ANZ Asia Investor Tour2012
AUSTRALIA AND NEW ZEALAND
BANKING GROUP LIMITED
6 June 2012

Alex Thursby
Chief Executive Officer
International & Institutional Banking

Introduction

We have successfully implemented the first phase of our
Super Regional strategy

The next phase of growth is suited to the
new world of banking

We will continue to deliver against our commitments while
we build the leading Super Regional bank1

Our Super Regional strategy is delivering strong results,
with Asia Pacific and flow products the growth drivers
APEA & Institutional Financial Metrics

CAGR

%

Asia Pacific, Europe & America
USDm

Revenue

2007

1,184

2008

USDm

NPAT

253

1,870 2,091

2009

2010

+31%
393

617

543

+15%

2,570
1,295 1,442

2008

25%

2011 2H11 1H12

2007

2010

1,214

14%

31%

2011 2H11 1H12

2007

USDb

+48%

Customer
Deposits

45
13
8%

18

2008

63

74

23%

Sep 07 Sep 08 Sep 09 Sep 10 Sep 11 Mar 12

2009

2010

2011 2H11 1H12

1,430

1,778

1,895

915

771

1,123
38%

2008

AUDb

56

27

2,390 2,769

+12%

AUDm
432

4,819 4,862 4,906

32%

739
358

2009

2,800 3,624

20%(1)

8%

2007

Institutional
AUDm

+38%
716
8%

Contribution to Group

%

2009

2010

2011 2H11 1H12

+20%
65

31%

77

98

118

120

39%

Sep 07 Sep 08 Sep 09 Sep 10 Sep 11 Mar 12

1.

Includes Europe and America results not included in originally reported figures

2.

Series impacted by changes in capital allocation methodologies; numbers have been pro forma adjusted for RBS
acquisition and the inclusion of Business Banking in Institutional for 2007 2

APEA

The ANZ Group began this journey with a roadmap tobuild a leading Super Regional bank across Asia-Pacific
2008
2008

2009
2009

Develop strategy andbuild business model

2010
2010

2011
2011

Continue organic
growth with bolt-ons

Build substantive Institutional

Organic growth anchored byBuild Singapore and Hong

Rapid build out of Retail andbusinessKong hubs

Institutional

Private Bank

Build South East Asia business Complete RBS acquisition
and integration
Created business model for
Retail and Private Bank –Continue to focus on liability
scaled up with RBS

growthBuild risk and governance½ Deepen influence in five key
partnerships

Obtained licences½ Continue to build out
technology and operational
platforms

model

3

2012+
2012
Extend and deepen
franchiseEstablish Hong Kong andSingapore as significant centreswith broad capabilities

Commence India operations
Launch offshore RMB services½ Deepening industry
specialisation in Natural
Resources, Agriculture andInfrastructure½ Delivering client connectivity
capabilities with cash platform
build, expanded markets and FI
sales distribution

International & Institutional Banking

The impact we are achieving with our clients is
recognised across the Super Region
Institutional
Asia• Top 5 Corporate Bank in Asia by Greenwich Associates
Australia• No. 1 for Market Share in non-Australian bank corporate bonds1• No. 1 for Relationship Strength (amongst the Top 10 competitors) in corporate bonds 1
New Zealand• No. 1 for Market Share in Government Stock1• No. 1 for Market Share in Corporate Bonds1• Awarded The Asian Banker Outstanding Achievement in Risk Management

Euromoney Foreign
Exchange Survey

AWARDS FOR
EXCELLENCEIFR ASIA AWARDSBEST IN ASIAN CLIENTSERVICES

BEST TRADE BANK IN
VIETNAM

LOAN HOUSE OF THE
YEAR

2012

2011

2011

Retail• Hong Kong
− Best Deposits Service Bank by 12th Capital Outstanding Enterprise Awards− Best Consumer Finance Bank by Prime Awards for Banking & Finance Corporations
2011− Benchmark Advisor of the Year 2012 award for one of our Retail bankers• Indonesia− Service to Care Award 2012
− Service Quality Award 2012 in Regular Banking• Vietnam – Best Mortgage Business (Asia) by The Asian Banker-hosted International
Excellence in Retail Financial Services Awards 2010
• Taiwan – 2011 WebAward for ANZ Mobile Banking
1. Based on the Peter Lee Associates Large Corporate and Institutional Relationship Banking Survey –Australia and New Zealand 2011.
4

APLMA SYNDICATEDLOAN AWARDS

Euromoney Foreign
Exchange Survey

ASIA PACIFICSYNDICATED LOAN
HOUSE OF THE YEARBEST IN ASIAN
CURRENCIES

2011

2012

International & Institutional Banking

We are winning greater value added and substantial
flow transactions
Value-added transactions

Newcastle Coal
Infrastructure Group

Sinopec

Indian Railway FinanceCorporation

AUD200m
Infrastructure Group II
Project Finance deal

USD5bnSyndicated Loan deal

2011

2011

Tata

Shinhan Bank

USD200m
Syndication Loan deal

GBP25m Cross-border
CNH Complex
Structured Loan deal

CNH625mDimsum Bond and
CNH/USD Swap

2011

2012

2012

Substantial Flow transactions

Industrial Development
Bank of India

PT. Sarana Multi
Infrastruktur Persero

Bunge China

Volkswagen

USD175M
Syndicated Loan

USD12.5m
USD/IDR Cross
Currency Swap deal

Soybean hedging for US andChinese based entities
executed in London

Offshore CNH hedging in
London following ANZ’s RMB
roadshow across Europe

2012

2012

2012

2012

5

APEA

Our brand continues to develop across Asia and thePacific
What we have doneFirst global advertising campaign
featuring Simon Baker

Australian Open• On court signage seen by acumulative 119 million
people across Asia Pacificover 3,662 hours of coverage• Supported with ads on ESPNStar Sports coverage acrossthe region• Aligned with target segments

Signature Priority Banking

New Branches

Improving our brand awareness
Brand awareness1 across Hong Kong,
Singapore and Taiwan
Average Percentage, 2010-2011
53

75

62

Affluent

20102
1. Includes both Prompted and Spontaneous awareness, arithmetic average across all three markets
2. Based on ANZ Brand Health Tracker study 2010, Hall & Partners
3. Based on ANZ Brand Campaign Tracking 2011, Hall & Partners
6

2011

3

69

34

29

Emerging
Corporates

Institutional

International & Institutional Banking

We have prioritised our build-out to emphasise ourfranchise markets while establishing network presence
across the Super Region
Institutional Network Markets

Franchise Markets• Australia• Indonesia• New Zealand• Malaysia• Greater China• Singapore• Greater Mekong1 • Pacific• India
Asia-Europe
Trade:
US$1.0trn• Korea• Japan• Philippines• UAE• Europe• America

India (1)Greater China(33)

Malaysia
Singapore (6)Pacific (55)Indonesia (28)Aus/NZE&A
Trade:
US$101b

Aus/NZAsia
Trade:
US$235b() - Number of branches and representative offices
in each country

1. Focus on Vietnam• Myanmar

Franchise

NetworkAsia-US
Trade:
US$0.8trn

Greater Mekong (31)

Source: WTO• Thailand

Entry

IntraAsia
Trade:
US$1.6trn

Europe(2)

Network Entry Markets

7

America (1)APEA

We have delivered strong financial performance against
new and established competitors as we have built scale
Revenue CAGR
2007-2011, %Average
CAGR %

33%

ANZ(1)

Established players inAsia Pacific

New Regional Players

7%

CIMB(2)

BEA(2)

OCBC(2)

DBS(2)UOB(2)~5%

SCB(3)

Total Asia Pacific Loans2011, USD billion

Citi(4)

HSBC(5)

241

Average
Loans
US$b

96

36
ANZ(1)N/A
CIMB(2)

BEA(2)

OCBC(2)

DBS(2)UOB(2)SCB(3)

Citi(4)

Total Asia Pacific Deposits
2011, USD billion

HSBC(5)
Average
Deposits
US$b

371

110
53
ANZ(1)N/A
CIMB(2)

BEA(2)

OCBC(2)

DBS(2)UOB(2)SCB(3)

Citi(4)

Source: Bloomberg standardised income statements
Notes:
1) ANZ - North Asia, SSEA, and Pacific businesses only, excludes Australia, New Zealand, Europe and America; Profit-after Tax
2) Figures for all regions
3) SCB - Hong Kong, Singapore, Korea, Malaysia, India, Other Asia Pacific4) Citi - Asia Citicorp as result of restructuring in 2009; Geographical Pre-tax Income not reported, Net Income as proxy5) HSBC - Hong Kong, Rest of Asia Pacific8

HSBC(5)

International & Institutional Banking

As we enter our next phase, the global banking
industry faces reputational, regulatory, competitive andeconomic pressures
Macro-economic

•
•
•
•
•

Deleveraging in the developed world
Euro-zone crisis
Investors’ flight to quality
Slow U.S. recovery
Different sources of growth as emerging markets restructure to domestic consumption

Regulatory

Reputational• Higher capital and• Community concerns

funding costs• Higher compliance
costs• Limits on pricing• Restrictions on some

These trends are not all cyclicaland will adversely affect future
ROE and revenue growth for theindustry

profitable businesses

Competitive• “Tug of war” in supply and demand of funds• New entrants and expansion by current players• New competitive hierarchy as the crisis and new regulations redefine peer groups

9

post GFC• Sensitivity towards:
 Remuneration
 Pricing Banking practices

International & Institutional Banking

The Asia Pacific region’s economic and financial services
growth will likely continue in spite of the global
headwinds
Key trends in the Asia Pacific region

Asia Pacific is driving global banking growth
Corporate and Investment Banking Post Risk
Revenues1 (USDb)
CAGR, %Asia
EMEA
AmericasContinuing growth of middle classdriving increased consumption andoverall economic growth

Pro growth policy attracting foreign anddomestic investment

2,107

9

679

10

659

7

769

12

1,343
422

Sound financial systems with strong
capitalisation and liquidity from savings

479

High demand for continuing investment
in infrastructure and education

Significant contributor to global tradeflows, with Asia trade growth higher
than the world average
1. At constant exchange rates. Source: McKinsey

442

2010
APAC share inglobal pools
10

2015

33%

37%

International & Institutional Banking

ANZ’s strategy starts with our clients at the centre
Core banking status with our target
clients in Australia, NZ and Asia Pacific• Financial Institutions• Natural Resources• Utilities and Infrastructure• Agribusiness• International Commercial• SME – liability only
• Affluent• Emerging Affluent• Global Diversified Corporates• Global Financial Institutions• Natural Resources• Utilities and Infrastructure• AgribusinessSuper Region core clients place amajor proportion of their revenue walletwith their 1st or 2nd bank
Wallet share by relationship status (%)
47%

1st Bank

Lending

Corporate banking revenues (USDb)
1,343

24%

3rd Bank

5th Bank…while global corporates and FIs
typically use 10 banks for flow products

31%

2nd Bank

4th Bank

Become a substantial flow provider
within the Super Region

36%

6%

Markets

19%

33%

38%

2010

2010

3%

Sources: Booz Allen Hamilton Research

Lending43%

14%

Cash Management

442

Number of banks
required:Regional corporates:
10-30 banks

Markets
Transaction
BankingGlobal corporates:
5-15 banks

Asia
EuropeAmericas11
Source: McKinsey CIB Survey of Asian Corporates, ANZInternational & Institutional Banking

Our value proposition is built to meet the requirementsof our flow customers, and further developed for coreclients

Core Value
Proposition

We build on the flow value proposition to achieve core bank status• Deep relationships & trust• Insight• Consistency of relationship from a strong balance sheet• Our unique Super Regional footprint

Flow Value
Proposition

Our flow value proposition is fundamental to our competitiveness• International connectivity• Access to Super Regional investment paper• Product capabilities• AA credit rating

12

International & Institutional Banking

Our Institutional strategy is to develop flow businessfor all our clients with value added solutions for ourcore clients
Currently a substantial portion of ourbusiness is lending driven

Our strategy is to grow our businesswhile reducing the overall reliance on
funded revenue and growing unfunded

ANZ’s current Institutional revenue mix

ANZ’s target Institutional revenue mix

1%
1%
34%

24%

38%
45%
37%

20%
Strategic Advisory – ECM, M&A

Value added solutions – Investment Products, Structured Lending,
Derivatives, DCM and Trade
Flow business – Cash, Trade, Vanilla FX, Commodities, Rates and Credit
Lending – Vanilla Term Loans

13

International & Institutional Banking

ANZ will increasingly utilise an originate-to-distributemodel in order to activate core status and deliver
acceptable ROE
Originate from Clients

