TOTAL CLIENT SERVICES LIMITED - Quarterly Progress Report

Quarterly Progress Report

TOTAL CLIENT SERVICES LIMITED
Incorporated in the Republic of South Africa
(Registration number 1998/025018/06)
Share code: TCS ISIN: ZAE000116208
(“TCS” or “the Company”)


QUARTERLY PROGRESS REPORT



Shareholders are referred to the cautionary announcement released on SENS on 22 November 2013, the
subsequent renewal of cautionary announcements, the last of which was dated 28 September 2015 and, in
terms of paragraph 1.10(c) of the JSE Listings Requirements relating to the continuing obligations of
suspended companies, are provided with a quarterly progress report on the current state of affairs of the
Company.

The Company continues to pursue various internal and external opportunities and initiatives in line with the
restructuring and rebuilding phase. These include the reduction of overhead and infrastructure costs, the exit
from non-profitable projects, the pursuit of new lucrative contracts and the increased sales of cameras and
equipment.

The lifting of the suspension on the JSE is a current priority for the Company. In order to apply for the un-
suspension of the share, the following is required:

    1. Announcement of the pro forma financial effects of the specific issue of shares to Slade Investments
       CC, as announced on SENS on 18 July 2014, on the results for the year ended 28 February 2014.
    2. Publication of the 2014 annual report and holding of the Annual General Meeting (“AGM”) held.
    3. Release of the results for the year ended 28 February 2015 and the annual report for 2015.
    4. Release of the interim results for the six months ended 31 August 2015 by 30 November 2015.

The completion and release of the 2014 annual report, as well as the August 2014 interim results and the
provisional 2015 year-end results have been delayed and are currently receiving urgent attention. The
reasons for these delays are largely related to the scope of the technical review process by the auditors and
the limited internal resources to support this process.

The Company continues to work closely with the auditors to finalise all of these outstanding financial matters,
and expects to have them completed and released during October 2015.

A formal meeting of the members of the Board of TCS (“the Board”) took place on 24 July 2015. The
scheduling of the AGM is a priority, but is largely dependent on the completion of the financial statements for
inclusion in the annual report. The intention is to have the all the above, including the AGM, concluded by no
later than the end of November 2015.

In addition to the Polokwane contract (secured in December 2014), the project with the Namibian National
Police (secured in January 2015), the Tlokwe contract (Potchefstroom) from 1 June 2015, Matlosana
contract (Klerksdorp) from 1 June 2015 and Rustenburg contract from 1 July 2015, the Company also
received an appointment from the Buffalo City Metropolitan Municipality effective from 1 October 2015.
These areas are traditionally strong performers and the expected income will form the basis of the
operations going forward. Successful implementation and roll-out is of great importance and the Company is
well prepared to deliver in this regard.

The focus for TCS will remain on increasing and stabilising income from the successful implementation of the
new projects and achieving optimum production levels in all contracts. This, together with certain final
restructuring and cost-saving initiatives, will see the Company stabilise over the next three to six months.


Centurion
30 September 2015

Designated Adviser
Merchantec Capital

Date: 30/09/2015 04:15:00 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.