Capital Adequacy – Annual Report 30 June 2015 SASFIN HOLDINGS LIMITED (Incorporated in the Republic of South Africa) Registration Number 1987/002097/06) Ordinary share code: SFN ISIN: ZAE000006565 Preference share code: SFNP ISIN: ZAE000060273 (“Sasfin” or “the Group” or “the Company”) SASFIN HOLDINGS LIMITED / SASFIN BANK LIMITED CAPITAL ADEQUACY – ANNUAL REPORT 30 June 2015 Annual Report in terms of Regulation 43 (1) (e) (ii) of the Banks Act 1990 (as amended). Sasfin Holdings Limited and Sasfin Bank Limited are required in terms of the requirements of the Banks Act and Basel III, to report on their capital management plan, capital strategy, capital structure, capital adequacy and leverage ratio publicly. The Group's capital management plan and strategy are fully disclosed in the Group's 2015 Audited Annual Financial Statements which are available at www.sasfin.com or from the Company Secretary. Sasfin Holdings Limited and Sasfin Bank Limited capital structure, capital adequacy, leverage and liquidity coverage ratios at 30 June 2015 are disclosed below. Sasfin Bank and Sasfin Bank Limited Sasfin Holdings Limited Subsidiaries R'000 % R'000 % R'000 % Capital Structure and Capital Adequacy levels 1 Total risk weighted assets and exposures 6 438 358 5 131 405 4 175 977 Credit risk 3 877 689 3 627 549 3 131 277 Operational risk 808 434 461 929 382 020 Market risk 85 822 85 822 4 724 Equity investment risk 741 500 136 331 136 331 Securitisation risk 392 263 392 263 392 263 Other risk 532 650 427 511 129 362 2 Common equity Tier 1 capital 1 177 311 18.29 1 052 018 20.50 884 158 21.17 Share capital and premium 144 327 463 476 463 476 Distributable reserves and other 1 037 821 632 354 425 964 Prescribed deductions and non-qualifying reserves 19 465 -8 256 -5 282 Intragroup investments -24 302 -35 556 - 3 Additional Tier 1 capital Non-redeemable preference share capital 136 815 2.12 - - - - 4 Total Tier 1 capital 1 314 126 20.41 1 052 018 20.50 884 158 21.17 5 Tier 2 capital 28 922 0.45 37 525 0.73 36 215 0.87 Sub-ordinated debt 21 379 29 982 29 982 General allowance for credit impairment 7 543 7 543 6 233 Total qualifying capital and capital adequacy ratio 1 343 048 20.86 1 089 543 21.23 920 373 22.04 6 Minimum required capital and reserves 643 836 10.00 513 140 10.00 417 598 10.00 Leverage and liquidity coverage 7 Total Exposures for Leverage disclosure 11 392 063 8 903 922 5 756 473 8 Leverage ratio (Total Tier 1 capital / Total exposures) 11.54 11.82 15.36 9 Minimum required Leverage Ratio 4.00 4.00 4.00 10 Liquidity coverage ratio 381.00 11 Benchmark liquidity coverage ratio 60.00 12 The South African economy continues to face significant macro-economic pressure from falling commodity prices, further devaluation of the rand and sovereign rating concerns. This is exacerbated by the local electricity challenges which are negatively impacting meaningful economic growth. Sasfin Holdings Group Limited and Sasfin Bank Limited continue to maintain their strong capital and liquidity positions. Total Capital Adequacy, Tier 1 Capital Adequacy, Leverage and Liquidity coverage ratios significantly exceed the minimum regulatory requirements, in full compliance with Basel III. 30 September 2015 Lead Sponsor KPMG Services (Pty) Limited Joint Sponsor Sasfin Capital (a division of Sasfin Bank Limited) Date: 30/09/2015 03:54:00 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.