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UCS
UCS
UCS - UCS Group Limited - Audited results for the year ended 30 September 2007
and dividend declaration
UCS Group Limited
Incorporated in the Republic of South Africa
Reg No. 1993/002253/06
ISIN: ZAE000016150
JSE code: UCS
Audited results for the year ended 30 September 2007 UCS is an IT business with
a primary focus on Software, Solutions and Services for selected markets.
35% increase in Revenue
64% increase in EBITDA
61% increase in HEPS
49% increase in Cash generated from operations
John Bright, CEO of the UCS Group commented "The Group has recorded another set
of excellent results for the year to September 2007. All business units
performed in line with, or exceeded expectations in terms of trading results for
the period and are expected to continue this trend into the new year. There are
challenges, however, with many major retailers facing a slowdown in consumer
spending. Despite this, we believe that the platform that we have in place will
allow us to continue the growth momentum established over the past years.
Overall, the Group is well positioned, strategically as well as operationally,
to deliver good growth in operating profits and cash flows for our 2008 year."
Enquiries:
UCS Group Limited 011 712 1300
John Bright, CEO 082 900 4793
Dean Sparrow, CFO 082 494 6803
College Hill 011 447 3030
Johannes Van Niekerk 082 921 9110
Fred Cornet 083 307 8286
Condensed Income Statement
for the year ended 30 September 2007
Audited Audited
12 months 12 months
30/9/2007 30/9/2006
R`000 R`000 % change
Revenue 1 070 539 793 367 34,9
Profit from operations before
depreciation, amortisation and
research
and development expenditure 270 613 170 949 58,3
Amortisation of intangible (27 954) (19 874) 40,7
assets
Depreciation of property, plant
and equipment
(including rental equipment) (34 124) (27 518) 24,0
Adjustment to goodwill (1 270) (4 344) (70,8)
Research and development (21 425) (18 872) 13,5
expenditure
Profit before interest and 185 840 100 341 85,2
taxation
Finance charges (8 281) (9 647) (14,2)
Investment revenues 6 963 4 493 55,0
Profit before taxation 184 522 95 187 93,9
Taxation (17 916) (5 371) 233,6
Profit for the year 166 606 89 816 85,5
Attributable to:
Equity holders` of the parent 153 254 83 458 83,6
Minority interest 13 352 6 358 110,0
Earnings per share (cents)
Basic 57,4 34,3 67,3
Diluted 54,1 32,3 67,5
Dividends paid per share (cents) 8,0 6,0 33,3
Net asset value per share (cents) 136,5 120,8 13,0
Ordinary shares in issue (`000) 283 841 249 108 13,9
Weighted average number of
ordinary shares
in issue (`000) 267 098 243 134 9,9
Diluted number of ordinary shares 283 496 258 373 9,7
(`000)
Headline earnings per share
(cents) restated
in accordance with circular 8/2007
Basic 34,7 21,6 60,6
Diluted 32,7 20,2 61,9
Condensed Balance Sheet at 30 September 2007
Audited Audited
30/09/2007 30/09/2006
R`000 R`000
ASSETS
Non-current assets 430 733 343 547
Property, plant and equipment 72 754 52 502
(including rental equipment)
Intangible assets 65 775 122 037
Goodwill 250 522 135 849
Investments and loans receivable 7 028 7 264
Deferred tax assets 34 654 25 895
Current assets 371 582 269 833
Inventory 28 034 23 148
Trade and other receivables 182 048 148 783
Loans receivable 15 915 -
Taxation 762 1 070
Cash and cash equivalents 144 823 96 832
Total assets 802 315 613 380
EQUITY AND LIABILITIES
Capital and reserves 410 769 339 444
Equity attributable to equity holders` 387 402 300 996
of the parent
Minority interest 23 367 38 448
Non-current liabilities 65 406 76 842
Long and medium term loans 55 277 57 325
Revenue received in advance - 7 048
Deferred tax liabilities 10 129 12 469
Current liabilities 326 140 197 094
Trade and other payables 205 980 158 813
Current portion of long and medium term 93 543 23 896
loans
Revenue received in advance 7 408 9 313
Taxation 19 209 5 072
Total equity and liabilities 802 315 613 380
Condensed Statement Of Changes In Equity
for the year ended 30 September 2007
Share
Preference based
Share share Share payment
capital capital premium reserve
R`000 R`000 R`000 R`000
Balance at 1 1 209 35 62 831 6 059
October 2005
Exchange
differences arising
on translation of
foreign operations
Net loss recognised
directly in equity
Net profit for the
period
Total recognised
income and expense
for the year
Ordinary shares 31 7 059
issued at a premium
Preference shares 6 (6)
converted to
ordinary shares
Preference shares (4) (123)
repurchased
Increase in share 2 034
based payment
reserve
Minority acquired
share of equity in
subsidiaries
Dividend paid
Balance at 30 1 246 25 69 767 8 093
September 2006
Exchange
differences arising
on translation of
foreign operations
Net loss recognised
directly in equity
Net profit for the
