1. Delivering for Shareholders Australia and New Zealand Banking Group Limited Peter Marriott Chief Financial Officer February 2000

2. Briefing Outline m Review of ANZ’s 1999 Results - Financial Perspective - Business Perspective m Outline Group Strategy with particular focus on Personal Financial Services strategy.

3. 1999 - A Good Year for ANZ m EPS 90.6c up 17%. TSR up 19.6% m NPAT $1,480 million up underlying 18% m Return on Equity up to 17.2% (15.5%). ROA 1.0% (0.8%) m Costs down 4%. Cost income ratio down to 55.0% (60.9%) m Risks reduced. Gross non-accruals down 7%, net down 27% m $500 million share buyback m No abnormals. No Surprises.

4. Significant Improvement Achieved ROE % Cost Income Ratio % ROA % Gross and Net Non-Accruals $m 1,225 872 1,662 1,543

5. Good Progress Across the Board 900 1000 1100 1200 1300 1400 1500 1600 1700 1,106 Abnorm al Items 69 1,175 Net Interest Income Growth 98 Lending Fee Growth 87 Other Fee Growth 93 Growth in Other Income 42 Lower Costs 83 Software Capitalisation 61 Higher Provisions (23) Increased Tax (136) 1,480 $m Post Abnormals 1998 Pre Abnormals 1998 1999

6. Drivers of Performance ROA ROE NII/Interest Earning Assets Net Interest Assets Other Income Assets Cost Assets Provisions Assets Leverage Risk Business Mix Cost/Income Provisions/NLA

7. Delivering on Cost Reduction Cost Income Ratios % ANZ WBC CBA NAB

8. FX Interest Reducing Risk US$b Asian Exposure Market Risk (VaR - Ave) A$m 23 AAA-BBB+ BBB BB BB- <B+ $65b $90b Australian Lending Asset Profile 7 11.5 6.1 5.6 % Equities

9. Gross Non-Accrual Loans Non-Accrual Loans Net Non-Accrual Loans As at 30 September $m Gross Net Cover Australia62334544% New Zealand 503040% International87028265% $m

10. Provisioning: ELP > SP at Group Level ELP - Economic Loss Provision SP - Specific Provision Sep 98Sep 99APRA Guideline ELP Charge Net SP Transfer 1395 0 300 600 900 1200 1500 1800 2100 1401 510 482 967 $m FX Impact Surplus over APRA Guideline

11. Capital Strategy m Active capital management m Maintain AA status and peer ratings ã Tier 1 (6.5 - 7.0%) ã Inner Tier 1 (6.0% - 6.5%) m $500 million on-market buyback m Major international acquisitions unlikely m NZ Tracking Stock Issue in May Capital Adequacy Ratio % Inner Tier 1 0 2 4 6 8 10 12 1996199719981999 Hybrid 10.7 7.9

12. Economic Value Added (EVA) Net Income5,966 Operating Expenses(3,294) ELP Charge(510) Tax(676) Franking & Other Adjustments 352 Adjust Profit1,838 Cost of Capital* @ 11% (1,004) EVA834 * Hurdle of 15% used in internal models $ million

13. Business on Track m Strategic re-positioning on track in all segments m Good earnings growth in Australia and New Zealand m Business mix substantially improved. High risk businesses exited m Domestic market share up notwithstanding cost focus m 140,000 Internet banking customers (8000). ANZ E*Trade launched m Major technology projects completed on time, on budget

14. Business Mix Improved Business Segment Profit After Tax Other International Corporate Personal Up 33% Up 17% Down 20% Business Segment Proportion Personal Corporate International Other $m

15. Total Market Share Share of Credit Cards % ANZ NAB CBA WBC Share of Housing Lending % % Share of Business Lending % 199319881998 Nov-99 Gains in Australian Market Share

16. Overall Strategic Direction in Place m Balance business mix towards consumer and low risk ã Personal offers greatest growth and earnings potential ã Leading position in corporate to be leveraged ã International to be simplified and focused ã A leading presence in e-Commerce to be established m Transform management process to deliver EVA ã Withdraw from high-risk and non core segments ã Improve performance in suboptimal businesses ã Invest in high growth revenue streams ã Hold costs flat ã Optimise capital efficiency

17. Strategy for Personal m Aggressively build market position in all consumer segments m An intergrated financial services approach m Special focus on insurance and retail funds management m Differentiated service propositions by customer segment m Build strong product businesses m Continue intense focus on cost management m Build a leading consumer e-Commerce capability

18. Integrated Personal Financial Services Estimated Value of An Australian Retail Customer (A$ Present Value) Risk/Wealth Protection Traditional Banking $6000 - 7000 Investment General Insurance & Traditional Life 198919972005 Banks/NFI Managed Funds Household Financial Assets 1000 2000 3000 $b

