Infratil 2019 Annual Meeting

Infratil
Annual
Meeting
22 August 2019

Infratil
Annual
Meeting
Agenda
•Chairman’s Introduction
•Chief Executive’s Review
•Presentation of the Annual
Report for the year ended
31 March 2019 and the report
of the auditor
•Questions from Shareholders
•Resolutions
•Close and Afternoon Tea
2
InfratilAnnual Meeting 2019

Mark Tume
Chair and
Independent
Director
Infratil Annual Meeting 2019
•Independent Director since 2007
•Chair since 2013
•Member of Audit and Risk Committee
•Chair of the Manager Engagement
Committee
•Chair of Nomination and Remuneration
Committee
•Chair of RetireAustralia
•Not up for re-election

Marko
Bogoievski
Chief Executive
Officer and
Director
InfratilAnnual Meeting 2019
4
•Chief Executive of Infratil and on the
Board since 2009
•Chief Executive of H.R.L Morrison Group
•Chair of Longroad Energy
•Chair of Vodafone NZ
•Not up for re-election

Alison
Gerry
Independent
Director
Infratil Annual Meeting 2019
5
•Independent Director since 2014
•Chair of Audit and Risk Committee
•Member of the Manager Engagement
Committee
•Member of Nomination and
Remuneration Committee
•Director of Wellington Airport
•Up for re-election

Paul
Gough
Independent
Director
Infratil Annual Meeting 2019
6
•Independent Director since 2012
•Member of Manager Engagement
Committee
•Member of Nomination and
Remuneration Committee
•Not up for re-election

Kirsty
Mactaggart
Independent
Director
7
•Independent Director since March 2019
•Member of Manager Engagement
Committee
•Up for election
Infratil Annual Meeting 2019

Humphry
Rolleston
Independent
Director
InfratilAnnual Meeting 2019
8
•Independent Director since 2006
•Member of Manager Engagement
Committee
•Retiring at the 2019 Annual Meeting

Catherine
Savage
Independent
Director
InfratilAnnual Meeting 2019
9
•Independent Director since August 2019
•Member of Manager Engagement
Committee
•Up for election

Peter
Springford
Independent
Director
InfratilAnnual Meeting 2019
10
•Independent Director since 2016
•Member of Audit and Risk Committee
•Member of Manager Engagement
Committee
•Not up for re-election

Chief Executive’s
Review
Infratil Annual
Meeting 2019

2018/2019
in review
Strong
underlying
performance
with significant
capital
investment in
renewable
energy and
data platforms
•Strong Underlying EBITDAF from core
operating businesses
•$679 million invested during the
period, including $320 million in
renewables and $140 million in data
centres
•Materialprogress in divestments and
tightening ofthe portfolio
•Significant post–balance date
transaction with the acquisition of
~50% of Vodafone NewZealand
•Partially imputed final dividend of
11.00 cps, up 2.3% on the prior year
12
InfratilAnnual Meeting 2019

Investing in
ideas that
matter
What
constitutes
infrastructure
continues to
evolve in
response to
changes in
society,
technology,
and consumer
preferences
13
DECARBONISATION
AGEING
POPULATION
NEXT GENERATION
INFRASTRUCTURE
AIRPORTS &
TRANSPORT
WATER
SCARCITY
SOCIAL
INFRASTRUCTURE
CONNECTIVITY
WASTE &
RECYCLYING
InfratilAnnual Meeting 2019

Portfolio
Target Returns
Portfolio
composition
and active
management
approach
designed to
deliver
targeted
returns over a
10 year period
InfratilAnnual Meeting 2019
Leverage
Assumption
Expected
Returns
Infratil
Portfolio
Management
Costs
Return to
Shareholders
Core
Lower Risk
Core Plus
Growth
Development
Higher Risk
8–10%
Per annum
10–15%
Per annum
15–25%
Per annum
Average Debt
Funding 30%
at 6% p.a.
interest rate
1% of assets
Per annum
11–15%
Per annum
+
–
=
+
14

