Media Release

31 October 2002 Toll Holdings Limited Early Redemption of Convertable Notes

Toll today announced that an early redemption event has occurred in relation to its Convertible Notes and that Toll now proposes to redeem the Convertible Notes on or about 4 December 2002.

As Toll's ordinary shares have traded, on a daily volume weighted average basis, above $23.00 for the 20 consecutive business days ending 30 October 2002, Toll intends to despatch early redemption notices to Noteholders on or about 6 November 2002.

Noteholders will then have until on or about 27 November 2002 to elect to convert some or all of their Convertible Notes into one fully paid ordinary share for each Convertible Note held. Conversion notices will be provided to Noteholders together with the early redemption notice.

Assuming the proposed subdivision of capital is approved by Toll's shareholders at today's Annual General Meeting, each Convertible Note will also be subdivided into four, and any Convertible Notes which are not converted will be redeemed by Toll for $4.25 per Note. If the subdivision of capital is not approved, any Convertible Notes which are not converted will be redeemed by Toll for their original face value of $17.00.

Noteholders will be entitled to receive a pro rata interest payment for the period from 1 October 2002 until the date of redemption or conversion - ie. on or about 4 December 2002. The record date for this interest payment is expected to be on or about 22 November 2002.

A timetable showing the key dates in relation to the early redemption and the subdivision (should it be approved by shareholders) of Toll's ordinary shares and Convertible Notes is attached.

For further information, contact:

Bernard McInerney (Company Secretary) or
Neil Chatfield (Chief Financial Officer) on (03) 9694 2888.