ELDERS LIMITED — AGM Information 2009

Oct 14, 2009

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15 October 2009

Company Announcements Office Australian Securities Exchange

ELDERS LIMITED EXTRAORDINARY GENERAL MEETING – 15 OCTOBER 2009 CHAIRMAN’S ADDRESS AND CHIEF EXECUTIVE OFFICER’S PRESENTATION

In accordance with Listing Rule 3.13.3, I attach a copy of the Chairman’s address and Chief Executive’s presentation to be delivered at the Extraordinary General Meeting of Elders Limited to be held at 10:00am (Adelaide Time) today.

Ross Mallett Company Secretary

Elders Limited ABN 34 004 336 636 Registered office: Level 3, 27 Currie Street, Adelaide, South Australia 5000. Postal Address: GPO Box 1176, Adelaide, South Australia 5001. Telephone: (08) 8425 4000 Facsimile: (08) 8410 1597

Address by Stephen Gerlach, Chairman Elders Ltd to the Extraordinary General Meeting of the Company 15 October 2009

Our business today, as set out in the Notice of Meeting and Explanatory Memorandum sent to all shareholders, is straightforward: we are to consider and vote on the issue of equity that is the cornerstone to the essential recapitalisation and refinancing package announced to the market on 4 September 2009.

Comprehensive information on that package has been published in the documents mailed to shareholders and lodged with the ASX. This included a unanimous recommendation from the Directors that shareholders support the resolutions.

The equity issue that is the subject of shareholder vote today comprises two critical and interdependent parts:

• A fully underwritten $400 million conditional placement of ordinary shares in Elders to institutional investors (referred to as the “Conditional Placement”) and

• A $150 million conditional share purchase plan (or “SPP”) for eligible shareholders underwritten to $75 million.

The interdependency of these two parts means that today’s shareholder vote will decide whether both, or neither, issues will proceed. Elders will not issue shares under the SPP if the conditional placement is not approved. Similarly, it will not issue new shares under the conditional placement unless the SPP is approved.

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Both of these issues are to be made at 15 cents per share. Shareholder approval is required because the Conditional Placement and the SPP will both lead to the issue of more shares than is otherwise permitted by the ASX Listing Rules. In addition, the size and terms of our SPP mean it does not fall within the exemption normally available to companies to enable SPPs to proceed without shareholder approval.

The proceeds of the Conditional Placement and SPP, together with the proceeds from various asset sales, are essential to the refinancing of the Company’s corporate debt facilities under a newly negotiated secured financing facility, which has a three year term on its core debt.

The size and terms of the refinancing and recapitalisation reflect the demands of the current economic environment where reduced levels of gearing have become a more significant requirement of banks generally, operational management are required to reduce costs in the more restrained economic environment and the general preference of the investment markets. The reduction to gearing required of the Company could not be achieved by asset sales alone.

When the equity issue was announced on 4 September the Company also announced several other steps integral to the refinancing. I am pleased to confirm these steps have been taken:

• the sale of Elders Insurance operations to QBE for $270 million was completed on schedule on 30 September, with net proceeds applied to debt reduction; and

‐ formal agreements were signed with the Company’s banks and US noteholders on 29 September 2009 pursuant to which the financiers

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have agreed to refinance Elders’ bank debt and note facilities. These agreements include requirement for the repayment of approximately $400 million by 31 October which, it is proposed, will be funded by the equity issues that are the subject of today’s vote.

The sale of timber processing operations was announced on 31 August and is also proceeding on schedule. Completion is expected in the near future, but remains subject to the various regulatory consents being secured. Gross proceeds of approximately $100 million are anticipated from this transaction.

The sales process for our shareholding in the HiFert fertiliser business also remains underway. We hope to announce the sale of this asset by the conclusion of the calendar year.

The current asset sale program does not include Futuris Automotive, which has previously been identified as being non‐core to our strategy. This business is currently cash flow positive and, as noted in the prospectus, it is intended to retain this business until market valuations and shareholder value

considerations indicate that it is a better time for the Company to realise the capital invested.

The prospectus anticipated that funds of approximately $989 million would be raised from the combination of the asset sales it identified and the proposed equity raisings, assuming approval of the resolutions today.

As a result, with your support for the equity issues today, Elders will emerge from this process with:

• low debt levels, reduced interest obligations and a strong balance sheet;

• renewed finance facilities at competitive rates;

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• an expanded share base, with a significant increase in institutional investor support; and

• a substantially increased market capitalisation, which with the other

benefits just mentioned, will give the Company greater potential appeal to the capital markets.

