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JSE LIMITED - GEN - Index Change Advice - FTSE/JSE Ground Rules Extended Review Notice Period

Release Date: 27/01/2014 17:07
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GEN - Index Change Advice - FTSE/JSE Ground Rules Extended Review Notice Period

                  Extended Implementation Notice Period
                       FTSE/JSE Africa Index Series

                                  27 January 2014
In order to align with other FTSE Partnership indices, and after ratification by the
FTSE/JSE Advisory Committee at their meeting on 11 December 2013, FTSE/JSE
confirms that it will extend the implementation notice period for the FTSE/JSE Africa
Index Series to give clients an extra 5 business days’ notice to prepare for the trades
involved following each review from March 2014.

To accommodate the extended implementation notice period for the FTSE/JSE Africa
Index Series, the data cut-off date for determining index inclusions and exclusions will
also change.

The following associated rule changes will take effect from March 2014:

Addition to Current Rule

4.4.3 Liquidity

Securities in the FTSE/JSE Africa Index Series will be reviewed annually in December for
liquidity*. Any period of suspension will not be included in the test. The liquidity test
will be applied on a pro-rata basis where the testing period is less than 12 months.

* When calculating the liquidity trades per month of any security, a minimum of 5
trading days in each month must exist, otherwise the month will be excluded from the
test.




Current Rule

5.1 Review Dates

5.1.1 The quarterly review of the FTSE/JSE Africa Index Series constituents takes place
in March, June, September and December. The meeting to review the constituents will
be held on the Wednesday after the first Friday of March, June, September and
December using data for the purpose of determining full market cap as at the close of
business on the last trading day of February, May, August and November. Any
constituent changes will be implemented on the next trading day following the third
Friday of the same month of the review meeting.

5.1.3 The Shariah screening from Yasaar will be reassessed quarterly in March, June,
September and December. The Shariah screening process uses data as at the last
working day of February, May, August and November taking into account new companies
being added to the FTSE/JSE All-Share Index and the FTSE/JSE Top 40 Index and
implemented on the working day after the third Friday of March, June, September and
December.

New Rule

5.1 Review Dates

5.1.1 The quarterly review of the FTSE/JSE Africa Index Series constituents takes place
in March, June, September and December. The meeting to review the constituents will
be held on the Wednesday before the first Friday of March, June, September and
December using data for the purpose of determining full market cap as at the close of
business on the Monday 4 weeks prior to the review effective date. Any constituent
changes will be implemented after the close of business on the third Friday of the review
month (i.e. effective Monday).

5.1.3 The Shariah screening from Yasaar will be reassessed quarterly in March, June,
September and December. The Shariah screening process uses data as at the close of
business on the Monday 4 weeks prior to the review effective date taking into account
new companies being added to the FTSE/JSE All-Share Index and the FTSE/JSE Top 40
Index and implemented after the third Friday of the review month (i.e. effective
Monday).




Current Rule

6.1 Removal and Replacement

6.1.6 Constituents removed in accordance with Rule 6.1.4, but which continue to trade
thereafter will be considered for re-inclusion to the index at the next review, subject to
Section 4 and that at least 6 months has passed between deletion and the
implementation date of the changes arising from the review.

New Rule

6.1 Removal and Replacement

6.1.6 Constituents will be deleted from the index when confirmation is received that all
offer conditions have been met and acceptance levels have reached a minimum of 85%
and that any new shares of the bidding company (if applicable) are listed. A company
deleted following a takeover, with a remaining free float of 15% or less, will not be re-
considered for index inclusion until completion of a one year trading record.

6.1.7 Constituents removed in accordance with Rule 6.1.4, but which continue to trade
thereafter will be considered for re-inclusion to the index at the next review, subject to
Section 4 and that at least 6 months has passed between deletion and the
implementation date of the changes arising from the review.




Current Rule

13.4 Periodic Review of Constituents (Dividend+ Index)
The index will be reviewed semi-annually in March and September as part of the
FTSE/JSE quarterly index review.

At the time of the semi-annual review the selection of Dividend+ Index constituents is
based on data taken on review cut date (last trading day of the month prior to review
month). Dividend+ factors for constituents are calculated using price data from the
second Friday of March and September.

New Rule

13.4 Periodic Review of Constituents (Dividend+ Index)

The index will be reviewed semi-annually in March and September as part of the
FTSE/JSE quarterly index review.

At the time of the semi-annual review the selection of Dividend+ Index constituents is
based on data taken on review cut date (the Monday 4 weeks prior to the review
effective date). Dividend+ factors for constituents are calculated using price data from
the second Friday of March and September.

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Alternatively please visit our website at www.ftse.com or www.ftsejse.co.za

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