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11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Results Presentation & Investor Discussion Pack 11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Mike Smith Chief

  1. NIM movement summary Group Regions Divisions Basis points (bps) Australia NZ Australia Division NZ Businesses Global Institutional HOH PCP HOH PCP HOH PCP HOH PCP HOH PCP HOH PCP Starting NIM 249.7 245.0 263.1 259.6 234.0 219.7 254.0 264.0 238.2 221.2 217.0 213.8 Funding & Asset Mix 1.3 -0.4 -0.6 -2.3 -1.0 -0.4 -2.3 -6.3 -1.0 0.4 -1.8 -5.9 Funding Costs -0.4 -2.9 1.1 -1.3 -3.9 -6.9 2.6 -2.8 -5.8 -8.8 -1.9 4.4 Deposits -4.2 -10.1 -3.6 -6.9 -7.8 -19.1 -4.7 -9.2 -8.6 -20.9 0.7 -3.8 Assets 7.2 22.9 6.9 17.3 17.6 44.9 5.9 13.0 18.9 48.4 6.0 24.8 Other -1.0 2.0 -1.1 -1.9 2.1 9.0 2.5 -0.7 2.1 3.5 -12.2 -7.5 Movement ex-markets 2.9 11.5 2.7 4.9 7.0 27.5 4.0 -6.0 5.6 22.6 -9.2 12.0 Markets -5.4 -9.3 -6.4 -5.1 -5.5 -11.8 0.0 0.0 0.0 0.0 -9.7 -27.7 Total Movement -2.5 2.2 -3.7 -0.2 1.4 15.7 4.0 -6.0 5.6 22.6 -18.9 -15.7 Ending NIM 247.2 247.2 259.4 259.4 235.4 235.4 258.0 258.0 243.8 243.8 198.1 198.1 Some small variances to the detailed NIM pages exist as a result of rounding 23

  2. Net Interest Margin Net Interest Margin HOH Composition of margin relative to peers 2.70% • Key differentiator is asset mix: 2.50% • Mix of mortgages • Institutional lending 2.30% • Greater proportion of undrawn lines which are included in NII 2.10% but not assets • Line fees included in NII 1.90% • Higher capital ANZ CBA NAB WBC 1.70% 1.50% 2H07 1H08 2H08 1H09 2H09 1H10 2H10 24

  3. Drivers of Net Interest Margin 1H11 Net Interest Margin Ex-Markets Composition 2.81% 2.81% APEA Other New Institutional Deposits Commercial Deposits Zealand Deposits Retail Deposits Institutional Lending Commercial Lending Australia Lending Retail Lending Geography Product Key Drivers by Product Category 25

  4. Net Interest Margin - Group NIM movement 1H11 v 2H10 7.2 bps 1.3 1.0 249.7 0.4 247.2 5.4 4.2 Ex-markets up 2.9 bps Down 2.5 bps 2H10 Funding & Funding Costs Deposits Assets Other Markets 1H11 Asset Mix Key drivers of movement Funding mix benefit from reduced reliance on wholesale funding and higher mix Funding & Asset Mix of free funds. This benefit was partially offset by higher proportion of Mortgages and Relationship lending assets. Funding Costs Impact of higher wholesale funding costs Largely impacted by increased competition across NZ and Australia for deposits Deposits and negative product mix impacts Asset repricing and mix benefits from the migration of fixed rate mortgages to Assets variable rates in NZ and Australia. Fee income continues to benefit from higher commitment and line fees on undrawn balances in Relationship Lending 26

  5. Net Interest Margin - Australia Division NIM movement 1H11 v 2H10 bps 2.5 258.0 5.9 2.6 254.0 2.3 4.7 Up 4.0 bps 2H10 Funding & Asset Funding Costs Deposits Assets Other 1H11 Mix Key drivers of movement Asset mix impacted an increase in the proportion of mortgage business during Funding & Asset Mix the half Funding Costs Favourable funding cost impact primarily from lower cost of basis risk Largely driven by mix impacts including switching to term deposit products, Deposits increased deposit competition and lower returns from the insensitive and replicating portfolio Improved asset margins, product mix and shift from low margin fixed rate to Assets variable rate mortgages offset by competition on lending facilities and lower fees 27

  6. Net Interest Margin - New Zealand Businesses NIM movement 1H11 v 2H10 bps 243.8 2.1 18.9 238.2 1.0 5.8 8.6 Up 5.6 bps 2H10 Funding & Asset Funding Costs Deposits Assets Other 1H11 Mix Key drivers of movement Funding & Asset Mix Decrease primarily driven by decline in net free funds and switching Funding Costs Increase in wholesale funding costs Deposits Continued increased competition in deposits Increase driven by impact of asset repricing across all businesses and Assets switching between fixed and variable home loans 28

  7. Net Interest Margin – Global Institutional NIM movement 1H11 v 2H10 6.0 bps 217.0 0.7 1.9 1.8 12.2 198.1 Ex-markets down 9.2 bps 9.7 Down 18.9 bps 2H10 Funding & Funding Costs Deposits Assets Other Markets 1H11 Asset Mix Key drivers of movement Funding & Asset Mix Increase in proportion of lower margin wholesale deposits Impact of higher funding costs primarily due to reduced spreads on deposit Funding Costs book and increased wholesale costs Improvement in margins from Asian Term Deposit‟s and product mix benefits Deposits from reduced mix in low-margin term deposits Increase primarily driven by asset repricing and improved product mix benefits Assets offset by increased competition primarily in Relationship Lending Other Various interest recoveries in 2H10 29

  8. 11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Investor Discussion Pack Balance Sheet Management

  9. Group loans and deposits Group net loans and advances Group customer deposits (including acceptances) Growth Rates Growth Rates FY07 FY08 FY09 FY10 1H11 FY07 FY08 FY09 FY10 1H11 15% 13% 14% 11% 4% 13% 15% (1%) 4% 2% $b $b 400 400 350 350 300 300 250 250 200 200 150 150 100 100 50 50 0 0 Sep 07 Sep 08 Sep 09 Sep 10 Mar 11 Sep 07 Sep 08 Sep 09 Sep 10 Mar 11 Retail Commercial Institutional 31

  10. Customer deposits by geography Australia (AUDb) New Zealand (NZDb) APEA (USDb) Growth Rates Growth Rates Growth Rates FY08 FY09 FY10 1H11 FY08 FY09 FY10 1H11 FY08 FY09 FY10 1H11 10% 16% 7% 2% 5% 1% 0% 5% 49% 49% 72% 22% 180 160 140 120 100 80 60 40 20 0 Sep Sep Sep Sep Mar Sep Sep Sep Sep Mar Sep Sep Sep Sep Mar 07 08 09 10 11 07 08 09 10 11 07 08 09 10 11 1 Retail Commercial Institutional 1. Includes Wealth 32

  11. Customer deposit composition by segment Group deposits by segment Deposits composition March 2011 (AUDb) 269 259 7 7 238 Group 7 37% 19% 42% 2% 118 113 105 Australia 29% 22% 48% 1% 44 40 40 APEA 77% 23% 100 99 86 New Zealand 8% 19% 29% 44% Mar 10 Sep 10 Mar 11 1 Wealth Retail Commercial Institutional 1. Includes Group Centre 33

  12. Net loans and advances by geography Australia (AUDb) New Zealand (NZDb) APEA (USDb) Growth Rates Growth Rates Growth Rates FY07 FY08 FY09 FY10 1H11 FY07 FY08 FY09 FY10 1H11 FY07 FY08 FY09 FY10 1H11 14% 0% 6% 3% 11% (1%) (1%) (1%) large (2%) 45% 19% 300 250 200 150 100 50 0 Sep Sep Sep Sep Mar Sep Sep Sep Sep Mar Sep Sep Sep Sep Mar 07 08 09 10 11 07 08 09 10 11 07 08 09 10 11 1 Retail Commercial Institutional 1. Includes Wealth 34

