REVIEWED PROFIT AND CASH DIVIDEND ANNOUNCEMENT

i

CONDENSED GROUP STATEMENTS OF COMPREHENSIVE INCOME

REVENUE UP 5.8%EBITDA UP 9.9%ADJUSTED DILUTED HEPS UP 10.4%

FINAL GROSS CASH DIVIDEND OF 175 CENTS PER SHARE

DIVIDENDS FOR THE YEAR OF 285 CENTS PER SHARE UP 16.3%

REVIEWED PROFIT AND CASH DIVIDEND ANNOUNCEMENTFOR THE YEAR ENDED30 JUNE 2015

SUN iNTERNATiONAL LiMiTED

1

CONDENSED GROUP STATEMENTS OF COMPREHENSIVE INCOME

Year ended

R million

30 June 2015

Reviewed %

change

30 June 2014

Restated

Continuing operations

Revenue

Casino 8 653 6 8 134

Rooms 825 (3) 848

Food, beverage and other 1 075 9 988

10 553 6 9 970

Other income 466 –

Consumables and services (1 081) (1 027)

Depreciation and amortisation (992) (900)

Employee costs (2 201) (2 327)

impairment of assets (176) (39)

Levies and VAT on casino revenue (2 104) (1 952)

Promotional and marketing costs (703) (672)

Property and equipment rentals (145) (129)

Property costs (665) (646)

Other operational costs (875) (688)

Operating profit 2 077 31 1 590

Foreign exchange (losses)/profits (103) 7

interest income 51 22

interest expense (625) (546)

Share of associates profits 20 –

Profit before tax 1 420 32 1 073

Tax (435) (391)

Profit for the year from continuing operations 985 44 682

Profit for the year from discontinued operations 46 67

Profit for the year 1 031 38 749

Other comprehensive income:

Items that will not be reclassified to profit or loss

Remeasurements of post employment benefit obligations (9) 17

Tax on remeasurements of post employment benefit obligations 3 (5)

Year ended

R million

30 June 2015

Reviewed %

change

30 June 2014

Restated

Items that may be reclassified to profit or loss

Net (loss)/profit on cash flow hedges (2) 1

Tax on net (loss)/profit on cash flow hedges - –

Transfer of hedging reserve to statements of comprehensive income - 4

Tax on transfer of hedging reserve to statements of comprehensive income - (1)

Currency translation reserve (57) (45)

Total comprehensive income for the year 966 720

Profit for the year attributable to:

Minorities 141 231

Ordinary shareholders 890 518

1 031 749

Total comprehensive income for the year attributable to:

Minorities 126 221

Ordinary shareholders 840 68 499

966 720

Total comprehensive income attributable to ordinary shareholders arises from:

Discontinued operations 41 54

Continuing operations 799 445

840 499

HEADLINE EARNINGS AND ADJUSTED HEADLINE EARNINGS RECONCILIATION

Profit attributable to ordinary shareholders 890 72 518

Net loss/(profit) on disposal of property, plant and equipment 7 (9)

Profit on disposal of shares in subsidiaries (466) –

impairment of assets 176 39

Tax relief on the above items (10) (15)

Minorities’ interests on the above items (7) (3)

32

CONDENSED GROUP STATEMENTS OF FINANCIAL POSITION

CONDENSED GROUP STATEMENTS OF COMPREHENSIVE INCOME (CONTiNUED)

Year ended

R million

30 June 2015

Reviewed %

change

30 June 2014

Restated

Headline earnings 590 11 530

Pre-opening expenses 36 36

Termination of BEE shareholder options - 16

Transaction costs 45 –

Restructure and related costs 82 165

insurance Captive Trust Distribution - (25)

Monticello purchase price adjustment 23 –

Dinokana – Employee – share-based payments expense 12 –

Other 11 13

Foreign exchange losses/(profits) on inter-company loans 7 (13)

Tax on the above items (7) (44)

Minorities’ interests on the above items (66) (18)

Reversal of Employee Share Trusts’ consolidation(i) 21 23

Adjusted headline earnings 754 10 683

(i) The consolidation of the Employee Share Trust is reversed in the calculation of adjusted headline earnings as the group does not receive the economic benefits of the trust.

Cents per share

%change

Cents per share

Earnings per share

basic 950 555

diluted 946 71 553

Dividends per share 285 245

Year ended

R million

30 June 2015

Reviewed

30 June 2014

Audited

ASSETS

Non-current assets

Property, plant and equipment 11 244 11 380

intangible assets 738 721

investment in associates 390 –

investment in joint ventures 201 –

Available-for-sale investment 48 48

Loans and receivables 17 10

Pension fund asset 36 45

Deferred tax 320 249

12 994 12 453

Current assets

Tax 21 42

Accounts receivable and other 785 618

Cash and cash equivalents 507 958

1 313 1 618

Non-current assets held-for-sale 69 –

Total assets 14 376 14 071

EQUITY AND LIABILITIES

Capital and reserves

Ordinary shareholders’ equity 2 325 1 497

Minorities’ interests 421 491

2 746 1 988

Non-current liabilities

Deferred tax 384 460

Borrowings 5 347 3 772

Other non-current liabilities 905 2 316

6 636 6 548

Current liabilities

Tax 94 79

Accounts payable and other 1 484 1 646

Borrowings 3 371 3 810

4 949 5 535

Non-current liabilities held-for-sale 45 –

Total liabilities 11 630 12 083

Total equity and liabilities 14 376 14 071

54

GROUP STATEMENTS OF CHANGES IN EQUITY

R million

Share capital and

premium

Treasury shares and

share options

Foreign currency

translation reserve

Share based

payment reserve

Available-for-sale reserve

Other reserves

Reserve for non-

controlling interests

Hedging reserve

Retained earnings

Ordinary shareholders’

equity Minorities’

interests Total equity

Reviewed

FOR THE YEAR ENDED 30 JUNE 2015

Balance at 30 June 2014 309 (1 829) 449 112 4 (673) (2 326) 3 5 448 1 497 491 1 988

