FUTURE GENERATION AUSTRALIA LIMITED — Interim / Quarterly Report 2011

Feb 21, 2011

Total pages: 43

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Hastings Funds Management Limited ABN 27 058 693 388 AFSL No. 238309 Australian Infrastructure Fund Limited ABN 97 063 935 553

Level 16, 90 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

Australian Infrastructure Fund (AIX)

22 February 2011

Presentation – Results for the half year ended 31 December 2010

Attached is a presentation of results for the half year ended 31 December 2010.

For further enquiries, please contact:

Jeff Pollock Chief Executive Officer Australian Infrastructure Fund Tel: +61 3 8650 3600 Fax: +61 3 8650 3701 Email: investor_relations@hfm.com.au Website: www.hfm.com.au/aix

Simon Ondaatje Head of Investor Relations Hastings Funds Management Tel: +61 3 8650 3600 Fax: +61 3 8650 3701 Email: investor_relations@hfm.com.au Website: www.hfm.com.au/aix

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Nick Burrell Company Secretary Australian Infrastructure Fund

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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Australian Infrastructure Fund
2011 Half Year Results Presentation
22 February 2011
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Photo: Perth Airport

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Australian Infrastructure Fund

Disclaimer

This presentation has been prepared by Hastings Funds Management Limited ABN 27 058 693 388 (HFML), holder of Australian Financial Services Licence number 238309, as responsible entity of the Australian Infrastructure Fund Trust (Trust or AIFT) and as manager of Australian Infrastructure Fund Limited (Company or AIFL). Together, the Company and the Trust comprise the Australian Infrastructure Fund (AIX). HFML is a subsidiary of Westpac Banking Corporation ABN 33 007 457 141 (Westpac).

The information contained in this presentation is for informational purposes only and does not constitute an offer to issue or arrange to issue, financial products. The information contained in this presentation is not financial product advice. This presentation has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you should read the publicly available information carefully and consider, with or without the assistance of a financial adviser, whether an investment is appropriate in light of your particular investment needs, objectives and financial circumstances. Past performance is no guarantee of future performance.

Neither HFML, Westpac nor any other member of the Westpac Group gives any guarantee or assurance as to the performance of AIX or the repayment of capital. Investments in AIX are not investments, deposits or other liabilities of HFML, Westpac or other members of the Westpac Group. Members of the Westpac Group may invest in or lend or provide other services to AIX and may be paid fees, and expenses in relation to HFML’s role as responsible entity or manager.

All data in this presentation has been calculated using the most accurate sources available, however any rates or totals manually calculated may differ from those shown due to rounding. Asset results for the half year ended 31 December 2010 reflect the most current available at the time of publication and may be unaudited, and therefore subject to further adjustment following the publication of this report. Figures may also differ from those previously disclosed due to adjustments made following period end.

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Australian Infrastructure Fund

Agenda

1. Highlights

2. Growth

3. Capital discipline

4. Value

5. Results

6. Summary and outlook

7. Appendix

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Photo: Gold Coast Airport

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Australian Infrastructure Fund

1. Highlights

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Photo: Gold Coast Airport

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Australian Infrastructure Fund

AIX portfolio composition and ownership interests

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APAC
Perth Airport
26.0%
29.3%
Other Queensland
5.7% Airports
16.0%
European
Airports
10.7%
Sydney
Airport
6.7%
NT Airports
5.6%
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Perth Airport 29.7% 51.8%
APAC 12.4% 7.6%
Queensland
49.1% 33.7%
Airports
NT Airports 28.2%
HTAC 40.0% 10.0%
Port of Portland 50.0% 50.0%
Port of Geelong 35.0%
AIX Other HFM External
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• (1) APAC comprises Melbourne Airport and 90% of Launceston Airport.

• (2) Queensland Airports comprises Gold Coast, Townsville and Mount Isa Airports.

• (3) NT Airports comprises Darwin, Alice Springs and Tennant Creek Airports.

• (4) European airports comprise Athens, Dusseldorf and Hamburg Airports and are held together with Sydney Airport via Hochtief Airport Capital (HTAC).