  13. Lending composition by segment Group lending composition Lending composition by segment (AUDb) March 2011 376 367 353 20 20 18 Group 5% 21% 22% 51% 191 186 Australia 19% 17% 59% 5% 177 APEA 80% 20% 84 85 84 2% New Zealand 7% 54% 37% 80 76 73 Mar 10 Sep 10 Mar 11 Institutional Commercial Retail Mortgages Other Retail & Wealth 35

  14. Australia Region - Deposits Growth Rates Deposit movement – 1H11 v 2H10 Retail $b 1.2 1.4 14% 1.1 0.0 5.1 7% 168.1 0.2 5.3 0.1 164.8 HOH PCP Commercial Sep-10 Retail Wealth Esanda Regional Business SBB Inst. Other Mar-11 Banking Commercial 12% 10% Household deposit growth (Multiple of system) 1 1.75 Growth of 1.6x system 1H11 HOH PCP 1.50 Institutional 1.25 7% 1.00 0.75 -10% Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Mar-11 System ANZ Deposits HOH PCP 36 1. APRA Statistics

  15. Australia Region - Lending Growth Rates Lending movement – 1H11 v 2H10 Retail $b 1.9 277.8 10% 0.1 0.9 0.4 0.0 0.0 6.2 0.1 0.4 4% 268.8 HOH PCP Commercial Sep-10 Mortgages Cards & Wealth Esanda Regional Business SBB Inst. Other Mar-11 Unsec. Banking Retail Commercial 4% 1% Mortgage lending growth 1 (Multiple of system) 2.0 HOH PCP Growth of 1.2x system 1H11 1.5 Institutional 1.0 4% 1% 0.5 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Mar-11 System ANZ Lending HOH PCP 37 1.Source: APRA Statistics

  16. APEA Region - Deposits Growth Rates 1H11 deposit growth by APEA deposits Retail segment (HOH) 53% RBS 1 Impact 1H10 2H10 (USD b) (%) 5% 1.5 5.0 56.2 28% 60 30% 46.1 HOH PCP 50 25% 37.4 Institutional 40 20% 50% 26.8 30 15% 28% 20 10% 6% 4% 10 5% HOH PCP - 0% 2H09 1H10 2H10 1H11 Retail Retail Institutional Asia Pacific 1H11 Deposits by • Deposit growth has been primarily driven by Institutional region (USD m)  Growth has been particularly evident in 6% Japan, Taiwan, Singapore and Hong Kong, and across priority customer segments (including the Financial 27% Institutions & Public Sector) • Retail deposit growth reflects strategy to re-focus on core affluent and emerging affluent customers. 67% 1. Deposits (in USDb) for the RBS acquisition, includes Vietnam, Philippines & Hong Kong in 1H10; Taiwan, Singapore and Indonesia in 2H10 Asia Pacific Europe & America 38

  17. APEA Region - Lending Growth Rates 1H11 loan growth by APEA loans APEA Region segment (HOH) RBS 1 Impact 1H10 2H10 62% (USD b) (%) 0.4 2.8 35 35% 31% 19% 28.8 30 30% 24.1 25 25% 19% 17.7 HOH PCP 20 20% 16.7 15 15% 12% Retail 10 10% 55% 5 5% 2% - 0% 2H09 1H10 2H10 1H11 Retail Retail Inst. Inst. 8% Asia Pacific Trans. Global Banking Loans • A continued focus on customer acquisition, particularly in HOH PCP Corporate & Institutional, has driven significant lending growth, particularly in Singapore and Hong Kong. Institutional 64% 23% 1. Loans (in USDb) for the RBS acquisition, includes Vietnam, Philippines & Hong Kong in 1H10; Taiwan, HOH PCP Singapore and Indonesia in 2H10 39

  18. New Zealand Region Lending Growth Rates (NZD) Lending Movement – 1H11 v 2H10 Retail NZDb 96.0 0.1 95.4 0.0 0.3 0.4 -1% -1% Down 1% HOH PCP Commercial Sep Retail Commercial Institutional Wealth Mar 2010 2011 0% Lending Composition by Business 95.7 96.0 95.4 -1% HOH PCP 38% 54% Institutional 0% 0% 1% 7% HOH PCP Mar 10 Sep 10 Mar 11 Retail Commercial Institutional Wealth 40

  19. New Zealand Region Deposits Growth Rates (NZD) Deposit Movement – 1H11 v 2H10 Retail NZDb 0.3 62.8 0.5 4% 1.5 3% 0.8 59.7 Up 5% HOH PCP Commercial Sep Retail Commercial Institutional Wealth Mar 9% 2010 2011 5% Deposit Composition by Business 62.8 59.7 59.3 HOH PCP 44% 29% Institutional 10% 19% 8% 4% Mar 10 Sep 10 Mar 11 HOH PCP Retail Commercial Institutional Wealth 41

  20. Global Institutional Deposits Deposit movement 1H11 v 2H10 Growth Rates (AUD) Australia $b 6.8 0.0 100.3 7% 98.7 5.2 -10% Majority of reduction in wholesale investor, less sticky deposits HOH PCP APEA Sep Australia APEA New Zealand Mar 2010 2011 33% Deposit Composition by Geography 20% 98.7 100.3 86.4 79.8 76.9 HOH PCP 41% New Zealand 50% 4% 9% Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 1% Australia APEA New Zealand HOH PCP 42

  21. Global Institutional Lending Growth Rates (AUD) Lending movement – 1H11 v 2H10 Australia $b 2.9 80.2 4% 0.2 1.9 1% 75.6 Up 6% HOH PCP APEA Sep Australia APEA New Zealand Mar 2010 2011 Lending Composition by Geography 46% 15% 85.4 80.2 75.6 73.1 70.6 HOH PCP 28% 66% New Zealand 6% Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 -4% Australia APEA New Zealand -5% HOH PCP 43

  22. 11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Investor Discussion Pack Regional Performance (Geographies & Divisions)

  23. Australia region Pro Forma Net Profit After Tax 1H11 revenue by business 1 $m 10% 2,150 Retail 29% 1,950 Commercial 22% 1,750 Wealth 671 Institutional 1,550 Institutional 38% 1,350 1,150 434 1H11 NPAT by business 1 Commercial 1,962 1,927 950 1,733 186 Wealth 750 9% 34% Retail 550 Commercial 350 709 Retail 22% Wealth 150 Aus. Division Institutional $1,329m -50 35% Group Centre 1H10 2H10 1H11 1H11 by segment 1. Excludes Group Centre and Other 45

  24. Australia region Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue $m Revenue growth: 48 Australia Div = 4%; Institutional = -4% 57 5% 16 1,962 2% 13 1,927 HOH PCP 99 Expenses 8% 2H10 Net Other Exp. Prov. Tax and 1H11 4% Interest Income OEI HOH PCP Pro forma NPAT movement – 1H11 v 1H10 Provisions $m 198 94 1,962 -2% 197 82 -26% 178 1,733 HOH PCP Net Profit after Tax 13% 1H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI 2% HOH PCP 46

  25. Australia Division – Business update & strategy ANZ Australia delivered a solid outcome • Mortgages growth 1.2x system and customer Multiple of system (1H11) 1 deposit growth 1.6x system for the half • Increased commercial customers - ANZ Household 1.2x Commercial Banking customers 2 rose by lending 6.4% or 25.1k customers for the half System Household • Well advanced in Wealth business 1.6x customer integration, launch of OnePath deposits brand, increased management bench strength - 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 • Targeting Asian migrant and student flows Commercial deposits growth with pan-regional migrants making up ~20% 15% of all new-to-market customers 12% 12% 10% 10% • Leveraging links to Asia Pacific region with 10% 169 referrals received from Asia Pacific Commercial customers in 1Q11 5% • Investing in customer facing technologies (e.g. internet & mobile platforms and multi- - lingual ATMs) and group wide systems to Total Regional Business Small deliver the business agenda. Commercial Commercial Banking Business Banking Banking 1. Source: APRA Statistics; 2. Excluding Esanda 47

