1. Non-Toll Budget R'million2012/132013/142014/152015/16 Treasury Allocation 9,728 10,341 10,961 11,466 Other Income 601 184 250 271 Operating expenditure 3,635 4,451 3,350 2,743 Technical support & overheads 656 750 781 775 Ad hoc Maintenance 101 54 55 56 Routine Operations 490 671 592 536 Periodic Maintenance 1,655 1,830 1,509 1,304 Special Maintenance 733 1,145 412 71 Capital expenditure 6,276 6,505 7,864 8,992 Land acquisition & sundry 121 176 106 67 Community Development 141 130 264 371 Strengthening 3,375 3,225 3,366 2,684 Improvements 1,710 2,271 2,761 4,614 New Facilities 929 702 1,364 1,257 Closing Balance 1 3 2 3 1

2. Toll Budget R'million2012/132013/142014/152015/16 Toll Income 3,690 3,341 4,839 5,392 Operating expenditure 2,424 2,304 2,010 1,719 Technical support & Admin 23 24 25 - Ad hoc Maintenance 11 13 8 20 Routine Operations 2,179 1,953 1,832 1,655 Periodic Maintenance 169 301 145 44 Special Maintenance 42 13 300 - Capital expenditure 2,236 1,785 1,620 2,669 Strengthening 168 126 538 680 Improvements 991 743 527 1,614 New Facilities 1,077 916 555 375 Net Income (969) (748) 1,209 1,004 Finance charges (3,048) (3,167) (3,394) (3,755) (Operating cost)/Repayment of debt (4,017) (3,914) (2,185) (2,751) 2

3. BORROWING CAPACITY Initial R6 billion guaranteed funding (SZ bonds) R1 billion N1 loan – separate guarantee R26.91 billion guaranteed funding (HWAY bonds & others) R15 billion – non guaranteed funding (NRA bonds) Total Borrowing capacity = R48.91 billion 3

4. TOTAL DEBT 4 Total Debt: R36.1 billion bonds + R4 billion loans (Oct 2013)

5. 5 SOCIO-ECONOMIC DEVELOPMENT ON SANRAL PROJECTS FOR 2012/13

6. 6 BEE: PROJECT CONTRIBUTION COMMITMENT 2012/13 Total R’million CAPEX R’million RRM R’million Total value of Contracts awarded 9 8958 2901 605 Value of work to HD Ownership 2 3112 166145 Value of work to SMME’s (black owned) 2 0518371 214 Empowerment % 2012/13 44%36%85%

7. 7 NON-TOLL AND SANRAL TOLL Empowerment: Value of Work Performed 2012/13 Type of Projects SMME UtilisationTotal R’000 SMME utilisation: Non-Black Enterprise SMME utilisation Black Enterprise NumberR’000NumberR’000 Operational Expenditure 203299 626400605 576905 201 Capital Expenditure 406502 382421614 4581 116 840 Total 609802 0078211 220 0332 022 041

8. TRAINING NUMBERS : 2012/13 Type of Project Male Female Total Total Rand Value Non-Toll Roads Maintenance 3 2491 3724 6205 923 953 Replacement and Improvement 3 5451 5035 04810 238 737 SUB-TOTAL 6 7942 8759 66816 162 690 SANRAL Toll Roads Maintenance 801191992395 877 Toll Operations 2 7244 0266 7503 060 723 Improvement 5911607511 561 104 SUB-TOTAL 4 1164 3778 4935 017 704 TOTAL 10 9107 25218 16121 180 394 8

9. NON-TOLL JOB CREATION 2012/13 Type of ProjectPerson Hours Average Equivale- nt Full- time Jobs (2000 person hours per annum) Number of Job Opportunities Realised (includes temporary job opportunities) Total R’000 Male (‘000) Fem- ale (‘000) Total (‘000) Male (‘000) Fem-ale (‘000) Total (‘000) Maintenance 16 0443 18919 2339 61744 4884 17348 661585 968 Replacement & Improvement 19 5544 60524 15912 07933 2509 27442 5241 023 393 Sub-total 35 5987 79443 39221 69677 73813 44791 1851 609 361 9