The restoration of balance sheet strength has been previously nominated by

the Board as being pivotal to achieving the necessary improvement in Company performance.

Approval of both resolutions today means Elders will have the balance sheet strength and financial security needed to implement our strategy of capitalising on the strength of the Elders brand and network and the productive capabilities of the Australian farming sector. This is fundamental to achieving improved earnings and shareholder returns.

Our strategy has already attracted the clear endorsement of the Australian and international equity markets. It is worth noting that, upon completion of the Conditional Placement, the Company will have the best cross section of investment institutions on its register for many years.

The Directors strongly recommend support for today’s resolutions.

As explained in the explanatory memorandum and other documents concerning the equity issue, the Company will face an uncertain future if shareholders do not approve both resolutions.

If this were to happen, the Company would be faced with the immediate issue of finding an alternative source of funds to meet the requirement to pay approximately $400 million of debt due for repayment on 31 October 2009.

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This would clearly be undesirable and would be extremely difficult to achieve. Any package that could be secured at such short notice would most likely impose severe financial management constraints upon the Company. Furthermore, unless a viable alternative funding could be identified immediately, the Company’s status as a going concern would be questionable.

Conversely, support by this meeting for the resolutions before it will enable Elders to merge stronger with low debt, well positioned to capitalise on the favourable outlook for the Australian farm sector and the benefits anticipated from the Elders Business Transformation Project.

Points of enquiry from shareholders

I would now like to address some points of interest that shareholders have raised. In particular, it is clear that shareholders are keen to fully understand the timing, structure, and pricing of the equity issue and the decision to suspend dividends.

I will touch on each of these points separately. Shareholders will, of course, have the opportunity to address further questions to me or the Chief Executive on these or other issues during the formal discussion of the resolutions in a few moments.

Timing

The recapitalisation and refinancing were agreed and announced at the very first opportunity to do so once our lenders and underwriters were able to offer terms that were acceptable to your Board.

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Achieving an announcement of this on 4 September was the result of an enormous effort that commenced in late Calender 2008.

We would have all liked to have finalised these matters earlier, but that simply was not possible. This was a very complex process with many moving parts.

For a start, we and our lenders needed to negotiate completely new

arrangements for the Company’s debt from the terms that existed prior to the Global Financial Crisis to that now sought by more conservative debt markets. This was not simply a change in dates, margins, terms or expectations but eventually brought a change from the simple roll‐over of debt originally

anticipated to a requirement for a total restructuring to a new, syndicated and secured facility.

Our lenders required a substantial capital injection as part of their refinancing, while the underwriters, who would raise this new capital, required certainty on the refinancing terms available to the Company in order to secure that capital.

All parties required a detailed knowledge of the Company’s performance and outlook, including forecasts for FY2010. Our lenders sought fresh, detailed and independently reviewed financial modelling of our entire business. The recapitalisation also involved the usual extensive work that goes into preparing financial forecasts and other materials for a prospectus.

At the same time, the Company was undertaking a number of significant asset sales and strategic developments whose timing affected not only the information being prepared but also the level of funding that might be required.

Completion of these tasks has demanded an unrelenting intensive effort over more than six months, particularly as we had to negotiate a roll over of

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facilities that were originally due to expire on 30 June 2009 as part of the process.

And, as an added complication, this refinancing and recapitalisation was conducted during a period of unprecedented instability in financial markets as well as extreme volatility in the markets for our own goods and services.

The outcome achieved by Malcolm and his team is commendable and warrants acknowledgement. Notwithstanding the prevailing volatility and uncertainty, the Company has succeeded in refinancing its debt and retained the ongoing support of every one of its 7 previous bankers, which includes 3 international banks and 8 principal US Private Placement noteholders.

Structure

The structure and pricing of the recapitalisation were determined by the need for Elders to have certainty that our new debt terms and our new equity structure would be mutually supportive.

In Elders’ case, this meant securing the support of underwriters for a capital raising of at least $475 million. After looking at a number of options, the structure and pricing that delivered the certainty required by our lenders and by the Board was the $400 million Underwritten Conditional Placement (including $55 million from QBE) and the $150 million SPP which was

underwritten to $75 million. These are the proposals that are being voted on today.

Let me be clear on this. If circumstances had permitted, the Directors would naturally have preferred to raise capital through an underwritten rights issue available to all shareholders.

