Trading statement LIFE HEALTHCARE GROUP HOLDINGS LIMITED (Incorporated in the Republic of South Africa) (Registration number: 2003/002733/06) ISIN: ZAE000145892 Share Code: LHC (“Life Healthcare” or “the Group” or “the Company”) TRADING STATEMENT Further to the announcement released on the Stock Exchange News Service of the JSE Limited on 22 July 2016, shareholders are advised that the impact of the reduction in tariffs in Poland on the operations has been determined. This will result in an impairment of approximately R370 million to the carrying value of the investment in Poland in the Group’s results for the year ended 30 September 2016. The Group is reviewing its cost base and continues to drive integration efficiencies in the business to mitigate the impact of the tariff reductions. As a consequence of the impairment, Life Healthcare’s earnings per share (“EPS”) for the year ended 30 September 2016 will be between 145cps and 160cps, a decline of between 19.4% and 11.1% below the earnings per share for the year ended 30 September 2015 of 179.9cps. Headline earnings per share (“HEPS”) for the year ended 30 September 2016 will be between 180cps and 200cps, a growth of between 0.1% and 11.2% above the headline earnings per share for the year ended 30 September 2015 of 179.9cps. The financial information on which this trading update is based has not been reviewed and reported on by the Company’s external auditors. The Company expects to release its annual financial results for the year ended 30 September 2016 on SENS on or about 11 November 2016. Illovo 21 October 2016 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 21/10/2016 10:00:00 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.