Kiwibank Announces Subordinated Bond Offer

MEDIA RELEASE

5 November 2012

Kiwibank Announces Subordinated Bond Offer

Kiwibank Limited has today announced an offer of up to $150 million of unsecured, Subordinated Bonds to the New Zealand public. The proceeds of the offer will be used to provide Kiwibank with additional capital to meet its growth aspirations. Kiwibank intends to treat the Subordinated Bonds as 'tier 2' capital instruments under the Reserve Bank’s Basel III framework.

The Subordinated Bonds have a maturity date of 15 December 2022 but may be called by Kiwibank from 15

December 2017, and earlier in certain circumstances. The Subordinated Bonds are expected to have a credit

rating of BB+ from Standard & Poor’s.

The Subordinated Bonds will pay interest semi-annually. The Interest Rate for the first five years until 15 December 2017 and Margin will be set and announced to the market on Tuesday 13 November following a bookbuild.

The Offer is expected to open on Wednesday 14 November 2012 and close on Wednesday 5 December 2012 at 5pm. Interested investors should contact their usual financial adviser or one of the joint lead managers or co-managers to the Offer listed below to request a copy of Kiwibank’s Investment Statement for the Subordinated Bonds.

• Craigs Investment Partners Limited (Arranger and Joint Lead Manager) 0800 226 263
•
• Kiwibank Limited (Joint Lead Manager) 0800 756 829
•
• ANZ (Co-manager) 0800 ANZ IPO 0800 269 476
•
• Forsyth Barr Limited (Co-manager) 0800 367 227
•
ENDS

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