National Tyre & Wheel : Letter to Shareholders - DRP Reminder

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National Tyre & Wheel Limited PH: 07 3212 0950 | FAX: [phone] MacArthur Avenue, Hamilton QLD 4007 PO Box 283, Hamilton QLD 4007 ABN 97 095 843 020

3 March 2022

Dear Shareholder,

Opportunity to participate in Dividend Reinvestment Plan at an attractive 3.5% discount

National Tyre & Wheel Limited (ASX: NTD) ("NTAW" or the "Company") recently announced its fully franked FY2022 interim dividend of 3.0 cents per share (consistent with the FY2021 interim dividend) and the dividend reinvestment plan ("DRP").

Key details associated with the FY2022 interim dividend and the DRP are as follows:

Dividend amount	3.0 cents per share
Franking	100% at a 30% tax rate
Ex-dividend date	Friday, 11 March 2022
Record date	Monday, 14 March 2022
Last day for receipt of DRP election	Tuesday, 15 March 2022
Payment and share issue date	Friday, 8 April 2022

For shareholders who elect to reinvest all or part of their FY2022 interim dividend, new shares will be issued at an attractive 3.5% discount to the arithmetic average of the 10-day daily volume weighted average price in accordance with the rules of the DRP. The Board considers the dividend reinvestment discount of 3.5% to be favourable for shareholders.

In January 2022, the Company successfully completed a share purchase plan ("SPP"), raising $10.9 million from applications for $17.0 million. As a result of the over-subscriptions, most SPP applications were scaled back. Accordingly, the Board is making the DRP available for the FY2022 interim dividend to provide shareholders with another opportunity to increase their shareholdings at an attractive discount.

Shareholders who wish to participate in the DRP for the interim dividend must elect to do so before the DRP election date of 5.00 pm AEDT on Tuesday, 15 March 2022, by:

• making an election via the share registry atwww.computershare.com.au/easyupdate/NTD; or
• completing the attached personalised election form and returning it to the share registry by post. If electing to return the form by post, please give sufficient time to allow Australia Post to deliver the form to Computershare.

NTAW has delivered strong growth in revenue (CAGR of 28%) and EBITDA (CAGR of 17%) since it listed on the ASX in December 2017. The Company now generates annual revenues of approximately $560 million and is poised to benefit significantly from various projects including digital transformation, the restructuring of Tyres4U/Tyreright, the extraction of distribution and logistics synergies and revenue growth from cross-selling between business units.

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The Board thanks all shareholders for their ongoing support.

If you have any questions, please contact the Company Secretary on 07 3212 0950 or [e-mail].

Yours sincerely

Murray Boyte

Chairman

National Tyre & Wheel Limited

Dividend Reinvestment Plans - Frequently Asked Questions

Who can participate?

All shareholders of fully paid NTAW ordinary shares with a registered address in Australia or New Zealand may participate in the DRP, subject to certain limits (set out in the DRP Rules).

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How do I participate in the DRP?

Submit your participation details online by visiting:

www.computershare.com.au/easyupdate/NTD

This is called your 'DRP notice'.

Can I participate in the DRP for some of my shares?

Yes, you can nominate all of your shares or a specific number of your shares to participate in the DRP. For shares not participating in the DRP, dividends will be paid in accordance with NTAW's mandatory direct credit policy.

When will my participation begin?

Your participation in the DRP will take effect for a particular dividend if your DRP notice is received by the relevant DRP election date. The deadline for receipt of DRP notices in respect of the 2022 interim dividend is 5:00pm AEDT on 15 March 2022.

For DRP notices received after the DRP election date, participation will begin from the first dividend record date after receipt of your DRP notice.

What happens if I have more than one shareholding?

You must submit a separate DRP notice for each shareholding registered under different names or holding numbers.

Can I change my participation at any time?

Yes. You can notify the share registry online by visiting the above website address. The variation will be effective from the next dividend payment, provided that the DRP notice is received by the DRP election date for the relevant dividend.

At what price will the shares be allocated?

