Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

A = the sum of (B x C)

Where

A is the calculated total B-BBEE Procurement Spend for the Measured Entity. It is equal to the sum of the

result of the product of B and C for each Supplier of the Measured Entity not excluded under the exclusion from Total Measured Procurement Spend;

B is the value of procurement falling within Total Measured Procurement Spend and not excluded under

the exclusion from Total Measured Procurement Spend from each Supplier of the Measured Entity for the Measurement Period;

C is the latest B-BBEE Procurement Recognition Level of each Supplier of the Measured Entity that can

be supported by a B-BBEE verification certificate (or sworn affidavit in the case of 51% or 100% Black

Owned EME’s and QSE’s), that was valid at any time from the commencement of the Measurement Period up to the issuing of the Measured Entity’s B-BBEE verification certificate.

Where

A is the calculated preferential procurement score for 2.1.1, 2.1.2, 2.1.3, 2.1.4, 2.1.5, 2.1.6 and 2.1.7 respectively in the Preferential Procurement scorecard under statement CSC400 for the Measured Entity;

B is the total B-BBEE Procurement Spend of the Measured Entity calculated for each of the indicators of the Preferential Procurement scorecard (par 2.1.1, 2.1.2, 2.1.3, 2.1.4, 2.1.5, 2.1.6 and 2.1.7) respectively, expressed as a percentage of the Total Measured Procurement Spend of that Measured Entity;

C for par 2.1.1; 2.1.2; 2.1.3; 2.1.4, 2.1.5, 2.1.6 and 2.1.7 is the compliance Target for this indicator of the Preferential Procurement scorecard;

D is the Weighting points allocated to each of the indicators of the Preferential Procurement scorecard (par 2.1.1, 2.1.2, 2.1.3, 2.1.4, 2.1.5, 2.1.6 and 2.1.7) respectively.