Distribute to Clients

Natural Resources

Balance Sheet

Commercial / Private Banks

Agriculture• Primary Distribution

Hedge Funds

Utilities & Infrastructure
Financial Institutions
Global Diversified Corporates
Commercial

Pension Funds• Secondary
Distribution

Sovereigns

Cross-sell

HNW & Affluent
Cross-sell• Cash• Clearing / Settlements• Trade• Cash and Trade• FX and Commodities• FX and Derivatives• Bonds• Bonds

14

Flow
Products

Flow
Products

Life Insurers• Originate to known
demandAPEA

Commercial – our goal is to be a core bank to our target
clients by providing seamless connectivity
ANZ focuses on Cash, Markets, andTrade, whereas local banks focus on
lending

How we will succeed

Asia Revenue Breakdown

The right risk and service framework

2012 forecast

Lending• Implement a risk framework appropriate toCommercial Banking

Local
StateOwned
and
Local
PrivateBanks• Operate a low cost to serve model

Target cross border clients

11%
ICBC, BOC,
SBI, ICICI,
OCBC,
Chinatrust

56%

27%
Cash

• Clients with cross border requirements• Clients with supply chain linkages tomultinationals

32%
Trade

GlobalBank

Leverage existing network and expertise
Emerging
RegionalBanks• Further develop competitive advantage
through regional connectivity capabilities

HSBC, Citi,
SCB, DBS
ANZ

34%

3%
7%

30%
Markets

Competitors Commercial
ANZ
Banking Commercial
Revenue
Pool• Leverage Institutional and Retail capabilities

15

Markets,
Cash &
Trade 89%of
RevenueAPEA

Retail – our strategy is to achieve core bank status with
the Affluent and Emerging Affluent segments in key
franchise markets
Key Drivers

Targeted segments account for a significant portionof the revenue & liquidity pools in key markets
Customer Pyramid

Customer’s banking
walletAsia Retail Revenue andDeposit Pools1

AUM Requirement(developed mkt)
HNW

State of Market
Development

USD3m+USD338b24%

USD11,204b

13%

USD100k-3m

Cost to Serve Model

RetailAsia
Pacific

Affluent
Emerging
Affluent

Mass

42%

61%

USD25k-100k

34%

26%

Value Proposition

1.ANZ markets
Source: Countries’ statistical data and census, BCG, CIA Factbook, Datamonitor, EuroMonitor, IMF data, McKinsey Global Banking Revenue Pool, Nielsen Surveys, Nomura
Research, Press search and ANZ analysis
16

Risk
Deposit Pool
Adjusted
Revenues

International & Institutional Banking

World class products are beginning to arrive across oursegments as we continue executing our productroadmap

RetailInstitutional & Commercial

Phase 1 (2008)
Limited Capability

Current State (2012)
Competitive Capability• Account service• Cash management• Documentary trade• Full trade products• Plain vanilla FX & Rates
offering• Global syndication/bonds
core fx / rates / options/bonds / commodities/
syndication• Lending structured/project
lending• Limited structured deposits
and account services• Credit cards• Dual currency mortgages• FX, Rates and Commodities
spot and derivatives• Insurance and investment
products eg bonds, mutual
funds, dual currency
deposits, local currency
mortgages• Affluent Credit Cards

17

Target State (2017)
World Class Capability• Network Cash Management– netting and pooling• Supply chain suite• Sophisticated structured trade- eg. derivatives• Integrated and segmented sales andservice, e-channel capability• Specialised and high yield bonds• Convertibles• Alternative investments: collateralised
FX, equity and bond financing; uniquecommodities offerings• Full suite of targeted segment credit cards• Foreign property mortgages• Tablet based sales and service delivery

International & Institutional Banking

We are driving an aggressive productivity agenda whilebuilding on our existing service and delivery capability
Building a new operating modeland redefining the ‘ScaleComplexity’ cost dynamic-

Medium/Small
local banks

Large national International
banks
banks

Limited-scale
leverage

Full-scale
leverage

Focus on service and delivery
capability with a productivity
agenda• Implement global technology
platforms that support businessgrowthHighercomplexity• Roll-out risk management framework• Deliver superior customer service

Efficiency

Historical normal – scale
benefit offset by cost ofcomplexity• Embed greater productivity andefficiency agenda

New normal+-

We are creatinga new operating model+
Size & Complexity

18

International & Institutional Banking

This focus has enabled us to improve efficiency as we
continue to grow
APEA FTE (including contract employees)
Movement Sep 2010 to Mar 2012~12,100~11,900~11,900

Sep 10SupportRetailInstitutional

Sep 11

SupportRetailInstitutional Regional Hub

Mar 12

Institutional FTE (including contract employees)
Movement Sep 2010 to Mar 2012
~6,000~5,900~5,900

Sep 10Markets

Transaction
bankingGloballoans

Relationship Enablementbanking

Sep 1119

Markets

Transaction
bankingGloballoans

Relationship Enablementbanking

Mar 12APEA

Our strategy is focused on organic growth, withacquisitions only considered to build presence or
product capabilities
Managing the value of ANZpartnerships

Selective M&A opportunities• Path to control• Maintain consistent M&A discipline• Linking partnership customers to ANZ’s Strategic fit

international network

 Delivers value• Actively managing the portfolio to optimise Executable• Two critical objectives:+

 Build deeper presence in our

strategic positioning
Key Partnerships
SRCB, China

Franchise markets

BOT, China

 Pursue opportunities to broaden

Panin Bank, Indonesia

specific product capabilities

AmBank, Malaysia

MCC, Philippines

20

APEA

We have a strong, well funded and low risk balance
sheet
Customer Deposits
USD 19b growth YOY

Net Loans & Advances(incl. acceptances)

APEA Institutional Risk Grade profile
by Exposure at Default

USD 10b growth YOY
USDb
80

+41%

70
60

74

55

71%

50
40

+53%
37

76%

75%

AAA-BBB

42

BBB-

32

BB+~BB-

30
18

20

BB>BB-

16%

10
0
Mar 10Mar 11

Mar 12Retail Deposits
Transaction Banking Deposits
Other Institutional Deposits

Mar 10Mar 11

Mar 12Retail Lending
Funded Trade Lines
Other Institutional Lending
21

16%

9%
2%
2%
Mar 11

6%
Sep 11

15%
2%
1%

6%
Mar 122%
1%

International & Institutional Banking

We have a clear roadmap to continue building the
franchise
2012

2013

Continue product &platform build

2014

2015

Activate the fullfranchise model• Grow Commercial segment• Build Global Diversified• Grow FI / Investor segment• Deepen customer• Build product channel bundlingand capability

Corporate specialisation

relationships and cross-sell
products and across borders• Improve productivity andstrengthen balance sheet inAustralia• Roll-out Transactive and eChannels• Build out Markets hubs in
HK and London• Attack Emerging Affluent
through new e-Channels• Grow China into full franchise• Grow SME segment (liabilities)• Pursue Thailand and Myanmar
as target entry markets• Build out RMB and commodities
specialisation and products• Complete core systems• Dispose of tail businesses• Reposition retail in the
Pacific

22

2016

2017+

Deepen franchise• Continue build of product,
platforms and channels• Deliver full product suite into
the rest of ANZ Bank
• Build India into full franchise• Deepen organic growth andcustomer penetration in
franchise countries• Improve advisory capabilities

International & Institutional Banking

To sum up: we have the strategy and competitive
strength to become a top tier player in the sector
ANZ - a strong
network andrapidly improving
product set

Regional Giants

Leaders

Regional Giants maintainposition, but with slower growth

Former national
champions building
regional networks,
with some poised
to compete with
Regional Giants

Crisis-impacted
Internationals

Competitive

Emerging

International banks
forced to shrink or
slow growth

Emerging
Regional
Players

2008

2012
23

2017

ANZ Asia Investor Tour2012

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Appendix

A top team with an excellent depth ofexperience, sitting in a matrix structure to integrate
business lines with geographies

25

ANZ Asia Investor Tour 2012

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

James Burdett
Chief Financial Officer
International & Institutional Division

ANZ’s international businesses financial performance
APEA Division Revenue(USDm) 1
CAGR
+38%

1,870

APEA Division NPAT
(USDm) 1

2,570
2,091
1,295

1,442

393

2009

2010

2011

2H11

1H12

2007

Institutional Division Revenue(AUDm) 1
CAGR
+15%

4,819

4,862

2008

2009

CAGR
+12%

4,906

2010

2011

2H11

1,778

1,430

2,390

2009

2010

2011

1H12

1,895

1,214

2,800

2008

432

Institutional Division NPAT
(AUDm) 1

3,624

2007

358

253

716

2008

617

543

1,184

2007

739

CAGR
+31%

2H11

2,769

1H12

915

771

2007

2008

2009

2010

1. Series impacted by changes in capital allocation methodologies; numbers have been pro forma adjusted for RBS
acquisition and the inclusion of Business Banking in Institutional for 2007
1

2011

2H11

1,123

1H12

We are growing strongly in our targeted markets,segments and products
Geographies
Greater China

16%

Revenue GrowthGreater Mekong

Singapore

Institutional
Australia -1%
Institutional New
Zealand

1H12 v 2H11

Products

1H12 v 1H11

24%
27%

India

Indonesia

Customer Segments

35%

Commercial

59%

71%
7%

31%

Financial Institutions

Agriculture

5%
13%

1%
5%

26%
-2%

2

Cash
Management-3%5%Affluent & Emerging
Affluent

Infrastructure

Global Markets

45%
3%

18%

13%
28%

47%

20%

Natural Resources

17%
19%

22%

Trade &
Supply Chain

Retail Deposits

9%
19%
12%

16%

3%
-15%
14%

Investments& Insurance

6%
14%

With Asia playing a far greater role in the ANZ Group; the
APEA target of over 25% of Group earnings is in sight
APEA Contribution to Group Revenue
Driving 25 to 30% ofGroup earnings by 2017

By Segment

By Geography
20%

20%
Australia & NZ revenue
derived from APEA
managed customers1

4%

9%

8%

8%

Institutional& Commercial

4%

Asia Retail1%

Pacific RetailPartnerships & Other

2%

2%

1%

1%

FY07

1H12

4%

4%

11%

Asia

3%

Europe & America

2%2%Pacific

3%

3%

FY07

1H12

1. Australia & NZ revenue derived from APEA not available for FY073

FY17

The Super Regional Strategy is delivering a diversified
product mix with less reliance on the capital-intensive
APEA Institutional revenue by product
27%

31%

29%

24%

33%

23%

15%

20%

25%

26%

32%

29%

15%

20%

24%

2009

2010

2011

Institutional division revenue by product

38%

42%

42%

37%

22%
21%

18%
18%

12%
21%

14%
22%

27%

19%

22%

25%

27%

1H12

2009

2010

2011

1H12

Transaction Banking

Market Sales

Transaction Banking

Market Sales

Markets Trading

Global Loans

Markets Trading

Global Loans

APEA division by income stream

Institutional division by income stream

Other Operating
IncomeOther Operating
Income

51%

39%

49%

61%

Net Interest
IncomeNet Interest
Income4

Connectivity is a key differentiator for ANZ, driving
cross-border revenue growth across the network
EUROPEASIA PACIFICAMERICA

Intra-APEA
Catch & Throw
46% CAGRAPEA throw toAust/NZ

APEA catchesfrom Aust/NZ

9% CAGR

35% CAGRAPEA Cross-Border Income
1H10 to 1H12
Catch & Throw refers to revenues booked in a geography that is different to that which a client is managed from.
5

A focus on Asia Institutional cross sell is enabling us todeepen our share of wallet

Customer revenue &numbers1(Mar-10 to Mar-12)

Growth in number ofcustomers by productholdings(Mar-09 to Mar-12)

Customer
Numbers+56%

Customer
Revenue+68%

Customers
Holding

Customers
Holding

3 to 5
Products

6+
Products

+31%

+77%

1 Excludes Commercial revenue and customers

6Retail - Growing affluent & emerging affluent while
repositioning the portfolio and providing more funding
to the business
Asia Retail Customer Movement (millions)
Up 7%

Up 8%

Up 6%

1.68

1.65

1.64
Up 1%

Mar 11

AcquiredUp 2%

Exited

Sep 11

AcquiredExitedMar 12APEA Retail Balance Sheet
USDb

Customer Deposits

20

17

15
10

Net Loans & Advances

14

13

12
8

5

4

5

8

7

6

0
1H10

2H10

1H11
7

2H11

1H12

Accounting charges impacted partnership performance
which is led by four significant contributors
Partnerships NPAT 1H12 v 2H11 (USDm)
176

