Bank Of Queensland Limited · ASX:BOQ
Bank Of Queensland — Investor Presentation (July 2005)
8 slides from Bank Of Queensland's investor presentation, Jul 7, 2005
Slide 1: a es LULU ! ] yy
a Wl a es LULU ! ] yy
Slide 2: Background; Current Options; Proposed Amendments; Implications
+ Background + The Current Options + Proposed Amendments + Positive Impact for Ordinary Shareholders + Implications for RePS holders
Slide 3: Background: vote to amend RePS terms before reset date
+ The Directors of the Bank of Queensland (the “Bank”) are seeking a vote to amend the Reset Preference Shares (“RePS”) terms prior to the impending 15 October 2005 Dividend Reset Date + The current RePS terms provide two options at the Reset Date: + Reset the Dividend Rate and next Dividend Reset D
Slide 4: The Current Options: Reset the Dividend Rate or Convert
Option 1: Reset the Dividend Rate + The RePS terms require the following formula to apply to the Dividend Rate Dividend Rate= s+2.1157% per annum 1.1714 + Using a swap rate (s) of [5.6%] this would result in a dividend of 6.59% which would be fully franked + The Bank believes that this rate is not r
Slide 5: Proposed Amendments and Timetable
+ The Bank is seeking a ‘yes’ vote from RePS holders to amend the RePS terms to + Enable the Bank to offer RePS Holders a lower Dividend Rate than that allowed for under the current terms; and + Ensure that Holders will receive the 2.5% conversion discount in all conversion scenarios including where
Slide 6: Positive Impact for Ordinary Shareholders
Ordinary shareholders benefit from the changes by: + Allowing a new commercial rate to be offered which is lower that the current rate and lower than the rate prescribed in the fixed formula in the current documentation. The lower cost of funds will enhance shareholder value + Acceptance of the lowe
Slide 7: Implications for RePS Holders: New Dividend Rate
New Dividend Rate + The Bank proposes these amendments to provide an alternative to RePS conversion. The new dividend rate offered will be set at a level to encourage RePS holders to maintain their current investment. + The exact result of a conversion at the Reset Date cannot be known until the VWA
Slide 8: Conversion Discount
Conversion Discount + Under the current terms RePS holders do not receive a conversion discount if they request conversion + The amendments propose that the conversion discount be applied in all instances prior to the 15 October Reset Date + Including where a RePS holder requests conversion + If pas
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