HOWDEN AFRICA HOLDINGS LTD AGM

CHAIRMAN'S ANNOUNCEMENT

I  am  sure shareholders would wish me to update them concerning the current
year's trading.

The  improvement in the economic and trading environment envisaged when last
year's  results  were  announced  has  not  materialised  and  tough  market
conditions  persist in most market segments in which the Group operates.  In
particular the standard product companies: ( Howden Donkin and Howden Pumps)
are  experiencing difficulties in meeting expectations. On  the  other  hand
Howden  Power and the Environmental Control Division are performing in  line
with  expectations. Meanwhile the Group is continuing its efforts to  expand
export  sales  and  is hopeful that further progress will be  achieved  this
year.

Shareholders  will recall that dividends in respect of the  past  two  years
exceeded earnings for those years and were in part paid out of reserves.  As
a  consequence  of these dividend payments the Group has moved  into  a  net
borrowings  position; and whereas the Group earned some R 2,4m  in  interest
last year, such interest earnings will not be repeated this year.

In  future dividend policy will be set in the light of earnings and cashflow
and will also take account of the Group's need to invest in its future.
Ends

On Behalf of             :  Howden Africa Holdings Ltd
Client Contact           :  Mike Lake
Telephone No.            :  (011) 240-4000