SENS Note - 15 March 2004

MTN to report substantially higher earnings

MTN advised that it expects the adjusted headline earnings per share as well as the headline earnings per share for the financial year ending 31 Mar 2004 to be substantially above the adjusted headline earnings per share and headline earnings per share, respectively, for the previous corresponding period. The information provided in this announcement does not contain and should not be construed as containing any forward looking statements or projections of any nature whatsoever for periods after 31 Mar 2004. The company's subsidiary in Nigeria has been granted a five-year tax holiday under "pioneer status" legislation. Capital allowances arising during this period may be carried forward and claimed as deductions against taxable income from the sixth year of operations onwards. A deferred tax credit relating to these deductible temporary differences has been recognised in the previous company's results in terms of the requirements of the South African Statements of Generally Accepted Accounting Practice AC102. Although the group has complied with the requirements of AC 120, the board has reservations about the appropriateness of this treatment in view of the fact that no cognisance may be taken in determining the value of such deferred tax assets of uncertainties as a result of the effects of the time value of money or future foreign exchange movements. As a result, the board has decided to report adjusted headline earnings per share, adjusted in order to negate the effects of the deferred tax asset credit in addition to headline earnings per share. Cautionary Announcement This trading statement has not been reviewed or reported on by the company's auditors. Shareholders are therefore advised to exercise caution when dealing in their securities until publication of the year-end results on or about 10 Jun 2004.

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