Challenger Limited · ASX:CGF
Challenger — Challenger Infrastructure Fund — FY2008 Earnings Presentation
77 slides from Challenger's earnings presentation, Aug 21, 2008
Slide 1: Challenger Infrastructure Fund Full Year Results Presentation – June 2008
Challenger Infrastructure Fund Full Year Results Presentation – June 2008 Chief Executive - Steve Bickerton Chief Financial Officer - Lucas Barry 21 August 2008
Slide 2: Important Notice
Important Notice Information contained in this publication is current as at 21 August 2008 unless otherwise specified and is provided by Challenger Listed Investments Limited (ABN 94 055 293 644) (AFSL 236887) (“CLIL”), as Responsible Entity of CIF Investment Trust 1 (ARSN 114 139 703) and CIF Inves
Slide 3: Agenda
Agenda 1. 2008 Full Year Results 2. Asset Performance and Outlook 3. Capital Management 4. Summary 3
Slide 4: 1. 2008 Full Year Results
1. 2008 Full Year Results
Slide 5: Key Highlights for 2008
Key Highlights for 2008 • Purchase of Southern Water – High quality infrastructure asset – Largest capex spend as a % of Regulated Capital Value (RCV) – £1.8 billion capex spend under regulatory period 2006-20101 – Successfully syndicated Fund level acquisition facility • Proactive management of the
Slide 6: Financial Performance
Financial Performance % Mvt – Financial Performance FY08 FY07 Year on Year Trend Statutory Underlying EBITDA 217.3 69.7 Large K Proportionate EBITDA 314.8 73.6 Large K Proportionate EBITDA from continuing operations1 340.3 309.5 10% K Distribution Per Unit 34.0 32.1 6% K 1 Proportionate EBITDA from
Slide 7: CIF Strategy
CIF Strategy • A diversified global portfolio of high quality infrastructure and utility assets • Investment criteria to identify high quality assets that have long- term, predictable cash-flows with the potential for capital growth • Investment goal to deliver a combination of attractive and growin
Slide 8: Portfolio Diversification
Portfolio Diversification Diversification by Asset1 30 June 2007 30 June 2008 LBC 25% Arqiva 22% LBC 24% Southern Water 44% Gas Distribution Networks 14% Inexus 31% Inexus 40% Diversification by Revenue Type1 30 June 2007 30 June 2008 Competitive 13% Competitive 8% Contracted 22% Regulated 48% Contr
Slide 9: Net Asset Backing of $3.74 per Security
Net Asset Backing of $3.74 per Security 4.05 0.00 (0.12) $4.00 (0.02) (0.33) 0.08 (0.04) 3.74 0.12 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 CIF 31 Dec Southern Inexus LBC Currency Distribution Sale of Working CIF 30 June 07 Val Water impacts Hedges Assets Capital 08 Val Notes: 1. Net asset ba
Slide 10: Enhanced Quality of Distributions
Enhanced Quality of Distributions Distributions Funding of Distribution • 2008 distribution of 34 cents per security and 34.0 34.0 35 32.1 19% tax deferred 30 Cents per security 25 14.2 • 9% CAGR in distributions since listing 20 15 10 • Change in policy – target future distributions to 5 be 100% so
Slide 11: Disciplined Capital Management
Disciplined Capital Management • Sale proceeds from minority assets used to repay debt • CIF acquisition facility to be repaid in early October • Proportional debt reduced from $3.7 billion to $2.6 billion1 4,000 3,760 (631) 3,500 198 (291) (69) (381) 2,967 3,000 2,586 2,500 2,000 1,500 1,000 500 0
Slide 12: 2. Asset Performance and Outlook
2. Asset Performance and Outlook
Slide 13: Inexus - Performance
Inexus - Performance % Mvt – Financial Performance FY08 FY07 Year on Year Trend Revenue £43.5m £32.0m 35.9% K Underlying EBITDA1 £24.4m £18.9m 28.6% K Underlying EBITDA Margin 55.9% 59.1% (5.4%) L Sales 99,197 105,919 (6.3%) L Connections2 82,584 53,932 53.1% K Debt to Enterprise Value3 58.3% 53.8%
Slide 14: Inexus - Performance (cont.)
