MEDIA RELEASE No: 1998-10 Date: 1 July 1998 Embargo: For Immediate Release

CORPORATISATION OF NOTE PRINTING AUSTRALIA

The Reserve Bank announced today that it has established its existing division, Note Printing Australia, as a separately incorporated wholly-owned subsidiary of the Bank. The subsidiary will trade as "Note Printing Australia Limited".

Note Printing Australia Limited (NPA) prints currency notes for Australia and for a number of other countries. Against strong international competition it recently won a tender to print all of New Zealand's notes. NPA will be driving to expand its export business further in coming years. It is the world leader in printing notes on polymer, rather than on traditional paper.

The Bank sees corporatisation as consistent with the Commonwealth Government's competitive neutrality policy, and with further improving the efficiency and commercial orientation of NPA.

The Board of Note Printing Australia Ltd comprises Mr GJ Thompson (Chairman), Mr RFE Warburton, a non-executive member of the Reserve Bank Board and Mr FM Bethwaite.

The Bank will remain as principal, in its own right, in the joint venture company Securency Pty Limited, which was formed with UCB Films PLC, a Belgium-based manufacturer of polypropylene films in 1996. Securency markets and supplies specialised polymer substrate to countries which print their own notes. NPA will act as the Bank's agent in this joint venture.

Enquiries:
Manager, Information Office
Reserve Bank of Australia
SYDNEY
(02) 9551 9720