Australia and New Zealand Banking Group Ltd. — Interim / Quarterly Report 2014

Jun 30, 2014

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01 July 2014

Company Announcements Australian Securities Exchange Level 4 20 Bridge Street Sydney NSW 2000

Shareholder Update 2014

The attached Shareholder Update is being made available to ANZ shareholders in conjunction with the despatch of the 2014 Interim Dividend statements.

Yours faithfully

John Priestley Company Secretary

Australia and New Zealand Banking Group Limited

Company Secretary’s Office ANZ Centre Melbourne, Level 9, 833 Collins Street, Docklands Vic 3008 GPO Box 254, MELBOURNE VIC 3001 AUSTRALIA www.anz.com

Australia and New Zealand Banking Group Limited ABN 11 005 357 522

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CHAIRMAN’S REPORT

A message from David Gonski AC

Enclosed with this Shareholder Update is advice of your 2014 Interim Dividend payment of 83 cents per share fully franked, 14% higher than the fi rst half of 2013.

This represents a strong outcome for shareholders refl ecting another good fi nancial performance for the half with statutory profi t up 15% to $3.4 billion while cash profi t rose 11% to $3.5 billion.

Shareholders are also continuing to benefi t from careful management of capital. In recent years we have gradually moved to a more even split between the half year and full year dividends to reduce capital volatility. We have also been in a position to maintain the dividend payout ratio towards the upper end of the Board’s target of 65 to 70% of Cash Profi t.

This is my fi rst communication to shareholders having re-joined the ANZ Board earlier this year and had the privilege to succeeded John Morschel as your Chairman on 1 May 2014.

It’s very pleasing to be back after six years. The fi nancial result for the fi rst half of 2014 highlights the enormous progress ANZ has made in this time.

That progress is based on an exciting direction established in 2007 with our super regional strategy. In this half, it saw good performances from our key domestic business in Australia and in New Zealand and rapid growth from the continued expansion of our presence in Asia Pacifi c.

Our fi nancial performance is being supported by stronger outcomes for the 8 million customers we serve in 33 countries. This is seeing ANZ grow market share in our key markets and maintain and build customer satisfaction.

We are also working hard to make a difference in the community, including a focus on promoting fi nancial inclusion and integrating social and environmental considerations into our business decisions.

Much of the change I have observed at ANZ refl ects the quality of the management team established under our Chief Executive Mike Smith’s leadership.

I also want to acknowledge John Morschel’s signifi cant legacy at ANZ having been a director for the past 10 years and as Chairman for the past four. I know ANZ is a better bank today because of his contribution. This extends to a number of directors who have retired as planned or stepped down because of their other commitments during the half: David Meiklejohn, Greg Clark, Alison Watkins and Peter Hay. On behalf of shareholders I want to thank them for their service.

To support a process of board renewal, we have been very pleased to welcome John (J.T.) Macfarlane to the board in May. John was formerly Chairman and CEO of Deutsche Bank Australia and New Zealand.

Our performance in the fi rst half demonstrates ANZ is delivering for shareholders, for customers and for the community and we are continuing to make good progress toward building a regionally connected bank focussed on Australia, New Zealand and Asia Pacifi c.

This positions us well for a good 2014 and, on behalf of our shareholders, I’d like to thank our talented and professional staff for their contribution.

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DAVID GONSKI AC CHAIRMAN

2014 HALF YEAR HIGHLIGHTS

11% $3,515 million CASH PROFIT 1H13 $3,179 million	14% 83 cents DIVIDEND PER SHARE	10%
		128.7 cents CASH EARNINGS PER ORDINARY SHARE
	1H13 73 cents	1H13 116.9 cents