Inexus - Performance (cont.) Underlying EBITDA 2008 Highlights 25 • 18%1 growth in underlying EBITDA 20 • 38%1 growth in connections and highest EBITDA (£m) 15 level of connections since CIF acquisition 10 • Obtained Ofwat water inset appointments 5 • Over 99,000 sales derived from all utility 0 30-
Slide 15: Inexus - Performance and Outlook
Inexus - Performance and Outlook Customer Credit Ratings (% FY08 Revenue) • High credit quality in revenue 99% of revenue from customers A or A- rated Southern Electric 10% Other 1% • Asset owning business derives average Powergen 25% A EBITDA margins of ~80% for in the ground British Gas 11% A A- a
Slide 16: Inexus - Performance and Outlook
Inexus - Performance and Outlook Inexus Sales • UK Housing completions experiencing a significant downturn in volumes and 100,000 selling prices 80,000 • House builders are responding by 60,000 reducing prices 40,000 20,000 • Inexus sales are expected to be impacted by the slow down 0 30 June 2006 3
Slide 17: Inexus - Order Book and Connections
Inexus - Order Book and Connections Order Book 250,000 • Rollout of order book is expected to 200,000 lengthen as developers in a capital 150,000 constrained environment prioritise activities on completion of committed 100,000 projects 50,000 0 • Inexus’ order book is essentially part of 2006 2007 2
Slide 18: LBC - Performance
LBC - Performance % Mvt – Financial Performance FY08 FY072 Trend Year on Year Revenue €146.6m €11.5m N/A N/A EBITDA €57.4m €3.7m N/A N/A EBITDA Margin 39.1% 32.4% N/A N/A Utilisation 94% 95% N/A N/A Capacity (million cubic metres) 2.83 2.2 N/A N/A Growth Capex €67.9m €5.4m N/A N/A Maintenance Capex
Slide 19: LBC - Performance (cont.)
LBC - Performance (cont.) Regional EBITDA 2008 Highlights 60 60% • Modest growth in EBITDA 50 • 94% utilisation 40 40% EBITDA Margin • Performance underpinned by strong EBITDA 30 performance in US business notwithstanding 20 20% significant USD depreciation against Euro 10 • US business derived EBIT
Slide 20: LBC - Updated Dec 2008 EBITDA Guidance
LBC - Updated 31 Dec 2008 EBITDA Guidance • EBITDA of €63 million forecast for 12 months to December 2008 • Europe underperformance due to €3 million of higher operating costs • USD currency impact mitigated by hedges 80 70.9 (1.5) (1.6) (4.1) 70 (0.7) 63.0 60 50 € million 40 30 20 10 0 Previous Gui
Slide 21: LBC - Outlook
LBC - Outlook Capacity Expansion Potential • Mike McKinney (formerly Head of US 2,500,000 Business) appointed as Interim CEO 2,000,000 • Focus will be on: cubic metres 1,500,000 – Improving current business 1,000,000 performance 500,000 – Strategic review of current terminal 0 underperformance and o
Slide 22: Southern Water - Performance
Southern Water - Performance % Mvt – Financial Performance FY082 FY07 Trend Year on Year Revenue £448.4m N/A N/A N/A EBITDA £321.4m N/A N/A N/A EBITDA Margin 71.7% N/A N/A N/A Nominal Closing RCV3 £3,248m N/A N/A N/A Debt to Enterprise Value1 70.3% N/A N/A N/A 1 Enterprise value based on Directors’
Slide 23: Southern Water - Performance (cont.)
