EVRAZ HIGHVELD STEEL & VANADIUM LTD - Report in terms of S 132(3)(a) of the Companies Act No.71 of 2008

Report in terms of S 132(3)(a) of the Companies Act No.71 of 2008

EVRAZ Highveld Steel and Vanadium Limited
(Incorporated in the Republic of South Africa)
(Registration No: 1960/001900/06)
Share code: EHS ISIN: ZAE000146171
(“Highveld” or “the Company”)



REPORT IN TERMS OF S 132(3)(a) OF THE COMPANIES ACT NO.71 OF 2008

Shareholders are advised that the Joint Business Rescue Practitioners
have prepared a business rescue update report for June 2017 to the
Companies and Intellectual Property Commission and to all Affected
Persons in terms of Section 132(3) (a) of the Companies Act, 71 of
2008.



The Report


The content of the Report is as follows:

1. Introduction
   1.1. The business rescue proceedings of the Company have not been
        concluded within three months of the date of commencement
        thereof, and therefore this update report is being tabled in
        terms of section 132(3)(a) of the Companies Act 71 of 2008
        (“Act”).

   1.2. It is important to read this report in conjunction with the
        Business Rescue Plan (“Plan”) and previous update reports.

2. Update on Business Rescue Proceedings
  Structural Mill:
   2.1. Production continues in terms of the contract manufacturing
         agreement.

  Other Strategic Assets
   2.2. The joint BRPs continue to engage with buyers on several of
         the Company’s strategic assets.

  Employee Payments
   2.3. Employees have been paid approximately 17% (R 46 129 312) of
         the total amount owed to them. The last payment to employees
         was made on 26 June 2017.

3. Update Meeting:
   3.1. A general meeting of affected persons was held on 20 June 2017
         to provide affected persons with an update on the business
         rescue proceedings and to discuss the way forward. The
         presentation presented is available on the Company’s website.




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4. Proof of Claims
   4.1. The claims submission period has closed.
   4.2. Creditors are still being informed on a) whether their claim
         has been accepted and b) the quantum of such claim.
   4.3. Please refer any questions or queries relating to your claim
         to evrazhighveld@matusonassociates.co.za

5. Litigation

   5.1. The papers filed to date in the application and action against
        Air Liquide (Pty) Limited are available on the Company’s
        website.
   5.2. Affected Persons will be advised of further updates.

6. Suggested Way Forward

In terms of the Plan, the business rescue is proceeding in accordance
with Proposal 3, i.e. the wind-down of the Company.

7. Conclusion

It is the joint BRPs’ view that Proposal 3 will result in a better
outcome for all affected persons than a liquidation.

eMalahleni

03 July 2017

Sponsor: J.P. Morgan Equities South Africa (Pty) Ltd.




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