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1 19 May 2015 Sydney Level 15, 255 Pitt Street Sydney NSW 2000 Australia GPO Box 3698 Sydney NSW Telephone Facsimile The Manager Company Announcements Office ASX Limited 20 Bridge Street SYDNEY NSW 2000 By electronic lodgement Dear Sir/Madam Re: Notice of ceasing to be a substantial holder ~ Surfstitch Group Limited (SRF) We enclose notice of ceasing to be a substantial holder in Surfstitch Group Limited. This notice is given by Challenger Limited and each of its subsidiaries named in to this notice. Yours faithfully Andrew Brown Company Secretary attach Melbourne Level 19, 31 Queen Street PO Box 297, Flinders Lane, Melbourne VIC 3000 Telephone Facsimile Brisbane Level 9, 241 Adelaide Street GPO Box 3234, Brisbane QLD 4001 Telephone Facsimile Perth Level 2, 168 St Georges Terrace, Perth WA 6000 Telephone Facsimile Adelaide Level 7, Suite 714, 147 Pirie Street Adelaide SA 5000 Telephone Facsimile Challenger Limited ABN Challenger Group Services Pty Limited ABN Challenger Life Company Limited ABN AFSL Howard Commercial Lending Limited ABN Challenger Listed Investments Limited ABN AFSL Challenger Diversified Property Trust 1 ARSN Challenger Diversified Property Trust 2 ARSN Challenger Management Services Limited ABN AFSL Challenger Retirement and Investment Services Limited ABN AFSL RSE Licence No. L Challenger Mortgage Management Pty Ltd ABN Challenger Securitisation Management Pty Ltd ABN AFSL

2 605 page 1/1 15 July 2001 Form 605 Corporations Act 2001 Section 671B Notice of ceasing to be a substantial holder To Company name/scheme Surfstitch Group Limited ACN/ARSN Details of substantial holder (1) Name Challenger Limited (and each entity named in ) ACN (if applicable) The holder ceased to be a substantial holder on The previous notice was given to the company on The previous notice was dated Changes in relevant interests Particulars of each change in, or change in the nature of, a relevant interest (2) of the substantial holder or an associate (3) in voting securities of the company or scheme, since the substantial holder was last required to give a substantial holding notice to the company or scheme are as follows: Date of change Person whose relevant Nature of Consideration given in Class (6) and number Person's votes affected interest changed change (4) relation to change (5) of securities affected Refer Annexure 2 Refer Annexure 2 Refer Annexure 2 Refer Annexure 2 Refer Annexure 2 Refer Annexure 2 3. Changes in association The following persons who have become associates (3) of,ceased to be associates of, or have changed the nature of their association (7) with, the substantial holder in relation to voting interests in the company or scheme are as follows: Name and ACN (if applicable) Nature of association N/A 4. Addresses The addresses of persons named in this form are as follows: Name Address Challenger Limited and each entity named in Level 15, 255 Pitt Street, SYDNEY NSW 2000 Signature print name Andrew Brown capacity Company Secretary signature date ASX\ ASIC Form 605.docx

