CHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEWUnaudited Interim Results for six months ended 30 September 2011Unaudited Interim Results for six months ended 30 September 2011Unaudited Interim Results for six months ended 30 September 2011Unaudited Interim Results for six months ended 30 September 2011Unaudited Interim Results for six months ended 30 September 2011ted Interim Results for the six months ended 30 September 2011ted Interim Results for the six months ended 30 September 2011ted Interim Results for the six months ended 30 September 2011ted Interim Results for the six months ended 30 September 2011ted Interim Results for the six months ended 30 September 2011

GROUP SGROUP SGROUP SGROUP SGROUP STTTTTAAAAATEMENT OF CTEMENT OF CTEMENT OF CTEMENT OF CTEMENT OF COMPREHENSIVE INCOMPREHENSIVE INCOMPREHENSIVE INCOMPREHENSIVE INCOMPREHENSIVE INCOMEOMEOMEOMEOME

Unaud i t edUnaud i t edUnaud i t edUnaud i t edUnaud i t ed Unaud i t edUnaud i t edUnaud i t edUnaud i t edUnaud i t ed Aud i tedAud i tedAud i tedAud i tedAud i ted6 months6 months6 months6 months6 months 6 months6 months6 months6 months6 months YYYYYe a re a re a re a re a r

e n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d30.09 .1330.09 .1330.09 .1330.09 .1330.09 .13 30.09 .1230.09 .1230.09 .1230.09 .1230.09 .12 31.03 .1331.03 .1331.03 .1331.03 .1331.03 .13

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5) (Note 5)(Note 5)(Note 5)(Note 5)(Note 5)US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000

Revenue 51 982 90 700 174 239

Operating profit 10 990 17 380 23 289Net finance charges Note 1 (4 090) (3 174) (6 794)

Profit before tax 6 900 14 206 16 495

Income tax expense Note 2 (1 783) (3 661) (4 138)

Profit after tax 5 117 10 545 12 357

Share of profit of associated companies 710 519 1 230

Profit for the period 5 827 11 064 13 587

Other comprehensive income, net of tax (169) (163) (53)

Total comprehensive incomefor the period 5 658 10 901 13 534

Number of shares in issue (‘000 of shares) 193 021 193 021 193 021

Eanrings per share (cents) 2.9 5.6 7.0

GROUP SGROUP SGROUP SGROUP SGROUP STTTTTAAAAATEMENT OF FINANCIAL POSITIONTEMENT OF FINANCIAL POSITIONTEMENT OF FINANCIAL POSITIONTEMENT OF FINANCIAL POSITIONTEMENT OF FINANCIAL POSITION

Unaud i t edUnaud i t edUnaud i t edUnaud i t edUnaud i t ed Unaud i t edUnaud i t edUnaud i t edUnaud i t edUnaud i t ed Aud i tedAud i tedAud i tedAud i tedAud i tedAs atAs atAs atAs atAs at As atAs atAs atAs atAs at As atAs atAs atAs atAs at

30 .09 .1330.09 .1330.09 .1330.09 .1330.09 .13 30.09 .1230.09 .1230.09 .1230.09 .1230.09 .12 31.03 .1331.03 .1331.03 .1331.03 .1331.03 .13(Note 5)(Note 5)(Note 5)(Note 5)(Note 5) (Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000

ASSETSASSETSASSETSASSETSASSETSNon-current assets 238 920 240 752 243 518

Property, plant and equipment 200 228 198 247 202 428Long term biological assets 35 303 39 342 37 917Investment in associated companies 3 389 3 163 3 173

Current assets 162 211 140 079 119 787

Short term biological assets 37 786 39 589 47 793Deferred plant maintenance cost 3 622 3 901 10 935Inventories 70 664 47 447 25 154Trade and other receivables 26 537 28 635 24 881Current tax asset - 359 359Cash and cash equivalents 23 602 20 148 10 665

Total Assets 401 131 380 831 363 305

EQUITY AND LIABILITIESEQUITY AND LIABILITIESEQUITY AND LIABILITIESEQUITY AND LIABILITIESEQUITY AND LIABILITIES

Capital and reservesShareholders’ interest 216 560 208 269 210 902

Issued share capital 15 442 15 442 15 442Non-distributable reserves 128 077 128 136 128 246Retained earnings 73 041 64 691 67 214

Non-current liabilities 74 229 74 792 75 423

Deferred tax 64 473 63 721 64 296Provisions 9 756 11 071 11 127

Current liabilities 110 342 97 770 76 980

Trade and other payables 31 461 41 100 28 427Current tax liability 978 - -Short term loans 77 903 56 670 48 553

