FRE – Half Year Report for the 6 months ended 31 Dec 2016

DECEMBER 2016
HALF YEAR REPORT

DX Mail
www.dxmail.co.nz
Dataprint
www.dataprint.co.nz
Security Express
www.securityexpress.co.nz
Pass The Parcel
www.passtheparcel.co.nz
Stuck
www.stuck.co.nz
Post Haste Couriers
www.posthaste.co.nz
New Zealand Couriers
www.nzcouriers.co.nz
Air Freight NZFreightways Information ServicesFieldair Engineering
www.fieldair.co.nz
Parceline Express
Databank
www.timg.com
Shred-X
www.shred-x.com.au
Filesaver
www.filesaver.com.au
LitSupport
www.litsupport.com.au
SUB60
www.sub60.co.nz
Kiwi Express Couriers
www.kiwiexpress.co.nz
Security Express
www.securityexpress.co.nz
Data Security Services
www.timg.co.nz
The Information Management Group
www.timg.co.nz
Document Destruction Service
www.timg.co.nz
Archive Security
www.timg.co.nz
Castle Parcels
www.castleparcels.co.nz
Now Couriers
www.nowcouriers.co.nz
DIRECTORY
For inquiries in relation to Freightways’ services and products contact the offices listed below or refer to
Freightways’ website at www.freightways.co.nz.
Messenger Services LimitedNew Zealand Document Exchange Limited
32 Botha Road20 Fairfax Avenue
PenrosePenrose
DX EX10911DX CR59901
AUCKLAND AUCKLAND
Telephone: 09 526 3680 Telephone: 09 526 3150
www.sub60.co.nz www.dxmail.co.nz
www.kiwiexpress.co.nzwww.dataprint.co.nz
www.stuck.co.nz
www.securityexpress.co.nz
The Information Management Group (NZ) Limited
33 Botha Road
New Zealand Couriers LimitedPenrose
32 Botha RoadDX EX10975
PenroseAUCKLAND
DX CX10119Telephone: 09 580 4360
AUCKLANDwww.timg.co.nz
Telephone: 09 571 9600
www.nzcouriers.co.nzFieldair Holdings Limited
Palmerston North International Airport
Post Haste LimitedPalmerston North
32 Botha RoadDX PX10029
PenrosePALMERSTON NORTH
DX EX10978Telephone: 06 357 1149
AUCKLANDwww.fieldair.co.nz
Telephone: 09 579 5650
www.posthaste.co.nzNOW Couriers Limited
www.passtheparcel.co.nz161 Station Road
Penrose
Castle Parcels LimitedAUCKLAND
163 Station Road Telephone: 09 526 9170
Penrosewww.nowcouriers.co.nz
DX CX10245
AUCKLANDThe Information Management Group Pty Limited
Telephone: 09 525 5999
PO Box 21
www.castleparcels.co.nz
Enfield
New South Wales 2136
Shred-X Pty Limited
AUSTRALIA
PO Box 1184Telephone: +61 2 9882 0600
Oxenfordwww.timg.com
Queensland 4215www.filesaver.com.au
AUSTRALIAwww.litsupport.com.au
Telephone: +61 1 300 747 339
www.shred-x.com.au

Freightways Limited
and its subsidiaries
1
Freightways Limited
and its subsidiaries
1
HALF YEAR REVIEW FROM THE CHAIRMAN AND MANAGING DIRECTOR
The Directors are pleased to present the consolidated financial result of Freightways Limited (Freightways)
for the half year ended 31 December 2016. This report discusses the result, reviews the operations of each
division and provides an outlook for the financial year ending 30 June 2017.
Highlights include the strength of the underlying volume growth and margin in the express package &
business mail division, progress to timetable and budget of establishing major purpose-built facilities in
Sydney and Christchurch and the related relocation projects, the execution of robust contingency plans that
ensured minimal service disruption following the significant impact of the North Canterbury earthquake and
the performance of our information management businesses, other than TIMG Australia, which was primarily
affected by a poor result at LitSupport.
Operating performance
The below table presents the reported half year result compared to the prior comparative period (pcp), both
before and after the inclusion of non-recurring items:
Dividend
The Directors have declared an interim dividend of 13 cents per share, fully imputed at a tax rate of 28%, being
a 2% increase above the pcp dividend of 12.75 cents per share. This represents a payout of approximately
$20.1 million compared with $19.7 million for the pcp dividend. The dividend will be paid on 3 April 2017. The
record date for determination of entitlements to the dividend is 17 March 2017.
The Dividend Reinvestment Plan (DRP) will not be offered in relation to this dividend. As a capital management
tool, the application of the DRP will be reviewed for each future dividend.
Non-
Dec-16 Recurring Underlying Trading Result
$M Note Result Items Dec-16 Dec-15 Increase
Revenue 272.8 - 272.8 254.9 7.0%
EBITDA (i) 55.8 4.0 51.8 51.2 1.2%
EBITA (ii) 50.1 4.0 46.1 45.0 2.4%
NPATA (iii) 34.8 4.5 30.3 28.7 5.6%
NPAT (iv) 34.0 4.5 29.5 27.7 6.2%
EPS (cents) 21.9 2.9 19.0 17.9 6.1%
Notes:
(i) Operating profit before interest, tax, depreciation and amortisation.
(ii) Operating profit before interest, tax and amortisation.
(iii) Net profit after tax (NPAT), before amortisation.
(iv) Profit for the half year attributable to shareholders.
The results discussed throughout this commentary exclude the impact of the following non-recurring items that
the Directors believe should not be included when assessing the underlying half year trading results:
• A non-recurring benefit before tax of $5.6 million relating to previously accrued final acquisition payments
that are no longer expected to be required. The interim dividend was calculated excluding this non-cash
benefit.
• A non-recurring cost before tax of $1.6 million relating to the relocation of the TIMG business in Sydney.