Total comprehensive income for the year - - (42) - - - - (2) 884 840 126 966

Treasury share options purchased - (20) - - - - - - - (20) - (20)

Net deemed treasury shares sold - 10 - - - - - - - 10 - 10

Treasury shares cancelled (14) 653 - - - - - - (639) - - -

Treasury shares reversed back to share capital - 614 - - - - - - - 614 - 614

Vested shares - 30 - (30) - - - - - - - -

Employee share-based payments - - - 57 - - - - - 57 - 57

Release of share-based payment reserve - - - (27) - - - - 27 - - -

Delivery of share awards - - - - - - - - (32) (32) - (32)

Disposal of shares in African operations - - (117) - - - - - - (117) (62) (179)

Acquisition of minority interests in Monticello - - (127) - - 673 (550) - - (4) 3 (1)

Acquisition of minorities’ interests - - - - - - (260) - - (260) 110 (150)

Dividends paid - - - - - - - - (260) (260) (247) (507)

Balance at 30 June 2015 295 (542) 163 112 4 - (3 136) 1 5 428 2 325 421 2 746

Audited

FOR THE YEAR ENDED 30 JUNE 2014

Balance as at 30 June 2013 309 (1 781) 482 86 4 - (2 219) 1 5 151 2 033 1 632 3 665

Total comprehensive income for the year - - (33) - - - - 2 530 499 221 720

Treasury share options purchased - (29) - - - - - - - (29) - (29)

Net deemed treasury shares purchased - (32) - - - - - - - (32) - (32)

Vested shares - 13 - (13) - - - - - - - -

Employee share-based payments - - - 53 - - - - - 53 - 53

Release of share-based payment reserve - - - (14) - - - - 14 - - -

Monticello acquisition consideration - - - - - (673) - - - (673) (1 014) (1 687)

Minority share capital reduction - - - - - - - - - - (84) (84)

Delivery of share awards - - - - - - - - (7) (7) - (7)

Acquisition of minorities’ interests - - - - - - (107) - - (107) (15) (122)

Dividends paid - - - - - - - - (240) (240) (249) (489)

Balance at 30 June 2014 309 (1 829) 449 112 4 (673) (2 326) 3 5 448 1 497 491 1 988

76

SUPPLEMENTARY INFORMATION

Year ended

R million

30 June 2015

Reviewed

30 June 2014

Restated

EBITDA RECONCILIATION

Operating profit 2 077 1 590

Depreciation and amortisation 992 900

Property and equipment rental 145 129

Net loss/(profit) on disposal of property, plant and equipment* 7 (9)

impairment of assets* 176 39

Pre-opening expenses* 36 36

Restructure and related costs* 82 165

Transaction costs* 45 -

Termination of BEE shareholder options* - 16

insurance Captive Trust Distribution* - (25)

Profit on disposal of shares in subsidiaries* (466) -

Monticello purchase price consideration* 23 -

Dinokana employee share-based payment expense* 12 -

Other* 11 12

Reversal of Employee Share Trusts’ consolidation* 31 32

EBITDA 3 171 2 885

EBiTDA margin (%) 30 29

Number of shares (‘000)

- in issue 98 519 93 047

- for EPS calculation 93 729 93 301

- for diluted EPS calculation 94 040 93 718

- for adjusted headline EPS calculation(i) 104 000 103 912

- for diluted adjusted headline EPS calculation(i) 104 311 104 329

Earnings per share (cents)

- basic earnings per share 950 555

- headline earnings per share 629 568

- adjusted headline earnings per share 725 657

- diluted basic earnings per share 946 553

- diluted headline earnings per share 627 566

- diluted adjusted headline earnings per share 723 655

Continuing - earnings per share (cents)







Year ended

R million

30 June 2015

Reviewed

30 June 2014

Restated

Discontinuing - earnings per share (cents)







Tax rate reconciliation

Profit before tax 1 420 1 073

Share of associates profits (20) –

Adjusted profit before tax 1 400 1 073

% %

Effective tax rate 31 36

Preference share dividends (3) (4)

Prior year over-provisions 2 2

Withholding taxes (1) (2)

Foreign tax rate variation 2 -

Exempt income 5 1

Exempt income - capital gains 1 –

Foreign monetary adjustments and government incentives 1 2

Capital allowances and disallowed expenditure (10) (7)

SA corporate tax rate 28 28

EBiTDA to interest (times) 5,5 5,8

Annualised borrowings to EBiTDA (times) 2,7 2,5

Net asset value per share (Rand) 23,60 16,09

Capital expenditure 1 714 2 083

Capital commitments

- contracted 1 730 630

- authorised but not contracted 1 244 1 374

2 974 2 004

* items identified above are included as other expenses and other income in the segmental analysis.

(i) The consolidation of the Employee Share Trust is reversed in the calculation of adjusted headline earnings as the group does not receive the economic benefits of the trust.

