Slide 1: Filed pursuant to Rule 425 – BHP Billiton / Rio Tinto
Filed by: BHP Billiton Plc and BHP Billiton Limited Pursuant to Rule 425 under the Securities Act of 1933 Subject Company: Rio Tinto plc Commission File No.: 001-10533 The following are slides comprising a presentation that was first given on October 7, 2008.
Slide 2: Resourcing the Future
SHANGHAI Resourcing the Future 7 October 2008 Don Argus Chairman CitiSmith Barney Special Company Presentation
Slide 3: Disclaimer
Disclaimer By reviewing/attending this presentation you agree to be bound by the following conditions. The directors of BHP Billiton Limited and BHP Billiton Plc (“BHP Billiton") accept responsibility for the information contained in this presentation. Having taken all reasonable care to ensure that
Slide 4: Disclaimer (continued)
Disclaimer (continued) No statement concerning expected cost savings, revenue benefits (and resulting incremental EBITDA) and EPS accretion in this presentation should be interpreted to mean that the future earnings per share of the enlarged BHP Billiton group for current and future financial years
Slide 5: Short-term global economic challenges exist
Short-term global economic challenges exist Gross domestic production (% growth, constant 2006 US$) 14 Asian Banking Technology Current US Crisis Correction Financial Crisis 12 10 China 8 Emerging Economies 6 4 Developed Economies 2 0 Source: IMF, Data: IMF, IMF Forecasts. Slide 4
Slide 6: In the long-term China remains on the steep part of the development curve
However in the long-term China remains on the steep part of the development curve supported by six growth drivers Housing Structural Reform Rising Incomes High Value Manufacturing Urbanisation Slide 5 Rural Development
Slide 7: Urbanisation and industrialisation to drive demand for steelmaking raw materials
Urbanisation and industrialisation is expected to continue to drive demand for steelmaking raw materials… Growth in crude steel production (CY2000-2007) (mt) Other 15% Europe 4% Mount Newman Japan 3% 5% India 73% China Illawarra Coal Source: IISI and BHP Billiton estimates. Note crude steel producti
Slide 8: …and energy consumption
…and energy consumption Growth in energy consumption CY2000-2007 (mmtoe) Other 36% North West Shelf 50% China 9% 5% Europe North America Greater Angostura Source: BP Statistical Review of World Energy 2008. Notes:Primaryenergycomprisescommerciallytradedfuelsonly.Oil consumption measuredin millionton
Slide 9: Outstanding performance
Outstanding performance Neptune Gulf – of Mexico Slide 8
Slide 10: Our core strategy sets us apart in our industry
Our core strategy sets us apart in our industry • Focus on Tier 1 assets that are large, low-cost and expandable Simplicity • Focus on the extraction of upstream natural resources • Portfolio diversified by commodity, customer and geography reducing the volatility of cash flows • Maintenance of a de
Slide 11: Despite our size, simplicity is a core element of this strategy
Despite our size, simplicity is a core element of this strategy EBIT per employee (US$’000) 700 600 500 400 300 200 Pre-Alcan 100 Post-Alcan 0 BHP Billiton Rio Tinto(a) Vale Xstrata Anglo American Note: EBIT and Employees as per last published Annual Report, data does not include contractors. BHP Bi
Slide 12: Outstanding FY2008 result driven by strategy and execution
Outstanding FY2008 result driven by strategy and execution (a) Underlying EBIT margin th (FY2008) • Achieved record profit for the consecutive 7 year Group 48% • Attributable profit up 12%, EPS up 18% Petroleum 67% • Dividend rebased upwards a signal of our outlook confidence Energy Coal 30% • Full
Slide 13: The benefits of diversification across a high margin portfolio
The benefits of diversification across a high margin portfolio (a) EBIT margin % 80 70 60 Petroleum Aluminium 50 Base Metals D&SP SSM 40 Iron Ore Manganese 30 Met Coal Energy Coal 20 BHP Billiton 10 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 Notes: a
Slide 14: We are accelerating growth from a diversified project portfolio
