Quarterly Disclosure In Terms Of Regulation 43 Of The Regulations Relating To Banks Capitec Bank Holdings Limited Registration number: 1999/025903/06 Registered bank controlling company Incorporated in the Republic of South Africa JSE ordinary share code: CPI ISIN code: ZAE000035861 JSE preference share code: CPIP ISIN code: ZAE000083838 QUARTERLY DISCLOSURE IN TERMS OF REGULATION 43 OF THE REGULATIONS RELATING TO BANKS Capitec Bank Holdings Limited and its subsidiaries (“group”), have complied with the Bank’s Act 1990 (as amended), which incorporates the requirements of the Basel Committee on Banking Supervision (Basel). In terms of Pillar 3 of the Basel rules, the consolidated group is required to disclose quantitative information on its capital adequacy ratios on a quarterly basis. The group’s consolidated capital position at the end of the second quarter for the 28 February 2016 financial year end is set out below: 2nd Quarter 2016 1st Quarter 2016 31 August 2015 31 May 2015 Capital Capital Adequacy Adequacy R’000 ratio % R’000 ratio % Common Equity Tier 1 capital (CET1) 11 736 293 29.5 11 280 204 30.1 Additional Tier 1 capital (AT1)(1) 181 278 0.5 181 278 0.5 TIER 1 CAPITAL (T1) 11 917 571 30.0 11 461 482 30.6 Total subordinated debt(1)(2) 1 723 270 1 702 670 Unidentified loan impairments 437 506 415 153 TIER 2 CAPITAL (T2) 2 160 776 5.4 2 117 823 5.6 TOTAL QUALIFYING REGULATORY CAPITAL 14 078 347 35.4 13 579 305 36.2 REQUIRED REGULATORY CAPITAL(3) 3 976 054 3 751 252 (1) Starting 2013, the non loss absorbent AT1 and T2 capital is subject to a 10% per annum phase-out in terms of Basel 3. (2) Starting 2013, a deemed surplus attributable to T2 capital of subsidiaries issued to outside third parties, is excluded from group qualifying capital in terms of the accelerated adoption of Basel 3. This deduction phases in at 20% per annum. (3) This value is 10% of risk-weighted assets, being the Basel global minimum requirement of 8% and a South African country-specific buffer of 2%. In terms of the regulations the Individual Capital Requirement (ICR) is excluded. 2nd Quarter 2016 1st Quarter 2016 31 August 2015 31 May 2015 LIQUIDITY COVERAGE RATIO (LCR) High-Quality Liquid Assets 6 339 307 5 852 360 Net Cash Outflows 624 522 652 409 Required LCR Ratio 60% 60% Actual LCR Ratio 1 015% 897% LEVERAGE RATIO Tier 1 Capital 11 917 571 11 461 482 Total Exposures 58 399 805 55 390 495 Leverage Ratio 20.4% 20.7% For the complete LCR and leverage ratio calculations refer to our website at www.capitecbank.co.za/investor-relations By order of the Board Stellenbosch 29 September 2015 Sponsor - PSG Capital (Pty) Limited Date: 29/09/2015 07:06:00 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.