TTTTTotal Equity and Liabilitiesotal Equity and Liabilitiesotal Equity and Liabilitiesotal Equity and Liabilitiesotal Equity and Liabilities 401 131 380 831 363 305

GROUP SGROUP SGROUP SGROUP SGROUP STTTTTAAAAATEMENT OF CHANGES IN EQUITYTEMENT OF CHANGES IN EQUITYTEMENT OF CHANGES IN EQUITYTEMENT OF CHANGES IN EQUITYTEMENT OF CHANGES IN EQUITY

Non-Non-Non-Non-Non-IssuedIssuedIssuedIssuedIssued distributabledistributabledistributabledistributabledistributable RetainedRetainedRetainedRetainedRetainedcapitalcapitalcapitalcapitalcapital reservesreservesreservesreservesreserves incomeincomeincomeincomeincome TTTTTotalotalotalotalotal

US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000

Balance at 31 March 2012 (as previously reported) 15 442 128 299 53 386 197 127Change in accounting policy - - 241 241

Balance at 31 March 2012 (restated) 15 442 128 299 53 627 197 368

Restated comprehensive income (53) 13 587 13 534

Comprehensive income for the period (as previously reported) - (363) 13 647 13 284Change in accounting policy - 310 (60) 250

Balance at 31 March 2013 (restated) 15 442 128 246 67 214 210 902Comprehensive income for the period - (169) 5 827 5 658

Balance at 30 September 2013Balance at 30 September 2013Balance at 30 September 2013Balance at 30 September 2013Balance at 30 September 2013 15 442 128 077 73 041 216 560

GROUP SGROUP SGROUP SGROUP SGROUP STTTTTAAAAATEMENT OF CATEMENT OF CATEMENT OF CATEMENT OF CATEMENT OF CASH FLSH FLSH FLSH FLSH FLOOOOOWSWSWSWSWSU n a u d i t e dU n a u d i t e dU n a u d i t e dU n a u d i t e dU n a u d i t e d U n a u d i t e dU n a u d i t e dU n a u d i t e dU n a u d i t e dU n a u d i t e d A u d i t e dA u d i t e dA u d i t e dA u d i t e dA u d i t e d

6 months6 months6 months6 months6 months 6 months6 months6 months6 months6 months YYYYYe a re a re a re a re a re n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d

30 .09 .1330 .09 .1330 .09 .1330 .09 .1330 .09 .13 30 .09 .1230 .09 .1230 .09 .1230 .09 .1230 .09 .12 31 .03 .1331 .03 .1331 .03 .1331 .03 .1331 .03 .13(Note 5)(Note 5)(Note 5)(Note 5)(Note 5) (Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

US$ ’000US$ ’000US$ ’000US$ ’000US$ ’000 US$ ’000US$ ’000US$ ’000US$ ’000US$ ’000 US$ ’000US$ ’000US$ ’000US$ ’000US$ ’000

Cash flows from operating activitiesCash flows from operating activitiesCash flows from operating activitiesCash flows from operating activitiesCash flows from operating activitiesOperating profit 10 990 17 380 23 289Depreciation 6 617 7 403 11 918Movements in post retirement provision (1 371) 16 450Profit on disposal of property, plant and equipment (68) - -Changes in biological assets 12 621 3 050 (3 729)Changes in working capital (44 132) (25 599) (12 186)Deferred plant maintenance costs 7 313 5 734 (1 300)Net finance charges paid (4 090) (3 174) (6 794)Tax paid (300) - -

Cash (outflow)/inflow from operating activities (12 420) 4 810 11 648

Cash flows from investing activitiesProperty, plant and equipment purchased (5 420) (8 889) (17 585)Proceeds from disposal of property, plant and equipment 1 071 - -Dividends received from associated companies 356 369 861

Net cash outflow from investing activities (3 993) (8 520) (16 724)

Cash flow from financing activitiesProceeds from borrowings 45 716 27 043 22 113Repayment of borrowings (16 366) (13 504) (16 691)