period
Total recognised
income and expense
for the year
Ordinary shares 167 84 457
issued at a premium
net of share issue
costs
Fair value
adjustments for
equity instruments
issued or to be 37 337
issued
Preference shares 6 (6)
converted to
ordinary shares
Preference shares (1) (35)
repurchased
Treasury shares (9) (8 076)
held
Increase in share 4 246
based payment
reserve
Argility Limited (158 448)
unbundling dividend
in specie
Dividend paid
Minority acquired
share of equity in
subsidiaries
Minorities share of
equity acquired
Balance at 30 1 410 18 25 002 12 339
September 2007
Foreign Attributable
currency to equity
translation Accumulated holders of Minority Total
reserve profit the parent interest Equity
R`000 R`000 R`000 R`000 R`000
Balance at 1 205 153 614 223 953 1 394 225 347
October 2005
Exchange (545) (545) (545)
differences
arising on
translation
of foreign
operations
Net loss (545) (545) (545)
recognised
directly in
equity
Net profit 83 458 83 458 6 358 89 816
for the
period
Total (545) 83 458 82 913 6 358 89 271
recognised
income and
expense for
the year
Ordinary 7 090 7 090
shares
issued at a
premium
Preference - -
shares
converted to
ordinary
shares
Preference (127) (127)
shares
repurchased
Increase in 2 034 156 2 190
share based
payment
reserve
Minority - 32 412 32 412
acquired
share of
equity in
subsidiaries
Dividend (14 867) (14 867) (1 872) (16 739)
paid
Balance at (340) 222 205 300 996 38 448 339 444
30 September
2006
Exchange 99 99 99
differences
arising on
translation
of foreign
operations
Net loss 99 99 99
recognised
directly in
equity
Net profit 153 254 153 254 13 352 166 606
for the
period
Total 99 153 254 153 353 13 352 166 705
recognised
income and
expense for
the year
Ordinary 84 624 84 624
shares
issued at a
premium net
of share
issue costs
Fair value
adjustments
for equity
instruments
issued or to 37 337 37 337
be issued
Preference - -
shares
converted to
ordinary
shares
Preference (36) (36)
shares
repurchased
Treasury (8 085) (8 085)
shares held
Increase in 4 246 224 4 470
share based
payment
reserve
Argility (5 224) (163 672) (163
Limited 672)
unbundling
dividend in
specie
Dividend (21 361) (21 361) (3 292) (24 653)
paid
Minority - 3 067 3 067
acquired
share of
equity in
subsidiaries
Minorities - (28 432) (28 432)
share of
equity
acquired
Balance at (241) 348 874 387 402 23 367 410 769
30 September
2007
Condensed Cash Flow Statement
for the year ended 30 September 2007
Audited Audited
12 months 12 months
30/9/2007 30/9/2006
R`000 R`000 % change
Cash flow from operating 118 850 86 982 36,6
activities
Cash generated from operations 178 720 120 330 48,5
Working capital changes (18 533) (1 121)
Cash generated from operating 160 187 119 209 34,4
activities
Net investment income and finance 433 (2 756)
costs
Dividend paid (24 307) (16 739)
Taxation (17 463) (12 732)
Cash applied to investing (69 055) (65 334) 5,7
activities
Cash (applied to) received from
financing activities (1 804) 34 078 (105,3)
Cash and cash equivalents
- Net increase 47 991 55 726
- At beginning of the year 96 832 41 106
- At end of the year 144 823 96 832 49,6
Condensed Segmental Analysis
for the year ended 30 September 2007
Audited Audited
12 months 12 months
30/9/2007 30/9/2006
R`000 R`000 % change
Revenue 1 070 539 793 367 34,9
Software 380 386 327 752 16,1
Solutions & Services 690 153 465 615 48,2
Profit from operations before
interest and depreciation
and amortization (EBITDA) 249 188 152 077 63,9
Software 128 384 47 554 170,0
Solutions & Services 129 846 81 516 59,3
Corporate and eliminations (9 042) 23 007
Profit before interest and 185 840 100 341 85,2
taxation
Software 101 066 25 348 298,7
Solutions & Services 95 560 57 211 67,0
Corporate and eliminations (10 786) 17 782
Depreciation, amortisation and 63 348 51 736 22,4
goodwill adjustment
Software 27 318 22 206 23,0
Solutions & Services 34 286 24 305 41,1
Corporate and eliminations 1 744 5 225
Research and development 21 425 18 872 13,5
expenditure
Software 17 707 15 069 17,5
Solutions & Services 3 718 3 803 (2,2)
Note: Comparative figures are
reclassified, where necessary, in
accordance with current year
classifications
Notes To The Financial Statements
1 Basis of preparation
The condensed group annual financial statements have been prepared using
accounting policies compliant with International Financial Reporting Standards
(IFRS), IAS34 Interim Financial Reporting, the JSE Limited listing requirements
and the South African Companies Act, 1973. For a better understanding of the
Group`s financial position, the results of its operations and cash flows for the
year, this summarised preliminary report of annual results should be read in
conjunction with the annual financial statements from which this announcement
was derived.
