Whilst our volume grew by 5.2% in the first half of 2014; financial performance to June
30, 2014 was lower than the corresponding period in 2013.

The moderate 2.4% increase in gross turnover (TZS 224.0 billion compared to TZS 218.8
billion in the corresponding period in 2013) was not enough to shield profitability.

Gross and net profit declined by 10% to TZS 86.8 billion (June 30, 2013: TZS 96.9 billion)
and by 20% to TZS 35.3 billion (June 30, 2013: TZS 44.3 billion) respectively.

The cumulative impact of high excise tax increases since July 2012, inflation adjusted
products costs and operating expenses, negatively impacted results to June 30. Excessive
excise tax increases triggered massive consumers down-trading to more affordable low
margin brands. The latter was the main catalyst behind profitability erosion.

The Company generated TZS 59.5 billion in cash flow, of which TZS 18.2 billion was used
to pay corporate tax to June 30, 2014 and a final gross dividend of TZS 45.0 billion for the
year ended December 31, 2013.

Prospects to December 31, 2014
The 25% excise tax increase effective July 1, 2014, will put further pressure on
profitability in the second half of the year. To partially mitigate the tax impact on
consumer affordability and profitability, the Company took marginal pricing in July.
Going forward, we will continue driving our strategy to prevent further down-trading,
improve our operating margin and sustain our profitability.

The Board of Directors declared for the six months ended June 30, an interim gross
dividend of TZS 250 per share (June 30, 2013: TZS 300). The Register of Members will
close on October 24, 2014. The last day of trading cum dividend will be October 21, 2014.
The gross interim dividend is subject to a 5% withholding tax and will be paid
to all shareholders on or about November 20, 2014.

I wish to thank the board, management, employees, customers, consumers and all
stakeholders for their continued support to TCC. I look forward to updating shareholders
on the full year performance in early 2015.

Majd Abdou
Chairman & CEO

For further details refer to the link below