Westpac Banking Corporation · ASX:WBC
Westpac Banking — Investor Presentation (November 2005)
14 slides from Westpac Banking's investor presentation, Nov 2, 2005
Slide 1: Westpac Off-Market Buy-Back
Alfestpac Westpac Off-Market Buy-Back November 2005 THESE MATERIALS ARE NOT FOR DISTRIBUTION OR RELEASE INTO THE UNITED STATES, CANADA OR JAPAN
Slide 2: Disclaimer
Disclaimer This Buy-Back is not available to persons in the United States of America, Canada or Japan. No offer is being made in the United States, Canada or Japan or to U.S. Persons (within the meaning of Regulation S under the Securities Act) or residents of Canada or Japan. Buy- Back documents, i
Slide 3: Off-Market Buy-Back Tender
Off-Market Buy-Back Tender Target size * Approx. $700 million, representing 2% of issued share capital’ Tender + Discount of 8% to 14% to the Market Price?, at 1% intervals discount range oo a : : Buy-back price. | «To be determined by the tender process: “o} ¢. $4.00 capital component «Balance of B
Slide 4: Benefits of the Buy-Back
Benefits of the Buy-Back For Shareholders - + They can decide whether to - participate, how many shares to. . tender and the discount(s) at which to tender: + For some shareholders, depending on their tax status, the after-tax return of participating in the Buy-Back may be greater than a-sale of the
Slide 5: Impact of the Buy-Back on Westpac
Impact of the Buy-Back on Westpac * Capital ratios as at 30 September 2005: - ACE - Tier 1 5.4% 7.2% + Pro forma capital ratios as at 30 September 2005, assuming a $700 million Buy-Back: - ACE 5.0% - Tier 1 6.8% Capital ratios and target ranges (%) . 8.0% Yn RT, eres ae a 75% Poo es oe 7.0% 6.5% 6.0
Slide 6: Impact of the Buy-Back on Westpac
Impact of the Buy-Back on Westpac EPS and ROE Share count reduced by 2%, flowing through to enhanced Cash ; EPS and ROE: Balance Sheet: Buy-Back funded from general funding and existing debt - programs and facilities... “Share capital and retained earnings will be debited in proportion to the capita
Slide 7: Share Rights during the Tender Period
Share Righ ts during the Tender Period Plan (DRP) Final Dividend ©.) + All shareholders. registered on 23 November.2005 will be paid oy _-the final dividend on 14 December 2005, regardless of whether. “ornot they participate in the Buy-Back, as tenders will not be. accepted until. 19 December 2005 e
Slide 8: Tender Options for Shareholders
Tender Options for Shareholders Tender options || + .7.specified tender-discounts from 8% to 14%, at 1% intervals, or. Sees as a Final Price Tender ~ +A Final Price Tender.ensures participation, as tender will be. accepted at the Buy-Back Price, whatever itis determined to be (subject to any scale b
Slide 9: Buy-Back Price and Acceptance
Buy-Back Price and Acceptance Buy-Back Price calculation . Buy-Back Price will be determined according to. tenders lodged “Will be based on the largest discount in the. 8% to 14% discount ange that enables Westpac to purchase the number of shares. it - determines to buy-back ; . Discount is applied
Slide 10: Scale Back
10 Scale Back Scale Back Tenders will be scaled back if the total number of Shares tendered at a Tender Discount equal to or:greater than the Buy- Back Discount, and as Final Price Tenders, is more than the total number. of Shares Westpac determines to buy-back ~. Priority : allocation Only applies
Slide 11: Australian Tax Implications
11 Australian Tax Implications Buy-Back Price Capital component - Shareholders will generally be.deemed, for Franking credits composition ~~ _ Australian CGT. purposes, to have sold their shares for $4.00 plus : any excess of the Tax Value! over the Buy-Back Price . Dividend component ~The excess. o
Slide 12: Timetable
12 Timetable Key dates for the Buy-Back 2005 Last day that Shares can be acquired to be eligible for Buy- 3 November Back franking entitlements Ex-date for Buy-Back entitlements 8 November Buy-Back Record Date Ex-date for final dividend Final Dividend Record Date! Mailing of Buy-Back documents compl
Slide 13: Worked Australian tax examples
Worked Australian tax examples Superfund Austratian resident individuals! $6,001- $21,601- $63,001- income $0-$6,000 $21,600 $63,000 $95,000 $95,000+ Marginal tax rate 15.00% 0.00% 16.50% 31.50% 43.50% 48.50% Income tax consequences (deemed dividend) . tlustrative Buy-Back Price $17.63 $17.63 $17.63
Slide 14: Appendix: Footnotes to Australian tax examples
14 Appendix: Footnotes to Australian tax examples (6) The marginal tax rate includes the Medicare levy of 1.5%. The liability of an individual to pay a Medicare levy depends on the individual’s own circumstances. This assumed fully franked deemed dividend component ($13.63) is calculated as the assu
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