2
Freightways Limited
and its subsidiaries
HALF YEAR REVIEW FROM THE CHAIRMAN AND MANAGING DIRECTOR
REVIEW OF OPERATIONS
Divisional results for the half year ended 31 December 2016 are provided below for the express package &
business mail division and the information management division.
Express Package & Business Mail
Operating revenue of $202.5 million was 8% higher than the pcp. EBITA of $34.8 million was 7% higher than
the pcp.
The express package & business mail division operates a multi-brand strategy in the domestic market through
New Zealand Couriers, Post Haste, Castle Parcels, NOW Couriers, SUB60, Security Express, Kiwi Express,
Stuck, Pass The Parcel, DX Mail and Dataprint.
Volume and revenue growth throughout the half year was strong, particularly so in the peak December month.
Increased activity amongst existing customers and the winning of new customers contributed to this growth.
Disruption surcharges were introduced during December to offset increased linehaul and delivery costs
following November’s North Canterbury earthquake. Overall, costs have been well contained and the higher
operating costs involved with the transition to a new aircraft operating model reduced through the second
quarter. Key matters:
• The transition to Boeing 737-400 aircraft is progressing well. The four superseded freighter aircraft owned
by Freightways have all been sold for their combined book value of $1 million. Three of the aircraft were
sold subsequent to the end of the half year. The Boeing 737-400 aircraft provided important capacity during
the peak volume period leading into Christmas.
• The new airside facility currently being constructed at Christchurch airport is on schedule. This facility
will be automated with physical conveyor equipment, which is currently being assembled on site, and IT
developed collaboratively by Freightways’ IT team and the European-based suppliers. Overall this project is
running to budget expectations.
• Increased resourcing of the IT team has enabled the progression of a number of key projects in support of
Freightways’ strategic intent to be a technology leader in the markets it operates in.
• The North Canterbury earthquake had a significant impact on the division’s inter-island and intra-South
Island linehaul services. Providing a consistent nationwide overnight and two-day delivery service relies
on the network operating to a strict timetable. An issue at one point in the linehaul system has a ripple
effect throughout the entire network and if not addressed, will severely affect customers who are reliant
on the performance of this service. Immediately following the earthquake, the businesses developed a
contingency plan to address the loss of State Highway One in the upper South Island and the initially
disrupted inter-islander ferries to ensure the least possible impact on customers. This plan required the
deployment of several additional linehaul trucks, drivers and depot handling staff at key sortation hubs
throughout the country. The teamwork and passion displayed by Freightways’ people to provide the best
possible service in working through this significant challenge was and remains outstanding. Likewise, the
support of customers during this period is acknowledged and appreciated.
Freightways’ business mail operator, DX Mail, further expanded its postie network and now businesses in most
urban locations throughout New Zealand are able to choose DX Mail for overnight and 5-day per week delivery
of their standard-priced letters. Despite the decline of the overall physical letter market, the demand for DX
Mail’s suite of services is increasing. Dataprint, which provides physical and digital transactional mailhouse
services, increased market share in all of its service lines, both physical and digital.
Information Management
Operating revenue of $71.1 million was 3% higher than the pcp. EBITA of $13.4 million was 6% lower than
the pcp.
The information management division operates under the brands of The Information Management Group
(TIMG) and Shred-X.

Freightways Limited
and its subsidiaries
3
Freightways Limited
and its subsidiaries
3
Strong results from Shred-X and TIMG New Zealand were primarily offset by poor performance from TIMG
Australia’s LitSupport business, which led to some restructuring and related costs. Key matters:
• LitSupport has performed at the bottom end of the range of expectations set at the time of acquiring the
business. While forecast revenue growth has been achieved, forecast EBITDA growth has not occurred.
This outcome was anticipated as a possibility at that time and hence the payment for this business was
structured to reduce Freightways’ financial risk should this occur. As previously announced, the vendors of
LitSupport refunded A$5 million of the initial A$17.1 million purchase price in March 2016. Based on the
forecast for the current year, the effective multiple of EBITDA applicable to the reduced purchase price
remains at approximately the same level as originally expected. This has, however, meant that an earn-out
payment of $5.3 million previously accrued is not now anticipated to be paid to the vendors and accordingly
it has been written back to the income statement as a non-cash, non-recurring benefit. Recent restructuring
of LitSupport and the winning of a number of new contracts is expected to assist in improving LitSupport’s
performance over time.
• During the prior year, it was announced that Freightways would invest in the relocation of three Sydney-
based information management facilities into a single purpose-built facility. The cost of this relocation
has at this stage been $1.6 million of the $2.5 million budget for this project and overall is tracking to
budget expectations and timetable. Operating from a single site will deliver operating efficiencies that will
contribute to a positive return on this investment from the completion of this project in June this year.
• Demand for the digital services offered by TIMG and the e-destruction services offered by Shred-X continues
to gain momentum. It is expected that these new revenue streams will become an increasingly important
part of the overall information management division’s revenue and earnings in the near to medium term.
• The severity of the North Canterbury earthquake had repercussions for the division’s document storage
facilities in Wellington. While the racking did its job and withstood the impact of the earthquake, its
structural integrity was compromised, particularly in the major site located in Porirua. This has resulted
in the likelihood of having to repair or replace most, if not all, of the Porirua racking and will involve
repositioning boxes while repairs are made or replacement racking is installed. Freightways carries
comprehensive insurance for events such as this. The related deductible has been expensed as a corporate
cost. Thanks to the strong service culture within the TIMG business, the quick actions of its people and the
support of key suppliers, the service disruption to TIMG’s customers has been minimal. Again the support
of customers during this period is acknowledged and appreciated.
Internal service providers
Fieldair Holdings, through its subsidiary of Air Freight NZ, operates a joint venture company that leases and
operates the Boeing 737-400 aircraft fleet that provides Freightways’ overnight airfreight linehaul service.
Fieldair also provides specialist engineering and contracting services to the general aviation market. Parceline
Express provides Freightways’ road linehaul service. As volumes have grown, the services provided by these
businesses have adapted to ensure the provision of quality sustainable capacity.
Freightways Information Services provides IT development and support to the express package & business mail
division. This team is responsible for providing the front line businesses with robust and secure information
management systems and supporting their technology-related strategic objectives.
Corporate
Corporate costs have increased compared to the pcp, primarily due to expensing the insurance deductibles
related to earthquake insurance claims.
Net debt levels are unchanged from the pcp at $159 million. A finance facility has also been established with
a US-based lender on the same terms as those that are in place with Freightways’ existing banking syndicate.
Capital expenditure during the half year of $10 million, including the investment made in the new Christchurch
and Sydney premises, has been funded from operating cash flows.
HALF YEAR REVIEW FROM THE CHAIRMAN AND MANAGING DIRECTOR

