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Dividend Policy Policy Statement The board of Michael Hill International Ltd (the Board) is committed to a policy of providing consistent dividend streams to shareholders while maintaining a strong balance sheet and retaining flexibility to meet the businesses financial needs. Policy Guidelines · Dividends declared will take into account current year earnings, trading outlook in our various markets, capital requirements and desired long term capital structure. · Our target Equity ratio (equity as percentage of total assets) is in the range of 60% to 70% however abnormal circumstances or events could take the Equity ratio outside this range from time to time. · Other relevant economic factors can also impact the company’s Dividend Policy and the Board reserves the right to set dividends taking into account any external factors affecting the business. · Wherever possible dividends will be fully imputed however this is dependent on the level of imputation credits available to attach at the time of payment.