Preliminary Final Report/Media Release/Financial Statements

Document date:  Thu 25 Oct 2001
Published:  Thu 25 Oct 2001 13:37:16
Document No:  182866
Document part:  V
Market Flag:  Y
Classification:  Preliminary Final Report , Full Year Accounts , Dividend Record Date , Dividend Pay Date , Dividend Rate 

AUSTRALIA AND NEW ZEALAND BANKING GROUP       2001-10-25  ASX-SIGNAL-G

HOMEX - Melbourne                                                     

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SUPPLEMENTARY FINANCIAL INFORMATION

COUNTRY EXPOSURES

The exposure definitions in the following tables are consistent with
the ones used by Standard & Poor's in their assessment of regional
risk published in February 1998.

Both local currency and cross border exposures are included.

Trade finance is captured at 100% of face value.

All cross border exposure is recorded on the basis of the Country
where the asset is booked.

Treasury funded exposures includes predominantly bank Money Market
lines and Certificates of Deposit.

Treasury unfunded exposure includes Foreign Exchange and Interest
Rate contracts (forwards, options and swaps). The exposure is
calculated using a conservative "mark to market plus potential
exposure" methodology. This methodology calculates the market value
of a contract and adds a factor for the potential change in value
from the valuation date to maturity. The mark to market of off
balance sheet exposures is netted by counterparty where the Group
holds a valid legally enforceable netting agreement with that
counterparty.

Financial guarantees represents lending to entities outside of Asia
(typically Australia) where there is a relationship with the parent
entity through a guarantee standby letter of credit.

Term lending is split into three categories: exposure to
multinationals covers lending in countries to international or global
companies, frequently involving US, UK, European or Australian
parents of joint venture partners, term leading in local currency
which is principally franchise countries, and cross border term
leading (mostly USD).

Project finance includes a mix of products and is net of Political
Risk Insurance (PRI) cover provided by either a large Government
Multi Lateral Agency or a large Global Private Insurance company.

Securities include traded debt instruments and are measured at
assessed market value (mark to market).

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