trading halt, page-24

Latest announcement from AFG previous one from NAB

6 March 2008
The Company Secretary
Allco Finance Group Limited
Level 24, Gateway Building
1 Macquarie Place
Sydney NSW 2000
Dear Sir
The directors of Allco Principals Investments Pty Limited (API) advise that API has
failed to reach agreement on the terms of an ongoing standstill arrangement with its
remaining margin lenders, Bank of Scotland International Limited (BOS) and National
Australia Bank Limited (NAB). The standstill arrangement previously in force has
ceased to apply.
NAB has appointed agents to take possession of 23,721,720 AFG shares owned by
API, over which NAB holds a fixed charge. NAB has appointed agents to take
possession of a further 10,760,555 AFG shares, pledged to the lenders by entities
associated with certain Allco executives. NAB has appointed agents to take possession
of 2,405,661 shares in Allco HIT pledged to NAB by an entity connected to certain Allco
executives and to 1,686,055 shares in HIT pledged to NAB by Allco Principals Property
Pty Ltd.
BOS has informed API that it will appoint a receiver to all the asset and undertaking of
API (including 600,000 shares in Allco HIT) and to 18,341,825 shares in AFG and
2,400,000 shares in Allco HIT pledged to BOS by entities associated with certain Allco
executives.
The directors expect to appoint a voluntary administrator shortly.
Yours sincerely
Chris West
Directo