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Everyone said the same about BPC when it was 12 cents. And I enjoyed the criticism in the bar

AUSTRIM NYLEX LIMITED 2003-02-27 ASX-SIGNAL-G

HOMEX - Melbourne

+++++++++++++++++++++++++
Directors of Austrim Nylex Ltd today announced a reduction of
losses for the group in the six months to December 31, 2002.

The group's net loss was reduced 50 per cent from $28.5 million to
$14.2 million, following a 2 per cent rise in revenue from ordinary
activities to $571.1 million.

Chairman of Austrim Nylex Ltd, Mr Dick Nitto, said "The group's
continuing businesses are generally performing well and generating
significant cashflow, which is being invested in capital expenditure
and the restructuring of our operations".

Writedowns and provisions for further necessary rationalisation of
the group were $32.9 million, $22 million of which related to
goodwill in relation to AH Plant Hire. Directors have not declared a
dividend nor interest on the Mandatory Converting Notes, and stated
that they do not expect any change in the immediate future.

Managing Director and Chief Executive, Mr Glen Casey said "The
group's results over the six month period show an improvement in the
operations of the majority of our business units across five
divisions, however we continue to be held back by our onerous and
costly financing arrangements."

"While we are executing a number of initiatives to strengthen our
balance sheet, part of which was the sale of $70.2 million worth of
non-core businesses during the half year, the high level of bank debt
and its associated expenses continue to weigh down the group and its
ability to provide returns to shareholders and noteholders", he
added.

The group continues to move forward with its recovery strategy, which
features the continuing divestment of non-core assets, focus on
operations with good long term prospects, maximisation of synergies
across the five divisions and a change in corporate culture.

The divestment of non-core businesses caused the group's sales
revenue to fall slightly, but also reduced borrowing costs from $20.9
million to $18.2 million.

Mr Casey said, "Compared to the first half of last year, Building and
Nylex divisions improved EBIT significantly, more than offsetting the
reductions in contributions from AH Plant Hire and Automotive".

Revenue of Austrim Nylex's continuing businesses rose 7 per cent from
$448.7 million to $478.8 million, while their EBIT (Earnings Before
Interest and Tax) rose 21 per cent from $22.4 million to $27 million.
The group's operating free cashflow from continuing businesses
reached $34.7 million, while capital expenditure totalled $15.3
million during the period.

The Building Division's results reflects the Australian housing
market which remained strong throughout the period.

Nylex has benefited from the major restructuring programmes and
targeted sales growth.

As previously announced AH Plant Hire has traded at lower than
expected levels due to increasing competition and the drought.

Automotive's results have been adversely affected by problems
commissioning new equipment at Marsden and McGain and lower
percentage payouts under the Government's ACIS (Automotive
Competitive Investment Scheme). Mr Casey concluded, "We continue to
work deliberately and effectively to put the group on a stronger
footing, with our major focus on creating further synergies across
our continuing businesses and the divestment of non-core operations".

For Further Information Call:

Glen Casey Tim Allerton
Austrim Nylex City PR
(03) 9529 2999 (02) 9281 7272


EBIT RECONCILIATION 31/12/02 (Summary)

31/12/2002 31/12/2001
$m $m

Reported 2.0 3.0

Divested businesses (2.2) 6.2
Writedowns 32.9 0.0
Additional amortisation 0.0 9.3
Bank restructure & monitoring costs 4.1 3.7
(Profit)/loss on asset sales (9.8) 0.2

Continuing businesses' EBIT 27.0 22.4

Depreciation 15.8 18.6
Amortisation 2.5 2.4

Continuing businesses' EBITDA 45.3 43.4