LAWULE SHUMANE AND MICHELLE TAAL, LABOUR RESEARCH SERVICE

Transcription

1 DIRECTORS FEES 2013 (COVERING THE FINANCIAL YEAR) - DOUBLE DIGIT INCREASES FOR A DOUBLE DIGIT FALL IN PROFITS LAWULE SHUMANE AND MICHELLE TAAL, LABOUR RESEARCH SERVICE Contents Summary... 1 THE WAGE GAP... 3 Directors Fees Survey... 4 CHIEF EXECUTIVE OFFICERS... 4 EXECUTIVE DIRECTOR FEES... 6 SECTORS... 7 Have your Say on Pay Appendices Appendix 1: Methodology Appendix 2: Chief Executive Officers Appendix 3: Executive Directors Appendix 4: Non-Executive Directors Appendix 5: Chief Executive Officer Performance Pay Appendix 6: Company Performance and Changes in CEO pay In a year when the global economy continued into its fourth year of crisis and company profits on the JSE fell in double digits, Chief Executive Officers awarded themselves double digit increases in salaries. In the same year workers were told to show restraint, told that a double digit increase in their wages would endanger company and country. They are still being told this story. Summary This year s survey of directors fees covers 83 companies across 14 economic sectors and includes the pay for 296 executive directors in the / financial year. The survey shows an average fall of 24 per cent in company profits for the period. However, the average executive director salary rose 9 per cent, that of chief executive officers by 10 per cent and non-executive directors by 12 per cent. The average low-wage worker saw an increase of 8 per cent. In the average annual salary for an executive director was R , that of a chief executive officer was R while part-time non-executive directors received R The average income for a low-wage worker was R Chief Executive and Executive director remuneration, which includes salaries, various benefit payments and bonuses, was much the same as in, with a fall of 2-3 per cent on average. This is perhaps what management 1

2 is referring to when they claim they are showing some restraint. However, this small decrease in annual income still means that the average director took home millions of rands in remuneration in, excluding payments made from longer term share schemes. In the average annual remuneration for an executive director was R ; chief executive officers received on average R A low-wage worker would therefore have to work 15 years, 174 years and 267 years to earn what an average non-executive director, executive director and CEO respectively were paid in. 85 per cent of chief executive officers received bonuses in the year at an average of R , 84 per cent of the average salary of those directors. The average long-term incentive, for those that exercised share options and the like in the year showed gains of over R12 million in the year which was around 190 per cent of their average salary. Taken together bonus and LTI gains added an average of 161 per cent to the CEO package. The 81 CEOs in the sample took home a total of R in and the 296 executive directors took home a collective R These figures exclude gains made on long-term incentives (LTIs) which can increase a director s package substantially when exercised. CEOs alone made R in LTI gains in the period, which, added to their other annual remuneration comes to R over one billion rand for 81 individuals and still excludes some one-off payments that have not been included in the analysis. Percentage Increases 15% 10% 8% 12% 9% 10% 6% 5% 0% -5% -10% Ave. Min Wage Non-Exec. Fees Executive Dir. Fees CEO Fees Inflation (Dec. ) Company Profit -15% -20% -24% -25% Annual Salaries / Wages R R R R Ave. Min Wage Non-Exec. Fees Executive Dir. Fees CEO Fees 2

