For personal use only

Australia and New Zealand Banking Group Limited
New Zealand Branch

Key Information Summary
For the nine months ended
30 June 2009
No. 3 Issued August 2009Australia and New Zealand Banking
Group Limited, New Zealand Branch
Key Information Summary for the nine months ended 30 June 2009

Introductory information

For personal use only

> The purpose of this Key Information Summary is to provide customers andpotential customers with information about the financial condition of their bank.
> The information contained in the Key Information Summary is explained inthe Reserve Bank publication “Your Bank’s Disclosure Statement - What’s In
It For You?”, which can be obtained from the Reserve Bank.
> In this Key Information Summary, reference is made to the following:– “Overseas Banking Group” refers to the worldwide operations of Australia
and New Zealand Banking Group Limited including its controlledentities– “Overseas Bank” or “Ultimate Parent Bank” refers to the worldwide
operations of Australia and New Zealand Banking Group Limited
excluding its controlled entities– “NZ Banking Group” refers to the aggregated New Zealand operationsof Australia and New Zealand Banking Group Limited, including those
operations conducted through the NZ Branch and controlled entities ofthe Overseas Bank registered in New Zealand– “NZ Branch” or “Registered Bank” refers to the New Zealand operationsof the Overseas Bank, as conducted through the NZ Branch.

Corporate Information> The full name of the Overseas Bank is Australia and New Zealand Banking
Group Limited. Australia and New Zealand Banking Group Limited is acompany registered and domiciled in Victoria, Australia.

Credit Rating> The Overseas Bank has three current credit ratings, issued by Standard andPoor’s, Moody’s Investors Service and Fitch Ratings, which are applicable toits long term senior unsecured obligations, including obligations payable in
New Zealand in New Zealand dollars.

> During the two-year period ended 30 June 2009, the Standard and Poor’s
credit rating and qualification remained at AA and Outlook Stable.
> During the two-year period ended 30 June 2009, the Moody’s InvestorsService credit rating and qualification remained at Aa1. On 2 March 2009
the Outlook changed from Stable to Negative.
> During the two-year period ended 30 June 2009, the Fitch Ratings credit
rating and qualification remained at AA- and Outlook Stable. Fitch Ratings
were formally engaged by the Overseas Bank on 18 March 2008 to provide
credit rating services. Previously Fitch Ratings had rated the Overseas Bankon an unsolicited basis as AA-.

Australia and New Zealand Banking Group Limited, New Zealand Branch
Key Information Summary for the nine months ended 30 June 2009

Government Guarantees> The NZ Branch does not have a guarantee under the New Zealand Deposit Guarantee Scheme or the New Zealand Wholesale Funding Guarantee Facility as at 31 August 2009.

For personal use only

> The Overseas Bank has a guarantee under the Financial Claims Scheme (“FCS”). This scheme provides for an Australian government guarantee of “protected accounts”
up to A$1million in the winding up of the Overseas Bank. In addition, certain deposits of the Overseas Bank are guaranteed for amounts over A$1million, and certain
wholesale term funding liabilities of the Overseas Bank are guaranteed under the Australian Government Guarantee Scheme for Large Deposits and Wholesale Funding(“Wholesale Funding Guarantee”). Both the FCS and Wholesale Funding Guarantee apply to the Registered Bank, as a branch of the Overseas Bank. Further information
about the FCS is available from the Australian Treasury www.treasury.gov.au. Further information about the Wholesale Guarantee Scheme is available from theAustralian Government www.guaranteescheme.gov.au. Additional information on each guarantee scheme is available in the NZ Branch’s most recent General ShortForm Disclosure Statement and Supplemental Disclosure Statement.

OVERSEAS BANKING GROUPNEW ZEALAND BANKING GROUP

Unaudited
Unaudited
31/03/2009 31/03/2008
A$m
A$m

Unaudited
Unaudited
30/06/2009 30/06/2008
NZ$m
NZ$m

Profitability
Net profit after tax for the six months ended 31 March1,417

Net profit after tax for the year ended 31 March as apercentage of average total assets
Size - as at 31 March
Total assets

1,963

Profitability
Net profit after tax for the nine months ended 30 June

478

833

0.5%

Net profit after tax for the year ended 30 June as apercentage of average total assets