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Australian Infrastructure Fund

Key highlights

• Strong passenger and earnings growth in the half year

• •

• Growth Passenger outperformance drives ongoing growth in earnings • Development projects under way and property provides further upside

• • Sustainable and prudent asset gearing

• Capital • Successful refinancing of debt facilities

• discipline • Cashflows on track and expected to be aligned to distributions for full year

• • AIX provides access to strategic Australian airport assets

• • Portfolio value grew 4.7% over the half year, while the security price

• Value increased 10.6% over the same period • AIX securities appear undervalued compared to independent valuations, recent airport transactions and listed peers

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Australian Infrastructure Fund

2. Growth

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Photo: Gold Coast Airport

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Australian Infrastructure Fund

Passenger growth continues for AIX

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9.3%
9.1%
8.3%
7.6% 7.6%
6.8%
Long term
average
5.6%
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Jul-10 Aug-10 Sep-10

Oct-10 Nov-10 Dec-10

Note: Growth rates presented in this chart represent the increase in total passengers on pcp for the AIX portfolio when weighted by AIX’s interest. Note: Long-term average based on annualised average passenger growth across all Australian airports between 1986 and 2010. Sourced from Bureau of Infrastructure, Transport and Regional Economics statistics.

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Australian Infrastructure Fund

Earnings growth at key AIX airports in half year

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Perth Airport
17.5%
15.8%
9.5%
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Passengers Revenue EBITDA

Queensland Airports

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21.7%
16.0%
9.9%
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Passengers Revenue EBITDA

• Pax growth driven by strong local economy and outbound demand to Bali and KL due to strong AUD

• Earnings growth largely driven by pax growth, greater car parking product penetration and favourable rent reviews

• Strong domestic demand augmented by continued LCC capacity additions resulting in significant pax growth

• Earnings benefited from growth in aero and retail income and improved margin following completion of terminal expansions at Gold Coast

• Decline in EBITDA margin due to higher maintenance and property related charges

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Australian Infrastructure Fund

Earnings growth at key AIX airports in half year (cont.)

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APAC
10.7% 10.9%
10.2%
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Passengers Revenue EBITDA

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NT Airports
12.4%
11.6%
6.0%
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Passengers Revenue EBITDA

• New Asian routes and strong AUD drove international pax while LCCs continued to stimulate domestic demand

• Aero and retail revenue grew in excess of pax growth, however retail partly constrained by T2 construction and property income was flat on pcp

• Slight improvement in EBITDA margin achieved

• Pax grew as result of continued capacity growth, particularly international where strong AUD drove demand

• Revenue boosted by strong commercial revenues from duty free and car rental

• EBITDA margin decreased due to significant maintenance work, largely on Darwin Airport’s airfield lighting and terminal building

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Vii
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Australian Infrastructure Fund

Further growth from planned developments

Perth Airport

• $500m redevelopment over next three years with completion expected by the end of 2014:

• $270m expansion of international terminal;

• $120m construction of Terminal WA;

• $50m expansion of aprons, taxiways;

• Improved retail facilities, roads & car parking

• Aero pricing agreement crucial to development and negotiations are well progressed

Darwin Airport

• $100m investment in aviation facilities over next ten years

• Includes $33.5m terminal expansion for which detailed planning is under way

• Underpinned by aviation pricing agreement reached with Qantas Group in October 2010

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Images: Perth Airport

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Australian Infrastructure Fund

Potential upside from commercial property

• Commercial development opportunities actively pursued – low risk approach

• Perth Airport completed a 5,500sqm building and workshop complex for Patrick Autocare

• At Melbourne Airport, a 1,700sqm warehouse is under construction for Hanrob Pty Ltd to be fitted out as a state of the art dog kennel facility. Completion is expected in May 2011

• At Darwin Airport, Australian Federal Police (AFP) office building works are under way, with expected completion in August

• At Gold Coast, work to commence shortly on second stage of Southern Cross University development

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Image: Planned AFP building at Darwin Airport

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Photo: Patrick Autocare building at Perth Airport

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Australian Infrastructure Fund

3. Capital discipline

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Photo: Melbourne Airport

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Australian Infrastructure Fund

Sustainable capital management

Asset		Net Debt/EV (1)	Senior ICR (2)
Perth Airport		35.0%	2.5 x
APAC		33.2%	3.5 x
Queensland Airports		44.5%	2.3 x
NT Airports		37.3%	3.2 x
HTAC_(3)_		37.8%	3.4 x
Port of Portland		28.9%	3.4 x
Port of Geelong_(4)_		57.9%	1.9 x
Asset weighted average		36.9%	2.8 x
Fund weighted average		35.5%

(1) Enterprise Value (EV) equals Net Debt (net external debt) plus independent valuations as at 31 December 2010.