3 THE WAGE GAP The average minimum wage for workers in South Africa in has been calculated at R3 708 a month or R per annum across all formal sectors. Using data from the financial year for both workers and executives, it would take general workers on average 15, 174 and 267 years to earn what a part-time non-executive, and executive and a CEO take home in one year, excluding share payments. In a time of high unemployment this low wage is often expected to support more and more people who have fallen out of employment and so the equality gap is in effect getting wider than ever. In a recent news article it is noted that only 59 per cent of households in South Africa receive an income from someone who is employed and only per cent of people earn an income from the formal sector 1. Should employers therefore be surprised by more double-digit wage increase demands? The Wage Gap in South Africa in The number of years for a worker to earn what directors earn in a single year 300 Gap 267 Y E A R S Remuneration Gap Non-Executive Director Executive Director Chief Executive Director The gap between what most workers and executives earn is beginning to attract the attention not just of workers themselves, but governments. Under pressure from their own citizens, some administrations are to take steps towards noting what is and is not an acceptable wage gap in companies and countries. People are starting to address the question of equity and sustainability how much more than the lowest paid worker, should the highest paid worker in a company be paid. It is a recognition that national economies depend not on profit and dividends, but on reducing both poverty and inequality. In November 2013 in Switzerland a proposal to limit monthly executive pay to no more than what the company s lowest-paid staff earns in a year, the so-called 1:12 initiative, faces a popular and binding vote. The Securities and Exchange Commission (SEC) in the USA has taken a small step in the same direction by implementing a rule that would require companies to disclose how much their CEOs earn annually compared to the median salaries of their employees. One snag might be how the median salary is calculated. In this time of aggressive labour broking the lowest paid workers are often outsourced and therefore would be excluded from the pool of employees thus bringing up the apparent median income. However, it is at least a step in the right direction. In South Africa the wage gap continues to gape. The attitude of some mainstream economists seems to be in conflict to where world opinion is moving. They state that that the pay of a CEO is in no way related to that of 1 Business Day, SA pay gap widening report, Evan Pickworth, 11 October

4 other workers in a company and that there is no need for an equitable share of the surplus created by all workers. 2 As such the destructive impact of deepening inequality on the development and economy of the country is ignored by the people who are leading the companies that are meant to be essential to it. Directors Fees Survey CHIEF EXECUTIVE OFFICERS CEOs in the survey received an average annual salary increase of 10.5 per cent in, making the average annual salary R , up from R in. This average though is dwarfed by what those at the top of the list are being paid. The company paying the highest CEO salary in is the same as that in, Shoprite Checkers. This salary of R is a 27 per cent increase on that of R in. The CEO of Shoprite, James Whitey Basson, has not received a bonus in many years, his high pay is guaranteed each year, taking for granted that he will perform. The Shoprite Annual Report for 2013 shows that the CEO s salary rose by a further 22 per cent in 2013, to R Even in the company of international mining corporations and the global manufacturer SABMiller, the Shoprite CEO s salary is double the next highest salary. The CEOs receiving the top salaries in the group all received comfortable double-digit increases and are dominated by the mining companies who claimed, amidst the strikes of, that double digit increases for workers would cripple them. Highest paid CEOs - Company Sector CEO Surname (R) Shoprite Retail Basson % Xstrata Mining Davis % BHP Billiton Mining Kloppers % Anglo American Mining Carroll % SABMiller Food & Bev. Mackay % The CEOs receiving the highest remuneration in the sample did not necessarily receive increases on their package. The highest earner in the group, Mick Davis of Xstrata saw a 37 per cent drop in his package but still took home the highest remuneration at nearly R45 million in. Company Sector CEO Surname Remuneration Package (R) Highest paid CEOs - Remuneration (, benefits and bonus) Remuneration Package (R) Remuneration Xstrata Mining Davis % Shoprite Retail Basson % SABMiller Food & Bev. Mackay % Steinhoff Diversified Jooste % International Holdings Sasol Industrial Davies % Company Sector CEO Surname Base (R) Telkom Tech. & Telecoms. Highest CEO increase - Base Moholi % 2 Financial Mail, Executive pay undergoes moderation, Max Gebhardt, 25 July

