Quarter 1 Performance Report 3 August 2012

Introduction: Planning for implementation Priorities for the year Outline Introduction: Planning for implementation Priorities for the year Operational overview Concluding Remarks Question and Answer session

Introduction: Planning for implementation In Q1, the organisation spent a significant amount of time on detailed business planning ensuring the activities, related milestones, KPIs and budgets are aligned with each goal. Concurrently, we continued to meet most service delivery standards.

ICT infrastructure implementation; ICT governance; Data cleansing; Priorities for the year Organisational transformation – new structure, new policies, new code of ethics; ICT infrastructure implementation; ICT governance; Data cleansing; Debtor management; Service standards monitoring and improvement; Call Centre; FNB Collaboration.

Operational overview – Company registrations  MONTH MANUAL ONLINE TOTAL APRIL 5067 9329 14396 MAY 5186 12750 17936 JUNE 5923 13823 19746  16176  35902 52078 Service delivery standards >90% of online applications registered within 3-5 working days if all supporting documents submitted >90% of manual applications registered within 15 working days

Operational overview – Cooperatives 5 000 Cooperatives were registered in the first quarter; in line with the upward trend in the last financial year. The average per quarter up to 2010 was 2 250. Service delivery standards: 54% of applications registered within 15 working days 14% of applications registered within less than15 working days In the remaining cases we need to investigate whether standards were met or not.

Operational overview – Intellectual Property registers Service April May June Total Trade mark applications 2979 3212 3046 9237 Patents applications 780 871 893 2544 Designs New Applications 180 223 165 568 Copyright in films 12 4 8 24 Service delivery standards All trade mark, patent and design official application numbers issued within 5 working days. 80% of copyright official application numbers issued within 2 working days.

International Applicants Operational overview – Intellectual Property: local vs. international applicants Type of filing Total Q1 Domestic Applicants International Applicants % Local filings Patents 2544 716 1828 28% Designs 568 223 345 39% Trade Marks 9246 5145 4101 56% Copyright 22 4 18 18%

Operational overview – Business Rescue Item April 2012 May 2012 June 2012 Notices of Beginning Rescue Filed (sec 129) and court applications 30 43 29 Discarded (not valid) filings 1 Notices to End Rescue Proceedings 4 Applications for Business Rescue Practitioner (BRP) licenses 10 12 BRP registrations certificates issued and BRPs appointed 31 36 22 No of licensed BRPs 84 91 94

Operational performance – Business Rescue Notices Filed April 2012 May 2012 June 2012 Notices Brought forward 6 4 7 Notices of Beginning Business Rescue Filed (129) and Court Applications 30 43 29 Registration Certificates issued and BR appointed 31 36 22 Discarded not valid filings 1 CoR 125. 2 Notice to end Rescue Proceeding Pending Notices filed Enquiries received including telephonical 333 270 438 Applications for practitioners licenses received 10 18

Operational overview – Business Rescue

Operational overview – Investigations Subject June 2012 Cases brought forward 70 Investigations initiated 26 Cases finalized 25 Cases pending 71 Average turnaround time on finalized cases 44 days CIPC has as its mandate to ensure compliance by companies to the new Companies Act, 71 of 2008. As such, various cases of none compliance were reported cases. The nature of complaints cases vary depending on the company circumstances. Complaints that related to financial mismanagement were resolved in consultation with affected stakeholders, such auditors. Other cases related to other members of the board resigning as a result unacceptable management practices. Criminal related matters were referred to South Africa Police Service and High Court for investigation and financial related matters were referred to auditors. However, some of these cases were closed due to a lack of cooperation from complainants. Another case was referred to the National Consumer Commission due to none adherence to the rescission of a judgment.   One company was unable to attend to the filing of annual returns due to the removal of the directors’ details. However, the complainant was later able to file its annual returns. Complaints that did not fall within the jurisdiction of the Companies Act were forwarded to the BEE Unit in the dti. Allegations of contraventions of sections 179, 239, 240, 226 and 284 of the Companies Act 61 of 1973 were made; however, the matter was closed due to a lack of cooperation from the auditor.

Contact Centre Total Calls Data Operational overview – Call Centre Contact Centre Total Calls Data Month Reporting Apr-12 May-12 Jun-12 Calls Offered 43645 51672 68188 Calls Answered 9779 11638 12427 Abandoned 33866 40034 55761 Abandoned % 78% 77% Answered % 22% 23% E-mails 7161 7547 6820 Performance of the call centre was at an all time low in January 2012, at 20% and performance has remained largely unchanged. Decentralisation introduced in March, but has not changed performance substantially. Higher call resolution, but slower performance. CIPC is exploring different options, including a visit to the Swedish Corporate Registry, which receives and handles similar and larger call volumes without a call center. CIPC has as its mandate to ensure compliance by companies to the new Companies Act, 71 of 2008. As such, various cases of none compliance were reported cases. The nature of complaints cases vary depending on the company circumstances. Complaints that related to financial mismanagement were resolved in consultation with affected stakeholders, such auditors. Other cases related to other members of the board resigning as a result unacceptable management practices. Criminal related matters were referred to South Africa Police Service and High Court for investigation and financial related matters were referred to auditors. However, some of these cases were closed due to a lack of cooperation from complainants. Another case was referred to the National Consumer Commission due to none adherence to the rescission of a judgment.   One company was unable to attend to the filing of annual returns due to the removal of the directors’ details. However, the complainant was later able to file its annual returns. Complaints that did not fall within the jurisdiction of the Companies Act were forwarded to the BEE Unit in the dti. Allegations of contraventions of sections 179, 239, 240, 226 and 284 of the Companies Act 61 of 1973 were made; however, the matter was closed due to a lack of cooperation from the auditor.

In conclusion In the first quarter, the emphasis was on maintaining service delivery standards and planning for implementation. In the second quarter, the organisation aims to: Ensure all processes are in place to conclude the organisational design process in the third quarter; Commence the planning cycle for the next reporting period; Begin implementing the business plan, and see greater traction in the ICT area in particular; Continue to improve service delivery, especially with respect to the call centre.

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