The accounting policies and method of computation used are consistent with those
applied in the preparation of the annual financial statements for the year ended
30 September 2007.
2 Reconciliation of earnings per share to headline earnings per share
Audited Audited
12 months 12 months
30/9/2007 30/9/2006
cents Cents % change
Basic earnings per share 57,4 34,3 67,3
Adjusted for:
Goodwill adjustment 0,5 1,8
Permanent dimunition in
proceeds
from sale of business - 0,3
Profit on dilution of - (11,7)
interest in business
Profit on sale of interest in (2,0) (0,9)
business
Profit on sale of
Intellectual Property
and Software Products
to Argility Limited (Product (20,5)
Co)
Profit on disposal of (0,2) (0,4)
property, plant & equipment
Basic headline earnings per 35,2 23,4 50,4
share as previously
calculated
Exclusion of assessed losses
not previously recognised
relating to the goodwill (0,5) (1,8)
adjustment excluded
Basic headline earnings per
share in accordance
with circular 8/2007 34,7 21,6 60,6
Audited Audited
12 months 12 months
30/9/2007 30/9/2006
R`000 R`000
3 Commitments
Capital 13 642 8 786
Operating leases 57 051 64 583
4 Borrowings
Interest bearing borrowings 126 942 79 613
Non-interest bearing 21 799 1 608
borrowings
148 741 81 221
5 Capital expenditure
Tangible assets 62 254 31 239
Intangible assets 19 593 76 277
81 847 107 516
6 Operating lease charges
Premises 21 242 19 237
Office equipment 573 323
Vehicles 37 -
21 852 19 560
7 Audit Opinion
The financial information has been audited by Deloitte & Touche whose unmodified
audit opinion is available for inspection at the registered office of the
company.
Commentary
Overview
UCS Group is a holding company for IT businesses with a primary focus on
Software, Solutions and Services for selected markets. The Group has achieved a
leadership position in the domestic retail market with more than 80% of the
permanent staff base of over 2 200 people involved in servicing this sector.
The Group has recorded another set of excellent results for the year to
September 2007. All business units performed in line with, or exceeded,
expectations in terms of trading results for the period.
The 48% top line growth in our Solutions & Services Division this year was
achieved through a combination of organic growth (16%) and corporate activity,
being the acquisition of controlling interests in the Lifeworld and DiverseIT
businesses with effect from March 2007 and the fact that the TSSMS and Quadrant
acquisitions contributed for the full 12 months following their entry into the
Group in July 2006. With effect from March 2007 we also increased our 74,9%
stake in UCS Solutions Holdings to 100%. It is pleasing to note that the 48% top
line growth in this expanded division translated into a 53% increase in
normalised divisional PBIT.
Our strategy of consolidating our software businesses acquired historically into
a larger, more cohesive unit trading under the UCS Software brand has continued
to deliver the planned benefits of improving margins, with a 16% top line growth
for the 2007 year translating into a 36% increase in normalised PBIT achieved.
We reported last year that we had reviewed our strategy for the development of
international markets for our `packaged product` offerings for retailers and
that we had decided that the most effective way of achieving significant volumes
(and value) would be through the launching of a separate business with its
primary focus being the creation of a leading brand and product suite for
selected verticals in the global retail industry, to be sold through a global
`channel` of appropriately selected and trained dealers.
