FSR - FirstRand Limited - Impact of unbundling of Momentum Group Limited in
FSR
FSR
FSR - FirstRand Limited - Impact of unbundling of Momentum Group Limited in
terms of IFRIC 17 on basic earnings per share
FirstRand Limited
Registration No: 1966/010753/06
JSE Code: FSR ISIN: ZAE000066304 ("FSR") NSX share code: FST
Certain companies within the FirstRand Group are Authorised Financial Services
Providers
Trading Statement
IMPACT OF UNBUNDLING OF MOMENTUM GROUP LIMITED IN TERMS OF IFRIC 17 ON BASIC
EARNINGS PER SHARE
FirstRand Limited`s ("FirstRand" or "the Group") basic earnings per share for
the six months ended 31 December 2010 are expected to improve by at least 20%.
This is due to the significant gain arising from the unbundling of Momentum
Group Limited as a dividend in specie to its shareholders at fair value in terms
of IFRIC 17 Distributions of Non-Cash Assets to Owners.
As a result of this fair value gain and in accordance with the JSE Limited
("JSE") Listing Requirements, the Group is required to issue a trading
statement. However, as it is quite early in the reporting period, FirstRand
cannot with reasonable certainty, quantify the extent of the impact of the fair
value gain resulting from the Momentum unbundling within the 20% range required
by the JSE Listing Requirements.
Headline earnings per share are not impacted by this fair value gain as it is
excluded from headline earnings in terms of Circular 03/09 Headline Earnings.
It is anticipated that the Group will provide a further update for the six
months ended 31 December 2010 closer to the release of its interim results on or
about 8 March 2011.
The forecast financial information on which this trading statement is based has
not been reviewed and reported on by FirstRand`s external auditors.
Sandton
3 December 2010
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 03/12/2010 14:44:01 Produced by the JSE SENS Department.
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