0.5%

0.8%

126,230

114,983

9.8%

9.4%

0.3%
502,798

The percentage increase in total assets from
1 April to 31 March

14.9%

Size - as at 30 June
Total assets

437,759

The percentage increase in total assets from
1 July to 30 June

24.4%

OVERSEAS BANKING GROUP
Unaudited
30/06/2009
A$m

NEW ZEALAND BANKING GROUP

Unaudited
30/06/2008
A$m2

Unaudited
30/06/2009
NZ$m

Unaudited
30/06/2008
NZ$m

Asset Quality
Total impaired assets (on-balance sheet)

3,912

-

873

213

Total impaired assets as a percentage of total assets

0.7%

-

0.7%

0.2%

Total individual provisions

1,234-

404

77

Total individual provisions as a percentage of total impaired assets1

31.5%

-

46.3%

36.2%

Total collective provisions

2,797-

634

486----539-328

Non-financial assets acquired through the enforcement of security
Off-balance sheet impaired assets ($m)

OVERSEAS BANK(EXTENDED LICENSED ENTITY)OVERSEAS BANKING GROUP
Unaudited
30/06/2009%

Unaudited
30/06/2008%2

Unaudited
31/03/2009%

Unaudited
31/03/2008%

Tier One Capital as a percentage of risk weighted exposures

9.7%

-9.0%

8.1%

Total Capital as a percentage of risk weighted exposures

12.4%-11.5%

11.7%

Capital Adequacy

1. Total impaired assets as a percentage of total assets has been calculated using 31 March 2009 information
2. Information for the Overseas Banking Group, has not been disclosed as not publicly available

Australia and New Zealand Banking Group Limited, New Zealand Branch
Key Information Summary for the nine months ended 30 June 2009

For personal use only

For calculation of minimum capital requirements under Pillar I of the Basel IIAccord, the Overseas Banking Group has been accredited by the Australian
Prudential Regulation Authority (“APRA”) to use the Advanced Internal Ratings
Based (“AIRB”) methodology for calculation of credit risk weighted assets andthe Advanced Measurement Approach (“AMA”) for the operational risk weighted
asset equivalent. The Basel II Accord came into effect from 1 January 2008. TheOverseas Banking Group, and the Overseas Bank (Extended Licensed Entity)(as defined by APRA), exceeded the minimum capital adequacy requirements
as specified by APRA as at 30 June 2009 and 30 June 2008. APRA specifies aminimum prudential capital ratio for the Overseas Banking Group, which is notmade publicly available.

Peak Credit Exposure Concentrations – for the threemonths ended 30 June
For the three months ended 30 June 2009, the NZ Banking Group had no peak
end-of-day credit exposures, on the basis of limits, to any bank or non-bankcounterparties, equal to or in excess of 10% of the Overseas Banking Group’sequity (30 June 2008: nil). The peak end-of-day exposures have been calculatedusing the Overseas Banking Group’s equity as at 30 June 2009. The equity used in
calculating the comparatives was as at 30 June 2008. These calculations exclude
credit exposures to the central government of any country with a long term credit
rating of A- or A3 or above, or its equivalent.

Ranking of local creditors in liquidation
There are material legislative restrictions in the Overseas Bank’s country ofincorporation which subordinate the claims of a class of unsecured creditors of theRegistered Bank on the assets of the Overseas Bank to those of another class of
unsecured creditors of the Overseas Bank, in liquidation of the Overseas Bank.

Under section 13A(1) of the Banking Act, in certain circumstances APRA may takecontrol of an ADI or appoint an administrator (defined in the Banking Act) to takecontrol of its business. Section 16(1) and (2) of the Banking Act provide that, despiteanything contained in any law relating to the winding up of companies, but subject tosection 13A(3) of the Banking Act, the debts of an ADI to APRA in respect of APRA’scosts (including costs in the nature of remuneration and expenses) of being in controlof the ADI’s business or of having an administrator in control of the ADI’s businesshave priority in a winding up of the ADI over all other unsecured debts.
Section 86 of the Reserve Bank Act 1959 provides that notwithstanding anything
contained in any law relating to the winding up of companies, but subject to section13A(3) of the Banking Act, debts due to the Reserve Bank of Australia by any ADI
shall, in a winding up, have priority over all other debts other than debts due to theCommonwealth of Australia.
Section 13A(3) affects all of the unsecured deposit liabilities of the NZ Branchwhich as at 30 June 2009 amounted to $nil. (30 June 2008 : $nil).

