Amendment of the credit ratings of Santam Limited SANTAM LIMITED (Incorporated in the Republic of South Africa) (Reg. No 1918/001680/06) (JSE Share Code: SNT) (NSX Share Code: SNM) (ISIN: ZAE000093779) (“Santam” or “the company’) Amendment of the credit ratings of Santam Limited Santam Limited (“Santam”) has been advised by global ratings agency Standard & Poor’s (S&P) that, as a result of the rating agency’s lowering of the Republic of South Africa’s long-term foreign currency sovereign credit rating from BBB to BBB- on 13 June 2014, Santam’s long-term counterparty credit and insurer financial strength rating has been adjusted from A- to BBB+, maintaining a rating of two notches above the sovereign rating. At the same time, S&P affirmed the 'zaAA+' South Africa national scale rating on Santam, leaving our local policyholders and note holders unaffected. The revised rating is a reflection of S&P’s view on South Africa and has not been driven by any change in the financial performance of Santam. S&P have also revised the indicative stand-alone credit profile of Santam upward by one notch to ‘A’ following the revision of their assessment of Santam's enterprise risk management (ERM) to ‘strong’ from ‘adequate with strong risk controls’. This places their assessment of Santam's risk management capabilities in line with those of the world’s leading insurers. Santam’s long-term counterparty credit and insurer financial strength rating differential is however constrained at two notches by the local currency sovereign credit rating. The financial fundamentals and strength of Santam remain robust and the business continues to grow through its diversification strategy. Alternative arrangements to support growth in territories outside of South Africa, in situations where this is dependent on Santam’s S&P international scale rating, were put in place towards the end of 2013. In terms of these arrangements Santam has the facility to use an international insurer’s AA-rated licence for such business, if required. As set out in the Santam operational update, published on 27 May 2014, Santam experienced improved underwriting results during the 4 month period to 30 April 2014 compared to the same period in 2013. The solvency margin remained comfortably within the target range of 35% to 45%. 25 June 2014 Sponsor: Investec Bank Limited Date: 25/06/2014 09:22:00 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.