35

10

165

24

141

125

32

2H11 Reported

Accounting & 1 2H11 Adjusted
tax adjustments

Earnings growth

1H12 Adjusted

Four partnerships delivering largest contribution…
•••

AMMB, BoT, Panin and SRCB all delivered more than
USD 25 million revenue in 1H12Gain on sale of Sacombank stake of USD 10 million
Partnerships also deliver referral and other revenue
across the ANZ network

Gain onSacombank sale•

Accounting
1
adjustments

1H12 Reported

Adjusted NPAT contribution
by Partnership
USDm

2H11

1H12

53

44
34

…impacted by accounting adjustments and
SSI impairment•

SSI impairment

18

38

44

39
25

23

USD 35 million of positive accounting impacts in 2H11
and negative USD 18 million accounting impacts in 1H12
1H12 SSI impairment charge of USD 32 million
AMMB

1. Earnings recognised by ANZ differ from published results of partnerships due toapplication of IFRS, Group accounting policies and acquisition adjustments.
8

BoT

SRCB

Panin

We are managing expenses in order to fund deploymentof revenue generating headcount and improve CTI
APEA FTE (including contract employees)
Movement Sep 2010 to Mar 2012

Additional investment 1H121

USD54m~12,100

4%~11,900

14%
6%

Sep 10SupportRetailInstitutional Regional
Hub

Mar 12

20%

13%

12%

14%

5%

1H10

2H10

Systems76%

2H11• ANZ Transactive Asia
• Asian Core Engine• Global Markets platform• Global Cards Platform• Singapore Data Centre

11%
6%

1H12

2%

1H11

• Build out of Commercial footprint• New Mongkok branch in Hong Kong
• New Singapore and Hong Kong head
• Anti-Money Laundering Program• Risk and Security Program

2H11 Ex-markets
7% Revenue
3% Expenses

9%

Asia

Capabilities

Compliance

Expense Growth18%• Launched global brand campaign inoffices

Revenue & Expense Growth
Pro Forma USD HOH
Income Growth

Branding

1. Incremental 1H12 v 2H11 investment spend, inclusive of capitalised project
expenditure associated with ANZ Transactive Asia and Asian Core Engine

1H129

Focus on less capital intensive products is improving
risk weighted returns
APEA Division (ex-Partnerships)

Institutional Division

RORWA (%)1

RORWA (%) 1

0.90%

0.84%

2010

2011

1.43%

1.47%

2010

2011

1.02%

1H12

Revenue Mix
1H12

45%

2010

18%

22%

37%
42%

Markets Trading

Markets Sales

2010
18%

Global Loans

17%
15%

Transaction
Banking
27%

14%
13%

1.

1H12

Markets Sales

11%

38%

1H12

Revenue Mix
Transaction
Banking

17%

1.58%

Markets Trading

18%
22%

12%

14%

RetailRORWA calculation excludes any capital deductions

10

Global Loans

Return on equity has improved in both divisions

APEA Division

Institutional Division

Return on Regulatory Capital (%)1

Return on Regulatory Capital (%)1

1H12

APEA

RetailPartnerships

Institutional

1.

2H11

1H12
10.5%

Institutional

9.4%
12.3%

2H11
17.4%
14.8%
28.5%

Transaction
Banking

10.2%
11.4%

Global Loans

17.6%
15.1%

GlobalMarkets

10.0%

Regulatory Capital equals RWA x 8.9% + identifiable capital deductions disclosed in results announcement

11

25.1%
12.5%
13.9%
23.8%
9.3%

APEA utilises 20% of ANZ’s Group capital
Current capital levels are strong(Mar-12)APEA utilises 20% of ANZ’s capital

Common Equity Tier 1 Ratio (CET1)

10%

Tier 1 Ratio
Total Capital Ratio

6%

15.3%
14.0%

3%
1%

14.3%

12.6%
11.3%

11.8%

11.8%

9.7%

11.7%
8.9%

Basel II

9.8%

80%

7.8%

Basel III
APRA

Basel III
Full
Alignment

Rest of Group

Rest of Apea

APEA RetailPartnerships

APEA Institutional

UK FSA

12

Regional Peers
Operating Income
11%
4%

HOH
13%

ANZ
(AUD)

PCP

ANZ APEA
(USD)

HOH

3%

0%

1%

HSBC
Asia Pacific(USD)

Standard
Chartered
(USD)

35%

4%

Aus PeerAvg (AUD)

15%

17%

13%

4%

3%

Expenses
ANZ
(AUD)
HOH

12%
5%

ANZ
(AUD)

ANZ APEA
(USD)

PCP

15%
3%

6%

4%

ANZ APEA
(USD)

HSBC
Asia Pacific
(USD)

PCP

9%

8%

3%

Customer Deposits growth

17%
12%

7%
2%

HSBC
Asia Pacific(USD)

Standard
Chartered(USD)

Aus PeerAvg (AUD)

12%

4%

2%
Standard
Chartered(USD)

Customer Loans growth3%

Aus PeerAvg (AUD)

HOH

PCP

32%

Profit before Tax growth
HOH

PCP

28%
5%

4%

13%

10%

-5%
ANZ
(AUD)
1.
2.

ANZ APEA
(USD)

HSBC
Asia Pacific
(USD)

9%

13%

12%

4%
4%

-14%
Standard
Chartered
(USD)

3%

0%

5%
ANZ
(AUD)

Aus PeerAvg (AUD)

HSBC & SCB 1H12 represents 6 month period ending 31 December 2011
ANZ converted at constant FX AUD/USD 1.0401

13

ANZ APEA
(USD)

HSBC
Asia Pacific
(USD)

13%
6%

3%

3%

Standard
Chartered(USD)

Aus PeerAvg (AUD)ANZ Asia Investor Tour 2012
ANZ International & Institutional
Operations Model

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Sreeram Iyer
Chief Operating Officer
International & Institutional Banking

We are building a solid foundation from which togrow, leverage scale and support our super regional
strategy
2010
Country-centric• Mature service in Australia
and New Zealand, silodelivery model in Pacific,
minimal Asia footprint.

2011
Regionally focused• Completed integration of the
RBS acquired portfolios
across 6 countries in Asia

2012
Globally aligned• Development of global
platforms• Improving customer channels• Developed standard
Operating model acrossInstitutional business• Began progressive
implementation of coretechnology platform in Asia

• Putting in enterprise led
payments solutions• Commenced hubbing
program in earnest withfocus on supporting theAustralia and New Zealandoperations• Simplified and re-engineered
processes for efficiency• Deepening the capability of ourpeople• Established global support
hubs in Manila and Chengdu• Continuing simplification andProcess Transformation

1

A reduction in cost to serve is assisting with delivery of
positive JAWS, but we need to broaden this outcome
Enabling positive JAWS

Trade and Supply Chain example
Revenue growth v Operational cost growth1• Supporting business growth with minimal increasein the Operational cost base, thereby contributing
to improving the positive JAWS outcome$m
400

Reducing cost per FTE

200

30%

300

20%
10%

100

• We are utilising lower cost locations, improving
processes and reducing waste; as a result average
total cost per FTE has reduced significantly (i.e.
property costs, other associated costs).
• In Singapore and Hong Kong, the average
Operations cost per FTE has reduced by 13% and
9% respectively since the start of FY11

0

0%
FY07

FY08

FY09

FY10

TSC Operations Expense ($m)

FY11

Revenue ($m)
% TSC Operations Cost to Revenue (RHS)

FTE growth vs average cost per FTE

Thousands
120.00800
700

100.00Total FTE

600

Increasing transactions per FTE

400

60.00

300

40.00

200

• Through simplification and reengineering ofprocesses we can create capacity to absorb
transaction volume growth• Across APEA, transactions per FTE have increasedby 11% in the past year
1. Excludes non-trade related guarantees

80.00

500

20.00

100
0

0.00
FY07

FY08

FTE

2

FY09

FY10

FY11

Cost/FTE (RHS)Our destination service and delivery model is a seamless
partnership across business lines and Enterprise

Customers

Front line
business• Institutional• RelationshipManagement.

• Commercial• Retail

Customerself service•Product, market
knowledge

Operations Execution Model

Operating Delivery
Model
Service Quality

Execution

Customer Service

Customer initiation

Customer interface

Operations
Service
Providers

Cost to serve

People Capability

Enterprise
Capability• Globalprocessing
Centres:-Bangalore-Manila-Chengdu-Pacific• Centres of
Excellence

Risk controls• Technicalsolution delivery

Technology foundation - customer initiation, relationship, service and delivery
Challenge: the balance of high quality service, at optimal cost, in a well controlled
operational risk environment3

We have a diverse presence to support the superregional strategy
Leveraging expertise from mature markets
Developing capability in growth markets acrossAsia, Pacific, Europe and America

1,200 Institutional
Operations FTE in 9
locations delivering
market leading service
and product capability
across our Institutionalcustomer segment

OthersEurope – 39
America – 22

21

200

Institutional Hub

Interconnected
service & delivery
network

35

581
24

243

41

387

29

21

178
368

Global hub capability

200
(Ops)
1,500
(Ops)
3,800 (Ops)
2,200 (Tech)926

By the end of 2012
we will have appx.
8,000 FTE across our
4 global Hubsdelivering process &service excellence

93
10

19
18

38

25

24

109
17

7

Approximately 3,500 Operations and Technology FTE covering
28 markets supporting the delivery of products and services
across Lending, Retail, Payments & Cash, Global Markets and
Trade

266
(Ops & Tech)

4

The external environment in which we operate has
been changing across three broad fronts

Increased customer
expectations• Post GFC, customers are now more savvy, better informed anddemand higher standards of service delivery and product capability− Delivery standards / turn around times− Expectations around quality – especially in our target retailsegments− Customers expect multiple electronic channels and a global
borderless capability

Increased competitor
pressure• The pressure to be more efficient and more productive ineverything we do is greater than ever before.
− Reduced cost to serve and prioritised investment for
greater shareholder return− Customer driven demands for technology investments tokeep pace with competition− Margin compression has led to challenges in prioritising ouroperating model

Tightening regulations• Banking regulations have tightened significantly, impacting the way
we work and the cost
− Increasing cost of compliance across multiple geographies− Focus on Anti-money laundering laws
− Changes in the hosting of customer data
− Focus on customer confidentiality and KYC
5

Our strategic goals include - prioritising technology
investment & a strong risk management framework…
Strategic goal

Global technology
platforms that
support businessgrowthRisk Management
Framework

Actions• Invest in technology platforms
across countries tosimplify, automate and reduce theneed for manual processing

Business outcomes• Simple uncomplicated banking forour customers, connected acrossthe globe• Invest in technology to develop
additional delivery channels• Customers have high availability
and accessibility to multiple
channels• Build scalable and standardised
business architecture• Fewer touch points for customers
when dealing with ANZ• Rollout of new risk management
framework• Preserve the Bank’s operational risk
profile as we grow

• Ensure robust operational risk
management controls in place toeffectively manage volume growthand product complexity• Ensure a secure and compliant
operating environment• Intensify risk management
training to our people
6• Protect our customers informationand confidentiality

….and ensuring we deliver superior customer service
while driving improved productivity and efficiency
Strategic goal

Actions• Migrate best in class operating
methodology from Australia and
New Zealand across the portfolio

Superior customer
service delivery• Continue to implement a global
customer on-boarding programme• Build a culture of continuous
improvement across the Asianfootprint

Embed greater
productivity andefficiency agenda

Business outcomes• Consistent, convenient andimproved customer
experience across borders
aligned to customer tiers• Deep and wide knowledgeof our customers• Quality service with lesserrors• Professionalise operations to deepen
the skill base of our people• Leading people capability• Maximise the value of our global
footprint by leveraging our global
hubs• Implement enterprise led
reengineering program aimed at
reducing manual processing andstandardising processes• Fully leverage centres of excellence• Year on year reduction inprocessing costs• Operations efficiencies reinvested for businessoutcomes7

Our 5 priorities are closely aligned to those of thebusinessCore Platforms• Implement an enhanced core banking platform across Asia
• Improve speed to market for new products and responsiveness to local

requirements• Orchestrate global connectivity and transparency by improving process
workflow• Implement e-matching, e-reporting for customer convenience andGlobal Markets
Businessquality in delivery and capability,• Further technology investments including FLOW FX, Credit Risk
engine, and MOSA

• Ongoing development and delivery of a diverse product mix, improving
customer solutions and outcomes

