Texaf S.A. — Earnings Release 2017

May 5, 2017

PRESS RELEASE REGULATED INFORMATION May 5th 2017

FURTHER SALES EROSION AT CARRIGRES

IMPACT ON THE CONSOLIDATED RESULT'S FORECAST AND IMPAIRMENT OF THE QUARRY

The economic situation in the DRC continues to deteriorate. It is linked to the political impasse that has lasted for too long now. One consequence is the lack of any road maintenance or road construction project.

This unfortunate situation has an impact on CARRIGRES, TEXAF's sandstone quarry, whose sales declined again in the first quarter of 2017 (-0.35 million EUR, i.e. -39% compared with the 1st quarter of 2016) up to the point that CARRIGRES has been loss-making during that quarter.

In order to limit, to a significant extent, the effects of this new drop in sales, management is putting in place measures that will have their full impact in 2018: reduction of personnel and reorganization of production. In any case and based on the current level of sales, a loss in 2017 for CARRIGRES can't be avoided. In 2016, CARRIGRES made a pre-tax profit of EUR 0.47 million.

The continued good performance of real estate activities (rents in the first quarter: 3.99 million EUR against 3.74 million EUR in 2016) should limit the decrease in consolidated profit before tax to about 0.5 million EUR compared to 2016.

Moreover, since it is impossible to assess the duration of this political-economic crisis, TEXAF's Board of Directors will decide, conservatively, to anticipate a long-term crisis and, in consequence, to apply the valuation rules on the June 30th accounts; this will lead to a write-down of EUR 3.3 million on the value of the quarry (i.e. 35% of its net book value). This impairment does not affect the cash position. It may be reviewed in the event of a lasting change in the situation. As a reminder, the stone reserves of the quarry are estimated at 25 million tons.

In 2017, the Group's cash position will also be affected by the situation as well as by the cost of the measures taken at CARRIGRES. However, this will not jeopardize the real estate investments nor the distribution of dividends.

The Board of Directors of TEXAF will review the situation on June 30th .

This press release replaces the quarterly press release scheduled for Friday, May 12th .

TEXAF, established in 1925, is the only Euronext-listed industrial, real estate and agricultural investment company having all its activities and subsidiaries to date based in the Democratic Republic of Congo.

The listing of Congolese activities on the stock exchange and the resulting obligations in terms of good governance and transparency constitute a major asset of the group in the promotion of the formal sector in the DRC.

Contact: Philippe Croonenberghs, CEO: +32 495 24 32 64 Christophe Evers, CFO : + 32 495 24 32 60