Southern Water - Performance (cont.) 2008 Highlights: Real RCV Growth % (2006-2010) • To March 2008, £1.2 billion of the £1.8 billion capital expenditure program has been completed 31 22 • Brighton & Hove update 16 15 14 12 10 10 10 – Required to meet statutory obligations 7 – Planning permission pr
Slide 24: Southern Water – Strongly Defensive
Southern Water – Strongly Defensive Regulated Revenue • Southern Water’s revenues are protected against inflation and interest rate increases 100% – Revenue, opex, capex and RCV linked to inflation 80% so that real returns are not eroded 60% – Interest rate movements are reflected in the WACC 40% as
Slide 25: Southern Water - Outlook
Southern Water - Outlook NOW • Growth in RCV driven by several factors August 2008 – EU Directives (treatment of wastewater, drinking Draft Business Plan quality) submitted and consultation process – Low historical levels of asset renewal begins April 2009 – Expansion of metering Final Business Plan
Slide 26: 3. Capital Management
3. Capital Management
Slide 27: Proportional Gearing
Proportional Gearing Regulated Certainty of Revenue Competitive 4,500 64% 100% 4,000 90% 70% 80% 3,500 58% 70% Debt to EV (%) 3,000 53% 60% 2,500 A$m 50% 2,000 40% 1,500 30% 1,000 20% 500 10% - 0% Proportionate Fund Southern Water Inexus LBC Debt Equity Debt to EV (%) 1 Reports 30 June 2008 proporti
Slide 28: Proportionate Debt Maturity Profile
Proportionate Debt Maturity Profile1 • Proportional weighted average maturity of approximately 14 years • Next major refinance point – August 2010 Inexus refinance 1,400 1,200 1,000 AUDm 800 600 400 200 - FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 and LBC Inexus Southern Water beyond 1
Slide 29: Hedging Strategy
Hedging Strategy Interest Rate Hedging Foreign Currency Hedging 3,000 100% 90% • 100% of forecast distributions hedged 2,500 80% for 5 years, on a rolling basis Hedge % 2,000 70% 60% A$m 1,500 50% 40% 1,000 30% 20% • Provide 36% offset against FX 500 10% movements in capital value of foreign - 0% ex
Slide 30: 3. Summary and Outlook
3. Summary and Outlook
Slide 31: Asset Summary
Asset Summary Asset Quality Income Growth Inexus • Secure revenue stream – 90% of 2009 • Positive long term demand for housing forecast EBITDA derived from in the • Short term benefit from multi utility ground assets package • All revenues are either fixed under • Improved profitability from multi-u
Slide 32: Summary of Financial Year 2008
Summary of Financial Year 2008 • Acquisition of Southern Water strengthened the quality of CIF’s portfolio • Sale of minority assets above NAV supports view of quality of portfolio and coupled with repayment of senior debt gives CIF financial flexibility • Inexus has performed well despite downturn
Slide 33: Questions
challenger & oi
Slide 34: Contacts
Contacts Steve Bickerton Chief Executive Tel: 61 2 9994 7327 Email: sbickerton@challenger.com.au Lucas Barry Chief Financial Officer Tel: 61 2 9994 7022 Email: lbarry@challenger.com.au Jenny Warat-Hughes Investor Relations Manager Tel: 61 2 9994 7663 Email: jhughes@challenger.com.au Website: www.cha
Slide 35: Appendix
challenger & oi
Slide 36: Redeemable Preference Securities