• (2) Senior ICR reflects EBITDA for the half year to 31 December 2010 divided by interest expense on external debt, net of interest received.

• (3) Net Debt/EV and Senior ICR for HTAC have been estimated by HFML.

• (4) Port of Geelong normalised EBITDA excludes effect of non-cash unrealised gain or loss on interest rate hedge

• Sustainable capital management

• Prudent levels of asset gearing

• Healthy coverage ratios

• Managed interest rate risk

• Refinanced maturing asset debt

• $1.2bn refinanced by APAC in August

• Port of Geelong - commitment from CBA to refinance $70m of existing $85.5m debt facility (drawn to $81m). Remainder to be financed from available cash reserves and equity (AIX share $4.8m)

• Refinancing upcoming maturities

• QAL planning for a successful refinance in CY 2011, prior to April 2012 maturity

• NT Airports expects successful refinance of facilities and establishment of new capex facility by January 2012

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Australian Infrastructure Fund

Proactive management of debt maturities

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Perth Airport Melbourne Airport Queensland Airports NT Airports
Sydney Airport Port of Portland Port of Geelong
400
Weighted average
350 maturity 3.8 years
300
250
200
150
100
50
0
2011 2012 2013 2014 2015 2016 2017 2018+
Financial Year
AIX Proportionate Debt (A$m)
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Notes: Excludes HTAC amortising debt which is not required to be refinanced. Sydney Airport amounts estimated by HFML, based on SCACH 2009 Annual Report and other public sources.

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Australian Infrastructure Fund

4. Value

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Photo: Melbourne Airport

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Australian Infrastructure Fund

Track record of asset returns

	Valuation 31-Dec-10 ($m)	Discount rate (%)	Valuation 30-Jun-10 ($m)	Discount rate (%)	Increase in value (%)
Perth Airport_(1)_	492.8	13.1	454.2	13.2	8.5%
APAC	436.5	11.6	410.1	11.2	6.4%
Queensland Airports	268.5	15.0	259.5(2)	15.1	3.5%
NT Airports	94.2	14.8	83.5	14.9	12.9%
HTAC	293.7	13.2	305.3	12.8	(3.8%)
Other	92.8	12.8	90.5	12.8	2.6%
Total / Average	1,678.6	13.1	1,603.1	12.8	4.7%

• QAL saw significant upward revaluation in prior year on completion of terminal redevelopment

• NT Airports’ valuation benefited from aeronautical pricing agreement with Qantas Group and planned expansions

• HTAC valuation impacted by depreciation in EUR against AUD; EUR valuation increased 2.7 percent

(1) Perth valuation includes $19.1m of convertible notes, carried at face value plus premium and accrued interest, less amortisation of premium.

• (2) QAL valuation at 30 June 2010 stated excluding $11.3m accrued dividend for comparative purposes.

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Australian Infrastructure Fund

Net asset value in cents per security

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$0.15 $0.16
$0.01
Value
$0.47
gap
$0.15
$0.43
$2.54
$0.70
$2.08
$1.96
$0.79
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Perth APAC QAL NT Airports Australian HTAC Port/other Cash/fund PV mgmt NTA ³ Trading Airport airports ¹ fee ² price[4]

(1) Comprises Perth Airport, Melbourne Airport, Queensland Airports and NT; excludes Sydney which is included within valuation of HTAC. (2) Present Value of management fee is a high level estimate, assuming ~$10 million p.a. at ~10x multiple..

• (3) AIX NTA excludes value of distributions payable as at 31 December 2010.

• (4) Trading price as at close 21 February 2011, sourced from Bloomberg.

