1. Competing in tomorrow’s world… Presentation to AIBF Industry Forum 7 March 2001 John McFarlane Chief Executive Officer Australia and New Zealand Banking Group Limited

2. Forces shaping corporations of the future Digital technology Increasing scale, mobility and integration of the world’s capital market Unprecedented transparency Capital markets Liberalisation Increasing ability to leverage knowledge across physical borders, decreasing relevance of physical assets Increasing deregulation across national borders and within nations’ industries

3. Beyond consolidation - Specialisation USA EUROPE AUSTRALIA ASIA leading to globalisation consolidationFragmentation... to... and specialisation Leading to globalisation

4. Market/ Book Ratio Book Equity 1 4 20 50 ANZ Schwab NAB CBA Citigroup Bank of America Specialists Global Mega Players Geographic integrators Geographic incumbents MBNA Santander Amex Lloyds TSB Macquarie WBC StGeorge Specialists have been more successful

5. Tobins ‘Q’: the market valuing intangibles Source:McKinsey & Company Ratio of market value to asset replacement value of S&P 500 0 0.5 1.0 1.5 2.0 Mean Increase in the relative value of intangible assets such as: Talented people Ways of working Knowledge Brand Reputation 19451995

6. A new leadership model …AND... Intellectually intelligent Emotionally intelligent Strong best practice performance Best global capital markets practices Best practice management Cost and continuous improvement Performance management and accountability Intangible wealth creation Leadership and people development Open communication with teamwork/empowerment Accountable mindset Vision and values driven Co-creative Flexible, responsive

7. Great jobs Winning the war for talent Compensation and lifestyle Great company Values and culture58 Well managed50 Company has exciting38 challenges Strong performance 29 Industry leader21 Many talented people20 Good at development17 Inspiring mission16 Fun with colleagues11 Job security 8 Compensation and lifestyle Differentiated compensation29 High total compensation23 Geographical location19 Respect for lifestyle 14 Acceptable pace/stress 1 Great jobs Freedom and autonomy56 Job has exciting51 challenges Career advancement38 and growth Fit with boss I admire 29

8. Perform A high performing company, exceeding expectations Revenue growth Cost leadership Risk mitigation EPS ROE Grow Positioned in growth markets Actively managed portfolio Annual investment in growth ideas Higher than peer revenue growth Breakout More dynamic than competitors High P/E rating Performance culture Lean and agile The ebank with a human face A breakout mentality AND ANZ’s aspiration

9. EPS % sacrifice EPS to build P/E sacrifice P/E to achieve EPS Improve EPS and higher PE PE Ratio Performance and growth and breakout Share price curves

10. The evolution of perform and grow and breakout Create a breakout mentality Create a strong performance culture Out execute in a different game Earned the support of the market Identify growth opportunities Invest to grow Build the foundation Deliver on the fundamentals

11. The approach we ’ ve taken Business environment Desires of ANZ’s people ANZ strategy Ideal ANZ performance culture Formal systems Mindsets Behaviours Current ANZ performance culture Gap Performance culture change program Today

12. ANZ – the eBank with a human face Put our customers first with an experience that delights Focus on creating value for our shareholders Lead and inspire our people Breakout, be bold and have the courage to be different Earn the trust of our people and the community

13. Customer first, shareholder value, community Perform, specialise, grow, stretch, Energy, passion, bold, opportunity, breakout Lean, agile, etransform, accountable, well-managed, no surprises Lead, inspire, open, trust, freedom, recognition, team, fun The ANZ way - Perform, grow and breakout

14. 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 potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with or without professional advice when deciding if an investment is appropriate. For further information visit www.anz.com or contact Philip Gentry Head of Investor Relations ph: (613) 9273 4185 fax: (613) 9273 4091 email: gentryp@anz.com

15. Copy of presentation available on www.anz.com