Redeemable Preference Securities • CIF has £97.9 million of RPS outstanding – Issued to Challenger Life No. 2 on 16 October 2007 to fund Southern Water, maturing 30 April 2010 – The RPS are hybrid instruments that pay a low cash coupon but a premium to face value on redemption – Exchangeable into a
Slide 37: Senior Debt Facility
Senior Debt Facility • CIF has in place a multi-currency Senior Debt Facility – Established in March 2007 and matures in March 2010 – The facility was syndicated to 7 banks in December 2007 – The facility is resized for acquisitions and divestments Facility Size A$573.8 million1 Drawn Amount nil2 Ra
Slide 38: Challenger Infrastructure Fund Reporting Pack – June 2008
Challenger Infrastructure Fund Challenger Infrastructure Fund Reporting Pack Challenger Infrastructure Fund Reporting Pack – 30 June 2008 Challenger Infrastructure Fund Comprising: CIF Investment Trust 1 ARSN 114 139 703 CIF Investment Trust 2 ARSN 114 139 632 Responsible Entity Challenger Listed In
Slide 39: Information contained in this document is current as at 21 August 2008
Information contained in this document is current as at 21 August 2008 unless otherwise specified and is provided by Challenger Listed Investments Limited (ABN 94 055 293 644) (AFSL 236887) (‘CLIL’), as Responsible Entity of the CIF Investment Trust 1 (ARSN 114 139 703) and the CIF Investment Trust
Slide 40: Challenger Infrastructure Fund Reporting Pack Contents
Challenger Infrastructure Fund Reporting Pack Contents Introduction CIF Group Assets Under Management Page 2 The CIF Reporting Pack has been prepared to assist analysts and investors in CIF Fund Distributions Page 4 understanding the investments and structure of CIF. The Reporting Pack does not CIF
Slide 41: CIF Group Assets Under Management
Challenger Infrastructure Fund Reporting Pack CIF Group Assets Under Management % Mvt. A$ millions 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 07 – 08 LBC 352.6 363.8 323.7 – – – 8.9% Inexus 457.2 543.7 545.5 474.0 424.5 355.7 (16.2%) Southern Water 645.6 707.4 – – – – N/
Slide 42: CIF Group Assets Under Management
Challenger Infrastructure Fund Reporting Pack CIF Group Assets Under Management Half year ended % Mvt. A$ millions 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 07 – 08 LBC Opening Value 363.8 323.7 – – – – Acquisitions/(Disposals)1 – 18.1 335.7 – – – Currency revaluation I
Slide 43: CIF Fund Distributions
Challenger Infrastructure Fund Reporting Pack CIF Fund Distributions Forecast Actual Actual Actual A$ millions 2009 2008 2007 20061 Investment Income CIF distribution5 composition (by asset) – Inexus 22.6 53.4 47.6 9.3 – LBC Terminals 22.9 28.2 – – 0.45 – Southern Water 96.5 23.2 – – 0.40 0.35 – Arq
Slide 44: CIF Proportionate EBITDA from continuing operations
Challenger Infrastructure Fund Reporting Pack CIF Proportionate EBITDA from continuing operations Actual Actual A$ millions 30 Jun 2008 30 Jun 20071 Asset EBITDA (CIF Share) – LBC1 61.6 3.9 – Inexus 41.2 37.4 – Southern Water2 167.3 – – Arqiva3 16.5 19.7 – NOE4 12.6 11.4 – W&W5 16.2 11.5 Total Asset
Slide 45: LBC Key Financial Metrics
Challenger Infrastructure Fund Reporting Pack LBC Key Financial Metrics1 Performance metrics Year ended Half Year ended =C millions 30 Jun 2008 30 Jun 2008 31 Dec 2007 30 Jun 20072 Revenue 146.6 74.6 72.0 11.5 EBITDA 57.4 29.8 27.6 3.7 EBITDA Margin (%) 39.1% 39.9% 38.3% 32.4% LBC EBITDA Region - Ju
