Reviewed Condensed Consolidated Interim Results For The

August 12, 2008 at 5:27 AM EDT
JSE                                                                             
JSE - JSE Limited - Reviewed Condensed Consolidated Interim Results For The     
Six Months Ended 30 June 2008                                                   
JSE Limited                                                                     
(Registration number 2005/022939/06)                                            
Incorporated in the Republic of South Africa                                    
JSE Code: JSE                                                                   
ISIN: ZAE000079711                                                              
REVIEWED CONDENSED CONSOLIDATED INTERIM RESULTS FOR THE SIX MONTHS              
ENDED 30 JUNE 2008                                                              
One Exchange Square, Gwen Lane, Sandown, South Africa Private Bag X991174,      
Sandton, 2146, South Africa                                                     
Telephone +27 11 520 7000                                                       
Facsimile +27 11 520 8584                                                       
HIGHLIGHTS                                                                      
- Headline earnings per share up 414,2%                                         
- Cash inflow from operating activities up 154,2%                               
- Total costs down 14,5%                                                        
COMMENTARY TO 2008 INTERIM RESULTS                                              
Unless otherwise indicated, all comparatives refer to the six months ended 30   
June 2007.                                                                      
In the six months to the end of June 2008, average daily trade volumes on the   
JSE's spot equities market rose to 61 924 (2007: 39 565) as a result of         
volatile market conditions. This volatility is evident in the FTSE/JSE          
AllShare Index which dropped to 23 135 in January 2008 and then climbed         
steeply again to reach a new high of 33 192 in May 2008 but fell again sharply  
in June 2008.                                                                   
The increased trade proved good for the JSE Limited (the JSE), the company      
that operates the exchange. The JSE's revenues are largely dependent on the     
volumes of equities trades and derivatives contracts, and Group revenue         
climbed 24% to R509 million (2007: R411 million) during the period. Costs have  
been controlled notwithstanding the higher turnover, new products or increased  
sophistication of the JSE. This, together with lower than expected share-based  
costs led to a 397% increase in operating profit to R189 million (2007: R38     
million).                                                                       
The JSE continues to focus on innovation (new products; new target markets);    
client service (technology upgrades; liaison with market participants and       
issuers) and cost control. During the first half of 2008, the JSE:              
- introduced new products. The number of currency futures was expanded, new     
derivative instruments were launched (such as the Alsi Mini contract) and new   
companies were listed. After National Treasury's further relaxation of          
exchange controls in March 2008, corporate and institutional investors were     
able to start trading currency futures on Yield-X and this has resulted in a    
greater contribution to the JSE's revenue generated by Yield-X;                 
- won recognition for the innovative ability of its trading products team. In   
April 2008 the JSE took top honours in the New Contract of the Year category    
in the second annual Futures & Options Awards held in London. The exchange      
received the award for the Can-Do Option Contracts which the JSE has            
developed. The JSE operates the 12th largest equity derivatives exchange in     
the world in terms of volumes. The bulk of this growth comes from trade in Can- 
Do Options and Single Stock Futures, in which South Africa remains the largest  
player in the world according to number of contracts traded;                    
- intensified a marketing drive to encourage new corporate listings. The JSE    
is recognised as a financial hub on the African continent and a globally        
competitive listing destination. Thirteen companies listed in the six months    
to end June 2008, of which 10 were main board and three were AltX companies.    
That compares with 15 in the same period in 2007. Eleven companies delisted, a  
drop from the 31 in the first half of 2007. Most of last year's delistings      
were part of an initiative to delist companies not meeting listings criteria;   
this initiative is almost complete. The listings pipeline appears good for the  
second half of 2008, however, that does not guarantee that the listings will    
take place;                                                                     
- reduced the equities trading fee by 7,5% effective 1 July 2008. Increased     
volumes on the equities market enabled this fee reduction in anticipation of a  
holistic reassessment of the equities pricing model, which has taken longer     
than anticipated. It is worth noting that subsequent to the reduction, an       
increase in the trading volumes in the equities market has been seen.           
- kept costs low despite the continuous increase in turnover, new products and  
greater sophistication - See Financial Review;                                  
- continued with the impressive lack of failed trades record which the JSE has  
maintained for eight years, since the dematerialisation of share certificates;  
- through its use of the sophisticated monitoring tools at its disposal, was    
able to extract and analyse market information and member positions quickly     
and effectively, regardless of the level of market activity. Higher market      
activity is often associated with the potential for market abuse, but the       
efforts of the surveillance division and the Financial Services Board have      
materially reduced cases of market abuse relating to JSE listed securities      
over the last five years; and                                                   
- intensified its discussions with African issuers interested in listing on     
the JSE's proposed Africa Board and its efforts to develop a Pan African Index  
with FTSE.  It is expected that both these initiatives will progress well       
during the second half of 2008.                                                 
The next generation of agricultural products and equity derivatives trading     
and clearing systems will be implemented in the second half of 2008;            
On 14 July 2008, the JSE experienced a network related incident resulting in    
the equities market not opening for trading until 15:10 on that day. A          
software upgrade which addressed the issue was successfully implemented and     
the JSE is confident that the problem of the 14th of July 2008 has been         
resolved.                                                                       
CHANGES TO THE BOARD OF DIRECTORS                                               
During the period under review, Messrs S. Koseff and G. Rothschild resigned as  
non-executive and executive directors respectively. The JSE wishes to thank     
them both for their loyal and very valuable contribution to the JSE's affairs.  