98

COMMENTARYCONDENSED GROUP STATEMENTS OF CASH FLOWS

Year ended

R million

30 June 2015

Unaudited

30 June 2014

Audited

Cash generated by operations before: 3 136 2 991

Working capital changes (354) 98

Cash generated by operations 2 782 3 089

Tax paid (505) (494)

Cash generated by operating activities 2 277 2 595

Settlement of long services award obligation - (40)

Net cash generated by operating activities 2 277 2 555

Cash utilised in investing activities (2 087) (2 131)

Cash realised from investing activities 557 112

Acquisition of shares in subsidiaries (1 729) (126)

Net cash inflow/(outflow) from financing activities 537 (484)

Effect of exchange rates upon cash and cash equivalents 1 8

Decrease in cash and cash equivalents (444) (66)

Cash and cash equivalents at beginning of the year 958 1 024

Cash and cash equivalents at end of the year 514 958

Assets held-for-sale (7) -

Cash and cash equivalents at end of the year excluding non-current assets held-for-sale 507 958

REVIEW OPINIONSun international’s condensed consolidated financial information for the year ended 30 June 2015 has been reviewed by the group’s auditors, PricewaterhouseCoopers inc. This review has been conducted in accordance with the international Standard on Review Engagements 2410, “Review of interim Financial information Performed by the independent Auditor of the Entity”, and their unmodified review opinion is available for inspection at the company’s registered office.

REVIEW OF THE YEARThe year under review has been another very busy one for Sun international during which the group concluded a number of transactions and initiatives which have had a significant impact on its reported results. These transactions and initiatives are in line with our medium-term strategic objectives, which we set out in our 2013 and 2014 integrated annual reports. They include:• Opening of the Ocean Sun Casino in Panama in

September 2014 and the Sun Nao Casino in Colombia in May 2015;

• Acquisition of an additional 55% interest in Monticello, Chile with effect from 1 November 2014;

• Acquisition of a 25.1% interest in GPi Slots on 31 December 2014;

• Acquisition of food and beverage businesses from outsourced operators in April and May 2015, resulting in just over 2 000 new employees joining the group;

• Conclusion of our Section 189 restructuring process which resulted in our South African head count reducing by approximately 1 500; and

• Disposal of the majority of the group’s interest in Gaborone Sun, Kalahari Sands, Lesotho Sun and Maseru Sun as well as a 50% interest in the Royal Livingstone and Zambezi Sun (“the African properties”) to Minor international Pcl (“Minor”).

The results of the African properties up to the date of disposal to Minor as well as the Swaziland operations have been reclassified in the current and prior periods in the Statement of comprehensive income and are disclosed as a single line item under “Profit from discontinued operations”.

in addition to the initiatives above, in the year under review the group has been involved in a number of other strategic initiatives which are described in greater detail below and include:• The relocation of its Morula licence to Menlyn Maine• A transaction to restructure its Western Cape assets• A merger of its Latin American assets• The acquisition of Peermont Global (Proprietary) Limited

(“Peermont”)

The significant restructure of operations was predominantly implemented during calendar 2014 and resulted in a strong improvement in the 2014 calendar year. Since then the

business has settled down and trading in the past 6 months to 30 June 2015 is more reflective of the environment within which the group is operating.

Revenue of R10.6 billion for the year ended 30 June 2015 was 6% ahead of the previous year, boosted by a strong performance from Monticello (up 14% in local currency), the new properties opened during the year and the insourced food and beverage operations. The core South African operations were 3.5% ahead of the prior year with growth in the past 6 months slowing to 2%, reflecting the weak economic environment in South Africa.

EBiTDA for the year, including all adjusted headline earnings adjustments and excluding discontinued operations was up 10% at R3.2 billion. This increase is primarily due to the strong performance from Monticello coupled with the savings we achieved from the section 189 restructure in South Africa and other cost cutting measures we implemented. These helped to offset the start-up losses incurred in Panama as the property establishes itself in its first year of trading in that market. Excluding discontinued operations our EBiTDA margin improved 1.1% to 30.0%.

Adjusted headline earnings of R754 million and diluted adjusted headline earnings per share of 723 cents were 10% ahead of last year. Excluding an unrealised forex loss on US$ denominated Nigerian minority shareholder loans of R89 million (R44 million attributed to Sun international shareholders) and the start-up losses of the Ocean Sun Casino, diluted adjusted headline earnings per share would have been up 27%.

Depreciation and amortisation was up 10% (4% on a comparative basis) primarily due to the inclusion of R57 million depreciation from the Ocean Sun Casino. Employee costs include the restructure costs of R69 million (R161 million in prior year) and the new Ocean Sun Casino and the Sun Nao Casino employees. On a like-for-like basis employee costs are 5% down on the previous year. Levies and VAT on casino revenues were up 8% on last year, which is well ahead of the 6% growth in casino revenue due to the 2% increase in the gaming levy in the Western Cape and the higher portion of gaming revenue from Monticello where the levy and VAT rate (together 33%) is significantly higher than South Africa. The group moved its head office in 2014 and property and equipment rentals were up 12% primarily due to the straight line charge for the new office despite the actual rentals being lower than before.

Other income of R466 million is the profit on disposal of the African properties and assignment of the management contracts to Minor. The impairment charge of R176 million is primarily due to the write down of the Morula assets as a result of the future relocation of the casino licence to Menlyn Maine.