  26. Australia Division Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue $m 149 8 5% 4% 57 1,411 HOH PCP 3 1,329 169 Expenses 2H10 Net Other Exp. Prov. Tax and 1H11 4% 3% Interest Income OEI HOH PCP Pro forma NPAT movement – 1H11 v 1H10 Provisions $m 69% 10 17% 175 72 1,329 HOH PCP 1,303 61 26 Net Profit after Tax 2% 1H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI -6% HOH PCP 48

  27. Australia Division – Retail Pro forma Trial intention … leading to customer gains Growth Rates (%) transactional account trial intention 1 („000s; MFI Relationship) 2 Revenue 30 180 150 6% 3% 116 20 120 77 90 HOH PCP 72 61 60 10 Expenses 30 0 0 Jan-10 Apr-10 Jul-10 Oct-10 Jan-11 Jan-10 Apr-10 Jul-10 Oct-10 Jan-11 4% 2% Peer 1 Peer 2 Peer 3 ANZ Peer 1 Peer 2 Peer 3 ANZ HOH PCP • PBP up 7% Provisions • Strong trial intention and customer acquisition 37% 13% • Retail deposit FUM increased 7% HOH, particularly in term deposits and savings products such as Progress Saver • Retail deposits market share increased to 12.5% over the five months HOH PCP to February • Mortgages FUM up 4% HOH while NIM increased 4 bps Net Profit after Tax • NPAT growth was adversely impacted by flood provisions over the half 3% 2% 1.Source: Australian Retail Brand Monitor; 2. Source: Roy Morgan 12 month moving average HOH PCP 49

  28. Australia Division – Commercial Pro forma Commercial underlying performance uneven - Business Growth Rates and Small Business performance was solid offset by Revenue difficult conditions for Regional Commercial Net interest income Net loans and advances incl. 7% SBB & BB acceptances & deposits 1% $b $m 46.2 800 45.7 HOH PCP 50.0 44.5 37.2 580 40.0 550 33.7 600 33.2 524 Expenses 30.0 400 8% 6% 20.0 200 10.0 - - HOH PCP 1H10 2H10 1H11 1H10 2H10 1H11 NLA Deposit SBB Business Banking Provisions 67% Investment in frontline FTE Customer growth 22% staff in 2H10 („000s; Main Bank Relationship) 2,3,4 20 Peer 1 Peer 2 2,836 2,806 Peer 3 ANZ 15 HOH PCP 10 2,581 8 Net Profit after Tax 5 6 2% 4 - 2 -12% Jan-10 Apr-10 Jul-10 Oct-10 Jan-11 1H10 2H10 1H11 1. Small Business Banking (SBB), Business Banking (BB), Regional Commercial Banking (RCB); 2. Source: DBM HOH PCP Business Financial Services Monitor; 3. Based on rolling 12 months average and includes businesses that have changed MFI during the last 12 months; 4. Includes customers who did not have a MFI 12 months ago (start up businesses) 50

  29. Australia Division – Regional Commercial Banking Credit Quality Significant pay down of debt occurring after high agri cash inflows • Higher provisions partly due to long-term stress in the sector and also specifically Productive Loans v. Deposit FUM for extreme weather events such as the Deposit FUM Productive Loans Queensland floods. Delinquency trends ($b) ($b) higher in Western Australia (prolonged Pay down of 14.0 14.0 drought) while full effect of Queensland debt (Cyclone Yasi and flooding) is yet to 13.0 emerge 12.0 • Majority of collective provision overlay for $0.6b 13.0 Commercial is related to RCB 11.0 Business Performance 10.0 • Significant increase in deposits (up 12% 9.0 HOH, 20% PCP) 12.0 • Lending down 3% HOH, flat PCP 8.0 • Revenue down 1% HOH following reduced 7.0 loan growth while expenses for the half were flat. 11.0 6.0 Oct-08 Jul-09 Apr-10 Jan-11 Productive Loans Deposit FUM 51

  30. Australia Division – Wealth Pro forma Insurance Funds Under Management Growth Rates in-force premiums $m Up 12 % $m Up 2 % Operating Income 1,381 45,456 44,493 44,608 1,320 1,230 5% 1% HOH PCP 1H10 2H10 1H11 1H10 2H10 1H11 Operating Expenses General Insurance Individual Group ANZ Trustees Ppty & Infra'ure. Cash and FI Global Equities Aus. Equities 4% 0% • Integration of former INGA business on track including OnePath new brand launch • New ANZ Wealth business created (including OnePath, Private Bank and Investment HOH PCP and Insurance) and management bench-strength improved • Wealth NPAT down $41m primarily due to reduced net interest income (repayment of loans) • Other operating income higher due to insurance book growth and favourable claims Net Profit after Tax experience offsetting higher funding costs and brokerage margin tightening • Operating expenses flat HOH 1% • Strong growth across the insurance segments particularly in individual life • Funds management growth subdued in difficult market conditions coupled with business transformation -18% • $11m gross impact in General Insurance due to natural disasters (includes ex-gratia HOH PCP payments to policy holders). 52

  31. APEA - Business update and strategy The APEA business continues to grow via organic build of customer relationships and core capabilities, and inter-connectivity across the network, together with Partnerships Focused investment and increased cost efficiency drives Performance Highlights continued revenue and profit growth • APEA derived revenue delivers an additional 3% of Group revenues over • Positive jaws despite high revenue growth and continued revenues earned in the APEA geography investment, including local incorporation in China, India • 6 th in Asia-Pacific ex-Japan DCM market branch build, further investment in Partnerships, and rollout • Five-fold increase in Wealth AUM PCP of platforms such as Transactive Asia • Asia‟s Best Employer Brand Award, 2011 Institutional business continuing to grow… Asia Pacific Footprint Asia- Asia-US • Continuing to grow customer base and client penetration Europe through increasing industry focus, build out of regional product suite and improved of relationship management • Accelerating „catch' and „throw' model to capitalise on multi- Intra- Greater China national companies increasing business to/from Asia Asia (27) Pacific- Asia …while Retail & Wealth, Private Bank and Commercial Greater India (1) businesses growing in target segments Mekong (31) Malaysia Pacific (60) • RBS integration nearing completion - over 2.4m customers in Singapore (6) Asia Indonesia (28) • Launched Signature Priority Banking proposition in 8 countries Pacific- Asia- Aus/NZ Aus/NZ • Commercial build out focusing on customer acquisition and ANZ number of Demonstrating Franchise () increasing management bench strength branches and interconnectivity Network across the ANZ representative • Growth in deposits a priority Hubs offices network Partnerships Source: Bloomberg, Employer Branding Institute, internal financials Notes: 1. 1H FY 2011 annualised, FY 2010 is FX adjusted 53

  32. APEA Division overview Pro forma revenue & expenses 1H11 revenue by geography (USD m) 2,500 2,094 14% South East Asia 2,000 36% North East Asia 1,500 1,268 12% 1,214 1,071 1,023 1,000 730 Pacific 641 573 500 Europe & America 38% 0 FY10 1H10 2H10 1H11 Revenue Expenses Pro forma NPAT 1H11 revenue by business (USD m) 700 615 36% 600 Institutional 500 385 400 335 12% Retail 280 300 200 Asia Partnerships 100 52% 0 FY10 1H10 2H10 1H11 54

  33. APEA Division financial performance Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue USD m 24% 167 18% 18 385 30 89 335 76 HOH PCP Expenses 27% 14% 2H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI HOH PCP Pro forma NPAT movement – 1H11 v 1H10 Provisions USD m 173 71 385 72 -30% -62% 280 54 157 HOH PCP Net Profit after Tax 38% 1H10 Net Other Exp. Prov. Tax and 1H11 15% Interest Income OEI HOH PCP 55