Significant effort went into the execution of this strategy and with effect from
21 September we `unbundled` a business (Argility) which we created and which we
believe will become a competitive player in the international markets in the
years to come. This initiative included the sale of certain UCS IP and packaged
software products to Argility (the Active Retail and Dolfin product suites)
which resulted in significant profits totalling R54,4 million (net of tax which
amounted to R11,4 million) of a once off nature - these profits have been fully
disclosed and have been excluded from our `headline` earnings. It is important
to note that it is the IP of these two product suites and not the underlying
retail business objects or components that have been sold. The retail business
objects and components form part of the IP that is housed within our Software
Manufacturing facility (UCSSM).
The main benefits of this strategy for UCS will accrue through a 10% share of
future software licence revenues and an OPD (outsourced product development)
service with our specialist `retail domain` software manufacturing facility.
Revenues for UCS from the OPD contract will commence immediately, with the
impact from our share of licence revenues not expected to be material until
Argility is fully operational and generating significant volumes of business,
which is expected to take at least 2 years.
Due to the start up nature of Argility, it was decided not to list this business
immediately. Following the `unbundling` an `over-the-counter` (OTC) trading
platform was created and became operational on 1 November 2007. UCS shareholders
holding scrip in Argility are able to trade these shares through this facility,
which may be accessed through the www.otc.argility.co.za web site.
Following the successful creation and unbundling of the Argility business, the
Group is now re-positioning itself operationally and strategically to ensure
that we continue the growth momentum established over the past years and that
the correct management structures are in place to facilitate international
expansion of certain of our specialist retail solutions offerings.
Historically, the Group has been organised into two operating divisions, the
Solutions & Services Division and the Software Division, with appropriate
management structures and segmental reporting. Going forward into the new year,
this structure will be changed to facilitate more cohesive and efficient
domestic customer services, sales and marketing, as well as further
consolidation and positioning for international expansion. The new structure
will see the creation of 3 divisions - a Retail Solutions Division, an
Infrastructure Division and an Investments Division. Excluding the Investment
Division, where each operating business is `independently` managed, we expect to
see gradual improvements in margins through synergistic efficiencies driven by
grouping business units with similar focus and areas of expertise.
Management of the Retail Solutions Division will also assume responsibility for
the creation of our international presence in the retail solutions markets of
the UK and USA through two current initiatives.
Financial results
We recorded a major milestone in 2007, with revenues topping R1 billion for the
first time. It is important to note that the vast bulk of our revenues (2007:
86%; 2006: 87%) come from the sale of our own products and services rather than
the sale of 3rd party product, which means that we are able to manage our own
margins on the major portion of our revenues.
2007 was another year of good top-line growth, with revenues up by almost 35% to
R1 071 million from R793 million last year. Organic growth accounted for 16%
(2006: 19%) and the balance was attributable to the effect of current year and
prior year acquisitions. Annuity revenues grew by 23% to R590 million (2006:
R481 million) representing 55% of total revenues (2006: 61%). The decline in
annuity revenues as a percentage of total revenues was largely due to the
different revenue mix in the current and prior year acquisitions.
EBITDA grew significantly by 64% to R249 million (2006: R152 million) but
included `once off` profits of a capital nature of R74 million (2006: R30
million). Excluding these `once off` capital profits, the `normalised` EBITDA of
R175 million (2006: R122 million) showed a 43% increase over the prior year and
came in at 16,4% (2006: 15,4%) of revenues.
Headline earnings per share grew by 61% to 34,7 cents (2006: 21,6 cents
restated) although this included the impact of a R9,5 million deferred tax
credit (net of goodwill adjustment) passed to raise the deferred tax asset in
respect of the remaining accumulated tax losses in the UCS Solutions subsidiary.
Excluding this deferred tax credit, headline earnings per share would have come
in at 31,1 cents and shown an increase of 44 percent over the prior year
normalised 21,6 cents.
Our strong cash flows are attributable to our focus on the generation of annuity
revenue streams as well as continuous and effective management of our debtor
books. We are pleased to report a 49% increase in our cash generated from
operations to R179 million (2006: 120 million) which represents 102% (2006: 98%)
of our EBITDA excluding profits of a capital nature and which continues to
reflect the quality of our earnings. Cash and cash equivalent balances increased
by almost 50% to R145 million (2006: R97 million) despite the significant
additional working capital requirements of the enlarged Group.