3 This is page 1 of 5 of referred to in ASIC Form Notice of ceasing to be a substantial holder. 255 FINANCE PTY LTD AUSTRALIA ACCURIUM HOLDINGS PTY LTD AUSTRALIA ACCURIUM PTY LTD AUSTRALIA ACRUX LIMITED AUSTRALIA ALLFINE HOLDINGS PTY LTD AUSTRALIA ALPHACAT 2013, LTD BERMUDA ALPHINITY INVESTMENT MANAGEMENT PTY LTD AUSTRALIA APPIA EUROPE LIMITED ENGLAND/WALES APPIA FINANCE 2 LIMITED ENGLAND/WALES APPIA FINANCE LIMITED ENGLAND/WALES APPIA GROUP LIMITED JERSEY APPIA INVESTMENTS LIMITED ENGLAND/WALES ARDEA INVESTMENT MANAGEMENT PTY LTD AUSTRALIA ARETE INVESTMENT PARTNERS PTY LTD AUSTRALIA ASSETSECURE PTY. LIMITED AUSTRALIA BELVINO INVESTMENTS PTY LIMITED AUSTRALIA BENTHAM ASSET MANAGEMENT PTY LTD AUSTRALIA BLUEZEN PTY LTD AUSTRALIA CDPG AUSTRALIA PTY LIMITED AUSTRALIA CDPG LUXEMBOURG HOLDINGS SARL B LUXEMBOURG CDPG LUXEMBOURG II SARL B LUXEMBOURG CDPG LUXEMBOURG SARL B LUXEMBOURG CDPG MALTA LIMITED C MALTA CESCADE PTY LIMITED AUSTRALIA CFSG HOLDINGS NO 2 (VICTORIA) PTY LIMITED AUSTRALIA CHALLENGER DIRECT PTY LTD AUSTRALIA CHALLENGER DIVERSIFIED PROPERTY DEVELOPMENT PTY LIMITED AUSTRALIA CHALLENGER DPG FRANCE II SAS FRANCE CHALLENGER DPG FRANCE SAS R.C.S. FRANCE CHALLENGER EMERGING MARKET INFRASTRUCTURE FUND PTE. LTD D SINGAPORE CHALLENGER FINANCIAL SERVICES PTY LIMITED AUSTRALIA CHALLENGER FM 2 HOLDINGS PTY LIMITED AUSTRALIA CHALLENGER FM NOMINEES PTY LIMITED AUSTRALIA CHALLENGER FUNDS MANAGEMENT HOLDINGS PTY LIMITED AUSTRALIA CHALLENGER GROUP HOLDINGS LIMITED AUSTRALIA CHALLENGER GROUP PTY LIMITED AUSTRALIA CHALLENGER GROUP SERVICES (UK) LIMITED ENGLAND/WALES CHALLENGER GROUP SERVICES PTY. LTD AUSTRALIA CHALLENGER HOLDING VAGYONKEZELO KFT HUNGARY CHALLENGER HOME LOAN CORPORATION PTY LTD AUSTRALIA CHALLENGER INVENTORY FINANCE SERVICING PTY LIMITED AUSTRALIA CHALLENGER JERSEY I3 LIMITED JERSEY CHALLENGER LBC TERMINALS HOLDING COMPANY LIMITED C41149 MALTA

4 This is page 2 of 5 of referred to in ASIC Form Notice of ceasing to be a substantial holder. CHALLENGER LBC TERMINALS LIMITED C41150 MALTA CHALLENGER LIFE COMPANY HOLDINGS PTY LTD AUSTRALIA CHALLENGER LIFE COMPANY LIMITED AUSTRALIA CHALLENGER LIFE DEBT INVESTMENTS (EUROPE) LIMITED ENGLAND/WALES CHALLENGER LIFE FUND PROPERTY INVESTMENTS PTY LTD AUSTRALIA CHALLENGER LIFE NOMINEES NO.2 PTY LTD AUSTRALIA CHALLENGER LIFE NOMINEES NO.3 PTY LIMITED AUSTRALIA CHALLENGER LIFE NOMINEES PTY LTD AUSTRALIA CHALLENGER LIFE OFFSHORE INVESTMENTS LIMITED JERSEY CHALLENGER LIFE SUBSIDIARY HOLDINGS LTD AUSTRALIA CHALLENGER LIMITED AUSTRALIA CHALLENGER LISTED INVESTMENTS LIMITED AUSTRALIA CHALLENGER LUXEMBOURG HOLDING NO.1A SARL B LUXEMBOURG CHALLENGER LUXEMBOURG HOLDING NO.1B SARL B LUXEMBOURG CHALLENGER LUXEMBOURG HOLDING NO.2 SARL B LUXEMBOURG CHALLENGER MANAGED INVESTMENTS (INTERNATIONAL) PTY LIMITED AUSTRALIA CHALLENGER MANAGEMENT SERVICES LIMITED AUSTRALIA CHALLENGER MARGIN LENDING PTY LIMITED AUSTRALIA CHALLENGER MBK EMERGING MARKET INFRASTRUCTURE FUND GP LTD WK CAYMAN ISLANDS CHALLENGER MBK FUND MANAGEMENT PTE. LTD M SINGAPORE CHALLENGER MORTGAGE MANAGEMENT PTY LTD AUSTRALIA CHALLENGER NON-CONFORMING FINANCE PTY LTD AUSTRALIA CHALLENGER ORIGINATOR FINANCE PTY LIMITED AUSTRALIA CHALLENGER PROPERTY ASSET MANAGEMENT PTY LTD AUSTRALIA CHALLENGER RETIREMENT AND INVESTMENT SERVICES LIMITED AUSTRALIA CHALLENGER SECURITISATION MANAGEMENT PTY LTD AUSTRALIA CHALLENGER SKYBRIDGE (CAPITAL II) INVESTMENT LLP OC ENGLAND/WALES CHALLENGER SKYBRIDGE (FUND SLP) JERSEY LIMITED JERSEY CHALLENGER SKYBRIDGE (GP HOLDINGS) INVESTMENT LLP OC ENGLAND/WALES CHALLENGER SKYBRIDGE (GROUP) HOLDING COMPANY PTY LTD AUSTRALIA CHALLENGER SKYBRIDGE (HASTINGS) HOLDING COMPANY PTY LTD AUSTRALIA CHALLENGER SKYBRIDGE (HASTINGS) INVESTMENT LLP OC ENGLAND/WALES CHALLENGER SKYBRIDGE FUND (LP) JERSEY LIMITED JERSEY CHALLENGER SPECIAL SERVICING PTY LIMITED AUSTRALIA CHALLENGER SPECIALISED FINANCE NO.2 PTY LTD AUSTRALIA CHALLENGER SPECIALISED FINANCE PTY LTD AUSTRALIA CHALLENGER TREASURY LIMITED AUSTRALIA CHALLENGER UK TANK STORAGE LIMITED ENGLAND/WALES CHALLENGER UK TERMINALS LIMITED JERSEY CHALLENGER WELCOME BREAK LIMITED JERSEY CHALLENGER WHOLESALE FINANCE HOLDINGS PTY LIMITED AUSTRALIA CHALLENGER WIND HOLDINGS PTY LIMITED AUSTRALIA CLASHFERN INVESTMENTS (UK) LIMITED ENGLAND/WALES

