Voluntary performance update FAMOUS BRANDS LIMITED (Incorporated in the Republic of South Africa) (Registration number 1969/004875/06) Share code: FBR ISIN code: ZAE000053328 (“Famous Brands” or “the Group”) VOLUNTARY PERFORMANCE UPDATE The Group’s results for the six months ending 31 August 2018 will be published on or about 29 October 2018. In the interim, a brief voluntary performance update for the business is provided below. This update is based on information available to date related to the five-month period ended 31 July 2018 for the Group’s South Africa (SA) and rest of Africa and Middle East (AME) regions. The United Kingdom (UK)operation information relates to our Gourmet Burger Kitchen (GBK) Restaurants Limited business for the 22-week period ended 29 July 2018. Collectively this reporting period is referred to as the “review period” below. Difficult trading conditions persisted across all our markets during the review period, with common features including intensified competitor activity and margin pressure in the context of economic hardship and constrained discretionary spend. Despite this, segments of the South African consumer base showed early indications of optimism and improved confidence in the wake of recent positive developments in government leadership and outlook for the country. The results for the review period are in line with the trend reported in the year-end results announcement published on 24 May 2018, reflecting a solid performance delivered by the SA and AME business, while the GBK operation underperformed the Board and management’s expectations. BRANDS The Group’s restaurants trade in three primary markets, SA, AME and the UK. SA As predicted in the February 2018 year-end results announcement, growth in the local market was driven by our Leading (mainstream) brands, underpinned by prudent commitment of resources to entrench their leadership position in their respective trading categories. In addition, we continued to gain momentum from our strategic focus on upweighting the portfolio’s online, digital and social media capability. Growth reported by our Signature (niche) brands was primarily derived from opening new restaurants and entering new markets. Across both our Leading and Signature brands, system-wide sales* increased 6.7% (2017: 7%), while like-for-like sales** grew by 2.8% (2017: 1.8%). Independently, Leading brands’ system-wide sales rose 6.6%, with like-for-like sales up 3.6%. Signature brands’ system-wide sales increased 7.5%, while like-for-like sales declined by 2.9%. AME In the February 2018 year-end results announcement we stated that we remain optimistic about our AME operations and are satisfied that with time and patience we will derive good returns from investments made over recent years. Our focus during the review period was on growing the contribution of our four Leading brands in the region (Debonairs Pizza, Steers, Wimpy and Mugg & Bean). System wide sales rose 10.9% in Rand terms (2017: decrease of 0.2%). We are pleased to report that across the Group’s restaurants in SA and the AME region, combined system-wide sales increased by 7.1% (2017: 6.3%). UK (INCLUDING IRELAND) During the review period, system-wide sales (Sterling) in the UK decreased by 6.4% (2017: increase of 12.1%), while like-for- like sales declined by 10.6% (2017: decrease of 2.6%). The business reported an operating loss of GBP2.24 million (2017: operating loss of GBP680 000). We are mindful that GBK’s contribution to Group profitability has taken longer than initially anticipated, hampered by the adverse trading environment. SUPPLY CHAIN: MANUFACTURING AND LOGISTICS The Group’s integrated Logistics and Manufacturing businesses reported volume growth in line with management’s expectations. The sustained drive to improve efficiencies continued to enhance performance across the operations. OUTLOOK The Group expects that its results for the full six months ending 31 August 2018 will be stronger than those reported in the prior comparable period to 31 August 2017 (“prior comparable period”). In the context of the difficult trading conditions it is anticipated that the SA and AME operations will report a solid improvement in PBIT compared to the prior comparable period, however, GBK will report a larger operating loss than the prior comparable period. If required, a Trading Statement will be issued in accordance with the Listings Requirements of the JSE Limited as soon as the Board is satisfied that a reasonable degree of certainty exists with regard to the Group’s results for the six months ending 31 August 2018. The financial information on which this performance update is based has not been reviewed or reported on by the Group’s external auditors. 16 August 2018 Midrand Sponsor The Standard Bank of South Africa Limited * System-wide sales refer to sales reported by all restaurants across the network, including new restaurants opened during the period. ** Like-for-like sales refer to sales reported by all restaurants across the network, excluding restaurants opened or closed during the period. Date: 16/08/2018 05:40:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 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