Once again, the balance sheet has shown considerable change, which is largely
due to the corporate activities detailed in my overview above, a combination of
the effects of the acquisitions as well as the creation and `unbundling` of
Argility. Group debt increased to R149 million (2006: R81 million) driven
largely through the R50 million loan agreement with Argility as well as the R12
million recognition of the capped upside profit warranty payment due to the CEB
vendors, previously disclosed as a contingent liability. Of this debt balance at
year end R42 million (2006: R40 million) is true bank debt which amounts to
10,2% (2006: 11,8%) of equity. Total debt came to 36,3% (2006: 23,9%) of equity.
Management is satisfied at current levels of gearing based on the fact that the
Group is within its estimated optimal capital structure of 43% and still reports
a comfortable interest cover of approximately 13 times based on normalised PBIT.
The current ratio deteriorated to 1,1 to 1 (2006: 1,4 to 1) but with the post
balance sheet restructuring of debt (refer post balance sheet paragraph below)
and taking into consideration the R10,5 million current liability relating to
the final DiverseIT purchase consideration, which was equity settled post 2007
year end, the current ratio moves to 1.4:1 within the first quarter of the 2008
financial year.
Net asset value per share increased by 13% to 136,5c (2006: 120,8c) and tangible
net asset value per share showed a decline of 24% to 28,7 cents (2006: 37,8
cents).
During the year, the Group issued 34,7 million new ordinary shares of which 24,2
million were issued to TSS in terms of the "equity roll-up" BEE transaction and
2,4 million were issued in settlement of 50% of the purchase consideration for
51% of DiverseIT. The balance was issued to honour staff incentives inclusive of
the conversion of preference shares into ordinary shares on the achievement of
predefined growth targets. A total of 5,4 million share options were granted
during the year at a weighted average exercise price of 414,1 cents. After the
options forfeited during the year of 1,4 million and the options exercised of
6,5 million a total of 22 million options were outstanding at year end (2006:
24,5 million). Taking these factors into account the Group`s diluted headline
earnings per share increased by 62% to 32,7 cents (2006: 20,2 cents).
The Group accumulated 1,7 million shares during the 2007 financial year through
a general buy-back initiative to fund part of the purchase consideration in
respect of the post balance sheet Aquitec transaction. The board has the
authority to buy back up to 20 percent of the shares in issue, representing 50
302 637 shares.
Acquisitions
During the period under review UCS concluded the following acquisitions:
- The TSS (BEE) roll up transaction through which UCS acquired
the 25,1% outside shareholders interest in UCS Solution
Holdings (Proprietary) Limited from TSS in return for the issue
of 24,2 million UCS Shares. This transaction was approved by
shareholders at a general meeting held on 27 February 2007 and
became effective on 1 March 2007.
- The acquisition of 51% of DiverseIT Technology (Proprietary)
Limited (Formerly 3J Holdings) with effect from 1 March 2007
for R12,2 million settled through the issue of UCS Shares as
disclosed in an announcement to the market on 27 March 2007 and
which subsequently became unconditional on receipt of the
unconditional competition commission approval.
- The acquisition of a 51% interest (including sale claims) in
LifeWorld Relationship Management (Proprietary) Limited
("LifeWorld") with effect from 1 March 2007 for R2 million.
LifeWorld is a strategic loyalty programme consulting and
management business which provides a key component of the
overall expertise Group management envisage positioning in a
value added services division for the retail industry.
Black Economic Empowerment
As mentioned above, the transaction with TSS to buy back their 25,1% shares in
UCS Solutions Holdings has resulted in TSS becoming a significant shareholder in
UCS Group (9,5%). Together with other identifiable BEE shareholders on our
register, the Group is now 13,4% BEE-owned. Our target remains to get our BEE
shareholding to in excess of 25% within our strategy of combining increased BEE
ownership of UCS equity with growth opportunities for the UCS Group. In
addition, due to the diverse nature of the Group`s operations, we continue to
look for opportunities within this strategy at operating subsidiary level where
it is easier for potential partners to add specific value.
Post Balance Sheet Events
Subsequent to the financial year end Nedbank approved an application made by the
Group for medium term debt funding. The Group will be raising a R24m five year
term loan to fund the full and final settlement of the purchase consideration
owing to the vendors of CEB. Secondly the Group will be entering into a separate
5 year term loan to provide a back to back facility with the Bank which will
enable the Group to fund the repayments of the loan owing to Argility Limited of
R50m (R35m short term) which is repayable over the next 18 to 24 months. This
converts a significant portion of the Group`s short term debt into a longer term
facility thereby creating flexibility for the Group to utilise current cash
resources for other growth and investment related initiatives.
