Kakuzi Ld
28 February 2002


LETTER TO: REGULATORY NEWS SERVICE

KAKUZI LIMITED

We attach the results for the year ended 31 December 2001 in respect of the
above company.

Directorate 

We advise you that with effect from 1 January 2002:

Mr J P H Hulme was appointed as Managing director of the company to replace 
Dr T Fowkes who remains as Chairman of the company.

LETTER FROM: CHUNGA ASSOCIATES



                             KAKUZI LIMITED

        ANNOUNCEMENT OF RESULTS FOR THE YEAR ENDED 31 DECEMBER 2001
 
                                                2001            2000 
                                               Shs'000         Shs'000
RESULTS
                                             1,250,943       1,212,796
Sale                  

Operating profit                                 1,752          26,367

Finance costs (net)                            (97,678)       (112,133)

Loss before tax                                (95,926)        (85,766)

Tax                                             41,767          42,135

Loss after tax                                 (54,159)        (43,631)

Minority interests                               8,944          15,358 

Loss attributable to the 
members of Kakuzi Limited                      (45,215)        (28,273)

                                                    Shs             Shs
Basic loss per stock unit                        (2.31)          (1.44)

Diluted loss per stock unit                      (2.31)          (1.44)

Dividends:                                      Shs'000         Shs'000
 -  Interim dividend paid in the year                 0           7,840
 -  Proposed final dividend for the year              0               0
                                                      0           7,840

 

Despite satisfactory levels of production being achieved for all Kakuzi
Limited's main enterprises, the year 2001 proved to be disappointing as a result
of the low commodity prices that prevailed for much of the year. The disastrous
events in New York on 11 September depressed prices even further for the last
quarter of the period under review.

DIVIDEND

In the light of this loss and the continuing high cost of borrowings, the Board
do not recommend the payment of a dividend for the 2001 year.

ANNUAL GENERAL MEETING

The Annual General Meeting of the Company will be held on Wednesday 15 May 2002
at 12.00 noon at the Allamanda Room, Serena Hotel, Nairobi.

POST BALANCE SHEET EVENT

Kakuzi Limited is pleased to announce the disposal on 27 February 2002 of its
51% shareholding in Garton Limited to Socfinaf Company Limited. The disposal
proceeds which will be used to reduce borrowings are Shs56.1 million. Shs50.4
million was paid on 27 February 2002 and the balance of Shs5.7 million is
payable on 30 June 2003.


                                                       BY ORDER OF THE BOARD


                                                              DR. T R FOWKES 
                                                                    CHAIRMAN


28 FEBRUARY 2002

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