19. ANZ Has a High Quality Personal Customer Base 0102030405060708090100 Industry Ave ANZ 20100200500100060 Total Relationships (%) Wealth Bands Source: Roy Morgan 1998 Other $(000)

20. The Opportunity with Australian Consumers Source: Roy Morgan 98 All ANZ Customers High Value to ANZ High Value to Industry but limited ANZ business True Retail Market Customer Base 2.7m

21. A New Dedicated Business for Premier Customers m Premier Financial Package m Dedicated Managers m Premier Suites m Dedicated Service Officers

22. A fundamental shift to a customer-centric strategy Segmented Customer Service Propositions will now Drive Delivery High Value Customers Low Value Customers New Segmented approach Customer Revenue curve Traditional uniform cost to serve Segmented Customer Service Approach

23. Market share (% of Australian internet banking users) Customer takeup rate * (% of customer base) * Number of internet banking users (Ord Minnett 12/99) / number of main banking relationships (based on Ray Morgan 8/99 data) Source: Ord Minnett, Ray Morgan Leveraging Technology: anz.com

24. International - Simplify and Focus m Re-balance business mix towards consumer m Reduce cross border risk m Target Top 2-3 foreign or Top 5 local position m Leverage strong positions/ global capabilities m Deal with minor positions m Develop Asia-Pacific, e.g. Indonesia m Pursue acquisitions only where it creates a desired position - likelihood of our making a major international acquisition this year is low Continue to Reduce Risk Target Fewer, Deeper Positions Create Future Growth Platforms New Lending Policies Latin American Offices Closed 25% Interest in Panin, Cards acquisition

25. m Increase ROE towards 20% target m Target flat costs. Achieve 53% cost income ratio m Improve asset quality, particularly International m Progress towards target capital range m Set stretch performance targets and linked incentives m Target highest increase in e-Commerce customers m No surprises Continue to Deliver in 2000

26. m Positive view on world economy m Australian economy strong but slowing slightly m Business tracking close to our expectations, comfortable with “Street” expectations m Abnormal writedown of FITB of $60m from tax changes – will be partially offset by abnormal gainsOutlook

27. The material in this presentation is general background information about the Bank’s activities current at the date of the presentation. It is information given in summary form and does not purport to be complete. It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with or without professional advice when deciding if an investment is appropriate. For further information visit www.anz.com or contact David Ward General Manager Office of the Chief Executive ph (613) 9273 4185 fax (613)9273 4091 email david.ward@anz.com

28. Sep-99 Profit & Loss A$MSep-97Sep-98 Net Interest Income 3,4373,547 Fees1,459 1,574 FX237373 Trading Securities182 Other232235 Net Income5,5475,646 Expenses Personnel1,9491,854 Premises362347 Computer330341 Other771776 Restructuring Costs90120 Total Expenses3,5023,438 Profit Before Provisions2,0452,208 Doubtful Debts400487 Tax466537 NPAT BeforeAbnormal Items1,1711,175 Abnormal Items NPAT andAbnormal Items1,0241,106 3,645 1,754 340 89 138 5,966 1,732 314 344 813 91 3,294 2,672 510 676 1,480 - Non Interest Income 2,1102,0992,321

29. Profit Before Provisions1,0241,0211,1641,0441,302 1,370 Mar-99 Profit & Loss A$MMar-97Sep-97Mar-98Sep-98 Net Interest Income 1,7181,7191,7731,7741,811 Fees693766774800850 FX111126196177180 Trading Securities8010262 44 Other116 9613960 Net Income2,7182,8292,9012,7452,945 Expenses Personnel954995972882860 Premises184178172175157 Computer173157168173186 Other383388385391 Sub Total1,6941,7181,6971,6211,594 Restructuring Costs-90408049 Total Expenses1,6941,8081,7371,7011,643 Doubtful Debts197203237250258 Tax243223298239324 NPAT BeforeAbnormal Items580591625550716 Abnormal Items - - NPAT andAbnormal Items549475625481716 Sep-99 1,834 904 160 45 78 3,021 872 157 158 422 1,609 42 1,651 252 352 764 - Non Interest Income1,0001,1101,1289711,134 1,187

30. Management Team m John McFarlaneCEOCitibank, Standard Chartered m David BoylesCIOAMEX, BOA m Roger DavisCorporateCitibank m Peter HawkinsPersonalANZ m Peter MarriottCFOANZ, KPMG m Greg CammMortgagesANZ m Larry CrawfordDistributionFirst Bank Systems, Wells Fargo m Bob EdgarBusiness BankANZ m Kathryn FaggBanking ProductsMcKinsey & Co m Brian HartzerCardsFirst Manhattan m Elmer Funke KupperInternationalMcKinsey & Co m Mark LawrenceRiskSoc Gen New York m Peter McMahonAsset FinanceANZ, Costain m Grahame MillerANZIBANZ m Elizabeth ProustPeopleVictoria Public Service m Alison WatkinsStrategyMcKinsey & Co