Mr. Rothschild remains a member of the JSE executive committee. Ms. F. Evans    
and Mr. D. Lawrence were appointed as executive and non-executive directors     
respectively. The resignations and appointments were effective from 25 April    
2008.                                                                           
FINANCIAL REVIEW                                                                
Revenue climbed 24% to R509 million during the period (six months to June       
2007: R411 million).                                                            
During the first half of 2008, personnel expenses fell 4% mainly due to the     
impact of a fall in JSE's share price. This was attributable to the valuation   
of the cash-settled Long Term Incentive Scheme, which is designed to attract,   
retain and incentivise the JSE's senior management over the long term. The      
impact of the "mark to market" of the participatory interests issued has        
resulted in a total charge to income of R0,4 million. In the comparative        
period this charge amounted to R47 million. During January 2008 the JSE's       
exposure to the second tranche of participation interests was hedged through    
cash-settled European call options with a resultant fair value charge to the    
income statement in the interim period of R18 million.                          
Other expenses decreased by 18% due mainly to a drop in the charge relating to  
the JSE's Broad-Based Black Economic Empowerment Initiative (Broad-Based BEE    
Initiative). This is the final charge to the Income Statement of the Broad-     
Based BEE Initiative, which has a very small impact on the Group's cash flows.  
The JSE's Broad-Based BEE Initiative has two parts: the JSE Empowerment Fund,   
designed to fund the education of black students working towards tertiary       
level qualifications in the financial markets and the Black Shareholders'       
Retention Scheme, aimed at incentivising the JSE's black shareholders to        
retain their JSE shareholding at least until 2011.                              
The effective tax rate fell to 36% (2007: 54%), due to the lower Income         
Statement charge of the Broad-Based BEE Initiative in the period and a drop in  
the corporate tax rate from 29% to 28%. The Broad-Based BEE Initiative          
amounting to R38 million (2007: R83 million) is not deductible for tax          
purposes.                                                                       
Capital structure and dividend policy                                           
The JSE has no long-term borrowings, and R837 million in cash reserves (2007:   
R593 million). The Exchange analyses its capital requirements in three          
categories. Firstly, to ensure a smoothly operating stock exchange, the JSE     
sets aside sufficient cash to fund four months of operations. Secondly, as the  
JSE guarantees all on-market equities trades, it sets aside sufficient cash to  
settle a certain portion of on-market equity trades assuming the failure of a   
JSE equities member. Lastly, the JSE must be in a position to maintain          
infrastructure and meet capital needs for expansion, so a portion of cash is    
set aside to fund these types of investments. On the basis of this assessment,  
the Board has determined how much cash is needed although this is revisited on  
an ongoing basis.                                                               
In 2007 the Board approved an amended dividend policy for the JSE of an         
earnings-based dividend cover of between 1,5 and 2,5 times.                     
PROSPECTS                                                                       
Due to a significant portion of revenue being dependent on the level of trades  
on the Exchange, the JSE is not able to predict future profits. The JSE did     
not feel a noticeable impact from the credit crunch affecting various other     
markets and stock exchanges during the first half of 2008. Volumes have         
continued to climb on the JSE while they have stagnated in certain world        
markets. An element of this is attributable to the fact that the equities       
market of the JSE has a large commodity component. It is important to note      
that this does not guarantee that these volumes will be sustained in the        
second half of 2008. It should also be noted that a large number of staff       
vacancies existed during the first part of 2008 and it is anticipated that      
many of these vacancies will be filled in the second half of the year.          
For and on behalf of the Board                                                  
HJ Borkum          RM Loubser                                                   
Chairman           Chief Executive Officer     12 August 2008                   
CONDENSED CONSOLIDATED INTERIM INCOME STATEMENT                                 
for the six months ended 30 June 2008                                           
                                JSE Group                                       
                                Six months ended 30 June  Year ended            
                                                          31 December           
                                                                                
                                2008        2007*         2007                  
                        Note    (reviewed)  (reviewed)    (audited)             
                                R'000       R'000         R'000                 
Revenue                  6        508 812     411 457       877 426             
Other income             7        10 811      13 219        111 993             
Personnel expenses       8       (100 615)   (104 978)     (230 069)            
Other expenses           9       (230 227)   (282 032)     (483 168)            
Profit before net                 188 781     37 666        276 182             
financing income                                                                
Interest received                1 087 791    536 676      1 430 072            
Interest paid                    (1 023 863) (498 917)     (1 332 943)          
Net financing income              63 928      37 759        97 129              
Share of profit of                16 615      12 069        31 865              
equity accounted                                                                
investees                                                                       
Profit before taxation            269 324     87 494        405 176             
Income taxation          10      (96 690)    (46 961)      (131 938)            
Profit for the period             172 634     40 533        273 238             
Earnings per share                                                              
Basic earnings per       11.1     202,8       47,7          321,3               
share (cents)                                                                   
Diluted earnings per     11.2     200,5       47,5          318,7               
share (cents)                                                                   
CONDENSED CONSOLIDATED INTERIM INCOME STATEMENT(CONTINUED)                      
for the six months ended 30 June 2008                                           
                                 Investor Protection Funds*                     
                                 Six months ended 30 June  Year ended           
                                                           31 December          
                                 2008         2007*        2007                 
                         Note    (reviewed)   (reviewed)   (audited)            
                                 R'000        R'000        R'000                
Revenue                   6         -            -            -                 
Other income              7        5 064        10 236       29 247             
Personnel expenses        8         -            -            -                 
Other expenses            9       (5 626)      (6 762)      (12 614)            
Profit before net                 (562)         3 474        16 633             
financing income                                                                
Interest received                  2 890        2 086        4 384              
Interest paid                       -            -            -                 
Net financing income               2 890        2 086        4 384              
Share of profit of                  -            -                              
equity accounted                                            -                   
investees                                                                       
Profit before taxation             2 328        5 560        21 017             
Income taxation           10        -            -            -                 
Profit for the period              2 328        5 560        21 017             
Earnings per share                                                              
Basic earnings per share  11.1     2,7          6,5          24,7               
(cents)                                                                         
Diluted earnings per      11.2     2,7          6,5          24,5               
share (cents)                                                                   
* The JSE maintains the JSE Guarantee Fund Trust and the JSE Derivatives        
Fidelity Fund Trust for investor protection purposes as required under the      
Securities Services Act 36, of 2004.  The JSE is required to consolidate these  
funds into the results of the Group in terms of International Financial         
Reporting Standards ("IFRS").  However, as these Trusts are legally separate    
from the JSE, neither the JSE nor its shareholders have any right to the net    
assets of such Trusts.                                                          
For enhanced understanding, the Investor Protection Funds have been shown       
separately, although, for compliance with IFRS, these results form part of the  
Group financial statements.                                                     
CONDENSED CONSOLIDATED INTERIM BALANCE SHEET                                    
as at 30 June 2008                                                              
