Equity issue to employees

Falkland Islands Holdings PLC
11 April 2006



                         Falkland Islands Holdings Plc


                         Employee Share Scheme matures
                               New shares issued

For immediate release

                                                                   11 April 2006

Falkland Islands Holdings Plc ('FIH') announces that its Save As You Earn
('SAYE') share incentive scheme matured on 31 March 2006, giving participating
employees the choice of receiving cash saved or applying the cash to exercise
share options and receiving new FIH shares.

Elections have now been received from all participants in the scheme and 81,972
new FIH shares have been issued.

The subscriptions were exercised at 175p per FIH share.

The new FIH shares referred to above include 5,400 FIH shares issued to David
Hudd, the chairman of FIH, which were announced on 5 April 2006.

Following the issue of 81,972 new FIH shares, there are 8,461,452 FIH shares in
issue.

Application has been made to London Stock Exchange Plc for the admission of the
new FIH shares to trading on AIM.

Enquiries:

Falkland Islands Holdings Plc
John Foster, Managing Director Tel: [phone]

Dawnay, Day Corporate Finance Ltd
David Floyd Tel: [phone]



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