1110

COMMENTARY (CONTiNUED)

Other operating costs, which relate primarily to iT, security, professional fees and insurance, include certain non-recurring items such as pre-opening expenses for the Ocean Sun Casino and Sun Nao Casino of R36 million (2014: R36 million), corporate transaction costs of R45 million and an adjustment to the Monticello acquisition consideration of R23 million. including adjusted headline earnings adjustments, other operational costs are up 8% with the above inflationary increase due primarily to higher iT and training costs.

Net interest paid of R574 million was 10% ahead of last year due to higher debt levels as a result of the Ocean Sun Casino development and our acquisition of the additional interest in Monticello. included in the foreign exchange losses for the period was an unrealised loss of R89 million incurred on the US dollar minority shareholder loans in the Tourist Company of Nigeria. Of this amount R44 million is attributed to Sun international.

The effective tax rate, excluding non-deductible preference share dividends, withholding taxes and CGT, on South African income was 31% (2014: 30%). The Latin American (“Latam”) operations had a positive tax charge as a result of the Ocean Sun Casino start-up loss and a monetary adjustment on capital that is allowed as a deduction from taxable income in Chile as well as an increase in the Monticello deferred tax asset as a result of an increase in the corporate tax rate.

Associates profits include the group’s 25.1% interest in GPi Slots (from 1 January 2015), and the group’s remaining interests in the African properties.

in line with our improved results the board has declared a gross final dividend of 175 cents (2014: 155 cents) per share. This reflects a 16.3% increase in total dividends for the year which is in line with the growth in adjusted headline earnings per share excluding the unrealised Nigerian forex loss.

SEGMENTAL ANALYSISRevenue EBITDA EBITDA margin (%) Operating profit

Year ended 30 June Year ended 30 June Year ended 30 June Year ended 30 June

R million 2015 2014 2015 2014 2015 2014 2015 2014

South African operations 8 574 8 266 2 563 2 334 29.9 28.2 1 715 1 562

GrandWest 2 152 2 020 915 833 42.5 41.2 787 723

Sun City 1 410 1 403 201 176 14.3 12.5 30 38

Sibaya 1 143 1 095 418 398 36.6 36.3 335 318

Carnival City 1 047 1 042 356 312 34.0 29.9 264 217

Boardwalk 568 554 169 168 29.8 30.3 82 87

Wild Coast Sun 430 400 82 70 19.1 17.5 31 22

Carousel 319 311 72 56 22.6 18.0 42 24

Meropa 281 278 103 106 36.7 38.1 82 86

Windmill 259 257 97 96 37.9 37.4 76 77

Table Bay 252 233 60 50 23.8 21.5 29 23

Morula 217 208 33 16 15.2 7.7 14 (2)

Flamingo 163 152 53 49 32.5 32.2 39 37

Worcester 149 144 26 27 17.4 18.8 10 13

Maslow 127 113 8 6 6.3 5.3 (69) (70)

Other operating segments 57 56 (30) (29) (52.6) (51.8) (37) (31)

Federal Palace 212 216 33 28 15.6 13.0 (7) (21)

LATAM 1 743 1 443 344 303 19.7 21.0 150 126

Monticello 1 597 1 443 387 303 24.2 21.0 252 126

Ocean Sun Casino 140 – (43) – (30.7) – (101) –

Sun Nao Casino 6 – – – – – (1) –

Management activities 652 612 264 248 40.5 40.5 212 216

Total operating segments 11 181 10 537 3 204 2 913 28.7 27.7 2 070 1 883

Central office and other eliminations (628) (567) (33) (28) (35) (26)

Other income(ii) 466 –

Other expenses(ii) (424) (267)

Group total 10 553 9 970 3 171 2 885 30.0 28.9 2 077 1 590

(ii) Refer to the EBiTDA reconciliation denoted*

1312


Revenue EBITDA EBITDA margin (%) Operating profit

Year ended 30 June Year ended 30 June Year ended 30 June Year ended 30 June

R million 2015 2014 2015 2014 2015 2014 2015 2014

Associates, joint ventures and discontinued operations*

GPi Slots 798 599 190 135 23.8 22.5 124 89

Avani Victoria Falls & Royal Livingstone 237 222 55 52 23.2 23.4 30 30

Avani Gaborone Hotel & Casino 208 186 52 44 25.0 23.7 40 31

Avani Windhoek Hotel & Casino 146 148 36 39 24.7 26.4 12 15

Swaziland 173 172 8 13 4.6 7.6 3 8

Other 164 127 50 19 30.5 15.0 39 5

* The results above reflect a full years trading for each operation. The properties sold to Minor are accounted for as discontinued operations up to 30 November 2015 and equity accounted thereafter. GPi slots is accounted for as an associate as from 1 January 2015.

REVENUE SEGMENTAL ANALYSISRevenue by region and nature is set out below:

Gaming Rooms F&B and Other Total

R million 2015 % 2014 2015 % 2014 2015 % 2014 2015 % 2014

South Africa* 6 984 3.7 6 738 757 (0.8) 763 857 5.8 810 8 598 3.5 8 311

H1 3 552 5.4 3 371 393 4.0 378 415 2.0 407 4 360 4.9 4 156

H2 3 432 1.9 3 367 364 (5.5) 385 442 9.7 403 4 238 2.0 4 155

Nigeria 107 13.8 94 53 (30.3) 76 52 13.0 46 212 (1.9) 216

H1 49 2.1 48 28 (22.2) 36 30 42.9 21 107 1.9 105

H2 58 26.1 46 25 (37.5) 40 22 (12.0) 25 105 (5.4) 111

Chile 1 431 9.8 1 303 14 55.6 9 152 16.0 131 1 597 10.7 1 443

H1 701 11.6 628 7 40.0 5 74 7.2 69 782 11.4 702

H2 730 8.1 675 7 75.0 4 78 25.8 62 815 10.0 741

Panama 125 – – – – – 15 – – 140 – –

H1 37 – – – – – 4 – – 41 – –

H2 88 – – – – – 11 – – 99 – –

Colombia 6 – – – – – – – – 6 – –

H2 6 – – – – – – – – 6 – –

8 653 6.4 8 135 824 (2.8) 848 1 076 9.0 987 10 553 5.8 9 970

* includes Management activities and Central office and other eliminations.

