3Q18 Capital, Funding and Credit Quality Update

3Q18
Capital, Funding
and Credit Quality
Update

24 August 2018

Westpac Banking Corporation | ABN 33 007 457 141
Financial results based on cash earnings unless otherwise stated
Refer to the 1H18 Investor Discussion Pack for definition
This document should be read in conjunction with Westpac’s Pillar 3
Report June 2018, incorporating the requirements of APS330.
All comparisons in this document refer to 30 June 2018 compared to
31 March 2018 (unless otherwise stated)

Net interest margin down
11 basis points in 3Q18
•5bps of the decline due to rise in Bank Bill Swap Rate (BBSW), 4bps due to a lower Treasury contribution and
other factors impacted margins by 2bps
Well placed to meet
APRA’s CET1
unquestionably strong
benchmark
•Common equity Tier 1 (CET1) capital ratio 10.4% at 30 June 2018
•Down from 10.5% at 31 March 2018 as capital generated over the quarter (including conversion of $566m of
preference shares (CPS) to ordinary shares) was more than offset by the determination of the 1H18 dividend
(net of the DRP)
•Risk weighted assets (RWA) up modestly (0.4%); credit RWAs up $0.2bn and non-credit RWA up $1.6bn. No
material impact on RWA from regulatory model changes in 3Q18
•Internationally comparable
1
CET1 capital ratio 16.0% at 30 June 2018
Credit quality remains
sound
•Credit quality metrics remain near cyclical lows
•Level of impaired assets stable with no new individual impaired loans over $10m in the quarter. Stressed
assets to TCE
2
1bp lower at 1.08%
•Australian mortgage 90+ day delinquencies 0.72% (up 3bps over the quarter)
•Australian unsecured 90+ day delinquencies 1.76% (up 5bps over the quarter)
Sound funding/liquidity
position
•Net stable funding ratio (NSFR) 112%, liquidity coverage ratio (LCR) 127% - well above regulatory minimums
•$31bn term funding issued to end July 2018. FY18 term funding largely complete

Mortgage growth
comfortably within macro-
prudential boundaries
•Flow of interest only lending (based on limits) was 24% in 3Q18 (APRA requirement <30%)
•Interest only lending represented 37% of portfolio at 30 June 2018 (down from 40% at 31 March 2018)
•Investor lending growth, using APRA definition, 3.7% - comfortably below 10% cap
Regulatory
developments
•Estimated impact of model changes during 4Q18 from changes to operational risk model overlay and updates
to mortgage PD
3
models to add approximately $11.5bn in RWA, ~30bps reduction in CET1 ratio
•New consultation released from APRA on capital in 3Q18 on proposed changes to international comparability
•Further updates from APRA on proposals to the capital framework expected later in 2018
•AASB 9 applicable from 1 October 2018
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Summary of 3Q18
1 Internationally comparable methodology aligns with the APRA study titled ‘International Capital Comparison Study’ of 13 July 2015. 2 TCE is Total committed exposure. 3 PD is Probability of default
2
Overview

2.11
2.06
2.05
2.11
2.14
2.11
2.07
2.10
2.17
2.06
1.98 1.98
1.97
2.01
2.03
2.01
1.96
2.02
2.05
1.98
1H142H141H152H151H162H161H172H171H183Q18
NIMNIM excl. Treasury & Markets
Margins lower in 3Q18
Westpac Group 3Q18 Capital, Funding and Asset Quality Update
•Every 5bp movement in BBSW impacts Westpac’s margins by
around 1bp
•In 3Q18 margins declined by 11bps
‒5bps due to higher BBSW – which was up 24bps over 3Q18
‒4bps due to a lower Treasury contribution, principally due to less
opportunities in markets
‒2bps from all other factors. These included ongoing changes in
the mix of the mortgage portfolio (less interest only lending) along
with lower rates on new mortgages. These were partially offset
by some deposit repricing
90 Day Bank Bill Swap Rate (%)
3Q18 Margin drivers Net interest margin (NIM) (%)
3
Margin
1.60
1.70
1.80
1.90
2.00
2.10
1H18 Average
1.78%
3Q18 Average
2.02%

