Sharenet Sites 
Sharenet Sites
Woolworths - Securitisation Of A Portion Of The Woolworths (Pty) Ltd In-Store Card Portfolio WOOLWORTHS HOLDINGS LIMITED Registration number 1929/001986/06 ISIN: ZAE000028288 JSE Code: WHL SECURITISATION OF A PORTION OF THE WOOLWORTHS (PTY) LTD ("WOOLWORTHS") IN-STORE CARD PORTFOLIO Shareholders are advised that the securitisation of a substantial portion of the Woolworths in-store card portfolio has been successfully implemented. The securitisation programme was arranged by Standard Corporate and Investment Bank. In terms of the securitisation, Woolworths will sell R2,3 billion of in-store card receivables to a special purpose vehicle, Account On Us (Pty) Ltd. TERMS OF THE SECURITISATION In terms of the securitisation programme, Woolworths will sell the receivables to Account On Us on a non-recourse basis. The purchase of the receivables is funded through the issuance of rated Class A notes (85%) and a Subordinated Loan (15%) from Woolworths. The Class A Notes were auctioned on 18 February 2005 and achieved a weighted average spread over Jibar of 0,36%. Bids were placed for double the amount of the issue, reflecting the strong appetite for the notes. The initial R1,9 billion issue of Class A notes comprised the following tranches: 2-year Floating Rate Notes - R300 million 3-year Floating Rate Notes - R400 million 4-year Floating Rate Notes - R550 million 5-year Floating Rate Notes - R650 million The Notes will be listed on the Bond Exchange of South Africa with effect from 25 February 2005. The Programme accommodates further issuances of either Fixed or Floating Rate Notes and subordinated classes of notes. APPLICATION OF THE PROCEEDS OF THE SECURITISATION The proceeds of the sale of the in-store card portfolio will be partially applied towards repayment of a significant portion of the short-term bank borrowings currently funding the in-store card portfolio. Concomitant to the debt restructuring, Woolworths is seeking to improve the Return on Equity (ROE) of its Financial Services Business. It will achieve this by returning surplus capital to shareholders through a R1 billion share buyback. The terms of the transaction are set out in the Programme Memorandum and the Final Pricing Supplements for the notes issued. Copies are available at: Standard Bank, Corporate and Investment Banking 3 Simmonds Street Johannesburg 2001 Contact: Norman Thomson, Finance Director 021 407 3337 Cape Town 21 February 2005 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) CORPORATE FINANCE Date: 21/02/2005 02:56:01 PM Supplied by www.sharenet.co.za Produced by the JSE SENS Department
