Issue of Equity

Falkland Islands Holdings plc

("FIH" or "the Company")

Issue of Equity

FIH announces that it has applied for the admission of 4,445 new ordinary shares of 10p each in the capital of the Company ("Ordinary Shares") to trading on AIM.

The new Ordinary Shares have been issued pursuant to the exercise of options over 4,445 Ordinary Shares. Admission of the new Ordinary Shares to trading on AIM is expected to occur on 19 March 2012.

Following admission of the new Ordinary Shares to trading on AIM, the issued share capital of the Company and the total number of voting rights in the Company is 9,297,567. This figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Disclosure and Transparency Rules

Enquiries:

Falkland Islands Holdings plc

David Hudd, Chairman Tel: 07771 893 267

John Foster, Managing Director Tel: 01279 461 630

WH Ireland Ltd. - NOMAD and Broker to FIH

Adrian Hadden / Nick Field Tel: 0207 220 1666

FTI Consulting

Billy Clegg / Edward Westropp / Georgina Tel: 020 7831 3113

Bonham