Continue to be well placed for “unquestionably strong”
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
1 Internationally comparable methodology aligns with the APRA study titled ‘International Capital Comparison Study’ dated 13 July 2015. 2 DSIB is domestic systemically important bank. 3 APRA’s revision to the
calculation of RWA for Australian residential mortgages, which came into effect on 1 July 2016.
CET1 capital ratio (%) and CET1 capital ($bn)

Capital ratios (%)
Sep-17 Mar-18 Jun-18
CET1 capital ratio 10.6 10.5 10.4
Additional Tier 1 capital 2.1 2.3 2.2
Tier 1 capital ratio 12.7 12.8 12.6
Tier 2 capital 2.1 2.0 2.2
Total regulatory capital ratio 14.8 14.8 14.8
Risk weighted assets (RWA)

($bn) 404 416 418
Leverage ratio 5.7 5.8 5.6
Internationally comparable ratios
1
Leverage ratio 6.3 6.4 6.3
CET1 capital ratio 16.2 16.1 16.0
4
29
30
32
34
37
38
37
39
38
40
41
43
42
44
44
8.4
8.8
9.0
9.5
10.2
10.5
10.1
9.5
9.3
10.0
10.0
10.6
10.1
10.5
10.4
0
2
4
6
8
10
12
15
20
25
30
35
40
45
50
55
Dec-14
Mar-15
Jun-15
Sep-15
Dec-15
Mar-16
Jun-16
Sep-16
Dec-16
Mar-17
Jun-17
Sep-17
Dec-17
Mar-18
Jun-18
Westpac CET1 capital (lhs, $bn)
Westpac CET1 capital ratio (rhs, %)
$bn %
APRA introduces industry
guidelines 10.5%
“unquestionably strong”
APRA’s changes
to mortgage
RWA
3
Building for 1%
DSIB
2
buffer
Capital

404.2
415.7
0.2
1.3
0.2
0.1 417.5
Sep-17Mar-18Credit
RWA
Market
risk
IRRBBOtherJun-18
CET1 capital and RWA movements
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
RWA movements ($bn)

CET1 capital ratio (%)
5
10.6
10.5
0.6 10.4
(0.7)
Sep-17Mar-18Interim dividend
(net of DRP)
OtherJun-18
Credit RWA movements ($bn)
Up $1.8bn or 0.4%
3Q18 earnings, CPS conversion,
RWA movements and other
capital movements
Credit RWA movements ($bn)
Capital
349.3
361.4
1.2
0.2 361.6
(0.7)
(0.5)
Sep-17Mar-18Portfolio
growth
Credit
quality
movements
FX
trans-
lation
OtherJun-18
Up $0.2bn or 0.1%

Regulatory developments
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Regulatory capital framework
•On 14 August 2018, APRA released their next capital paper –
Improving the transparency, comparability and flexibility of the ADI
1

capital framework
−None of the proposals under consideration would change the
level of capital ADIs are required to hold to meet the
unquestionably strong capital benchmarks
•Following the release in February 2018 – Revisions to the capital
framework for ADIs, ADIs including Westpac, have completed an
initial quantitative impact study (QIS), which will be used by APRA
to inform calibration of the changes
•APRA is intending to introduce a minimum leverage ratio of 4.0%
from 1 July 2019
•Further updates from APRA are expected later in 2018




•Applicable for Westpac from 1 October 2018
•For regulatory capital purposes, the impact of potential credit losses
is captured through regulatory expected loss
•Significant buffer ($1.5bn) to absorb a rise in accounting provisions
at implementation of AASB 9