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Unfortunately this was not an option that proved to be viable. Market conditions at the time meant that under a rights issue the underwriters could not offer the level of funding and certainty that we required to lock in the proposed refinancing.

A major consideration for the Board in approaching the proposed Conditional Placement to institutions was the position of our loyal retail shareholders. It was important to the Board that we did whatever we could practically do to minimise potential dilution to these shareholders, and to provide an

opportunity for as many as possible to invest on the same terms available to institutional shareholders. Accordingly, Directors implemented the SPP structure on which you will vote today. The proposed SPP provides a significant opportunity for shareholders who did not participate in the Conditional Placement.

First, while the ASX assumes a cap of $15,000 on SPPs conducted under the usual exemption, we have structured our SPP to allow us to increase the amount that individual holders could subscribe for to $20,000 of new shares (or more in some circumstances – I will touch upon this more in a moment). Our $20,000 SPP is the largest known of any SPP on the Australian market.

Depending on the level of applications, it gives the opportunity for over 99% of the Company’s shareholders as at 4 September 2009, to take up at least as many shares as they might receive in a 1 for 1 rights offer.

There is of course a risk that applications will be scaled back under the SPP if shareholders seek over $150 million in new shares. It is not in shareholder interests for the Company to raise excess capital so the SPP has been limited to that amount. We applied the same approach to the Conditional Placement, which we limited to $400 million, including $55 million to be allocated to QBE.

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Secondly, we are allowing for the potential for oversubscriptions in case shareholders do not apply for the full $150 million in new shares available. That means that shareholders can subscribe for more than $20,000 of new shares, although these additional amounts can only be allocated in full or in part if the full $150 million available under the SPP is not taken up by holders seeking $20,000 or less.

Directors have set out matters that will be taken into account in any scaleback, or in allocations in the event oversubscriptions are possible, on the SPP application form. They include the level of applications and, in the case of oversubscriptions, an applicant’s shareholding. Directors cannot, of course, at this stage be categoric about how these scaleback and allocation policies will affect individual applicants because it is impossible to predict the actual level and structure of applications in the SPP.

Directors believe that the package presented today represents the fairest outcome for shareholders given the essential requirement of delivering a fully underwritten raising of at least $475 million to secure the debt refinancing.

Dividend

As detailed in the prospectus the Company has, as part of the refinancing terms, committed to suspending payment of its distributions on its Hybrid securities for a period of two years and suspending payment of ordinary dividends until after 31 March 2012.

This commitment was necessary to achieve cash management and annual funding targets that secured the support of our lenders and underwriters. It is a concession that was not taken lightly by Directors but it was instrumental in

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the negotiation of new financing facilities that will support competitive business operations and which enabled the provision of a suitably attractive investment for equity markets.

Directors regard the resumption of Hybrid distributions and ordinary dividends as a priority and are intent that this occur as soon as practicable.

Pricing

There have been some questions about why the price for the offer was set at 15 cents per share, mostly based on the fact that the shares were trading at 39c prior to the recapitalisation announcement.

However, there are more substantive considerations than the last traded price that determine issue pricing.

First is the question of volume. Total trading values for Elders shares in the period leading up to the announcement were around $45 million per month. However, Directors needed to secure buyers for $475 million of shares. This was almost a year’s trading volume, and almost 1.5 times the entire market capitalisation of the Company at the time. Moreover, these buyers also had to accept that they would be committed for 6 weeks before receipt of their shares was confirmed by this meeting or otherwise.

Some shareholders have asked about the link between the issue price and the “Theoretical Ex Right Price”(TERP), or the diluted share price. This question is not specifically relevant to our offer as it is not an entitlements offer and there is not true “TERP”. However, it has been noted that the issue price meant the offer was priced at a 25% discount to “Ex Placement Price” (if I can use that phrase) and I am advised that this discount level was in accordance with market parameters for TERP discounts at the time.

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Finally, it must also be borne in mind that the critical metric institutions use when assessing new offers is not the last traded price, but the implied multiples of future earnings. In this respect, the price earnings multiple of the Elders offer is consistent with market and is in fact well above the multiples used in more recent issues in our sector.

I am pleased to see that, notwithstanding the large number of new issues by companies in our sector, Elders’ shares have continued to trade above the underwritten price of 15 cents per share. This reinforces to me that the market supports the direction that Elders is taking.