                              JSE Group                                         
                              As at 30 June               As at                 
                                                          31 December           
                              2008          2007*         2007                  
                              (reviewed)    (reviewed)    (audited)             
                       Note   R'000         R'000         R'000                 
Assets                                                                          
Non-current assets             641 280         575 869      542 597             
Property and equipment  12      288 272       206 949       214 014             
Investments in equity           68 244        72 646        58 957              
accounted investees                                                             
Other investments               217 555       244 481       223 648             
Derivative financial           14 625        -             -                    
instruments                                                                     
Deferred tax assets             52 584        51 793        45 978              
Current assets                 20 459 456    14 090 319    18 731 134           
Trade and other                 232 950       188 139       232 231             
receivables                                                                     
Derivative financial            -              502           -                  
instruments                                                                     
Margin and collateral          19 389 881    13 309 016    17 734 358           
deposits                                                                        
Cash and cash                   836 625       592 662       764 545             
equivalents                                                                     
Total assets                   21 100 736    14 666 188    19 273 731           
Equity and liabilities                                                          
Share capital and              1 203 723      964 565      1 108 678            
reserves                                                                        
Non-current                     104 268       138 437       101 283             
liabilities                                                                     
Finance lease           14.2     801           -             -                  
Employee benefits               45 156        78 293        42 307              
Deferred tax                    10 650        11 288        10 448              
liabilities                                                                     
Operating lease                 46 772        48 053        47 685              
liability                                                                       
Due to SAFEX members           889             803           843                
Current liabilities            19 792 745    13 563 186    18 063 770           
Trade and other                 328 322       205 266       249 381             
payables                                                                        
Employee benefits               38 762        18 676        37 191              
Income tax payable              3 384         1 042         12 076              
Operating lease                 32 396        29 186        30 764              
liability                                                                       
Margin and collateral          19 389 881    13 309 016    17 734 358           
deposits                                                                        
Total equity and               21 100 736    14 666 188    19 273 731           
liabilities                                                                     
                                                                                
CONDENSED CONSOLIDATED INTERIM BALANCE SHEET(CONTINUED)                         
as at 30 June 2008                                                              
                              Investor Protection Funds                         
                              As at 30 June               As at                 
                                                          31 December 2007      
                                                                                
                                                                                
                              (reviewed)   (reviewed)     (audited)             
                              2008         2007           2007                  
                       Note   R'000        R'000          R'000                 
Assets                                                                          
Non-current assets              217 551      244 477       223 644              
Property and equipment  12       -            -              -                  
Investments in equity            -            -              -                  
accounted investees                                                             
Other investments               217 551      244 477        223 644             
Derivative financial             -           -               -                  
instruments                                                                     
Deferred tax assets              -            -              -                  
Current assets                  50 141       21 769         46 856              
Trade and other                  402        722            6 502                
receivables                                                                     
Derivative financial             -            -              -                  
instruments                                                                     
Margin and collateral            -            -              -                  
deposits                                                                        
Cash and cash                   49 739       21 047         40 354              
equivalents                                                                     
Total assets                    267 692      266 246        270 500             
Equity and liabilities                                                          
Share capital and               267 367      266 065        270 194             
reserves                                                                        
Non-current                      -            -              -                  
liabilities                                                                     
Finance lease           14.2     -            -              -                  
Employee benefits                -            -              -                  
Deferred tax                     -            -              -                  
liabilities                                                                     
Operating lease                  -            -              -                  
liability                                                                       
Due to SAFEX members             -            -              -                  
Current liabilities              325          181            306                
Trade and other                  325          181            306                
payables                                                                        
Employee benefits                -            -              -                  
Income tax payable               -            -              -                  
Operating lease                  -            -              -                  
liability                                                                       
Margin and collateral            -            -             -                   
deposits                                                                        
Total equity and                267 692      266 246        270 500             
liabilities                                                                     
*In the prior period, employee benefits were presented as provisions. In line   
with the consolidated financial statements as at and for the year ended 31      
December 2007, the comparative figures have been reclassified and restated      
accordingly.                                                                    
CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY                   
for the six months ended 30 June 2008                                           
                                                Non-                            
                          Share       Share     distributable   BBBEE           
                          capital     premium   reserve         reserve         
                          R'000       R'000     R'000           R'000           
Group                                                                           
Balance at 31 December      8 471       162 779   10 058          50 317        
2006 (audited)                                                                  
Total recognised income*   -             -         -               -            
Profit for the period        -           -         -               -            
Total income recognised      -           -         -               -            
directly in equity                                                              
Fair value gains on          -           -         -               -            
available-for-sale                                                              
instruments                                                                     
BBBEE reserve                -           -         -              79 864        
Shares issued to the JSE     -           -         -              30 364        
Empowerment Fund                                                                
Options issued to black      -           -         -              41 542        
shareholders                                                                    
Transferred to retained      -           -         -             (3 105)        
earnings-lapsed options                                                         