6
AASB 9 Financial Instruments APRA developments
Capital
471
2,694
4,696
Accounting
provision
Capital impact from
regulatory expected loss
1,531
CAP
IAP
1 Authorised deposit-taking institution.
Accounting provisions and capital at 31 March ($m)

FY18 term funding largely complete
1 Based on residual maturity and FX spot currency translation. Includes all debt issuance with contractual maturity greater than 13 months excluding US Commercial Paper and Yankee Certificates of Deposit. 2 Contractual maturity date for hybrids
and callable subordinated instruments is the first scheduled conversion date or call date for the purposes of this disclosure. 3 Tenor excludes RMBS and ABS. 4 WAM is weighted average maturity. 5 Perpetual sub-debt has been included in
>FY23 maturity bucket. Maturities exclude securitisation amortisation.
70
16
4
6
5
By type
Senior unsecuredCovered bonds
SecuritisationHybrid
Subordinated debt
35
38
16
4
7
By currency
AUDUSDEUR
GBPOther
33
31
42
37
27
6
28
29
29
21
16
29
FY14FY15FY16FY17
YTD
June 18
FY18FY19FY20FY21FY22FY23
>FY23
Sub debtSenior/SecuritisationHybridCovered bond
Issuance Maturities
remaining
New term issuance year to 30 June 2018 composition
1
(%)
Term debt issuance and maturity profile
1,2,5
($bn)
7
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
7
4
8
8
25
30
25
17
8
44
40
45
30
38
18
25
28
43
45
FY14FY15FY16FY17YTD
June 18
>5years
5 years
4 years
3 years
2 years
1 year
4.7yrs 4.9yrs 5.4yrs 5.8yrs
New term issuance by tenor
2,3
(%)
6.4yrs
WAM
4
Funding
3Q18 funding and liquidity highlights
•LCR 127% (134% at 31 March 2018)
•NSFR 112% (112% at 31 March 2018)
•Largely completed FY18 term funding plan, with $27bn issued by
end 3Q18. A further $4bn issued in July 2018
•New term issuance has been well diversified across currencies,
products and tenors

Well provisioned, credit quality remains sound
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
1,622
1,461
1,470
1,364
867
669
869
480
471
437
2,986
2,607
2,408
2,196
2,225
2,275
2,344
2,316
2,359
2,348
453
346
363
389
389
388
389
323
335
321
5,061
4,414
4,241
3,949
3,481
3,332
3,602
3,119
3,165
3,106
Sep-10Sep-11Sep-12Sep-13Sep-14Sep-15Sep-16Sep-17Mar-18Jun-18
Overlay
Collectively assessed provisions
Individually assessed provisions
Sep-17 Mar-18 Jun-18
Total provisions to gross loans (bps) 45 45 44
Impaired asset provisions to impaired assets (%) 46 46 45
Collectively assessed provisions to credit RWA (bps) 76 75 74
8
Stressed exposures as a % of TCE Total impairment provisions ($m)
Credit quality
0.67
0.62
0.58
0.44
0.27
0.20
0.22
0.20
0.15 0.15
0.14
0.46
0.41
0.35
0.31
0.26
0.25
0.33
0.35
0.34
0.37
0.38
2.07
1.45
1.24
0.85
0.71
0.54
0.65
0.59
0.56
0.57
0.56
3.20
2.48
2.17
1.60
1.24
0.99
1.20
1.14
1.05
1.09
1.08
Sep-10Sep-11Sep-12Sep-13Sep-14Sep-15Sep-16
Mar-17
Sep-17
Mar-18
Jun-18
Watchlist & substandard
90+ day past due and not impaired
Impaired

0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
Agriculture, forestry &
fishing
Property
Wholesale &
retail trade
Services
Manufacturing
Transport & storage
Construction
Accommodation, cafes
& restaurants
Property services &
business services
Other
Mining
Sep-17Mar-18Jun-18
One name downgraded
to stressed
Overall stressed exposures little changed over 3Q18
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
1 Includes Finance & insurance, Utilities, Government admin. & defence, Other/Margin Lending and Pacific Banking.
Corporate and business portfolio stressed exposures by industry ($bn)
9
1
Credit quality
Improvement
in NZ dairy

Credit quality areas of interest
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Retail trade portfolio
Commercial property portfolio
Mining (including oil and gas) portfolio
New Zealand dairy portfolio
1 Includes impaired exposures. 2 Percentage of portfolio TCE.

