Unaudited Financial Statements

TOTAL TRANSPORT & LOGISTICS SOLUTIONS Chairman's Statement

The Group had a difficult first six months of 2013 mainly due to the limited liquidity and challenging environment that has prevailed in Zimbabwe during this time. Revenue decreased by 9% compared to the same period last year and this has directly caused the operating loss reflected in this statement. Management however is confident that there will be a turnaround in the last quarter of the year and that this loss will be reduced by year end. This is in addition to advanced plans to increase fleet capacities before the end of the year. The purchase of Unifreight Limited's operating assets is still awaiting regulatory approval. We are confident that once approval is granted Pioneer Corporation Africa will not only double its revenue base but will also be able to fully maximize on synergies that exist and provide a more complete transport and logistics solution to the market. No dividend has been declared in line with the Group's strategy of debt reduction and investing in working capital. On behalf of the Board, I would like to thank management, staff and other stakeholders for their support and continued commitment during this time.

for the half year ended 30 June 2013

P C Chingoka

CONSOLIDATED STATEMENT OF FINANCIAL POSITION as at 30 June 2013

ASSETS Non current assets Property, vehicles and equipment Investment Property Current assets Inventories Trade and other receivables Cash and bank balances TOTAL ASSETS EQUITY AND LIABILITIES Equity attributable to owners of the parent Share capital Non distributable reserve Revaluation reserve Foreign currency translation reserve Shareholders loans Accumulated loss Non controlling interest Total equity Non current liabilities Borrowings Trade and other payables Deferred income tax liabilities Current liabilities Trade and other payables Current income tax liabilities Borrowings TOTAL EQUITY AND LIABILITIES

2013 June USD 000 12,685 7,863 4,822 5,653 230 5,022 401 18,338

2012 December USD 000 13,371 8,491 4,880 4,499 327 3,976 196 17,870

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY for the half year ended 30 June 2013
Share capital USD000 Balance as at 1 January 2012 Transaction with Shareholders Shareholder loans transferred to equity Comprehensive (loss)/income (Loss)/Profit for the year Other comprehensive income Currency translation differences Revaluation of property, vehicles and equipment (net of tax) Balance as at 31 December 2012 Balance as at 1 January 2013 Transactions with shareholders Shareholder loans transferred to equity Comprehensive (loss)/income (Loss)/Profit for the half year Other comprehensive income Currency translation differences Balance as at 30 June 2013 549 Attributable to equity shareholders of the parent Non Share Non distributable Revaluation FCTR -holders Accumulated controlling Total reserve reserve loans loss interest equity USD000 USD000 USD000 USD000 USD000 USD000 USD000 4,762 1,061 (88) 577 (2,727) 999 5,133

549 549

4,762 4,762

148 1,209 1,209

(324) (412) (412)

2,298 2,875 2,875

(907) (3,634) (3,634)

345 (324) 1,020 1,020

2,298 (562) (648) 148 6,369 6,369

4,370 549 4,762 1,209 (473) 2,875 (4,552) 718 5,088 4,417 2,724 317 1,376 8,833 8,250 137 446 18,338

5,349 549 4,762 1,209 (412) 2,875 (3,634) 1,020 6,369 4,466 2,290 497 1,679 7,035 5,917 150 968 17,870

549

4,762

1,209

(61) (473)

2,875

(918) (4,552)

(241) (61) 718

(1,159) (122) 5,088

CONSOLIDATED STATEMENT OF CASH FLOWS for the half year ended 30 June 2013
2013 June USD 000 Net cash generated from operating activities Cash generated from operations Interest paid Taxation paid Net cash utilised in investing activities Purchase of property, vehicles and equipment Proceeds from sale of property, vehicles and equipment Net cash utilised in financing activities Proceeds from borrowings Repayments of borrowings Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year Net foreign exchange differences Cash and cash equivalents at end of half year 855 883 (27) (1) (311) (347) 36 (88) 368 (456) 456 196 (251) 401 2012 June USD 000 (459) (390) (11) (58) 306 (582) 888 44 794 (750) (109) 560 451

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME for the half year ended 30 June 2013
2013 June USD 000 Revenue Cost of sales Gross Profit Other operating income Distribution expenses Administration expenses Other operating expenses Operating (loss)/profit Financing costs (Loss)/Profit before taxation Income tax credit (Loss)/Profit for the half year Other comprehensive income: Currency translation differences Total comprehensive (loss)/income for the half year (Loss)/Profit for the half year attributable to: Owners of the parent Non-controlling interest Total comprehensive (loss)/income attributable to: Owners of the parent Non-controlling interest Basic loss per share (cents) 12,367 (8,521) 3,846 150 (125) (5,494) (154) (1,777) 432 (1,345) 308 (1,037) (122) (1,159) (857) (180) (1,037) (918) (241) (1,159) (1.56) 2012 June USD 000 13,586 (7,785) 5,801 743 (146) (5,947) (99) 352 (40) 312 344 656 (8) 648 (329) 985 656 (337) 985 648 (0.60)

Notes to the financial statements

1. Accounting policies The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The policies applied are consistent with those applied in previous years. 2. Functional currency Items included in the financial statements of the Group are measured using the currency of the primary economic environment in which the parent company operates (the functional currency).The financial statements are presented in United States Dollars (USD) which is the Group's functional and presentation currency.

14 - 16 Hermes Road, Southerton, Harare, Zimbabwe Telephone: (+263) 4 621 000-14, Facsimile: (+263) 4 621 055 www.pioneerafrica.com

Directors: P C Chingoka (Chairman), H B W Rudland, A Ushe (CEO)*, G R Smith*, B G Manyenyeni, C Matigimu, T A Taylor, R Costa

* Executive