4
Freightways Limited
and its subsidiaries
HALF YEAR REVIEW FROM THE CHAIRMAN AND MANAGING DIRECTOR
OUTLOOK
Volumes and activity evidenced in this first half result support Freightways’ expectations of again improving
its overall year-on-year performance. The markets in which Freightways operates in both New Zealand and
Australia remain positive and the company is experiencing increasing demand for the services it provides.
As had been stated in the prior annual result announcement and as is evident in this half year announcement,
results from the express package & business mail division will be partly offset by the investment being made
in increased capacity in the information management division to accommodate current and future expected
growth and poor performance of LitSupport in this half year. Expectations are for improved performance from
LitSupport in the second half of the financial year.
The next six months will see the completion of the major projects that are underway to relocate the businesses
in Sydney and Christchurch, with the full benefits relating to these projects on target to be realised in the 2018
financial year.
Capital expenditure for the full year is expected to be approximately $24 million. Overall cash flows are
expected to remain strong for the remainder of the 2017 financial year.
Strategic growth opportunities, including acquisitions and alliances that complement existing capabilities, will
be executed where they make commercial sense.
CONCLUSION
The strength of the Freightways business models, the expertise of its people and the positive features of the
markets it operates in are once again evident in this half year result.
The Directors acknowledge the outstanding work and ongoing dedication of the Freightways team of people
throughout New Zealand and Australia.
Susan Sheldon
Dean Bracewell
Chairman Managing Director
20 February 2017

Freightways Limited
and its subsidiaries
5
Freightways Limited
and its subsidiaries
5
FINANCIAL SUMMARY (UNAUDITED)

600
500
400
300
200
100
-
$M
Year Ended 30 June
FREIGHTWAYS OPERATING REVENUE
FREIGHTWAYS EBITA*
1st half 2nd half

100
90
80
70
60
50
40
30
20
10

-
$M
* This EBITA graph represents the operating results of the company, exclusive of any non-recurring items.
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Year Ended 30 June

6
Freightways Limited
and its subsidiaries
PricewaterhouseCoopers, 188 Quay Street, Private Bag 92162, Auckland 1142, New Zealand
T: +64 (9) 355 8000, F: +64 (9) 355 8001, www.pwc.com/nz
INDEPENDENT REVIEW REPORT
To the shareholders of Freightways Limited
Report on the Half Year Financial Statements
We have reviewed the accompanying Group financial statements of Freightways Limited (“the Company”) on
pages 7 to 19, which comprise the condensed balance sheet as at 31 December 2016, and the condensed
income statement, the condensed statement of comprehensive income, the condensed statement of changes
in equity and the condensed statement of cash flows for the period ended on that date, and a summary of
significant accounting policies and selected explanatory notes.
Directors’ Responsibility for the Financial Statements
The Directors are responsible on behalf of the Company for the preparation and presentation of these financial
statements in accordance with New Zealand Equivalent to International Accounting Standard 34 Interim
Financial Reporting (NZ IAS 34) and for such internal controls as the Directors determine are necessary to
enable the preparation of financial statements that are free from material misstatement, whether due to fraud
or error.
Our Responsibility
Our responsibility is to express a conclusion on the accompanying financial statements based on our review.
We conducted our review in accordance with the New Zealand Standard on Review Engagements 2410
Review of Financial Statements Performed by the Independent Auditor of the Entity (NZ SRE 2410). NZ SRE
2410 requires us to conclude whether anything has come to our attention that causes us to believe that the
financial statements, taken as a whole, are not prepared in all material respects, in accordance with NZ IAS
34. As the auditors of the Group, NZ SRE 2410 requires that we comply with the ethical requirements relevant
to the audit of the annual financial statements.
A review of financial statements in accordance with NZ SRE 2410 is a limited assurance engagement. The
auditors perform procedures, primarily consisting of making enquiries, primarily of persons responsible for
financial and accounting matters, and applying analytical and other review procedures. The procedures
performed in a review are substantially less than those performed in an audit conducted in accordance with
International Standards on Auditing (New Zealand) and International Standards on Auditing. Accordingly we
do not express an audit opinion on these financial statements.
We are independent of the Group. Our firm carries out other services for the Group in the area of Executive
Remuneration Benchmarking and other related assurance services. The provision of these other services has
not impaired our independence.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that these financial
statements of the Group are not prepared, in all material respects, in accordance with NZ IAS 34.
Restriction on Use of Our Report
This report is made solely to the Company's shareholders as a body. Our review work has been undertaken so
that we might state to the Company’s shareholders those matters which we are required to state to them in
our review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the shareholders, as a body, for our review procedures, for this report, or
for the conclusion we have formed.
For and on behalf of:
Leo Foliaki
Chartered Accountants, Auckland
20 February 2017

