For use in the IB Strictly confidential

Challenge only

2017 UBS Investment

Banking Challenge
Heat Round case study

April 28, 2017

Competition information and logistics
Welcome to the 2017 UBS Investment Banking Challenge

Now in its 13th year, the UBS Investment Banking Challenge involves seven universities nationally: the universities of Adelaide, Melbourne,
Monash, New South Wales, Queensland, Sydney and Western Australia. The competition provides students with a valuable opportunity to
gain both an insight into transaction work that an investment banking analyst should expect to be involved in and the opportunity for
winning teams to spend time with UBS investment bankers and interview for the UBS summer internship programs.
The Challenge is structured in four stages:

Submission Heat Round Campus Final National Final

5 May 2017 812 May 2017 1819 May 2017 24 May 2017

The strongest teams at each campus will be selected from the Heat Round to participate in the Campus Final. The Campus Final will be
judged by academics and UBS staff and the winners of this round will be invited to present at the National Final at UBS Sydney offices,
where they will have the opportunity to spend time with investment banking analysts to discuss their presentation. Interstate teams will be
flown to Sydney, with flights provided.
National Finalists will be awarded cash prizes as follows:

1st Place$5,000

2nd Place$2,500

3rd Place$1,500

All National Finalists will be invited to interview for a summer internship at UBS.

Competition logistics
The following pages contain the case study for the Heat Round. All teams will be required to submit their final presentation, model and any
additional supporting material by 10am AEST on Friday 5 May to sh-campus-anz@ubs.com. Teams should include their team name and
university in the subject line of the email.

Students will be sent an email allocating them a presentation time between 812 May. We will do our best to allocate you a time according
to your preferences; however, due to the large number of entrants this is not always possible. While the 5 May deadline is not intended to be
a screening point for presentations and UBS objective is for all teams to present in the Heat Round, UBS reserves all rights as to whether
teams will progress to the Heat Round. In preparing, please be aware of the following:
Please arrive at the specified location at least ten minutes prior to your allocated time. Due to schedule restrictions, the judging panel will
not wait for late entrants and will not allocate you another presentation time if you do not attend at your allocated time
Presentations should be 10 minutes in length. There will be an additional 5 minutes of Q&A. Time limits will be strictly adhered to
Presentations must be no longer than 15 pages in length (inclusive of cover page). Any additional materials and/or supporting analysis
should be contained in the Appendices
Please print out three copies of your presentation to hand to the judges upon arrival
Presentations should be in PowerPoint format. A data projector will be provided. You can bring your presentation on a USB key, but
please ensure you have a backup copy
An electronic copy of your presentation and Excel calculations will also be required and will form an important part of
the assessment
Wear suitable business attire to your presentation. You are playing the role of UBS investment bankers, and are expected to dress
appropriately

1
The mandate
You are performing the role of a financial adviser to the Board of Directors of Brookfield
Infrastructure Partners
It is early 2015. You are working as part of a team engaged to advise Brookfield Infrastructure Partners (Brookfield) on a potential
acquisition of Asciano Ltd ("Asciano").

Brookfield is a financial acquirer focused on high quality, long-life infrastructure assets. Brookfield seeks to maximise its long-term return on
equity and has a preference to fund acquisitions primarily through debt. The Brookfield Board has requested your team make a short
presentation providing your view on an acquisition of Asciano to assist them in executing their strategy. The Board is also interested in the
suitability of other possible options and justification as to why Asciano is a superior acquisition target. Following your presentation, the Board
will make a decision on whether or not to proceed with a potential acquisition of Asciano or alternative options, so it is important you
provide a recommendation as part of your response. You will also be expected to answer any questions the Board may have.

General information about Asciano has been compiled for you from public sources, however, you may need to conduct additional research
to address any issues raised by the Board.

Your presentation should take the form of a professional address to the Board of Directors of Brookfield. The Board expects a concise and
thoughtful overview of the merits of the transaction, the key issues of the transaction and a considered recommendation. While it is
important to form a view as to the valuation, the Board is not interested in excessive data or detailed methodology.

While the Board has provided a list of questions and issues, it is up to you to decide which is the most relevant you are not expected to
cover all of these issues in detail. However, you should think about your response on all of the issues, as they may arise in the questions the
Board pose to you. These issues might include:

Brookfield's strategic options for expanding their global transport infrastructure footprint
consider whether Asciano is the most appropriate acquisition target, and if now is the right time to execute the transaction
assess whether an acquisition of Asciano will generate acceptable financial returns for Brookfield
assess whether Brookfield should acquire all or part of Asciano
determine the main advantages for Brookfield unit holders
consider the key risks involved in the acquisition of Asciano
Assessment and recommendation of the fair value of Asciano
your team should consider a discounted cash flow (DCF) valuation as well as comparable company and precedent transaction
based valuations
for the avoidance of doubt, you are not required to conduct a DCF valuation of Brookfield
compare your valuation to Asciano's current trading value
clearly explain the assumptions underlying your valuation model
analyse the benefits and limitations of the various valuation methodologies in valuing Asciano
Recommended offer price for Asciano, form of consideration offered and transaction structure
consider an appropriate starting price as well as the maximum that Brookfield should pay
consider the form of consideration Brookfield should offer
The manner in which Brookfield should approach Asciano
consider the merits of a friendly or hostile approach
consider whether a takeover bid or a scheme of arrangement would be preferred
The likely response of the Asciano Board and shareholders to an approach
explain how Brookfield could maximise the prospect of achieving the Asciano Boards support
consider how Ascianos shareholders would be likely to react
Regulatory concerns associated with the transaction
Potential counter-bidders or other interested parties
Final recommendation

2
The mandate
Valuation assumptions
In your DCF valuation model, you should assume:
equity market risk premium of 6.5%
risk free rate of 3.5%
credit spread of 250bps
unlevered beta of 0.7 0.8
tax rate of 30.0%
Valuation date: 30 June 2015
You should form a view on target gearing, based on Asciano's debt capacity and Brookfield's required equity returns

Judging criteria
Teams will be assessed on a number of criteria. You may use the following as a guide:
Understanding of the strategic rationale for the transaction
Understanding of value drivers and potential risks for both Brookfield and Asciano
Assessment of fair value for Asciano and use of valuation methodologies, including:
DCF valuation (including WACC build-up)
assumptions
reasonableness of projections
justifications
methodology explained
other valuation methods
justification of multiples selected for trading comparables and precedent transactions
Demonstrating an understanding of funding structures, its influence on cost of capital and relationship with valuation
Understanding of the impact on each stakeholder in the transaction
Assessment of the merits of different forms of consideration and its influence on the final offer price
Analysis of approach strategy
method of approach
initial and subsequent offers
likely response to the approach
Understanding of other issues surrounding the transaction, including but not limited to regulatory issues, transitional issues and issues
with possible interlopers
Ability to make and justify a final recommendation
Question and answer
questions correctly answered
thorough understanding of all case study content shown by all team members
concepts explained clearly
speed and clarity of thought
Presentation
clear and compelling delivery and appropriate presentation style
effective use of PowerPoint
conciseness
clarity and conviction about the final recommendation

Other information
Australian and American dollars are used throughout the case study as labelled
All information provided in this presentation is derived from publicly available sources