Approval of the resolutions will see your company recapitalised. It will then have the strong sustainable balance sheet to support our plans for the delivery of improved shareholder value.

This concludes my comments on the resolutions to be put to you this morning. Directors unanimously, strongly and unreservedly recommend shareholders vote in favour of both resolutions.

Before we proceed to formal discussion of the resolutions, it is appropriate that our Chief Executive Malcolm Jackman addresses the meeting briefly on the Company’s current position and outlook as presented in the prospectus.

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Refinancing and Refocusing the Business

Extraordinary General Meeting 15 October 2009

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Current position and outlook Malcolm Jackman Chief Executive Tim Plant

Managing Director Elders Financial Services Group

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Executive Summar y

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Elders is to be Refinanced and refocused around its core rural services business

Renewed company with a refocused strategy	� Company refocused under Agenda for Change to drive shareholder value � New management team focused on financial returns and cash generation � Value realised and portfolio simplified through sale of non-core assets
Poised to benefit significantly from the expected recovery in FY2010	� Business well positioned for expected rural services sector recovery � Underlying EBIT forecast to turnaround in 2010 from $17m to $84m¹ — Significantly reduced operating and overhead cost structure � Margin recovery and market share improvement expected to deliver significant upside
Deleveraging	� Commitments from lenders to restructure debt funding with bulk of the term debt on 3-year term � Total asset sales of over $700m realised or expected to be realised by 2009 calendar year-end � Equity Raising of up to $550m – Fully underwritten Conditional Placement² of approximately $400m – $20,000 Share Purchase Plan (SPP)³ of up to $150m, underwritten to a minimum of $75m � QBE to receive a $55m allocation in the Conditional Placement � To support the business turnaround, the company intends to suspend hybrid distributions for 2 years, and ordinary share dividends for 3 years
A major milestone in Elders’ broader refinancing task	� Net proceeds of the Equity Raising will be used to repay debt and reset Elders’ balance sheet � Elders pro forma4 gearing reduces to 14% and pro forma4 Net Debt / FY2010 EBITDA to 1.5x � Pro forma4 Net Debt reduced from $997m to c.$178m

1. See slide 29 for further detail

Pro forma Net Debt

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(100) Pro forma Net Debt to be reduced to approximately $200m

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PRO FORMA NET DEBT 30 JUNE 2009 ($m)
Debt Position Equity proceeds Cash outflows Asset Sales
80 (270)
(69)
(100) 61 29 (75)
(400)
997
728
(75)
(75)
253
178
Net Debt Average Elders Hi-Fert² Timber Transaction USPP PF Net Debt Cond. Underwritten PF Net Debt SPP PF Net Debt
Revolver / Insurance Costs pre-payment Placement SPP Post Conditional (non- Post Conditiona
Working (asset sales, penalty³ Placement underwritten) Placement
Capital drawdown¹ debt refinancing, + Underwritten + Full SPP
equity raising) SPP
PF Net Debt / EBITDA [4] 2.2x 1.5x
Gearing (Net Debt / Equity) [5] 21% 14%
EBITDA / Net interest [6] 4.4x 5.6x
EBIT / Net interest [6] 3.2x 4.0x
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Note: Assumes $550m Equity Raising comprising fully underwritten $400m Conditional Placement and $150m SPP ($75m of which is underwritten). The Conditional Placement and SPP are subject to approval by Shareholders. Credit metrics assume Elders receives al proceeds from Equity Raising and asset sales and excludes ring-fenced securitisation facility (management are currently reviewing whether to migrate the programme onto the Company’s balance sheet). See Section 6 of the Prospectus for a full description of the forecasts for FY2010, including the assumptions on which they are based. See the information under the caption “Disclaimer – Forward-Looking Statements” on Slide 2 in this presentation. 1.

Movement in underlying EBIT

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12 months to 30 June

Farm Su l Prices Ex ected to Stabilise pp y p

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Expected improvement in farm supply margins will drive Rural Services turnaround in FY2010¹

GLYPHOSATE PRICES

• Farm input prices are stabilising

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20.0 450 Factor 540 Factor
10.0
0.0
Jul-2007 Jan-2008 Jul-2008 Jan-2009 Jul-2009
$ / litre
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• Legacy stock issues arising from accumulation of stock at the peak of the pricing bubble have washed through

• Reformed inventory management practices to reduce impact of further price changes

• Farmers expected to return to normal application rates after under-application in FY2009²

