PERIOD ENDED 31 MARCH 2018 PRELIMINARY ANNOUNCEMENT Rubicon Limited (Consolidated) Six Months Ended 31 March 2018

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1 Preliminary report on consolidated results (including the results for the previous period) in accordance with Listing Rule This report has been prepared in a manner which complies with generally accepted accounting practice and gives a true and fair view of the matters to which the report relates and is based on audited financial statements. The September 2017 income statement has been re-presented to reflect the separation between continuing and discontinued operations. The Group's financial statements have been prepared in accordance with New Zealand International Financial Reporting Standards (NZ IFRS). The Listed Issuer has a formally constituted Audit Committee of the Board of Directors. The financial statements are presented in US$ millions, rounded to the nearest million. Reporting Period 6 months to 31 March 2018 Previous Reporting Period 15 months to 30 September 2017 Amount US$ millions Percentage change Revenue from ordinary activities % Profit (loss) from ordinary activities after tax attributable to security holders 2 n/a Net profit (loss) attributable to security holders 2 n/a Amount per security Imputed amount per security Interim/Final Dividend No dividend is proposed for the period Not applicable Record Date Not applicable Dividend Payment Date Not applicable 1 CONSOLIDATED INCOME STATEMENT Re-presented (1) 6 months 15 months ended Revenue 35 6 Cost of sales (20) (5) Gross profit 15 1 Change in fair value of biological assets (3) 4 Earnings by associate - 1 Administration expense (10) (8) Operating earnings excluding items below 2 (2) Impairment (1) - Net fair value gain - 2 Operating earnings before financing expense 1 - Financing expense (1) (2) Earnings before taxation - (2) Tax benefit 2 - Earnings after taxation from continuing operations 2 (2) Net earnings after taxation from discontinued operations - (4) Net Earnings 2 (6) Attributable to: Rubicon shareholders 2 (6) Minority shareholders - - Net Earnings 2 (6) (1) The 15 months ended 30 September 2017 has been re-presented to show net profit after taxation from discontinued operations separately. 2 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 6 months 15 months ended Net Earnings 2 (6) Items that may be reclassified to the Consolidated Income Statement: Movement in currency translation reserve - 3 Other comprehensive income (net of tax) - 3 Total comprehensive income 2 (3) Total comprehensive income attributable to: Rubicon shareholders 2 (3) Minority shareholders - - Total comprehensive income 2 (3) Page 1 of 6

2 3 STATEMENT OF CHANGES IN EQUITY 6 months 15 months ended Total comprehensive income 2 (3) Movement in Rubicon shareholder equity: Issue of shares - 13 Movement in minority shareholder equity: Cash investment by minorities - 17 Disposal of TCLP minority (7) - Deconsolidation of Tenon minority (2) - Capital return from Tenon - (46) Distribution paid by TCLP (1) - Dividend paid by Tenon - (1) Total movement in shareholder equity attributable to: Rubicon shareholders' equity 2 10 Minority shareholders' equity (10) (30) Opening equity attributable to: Rubicon shareholders Minority shareholders Opening total Group equity Closing equity attributable to: Rubicon shareholders Minority shareholders - 10 Closing Total Group Equity CONSOLIDATED STATEMENT OF CASH FLOWS 6 months 15 months ended Cash was provided from operating activities Receipts from customers Cash provided from operating activities Payments to suppliers, employees and other (43) (278) Cash (used in) operating activities (43) (278) Net cash from (used in) operating activities 4 (3) Sale of TCLP 15 - Sale of Tenon North American operations Investment in fixed assets - (4) Investment in subsidiaries (5) (14) Investment in intellectual property (3) (1) Cash in subsidiaries disposed/deconsolidated, acquired (8) 2 Net cash from (used in) investing activities (1) 90 Debt drawdowns 5 52 Debt repayment (7) (89) Interest paid (2) (4) Issue of shares - 13 Minority shareholders' cash flow by way of: Capital return from Tenon - (46) Capital investment by minority - 17 Distributions and dividend paid to minority (1) (1) Net cash from (used in) financing activities (5) (58) Net movement in cash (2) 29 Opening cash, liquid deposits and overdrafts 31 2 Closing Cash, Liquid Deposits and Overdrafts Net earnings 2 (6) Adjustment for: Financing expense 1 4 Depreciation and amortisations 4 4 Taxation (2) - Earnings from associate - (1) Change in fair value of biological assets 3 (4) Other non cash items 1 13 Cash flow from operations before net working capital movement 9 10 Trade and other receivables (4) 1 Inventory 1 (14) Trade and other payables (2) - Net working capital movement (5) (13) Net cash from operating activities 4 (3) Page 2 of 6

