Trading Statement and Business Update SUN INTERNATIONAL LIMITED (Incorporated in the Republic of South Africa) (Registration number: 1967/007528/06) Share code: SUI ISIN: ZAE000097580 ("Sun International" or “the Company”) TRADING STATEMENT AND BUSINESS UPDATE Introduction The Sun International group (“the Group”) is currently finalising its financial results for the half-year period ended 30 June 2018, which are expected to be released on the Stock Exchange News Service of the JSE Limited (“SENS”) on or about Monday 3 September 2018. Trading Statement for the Half Year Ended 30 June 2018 Shareholders are advised that a reasonable degree of certainty exists that the Company’s: - basic earnings per share for the financial half year ended 30 June 2018 is expected to be a profit of between 99 cents per share and 119 cents per share compared against the prior corresponding period’s loss of 59 cents per share; - headline earnings per share for the financial half year ended 30 June 2018 is expected to be a profit of between 112 cents per share and 135 cents per share compared against the prior corresponding period’s headline earnings loss of 78 cents per share; and - adjusted diluted headline earnings per share is expected to be a profit of between 96 cents per share and 115 cents per share against the prior corresponding period’s profit of 198 cents per share. Business Update Trading in the first half of the year remained challenging in South Africa with continued pressure on disposable income, a VAT increase and a deteriorating economic climate. Trading in Chile remained subdued while in Peru good growth was experienced. During the period under review, Group income increased by 4% to R7.9 billion. South African comparable income (excluding Time Square, Fish River and Morula) was up by 1%. In Chile, income increased by 2% with Monticello income up by 6%. With the closure of the Sun Nao casino in December 2017 and the downscaling of the Ocean Sun casino’s operation, income from Colombia and Panama was well down on the prior corresponding period. Group EBITDA increased by 6% to R2.0 billion while on a comparable basis Group EBITDA increased by 2% to R1.8 billion. The increase in the VAT rate from 14% to 15% affected EBITDA by approximately R21 million. Time Square has shown strong growth in activity although the win percentage has been well below expectation. Time Square achieved income of R582 million and EBITDA of R130 million for the 6 month period. Recent trading has been encouraging with casino income in July up 32% on the prior corresponding period. The Group’s attributable loss from Time Square increased from R63 million in the prior corresponding period to R182 million during the period under review due to higher depreciation and interest charges together with no tax relief from the losses. Rights Offer and Borrowings Shareholders are referred to the rights offer which was oversubscribed by shareholders and successfully concluded by the Company during the review period, when an amount of R1.6 billion was raised as a result thereof. Following the conclusion of the rights offer, Sun International’s borrowings, as at 30 June 2018 stood at R15.1 billion, of which R9.7 billion was attributable to the South African balance sheet. The South African debt to EBITDA ratio which was 3.7x at 31 December 2017, reduced to 3.2x at 30 June 2018. The debt in Latam increased following the acquisition of a minority’s 20% interest in Sun Dreams (10% effectively acquired by Sun International) and the acquisition of Thunderbird Resorts in Peru. This trading statement and business update has not been reviewed or reported on by Sun International’s external auditor. By order of the Board. Johannesburg 21 August 2018 Sponsor to Sun International INVESTEC BANK Date: 21/08/2018 05:05:00 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.