1. Half Year Presentation 7 February 2006

2. This presentation relates to the Freightways Limited NZX announcement and media release of 7 February 2006. As such it should be read in conjunction with, and is subject to the explanations and views contained in, those releases.

3. Presentation 2006 Half year highlights Operating performance Business strategy Outlook

5. 2006 Half Year Highlights

6. General Highlights All subsidiaries delivered improved year on year performance Strategies continue to realise profitable growth in both Core Express Package and Emerging Business Mail and Information Management markets Kiwi Express has performed fully to expectation since acquisition in October 2005

7. Financial Highlights

8. Operating Performance

9. 11% revenue growth compared to Dec 2004 5-year compound average annual revenue growth of 8% Operating Revenue 2 nd Half 1st Half

10. Where Revenue Growth Has Come From

11. EBITA 10% EBITA growth compared to Dec 2004 5-year compound average annual EBITA growth of 18% 2 nd Half 1st Half

12. Drivers of EBITA Growth Successful implementation of growth strategies Disciplined margin focus relating to new business Successful implementation of pricing strategies to lessen the impact of increased costs

13. Balance Sheet Continuation of negative working capital position Increase in intangibles of $1m (net of amortisation), due to Kiwi Express acquisition for $3.5m Goodwill amortised over 20 years ($2.5m half year charge) Net bank borrowings increased by $2m only

14. Cash Flows Cash generated from operations of $27m reflects strong trading result Interest paid at expectation and below last year Capital expenditure at expectation of $4m for the half year Acquisitions for the half year were $3.6m in total

15. Dividends Key points: Increase of 13% compared to 2004 Fully Imputed Record date 17 March 2006 Payable 31 March 2006

16. Finance Facilities Finance facilities include $140m core debt facility and $15m acquisition facility Net debt of $126m at 31 December 2005 Acquisition of Kiwi Express funded using core debt facility

17. Business Strategy

18. Business strategy Continued development of growth opportunities in Freightways existing three core markets Positioning, People, Performance, Profit Explore complementary growth opportunities

19. Outlook

20. Capital expenditure 2006 Half YearFull Year ActualForecast Capital expenditure$4.0m$7.8m Depreciation$2.4m$4.8m 2005/06 includes stepped investment in core IT infrastructure

21. Outlook Existing customers are expected to continue to grow at a lower rate than the previous year Investment in people and infrastructure to drive/support growth Characteristics of competitive environment expected to remain unchanged FRE competitive advantage will be further enhanced through additional customer-oriented technology solutions Consistent application of proven market strategies

22. Summary Strong successful business Positioned to deliver continuing earnings growth Delivering an attractive dividend yield