5 This is page 3 of 5 of referred to in ASIC Form Notice of ceasing to be a substantial holder. CLS US HOLDINGS, LLC UNITED STATES CPHIC INVESTMENTS PTY LTD AUSTRALIA CSPP1 BROADBEACH PTY LTD AUSTRALIA CSPP1 INVESTMENT COMPANY 1 PTY LIMITED AUSTRALIA CSPP1 MAITLAND PTY LTD AUSTRALIA CSPP1 MAVIS COURT PTY LTD AUSTRALIA EMIF HOLDINGS PTY LTD AUSTRALIA FIDANTE LIMITED ENGLAND/WALES FIDANTE PARTNERS (UK & EUROPE) LIMITED ENGLAND/WALES FIDANTE PARTNERS ALPHINITY HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS ARDEA HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS ARETE HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS BENTHAM HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS GP US LLC UNITED STATES FIDANTE PARTNERS HOLDINGS PTY LIMITED AUSTRALIA FIDANTE PARTNERS INVESTMENT FUNDS PUBLIC LIMITED COMPANY IRELAND FIDANTE PARTNERS KAPSTREAM HOLDINGS PTY LIMITED AUSTRALIA FIDANTE PARTNERS LIMITED AUSTRALIA FIDANTE PARTNERS MERLON HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS METISQ HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS NOVAPORT HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS R&M HOLDINGS PTY LIMITED AUSTRALIA FIDANTE PARTNERS SERVICES LIMITED AUSTRALIA FIDANTE PARTNERS TEMPO HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS US LLC UNITED STATES FIDANTE PARTNERS WAVESTONE HOLDINGS PTY LIMITED AUSTRALIA FIDANTE PARTNERS WHITEHELM HOLDINGS PTY LTD AUSTRALIA FIDANTE PARTNERS WYETREE LIMITED ENGLAND/WALES GASVALPO FINANCE PTY LIMITED AUSTRALIA GASVALPO S.A CHILE GREENCAPE CAPITAL PTY LTD AUSTRALIA GV CAYMAN COMPANY LIMITED OG CAYMAN ISLANDS GV CHILE HOLDING LIMITADA CHILE GV CHILE LIMITADA CHILE GV JERSEY HOLDING COMPANY LIMITED JERSEY GV JERSEY TRUSTEE COMPANY LIMITED JERSEY GV JERSEY TRUSTEE COMPANY NO. 2 LIMITED JERSEY HOMELOANS LIMITED AUSTRALIA HOWARD COMMERCIAL LENDING LIMITED AUSTRALIA KAPSTREAM CAPITAL PTY LIMITED AUSTRALIA KINETIC INVESTMENT PARTNERS PTY LTD AUSTRALIA KUDU INVESTMENT MANAGEMENT LLC UNITED STATES KUDU INVESTMENTS GP LLC UNITED STATES

