news article re shareholder value for afg, page-20

Allco Finance Group (ASX: AFG) – ranking of Allco Notes
Allco Finance Group (Allco) refers to the article on the Sydney Morning Herald’s website
today, (October 28, 2008), titled “Time-out for Allco”. The article refers to Allco’s granting
of security to its senior banks on May 6, 2008 and the impact this has had on the holders
of Allco Subordinated Notes (ASX: AFGHA).
The comment that, “.. instead of ranking equally with the senior debt holders, they now
rank behind them.” is incorrect.
The granting of the security by Allco and its relevant subsidiaries did not alter the
security position of the Allco Notes. As the terms of the Allco Notes themselves state,
the Allco Notes are subordinated in right of payment of interest and principal to any
debts of Allco (including the debt owed to Allco’s banks).
Allco has today requested that the Sydney Morning Herald correct the inaccurate
statement.
Yours sincerely