Pillar 3 Quarterly Disclosures as at 31 March 2018 FirstRand Limited (Incorporated in the Republic of South Africa) (Registration number 1966/010753/06) JSE ordinary share code: FSR Ordinary share ISIN: ZAE000066304 JSE B preference share code: FSRP B preference share ISIN: ZAE000060141 NSX ordinary share code: FST (FSR or the group) FirstRand Bank Limited (Incorporated in the Republic of South Africa) (Registration number 1929/001225/06) JSE company code interest rate issuer: FRII JSE company code debt issuer: FRD JSE company code ETF issuer: FRLE (FRB or the bank) PILLAR 3 QUARTERLY DISCLOSURES AS AT 31 MARCH 2018 In accordance with Pillar 3 of the Basel Accord, Regulation 43 of the Regulations relating to Banks requires the group to disclose quarterly information on its capital adequacy. The capital positions (excluding unappropriated profits) for the group and the bank for the quarter ended 31 March 2018 are set out below. R million FSR FRB Ordinary share capital and premium 8 046 16 808 Other reserves and non-controlling interests 96 233 63 885 Regulatory deductions (4 223) (2 145) Total Common Equity Tier 1 capital 100 056 78 548 Total Additional Tier 1 capital 3 977 1 200 Total Tier 1 capital 104 033 79 748 Tier 2 instruments 19 094 19 092 Other qualifying reserves 1 612 633 Regulatory deductions (2 602) (8) Total Tier 2 capital 18 104 19 717 Total qualifying capital and reserves 122 137 99 465 Minimum capital requirement Credit 61 440 53 889 Counterparty credit 2 983 2 897 Operational 13 470 10 684 Market 2 645 2 325 Equity investment 2 773 739 Other assets 5 336 2 473 Threshold items 1 606 411 Total minimum capital requirement 90 253 73 418 Common Equity Tier 1 capital ratio 12.3% 11.9% Tier 1 capital ratio 12.8% 12.1% Total capital ratio 15.1% 15.1% Notes: - Figures above have not been reviewed or reported on by the group’s external auditors. - FRB includes foreign branches and subsidiaries. - Available capital excludes unappropriated profits. - The disclosed minimum capital requirement excludes the confidential bank-specific individual capital requirement and add-on for domestic systemically important banks, and is reported at 11.125%. - There is currently no requirement for the countercyclical buffer add-on in South Africa. The group is required to calculate the countercyclical buffer requirement on private sector credit exposures in foreign jurisdictions where these buffer requirements are applicable. The current impact on the group is immaterial. - Whilst the accounting consolidation of the Aldermore transaction was effective 1 April 2018, the group settled the full cash amount for the acquisition on 20 March 2018. The impact of the full consolidation of Aldermore will be reported as part of the group’s year end results in September 2018. At 31 December 2017, this cash amount was reported as available cash balances, carrying a 0% risk weighting. For the period ended 31 March 2018, this cash payment was reclassified as a prepayment at a risk weighting of 100%, resulting in an increase in risk weighted assets and a resultant decline in the group capital ratios. ADDITIONAL DISCLOSURE Regulation 43 (2) and the BCBS Pillar 3 disclosure requirements require additional quarterly disclosure on capital, risk weighted assets, leverage and liquidity. These disclosures are available on the group’s website: https://www.firstrand.co.za/InvestorCentre/Pages/commondisclosures .aspx Sandton 31 May 2018 Sponsor RAND MERCHANT BANK (a division of FirstRand Bank Limited) Date: 31/05/2018 10:30:00 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.