Replacement options          -           -         -              11 063        
issued to the JSE                                                               
Empowerment Fund                                                                
Issue of shares              43          -         -               -            
Dividends paid               -           -         -               -            
Balance at 30 June 2007     8 514       162 779   10 058          130 181       
(reviewed)                                                                      
Balance at 31 December      8 471       162 779   10 058          50 317        
2006 (audited)                                                                  
Total recognised income*     -           -         -               -            
Profit for the period        -           -         -               -            
Total income recognised      -           -         -               -            
directly in equity                                                              
Fair value gains on          -           -         -               -            
available-for-sale                                                              
instruments                                                                     
BBBEE reserve                -           -         -              77 054        
Shares issued to the JSE     -           -         -              30 364        
Empowerment Fund                                                                
Options issued to black      -           -         -              41 542        
shareholders                                                                    
Transferred to retained      -           -         -             (5 915)        
earnings-lapsed options                                                         
Replacement options          -           -         -              11 063        
issued to the JSE                                                               
Empowerment Fund                                                                
Issue of shares              43          -         -               -            
Dividends paid               -           -         -               -            
                                                                                
Balance at 31 December      8 514       162 779   10 058          127 371       
2007 (audited)                                                                  
Total recognised income      -           -         -               -            
and expense                                                                     
Profit for the period        -           -         -               -            
Total expenses recognised    -           -         -               -            
directly in equity                                                              
Fair value loss on           -           -         -               -            
available-for-sale                                                              
instruments                                                                     
BBBEE reserve                -           -         -              38 132        
Options issued to black      -           -         -              33 539        
shareholders                                                                    
Transferred to retained      -           -         -             (116)          
earnings-lapsed options                                                         
Replacement options          -           -         -              4 709         
issued to the JSE                                                               
Empowerment Fund                                                                
Dividends paid               -           -         -               -            
Balance at 30 June 2008     8 514       162 779   10 058          165 503       
(reviewed)                                                                      
*Where necessary, comparative figures have been reclassified to conform to      
changes in presentation in the current period.                                  
CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY(CONTINUED)        
for the six months ended 30 June 2008                                           
                                    Total                                       
                                    exchange      Investor                      
                        Retained    and           Protection  Total             
                        earnings    subsidiaries  Funds       Group             
                        R'000       R'000         R'000       R'000             
Group                                                                           
Balance at 31 December    362 173     593 798       239 742     833 540         
2006 (audited)                                                                  
Total recognised income*  34 973      34 973        26 323      61 296          
Profit for the period     34 973      34 973        5 560       40 533          
Total income recognised    -           -            20 763      20 763          
directly in equity                                                              
Fair value gains on        -           -            20 763      20 763          
available-for-sale                                                              
instruments                                                                     
BBBEE reserve             3 105       82 969         -          82 969          
Shares issued to the JSE   -          30 364         -          30 364          
Empowerment Fund                                                                
Options issued to black    -          41 542         -          41 542          
shareholders                                                                    
Transferred to retained   3 105        -             -           -              
earnings-lapsed options                                                         
Replacement options        -          11 063         -          11 063          
issued to the JSE                                                               
Empowerment Fund                                                                
Issue of shares            -           43            -           43             
Dividends paid           (13 283)    (13 283)        -         (13 283)         
                                                                                
Balance at 30 June 2007   386 968     698 500       266 065     964 565         
(reviewed)                                                                      
Balance at 31 December    362 173     593 798       239 742     833 540         
2006 (audited)                                                                  
Total recognised income*  252 221     252 221       30 452      282 673         
Profit for the period     252 221     252 221       21 017      273 238         
Total income recognised    -           -            9 435       9 435           
directly in equity                                                              
Fair value gains on        -           -            9 435       9 435           
available-for-sale                                                              
instruments                                                                     
BBBEE reserve             5 915       82 969         -          82 969          
Shares issued to the JSE   -          30 364         -          30 364          
Empowerment Fund                                                                
Options issued to black    -          41 542         -          41 542          
shareholders                                                                    
Transferred to retained   5 915        -             -           -              
earnings-lapsed options                                                         
Replacement options        -          11 063         -          11 063          
issued to the JSE                                                               
Empowerment Fund                                                                
Issue of shares            -           43            -           43             
Dividends paid           (90 547)    (90 547)        -         (90 547)         
Balance at 31 December    529 762     838 484       270 194    1 108 678        
2007 (audited)                                                                  
Total recognised income   170 306     170 306      (2 827)      167 479         
and expense                                                                     
Profit for the period     170 306     170 306       2 328       172 634         
Total expenses             -           -           (5 155)     (5 155)          
recognised directly in                                                          
equity                                                                          
Fair value loss on         -           -           (5 155)     (5 155)          
available-for-sale                                                              
instruments                                                                     
BBBEE reserve              116        38 248         -          38 248          
Options issued to black    -          33 539         -          33 539          
shareholders                                                                    
Transferred to retained    116         -             -           -              
earnings-lapsed options                                                         
Replacement options        0          4 709          -          4 709           
issued to the JSE                                                               
Empowerment Fund                                                                
Dividends paid           (110 682)   (110 682)       -         (110 682)        
Balance at 30 June 2008   589 502     936 356       267 367    1 203 723        
(reviewed)                                                                      
*Where necessary, comparative figures have been reclassified to conform to      
changes in presentation in the current period.                                  
