Increase in Shareholding in Teesland Plc

The Directors of Fraser and Neave, Limited (the "Company") would like to announce that CPL (UK) Pte Ltd ("CPLUK"), a subsidiary of its wholly-owned subsidiary, Centrepoint Properties Ltd, has agreed to subscribe for 3,278,688 shares allocated by Teesland Plc ("Teesland") in its placing and open offer of shares (the "Offering"), at 61 pence per share for an aggregate consideration of approximately L2 million, subject to satisfaction of the conditions of the Offering.

Teesland is a property fund and asset management company incorporated in the United Kingdom and is listed on the London Stock Exchange. CPLUK currently holds 2.8% of the shares in Teesland and will increase its shareholding interest to 7.5% upon successful closing of the Offering. CPLUK will continue to evaluate any opportunities to participate in the formation of, and long-term investment in, new funds to be launched by Teesland.

The transaction is not expected to have any material effect on the net tangible assets per share or earnings per share of the Company for the current financial year.

None of the directors or substantial shareholders of the Company has any interest, directly or indirectly, in the transaction.

Submitted by Anthony Cheong Fook Seng, Group Company Secretary on 1/3/2004 to the SGX