Payments Business

eChannels

Our Hubbing
Programme• Deliver a new payments platform for Operations in Asia
• Investment in local payment solutions (Singapore real-time payments)• Implement cash management system in 9 countries• Provide customer channels of choice and self service (online portals)
capability• Upgrade internet banking capability in 3 Asian countries• Continue to centralise process based location agnostic roles for flexible
cost effective growth• Consolidate functional activity into centres of excellence for scale andquality8

ANZ Asia Investor Tour 2012
Institutional Asia Pacific, Europe &America

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Sameer Sawhney
Managing Director
Institutional APEA

Institutional APEA, building the franchise
23%

Revenue
USDm

1,602

1,308

588

424
884

1,014

2009

2010
21%

Institutional
clients

682

1,201
378

1,289

2011

2,709

823
1H12
2,966

2,134

1,865

2009

Deposits
USDb

1,971

2010

2011

61%

49

1H12
57

33
19

2009

2010

2011

1. Offshore revenue represents revenue generated from APEA customers but booked in Australia/New Zealand

2

1H12

(1)

Offshore
OnshoreBuilding momentum in line with strategy
Revenue mix by product
FY09

1H12

Transaction
BankingGlobal
Loans

15%
25%

Revenue mix by customer segment

Transaction
Banking27%

20%
MarketTrading

Market
Sales

NRG

NRG

7%

7%

28%
FIG

Agri

Income composition

E&A, Korea,
Japan

28%

41%

Pacific

10%
7% Greater

Mekong

SEA

23%

FIG

1H12

E&A, Korea,
Japan

26%

19%

6%

Agri

Revenue by geography
FY09

36%
U&I

7%

29%

29%
MarketTrading

Other

38%
U&I

24%

12 months rolling to Mar 12
Other

Global
Loans

27%

33%

Market
Sales

FY09

13%
2%

Greater
China

India,
Middle East

Pacific

SEA

Impact offinancialcrisis

53%

46%

50%

48%

Other
Operating
Income11%24%
4%India,
Middle East

7% Greater

Mekong

47%

54%

50%

52%

FY09

FY10

FY11

1H12

26%
Greater
China

U&I = Utilities & Infrastructure; NRG = Natural Resources Group; FIG = Financial Institutions Group; Agri = Agribusiness
SEA = Indonesia, Singapore, Philippines, Malaysia, Thailand
Greater Mekong = Vietnam and Cambodia
3
Greater China = China, Hong Kong, Taiwan

Net
Interest
IncomeA well diversified portfolio accompanied by a strong
balance sheet
More than fully funded
Loans & Deposits
Institutional APEA, USDb

Customer Deposits

48.7

32.8 30.7
13.1

Split of Balance Sheet by
Product TypeInstitutional APEA, USDb
57.0

Loans & Advances

21

34.2

13

10
3

2010

2011

1H12

• Commitment to keep
liabilities at 1.2 x assets• Payments and CashManagement• “Originate to Distribute”
model• Capabilities in Syndications
and Debt Capital markets

Sound and improving
risk profile
Provisions and Net Loans &Advances
Provisions (USDm)%
Provisions as a % of NLAs (RHS)

Global Loans
Trade Finance19.1 20.8

2009

Improving Balance Sheet
construct

2009

1H12

120
100
80
60
40
20
0

110

1.00%
77

84

0.80%
56

0.60%
0.40%
0.20%
0.00%

2009 2010 2011 1H12

• Disproportionate growth inTrade assets compared toLending• Discipline around customer
strategy, risk appetite andhold levels• Reduced average booktenor (down ~15% from2009)

• Concentration managed atcustomer, industry, country
and product level• Improves ROE• Regular portfolio monitoring
and rebalancing• Boost flow business4

Prioritisation of investment and BAU cost control
coupled with growth is delivering positive jaws
Institutional APEA FTEMovement Sep 11 to Mar 12$m

Revenue & expense growth‘jaws’

Investment

Savings

43# FTE

Income Growth

1,552

Expense Growth
29%

26%

1,507

23%

10
18
10

20

10
26

Mar 12

Transactive Cash
Platform ProjectTransaction
Banking

Markets

RelationshipBanking & Grads

RelationshipBanking

Transaction
BankingGlobal Loans

Sep 112%

5

1H12 v. 1H11

1H12 v. 2H11

Increasing capability across priority sectors
Utilities & Infrastructure
5-YEAR
USD/IDR CCS

DEPOSITPT Sarana Multi
Larsen &Infrastruktur 2012
Toubro Limited
Persero2012

2012

Financial Institutions

CORPORATELOAN & IRS

CLUB LOANEURO MTM
PLACEMENTPT Pelabuhan
Indonesia III(PERSERO)

HutchisonPort

Development
Bank of Japan

2012

2011

5-YR SYNDICATEDLOAN

SGD 7-YEAR
BOND ISSUE

3-YR FIXEDLOAN
PRODUCT
RATE
CD

IndianRailway
Finance Corp

Housing &Development
Board

China Merchants
Bank

2011

2011

2012

2012

Natural Resources

Agribusiness

LEASING
FACILITYREVOLVING
CR FACILITY

LOAN
PRODUCT

CLUB DEALUSSYNDICATIONLOAN
SYNDICATION

PT. Petrosea Tbk

PT. Harum
Energy Tbk

Salamander
Energy plc

PT. Bayan
Resources,
Tbk

Chinatex Grains
and Oils Imp &Exp GroupLouis
Dreyfus
Group

Bunge

Olam
International

2011

2011

2011

2012

2011

2011

2012

2011

Global Diversified Corporates

STRUCTUREDTRADE FINANCEFORWARD FXCSFC DIM SUM
BOND

DEPOSIT

Samsung C&T

GS E&C CO., LTD

Caterpillar

Meyer

2012

2012

2012

2011

6

TRADE &
FORWARD INTPRODUCT
SUPPLY CHAIN LOANRATE
HEDGING

Our customer centric approach has led to improved
market penetration
ANZ recognised as a Top 5
Corporate Bank in Asia1
Surveyed Market
Penetration1

58%

FY11
Revenue2… while gap to top 3 remains, weare progressing quickly
Surveyed market penetration% of Respondents

2009

2011
ANZ aspires to be a
top 4 bank in Asia

USD8.4b
68

59%

2010

73 74
58 59 58

58 60 58

USD7.2b
31

37

31

23

28

11

74%

USD7.0b
HSBC

Citi

StanChart Deutsche

ANZ

Five years ago, ANZ was outside the top 20

34%

28%

USD4.1b

USD1.3b

ANZ Position

Key actions for ANZ

2009

Outside Top 20•

Not yet on the field2010

16th (tied),11%•

Increase brand awareness2011

6th (tied), 23%•

Build customer acquisition

2012

5th, 28%•

Cross-sell and wallet penetration

1. Source: Greenwich Large Corporate Banking Survey 2012
2. Banks listed are based on top 5 ranking in Greenwich Large Corporate Banking Survey 2012. Revenue shown is the most comparative
metric to ANZ‟s Institutional APEA segment.
Source: Annual Reports. HSBC = Global Banking and Markets; Citi = Institutional Clients Group (Asia);
Standard Chartered = Wholesale Banking (excludes Africa and Middle East);
7
Deutsche = Corporate & Investment Bank (Asia Pacific)

Non-franchise players are losing competitive position

Investment Banks losing theirstronghold in the traditional
markets

European banks
retracting, niche players
losing customer confidence

Growth in intra-Asia trade:
USD3.7t in 2010 andgrowing
Competitive
LandscapeEmergence of local banks –particularly in the local
currency space

International franchise modelbanks captivating market

Higher capital and funding
costs
8

Our strategy has the client at the centre
Substantial flow
provider for global
diversified corporates
and financial
institutions within the
Super Region

Core status with ourtarget clients in Asia
Pacific, Australia and
New Zealand
Products Per Customer
Index 2010 = 100*
103
100

2010

Providing product toall other customer
segments in the bank

New customers# (since 2009)115

250 Global Diversified Corporates

2011Over 1,300 new active Asiancustomers (over 400 financial
institutions)

1H12* Actual # products per customer rebased to 2010

Growth by product
%

37%

Trade

532
63%

20%

FX SalesCashManagement

Number of countries Asian customers bank
#

246
47%

132

85

57

34

20

>5

>6

>7

8+

14%

1H12 v. 2H11

44%

>2

1H12 v. 1H11
9

>3

>4

Developing our product capability in Asia will
strengthen our network and our cross-sell capacity
Footprint in 15 Asian countries
across focus business segments…
CAMBODIA

Institutional
Client support
across Europe& Americaand Asia
businesses… growing product capability in Asia

VIETNAM

LAOS

Product

Cash

HONG KONG

THAILAND1

Documentary Trade

TAIWAN

Structured Trade / Supply Chain

CHINA

JAPAN

Clearing (AUD/NZD)

INDIA

Regional Clearing
UAE

FX & Rates

PHILIPPINESSINGAPORE

Credit & DCM

MALAYSIA1

INDONESIA

Syndications
Equities•
Large Corporate &Institutional Banking

Retail Banking

Commercial
Banking

PrivateBanking•

Institutional andRetail Client
support acrossAustralia, New
Zealand, Pacific andAsia businesses
Funding support
across the network

1. Representative Offices

10

Project Finance

Leasing
Structured Export FinanceSpecialist M&A / Advisory% Build
completedInstitutional has a clear value proposition
Our value proposition focuses on deepening customer relationships byleveraging our global networks and industry specialisation and continuously
developing our products, platforms and capability
Core Value Proposition

Globalinsight, withlocal execution• Global industry specialisation in Natural

Resources, Infrastructure, Agribusiness and Financial Institutions
Flow Value Proposition• Connectivity and network access for Asian multinationals, Global
Diversified Corporates and Local Corporates

Core Value Proposition

Seamlessconnectivity• Delivery to multi-product and multi-geography customers
Flow Value Proposition• Continue to build regional product and platform capability• Simplified processes and policies to improve customer experience
Core Value Proposition

Full service
product
capability• Execution Capabilities in Loan Syndications, DCM, Structured
Trade, Advisory, Specialised Finance

Flow Value Proposition• Cash, Trade and FX at the core of the proposition

11

Continued disciplined approach to execution

Strategic Priorities
Clients• Be core to clients – Top 4 Corporate and FIG Bank in Asia
• A leader across key industries, including financial institutions

Connectivity• Continued investment in China, Singapore, Hong Kong, Indonesia• Further enhance Europe & America, Japan & Korea „throw‟ business• Further investment in India branches• New Geographies: Thailand, Myanmar

Risk• Maintaining strong liquidity• Building CASA(1) to improve concentration risk
• Continue to proactively manage credit risk and balance sheet crossclients and industry segments

Products• Full suite of FX / Rates, Commodities• Leading Capital Markets offering• Cross-border, integrated Payments & Cash Management• Deliver value to Commercial, Private Bank and Wealth business

1. Current Account Savings Account (not bearing interest)

12

ANZ Asia Investor Tour 2012
Global Markets

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Steve Bellotti
Managing Director
ANZ Global Markets

In a slowing environment, we are building the franchise
and accessing new markets to diversify revenue streams
The Global Wholesale Revenue Pool 1

ANZ Global Markets Revenue

315

Sales

AUDm

2% CAGR

USDb

220

220

205

8% CAGR

2,500

265

2,000

Trading & Balance Sheet

2,191
1,241

1,752

1,563

1,500

984

1,000

680

500
0

2008

2009

2010

2011

2008

2012F

ANZ Global Markets Revenue by Asset Class

2010

2011

2H11

1H12

ANZ Global Markets Revenue by Geography

AUDm

AUDm

2,500

2,191

2,000
1,500

2009

1,752

2,000

1,563

1,241

1,000

680

984

0

0

2009

2010

Foreign Currency

1. Source: Oliver Wyman Analysis, 23 March 2012

2011

2H11

1,563

984

1,000
500

2008

1,752

1,241

1,500

500

Fixed Income

2,191

2,500

1H12

680

2008

Capital Markets & Other

2009

Australia / New Zealand

1

2010

2011

2H11

1H12

Asia Pacific, Europe & America

ANZ Global Markets revenue potential is not yet fully
realised
HSBC – 2011

Standard Chartered – 2011

ANZ – 2011

Operating Income - US$83.5b

Operating Income - US$17.6b

Operating Income - US$17.2b

Markets

Markets

Markets
10%

14%

26%

Other

Other

Other

86%

74%

90%

Markets - US$11.6b
Securities
Services
Equities

15%
31%

9%

Balance
Sheet
Mgmt

Markets - US$4.6b
Commodities& Equities

13%
CapitalMarkets

Balance
Sheet
15%
30%
FX

14%

Fixed
IncomeBalance
Sheet
Mgmt
20%

Markets - US$1.7b
Commodities &Balance
Equities
Sheet
Capital Markets
Mgmt
6%
9%
19%

12%
23%

24%
31%

Fixed
IncomeFX

43%
FX

Notes:For HSBC and Standard Chartered represents 12 months to December 2011, ANZ 12 months to September 2011.
Markets’ defined as Fixed Income (Rates, Credit), FX, Capital Markets, Commodities, Equities, Securities Services, and Balance Sheet Management
and based on reported disclosures.

