Anz Group Holdings Limited · ASX:ANZ
Anz — Investor Presentation (June 2010)
35 slides from Anz's investor presentation, Jun 9, 2010
Slide 1: Asia Investor Update
For personal use only Asia Investor Update Institutional & Commercial Asia Pacific Europe & America Mark Whelan Managing Director Institutional & Commercial APEA 9 June 2010
Slide 2: Agenda
Agenda For personal use only • What we have achieved: 2008 – 2010 Achievements • What we intend to do: 2010+ • Key priorities Customers Priorities Product Connectivity • Clear segment proposition • Accelerating Commercial build Strategy • Building regionally competitive products and platforms
Slide 3: Key business metrics illustrate the progress to date
Key business metrics illustrate the progress to date For personal use only Significant customer build-out in Asia Building our funding base Customer numbers, Institutional Asia Institutional APEA balance sheet (USD b) ~45% CAGR 750 Net Loans & Advances 28.3 +10,000 Customer funding 550 Commercial 19
Slide 4: Becoming a top Institutional bank in Asia Pacific
Becoming a top 4 Institutional bank in Asia Pacific For personal use only 2007 2010 2012 Australia & New Zealand Building hubs & A Super Regional bank focus franchise markets Narrow focus Growing client base Core to clients • Australia / NZ connectivity • High-end Corporates, regional • Leading Reso
Slide 5: Three strategic priorities
Three strategic priorities For personal use only • Focus on multi-nationals, Asian regional and local corporates, financial institutions, governments Significantly build • Industry specialisation: Resources, Agriculture, Infrastructure, client franchise Technology • Build Commercial proposition (RBS
Slide 6: Institutional has a clear segment proposition
Institutional has a clear segment proposition For personal use only Clearly defined target customer segments … • MNCs1, Asian regional and local corporates Institutional target • Financial Institutions, Government segments • Natural Resources, Infrastructure, Agriculture • Telecommunications, Proper
Slide 7: Commercial build accelerated with addition of RBS assets
Commercial build accelerated with addition of RBS assets For personal use only Commercial Asia Snapshot „Adding value to your business‟ Countries 8 Customers >10,000 Service excellence and speed Frontline Staff ~400 • Deep client relationships on the back of industry / market insights • Current scal
Slide 8: Building regionally competitive products and platforms
Building regionally competitive products and platforms For personal use only Current offering End-state • Full Trade product suite across Asia • Vanilla Trade, Supply Chain (Trade, Supply Chain, Structured Trade) Transaction • Basic Payments & Cash Management • Cross-border integrated Payments & Cas
Slide 9: Positioning to capture trade and capital flows and access liquidity pools
Positioning to capture trade and capital flows and access liquidity pools For personal use only Regional Trade flows Capturing the Opportunity… USD b Intra - Asia ANZ Network Denotes two way trade flow (2008) • Large opportunity; intra-regional FDI >USD 60b FDI inward flow (USD b, 2008) • ANZ well p
Slide 10: Focus & disciplined execution has brought success
Focus & disciplined execution has brought success For personal use only Development of ANZ Institutional capabilities in Asia 2008 2009 2010 2011+ • High-end • Regional MNCs1 • Local Corporates • Continued industry Corporates • Financial • Commercial specialisation Clients Institutions • Agri, Prope
Slide 11: In summary:
In summary: For personal use only 1. Integrate RBS and build • Stabilise the customer base from the strong base • Integrate staff into ANZ • Continue RM build-out 2. Continue momentum • Deepen existing relationships in the client build • Deepen industry specialisation • We have a strong base to buil
Slide 12: Asia: South & South East Asia
For personal use only Asia Investor Update South & South East Asia Joseph Abraham CEO ANZ Indonesia 9 June 2010
Slide 13: Strong progress on key metrics
Strong progress on key metrics For personal use only Strong revenue growth Growing funding base S&SEA (inc. partnerships) Revenues (USDm) Balance Sheet (USDb) Net Loans & Advances 12.2 RBS CAGR ~66% 528 Customer deposits 10.1 acquisition will add ~3.7b 368 366 6.8 deposits and 5.8 5.8 ~1.2b loans 4.