5 African Oxygen Industrial Kimber % Eskom Industrial Dames % Denel Industrial Sadik % Shoprite Retail Basson % In the year that he left Pick n Pay, the departing CEO Nick Badminton received a restraint of trade agreement, effectively a payment to stop him getting another job in SA Retail for two years, of R10.1 million. He was therefore paid over R5 million a year for the next two years not to work. Company Sector CEO Surname Remuneration Package (R) Highest CEO increase - Remuneration (, benefits and bonus) Remuneration Package (R) Remuneration. Pick n Pay Retail Badminton % Sun International Hospitality Coutts-Trotter & % Collins Standard Bank Banking & Fin. Maree % Services Steinhoff Diversified Jooste % International Holdings Telkom Tech. &Telecoms Moholi % Those economists who reject the notion that there is any relation between the pay of a CEO and that of a general worker claim that CEO and executive remuneration should be linked to company performance 3. However, even by this standard, much CEO pay seems to defy logic. While WBHO profits dropped by 5 per cent, the CEO received a bonus payment that increased his package by 750 per cent, this at a time when the company he runs has, along with its peers in the construction sector, been found guilty of massive collusion and price fixing. And while a profit increase of 12 per cent at Truworths is fair, it seems hard to justify a bonus worth 203 per cent of his salary for the CEO with such a performance. Company Sector CEO Surname Base Highest CEO bonus payment as a percentage of salary Bonus (R) Bonus as % of Profit WBHO Construction Nel % -5% Truworths Retail Mark % 12% Nampak Industrial Marshall % 18% Super Group Transport Mountford % 80% MTN Group Tech. &Telecoms Dabengwa % -7% The highest overall payment of the year went to Marius Kloppers of the mining group BHP Billiton. He cashed in shares options to the value of nearly R70 million on his way to resigning his position after disappointing investors with his expensive bid for shale gas assets in the United States, which led to $2.8bn in write downs and cost him his bonus for. Company Sector CEO Surname Base Highest CEO Long-term incentive payment LTI payment (R) LTI as a % of BHP Billiton Mining Kloppers % 3 Financial Mail, Executive pay undergoes moderation, Max Gebhardt, 25 July

6 Mondi Group Paper & Pack. Hathorn % Remgro Diversified Visser % Holdings Bidvest Diversified Joffe % Holdings Anglo-Vaal Industries Food & Bev. Crutchley % EXECUTIVE DIRECTOR FEES As with CEOs, when the whole executive group is considered, it is the mining companies that pay the highest salaries and remuneration. While the average executive salary for across sectors was R , the average salary at BHP Billiton was more than four times that at over R17 million, with Xstrata, AngloAmerican and AngloGold Ashanti not far behind. Highest paid Executives - Company Sector (R) % change in (R) BHP Billiton Mining % Xstrata Mining % Anglo American Mining % AngloGold Ashanti Mining % SABMiller Food & Bev % When salaries, benefits and bonuses are added together, it is the same companies that come out on top, way above the nearly R8 million average remuneration for executives across sectors. Despite some double digit falls in annual remuneration, nineteen companies in the sample paid on average over R10 million to their executive directors. Company Sector Rem. (R) Highest paid Executives - Remuneration (, benefits and bonus) Rem. (R) Rem. Xstrata Mining % Anglo American Mining % BHP Billiton Mining % SABMiller Food & Bev % AngloGold Ashanti Mining % Company Sector (R) Highest average Executive increase - (R) Telkom Tech. & Telecoms % Crookes Brothers Food & Bev % Tiger Brands Food & Bev % Transnet Transport % Impala Platinum Mining % Company Sector Rem. (R) Highest average Executive increase - Remuneration Rem. (R) Rem. Standard Bank Banking & Fin. Services % Crookes Brothers Food & Bev % 6

7 Transnet Transport % Steinhoff International Diversified Holdings % Telkom Tech. & Telecoms % SECTORS As in the case of individual companies, across the sectors mining dominates the high pay stakes. In, during the strikes in the mining sector the LRS noted that,[t]he core demand of the workers at Marikana is an increase of wages to R There is the spurious accusation, coming mainly from people earning more, that R would be too much money. If it is too much, what can be said of the remuneration of CEOs in the sector? 4 In these CEOs took home, on average, R8.6 million in salaries and R 16 million in remuneration. Across sectors, the lowest paid CEOs though still took home on average over R2 million in salary and R5 million in remuneration last year. This is an average of nearly half a million rand per month in salaries or R per week. CEO Pay - Salaries Sector Increase (R) Increase (%) Banking & Fin. Services % Construction % Diversified Holdings % Educ., Bus Training & Employment % Food & Bev % Health % Hospitality % Industrial % Media % Mining % Paper & Packaging % Retail % Tech. & Telecoms % Transport % Cross Sector (Annual) % Cross Sector (Monthly) CEO Pay - Remuneration Sector Rem. Increase (R) Increase (%) (R) Banking & Fin. Services % Construction % Diversified Holdings % Educ., Bus Training & Employment % Food & Bev % Health % 4 Labour Research Service, A Mineworker s Wage: The only argument against the R is greed. Michelle Taal, Saliem Patel, Trenton Elsley: 28 August 7