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Australian Infrastructure Fund

Enhancing value

• Primary focus continues to be on Australian airport assets

• Growth through organic expansion and incremental acquisition opportunities

• Active management of assets

• Actively evaluating opportunities to realise greater value from non-core assets

• Port of Portland

• Strong revenue and EBITDA growth expectations realised in half year

• Achievement of growth expectations underpins holding and sales value

• Port of Geelong

• Operating arrangements with Asciano Ltd strengthened and long term capex plan agreed

• Commitment from CBA to refinance debt facilities

• Underpins value

• MTS

• Agreement in principle reached with NSW Government for light rail expansion

• Expected to enhance options for attracting new capital

• Other assets

• In active dialogue with HTAC partners and strategic advisor on options to realise greater value for AIX

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Australian Infrastructure Fund

AIX share price outperformed market

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125
Australian Infrastructure Fund
S&P/ASX 200 Industrials UBS Infra 32.1%
120
115 AIX 15.0%
110 ASX200 Ind 9.9%
105
100
95
Jun-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11
Note: Based on close price as at 21 February 2011.
Indexed to 30 June 2010
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Australian Infrastructure Fund

5. Results

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Photo: Darwin Airport

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Australian Infrastructure Fund

AIX consolidated earnings

	Change	Dec 2010 half year ($m) (1)	Dec 2009 half year ($m) (1)	( ( ( ( • • • • •
Revenue	21.8%	130.8	107.4
EBITDA	24.5%	87.4	70.2
Net interest paid_(2)_	29.9%	(29.9)	(23.0)
Income tax paid_(3)_	(35.2%)	(8.4)	(12.9)
Maintenance capex (4)	100.8%	(11.1)	(5.6)
AIX (ex HTAC and SWR) proportionate earnings	32.3%	38.0	28.7
HTAC distributions		2.3	-
Statewide Roads dist		-	4.7
AIX portfolio earnings	20.4%	40.2	33.4
Cash paid to AIX	22.5%	39.7	32.4

(1)

(2)

(3)

(4)

Growing revenue and EBITDA due to growth in passenger numbers, completion of development projects and incremental investment in APAC

Net interest paid increasing as debt is drawn to fund developments; facilities also have a higher cost as assets refinance at post GFC rates

Decrease in tax as Perth Airport made “double payments” in FY09 as it entered PAYG regime

Maintenance capex increase reflects runway overlays at Townsville and Mt Isa - these are infrequent, higher cost projects

Statewide Roads concession expired in Feb 2010

Revenues and EBITDA normalised to exclude non-recurring items.

Net interest paid sourced from management accounts cashflows, excluding refinancing costs.

Tax paid sourced from management account cashflows. Maintenance capex based on management estimates, except where unavailable (APAC), depreciation used as a proxy.

Note: Figures for 31 December 2009 half year differs from previous disclosure due to reclassification of HTAC and expiry of Statewide Roads concession. Note: Excluding incremental APAC acquisition, revenue and EBITDA increased 15.8% and 17.5 % respectively on pcp.

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Australian Infrastructure Fund

Summary profit and loss

	Change	Dec 2010 half year ($’000)	Dec 2009 half year ($’000)
Dividend / distribution / interest / other income	(4%)	29,990	31,098
Gains on investments	(40%)	66,835	111,002
Total revenue	(32%)	96,825	142,100
Operating expenses	20%	(7,268)	(6,061)
Operating profit	(34%)	89,557	136,039
Finance costs		(488)	(1,354)
Profit before tax	(34%)	89,069	134,685
Income tax (expense) / benefit		(838)	(4,894)
Net profit after tax	(32%)	88,231	129,791

• Operating income slightly below pcp ($1.6m also received as return of capital in December 2010 half year)

• AIX gains on investments below prior half year

• Operating expenses up; management fee increased with market capitalisation (security price increase of 10.6%)

• Finance costs down due to repayment of MOF

• Income tax expense down due to lower revaluation gains

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Australian Infrastructure Fund