3
Sector overview
Introduction
The transport value chain can be broken into three distinct categories:

Export market: whereby freight is transported from its production facility to a port and loaded aboard a ship
Import market: whereby freight is offloaded from a ship and transported to a warehouse
Domestic: whereby freight is transported from a production facility to a warehouse

Set out below is a diagram illustrating the value chain described above:

Export / import market

Production Road Freight IM Terminal Rail Freight Port and Stevedoring

Port and Stevedoring Rail Freight IM Terminal Road Freight Warehouse

Domestic market

Production Road Freight IM Terminal Rail Freight IM Terminal Road Freight Warehouse

The mode of transportation varies, depending on the nature of the freight being carried:

Intermodal transportation: comprises the transportation of freight that has been packed into a shipping container
Bulk transportation: comprises the transportation of bulk commodities such as coal, iron ore, grain, petroleum and other
liquids, timber and automobiles

Companies operating in the transportation sector aim to move freight from point A to point B in the most cost efficient
manner possible. The type of freight and the distance it is being transported dictates the mode of transport that will be most
efficient. Thus, the efficiencies of containerisation have led to it becoming the predominant form of sea freight, comprising
over 90% of non bulk cargo shipments (and an increasing presence in the bulk market). However, some goods are not able to
be efficiently packed into a container, and hence, require bulk transportation.

4
Sector overview
Rail industry

Overview
Rail makes up a key component of the transportation value chain. Rail freight accounts for the greatest proportion of domestic
Australian freight volumes (48%), alongside road (35%) and coastal sea freight (17%). Only a very small proportion (less than
0.01%) of freight is transported by air domestically.

The rail network comprises both publically and privately owned tracks whereby private owners are typically infrastructure
funds. Train lines span across the continent, linking capital cities and branching out into regional networks in each state. The
rail industry can be divided into two distinct segments:

Below Rail: relates to the ownership of the physical rail tracks. Rail operators pay fees to use these tracks. The stable and
certain cash flows connected with these fees, in conjunction with capital intensity associated with Below Rail, make it a
'true' infrastructure asset
Above Rail: relates to the rail operators that control the locomotives that run on top of tracks. As mentioned above, these
rail operators pay fees to utilise the rail networks, but earn revenue by providing transportation services to customers.
Above Rail operators are more exposed to volume and competitive risks than their Below Rail counterparts, however, these
businesses still exhibit 'infrastructure type' qualities because of their defensive earnings stream.

The economies of scale that rail exhibits means it has a competitive advantage over other methods of freight transport in
moving large volumes cost effectively over medium to long distances. Consequently, rail lends itself to being appropriate for
the transportation of bulk freight. Approximately 90% of freight carried by rail in Australia is bulk freight, with the remaining
10% being intermodal freight.
Bulk freight:
includes bulk mineral commodities hauled from mines to export terminals (e.g. coal, iron ore, copper, bauxite, lead,
zinc and nickel), agricultural commodities (e.g. grain, sugar) and liquid commodities (e.g. petroleum)
is characterised by large tonnages that require specialised loading and storage facilities as well as rolling stock tailored
to each type of freight
is typically transported directly by rail from producer to port
Intermodal freight:
comprises goods which must be packaged onto pallets or into containers to be transported
typically comprises multiple steps in the transportation chain. For example, a container may be transported from a ship
to a train using a truck

5
Sector overview
Rail industry

Competitive dynamic
There are two sources of competitive tension facing rail operators:
Competition between rail operators:
Pacific National and Aurizon are the largest providers of bulk freight services in Australia, with both providing coal
haulage in Queensland and NSW. In other bulk freight services, Pacific National operates predominantly in NSW and
Victoria, with Aurizon operating predominantly in Queensland. Genesee & Wyoming is the major bulk freight operator
in South Australia
Pacific National is the largest provider of intermodal rail freight services in Australia, operating in both the East-West
Corridor and the North-South Corridor
Competition between rail and other forms of freight transportation:
freight can also be carried by other forms of transportation such as trains and planes. This generates external
competitive tensions
road freight is innately more flexible and well suited to the transportation of perishable goods and commodities
requiring door-to-door delivery
rail, in contrast, is relatively more competitive in bulk transport and on longer routes, as large fixed costs (eg. terminals,
rolling stocks etc.) are spread over longer distances and travel times
only approximately 10% of total freight (being the share of intermodal freight) would be considered contestable from
a competitive perspective
Industry drivers
The two key drivers of demand for rail freight services going forward are:
global demand for bulk commodities (in particular coal and iron ore)
Australian economic activity, particularly in the manufacturing and construction sectors
Global imports of coal peaked in 2012 as demand, particularly from India and China, increased to meet growth in power
generation and steel production in these countries. Post 2012, growth has been more subdued (at around 3.0 3.5% per
annum)
Increasing volatility in commodity prices and oil prices present near-term business risks

Historical performance of the domestic rail sector

8,500
8,069
7,933 7,917 7,895
8,000
Revenue (A$m)

7,500 7,249

7,000 6,693
6,599
6,500
6,069
6,000

5,500

5,000
2008 2009 2010 2011 2012 2013 2014 2015

Source: IBISWorld

6
Sector overview
Terminal and Port Services industry

Overview
Terminal and Port Services operators conduct stevedoring, which is a key part of the transport chain. Conventional stevedoring
involves the loading and unloading of ships using heavy-machinery such as cranes and hoppers. These services are provided by
specialist firms which own the cargo-handling equipment and lease terminal space from the port authorities. Terminal lease
arrangements are exclusive and reasonably long term, usually between 20 40 years for container terminals.

Port ownership and operational structure

In Australia major ports were historically owned by State and Federal Governments. Recently, however, a number of the major
ports have been privatised. Under the privatisation model, the government sells a long term lease (usually 50 or 99 years) over
the port. In Australia, these leases have been acquired by consortia of infrastructure investment funds. In turn, these owners
lease out facilities to independent operators of the container terminal who conduct the stevedoring (loading, unloading,
storage, etc.) and contract with the shipping companies. There are generally two or more stevedoring operators at any one
port. In this respect, the port owners effectively operate as landlords of specialised industrial property
unlike the port "owners", Terminal and Port Services companies operating in the stevedoring industry are exposed to
volume and competition risks. However, these businesses typically have contracts with shipping companies that have a
duration of over three years. In addition, there are relatively few national operators. The combination of these two
factors, along with a relatively stable demand profile for the import and export of freight, make the earnings of
Terminal and Port Services businesses stable and defensive in nature

Types of ports
There are two types of ports, both of which, require various stevedoring services due to the nature of freight being handled:

Container ports:
facilitate both the loading and unloading of container ships and the storage and unpacking of shipping containers
the nature of their operations means that they require large areas of land adjacent to the wharf areas for the
temporary storage of containers
the capital requirements, regulatory issues (particularly environmental) and limited land availability mean that there is
typically only one container port in each major city

Bulk ports:
facilitate the loading and unloading of bulk commodities including metals, minerals, building products, agricultural
products, livestock and energy products onto ships
for example BHP would use a bulk port in regional WA for the export of its iron ore, which requires quite different
infrastructure and services to a container being unloaded at the Port of Melbourne
characterised by a high number of ports, (predominantly located in remote areas), servicing a limited number of very
large shipping companies

