General trading update Astral Foods Limited ("Astral Foods" or “Astral”) Registration number: 1978/003194/06 JSE Code: ARL ISIN: ZAE000029757 General trading update In line with the outlook published in our 2016 financial year results on 21 November 2016, trading for the first quarter ended 31 December 2016 was negatively impacted by the following: - weakened consumer spending; - lower kilograms sold mainly as a result of the new brining regulations; - high maize and soya meal prices that will continue up to May 2017 when the new harvest season starts; and - continuously high levels of imported poultry, not impacted by the safeguard duty implemented as recommended by International Trade Administration Commission of South Africa (ITAC). In addition to the above, Astral introduced planned production cutbacks in order to alleviate the pressure on the overstocked poultry levels. Shareholders are advised that the operating profit for the first quarter was 70% lower than the corresponding period. This decline was expected given the reasons provided above and indications are that trading conditions that gave rise to this lower profitability, will continue well into 2017. Based on the first quarter’s results and the continuation of the current unfavourable trading conditions, both the earnings per share (EPS) and headline earnings per share (HEPS) are expected to be down not more than 75% on the results for the previous year’s comparative period. This implies that both the EPS and the HEPS for the six months to March 2017 is expected to be at least 194 cents per share (2016: EPS 777 cents per share and HEPS 774 cents per share). A trading statement on the results for the first half of the 2017 financial year will be released once a more definite range of the expected earnings can be provided. It is expected that the interim results for the six months to 31 March 2017 will be published on 15 May 2017. The information on which this general trading update is based has not been reviewed or reported on by Astral Foods’ auditors. Pretoria 6 February 2017 Sponsor JP Morgan Equities South Africa (Pty) Ltd Date: 06/02/2017 07:05:00 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.