We are accelerating growth from a diversified project portfolio Expected production growth % of growth CY2007-2012 (Copper equivalent tonnes '000s) (Estimated & unrisked) 14,000 12,000 Steelmaking Non-Ferrous Materials 10,000 18% 8,000 45% 6,000 37% 4,000 Energy 2,000 0 CY2007 CY2008FCY2009FCY2010FC
Slide 15: Focused on low risk volume growth from existing assets
Focused on low risk volume growth from existing assets and in our own backyard growth(a) Expectedproduction (Copper equivalent tonnes, CY2007-CY2012) By project type (b) By region (c) New Greenfield 3% 13% 87% 97% Brownfield Existing 63% Notes: a) Growth in production volumes on a copper equivalent
Slide 16: Example Olympic Dam
Example Olympic Dam el bhpbilliton Slide 15 ourcing the future
Slide 17: The Rio Tinto Offer
The Rio Tinto Offer él Slidet6 0000s te ft
Slide 18: Overview of the offer for Rio Tinto
Overview of the offer for Rio Tinto • Pre-conditional offer, capable of acceptance by shareholders following completion of regulatory processes and posting of offer documents • Regulatory processes anticipated to be completed around the end of 2008 • RioTintoshareholders arebeingoffered3.4BHPBillito
Slide 19: The benefits of the combination
The benefits of the combination Queensland Coal South • Optimising mineral basin positions and infrastructure Hail Creek Water Creek Goonyella 26 – Lower cost, more efficient production Riverside 48 48 Poitrel – Unlocking volume through matching reserves with 48 48 Broadmeadow 48 Peak Downs 48 48 No
Slide 20: 3.4:1 offer represents compelling value
3.4:1 offer represents compelling value RioTintovsBHPBillitonhistorical ratio(a) shareexchange 3.6 : 1 BHP Billiton's offer for Rio Tinto 3.4 : 1 3.2 : 1 3.0 : 1 2.8 : 1 1-Oct-2008 ACCC clears proposed acqusition of Rio Tinto 2.6 : 1 2.4 : 1 2.2 : 1 Jul-2007 Sep-2007 Nov-2007 Jan-2008 Mar-2008 May-2
Slide 21: Comparative dividend per share
Comparative dividend per share FY2008dividendsperA$1,000 ofshares(a) FY2007toFY2008DPSgrowth(b) A$25.92 BHP Billiton BHP Billiton 49% (2.6% yield) A$19.16 Rio Tinto Rio Tinto 31% (1.9% yield) FY2008vsFY2002DPS(b) Netdebt(c) BHP Billiton 5.4x BHP Billiton US$8.5bn Rio Tinto 2.2x Rio Tinto US$42.1bn N
Slide 22: Combination is about reducing risk, not increasing it
Combination is about reducing risk, not increasing it BHPBillitonLtdvsRioTintoLtdrelativeperformance (a) (Price performance relative to Jun-2001 = 100) 500 • Increased size does not mean increased complexity – simplicity of the business model remains key • Operating as 1 company results in 400 – Mor
Slide 23: Indicative timetable for the offer
Indicative timetable for the offer 2008 Offer Period Event Jul Aug Sep Oct Nov Dec Day 0(a) Day 60 Post Day 60 Regulatory Approvals Satisfaction of regulatory approval pre-conditions Offer Documentation (within 28 days of the Posting of offer documents for Rio Tinto plc offer preconditions being and
Slide 24: Summary
Summary • China, India and other developing economies are expected to continue to drive demand for commodities in the long-term • BHP Billiton is focused on executing its strategy, benefits of this were proven in the FY2008 result • Future production growth 6.9% is expected to be delivered from lowe
Slide 25: Questions and Answers
Questions and Answers Slide 24
Slide 26: BHP Billiton's senior management team
BHP Billitons’ senior management team Chairman and Chief Executive Officer Don Argus Marius Kloppers Chairman Chief Executive Officer • Chairman of BHP Billiton • 15 years resources Group since June 2001 experience • Chairman of BHP Limited • 15 years at BHP Billiton since April 1999 Group Managemen
Slide 27: More information for shareholders
More information for shareholders Internet More information on BHP Billiton or BHP Billiton’s offer for Rio Tinto can be found at either of the following web pages: BHP Billiton: www.bhpbilliton.com BHP Billiton’s offer for Rio Tinto: www.bhpbilliton.com\RioTintoOffer Or Email: investor.relations@bh
Slide 28: cdl
cdl bhpbilliton sourcing the future