TRUWORTHS INTERNATIONAL LIMITED - Cash fraction applicable to the capitalisation share award

Cash fraction applicable to the capitalisation share award

Truworths International Limited
(Incorporated in the Republic of South Africa)
(Registration number 1944/017491/06)
(Income tax reference number 9875/145/71/7)
JSE Code: TRU
NSX Code: TRW
ISIN: ZAE000028296
(“Truworths” or “the company”)

CASH FRACTION APPLICABLE TO THE CAPITALISATION SHARE AWARD

Shareholders are referred to the announcements published on the Stock
Exchange News Service (SENS) on Thursday, 18 August 2016 and Tuesday,
23 August 2016, wherein shareholders were advised that Truworths declared
a capitalisation award for the 52-week period ended 26 June 2016 by way of
the issue of fully paid capitalisation shares to shareholders reflected in the
company’s register on the record date, being Friday, 16 September 2016
(record date) (capitalisation share award).

A circular setting out the terms of the capitalisation share award and cash
dividend alternative, including a form of election, was posted to shareholders
on Tuesday, 23 August 2016.

As an alternative to receiving the capitalisation share award, ordinary
shareholders will be entitled to elect to receive a gross cash dividend of 182
South African cents per ordinary share which will be paid only to those ordinary
shareholders who elect to receive the cash dividend in respect of all or part of
their shareholding, on or before 12:00 on the record date (cash dividend
alternative).

The ratio applicable to the capitalisation share award entitlement was
announced on SENS on Tuesday, 6 September 2016, being 2.54294
capitalisation shares for every 100 ordinary Truworths shares held on the
record date.

Where the application of the ratio gives rise to a fraction of a new ordinary
share, such fraction will be rounded down to the nearest whole number,
resulting in the allocation of whole ordinary Truworths shares and a cash
payment of a fraction (rounding provision).

In accordance with the requirements of the JSE Limited (JSE), the cash
payment has been determined with reference to the volume weighted average
price of an ordinary Truworths share traded on the JSE on Wednesday, 14
September 2016 (being the day on which a Truworths ordinary share began
trading ‘ex’ the entitlement to receive the capitalisation share award or cash
dividend alternative) of R72.12681, discounted by 10%.

Shareholders are accordingly advised that the applicable gross cash payment
per fractional entitlement will be based on an amount of R64.91413 per share.
The net cash payment per fractional entitlement is R55.17701 per share for
shareholders who are subject to a 15% dividend withholding tax.

Example of fractional entitlement:

This example assumes that a shareholder holds 100 ordinary shares at the
close of business on the record date and does not elect to receive the cash
dividend alternative in respect of all or part of their shareholding.

New ordinary share entitlement: 100 x 2.54294% = 2.54294 new ordinary
shares.

The rounding provision described above is then applied and the shareholder
will receive:
    - 2 capitalisation shares in respect of the 100 ordinary shares held; and
    - a gross cash payment for the fractional entitlement, based on the
      R64.91413 per share amount noted above, of 0.54294 x R64.91413 =
      R35.24448, before dividend withholding tax.

This fractional entitlement payment will, where applicable, be subject to 15%
dividend withholding tax, resulting in a net cash payment of R29.95781.

Cape Town
15 September 2016

Sponsor in South Africa
One Capital

Date: 15/09/2016 10:18:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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