Correspondence

[copy of email received from Nuplex Chairman]

From: Rob Aitken [mailto:rmaitken@bigpond.com]
Sent: 5 June 2009 10:45 AM
To: Bruce Sheppard
Cc: 'Hirst, J. (John)'; 'Williams, J. (James)'
Subject: RE: Thanks for your partial reply.

Dear Bruce

I have noted your comments in your email of 4 June. In your letter of 21^st May you have made an assumption regarding how our bankers have defined the covenants and their calculation. On this basis your analysis is incorrect. You are entitled of course to apply your own measures and interpretations however we do not agree with these for the reasons set out in my initial response.

In my recent letter to you I omitted to make further comment on governance and Board reform. I apologise for that oversight but advise as follows.

As disclosed in my address at the AGM last year and confirmed during my discussions with NZSA representatives when we met in April, the Board has been actively engaged for some time now in a refreshment and succession program of directors and several key management positions. The Board refreshment program commenced with my appointment in 2006, with a new director being appointed approximately every 12 months since then. Two senior management positions have also been filled this year. Further Board appointments are scheduled for this year, 2010 and likely 2011. Common to all appointments, each director will have had extensive large public company non-executive director experience and most will also have had substantial international exposure as a senior executive and/ or director in the chemicals/industrial sector.

Bruce, as to the last paragraph in my reply to your letter, I have applauded you for the process of giving us the courtesy of commenting on your thoughts and interpretations. Unfortunately the same acknowledgement can not be applied to your blogs.

With kind regards

Rob