Exhibit 99.3

12 December 2006		For media enquiries please call Cameron Hamilton on:
		Tel: (02) 8274 5304 or Mob: 0425 344 688.
		For analyst enquiries please call Steve Ashe on:
		Tel: (02) 8274 5246 Mob: 0408 164 011.

James Hardie Rosehill Update

James Hardie has received a report from the independent expert commissioned to investigate the presence of asbestos materials at its Rosehill manufacturing plant. The investigation examined airborne fibre concentrations and possible contamination of settled dust and residues within the site. James Hardie voluntarily closed the site whilst these investigations were conducted.

The expert concluded that the main production building could be reopened.

Some contamination of settled dust by asbestos fibres was identified in the raw materials store. While monitoring in this store did not identify measurable levels of airborne asbestos fibres, the store will remain closed until the recommendations of the report have been implemented.

James Hardie will work closely with all stakeholders, including unions, to implement all recommendations contained in the expert’s report.

“We erred on the side of caution by closing the plant to seek professional advice on the concerns raised by union representatives,” said Shane Dias, General Manager of James Hardie Australia.

“The main production area is expected to re-open tomorrow.

“The temporary closure has had minimal impact on our customers and all employees have been paid whilst the investigation was carried out,” Mr Dias said.

END

Contact details are on the following page

Media Enquiries:

Cameron Hamilton

Telephone:		61 2 8274 5304
Mobile:		61 425 344 688
Email:		[email protected]
Facsimile:		61 2 8274 5218

Investor and Analyst Enquiries:

Steve Ashe — Vice President Investor Relations

Telephone:		61 2 8274 5246
Mobile:		61 408 164 011
Email:		[email protected]
Facsimile:		61 2 8274 5218

www.jameshardie.com

Disclaimer

This Company Announcement 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 that the conditions precedent to the Final Funding Agreement will be satisfied;
•		expectations about payments to a special purpose fund for the compensation of proven asbestos-related personal injury and death claims;
•		expectations concerning the Australian Tax Office amended assessment;
•		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; and
•		statements about product or environmental liabilities.

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 5 of our Form 20-F filed on 29 September 2006 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; 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 successful implementation of the internal control over financial reporting requirements of Section 404 of the Sarbanes-Oxley Act of 2002, as codified by Item 308 of regulation S-K. 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.