Collection House Signs Forward Flow Agreement

Leading Australian receivables manager Collection House Limited (ASX Code: CLH) today announced that it had executed a new forward flow agreement with a major Australian bank. The agreement, which covers the acquisition of credit card debts, runs for 12 months and is for approximately $50 million in face value.

Managing Director and CEO Tony Aveling stated: "We have enjoyed an especially strong relationship with this banking partner and are delighted to be maintaining our association into the future".

As previously announced, debt purchases for the 2007/08 financial year are expected to exceed $65 million compared with $29 million for the 2006/07 financial year. This new contract is likely to have little impact on the current year with purchases largely to occur in the 2008/09 financial year.

Collection House is a public company which listed on the Australian Securities Exchange on 4 October 2000. The Collection House group of companies employs over 570 trained personnel in 10 Australasian sites. The group focuses on providing receivables management, debt purchasing and debt collection services in all Australian states and territories and throughout New Zealand.