ELI: ELLIES HOLDINGS LIMITED - Commencement of Section 189 consultation process with stakeholders

ELI: ELLIES HOLDINGS LIMITED - Commencement of Section 189 consultation process with stakeholders

ELI: ELLIES HOLDINGS LIMITED - Commencement of Section 189 consultation process with stakeholders Commencement of Section 189 consultation process with stakeholders ELLIES HOLDINGS LIMITED (Incorporated in the Republic of South Africa) (Registration number: 2007/007084/06) JSE share code: ELI ISIN: ZAE000103081 ('Ellies' or the 'Company') COMMENCEMENT OF SECTION 189 CONSULTATION PROCESS WITH STAKEHOLDERS The Company hereby advises that Ellies Electronics (Pty) Ltd, a wholly-owned subsidiary of the Company ('Ellies Electronics'), will enter into a formal consultation process with relevant stakeholders in terms of Section 189A ('S189 process') of the Labour Relations Act No. 66 of 1995 ('LRA'), regarding the restructuring of its goods receiving, warehousing, distribution, logistics and head office functions ('the Affected Operations'). This is pursuant to ongoing financial losses experienced by Ellies Electronics. The restructuring will result in the rationalisation of overheads and the realisation of other efficiencies required to restore profitability and ensure the existence and longevity of the Company going forward. Through the Section 189 process, the Company and affected stakeholders will together consider measures to avoid and mitigate possible retrenchments and seek alternatives to the potential cessation or downscaling of the Affected Operations. The Company is committed to following the legislative processes to ensure all affected employees are treated fairly. The S189 process follows a detailed review of the Affected Operations which included the simulation of alternative scenarios to minimize job losses. Approximately 183 jobs are expected to be affected due to the restructuring. 2 March 2020 Sponsor Java Capital Date: 02-03-2020 03:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.

2020-03-02 15:00:00 Source: JSE News Service (SENS)