Sunday, May 27th, 2012

Shareholders

About Us

West Australian Newspapers Holdings Limited is the ultimate holding company of the West Australian Newspapers Group, the leading media group in Western Australia.

The flagship of the Group is The West Australian daily newspaper, which is published Monday to Saturday. The West Australian was first published in 1833 and it now sells an average of approximately 190,000 copies Monday to Friday and 340,000 copies on a Saturday.

The group's interests are summarised in the following table.

West Australian Newspapers Group employs approximately 1,400 staff, the majority of whom are located at the Group’s head office and production facility, based at Osborne Park, approximately 7km from the Perth CBD. The group also maintains offices throughout regional Western Australia.

The West Australian Group is a proud West Australian organisation, proud of its heritage and proud of its involvement in the West Australian community.

The Group strives to be a good corporate citizen that looks after its people, customs and the community. Our aim is to make investments and operational decisions that help us meet our financial objectives as a company and also make a positive contribution to the community and the environment.

Chris Wharton - Chief Executive Officer

Mr Wharton joins WAN direct from his role as the Managing Director of Channel Seven Perth, the highest rating television station in Australia. He joined Seven in Perth in 2000 from the Community Newspaper Group, where he was Chief Executive Officer for more than four years. Mr Wharton began his career as a journalist nearly three decades ago.

Directors

Kerry Stokes AC Chairman – Non-executive director

Mr Stokes has been the Executive Chairman of Seven Network Limited since July 1999 and was Non Executive Chairman from June 1995. Seven Network Limited has merged with Westrac Holdings Pty Limited to form Seven Group Holdings Limited (ASX: SVW) and Mr Stokes is Executive Chairman of the merged company since the merger date.

He is Chairman of Australian Capital Equity Pty Limited Group, which has significant interests in activities which include media and entertainment, research and technology development, property and industrial activities including Iron Ore Holdings Limited.

Mr Stokes is a Companion in the General Division of the Order of Australia.

Doug Flynn – Independent non-executive director

Mr Flynn graduated in chemical engineering from the University of Newcastle, New South Wales. He received an MBA with distinction from Melbourne University in 1979.

Mr Flynn was appointed Chief Executive of newspaper publisher Davies Brothers Limited in 1987, the company was acquired by News Corporation in 1989.

During his career at News Limited Group, Mr Flynn held positions as Deputy Managing Director of News International Newspapers Ltd, Director of News International Plc, and Managing Director of News International Plc.

Mr Flynn then held Chief Executive positions with Aegis Group Plc and Rentokil Initial Plc in London, before returning to Australia in 2008.

In April 2008 he became a consultant to, and a director of, Qin Jia Yuan Media Services Ltd, the leading private television company in China.

Peter Gammell – Non-executive director

Mr Gammell has been a Director of Seven Network Limited since November 1997. Seven Network Limited merged with WesTrac Holdings Pty Limited to form Seven Group Holdings Limited (ASX: SVW). Mr Gammell has been Managing Director and Chief Executive Officer of the merged company since the merger date. He is Non-executive Director of Consolidated Media Holdings Limited.

Mr Gammell is Chairman of the Finance Committee and a member of the Audit Committee and Internal Audit Committee.

He is Managing Director of Australian Capital Equity Pty Limited Group, which has significant interests in activities which include media and entertainment, research and technology development, property and industrial activities.

Mr Gammell is a member of the Institute of Chartered Accountants of Scotland.

Graeme John AO – Independent non-executive director

Mr John was Managing Director of Australia Post from 1993 to 2009. He is a Fellow of the Chartered Institute of Transport; Member of the Committee for Melbourne and the Australian Institute of Company Directors; Councillor, Australian Business Arts Foundation; Director of the Road Transport Forum; Chairman of Australian Air Express Pty Ltd; alternate Chairman Startrack Express Holdings Pty Ltd and an AFL Commissioner.

He is Chairman of the Board of the Kahala Posts Group, Board member of the International Post Corporation (Netherlands), Vice-Chairman of Sai Cheng Logistics International (China), a joint venture with China Post.

Mr John was awarded the Officer of the Order of Australia (AO) in 2003, for service to business and to the community.

Don Voelte – Independent non-executive director

Mr Voelte has significant experience in the global oil and gas industry, and has been Managing Director and Chief Executive Officer of Woodside since joining the company in 2004.

Prior to joining Woodside, Mr Voelte held a number of Senior Executive positions in the oil and gas sector.

Mr Voelte is a member of the Board of Woodside Petroleum Limited and the University of Western Australia Business School, and is a member of the Society of Petroleum Engineers, the American Society of Civil Engineers, the Chi Epsilon Honor Society and a Foreign Fellow to ATSE (FTSE) and a Fellow to the Australian Institute of Company Directors (AICD). He is a trustee of the University of Nebraska Foundation and was awarded the University of Nebraska Engineering Alumni of Year in 2002.

He has a degree in Civil Engineering, from the University of Nebraska.

Sam Walsh – Independent non-executive director

Mr Walsh was appointed Chief Executive of Rio Tinto Iron Ore in December 2004, with responsibilities including Rio Tinto’s iron ore operations in Australia, Canada, Brazil, Guinea and India.