8 Hospitality % Industrial % Media % Mining % Paper & Packaging % Retail % Tech. & Telecoms % Transport % Cross Sector (Annual) % Cross Sector (Monthly) Although CEOs in five sectors experiences a drop in average remuneration, it remained over R10 million across sectors. A fall in executive pay does not necessarily mean a small income. As noted in a recent news report, BHP Billiton has made a major statement on executive pay. The BHPB board has said the boom times are over, so executives should take a cut, a significant cut. What this means is that the CEO s base pay has been cut 23 per cent to $US1.7 million (around R16 million). 5 Executive Director Pay - Salaries Sector Increase (R) Increase (%) (R) Banking & Fin. Services % Construction % Diversified Holdings % Educ., Bus Training & Employment % Food & Bev % Health % Hospitality % Industrial % Media % Mining % Paper & Packaging % Retail % Tech. & Telecoms % Transport % Cross Sector (Annual) % Cross Sector (Monthly) Executive remuneration the total of salaries, benefits and bonuses, for took a fall in six of the sectors which led to a cross sector fall of around 2 per cent. However, this still means an average monthly income of R per director, or R per week. 5 Herald Sun, BHPB leads the way as executive pay takes a hit, Terry McCrann, 29 September

9 Executive Director Pay - Remuneration Sector Rem. Increase Rem. Increase Rem. (R) (R) (%) Banking & Fin Services % Construction % Diversified Holdings % Educ., Bus Training & Employment % Food & Bev % Health % Hospitality % Industrial % Media % Mining % Paper & Packaging % Retail % Tech. & Telecoms % Transport % Cross Sector (Annual) % Cross Sector (Monthly) Sector Rem. (R) Non- Executive Director Pay Increase (R) Increase (%) Banking & Fin Services % Construction % Diversified Holdings % Educ., Bus. Training & Employment % Food & Bev % Health % Hospitality % Industrial % Media % Mining % Paper & Packaging % Retail % Tech. & Telecoms % Transport % Cross Sector (Annual) % Cross Sector (Monthly) Looking ahead, a recent news report on 2013 fees for retail executives shows CEOs complaining about the South African trading environment, about populist legislation being imposed on commerce in South Africa, about 9

