AI LTD looking promising

looks like directors are looking to turn this company around for the benefit of the investor

A.I. LIMITED 2002-05-28 ASX-SIGNAL-G

HOMEX - Perth

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After reporting a loss for 2000/2001 of $3.7 million, aiLimited is
forecasting revenue from activities for the financial year 2001/2002
to be over $120 million. EBITDA for the year ended 2001/2002 is
expected to be approximately $6 million, resulting in a small net
profit after tax.

Revenue for the financial year 2002/2003 is forecast to increase only
marginally to $130m with a corresponding EBITDA of $8m. Forecast net
profit after tax for the year ended 30th June 2003 is projected to
exceed $3m.

The directors are pleased with the progress of the company's
previously announced business plan and the focus on core business
units and profitability. Asset sales of non-core businesses will
continue during 2002/2003.

Profit increase is expected to come from a more solid performance
from the company's Adelaide based automotive division, via an
increase in volume and more efficient work practices. Furthermore,
following a difficult trading environment for engineering and
construction related businesses, the company is confident that its
investments in this industry will return to profitability. Interest
expense will reduce substantially due to the minimal level of debt
carried by the company since the sale of the South Australian
Manufacturing Park in late 2001 for $21 million.

aiLimited has mandated Poynton and Partners to review the
profitability of its automotive division, and assist in finalising
studies for two major outsourcing projects for the automotive
industry. These outsourcing opportunities are well progressed in
terms of structure, commercial feasibility and industry acceptance.
Each opportunity has already incurred significant amounts of
pre-feasibility expenditure, and major national and international
partners have been identified. If successful, these projects, which
have a commencement date in 2005, have the potential to substantially
increase aiLimited's revenue and profitability.

To present these forecasts and business opportunities, broker and
institutional presentations in Perth, Melbourne, and Sydney are
planned over the next two weeks.


P Werrett
COMPANY SECRETARY