DEXUS — Capital/Financing Update 2007

Dec 20, 2007

Boral Limited

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21 December 2007

ABN 13 008 421 761 Level 39, AMP Centre 50 Bridge Street, Sydney GPO Box 910, Sydney NSW 2001 Telephone (02) 9220 6300 Facsimile (02) 9233 6605 www.boral.com.au

The Manager, Listings Australian Securities Exchange Company Announcements Office Level 4 Exchange Centre 20 Bridge Street SYDNEY NSW 2000

Dear Sir

We enclose a copy of a Media Release titled "Boral sells first land at its Southern Employment Lands (SEL) at Greystanes NSW to DB RREEF" , which is being issued today.

Yours faithfully

M B Scobie Company Secretary

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Media Release

21 December 2007

Boral sells first land at its Southern Employment Lands (SEL) at Greystanes NSW to DB RREEF

Boral is pleased to announce that it has entered transactions with DB RREEF for a total price of $157.7 million for the sale of land in four fully serviced superlots and completion of infrastructure works. The land sale is for a 47.5 hectare parcel of land which forms approximately 66% of Boral’s Greystanes Estate - Southern Employment Lands. The infrastructure work is expected to be completed in 2009.

The redevelopment of the Greystanes site, as a result of Boral phasing out its Prospect Quarry operations, commenced some seven years ago with the support of the NSW Government. It provides a major employment and residential area in western Sydney with some 1,500 homes and jobs for thousands of local residents.

The Southern Employment Lands is the third and final development phase of Boral’s Greystanes Estate project and will see the transformation of a former quarry into a major new employment development over the next three years. Part 3A approval for the site was achieved in July which allows for the development of 97,500m[2] of business park on part of the remaining parcel of land.

Boral’s CEO & Managing Director, Rod Pearse, said: “The Greystanes project is one of several property redevelopment projects Boral is undertaking through our Quarry End Use business. The Quarry End Use business works to maximise company earnings through the redevelopment of Boral’s quarry and other land assets as they reach the end of their useful resource life and has been delivering annual earnings of around $50 million. With planned projects such as the Southern Employment Lands at Greystanes coming on line as others are completed we continue to see this level of QEU earnings as sustainable”, said Mr Pearse.

Mr Pearse added, “We had forecast QEU earnings for FY2008 of around $50 million but we said we expected that to be weighted heavily to the second half of the year. With this SEL transaction being finalised in the first half of the year, we now expect QEU earnings to be more evenly spread across the two halves in FY2008.”

Contacts:

Paul Dalton Kylie FitzGerald General Manager, General Manager, Corporate Affairs, Boral Development Business Unit Boral Limited Telephone (02) 9033 4400 Telephone (02) 9220 6390 or 0401 895 894

Boral Limited ABN 13 008 421 761 Level 39, AMP Centre, 50 Bridge Street, Sydney • GPO Box 910, Sydney, NSW, 2001 • T: 02 9220 6300 • F: 02 9233 6605 www.boral.com.au