John McFarlane
Chief Executive Officer

ANZ has held its top 10 position over 20 years
Market Cap

1985

2005

1

BHP

BHP

2CRACBA

3

Westpac

NAB

4

CSRTelstra

5

NAB

ANZ

6ANZ

Westpac7

Coles

Westfield

8

Ind Equity

Rio Tinto

9

SantosWoodside

10

MIM

Woolworths

Strong profit record over the past decade$mcents

120

3,500
3,000

NPAT*

100

2,500

Dividends (RHS)

80

2,000

60

1,500
1,000

40500

20009596

97

98*before abnormal items and significant transactions

99000102030405

ANZ has transformed its risk profile
Economic Loss Provision

Non Accrual Loans %expected credit loss as % of lending assets
Basis Points

2.1%5045 bps

40300.3%

25 bps202005Gross Non Accrual Loans to Gross Loans & Acceptance

191995919 8920 9020 0020 1020 2020 3020 405

10excludes central charge – ELP introduced in 1998

ANZ has led the way on productivity
Now moving to a new phase….
Cost to Income Ratio
70%• Grow revenues faster than costs

65%

65%

• Technology simplification

60%• Process redesign

55%• NZ integration synergies

50%• Overhead reduction

45%• Leverage offshore capability

45%

40%

40%

35%
30%
1995

1997

1999

2001

2003

2005

Share price quadrupled over the last 10 years
Share price has grownapprox. 300% since 1995
$25

Market Capitalisation
increased from $8b to $42b$23.05

42.1

$20
$15

$5.80

$10
8.2

$5$0
1995 1997 1999 2001 2003 2005

1995

$38 billion of value created*includes increase in Market Capitalisation and Dividends paid, adjusted for change in value of issued capital

2005

ANZ leads on staff engagement – target 70%
Highest staff engagement of any
major Australian companyAustralian Bank
Average

40%

54%
60%

25%

Serious
Zone

DestructiveZone

Source: Hewitt Associates, August 2005

Indifferent
Zone

63%High
Performance/Best
Employer Zone

ANZ leads major bank customer satisfaction
Major bank customer satisfaction%85

Closestmajor peer

80

Regional Banks

75
70

ANZ

65

Ave. Major
Peers

60
55
50
Sep-98

Sep-99Sep-00

Sep-01

Sep-02

Sep-03*Source: Roy Morgan Research – Main Financial Institution, September 2005 results
preliminary only % Satisfied (Very or Fairly Satisfied), 6 monthly moving average

Sep-04

Sep-05

Convenience & Simplicity is new retail promise

15 newbranches

Over500330
new
ATM’s

Australia’sleading
call centre“24/7”“Bank oftheYear” 6years ina row

Highly engaged with the community

Strong record on corporate responsibility• A+Reputex Social
Responsibility

6.0

ANZ differentiating
itself from peers

5.5

5.0

4.5

ANZ
Bank 2

Bank 1
Bank 3

4.0-0
0
pr-0
O 1
ct-0
A1
pr-0
O 2
ct-0
A2
pr-0
O 3
ct
A 03
pr-0
O 4
ct
A 04
pr-0
O 5
ct-05

• Member of FTSE4Good Index

6.5A• 100% for community practiceon Corporate ResponsibilityIndex

Overall Community
Image*Oct• Ranked in the top 10 banks
globally on Dow Jones
Sustainability Index*Source Wallace Associates

Growth mainly domestic but increasingly regional
Longer Term
Medium Term
Short Term

Momentum in Australia

Improved returns from NZ

Asia becoming meaningful

The material in this presentation is general background information about the Bank’s
activities current at the date of the presentation. It is information given in summary
form and does not purport to be complete. It is not intended to be relied upon asadvice to investors or potential investors and does not take into account theinvestment objectives, financial situation or needs of any particular investor. Theseshould be considered, with or without professional advice when deciding if aninvestment is appropriate.
For further information visit
www.anz.com
or contact
Stephen Higgins
Head of Investor Relations
ph: (613) 9273 4185

fax: (613) 9273 4091

e-mail: higgins@anz.com