INTEGRATED ANNUAL REPORT FOR MULTICHOICE SOUTH AFRICA HOLDINGS (PTY) LTD AND PHUTHUMA NATHI INVESTMENTS (RF) LTD

GOVERNANCE AND ACCOUNTABILITY REMUNERATION REPORT for the year ended 31 March 2019 Letter from the chair of the remuneration committee Advocate Kgomotso Moroka Chair: Remuneration committee Dear Shareholder On behalf of the remuneration committee, I am pleased to present our remuneration report for MultiChoice South Africa Holdings Proprietary Limited (MCSA). In alignment with the requirements of the King IV Report on Corporate Governance for South Africa (King IV) our 2019 remuneration report is divided into three parts: w w Part 1: The background statement: The background statement provides context around the company’s performance and how this influenced remuneration decisions. w w Part 2: The remuneration policy: The remuneration policy is a forward-looking section that provides an overview of our remuneration philosophy and design principles and the remuneration policy that will be applicable in FY2020. w w Part 3: The implementation report: The implementation report is a backward- looking section that discloses the remuneration and performance outcomes of the employees and how much each relevant executive received, based on the FY2019 remuneration policy. PART 1: THE BACKGROUND STATEMENT Factors that influenced our remuneration approach The unbundling of MultiChoice Group Limited (MCG) from Naspers and the listing on the JSE Limited (JSE), Johannesburg’s stock exchange in February 2019 was an important milestone in the history of MCG, including its subsidiaries like MCSA (MultiChoice group or the group). This milestone has provided us with new opportunities to design a remuneration approach that is best suited to current practices and to the nature of our business. Following the unbundling, the remuneration committee has been actively reviewing our remuneration approach to ensure it is fit for purpose, as well as considering valuable input received from you as shareholders. The key considerations are detailed in Part 2: The remuneration policy. Externally, the film and entertainment industry is becoming more competitive with global over-the-top (OTT) players and other competitors making it even more important for us to retain our top talent. Growing our subscriber base remains key to our success. We have positive growth potential in our various geographies and have aligned our reward practices to ensure we are able to deliver the required results. Our approach to remuneration Our people are at the heart of our success. We focus on reward systems which help us to attract and retain the best talent in a fair and responsible way. Our approach to 72  MultiChoice South Africa Holdings Proprietary Limited integrated annual report 2019