FERTILISER PRICES

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2,000 MAP DAP Urea
1,000
0
Jul-2007 Jan-2008 Jul-2008 Jan-2009 Jul-2009
$ / tonne
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• Scene set for margin recovery in FY2010

Realigned to Benefit from the Recovery

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Significantly reduced operating and overhead structure leading to improved cost performance

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HEAD COUNT SUPPORT CENTRE COSTS ($m) - Quarterly
Down 11% Down
Down 12%
20%
Down 43%
22
3,008 2,666 2,940 2,593 16 19 16 18 17
13 14
1,162
660
Permanent Casual FTE September December March June
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NETWORK COSTS ($m) - Quarterly

SG&A ($m)¹ - Quarterly

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Down 8% Down 7% Down 8%
63
61
58 59 59
53 55 54
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Down 11%
Down 4% Down 3%
85 85
82 75 79 77 76
72
September December March June
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September

December

March

June

The New Elders: Repositioned for Improved Performance

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Elders operates at the farm gate, at the intersection of primary producers and local and global markets

ELDERS IS NOT … ELDERS IS …

• Concentrated on rural services

• A passive investor in unrelated agriculture interests

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• Capital light

• Owner of:

• Cash driven

• Primary production

• Sales and service focussed

• Up stream manufacturing

• Downstream processing

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IMPROVED PERFORMANCE DRIVEN BY

• Realigned cost base

• Margin recovery & improvement

• Pricing

• Procurement

• Logistics

• Top line growth

• Organic

• Extension

• Acquisition (sweep & plug strategy)

• Economies of scale

Repositioning Elders

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• Company refocused under Agenda for Change to drive shareholder value

Renewed company with a refocused strategy

• Business rebuilt around core rural services franchise

• Portfolio simplified through sale of non-core assets

• New and experienced management team pursuing strategy focused on financial returns an cash generation

A leading Australian rural services business

Unique business model with strategic and competitive advantages

• A leading Australian rural services provider with a truly national presence

• An iconic brand recognised and respected in the Australian farm sector and international markets for 170 years

• Integrated “one stop shop” positioned at the intersection of the Australasian farm gate and global markets

• Service proposition extends across full cycle of production resulting in multiple transaction opportunities

• Day-to-day interaction gives early and intimate knowledge of individual farmer’s plans, requirements and capabilities at each stage of the production cycle

• Market stabilising with opportunity to benefit from expected recovery of rural services secto

Poised to benefit significantly from expected recovery in FY2010 and beyond

• Favourable industry outlook supported by competitiveness of Australian farmers and regional food and fibre demand

• Significantly reduced operating and overhead cost structure

• Margin and market share programs expected to deliver significant upside

Refocused Business Under Agenda for Change

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Capitalise on the brand value, earnings potential and capabilities of Elders

COMPANY 1. STRUCTURE

REFOCUS 2. ON ELDERS

FINANCIAL 3. PERFORMANCE

ENGAGE 4. THE MARKET

• Owner operator vs. holding company

• Manage the company as a whole rather than in silos

• Simplify and clarify strategy

• Back the Elders transformation program

• Leadership at the farm gate

• Concentrate resources on core assets

• Act immediately on nonperforming and non-core assets

• Significantly reduce leverage in the business and strengthen the balance sheet

• Cash returns rather than equity accounted earnings

• Clear communication of strategy

• Transparency in financial reporting

• Engage openly with all key stakeholders

• Present clear proposition for investors

• Reorganised around Elders with single management structure

• New and re-invigorated management team

• Subsidiary boards removed

• Sale of non-core minority interests

• Change in Company name and identity to Elders

• New go-to-market strategy implemented

• Operations and support centres restructured

• Reinvesting in the distribution network

• Significant asset divestments completed or agreed (over $700m[1] proceeds realised or expected by year end)

• Significant reduction in future capital demands through Rural Bank and insurance transactions

• Independent review of forestry completed

• Agenda for Change announced

• Adoption of more conservative management and measuremen of gearing

• Change of balance date to 30 September

• Application of stringent cash and return metrics

Focused Management Structure

Old Management Structure

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Amcom
(51%)
Elders Limited AACo
CEO (43%)
Webster
(33%)
Elders Limited Elders Limited Elders Limited Elders Limited
Elders Limited Elders Limited
CFO SecretaryCompany Tax Manager CounselLegal RelationsInvestor CorporateDirector
Elders
Elders Rural Futuris
Financial ITC
Services Automotive
Services Board of
Board of Board of
Board of Directors
Directors Directors
Directors
Elders
Elders Rural Futuris
Financial ITC
Services Automotive
Services MD
MD MD
MD Vince Erasmus
Mike Guerin Mark De Wit
Tim Plant
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New Management Structure

