CORPORATE GOVERNANCE

GWA GROUP LIMITED
CORPORATE GOVERNANCE STATEMENT
FOR THE YEAR ENDED 30 JUNE 2011

The Board of Directors is responsible for the corporate governance of GWA Group Limited (“the Company”) which is an essential part of the role of the Board.

The Company’s corporate governance practices have been in place since listing and are constantly reassessed in the light of experience, contemporary views and guidelines on corporate governance practices. The Board adopts practices it considers to be superior and which will lead to better outcomes for the Company’s shareholders.

The Board supports the Corporate Governance Principles and Recommendations (“the recommendations”) of the ASX Corporate Governance Council. The Board confirms that the current corporate governance practices of the Company meet or exceed the recommendations.

The Board supports the changes to the recommendations requiring disclosure of the Company's diversity policies which are effective from 1 January 2011. In recent years, the Company has implemented a number of important diversity related policies and initiatives to further the Board's objective for achieving a diverse workforce. A specific Diversity Policy is currently being developed in accordance with the recommendations and will be implemented during the 2011/12 year. Details of the Diversity Policy will be outlined in next year's Corporate Governance Statement.