The Directors of Capital & Counties Properties PLC have proposed an interim dividend of per ordinary share (ISIN GB00B62G9D36) of 0.5 pence payable on 23 September 2021.

The following are the salient dates for the payment of the interim dividend:

• Tuesday, 27 July 2021– Interim dividend and proposed scrip dividend alternative announced
• Monday, 16 August 2021- Sterling/Rand exchange rate struck
• Tuesday, 17 August 2021 - Sterling/Rand exchange rate, dividend amount in Rand, scrip price and scrip ratio announced
• Wednesday, 25 August 2021 - Ordinary shares listed ex-dividend on the JSE, Johannesburg
• Thursday, 26 August 2021 - Ordinary shares listed ex-dividend on the London Stock Exchange
• Friday, 27 August 2021 - Record date for 2021 interim dividend in London and Johannesburg
• Monday, 6 September 2021  - Election date for scrip dividend alternative (SA by noon,  UK by 5.30pm)
• Thursday, 23 September 2021 - Dividend payment date for shareholders / Issue date for new ordinary shares under the scrip dividend scheme

South African shareholders should note that, in accordance with the requirements of Strate, the last day to trade cum-dividend will be 24 August 2021 and that no dematerialisation of shares will be possible from 25 August 2021 to 27 August 2021 inclusive. No transfers between the UK and South Africa registers may take place from 18 August 2021 to 27 August 2021 inclusive. The above dates are proposed and subject to change.

Subject to SARB approval, the Board intends to offer an optional scrip dividend alternative in respect of the 2021 interim dividend.

The dividend will be split equally between a PID and non-PID.  The PID element will be subject to deduction of a 20 per cent UK withholding tax unless exemptions apply. The non-PID element will be treated as an ordinary UK company dividend.

Information for shareholders

The information below is included only as a general guide to taxation for shareholders based on Capco's understanding of the law and the practice currently in force. Any shareholder who is in any doubt as to their tax position should seek independent professional advice.

UK shareholders - PIDs

Certain categories of shareholders may be eligible for exemption from the 20 per cent UK withholding tax and may register to receive their dividends on a gross basis.  Further information, including the required forms, is available here, or on request from our UK registrars, Link Group, whose contact details are available here. Validly completed forms must be received by Link Group no later than the dividend Record Date, as advised; otherwise the dividend will be paid after deduction of tax.

South African shareholders

The interim dividend declared by the Company is a foreign payment and the funds are sourced from the UK.

PIDs: South African shareholders may apply to HMRC after payment of the PID element of the dividend for a refund of the difference between the 20 per cent UK withholding tax and the UK/South African double taxation treaty rate of 15 per cent. The PID element of the cash dividend will be exempt from income tax but will constitute a dividend for Dividends Tax purposes, as it will be declared in respect of a share listed on the exchange operated by the JSE.  SA Dividends Tax will therefore be withheld from the PID element of the interim cash dividend at a rate of 20 per cent, unless a shareholder qualifies for an exemption and the prescribed requirements for effecting the exemption are in place by the requisite date. Certain shareholders may also qualify for a reduction of SA Dividends Tax liability to 5 per cent, (being the difference between the SA dividends tax rate and the effective UK withholding tax rate of 15 per cent) if the prescribed requirements for effecting the reduction are in place by the requisite date.

Non-PID: The non-PID element of the cash dividend will be exempt from income tax but will constitute a dividend for SA Dividends Tax purposes, as it will be declared in respect of a share listed on the exchange operated by the JSE.  SA Dividends Tax will therefore be withheld from the non-PID element of the interim cash dividend at a rate of 20 per cent, unless a shareholder qualifies for an exemption and the prescribed requirements for effecting the exemption are in place by the requisite date.

Scrip dividend scheme: It is the Company's understanding that the issue and receipt of shares pursuant to the scrip dividend alternative, whether paid as a PID or Non-PID, will not have any SA Dividends Tax nor income tax implications. The new shares which are acquired under the scrip dividend alternative should not comprise of a "foreign dividend" nor a "foreign return of capital" and will be treated as having been acquired for nil consideration.

Any residual cash payments to account for fractional share payments will be exempt from income tax but will be subject to SA Dividends Tax, which will be withheld from the residual payment to South African shareholders at a rate of 20 per cent (or for qualifying shareholders, for PID elements of residual cash amounts, the reduced rate referenced above if the prescribed requirements for effecting the reduction are in place by the requisite date), unless a shareholder qualifies for an exemption and the prescribed requirements for effecting the exemption are in place by the requisite date.

Other overseas shareholders:

Other non-UK shareholders may be able to make claims for a refund of UK withholding tax deducted pursuant to the application of a relevant double taxation convention. UK withholding tax refunds can only be claimed from HMRC, the UK tax authority.

Additional information on PIDs can be found here and within the rules of the Scrip Dividend Scheme, which can be found on the adjacent Dividend Information tab.