$-
$1.00
$2.00
$3.00
$4.00
$5.00
20092010201120122013201420152016201720182019
Share Price
Performance
Outstanding
returns
delivered over
the short,
medium and
long-term
Infratil Share Price
Total Shareholder Return
1
PeriodTSR
LTM
2
47.0%
1 Year41.3%
5 Year22.2%
10 Year19.1%
Inception –25 years17.2%
1
Total shareholder return based on a 31 March 2019 closing share price of $4.17
2
Last 12-months total shareholder return based on a 21 August 2019 closing share price of $4.75
InfratilAnnual Meeting 2019
15

Tilt Renewables
•336MW (A$560 million) Dundonnell wind farm under
construction
•133MW Waverley wind farm progressing towards
investment decision
Longroad Energy
•694MW of utility scale solar under construction in Texas
•481MW of utility scale wind under construction in Texas
Canberra Data Centres
•2019/20 capital expenditure of A$350 million
•Roadmap to over 150MW of Data Centre capacity
Vodafone NZ
•$3.4 billion acquisition of Vodafone NZ
•Funded via $1,029 million consideration from each of
Infratil and Brookfield and Vodafone NZ level debt
16
Focusing
capital on our
growth
platforms
Committing
capital to our
high
conviction
platforms
InfratilAnnual Meeting 2019

Vodafone NZ
Acquisition
strengthens
cash
generative
core and
significantly
increases
Infratil’s
exposure to
connectivity
and long-term
data growth
17
•Completion achieved on 31 July 2019
•Transformative investment in a high-
quality infrastructure asset in the
critical data and communications
sector of the New Zealand economy
•Strong, stable NZ cash flows to
strengthen portfolio and support
Infratil dividend profile in the
medium-term
•Investment highlights:
‐Premier NZ mobile operator
‐New Zealand’s leading data
infrastructure network
‐Sensible industry structure
‐Operational enhancements and
cost rationalisation
‐Experienced management teams
with strong track record
InfratilAnnual Meeting 2019

Trustpower
Generating
sustainable
returns
InfratilAnnual Meeting 2019
18
•New Zealand electricity market has
experienced higher wholesale prices
since Spring 2018, and forward prices
remain high
•Competition in electricity and fixed
line telecommunications retail
remains strong -focus remains on
acquiring and retaining bundled
customers
•FY2020 first quarter production saw
significantly lower electricity
generation volumes than the prior
year, due to low inflows, and plant
outages
•The Zero Carbon legislation, the
establishment of the Climate Change
Commission and ambitious carbon
reduction targets are encouraging for
the build of new renewable
generation

Tilt
Renewables
Generating
Growth
19
•Construction of the 336MW
Dundonnell Wind Farm progressing,
due for completion in 2020
•133MW Waipipi(Waverley) Wind
Farm progressing towards financial
close with a long-term energy
contract with Genesis Energy
•Strategic review of the 270MW
Snowtown 2 Wind Farm
•FY2020 first quarter production
across portfolio 4% above June 2018
quarter result and 1% ahead of long-
term expectations
•Australia’s decarbonisation and New
Zealand’s electricity demand growth
will continue to provide growth
opportunities
InfratilAnnual Meeting 2019

•Major contract wins with Government
and Hyperscale cloud customers
•New Data Hosting Strategy by the
Australian Government improves
CDC’s market position
•NSW presence achieved with Eastern
Creek (Sydney) site which provides:
‐access to large commercial
customers (incl. National Critical
Infrastructure client base)
‐geographical diversity for existing
customers
•Fyshwick 2 operational from
December 2018 and now 50%+
contracted and revenue generating
•Development of Eastern Creek 2
(13MW) and construction of Hume 4
(23MW) underway
Canberra Data
Centres
Hyper scale
deployment
InfratilAnnual Meeting 2019
20

•Longroad are currently providing
operating and maintenance services
to 1,476MW, including 791MW from
third party owned operating assets
•First wave of projects (Phoebe
315MW solar and Rio Bravo 238MW
wind) have reached financial close
•Construction underway on the
243MW El Campo wind project in
Texas, with 50% of the equity sold
down to two Danish pension funds.
•Construction underway on the
379MW Prospero Solar project in
Texas
•These two projects are included in
the 800 MW of development projects
that Longroad Energy has targeted
for financial close in 2019
Longroad
Energy
Proven
leaders in
Renewable
Energy
development
InfratilAnnual Meeting 2019
21