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Elders Limited
CEO
Malcolm Jackman
Futuris ITC
Automotive MD
MD Vince
Mark De Wit Erasmus
GM Investor
CIO GM HR & & Public GM Legal &
COO CFO Shaun Support Relations Corporate
Mike Guerin Mark Hosking Hughes Rob Tanti Services Don Michael Sadlon Development
Murchland
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Elders Rural Services CFO

Rural Services Transformation Program

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Phase I of the transformation program is completing with focus now turning to performance and growth

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|||||||
|---|---|---|---|---|---|
|FY08|FY09|FY10|FY11|FY12|
|1|Restructure operations|2|Drive business performance|3|Continue building on|
|�|Go-to-market strategy|& growth|transformed foundation|
|�|Revised organisational structure|�|Sales and margin growth|�|Performance culture|
|�|Regional transformation|�|Supply chain|�|Fill gaps in geographies / products|
|�|IT & systems upgrade|
|/ sector / client|
|�|Branch / network structure|
|�|People, performance and rewards|�|Strategic growth opportunities|
|PHASE I|PHASE II|PHASE III|
|�|Go-to-market strategy|�|Sales and margin growth|�|Performance culture|
|—|Market segmentation|�|Supply chain|—|Sales effectiveness|
|—|—|—|
|Key account management|Distribution centres|Performance management|
|—|—|—|
|Pricing initiatives|Centralised procurement|Reward / recognition|
|—|—|—|
|Sales and performance culture|Inventory management|Continual management focus|
|—|—|supported by incentive programs and|
|Incentive programs|Cost / cash focus|
|new IT systems|
|�|Revised organisational structure|�|IT platform|
|�|“Sweep and plug” strategy|
|—|—|
|Support centres centralised,|ERP, CRM, POS, HRMIS, BI|
|—|
|Geography|
|rationalised and standardised|
|�|Single company management structure and|
|—|
|Sector|
|�|Regional transformation|processes|
|—|
|—|State structure dismantled|�|Review branch / network|Product|
|—|
|—|Client|
|20 distinct agri-orientated regions|

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Favourable Industry Outlook

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Continued food supply / demand imbalance as Australia becomes Asia’s food basket

TREND	OVERVIEW	�Continued food supply/ demand imbalance �Structural change in demand for farm inputs/outputs and advice �Competitive advantage of Australian producers vis- à-vis Asia & food traceability Continued demand and growth opportunities for Elders IMPLICATIONS Fundamentals supporting the soft commodity cycle remain intact
	� UN forecasts world population growth of 390 million from 2010 to 2015 with Asia accounting for 58%
Population Growth
Consumption Patterns	� Increased wealth in emerging Asian economies driving change in consumption towards safe, high value agricultural products
Renewable Energy	� Growing biofuel industry and associated demand for key commodity inputs & outputs impacting overall demand-supply balance
Arable Land	� Decreasing arable land per capita due to urbanisation and environmental contamination (particularly in emerging economies)

Elders has a leading position at the intersection of Australasian production and global markets

Si nificantl Im roved Outlook for FY2010 g y p

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	� FY2009¹	�IMPACT ON FY2009	�IMPACT ON FY2010	�WHY WILL FY2010 BE DIFFERENT?
Rural Services	� Volatility in fertiliser & agchem prices � Reduced application rates � Volume contraction across all products � Disruption brought by transformation program and re-finance uncertainty		� Volatility considered unlikely to repeat in near term, prices are stabilising � Reformed inventory management and procurement to redu impact of future price volatility � Improved demand driven by normal application rates � Expected recovery in rural confidence driven by favourable terms of trade � Business stabilised with new management in place and refinance and recapitalisation completed
ITC	� Industry uncertainty from collapse of market operators with failed business models � Concern amongst MIS investors arising from Elders refinance uncertainty		� Expect focus to shift from failed models to successful operators � ITC expected to maintain market share growth post failure o major competitors � Refinance and recapitalisation completed
AUTO	� Severe decline in car manufacturing volumes		� Business is “right sized” to remain cash flow positive � Volumes starting to show signs of improvement as sector starts to recover

Refinancing and Refocusing the Business

Extraordinary General Meeting 15 October 2009