Report of the Independent Auditors

To the members of New Clicks Holdings Limited
We have audited the annual financial statements and group annual financial statements of New Clicks Holdings Limited and subsidiaries as at 31 August 2003 and for the year then ended, set out on pages 52 to 55 and 60 to 88. These annual financial statements are the responsibility of the company’s directors. Our responsibility is to express an opinion on these financial statements, based on our audit.

Scope
We conducted our audit in accordance with Statements of South African Auditing Standards. These standards require that we plan and perform the audit to obtain reasonable assurance that the financial statements are free of material misstatement. An audit includes:

– examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements;
– assessing the accounting principles used and significant estimates made by management; and
– evaluating the overall financial statement presentation.

We believe that our audit provides a reasonable basis for our opinion.

Audit Opinion
In our opinion, the financial statements and group financial statements fairly present, in all material aspects, the financial position of the company and the group at 31 August 2003 and the results of their operations and cash flows for the year then ended, in accordance with South African Statements of Generally Accepted Accounting Practice and in the manner required by the Companies Act in South Africa.

KPMG Inc
Registered Accountants and Auditors
Chartered Accountants (SA)

Cape Town
5 December 2003