  34. APEA Institutional APEA Institutional revenue Strong contribution by Pro forma Growth Rates driven by Asia Global Markets Revenue Underlying revenue (USD ‘000) 800 30% FY09 benefited 29% 9% Asia from increased 13% market 600 volatility Europe 9% 400 HOH PCP America 200 Expenses 68% 37% 0 Pacific 15% FY08 FY09 FY10 1H102 2H10 1H11 Trading Sales Continue momentum across the region • HOH PCP ~600 new clients over last 12 months 1 • 23% lending growth and 28% deposit growth in 1H11 Provisions • Revenue contribution to Global Institutional increased to 26% 69% Ongoing investment in capability • Global Markets platform and footprint • ANZ Transactive cash management platform launched, with Singapore and Hong Kong on-line later this year -56% • Core banking platform development HOH PCP • ~50 new products deployed into region Increasing footprint, building connectivity Net Profit after Tax • Continue to invest in front line staff • 41% Expanding footprint in China, India, London and New York 28% • Continue to develop key markets of Indonesia, Singapore, Hong Kong and Japan Ongoing sales momentum • Industry specialisation • Focus on product cross-sell and capturing intra Asia flows HOH PCP • Diversifying business mix 56 1. APEA includes Commercial Bank

  35. APEA Retail & Wealth Pro forma Significant customer Growth momentum in Asian Growth Rates Wealth AUM 1 build-out Revenue Customer Numbers (‘000) USD m 5,838 6 18% 6 5,248 Includes 14% Includes 420 431 accounts from accounts from RBS acquisition RBS acquisition 5 2,037 2,058 HOH PCP 433 1,439 715 Expenses 1H10 2H10 1H11 1H10 2H10 1H11 17% 2 2 R&W Asia R&W Pacific Private Bank 7% Strong revenue growth in chosen customer segments • 14% revenue increase HOH; positive JAWS • HOH PCP Wealth AUM increased 11% HOH • Focused acquisition on target segments; closed 82,500 accounts HOH Provisions Customer Centricity Launched SPB 3 in 6 Asian and 2 Pacific Countries • • Revamped sales incentive scheme - focus on customer satisfaction • Expanded wealth management products (added 700+ products HOH) -64% -66% • Launched mortgages in Singapore, Taiwan & Indonesia HOH PCP Connectivity • Focus on deposits / cross-sell of wealth management products Net Profit after Tax • Leveraging of strategic partnerships, e.g. Singapore Airlines large Channels large • Updated website look-and-feel • Established standardised service levels for call centres • Launched mobile banking application on iPhone in Taiwan HOH PCP 57 1. Assets Under Management (AUM); 2. Retail & Wealth (R&W); 3. Signature Priority Banking

  36. Asia Partnerships' contribution continues to be significant Partnership contribution to Growth in value in Partnerships APEA NPAT ANZ share as at (31 March 2011) USD m USD b 200 5 Listed investment Unlisted investment Others 4 150 BoT 3 Panin 100 AMMB 2 SRCB 50 1 Sacombank - 0 Impacted by write-down of Current book + Net cash Current book investment in Sacombank principally due to a decline additional market investment value in the Vietnamese currency value of listed 1H11 -50 partners Profit contribution remained Driving outperformance significant • Sacombank impairment charge taken in 1H11 with • Continue to add value to Partnerships through weak Vietnamese Dong and share price infusion of ANZ talent and skills to “outperform” • Key Partnerships delivering majority of profit • Invest in expansion opportunities at appropriate times and as price, policy and regulations allow Note: AMMB Holdings Berhad (AMMB), Shanghai Rural Commercial Bank (SRCB), P.T. Bank Pan Indonesia (Panin), Bank of Tianjin (BoT) and Saigon Thung Tin Commercial Joint-Stock Bank (Sacombank) 58

  37. New Zealand – simplifying structure, systems and processes Simplifying our structure to be more customer focused • Management structure change will deliver greater external focus and faster decision making while reducing costs  Moved from six national management structures to three across Retail, Business Banking and Commercial & Agri  Business Banking now a standalone specialist business  Commercial and Rural Businesses merged to form Commercial & Agri, broadens service provided to agricultural sector • Four distinct regions created & aligned across segments to bring decision making closer to customer Simplifying systems, products and processes • Moving to a single technology platform will drive efficiencies and improve customer experience • A NZD98 million post tax significant item charge related to this project is reflected in the half year accounts • Single refreshed core banking platform & single set of channel platforms • Removing product duplication to provide a simplified, market competitive product suite 59

  38. New Zealand economic update • Emerging economic recovery impacted by the The Canterbury earthquake delayed the upswing Christchurch earthquake in February:  Reconstruction work of $15-20bn is equivalent to up to 10% Forecast 6% of annual GDP  Immediate fall in confidence but subsequent recovery in GDP Annual % change 4% business confidence is encouraging • Likely economic recovery from second half 2% 2011, supported by:  Record commodity prices 0%  Rugby World Cup  Christchurch earthquake rebuilding -2% • NZ’s economic framework is serving the economy -4% well: 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14  RBNZ cut OCR by 50 bps in March  Strong NZD/USD but weak NZD/AUD System Forecasts (Registered Banks)  Low levels of government debt and scope to lean on the balance sheet to support the economy near term Lending Growth FY10 FY11 FY12 FY13 FY14  Challenge is to unlock natural resource endowment including water and strengthen trade linkages to Asia Housing 3.0 1.7 4.8 4.3 4.3 • The medium-term outlook is more modest Consumer Finance 2.2 4.2 4.0 4.3 4.9  Extended period of deleveraging as the economy rebalances Business 1 -2.7 0.2 2.0 5.5 6.1  A lower trend growth rate in medium-term but stronger 5- 10 years out as areas of comparative advantage (e.g. Lending Growth 0.6 1.1 3.7 4.8 5.0 primary production, tourism, water) are unlocked Deposit Growth • Household credit growth is expected to recover, but will remain more closely tied to income growth of Households 2.9 8.0 5.6 5.1 5.5 c.5% p.a. Note 1 . Includes Rural • Demand for business finance is expected to increase Sources: RBNZ (2010 actual); ANZ forecasts (2011-14), finalised as the recovery progresses February 2011 60

  39. New Zealand Region 1H11 Profit Before Provisions Net Profit After Tax Contribution by Business 1 (Pro forma) 3% (NZD m) Retail 23% 1,000 Commercial 884 50% 900 Wealth 800 24% Institutional 700 643 605 600 510 500 1H11 NPAT 374 Contribution by Business 1 400 4% 300 200 Retail 27% 100 Commercial 47% 0 Wealth FY09 FY10 1H10 2H10 1H11 Institutional 22% 1. Excludes contribution from Shareholder‟s Functions, Operations and Support 61

  40. New Zealand Region Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue NZDm 46 605 6% 59 7 4% 510 55 38 HOH PCP Expenses 2% 2H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI -5% HOH PCP Financial performance has continued to improve with recovery in the New Zealand economy Provisions • Momentum moderated by de-leveraging across the market • Demand for credit subdued with revenue growth assisted by -35% continued switching of fixed rate to variable rate lending – fixed rate -74% now 46% of mortgage book versus 68% same time last year HOH PCP • Expenses well managed with cost to income ratio reduced to Net Profit after Tax 44.8%, down from 49.0% at 2H10 • Operational efficiencies, improved service levels and business 62% outcomes are expected from the move to a single banking technology 19% platform and simplified regional management structure HOH PCP 62

  41. New Zealand Region – Key drivers of performance Pro forma NPAT Contribution Revenue & expense growth NZDm 605 496 510 7% 374 6% 147 4% 1H09 2H09 1H10 2H10 1H11 2% 2% Retail & Wealth Commercial 1% Institutional Other Provision charges NZDm 599 330 291 131 -5% -5% 85 1H10 2H10 1H11 (HoH) 1H11 (PCP) Revenue Expenses 1H09 2H09 1H10 2H10 1H11 Retail & Wealth Commercial Institutional Other 63