10
Credit quality
Sep-17 Mar-18 Jun-18
Total committed exposures (TCE) $9.7bn $9.3bn $9.7bn
Lending $5.1bn $5.1bn $5.4bn
% of Group TCE 0.96 0.91 0.93
% of portfolio graded as stressed
1,2
2.33 1.72 1.45
% of portfolio in impaired
2
0.44 0.31 0.26
Sep-17 Mar-18 Jun-18
Total committed exposures (TCE) NZ$6.0bn NZ$6.1bn NZ$6.2bn
Lending NZ$5.8bn NZ$5.8bn NZ$6.0bn
% of Group TCE 0.55 0.55 0.55
% of portfolio graded as stressed
1,2
17.02 14.94 11.78
% of portfolio in impaired
2
0.34 0.47 0.37
Sep-17 Mar-18 Jun-18
Total committed exposures (TCE) $15.4bn $15.5bn $15.7bn
Lending $11.5bn $11.3bn $11.7bn
% of Group TCE 1.53 1.51 1.52
% of portfolio graded as stressed
1,2
3.02 4.67 4.91
% of portfolio in impaired
2
0.31 0.48 0.43
Sep-17 Mar-18 Jun-18
Total committed exposures (TCE) $65.2bn
$66.3bn $67.8bn
Lending $49.6bn
$51.1bn $51.4bn
% of Group TCE 6.48
6.48 6.55
% of portfolio graded as stressed
1,2
1.27 1.74 1.75
% of portfolio in impaired
2
0.38 0.28 0.27

90+ day delinquencies (%) 90+ day delinquencies (%)
Australian consumer unsecured lending, 3% of Group loans
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Sep-17 Mar-18 Jun-18
30+ day delinquencies

(%) 3.60 3.95 3.89
90+ day delinquencies

(%) 1.66 1.71 1.76
Estimated impact of changes to hardship
treatment for 90+ day delinquencies (bps)
56ps 52ps 50ps
•APRA hardship policy adopted across Westpac’s Australian unsecured portfolios in
FY17
•June 2018 unsecured consumer delinquencies, excluding hardship reporting
changes are 8bps higher than March 2018, and 17bps higher than September 2017

Australian unsecured portfolio ($bn)
90+ day delinquencies (%) by State Australian consumer unsecured lending portfolio
11
Credit quality
-
1.00
2.00
3.00
Jun-14Dec-14Jun-15Dec-15Jun-16Dec-16Jun-17Dec-17Jun-18
NSW/ACTVIC/TASQLDWASA/NT
10
5
7
22
10
5
7
22
10
5
7
22
Credit cardsPersonal
loans
Auto loans
(consumer)
Total
consumer
unsecured
Sep-17Mar-18Jun-18
Hardship reporting
changes commenced
-
1.00
2.00
3.00
Total unsecured
consumer lending
Credit cards
Total ex-hardshipCredit cards
ex-hardship
Hardship reporting
changes commenced
-
1.00
2.00
3.00
Personal loansAuto loans
Personal loans
ex-hardship
Auto loans
ex-hardship

