1

Jamie ChilcoffVP/GM International Business

James Hardie Investor/Analyst Tour4-5 December 2007

Product and Marketing Strategy

2

HardiePlank

Colorplus

Cemplank

Next Gen

Fighting Brand

Cemplank

Hardieplank/ColorPlus

Today Tomorrow

Product mix will evolve significantly in the medium term to continue to drive revenue and leverage market position.

Portfolio Strategy: Product Mix Shift

2

3

Brand Architecture

James Hardie

Cemboard

CemPlank

Hardie Artisan

CemPanel HardiePlank HardieBacker Siding

ColorPlusTechnology MoldBlock

Technology DuraTech

Corporate Brand

Key Brand

Product

Ingredient Brand

Good - Better - Best Brand Architecture with varying levels of association with James Hardie parent brand

Good Better Best

RFC

4

JHBP Product Portfolio (Future State)

Low Innovation / Breadth

Low Service

High Innovation / Breadth

High Service

High Price

Low Price

DIFFERENTIATED

GENERIC VALUE

Fighter Brand

HardiePlank

3

5

Key Growth Strategies

Key Growth Strategies

Grow Market Share and

sustain margins

Defend / Protect from share loss

Increase Plank/Panel Pen.

(Exterior Design Shift/Artisan

trade-up)

Increase Trim/Access. Pen.

(Improved product,Shingle, Panel,

Batten)

Reduce Risk of Share Loss

(Drive Color Series as Mainstream)

Incr. JH loyalty (bldr / cons.)

(Marketing/Communication)

6

Key Growth Strategies

Grow Market Share and

sustain margins

Defend / Protect from share loss

Increase Plank/Panel Pen.

(Exterior Design Shift/Artisan

trade-up)

Increase Trim/Access. Pen.

(Improved product,Shingle, Panel,

Batten)

Reduce Risk of Share Loss

(Drive Color Series as Mainstream)

Incr. JH loyalty (bldr / cons.)

(Marketing/Communication)

Key Growth Strategies

4

7

Website: www.ArtisanLuxury.com

Artisan Exterior Design: Artistry Meets Accuracy

8

Website: www.ArtisanLuxury.com

Artisan Exterior Design: Artistry Meets Accuracy

5

9

Artisan® Print Advertising

Spread

Boldly changing your perspective on what’s possible in exterior design

10

Artisan Consumer/Trade ShowsAtlanta Home Show Sponsorship,

October 2007IBS, February 2008

Booth in development, see below

Seattle Home Show 2008

IBS Full View

IBS Artisan View

6

11

Key Growth StrategiesKey Growth Strategies

Grow Market Share and

sustain margins

Defend / Protect from share loss

Increase Plan/Panel Pen.

(Exterior Design Shift/Artisan

trade-up)

Increase Trim/Access. Pen.

(Improved product,Shingle, Panel,

Batten)

Reduce Risk of Share Loss

(Drive Color Series as Mainstream)

Incr. JH loyalty (bldr / cons.)

(Heavy-Up Marketing/Communication)

12

James Hardie: “A Better Way to Build”Builder Marketing Strategy

James HardieSiding

HardiePlank

“The best gets better”

James HardieSiding

Color Series

“Color that Lasts”

Artisanby James Hardie

“Artistry meets Accuracy”

Key Product/ Brand:

KeyMessage:

Key Point of Leverage:

James Hardie continues its

leadership in siding

Game-changing product featuring

ColorPlus technology

Design shiftSuper-premium offering:

no compromise on custom homes

Objective: Drive primary demand and brand preference for James Hardie.Communications strategy: Demonstrate continued innovation and leadership through trade and consumer campaign.

7

13

James Hardie: “A Better Way to Build”Objective: Drive consumers to website and builders’ model homes.Communications strategy: Make the outside of the home matter.

