Richemont and Remgro announce that they have commenced preliminary discussions

Richemont and Remgro announce that they have commenced preliminary discussions with a view to determining the feasibility of merging their respective tobacco interests. Richemont’s tobacco interests are held through its wholly-owned Dutch subsidiary, Rothmans International BV. Remgro’s tobacco interests are largely held through its wholly-owned subsidiary, Rembrandt S.A. Limited.

It is envisaged that, if implemented, the merger would combine the respective tobacco interests in an international group with an integrated portfolio of trade marks and businesses. Richemont and Remgro would each hold shares in the combined business and therefore the proposals would not affect the capital structure of Richemont or Remgro.

Richemont is a listed company based in Switzerland. Remgro is a listed South African company which is effectively controlled by the following listed companies:

• Technical and Industrial Investments Limited ("TIB");
• Technical Investment Corporation Limited ("Tegkor"); and
• Rembrandt Controlling Investments Limited, ("RBB")

Holders of units and depository receipts in Richemont and shareholders in Remgro, TIB, Tegkor and RBB should therefore exercise caution in their dealings in securities in these companies until a further announcement is made

Zug, Switzerland
Stellenbosch, South Africa.