ASB launches Note offer

ASB Bank Limited (ASB) announced today that it is making an offer of up to NZ$100 million of fixed rate notes having a maturity date of 24 February 2022 ("Notes"), with the ability to accept unlimited over subscriptions at ASB's discretion. The Notes have an indicative margin of 1.15 - 1.25% per annum and will be offered to institutional and retail investors in New Zealand and certain offshore institutional investors. The offer opens today, 20 February 2017, and is expected to close on 22 February 2017. The Notes are expected to be issued on 24 February 2017. The margin for the Notes (which may be above or below the indicative margin) and the interest rate will be set following a bookbuild process on 22 February 2017 and will be announced by ASB via NZX shortly thereafter. A Terms Sheet has been prepared for this offer, which contains more information. The Terms Sheet is attached to this announcement. Investors must receive a copy of the Terms Sheet before they acquire any Notes. There are restrictions on offering, issuing or selling the Notes outside New Zealand, as set out in the Terms Sheet. The Notes are expected to be quoted on the NZX Debt Market and are expected to be rated AA- by Standard & Poor's and Aa3 by Moody's prior to the issue date. The Notes will not be guaranteed by any person, and Commonwealth Bank of Australia does not guarantee ASB. There is no public pool for the Notes. Investors should contact the lead manager of the offer (Commonwealth Bank of Australia), their financial intermediary or a Primary Market Participant to apply for the Notes. The minimum application amount in respect of the Notes is NZ$5,000 and in multiples of NZ$1,000 thereafter. End CA:00296983 For:ABB Type:GENERAL Time:2017-02-20 08:30:06