7
Sector overview
Terminal and Port Services industry

Terminal and Port Services

Stevedoring and logistical services at

Australia's major ports

Container Bulk

Operational services related to Operational services related to the

shipping container movement shipping of bulk freight
Comprises Asciano's Terminal & Comprises Asciano's Bulk & Automotive
Logistics business Port Services ("BAPS")

Container stevedoring

Overview
These businesses offer a range of integrated services covering the transport supply chain, including the transport of
containers to and from ports, the operation of container parks, customs and quarantine services, warehousing and freight
forwarding for rural commodities

A recent decline in container volume growth, combined with significant capacity expansions that have occurred in Brisbane
and Sydney and which are planned for Melbourne, mean that there is now substantial spare capacity across the east coast
ports

There are more than 15 ports across Australia capable of handing containers, but the vast majority of traffic is directed through
the five major ports detailed below:

City Location Owner / leaseholder

Brisbane Fisherman Islands Port of Brisbane Limited/Q Port Holdings
Sydney Port Botany NSW Ports
Melbourne Port Melbourne Port of Melbourne Corporation
Adelaide Pelican Point (Outer Harbour) Flinders Ports
Perth Fremantle (Inner Harbour) Fremantle Ports

8
Sector overview
Container stevedoring

Competition

Competition in the industry is influenced by industrial relations management, price, efficiency (in terms of turnaround
times), service levels, reliability and regional and global facilities

Main competitors include: Patrick T&L, DP World Australia Limited ("DP World") and Hutchinson Ports Australia Limited

Stevedoring charges at container ports are not regulated, however, the ACCC has the authority to monitor prices

The combination of multiple stevedoring businesses operating at any one port and the threat of new entrants means the
industry is relatively competitive

Industry drivers

Stevedoring operator revenues are primarily generated from payments per "lift"
Australian import volumes are the primary driver of container movements through ports. Import volumes are a
function of many factors related to economic activity

In recent years operators have made significant investments to automate their operations in an effort to reduce costs,
improve safety, boost productivity and mitigate the risk of business disruption from industrial action
the replacement of unionised dockworkers with robots such as automated straddles and other driverless machines is
expected to benefit industry margins in the medium term

Australian container volume growth YoY

15%

11%
Container traffic growth rate

10%
9%
8%
7%
6%
5%
4%
3%
2%
1%

(3%)
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Source: World Bank

9
Sector overview
Bulk stevedoring

Overview
These businesses are engaged in the loading and unloading of non containerised cargo from ships at more than 100 ports
throughout Australia (typically located in regional areas)
the stevedoring operators will also typically offer a range of associated logistics services (interfacing with freight
forwarders and beneficial freight owners) and transportation services
Focussed on dry and wet bulk freight, comprising a range of commodities including: metals and minerals (eg. iron
ore, coal, mineral sands etc.), petroleum, gas and other energy products, liquid and dry chemicals (eg. fertilisers),
agricultural products (eg. grains), edible oils, building products (eg. cement, sands etc.) and forestry products (logs,
woodchips etc.)

Competition
The four largest participants account for over 80% of industry revenue: Asciano (c.36%), DP World (c.26%), Qube
Holdings (16%) and Flinders Port Holdings (c.4%)
the industry is characterised by a high market share concentration, with a fragmented tail end comprising many small
regional players
Ports of a reasonable size will typically be serviced by at least two competing stevedoring operators
High capital intensity and exclusive long-term leasing arrangements with Australian port authorities represent significant
barriers to entry for new participants to the industry
Industry drivers
Key growth drivers in the near-term include:
Real GDP growth in Australia and globally
Australian commodity export volumes, particularly coal and iron ore
Cargo volume growth
- driven by growth in the international cargo trade, specifically relating to the impacts of recent free trade
agreements
Increased capacity and scale
- port operators have recently been investing in expanding port facilities, with new terminals opening in Brisbane,
Sydney and Melbourne
Historical performance of the domestic rail sector

2,100
2,031 2,044

2,000
1,937
1,902
1,900 1,855
Revenue (A$m)

1,780 1,766
1,800

1,700
1,630
1,600

1,500
2008 2009 2010 2011 2012 2013 2014 2015
Source: IBISWorld

10
Asciano overview
Asciano is Australias only integrated rail, ports, stevedoring and landside logistics
business
Asciano business overview
Asciano is the largest national rail freight and diversified ports operator in Australia. Asciano operates in all major segments of
the import/export market and domestic supply chains, providing a diverse freight mix service offering. Asciano continues to
pursue opportunities to provide integrated supply chain infrastructure solutions, leveraging the port and rail capabilities of the
Group.
Asciano's operations can be divided into two broad groups: rail and ports. The rail businesses operate primarily under the
"Pacific National" brand, which comprises its coal haulage, intermodal and bulk rail services. The ports businesses trade under
the "Patrick" brand and includes container stevedoring as well as associated landside logistics, bulk ports management and
automotive stevedoring.
Asciano's businesses are market leaders, operating in highly concentrated sectors that require significant capital investment to
enter. Asciano's strategic objective is to be Australia's leading provider of critical logistics services across essential infrastructure
based supply chains.

1
Rail Ports

National intermodal
National intermodal,
comprised of interstate
container and break bulk
freight and hook and pull
services
2 3
Bulk haulage Terminals & Logistics BAPS
Bulk rail haulage provider National container Systems involved in the
including coal, grain, terminal operator stevedoring services.
petroleum and other providing stevedoring
liquids, construction services combined with
materials, and other an integrated logistics
bulks network

Asciano has three key business divisions:

1 Pacific National which conducts two primary business operations
bulk haulage
national intermodal freight haulage
2
Patrick Terminals & Logistics involving the stevedoring of and land-side transport of international containers; and

3 Patrick Bulk & Automotive Port Services ("BAPS") providing stevedoring of automotive, bulk and general cargo
In 2011, Asciano targeted a A$150m cost take-out through its Business Improvement Program ("BIP") over five years to FY16.
The cumulative benefits exceeded initial expectations and in 2014, the target was increased from A$150m to A$300m.
Asciano achieved BIP savings of A$34m in FY14 and A$57m in 1HY15, increasing cumulative benefits to A$172m. The majority
of cost savings were driven by the integration of the two rail businesses to create a combined Pacific National business, with
integration cost benefits expected to reach A$100m by the end of FY16.