2

Fixed
Income

The Changing World - Competitors
Market forces
Changing environment• Margin compression across banking
sector• Difficult market trading conditions

Global Wholesale
Banking Revenue Pool
- ~USD220b1
FX/
Commodities
22%• Global regulatory changes

Rates
21%

Customers• Customer needs becoming moreglobal and cross-border• Technology a key enabler tocompetitive pricing for Financial
Institutions customers

Major Competitors
Local

Regional

GlobalCredit &Securitisation
8%
Equities
25%
Investment
Banking
24%1) Source: Morgan Stanley Oliver Wyman – 23 March 20113

ANZ competitive
Advantage
Customer Excellence• Strong reputation and credit rating
ensures relationship stability
through challenging times• Deep customer relationships
leveraging all areas of Institutional
Banking

Our Commitment to Asia
• Unique Super-regional footprint• Local experts with in-depth
industry knowledge and insightacross 14 countries in Asia

• International connectivity

Core Product Offering• Originate risk in Australasia anddistribute to Asia, Europe &Americas• Ability to leverage global
strengths to offer a core suite of
local Markets products, including
niche equity derivatives

We are being recognised for our customer excellence invalue-add solutions and flow business
Recognised Value-Added Transactions

ANZ‟s Target Institutional Revenue Mix

Strategic Advisory

Value Added
Solutions

DISTINCTION
AWARDSDISTINCTION
AWARDS

BOND DEAL OF THE
YEAR – LLOYDSBANKNZ BOND DEAL OF
THE YEAR – IAG
RETAIL

2011

2011

2011

AUSTRALIA & NZ
ACHIEVEMENTAUSTRALIA & NZ
ACHIEVEMENTAUSTRALIA & NZ
ACHIEVEMENTBEST
INTERNATIONAL
BOND DEAL

BEST EQUITY LINKED
DEAL

BEST LOCAL BOND
DEAL

2011

2011

2011

BEST DEAL AND
INVESTMENT BANKAWARDSBESTLOCALCURRENCY BOND WOOLWORTHS

Recognised Flow Business Excellence

Flow
FlowbusinessBusiness

Lending

4

FX SURVEY

BEST BANKSAWARDSFX POLL CORPORATESBEST IN ASIAN
CURRENCIESBEST BANK FOR THE
AUSTRALIAN DOLLARBEST PROVIDER OFDOMESTIC FXSERVICES

2012

2007 - 2011

2011

FX POLL – FIsBEST DEAL AUSTRALIADISTINCTION
AWARDSBEST PROVIDER OFDOMESTIC FXSERVICES

BEST EQUITY LINKED
OFFERING

BEST MARKET
MARKER

2011

2011

2010 - 2011

Value Proposition - we provide liquidity, transactional andrisk management solutions to ANZ customers
ANZ Customers
Corporates

Investors

Wealth• Global/ Regional/ Local Banks• Government / SemiGovernment / Central Banks• Fund Managers• Hedge Funds• Insurers• Other Non-Bank Financial
Institutions• Institutional• Corporate• Commercial
 Business Banking
 SMEs• Private Bank
• Wealth

ANZ Relationships
Global Markets
Functions

Sales

Product
Manufacture& DealStructuring

Asset
Classes

FX

Rates

Liquidity /Transaction
Processing

RiskManagement& Trading

Balance SheetManagement

CreditCommodities

Equities 1)

51) ANZ Global Markets Equities offering includes Equity Derivatives sales and trading and niche Equity Cash Management

What does Super Regional mean for Global Markets?
EUROPE
Secondary“Throw&
Catch”

ASIA PACIFIC1
Primary

AMERICA
Secondary“IntraRegion”• Providing Asia Pacific clients with Asia Pacific products• Providing Asia Pacific clients with global products• Providing global clients with Asia Pacific products
1. Asia-Pacific broadly defined includes Australia & New Zealand6“Throw&
Catch”

We will continue to grow and diversify our business to deliverglobal products to Super Regional clients
2012

2013

Diversify Asset Classes &Clients• Invest in FX• Leverage investments
already made in CapitalMarkets• Build-out other asset
classes according to coreclient demand

2014

2015

„Originate & Distribute‟ Model• Build out Financial
Institution and Investor
Client activities• Enhance global client
connectivity• Disciplined prioritisation
focussing resources for
greatest gain

• Build on strength in
APEA, including in the key
financial hubs of London &New York, to service our
super-regional clients• Strengthen enabling
functions and business
infrastructure• Selective geographicalexpansion via “Throw
and Catch”• Continue to attract key
trading and sales talentin APEA• Develop centres of
excellence for risk
management

7

2016

2017+

Delivering Global Products to
Super Regional Clients• Core bank for our Super
Regional clients offering
a global product set• Truly global risk andclient management

ANZ Asia Investor Tour 2012
Global Loans & Transaction
Banking

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Christina Tonkin
Global Loans & Transaction Banking

Cash management and trade are driving the growth of Global
Loans & Transaction Banking and Asia is leading the way
2,798

3,293

2,993

1,690

Revenue
AUDm

1,766

Trade & Supply
Chain
Payments & CashManagement

Global Loans
FY09*

FY10

FY11

2H11

1H12

1,458

NPAT
AUDm

Trade & Supply
Chain

1,050
760

581

795

Payments & CashManagement
Global Loans

FY09*

2,798

FY10

FY11

2H11

1H12

3,293

2,993

APEA

Revenue by
region
AUDm

1,690

1,766

New ZealandAustralia

FY09

FY10

FY11

*FY09 adjusted to include non-trade guarantees
1

2H11

1H12

We began this journey with a roadmap to build a leading
Super Regional bank across Asia-Pacific, Australia and NZ
2008
2008

2009
2009

2010
2010

2011
2011

Develop strategy andbuild business modelContinue organic
growth with bolt-ons

Build internet-enabled cash

Increased regional presence

platform to replace outdated
offering (ANZ OnLine)Develop complete cash

management product suite toclose existing gaps

Providing core tradecapability via globallyconsistent platform

Providing loan products via

a number of platforms acrossthe region

Recruited key trade and cash
management personnel withexpertise in cross borderproduct management anddistribution

and connectivity focussing
on transaction banking
solutions

ANZ Transactive Trans-

Tasman fully operational

Internet core cash

management platform
available pan-Asia, with
rapidly deepening capability

Strong growth delivered in
Asia deposit balancesComprehensive tradeoffering on a super regional
basis

2

2012+
2012
Extend and deepen
franchiseFull trade product suite(trade, structured trade, supply
chain)

Delivery of a robust mobile

ANZ Transactive platform for
smartphone in Australia and
New ZealandRoll out of advanced liquidity

management capability in Asia
via ANZ Transactive

Automation of end-to-end

payments processing in key
Asian countries

We are winning greater value added and substantial
flow transactions
Value-added

FMG Resources(August 2006) Pty
Ltd. Group

LGHK

Substantial Flow

Macarthur Windfarm

LEADERS IN TRADE

DISTINCTION
AWARDSMANDATED LEAD
ARRANGER
AND BOOK RUNNER

DEAL OF THE YEARRENEWABLE DEAL OF
THE YEAR

BEST TRADE FINANCE
BANK IN AUSTRALIA& THE PACIFIC

TRADE FINANCE
HOUSE OF THE YEAR

2012

2011

2011

2009 - 20112008 - 2011

APA Group

CASH MANAGEMENTPOLLDISTINCTION
AWARDS

Jurong Aromatics
Corporation

AWARDS FOR
EXCELLENCEBEST INTERNATIONAL
TRADE BANK VIETNAM

2011 - 2012

SOLE TRANSACTIONBANKING PROVIDERIN AU, NZ, HONG
KONG, TAIWAN &PHILIPPINESASIA PACIFICPETROCHEMICALDEAL OF THE YEAR

MANDATED LEAD
ARRANGERHALLETT 5 WIND FARMTERM FACILITY

BEST SYNDICATED
LOAN

BEST CASH
MANAGEMENT BANK IN
AUSTRALIA

CASH MANAGEMENT
HOUSE OF THE YEAR

2011

2012

2011

2005 - 2011

2011

2011

Wiggins Island Coal
Export Terminal

Adiya Birla

Sinopec

APLMA SYNDICATEDLOAN AWARDSBEST DEAL &INVESTMENT BANKAWARDSIFR ASIA AWARDSBEST PROJECTFINANCE DEALIFR ASIA AWARDS
LOAN OF THE YEAR

Most Impressive
Syndicated Loan in
Asia Pacific

ASIA PACIFICSYNDICATED LOAN
HOUSE OF THE YEARBEST LOANSARRANGERLOAN HOUSE OF THE
YEAR

2011

2011

2011

2011

2011

2011

3

We are well placed in a competitive market place
Payments and CashManagement• Leading transactional
banker by market
penetration to Institutionalcustomers in Australia and
NZ1• #1 AUD Clearing Services3• #1 NZD Clearing Services3• Positioned in the Top 10 for
providers of domestic cash
management in Asia4• Leading Domestic CashManagement/Clearing
Services positions in PNG
and Fiji

Trade and Supply Chain• #1 for market penetration
and as a lead provider of
trade services toInstitutional customers inAustralia and NZ1• Highest rated bank inAustralia for Trade Risk
Advice and Management
across all customer
segments2• ANZ is widely regarded forthe quality of its tradeservices advice, receiving
more positive evaluations
from its clients than any
other Australian bank1• A pre-eminent provider ofstructured trade finance inAustralia and NZ

1 Peter Lee (2011)

3 Swift volumes

5 Thomson Reuters

2 East & Partners (2012)

4Greenwich Associates

6 Ranked by number of transactions

4

Global Loans• Rated #1 Mandated leadarranger in Asia-Pac ex
Japan (2011)5• Rated #1 Mandated leadarranger in Australia(2011)5• Rated #4 Bookrunner in
Asia (2011)5,6• Rated # 1 Joint Lead
Arranger Project Finance
Australia (2011)5,7• Rated # 1 Joint Lead
Arranger Asia Pacific (exIndia)5,7

7Dealogic

Transaction banking represents a large and growing
portion of the wholesale banking market
Asia wholesale banking revenues by product
CAGR• Grow trade revenues ahead of system

769

12%

• Recognised as a top 3 provider of trade
solutions

135

11%

• The lead provider of Agri and NRGstructured trade solutions

Post Risk Revenues; USD Bn1

442
CMIB2

82

Lending

192

Transaction
Banking

Strategic Aspirations

336• Top 4 regional cash management
provider12%• Major provider of RMB/INR services• Preferred agent bank for clients ofEuropean and North American banks• Lead with specialised lending

298

12%

• Further develop loan distribution
capability

168
2010

• World class client-facing platform
amalgamating cash, trade and markets
products

2015

Source: McKinsey Global Banking Pools
1. At constant 2010 exchange rates
2.Capital Markets and Investment Banking

5

Providing financial supply chain management capability
that is core to the profitability of our customers
Working Capital Cycle Solutions

Clients

Receipts

Lenders
Investors

Receivables Solutions

Payables Solutions

Trade Finance

Liquidity Management

Supply Chain FinanceCash Management

Customer’s Transaction
Banking Account• Globally Consistent• Internationally Competitive• Regionally Networked
Term Loans

Cash Investments

Asset Finance

M&A

FX

Interest Rate Hedging

Suppliers

Payments

Investments

Fixed Capital and Investment Cycle Solutions
6

Cash management and trade products are key tocementing core banking status
Cash Management is central to corebanking relationships

Core Relationship Impact% services used with core bank
Cash management services

87

Credit facilities

71

Foreign exchange services

69

Derivative transactions• Trade finance is also an importantmeans of building a core relationship• Cash management enhances customer
retention and provides opportunities tocross-sell higher margin products

41

Trade finance32

Consultancy/Advisory services

29

Asset management

29

Custodian services

22

Risk management

21

Trust services• Cash management is typically the key
product provided by the core bank

• Cash management customers tend to be
more profitable• Corporate treasurers are increasingly
turning to their cash management banks
to provide diversified funding
capabilities

13• Credit facilities continue to represent a
critical factor in building customer
relationships

