Chairman's Report    

16 November 2007

It is my pleasure to chair the first AGM of PEECE Pty Ltd.  Since accepting your invitation to chair your Board, I have been impressed with the professional way each of the Directors conducts his business.

PEECE is a vehicle by which each of you can work together under a single brand name and access markets that might not be accessible to you in your individual companies.  An example is the planning studies that you have undertaken for local government over recent years as they required a broader set of skills than any of you provide individually.

Another potential market for you is in China and your recent delegation there underscores potential opportunities for you as a group.  The signed MOU that you brought back was an impressive achievement.  Your next trip in May 2008 will cement the relationship with the Jilin Traffic Institute even further.  You should now seek partnerships with Australian road testing equipment suppliers to supplement your own capability in asset management and software development.

Another market that offers you significant potential opportunities is in heavy vehicle accreditation.  PEECE is well placed to offer local government advice and services in this area through your extensive existing client list.  This is a new market for local government and your proposed sponsorship of an IPWEA program will give you an inside running to capture this market.

Finally, the requirement for NSW Councils to estimate fair value of their road asset by June 2009 offers PEECE a further significant opportunity.  The company has the clients and the technology; it is only a matter of bringing them together to achieve a profitable outcome.

This year has seen PEECE tentatively make steps towards defining new markets.  The old market, essentially the road planning service, has served us well but we need to look to a broader horizon if we are to achieve greater commercial success.

We have a commitment to support worthwhile charities but for us to do this we have to be commercially successful.  We need to renew our efforts to ensure success in these new markets over the next 12 months and I look forward to being your chair as you pursue these goals.

John Wearne

Chairman