ELDERS LIMITED — Capital/Financing Update 2012

Apr 17, 2012

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18 April 2012

Pulpwood Land and Asset Sale Agreement

• Conditional agreement for sale of freehold land, assets and standing timber in Albany, Bunbury and Green Triangle

Elders (ASX:ELD) announces it has today signed agreements for the divestment of the large majority of its pulpwood forestry assets in the Albany, Bunbury and Green Triangle regions to investment funds managed by Global Forest Partners (GFP).

The agreements, which are subject to a number of conditions precedent, provide for the sale of approximately 12,400 ha of land as well as Elders-owned standing timber in those regions and its woodchip export facility at Albany.

The agreements also provide for the conditional sale of some MIS grower-owned standing timber in those regions.

Net cash proceeds to Elders are expected to be realised progressively and, subject to completion, to exceed $45 million. The gross sales value is undisclosed, but is expected to approximate book value.

Elders Chief Executive Officer Malcolm Jackman said that agreements with GFP represented a substantial advance in the Company’s program to release capital from its forestry operations.

“Today’s announcement, which encompasses some 12,000 ha of forestry land and the Albany port facility, represents the cornerstone transaction in the staged divestment of the Forestry business we announced in October. We now have sales or sales agreements in place for nearly two-thirds by area of the freehold land that we have targeted for divestment.

“We are pleased that we have been able to secure the involvement of a committed leading forestry industry player such as GFP and expect this will be well received by growers” Malcolm Jackman said.

GFP, a US Securities and Exchange Commission registered investment advisor specializing in the structuring and management of sustainable forestry investments, has been actively investing in Australia on behalf of its investor clients since 1999 and currently has over AUD 3 billion in forestry assets under management worldwide.

The transaction completion will be phased to cater for the varying maturities of the precedents to the sale of pulpwood projects and the different approval processes and timelines required in selling these assets. From Elders’ perspective, completion is targeted to occur, subject to satisfaction of a number of conditions precedent, by the conclusion of the June quarter 2012.

Elders’ remaining pulpwood operations are the subject of ongoing divestment initiatives at various stages of maturity and comprise the management of approximately 42,000 ha of standing timber on

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leased land in Albany, Bunbury and the Green Triangle and 10,900 hectares of freehold land and the management of 46,500 ha of standing timber in the Esperance region.[1]

Under the agreement, GFP will also assume responsibility for management of the remaining Elders Forestry pulpwood operations in the Albany and Bunbury regions plus some of those in the Green Triangle at commercial rates.

The agreements signed with GFP will bring the total amount of forestry land that Elders has sold or contracted for sale since it announced its intention to withdraw from Forestry to a total of 32,000 ha. The outstanding uncontracted forestry assets and operations, which include the pulpwood operations noted above, sandalwood operations, teak operations and land in central and northern Queensland, are the subject of ongoing divestment initiatives and considerations.

Forestry operations were classified as a discontinuing operation in the FY2011 accounts as a result of Elders’ decision to withdraw from the sector. Accordingly, results from Forestry operations are included in Elders’ statutory profit but excluded from underlying profit as a discontinuing operation, together with other non-recurring items.

Ends

Further Comment: Malcolm Jackman 0439 642 876 Chief Executive Officer

Further information: Media and ASX investors :

Don Murchland 0439 300 932 General Manager Investor & Corporate Relations

Growers and Tree investors: Investor Services 1800 999 190

1 Forestry operations managed by Elders’ wholly-owned subsidiary APT Projects Ltd, and land and trees in the Esperance region, are excluded from this transaction.

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