Pension 13

Source: J.P. Morgan Asset Management Global Liquidity Survey 20117

We have a clear roadmap that will deliver the value
proposition to achieve core banking status with our customers

2012

2013

Continue product &platform build• We will deliver a transaction

banking platform that cancompete with our global peers
and enable ANZ to win
business across the region• The platform to be fully

integrated and provide a
consistent client experience• Enhanced cross-sell oftransaction banking products
into SME segments in Asia,
Australia and New Zealand• Commence convergence of

single transaction banking
dashboard linking trade, cash
management, loan and FX
capabilities across the region

2014

2015

Activate the fullfranchise model

2016

2017+

Deepen franchise• ANZ Transactive platform will • Deepen organic growth inenable servicing of multicountry and multi productclients operating in
Corporate and Commercial
segments

franchise countries• Extend transaction banking

capability to key global networkand origination points• Single on-line point of access • Client self-servicing for global
to a comprehensive range ofcash, trade, markets andloan products and services• Delivery of a robust mobile
platform with phone andtablet capability for Asia

• Single loan management
platform

8

account opening andmaintenance• Data analytics and trend

reporting to provide valueadded services to clients

ANZ Asia Investor Tour 2012
Global Loans & Transaction
Banking

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Appendix

Payments & Cash Management at ANZ
ANZ’s Payments & Cash Management (PCM) offering forms an integral partof our customers’ business. We help our customers to efficiently manage
cash flow and develop payment and clearing solutions, positively affecting
their working capital and bottom line. By delivering the right mix of end-toend solutions, we help our customers uncover the full potential hidden
within their financial supply chain practices – and we show them how torealise this value.
We continue to invest in our regional cash management solution – ANZ
Transactive. This platform, together with ongoing product innovation (e.g.
Cashactive) allows the PCM teams located in 17 countries to deliver services
and solutions to more than 10,000 customers. PCM also plays an key role indriving and executing the deposit gathering strategy of the Internationaland Institutional Business across the region.

Unlock internal liquidity via improved liquidity management
CASH MANAGEMENT
Key products:• Liquidity Management• Foreign currency accounts• Transaction accounts• Investment accounts• Payables and Receivables

CLEARING SERVICES
Key products:• AUD and NZD domiciled
clearing accounts• Agency clearing

10

PAYMENTS
Key products:• Cross-border payments• Domestic payments

Trade & Supply Chain at ANZ
Trade & Supply Chain is the face of ANZ’s super-regional strategy formany customers, for whom increasingly, the Asia Pacific region represents
an important growth market. We assist by providing trade finance andsupply chain solutions that manage risk and liquidity, and support a
deepening of their own customer relationships.

ANZ is the leading trade and supply chain bank in Australia and New
Zealand, delivering superior sales and service, underpinned by a global
proposition that few banks can match – teams on the ground in 28
countries, with product, risk management, service and operations
provided via a global platform. This global network provides
insights, connectivity and greater transaction capacity. We service 9,400
clients across all segments and process over 56,000 documentary credits
p.a.

Leverage trade finance solutions to free up working capital
TRADE

Key products:• Letters of Credit• Collections• Documentary
receivables andpayables

SUPPLY CHAINSTRUCTURED TRADE
FINANCE
Key products:• Warehouse Finance• Pre-Export Finance• Offtake payment
confirmation

Key products:• Open account financing• Receivables andpayables financing• Invoice and Purchase
Order financing

11

GUARANTEESKey products:• Bid and Performance
Bonds• Financial Guarantees• Standby Letters of
CreditGlobal Loans at ANZ
Global Loans is a leading provider of both corporate and structured
lending, with specialist origination, structuring and execution teams
providing optimal customer financing solutions.
Loan facilities are a key determinant for customers deciding whom they viewas their “primary banker”, providing significant cross-sell opportunity.
Our specialised lending capabilities are integrated into the IIB growth
segments of Infrastructure, Natural Resources and Agriculture.
Our industry insight, product capability and specific asset class knowledge
allows Specialised Finance to deliver innovative and competitive funding
solutions for our clients, whilst Loan Product and Execution and Loan
Syndications creates a cohesive centre of excellence providing cutting edge
customer service and distribution.

Provide lending financing solutions
Specialised FinanceKey capabilities:• Project & Structured Finance• Structured Asset & Export
Finance

Loan Product and Execution
Key capabilities :• Loan Structuring & Execution• Loan Agency• Loan Product Management• Debt Structuring & Acquisition
Finance

12

Loan Syndications
Our award-winning Loan
Syndications team specialises inoriginating, structuring, underwriti
ng and distributing syndicatedloans to investors on behalf ofborrowers seeking to raise capital.

ANZ Asia Investor Tour 2012
ANZ Asia

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Gilles Planté
CEO Asia

ANZ Asia has established strong business momentum,
driving both onshore and offshore growthBooked Revenue

Share of Partnerships
CAGR
+50%

Revenue
USDm

622

FY08

4.5%

2,102
1,434

877
1,257
FY09

Additional Thrown Revenue 1

FY10

Revenue as % of Group

1,058

1,134

1,840

172
744

123
859

FY11

2H11

1H12

11%
Share of Partnerships

Net Profit after Tax
USDm

CAGR
+35%

254

FY08

Deposits
USDb

Column1

419

374

305
176
129

FY09

FY10

FY11

2H11

334
125
209
1H12

46

48

Sep 11

Mar 1230
10

Sep 081.

628

16

Sep 09Sep 10Thrown revenue represents additional revenue from Asia managed clients reported in other jurisdictions.
Data not available pre FY101
Reported on a divisional and underlying basis

We continue to leverage our super-regional strategy toenhance client connectivity and diversify our funding base
Increasing network contribution

Deposit Composition

Offshore’ revenue contribution of Asia Institutional
1H12, %

% of Total Deposits

NZ 5%
Private Bank 7%

Aus 53%

Throw
24%
Local
63%

Catch
13%

Retail 18%

Intra-APEA
42%

Commercial 7%
Global Markets 12%

Other Asia 18%
Taiwan 8%
Japan 16%
HK 17%

Throw by Destination
Aus 11%
Aus 11%
Intra-APEA
89%
Intra-APEA
89%

Catch by Origination

Transaction
Banking 56%

Singapore 41%

Total Deposit byBusiness

Total Deposit byCountry• Intra-Asia connectivity increasingly important –Catch and Throw revenue up by 22% compared
to prior period• Asia Transaction Banking and Retail Banking
grew deposit base by 38% and 42% PCP
respectively• 532 Asian Institutional clients have an active
relationship with ANZ in 3 or more jurisdictions• Self funding, Loan to Deposit ratio of 68%• Offshore customers represent 33% of our Retail
Banking customer base in Singapore and Hong
Kong
2

Offering comprehensive capabilities in Asia and across the
network…

LAOS

HONG KONG

THAILAND1

TAIWAN

CHINA
INDIA
UAE

PHILIPPINESSINGAPORE
MALAYSIA1

INDONESIA

Large Corporate &Institutional Banking

Retail Banking

Commercial
Banking

PrivateBanking

Representative Offices• Sector expertise in Natural
Resources, Agribusiness, Infrastructure,
Global Diversified MNCs, Financials
Institutions, Public Sector• Super-regional geographic expertise
delivering seamless cross-border solutions• Strong risk and balance sheet
management• Knowledge of the markets and insights in
our chosen industry segments• Leverage super-regional connectivity todrive cross-border business success• Strong relationship across client’s businesslifecycle• Target customers in Affluent and Emerging
Affluent segments• ‘Understand and recognise’ our affluent
segment customers as part of our Signature
Priority Banking proposition• Accessibility – Capitalise on ANZ’s branches
and ATM networks across Asia Pacific• Understand and meet holistic financial needs• Provide a full suite of banking solutions

JAPAN
SOUTH KOREA

1.

Institutional

Institutional
ClientsupportacrossEurope &America andAsiabusinesses

VIETNAM

Commercial

CAMBODIA… providing comprehensive productcapabilities across the network

RetailFootprint in 15 Asian countries
across focus business segments…

• Institutional andRetail Client
support acrossAustralia, New
Zealand, Pacificand Asia
businesses• Funding support
across the network3

… Along with maximising the value of strong ANZ Asia
Partnerships
Key Partnerships enhancing ourstrategic proposition
Broadening ANZ’s organic business coverageand providing access to additional market
segments:

Providing solid financial returns
NPAT contribution to ANZ
USDmShanghai Rural Commercial Bank:
Access to fast growing Shanghai/Yangtze
River Delta region in China; large base ofcommercial and retail customers (~330
branches)

400

Bank of Tianjin: Access to Tianjin/Bohai
Bay region in China – one of the four key
growth regions; high visibility in politicallyimportant city (~185 branches)0

Panin Bank: 7th largest bank in profitableand growing Indonesian banking market;
strong corporate and affluent/emerging
affluent customer base (~390 branches)

25%
CAGR

300
169

200

125

100
2008

2011

1H12

Adjusted NPAT contribution
by four largest Partnerships1
USDm
53

2H11
44
34

AmBank: Exposure to restricted Malaysianbanking market; access to all Malaysiancustomer segments (~190 branches)
Metrobank Card Corporation: Access toPhilippines card business (4th largest
cards issuer in Philippines)

327

1H12
38

25

23

AMMB

BoT

44

39

SRCB

1. Adjusted to remove accounting impacts of IFRS, Group accounting policies and acquisition adjustments and reflect underlying
performance.
4

Panin

Business growth is substantiated with solid franchisebuild, brand presence and market recognition…
Strong franchise build & brand presence•

Completed rebranding across Asia•

Launched Chinese brand across the region•

Positioned as an upscale international brandaligned to HNW and affluent customer focus.
Building Institutional recognition aroundconnectivity & insight

Gaining recognition across businesses
Recognition2012 Greenwich Associates Corporate Banking• Top 5 Corporate Bank in Asia
• Recognition of coverage quality (measured by theGreenwich Quality Index) improved 30 points in ’11
2012 12th Capital Outstanding Enterprise AwardANZ Offices in prime locations• Best Deposits Services BankIFR Asia Awards• Loan House of the Year ’11
Trade Finance Magazine, Award for Excellence• Best International Trade Bank in Vietnam, NZ (‘11)
Asiamoney FX Poll 2011

Prominent branding and Retail branchlocations• Top 3 Best for Overall FX services in Vietnam• Top 3 Best FX Prime Broking Services in Taiwan &Vietnam
ANZ brand recognition1• Affluent and Institutional brand awareness in
Singapore, Hong Kong, Vietnam, Indonesia, andTaiwan increased by 7.85%2 and 136%2
respectively from 2010 to 2011

1.
2.

Includes both Prompted and Spontaneous awareness, arithmetic average across these 5 markets
Source: Annual Global Brand Health Tracker Study 2010 & 2011, by Hall & Partners

5

…With significant success in winning client transactions
across flow and value-added businesses
Accelerated flow business…

USD 300
MillionSGD 200
MillionUSD 200
MillionParticipated in 3-yr
Syndicated Facility

Joint Lead Arranger& Swap Provider

Structured tradefinance facility &MOTF facility provider

Mandated sole cash
management bank

Gold Loan Facility &Coordinating arranger
4-yr Loan Facility

February 2012

Feb/March 2012

March 2012

March 2012

November 2011

M + S Pte Ltd
HKD 170
MillionSGD 5 Billion

USD 40 Million

Syndicated secured
term loan & revolving
credit facility

SGD 246
Million
Joint Lead Arranger

Mandated Lead
Arranger

Structured Trade
Finance Loan

January 2012

February 2012

April 2012

March 2012

Options with rebates& Enhanced Yield
Deposit provider
Oct/Dec 2011 & Mar
2012…Substantiated by value-added deals

USD 275
Million3-year Sr.
Unsecured Fixed
Rate CD
Joint Lead Manager
October 2011

RMB 750
MillionAUD 125
MillionAUD 500
Million

CNY 300
MillionUSD 750
MillionUSD 3.5
Million6-year tenure Euro
Medium Term Note

Joint Lead Arranger& Bookrunner

Senior Unsecured CD
Sole Lead Manager &Bookrunner

Joint Lead Manager& Bookrunner

7 year Asset Swap
(RTB on yr 5)

Principal Only Swap &USD/IDR cross currency
swap provider

Joint Lead Manager& Bookrunner

January 2012

February 2012

February 2012

February/March2012

October 2011

April 2012

March 20126

Increasing shift of economic opportunity towards
Asia, especially post global financial crisis…
Individual wealth and liquidity are on therise, further fuelling the Asian growth story

Total Banking Wallet
USD 640b
Other Asia 5.2%
Singapore 3.4%
India 6.1%
Korea 6.2%
Korea
6.2%
Hong
Kong
6.6%

# Wealthy individuals2 (m)
CAGR
6.4%
49.9
41.4
6.4%

Investments 12.8%
Bancassurance
1.2%

Retail41.6%

Deposits 11.5%
Cards 2.8%
Loans 13.3%

Relationships /Balance Sheet Lending
20.6%

China 41.5%

Revenue Pool byCountry

SL 1.2%Markets 13.9%

Institutional&
Commercial
58.3%

Revenue Pool by
Business Segment

17,605

12.6%

18.9%

0.3%

0.3%

2012

2009

1.
2.

