Exxaro - Unbundling of Kumba - apportionment of co
EXX
EXX
Exxaro - Unbundling of Kumba - apportionment of cost for tax purposes
Exxaro Resources Limited
(Previously Kumba Resources Limited ("Kumba"))
(Incorporated in the Republic of South Africa)
(Registration number: 2000/011076/06)
(Share code: EXX) & (ISIN: ZAE000084992)
("Exxaro" or "the company")
Unbundling of Kumba Iron Ore Limited - apportionment of cost for tax purposes
1. Introduction
Exxaro shareholders are referred to the circular dated 9 October 2006
("circular") relating to, inter alia, the unbundling of Kumba Iron Ore Limited
("Kumba Iron Ore"), and are advised that, in terms of the unbundling, Kumba Iron
Ore shares commenced trade on the JSE Limited ("JSE") with effect from the
opening of business on Monday, 20 November 2006. The company"s name has been
changed to "Exxaro Resources Limited" and this change of name became effective
on the JSE with effect from Monday, 27 November 2006.
The purpose of this announcement is to notify Exxaro shareholders of the ratio
to be used in the apportionment for tax purposes of the cost of a Kumba share
between the Exxaro share after the unbundling ("Exxaro share") and the Kumba
Iron Ore share received in terms of the unbundling ("Kumba Iron Ore share"). A
summary of the South African tax considerations was set out in the circular.
2. Apportionment ratio
The ratio of the respective market values of an Exxaro share and a Kumba Iron
Ore share on the JSE as at 17:00 on Tuesday, 28 November 2006 was 31.92%
relating to an Exxaro share and 68.08% relating to a Kumba Iron Ore share ("the
apportionment ratio").
The apportionment ratio is to be used to apportion the cost of a Kumba share
between an Exxaro share and a Kumba Iron Ore share for the determination of
profits and losses, of a capital and trading nature, derived on any future
disposals of Exxaro shares or Kumba Iron Ore shares.
Pretoria
29 November 2006
Merchant bank and joint sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Lead sponsor
JP Morgan Equities Limited
Date: 29/11/2006 01:57:21 PM Produced by the JSE SENS Department
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 has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
