DOWNER EDI LIMITED — Capital/Financing Update 2016

Sep 11, 2016

Downer EDI Limited ABN 97 003 872 848 Triniti Business Campus 39 Delhi Road North Ryde NSW 2113 1800 DOWNER www.downergroup.com

Media/ASX and NZX Release

12 September 2016

PREFERRED RESPONDENT FOR HCMT PROJECT

Downer EDI Limited (Downer) announced today that the Evolution Rail consortium had been selected as the preferred respondent to deliver the High Capacity Metro Trains (HCMT) project, the largest investment in new rolling stock in Victorian history.

Evolution Rail comprises Downer, CRRC Changchun Railway Vehicles and Plenary Group.

The Evolution Rail consortium will deliver the HCMT project, which includes:

• Design, manufacture and commissioning of 65 HCMTs for use on the Cranbourne, Pakenham and Sunbury lines in Melbourne;

• Design and build of two training simulators;

• Design, construction and commissioning of a train maintenance facility and stabling yards at Pakenham East;

• Design, construction and commissioning of a light service facility at Calder Park; and

• Maintenance of the rolling stock fleet for 30 years and also of the train maintenance facility, the light service facility and the simulators.

Downer’s scope of work includes:

• Project management services for the HCMT construction;

• Design, construction and commissioning of the train maintenance facility, stabling yards and light service facility; and

• Maintenance and overhaul of the HCMT fleet, train maintenance facility, light service facility and simulators for 30 years.

Revenue to Downer will be finalised at contract execution, which is expected to occur in the coming months. Downer will also be an equity investor in the project.

The Chief Executive Officer of Downer, Grant Fenn, said he was delighted the Evolution Rail consortium had been selected as preferred respondent.

“Downer has over 100 years’ experience delivering rail solutions for its customers across Australia and we look forward to working closely with Public Transport Victoria to deliver this critical project for the people of Victoria,’ Mr Fenn said.

“This investment in Victorian built rolling stock will create 1,100 full time Victorian jobs in high-skill, high-value sustainable fields.”

The HCMT trains will incorporate over 60% local content with Downer also investing $16 million to revitalise the Newport manufacturing facility into the Newport Centre of Excellence for Rolling Stock.

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The HCMT fleet will be maintained through a network of maintenance facilities including a dedicated depot at Pakenham East and a light service facility at Calder Park. The first of the new trains will be due to come into service in 2019.

Financial close is expected to occur by the end of the calendar year.

About Downer

Downer EDI Limited (Downer) is a leading provider of services to customers in markets including: Transport Services; Rail; Mining; Utilities Services; Technology and Communications Services; and Engineering, Construction & Maintenance. We build strong relationships of trust with our customers, truly understanding and predicting their needs and bringing them world leading insights and solutions. Downer employs about 19,000 people across more than 200 sites and projects, mostly in Australia and New Zealand, but also in the Asia-Pacific region, South America and Southern Africa. For more on Downer, visit: www.downergroup.com.

For further information please contact:

Michael Sharp, Group Head of Corporate Affairs and Investor Relations

+61 439 470 145

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