Singapore, Indonesia, India, Malaysia

Greater China: China, Hong Kong, Taiwan

Japan2010 Trade Flows1(USDtr)

Asia

361.7

Intra-Asia2

3.7

Europe313.1

Asia2 – Europe

1.1

United States

228.2

Asia2 – USA

0.9

Australia

32.5

Asia2 – Aus

0.24

Sources: World Bank, IMF, IHS Global Insight, Oxford Economic Forecasting, and UNCTAD; GDP data all converted to a 2005 base year
Asia includes: China, Cambodia, India, Indonesia, Hong Kong, Japan, Korea, Laos, Malaysia, Philippines, Singapore, Taiwan, and Vietnam. Wealthy
individuals: AuM > US$60k + for developing countries and AuM> US$100k+ for developed countries

7

2012

Australia/New Zealand

Strong FDI and Trade flows create solid fundamentals for Asia’s growth2010 FDI Inward Flows1(USDb)

CAGR
9.2%
8.0%
14.0%

Transaction
Banking 54%

2009

22,901

7.5%

Japan 31.0%
Transaction
Banking 22.6%

Deposits (USDb)

…Providing key opportunities to ANZ in its Asian
franchise markets
Singapore

Greater China

Asian financial and client hub• World’s 4th largest and Asia’s 2nd largest daily
FX turnover (~USD266b)• ~7,000 MNCs, Offshore commodities trading
hub for >300 global companies• Highest affluent density with 7% of world’s
offshore wealth (USD500bn)

World’s growth engine• 5th highest #of listed domestic companies• 2nd highest high-net worth population• Largest Asian importer of Agri
• Major producer of oil, coal, base metals• Largest infrastructure market in Asia Pac• Massive intra-region cross-border flows
Competitive banking landscape
ANZ
SCB
HSBC
Citibank
DBS

Competitive banking landscape:Branches Revenue (USDm) Loans (USDb)
26
552
14
249
~4,40073
430+~16,000
181
173~3,00056
110~1,600
35

ANZ
SCB
HSBC
Citibank
DBS

Greater Mekong

Indonesia

Strategically aligned, high potential market• USD2.2b of developmental projects through
GMS Program 2012-2014• 47% of the top 20 merchandise exports in
Vietnam fall into Agri and NRG• Vietnam 2nd largest coffee & rice exporter

Largest South East Asian economy• Major commodity exporter (largest thermalcoal, top 5 in LNG, gold, copper)• Upgraded credit rating to investment grade
December 2011 by Fitch & Moody• Significant reforms in the financial sector
Competitive banking landscape:Competitive banking landscape (VN):
ANZ
SCB
HSBC
ACB
Sacom
1.
2.

Branches Revenue (USDm) Loans (USDb)
5
352
8
18
~1,60035
10~1,00018
21~1,2001080~3,80074

Branches Revenue (USDm) Loans (USDb)
8
94
1.1
3
~80
0.1
16
~200
1.1
326
~360
4.7
408
~330
3.7

ANZ
SCB
HSBC
Citibank
CBA

Branches Revenue (USDm) Loans (USDb)
28
294
2.5
24
~460
2.7
43
~520
3.2
22
~620
2.8
93
~100
1.1

Sources: McKinsey, BCG, IMF, ANZ Analysis, World Bank, Asian Development Bank, Capgemini Consulting & Merrill Lynch Wealth Management
Competitor figures are best estimate basis only. Citi, SCB, HSBC and DBS SG (estimated) numbers as of FY2010. Within Greater Mekong, HSBC has 13 branches in Laos andgenerates AUD0.7Bn in loans and SCB has rep offices in Laos and Cambodia.

8Our aspiration is to be the top 4 International Bank in
Asia
Strategic
Aspiration &Positioning

Build a top 4 International bank in Asia with well-balanced franchises andleading shared service centres
Deep Franchise
Presence in Greater
China, Greater
Mekong, Indonesia,
Singapore, India andMalaysiaSignificant Franchise Build

Branches

Staff Base

Products/
Platform

Clients

1.

2008

Today

20171

32 branches;
7 partnerships

98 branches;
7 partnerships

105+ branches;
Strategic
partnerships• Be among top 4

International Bank

• Additionally Singapore &~8,200FTE, ~65%
frontline~20% FTE
growth70% frontline

Few high end
products for
Institutional
and Retailclients, noelectronic
channels

Enhanced
product
portfolio & key
platforms (corebanking, KYC/A
ML, integrated
ex-RBS
systems)

Integrated ‘Asian
Platform’ forsimplified client
experience,
network
connectivity andfaster delivery tomarket~950
Institutionaland ~500k
Retail clients

Strengthened
customer base:Institutional~3,000,Commercial~13,000, Retail~2m‘Tier-1’ bank for
selected key
clients. Growth of~15% p.a. of
Institutional &Commercial and~25% p.a. of
Retail clients~2,200 FTE

Aspirational estimates only, subject to future regulatory and business constraints

9

HK as regional hubs ofclient network andliquidity

Strategic Network
Markets in Japan, South
Korea, Philippines, UAE• Expand relationships with
top-tier Institutional
clients, onshore & acrossnetwork• Focused retail and privatebanking in selected
countries

Franchise Presence
Strategic and Entry
Network Markets

Network Entry Markets in
Thailand, Myanmar

Key management initiatives undertaken to further
accelerate growth momentum over the next 5 years
Revenue diversification across focus franchise markets and client segments
Franchise/
network build

Focused clientacquisition/
relationship build• Further build Greater China, India and Malaysia franchises to complement Singapore andIndonesia• Right-size branch network in Greater Mekong• Deepen relationships with product cross-sell• Acquire ~15% new Institutional and Commercial clients per annum. Double ‘offshore’revenue• Grow new-to-bank clients by 25% in Retail

Leading product and channel capabilities to support business growth
Product &Channelenhancement• Build core banking platforms (Project Foundation) for standardised technology
deployment for key product sets in key Asian markets• Enhance multi channel capability via Transactive Asia, and Retail Channel enablement(internet and mobile banking)

Efficient business delivery via agile enablement processes, executed by talented and motivatedworkforce
Enablement
processes
simplification
Talent attraction &retention• Improve speed and customer experience for key processes in Payments, Markets, Retail• Reduce Operations unit costs by 15%; Improve STP by 30%; Increase % of Operations
FTE in hubs by 30%• Provide dedicated career paths for front line roles. Create more sophisticatedinterventions to support Line Managers to grow staff careers• Reduce voluntary attrition rate to below 15%
10

ANZ Asia Investor Tour 2012
Europe, Middle East, America& India (EMEAI)

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Mark Robinson
Chief Executive Officer
Europe, Middle East, America & India

Europe, Middle East, America & India performance
Booked Revenue
778

Revenue
USDm

241

FY08

Institutional
Clients492

Sep 08Thrown Revenue 1
920
473

300

FY09

504

Sep 09

254

321

FY10

FY11

561

153

221

2H11

1H12

594

663

Sep 10

Sep 11

711

Mar 1221

Deposits
USDb

5

Sep 081.

8

Sep 0911

Sep 10Thrown revenue represents revenue from EMEAI managed clients reported in other jurisdictions. Data notavailable pre FY10.
Reported on a divisional basis.
1

13

Sep 11

Mar 12EMEAI is integral to our Super Regional strategy
Delivering connectivity between the Western Hemisphere and India toAsia, Pacific, Australia and NZ

EMEAI accounts for
60% of world GDP and
31% of population

4 key branches• New York• London• Dubai• Mumbai

GDP(USD tr)

Population

North America

16

Europe1

Country

ANZ Presence
Branches

Established

Staff

347 m

1

1968

100

19

596 m

2

1835

250

Middle East

1

41 m

2

2007

10

India

5

1.2 b

1

2011

100

Source: CIA World Factbook
1. Europe is defined as the 27 EU member states, Iceland, Liechtenstein, Norway, Switzerland and Turkey
2

We deliver Super Regional capabilities to the world’s
largest institutions doing business in the Asia Pacific
Value added transactions

AUD EMTNNZD EMTN

AUD EMTN

Sole Lead Manager for
A$250m EMTN (dealupsized due to strong
demand in Europe)

Joint Lead Manager
for NZD 300m EMTN

Sole Lead Manager for
A$125m EMTN

Substantial Flow transactions

RMB FX

Commodities

RMB FX/Deposits

Offshore CNH hedging
in London following
ANZ’s RMB roadshow
across Europe

Soy Bean hedging for
US and Chinese based
entities executed in
LondonOffshore CNH hedging
in New York and
RMB deposit taking in
China

3

Our network helps deliver our Super Regional
capabilities to clients
Europe & America business is focussed on connecting clients into the Asia
Pacific, majority of growth will come from Asia Pacific generated revenues
USDm

Why do Europe & America
institutions choose tobank with ANZ?

Strong momentum in
E&A ‘throw’ revenue toAsia Pacific region

63

1H11

• A well rated bank (AA-)
with a strong balance sheet

81

94

2H11

1H12

239

246

2H11

1H12

• Few dominant banks in Asiawith a regional network like
ANZ
• Industry and country sector
expertise and insight (e.g.
Agri, Natural Resources)• An agile participant withpositive track record andcompelling strategy• Building connectivity

USDm

E&A ‘throw’ revenue toAustralia & New Zealanda more mature andstable business

216

1H11

4

Europe and America are centres of financial markets
activity and integral to our Global Markets strategy
78% of Global Markets profit pools in E&A

Customer Focus• Global accounts with significant superregional exposure: Global Diversified Corporates
 Global Investors
 Central Banks/Sovereigns• Asia-Pacific based clients (covered by
Europe & America while other ANZ offices
are closed)

Europe & Middle East

39%

22%

America
Asia Pacific39%

77% of Global FX turnover in E&A
$2.9T

$1.2T
23%

Product Focus

57%

America20%• Global Foreign Exchange• Commodities (e.g. Metals, Agricultural)• Interest Rates• Credit• Debt Capital Markets• Loan Syndications (For Asian distribution)

Europe & Middle East

Asia Pacific$1.0T
Increasing Asian currency turnover in London(Daily avg. USDb)

Source: Oliver Wyman, BCG, ANZ forecasts; Bank of International Settlements;
Note: Asia-Pacific is defined to include Australia and New Zealand

5

169

189

1H09

2H09

248

233

1H10

2H10

314

1H11

We are building a broad business in India, beginningwith Institutional clients
India is a $1+ trillion economy with significant long-term potential for ANZ

20082011/2012

Develop strategy andbuild business model• Offshore business• Regulatory andcompliance frameworks
established

Build onshorepresence• Granted Indian banking
licence in 2011
• Branch opened in
Mumbai June 2011

• Product capabilities
under construction• Core productcapabilities established• Main focus on Financial
Institutions• 100 active Institutional
clients• ANZ’s bullion businessis 15% of India’s gold
imports
ANZ India Revenue (USDm)
2008

2009

2010

2011

4

15

19

48
6

2017
Extend and deepen
franchise• Top 4 International bank• ‘Institutional’ bank ofchoice for priority sectors• Dominant bank for network
trade• Leading bullion bank• Significant Markets
business• Affluent / High Net
Individual banking• Serving Commercial bankcustomers

We are executing transactions with key clients in India
Indian Companies are global players1
Company

Revenues(USDb)

Industry

Indian Oil68

Oil & Gas

Reliance Industries

59

Oil & Gas

Bharat Petroleum

34

Oil & Gas

State Bank of India

32

Banking

Hindustan Petroleum29

Oil & Gas

Tata Motors

27

Consumer
DurablesTata Steel

27

Materials

India – Europe
Trade USD122b

India – USA
Trade USD46b

India – China
Trade USD63b

India – ASEAN
Trade USD58b

Syndication
Loan
Sole Deal
Coordinator toarrange USD175M
in 3 weeks

India Total Trade
USD621b2

ANZ has won the Asia-Pacific - Loan of the Year Award fromThe Banker and the IFR Asia Awards Loan of the year 2011
for ADITYA BIRLA’S $900M ACQUISITION FINANCE
Source: 1. 2011 Global Fortune 500 (CNNMoney) Eight Indian companies have been listed in the Fortune Global 500 ranking for 2011
2. Total Imports and Exports - Govt. of India Ministry of Commerce & Industry website