Slide 46: LBC Distribution Waterfall
Challenger Infrastructure Fund Reporting Pack LBC Distribution Waterfall =C millions 30 Jun 2008 Revenue 146.6 EBITDA 57.4 Net interest and fees (25.2) Maintenance CAPEX (15.1) Other1 (9.0) Operating Cashflow 8.0 Growth CAPEX (67.9) LBC Growth CAPEX Drawdowns/(repayments) of debt to fund growth cape
Slide 47: LBC Debt Capital
Challenger Infrastructure Fund Reporting Pack LBC Debt Capital Half Year ended =C millions 30 Jun 2008 31 Dec 2007 30 Jun 2007 Senior debt 313.1 316.7 325.6 Junior debt 49.2 42.9 40.0 Other debt 44.4 22.0 12.3 Total debt 406.6 381.6 377.9 Total facilities available 478.5 Undrawn Facilities 71.9 Net
Slide 48: Inexus Performance Metrics
10.0% 0 0.0% LBC Europe (excl LBC France LBC USA LBC Asia France) Capacity Utilisation Rates Challenger Infrastructure Fund Reporting Pack Chart 7 Inexus 40.0 35.0 Performance metrics1 Full Year ended 30.0 Half Year ended Euro (millions) £ millions 30 Jun 2008 30 Jun 2007 30 Jun 20062 30 Jun 2008 31
Slide 49: Inexus Sales and Connections
Chart 8 Chart 7 25.0 40.0 20.0 GBP (millions) 35.0 Challenger Infrastructure Fund Reporting Pack 15.0 Euro (millions) 30.0 25.0 10.0 20.0 Inexus 15.0 5.0 10.0 0.0 Connections 5.0 30 Jun 2006 31 Dec 2006 30 Jun 2007 31 Dec 2007 30 Jun 2008 0.0 Full Year ended Half Year ended Inexus EBITDA (£m) 31 Dec
Slide 50: Inexus Debt Capital
Challenger Infrastructure Fund Reporting Pack Inexus Debt capital £ millions 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Senior debt 354.2 331.8 301.8 277.8 272.8 268.8 Junior debt 35.0 35.0 35.0 35.0 35.0 35.0 Other debt – – – – – – Total debt 389.2 366.8 336.8 312.8 307
Slide 51: Southern Water Performance Metrics
Challenger Infrastructure Fund Reporting Pack Southern Water Performance metrics Period ended1 Half Year ended £ millions1 30 Jun 2008 30 Jun 2008 31 Dec 2007 Revenue 448.4 318.4 130.0 EBITDA 321.4 231.7 89.7 EBITDA Margin (%) 71.7% 72.8% 69.0% Distributions paid to CIF 9.6 9.6 – % Revenue regulated
Slide 52: Southern Water Debt and Investment Balances
Challenger Infrastructure Fund Reporting Pack Southern Water Debt and Investment Balances Net Debt Half Year ended £ millions 30 Jun 2008 31 Dec 2007 Senior debt 3,099.3 3,261.0 Junior debt 234.2 – Other debt – – Total debt 3,333.5 3,261.0 Total facilities available 3,612.5 – Undrawn Facilities 279.
Slide 53: CIF Capital Management - Proportionate Net Debt
Challenger Infrastructure Fund Reporting Pack CIF Capital Management Proportionate Net Debt $ Mvt % Mvt $A millions 30 Jun 2008 31 Dec 2007 30 Jun 2007 07–08 07–08 LBC 404.2 376.9 345.4 27.2 7.2% Inexus 640.1 658.6 635.8 (18.5) (2.8%) Southern Water 1,530.9 1,545.8 – (14.9) (1.0%) Arqiva – 363.5 359
Slide 54: CIF Capital Management - Debt Capital
Challenger Infrastructure Fund Reporting Pack CIF Capital Management Debt capital Debt as at 30 June 2008 Ownership (%) Gross Debt Cash1 Net Debt1 Proportional Proportional $A millions Gross Debt Net Debt LBC 66.2% 667.6 (57.1) 610.5 442.0 404.2 Inexus 80.4% 807.2 (10.8) 796.4 648.8 640.1 Southern W
Slide 55: CIF Capital Management - Debt Maturity Profile
600,000 500,000 400,000 300,000 200,000 100,000 0 Challenger Infrastructure Fund Reporting Pack 30 Dec 2005 30 Jun 2006 30 Dec 2006 30 Jun 2007 31 Dec 2007 30 Jun 2008 Existing Gas Connections New Gas Connections during period Gas Order Book Existing Electricity Connections New Electricity Connectio