  42. New Zealand Businesses Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue NZDm 7% 67 453 30 376 22 35 1% - 7 HOH PCP Expenses Flat 2H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI -4% HOH PCP Pro forma NPAT movement – 1H11 v 1H10 Provisions NZDm 253 453 110 -41% 102 -72% 218 8 2 HOH PCP - Net Profit after Tax Large 1H10 Net Other Exp. Prov. Tax and 1H11 20% Interest Income OEI HOH PCP 64

  43. New Zealand Businesses – Revenue composition NZ Businesses Pro forma Revenue Mortgage portfolio composition Composition (NZDm) NZDm 100% 23% 23% 32% 1,600 2.50% 80% 42% 54% 2.45% 60% 1,400 40% 77% 77% 2.40% 68% 58% 46% 1,200 20% 2.35% 0% 2.30% 1,000 1H09 2H09 1H10 2H10 1H11 2.25% % Fixed % Variable 800 2.20% Mortgage portfolio repricing profile 600 2.15% % of portfolio repriced 2.10% 400 100% 97% 100% 2.05% 88% 200 80% 73% 2.00% 60% 0 1.95% 40% 40% 1H09 2H09 1H10 2H10 1H11 20% NII (LHS) 0% Other operating income (LHS) FY09 FY10 FY11 FY12 FY13 NZ Bus NIM (RHS) 65

  44. New Zealand – Retail & Wealth Pro forma Well managed business in a subdued economy Growth Rates • Strong NPAT growth driven by significant decline in provisions both HoH and PCP Revenue • Revenue has absorbed ~1% PCP impact of exception fee reductions effective 1st 4% December 2009 • Expenses well managed down 4% HoH 1% • Share of new mortgage business increasing in <80% LVR market • The ongoing repricing of the Fixed Mortgage book estimated 73% complete at FY10 HOH PCP with a further 15% to reprice during FY11 • Integration of OnePath into Wealth business progressing well - 20% share of new Expenses life risk business for the March quarter, market-leading KiwiSaver provided with 4% $1.95b FUM and 24% market share ANZ brand customer Changes to fees and launching satisfaction at historic highs 1 market leading products has -4% restored customer growth HOH PCP 100% 89% Main Bank Customers 85% 85% Provisions Thousands (Seasonally Adjusted) 80% 1,210 1,205 60% 1,200 -46% -63% 1,195 40% 1,190 HOH PCP 1,185 1,180 20% Net Profit after Tax 1,175 38% 1,170 31% 0% Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec 1Q09 1Q10 1Q11 08 08 08 09 09 09 09 10 10 10 10 HOH PCP 1. Nielsen CFM survey 66

  45. New Zealand – Commercial & Agri Pro forma Successful consolidation of the Agri division into Commercial Growth Rates 1 division now better placed to support customers growth Revenue • New Zealand Commercial business now comprises of Commercial 9% division, Agri division and Business Banking • Guiding customers through the current challenging economic cycle via 1% customer learning forums • Super Regional strategy continues to support New Zealand business‟ HOH PCP regional growth aspirations, e.g. Transactive platform enables seamless Trans-Tasman banking; first Australasian bank to complete Chinese RMB Expenses deal Flat • Reduction in lending due to increased Fonterra payouts, and continued debt reduction in market • Maintaining good cost management disciplines -4% Activity Outlook Index 2 HOH PCP Dairy Milk Payout/Price 3 $ per kg MS . Provisions 60 50 8.0 40 30 6.0 -38% 20 -75% 10 4.0 0 HOH PCP -10 2.0 -20 Net Profit after Tax -30 -40 0.0 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 May-09 Jul-09 Sep-09 Nov-09 Jan-10 Mar-10 May-10 Jul-10 Sep-10 Nov-10 Jan-11 Mar-11 Oct Oct Oct Oct Oct Oct Oct Oct Oct Large 02 03 04 05 06 07 08 09 10 12% Total Agriculture Manufacturing 1 Growth rates reflect total Commercial i.e. includes the combination Commercial and Agri and Business Banking divisions HOH PCP 2 National Bank Business Outlook March 2011 3. ANZ National Bank 67

  46. New Zealand – Business Banking Establishment of a standalone specialist business bringing a new level of focus to managing small business customers • FUM and revenue growth solid in a subdued market • Strong NPAT growth and a significant decline in provisions evident in the HoH and PCP outcomes • Investment in frontline roles to grow the business has been managed through other cost savings, leaving expenses largely flat • Customer Satisfaction has improved across both Brands in the last 6 months 1 One third of the SME market in Business Banking has seen NZ has a banking relationship steady growth in customer with ANZ 1 numbers over the half year 101,600 32% 101,400 101,200 21% 20% 101,000 15% 100,800 100,600 100,400 100,200 ANZ/NBNZ Peer 1 Peer 2 Peer 3 Sep 10 Oct 10 Nov 10 Dec 10 Jan 11 Feb 11 1. Source: TNS Conversa 68

  47. New Zealand – Institutional Pro forma ANZ continues to dominate the NZ institutional segment Growth Rates • Extended position as clear market leader, outstanding results across 5 Peter Lee Associate surveys Revenue 13% • First half revenue growth reflects strong Markets result. Growth against 1H10 impacted by lower contribution from the management of interest rate risks in the Bank‟s balance sheet • Expenses flat HoH. Cost growth of 16% PCP driven by investment in systems -7% supporting the Super Regional strategy HOH PCP • Connecting customers to Asia and demonstrating ANZ regional capability, e.g. first Australasian bank to complete a Chinese RMB denominated trade settlement deal; Expenses implemented full local payments and cash management for NZ customer's China 16% operations • Market leading innovative client solutions, e.g. only domestic bank to structure Export Credit Agency Funding; extended commodities capability; launched Transactive, the only full capability web based Tran-Tasman cash management and payment system to -1% be offered by an Australasian bank HOH PCP Most Trusted Adviser 1 Relationship Strength 1 (% Total Customers) Provisions (Relationship Strength Index 2010) 54% 598 42% -38% 531 -62% 517 29% HOH PCP 16% 449 12% 8% Net Profit after Tax 426 5% ANZ Peer 1 Peer 2 Peer 3 Peer 4 ANZ Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Sources: 1: Peter Lee Associates Large Corporate and Institutional Relationship Banking New Zealand Survey 2010 -17% HOH PCP 69

  48. Global Institutional Making Clear Progress on our Strategy Growing connectivity driven revenue • Growing our client base and diversifying our geographic mix: Brought on 676 new Institutional, Corporate and Financial  Domestic Institutions clients in the past half, a 10% increase HOH Cross Booked ANZ recognised as “One of the Fastest -growing corporate  Border banks in Asia” in the Greenwich Associates‟ 2011 Large 78% Cross border Corporate Banking Survey 22% revenues 28% of total lending now in APEA, up from 21% in 2009  up 10% PCP • Investing in support infrastructure: ANZ Transactive Trans-Tasman cash management platform  launched, with Singapore and Hong Kong on-line later this year – 3,241 client sites activated for ANZ Transactive in Growing and diversifying Australia and New Zealand regional client base New capabilities have been introduced including new FX  Geographic Mix of new clients liquidity and rates platforms won past 12 months Core Market Risk and Credit Risk capabilities are in the  process of being enhanced 16% Australia • Strengthening our relationships: Further strengthened our position in Australia and New  Asia 20% Zealand relationships as measured by Peter Lee Associates 1 • Making progress in our priority sectors of New Zealand resources, agriculture and infrastructure: 60% 4% Lead Arranger and book- runner for Woodside‟s $1bn  Syndicated Term Loan Facility Europe & America Sole arranger of AUD475m Emerald grain repurchase  syndication 1. Based on ANZ‟s Relationship Strength Index scores in the Peter Lee Associates Large Corporate and Institutional Relationship Banking Survey – Australia and New Zealand 2009 and 2010. 70