Summary cashflow

	Change	Dec 2010 half year ($’000)	Dec 2009 half year ($’000)
Cashflow from assets(1)	23%	39,749	32,388
Operating expenses	26%	(7,162)	(5,698)
Tax paid		(838)	(301)
Net interest received / (paid)		800	(327)
Operating cashflow	25%	32,549	26,062
Investments		(8,029)	(13,376)
Debt (repaid) / drawn		-	(159,500)
Capital raising proceeds		(28)	203,482
Distributions paid	61%	(31,037)	(19,226)
Net change in cash	(117%)	(6,545)	37,442
Opening balance	71%	61,990	36,351
Closing balance(2)	(25%)	55,445	73,793

• Cashflow from assets increased predominantly due to earnings growth; and incremental investment in APAC

• Offset by decrease in cash from Statewide Roads on concession expiry

• Operating expenses up; management fees increased with market capitalisation

• $30m debt facility remains undrawn (net interest received this half)

• Investments represent equity contribution to Perth Airport’s expansion

• Increase in distributions paid reflects additional securities issued following capital raisings

• Net change in cash largely driven by equity contribution to Perth Airport

(1) Includes returns of capital (2010: $1.6 million received from NT Airports, 2009: nil).

(2) Includes effect of foreign exchange rate movements on cash and cash equivalents (2010: -$1,000, 2009: -$1,000).

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Australian Infrastructure Fund

Gross cashflow received from assets

Asset	Dec 2010 half year ($m)	Dec 2009 half year ($m)
Perth Airport	10.5	9.4
APAC	8.3	6.8
QAL	12.2	8.6
NT Airports	4.4	2.9
HTAC	2.3	-
Port of Portland	1.5	-
Port of Geelong	0.5	0.1
Statewide Roads	-	4.7
Gross cash flow	39.7	32.4

• Perth Airport convertible notes paying higher interest rate following margin step-up

• Total APAC dividend in line with prior year; AIX share increased following acquisition in May 2010

• QAL dividends increased following completion of terminal redevelopment

• NT Airports made a return of capital for FY10 after year end (timing difference)

• HTAC level debt repaid; AIX receiving previously accrued interest

• Port of Portland paying distributions following successful completion of its refinancing

• Statewide Roads windup to be completed in June 2011; final distribution expected

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Australian Infrastructure Fund

6. Summary and outlook

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Photo: Darwin Airport

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Australian Infrastructure Fund

Drivers of current and future organic growth for AIX

Passengers

• Airline competition and continued LCC growth stimulating demand

• • Continuing route development, capacity additions and fleet growth

• • Proximity to fast-growing Asia-Pacific region

• Strong local currency and regional economy supporting demand

• Aeronautical and retail income enhanced by expanded terminals and facilities

Earnings

• Commercial revenue to benefit from retail and car parking developments

• • Margins expected to improve as growth provides economies of scale and new developments complete

• Sustained passenger growth is driving need for development

• Capital expenditure plans in place

Development

• Commercial property developments continue

• Scope for future commercial property developments with significant land banks

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Australian Infrastructure Fund

7. Appendix

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Photo: Gold Coast Airport

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Australian Infrastructure Fund

Perth Airport

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Revenue_(1)_($)	17.5%	144.9	123.3
EBITDA_(1)_($)	15.8%	93.9	81.1
EBITDA margin		64.8%	65.7%
Domestic pax	9.3%	4.1	3.8
International pax	10.2%	1.6	1.5
Total pax	9.5%	5.8	5.3
Domestic seat capacity	7.5%	5.4	5.0
International seat capacity	6.4%	2.2	2.1
Total seat capacity	7.2%	7.6	7.1

• Domestic pax growth driven by strong local resource-based economy reflected in strong intrastate pax growth

• High AUD continued to stimulate Australian outbound demand

• Commercial revenue benefited from pax growth, particularly higher demand and penetration of long term car parking in both domestic and international

• Decline in EBITDA margin due to higher maintenance and property related charges – exproperty, EBITDA margin was 69.5%

• $10m domestic terminal forecourt renovation and new internal road access have improved traffic flow

• $500m investment over next 3 years to deliver new and expanded passenger terminals, expanded aircraft parking areas and improved public access infrastructure

• Pricing negotiations with airlines well progressed and are required for construction works to commence

• (1) Sourced from unaudited management accounts. Amounts exclude investment property revaluations.

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Australian Infrastructure Fund

Perth Airport capacity changes included the following...