CONDENSED CONSOLIDATED INTERIM CASH FLOW STATEMENT                              
for the six months ended 30 June 2008                                           
                                   JSE Group                                    
                                   Six months ended 30 June  Year ended         
                                                             31 December        
                                                                                
                                   2008         2007         2007               
                                   (reviewed)   (reviewed)   (audited)          
                                   R'000        R'000        R'000              
Cash generated/(utilised) from      323 469       157 759      379 878          
operations                                                                      
Interest received                   1 095 089     514 916     1 344 550         
Interest paid                       (1 002 733)  (474 322)    (1 244 428)       
Dividends received                   2 270        2 563        5 712            
Taxation paid                       (111 980)    (80 483)     (156 671)         
Net cash inflow/(outflow) from       306 115      120 433      329 041          
operating activities                                                            
Cash flows from investing                                                       
activities                                                                      
Investment to maintain operations   (268)        (211)        (274)             
Replacement of property and         (268)        (211)        (274)             
equipment                                                                       
Investment to expand operations     (84 197)     (19 184)      21 417           
Proceeds on maturity of other        22 600       31 857       74 424           
investments                                                                     
Purchase of other investments       (18 486)     (33 936)     (51 179)          
Cash flows from equity accounted     7 327       (6 459)       26 951           
investees                                                                       
Capital reduction in Strate             -            -         33 410           
Limited                                                                         
Purchase of shares in Strate          0          (12 413)     (12 413)          
Limited                                                                         
Dividends received from Strate       7 327        5 954        5 954            
Limited                                                                         
Proceeds on sale of Satrix              -            -         1 576            
Holdings (Pty) Ltd                                                              
Leasehold improvements              (83)         (363)        (48)              
Additions to property and           (95 555)     (10 283)     (30 307)          
equipment                                                                       
Net cash (outflow)/inflow from      (84 465)     (19 395)      21 143           
investing activities                                                            
Cash flows from financing                                                       
activities                                                                      
Proceeds from issue of share        -              43           43              
capital                                                                         
Long-term incentive scheme hedge    (32 986)         -        -                 
Payment of finance lease            (5 902)          -            -             
liabilities                                                                     
Dividends paid                      (110 682)    (13 283)     (90 546)          
Net cash outflow from financing     (149 570)    (13 240)     (90 503)          
activities                                                                      
Net increase in cash and cash        72 080       87 798       259 681          
equivalents                                                                     
Cash and cash equivalents at         764 545      504 864      504 864          
beginning of period                                                             
Cash and cash equivalents at end     836 625      592 662      764 545          
of period                                                                       
CONDENSED CONSOLIDATED INTERIM CASH FLOW STATEMENT(CONTINUED)                   
for the six months ended 30 June 2008                                           
                                   Investor Protection Funds                    
                                   Six months ended 30 June  Year ended         
                                                             31 December        
                                   2008         2007         2007               
                                   (reviewed)   (reviewed)   (audited)          
                                   R'000        R'000        R'000              
Cash generated/(utilised) from      (17)         (1 075)      (12 539)          
operations                                                                      
Interest received                   3 018         2 086        4 384            
Interest paid                           -            -            -             
Dividends received                   2 270        2 563        5 712            
Taxation paid                       -            -                -             
Net cash inflow/(outflow) from       5 271        3 574       (2 443)           
operating activities                                                            
Cash flows from investing                                                       
activities                                                                      
Investment to maintain operations   -                -            -             
Replacement of property and         -                -            -             
equipment                                                                       
Investment to expand operations      4 114       (2 079)       23 245           
Proceeds on maturity of other        22 600       31 857       74 424           
investments                                                                     
Purchase of other investments       (18 486)     (33 936)     (51 179)          
Cash flows from equity accounted        -        -                -             
investees                                                                       
Capital reduction in Strate             -            -            -             
Limited                                                                         
Purchase of shares in Strate            -            -            -             
Limited                                                                         
Dividends received from Strate          -            -            -             
Limited                                                                         
Proceeds on sale of Satrix                                                      
Holdings (Pty) Ltd                                                              
Leasehold improvements                  -            -            -             
Additions to property and               -            -            -             
equipment                                                                       
Net cash (outflow)/inflow from       4 114       (2 079)       23 245           
investing activities                                                            
Cash flows from financing                                                       
activities                                                                      
Proceeds from issue of share            -            -            -             
capital                                                                         
Long-term incentive scheme hedge        -            -            -             
Payment of finance lease                -            -            -             
liabilities                                                                     
Dividends paid                          -            -            -             
Net cash outflow from financing         -           -             -             
activities                                                                      
Net increase in cash and cash        9 385        1 495        20 802           