Net cash inflow from financing activities 29 350 13 539 5 422

Net increase in cash and cash equivalents 12 937 9 829 346

Net cash balance at 31 March 2013 10 665 10 319 10 319

Net cash balance at 30 September 2013 23 602 20 148 10 665

NotesNotesNotesNotesNotes Unuad i t edUnuad i t edUnuad i t edUnuad i t edUnuad i t ed Unuad i t edUnuad i t edUnuad i t edUnuad i t edUnuad i t ed Aud i tedAud i tedAud i tedAud i tedAud i ted6 months6 months6 months6 months6 months 6 months6 months6 months6 months6 months YYYYYe a re a re a re a re a r

e n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d e n d e de n d e de n d e de n d e de n d e d30.09 .1330.09 .1330.09 .1330.09 .1330.09 .13 30.09 .1230.09 .1230.09 .1230.09 .1230.09 .12 31.03 .1331.03 .1331.03 .1331.03 .1331.03 .13

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5) (Note 5)(Note 5)(Note 5)(Note 5)(Note 5)US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000 US$’000US$’000US$’000US$’000US$’000

1. Net finance chargesInterest paid (4 093) (3 232) (6 854)Interest received 3 58 60

(4 090) (3 174) (6 794)

2. Income tax expenseNormal tax (1 637) - -Movement in deferred tax (177) (3 673) (4 141)Transfer to non-distributable reserve 31 12 3

Charged to Income Statement (1 783) (3 661) (4 138)

3. DepreciationDepreciation of property, plant and equipment 6 617 7 403 11 918

4. Capital Expenditure CommitmentsContracted and orders placed 1 940 3 299 6 909Authorised by Directors but not contracted 814 109 2 214

2 754 3 408 9 123

5. Accounting policies and comparative figuresHippo Valley Estates Limited has adopted all the new or revised accounting pronouncements as issued by theIASB which were effective for Hippo Valley from 1 January 2013. The adoption of these standards had norecognition and measurement impact on the financial results, other than for the adoption of the revised IAS 19which requires that post-retirement benefit accounting actuarial gains and losses be recognised immediatelyin other comprehensive income and no longer be amortised through profit or loss.

Comparative figures have been restated with the effect of the compulsory adoption of the revised IAS 19 onprofit or loss for the year ended 31 March 2013 (with the 6 months ended 30 September 2012 in brackets)being a decrease in operating profit of US$81 000 (2012: US$16 000), a corresponding tax charge of US$21 000 (2012: US$4 000) and net profit for the period of US$60 000 (2012: US$12 000). Othercomprehensive income increased by US$310 000 (2012: nil) after tax. The effect on the statement offinancial position at 31 March 2013 was a decrease in provisions for retirement benefits of US$661 000(2012: US$309 000) and increases in equity and deferred tax of US$491 000 (2012: US$229 000) andUS$170 000 (2012: US$80 000) respectively.

6. Currency of reportingThe financial statements are reported in United Sates Dollars (US$). This is the functional currency of the Group.

By order of the BoardHippo Valley Estates LimitedRegistration No. 371/1956Registered Office; Hippo Valley Estates

Chiredzi

B Shava

Company Secretary 11 November 2013

Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013

DIRECTORS: M H Munro (Chairman), S D Mtsambiwa (Chief Executive Officer), P H Staude, S L Slabbert, L R Bruce, N Kudenga, J P Maposa, S G Nhari, J E Chibwe, F D A Musikavanhu

CHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEWCHAIRMAN’S REVIEW

DIRECTORS: M H Munro (Chairman), S D Mtsambiwa (Chief Executive Officer), P H Staude, S L Slabbert, L R Bruce, N Kudenga, J P Maposa, S G Nhari, J E Chibwe, F D A Musikavanhu

· Revenue of US$52 million (2012: US$90,7 million) - 42.7%· Operating profit of US$11 million (2012: US$17,4 million) -36.8%· Profit for the period of US$5.8 million (2012: US$11,1 million) - 47.3%

CCCCCOMOMOMOMOMMENTMENTMENTMENTMENTARARARARARYYYYYThe Company’s sugar production for the period to 30 September 2013 amounted to178 946 tons compared to 160 910 tons for the same period last year, an increaseof 11,2%. Total cane deliveries to the mill amounted to 1 409 062 tons (2012:1 349 467 tons), an increase of 4,4%.

The private farmers responded positively to the accelerated rehabilitation initiativesembarked upon in 2011, collectively delivering 650 945 tons of cane over the sixmonth period to 30 September 2013 (2012: 581 460 tons), an increase of 12,0%inclusive of cane deliveries from Green Fuel amounting to 134 386 tons (2012:178 689 tons). The Company’s cane deliveries over the period amounted to 758117 tons (2012: 768 007 tons), a decrease of 1,3%.

