AfricaInvestor Day 3 October 2012

Footprint Development

Libya

CoteD’Ivoire

Algeria

Mali

Ghana

Mauritania

Sudan

Niger

Ethiopia

Chad

GuineaNigeria

Tunisia

Egypt

Morocco

CentralAfrican Republic

Benin

Burkina Faso

D’Ivoire

Botswana

Kenya

DRC

Somalia

Ghana

Uganda

Angola

Zambia

Ethiopia

Namibia

South

Africa

Tanzania

Gabon

CentralAfrican Republic

Zimbabwe

Swazi-

land

Lesotho

Malawi

Cross Border Services

Markets of Future Interest

Current Transactions

Current Footprint

Footprint Development

Libya

CoteD’Ivoire

Algeria

Mali

Ghana

Mauritania

Sudan

Niger

Ethiopia

Chad

GuineaNigeria

Tunisia

Egypt

Morocco

CentralAfrican Republic

Benin

Burkina Faso

D’Ivoire

Botswana

Kenya

DRC

Somalia

Ghana

Uganda

Angola

Zambia

Ethiopia

Namibia

South

Africa

Tanzania

Gabon

CentralAfrican Republic

Zimbabwe

Swazi-

land

Lesotho

Malawi

Cross Border Services

Markets of Future Interest

Current Transactions

Current Footprint

RTT

Key Corridors and Routes

Libya

CoteD’Ivoire

Algeria

Mali

Ghana

Mauritania

Sudan

Niger

Ethiopia

Chad

GuineaNigeria

Tunisia

Egypt

Morocco

CentralAfrican Republic

Benin

Burkina Faso

• Foundation Expand

• Corridor Development

• End to End Ownership

D’Ivoire

Botswana

Kenya

DRC

Somalia

Ghana

Uganda

Angola

Zambia

Namibia

South

Africa

Tanzania

Gabon

African Republic

Zimbabwe

Swazi-

land

Lesotho

Malawi

Corridors/Routes of Importance

Africa Offering End to EndM

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Ma

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Dis

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Wh

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sale

Re

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Ma

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Re

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Se

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Tra

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ain

Tra

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Tra

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(Sh

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)

Tra

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ile

Potential Imperial Customers with current service offering

Tra

de

rs S

tre

et

Logistics/Transport

FMCG/Sales

Imperial Africa Unique Value Proposition

Risks

• Tobacco legislation and the impact on basket offerings within

market

• Food price shocks against backdrop of increased staple prices

due to droughts in different parts of world

• High inflation in some markets and superficial low inflation in

other markets due to government subsidiesother markets due to government subsidies

• Increased fuel costs due to global oil price increases would

have substantial impact on either consumer costs, OPEX or

both, not conducive to growth

• Political turmoil that could spread across markets

• Volatile currency fluctuations between markets, including hard

currency shortages and prohibitive exchange controls

Challenges

• Paved road density in most of African territories very low,

especially for secondary distribution

• Basic infrastructure such as constant power still lagging behind

development

• Border delays and red tape inflating cost of doing business and

goods/service velocitygoods/service velocity

• Africa is a huge continent with different cultures, legislation,

regulation and development stages

• Quality of earnings and valuation of some companies

earmarked for acquisition across the continent

• Port congestion at key ports due to high volumes and under

developed systems and infrastructure

Opportunities

• Intra-African trade

• African manufacturers and exports to regional countries

• Focus of multi-nationals on African Continent and need for

logistics and distribution services

• Unique and comprehensive offering that ILAD can offer to

Brands/Manufacturers and Distributors due to Logistics and Brands/Manufacturers and Distributors due to Logistics and

FMCG offering that can be made by ILAD, End-to-End offering

• Expansion of basket offerings such as pharmaceuticals

• The need for best practice by customers in the logistics and

distribution area, which ILAD can offer

• Partnership development with companies requiring

comprehensive end to end services

Acquisition Hurdles

High price expectations

Cost of funding

Taxation

Governance

Legislation complexities

Risk vs. ReturnsRisk vs. Returns

Shareholder return expectations

Forex/Exchange rate risks

Management time

Limited suitable opportunities

Cultural fit and Africanisation

Resources Invested

Fleet of 413 vehicles

Direct employment 4,286

Investments: R1 billion

Questions?