1 REMOTE GAMBLING BILL 03 June 2015

2 Agenda INTRODUCTION NO REAL VALUE FOR NEW ENTRANTS AND PROBLEM GAMBLING EQUITABLE DISTRIBUTION

3 INTRODUCTION Phumelela Gaming and Leisure Limited, is a company listed on the Johannesburg Stock Exchange, is licensed as a horseracing and totalisator operator in seven of the nine provinces in South Africa. Phumelela is also a major employment creator in the gambling industry.

4 NO REAL VALUE IN NEW ENTRANTS AND PROBLEM GAMBLINGThreat to existing jobs in the gambling industry. No capital and infrastructure investment. Problem gambling (extensive access).

5 EQUITABLE DISTRIBUTIONCustomer residence based tax. The funds to follow the source. Provinces will carry the socio-economic burdens and costs.

6 Thank you