38
27
17
12
6
40
27
17
9
7
44
29
15
6
6
NSW & ACTVIC & TASQLDWASA & NT
Australian banking system
Westpac Group portfolio
3Q18 Westpac Group drawdowns
0.0
1.0
2.0
3.0
Jun-14Dec-14Jun-15Dec-15Jun-16Dec-16Jun-17Dec-17Jun-18
90+ day past due total90+ day past due investor
30+ day past due totalLoss rates
Australian mortgage portfolio continues to perform well
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Australian mortgages 90+ day delinquencies by State (%)
Housing lending by State (%)
Australian mortgage delinquencies and
properties in possession (PIPs)
Sep-17 Mar-18 Jun-18
30+ day delinquencies

(bps) 130 144 144
90+ day delinquencies

(bps)
(includes impaired mortgages)
67 69 72
Consumer PIPs 437 398 392
Properties in possession continue to be mostly in WA and Qld reflecting weaker
economic conditions in those states. Targeted collections strategies in those states
have contributed to lower PIPs in 3Q18 and improved customer outcomes
0.0
1.0
2.0
3.0
Jun-14Dec-14Jun-15Dec-15Jun-16Dec-16Jun-17Dec-17Jun-18
NSW/ACTVIC/TASQLD
WASA/NTALL
12
1
Introduced new hardship treatment
Australian mortgage portfolio delinquencies (%)
Credit quality
1 Source ABA Cannex June 2018.
Introduced new hardship treatment

Proportion of I/O in total portfolio Scheduled I/O term expiry
4
Australian mortgage portfolio trends
Westpac Group 3Q18 Capital, Funding and Asset Quality Update
1 Flow is based on APRA definition. 2 I/O is interest only mortgage lending. P&I is principal and interest mortgage lending. 3 Investor is as per APRA extended definition used for reporting against the 10% cap.
4 Excludes I/O loans that should have switched to P&I but for the previously announced mortgage processing error.
Mortgage lending growth (%) I/O
1
flows (% of total)
13
Credit quality
35
23
22
24
23
43
26
22
23
24
3Q174Q171Q182Q183Q18
ApplicationsSettlementsAPRA 30% limit
4.4
3.7%
9.8
6.0%
Oct-16
Nov-16Dec-16
Jan-17
Feb-17
Mar-17
Apr-17
May-17
Jun-17
Jul-17
Aug-17Sep-17
Oct-17
Nov-17Dec-17
Jan-18
Feb-18
Mar-18
Apr-18
May-18
Jun-18
InvestorOwner occupied
3
50
46
40
37
Mar-17Sep-17Mar-18Jun-18
Switching from I/O to P&I
2
($m)
15
18
19
15
7
16
10
0<1 Yr1<2
Yrs
2<3
Yrs
3<4
Yrs
4<5
Yrs
5<10
Yrs
10
Yrs+
(% of total I/O loans outstanding)

3,004
3,447
3,911
3,623
4,110
4,261
7,913
4,717
4,044
4,025
3Q174Q171Q182Q183Q18
Reached end of I/O periodCustomer initiated

Appendix and
Disclaimer

Appendix 1: Definitions – Capital & Funding
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
15
Appendix and Disclaimer
Capital ratios
As defined by APRA (unless stated otherwise)
Committed
liquidity facility
(CLF)

The RBA makes available to Australian Authorised Deposit-taking
institutions a CLF that, subject to qualifying conditions, can be accessed
to meet LCR requirements under APS210 Liquidity
Internationally
comparable
ratios

Internationally comparable regulatory capital ratios are Westpac’s
estimated ratios after adjusting the capital ratios determined under APRA
Basel III regulations for various items. Analysis aligns with the APRA
study titled “International capital comparison study” dated 13 July 2015
Leverage ratio

As defined by APRA (unless stated otherwise). Tier 1 capital divided by
‘exposure measure’ and expressed as a percentage. ‘Exposure measure’
is the sum of on-balance sheet exposures, derivative exposures,
securities financing transaction exposures and other off-balance sheet
exposures
Liquidity
coverage ratio
(LCR)