Freightways Limited
and its subsidiaries
7
6 mths ended6 mths endedVariance
Note31 Dec 201631 Dec 2015%
$000$000
Operating revenue
4272,782254,8987%
Transport and logistics expenses(107,862)(97,104)11%
Employee benefits expenses
(75,157)(70,140)7%
Occupancy expenses(12,082)(11,708)3%
General and administrative expenses(25,920)(24,759)5%
Non-recurring items34,031- -
Operating profit before interest, income tax, depreciation
and software amortisation and amortisation of intangibles
55,79251,1879%
Depreciation and software amortisation
(5,690)(6,188)(8%)
Operating profit before interest, income tax and
amortisation of intangibles
50,10244,99911%
Amortisation of intangibles(806)(963) (16%)
Operating profit before interest and income tax
449,29644,03612%
Net interest and finance costs(4,711)(5,741)(18%)
Profit before income tax
44,58538,29516%
Income tax(10,598)(10,547) -
Profit for the period attributable to shareholders
33,98727,74822%

Earnings per share for the period*:
Basic earnings per share (cents)21.917.9
Diluted earnings per share (cents)21.917.9
*
Basic and diluted earnings per share calculated on the profit for the period attributable to shareholders,
excluding non-recurring items, net of tax, are both 19.0 cents (2015: nil non-recurring items).
NB: All revenue and earnings are from continuing operations.
The above Income Statement should be read in conjunction with the accompanying notes.
CONSOLIDATED INCOME STATEMENT
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)

8
Freightways Limited
and its subsidiaries
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
6 mths ended 6 mths ended
31 Dec 2016 31 Dec 2015
Note $000 $000
Equity at the beginning of the period 214,856 207,804
Adjustments for acquisition accounting - 583
Restated equity at the beginning of the period 214,856 208,387
Profit for the period 33,987 27,748
Exchange differences on translation of foreign operations (1,008) (2,011)
Cash flow hedges taken directly to equity, net of tax 3,320 272
Total comprehensive income for the period 36,299 26,009
Dividends paid (22,466) (19,345)
Issue of ordinary shares, net of costs 452 878
Equity at the end of the period 6 229,141 215,929
The above Statement of Changes in Equity should be read in conjunction with the accompanying notes.
6 mths ended 6 mths ended
31 Dec 2016 31 Dec 2015
$000 $000
Profit for the period 33,987 27,748

Other comprehensive income
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of foreign operations (1,008) (2,011)
Cash flow hedges taken directly to equity, net of tax 3,320 272
Total other comprehensive income after income tax 2,312 (1,739)
Total comprehensive income for the period attributable
to the shareholders
36,299 26,009
The above Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

Freightways Limited
and its subsidiaries
9
CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2016 (UNAUDITED)
As at As at As at
31 Dec 2016 31 Dec 2015 30 Jun 2016
Note $000 $000 $000
ASSETS
Current assets
Cash and cash equivalents 10,690 12,378 7,065
Trade and other receivables 77,483 73,062 68,865
Income tax receivable 222 - -
Inventories 6,190 6,432 5,248
94,585 91,872 81,178
Assets held for sale 750 5,797 1,000
Total current assets 95,335 97,669 82,178
Non-current assets
Trade and other receivables 1,950 421 190
Property, plant and equipment 5 91,946 84,851 88,621
Intangible assets 312,493 309,091 307,843
Total non-current assets 406,389 394,363 396,654
Total assets 501,724 492,032 478,832
LIABILITIES
Current liabilities

Trade and other payables 64,460 57,954 54,679
Finance lease liabilities 70 9 79
Income tax payable 1,690 4,411 6,145
Provisions 1,101 1,563 1,115
Derivative financial instruments 871 72 779
Unearned income 16,044 16,308 16,391
Total current liabilities 84,236 80,317 79,188
Non-current liabilities
Trade and other payables 3,034 6,019 6,368
Borrowings (secured) 7 169,196 170,976 158,801
Deferred tax liability 5,239 7,182 4,430
Provisions 3,323 2,832 3,035
Finance lease liabilities - - 32
Derivative financial instruments 7,555 8,777 12,122
Total non-current liabilities 188,347 195,786 184,788
Total liabilities 272,583 276,103 263,976
NET ASSETS 229,141 215,929 214,856
EQUITY
Contributed equity 6 124,304 123,736 123,852
Retained earnings 117,345 103,531 105,824
Cash flow hedge reserve (6,097) (6,509) (9,417)
Foreign currency translation reserve (6,411) (4,829) (5,403)
TOTAL EQUITY 6 229,141 215,929 214,856
The above Balance Sheet should be read in conjunction with the accompanying notes.