10 restrictive labour and trade practices making it difficult to for their companies to perform. Despite this, they continued to pay double digit increases in dividends to shareholders and to take home packages in excess on R25 million (Woolworths) and R50 million (Shoprite) 6. Have your Say on Pay As executive pay globally continues to appear unaffected by company performance, national development priorities and the global financial crisis, some shareholders are challenging the way things have always been done. Shareholders are the ultimate owners of the companies where directors and top management take home these enormous packages. Though the power of this ownership is diluted through investment funds and asset managers, it is a power that is both possible and necessary for shareholders to exert. In many cases, these owners are workers. The Global Committee on Workers Capital reports each year on the votes that worker-controlled pension and investment funds across the globe cast at the Annual General Meetings. The review details how these funds are challenging company boards to live up to statements on good governance and transparency. 7 For the past two years South Africa has participated in the review, highlighting a growing interest that investors of workers money are taking in the performance and governance of those companies in which they invest. The Public Investment Corporation (PIC) is the investment manager for the trillion rand South African Government Employee Pension Fund (GEPF), which manages public workers pensions. It is invested in many of the companies on the JSE and is often the largest single investor. The board of the GEPF includes employee representatives. Some of these trustees are representatives from public sector trade unions. Trade union members therefore have a voice and a vote in how this enormous fund is invested and how the power of these investments in wielded. In the 2013 proxy season the PIC voted against the executive remuneration reports of many of the companies in which it is invested. The reasons for the vote concerned different aspects of the reports. Some were to do with the value of the pay packets of executives; some were because companies failed to properly track company performance and to show the relation between performance and pay, which is, as noted above, how many companies justify the pay of executives. At AngloGold Ashanti, the PIC voted against the CEO s salary because it is "higher than the company s peers". Similarly they said Gold Fields proposal to hold the pay of the chairman at R2.4 million was too high. Pay plans at Anglo American Platinum were seen as inconsistent with best practice with no clearly defined group performance targets. The PIC also voted against the remuneration policies of ArcelorMittal South Africa, Exxaro and Capitec Bank and Pick n Pay 8. It is not just the GEPF that invests worker money, many trade unions in South Africa are significant investors in the JSE and could engage with their investments in a way that may move companies towards better corporate governance and to ensuring that member investments are channelled not just towards financial returns but to the equitable development of South Africa. However, shareholder votes on remuneration in South Africa remain advisory, not binding. It is a statement of confidence, or lack thereof, in the work of the remuneration committee, but has no mandatory power. Further, 6 Business Report, Shoprite boss puts blame on manufacturing, Ann Crotty, October Find it here: South Africa also participates in the global CEO pay watch run by the CWC Business Day, EDITORIAL: High executive pay must be justified, Spotlight on executive remuneration, AUGUST

11 companies are only requested, not compelled, to put their remuneration reports to this vote. It is unsurprising that even this minimal request is refused by some companies, including Massmart, now a division of Walmart. Some countries are going further. In the United Kingdom, under pressure from the public whose taxes have been used to prop up banks that then pay executives enormous fees, the prime minister has promised shareholders a binding vote on executive pay. He also pledged to tackle large pay-outs for executives dismissed because of poor performance. Although criticised on the details of his promise, there is at least recognition of public disapproval of the enormous packages that executives grant themselves. In March 2013 Swiss voters overwhelmingly passed one of the world s strictest controls on executive pay; forcing public companies to give shareholders a binding vote on compensation. The penalty for bosses who fail to comply is up to three years in jail or the forfeit of up to six years salary. South Africa likewise needs to take action. Shareholder recommendations are not enough. We face a continued slump in economic growth, high unemployment, on-going retrenchments and increasing social instability rooted in high levels of inequality. Our country rates second highest in the global measure of inequality with a gini coefficient of Economic forecasts for 2013 show growth of only 2 per cent. With unemployment remaining at 25 per cent and retrenchments being negotiated throughout the year in every sector, an urgent response is required by leaders of all social constituencies. Rather than waiting for diverse interest groups to bring their individual power to bear, leaders in government, business and labour need to reach a consensus on policies and measures to stem this growing inequality and open the possibilities for sustainable, fair, economic development. Appendices Appendix 1: Methodology The sample includes 83 companies from 14 broad sectors. Most are listed on the Johannesburg Stock Exchange (JSE) but the sample also includes and four SOEs Denel, Eskom, South African Airways and Transnet, and three resource companies listed elsewhere Xstrata, Sasol, and Petra Diamonds. While it is not a comprehensive sample, it does include over half the top 100 listed companies by market capitalisation as of the beginning of October The data has been extracted from the published annual report and accounts for financial years ending in. For CEO pay, the Naspers CEO not included as he receives no salary and Afrocentric Investments has no CEO, only a Finance Director. Survey method Companies do not disclose director fees in a uniform way. The report has drawn and analysed figures in a manner that we believe make them most comparable to each other. Individual directors join and leave positions and companies throughout the year. The report s objective is to show how much was spent on the director positions in the year rather than on individual directors. In the case of aggregated figures, averages may be higher or lower if a director serves only part of the year. In the case of chief executives where an individual position is analysed we have attempted to reconcile figures for both individuals who have occupied a position in the year. This is of necessity an estimate. Foreign currency Where required, the annual average exchange rate for the financial year in question has been calculated from the currency converter website These vary depending on the financial year end. Workers wages The comparative figure used here for workers wages are drawn from the Labour Research Service AWARD database ( ). The figure used here represents the average minimum low-wage occupation income across all sectors for and. 11