Slide 14: South & South East Asia a significant contributor to global trade and capital flows
South & South East Asia a significant contributor to global trade and capital flows For personal use only Liquidity Trade Current Account System ASEAN Trade Partners Surplus Loan/Deposit (Annual Total Trade 2009 USDb) (Deficit) Ratio Japan Europe Greater United Aus/ China States NZ % of $177b $170b
Slide 15: We have built a strong base of branches, customers, and operations base for future growth
We have built a strong base of branches, customers, and operations base for future growth For personal use only 2008 Today • 23 Branches, along with 2 • 66 branches (43 ANZ + 23 RBS) Branches & along with 2 Partnerships partnerships Staff Base • Staff base of ~3,400 (~2,400 ANZ • Staff base of ~1,31
Slide 16: Our aspiration is to be top foreign bank in SSEA
Our aspiration is to be top 3 foreign bank in SSEA For personal use only • Become a dominant foreign bank in Greater Mekong and Indonesia Branch network and Institutional/Commercial coverage across all major cities Product scope and depth of a foreign bank Offshore and onshore network to servi
Slide 17: Indonesia has the foundation to become one of our largest countries
Indonesia has the foundation to become one of our largest countries For personal use only 2008 2010 • Predominantly a cards business with Retail & Wealth • Leading foreign retail bank no significant retail banking proposition • Full Commercial and Institutional banking proposition Commercial & • Lim
Slide 18: Indonesia - We are now competing with foreign banks on equal footing
Indonesia - We are now competing with foreign banks on equal footing For personal use only Loans Deposits Branches (USDb) (USDb) ANZ in 2008 2 0.7 0.7 ANZ in 2010 10 1.0 1.1 ANZ + RBS 28 1.4 2.3 SCB1 13 2.2 2.0 HSBC1 30 2.1 2.9 Citibank1 20 2.6 3.4 1. Source – Audited Annual Reports 2009, FX convers
Slide 19: Indonesia – Becoming top foreign bank
Indonesia – Becoming top foreign bank For personal use only Until 2008 2010 2011-2013 • 2 branches, 4 ATMs • 28 branches in 11 cities (including • Selective branch expansion as • Predominantly Cards RBS) necessary • No retail business • Full commercial bank capability • Product expansion • Limited I
Slide 20: Singapore – A full capability network hub has been built
Singapore – A full capability network hub has been built, servicing South and South East Asia For personal use only 2008 2010 • No Retail business • Retail business with 6 branches and 19 • Limited Private Banking ATM‟s Retail & Wealth • Centre of Private Banking and Wealth Management • Embryonic hu
Slide 21: Singapore - The RBS acquisition gives ANZ the QFB license
Singapore - The RBS acquisition gives ANZ the QFB license to build a scale onshore business For personal use only Branches Loans Deposits (USDb) (USDb) ANZ in 2008 1 2.4 3.2 ANZ in 2010 1 2.9 9.4 ANZ + RBS 6 3.6 12.3 HSBC1 10 14.8 33.2 SCB1 18 31.4 41.7 1. Source – 2009 Annual Reports, ANZ analysis.
Slide 22: Singapore – Key hub for the region, with complementary onshore full banking franchise
Singapore – Key hub for the region, with complementary onshore full banking franchise For personal use only Until 2008 2010 2011-2013 • Wholesale bank only • Regional hub for SSEA business • Provide end-to-end cross border banking • Gradual build as Asian • Strong Institutional capability • Expand P
Slide 23: Greater Mekong - Have grown substantially and now the leading international bank
Greater Mekong - Have grown substantially and now the leading international bank across region For personal use only 2008 2010 • Mainly concentrated in Cambodia Retail & Wealth • Leading foreign retail bank • Small presence in Vietnam • Full commercial and institutional banking proposition; Commerci
Slide 24: Greater Mekong: our position is a major foreign bank player
Greater Mekong: our position is a major foreign bank player For personal use only Loans Deposits Branches (USDb) (USDb) ANZ in 2008 16 0.7 0.9 ANZ in 2010 31 1.0 1.4 ANZ + RBS 31 1.0 1.4 HSBC1 13 0.7 1.4 1. Source Published financial statements for locally incorporated entities & ANZ analysis. Note:
Slide 25: Greater Mekong – Dominant international bank capturing trade and investment flows
Greater Mekong – Dominant international bank capturing trade and investment flows For personal use only Until 2008 2010 2011-2013 • 31 branches, 233 ATMs • 19 branches, 122 ATMs • Leading international bank • Nascent cards business • Mainly Cambodian branches • Strong Institutional & Retail capabili
Slide 26: India represents a significant medium term opportunity for ANZ
India represents a significant medium term opportunity for ANZ For personal use only Granted pre-approval for banking licence and aim to establish a branch in Mumbai by Q1 2011 • Focus on internationally oriented companies, SOEs and Private Bank • Build product capability in Trade, Markets, Cash & D
Slide 27: Summary: focussed strategy delivering strong growth in South and South East Asian region
Summary: focussed strategy delivering strong growth in South and South East Asian region For personal use only • South & South East Asia is a significant contributor to global trade and capital flows • We have systematically built out our franchise, delivered strong results on key metrics and establ
Slide 28: Asia South & South East Asia Appendix
For personal use only Asia Investor Update South & South East Asia Joseph Abraham Appendix 9 June 2010
Slide 29: ANZ brand now significantly more visible in South East Asia, particularly Indonesia
ANZ brand now significantly more visible in South East Asia, particularly Indonesia… For personal use only 28
Slide 30: …and Greater Mekong
…and Greater Mekong For personal use only 29
Slide 31: Asia Partnerships
For personal use only Asia Investor Update Partnerships Alistair Bulloch Deputy CEO Asia Pacific Europe & America 9 June 2010
Slide 32: Why do we have Strategic Partnerships?
Why do we have Strategic Partnerships? For personal use only Provides access to additional Enhances ANZ‟s business coverage market segments • China (Shanghai & Tianjin) • Assists organic agenda • Malaysia • Cost of entry otherwise high and/or subject to • Indonesia regulatory constraints • Primary a
Slide 33: Our Partnership Model – Active Relationships
Our Partnership Model – Active Relationships For personal use only Leadership & Management Product Development • ANZ: • Leveraging ANZ‟s strengths: provides advice Retail: Mortgages, Credit Cards, participates in developing the Deposits strategic direction of the business ANZ Markets: FX, de
Slide 34: Partnerships are delivering value accretion
Partnerships are delivering value accretion For personal use only Meaningful partnership Growth in value of partnerships contribution to APEA1 ANZ share (as at 31 March 2010) 140 USDm 3.5 USDb 120 Other 3 100 Metrobank Card 2.5 Corp 80 BOT 2 60 SRCB 1.5 40 1 Panin 20 0.5 AMMB 0 0 Net cash Current Cu
Slide 35: For personal use only
For personal use only 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 p
Australia and New Zealand Banking Group Limited (ANZ) — Investor Presentation (June 2010) on 6ix