Rand Leases - Trading And Strategy Update
Rand Leases Properties Limited
(Registration number 1978/000870/06)
(a company incorporated in South Africa)
("Rand Leases")
Share Code: RPR
ISIN Code: ZAE 000028254
TRADING AND STRATEGY UPDATE
Trading
Shareholders are advised that the results for the first six months and full
financial 2003 year will be lower than the comparative prior periods due to:
A decline in production volumes at the Bram Fischerville housing project, due to
delays in environmental approval and finalisation of the Phase Three Agreement
with the Department of Housing;
A lower than expected profit margin due to a high incidence of sub strata rock
on phase 2 of the Bram Fischerville project, and bad debts in the property
investment portfolio.
Strategy
As a result of the recent sale of the company"s property investment portfolio
the company has embarked on a restructuring process and has redefined its
strategic objectives to:
Concentrate on development projects in diverse property sectors and localities;
Reduce dependency on any single project;
Develop mutually beneficial empowerment partnerships.
Shareholders are advised that a number of projects are currently under
evaluation in areas, which meet the above criteria and show excellent prospects
for superior returns over the medium term.
As a result of this revised strategy the company is forecasting a return to
historical profit levels for the financial year ended 30 June 2004.
Distribution
The Board has re-evaluated its distribution policy and future distributions will
reflect profits earned after adequate provision has been made for development
needs.
Johannesburg
20 March 2003
Sponsor
Nedbank Corporate
Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