South Africa continues to contribute just over 81% of group revenues and gaming revenue remains the primary contributor to the group at 82% (2014: 82%). Latam’s share of group revenue increased with the strong growth in Monticello’s revenue and the opening of the Ocean Sun Casino in Panama and Sun Nao Casino in Colombia, partly offsetting the lost revenue contribution resulting from the sale of the African assets.

OPERATIONAL REVIEW SOUTH AFRICAN PROPERTIESGrandWest revenue was 7% ahead of last year at R2 152 million. Excluding the insourcing of food and beverage operations, revenue increased 6.1%. Following the excellent growth in casino revenue in H1 of 10.6%, growth in H2 slowed to 1.9%, reflecting the higher base in the prior year, a slow-down in the economy and in part impacted by volatility on tables. EBiTDA increased by 10% due to good cost control and despite the effective gaming taxes of 27.4% being 0.6% higher than last year. GrandWest’s EBiTDA margin increased 1.3% to 42.5%.

Sun City revenue at R1 410 million was in line with last year. While casino revenue was up 10.2% on last year, rooms’ revenue declined 9.6%. The decline is due to renovations to the Cabanas, an increase in complimentary rooms given to ViP gaming clients and a 27% decline (4.6% occupancy) in international room nights sold as a result of the new requirements from the Department of Home Affairs, namely unabridged birth certificates and biometric visas. Despite the flat revenues EBiTDA was up 14% at R201 million (2014: R176 million) due to cost savings and the impact of our section 189 restructure. included in the results is a charge of R15 million (2014: R12 million) relating to costs of selling Vacation Club units. in the year under review, sales of the refurbished Vacation Club units amounted to R137 million (R242 million in sales since the launch of the refurbished units). While indirect selling costs are expensed as incurred, the sale proceeds are recognised over 10 years.

Sibaya revenue increased by 4% to R1 143 million and with its EBiTDA margin improving 0.3% to 36.6%, EBiTDA increased by 5% to R418 million as a result of cost savings. Sibaya’s market share for the year remained constant at 35.7% (2014: 35.9%).

Carnival City revenue increased slightly by 0.5% for the year to R1 047 million. Through cost saving initiatives, including a reduction in employee costs and a revised marketing strategy its EBiTDA improved significantly by 14% to R356 million. Carnival City’s share of the Gauteng market declined slightly by 0.5% to 15.0%.

Boardwalk revenue (excluding insourced food and beverage) remained flat in comparison to the prior year. The lack of growth is due to the opening of three Electronic Bingo Terminal (“EBT”) operations within the Boardwalk’s catchment area. Through good cost control, EBiTDA was maintained in line with last year at R169 million.

The Table Bay Hotel achieved revenue growth of 8% driven by a 9% increase in the Average Daily Rate and a 14% growth in food and beverage revenue. The decline in visitation from growth markets such as india and China was offset by an increased focus on traditional markets in Europe

and the USA, with the weaker rand helping to boost tourism from these regions. Costs were well managed resulting in a 20% increase in EBiTDA to R60 million.

The Maslow occupancy increased by 7.2% to 63.2% and the room rate increased by 2.4% to R1 124. Despite an improved operational performance, which brings the property in-line with market metrics, the terms of the lease and the accounting therefore mean that the property continues to report a significant loss.

NIGERIAN PROPERTY The Federal Palace revenue declined 5% in local currency as a result of a 15.5% decline in occupancies after the Ebola crisis, the ongoing Boko Haram threat and the economic conditions facing the country. Occupancies fell as low as 33% in September 2014 and averaged 47% in the second half of the year. Gaming revenue was however very strong reflecting growth of 16.2%. Despite the decrease in overall revenue, EBiTDA (in local currency) improved 18.3% following savings in all areas including payroll.

LATAMMonticello revenue was up 14% in local currency (11% in ZAR) with casino revenue up 13.4%. The property is close to reaching the revenue levels it achieved pre the smoking ban that was implemented in March 2013. Due to strong revenue growth and cost savings its EBiTDA was up 33% (28% in ZAR to R387 million).

Ocean Sun Casino started trading in mid-September 2014 and has contributed R140 million to revenue. Although the casino has been well received by the local market it is taking longer than expected to ramp up. The casino is starting to attract more ViP players and recent trading levels have been encouraging. The ViP play is, however, volatile and is also lower margin business and consequently the flow through to EBiTDA is disappointing. A further challenge facing the property is a recently introduced 5.5% tax on casino pay-outs. The prospects for Panama as a destination remain positive and management remain optimistic that the property can achieve its medium-term revenue projections and profitability.

MANAGEMENT ACTIVITIESManagement fees and related income, at R652 million, was 7% ahead of last year. The increase in revenue is due largely to the higher EBiTDA achieved by the group, offset in part by the reduction in fees from the properties sold to Minor. EBiTDA improved by 6% to R264 million. The lower growth in EBiTDA compared to revenue is largely due to recruitment of food and beverage expertise prior to the insourcing of food and beverage operations.

