Equity Snapshot - 21 May 2013

Reunert H1 HEPS down 15%: A dividend of 95 cents per ordinary share declared. Normalised headline earnings per share declined by 14% from 298 cents to 257 cents. Revenue reduced by 8% to R5,3 billion from R5,7 billion. This decrease was predominantly in the CBI-electric and Nashua segments.

Operating profit was 21% lower at R583 million. This decline was experienced across all segments and is attributable primarily to the prevailing

difficult business environment. Basic earnings reduced by 14% to R421 million. Headline earnings per share decreased by 15% to 258 cents compared to 304 cents.

Alexander Forbes considers offers: For insurance arm Guardrisk. JOHANNESBURG - South African financial services firm Alexander Forbes said on Monday it is considering possible deals to sell off stakes in its short-term and life insurance unit, Guardrisk. "Alexander Forbes Equity Holdings Proprietary (EquityCo) has, over a number of months, received expressions of interest in Guardrisk Holdings, a subsidiary of EquityCo, from several parties. The EquityCo Board has now mandated the Group executive to explore and consider these approaches formally," it stated on SENS.

Sibanye leads gold stock sell-off: SA industry enduring something of a perfect storm - Wibberley. Sibanye Gold (JSE:SGL) Ltd. led losses among South African gold producers as work stoppages at the country’s platinum mines stoked investor concern that renewed labor unrest will curb output. The stock fell to a record low, the worst performer on the 166-member FTSE/JSE (JSE:JSE) Africa All-Share Index, which today rose 1% to a record. Harmony Gold Mining Co., Africa’s third- largest producer, extended its decline as the biggest loser on the gauge this year. AngloGold Ashanti (JSE:ANG) Ltd., the world’s third- biggest gold miner, slid to its lowest since April 18. Mineworkers on May 14 began a strike that shut Lonmin plc's (JSE:LON) Marikana platinum mine, where about 34 workers were killed in an Aug. 16 clash with police, igniting concern the unrest will spread. Strain is also being placed on South Africa’s power system as Eskom, which generates about 95% of the nation’s electricity, deferred upkeep on some aging plants to the current winter months.

Hospital inflation to remain below CPI – Netcare: Prospects for private healthcare industry remain positive - analyst. JOHANNESBURG – The healthcare group Netcare (JSE:NTC) expects hospital inflation to remain below consumer price inflation (CPI), despite nursing an inflation of over 7%. Speaking to Moneyweb on the sidelines of the group’s interim results presentation in Sandton, Dr Richard Friedland, group chief executive officer of Netcare, said the group has been able to contain costs – in relation to consumer price inflation but also in terms of other services and products in the market. “So I don’t expect any surprises in the second half (of the financial year),” he said.

Tradehold expects jump in earnings: Full results expected on the 30 May 2013. Shareholders are advised that headline earnings per share for the year ended 28 February 2013 are expected to be 6,4 pence per share, compared to the loss of 2,1 pence per share in respect of the comparative period. Earnings per share for the year ended 28 February 2013 are expected to be 4,7 pence per share, compared to the loss of 2,1 pence per share in respect of the comparative period.

Monster tornado kills at least 51 in Oklahoma town: Two dozen school children missing. A 2-mile-wide (3-km-wide) tornado tore through the Oklahoma City suburb of Moore on Monday, killing at least 51 people while destroying entire tracts of homes, piling cars atop one another, and trapping two dozen school children beneath rubble. Twenty of the 51 confirmed deaths were children, the Oklahoma medical examiner said, and at least 45 of the 230 people injured were children, according to area hospitals. It was the deadliest U.S. tornado since one killed 161 people in Joplin, Missouri, two years ago. President Barack Obama declared a major disaster area in Oklahoma, ordering federal aid to supplement state and local efforts.

Power system still very tight: Eskom: Public urged to save 10% of their usual electricity usage. South Africa's power system remains under pressure as Eskom continues with its planned maintenance programme, the power utility said on Monday. Eskom urged the public to save 10 percent of their usual electricity usage, especially during peak times between 5pm and 9pm, in its bi-weekly system status bulletin. "This will make it significantly easier to manage the power system during this challenging time, while also enabling us to do planned maintenance to ensure the reliability of our plant."

Rand extends slide: As the threat of further strikes undermined investor confidence. South Africa's rand continued its slide against the dollar on Monday as the threat of further strikes in the mining sector undermined investor confidence in Africa's biggest economy. The rand was at 9.4786 to the dollar at 1540 GMT, down 0.8 percent from its close in New York on Friday, after reaching a new four-year low of 9.4875 earlier in the session. South Africa's National Union of Mineworkers said on Sunday that it would seek pay rises of up to 60 percent from gold and coal producers, raising fears of a difficult round of wage talks in the mining sector.

Source: 28E Capital (Pty) Ltd.