Steinhoff - comment

We are exiting our 3% of NAV SEAG A2s and B2.2s today at 38c/€ and 29c/€ respectively. Pepco are still reporting negative LfLs (-3% through March), but management were encouraging as to future trading in its core countries. We think that by now the latter should outweigh the former. Nevertheless, we are exiting this name today and are shelving the analysis. Steinhoff has been a very good investment for us, but we have taken a hit since the Pepco troubles unfolded. The investment thesis has therefore migrated more than we like, information is harder to come by and we feel there are more interesting names for us to cover.