10
Freightways Limited
and its subsidiaries
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
6 mths ended 6 mths ended
31 Dec 2016 31 Dec 2015
$000 $000
INFLOWS INFLOWS
Note (OUTFLOWS) (OUTFLOWS)
Cash flows from operating activities
Receipts from customers 264,165 258,554
Payments to suppliers and employees (214,918) (208,114)
Cash generated from operations 49,247 50,440
Interest received 43 63
Interest and other costs of finance paid (4,957) (5,168)
Income taxes paid (15,829) (13,048)
Net cash inflows from operating activities 8 28,504 32,287
Cash flows from investing activities
Payments for property, plant & equipment (8,098) (6,764)
Payments for software (1,865) (881)
Proceeds from disposal of property, plant & equipment 23 20
Payments for businesses acquired (net of cash acquired) (1,991) (5,805)
Payments to associate (1,667) -
Payments for other investing activities (231) (521)
Net cash outflows from investing activities (13,829) (13,951)
Cash flows from financing activities
Dividends paid (22,466) (19,345)
Increase (decrease) in bank borrowings 11,143 (645)
Proceeds from issue of ordinary shares 338 296
Finance lease liabilities repaid (38) (38)
Net cash outflows from financing activities (11,023) (19,732)
Net increase (decrease) in cash and cash equivalents 3,652 (1,396)
Cash and cash equivalents at the beginning of the period 7,065 13,946
Exchange rate adjustments (27) (172)
Cash and cash equivalents at the end of the period 10,690 12,378
The above Statement of Cash Flows should be read in conjunction with the accompanying notes.

Freightways Limited
and its subsidiaries
11
1. BASIS OF PREPARATION
The interim financial statements are those of Freightways Limited (the ‘Company’) and its subsidiary companies
(together with the Company, referred to as the ‘Group’). The Company is registered under the Companies Act
1993 and is an FMC Reporting Entity under Part 7 of the Financial Markets Conduct Act 2013. The financial
statements of the Group have been prepared in accordance with the requirements of the Financial Markets
Conduct Act 2013 and the NZX Main Board Listing Rules.
The financial statements are stated in New Zealand dollars and rounded to the nearest thousand, unless
otherwise indicated.
The consolidated financial statements of the Group have been prepared in accordance with Generally Accepted
Accounting Practice in New Zealand (NZ GAAP). They comply with NZ IAS 34 Interim Financial Reporting and
IAS 34 Interim Financial Reporting and consequently, do not include all the information required for full
financial statements. These condensed Group interim financial statements should be read in conjunction with
the annual report for the year ended 30 June 2016.
The Group is designated as a for-profit entity for the purposes of complying with NZ GAAP.
2. ACCOUNTING POLICIES
The accounting policies and methods of computation are consistent with those used in the most recent annual
report.
3. NON-RECURRING ITEMS
Non-recurring items for the period ended 31 December 2016 relate to:
• A non-recurring benefit before tax of $5.6 million ($5.6 million after tax) relating to the reversal of
previously-accrued earn-out payments that are no longer expected to be paid.
• A non-recurring cost before tax of $1.6 million ($1.1 million after tax) relating to the relocation of the TIMG
business in Sydney.
There were no non-recurring items for the period ended 31 December 2015.
4.
SEGMENT REPORTING
(a) Description of segments
The Group is organised into the following reportable operating segments which categorise the business into
its primary markets and reflect the structure and internal reporting used by the Managing Director, as the
chief operating decision maker, and the Board to assist strategic decision-making and allocation of resources:
Express package & business mail
Comprises network courier, point-to-point courier and postal services.
Information management
Comprises secure paper-based and electronic business information management services.
Corporate & other
Comprises corporate, financing and property management services.
The Group has no individual customer that represents more than 2% of external sales revenue.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)

12
Freightways Limited
and its subsidiaries
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
(b) Segment analysis
EXPRESS
PACKAGE &
BUSINESS MAIL
INFORMATION
MANAGEMENT
CORPORATE
& OTHER
INTER-
SEGMENT
ELIMINATION
CONSOLIDATED
OPERATIONS
$000$000$000$000 $000
Half year ended 31 December 2016
Sales to external customers
201,66871,114--272,782
Inter-segment sales829192,255(3,103)-
Total revenue
202,49771,1332,255(3,103)272,782
Operating profit (loss) before non-
recurring items, interest, income tax,
depreciation and software amortisation
and amortisation of intangibles37,25215,824(1,315)-51,761
Non-recurring items
-4,031-- 4,031
Operating profit (loss) before interest,
income tax, depreciation and software
amortisation and amortisation of
intangibles37,25219,855(1,315)-55,792
Depreciation and software amortisation
(2,467)(2,458)(765)-(5,690)
Operating profit (loss) before interest,
income tax and amortisation of
intangibles34,78517,397(2,080)-50,102
Amortisation of intangibles, excluding
software amortisation
(25)(781)--(806)
Operating profit (loss) before interest
and income tax
34,76016,616(2,080)-49,296
Net interest and finance costs
(4)(62)(4,645)-(4,711)
Profit (loss) before income tax
34,75616,554(6,725)-44,585
Income tax
(9,803)(3,214)2,419-(10,598)
Profit (loss) for the period attributable
to the shareholders24,95313,340(4,306)-33,987

Freightways Limited
and its subsidiaries
13
(b) Segment analysis (continued)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
EXPRESS
PACKAGE &
BUSINESS MAIL
INFORMATION
MANAGEMENT
CORPORATE
& OTHER
INTER-
SEGMENT
ELIMINATION
CONSOLIDATED
OPERATIONS
$000$000$000$000 $000
Half year ended 31 December 2015
Sales to external customers
185,78569,113--254,898
Inter-segment sales998-2,253(3,251)-
Total revenue
186,78369,1132,253(3,251)254,898
Operating profit (loss) before interest,
income tax, depreciation and software
amortisation and amortisation of
intangibles35,43916,532(784)-51,187
Depreciation and software amortisation
(3,052)(2,371)(765)-(6,188)
Operating profit (loss) before interest,
income tax and amortisation of
intangibles32,38714,161(1,549)-44,999
Amortisation of intangibles, excluding
software amortisation(25)(938)--(963)
Operating profit (loss) before interest
and income tax32,36213,223(1,549)-44,036
Net interest and finance costs
(2)(454)(5,285)-(5,741)
Profit (loss) before income tax
32,36012,769(6,834)-38,295
Income tax
(9,122)(3,956)2,531-(10,547)
Profit (loss) for the period attributable to
the shareholders23,2388,813(4,303)-27,748