10. SANRAL TOLL JOB CREATION 2012/13 Type of ProjectPerson HoursAverage Equivalent Full-time Jobs (2000 person hours per annum) Number of Job Opportunities Realised (includes temporary job opportunities) Total R’000 Male (‘000) Female (‘000) Total (‘000) Male (‘000) Female (‘000) Total (‘000) Maintenance 3 2641 5394 8032 4016 3061 8638 169110 241 Toll Operations 7691 0401 8099041 4151 5262 94163 886 Improvements 3 447 4423 8891 9457 0361 0708 106233 707 Sub-total 7 4803 020 10 5015 25014 7574 45919 216407 834 Total 43 07910 81453 89326 94692 49517 906110 4012 017 194 10

11. Overall Empowerment Rating: Level 2 (2009/10) STAFF Board approved Employment Equity Plan to October 2014 Bursaries SKILLS DEVELOPMENT Scholarships Bursaries Internships Funding to universities: Chairs in Pavement/Transport/Maths and Science TRANSFORMATION – Skills Development 11

12. SKILLS DEVELOPMENT - Community Outreach SANRAL’s presence at national career expos and exhibitions Roadshows at secondary schools – including presentations by community development specialists to schools Use of the database of the Department of Basic Education Attendance at university open days 12

13. University of the Free State ICY Grade 10-12 – 808 learners Family Maths & Science Grade R-3 10788 learners Free State & Northern Cape University of the Free State – The SANRAL Chair in Maths and Science NMMU ICT Grade 10 – 12 ~ 477 Learners University of Witwatersrand WTTP Grade 10-12 Limpopo, Mpumalanga & Gauteng 201 learners SUPPORT: TERTIARY INSTITUTIONS Best performing learner 2012 – WTTP. Glen Gowie School Polokwane Chair in Pavement Engineering: University of Stellenbosch Chair in Transport Planning: University of Cape Town 13

14. SKILLS DEVELOPMENT SCHOLARSHIPS 179 scholars Grades 10 -12 Across 40 schools In 7 provinces BURSARIES 70 bursars qualifying in engineering (and a few other) degrees, including post graduate degrees 7 universities INTERNSHIPS 88 interns training with 57 contractors across the country 14

15. CONTRACTORS SMME Development in Routine Maintenance Contracts 72% of work to black SMMEs 8% to other SMMEs 20% to managing contractor responsible for –Empowerment –Training –Support TRANSFORMATION THROUGH PROJECTS 15

16. COMMUNITY DEVELOPMENT PROGRAMME  Community based projects (generally safety related)  Pedestrian bridges  Other bridges  Roads  Economic opportunities in rural areas  Employment of women and youth is targeted  Catalysts for opportunities such as tourism, hospitality industry etc. ROAD SAFETY PROJECTS: At least 12 new projects identified every year TRANSFORMATION CONT’D 16

17. Community Development Projects ProjectsNo. of Projects ExpenditureJobs Created Training Community Development Projects (2012 -13) 43R169 million868 incl. 228 women 252 youth 3 disabled R11.8 million Community Development Projects (2009 -13) 64R480 million3117 incl. 721 women 714 youth 11 disabled R25.5 million 17

18. PEDESTRIAN MOVEMENT: UGU SIDEWALK Previous Now 18

19. SANRAL Road Safety Education and Awareness Programme SANRAL is taking road safety education back into schools Pedestrian hazardous locations have been identified for road safety education interventions in schools within a 5 kilometre radius from the national roads Workshops have been conducted at 397 schools, reaching 712 educators. Primary objectives of workshops: –To introduce the Road Safety Education Programme to educators. –To provide educators with the relevant learning and teaching support materials. –To facilitate the integration of road safety education into learning areas. –To enable learners to acquire knowledge of road safety related issues so as to participate safely in traffic. –To induce skills for survival and a positive attitude. 19

20. Making the NDP a reality Supports user charge Protects the poor Opposition to user charge Delays in project related approvals from water affairs, provinces, environmental affairs etc. Law enforcement: Traffic rules Overloading by hauliers Driver behaviour – road safety Reputational risk for SANRAL CHALLENGES 20

21. Insufficient  funding for timely upgrades and maintenance of the non-toll network  SIP-4 Progress  high-level planning and co- ordination between inter-modal transport and the three spheres of Government CHALLENGES CONTD 21

22. 22 Thank You Nazir Alli FRAUD HOTLINE: 0800 204 558 Website: www.sanral.co.za