ELDERS LIMITED — Capital/Financing Update 2011

Jan 11, 2011

==> picture [581 x 94] intentionally omitted <==

12 January 2011

Company Announcements Office Australian Securities Exchange

Queensland Flooding

Elders (ASX:ELD) has issued the following announcement as an update on the status and significance of impacts brought by recent and ongoing flooding in Queensland.

Operations for Elders, its clients and employees in Queensland are being significantly impacted by the flooding with the effects ranging from temporary suspension of operations, damage and loss of property and, most tragically, loss of life.

In particular, Elders wishes to record its condolences to Yvette Purcell, an employee at the Company’s Tara branch whose husband Graham died whilst engaged in voluntary water carting. Elders also extends its sympathy to the number of other clients and employees who have experienced property damage and loss.

Elders Rural Flood Appeal

Elders is working to support its clients and employees at this time. The Company has initiated the Elders Rural Flood Appeal with a seed donation of $75,000, a commitment which has been matched by Rural Press.

Rural Press is also generously supporting the Appeal through promotion. Funds raised by the appeal are expected to grow from this figure through additional donations by Elders’ employees, suppliers, clients and members of the public over the appeal fundraising period to end-March.

Donations by members of the public to the Elders Rural Flood Appeal can be made through any Elders Branch or directly to the Appeal.

Financial Impact

At this stage it is not possible to determine the net financial impact of the flooding on the Company’s full year 2011 results or whether the floods will hold significance for the full year profit.

Trading in flood affected regions is currently interrupted, with a number of operations experiencing temporary suspension either due to direct flood impact, concern for the safety and security of employees, as a precautionary judgment or due to a lack of access to infrastructure services such as road and rail transport.

Temporarily suspended operations includes 7 branches, the Brisbane office and the Kilcoy abattoir (Elders’ interest 20%). In most cases, this suspension of operations is expected to be a matter of days.

Isolated instances of flood damage to Elders’ sites has been recorded and is either not significant or covered by insurance. Elders’ first loss exposure is approximately $0.3 million.

==> picture [593 x 96] intentionally omitted <==

Some clients have suffered a severe financial loss through the floods. Recognition of the extraordinary nature of this event and a compassionate, long term view by all parties will be essential for recovery. As always, Elders is prepared and ready to work with its clients as they recover from the effect of natural disaster.

In respect of Elders, it is considered that the greater share of the disrupted trade to date represents a deferral of sales activity which will resume once circumstances permit.

The recovery of deferred sales is expected to commence shortly as normal trading resumes across locations. This expectation is subject to the availability of essential service infrastructure such as road and rail transport and determination of the full extent of the flood effects.

Indirect flow-on impact from the floods is expected in the coming weeks and months through a number of markets and events including:

• reinvestment in affected locations and resources;

• economic impacts arising from the total loss of summer crops following from downgraded winter crop quality, or stock losses. These flow on economic impacts are expected to induce highly competitive markets for available trade;

• movement in commodity prices and the potential for impact on quality and production of agricultural outputs;

• increased demand for animal health products;

• livestock markets featuring strong prices as markets deal with an excess of demand over available supply;

• potential changes to agricultural chemical spraying patterns, which depending on circumstances, could include deferral of spraying ordinarily conducted or, in other cases, increased weed control requirements.

The timing and net impact of these expected events is not yet known and will only become apparent as events emerge.

Weather-related damage to MIS grower-owned plantations Central and Northern Queensland has been recorded but is not considered financially significant for Elders.

In keeping with its commitment to timely and full continuous disclosure Elders will advise the market immediately should it become apparent that the flood, or other matters, result in a material or significant revision to earnings expectations.

Further information:

Mark Hosking 0439 833 816 Chief Financial Officer

Don Murchland 0439 300 932 General Manger Investor and Corporate Relations

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

2