Retailer Frequently Asked Questions (FAQ)

Will you retain full Shell branding?

Yes. The Shell brand and pectin are critical to the future growth of volume.

Are we asking for any money from the retailers?

No. We have funded our bid already.

Are you buying 100% or 30% BEE of Shell SA?

We want to purchase a full 100%. We are also pragmatic and have made alternate arrangements to be a local BEE
partner if another main bidder like Aramco or ADNOC win. This is why the retailer support is critical.

How will a minor shareholder with 30% be able to implement the growth and improvement plan (GIP)?

The growth and improvement plan that we presented (presentation on our website www.sheaam.com) will
be fundamental to improving and increasing sales and profit to the major shareholder and retailer.  We would share it with any main bidder as it makes financial sense to implement this. Shell was most profitable during the years when we followed
this model.

We intend to show any partner the history that has led to Shell South Africa’s decline and loss of position as
the market leader. We have the solutions to turn the network around that will be profitable for the
investor and retailer.

How do all retailers (not only BEE) benefit from this bid?
  1. All CORO sites will be maintained and upgraded. A significant budget has been allocated for this.
    (Please refer to the presentation on our website for details on our GIP).
  2. A full new CR and QSR offer for sites without SPAR Express.
  3. Retailers will receive 5+5-year franchise agreements.
  4. Retailers will not be charged any development fee for upgrades.
Do we have a mechanism for retailers to buy in to the company?

We have set aside a billion-rand opportunity for retailers to buy in. Retailers are welcome to be part of the company.

What happens if government enforces that retail license holders cannot be part of a wholesale license?

We have written to government to enquire if this will be permitted. Initial feedback seems to be that this will be against
legislation.
To make sure that our bid does not fail if government does not approve retailer participation, we have prepared an
alternate plan to for a share scheme that will benefit Shell and Retailer staff.

Can you endorse and support both bidders?

No. Retailer support is paramount to winning the bid. Retailers would have to choose which bidder they support. We need
retailers to formalise their support. We will send out a link for support.

What is our position on transformation?

No retailer should be forced to sell. We believe in a willing buyer and seller at market value. We looking at ways to support
new BEE retailers from our funding model.

What happens if you don’t vote?

A BEE candidate will be chosen as per legislation. Another candidate will likely not understand and support the retailers,
similarly to what has been going on for the past 15 years. Lack of retailer representation would be disastrous. We urge all
retailers to choose us based on our model to grow and improve the network for everyone.

How will retailers be involved going forward?

We will reestablish working groups with Retailers and Shell staff to best improve the network. Every department will be
represented e.g. Marketing, Maintenance, CR, QSR, Logistics, Software etc. This has worked well in the past and we believe
it will add immense value.