7

India – Australia
Trade USD12b

Our Middle East presence focuses on Gulf States withinvestor and trade links to the Super Region
Top Gulf Sovereign Wealth Funds

Dubai

Investment FundCountry

Assets(USDb)

Abu Dhabi Investment
Authority

Abu Dhabi

627

SAMA Foreign Holdings

Saudi Arabia

532

Kuwait Investment Authority

Kuwait296

Qatar Investment Authority

Qatar

100

Investment Corporation of
Dubai

Dubai

70

International Petroleum
Investment Company

Abu Dhabi

Middle East – Asia
Trade USD501b

58

Barzan Gas
Company Ltd

Trade

Lead Arranger

Trade Finance for
USD 100 m for 6
months

Project financing forgreenfield natural
gas project in
Qatar

Source – International Monetary Fund, SWF InstituteMiddle East –Australia / NZ
Trade USD11b

8

ANZ Asia Investor Tour 2012
Europe, Middle East, America& India (EMEAI)

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

AppendixEurope and America Provide Access to the World’s
Leading Companies and Largest Financial Markets• ~60%1 of Fortune Global 500 clients headquartered in E&A• ~45%2 of Asian companies surveyed are presently conducting or looking to do business in Europe• ANZ E&A onboarded 242 New to Bank names over the past 3 years
Our E&A branches are located at
the centres of global corporate
headquarters and financial& trade activity

75% of the worlds largest companies are in E&A#

Company

Revenues(USDb)

Headquarters• Provide Global Account Management coverage
to clients

1

Wal-Mart Stores

422

USA

2

Royal Dutch Shell

378

Netherlands• Positioned to capture trade flows into
Asia, Australia, and New Zealand

3
4
5
6
7
8
9
10
11
12

Exxon Mobil
BP
Sinopec Group
China National Petroleum
State Grid
Toyota Motor
Japan Post Holdings
Chevron
Total
ConocoPhillips

355
309
273
240
226
222
204
196
186
185

USA
Britain
China
China
China
Japan
Japan
USA
FranceUSA• 50+ exchanges in E&A

13Volkswagen

168

Germany• Domestic market capitalisation of North
American & EU exchanges is US$35trn vs.
A$19.7trn3 for rest of the world (2012)

14
15
16

AXA
Fannie Mae
General Electric

162
154
152

FranceUSA
USA

17

ING Group

147

Netherlands

18

Glencore International

145

Switzerland

19
20

Berkshire Hathaway
General Motors

136
135

USA
USA

• Located within the world’s largest financial
hubs: London, New York

Europe and America play an important rolein the world’s financial markets• Critical to global FX & Commodities markets— 78% of profit pools (~A$176b)— 77% of turnover (~A$3.9trn)

Source: 1. 2011 Global Fortune 500 (CNNMoney) 2. 2012 FTI Consulting Eurozone Poll 3. World Federation of Exchanges

10ANZ Asia Investor Tour 2012
Retail Banking Asia Pacific

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

Wendy Lim
Managing Director
Retail Banking Asia PacificAsia Pacific Retail has generated strong momentum inrevenues, customer build-out and funding base+28%

Revenue
USDm

925
786

342

354

2008

2009

2010

2011

+34%

Net Profit after Tax
USDm

44

2008

2009

2010

2011

12
6

6

Sep 08

Sep 09

1

2H11

1H12

50

+30%

Deposits
USDb

489

107

29

8

472

Sep 102H11

14

Sep 11

67

1H12

17

Mar 12

We achieved many milestones in establishing the Retailfranchise focused on Customer Obsession, Connectivity
and Channels
2008
2009
2009 & priorDevelop strategy andbuild business model

2010
2010

2011
2011

Continue organic
growth with bolt-ons

 Building of retail businesses in Integration of ex-RBS retail Acquisition of RBS retail Exited low value accounts; focused

emerging markets

businesses in 2H09

businesses

acquisition on targeted segments Launched Signature Priority

Banking proposition in 9 Asia Pacificmarkets

2012+
2012
Extend and deepen
franchise Introduced Priority Banking

services in the Pacific, Laos &Cambodia in 2012

 Launched A to Z sales process
in key markets in Asia

 Piloting a series of customer
obsession initiatives

 Expanded investment and insurance  Optimising branch networks
product suite

across Asia Pacific Launched International Connectivity  Obtained RMB licence for China
Champions in Jan 2011.

 Launched ANZ Global Brand
campaign in 2H2011

 Launched mobile banking in Taiwan
in Sep 2011

 Launched ANZ Spot micro-site andiPhone application in Sep 20112

in May 2012

… and have been recognised for delivering a strong
customer value proposition
Service and productexcellence awards

Global Brand and Signature Priority
Banking Campaign across Asia PacificHong Kong•••• First global brand advertising campaign in
2H11Best Deposits Service Bank by 12th
Capital Outstanding Enterprise Awards• Launched Signature Priority Banking
advertising campaigns

Best Consumer Finance Bank by
Prime Awards for Banking & FinanceCorporations 2011

• Opened high-visibility, street-level flagshipbranch in Kowloon (Nathan Road)

Benchmark Advisor of the Year 2012
award for one of our Retail bankers

Indonesia•

Service to Care Award 2012 for
Savings•

Service Quality Award 2012 in Retail
Banking•Service Excellence Awards 2012 forCall Centre

Taiwan•2011 WebAward for ANZ Mobile Banking

Vietnam•Best Mortgage Business (Asia) 2010by The Asian Banker
3Retail Banking has become an integral component of
the APEA Business

Revenue
Contribution• 32% of total APEA Revenue (1H 2012)• Sustainable and low volatility revenue stream• 16% of total APEA deposit base; 39% of total APEA CASA (31 Mar

Stable Funding
Base

2012)

• Core portion of Retail CASA is 95% “sticky”• Loan to Deposit Ratio of less than 50%• Generates cross-sell of Market‟s products (FX, DCI and Structured

Distribution
Channel

Deposits), close to USD20 million revenue in 1H12 (not captured in
Retail revenue)• Branches service other customer segments (e.g. commercial)

Brand
Extension• Branch network helps build brand• Marketing campaigns reinforces our brand positioning

4

Customer behaviour and the regulatory climate are
evolving, making the environment more complex• Increased mobility among the Asian affluent customers
Macro &
Economic• Fast aging populations in many Asian markets• High savings rate coupled with limited national pension schemes

Customer
Behaviour• Consumer behaviour in credit cards evolving to be more “transactors”• Growing awareness of the need for retirement planning• Growing consumer „protectionism‟ in the credit card market

Regulatory• Interest rate and currency controls• Tougher regulatory environment post GFC leading to higher cost ofcompliance

Competitive• Fast changing technology resulting in changing banking behaviour• Emergence of mobile banking and sales tools

5Country business model is driven by four main factors
including ….
Key Drivers

Targeted segments account for a significant portionof the revenue & liquidity pools in key markets
Customer Pyramid

Customer’s banking
walletAsia Retail Revenue andDeposit Pools1

AUM Requirement(developed mkt)
HNW

State of Market
Development

USD3m+USD338b24%

USD11,204b

13%

USD100k-3m

Cost to Serve Model

RetailAsia
Pacific

Affluent
Emerging
Affluent

Mass

42%

61%

USD25k-100k

34%

26%

Value Proposition

1.ANZ markets
Source: Countries’ statistical data and census, BCG, CIA Factbook, Datamonitor, Euro Monitor,
IMF data, McKinsey Global Banking Revenue Pool, Nielsen Surveys, Nomura Research, Press
search and ANZ analysis
6

Risk
Deposit Pool
Adjusted
Revenues

Business model is aligned to the state of the market
development
GDP per capita vs. cycle of economic development• Higher GDP per capita

GDP Per Capita in USD(PPP, 2010-11)• Hong Kong, Singapore
and Taiwan

70,000Developed – Large Affluent class

Emerging Markets

Emerging – Rapidly growing Affluent class

60,000Singapore

Niche - Rapidly growing Middle class

50,00040,000Size of bubble =population

Hong Kong

Concentration of income(Gini coefficient – 1= mostunequal and 0 = most equal)TaiwanJapan<=0.33NA

Mumbai
Laos

VietnamShanghai

Guangdong

10,000

Papua New Guinea

Philippines• Provide „liquidity‟ to bankand referrals to network• Sizable affluent
population

Delhi• High market barriers

Fiji

0

• Low GDP per capita

Opportunistic Markets

Indonesia

Cambodia• China (selected cities),
Fiji, Indonesia, Vietnam• Cambodia, Laos,
Philippines, Rest ofPacific

Beijing

20,000• GDP per capita isrelatively low

Niche Markets>0.33

30,000Developed Markets

Stage of economic development-10,000
Source: CIA World Factbook, Countries‟ census bureaus, IMF, UN Data, World Bank and ANZ analysis

7• Wealth management
focused• India (selected cities),Japan

Affluent and Emerging Affluent customers will beacquired and served through distinct channels
Affluent - relationship led
through RelationshipManagers

ANZ Asia Pacific Retail
Sales Service Model

Level
of Access

Relationship Manager
Affluent

Emerging Affluent – Productled through self-service anddirect channels

Cards

Personal Loans

Insurance

Investments

Deposits

Branch• RM is the 1st point (andprimary) of customer
interactions• RM provides customers
guidance on asset allocationand product selection basedon customer needs• Customers have access to allchannels and products

Emerging
Affluent

Internet Banking, Mobile Banking, Phone
Banking, Direct Sales Agents

8• Singular/bundled products
are used to acquire
customers• Acquire and serve primarily
through self-service anddirect channels andoccasionally throughbranches• May pursue opportunistic
play in the upper mass
market for selected products

ANZ’s value proposition is aligned to the market we
operate in‘Layering’ of Retail Value Proposition(based on operating model)

We are positioned to compete effectively
vs. competitors
International competitors

1.

Connectivity – Serving Affluent clientneeds across the Region (All Markets)• Targeting offshore and host country banking
wallets

Differentiated through• AA credit rating

2.

• Insider knowledge & expertise in 23 Asia
Pacific markets• “Australia” brand – accessible, friendly andstableDeep Relationship and Trust – Banking you& your family (Developed, Emerging &Opportunistic Markets)• Focused on relationships and customer
satisfaction• An ANZ RM for the family

Local competitors
3.

Capabilities to ‘Plan for your Tomorrow
Today (Developed Markets)• ANZ positioned as a financial partner, withexpertise in Retirement Planning

Differentiated through• Super-regional footprint• Cross-border products and services• Product and „advisory‟ capabilities

As the wealth proposition is developed in the future we will fully integrate this and its
various execution points into the APEA retail banking proposition

9

How products support the business model
Developed
Markets

Emerging
Markets

Niche
Markets

Opportunistic
Markets

Hong Kong,
Singapore and Taiwan

China (selected
cities), Fiji,
Indonesia, PNG,
Vietnam

Cambodia, Laos,
Philippines, Rest ofPacific

India (selected
cities), Japan

Current / Savings
accounts
Mortgages/ Secured
Loans

Unsecured loans/ Credit
Cards

Selected Investment &Insurance (I&I) products

Full suite of I&I products,
investment lending andAdvisory Services10

We have a clear roadmap to continue building the
Retail franchise focused on Customer Obsession,
Connectivity and Channels
2012

2013

Continue product &platform build• Acquire new affluent

2014

2015

Activate the fullfranchise model

2016

2017

Deepen franchise• Launch of our Retirement
Planning proposition in the key
franchise markets• Deepen organic growth infranchise countries• Build China business post

• Launch of internet and mobilebanking and mobile sales tools• Realign the business model• Standardised operating
platforms and processes• Define and launch proposition
for India

customers and deepen
customer relationships
RMB and QDII licenses

in Greater Mekong andPacific• Simplify and automate
processes to improve
productivity• Fully leveraging our hubs in
Manila and China• Continue optimisation of
branch networks

11• Improve advisory capabilities

ANZ Asia Investor Tour 2012
Retail Banking Asia Pacific

AUSTRALIA AND NEW ZEALAND BANKINGGROUP LIMITED
6 June 2012

AppendixDeveloped sales tools that better support a growing
business
Sales Tracker• A web-based application providing timely and

RM Workstation• A frontline application that allows RM to have an

up-to-date sales performanceoverview of customer‟s data and portfolio
information.

13