Airline	Route	Commencement	Old frequency	New frequency
	Melb (AVV) Melb (MEL) Gold Coast Exmouth Kota Kinabalu Brisbane Hong Kong Ravensthorpe Melb (AVV) Melb (MEL) Sydney Phuket Derby Denpasar Kuala Lumpur	April 2011 April 2011 April 2011 March 2011 January 2011 December 2010 November 2010 November 2010 November 2010 October 2010 October 2010 August 2010 August 2010 July 2010 April 2010	4 x weekly 7 x weekly New service New service New service New service 3 x weekly New service New service 14 x weekly 7 x weekly 2 x weekly 1 x weekly 14 x weekly 9 x weekly	6 x weekly 14 x weekly 7 x weekly 3 x weekly 3 x weekly 7 x weekly 10 x weekly 4 x weekly 4 x weekly 18 x weekly 11 x weekly 3 x weekly 4 x weekly 21 x weekly 10 x weekly

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Australian Infrastructure Fund

APAC (Melbourne and Launceston Airports)

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Revenue_(1)_($)	10.2%	284.0	257.7
EBITDA_(1)_($)	10.9%	217.1	195.8
EBITDA margin		76.5%	76.0%
Domestic pax	10.0%	11.9	10.9
International pax	13.9%	3.1	2.8
Total pax (2)	10.7%	15.1	13.7
Domestic seat capacity	11.1%	14.6	13.1
International seat capacity	14.6%	4.4	3.9
Total seat capacity	11.9%	19.0	17.0

• New Asian routes and strong AUD drove international pax while LCCs continued to stimulate domestic demand

• Aero and retail revenue grew in excess of pax growth, however retail partly constrained by T2 construction and property income flat on pcp

• Slight improvement in EBITDA margin achieved

• Following completion of Stage 1 of international terminal expansion, work continued on the new outbound passenger processing and lounge facilities, with retail stores in new T2 retail area progressively opened during December

(1) Sourced from unaudited management accounts.

• (2) Total includes international transits (not shown).

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Australian Infrastructure Fund

Melbourne Air ort ca acit chan es included the followin … p p y g g

Airline	Route	Commencement	Old frequency	New frequency
	Darwin Cairns Darwin Queenstown Beijing Auckland Beijing/Shanghai Christchurch Guangzhou Singapore Los Angeles Shanghai Denpasar	May 2011 April 2011 March 2011 December 2010 December 2010 November 2010 October 2010 October 2010 October 2010 December 2010 December 2010 November 2010 August 2010	New service 7 x weekly 1 x weekly New service New service New service 1 x weekly 3 x weekly 4 x weekly New service 2 x weekly 4 x weekly 5 x weekly	3 x weekly 21 x weekly 11 x weekly 2 x weekly 2 x weekly 7 x weekly 5 x weekly 7 x weekly 7 x weekly 7 x weekly 3 x weekly 7 x weekly 7 x weekly

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Australian Infrastructure Fund

Queensland Airports Limited (Gold Coast, Townsville, Mount Isa)

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Revenue_(1) (2)_($)	16.0%	58.2	50.2
EBITDA_(1) (2)_($)	21.7%	36.8	30.2
EBITDA margin		63.3%	59.7%
Domestic pax	11.3%	3.4	3.1
International pax	8.7%	0.4	0.4
Total pax (2)	9.9%	3.9	3.5
Domestic seat capacity	12.3%	4.3	3.9
International seat capacity	(0.6%)	0.6	0.6
Total seat capacity	10.6%	4.9	4.4

• Consistently strong pax growth on pcp in both domestic and international markets

• Gold Coast Airport remained the key driver, with pax growth boosted by renewed strength in domestic market with continued LCC capacity additions stimulating demand

• Commercial revenue streams at Gold Coast Airport were enhanced by expanded retail, food & beverage offerings as well as new long term car parking facility

• Improvement in EBITDA margin as expected

• Completion of terminal redevelopments at Gold Coast and Mount Isa Airports

• Expanded car parking at Gold Coast and Townsville Airports

(1) Sourced from unaudited management accounts.

• (2) Total includes transits (not shown).

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Australian Infrastructure Fund

QAL airports key capacity changes included the following...

