9 Favourable Market Dynamics Post IPO High quality gem diamonds continued price increase during the reporting period Price increase of 30.2% for polished diamonds above 3 carats and 57.9% for polished diamonds above 5 carats over 12 months until 29 February 2008 Strong price environment expected to continue for rough and polished diamonds through 2008 Disproportionate increase in prices of large and high quality diamonds Average price for rough diamonds recovered through mining operations was US$700 – substantially ahead of expectations Substantial exposure to rising price of large stones – 80% of US$ value of the inventory at the end of the reporting period comprised of 5 carats and larger diamonds Average Price: Feb 2007 – Feb 2008 Polished Diamonds Price Trend by Size* % Change Year-on- Year 1.3 5.8 4.6 1.5 30.2 51.6 57.9 0 20 40 60 80 0.51.01.52.03.04.05.0 Size of Polished Diamond (Carats) 1.3 5.8 4.6 1.5 30.2 51.6 57.9 0 20 40 60 80 0.51.01.52.03.04.05.0 % change year-on-year * As per the International Diamond and Jewellery Exchange
{}