Circular to Shareholders - Fraser and Neave Limited

(ii) 9M 2012
APPENDIX 1 – FINANCIAL EFFECTS
29
Shares
(million)
Value
($ million)
Share capital as at 30 June 2012 1,422.194 7 1,466
Additional Shares issued pursuant to capitalisation of
revenue reserves
1,422.194 3,541
Cancellation of Additional Shares (1,422.194) –
Shares to be cancelled pursuant to the Capital
Reduction (excluding Additional Shares)
Adjusted issued share capital after the Capital
Reduction
(474.065) (4,030)
948.129 7 977
1.5 Pro Forma Balance Sheet. The pro forma balance sheets of the F&N Group (i) after the
Completion of the Proposed Transaction but before the Capital Reduction is effected; and (ii) after
the Completion of the Proposed Transaction and after the Capital Reduction is effected, are set out
in Appendix 2 to this Circular. These are purely for illustration purposes only and do not refl ect the
actual fi nancial position of the F&N Group after the Completion of the Proposed Transaction and
after the Capital Reduction has been effected.
1.6 Leverage Ratios. The pro forma fi nancial effects of the Capital Reduction (which assumes the
Completion of the Proposed Transaction) on the leverage ratios of the F&N Group as at FY2011
and 9M 2012 are as follows:
(i) FY2011
As at 30 September 2011 6 Pro forma after the Proposed
Transaction and the Capital
Reduction 8
Total net borrowings ($ million) 2,364 825
Net Debt/Total Equity (%) 30.8 10.0
(ii) 9M 2012
As at 30 June 2012 Pro forma after the Proposed
Transaction and the Capital
Reduction 8
Total net borrowings ($ million) 2,534 1,022
Net Debt/Total Equity (%) 32.2 12.1