6 This is page 4 of 5 of referred to in ASIC Form Notice of ceasing to be a substantial holder. LANV PTY LTD AUSTRALIA LBC TANK TERMINALS (JERSEY) LIMITED JERSEY LEASE COLLATERAL NO.2 PTY LTD AUSTRALIA LEASE COLLATERAL PTY LTD AUSTRALIA LEASE FUNDING MANAGEMENT PTY LTD AUSTRALIA MAITLAND NOMINEE HOLDINGS PTY LIMITED AUSTRALIA MAVIS COURT DEVELOPMENT CO PTY LTD AUSTRALIA MAWBURY PTY LIMITED AUSTRALIA MERLON CAPITAL PARTNERS PTY LTD AUSTRALIA METISQ CAPITAL HOLDINGS PTY LTD AUSTRALIA METISQ CAPITAL PTY LTD AUSTRALIA METISQ CAPITAL SINGAPORE PTE. LTD. 49G SINGAPORE MIR ASIA PACIFIC EQUITY FEEDER FUND LTD CAYMAN ISLANDS MIR ASIA PACIFIC EQUITY MASTER FUND LTD CAYMAN ISLANDS MIR GREATER CHINA PTE LTD D SINGAPORE MIR LIBRA CAPITAL MANAGEMENT LTD CAYMAN ISLANDS MIR LIBRA GREATER CHINA EQUITY FUND LTD WK CAYMAN ISLANDS NOVAPORT CAPITAL PTY LTD AUSTRALIA OAKLANDS HILL PTY LTD AUSTRALIA OAKLANDS HILL WIND FARM PTY LTD AUSTRALIA OIKOS LIMITED ENGLAND/WALES OIKOS STORAGE LIMITED ENGLAND/WALES RESIDENTIAL REAL ESTATE TOTAL RETURN OPPORTUNITIES FUND LTD CAYMAN ISLANDS RESIDENTIAL REAL ESTATE TOTAL RETURN OPPORTUNITIES MASTER FUND L.P CAYMAN ISLANDS SABRAND LIMITED CYPRUS STRUCTURED CREDIT RESEARCH LLP OC ENGLAND/WALES TALAVERA HERRING PTY LIMITED AUSTRALIA TEMPO ASSET MANAGEMENT PTY LTD AUSTRALIA THE LIBERTY GROUP CONSORTIUM PTY LTD AUSTRALIA TLG SERVICES PTY LIMITED AUSTRALIA TLGH PTY LIMITED AUSTRALIA TRE DATA CENTRES CANBERRA PTY LTD AUSTRALIA US LLC HOLDINGS PTY LTD AUSTRALIA WATERFORD COUNTY PTY LIMITED AUSTRALIA WAVESTONE CAPITAL PTY LTD AUSTRALIA WELCOME BREAK CAYMAN LIMITED FC CAYMAN ISLANDS WELCOME BREAK GROUP HOLDINGS LIMITED FC CAYMAN ISLANDS WELCOME BREAK GROUP LIMITED ENGLAND/WALES WELCOME BREAK HOLDINGS (1) LIMITED ENGLAND/WALES WELCOME BREAK HOLDINGS (2) LIMITED ENGLAND/WALES WELCOME BREAK HOLDINGS LIMITED CAYMAN ISLANDS WELCOME BREAK LIMITED ENGLAND/WALES WELCOME BREAK NO.1 LIMITED ENGLAND/WALES

7 This is page 5 of 5 of referred to in ASIC Form Notice of ceasing to be a substantial holder. WELCOME BREAK NO.2 LIMITED ENGLAND/WALES WELCOME BREAK NO.3 LIMITED ENGLAND/WALES WELCOME BREAK SERVICES LIMITED ENGLAND/WALES WYETREE ASSET MANAGEMENT LTD ENGLAND/WALES WYETREE FUNDS PLC IRELAND

8 Annexure 2 This is page 1 of 1 page of Annexure 2 referred to in Form 605 signed by me and dated Andrew Brown Transactions: Surfstitch Group Limited (SRF) As at 15/05/2015 Ordinary Fully Paid Date of Change Holder of relevant interest Nature of Change Consideration 30/04/2015 Number of securities Person's Votes Affected Challenger Limited ( the entities listed in ) Buy 301, , ,570 15/05/2015 As above Sell 1,189, , ,325 15/05/2015 As above Sell 566, , ,036 15/05/2015 As above Sell 65, ,836 38,836 15/05/2015 As above Sell 76, ,240 45,240 15/05/2015 As above Sell 2,095, ,247,122 1,247,122 15/05/2015 As above Sell 26, ,904 15,904 15/05/2015 As above Sell 145, ,527 86,527 15/05/2015 As above Sell 1,891, ,125,923 1,125,923-3,426,343 Page 1 of 1

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