Lonrho fish division commences delivery to Costco

20 July 2010

Lonrho Plc

("Lonrho" or "the Company")

Lonrho fish division commences delivery to Costco opening up the USA retail market

Lonrho Plc ( AIM : LONR ) is pleased to announce that following it's recent acquisition of Oceanfresh Seafoods in South Africa, (Oceanfresh) announced on the 7th June 2010, and following a trial program, Oceanfresh has successfully negotiated and now implemented a comprehensive rollout of one of it's sustainable fish product brands 'Cape Hake Fillets' into USA retail giant Costco.

Hake, is one of South Africa's strongest commercial fish species and has been extremely popular in Europe for many years but has historically been neglected by the North American retail market due to a lack of logistical capabilities. Oceanfresh currently catches and sources hake from the South African trawler sector, which operates under the Marine Stewardship Council (MSC) certification, thus ensuring an audited environmentally sensitive product for the Costco club members.

For the past 8 months, in conjunction with Oceanfresh, Costco's Los Angeles region has been engaged in educating consumers regarding the benefits of sustainable seafood choices, based around the availability of South African, wild caught hake. The pilot project commenced in 10 stores within the region and will roll out into the additional 40 Los Angeles regional stores over the coming months. Lonrho's support in building the Oceanfresh / Costco project has allowed Oceanfresh to also start supplying to the San Diego and Texas regions with the Mid West (Chicago) region planned for roll out early 2011.

Since becoming a Lonrho business, Oceanfresh has geared up production to meet the additional shipments required for the roll out and cater for this increased demand. Scheduled deliveries have now commenced for the USA during July.

Oceanfresh is a proud member of the South African Sustainable Seafood Initiative (SASSI) and has environmentally sensitive seafood policies as a core fundamental of its business practice. Hake is listed on the SASSI green list as a preferred recommendation for seafood consumers.

David Lenigas, Lonrho's Executive Chairman stated:

'Lonrho believes that the North American marketplace has significant potential demand for produce from Africa. The results of our 8 month trial with Costco has demonstrated that the production and delivery of fish from Africa to the US market is something that consumers are keen to see, especially given Lonrho's total commitment to sustainable fishing practices.'

LONRHO ENQUIRIES