14
Freightways Limited
and its subsidiaries
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
CONTRIBUTED
EQUITY
$000
RETAINED
EARNINGS
$000
CASH FLOW
HEDGE
RESERVE
$000
FOREIGN
CURRENCY
TRANSLATION
RESERVE
$000
TOTAL
EQUITY
$000
Balance at 1 July 2016
123,852105,824(9,417)(5,403)214,856
Profit for the period-33,987--33,987
Dividend payment-(22,466)--(22,466)
Shares issued, net of costs452---452
Cash flow hedges taken directly to equity,
net of tax--3,320-3,320
Exchange differences on translation
of foreign operations---(1,008)(1,008)
Balance at 31 December 2016
124,304117,345(6,097)(6,411)229,141
Balance at 1 July 2015
122,85894,571(6,781)(2,844)207,804
Adjustment for acquisition accounting
-557-26583
Restated balance at 1 July 2015
122,85895,128(6,781)(2,818)208,387
Profit for the period
-27,748--27,748
Dividend payment
-(19,345)--(19,345)
Shares issued, net of costs
878---878
Cash flow hedges taken directly to equity,
net of tax
--272-272
Exchange differences on translation
of foreign operations---(2,011)(2,011)
Balance at 31 December 2015
123,736103,531(6,509)(4,829)215,929
5. PROPERTY, PLANT & EQUIPMENT
Included in property, plant & equipment is archive box storage racking installed in the Group’s Porirua
storage facility with a net book value as at 31 December 2016 of $2.1 million. This racking was impacted by
the North Canterbury earthquake in November 2016 and its structural integrity may have been compromised.
While the racking is still standing and serving its intended purpose, it is expected that some, if not all, of
this racking will need to be repaired or replaced. As at 31 December 2016, it is too early to accurately assess
the extent of damage and what proportion of the racking will require attention. The full cost of any remedial
action needed will be covered by insurance. The applicable insurance deductible has been expensed to the
income statement.
6. EQUITY

Freightways Limited
and its subsidiaries
15
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
Contributed equity
Fully paid ordin
ary shares
As at 31 December 2016, there were 154,938,225 fully paid ordinary shares on issue (2015: 154,760,691). All
fully paid ordinary shares have equal voting rights and share equally in dividends and surplus on winding up.
Partly-paid ordinary shares
On 12 September 2016, 103,682 partly-paid shares were issued to certain senior executives under the rules of
the Freightways Senior Executive Performance Share Plan (2015: 121,691). The issue price per share was $6.82
(2015: $5.39) and the shares have been paid-up by the relevant participants to one cent per share. The balance
of the issue price per share may only be paid-up upon the participants meeting agreed performance hurdles
and upon the expiry of the applicable three-year escrow period in accordance with the Plan rules. During the
period, 17,863 partly-paid shares were redeemed and cancelled (2015: 63). As at 31 December 2016, there
were 342,006 partly-paid ordinary shares on issue (2015: 383,721). Partly-paid ordinary shares have no voting
rights and no rights to dividends and surplus on winding up.
Partly-paid ordinary shares, fully paid up to ordinary shares
On 12 September 2016, 127,534 partly-paid shares were fully paid-up by certain Freightways senior executives
upon the achievement of agreed performance targets in accordance with the terms of the original issue of the
relevant partly-paid shares under the Freightways Senior Executive Performance Share Plan (2015: 147,769).
The average issue price per share was $4.17 (2015: $3.92).
Employee share plan
On 13 September 2016, the Company issued 50,000 fully paid ordinary shares at $6.13 each to Freightways
Trustee Company Limited, as Trustee for the Freightways Employee Share Plan (2015: 90,000 fully paid ordinary
shares at $4.86 each). In total, participating employees were provided with interest-free loans of $0.3 million
to fund their purchase of the shares in the Share Plan (2015: $0.4 million). The loans are repayable over three
years and repayment commenced in October 2016.
7. BORROWINGS (SECURED)
In December 2016, a US$125 million uncommitted finance facility was established with a US-based lender on
the same terms as those that are in place with the existing banking syndicate. Of this facility, the US dollar
equivalent of NZ$10 million and A$10 million has been drawn as at 31 December 2016.
As at 31 December 2016, the Group’s debt facilities with its banking syndicate comprised NZ$100 million and
A$87 million (2015: NZ$110 million and A$97 million), of which NZ$72 million and A$74 million (2015: NZ$77
million and A$88 million) had been drawn, respectively. The Group also had an undrawn bank overdraft facility
of NZ$8 million available (2015: NZ$8 million).
The Group was in compliance with all its banking covenants throughout this financial period.