Wellington
Airport
A First Class
Upgrade
•5 year, $315 million investment
programme concluded;
‐Multi-level car park and transport
hub opened in October 2018
‐RydgesWellington Airport hotel
opened in February 2019
‐Main terminal upgrade completed
•2040 Master Plan under consultation
with airlines and stakeholders
‐Substantial capex increase
anticipated
‐Expanded airfield and new southern
terminal for domestic & int’l jets
•Economic case of the runway
extension hasimproved
•Singapore Airlines has announced it
will fly the Airbus A350-900 on the
WLG-MEL-SIN route from November
InfratilAnnual Meeting 2019
22

RetireAustralia
Strong
long-term
investment
thematic with
near term
choices around
pace of
development
InfratilAnnual Meeting 2019
23
•Brett Robinsonappointed as CEO in
May 2019 brings a wealth of
experience from the financial and
medical sectors
•2 urban villages currently under
construction, including 70 purpose-
built care apartments due for
completion in September 2019
•Pre-construction work underway
following the launch of the Verge at
Burleigh Golf Club
•Total development pipeline of 822
units
•Home care rollout continuing
providing both privately and
government funded services

Strategic
Review Update
Portfolio
divestments
andtightening
is well
advanced
24
ANU PBSA
•In May 2019 Infratil disposed of its 50% interest in the Australian National
University’s Student Accommodation concession to AMP Capital
•Infratil received cash proceeds of approximately A$162 million and
realised a gain of NZ$66 million
NZ Bus
•In December 2018 Infratil announced the conditional sale of NZ Bus to
Next Capital, subject to regulatory approvals and the approval of key
contract counterparties
•Completion is expected to occur within the next month
Snapper
•The sale of Snapper to AllectusCapital completed on 31 May 2019
Perth Energy
•On 8 August 2019 Infratil announced the conditional sale of Perth Energy
•At completion, Infratil expects to receive cash proceeds of ~A$55.0 million
for its 80% shareholding, with final proceeds adjusted for normal working
capital and net debt adjustments
•Infratil may receive further proceeds of up to A$14.9 million within 3 years
InfratilAnnual Meeting 2019

25
FY2020
Outlook
Guidance
maintained
and reflects
Vodafone
acquisition
Infratil FY2020 earnings guidance
1
and dividends
Guidance
1
($Millions)2020
3
UnderlyingEBITDAF655-695
Netinterest165-175
Depreciation& amortisation160-170
Capitalexpenditure700-800
•FY2020 Underlying EBITDAF guidance range
from continuing operations is $655-$695 million
•Key assumptions include:
▪Trustpower EBITDAF guidance of
$205-$225 million
2
▪Tilt EBITDAF guidance of A$122-$129 million
▪Infratil’s share of CDC’s reported EBITDA -
A$52 million
▪Longroad contribution assumes 3
development project gains together with the
Rio Bravo development gain
3
▪No Incentive Fees are included in guidance
▪Vodafone NZ full year FY2020 Underlying
EBITDA is forecast to be between
NZ$460-$490 million
▪Included in Infratil’s FY2020 guidance is a
8 month contribution from Vodafone NZ,
based on a 49.9% share of Underlying EBITDA
from 1 August 2019
•Infratil expects its FY2020 dividend to be maintained
at the current level on a dividend per share basis
•Underlying EBITDAF guidance is presented on a
continuing operations basis and therefore excludes
any contributions from NZ Bus, ANU, Perth Energy
and Snapper
4
•Capital expenditure excludes the acquisition of
Vodafone NZ, and includes a proportionate share of
capital expenditure spent by other associates
•Cash position of $127.7 million and wholly owned
subsidiaries bank facilities drawn of $812.0 million as
at 31 July 2019
Notes:
1.2020 guidance is based on Infratil management’s current expectations and assumptions about the trading performance of Infratil’scontinuing
operations and is subject to risks and uncertainties, is dependent on prevailing market conditions continuing throughout the outlook period and
assumes no major changes in the composition of the Infratil investment portfolio. Trading performance and market conditions can and will change,
which may materially affect the guidance set out above
2.Trustpower’s first quarter results are below forecast and indicate that Trustpower’s full-year results may be towards the bottomend of its guidance
range. The current guidance range is for a FY20 EBITDAF of $205 to $225 million. This change is being driven by a significantreduction in generation
volume and lower wholesale prices than forecasted, as well as mild autumn conditions driving lower customer electricity volumes in some regions.
3.Longroad Energy has closed the financing of its 243 MW El Campo wind project including the sale of a 50% equity interest to two Danish pension funds.
As the sell down was for a 50% stake, Longroad will continue to consolidate the project and no gain on sale has been recordedtodate.
4.Discontinued operations represent businesses that have been divested, or businesses which will be recovered principally through a sale transaction
rather than through continuing use
InfratilAnnual Meeting 2019

