Tenon announced today that it had settled on Friday 27 February 2004 the transfer of all its freehold land and certain non-freehold forests to the Kiwi Consortium.

As previously advised to the market, third party consents are required for non-freehold forests to be transferred to the Kiwi Consortium. There will be further transfers over the next seven months as these consents are obtained.

The initial capital return of NZ62.5 cents per share, which is scheduled for late March 2004, is not subject to receipt of any of the proceeds of the transfer of the non-freehold estates.