APA GROUP — M&A Activity 2011

Dec 14, 2011

Hastings Funds Management Limited ABN 27 058 693 388 AFSL No. 238309

Total pages: 1

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Level 27, 35 Collins Street Melbourne VIC 3000 Australia T +61 3 8650 3600 F +61 3 8650 3701 www.hfm.com.au Melbourne, London, San Antonio, Sydney

ASX Announcement

Hastings Diversified Utilities Fund (HDF)

15 December 2011

Rejection of the takeover offer by the APA Group

As previously noted by Hastings Funds Management Limited (Hastings), the APA Group has announced its intention to make a takeover offer for all the securities of HDF it does not own, at a price of 0.326 APA Group stapled securities and $0.50 cash per HDF security.

The Board of Hastings has carefully considered the proposed offer and unanimously recommends that HDF securityholders reject it.

The Hastings Board considers that the APA Group’s highly conditional offer undervalues HDF securities and does not account for HDF’s significant cash flow growth that is both contracted and prospective. In reaching this conclusion, the Board took into account its thorough understanding and knowledge of HDF’s operations and its assets.

The Hastings Board will detail its views regarding the proposed offer in the target’s statement which will be mailed to all securityholders following the receipt of the bidder’s statement.

HDF securityholders are advised to take no action in relation to the APA Group’s proposed offer.

For further enquiries, please contact:

Colin Atkin Simon Ondaatje Chief Executive Officer Head of Investor Relations Hastings Diversified Utilities Fund Hastings Funds Management Tel: +61 3 8650 3600 Tel: +61 3 8650 3600 Fax: +61 3 8650 3701 Fax: +61 3 8650 3701 Email: investor_relations@hfm.com.au Email: investor_relations@hfm.com.au Website: www.hfm.com.au/hdf Website: www.hfm.com.au/hdf

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Jane Frawley Company Secretary

Hastings Funds Management Limited

Unless otherwise stated, the information contained in this document is for informational purposes only. It does not constitute an offer of securities and should not be relied upon as financial advice. The information has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person or entity. Before making an investment decision you should consider, with or without the assistance of a financial adviser, whether any investments are appropriate in light of your particular investment needs, objectives and financial circumstances. Neither Hastings, nor any of its related parties including Westpac Banking Corporation ABN 33 007 457 141, guarantees the repayment of capital or performance of any of the entities referred to in this document and past performance is no guarantee of future performance. Hastings, as the Manager or Trustee of various funds, is entitled to receive management and performance fees.

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