An APRA requirement to maintain an adequate level of unencumbered
high quality liquid assets (HQLA), to meet liquidity needs for a 30 calendar
day period under an APRA-defined severe stress scenario. Absent a
situation of financial stress, the value of the LCR must not be less than
100%. LCR is calculated as the percentage ratio of stock of HQLA and
CLF over the total net cash out-flows in a modelled 30 day defined
stressed scenario
Net stable
funding ratio
(NSFR)


The NSFR is defined as the ratio of the amount of available stable funding
(ASF) to the amount of required stable funding (RSF) defined by APRA.
The amount of ASF is the portion of an ADI’s capital and liabilities
expected to be a reliable source of funds over a one year time horizon.
The amount of RSF is a function of the liquidity characteristics and
residual maturities of an ADI’s assets and off-balance sheet activities.
ADI’s must maintain an NSFR of at least 100%
Risk weighted
assets or RWA
Assets (both on and off-balance sheet) are risk weighted according to
each asset’s inherent potential for default and what the likely losses would
be in case of default. In the case of non-asset-backed risks (ie. market
and operational risk), RWA is determined by multiplying the capital
requirements for those risks by 12.5

Appendix 1: Definitions – Credit Quality
Westpac Group 3Q18 Capital, Funding and Credit Quality Update
16
Appendix and Disclaimer
Collectively
assessed
provisions
(CAP)

Loans not found to be individually impaired or significant will be collectively
assessed in pools of similar assets with similar risk characteristics. The size
of the provision is an estimate of the losses already incurred and will be
estimated on the basis of historical loss experience for assets with credit
characteristics similar to those in the collective pool. The historical loss
experience will be adjusted based on current observable data. Included in
the collectively assessed provision is an overlay provision which is
calculated based on changes that occurred in sectors of the economy or in
the economy as a whole
Impaired
assets

Includes exposures that have deteriorated to the point where full collection
of interest and principal is in doubt, based on an assessment of the
customer’s outlook, cash flow, and the net realisation of value of assets to
which recourse is held and includes:
•facilities 90 days or more past due, and full recovery is in doubt:
exposures where contractual payments are 90 or more days in arrears
and the net realisable value of assets to which recourse is held may not
be sufficient to allow full collection of interest and principal, including
overdrafts or other revolving facilities that remain continuously outside
approved limits by material amounts for 90 or more calendar days;
•non-accrual assets: exposures with individually assessed impairment
provisions held against them, excluding restructured loans;
•restructured assets: exposures where the original contractual terms
have been formally modified to provide for concessions of interest or
principal for reasons related to the financial difficulties of the customer;
•other assets acquired through security enforcement (includes other real
estate owned): includes the value of any other assets acquired as full
or partial settlement of outstanding obligations through the enforcement
of security arrangements; and
•any other assets where the full collection of interest and principal is in
doubt
Individually
assessed
provisions
(IAP)

Provisions raised for losses that have already been incurred on loans that
are known to be impaired and are assessed on an individual basis. The
estimated losses on these impaired loans is based on expected future cash
flows discounted to their present value and, as this discount unwinds,
interest will be recognised in the income statement
Stressed assets

The sum of watchlist and substandard, 90 days past due and not
impaired and impaired assets
Total committed
exposures (TCE)

Represents the sum of the committed portion of direct lending (including
funds placement overall and deposits placed), contingent and pre-
settlement risk plus the committed portion of secondary market trading
and underwriting risk
Watchlist and
substandard

Loan facilities where customers are experiencing operating weakness
and financial difficulty but are not expected to incur loss of interest or
principal
90 days past due
and not impaired

Includes facilities where:
•contractual payments of interest and/or principal are 90 or more
calendar days overdue, including overdrafts or other revolving
facilities that remain continuously outside approved limits by
material amounts for 90 or more calendar days (including accounts
for customers who have been granted hardship assistance); or
•an order has been sought for the customer’s bankruptcy or similar
legal action has been instituted which may avoid or delay
repayment of its credit obligations; and
•the estimated net realisable value of assets / security to which
Westpac has recourse is sufficient to cover repayment of all
principal and interest, or where there are otherwise reasonable
grounds to expect payment in full and interest is being taken to
profit on an accrual basis
These facilities, while in default, are not treated as impaired for
accounting purposes