Shares will be allocated at an average of the daily volume weighted average price of all NTAW shares sold on ASX over a period of 10 trading days, or such other period as the Board may determine, in accordance with the DRP Rules (Allocation Price).

The Allocation Price may be reduced by a discount, which the Board may determine from time to time and announce on the ASX. NTAW does not currently intend to offer any discount on the Allocation Price.

The Allocation Price may be determined after the DRP election date, so you may not know the Allocation Price when you commit to participate in the DRP.

What happens to fractions of shares?

The application of the dividend reinvestment formula will calculate the maximum whole number of shares you are entitled to. Any residual amount will be carried forward and applied to the next DRP calculation.

On termination of participation for any reason, any residual amount will be donated to a registered charity nominated by the Board.

What will it cost me to participate?

Nothing. No brokerage fees, commission or other transaction costs will be payable for any shares allocated under the DRP.

Can I sell my shares when I choose?

Yes. You can sell any or all of your shares at any time.

However, if you sell all of your shares and do not give NTAW notice of termination of your participation in the DRP, your participation will cease with effect from the date on which the last transfer is registered by NTAW.

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If you elect for 'full participation' and then sell some of your shares, the dividends on your remaining shares will continue to be reinvested under the DRP. If you elect for 'partial participation' and then sell some of your shares, the number of shares sold will be deemed to the full extent possible to be non-participating shares and the balance, if any, will be deemed to be participating shares under the DRP.

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What about taxation?

For taxation purposes, if you participate in the DRP, the Australian Taxation Office generally treats you in the same way as if you had received a cash dividend equal to the dividend reinvested and used it to buy the shares issued to you under the DRP. NTAW takes no responsibility for the taxation consequences of shareholders participating in the DRP, and recommends you obtain professional taxation advice.

Will I receive a dividend statement?

After each dividend, a dividend statement will be provided to you in accordance with your DRP notice, showing details of your dividend amount, franking credits, the number of shares you have been allocated under the DRP and the allocation price you paid for each share. The statement will also indicate the residual value (if any) that will be applied to the next dividend. Your dividend statement will be provided on or as soon as practicable under the dividend payment and should be retained for taxation purposes.

Can the DRP be modified, suspended or cancelled?

NTAW may alter, suspend or terminate the DRP at any time. NTAW will notify the ASX of such decision and notification will also be uploaded to the NTAW website.

Need more information?

If you have further questions (other than on taxation) about how the DRP operates and how you can participate, please contact the NTAW Share Registry on 1300 552 270 (within Australia) or [phone] (outside Australia).

ABN 97 095 843 020

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Dividend Reinvestment Plan

Use a blackpen.

Where a choice is required,

A

B

C

1

2

3

X

Print in CAPITAL letters

mark the box with an 'X'

inside the grey areas.

Return your information:

Online:

www.investorcentre.com/contact

By Mail:

Computershare Investor Services Pty Limited

GPO Box 2975 Melbourne

Victoria 3001 Australia

Enquiries:

(within Australia) 1300 850 505 (international) [phone]

Securityholder Reference Number (SRN)

SRN WITHHELD DEC

For your security keep your SRN/HIN confidential.

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A

Dividend Reinvestment Plan (DRP)

ALL

Please mark this box with an 'X' if you wish all of your holding to participate in the company's DRP.

PART

Show the number of securities you wish to

participate in the company's DRP.

B

Sign Here - This section mustbe signed for your instructions to be executed.

I/We authorise you to act in accordance with my/our instructions set out above. I/We acknowledge that these instructions supersede and have priority over all previous

instructions in respect to my/our securities. Where I/we have indicated participation in the Dividend Reinvestment Plan, I/we hereby agree to be bound by the Terms

and Conditions of the Dividend Reinvestment Plan.

Individual or Securityholder 1

Securityholder 2

Securityholder 3

Director

Director/Company Secretary

Sole Director and Sole Company Secretary

Date - Day

Month

Year

Note: When signed under Power of Attorney, the attorney states that

is

they have not received a notice of revocation. Computershare Investor

Services Pty Limited needs to sight a certified copy of the Power of Attorney.

This Document

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