3 5 CONSOLIDATED BALANCE SHEET As at As at Current assets Cash and liquid deposits Trade and other receivables 10 9 Inventory Total current assets Non current assets Fixed assets Intellectual property Goodwill - 18 Total non current assets Total assets Current liabilities Trade, other payables and provisions (10) (23) Current lease obligation (1) (1) Current debt (15) (18) Deferred settlement (10) (15) Total current liabilities (36) (57) Term liabilities Term debt (11) (33) Finance lease obligation (12) (12) Deferred taxation liability (4) (6) Total term liabilities (27) (51) Total liabilities (63) (108) Net Assets Equity Share capital Reserves (49) (51) Equity attributable to Rubicon shareholders Equity attributable to minority shareholders - 10 Total Group Equity MATERIAL ACQUISITION OF SUBSIDIARY (a) Name of subsidiary or group of subsidiaries (b) Percentage of ownership acquired N/a 7 DETAILS OF ASSOCIATES AND JOINT VENTURES (a) THE GROUP HAS A MATERIAL INTEREST (FROM THE GROUP'S VIEWPOINT) IN THE FOLLOWING CORPORATIONS: Percentage of ownership Contribution to Net Profit As at As at 6 months 15 months ended Earnings from associate ArborGen Inc (1) n/a n/a n/a 1 (b) INVESTMENTS IN ASSOCIATE As at As at Carrying value of investment in associate at beginning of period 91 Earnings of associate 1 Conversion to subsidiary (92) Carrying value of investment in associate at the end of period or on disposition n/a - (1) Post the acquisition on 28 June 2017 by Rubicon, the results of ArborGen are fully consolidated into the accounts of Rubicon. Earnings and cash flow are consolidated for the full current period and in the prior period for the three months to 30 September NET ASSET BACKING PER SHARE As at As at Cents per share Cents per share Net assets per share NZ 43 cps NZ 42 cps Net tangible assets per share NZ 12 cps NZ 8 cps Net assets per share US 31 cps US 31 cps Net tangible assets per share US 9 cps US 6 cps Page 3 of 6

4 9 EARNINGS PER SHARE 6 months 15 months ended US$ Basic & diluted earnings per share Cents per share Cents per share Total earnings per share US 0.4 cps US (1.4) cps Continuing operations US 0.4 cps US (0.5) cps Discontinued operations US 0.0 cps US (0.9) cps NZ$ Basic & diluted earnings per share Total earnings per share NZ 0.6 cps NZ (2.0) cps Continuing operations NZ 0.6 cps NZ (0.7) cps Discontinued operations NZ 0.0 cps NZ (1.3) cps 10 SEGMENTAL 6 months 15 months ended The Group has one reportable segments and their analysis is as follows: Forestry genetics Operating revenue 35 6 Share of (loss)/profit from associate - 1 Financing expense (1) (1) Tax (expense) / benefit 2 - Net earnings after taxation from continuing operations 4 1 Total assets Liabilities (53) (53) Capital expenditure (3) (2) Depreciation and amortisation of intellectual property (4) (2) Reconciliation Appearance and wood products Operating revenue - discontinued Financing expense - (1) Net earnings after taxation from discontinued operations - (4) Total assets - discontinued 3 62 Liabilities - discontinued - (33) Capital expenditure - (3) Depreciation - (2) Corporate Financing expense - (2) Net earnings after taxation from continuing operations (2) (3) Total assets Liabilities (10) (22) Total Group Total revenue Operating revenue - discontinued Operating revenue - continuing - per income statement 35 6 Share of (loss)/profit from associate - 1 Financing expense (1) (4) Tax (expense) / benefit 2 - Net earnings after taxation from continuing operations 2 (2) Net earnings after taxation from discontinued operations - (4) Total assets - per balance sheet Total assets - discontinued 3 62 Total assets - continuing Liabilities - per balance sheet (63) (108) Liabilities - discontinued - (33) Liabilities - continuing (63) (75) Capital expenditure (3) (5) Depreciation and amortisation of intellectual property (4) (4) Page 4 of 6

