Changes to the Board and Board Committees KAP Industrial Holdings Limited (Incorporated in the Republic of South Africa) Registration number: 1978/000181/06 Share code: KAP ISIN: ZAE 000171963 (“KAP” or “the company”) CHANGES TO THE BOARD AND BOARD COMMITTEES In accordance with paragraph 3.59 of the Listings Requirements of the JSE Limited, shareholders are advised of the following changes to the board and committees with effect from 18 November 2014: BOARD RESTRUCTURING / APPOINTMENT OF CEO: Having successfully overseen the integration in 2012 of the African industrial businesses of Steinhoff International Holdings Limited with the company’s businesses and having managed the subsequent sale of non-core activities within the KAP group (the “group”), Mr. K J Grové (65) will step down as chief executive officer but will continue to serve on the board as executive deputy chairman. Mr. J de V du Toit (60) will remain as the company’s independent non-executive chairman. Mr. G N Chaplin (44), chief executive officer of the company’s integrated timber division, has been appointed to the board and will replace Mr. Grové as chief executive officer of KAP. Prior to this appointment, Mr. Chaplin’s duties within the group included responsibility for the group’s PG Bison Proprietary Limited operations and oversight of the group’s two largest manufacturing divisions, Hosaf and Feltex. Mr. G Victor (48), who has served on the board of PG Bison Proprietary Limited since 2009 and who has extensive experience in the timber-based panel industry, will succeed Mr. Chaplin as chief executive officer of the integrated timber division. RETIREMENT OF INDEPENDENT NON-EXECUTIVE DIRECTOR Mr. J B Magwaza (72), who has served on the board of the company since 2004 as an independent non-executive director, elected not to stand for re-election to the board at the annual general meeting held on 18 November 2014 and, in accordance with the company’s memorandum of incorporation, retires from the board on this date. The board places on record its appreciation of the valuable contribution made by Mr. Magwaza towards the affairs of the group over the 10 years of his service and the best wishes of the board accompany Mr. Magwaza. Mr. Magwaza also steps down as chairman of the company’s human resources and remuneration committee and as a member of the company’s nomination committee. Mr. S H Müller, independent non-executive director, has been appointed to replace Mr. Magwaza in these positions. Johannesburg 18 November 2014 Sponsor PSG Capital Date: 18/11/2014 03:40:00 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.