RANGE INTERNATIONAL LIMITED — Interim / Quarterly Report 2016

Jan 26, 2017

ASX Announcement

(ASX:RAN) Friday, 27 January 2017

Appendix 4C – Quarter ended 31 December 2016

Range International Limited presents its Appendix 4C report. This report reflects the cash flow of the consolidated entity ("Range" or "Group") for the quarter ended 31 December 2016.

This cash flow reflects the strategic focus of the Group, as stated in the Prospectus, to rapidly expand our production capacity. Year to date, more than US$11.7 M in cash has been invested in the new facility and new equipment, with another US$7 M to be invested in the first quarter of 2017. This is in line with the use of funds disclosed in the Prospectus and represents a very important step as we look to build our capacity so that we can satisfy customer needs and our growing sales targets.

Receipts from customers in the December quarter represent a 320% increase over the previous quarter. With the commissioning of the first new ThermoFusionTM production line in East Java this month and the scheduled installation of a new ThermoFusionTM production line every 6 weeks throughout 2017, we will be able to rapidly expand our production capacity to meet customer demand.

CEO Lars Amstrup said:

"I am very pleased with the progress we have made in the very short time since our listing. We have been able to secure a new production facility and get it to the point of being able to produce pallets in less than six months while also growing our sales team locally and throughout the Asian region as well as developing a new range of pallets to be released in the second quarter."

Key strategic events reflected in the Appendix 4C

• US$37.5M (AUD$50M) capital raising and successful listing on the ASX on 22 July 2016;
• 320% increase in receipts from customers over the previous quarter;
• US$11.7M ytd (US$6.8 this quarter) invested in new production capacity;
• US$7M committed to be invested in new production capacity in the first quarter 2017;
• First ThermoFusionTM machine installed in Pasuruan to commence operations and produce pallets this month; and
• Recruitment of key personnel to facilitate the expansion of production and sales throughout Asia.

About Range International:

Range is a manufacturer of plastic pallets. Our ThermoFusion™ technology allows Range to make plastic pallets from 100% recycled mixed waste plastic at a price that is competitive with wood pallets. It currently has two production lines operating at its factory in Bali, Indonesia and sells its pallets under the brand Re>Pal™. Range is scaling up its operations in Indonesia. In the medium term, the Company's goal is to establish a global production footprint and sales distribution network.

Media: media@rangeinternational.com

Investor Relations: investors@rangeinternational.com

+Rule 4.7B

Appendix 4C

Quarterly report for entities subject to Listing Rule 4.7B

Introduced 31/03/00 Amended 30/09/01, 24/10/05, 17/12/10, 01/09/16

Name of entity

RANGE INTERNATIONAL LIMITED

ABN Quarter ended ("current quarter")

22611998200 December 2016

Consolidated statement of cash flows		Current quarter	Year-to-date(12 months)
		US$'000	US$'000
1.	Cash flows from operating activities
1.1	Receipts from customers	321	559
1.2	Payments for
	(a)research and development	(33)	(92)
	(b)product manufacturing and operatingcosts	(782)	(1,780)
	(c)advertising and marketing	(81)	(157)
	(d)leased assets	-	-
	(e)staff costs	(960)	(2,270)
	(f)administration and corporate costs	(1,166)	(4,010)
1.3	Dividends received (see note 3)	-	-
1.4	Interest received	36	112
1.5	Interest and other costs of finance paid	-	-
1.6	Income taxes paid	-	-
1.7	Government grants and tax incentives	-	-
1.8	Other (provide details if material)	-	-
1.9	Net cash (used in) operating activities	(2,665)	(7,638)

	Consolidated statement of cash flows	Current quarterUS$'000	Year-to-date(12 months)US$'000
2.	Cash flows from investing activities
2.1	Payments to acquire:
	(a)property, plant and equipment	(6,814)	(11,760)
	(b)businesses (see item 10)	-	-
	(c)investments	-	-
	(d)intellectual property	-	(3,902)
	(e)other non-current assets	-	-
2.2	Proceeds from disposal of:
	(a)property, plant and equipment	-	-
	(b)businesses (see item 10)	-	-
	(c)investments	-	-
	(d)intellectual property	-	-
	(e)other non-current assets	-	-
2.3	Cash flows from loans to other entities	-	-
2.4	Dividends received (see note 3)	-	-
2.5	Other (provide details if material)	-	-
2.6	Net cash (used in) investing activities	(6,814)	(15,662)