Slide 56: CIF Capital Management - Interest Rate Hedging Profile
CIF Capital Management CIF Capital Management Challenger Infrastructure Fund Reporting Pack Interest Rate Hedging Profile Interest Rate Hedging Profile CIF Capital Management CIF Capital ManagementCIF Capital 1. LBC Management Interest Rate Hedge ( m) 2. Inexus Interest Rate Hedge (£m) 1. LBC Intere
Slide 57: Statutory Consolidated Profit & Loss
Challenger Infrastructure Fund Reporting Pack Statutory Consolidated Profit & Loss1 Statutory – Management Presentation Full Year ended Half Year ended A$ millions 30 Jun 08 30 Jun 2007 30 Jun 2006 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Income Investment income3 51.6
Slide 58: Performance Metrics
Challenger Infrastructure Fund Reporting Pack Performance metrics Full Year ended Half Year ended 30 Jun 2008 30 Jun 2007 30 Jun 2006 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 EBITDA margin (%) 54.3% 55.9% 67.9% 59.3% 49.1% 38.7% 78.4% 64.6% 72.0% Distributions Paid ($M
Slide 59: Statutory Consolidated P&L – Year ended June 2008
Challenger Infrastructure Fund Reporting Pack Statutory Consolidated Profit & Loss – Year ended 30 June 2008 Statutory – Management presentation segmented by assets Southern Fund & $A millions Inexus LBC Water Minorities Consolidation Income Investment income1 – – 25.8 25.8 51.6 Transportation reven
Slide 60: Statutory Consolidated P&L – Year ended June 2007
Challenger Infrastructure Fund Reporting Pack Statutory Consolidated Profit & Loss – Year ended 30 June 2007 Statutory – Management presentation segmented by assets Southern Fund & $A millions Inexus LBC Water Minorities Consolidation Income Investment income1 – – – 27.6 27.6 Transportation revenue
Slide 61: Statutory Consolidated P&L – Year ended June 2006
Challenger Infrastructure Fund Reporting Pack Statutory Consolidated Profit & Loss – Year ended 30 June 2006 Statutory – Management presentation segmented by assets Southern Fund & $A millions Inexus LBC Water Minorities Consolidation Income Investment income1 – – – 24.7 24.7 Transportation revenue
Slide 62: CIF Group Statutory Consolidated Balance Sheet
Challenger Infrastructure Fund Reporting Pack CIF Group Statutory Consolidated Balance Sheet1 Half Year ended A$ millions 30 Jun 08 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Assets Cash & cash equivalents 236.4 91.5 127.4 171.5 36.6 66.8 Trade & other receivables 365.2 112.2 65.1 2
Slide 63: Statutory Consolidated Balance Sheet as at June 2008
Challenger Infrastructure Fund Reporting Pack CIF Group Statutory Consolidated Balance Sheet as at 30 June 20081 Segmented Southern Fund & A$ millions Inexus LBC Water Minorities Consolidation Assets Cash & cash equivalents 10.8 57.1 - 168.5 236.4 Trade & other receivables 24.5 60.2 - 280.4 365.2 Ot
Slide 64: Statutory Consolidated Balance Sheet as at December 2007
Challenger Infrastructure Fund Reporting Pack CIF Group Statutory Consolidated Balance Sheet as at 31 December 20071 Segmented by asset Southern Fund & $A millions Inexus LBC Water Minorities Consolidation Assets Cash & cash equivalents 12.1 66.0 – 13.5 91.5 Trade & other receivables 25.8 62.7 – 23.
