Reduction of Mondi Capital

Anglo American PLC
02 July 2007


News Release

2 July 2007


                     Anglo American plc and the Mondi Group
            Court approval of the reduction of capital of Mondi plc


Anglo American plc ("Anglo American") and the Mondi Group ("Mondi") announce the
following event has now occurred in connection with the demerger of Mondi from
Anglo American (the "Demerger") and establishment of Mondi as a dual-listed
company structure, comprising Mondi Limited ("MLTD"), a South African
incorporated company holding Mondi's African assets, and Mondi plc ("MPLC"), a
UK incorporated company holding Mondi's non-African assets.

As described in the Circular and the Prospectus, the Demerger of Mondi involves
a proposed reduction of capital of MPLC (the "MPLC Reduction of Capital"). The
High Court of Justice of England and Wales (the "Court") approved the MPLC
Reduction of Capital at 10.00 a.m. today. The Court order approving the MPLC
Reduction of Capital is expected to be registered with the Registrar of
Companies at approximately 4.00 p.m. today. Following the registration of the
Court order, Mondi will be held as a dual-listed company structure, comprising
MLTD and MPLC.

Upon the Demerger becoming effective and the listing of and commencement of
dealings in MPLC Ordinary Shares on the London Stock Exchange and MPLC Ordinary
Shares and MLTD Ordinary Shares on the JSE (together, "Admission") at 8.00 a.m.
London time (9.00 a.m. South African time) on Tuesday, 3 July 2007, holders of
Anglo American Ordinary Shares will receive both MLTD Ordinary Shares and MPLC
Ordinary Shares in proportion to their holdings of Anglo American Ordinary
Shares (prior to the share consolidation of Anglo American which occurred at
8.00 a.m. on 2 July 2007 (the "Anglo American Share Consolidation")), on the
following basis:


    For every 100 Anglo American Ordinary Shares          25 MPLC Ordinary Shares and
    held prior to the Anglo American Share
    Consolidation                                         10 MLTD Ordinary Shares or MLTD depository
                                                          interests


The JSE record time for holders of existing Anglo American Ordinary Shares held
in uncertificated form via the Strate system will be 5.00 p.m. (South African
time) on 6 July 2007.


Upon the Demerger becoming effective, settlement in respect of the New Anglo
American Ordinary Shares and the MPLC Ordinary Shares and MLTD Ordinary Shares
to which shareholders will become entitled is expected to be effected on the
basis described in the  Circular and the Prospectus.


Anglo American                                       [phone]
Charles Gordon

Mondi                                                [phone]
Paul Hollingworth
Mervyn Walker

Goldman Sachs International                          [phone]
Simon Dingemans
Dominic Lee

UBS                                                  [phone]
James Hartop
Nimesh Patel

Financial Dynamics
Richard Mountain                                     [phone]
Louise Brugman                                       [phone] / [phone]





Notes

The JSE has granted a primary listing to MLTD by way of an introduction of the
entire issued ordinary share capital of MLTD, in the "Basic Resources - Forestry
and Paper" sector of the JSE List. The JSE has also granted a secondary listing
by way of introduction of the entire issued ordinary share capital of MPLC in
the "Basic Resources - Forestry and Paper" sector of the JSE List. Application
has been made to the FSA for the MPLC Ordinary Shares to be admitted to the
Official List and to trading on the London Stock Exchange. MPLC will be included
in the "Forestry and Paper" sector of the London Stock Exchange.



Terms used in this press release but not defined herein have the meaning given
to them in the Circular.



The information in this announcement should be read in conjunction with the full
text of the Prospectus and Circular.



This press release has been issued by and is the sole responsibility of Anglo
American and Mondi.



Goldman Sachs International which is regulated in the United Kingdom by the FSA,
UBS Limited and UBS South Africa (Proprietary) Limited are acting exclusively
for Anglo American plc and Mondi and no one else in connection with the proposed
Demerger and Admission and will not be responsible to anyone else for providing
the protections afforded to respective customers of Goldman Sachs International,
UBS Limited and UBS South Africa (Proprietary) Limited or for providing advice
in relation to the proposed Demerger and Admission or the contents of this
announcement.



This press release does not comprise listing particulars or a prospectus
relating to Anglo American, MLTD or MPLC and does not constitute an offer or
invitation to purchase or subscribe for any securities of Anglo American, MLTD
or MPLC and should not be relied on in connection with a decision to purchase or
subscribe for any such securities. This press release does not constitute a
recommendation regarding the securities of Anglo American or, MLTD or MPLC.



This announcement does not constitute a recommendation concerning the Demerger,
and should not be construed as legal, business, tax or investment advice. The
value of shares can go down as well as up. Past performance is not a guide to
future performance. Shareholders should consult a professional adviser as to the
suitability of the Demerger for the individual concerned.



None of the MPLC Ordinary Shares, the MLTD Ordinary Shares or the New Anglo
American Ordinary Shares will be, or is required to be, registered under the US
Securities Act of 1933, as amended.  None of the MPLC Ordinary Shares, the MLTD
Ordinary Shares or the New Anglo American Ordinary Shares referred to in this
announcement have been approved or disapproved by the US Securities and Exchange
Commission, any state securities commission in the United States or any other US
regulatory authority, nor have such authorities passed upon or determined the
adequacy or accuracy of this document. Any representation to the contrary is a
criminal offence in the United States.



Certain statements made in this announcement are forward looking statements.
Such statements are based on current expectations and are subject to a number of
risks and uncertainties that could cause actual events or results to differ
materially from any expected future events or results referred to in these
forward looking statements.



The distribution of this document in jurisdictions other than the United Kingdom
or the Republic of South Africa may be restricted by law and therefore persons
into whose possession this document comes should inform themselves about and
observe such restrictions. Any failure to comply with these restrictions may
constitute a violation of the securities laws of any such jurisdiction.



THIS DOCUMENT DOES NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN
OFFER TO BUY ANY SECURITY. NONE OF THE SECURITIES REFERRED TO IN THIS DOCUMENT
SHALL BE SOLD, ISSUED OR TRANSFERRED IN ANY JURISDICTION IN CONTRAVENTION OF
APPLICABLE LAW.



Shareholders receiving MLTD Ordinary Shares and/or MPLC Ordinary Shares do so on
the basis that they expressly acknowledge, agree and represent to Mondi that
they receive those Mondi Ordinary Shares for their own account and not with the
intention to resell or distribute those shares within Australia within 12 months
from the date of their issue, unless the sale is pursuant to an offer that does
not need disclosure in accordance with the requirements of section 708 or 708A
of the Australian Corporations Act 2001 (Cth).



This document and its distribution and the offering and receiving of the MLTD
Ordinary Shares and/or MPLC Ordinary Shares do not constitute an offering of
securities to the public in the Republic of Italy.






                      This information is provided by RNS
            The company news service from the London Stock Exchange