CSL Ltd. — Capital/Financing Update 2004

May 10, 2004

ASX ANNOUNCEMENT

ZLB BEHRING RESTRUCTURING AND INTEGRATION ON TRACK

Melbourne, Australia, 11 May 2004: CSL Limited today advised that the ZLB Behring integration combining ZLB Bioplasma and Aventis Behring was going according to plan with several important initiatives underway.

CSL Managing Director Dr Brian McNamee said, "The integration process is progressing and the majority of the operational decisions are to be made and initiated within the first 90 days following closing.

"As part of our effort to balance production, inventory, and product demand, we have focused on organisational and operational restructuring where the most immediate gains and efficiencies are available. We can assure the customers and patients who rely on our life-saving products that their needs for high-quality product will be met."

The Company advised that key initiatives that were underway included -

• Consolidation of the combined US plasma collection centre networks with the closure of 35 centres with 65 centres remaining. This will reduce annual plasma collection volume by approximately one million litres.
• The US testing laboratories for the plasma collection business will be consolidated in Knoxville, Tennessee with the closure of the Miami laboratory. The plasma collection business will be headquartered in Boca Raton, Florida.
• Combined manufacturing throughput will correspondingly be reduced from 4.2 million litres to 3.1 million litres
• with the closure of the Vienna (Austria) manufacturing facility in August 2004 and the transfer of production to the larger Marburg (Germany) facility
• improved utilisation of the facilities in Bern (Switzerland)
• a significant reduction in plasma throughput from the Kankakee (US) plant.
• In Marburg, an extensive review of operations has been completed involving a number of site based teams. The results of this review form the basis for efficiency improvements that are subject to negotiations with the Works Council under German Law.
• Closure of the Glendale California office of ZLB Bioplasma Inc by 30 June, 2004, and transfer of key sales and marketing support operations to the King of Prussia (KoP) Headquarters of ZLB Behring.
• Streamlining of ZLB Behring Headquarters and administrative functions at KoP.
• Restructuring of the Global Commercial Operations Group with a consolidated sales force in the US and a strengthened world wide sales and marketing platform under the leadership of Dr Alberto Martinez, a former executive of Aventis Behring.

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The Company further advised that between the time of signing the agreement with Aventis on 8 December 2003 and completion of the transaction on 31 March 2004, changes occurred in the ordinary course of business to net assets, inventory and level of discount. Consequently final accounts were being reviewed by both parties auditors. However, if there was any material adjustment from what CSL foreshadowed in the December 2003 ASX Release, it would inform the market accordingly.

For further information, contact: Mark Dehring, Investor Relations Manager CSL Limited Ph: +61 3 9389 2818