Westpac Group 3Q18 Capital, Funding and Credit Quality Update
Investor Relations Team
17
Contact us

Equity Investor Relations
Nicole Mehalski

Director
+61 2 8253 1667
nicole.mehalski@westpac.com.au
Andrew Bowden

Head of Investor Relations
+61 2 8253 4008
andrewbowden@westpac.com.au
Debt Investor Relations
Louise Coughlan

Director (Rating Agencies)
+61 2 8254 0549
lcoughlan@westpac.com.au
Jacqueline Boddy

Director
+61 2 8253 3133
jboddy@westpac.com.au
Retail Shareholder Investor Relations
Rebecca Plackett

Senior Manager
+61 2 8253 6556
rplackett@westpac.com.au
Danielle Stock

Senior Manager
+61 2 8253 0922
danielle.stock@westpac.com.au
Or email: investorrelations@westpac.com.au

www.westpac.com.au/investorcentre
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Disclaimer
The material contained in this presentation is intended to be general background information on Westpac Banking Corporation (Westpac) and its activities.
The information is supplied in summary form and is therefore not necessarily complete. It is not intended that it be relied upon as advice to investors or potential investors, who
should consider seeking independent professional advice depending upon their specific investment objectives, financial situation or particular needs. The material contained in
this presentation may include information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the
accuracy, completeness or reliability of the information.
All amounts are in Australian dollars unless otherwise indicated.
Unless otherwise noted, financial information in this presentation is presented on a cash earnings basis. Cash earnings is a non-GAAP measure. Refer to Westpac’s 2018
Interim Financial Results (incorporating the requirements of Appendix 4D) for the six months ended 31 March 2018 available at www.westpac.com.au for details of the basis of
preparation of cash earnings.
This presentation contains statements that constitute “forward-looking statements” within the meaning of Section 21E of the US Securities Exchange Act of 1934. Forward-
looking statements are statements about matters that are not historical facts. Forward-looking statements appear in a number of places in this presentation and include
statements regarding our intent, belief or current expectations with respect to our business and operations, market conditions, results of operations and financial condition,
including, without limitation, future loan loss provisions, financial support to certain borrowers, indicative drivers, forecasted economic indicators and performance metric
outcomes.
We use words such as ‘will’, ‘may’, ‘expect’, 'indicative', ‘intend’, ‘seek’, ‘would’, ‘should’, ‘could’, ‘continue’, ‘plan’, ‘probability’, ‘risk’, ‘forecast’, ‘likely’, ‘estimate’, ‘anticipate’,
‘believe’, ‘aim’, or other similar words to identify forward-looking statements. These forward-looking statements reflect our current views with respect to future events and are
subject to change, certain risks, uncertainties and assumptions which are, in many instances, beyond our control, and have been made based upon management’s
expectations and beliefs concerning future developments and their potential effect upon us. There can be no assurance that future developments will be
in accordance with our expectations or that the effect of future developments on us will be those anticipated. Actual results could differ materially from those which we expect,
depending on the outcome of various factors. Factors that may impact on the forward-looking statements made include, but are not limited to, those described in the section
titled ‘Risk factors' in Westpac’s 2018 Interim Financial Results for the six months ended 31 March 2018 (or Annual Report for the year ended 30 September 2017) available at
www.westpac.com.au. When relying on forward-looking statements to make decisions with respect to us, investors and others should carefully consider such factors and other
uncertainties and events. We are under no obligation to update any forward-looking statements contained in this presentation, whether as a result of new information, future
events or otherwise, after the date of this presentation.

Westpac Group 3Q18 Capital, Funding and Credit Quality Update
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