11
Asciano overview

Business

Source: Company filings

Revenue and EBITDA split by division1 (%) Cumulative BIP cost savings (FY12 FY16F)

FY14 1HY15
300
300

20% 19%
Actuals
Revenue 19% 18%
62% 63% 161
200
172

10% 7% 114 88 17

19% 20% 100 81 46

EBITDA 17 88
71% 73% 37 33 12
16 8 54
7 31 47
7 9 9 13 34
0 7
Pacific National Terminals & Logistics BAPS FY12 FY13 FY14 1HY15 FY16F
Source: Company filings
Note: Corporate Terminals & Logistics BAPS Pacific National
1 Excludes corporate costs and eliminations

12
Asciano overview
Pacific National
Pacific National consists of two broad
business activities:
National Intermodal: provides
interstate containerised freight
services, interstate break bulk
freight (containerised steel),
regional freight rail services in
Queensland and hook and pull
services for passenger trains
largest provider of long haul
intermodal rail services in
Overview
Australia with a 70% market
share
Bulk Haulage: provides bulk rail
haulage activities including coal,
other commodities, liquids,
concentrate and construction
materials
2nd largest coal rail haulage
provider in Australia,
performing over 41% export
coal haulage activities from
mine to port and as well as for
domestic users, primarily in
NSW and Qld
Total annualised contracted
180 mtpa
coal tonnage in FY16
1HY15 statistics
Number of locomotives 594
Number of wagons 14,068
Total insured value of fleet A$3.9bn
Average coal contract
7.63 years
maturity
Equipment upgrade at
intermodal rail terminals
Growth capex
Acquisition of the final
Queensland intermodal property
form Toll Group
Rolling stock to service expansion
of the Whitehaven contract
Ongoing mid-life change-out of
NR class locomotive fleet
Expected A$100-120m over FY15-16
Source: Company filings
Terminals & Logistics Bulk & Automotive Port Services
Terminals & Logistics is one of two Bulk & Automotive Port Services
major competitors in the Australian specialises in the management of bulk
market with a c.50% market share (DP ports and supporting infrastructure as
World being the largest competitor) well as the provision of port related
logistics at over 40 sites across
It holds lease concessions and provides
Australia and New Zealand.
container and stevedoring services in
the four largest container ports in BAPS' significant Gorgon contract
Australia: is nearing end
East Swanson Dock (Melbourne) It also operates an integrated service
for the transportation, processing and
Port Botany (Sydney) storage of motor vehicles from the port
Fisherman Islands (Brisbane) to the beneficial freight owner.
Joint ventures:
Fremantle (Western Australia).
Port of Geelong Unit Trust
The division also provides an integrated Asciano (50%) and Deutsche
logistics service that provides the RREEF (50%)
interface between the shipping port
and the beneficial freight owner in a Australian Amalgamated Terminals
joint venture with ACFS Port Logistics Asciano (50%) and Qube (50%)
Pty Ltd
Albany Bulk Handling Asciano
(50%) and Itochu (50%)
Car Compounds Australia
Asciano (50%) and Mitsui O.S.K.
lines (50%)
Container Lease Quay line / Operational sites > 40 across ANZ
Terminal Term berths
820 trucks, trailers,
Port Botany 2043 1,000m / 3 Fleet autocontainers and
cranes
East Swanson Ownership
2034 885m / 3
Dock interest
Patrick Ports &
Fisherman Islands 2045 922m / 3 100%
Stevedoring
80% (JV with NYK
Fremantle 2017 766m / 2 Patrick Autocare
line)
Increase levels of automation Development of a new PDI facility
Redevelopment of Port Botany at Webb Dock
New equipment in forestry
services business for C3
Acquisition of Patrick Marine
Facility in Dampier
Expected A$45-55m in FY15 Expected A$300-350m over FY15-17
13
Asciano overview

Pacific National Terminals & Logistics Bulk & Automotive Port Services
EBITA (A$m) & margin (%)

30.4% 30.0% 29.9% 28.6%

28.0% 28.5% 26.8% 26.7%
13.4% 12.9% 13.4%
11.8%

724 746 209 224 200 106

643 196 88
554 66
56

FY11A FY12A FY13A FY14A FY11A FY12A FY13A FY14A FY11A FY12A FY13A FY14A

Source: Company filings

Revenue drivers

FY12A FY13A FY14A LTM Dec-14

Pacific National
Coal NTKs (m) 19,988 24,039 29,227 29,932
growth 4% 20% 22% 10%
Other Bulk Rail NTK (m) 5,646 6,010 5,115 5,034
growth 32% 17% (14%) (6%)
Coal Tonnes (m) 120 139 159 164
growth (2%) 16% 15% 10%
Intermodal NTKs (m) 22,975 22,657 21,492 21,291
growth (38%) (1%) (5%) (5%)
Intermodal TEUs ('000) 694 674 811 778
growth 3% (3%) 20% 3%
Steel tonnes ('000) 2,674 2,822 2,924 2,946
growth 1% 6% 4% nm

Terminals & Logistics

Container Lifts ('000) 1,967 1,939 2,014 2,059
growth 12% (1%) 4% 6%
TEUs ('000) 2,912 2,909 2,981 3,036
growth 14% (0%) 3% 5%
Bulk & Automotive Port Services
Vehicle Movements ('000) 944 1,056 1,037 1,017
growth (3%) 12% (2%) (6%)
Vehicle Storage Days ('000) 11,811 18,642 22,715 19,104
growth (1%) 58% 22% (14%)
Vessels Stevedored ('000) 1,603 2,244 2,120 2,691
growth (17%) 40% (6%) 16%

Source: Company filings

14
Asciano overview
Asciano's corporate history
Asciano was first listed on the ASX on 6 June 2007, after Pacific National rail freight businesses, along with the stevedoring and ports
businesses of Patrick Corporation were demerged from Toll Holdings.
Asciano has a long history:
Pacific National can trace its operational history to 1855 when the NSW Government Railways commenced operations
Patrick ports business dates back to Patrick Steamship Company, which was formed in 1919

1855 2002
NSW Government Railways Pacific National (JV between Toll and Patrick Corporation) acquires National
commences operations Rail and FreightCorp. Toll acquires BHP Stevedoring. AAT joint venture
1912 formed
Commonwealth Railways formed 2004
Toll acquires Western Stevedores Group. Pacific National acquires Freight
1975
Australia. C3 JV formed
Australian National Railways 2006
("ANR") formed to take over the
Toll acquires Patrick Corporation, effectively taking 100% control of Pacific
assets and operations of
national in the process
Commonwealth Railways 2007
1980 Asciano demerged from Toll, combining the Pacific National, Patrick and Toll
NSW State Rail Authority Ports businesses. Ordinary shares in Asciano Limited and units in Asciano
("NSWSRA") established Finance Trust were stapled to one another and quoted as a single security on
1992 the ASX
National Rail formed by 2008
Commonwealth Government to Asciano signs coal haulage contract with Rio Tinto and Xstrata Coal
take over the interstate assets &
2009
operaitons of ANR
Asciano commences coal haulage operations in Queensland
1993
2010
Patrick Corporation acquires
100% of Patrick Stevedoring Asciano simplified its corporate structure from a stapled security structure
merged from Strang Patrick into a single holding company structure that trades on the ASX under the
Stevedoring and National code "AIO"
Terminals. National Rail acquires 2011
the interstate rail freight assets Asciano consolidated its share capital through the conversion of every three
and interest of VicRail, WestRail ordinary shares for one ordinary share in Asciano Limited reudcing the
and Qld Rail number of shares on issue from 2,926m to 975m
1996 2012
FreightCorp formed to take over Asciano announced a A$348m redevelopment program and expansion of
NSWSRA's operations. Patrick Port Botany container terminal and acquires the remaining 50% stake in C3
Corporation acquires Patrick Limited
Autocare 2013
1997 Asciano entered into a legally binding offer to purchase 100% of the
Toll acquires operating rights to shares in Mountain Industries and the freehold properties currently utilised
Port of Geelong by Mountain for a total cash consideration of A$93m
2001 2014
Toll acquires Strang Asciano merged Pacific National Rail and Pacific National Coal into one
Stevedoring division