Slide 65: Statutory Consolidated Balance Sheet as at June 2007
Challenger Infrastructure Fund Reporting Pack CIF Group Statutory Consolidated Balance Sheet as at 30 June 20071 Segmented Southern Fund & A$ millions Inexus LBC Water Minorities Consolidation Assets Cash & cash equivalents 5.4 76.0 – 45.9 127.4 Trade & other receivables 20.7 43.4 – 1.0 65.1 Other a
Slide 66: Consolidated Cashflow Statement
Challenger Infrastructure Fund Reporting Pack Consolidated Cashflow Statement Statutory - Management Presentation1 Full Year ended A$ millions 30 Jun 08 30 Jun 2007 30 Jun 2006 Cashflows from operating activities Receipts from customers 352.1 94.2 58.5 Payments to suppliers (213.3) (46.4) (21.8) Int
Slide 67: Consolidated Cashflow Statement – Year ended June 2008
Challenger Infrastructure Fund Reporting Pack Consolidated Cashflow Statement – Year ended 30 June 2008 Segmented by asset Fund & $A millions Inexus LBC Minorities Consolidation Cashflows from operating activities Receipts from customers 99.0 253.2 – 352.1 Payments to suppliers (45.1) (166.8) (1.4)
Slide 68: Consolidated Cashflow Statement – Year ended June 2007
Challenger Infrastructure Fund Reporting Pack Consolidated Cashflow Statement – Year ended 30 June 2007 Segmented by asset1 Fund & $A millions Inexus LBC Minorities Consolidation Cashflows from operating activities Receipts from customers 73.9 20.3 – 94.2 Payments to suppliers (34.7) (11.3) (0.4) (4
Slide 69: Securities on Issue
Challenger Infrastructure Fund Reporting Pack Securities on Issue Half Year ended Number of securities (millions) 30 Jun 08 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Total Ordinary Securities: Quoted (CIF) Opening 346.7 276.3 240.8 240.0 240.0 – Additions (+) i) Initial Public Offe
Slide 70: Appendix 1: Minority assets sold during year ended June 08
Appendix 1 Minority assets sold during year ended 30 June 2008 Challenger Infrastructure Fund Reporting Pack 31
Slide 71: North DN Key Financial Metrics
Challenger Infrastructure Fund Reporting Pack North DN Key Financial Metrics Performance metrics Full Year ended Half Year ended £ millions 30 Jun 2008 30 Jun 2007 30 Jun 2006 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 20051 Revenue 241.8 260.9 294.2 96.7 145.4 144.1 116.8 15
Slide 72: North DN (continued)
Challenger Infrastructure Fund Reporting Pack North DN (continued) Key Financial Metrics Debt Capital Half Year ended £ millions 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Senior debt 953.6 929.8 910.8 872.3 873.1 Junior debt 25.0 25.0 25.0 8.0 25.0 Other debt – – – – – Total debt 9
Slide 73: Arqiva Key Financial Metrics
Challenger Infrastructure Fund Reporting Pack Arqiva Key Financial Metrics Performance metrics1 Full Year ended Half Year ended £ millions 30 Jun 2008 30 Jun 2007 30 Jun 2006 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 31 Dec 2005 Revenue 419.2 362.8 323.4 195.9 223.3 198.8 164.0 184
Slide 74: Arqiva (continued)
Challenger Infrastructure Fund Reporting Pack Arqiva (continued) Debt Capital Half Year ended £ millions 31 Dec 20071 30 Jun 20071 31 Dec 2006 30 Jun 2006 31 Dec 2005 Senior debt 2,150.0 2,150.0 575.0 575.0 575.0 Junior debt 475.0 475.0 150.0 150.0 150.0 Other debt 18.0 18.0 35.0 – – Total debt 2,64
Slide 75: Wales & West Key Financial Metrics
Challenger Infrastructure Fund Reporting Pack Wales & West Key Financial Metrics Performance metrics Full Year ended Half Year ended £ millions 30 Jun 2008 30 Jun 2007 30 Jun 2006 30 Jun 2008 31 Dec 2007 30 Jun 2007 31 Dec 2006 30 Jun 2006 Revenue 249.7 243.9 200.7 114.8 134.9 127.0 116.9 200.7 EBIT
Slide 76: Wales & West (continued)
Challenger Infrastructure Fund Reporting Pack Wales & West (continued) Debt Capital Half Year ended £ millions 30 Sept 07 31 March 07 30 Sept 06 30 Mar 06 Senior debt 982.0 918.0 920.0 879.0 Junior debt 65.0 65.0 65.0 65.0 Other debt – – – – Total debt 1,047.0 983.0 985.0 944.0 Net cash & Reserves 2
Slide 77: 7602/0808
7602/0808
Challenger Infrastructure Fund — FY2008 Earnings Presentation on 6ix