12 Appendix 2: Chief Executive Officers Company and Sector CEO Surname CEO CEO Rem. Banking and Financial Services Annual % % Banking and Financial Services Monthly ABSA Ramos % % African Bank Investments Kirkinis % % Discovery Gore % % FirstRand Bank Nxasana % % Investec Koseff % % Liberty Life Hemphill % % Nedbank Brown % % RMB Holdings Cooper % % Sanlam van Zyl % % Standard Bank Group Maree % % Construction Annual % % Construction Monthly Aveng Jardine % % Basil Read Heyns % % Group Five Upton % % Murray & Roberts Bruce % % Pretoria Portland Cement Stuiver % % WBHO Nel % % Diversified Holdings Annual % % Diversified Holdings Monthly

13 Company and Sector CEO Surname CEO CEO Rem. Barloworld Limited Thomson % % Bidvest Joffe % % Hosken Consolidated Investments Copelyn % % Remgro Visser % % Steinhoff International Jooste % % Educ.,Bus Training & Employment Annual % % Educ.,Bus Training & Employment Monthly Adcorp Holdings Pike % % Food and Beverage Annual % % Food and Beverage Monthly Anglo-Vaal Industries Crutchley % % Crookes Brothers Clarke % % Distell Scannell % % Illovo Clark % % Pioneer Foods Hanekom % % SABMiller Mackay % % Tiger Brands Matlare % % Tongaat Hulett Staude % % Health Annual % % Health Monthly Adcock Ingram Louw % % Aspen Holdings Saad % % Life Healthcare Group Fleming % % Mediclinic Alberts % % Network Healthcare Holdings Friedland % % 13

14 Company and Sector CEO Surname CEO CEO Rem. Hospitality Annual % % Hospitality Monthly City Lodge Hotels Ross % % Sun International Coutts-Trotter % % Tsogo Sun Holdings Industrial Annual % % Industrial Monthly AECI Edwards % % African Oxygen Kruger % % Altron Venter % % ArcelorMittal SA Nyembezi-Heita % % Denel Sadik % % Eskom Holdings Limited Dames % % Invicta Holdings Goldstone % % Reunert Rawlinson % % Sasol Davies % % Media Annual % % Media Monthly Caxton CTP Moolman % % Mining Annual % % Mining Monthly African Rainbow Minerals Wilkens % % Anglo American Platinum Nicolau % % 14

15 Company and Sector CEO Surname CEO CEO Rem. Anglo American plc Carroll % % AngloGold Ashanti Cutifani % % BHP Billiton Kloppers % % Exxaro Nkosi % % Gold Fields Holland % % Harmony Briggs % % Impala Platinum Brown % % Kumba Iron Ore Limited Griffith % % Lonmin plc Farmer % % Petra Diamonds Dippenaar % % Trans Hex Delport % % Xstrata Davis % % Paper and Packaging Annual % % Paper and Packaging Monthly Mondi Group Hathorn % % Nampak Marshall % % Sappi Boettger % % Retail Annual % % Retail Monthly Cashbuild Goldrick % % Foschini Murray % % Massmart Pattison % % Pick n Pay Stores Ltd Badminton % % Shoprite Basson % % 15