Source: Company filings

15
Asciano overview

Income statement
A$m; Jun y/e FY12A FY13A FY14A LTM Dec-14
Revenue
Terminals & Logistics 781 732 749 726
Bulk and Auto Port Services 493 681 793 770
Pacific National 2,257 2,378 2,489 2,471
Corporate / Other (74) (62) (36) (31)
Total revenue 3,457 3,728 3,995 3,935
Rail access charges1 (243) (175) (204) (185)
Total revenue (net of rail access charges) 3,214 3,553 3,791 3,750
EBITDA
Terminals & Logistics 224 196 200 202
Bulk and Auto Port Services 66 88 106 73
Pacific National 643 724 746 799
Corporate / Other (25) (7) (0) 4
Total EBITDA 908 1,001 1,052 1,077
Depreciation (257) (277) (301) (308)
EBITA
Terminals & Logistics 175 150 150 153
Bulk and Auto Port Services 66 90 91 55
Pacific National 465 534 542 588
Corporate / Other (56) (58) (31) (26)
Total EBITA 651 716 751 770
Amortisation2 (34) (30) (31) (31)
EBIT
Terminals & Logistics 170 150 150 153
Bulk and Auto Port Services 66 89 90 54
Pacific National 436 505 512 558
Corporate / Other (56) (58) (31) (26)
Total EBIT 617 686 720 739
Net interest expense (220) (200) (225) (227)
PBT 396 486 495 512
Income tax expense (144) (142) (143) (150)
Minority interests (2) (2) (3) (1)
NPAT (underlying) 250 342 350 361
NPAT (statutory) 241 334 254 257

Source: Company filings

Notes:
1 Rail access charges related to the cost of accessing the rail network which is passed directly through to bulk customers
2 Relates to amortisation of customer contracts and legacy acquisition amortisation

16
Asciano overview
Balance sheet
A$m; Jun y/e FY12A FY13A FY14A 31-Dec-14
Current assets
Cash and cash equivalents 149 30 299 184
Trade receivables 375 392 429 434
Prepayments 24 31 26 36
Inventories 24 29 33 38
Other current assets 3 13 4 79
Total current assets 576 495 792 771
Non-current assets
Property, plant and equipment 3,582 3,926 4,374 4,405
Inventories 33 41 32 29
Receivables 68 55 58 55
Associates 35 28 31 30
Financial derivative assets 129 231 166 403
Intangibles 2,750 2,794 2,810 2,795
Deferred tax 98 67 109 104
Other non-current assets 9 6 4 2
Total non-current assets 6,705 7,148 7,584 7,824
Total assets 7,280 7,643 8,375 8,595
Current liabilities
Trade and other payables 366 394 464 422
Short-term debt - - 1 490
Tax liabilities 105 52 10 15
Financial derivative liabilities 69 29 61 29
Provisions 200 236 276 257
Total current liabilities 740 711 813 1,213
Non-current liabilities
Long-term debt 2,858 3,071 3,370 3,290
Financial derivative liabilities 119 19 58 16
Provisions 89 93 83 85
Other non-current liabilities 126 114 136 157
Total non-current liabilities 3,193 3,298 3,647 3,549
Total liabilities 3,933 4,008 4,460 4,761
Equity
Ordinary equity 3,335 3,620 3,699 3,816
Minorities 13 15 17 18
Total equity 3,347 3,635 3,716 3,833

Source: Company filings

17
Asciano overview

Cash Flow Statement

A$m; Jun y/e FY12A FY13A FY14A LTM Dec-14
EBITDA 908 1,001 1,052 1,077
Tax paid (46) (170) (157) (140)
Net interest expense (234) (220) (198) (215)
Dividends received from associates 18 19 12 12
Other operating cash flows (38) (31) (102) (61)
Operating cash flow 608 598 607 673
Growth capex (124) (122) (136) (98)
Maintenance capex (695) (464) (483) (459)
Acquisitions / disposals 29 (51) (85) 2
Investing cash flow (790) (637) (704) (555)
FCF before financing (182) (40) (97) 118
Dividends paid (64) (90) (117) (139)
Changes in equity (3) 0 1 (3)
Changes in debt 0 10 351 135
Financing cash flow (66) (80) 235 (7)
Net increase/(decrease) in cash and cash equivalents (249) (120) 138 110

Shareholding Information
As at 31 March 2015, Asciano had 975,385,664 ordinary shares outstanding

Top five shareholders Ownership (%)

Colonial First State Asset Management 10.4
BT Investment Management 6.7
UBS Group AG 3.2
MLC Investments 3.5
Antares Capital Partners 1.8
Top five shareholders total 25.6

Share-based payments Grant date Expiry / Vesting date Exercise price (A$) Closing balance
Option (Tranche B) 15-Jul-10 30-Jun-15 5.01 894,948
Option (Tranche B) 17-Dec-10 30-Jun-15 5.01 303,890
Option (Tranche B) 10-Nov-11 30-Jun-15 5.04 516,186
Short-term incentive plan 20-Aug-13 01-Sep-15 na 91,931
Short-term incentive plan 03-Oct-13 01-Sep-15 na 185,003
Long-term incentive plan 18-Feb-14 30-Jun-16 na 4,351
Long-term incentive plan 12-Nov-13 30-Jun-16 na 236,674
Long-term incentive plan 20-Aug-13 30-Jun-16 na 303,293
Long-term incentive plan 09-Jan-13 30-Jun-15 na 13,394
Long-term incentive plan 15-Nov-12 30-Jun-15 na 257,767
Long-term incentive plan 03-Nov-12 30-Jun-15 na 40,434
Long-term incentive plan 03-Oct-12 30-Jun-15 na 254,902
Source: Company filings

18
Brookfield overview
Brookfield owns and operates a globally diversified portfolio of high quality infrastructure
assets across the utilities, transport, energy and communications sectors
Brookfield business overview
Brookfield is a listed infrastructure fund specialising in predominately debt funded investments in utilities, transport,
energy and communications infrastructure businesses. Brookfield is listed on the New York Stock Exchange (NYSE:
BIP) and the Toronto Stock Exchange (TSE: BIP.UN), with a market capitalisation of c.A$13bn. Brookfield has an
investment grade S&P credit rating of BBB+.
Brookfield was formed through a spinoff by Brookfield Asset Management, which remains the group's largest
shareholder with a c.30% stake. The remainder of the register broadly comprises of US institutional funds.

