Ann: FY18 Earnings Guidance Update, page-4

Hi Niels,

I think you are worrying too much too early. Sexy Motorbikes can make you do that,

Super Soco are a long way from being able to be independent of VMT.

They are still in the courtship stage of their business development.

Don't loose site of the facts that ,

° SS have to presell there products and get payment before they can build them

° SS don't have a manufacturing liscense

° SS don't have a factory

° SS haven't seeded in, at great expense and effort, a broadly spread International distribution network.

VMT on the other hand is at the married with kids stage of their business relationship and are busy investing in the superannuation nest egg in preparation for retirement.

Don't forget the further up the ladder and the further away from the grease you get the more money you can make.

If Super Soco are successful, which of course is not a certainty at this early stage, they are a long way from not needing VMTs nurturing. This of course comes at a price which benefits us.

I think taking SS under our wing and getting them to manufacture our bikes ( no more grease for us) in our factory is brilliant 

The fact that they need more rented space so they can also manufacture their own bikes is also brilliant.

The fact that we get to distribute their products and add volume to our distribution chain is massively brilliant

SS won't have anything to offer us in a take over or merger until they are successful and given the nurturing arrangements in place we will be also. A classic win win if they can be successful. This of course adds another possible option to our retirement exit strategy. Could be really brilliant.

Go Charles !!!!!