Revenue for the six month period to 30 September 2013 amounted to US$52million (2012: US$90,7 million), a decrease of 43%. Operating profit and profitfor the period totalled US$11 million (2012: US$17,4 million) and US$5,8 million(2012: US$11,1 million) respectively. The business experienced severe pressurefrom significantly lower international sugar prices and from a surge in sugar importsinto the domestic market which significantly reduced domestic sales volume. Withthe changing dynamics in the European Union, the price levels that the business isachieving for sales into the EU this season are averaging some 6 US cents per poundlower than the levels in the last two years. Cane valuations have been impacted bylower prices and the effect of curtailed root replanting as a consequence of thecurrent water dynamics.

The industry’s domestic and export sales volumes for the period to 30 September2013 totalled 192 542 tons (2012: 247 741 tons), a 22,3% decrease. TheCompany’s share amounted to 84 990 tons (2012: 117 532 tons), a 27,7%reduction as a result of lower local market sales and a timing difference on exportshipments.

The trading environment has added impetus to the drive to reduce costs of sugarproduction, with substantial reductions being achieved in the current season.

Operating cash flow, before working capital, for the six months to 30 September2013 amounted to US$28,9 million (2012: US$27,8 million). The US$36,8million absorption of cash in working capital (2012: US$19,9 million) whilstconsistent with the seasonal peak cash demand, was exacerbated by a large sugarstock build up.

The Company’s net debt increased to US$54,3 million at 30 September 2013compared to US$36,5 million at 30 September 2012. The net interest charge forthe period to 30 September 2013 amounted to US$4,1 million (2012: US$3,2million).

OUTLOUTLOUTLOUTLOUTLOOOOOOKOKOKOKOKIndustry production estimates for the 2013/14 season are between 460 000 and478 000 tons sugar (2012/13 season: 475 000 tons). The Company’s share of

total sugar production for the current season is expected to be between 226 000and 235 000 tons (2012/13 season: 228 000 tons).

With the low dam levels and the corresponding mitigating actions related to irrigationto protect the substantial current investment in sugar cane roots, cane expansion androot replanting for both private farmers and Company estates have been curtailed, tobe resumed once the dam levels recover. For the first time in many years, the rainfallforecast in the catchment area of the dams is for La Nina (wetter weather pattern)compared to the dry El Nino of the past number of years. Should the water inflow inthe coming summer be similar to the lower inflow periods during the last 8 years,then it would necessitate a reduction of irrigation to some 50% of normal levels,which would substantially reduce cane yields and sugar production.

A period of unsustainably low international prices has been experienced followingtwo seasons of exceptionally good weather conditions for sugar cane growing globallyand low Government controlled ethanol prices in Brazil. The changes in the EU areon-going, with some fundamentals remaining in place, including duty free access forZimbabwe. At present, this benefit is being eroded by the EU allowing additionalimports at reduced duty and the low world price. The business is focusing a great dealof attention in multiple areas on achieving the best possible outcome in terms ofsugar prices, the mix of sugar flow destinations and combating unfair importcompetition. The sugar industry in Zimbabwe is in a receptive engagement withGovernment to restrict imports. Local market sales are being lost to imports as aresult of the current low world price, leading to increased export volumes at lowerprices. Generally, the most vulnerable to these dynamics are rural communities andemerging farmers.

The Sugar Industry, which directly employs about 24 000 people of which 5 600workers are employed by the indigenous private farmers, is in an important recovery,growth and expansion phase. A central part of this recovery is the substantialdevelopment of indigenous private farmers. As at the end of 2012/13 season,some 670 active private farmers on 11 200 hectares delivered 853 000 tons ofcane to the Tongaat Hulett sugar mills and generated US$56 million in revenue.There is sufficient milling capacity to double the current number of indigenous privatefarmers and their labour force and increase their cane production and deliveries to themills correspondingly with Tongaat Hulett as a key development partner.

As part of its on-going objective to economically empower communities around itsoperations in Zimbabwe, the Company has embarked on a socio-economic upliftmentdrive to create value for relevant entrepreneurs, by developing sustainable new businessenterprises and outsourced services within its value chain, with particular focus onemployment creation for the youth.

M H Munro S D MtsambiwaChairman Chief Executive Officer11 November 2013

Unaudited Interim Results for the six months ended 30 September 2012Unaudited Interim Results for the six months ended 30 September 2012Unaudited Interim Results for the six months ended 30 September 2012Unaudited Interim Results for the six months ended 30 September 2012Unaudited Interim Results for the six months ended 30 September 2012Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013Unaudited Interim Results for the six months ended 30 September 2013