SABMiller Deal for Foster’s Tweaked on Australian Tax Ruling

Foster's has not been able to obtain the ruling from the ATO. Accordingly, as set out in the Implementation Agreement, SABMiller's offer price will increase from A$5.10 per share to A$5.40 per share to take account of this development.

Nov 21 2011 --- As part of SABMiller's proposed acquisition of Foster's, SABMiller and Foster's had agreed that Foster's could pay its shareholders a return of capital of A$0.30 per share prior to the closing of the acquisition, subject to obtaining an appropriate ruling from the ATO.

Foster's has not been able to obtain the ruling from the ATO. Accordingly, as set out in the Implementation Agreement, SABMiller's offer price will increase from A$5.10 per share to A$5.40 per share to take account of this development.

The move makes no difference to the total enterprise value of the deal, including debt, which remains at A$11.5 billion($11.6 billion) and will not change the total cash received by Foster's shareholders.

This amendment does not increase the acquisition enterprise value and does not change the total cash received by each Foster's shareholder.

If approved by shareholders at the relevant scheme meetings later this year, SABMiller continues to expect the acquisition to be completed before the end of 2011.