Airline	Route	Commencement	Old frequency	New frequency
	OOL – Perth OOL – Melb (MEL) OOL – Cairns OOL – Hobart OOL - Queenstown OOL – Melb (AVV) OOL – Adelaide	April 2011 February 2011 January 2011 December 2010 December 2010 November 2010 November 2010	New service Twice daily 4 x weekly New service New service New service Suspended	7 x weekly 7 x weekly 7 x weekly 7 x weekly 2 x weekly 7 x weekly 7 x weekly
	TSV - Sydney BNE-TSV - DPS TSV – Sydney	December 2010 December 2010 November 2010	1 x weekly New service 1 x weekly	7 x weekly 2 x weekly 6 x weekly
	OOL-ISA-DRW	February 2011	1 x weekly	2 x weekly

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Northern Territory Airports (Darwin, Alice Springs, Tennant Creek)

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Revenue_(1)_($)	12.4%	39.6	35.2
EBITDA_(1)_($)	11.6%	26.3	23.6
EBITDA margin		66.4%	66.9%
Domestic pax	5.0%	1.3	1.2
International pax	13.6%	0.2	0.1
Total pax (2)	6.0%	1.6	1.5
Domestic seat capacity	1.9%	1.8	1.7
International seat capacity	(4.0%)	0.3	0.3
Total seat capacity	1.0%	2.0	2.0

• Both international and domestic traffic at Darwin grew strongly

• Capacity growth and strong AUD drove demand, particularly to SE Asia

• Growth in commercial revenues attributed to transit pax on LCC flights into Bali, providing strong patronage for food & beverage and duty free retail stores between flights

• Car rental income grew strongly, with renegotiation of higher rates from providers

• Property revenues benefited from recent rental reviews

• $100m investment in aviation facilities at Darwin over next ten years

• Includes $33.5m terminal expansion for which detailed planning is under way

• Underpinned by aviation pricing agreement reached with Qantas Group in October 2010

(1) Sourced from unaudited management accounts.

• (2) Total includes transits (not shown).

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Australian Infrastructure Fund

NT Airports key capacity changes included the following…

	Route	Commencement	Old frequency	New frequency
	DRW – MEL DRW – SYD DRW – MEL DRW - Manila DRW-ISA-OOL DRW - DPS DRW - DPS DRW – ADE ASP – MEL	May 2011 March 2011 March 2011 February 2011 February 2011 December 2010 December 2010 December 2010 March 2011	New service 10 x weekly 1 x weekly New service 1 x weekly New service 4 x weekly 3 x weekly 3 x weekly	3 x weekly 11 x weekly 11 x weekly 3 x weekly 2 x weekly 7 x weekly 11 x weekly 7 x weekly 4 x weekly

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HOCHTIEF AirPort Ca ital – S p ydney Airport

	Change	Year to 31 Dec 2010 (m)	Year to 31 Dec 2009 (m)
Revenue_(1)_($)	10.5%	943.0	853.2
EBITDA_(1)_($)	12.0%	773.3	690.2
EBITDA margin		82.0%	80.9%
Domestic pax	8.1%	24.2	22.4
International pax	6.9%	11.3	10.6
Total pax (2)	7.8%	35.6	33.0

• Pax growth driven by strength of AUD and robust domestic economy, stimulating Australian outbound international traffic as well as healthy inbound growth from China, Korea and Japan

• Revenue benefited from growth in retail income streams following international terminal redevelopment opened in June 2010

• Larger variety of dining and shopping now available, with further work continuing in arrivals

• Ground transport and commercial services also benefited from strong traffic growth and incremental capacity

• Property and car rental revenue also performed strongly

• (1) Sourced from publicly available information.

• (2) Total includes domestic-on-carriage (not shown).