Fund mandate
Brookfield is a financial acquirer with a diversified investment portfolio of infrastructure assets in North and
South America, Australia and Europe
Brookfield focuses on investments in:
high quality and long-life assets with high margins that generate stable cash flows and require relatively low
maintenance capital expenditure
diversified assets that have significant barriers to entry with contracted and escalating revenues

Brookfields objective is to generate attractive long-term equity returns and sustainable distribution growth
Brookfield has a preference to fund acquisitions with debt to achieve such returns
An integral part of Brookfield's strategy is to co-invest with other institutional investors, while ensuring the
group has sufficient influence and control to deploy their expertise to enhance operational efficiencies

Historical performance of distribution and FFO1 per unit2

The fund has historically outperformed its investment objectives, as set out below:

3.60
3.45
3.30

2.41 2.41
2.12
1.79 1.92
1.72
1.50
1.32
1.03 1.06 1.10

2009 2010 2011 2012 2013 2014 2015

FFO per unit Distribution per unit

Source: Company filings

Notes:
1 FFO relates to Funds From Operations, which Brookfield defines as net income excluding depreciation and amortisation, deferred income taxes,
breakage and transaction costs, non-cash valuation gains or losses and other items 19
2 A unit can be considered to be equivalent to a share
Brookfield overview
Overview of operations by geography Brookfield has a strong global terminals business
consisting of Australian regulated (see below) and North
American container terminal businesses (port operations
comprising of gateway container terminals in Los
Angeles and Oakland under long-term leases)

Owns below rail infrastructure assets in
South West WA, which is the only freight
rail network in the southwest region of
Western Australia providing access to the
regions five government owned ports
(minerals, grain, interstate intermodal
traffic)
Natural gas distribution and retail
business, supplying residential,
commercial and industrial customers
Supply natural gas and/or thermal energy
as well as water distribution and sewage
services to residential and commercial
customers
Port facility in Queensland exporting
metallurgical / thermal coal accounting
for c.20% of global metallurgical and
c.7% of global seaborne coal exports
One of the only cost efficient options to
export quality coal from Bowen Basin
Take or pay arrangements to 2019

FY14 revenue by geography FY14 revenue by segment

diversified geographically diversified operationally
North
America Energy
10% 14%
United
Kingdom
32%

Transport
Utilities 54%
Australia 32%
42%
South
America
16%
Source: Company filings
20
Brookfield overview
Unit price has performed strongly over the last five years

60.00

50.00

40.00
A$/unit

30.00

20.00

10.00
Jun-11 Jun-12 Jun-13 Jun-14 Jun-15

Brookfield liquidity vs Asciano ADTV1 (m)

4.483
4.076
3.663

0.307 0.345 0.350

LTM ADTV (m) LTM ADTV (m) 3 month ADTV (m) 3 month ADTV (m) 6 month ADTV (m) 6 month ADTV (m)

BIP Interests quoted on the NYSE BIP Interests quoted on the TSX Asciano Shares

Key operating metrics (US$m) FY12 FY13 FY14

Revenue 1,524 1,826 1,924

EBITDA 663 893 963

FFO / unit (US$/unit) 2.41 3.30 3.45

Distribution / unit (US$/unit) 1.50 1.72 1.92

Notes:
1 ADTV is the Average Daily Trading Volume, which acts as a proxy for the liquidity of a stock
21
2 Where BIP is related to Brookfield
Brookfield overview
Utilities
Owns and operates
regulated assets and
contracted businesses
Returns based on base
Description
rates which are typically
determined for prescribed
periods of time and are
subject to customary
reviews
Regulated terminal
(Australia): one of the
world's largest coal export
terminals in Queensland
Electricity transmission
(South / North
America): 10,800km of
transmission lines in North
Asset profiles
and South America
Regulated distribution
(Europe): c.2.4m
electricity & natural gas
connections
Combined US$4.8bn in
assets (31 Dec 2014)
Stable revenues and free
cash flow generation
supported by long-term
Highlights
contracts
Competitive advantage
owing to regulatory
frameworks and
economies of scale
Source: Company filings
Transport
Open access systems that
provide transportation,
storage and handling
services for freight, bulk
commodities and passengers
for which Brookfield is paid
an access fee
Stable revenues that are
contracted and supported by
customer relationships
Rail (Australia, South
America): sole provider of
Below Rail networks in
South West WA with
c.5,100km of track
Toll roads (South
America): c.3,300km of
motorways in Brazil and
Chile
Ports (Europe, South
America): 30 terminals in
North America, UK and
across Europe
Combined US$5.0bn in
assets (31 Dec 2014)
High barriers to entry with
few substitutes
Diversification mitigates
impact of fluctuations in
demand from any one
sector or customer
c.80% of EBITDA from
contracted revenues
Energy
Provides transportation,
storage and distribution
services
Comprised of businesses
that are subject to limited or
no regulation
Revenues are typically
contracted with various
durations
Transmission, distribution
and storage (North
America, Europe):
14,800km of transmission
pipelines, >40,000 gas
distribution customers in the
UK, 370bn cubic feet of
natural gas storage in North
America
District energy (North
America, Australia):
cooling and heating plants
in North America, heating,
cooling and distributed
water and sewage services
in Australia
Combined US$1.8bn in
assets (31 Dec 2014)
High barriers to entry with
few substitutes
Revenues generated under
long-term contracts with
varying durations
Communications
Infrastructure
Provides essential services
and critical infrastructure to
the media broadcasting and
telecom sectors in France
Customers pay a
combination of upfront and
recurring fees to lease space
on BIP towers to host their
equipment
Tower infrastructure
operations (Europe):
c.7,000 multi-purpose
towers and active rooftop
sites and c.5,000km of fibre
backbone located in France
that generate stable,
inflation linked cash flows
underpinned by long-term
contracts (typically 10-20
years in telecom and 5 years
in broadcasting)
Stable, inflation-linked cash
flows underpinned by long-
term contracts with tariff
escalations
Strong free cash flow
generation
Large, prominent customers
22
Brookfield overview
Since its inception in May 2007, Brookfield has expanded into multiple high quality
infrastructure assets

Jan-08
Oct-12
Brookfield partnership was
Brookfield acquired Brookfield Asset Management's interest in its Chilean
spun off from Brookfield
transmission system and completed the acquisition of an additional interest
Asset Management and
in their Chilean toll road
began trading on the NYSE
under the ticker symbol
Nov-12
BIP
Brookfield completed the merger of its existing UK regulated distribution
business with a UK regulated distribution business which they acquired in
Sep-09 the third quarter of 2012
Brookfield and its partner
Isoluxs joint venture
company Wind Energy Texas
Transmission LLC began Mar-14
trading on the TSX under Brookfield acquired, alongside institutional investors, an approximate 50%
the ticker symbol BIP.UN equity stake in Mitsui O.S.K. Lines, Ltd. container terminals in Los Angeles
and Oakland

Dec-10
Aug-14
Brookfield increased its
Brookfield acquired, alongside institutional investors, two district energy
ownership of Prime from
businesses serving Chicago and Las Vegas. They also together acquired a
40100% through a
c.11% interest in VLI, one of Brazils largest rail and port logistics businesses
Merger. They had previously
invested in
Prime in November 2009
Dec-14
Dec-11
Brookfield acquired, alongside institutional investors, a 50% interest in Tres
Brookfield purchased an
Palacios Gas Storage in Texas and 100% stake in Lodi Gas Storage in
ownership stake in two
California
related Chilean toll road
assets comprised of a 33
kilometre toll road and Mar-15
tunnel that form part of a Brookfield, through a sponsored fund, acquired
key ring road in a 21% interest in TDF, a European telecommunications infrastructure
the transportation network operation
of Santiago, Chile