equivalents                                                                     
Cash and cash equivalents at         40 354       19 552       19 552           
beginning of period                                                             
Cash and cash equivalents at end     49 739       21 047       40 354           
of period                                                                       
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION               
for the six months ended 30 June 2008                                           
1. Reporting entity                                                             
JSE Limited is a company domiciled in the Republic of South Africa. The         
condensed consolidated interim financial statements of the Company as at and    
for the six months ended 30 June 2008 comprise the Company and its              
subsidiaries (together referred to as the "Group") and the Group's interest in  
associates.                                                                     
The consolidated financial statements of the Group as at and for the year       
ended 31 December 2007 are available for inspection at the Company's            
registered office at One Exchange Square, Gwen Lane, Sandown, or at             
www.jse.co.za.                                                                  
2. Statement of compliance                                                      
These condensed consolidated interim financial statements have been prepared    
in accordance with International Financial Reporting Standard IAS 34, Interim   
Financial Reporting. They do not include all the information required for full  
annual financial statements and should be read in conjunction with the          
consolidated financial statements of the Group as at and for the year ended 31  
December 2007.                                                                  
These condensed consolidated interim financial statements were approved by the  
Board of Directors on 12 August 2008.                                           
3. Significant accounting policies                                              
The accounting policies applied by the Group in these condensed consolidated    
interim financial statements are the same as those applied by the Group in its  
annual financial statements as at and for the year ended 31 December 2007.      
4. Key estimates and areas of judgement                                         
The preparation of interim financial statements requires management to make     
judgements, estimates and assumptions that affect the application of            
accounting policies and the reported amounts of assets and liabilities, income  
and expenses. Actual results may differ from these estimates.                   
In preparing these condensed consolidated interim financial statements, the     
significant judgements made by management in applying the Group's accounting    
policies and the key sources of estimation uncertainty were the same as those   
that applied to the consolidated financial statements as at and for the year    
ended 31 December 2007.                                                         
5. Segmental information                                                        
The JSE provides exchange and auxiliary services in South Africa. The revenue   
streams derived from the services are described in note 6 to the interim        
results. The services provided by the JSE are not subject to materially         
different operational risks and are regarded as a single business and           
geographical segment.                                                           
6. Revenue                                                                      
                              Six months ended 30 June     Year ended           
                                                           31 December          
                              2008            2007         2007                 
                              (reviewed)      (reviewed)   (audited)            
                              R'000           R'000        R'000                
Equity derivatives fees         67 845          53 698       116 674            
Agricultural derivatives fees   21 806          21 832       43 432             
Equities trading fees           121 234         84 298       185 605            
Yield-X trading fees            2 678            150          637               
Risk management, clearing and   72 811          53 675       122 247            
settlement fees                                                                 
Information sales               46 192          38 915       79 534             
Membership fees                 3 433           3 328        6 557              
Listing fees                    38 034          44 044       85 888             
Broker deal accounting          68 007          51 926       112 932            
services                                                                        
Funds management and other      23 534          20 363       40 957             
Total revenue before Strate ad  465 574         372 229      794 463            
valorem fees                                                                    
Strate ad valorem fees          43 238          39 228       82 963             
Total revenue                   508 812         411 457        877 426          
                              10 811          13 219       111 993              
7. Other income                                                                 
Other income is down from the prior period largely due to lower income (R5,2    
million) generated by the Investor Protection Funds. This decrease has been     
off-set by income received from the Social Responsibility Index (R1,2 million)  
and other sundry income (R1,6 million). Furthermore, during the year ended 31   
December 2007, a once-off payment of R74,6 million was received from a          
contractor, releasing the contractor from its further obligations with regards  
to its agreements with the JSE.                                                 
8. Personnel expenses            (100 615)      (104 978)     (230 069)         
Long-term incentive scheme,      (18 790)       (46 559)      (82 687)          
including cost of hedge                                                         
Personnel related expenditure    (80 328)       (57 066)      (144 506)         
Other                            (1 497)        (1 353)       (2 876)           
Personnel expenses decreased mainly as a result of the following:               
8.1 Long-term incentive scheme, including cost of hedge                         
The terms and conditions of the Employee Scheme are disclosed in the            
consolidated financial statements as at and for the year ended 31 December      
2007.  During the period under review, no additional participatory interests    
were awarded. The total expense recognised in the income statement is R0,4      
million (2007: R46,6 million) resulting in a total liability of R61,3 million   
(2007: R77,0 million).  The decrease from the prior period is primarily due to  
the decline in the JSE share price, off-set by the continuing accrual of the    
liability based on elapsed time.                                                
The basis of measuring fair value is consistent with that disclosed in the      
consolidated financial statements as at and for the year ended 31 December      
2007.                                                                           
During January 2008, the JSE's exposure to the second tranche of participatory  
interests was hedged through cash-settled European call options, with a view    
to establishing an economic hedge over the life of the issue. The resultant     
impact to the income statement for the period ended 30 June 2008 is a fair      
value loss of R18,4 million. The following assumptions, using Black-Scholes     
valuation methodology, were used to calculate the income statement impact:      
Base price                                      R84,54                          
30 Calendar day VWAP                            R63,62                          
Total number of options                         1 050 350                       
Vesting date                                    31 December 2012                
Volatility                                      32,10%                          
Dividend yield                                  2,39%                           
8.2 Personnel related expenditure                                               
There has been an increase in personnel related expenditure of R23,3 million.   
