Fijian Holdings Limited (FHL) today announced that the Board has approved a submission from the Fijian Affairs Board to transfer its 20,000,000 B-class shares in the following proportion:

• 10,000,000 shares to Fijians Trust Fund; and

• 10,000,000 shares to the 14 Provincial Councils to be held in trust by the Fijian Affairs Board.

Announcing this decision, FHL Chairman Mr. Lyle Cupit said that the Board made the transfer pursuant to Article 3 (a)(ii) of FHL’s Memorandum and Articles of Association, where by the decision whether membership of the company may be granted to any person, company, corporation or other legal entity shall be in the absolute discretion of the Directors.

Mr. Cupit said that the request to transfer the B-class shares came directly from the Fijian Affairs Board, which is the legal owner of these shares.  “We also understood that the necessary approval had been given by the Government and the endorsement of the Great Council of Chiefs had been obtained,” said Mr. Cupit.

The transfer will provide the beneficiaries of the Fijians Trust Fund and the Provincial Councils a large equity position in a solid and successful business in Fiji.  The policy is part of the Government’s Affirmative Actions, which realises the need and provides the legal framework to improve the commercial aspirations of the Fijian people.  This policy has been carried out in a transparent manner, in accordance to law.

According to Mr. Cupit the share transfer will not have any impact on the day-to-day operations of Fijian Holdings Limited.  “The only change now apart from the name in the share certificates is that the dividends would be paid directly to the shareholders,” said Mr. Cupit.  The dividend on the B-class shares is $1 million per year and FHL has paid out a total of $12 million in dividends to the B-class shareholders since 1993.