Fisher Funds Annual Roadshow August 2004

Presentation  Introduction to Freightways  Industry, business description and strategy  Financial performance  Recent events and outlook

Introduction Listed on the NZX September 2003 Established in 1964 Express package, mail, information management Approx. 7,000 retail and institutional shareholders Revenue $214m, EBITA $41m, NPAT $16m

A Survivor Freightways’ businesses have survived: - Regulated / deregulated road transport industry - Substitute services: fax machine and - Many competitors - Three owners in the last two years

Express Package Industry Overview and Business Description

Express Package Industry Two segments to Express Package industry –Network couriers 90% of industry revenue –Point-to-point couriers 10% Services embedded in supply chains of businesses Consolidated industry structure Growth underpinned by demand for Just in Time supply

Business Description - Strengths Network of independent contractors Dedicated express package linehaul network Operational excellence and profit culture Experienced people Established multi-brand strategy

Multi-Brand Strategy Price Service Three major brands: –Differentiated by price and service – Captures growth across entire market – Provides defence against competitive threats Freightways’ Network Courier Brands

Information Management and Business Mail Industry Overview and Business Description

Well positioned in each niche Offers a total information management solution Integrated with express package operations Records management growth opportunity Information Management

Business Mail Niche player in deregulated postal services industry Postal deregulation enabled expansion of DX Mail Growth opportunities in business mail segment Drives volume to New Zealand Couriers

Business Strategy

Revenue growth from existing and complementary markets: –Increase volumes from existing customers –Gain new customers –Achieve some price improvements Converted into strong earnings growth: –Ability to grow volume at low incremental cost – Volume growth drives efficiencies/productivity gains – Maintenance of margin integrity –Continued focus on cost control Explore incremental acquisition opportunities Business Strategy

Financial Performance

10% revenue growth in year compound average revenue growth of 7% Operating Revenue

EBITA 27% EBITA growth in year compound average EBITA growth of 18%

Recent Events and Outlook

Recent Events Transition to a listed NZ company Sept Acquisition of Archive Security Actual 2004 financial performance exceeded IPO forecasts on all fronts

Outlook Economy favourable from Freightways’ perspective No change expected in Freightways’ operating environment Sustained focus on core business / core strategies Business as usual

Summary Strong successful business Positioned to deliver continuing earnings growth Delivering an attractive dividend yield