Jun-15
Brookfield, along with institutional partners, signed definitive agreements
to acquire all of the outstanding common units of Niska Gas Storage
Partners LLC

Source: Company filings

23
Brookfield overview

Consolidated balance sheet

US$m 31-Mar-15
Current assets
Cash and cash equivalents 189
Accounts receivable and other 299
Other current assets 1,072
Total current assets 1,560
Non-current assets
Property, plant and equipment 8,084
Intangible assets 3,575
Other non-current assets 3,276
Total non-current assets 14,935
Total assets 16,495
Current liabilities
Accounts payable and other 532
Short-term debt 90
Other current liabilities 199
Total current liabilities 821
Non-current liabilities
Long-term debt 7,322
Other non-current liabilities 2,030
Total non-current liabilities 9,352
Total liabilities 10,173
Equity
Attributed to Brookfield's shareholders 3,557
Non-controlling interests 2,765
Total partnership capital 6,322
Total liabilities and partnership capital 16,495
Source: Company filings

24
Asciano share price data
Week ending Close price (A$/share)1 Cum Volume2 Cum Value (A$)3
27-Jun-14 5.17 24,058,312 122,412,129
04-Jul-14 5.21 18,226,546 93,997,470
11-Jul-14 5.22 12,372,723 64,359,237
18-Jul-14 5.39 19,119,542 101,391,688
25-Jul-14 5.51 29,474,654 160,982,495
01-Aug-14 5.45 27,707,500 151,542,301
08-Aug-14 5.33 17,556,944 94,391,642
15-Aug-14 5.38 12,031,128 64,561,817
22-Aug-14 5.73 32,195,074 178,738,434
29-Aug-14 5.68 39,236,675 224,023,549
05-Sep-14 5.81 22,640,180 130,991,615
12-Sep-14 5.74 16,150,892 93,601,354
19-Sep-14 5.72 19,441,500 111,245,519
26-Sep-14 5.53 22,653,787 127,135,130
03-Oct-14 5.46 21,840,094 119,531,704
10-Oct-14 5.22 19,884,848 106,131,849
17-Oct-14 5.22 18,270,695 94,997,688
24-Oct-14 5.46 20,161,479 109,186,768
31-Oct-14 5.67 14,345,940 80,478,103
07-Nov-14 5.69 13,410,612 76,741,453
14-Nov-14 5.59 24,705,910 139,320,728
21-Nov-14 5.33 22,556,415 122,874,900
28-Nov-14 5.32 20,273,773 109,871,617
05-Dec-14 5.23 20,630,920 108,053,265
12-Dec-14 5.12 20,624,669 105,537,626
19-Dec-14 5.45 27,533,428 144,080,092
26-Dec-14 5.47 7,012,709 38,292,206
02-Jan-15 5.50 4,458,022 24,486,862
09-Jan-15 5.52 14,793,114 80,397,477
16-Jan-15 5.22 16,054,347 85,454,234
23-Jan-15 5.44 11,623,987 61,908,712
30-Jan-15 5.46 14,372,129 78,577,044
06-Feb-15 5.54 23,244,235 127,146,135
13-Feb-15 5.79 20,568,768 116,247,809
20-Feb-15 5.78 36,742,340 214,116,477
27-Feb-15 5.86 17,853,397 104,866,745
06-Mar-15 5.72 28,514,314 164,205,567
13-Mar-15 5.84 19,944,348 114,269,048
20-Mar-15 5.96 17,761,909 104,733,974
27-Mar-15 5.87 20,606,838 121,374,489
03-Apr-15 5.78 12,026,245 69,519,796
10-Apr-15 5.88 10,843,750 63,324,460
17-Apr-15 5.84 10,693,291 62,883,213
24-Apr-15 6.03 22,057,062 131,802,249
01-May-15 6.02 13,706,549 82,135,693
08-May-15 5.79 17,447,974 102,881,190
15-May-15 5.93 10,753,990 62,884,696
22-May-15 6.06 17,790,115 105,229,497
29-May-15 6.12 16,904,238 103,565,669
05-Jun-15 5.91 18,254,853 108,524,714
12-Jun-15 5.96 10,487,764 62,220,258
19-Jun-15 6.14 18,604,668 112,010,024
26-Jun-15 5.90 15,182,693 91,741,878
Source: IRESS
Notes:
1 Based on ASX closing prices
25
2 Total volume traded on the ASX and Chi-X including off market trades
3 Total value traded on the ASX and Chi-X including off market trades
Brookfield share price data
Week ending Close price (A$/unit)1 Cum Volume2 Cum Value (A$)1,3
27-Jun-14 44.28 631,250 27,627,165
04-Jul-14 43.84 497,129 22,017,230
11-Jul-14 43.13 588,197 25,567,915
18-Jul-14 43.55 338,264 14,629,557
25-Jul-14 44.25 432,951 19,025,106
01-Aug-14 42.63 860,814 37,411,939
08-Aug-14 43.07 461,464 19,616,929
15-Aug-14 44.29 530,285 23,039,695
22-Aug-14 44.41 440,871 19,537,595
29-Aug-14 45.46 599,305 27,046,010
05-Sep-14 45.17 356,379 15,980,141
12-Sep-14 44.87 817,184 37,611,438
19-Sep-14 44.86 1,434,623 64,517,372
26-Sep-14 44.02 1,129,120 50,345,767
03-Oct-14 42.76 1,607,567 69,682,253
10-Oct-14 43.22 1,468,711 63,588,843
17-Oct-14 43.67 1,417,487 61,022,994
24-Oct-14 45.25 1,145,885 51,276,773
31-Oct-14 46.14 944,121 42,949,500
07-Nov-14 46.80 966,840 44,755,214
14-Nov-14 46.60 704,395 32,958,135
21-Nov-14 47.95 1,002,205 47,798,256
28-Nov-14 48.79 653,912 32,008,318
05-Dec-14 51.16 1,130,317 57,371,767
12-Dec-14 49.31 1,102,491 55,285,290
19-Dec-14 48.95 1,182,629 58,060,102
26-Dec-14 51.57 439,291 22,090,243
02-Jan-15 52.46 440,760 22,918,908
09-Jan-15 52.60 775,403 39,955,420
16-Jan-15 52.21 688,877 36,044,322
23-Jan-15 54.44 562,907 30,325,327
30-Jan-15 54.00 876,896 47,724,233
06-Feb-15 57.47 1,209,110 67,944,864
13-Feb-15 59.57 789,818 46,222,642
20-Feb-15 57.63 1,116,447 63,946,432
27-Feb-15 58.20 3,705,128 215,983,437
06-Mar-15 55.83 842,355 48,459,119
13-Mar-15 55.72 1,110,679 62,199,672
20-Mar-15 57.64 2,169,022 121,848,740
27-Mar-15 58.53 1,201,805 70,716,550
03-Apr-15 59.99 553,953 33,134,408
10-Apr-15 58.25 4,161,608 242,915,706
17-Apr-15 57.52 1,759,721 100,845,358
24-Apr-15 57.25 1,015,804 58,028,753
01-May-15 56.32 969,024 54,751,047
08-May-15 56.55 819,335 45,977,357
15-May-15 55.84 922,821 51,412,191
22-May-15 57.29 929,808 53,201,197
29-May-15 56.56 678,287 38,824,455
05-Jun-15 56.11 733,333 41,550,811
12-Jun-15 56.76 816,858 45,998,527
19-Jun-15 57.35 1,323,357 75,215,729
26-Jun-15 59.37 1,186,657 69,908,725
Source: IRESS
Notes:
1 Currency converted from US$ to A$ at close of daily spot exchange rate
26
2 Total volume traded on the NYSE including off market trades
3 Total value traded on the NYSE including off market trades
Selected precedent transaction multiples
LTM
Date Target Acquirer Region Value (A$m) EV/EBITDA EV/EBIT
Container port operations
Global Ports
Sep-13 NCC Group Europe 1,677 9.2x 10.4x
Investments
Sep-12 Global Ports Investments (37.5%) APM Terminals Europe 2,212 8.2x 10.4x
Jul-12 Adelaide Container Terminal (60%) Flinders Ports Australia 236 12.4x 27.5x
Dec-10 DP World Australia (75%) Citi Infrastructure Australia 1,817 12.7x na

