Trading Statement: Year Ended 30 June 2012 RAND MERCHANT INSURANCE HOLDINGS LIMITED (Incorporated in the Republic of South Africa) (Registration number 2010/005770/06) JSE Ordinary share code: RMI ISIN: ZAE000153102 ("RMI” or “the group”) TRADING STATEMENT: YEAR ENDED 30 JUNE 2012 INTRODUCTION In terms paragraph 3.4(b) of the Listings Requirements of the JSE Limited, an issuer is required to publish a trading statement as soon as it becomes apparent that earnings per share (“EPS”) and/or headline earnings per share (“HEPS”) for the next reporting period are expected, with a reasonable degree of certainty, to differ by at least 20% from those of the previous corresponding reporting period. RMI regards normalised EPS from continuing operations (which excludes non-operational items and accounting anomalies) as the key indicator of the group’s operational performance. RESTATEMENT OF PRIOR PERIOD COMPARATIVE Shareholders are advised that following a change in accounting policy by a subsidiary, normalised EPS, HEPS and EPS for the prior period ended 30 June 2011 have been restated as follows: Period ended 30 June 2011 As originally Per share (cents) published As restated Normalised EPS – From continuing operations 128.4 131.5 HEPS - Excludes extra-ordinary items 106.4 110.0 EPS - From all activities 115.6 119.1 RMI’s audited results for the year ended 30 June 2012 will provide further analysis of the restatement. EARNINGS GUIDANCE FOR THE YEAR ENDED 30 JUNE 2012 The following guidance is provided to shareholders regarding the expected outcome for the year ended 30 June 2012: A. WHEN COMPARED TO THE RESULTS FOR THE PERIOD ENDED 30 JUNE 2011 AS ORIGINALLY PUBLISHED As originally Guidance for published year ended Per share (cents) 30 June 2011 30 June 2012 20% to 25% Normalised EPS 128.4 increase 50% to 55% HEPS 106.4 increase 30% to 35% EPS 115.6 increase B. WHEN COMPARED TO THE RESULTS FOR THE PERIOD ENDED 30 JUNE 2011 AFTER RESTATEMENT Guidance for Restated the year ended Per share (cents) 30 June 2011 30 June 2012 20% to 25% Normalised EPS 131.5 increase 45% to 50% HEPS 110.0 increase 25% to 30% EPS 119.1 increase The financial information on which this trading statement is based has not been reviewed and reported on by the group’s external auditors. RMI’s audited results for the year ended 30 June 2012 are expected to be released on SENS on or about Wednesday, 12 September 2012. Sandton 7 September 2012 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 07/09/2012 03:04:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.