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Release Date: 14/08/2019 17:10
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Credit rating announcement - BINRA

The South African National Roads Agency SOC Limited
Incorporated in the Republic of South Africa
(Registration number 1998/009584/30)
Company code: BINRA
(“SANRAL” or the “company”)


Noteholders are advised that credit rating agency, Global Credit Rating Co. (“GCR”), has on
13 August 2019, assigned national scale issuer ratings to SANRAL of A(ZA) and A1(ZA) in the long
term and short term respectively, with a local and international Stable Outlook.

The credit rating is premised upon the substantial ongoing financial support provided to SANRAL by
the South African government (the “Government”), which GCR expects to persist due to the
significance of the company’s economic role in the country and the guarantees issued by the
Government to the majority of SANRAL’s debt.

The credit rating is also constrained by SANRAL’s weak stand-alone financial profile which reflects
poor cash collections, high leverage and weak stand-alone liquidity. This is further exacerbated by the
non-payment of the Gauteng Freeway Improvement Project’s (“GFIP”) tolls which has placed
additional pressures on the cash flow.

The Stable Outlook stems from the expectation that the Government will continue to provide SANRAL
with the necessary financial support it requires to meet its financial obligations. The company’s credit
rating could improve if the GFIP toll payment issues were resolved, allowing SANRAL to move
towards financial self-sustainability and if measures were taken to ease the significant debt burden of
the Company’s financial obligations.

The      GCR      credit   rating    report     may    be   retrieved  at    the    following  link:

14 August 2019

Debt Sponsor
One Capital

Date: 14/08/2019 05:10:00
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