Bulk ports and associated services

Jan-15 Integrax Tenaga Asia 271 14.3x 22.1x
Aug-14 Lyttelton Port (20.4%) Christchurch City ANZ 378 11.6x 19.2x
May-12 Port of Portland (50%) Palisade Ports ANZ 197 9.0x 14.1x
Mar-11 Forth Ports Arcus Infrastructure Global 1,020 11.2x 13.2x
Oct-10 Primorsk Trade Port Novorossiysk Global 2,554 19.0x na

Rail transport
Feb-15 Freightliner (94%) Genesee & Wyoming Europe 1,070 na na
Nov-14 Pinsly Railroad,Westfield Mass Genesee & Wyoming North America 47 na na
Jul-12 RailAmerica Genesee & Wyoming North America 1,940 11.7x 15.2x
Jun-10 Freightlink Genesee & Wyoming ANZ 334 na na
Nov-09 Burlington Northern Santa Fe Berkshire Hathaway North America 47,632 9.1x 12.6x
Aug-08 Ohio Central Railroad System Genesee & Wyoming North America 283 na na
Jun-08 Freightliner Arcapita Europe 415 5.9x 8.8x
Jun-07 English Welsh & Scottish Railway Deutsche Bahn Europe 709 14.0x 20.5x

May-07 Fortress Investment

Florida East Coast Industries North America 4,229 33.8x 47.2x
Group

Nov-06 Fortress Investment

RailAmerica North America 1,340 12.8x 20.8x
Group

Source: Company filings, press releases, IRESS, S&P Capital IQ

27
Selected trading statistics
ND /
EV / EBITDA EV / EBIT
EBITDA
EV (A$m) Mkt cap. (A$m) Jun-15F Jun-15F Jun-16F Jun-15F Jun-16F

Container port operators EVE

DP World 52,041 47,808 2.5x 10.7x 9.4x 14.5x 12.5x

ICTS 8,831 6,458 2.5x 11.8x 10.5x 16.3x 14.3x
Hamburger Hafen und Logistik 2,434 1,884 0.9x 5.5x 5.1x 9.6x 8.7x
Eurokai 733 314 2.3x 8.9x 8.7x 17.4x 17.2x
Global Ports 3,042 1,399 3.5x 7.4x 8.4x 10.5x 12.1x
Hutchison Port Holdings 18,737 7,146 3.9x 12.0x 11.5x 19.3x 18.4x
COSCO Ports 9,182 5,321 2.6x 10.2x 9.8x 19.3x 18.3x
Average 2.6x 11.6x 11.0x 18.8x 17.7x
Median 2.5x 14.0x 12.2x 19.3x 17.1x

Bulk ports & associated

services
Diversified and bulk ports
Dalian Port 3,550 682 3.9x 10.2x 9.3x 18.6x 16.1x
Xiamen International Port 2,818 554 1.1x 11.0x 9.8x 15.8x 13.8x
Luka Koper dd 711 539 0.7x 7.6x 7.1x 13.9x 13.1x
Port of Tauranga 2,441 2,098 2.1x 18.4x 17.2x 22.3x 20.6x
Freight and logistics
Qube 3,393 2,610 1.3x 10.6x 10.2x 16.5x 15.5x
Mainfreight 1,655 1,415 1.6x 10.7x 9.8x 13.6x 12.3x

Average 1.8x 11.7x 10.9x 17.2x 15.7x

Median 1.5x 10.8x 9.8x 17.2x 15.0x

Rail transport
Aurizon 14,403 11,247 2.1x 9.4x 8.5x 14.3x 12.7x
VTG Rail and Logistics 3,312 901 4.8x 8.9x 6.6x 20.2x 14.3x
Union Pacific 124,106 110,083 1.0x 8.4x 7.7x 10.2x 9.3x
Canadian National 70,764 61,229 1.5x 10.5x 9.6x 12.9x 11.9x
Norfolk Southern 45,958 34,955 1.9x 8.0x 7.3x 10.3x 9.3x
CSX 55,323 43,011 1.9x 9.0x 8.4x 11.9x 11.0x
Canadian Pacific 40,818 34,343 1.9x 11.0x 10.0x 13.3x 12.1x
Genesee & Wyoming 8,378 5,323 3.2x 11.0x 10.0x 15.2x 13.8x
Average 2.3x 10.1x 8.9x 14.2x 12.4x
Median 1.9x 9.5x 8.6x 14.8x 13.0x
Source: Thomson Reuters, broker reports (data as at 25 June 15)

28
This material has been prepared by UBS AG, Australia Branch (ABN 47 088 129 613) (UBS) based on publicly available
information and for use only in connection with the 2017 UBS Investment Banking Challenge. This material may only be used
by, and must not be distributed other than to, persons who have entered, or are on the judging panel for, the 2017 UBS
Investment Banking Challenge. This material is not to be construed as a solicitation or an offer to buy or sell any securities or
related financial instruments.
No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of
the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or
developments referred to in the materials. Any opinions expressed in this material are subject to change without notice and
may differ or be contrary to opinions expressed by other business areas or groups of UBS as a result of using different
assumptions and criteria. UBS is under no obligation to update or keep current the information contained herein. UBS may
have or have had a relationship with or may provide or has provided investment banking, capital markets and/or other
financial services to the relevant companies.
For the avoidance of doubt, UBS retains absolute discretion with respect to all decisions relating to employment and
interviewing. Neither participating nor placing in the 2017 UBS Investment Banking Challenge in anyway guarantees or
otherwise secures a position with UBS or any of its related companies. Neither UBS nor any of its affiliates, nor any of UBS' or
any of its affiliates, directors, employees or agents accepts any liability for any loss or damage arising out of participation in
the 2017 UBS Investment Banking Challenge or the use of all or any part of this material.
2017 UBS. The key symbol and UBS are among the registered and unregistered trademarks of UBS. All rights reserved. UBS
specifically prohibits the redistribution of this material and accepts no liability whatsoever for the actions of third parties in this
respect.

29
Contact information

UBS AG
Australia Branch
ABN 47 088 129 613
GPO Box 1328
Melbourne VIC 3000
Tel. +61-3-9242 6100

www.ubs.com

30