16
Freightways Limited
and its subsidiaries
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
8. RECONCILIATION OF PROFIT FOR THE PERIOD WITH CASH FLOWS FROM OPERATING
ACTIVITIES
6 mths ended 6 mths ended
31 Dec 2016 31 Dec 2015
$000 $000
Profit for the period 33,987 27,748
Add non-cash items:
Depreciation and amortisation 6,496 7,151
Movement in provision for doubtful debts 89 50
Movement in deferred income tax 885 (114)
Net loss on disposal of fixed assets 1 24
Net foreign exchange loss (gain) 4 (11)
Movement in derivative fair value 137 61
Items not included in profit for the period:
Cash flow hedges taken directly to equity (3,320) (272)
Movement in working capital, net of effects of acquisitions of
businesses:

(Increase) decrease in trade and other receivables (8,501) (2,619)
(Increase) decrease in inventories (942) (608)
Increase (decrease) in trade and other payables 4,345 2,738
Increase (decrease) in income taxes payable (4,677) (1,861)

Net cash inflows from operating activities 28,504 32,287
9. TRANSACTIONS WITH RELATED PARTIES
Trading with related parties: The Group has not entered into any material external related party transactions
which require disclosure.
Payments to associate: During the period, the Group paid $1.7 million in security deposits to Parcelair
Limited, the joint venture company that provides the airfreight linehaul to the express package businesses.
Parcelair Limited is half-owned by the Group.
Key management compensation: Compensation paid during the period (or payable as at 31 December
2016 in respect of the half year) to key management, which includes senior executives of the Group and non-
executive independent directors, is as follows:
2016 2015
$000 $000
Short-term employee benefits 2,854 3,242
Long-term employee benefits - -
Post-employment benefits - -
Termination benefits - -
Share-based payments 375 315

Freightways Limited
and its subsidiaries
17
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
10. FINANCIAL RISK MANAGEMENT
The Group has a treasury policy which is used to assist in managing foreign exchange and interest rate risks.
The interim financial statements do not include all financial risk management information and disclosures and
should be read in conjunction with the Group’s annual financial statements as at 30 June 2016 contained in
its Annual Report, which can be obtained from the Company’s registered office or www.freightways.co.nz.
There have been no significant changes in the Group’s risk management objectives and policies since 30 June
2016.
In the period to 31 December 2016 there were no significant changes in the business or economic circumstances
that affect the fair value of the Group’s financial assets and financial liabilities.
Fair values and valuation techniques
The Group uses various methods in estimating the fair value of financial instruments. The methods comprise:
Level 1 – Quoted prices (adjusted) in active markets for identical assets or liabilities at the reporting date. A
market is regarded as active if quoted prices are readily and regularly available from an exchange,
dealer, broker, industry group, pricing service, or regulatory agency, and those prices represent actual
and regularly occurring market transactions on an arm’s length basis.
Level 2 – Inputs that are observable for the asset or liability, either directly (i.e., as prices; other than
quoted prices referred to in Level 1 above) or indirectly (i.e., derived from prices). The fair value
of financial instruments that are not traded in an active market (for example, over-the-counter
derivatives) is determined by using valuation techniques. These valuation techniques maximise the
use of observable market data where it is available and rely as little as possible on entity specific
estimates. If all significant inputs required to fair value an instrument are observable, the fair value
of an instrument is included in Level 2.
Level 3 – Inputs for the asset or liability that are not based on observable market data (i.e., unobservable
inputs). In these cases, the fair value of an instrument would be included in Level 3.
Specific valuation techniques used to value financial instruments include:
• in respect of interest rate swaps, the fair value is calculated as the present value of the estimated future
cash flows based on observable yield curves;
• in respect of forward foreign exchange contracts, the fair value is calculated using forward exchange rates
at the balance sheet date, with the resulting value discounted back to present value; and
• discounted cash flow analysis for other financial instruments.
Specific valuation techniques used to value contingent consideration in a business combination and estimated
purchase price adjustments include:
• fair value is calculated as the present value of the estimated future cash flows based on management’s
assessment of future performance; and
• management’s knowledge of the business and the industry it operates in.
Specific valuation techniques used to value aircraft held for sale include among other factors, market demand
and pricing of similar aircraft.
The Group’s derivative financial instruments and aircraft held for sale are all Level 2 financial instruments.
Contingent consideration in a business combination and estimated purchase price adjustments are all Level
3 financial instruments. There have been no transfers between levels of the fair value hierarchy used in
measuring the fair value of financial instruments in the period to 31 December 2016.
There have been no reclassifications of financial assets and finance liabilities since 30 June 2016.

18
Freightways Limited
and its subsidiaries
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
10. FINANCIAL RISK MANAGEMENT (continued)
The carrying value of the following financial assets and liabilities approximate their fair value:
• cash and cash equivalents
• trade and other receivables
• trade and other payables
• bank borrowings
11. BUSINESS COMBINATIONS
On 1 July 2016, the Group acquired the business and assets of LexData Management Pty Limited (LexData),
an Australian-based information management business, for initial payments in aggregate of approximately
$2.9 million (A$2.8 million) and a future maximum earn-out of $3.6 million (A$3.5 million). LexData has been
integrated into the Group’s information management division.
The contribution of LexData to the Group results for the half year ended 31 December 2016 was revenue of $2
million and operating profit before interest, income tax and amortisation of intangibles of $0.5 million.
The following table summarises the purchase consideration and the fair value of assets acquired and liabilities
assumed:
Purchase consideration $000
Initial acquisition payments 2,900
Less Allowance for liabilities assumed (285)
Less Cash consideration payable as at the end of the period (624)
Cash consideration paid during the period 1,991
Cash consideration payable as at the end of the period 624
Fair value of future earn-out payment 2,199
Total purchase consideration 4,814
Fair value of assets and liabilities arising from the acquisition
Plant and equipment 73
Customer relationships 554
Goodwill 4,562
Provisions (299)
Deferred tax liability (76)
4,814
The future earn-out payment of up to a maximum discounted amount of $2.2 million may be payable in August
2019, but is contingent upon certain financial performance hurdles being achieved for the years ended 30
June 2017, 2018 and 2019. The potential undiscounted amount of the future earn-out payment that the Group
expects could be required to be made in respect of this acquisition is between nil and $3.6 million. The Group
has forecast several scenarios and probability-weighted each to determine a fair value for this contingent
payment arrangement.
The goodwill of $4.6 million arising upon this acquisition is attributable to the intellectual property obtained
and the strategic benefit of increasing and strengthening TIMG’s digital offer and increasing the national
scale and coverage of LitSupport. None of the goodwill recognised is expected to be deductible for income
tax purposes.
The acquisition accounting for this acquisition has been determined on a provisional basis. The fair value of
assets and liabilities acquired, including identified intangible assets, will be finalised within 12 months from
the acquisition date and upon confirmation of certain determinants.

