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CONSOLIDATED AND SEPARATE FINANCIAL  STATEMENTS

            Calculations



            C2. Reacquired right





            COMMENT

            • Impact of reacquired right on the separate financial

                statements:

                    • If the terms of the contract giving rise to the

                       reacquired right are not in line with current market

                       transactions, the contract will have a favourable or
                       unfavourable component.


                    • The contract is favourable to Italia as Italia receives an
                       annual fee of R50 458 in terms of the current

                       agreement whilst Italia would have received an annual

                       fee of R35 000 in the market.

                    • The contract is effectively settled due to the business

                       combination (the group is viewed as a single entity

                       and cannot have a contract with itself).


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