3.	Cash flows from financing activities
3.1	Proceeds from issues of shares	-	47,458
3.2	Proceeds from issue of convertible notes	-	-
3.3	Proceeds from exercise of share options	-	-
3.4	Transaction costs related to issues ofshares, convertible notes or options	-	(3,897)
3.5	Proceeds from borrowings	-	-
3.6	Repayment of borrowings	-	-
3.7	Transaction costs related to loans andborrowings	-	-
3.8	Dividends paid	-	-
3.9	Other (provide details if material)	-	-
3.10	Net cash from financing activities	-	43,561

Consolidated statement of cash flows		Current quarterUS$'000	Year-to-date(12 months)US$'000
4.	Netincreaseincashandcashequivalents for the period	(9,479)	20,261
4.1	Cash and cash equivalents at beginning ofquarter/year to date	33,452	4,115
4.2	Net cash from / (used in) operatingactivities (item 1.9 above)	(2,665)	(7,638)
4.3	Net cash from / (used in) investing activities(item 2.6 above)	(6,814)	(15,662)
4.4	Net cash from / (used in) financing activities(item 3.10 above)	-	43,561
4.5	Effect of movement in exchange rates oncash held	(26)	(429)
4.6	Cash and cash equivalents at end ofquarter	23,947	23,947

5.	Reconciliation of cash and cashequivalentsat the end of the quarter (as shown in theconsolidated statement of cash flows) to therelated items in the accounts	Current quarterUS$'000	Previous quarterUS$'000
5.1	Bank balances	8,914	8,376
5.2	Call deposits	15,033	25,076
5.3	Bank overdrafts	-	-
5.4	Other (provide details)	-	-
5.5	Cash and cash equivalents at end ofquarter (should equal item 4.6 above)	23,947	33,452

6. Payments to directors of the entity and their associates Current quarter

• 6.1 Aggregate amount of payments to these parties included in item 1.2 188
• 6.2 Aggregate amount of cash flow from loans to these parties included in item 2.3
• 6.3 Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2

6.1 Directors remuneration.

	-

US$'000

7. Payments to related entities of the entity and their associates

Current quarterUS$'000
-

• 7.1 Aggregate amount of payments to these parties included in item 1.2 10
• 7.2 Aggregate amount of cash flow from loans to these parties included in item 2.3
• 7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2
• 7.1 Payments to associate entity of Director.
• 8. Financing facilities available Add notes as necessary for an understanding of the position

8.	Financing facilities availableAdd notes as necessary for anunderstanding of the position	Total facility amountat quarter endUS$'000	Amount drawn atquarter endUS$'000
8.1	Loan facilities	-	-
8.2	Credit standby arrangements	-	-
8.3	Other (please specify)	-	-

8.4 Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well.

Not applicable

9.	Estimated cash outflows for next quarter	US$'000
9.1	Research and development	-
9.2	Product manufacturing and operating costs	(822)
9.3	Advertising and marketing	(239)
9.4	Leased assets	-
9.5	Staff costs	(749)
9.6	Administration and corporate costs	(840)
9.7	Other – Pasuruan Factory Capital expenditure	(7,078)
9.8	Total estimated cash outflows	(9,728)

10.	Acquisitions and disposals ofbusiness entities(items 2.1(b) and 2.2(b) above)	Acquisitions	Disposals
10.1	Name of entity	-	-
10.2	Place of incorporation orregistration	-	-
10.3	Consideration for acquisition ordisposal	-	-
10.4	Total net assets	-	-
10.5	Nature of business	-	-

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
• 2 This statement gives a true and fair view of the matters disclosed.

Company Secretary

Sign here: __________________________________ Date: 27 January 2017

Print name: Gillian Nairn

Notes

• 1. The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.
• 1. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report.
• 1. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.