Business Partners LIMITED (BUSINESS PARTNERS)

Business Partners has a March year-end and therefore its results for the twelve months to 31 March 2014 have been equity accounted in Remgro’s results for the year under review. Headline earnings attributable to Remgro for the year under review amounted to R33 million (2013: R32 million). This increase is partly due to Remgro’s increased shareholding in Business Partners from 29.9% to 42.5% in the second half of the previous year.

Headline earnings of Business Partners for the twelve months ended 31 March 2014 amounted to R78 million (2013: R89 million), representing a decrease of 12% compared to the previous year. The decrease is mainly as a result of higher staff costs due to increases in post-retirement benefits and provisions, as well as increased financing costs due to higher average borrowings.

During the year under review, funding for 313 (2013: 251) investment projects amounting to R865 million (2013: R601 million) was disbursed, while the risk in the investment portfolio has improved as non-performing loans decreased from 17.9% of the portfolio at 31 March 2013 to 16.3% at 31 March 2014.