2007 Prospectuses Approved - Finance Extended

2007 Subsidiary Prospectuses Approved - Bank Lines Extended

Dominion Finance Holdings Limited ("DFH") has some good news for investors who have had their confidence tested by the varying standards of other Finance companies.

The prospectus for the issue of up to $200 million of Debenture Stock by Dominion Finance Group Limited ("DFG"), a wholly owned subsidiary of DFH was accepted for registration by the Companies Office on 13 September 2007. Similarly, the prospectus for the issue of up to $150 million of Debenture Stock by North South Finance Limited ("NSFL"), a wholly owned subsidiary of DFH, was approved and accepted by the Companies Office on 11 September 2007.

There is further positive news with the two major bank lines of credit to DFG and NSFL. Of the facilities ASB provides, the $15 million NSFL facility has been extended for a term of 24 months on unchanged terms, and the $5 million DFG facility has been extended for a term of 12 months on unchanged terms. The BOS International combined facilities of $70 million ($50 m with DFG and $20m with NSFL) have been extended for 36 months. The bank facilities rank equally with the respective borrowing company's debenture stock.

Paul Cropp, Chief Executive, Dominion Finance Holdings Limited said the Companies Office, Auditors and Trustees are applying higher standards to all finance company prospectuses which is to be expected in the current climate.

"Investors should take comfort that Dominion Finance Group Limited and North South Finance Limited didn't change its approach with compliance and governance. It was very much business as usual going through this process.

"We are in a strong position to weather the contagion risk and apart from having planned for such an event many months prior to this situation developing, of comfort to our stakeholders is that the average loan term is currently less than 14 months but the average term for money invested with us is 24 months. This greatly assists with the management of liquidity.

"We fully support the Securities Commission with its desire for greater disclosure from Financial Advisors and for unlisted finance companies. Similarly, we support the Government in accelerating where possible their intervention into this market segment."

Cropp concluded by saying that Dominion Finance Holdings Limited remained on target to produce a half year result as at 30 September 2007 greater than last year and is looking forward to making this announcement in October.

The Company's strategic desire to acquire businesses that will add shareholder value is strong.

ENDS

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