  49. Global Institutional – Financial Performance Pro forma Pro forma NPAT movement – 1H11 v 2H10 Growth Rates Revenue $m 156 7% 1,028 203 914 4% 72 71 102 HOH PCP Expenses 20% 8% 2H10 Net Other Exp. Prov. Tax and 1H11 Interest Income OEI HOH PCP Pro forma NPAT movement – 1H11 v 1H10 Provisions $m 280 1,028 198 19 816 81 -50% 166 (50%) -65% (65%) HOH PCP Net Profit after Tax 26% 1H10 Net Other Exp. Prov. Tax and 1H11 12% Interest Income OEI HOH PCP 71

  50. Global Institutional – Performance by Geography Pro forma Pro forma PBP movement - 1H11 v 2H10 Growth Rates 1H11 v 2H10 AUDm 26 1,591 Revenue 108 104 1,561 30% 13% -4% Australia APEA New Zealand 2H10 Australia APEA New Zealand 1H11 PBP 48% 19% Pro forma PBP movement - 1H11 v 1H10 AUDm 59 29 17 1,591 -9% 1,578 Australia APEA New Zealand NPAT 28% 10% 5% 1H10 Australia APEA New Zealand 1H11 Australia APEA New Zealand 72

  51. Global Institutional – Performance by Business Pro forma Pro forma PBP movement – 1H11 v 2H10 Growth Rates 1H11 v 2H10 $m 67 24 1,591 Revenue 1,561 32 29 12% Impacted by one-off interest 4% 0% write back 2H10 Global Transaction Global Loans Banking Markets 2H10 Global Transaction Global Other 1H11 Loans Banking Markets PBP 14% Pro forma PBP movement – 1H11 v 1H10 3% $m 69 50 1,591 1,578 -8% Global Transaction Global 82 Loans Banking Markets 24 NPAT 36% 28% 1H10 Global Transaction Global Other 1H11 Loans Banking Markets -16% Global Transaction Global Loans Banking Markets 73

  52. Global Markets – Performance by Product Revenue Growth Revenue Contribution by Product $m Total Revenue 8% 1400 1200 -2% 1000 31% HOH PCP 800 Fixed Income 600 12% 12% 43% 400 14% 200 0 -18% 1H08 2H08 1H09 2H09 1H10 2H10 1H11 -200 HOH PCP FX & Commodities Other Capital Markets Foreign Exchange Fixed Income 23% 21% • Continued focus on growing global customer flows, risk management and diversifying product revenues across the regions • Investment in FX and Commodities businesses delivering real revenue HOH PCP momentum, further supported by upward trends in commodity prices Capital Markets • Capital Markets deal flow continues to strengthen across the entire 6% Asia Pacific region • Fixed income captured increased share of key markets, including a record deal in Japan, the largest Corporate Sales deal for ANZ in Asia -10% HOH PCP 74

  53. Global Markets – Performance by Geography Revenue Growth Revenue Contribution by Geography Australia $m 1,400 (4%) 1,200 (7%) 1,000 HOH PCP 800 53% 35% 600 APEA 30% 400 12% 200 16% 1H08 2H08 1H09 2H09 1H10 2H10 1H11 HOH PCP Australia APEA New Zealand New Zealand 19% • Results highlight continuing success of strategic initiatives aimed at diversifying revenue streams across geographies • Targeted investment in APEA has driven 1H11 growth of 30% with 42% growth in Asia (20%) (20%) HOH PCP 75

  54. Transaction Banking ANZ Transactive Payments & Cash Management Monthly Transaction Volumes • Effective working capital and liquidity 2,500,000 8,000 management is central to any client‟s core 7,000 banking relationship 2,000,000 6,000 • ANZ Transactive monthly transaction volumes 5,000 1,500,000 up 27% HOH 4,000 • Launched trans-tasman cash management 1,000,000 3,000 functionality during half – the first integrated 2,000 cash management platform across Australia 500,000 1,000 and NZ 0 0 • ANZ Transactive Asia also launched into eight Nov-09 May-10 Nov-10 Asian countries during the half, and currently has 2,599 registered clients Australia (LHS) Asia (RHS) Total Trade Exposures Trade & Supply Chain AUDb Funded & Unfunded • Total Trade assets are up 30% in Asia 35 compared to March 2010. 30 • ANZ again awarded best trade bank in Australia 25 20 by Global Finance, Insto and Global Trade 15 Review magazines 10 • Also recognised as one of the Top 5 trade banks 5 in the Asia Pacific region 0 • Structured Trade Finance team recently 1H10 2H10 1H11 completed a AUD475M Syndicated Warehouse Asia Australia NZ E&A Finance Repurchase Facility - the first ever in the global market place 76

  55. 11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Investor Discussion Pack Treasury

  56. ANZ well capitalised and positioned to manage transition to Basel III Basel II Basel III – Core Tier 1 ~15.5% ~14.1% 13.0% 12.1% 11.9% 10.7% 10.5% ~9.5% ~9.5% 10.1% Core ~8.5% Tier 1 ~8.3% surplus ~7.7% over 7.0% ~7.4% ~7.0% Capital Buffer ~11.8% 2.5% Additional Basel 3 Full alignment to 8.5% 8.5% 8.0% requirements ~ -150bps Basel ~ +250bps Minimum Target 4.5% Mar-10 Sep-10 Mar-11 Core Tier-1 Higher RWA 10%/15% Dividend DTA incl. in RWA: IRRBB Mar-11 FSA Mar-11 Minimum Deduction Charges threshold accrual,net EL v EP & Basel III (Insur,banking (market & insur,assoc, capitalised deduction+ mortgage Core Tier-1 Target: assoc,ELvEP) credit risk, DTA expenses+ LGDs Ratio 4.5% securitisation)* Core Tier 1 Tier-1 Total *excludes impact of BIII liquidity reforms in RWA +includes increase in 10% threshold insurance & associates 78

  57. Solid organic capital generation underpins strong Core Tier-1 position Capital Position (Core Tier-1 Ratio) ~11.8 ~9.5 1.06 (0.37) (0.09) (0.09) (0.07) 8.49 8.05 Portfolio Growth & mix: 15bp decrease Risk Migration: 7bp increase Non credit RWA: 1bp decrease net organic up 51bp up 44bp Sep-10 NPAT(1) Dividend/ RWA Other(4) Investments Mar-11 Mar-11 Basel III Mar-11 FSA DRP(2) movement(3) 1. Underlying NPAT. 2. Includes prior period under-accrual of DRP . 3.Includes impact of movement in Expected Loss versus Eligible Provision excess. 4. Includes OnePath Insurance Business, Asian Banking Associates, Non-Core NPAT items, Capitalised Costs and Software, FX, Net Deferred Tax Assets, Pensions, MTM gains on own name included in profit 79

  58. Tier-1 position continues to strengthen with solid organic capital generation Capital Position (Tier-1 Ratio) ~14.1 ~11.3 1.06 (0.37) (0.11) (0.10) (0.07) 10.51 10.10 Portfolio growth & mix: 18bp decrease Risk Migration: 8bp increase Non credit RWA: 1bp decrease net organic up 48bp up 41bp Sep-10 NPAT(1) Dividend/ RWA Other(4) Investments Mar-11 Mar-11 Basel Mar-11 FSA DRP(2) movement(3) III(5) 1. Underlying NPAT. 2. Includes prior period under-accrual of DRP . 3.Includes impact of movement in Expected Loss versus Eligible Provision excess. 4. Includes OnePath Insurance Business, Asian Banking Associates, Non-Core NPAT items, Capitalised Costs and Software, FX, Net Deferred Tax Assets, Pensions, MTM gains on own name included in profit. 5. Includes 10% reduction in hybrid Tier-1 volumes. 80

