Homeloans Limited announced it has entered into a Scheme Implementation Agreement with RESIMAC Limited which provides for the implementation of a scheme of arrangement under which Homeloans will merge with RESIMAC. The Board of the Merged Group will consist of two directors appointed by Homeloans and three directors appointed by RESIMAC. Further, it is proposed that a new independent Chairman will be appointed soon after completion.

Mr. Warren McLeland, RESIMAC's existing CEO, will be appointed as Managing Director of the Merged Group. Mr. McLeland joined the Board of RESIMAC in 1999 and was appointed CEO in mid-2000. He has over 30 years' extensive experience in domestic and international financial services, including mortgage banking, securitisation and stockbroking.

Upon completion of the Transaction, it is proposed that the Board of the Merged Group will be composed as follows: Independent Chairman (to be appointed); Mr. Warren McLeland, Managing Director; Mr. Robert Scott, Non-Executive Director; Mr. Robert Salmon, Non-Executive Director; Mrs. Susan Hansen, Non-Executive Director; and Mr. Michael Jefferies, Non-Executive Director. Mr. Scott McWilliam and Ms. Mary Ploughman will be appointed Joint Deputy Managing Directors. Ms. Ploughman is currently an Executive Director at Resimac and leads RESIMAC's securitisation activities, in addition to managing the New Zealand business and inorganic growth.