Freightways Limited
and its subsidiaries
19
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE HALF YEAR ENDED 31 DECEMBER 2016 (UNAUDITED)
12. CAPITAL COMMITMENTS AND CONTINGENT LIABILITIES
As at 31 December 2016, the Group had capital commitments to purchase equipment of $9.3 million (2015:
$13.6 million).
As at 31 December 2016, the Group had outstanding letters of credit and bank guarantees issued by its lenders
totalling approximately $5.7 million (2015: $5.8 million). The letters of credit relate predominantly to support
for regular payroll payments. The bank guarantees relate to security given to various landlords in respect of
leased operating facilities.
There were no other contingent liabilities as at 31 December 2016 (2015: nil)
13. NET TANGIBLE ASSETS PER SECURITY
Net tangible assets (liabilities) per security at 31 December 2016 was ($0.46) (2015: ($0.54)).
14. POST BALANCE DATE EVENTS
Dividend declared
On 20 February 2017, the Directors declared a fully imputed interim dividend of 13 cents per share
(approximately $20.1 million) in respect of the year ended 30 June 2017. The dividend will be paid on 3 April
2017. The record date for determination of entitlements to the dividend is 17 March 2017. A supplementary
dividend of 2.29 cents per share will be paid to overseas shareholders when the interim dividend is paid. The
Freightways Dividend Reinvestment Plan will not operate for this dividend.
Sale of aircraft
On 31 January 2017, the Group sold its three remaining Convair freighters for their combined book value of
$0.75 million. An initial payment of $0.1m was received and the balance of the sale proceeds will be receivable
in 24 equal monthly instalments, commencing February 2017.

As pioneers of New Zealand’s express package industry, we trace our origins back to 1964.

DX Mail
www.dxmail.co.nz
Dataprint
www.dataprint.co.nz
Security Express
www.securityexpress.co.nz
Pass The Parcel
www.passtheparcel.co.nz
Stuck
www.stuck.co.nz
Post Haste Couriers
www.posthaste.co.nz
New Zealand Couriers
www.nzcouriers.co.nz
Air Freight NZFreightways Information ServicesFieldair Engineering
www.fieldair.co.nz
Parceline Express
Databank
www.timg.com
Shred-X
www.shred-x.com.au
Filesaver
www.filesaver.com.au
LitSupport
www.litsupport.com.au
SUB60
www.sub60.co.nz
Kiwi Express Couriers
www.kiwiexpress.co.nz
Security Express
www.securityexpress.co.nz
Data Security Services
www.timg.co.nz
The Information Management Group
www.timg.co.nz
Document Destruction Service
www.timg.co.nz
Archive Security
www.timg.co.nz
Castle Parcels
www.castleparcels.co.nz
Now Couriers
www.nowcouriers.co.nz
DIRECTORY
For inquiries in relation to Freightways’ services and products contact the offices listed below or refer to
Freightways’ website at www.freightways.co.nz.
Messenger Services LimitedNew Zealand Document Exchange Limited
32 Botha Road20 Fairfax Avenue
PenrosePenrose
DX EX10911DX CR59901
AUCKLAND AUCKLAND
Telephone: 09 526 3680 Telephone: 09 526 3150
www.sub60.co.nz www.dxmail.co.nz
www.kiwiexpress.co.nzwww.dataprint.co.nz
www.stuck.co.nz
www.securityexpress.co.nz
The Information Management Group (NZ) Limited
33 Botha Road
New Zealand Couriers LimitedPenrose
32 Botha RoadDX EX10975
PenroseAUCKLAND
DX CX10119Telephone: 09 580 4360
AUCKLANDwww.timg.co.nz
Telephone: 09 571 9600
www.nzcouriers.co.nzFieldair Holdings Limited
Palmerston North International Airport
Post Haste LimitedPalmerston North
32 Botha RoadDX PX10029
PenrosePALMERSTON NORTH
DX EX10978Telephone: 06 357 1149
AUCKLANDwww.fieldair.co.nz
Telephone: 09 579 5650
www.posthaste.co.nzNOW Couriers Limited
www.passtheparcel.co.nz161 Station Road
Penrose
Castle Parcels LimitedAUCKLAND
163 Station Road Telephone: 09 526 9170
Penrosewww.nowcouriers.co.nz
DX CX10245
AUCKLANDThe Information Management Group Pty Limited
Telephone: 09 525 5999
PO Box 21
www.castleparcels.co.nz
Enfield
New South Wales 2136
Shred-X Pty Limited
AUSTRALIA
PO Box 1184Telephone: +61 2 9882 0600
Oxenfordwww.timg.com
Queensland 4215www.filesaver.com.au
AUSTRALIAwww.litsupport.com.au
Telephone: +61 1 300 747 339
www.shred-x.com.au

DECEMBER 2016
HALF YEAR REPORT