–

1514


ASSOCIATES, JOINT VENTURES AND DISCONTINUED OPERATIONSWith effect from 1 December 2014 the group’s remaining interests in its Namibia, Botswana and Lesotho operations have been accounted for as associates and the Zambian operation as a joint venture. Other than the Royal Livingstone, the properties sold to Minor are now trading under the Avani brand. GPi Slots has been accounted for as an associate with effect from 1 January 2015.

The Royal Livingstone and Avani Victoria Falls revenue was up 7%, (9% in local currency) due to a 3.1% increase in occupancies and a 1.9% increase in ADR. EBiTDA improved 6% (10% in local currency) as a result of the increase in revenue.

GPI SlotsThe group equity accounted R7 million in earnings from GPi Slots from the acquisition date of 1 January 2015. During the

2015 financial year GPi Slots revenue increased 33% and EBiTDA 41% as a result of organic growth and the purchase of Grand Gaming KZN and Grand Gaming Hot Slots with effect from July 2014 and August 2014 respectively.

FINANCIAL POSITIONThe group’s borrowings at 30 June 2015 of R8.7 billion are R1.1 billion above last year. The increase in borrowings is largely due to the acquisition of an additional 54.7% interest in Monticello (R1.4 billion), the acquisition of a 25.1% interest and shareholder loans in GPi Slots (R311 million) and the development of the Ocean Sun Casino (R395 million) and the Sun Nao Casino (R202 million) in Cartagena, Colombia, which was offset in part by the proceeds from the Minor transaction (R671 million) as well as the Dinokana restructure which resulted in the repayment of the R511 million Dinokana debt.

30 June

R million 2015 2014

SFi Resorts (Monticello) 1 713 556

Ocean Club inc (Ocean Sun Casino – Panama) 1 114 719

SunWest (GrandWest and Table Bay) 843 821

Afrisun Gauteng (Carnival City) 586 575

Emfuleni (Boardwalk and Fish River Sun) 556 657

Tourist Company of Nigeria (Federal Palace) 441 362

Transkei Sun (Wild Coast Sun) 334 337

Afrisun KZN (Sibaya) 330 357

Sun Casinos Colombia (Sun Nao Casino) 202 –

Worcester (Golden Valley) 137 128

Mangaung (Windmill) 116 98

Meropa 111 118

Teemane (Flamingo) 76 69

Swazispa* – 16

Lesotho Sun – 2

Central Office 2 159 2 256

8 718 7 071

Dinokana – 511

8 718 7 582

* This is disclosed as a non-current liability held-for-sale in the current year.

CAPITAL EXPENDITURE INCURRED DURING THE YEARR million

Expansionary

Ocean Sun Casino, Panama 327

Sun Nao Casino, Colombia 206

Sun City 126

Menlyn Maine 40

Monticello, Chile 8

Other 4

711

Refurbishment:

Sun City 136

Zambia 100

Other 15

251

Other ongoing asset replacement* 721

Enterprise Gaming System 6

Enterprise Resource Planning 63

Total capital expenditure 1 752

* Ongoing asset replacement relates primarily to the replacement of gaming and iT equipment.

PROJECT CAPITAL EXPENDITURE

The table below sets out the capital expenditure on major projects and the expected timing thereof:

30 June

R millionProject budget

Spend to date 2016 2017

Sun Nao Casino, Colombia

US$ million 30 17 10

R million 331 206 125

Sun City

Cabanas 130 45 85

Entertainment Centre 300 – 125 175

Valley of the Waves 85 – 85

Restaurants 33 – 33

Sun Park 15 – 15

Menlyn Maine* 3 000 40 1 227 1 733

Enterprise Resource Planning System 162 127 35

4 056 418 1 730 1 908

* Detailed plans and costs being finalised.

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ACCOUNTING POLICIESThe condensed consolidated financial information for the year ended 30 June 2015 has been prepared in accordance with the requirements of the JSE Limited Listings Requirements and the South African Companies Act No 71 of 2008. The Listings Requirements require provisional reports to be prepared in accordance with the framework concepts, the measurement and recognition requirements of international Financial Reporting Standards (iFRS), the SAiCA Financial Reporting Guides as issued by the Accounting Practices Committee and must also, as a minimum, contain the information required by iAS 34 “interim Financial Reporting”. The accounting policies applied are consistent with those adopted in the financial statements for the year ended 30 June 2014.

UPDATE ON STRATEGIC INITIATIVESINITIATIVES TO IMPROVE OPERATIONAL PERFORMANCERESTRUCTUREMost of the Section 189 and 189A restructuring process as announced on SENS on 29 January 2014 was finalised in November 2014. in total 689 employees accepted voluntary retrenchment and 134 employees took early retirement packages. Compulsory retrenchment involved 126 employees. The cost to the group was R234 million which was largely expensed in the 2014 financial year. Between January 2014 and January 2015, the group’s South African headcount through a combination of natural attrition and the restructure reduced by approximately 1 500 employees. The annual saving on employee costs achieved by the restructure is approximately R250 million.

FOOD AND BEVERAGE INSOURCINGDuring the last quarter of the financial year we acquired the businesses of Headline Leisure Management (HLM), Liquid Beverage Services (LBS) and Fedics which were operating at our properties. The acquisitions of these operations added more than 2 000 employees to Sun international’s headcount (on a hospitality sector wage). Although this has resulted in increased revenue we do not expect a significant change to profitability in the short-term. We believe that the insourcing of food and beverage will help us achieve our strategic objectives by enabling us to provide a better guest experience, improved employee morale and in the medium-term increased profitability.

