Illovo Sugar Limited - Trading statement

     Illovo Sugar Limited - Trading statement                                   
     ILLOVO SUGAR LIMITED                                                       
     (Incorporated in the Republic of South Africa)                             
(Registration number 1906/000622/06)                                       
     Share Code: ILV                                                            
     ISIN: ZAE000083846                                                         
     ("Illovo" or "the company")                                                
Trading statement                                                          
     This statement is issued in compliance with the Listings Requirements      
     (Section 3.4(b)) of the JSE Limited.                                       
     In terms of established practice, Illovo issues financial statements for   
the first six months of its financial year which reflect both actual       
     results based on International Financial Reporting Standards and, because  
     the sugar industry is a seasonal agriculturally based business, results    
     which are determined on a sugar season basis. It is the directors" opinion 
that the results determined on a sugar season basis provide a better basis 
     for evaluating the financial performance of the company.                   
     Illovo"s results are considerably impacted by the level of the rand        
     compared to other currencies, particularly the US dollar, and by the world 
price of sugar.                                                            
     Earnings are being positively impacted by rand realisations, the           
     improvement in the world sugar price since last year, improved domestic    
     sales and prices, and operating cost reductions, offset by decreases in the
production estimates in South Africa and Tanzania.  Consequently,          
     shareholders are advised that it is anticipated that both actual and sugar 
     season basis headline earnings per share ("heps") and earnings per share   
     ("eps") for the six months ending 30 September 2006 will be between 65% and
85% higher than the equivalent results in the corresponding period last    
     year.                                                                      
     For the full year to 31 March 2007, however, after taking account of the   
     strong performance in the second half of the previous financial year, it is
anticipated that heps and eps will be between 30% and 50% higher than in   
     the previous financial year. This assumes that the value of the rand and   
     the world sugar price continue at around their present levels. (It should  
     be noted that for the full year, there is no difference between actual     
results and those determined on a sugar season basis.)                     
     The forecast financial information on which this trading statement is based
     has not been reviewed or reported upon by the company"s auditors.          
     Mount Edgecombe                                                            
13 September 2006                                                          
     Sponsor: J.P.Morgan Equities Limited                                       
Date: 14/09/2006 08:36:06 AM Supplied by www.sharenet.co.za                     
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