In June 2009, Sam was appointed as an executive director to the boards of Rio Tinto plc and Rio Tinto Limited, and in November 2009, chief executive of Rio Tinto Australia. He is also the Rio Tinto ExCo sponsor for Australia, India and West Africa.

Prior to his current position, Mr Walsh held a number of Senior Executive roles within Rio Tinto.

Before joining Rio Tinto, Mr Walsh worked in the automotive industry for more than 20 years in Australia and the USA.

He has a Bachelor of Commerce from Melbourne University and has completed a Fellowship Program at Kettering University in Michigan. He was awarded Honorary Doctor of Commerce in January 2010 by Edith Cowan University.

Mr Walsh is a Fellow of the Australian Institute of Management, the Australian Institute of Mining & Metallurgy, the Chartered Institute of Purchasing & Supply and the Australian Institute of Company Directors, a Vice president of the Australia-Japan Business Co-operation Committee, a Councillor of the WA Chamber of Commerce, a Director of Committee for Perth Limited, Chair of the WA Chapter of the Australia Business Arts Foundation, and the Chairman of the Rio Tinto Western Australia Future Fund, patron of the State Library of Western Australia Foundation and a patron of the UWA Hackett Foundation.

In 2007, Mr Walsh was awarded an Australian Export Hero and Western Australian Citizen of the Year - Industry & Commerce.

Peter Bryant – Chief Financial Officer & Company Secretary

Mr Bryant commenced with the company in April 2008.

Prior to joining the West Australian Newspapers Holdings Group he was the Company Secretary and Chief Financial Officer of GRD Limited, where he had been employed for eight years.

His commercial experience also includes several financial and management rolls within a significant private, Perth based, entrepreneurial group.

He is a Chartered Accountant. He commenced his professional career with Ernst & Young, spending time in their offices in Perth, UK and USA.

Registered Office

Newspaper House

50 Hasler Road

Osborne Park

Western Australia 6017

Telephone: (08) 9482 3111

Share Information

To find the current share price please click here

Stock exchange listing

Australian Stock Exchange

(Home Exchange: Perth, Western Australia)

ASX Code: WAN

Share registry

Computershare Investor Services Pty Ltd

Level 2, Reserve Bank Building

45 St George's Terrace

Perth

Western Australia 6000

Telephone: (08) 9323 2000

Facsimile: (08) 9323 2033

Dividend Reinvestment Plan

Plan Overview

The detailed rules that govern the DRP are enclosed with this letter and you are strongly encouraged to read them in their entirety before you decide whether or not to participate in the DRP.

However, the following is a summary of the key features of the DRP.

• Participation in the DRP is voluntary.

• All Australian resident shareholders are eligible to participate in the DRP.

• If you choose to participate, you need to complete a Notice of Election form and return it to our share registry, Computershare.

• Once you submit a Notice of Election form, your participation in the DRP will commence from the first dividend record date after the receipt of your correctly completed form. Forms must be received no later than 5pm on the dividend record date.

• Once you submit a Notice of Election form, that election remains in place for all future dividends, unless it is withdrawn or varied by you.

• You can join, withdraw or vary your participation in the DRP at any time, except during the period between the dividend record date and the dividend payment date.

• If you choose to participate in the DRP, the number of DRP shares you receive will be calculated by dividing the amount of the dividend payable on your shares participating in the DRP by the allocation price for the DRP shares.

• The default mechanism for determining the allocation price for DRP shares will be the volume weighted average price (VWAP) of the shares for a specified period, known as the pricing period, against which a discount may be applied. For each dividend the company will announce both the pricing period and discount in advance of the record date to give you the option to join or withdraw from the DRP, or vary your level of DRP participation. Alternatively, the plan rules provide for the Board to set the price at which the DRP shares will be allocated. This price will be announced so that you have an opportunity to join, or withdraw from, the DRP or vary your level of participation.

• DRP shares will be allocated to you on the dividend payment date. Computershare will forward a statement to you shortly after allotment, confirming the details.

• You can choose to have less than your full shareholding participating in the DRP by nominating a fixed number of shares on your Notice of Election form, for partial participation in the DRP. If you choose partial participation, you will receive a dividend cheque or direct credit for the portion of your shares not participating in the DRP.

• After calculating the number of DRP shares you will receive, there may be a small cash balance remaining as a result of rounding, which will be less than the allocation price of one DRP share. Generally, this amount will be carried forward to the next dividend payment date. There are no brokerage, commissions or other transaction costs payable in relation to shares issued under the DRP, and under present law no stamp or other duties are payable.

• The company may choose to underwrite the DRP. The underwriting process involves one or more financial or other institutions guaranteeing a minimum level of DRP participation. In the event that the participation level does not achieve the level specified, the underwriter will purchase the shares up to that level. Underwriting guarantees a minimum cash inflow to the company.

• The company recommends that you obtain professional tax advice in relation to the DRP. Advice received by the company is that DRP shares are treated in the same way as a cash dividend by the Australian Taxation Office and that the Australian Taxation Office treats the amount of the dividend reinvested as forming part of the cost base of the shares received under the DRP. The company takes no responsibility for any tax liability to shareholders as a result of participating in the DRP.

• The above is a summary of some of the key terms and reflects the structure under which it is envisaged the plan will operate. However, there is some flexibility in plan rules and, as noted above, you should read the plan rules in their entirety.