Quintis : Updated forbearance agreement with Noteholders

11 December 2017

Updated forbearance agreement with Noteholders

Quintis (ASX code: QIN, the "Company"), the world's largest owner and manager of commercial Indian sandalwood plantations, provides the following update on the Company's 8.75% senior secured notes ("Notes").

As announced to the ASX on 31 August 2017, Quintis entered into a Forbearance Agreement with a significant majority of its Noteholders in respect of a 1 August 2017 interest payment due on the Notes. The Forbearance Agreement will continue until 1 March 2018 unless it is terminated earlier upon the occurrence of certain events. As announced to the ASX on 6 September 2017 an Amended and Restated Forbearance Agreement was executed with the same significant majority of the Noteholders which, with other subsequent extensions, has extended the deadline on certain events to 8 December 2017.

Quintis advises that a majority of Noteholders have agreed to extend the deadline on these events to 15 December 2017.

The extension from 8 December 2017 to 15 December 2017 applies to the following events:

• • If Quintis is unable to agree a recapitalisation plan applicable to it on terms acceptable to a majority of Noteholders;

• • If Quintis is unable to agree terms, acceptable to a majority of Noteholders, with Asia Pacific Investments Limited to waive or defer the plantation put option; and

• • If Quintis is unable to agree terms, acceptable to a majority of Noteholders, to the contracts under which the Company sold part of its loan book in 2016 (refer to ASX announcement on 29 June 2016).

The Company is continuing discussions in relation to a recapitalisation. The recapitalisation, if implemented, will be subject to all necessary shareholder, creditor and regulatory approvals, due diligence and other conditions precedent. The discussions continue to progress but no binding agreements have been entered into and there is no guarantee that the recapitalisation will be completed in this form or another form.

ENDS

For investor enquiries please contact:

Julius Matthys

Alistair Stevens

Chief Executive Officer Ph: +61 8 9215 3000

Chief Financial Officer Ph: +61 8 9215 3000

For all media enquiries please contact:

Cameron Morse

FTI Consulting

Ph: +61 433 886 871