  59. Reconciliation of ANZ’s capital position to FSA Basel 2 guidelines APRA regulations are more conservative than current FSA regulations, in that APRA requires: • A 20% Loss Given Default floor for mortgages (FSA: 10% floor) • Interest Rate Risk in the Banking Book (IRRBB) included in Pillar I risks (FSA: Pillar II) • Capital deductions for investments in funds management subsidiaries (FSA: RWA assets) • Insurance subsidiaries to be a mixture of Tier 1 and Tier 2 deductions (FSA: transitional regulations permit Total Capital deductions under certain circumstances) • Expected dividend payments (net of dividend reinvestments) to be deducted from Tier-1 (FSA: no deduction) • Collective Provision to be net of tax when calculating EL v EP deduction (FSA: tax effect difference between EL and EP on gross basis) • Associates to be a mixture of Tier-1 and Tier-2 deductions (FSA: permits proportional consolidation under certain circumstances) Core Tier-1 Tier 1 Total Capital Mar-11 under APRA standards 8.5% 10.5% 12.1% RWA (Mortgages, IRRBB) 1.4% 1.6% 1.8% OnePath Funds Management and Life Co. businesses 0.9% 0.9% 0.3% Interim dividend accrued net of DRP & BOP 0.4% 0.4% 0.4% Expected Losses v Eligible Provision 0.2% 0.2% 0.3% Insurance subsidiaries (excluding OnePath businesses) 0.2% 0.2% 0.0% Investment in associates 0.2% 0.2% 0.4% Other 1 0.0% 0.1% 0.2% Total adjustments 3.3% 3.6% 3.4% Mar-11 FSA equivalent ratio 11.8% 14.1% 15.5% 1. Other includes Net Deferred Tax Assets, Capitalised Expenses, Deferred Income and roundings. 81

  60. Stable term debt issuance, portfolio costs continue to increase Stable term funding profile – FY11 issuance Portfolio term funding costs continue to ahead of schedule (~70% complete) increase as pre 2008 debt reprices Senior Debt Government Guarantee Bps 1 Subordinated Debt Pre funded in FY10 140.0 30.0 Issuance Maturities 120.0 25.0 100.0 Future Repricing 20.0 80.0 15.0 60.0 10.0 40.0 5.0 20.0 0.0 0.0 FY08 FY09 FY10 FY11 YTD FY 11 FY12 FY13 FY14 FY15+ Sep Sep Sep Sep Sep Sep Sep Sep Sep Sep 05 06 07 08 09 10 11 12 13 14 1 Excludes perpetual debt 82

  61. ANZ’s has a well diversified and improved funding profile Strong Funding Composition Minimal offshore short-term wholesale funding; Offshore CP accounts for <2% (~$8.6b) Short Term Wholesale Customer Funding Funding Shareholders equity & Gross Interbank, Other Term Debt < 1 year Hybrid debt Residual Maturity 2% Term Debt > 1 year APEA CDs 1% Residual Maturity 2% Equity/ 11% Hybrids Offshore CP 8% 6% Domestic CDs 11% 12% 17% 22% 6% 6% 5% Well diversified term wholesale funding portfolio 15% 7% 16% 15% 14% Offshore PPs (Multi ccy 4% incl. HKD,SGD,RMB) 2% Japan (¥) 60% 58% 4% 55% 50% UK & Europe ( € ,£,CHF) 21% 5% North America (USD, CAD) 6% 8% 8% 8% 7% Domestic (AUD, NZD) Sep 08 Sep 09 Sep 10 Mar 11 83

  62. Solid Liquidity position however B3 liquidity requirements remain uncertain Strong liquidity position ($b) Recent Basel III Developments • The implementation of the new B3 liquidity requirements remains subject to consultation 6.2 5.0 and clarification 7.8 • Key Definitions including Financial Institutions and Operational Deposits remain outstanding 28.2 and are likely to be clarified by APRA later in 2011 3.2 • Given the lack of eligible liquid assets in 7.7 66.7 67.0 60.2 Australia, APRA will allow banks to meet their LCR requirements through a committed liquidity facility at the RBA backed by repo 34.7 31.1 eligible stock • The banks will pay a fee for this facility in line with cost of holding B3 eligible liquid assets Sep 08 Sep 09 Sep 10 Mar 11 Mar 11 Timing / Next steps • Extended transition period with Prime Liquidity Portfolio Class 1 – AAA & Cash implementation of the LCR expected in 2015 • Final quantum of the LCR shortfall will Other Eligible Securities Class 2 – AA or better depend on exact definitions adopted and product innovation and development during Class 3 – Internal RMBS the transition period • Expected NSFR implementation in 2018 84

  63. Foreign Exchange impacts Earnings Composition by Region EPS Impact & Average Translation Rates Current Hedging Unhedged % Group Underlying Profit ~(3.1%) 100% 1.40 (2.5%) 90% (1.9%) 1.30 ~(1.5%) 80% 1.20 70% 1.10 60% 1H11 HoH FY11 PCP 50% 1.00 @Current rates 40% 0.90 • Hedge profits partially mitigated the impact of 30% AUD strength on 1H11 earnings 0.80 20% • For 2H11, hedges are in place to cover ~60% of 0.70 10% NZD, USD and other significant currencies - each 5% appreciation of the AUD negatively impacts 0% 0.60 FY11 EPS by ~0.3% 2H09 1H10 2H10 1H11 • FY12 FX headwind estimated to be ~1%, with APEA (LHS) New Zealand (LHS) ~60% of USD and other significant currency exposures hedged at an equivalent AUD/USD Australia (LHS) AVG AUD/USD (RHS) rate of 0.97, however only modest NZD hedges AVG AUD/NZD (RHS) in place 85

  64. 11 HALF YEAR RESULTS AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED 3 May 2011 Investor Discussion Pack Risk Management

  65. Provision Charge and Impaired Assets Total Provision Charge New Impaired Assets (IP charge by Division, total CP charge) by Division $m $m 1,800 4,000 1,621 3,600 1,435 1,600 3,500 3,126 3,035 1,400 3,000 1,098 1,200 2,437 2,500 2,319 1,000 Oswal 2,000 722 800 660 1,500 600 1,000 400 500 200 0 0 1H09 2H09 1H10 2H10 1H11 -200 1H09 2H09 1H10 2H10 1H11 Institutional Australia Division NZ Businesses APEA ex-Institutional CP charge 87

  66. Individual Provision Charge Individual Provision Charge Individual Provision Charge by Segment composition $m $m 1,531 2,000 2,000 1,283 1,062 1,500 762 594 1,800 1,000 1,531 500 1,600 0 1,283 1,400 -500 1H09 2H09 1H10 2H10 1H11 1,200 1,062 New Increased Writebacks & Recoveries 1,000 Individual Provision Charge 762 by Region 800 $m 594 2,000 1,531 600 1,283 1,500 1,062 400 762 1,000 594 200 500 0 0 1H09 2H09 1H10 2H10 1H11 1H09 2H09 1H10 2H10 1H11 Australia New Zealand APEA Institutional Commercial Consumer 88

  67. Collective Provision Charge Collective Provision Charge by Source Lending Growth Economic Cycle & Concentration Risk Profile Portfolio Mix $m 500 Australia New Zealand Global APEA Total Group Division Businesses Institutional (ex-Inst.) 400 66 116 (46) 5 (9) 300 56 29 16 12 200 -1 79 100 60 0 -19 -100 21 -200 -9 -20 -34 -26 -300 -1 -16 -15 -400 1H09 2H09 1H10 2H10 1H11 89

  68. Credit Risk Weighted Assets Total Credit Risk Weighted Assets Credit RWA movement 1H11 $b $b 257.8 4.6 0.1 233.5 233.2 233.2 233.5 229.8 3.7 220.4 1.1 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 Sep 10 Growth Data FX Risk Mar 11 Review Impact 90

  69. Impaired Assets Gross Impaired Assets Gross Impaired Assets by Type by Size of Exposure $m $m 8,000 Impaired Loans NPCCD Restructured 6,561 6,561 6,221 5,595 6,000 4,158 8,000 4,000 7,000 6,561 2,000 6,561 6,221 0 6,000 Oswal 5,595 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 > $100m $10-$99m < $10m 5,000 4,158 New Impaired Assets by Segment 4,000 $m 3,600 4,000 3,000 3,126 3,035 3,000 2,437 2,319 2,000 2,000 1,000 1,000 Oswal 0 0 1H09 2H09 1H10 2H10 1H11 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 Institutional Commercial Retail 91