Non-consolidated activities
The Overseas Bank carries on insurance business in New Zealand through the NZ
Banking Group’s 49% share in the ING NZ joint venture. The NZ Banking Group
does not carry on insurance business directly. No non-financial activities arecarried on in New Zealand outside of the NZ Banking Group.

Financial statements of the Overseas Bank and Overseas
Banking GroupA copy of the most recent publicly available financial statements of the Overseas
Bank and the Overseas Banking Group is contained in the NZ Branch’s mostrecent Supplemental Disclosure Statement.

The Banking Act 1959 of the Commonwealth of Australia (the “Banking Act”) gives
priority over Australian assets of the Overseas Bank to Australian depositors if theOverseas Bank is unable to meet its obligations or suspends payment. Accordingly,New Zealand depositors (together with all other senior unsecured creditors of theOverseas Bank) will rank after Australian depositors of the Overseas Bank in relation
to claims against Australian assets.

Availability of Disclosure Statements

Specifically, pursuant to section 13A(3) of the Banking Act, if an Authorised
Deposit Taking Institution (defined in that Act to include a Bank like the OverseasBank) (an “ADI”) becomes unable to meet its obligations or suspends payment,
the assets of the ADI in Australia are to be available to meet the ADI’s liabilities inthe following order:This Key Information Summary, the most recent General Short Form DisclosureStatement and Supplemental Disclosure Statement can be accessed at the website
addresses www.anznational.co.nz, www.anz.co.nz and www.nationalbank.co.nz.

(a) first, the ADI’s liabilities to APRA (if any), because of the rights APRA has
against the ADI because APRA has made, or is required to make, payments todepositors under the Financial Claims Scheme;(b) second, the ADI’s debts to APRA for costs incurred by APRA in administrationof the Financial Claims Scheme in respect of the ADI;(c) third, in payment of the ADI’s deposit liabilities in Australia (other thanliabilities covered under paragraph (a)); and(d) fourth, the ADI’s other liabilities (in order of priority apart from section 13A(3)).

Copies of NZ Banch’s most recent General Short Form Disclosure Statement andSupplemental Disclosure Statement will be provided at no charge immediately to
any person requesting a copy where the request is made at the NZ Branch’s headoffice, Level 14, ANZ Tower, 215-229 Lambton Quay, Wellington.

Independent Examination Report to the Directors ofAustralia and New Zealand Banking Group Limited,
New Zealand Branch

For personal use only

We have examined the attached Key Information Summary. The information inthe Key Information Summary has been extracted from the General Short Form
Disclosure Statement of Australia and New Zealand Banking Group Limited NewZealand Branch and its related entities (the ‘NZ Banking Group’) for the ninemonths ended 30 June 2009 prepared in accordance with the Registered BankDisclosure Statement (Off-Quarter – Overseas Incorporated Registered Banks)
Order 2008 (the ‘Order’).
We have reviewed the interim financial statements and certain supplementary
information contained within the General Disclosure Short Form Statement for
the nine months ended 30 June 2009, on which we issued an unqualified review
opinion dated 31 August 2009.

Directors’ Responsibilities
The Directors are responsible for the preparation and presentation of the Key
Information Summary in accordance with the Order.

Auditors’ Responsibilities
In accordance with the Order, we are responsible for examining the Key Information
Summary presented by the Directors for compliance with the Order, and reporting
our findings to you.

Basis of Report
We have examined the information contained in the Key Information Summaryand compared it to the corresponding information contained in the General
Short Form Disclosure Statement for the nine months ended 30 June 2009.

Unqualified Statement of Findings
Based on our examination of the Key Information Summary, we report that the:> The Key Information Summary has been prepared in accordance with theOrder; and> The information contained in the Key Information Summary has been properlyextracted, where applicable, from the information contained in the General
Short Form Disclosure Statement for the nine months ended 30 June 2009.
For a better understanding of the scope of our review of Australia andNew Zealand Banking Group Limited New Zealand Branch’s General Short FormDisclosure Statement, and of the balance sheet of the NZ Banking Group as at 30June 2009 and the results of its operations and cash flows for the nine months
ended on that date, this report should be read in conjunction with Australia
and New Zealand Banking Group Limited New Zealand Branch’s General ShortForm Disclosure Statement for the nine months ended 30 June 2009 fromwhich the information in the Key Information Summary was extracted and ourindependent review report thereon.
Our review was completed on August 2009 and our unqualified statement offindings is expressed as at that date.
Wellington

For personal use only