Ann: Announcement regarding share buy-back / Appendix 3C, page-2

I have a feeling that this buyback is more for supporting the languishing share price, which possibly is about to drop further after the admission of failure to meet previous guidance, than for prudent deployment of excess capital.

When the stock is trading at earnings multiple in excess of 40, I simply cannot agree with management and the board's decision to conduct share buyback.

Share buyback should only be initiated when the circumstances allows this to be conducted in a financially prudent manner, i.e. the stock is trading at a relatively low valuation compared to its growth prospects.

When the key Australian business unit is in the middle of introducing new menus and new price points, the target of 7-9% SSS growth might actually prove to be a little bit optimistic. So far, the ANZ SSS growth rate up to 06/08/2017 is only 7.2%, which is already on the low side of that guidance range. It won't take a lot to push this below the 7% mark and this can result in another failure to meet profit guidance.