  70. Watch & Control Lists and Risk Grade Profiles Group Risk Grade profile by Watch & Control List Exposure at Default Watch List by Limits Index Mar 2009 Watch List by No. Groups 6% 6% 6% 6% = 100 Control List by Limits 9% 8% 9% 9% Control List by No. Groups 180 12% 13% 13% 13% 160 14% 13% 14% 13% 140 120 100 80 59% 60% 59% 58% 60 40 20 Sep 09 Mar 10 Sep 10 Mar 11 0 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 AAA to BBB BBB- BB+ to BB BB- >BB- 92

  71. Commercial Industry Exposures Finance & Insurance Property Services Manufacturing 80 14% 80 14% 80 14% 12% 12% 12% 60 60 60 10% 10% 10% 8% 8% 8% 40 40 40 6% 6% 6% 4% 4% 4% 20 20 20 2% 2% 2% 0 0% 0 0% 0 0% Mar 10 Sep 10 Mar 11 Mar 10 Sep 10 Mar 11 Mar 10 Sep 10 Mar 11 Agri, Forestry & Fishing Wholesale Trade Other Commercial Exposures 120 24% 80 14% 80 14% 12% 100 20% 12% 60 60 10% 10% 80 16% 8% 8% 40 40 60 12% 6% 6% 40 8% 4% 4% 20 20 2% 20 4% 2% 0 0% 0 0% 0 0% Mar 10 Sep 10 Mar 11 Mar 10 Sep 10 Mar 11 Mar 10 Sep 10 Mar 11 Exposure at Default ($b) (LHS) % of Group Portfolio (RHS) % in Non-Performing (RHS) 93

  72. Australia 90+ Day Delinquencies Australia Division Australia Retail 90+ day Delinquency Balance ($m) 90+ day delinquencies 2,000 Total Mortgage Portfolio 1,500 NSW & ACT Mortgages QLD Mortgages 1.50% 1,000 VIC Mortgages 500 WA Mortgages Total Credit Cards 0 Mar 10 Sep 10 Mar 11 Mortgages Other Lending 1.00% Mortgages have low loss rates Individual Provision Loss Rates 0.50% 1H09 2H09 1H10 2H10 1H11 Group 0.85% 0.74% 0.61% 0.42% 0.31% 1.03% 0.72% 0.59% 0.42% 0.31% Australia Region 0.03% 0.02% 0.02% 0.01% 0.01% Australia Mortgages 0.00% Sep 07 Sep 08 Sep 09 Sep 10 94

  73. Australia Mortgages Dynamic Loan to Valuation Ratio Portfolio Statistics % Portfolio Total Number of Mortgage Accounts 831k 60% 50% Total Mortgage FUM $165b 40% 10% of Portfolio >80% LVR % of Total Australian Lending 59% 30% 20% % of Total Group Lending 44% 10% 0% Owner occupied loans - % of portfolio 64% 0-60% 61-75% 76-80% 81%-90% 91%+ Average Loan Size at Origination $227k Mar 10 Sep 10 Mar 11 Mortgage Portfolio by State Average LVR at Origination 63% (Mar 2011) Average Dynamic LVR of Portfolio 47% NSW & ACT 27% % of Portfolio Ahead on Repayments 38% 16% QLD VIC 10% First Home Owners – % of Portfolio 11% 20% WA 27% First Home Owners – % of New lending 1H11 7% OTHER 95

  74. Australia Commercial Regional Commercial Banking Australia Commercial 90+ day delinquencies 90+ day delinquencies 3.00% RCB Total Agri Other Commercial 3.00% Business Banking 2.50% Regional Commercial Banking 2.50% Esanda 2.00% Small Business Banking 1.50% 1.00% 2.00% 0.50% 0.00% 1.50% Jan-10 May-10 Sep-10 Jan-11 Australia Commercial Lending Mix 1.00% Business Banking 31% Regional Commercial Banking 0.50% 29% Esanda 7% 33% Small Business Banking 0.00% Sep-07 Sep-08 Sep-09 Sep-10 96

  75. The Queensland economy was already facing challenges before the onset of natural disasters Unemployment did not experience the Tourism flows have been declining level of decline experienced in the impacted by a strong AUD national average % 2,000 0.40 Net Tourism Annual Rolling Sum Net Tourism (lhs) 9.0 0.50 AUD/USD (rhs) AUD/USD Inverted 1,000 Australia 0.60 0.70 Queensland 8.0 - („000) 0.80 Level of unemployment 0.90 -1,000 7.0 1.00 -2,000 1.10 2000 2002 2004 2006 2008 2010 6.0 Mining is a key driver of economy but less significant than in WA 5.0 Mining as % of Total Industry 4.0 30% 14% 3.0 QLD WA 2001 2003 2005 2007 2009 2011 97

  76. New Zealand Total Impaired Assets Total Provision Charge NZDm NZDm 800 2.31% 598 2.13% 600 330 291 400 131 2,236 1.89% 85 200 2,079 0 -200 1,837 1H09 2H09 1H10 2H10 1H11 1.24% IP Charge CP Charge 90+ Days Arrears 1,220 Mortgages 1.20% 0.64% Commercial Rural 639 0.80% 0.40% Mar 09 Sep 09 Mar 10 Sep 10 Mar 10 0.00% Impaired Assets IA as % GLA 2007 2008 2009 2010 2011 98

  77. Credit Intermediation Trades Life to Date Position as at 31 Mar Notional Notional 2011 purchased Principal Credit Risk Credit Risk Mark to protection Amount on on on No. Market principal corresponding Derivatives Derivatives (USDm) amount Sold Protection (USDm) (AUDm) Counterparty Rating (USDm) (USDm) AA+/Aa3 2 2,010 204 46 44 1,522 BB/Ba1 1 3,100 94 48 47 3,100 Withdrawn Rating / 3 3,778 160 54 52 3,778 No rating Defaulted Monoline 1 - - - - - - Other costs 2 - - - 295 318 Position 31 6 8,888 458 443 461 8,400 March 2011 Position 30 6 9,879 620 488 515 8,414 September 2010 1. The last bought protection trade from the defaulted monoline matured in September 2010. 2. Other costs are cumulative life to date costs which include realised losses relating to restructuring trades to reduce risks which were unhedged due to default by the purchased protection counterparty and realised losses on termination of sold protection trades. It also includes foreign exchange hedging losses. 99

  78. Credit Intermediation Trade Portfolio • Cumulative Credit Risk on Derivative expense for the Credit Credit Intermediation Trades Intermediation Trade portfolio as at 31/3/2011 was $461m (down $55m from 30/9/2010) • Credit markets have shown a tightening bias over the past six months despite periods of volatility. The relative stability AUDb USDb in credit markets and the reduced level of credit exposure outstanding has resulted in lower MTM and CVA over the 3.50 12.00 past 6 months • However, MtM and CVA remain subject to volatility in 3.00 10.00 both credit spreads and exchange rates • The level of sold protection was relatively unchanged with no 2.50 8.00 trades exited during HY11. The total notional value of the sold protection outstanding was USD 8,400m (30/9/10 USD 2.00 8,414m). 6.00 • ANZ will look at opportunities which may arise to reduce our 1.50 remaining sold protection exposure. 4.00 1.00 • ANZ has strong levels of protection under the sold protection trades with an average attachment point of 2.00 0.50 • ~ 15% for the 12 CDO‟s • ~ 36% for the 6 CLO‟s 0.00 0.00 Sep 08 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 • ANZ has USD 8,888m in bought protection outstanding including approximately USD 0.49bn of bought protection for Mark to Market AUD (LHS) which ANZ has no remaining underlying sold protection Credit Valuation Adjustment AUD (LHS) exposure. Notional Sold Exposure USD (RHS) • The notional face value of bought protection reduced by approximately USD1bn with one trade maturing during HY11. 100

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