FSA GROUP LIMITED — Capital/Financing Update 2010

Jul 12, 2010

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FSA GROUP LIMITED

13 July 2010

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FSA Group affirms leadership position for debt agreements

The Insolvency and Trustee Service Australia has released the provisional Personal Insolvency Statistics for FY2010. These statistics represent debtors who rely upon a debt agreement or a personal insolvency agreement or bankruptcy to address their unmanageable debt. Based on the data released, FSA Group maintained its’ position as the market leader with 51% market share for debt agreements.

Debt agreements are a preferred outcome for stakeholders

Debt agreements are an alternative to bankruptcy. They offer a simple way for an indebted individual to come to a payment arrangement with their creditors and yield superior returns to creditors when compared with bankruptcy.

Dividend distributions to creditors

The strength of FSA Group’s risk and arrears management capabilities is evidenced by the dividends paid to creditors. FSA Group manages over $240 million of unsecured debt under debt agreements. During FY2010 FSA Group paid $55.6 million in dividends to creditors which was an increase of 33% compared with the $41.9 million paid in FY2009. Executive Director Tim Odillo Maher said, “We work with our clients to tailor solutions that are affordable, sustainable and viable, building long term relationships and ultimately assisting them to repay debt and rehabilitate their financial position.”

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FSA Group’s leading position is underpinned by high barriers to entry

In July 2007 the Bankruptcy Act 1966 was amended, changing the way fees could be charged and collected. The result has been to further increase the barriers to entry into the market as debt agreement administrators require a substantial capital base to operate. FSA Group’s competitors in this market include 35 administrators which combined, make up market share balance of around 49%.

FSA Group is well positioned to capture growing demand for debt solutions

Executive Director Tim Odillo Maher said “ FSA Group is the largest provider of debt solutions to individuals in Australia. High levels of consumer debt together with a higher interest rate environment are driving demand. With its’ comprehensive range of debt solutions and direct lending services, FSA Group is well positioned to assist an increasing number of clients.”

For and on behalf of the Board Duncan Cornish Company Secretary

FSA Group Limited Head Office Level 3, 70 Phillip Street Sydney, NSW, 2000

Phone: (1300) 660 032 Fax: (1300) 660 050 info@FSAGroup.com.au

ASX Code: FSA