Portfolio reset
largely
complete and
set to deliver
Newlyfocused
portfolio with
significantly
enhanced
pipeline
supported by
strengthened
core cash
generation
Demonstrated Performance
•Standout performances from Tilt,
Longroad, and CDC following conversion of
development pipeline
•Core cash generating operating businesses
deliver forecasted earnings
Focused Portfolio
•Portfolio divestment programme nearing
completion
•Future capital will be focused on renewable
energy and telco/data platforms
Positive Outlook
•Material upgrades to Tilt and Longroad
wind andsolar pipelines
•CDC expansion capability significantly
enhanced with new Sydney site
•Material uplift in EBITDAF given completion
of Vodafone NZ transaction
•Portfolio reset largely complete and set to
deliver long-termtargeted returns
InfratilAnnual Meeting 2019
26

Infratil
Annual
Meeting
Presentation of the Annual Report
for the year ended 31 March 2019
and the report of the auditor

Infratil
Annual
Meeting
Questions from
Shareholders

Infratil
Annual
Meeting
Resolutions

Resolution 1
Re-election of
Ms Alison
Gerry
30
Re-election of Ms Alison Gerry:
That Alison Gerry be re-elected as a director of Infratil
For Against Discretionary
280,385,238
(97.49%)
1,399,249
(0.49%)
5,809,413
(2.02%)
InfratilAnnual Meeting 2019

Resolution 2
Election of
Ms Kirsty
Mactaggart
31
Election of Ms Kirsty Mactaggart:
That Kirsty Mactaggart be elected as a director of Infratil
For Against Discretionary
281,357,005
(97.83%)
370,585
(0.13%)
5,874,767
(2.04%)
InfratilAnnual Meeting 2019

Resolution 3
Election of
Ms Catherine
Savage
32
Election of Ms Catherine Savage:
That Catherine Savage be elected as a director of Infratil
For Against Discretionary
281,375,063
(97.85%)
377,628
(0.13%)
5,804,128
(2.02%)
InfratilAnnual Meeting 2019

Resolution 4
Directors’
remuneration
33
Directors’ remuneration:
That the maximum aggregate remuneration payable to all Directors
(in their capacity as a director of Infratil and certain of its
subsidiaries) based on a board of 7 Directors be increased by
$294,802 from an effective $1,034,573 to $1,329,375 per annum
(plus GST or VAT, as appropriate).
For Against Discretionary
277,651,933
(97.77%)
2,065,933
(0.73%)
4,267,042
(1.50%)
InfratilAnnual Meeting 2019

Resolution 5
Changes
to the
Constitution
34
Changes to the Constitution:
That the existing constitution of Infratil be revoked and a new
constitution in the form tabled at the Annual Meeting, and referred
to in the explanatory notes, be adopted with effect from the close
of the Annual Meeting.
For Against Discretionary
280,578,294
(97.62%)
918,434
(0.32%)
5,931,508
(2.06%)
InfratilAnnual Meeting 2019

Resolution 6
Auditor’s
remuneration
35
Auditor’s remuneration:
That the Board be authorised to fix the auditor’s remuneration.
For Against Discretionary
279,810,455
(97.36%)
1,645,163
(0.57%)
5,927,791
(2.06%)
InfratilAnnual Meeting 2019

Infratil
Annual
Meeting
Close and
Afternoon Tea