KAP INDUSTRIAL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1978/000181/06)
LEI code: 3789001F51BC0045FD42
JSE alpha code: KAP
(“KAP”)

NOTICE OF AVAILABILITY OF ANNUAL FINANCIAL STATEMENTS

Further to the announcement released on SENS on 24 August 2022 notifying debt holders of
the availability of KAP’s annual financial statements for the year ended 30 June 2022, debt
holders are now advised that the audited annual financial statements of the following
guarantors of KAP:

•    KAP Automotive Proprietary Limited (“KAP Automotive”);
•    Restonic Proprietary Limited (“Restonic”);
•    PG Bison Proprietary Limited (“PG Bison”);
•    Safripol Proprietary Limited (“Safripol”);
•    Unitrans Passenger Proprietary Limited (“Unitrans Passenger”); and
•    Unitrans Supply Chain Solutions Proprietary Limited (“Unitrans Supply Chain Solutions”),

are available for inspection at KAP’s registered office at 3rd Floor, Building 2, The Views,
Founders Hill Office Park, 18 Centenary Street, Modderfontein, Johannesburg, 1645.
The audit reports relating to the annual financial statements of the aforementioned guarantors
are unqualified.
Restatements to KAP annual financial statements and guarantors’ annual financial
statements
1.     In the annual financial statements of KAP, KAP Automotive, Restonic, PG Bison,
       Safripol and Unitrans Passenger, the statement of cash flows has been restated to offset
       the bank overdrafts against cash and cash equivalents as it forms an integral part of the
       companies’ cash management. Bank overdrafts were previously reflected as cash flows
       from financing activities.

2.     In the annual financial statements of KAP and KAP Automotive, the related-party loans
       receivable has been restated to reflect the gross cash inflows and outflows

3.     In the annual financial statements of Restonic, PG Bison, Unitrans Passenger and
       Unitrans Supply Chain Solutions, the related-party loans receivable has been
       reclassified to investing activities in line with the current year treatment. The net
       movement in related-party loans receivable and payable were previously incorrectly
       reflected as financing cash flows.
The impact of these errors is disclosed in the companies’ annual financial statements. The
changes had no impact on profit or loss or the statement of financial position of the companies
at 30 June 2021.
4.      In the annual financial statements of Unitrans Passenger, there is a restatement of
        prior year numbers given that, during the year, it was discovered that, during this and
        prior years, corporate services to related parties were incorrectly treated as non-
      supplies for purposes of value-added tax (“VAT”) and that Unitrans Passenger had
      failed to apply the appropriate exempt supply apportionment ratio to VAT inputs
      claimed on certain general expenditure. The affected periods have been restated to
      provide for the VAT, penalties and interest estimated to become payable due to these
      errors. VAT of R8,621,866 was provided for 2022 (2021: R6,453,283, 2020 and prior
      R15,332,410), interest of R2,458,322 (2021: R1,673,486, 2020 and prior R3,113,122)
      and penalties of R3,017,653 (2021: R2,258,649, 2020 and prior R5,366,344). The
      impact of the above is summarised in Unitrans Passenger’s annual financial
      statements.


Stellenbosch

31 October 2022

Debt Sponsor
Nedbank Corporate and Investment Banking, a division of Nedbank Limited