Freightways Issues New Shares

New Zealand Exchange Limited
Level 9
ASB Tower
2 Hunter Street

Dear Sir/Madam

Notice From Freightways Limited Pursuant to Listing Rule 7.12.1

Pursuant to Listing Rule 7.12.1 please be advised as follows:
(a) Class of Security Fully paid ordinary shares
       ISIN NZFREE0001S0
(b) Number of Securities Issued 10,936,668
(c) Issue Price NZ$1.60
(d) Payment Consideration for the issued shares was
satisfied by the Company acquiring from the persons to whom the shares were issued, such number of redeemable preference shares in Freightways Express Limited (“FEL Shares”) as represents the issue price of the issued shares, based on an acquisition price of $1.02811 per FEL Share.
(e) Amount Paid Up Fully paid
(f) % of the total class of securities issued 9.8% of the fully paid ordinary shares on
issue immediately prior to the issue of the new shares
(g) reason for issue To assist with funding the redemption of
the FEL Shares, which redemption is to occur on 31 October 2003
(h) Specific authority for issue Resolution of Directors dated 27 September 2003
(i) Terms and Details of Issue The shares will rank equally with the
existing fully paid ordinary shares
(j) Total number of securities of the class in existence after the issue 122,073,042
(k) Treasury Stock (Aquisition Only) Not Applicable
(l) Date of Issue 27 September 2003

In addition to the fully paid ordinary shares, the Company has previously issued 6,327,837 unpaid shares which constitute a separate class for the purposes of this notice.

Yours faithfully

Managing Director
Freightways Limited