This is largely the result of the in-sourcing of IT operations during the       
latter half of 2007.                                                            
9. Other expenses             (230 777)         (282 032)    (483 168)          
Other operating expenses decreased mainly as a result of the following:         
- 434 387 shares were issued to the JSE Empowerment Fund (JEF) at a cost of     
R30,4 million during June 2007. This represented the final issue of the 1 737   
550 JSE shares that were set aside to be issued to JEF at par for cash.         
- On 1 June 2008, 578 968 (2007: 579 132) options amounting to R33,5 million    
(2007: R41,5 million) were issued to Qualifying Black Shareholders as per the   
Black Shareholders' Retention Scheme ("the BBBEE Scheme"). In addition, 81 290  
(2007: 154 263) lapsed options were re-issued to JEF at a cost of R4,7 million  
(2007: R11,1 million). The terms and conditions of the BBBEE Scheme are         
disclosed in the consolidated financial statements as at and for the year       
ended 31 December 2007.                                                         
Based on Black-Scholes methodology, the following assumptions were used to      
calculate the income statement impact:                                          
Strike price                                     R14,07                         
Exercise date                                    15 June 2011                   
Dividend yield                                   1,81%                          
Volatility                                       36,14%                         
Risk-free rate                                   12,24%                         
As this transaction is equity settled, the total cost of R38,1 million (2007:   
R46,7 million) has been credited to the BBBEE reserve.                          
- Computer expenses have decreased by R14,3 million and depreciation has        
increased by R4,5 million from the prior period. This is mainly due to the in-  
sourcing of the IT operations and the assignment of contracts classified as     
finance leases respectively.                                                    
10. Income tax expense                                                          
The Group's consolidated effective tax rate for the six months ended 30 June    
2008 was 36% (for the six months ended 30 June 2007: 54% and for the year       
ended 31 December 2007: 33%). This change in effective tax rate was caused      
mainly by two factors:                                                          
- a decrease in the income tax rate effective for the first time for financial  
years ending between 1 April 2008 and 31 March 2009; and                        
- a reduction in BBBEE expenses, which expenses are non-deductible for tax      
purposes.                                                                       
11. Earnings and headline earnings per share                                    
11.1 Basic earnings per share                                                   
The calculation of basic earnings per share at 30 June 2008 of 202,8 (2007:     
47,7) cents per share was based on the profit for the period of R172,6 million  
(2007: R40,5 million) and a weighted average number of ordinary shares of 85    
140 050 (2007: 84 933 538) during the period as calculated below.               
Profit for the period              172 634       40 533      273 238            
Basic earnings per share (cents)  202,8         47,7        321,3               
Weighted average number of                                                      
ordinary shares:                                                                
Issued ordinary shares at         85 140 050    84 705 663  84 705 663          
beginning of period                                                             
Issue of 434 387 shares - the JSE     -          227 875     333 228            
Empowerment Fund - 27 March 2007                                                
Weighted average number of        85 140 050    84 933 538  85 038 891          
ordinary shares                                                                 
11.2 Diluted earnings per share                                                 
The calculation of diluted earnings per share at 30 June 2008 of 200,5 (2007:   
47,5) cents per share was based on the profit for the period of R172,6 million  
(2007: R40,5 million) and a weighted average number of diluted ordinary shares  
of 86 115 620 (2007:                                                            
85 348 834) during the period as calculated below.                              