MARKETINGA number of strategic initiatives have been launched in the year under review, including the roll out of the new brand and work on the website and loyalty program. The investment made into the new gaming system is now being exploited through better gaming intelligence and a revised approach to gaming marketing.

ERP SYSTEMOther operational initiatives include the rollout of an Enterprise Resource Planning (“ERP”) system in South Africa which will consolidate the groups back office systems. The roll out should be completed by end 2015 and should deliver further efficiencies.

PROTECT AND LEVERAGE OUR EXISTING ASSET PORTFOLIORESTRUCTURE OF OUR WESTERN CAPE ASSETSAs announced on SENS on 3 July 2015 the proposed transaction with the group, Grand Parade investments Limited and Tsogo Sun Limited regarding the restructure of the shareholding in SunWest and Worcester was terminated.

The key consideration for calling off the transaction was that the regulatory approvals required to implement the transaction would not be received by the long stop implementation date of 31 August 2015. The parties concluded that it was not possible to simply extend the date again as the commercial metrics agreed to under the original proposed transaction had changed due to the effluxion of time.

AMENDMENT OF THE MORULA CASINO LICENCEOn 31 July 2014, the Gauteng Gambling Board (“GGB”) announced that the group’s application to relocate its Morula licence to Menlyn Maine on the east side of Pretoria had been approved, thereby permitting the relocation of the casino from Mabopane to Menlyn. This approval is subject to conditions that are reflective of the commitments we made in our application. Detailed design planning is now being completed and earthworks on the site have commenced. The project is due for completion at the end of September 2017.

SUN CITYThe refurbishment of the Sun City phase 1 Vacation Club was completed in November 2014, coming in below the R295 million development budget. To date the sales of Vacation Club units amount to R242 million despite the weaker economic environment. The unsold inventory is rented out to guests as another form of accommodation at Sun City and is extremely popular, with the high occupation levels contributing towards revenues achieved at the resort.

The redevelopment of the main casino was completed in November 2014 in time for the Nedbank Golf Challenge. The resultant significant modernisation of the gaming floor and its surrounds has been well received by customers. Additional food and beverage offerings are being developed around the casino floor.

The long overdue refurbishment of the Cabana rooms and public areas has commenced and we expect to complete it by November 2015, at a cost of R130 million. The Valley of Waves is being enhanced by the extension of the beach area, the addition of a new ride and the development of new dining function rooms and a fast food area at a budgeted cost of R85 million.

The convention centre will be closed in early 2016 and will undergo a major refurbishment. The upgrading of the convention area is a key part of our strategy to improve mid-week occupancy at the resort.

MONTICELLOThe acquisition of a further 54.7% interest in Monticello was concluded in November 2014. The acquisition was at a cost of US$146 million (including shareholder loans) and gives the group an effective 98.9% interest in Monticello – a property that continues to achieve good growth and is a flagship development in Latam.

PROPOSED MERGER OF THE GROUP’S LATAM ASSETS WITH DREAMS S.A. (“DREAMS”) As announced on 13 February 2015, the group had concluded the MOU for the merger of the group’s Latam assets with Dreams. The final agreements in this regard are close to being finalised and we expect to make announcement in the near future. The terms of the transaction remain broadly in line with what was previously communicated to shareholders.

DISPOSAL OF A MAJORITY INTEREST IN THE GROUP’S AFRICAN PORTFOLIO TO MINORAs announced on SENS the disposal of the majority interest in our African portfolio to Minor was concluded in December 2014 with the exception of the Swaziland leg of the transaction that is now unconditional but has been delayed pending final interaction with the King of Swaziland. Proceeds from the disposal (R671 million) were received in December 2014 and a profit of R466 million has been realised.

Sun international will continue to operate the casino operations situated at each of these assets and Minor has assumed day to day management responsibility for the hotel operations other than in Zambia, which are being jointly managed under a joint venture arrangement.

TOURIST COMPANY OF NIGERIA – FEDERAL PALACEThe dispute between the group’s local partners in the business continues as do the group’s efforts to find a solution.

The Federal Palace property has significant potential and real estate value but unfortunately the issues facing the country and company are making it increasingly difficult to advance any strategic issues or to realise any value in the short to medium-term. We continue to evaluate all options for this investment.

INITIATIVES TO GROW OUR BUSINESS INTO NEW AREAS AND NEW PRODUCTSSOUTH AFRICAGRAND SLOTSAs announced on SENS on 13 May 2014, Sun international will acquire up to a 70% interest in GPi Slots in a three tranche acquisition. GPi Slots is the holding company of GPi’s limited payout gaming operations that own and operate LPM’s.

The first part of the acquisition became unconditional during December and with effect from 31 December 2014 Sun international acquired a 25.1% interest in GPi Slots and shareholder loans of R73 million for a total consideration of R311 million.

The next acquisition tranche will be for a further 25% effective 1 July 2015 and the third tranche for a further 20% on 1 July 2016. The acquisition of these tranches is subject to Gaming Board and Competition Commission approval. The relevant submissions related to the second tranche are in progress and it is anticipated that we will implement the transaction during the first half of the 2016 financial year.