Consumer Marketing Strategy

“Protecting the Dream”

James HardieSiding

Color Series

“Color that Lasts”

Artisanby James Hardie

“Artistry meets Accuracy”

Key Product/ Brand:

KeyMessage:

Key Point of Leverage:

Greatest emotional leverage: enabling a better home for your

family

Game-changing product featuring

ColorPlusTechnology

James HardieSiding

HardiePlank

Design shiftSuper-premium offering:

no compromise on custom homes

14

BUILDERS

MarriedAge 35-54

Affluent

REALTORS

CONSUMERS

Educated

Heavily maleEven M/F

Slight male skew

InternetOOH

Newspaper

Radio heavy

Magazines

Identifying where all three

target segments intersect via shared traits and media

habits

Age 25-54

Target Audience: Builders, Realtors & Consumers

8

15

awareness

intention

consideration

shopping

opinion

familiarity

RADIO – drives frequency, aiding

familiarity and consideration.

Copy-intensive; allows greater

product focus and regional/ local

tailoring of message

ONLINE MEDIA – focus where new home buyers do research; drive traffic to jh.com

sale

TV, PRINT –singular, nat’lbrand-focused message

Strategic Role of Various Media Channels

MODEL HOME PROGRAM –reach them when/where they’re shopping

JAMESHARDIE.COM – provide

information; convert

consideration into preference and

shopping activity

Heavy-Up Advertising Plan

9

17

Heavy-Up Advertising Plan Objectives

Increase Sales through builders, consumers, contractors, and realtors

Drive Traffic to the James Hardie Web Site

Increase Brand Awareness of James Hardie Siding Products

18

Heavy-Up Media Summary

29 WeeksMarch 24thJune 11thOn-Line

11 Inserts March 24thJune 25thPrint

24 WeeksOct 22ndJune 18thRadio

24 WeeksMarch 17thSept 24thTelevision

UnitsEndsStartMedia

Heavy-up markets include: Atlanta, Houston, Seattle, Denver, Charlotte, Raleigh St. Louis

10

19

TV

20

TV Creative - Home

11

21

Digital and On-Line

22

Digital Creative - Realtor.com

12

23

Digital Creative - DreamHomeSource.com

Remodeling your home with James Hardie siding is the best investment you can make, better than kitchens or baths.”

Source:Remodeling Magazine

24

National Print

13

25

Print Creative

26

DisclaimerThis Management Presentation contains forward-looking statements. We may from time to time make forward-looking statements in our periodic reports filed with or furnished to the United States Securities and Exchange Commission on Forms 20-F and 6-K, in our annual reports to shareholders, in offering circulars and prospectuses, in media releases and other written materials and in oral statements made by our officers, directors or employees to analysts, institutional investors, representatives of the media and others. Examples of forward-looking statements include:

• expectations about the timing and amount of payments to the Asbestos Injuries Compensation Fund (AICF), a special purpose fund for the compensation of proven asbestos-related personal injury and death claims;• expectations with respect to the effect on our financial statements of those payments; • statements as to the possible consequences of proceedings brought against us and certain of our former directors and officers by the Australian Securities and Investments Commission;• expectations that our credit facilities will be extended or renewed;• projections of our operating results or financial condition;• statements regarding our plans, objectives or goals, including those relating to competition, acquisitions, dispositions and our products;• statements about our future performance;• statements about product or environmental liabilities; and• statements regarding tax liabilities and related proceedings.

Words such as “believe,” “anticipate,” “plan,” “expect,” “intend,” “target,” “estimate,” “project,” “predict,” “forecast,” “guideline,” “should,” “aim” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors, some of which are discussed under “Risk Factors” beginning on page 6 of our Form 20-F filed on 6 July 2007 with the Securities and Exchange Commission, include but are not limited to: all matters relating to or arising out of the prior manufacture of products that contained asbestos by current and former James Hardie subsidiaries; required contributions to the AICF and the effect of foreign exchange on the amount recorded in our financial statements as an asbestos liability; compliance with and changes in tax laws and treatments; competition and product pricing in the markets in which we operate; the consequences of product failures or defects; exposure to environmental, asbestos or other legal proceedings; general economic and market conditions; the supply and cost of raw materials; the success of our research and development efforts; our reliance on a small number of product distributors; compliance with and changes in environmental and health and safety laws; risks of conducting business internationally; compliance with and changes in laws and regulations; foreign exchange risks; the successful implementation of new software systems; and the effect of natural disasters. We caution you that the foregoing list of factors is not exhaustive and that other risks and uncertainties may cause actual results to differ materially from those in forward-looking statements. Forward-looking statements speak only as of the date they are made.