The Group has also signed agreements to acquire 100% of the business known as
Aquitec for US$6 million. Aquitec has an operation in the U.K. as well as in
Chicago in the U.S.A. and the target effective date of such acquisition is 1
December 2007 but is subject specifically to the securing of the necessary
approval from the South African Reserve Bank for the said offshore investment.
The Group sees an opportunity to not only acquire intellectual property that is
relevant to its large retail specific customer base but to access an established
offshore infrastructure with IT skilled personnel through which the Group could
leverage its South African based skills, products and intellectual property.
Following on from the BEE paragraph the Group also agreed to sell a 6% interest
in TSSMS with effect from 1 October 2007 back to TSS to ensure that TSSMS
retains its "black ownership" status despite recent and forecast movements in
the Group`s shares in issue. This interest was sold at original cost and is to
be funded by way of a Group loan account which is secured by the said shares and
attracts interest.
Contingent Liability
In terms of the management agreement entered into with TSS, there exists a
management incentive fee that is payable annually for a three year period ending
30 June 2009. The contingent liability (incentive fee) equates to that portion
of the profits which exceeds the warranted profits.
Prospects
We look forward to the new year with optimism and enthusiasm. Our drive for
margin improvement through improved efficiencies in previously merged business
units is expected to continue to deliver positive results and all other business
units within the Group are in a strong position to record another year of good
growth. We also intend to continue to look for synergistic acquisition
opportunities to expand our footprint or offerings within our chosen markets.
UCSSM is well positioned to record its maiden profits in 2008 and provided it is
successful in its international sales and marketing drive currently under way,
it is planned that this unit will be `unbundled` and listed separately from UCS
within the next 2 years.
We believe that this `unbundling` is necessary in order to complete our strategy
of separating the development of software packages and solutions from our core
UCS retail consulting, software implementation and integration, software support
and other IT services offerings. We also believe that this separation should
`unlock` significant value for our shareholders by allowing market forces to
establish the true value of the unique and exciting UCSSM business in its own
right.
However, there are challenges with many major domestic retailers facing a
slowdown in consumer spending, largely due to the recent spate of interest hikes
and curbing of consumer credit through the recently implemented National Credit
Act. Rapidly escalating fuel costs are also an area of concern with impacts on
both inflation and consumer discretionary spend. Although the UCS offerings are
not directly linked to our customers trading cycles, a reduction in new store
openings or closures of unprofitable retail outlets within our customer base
will have a small negative impact on our organic growth rate. In addition, the
IT market remains a challenging one, with rapid technology change and innovation
making long term planning an inexact science.
Despite these challenges, we believe that the platform that we have in place
will allow us to continue the growth momentum established over the past years as
the fundamental strength of our various business units should continue to
provide them with competitive advantage. Modest but positive contributions from
our international initiatives are expected to start flowing through in the 2nd
half of the year.
Overall, the Group is well positioned, strategically as well as operationally,
to deliver good growth in operating profits and cash flows for our 2008 year.
Dividend declaration
Notice is hereby given that the board of directors has declared a final dividend
of 5 cents per ordinary share in respect of the year ended 30 September 2007.
The dividend will be paid on Monday, 11 February 2008.
To comply with the procedures of STRATE, the last day to trade in the shares for
the purpose of entitlement to the final dividend is Friday, 1 February 2008. The
shares will commence trading ex dividend on Monday 4 February 2008 and the
record date will be Friday, 8 February 2008.
Share certificates may not be dematerialised or rematerialised between Monday 4
February 2008 and Friday, 8 February 2008 both days inclusive.
The directors have decided to maintain the policy of paying dividends twice a
year. Dividend cover may vary dependant on the Group`s projected cash
requirements. This policy will be reviewed regularly to ensure effective capital
management.
For and on behalf of the Board
DF Coles JD Bright
(Chairman) (Chief
Executive
Officer)
27 November 2007
Company Secretary
Corporate Governance CC
Registered office
20th Floor, 209 Smit Street,
Braamfontein 2001
PO Box 31266,
Braamfontein 2017
Transfer secretaries
Link Market Services South
Africa (Pty) Ltd
11 Diagonal Street,
Johannesburg 2001
PO Box 4844,
Johannesburg 2000
There is more to UCS than meets the eye. www.ucs.co.za
Date: 27/11/2007 08:01:04 Produced by the JSE SENS Department.
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