the appeal of the Refine counter both in terms of liquidity and yield.       
Another positive feature was the success of interest rate management, in which  
interest rate hedging was implemented to closely cover interest-bearing         
liabilities, keeping in mind that rate hedges of R550-million were due to mature
in the next 14 months. A combination of five- and seven-year rate swaps was put 
in place during the review period.                                              
Also pleasing was the increase in the size of the asset base, which moved up to 
R2,5-billion, making it one of the largest property loan stock companies listed 
on the JSE Securities Exchange South Africa.                                    
more                                                                            
Also of significance is that Redefine"s market capitalisation has grown above   
the R1-billion benchmark level which will enhance the liquidity of the company"s
linked units.                                                                   
The rapid growth in Redefine"s asset base and the application of accounting     
standards has distorted some comparative performance measurements.              
Headline earnings per linked unit of 17,02 cents per linked unit were marginally
lower compared with the posting a year previously of 18,22 cents.               
This was the consequence of strategic adjustments made by Redefine to its listed
securities investment portfolio during the reporting period. Likewise, certain  
of the property loan stock and property unit trust companies in which Redefine  
is invested changed their distribution patterns.                                
The recent acquisition of the Rand Leases property portfolio of 27 quality      
properties has increased the size of the portfolio to 98 properties, 73 percent 
of which are `A" grade and 27 `B" grade quality. Sixty-two percent of revenue is
derived from commercial, 23 percent from retail, and 15 percent from industrial 
holdings.                                                                       
"Vacancies at the end of the review period had been reduced to 6,2 percent from 
6,9 percent at year-end August 31, 2002. In 2003, 15 percent of leases were due 
to expire and a strong client retention and new business programme was working  
to reduce this", the company said. In contrast, 42 percent of gross revenue was 
contracted for the next five years.                                             
Similarly, the listed securities portfolio was lifted in value by R207-million  
through net acquisitions of R86-millon and increases in market value of R121-   
million.Redefine is currently under the management of asset managers Corpcapital
following the resignation of chief executive Peter Penhall who has taken up an  
overseas posting.                                                               
For further details please contact Marc Wainer or Wolf Cesman on 011 283 0110.  
Ends.                                                                           
Monday, March 31, 2003