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HOCHTIEF AirPort Capital – German airports

Düsseldorf Airport(1) (2)	Change	Year to 31 Dec 2010 (m)	Year to 31 Dec 2009 (m)
Domestic passengers	3.7%	4.4	4.2
International passengers	7.7%	14.6	13.6
Total passengers	6.7%	19.0	17.8
Hamburg Airport(1) (2)	Change	Year to 31 Dec 2010 (m)	Year to 31 Dec 2009 (m)
Domestic passengers	4.2%	5.6	5.4
International passengers	7.4%	7.4	6.9
Total passengers	6.0%	13.0	12.2

Düsseldorf Airport

• Pax demand increased due to strong recovery of German economy and its solid GDP growth, supported by utilisation of larger aircraft

Hamburg Airport

• Solid pax growth with record quarter during July-Sept (approx 3.75m pax)

German Airports

• German government introduced an air travel tax for departing passengers to be levied from 1 January 2011

• Expected to have limited affect on Düsseldorf and Hamburg given their geographical position, limited reliance on low cost airlines, healthy mix of passengers and destinations

(1) Annual results for year to 31 December 2010 not yet available. (2) Sourced from German airport association, ADV.

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HOCHTIEF AirPort Ca pital – Athens Airport

Athens Airport (1) (2)	Change	Year to 31 Dec 2010 (m)	Year to 31 Dec 2009 (m)
Domestic pax	(9.4%)	5.6	6.1
International pax	(2.4%)	9.9	10.1
Total pax	(5.0%)	15.4	16.2

• Domestic traffic negatively affected by economic conditions and proposed consolidation of Olympic Air and Aegean Airlines’ operations

• International sector performed relatively better but also adversely affected by the economic situation

• Greek government has enacted tax increases which, coupled with the challenging economic conditions in Greece make for an uncertain economic outlook

• Greek Government may monetise its stake in Athens airport via an IPO which will likely require the concession agreement be extended beyond 2025

(1) Annual results for year to 31 December 2010 not yet available. (2) Sourced from Athens International Airport website.

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Port of Portland

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Revenue_(1)_($)	43.8%	15.4	10.7
EBITDA_(1)_($)	61.2%	9.9	6.2
EBITDA margin		64.5%	57.5%
Tonnes (‘000)	32.5%	1,787	1,349

• Volumes up strongly due to woodchip and log ramp up following depressed CY09 volumes

• Revenue and earnings outperformance due to higher volumes, price increases and favourable shipping mix

• New Gunns hardwood chip facility was commissioned and received its first delivery in November 2010

• Graincorp hardwood chip facility upgrade was also commissioned recently with the first delivery of woodchips expected in February 2011

(1) Sourced from unaudited management accounts.

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Port of Geelong

	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Trust revenue_(1) (2)_($)	21.5%	5.7	4.7
Trust EBITDA_(1) (3)_ ($)	23.2%	5.6	4.5
EBITDA margin		97.1%	95.8%
Tonnes (‘000)	23.3%	4,574	3,710

• Volume increased mainly due to higher fertiliser and petroleum tonnage

  • Tonnage in pcp was below-average due to continued drought in South-Eastern Australia, global economic crisis and Shell undertaking a major shut down of its plant

• Earnings supported by minimum take-or-pay arrangements in place for some exports, which will be settled at 30 June 2011

• In January, Ports received commitment from its debt provider for the refinancing of its $85.5 million debt facilities (currently drawn to $81.0 million), with a new 3-year $70.0 million debt facility, pro rata equity contribution and cash reserves

• (1)

• Sourced from unaudited management accounts.

• (2) Trust revenue comprises fee income received by Ports Pty Limited (the vehicle through which AIX holds its interest in Geelong), net of fees paid to the operator of Geelong.

• (3) Trust EBITDA comprises the EBITDA of Ports Pty Limited, normalised to exclude the effect of non-cash unrealised gains / losses on interest rate hedging.

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Road and rail performance

Metro Transport	Change	Dec 2010 half year (m)	Dec 2009 half year (m)
Adj revenue_(1)_($)	0.9%	7.9	7.8
Adj EBITDA_(1)_($)	n/m	0.4	0.1
EBITDA margin		4.5%	1.7%
Pax (‘000)		2,917	3,008

Metro Transport Sydney

• Small decrease in monorail patronage attributed to declining relative popularity of Sydney tourism

• Light rail benefited from increased sale of highermargin daily tickets

• Revenue increased due to improved advertising income from monorail

• MTS has entered into agreement in principle with Transport NSW re potential expansion of light rail

(1) Sourced from unaudited management accounts.

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