Media Release

21 February 2001

Toll delivers another bumber result

Compared with the corresponding previous half year, the results for the six months to 31 December 2000 show:

• Earnings before interest and tax (EBIT) grew by over 26% to $37.9 million
• Profit after tax grew 27% to $27 million
• EBIT margin increased 18% to 5.19%.

Toll Managing Director Paul Little attributed the Group’s continuing strong performance to greater asset efficiencies, technology developments and deeper integration of businesses acquired over recent years.

“This is another very pleasing result for us. We are now seeing another level of integration benefits emerging from our acquisitions.

Along with organic growth and new acquisitions such as Finemore and ARN Logistics, greater efficiencies and improved infrastructure will take us to a new level of operating and financial performance. They position us well for further acquisitions and long-term profitable growth.”

Mr Little said Toll was particularly pleased with the improvement in EBIT margin across all divisions. This was achieved in a very challenging environment, with the introduction of GST and abnormally high fuel prices.

Despite some economic indicators suggesting a slow down in the economy, Mr Little said the Group was confident it would continue to improve margins and earnings growth and produce a strong full year result.

"We will continue to focus on reducing costs and growing revenue by pursuing opportunities from outsourcing and privatisation", Mr Little said. ends.

A statement on the half-year results is attached to this release.

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