5 11 DISCONTINUED OPERATIONS North American distribution business During the current period, Rubicon disposed of its interest in TCLP, and Tenon went into voluntary liquidation. In the prior period Tenon disposed of its US and Australian operating assets. All of these operations are classified as discontinued in these financial statements. Income Statement 6 months 15 months ended for the period ended Net operating revenue Profit before taxation (1) 1 7 Loss on disposal (2) (1) (2) Tax expense on profit before taxation - (9) Net profit after taxation from discontinued operations - (4) (1) Profit before taxation from discontinued operations includes: Depreciation - (2) Financing expense - (3) (2) Loss on disposal Cash inflow on sale of subsidiaries Distribution received 1 - Costs of sale - (6) Recognised values on sale Net Assets Less minority interest 9 - Group share of net assets Net loss on sale (1) (2) Statement of cash flows 6 months 15 months ended for the period ended Net cash from: Operating activities - 1 Investing activities Financing activities - (1) Net cash from discontinued operations NON-GAAP MEASURES Rubicon uses EBITDA when discussing financial performance. This is a non-gaap financial measure and is not recognised within NZ IFRS. As it is not necessarily uniformly defined or utilised this measure may not be comparable with similarly titled measures used by other companies. Non-GAAP financial measures should not be viewed in isolation or considered as a substitute for measures reported in accordance with GAAP. Rubicon believes EBITDA provides useful information, as it is used internally to evaluate performance, and it is also a measure that equity analysts focus on for comparative company performance purposes, as the measure removes distortions caused by differences in asset age, depreciation policies and debt:equity structures. The following tables reconcile Net Earnings to operating earnings before financing expense and then to EBITDA for ArborGen. 6 months 15 months ended ArborGen Net earnings after taxation from continuing operations 4 1 less Tax benefit (2) - plus Financing expense 1 1 Operating earnings before financing expense 3 2 plus Depreciation, amortisations and impairment 5 2 EBITDA COMMENTS BY DIRECTORS (a) Material factors affecting the Rubicon Group for the current period ended 31 March See attached Rubicon 2018 Annual Results Release (issued today) and subsequent events note below. (b) Significant trends or events since end of the current period ended 31 March (c) See attached Rubicon 2018 Annual Results Release (issued today). Management's discussion and analysis of financial condition, result, and/or operations (optional) See attached Rubicon 2018 Annual Results Release (issued today). (d) Use of estimates and judgement The preparation of financial statements in conformity with NZ IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Page 5 of 6

6 (e) Capital Expenditure Commitments Other than the outstanding deferred settlement payments of $10 million in relation to the ArborGen acquisition (2017: $15 million) (refer note 15 of the Rubicon 2018 Annual Results Release), the Group had no material capital expenditure commitments as at 31 March (e) Contingent Liabilities There are no known contingent liabilities in the Rubicon Group as at 31 March 2018 (2017: nil). Please refer to note 23 in the Rubicon 2018 Annual Results Release, which outlines lease commitment guarantees. 14 DIVIDENDS Nil 15 COPY OF AUDIT REPORT See attached Rubicon 2018 Annual Results Release (issued today). 16 ANNUAL SHAREHOLDERS MEETING AND DIRECTOR NOMINATIONS The next Annual Shareholders' Meeting (ASM) will be held on 17 September The opening and closing dates for the nomination of Directors for election at the ASM, are 15 June 2018 and 17 July 2018 respectively. The Rubicon Annual Results Release is available today on the NZX and at and the Annual Report will be distributed to shareholders in June ******** This Release was approved by a resolution of Directors on 28 May 2018 M A Taylor 28 May 2018 Company Secretary ******** Page 6 of 6