Final Dividend of 6cps, MFS maintains offer price

NZX RELEASE

6 July 2007

Tourism Holdings Limited

Final Dividend of 6 cents per share declared and MFS Living and Leisure NZ Pty Limited has maintained offer price at $2.80 per share.

The Board of Tourism Holdings Limited (THL) has declared a final dividend for the 2007 financial year of six cents per share fully imputed. MFS Living & Leisure NZ Pty Limited (MPY NZ) has waived its condition in the takeover offer in respect of the payment of a final dividend.

The Chairman of THL, Keith Smith, said the Board had declared the payment of a final dividend before confirming the group’s trading results for the 2007 year for the following reasons:

- Earnings for the year were known to within a small margin of uncertainty, and

- Payment of a six cent dividend by THL prior to the completion of the takeover from MPY at $2.80 per share will allow THL shareholders to receive both the six cents dividend and $2.80 payment from MPY which increases the total return to THL shareholders and enables some imputation credits to be used.

The THL board intends that this dividend replace the normal final dividend paid by the company in October and that it is to be paid irrespective of the outcome of the takeover offer by MPY The final dividend of six cents per share fully imputed provides a total dividend for the year of 11 cents per share, the same rate as for the 2006 financial year.

The record date for the final dividend will be 20 July 2007 and the payment date 25 July 2007.

THL announced on 3 July 2007 that trading Net Profit After Tax for the year ended 30 June 2007 (prior to one off costs) was anticipated to be toward the upper end of the range between $17.5 million and $18.5 million.

Announcement authorised by:

Keith Smith

Chairman

ENDS

See... Dividend Waiver Letter

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