FIRST AU LIMITED — AGM Information 2009

May 17, 2009

PUBLIC HOLDINGS (AUSTRALIA) LIMITED ABN 65 000 332 918

Annual General Meeting of the Company held at 2pm on Monday 18 May 2009

RACV, Level 2, 501 Bourke Street, Melbourne

Chairman’s Address

The first item on the agenda of the meeting is to receive and consider the 2008 Annual Financial Report, Directors' Report and Auditors' Report. Although no resolution or vote is required on this matter, shareholders are to be given the opportunity to raise questions and comments on the reports.

To assist in dealing with this item this afternoon, I’d like to present my report to shareholders on behalf of the Board. I’ll then open the meeting for general discussions before dealing with the other agenda items.

The Company continues to invest in interest-bearing deposits and listed securities in 2008. The Group's wine distribution operations are directed through its subsidiary company, PHA-Shanghai Classic Wine & Food Co., Ltd. (“PHA Shanghai”). This subsidiary is 100% owned by the Company.

PHA Shanghai was established 5 years ago in China and has unfortunately incurred losses since that time. It has continued with the purchase of wines from Australia and other countries around the world, and the distribution of these wines in China.

The current difficult financial and economic conditions are having a negative impact on the Group's activities. Revenue for 2008 fell by 79% due to the scale down of wine distribution operations in China. Market competition of the wine distribution business is very keen and the Company's China subsidiary has focused its efforts in clearing slow-moving stocks and strengthening of cost controls. The Group managed to sell a major portion of its securities portfolio at a relatively high price in 2007 and recognised a profit on sale of $1.7 million. However, the performance of the remaining shares on hand was seriously affected by the financial tsunami and an unrealised loss of $0.7 million was incurred as at 31 December 2008.

There were substantial provisions for obsolete stocks and doubtful debts in 2007 as a consequence of the rationalisation and streamlining of operation after the change of senior management of the China subsidiary in the second half of the year. There were no such one-off provisions in 2008.

Before I conclude, I would like to thank Mr David Chu and his staff at ShineWing McBain for their assistance in the completion of the Financial Statements for the year ended 31 December 2008, and Mr. David McBain for looking after the Company Secretarial Function.