16 Company and Sector CEO Surname CEO CEO Rem. Spar Hook % % Truworths Mark % % Woolworths Susman % % Technology and Telecommunications Annual % % Technology and Telecommunications Monthly MTN Group Dabengwa % % Telkom September % % Vodacom Group Limited Uys % % Transport Annual % % Transport Monthly Cargo Carriers Bolton % % Grindrod Olivier % % Imperial Holdings Brody % % South African Airways Mzimela % % Super Group Mountford % % Transnet Wells % % Cross Sector Total % % Cross Sector Annual % % Cross Sector Monthly % % * Afrocentric Investments does not have a CEO ** Tsogo Sun Holdings remuneration for not analysed *** Naspers CEO does not take a salary 16

17 Appendix 3: Executive Directors Company and Sector No. No. Total Total % Chang e Total Total % Change Banking & Financial Services Annual % % Month ABSA % % African Bank Investments % % Discovery % % FirstRand Bank % % Investec % % Liberty Life % % Nedbank % % RMB Holdings % % Sanlam % % Standard Bank Group Construction % % Annual % % Month Aveng % % Basil Read % % Group Five % % Murray & Roberts % % 17

18 Company and Sector No. No. Total Total % Chang e Total Total % Change Pretoria Portland Cement % % WBHO % % Diversified Holdings Barloworld Limited Annual % % Month % % Bidvest % % Hosken Consolidated Investments % % Remgro % % Steinhoff International Educ., Bus. Training & Employment Adcorp Holdings limited Food & Beverage Anglo-Vaal Industries Crookes Brothers % % Annual % % Month % % Annual % % Month % % % % Distell % % Illovo % % Pioneer Foods % % 18

19 Company and Sector No. No. Total Total % Chang e Total Total % Change SABMiller % % Tiger Brands % % Tongaat Hulett Health % % Annual % % Month Adcock Ingram AfroCentric Investments Corporation Aspen Holdings Life Healthcare Group % % % % % % % % Mediclinic % % Network Healthcare Holdings Hospitality City Lodge Hotels Sun International Tsogo Sun Holdings % % Annual % % Month % % % %

20 Company and Sector No. No. Total Total % Chang e Total Total % Change Industrial Annual % % Month AECI % % African Oxygen % % Altron % % ArcelorMittal SA % % Denel % % Eskom Holdings Limited Invicta Holdings % % % % Reunert % % Sasol % % Media Annual % % Month Caxton CTP % % Naspers % % Mining African Rainbow Minerals Anglo American Platinum Annual % % Month % % % % 20

21 Company and Sector No. No. Total Total % Chang e Total Total % Change Anglo American plc AngloGold Ashanti % % % % BHP Billiton % % Exxaro % % Gold Fields % % Harmony % % Impala Platinum Kumba Iron Ore Limited % % % % Lonmin plc % % Petra Diamonds % % Trans Hex % % Xstrata % % Paper & Packaging Annual % % Month Mondi Group % % Nampak % % Sappi % % Retail % % Cashbuild % % Foschini % % Massmart % % 21

22 Company and Sector Pick n Pay Stores Ltd No. No. Total Total % Chang e Total Total % Change % % Shoprite % % Spar % % Truworths % % Woolworths % % Technology & Telecoms Annual % % Month MTN Group % % Telkom % % Vodacom Group Limited % % Transport Annual % % Month Cargo Carriers % % Grindrod % % Imperial Holdings % % South African Airways % % Super Group % % Transnet % % Cross Sector Total Cross Sector (Annual) % % Cross Sector (Monthly)

23 Appendix 4: Non-Executive Directors Company and sector No. No. Total Fees (R) Total Fees (R) Fees (R) Fees (R) % Change Banking and Financial Services % ABSA % African Bank Investments % Discovery % FirstRand Bank % Investec % Liberty Life % Nedbank % RMB Holdings % Sanlam % Standard Bank Group % Construction % Aveng % Basil Read % Group Five % Murray & Roberts % Pretoria Portland Cement % WBHO % Diversified Holdings % Barloworld Limited % Bidvest % Hosken Consolidated Investments % Remgro % Steinhoff International % Education, Bus. Training & Employment % Adcorp Holdings limited % Food and Beverage % Anglo-Vaal Industries % Crookes Brothers % 23