DIRECTORS’ REPORT

Financial Commentary

The Group’s unaudited result for the six months ended 28 February 2010 was a net profit before tax of $1.4 million, compared to an unaudited loss before tax of $0.7 million for the six months ended 28 February 2009.

SCOTT TECHNOLOGY – PROFITS & DIVIDENDS RETURN
FINANCIAL RESULT FOR THE YEAR ENDED 31 AUGUST 2009

The Directors of Scott Technology Ltd are pleased to report that the company produced a
profit before tax of $390,000 on operating revenues of $31.3 million for the year ended 31

As reported by TV3 on 29 June 2009, view video report - X-ray Technology looks to give NZ farmers a boost

The attached 2009 half year report is now released.

Please find attached the Director's Report for the six months ended 28 February 2009.

It is my pleasure on behalf of the Board of Directors to welcome shareholders to the Annual Meeting of Scott Technology Ltd. This Annual Meeting is the twelfth since the company was relisted on the New Zealand Stock Exchange in 1997. 2008 also marks Scotts 96th year in business, having been founded in Dunedin in 1913.

"... the year to 31 August 2008 was a challenging year, when we look back we can certainly say that we have achieved much.  Highlights of our achievements include:

• Acquisition of the Rocklabs business, with the addition of a manageable $5m of debt on our balance sheet.

Notice is hereby given that the Annual Meeting of Shareholders of Scott Technology Limited will be held at Mancan House Conference Centre, Cnr Manchester Street and Cambridge Terrace, 253 Cambridge Terrace, Christchurch, on Thursday 11 December 2008 at 4.00 p m.