Profit for the period (basic and     172 634      40 533       273 238          
diluted)                                                                        
Diluted earnings per share (cents)  200,5        47,5         318,7             
Weighted average number of                                                      
ordinary shares (diluted):                                                      
Weighted average number of          85 140 050   84 933 538   85 038 891        
ordinary shares as at end of                                                    
period                                                                          
Dilutive effect of share options     975 570      415 296      683 821          
Weighted average number of          86 115 620   85 348 834   85 722 712        
ordinary shares (diluted)                                                       
11.3 Headline earnings per share                                                
The calculation of headline earnings per share at 30 June 2008 of 199,0 (2007:  
38,7) cents per share was based on headline earnings of R169,5 million (2007:   
R32,9 million) and a weighted average number of                                 
85 140 050 (2007: 84 933 538) ordinary shares in issue during the period as     
calculated in note 11.1.                                                        
Reconciliation of headline earnings:                                            
Profit for the period              172 634       40 533      273 238            
Adjustments are made to the                                                     
following:                                                                      
Profit on sale of associated         -              -       (1 283)             
company                                                                         
Profit on realisation of          (3 176)       (7 673)     (23 535)            
available-for-sale instruments                                                  
Headline earnings                  169 458       32 860      248 420            
Headline earnings per share       199,0         38,7        292,1               
(cents)                                                                         
11.4 Net asset value per share    1 413,8       1 132,9     1 302,2             
(cents)                                                                         
11.5 Contribution of Investor Protection Funds                                  
The contribution these funds make to the headline earnings, diluted earnings    
and the net asset value of the Group is as follows:                             
Headline loss per share (cents)     (1,0)        (2,5)        (3,0)             
Diluted earnings per share (cents)  2,7          6,5          24,5              
Net asset value per share (cents)   314,0        312,5        317,4             
12. Property and equipment                                                      
12.1 During the six months ended 30 June 2008, the Group acquired assets with   
a cost of R95,9 million (2007: R10,9 million).  The assets purchased were       
mainly in respect of the IT Systems Replacement Project (R47,3 million), the    
SAN Storage Solution (R23,5 million) and hardware acquired under finance        
leases (R12,3 million). There were no disposals during the period under review  
(2007: Rnil). Refer to note 14.2 for the finance lease commitments.             
12.2 Since taking over the project management of the Systems Replacement        
Project late last year, intensive examination has been taking place to assess   
the extent to which elements of the software, currently capitalised as          
software under development at a value of R30 million, will deliver full value.  
We have ascertained that the risk exists that some elements may not deliver     
full value but the extent to which the assets may suffer impairment has not     
yet been quantified. The process of assessing the quantum is expected to be     
completed by the end of the year.                                               
13. Dividends paid                                                              
Ordinary dividend of 15,6 cents         -         13 282       13 282           
per share                                                                       
Special dividend of 90,75 cents         -            -         77 265           
per share                                                                       
Ordinary dividend of 130,0 cents     110 682         -            -             
per share                                                                       
                                    110 682      13 282       90 547            
14. Contingent liabilities and commitments                                      
14.1 Contingent liabilities                                                     
There were no changes to the contingent liabilities reported in the             
consolidated financial statements as at and for the year ended 31 December      
2007.                                                                           
14.2 Commitments                                                                
There were no changes to the commitments reported in the consolidated           
financial statements as at and for the year ended 31 December 2007. The         
following new commitments were entered into during the six months ended 30      
June 2008.                                                                      
Finance leases                                                                  
As part of the termination of the outsourced IT operations, certain contracts   
were assigned to the JSE and have been classified as finance leases.            
Future payments:                                                                
Not later than one year              5 360           -            -             
Between one and five years            801            -            -             
                                    6 161           -            -              
15. Related parties                                                             
15.1 Related party transactions                                                 
The JSE is the main provider of risk management, clearing and settlement, and   
accounting systems to equity member firms (many of whom are shareholders).      
Revenue earned from this source, and from providing trading and market data to  
member firms, amounted to R311,7 million (2007: R232,3 million) for the         
period.  These transactions are conducted on an arm's length basis.             
The associated companies and subsidiaries of the Group are identified as        
follows:                                                                        
Amounts due from/(due to)                                                       
- Associated companies:                                                         
Strate Limited1                    (16 783)     (8 590)      (6 762)            
- Subsidiaries:                                                                 
 SAFEX Clearing Company (Pty)       4 611        3 135        3 497             
 Limited                                                                        
 JSE Trustees (Pty) Limited         4 240        3 904        3 522             
 JSE Guarantee Fund Trust          *                -        (400)              
 JSE Fidelity Fund Trust           100              -        23                 
1  Strate invoices the JSE for a service fee of R43,2 million (2007: R39,2      
million) in respect of settlement, which the JSE thereafter recovers from the   
members.                                                                        
*Less than R1 000.                                                              
No allowance for impairment losses has been raised in respect of related        
parties as at 30 June 2008 (2007: Rnil).                                        
Normal trading terms apply to the amounts due to the JSE.                       
15.2 Transactions with key management personnel                                 
Executive directors and other key executives remuneration of R5,8 million       
(2007: R5,5 million) and R9,5 million (2007: R7,9 million) respectively, was    
paid during the period.                                                         
Executive directors and other key executives have participatory interests in    
the long-term incentive scheme of 1,3 million (2007: 0,9 million) and 1,        
million (2007: 1,0 million) respectively.                                       
KPMG Inc., the Company's independent auditor, has reviewed the interim          
financial statements contained in the interim report from which this interim    
financial information is extracted and has expressed an unmodified conclusion   
on the interim financial statements.  Their review report is available for      
inspection at the Company's registered office.                                  
EXECUTIVE DIRECTORS                                                             
RM Loubser (CEO), NF Newton-King, LV Parsons, JH Burke, FM Evans                
NON-EXECUTIVE DIRECTORS                                                         
HJ Borkum (Chairman), AD Botha, MR Johnston, DM Lawrence, W Luhabe, A Mazwai,   
SN Nematswerani, N Payne, GT Serobe                                             
COMPANY SECRETARY                                                               
GC Clarke                                                                       
Sandton                                                                         
12 August 2008                                                                  
Sponsor                                                                         
RAND MERCHANT BANK (A division of FirstRand Bank Limited)                       
Date: 12/08/2008 12:35:02 Produced by the JSE SENS Department.