Distribution and Dividend Policy

Massmartís current dividend policy is to declare and pay an interim and final cash dividend representing a 1.7 times dividend cover unless circumstances dictate otherwise. Shareholders are reminded that while headline earnings declined over the past two years the dividend level was maintained, effectively reducing the dividend cover. Although headline earnings are higher than those for the prior period, the Board has decided to maintain this yearís dividend at the same level as last yearís dividend and will continue to do so until such time as the dividend cover returns to the Groupís policy of 1.7 times.

Notice is hereby given that an interim cash dividend of 252 cents per share in respect of the period ended 26 December 2010 has been declared payable to the holders of ordinary shares recorded in the books of the company on Friday, 18 March 2011. The last day to trade cum-dividend will therefore be Friday, 11 March 2011 and Massmart shares will trade ex-dividend from Monday, 14 March 2011. Payment of the dividend will be made on Tuesday, 22 March 2011. Share certificates may not be dematerialised or rematerialised between Monday, 14 March 2011 and Friday, 18 March 2011, both days inclusive.

A Thuthukani dividend equivalent to 100% of the Massmart ordinary dividend per share of 252 cents will be paid to the Thuthukani participants on Tuesday, 22 March 2011.

On behalf of the Board  
   
Grant Pattison Guy Hayward
Chief Executive Officer Chief Financial Officer
23 February 2011