ACQUISITION OF PEERMONT As announced on 20 March 2015 the group has entered definitive agreements for the acquisition of Peermont. Peermont owns and operates a portfolio of gaming and hospitality businesses in South Africa and Botswana including its flagship Emperors Palace. The enterprise value of Peermont was agreed at R9.5 billion and at the Sun international shareholders meeting held on 9 June 2015 shareholders approved the transaction and the placing of sufficient shares under the director’s control to issue R1 250 million in shares at R120 per share to the Peermont shareholders and to raise up to R3 750 million by way of a fully underwritten rights offer. The balance of the funding required to conclude the transaction will be funded by debt. The transaction is subject to a number of approvals including the competition authorities and the GGB.

We anticipate that the competition authorities ruling on the transaction will be received before the end of 2015 and the GGB’s approval in the 2016 calendar year. The transaction has a long stop date for implementation of 31 March 2016.

Further details of the proposed transaction can be found in the circular to shareholders which is available on our website. The combined portfolio of Sun international and Peeromont opens up further opportunities for strategic restructuring of the portfolio in the short- to medium-term.

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INTERNATIONAL VIP GAMINGFurther to engaging with the North West Gaming Board the gaming legislation in North West Province has now been amended to cater for international ViP business. This opens up a new source of income for the group and in particular at Sun City where we are seeking new sources of revenue to underpin the recent investment in the property. We have already received our first visitors and have encouraging interest from international junket operators and individual ViP clients.

LATAMPANAMAThe Ocean Sun Casino in Panama opened on 12 September 2014 with the official opening on 23 October 2014. The project was concluded within the US$105 million budget.

COLOMBIAThe Sun Nao casino had a soft opening on 15 May 2015 with its official opening having taken place on 25 July 2015. The casino has 220 slot machines and 16 tables and is part of a mixed use development in Cartagena. The project was completed within the budget of US$30 million.

DIRECTORATE AND CHANGES TO THE BOARDMs Bridgette Modise retires at the forthcoming annual general meeting by way of rotation in accordance with the Company’s Memorandum of incorporation and has indicated that she will not be available for re-election.

The board of directors extends its appreciation to Ms Modise for her valuable contribution to the group over her tenure.

OUTLOOKThe South African economy is showing no signs of any meaningful improvement in the short-term. in Chile, the short-term outlook is for lower growth than in recent years – and this is reflected in the recent currency depreciation. Against this background the group expects the subdued casino trading experienced in the second half of the 2015 year to continue for the year ahead. The acquisition of the second tranche of 25% in GPi Slots will result in GPi Slots being consolidated and consequently revenue and EBiTDA will increase. Monticello is expected to continue to perform well, despite the weak economic conditions and we anticipate that the Ocean Sun Casino and Sun Nao Casino will contribute positively to EBiTDA in the year ahead as they continue to establish themselves.

Through the new properties, new lines of business, insourcing of food and beverage and a continued focus on cost savings and efficiencies we anticipate growth in both revenue and EBiTDA. Although we expect a difficult operating environment, the group is confident that it can achieve growth in adjusted headline earnings in the 2016 financial year.

As outlined in this announcement the group has recently concluded a number of significant strategic transactions and has a number of others that are still to be concluded which will have an impact on the group’s 2016 results and financial position. We anticipate that these transactions position the group for growth in the medium- to long-term.

The forward looking information above has not been reviewed or reported on by the company’s auditors.

For and on behalf of the board

MV Moosa GE StephensChairman Chief Executive

Registered Office:6 Sandown Valley Crescent, Sandown, Sandton 2196

Sponsor:Rand Merchant Bank (a division of First Rand Bank Limited)

Transfer secretaries:Computershare investor Services (Pty) Ltd, 70 Marshall Street, Johannesburg 2001

The profit announcement was prepared under the supervision of the CFO, AM Leeming; Bcom, BAcc, CA(SA).

Directors:MV Moosa (Chairman), iN Matthews (Lead independent Director), GE Stephens (Chief Executive)*, PD Bacon (British), ZBM Bassa, EAMMG Cibie, AM Leeming (Chief Financial Officer)*, PL Campher, Dr NN Gwagwa, BLM Makgabo-Fiskerstrand, B Modise, LM Mojela, GR Rosenthal* Executive

Group SecretaryCA Reddiar

24 August 2015

DECLARATION OF FINAL CASH DIVIDENDNotice is hereby given that a gross final cash dividend of 175 cents per share (148.75 cents net of dividend withholding tax) for the year ended 30 June 2015 has been declared, payable to shareholders recorded in the register of the company at the close of business on the record date appearing below. This dividend has been declared out of income reserves. The number of ordinary shares in issue at the date of this declaration is 109 086 988 including 6 719 759 treasury shares. The salient dates applicable to the final dividend are as follows:

2015

Last day to trade cum final cash dividend Friday, 11 September

First day to trade ex final cash dividend Monday, 14 September

Record date Friday, 18 September

Payment date Monday, 21 September

No share certificates may be dematerialised or rematerialised between Monday, 14 September 2015 and Friday, 18 September 2015 both days inclusive. Dividend cheques will be posted and electronic payments made, where applicable, to certificated shareholders on the payment date. Dematerialised shareholders will have their accounts with their Central Securities Depository Participant or broker credited on the payment date.

Sun international Limited’s tax reference number is: 9875/186/71/1.

By order of the board

CA ReddiarGroup Secretary

24 August 2015

(“Sun international“ or “the group“ or “the company“) REGISTRATION NUMBER: 1967/007528/06 SHARE CODE: SUi ISIN: ZAE 000097580

www.suninternational.com

REVIEWED PROFIT AND CASH DIVIDEND ANNOUNCEMENT

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