Operational Performance for the 9 months ended 31 March

Vector's operational performance for the 9 months ended 31 March 2020 is attached. Operational performance highlights: o 578,106 electricity network connections, up 1.6% on the same period last year o 113,578 gas network connections, up 2.4% on the same period last year o 6.6% lift in 9kg LPG bottle swaps o 10.5% growth of smart meter fleet (1,677,405 installed across Aus/NZ) o 250,000 advanced meters now installed in Australian market Commentary: To preface Vector's quarterly operational update, it's important to acknowledge COVID-19 and the context of New Zealand in alert level 4 lockdown. Only one week of the lockdown falls in this quarterly update and as such it is too early to draw definitive conclusions on any impact to volumes. As a lifeline utility, Vector has continued to operate essential services during this period across its' electricity, gas, fibre and metering businesses. Vector teams were working under strict physical distancing, hygiene protocols with reconfigured teams where necessary. All Vector businesses are now preparing to safely increase operations further under alert level 3, from April 28. In the third quarter of FY20 Auckland's growth continued to rise, in turn driving strong network connection numbers across Vector's electricity and gas networks. In the nine months to 31 March, total ICP connection numbers grew by 1.6% compared with the same period last year. Electricity distributed volume was down by 0.1% on the equivalent period - driven by closures and reduced activity from the industrial and commercial sectors due to the COVID-19 Level 4 lockdown. The extent of the COVID-19 impact on volume and revenue will depend on how long each of the different alert levels continue and how the industrial and commercial sector recover in the coming weeks and months. From 1 April, the new DPP3 revenue cap regime will apply. This is designed to mitigate the impact of changes in volume on Vector's electricity revenues, Auckland's third quarter growth helped drive an uplift in gas network distribution customers, with a 2.4% increase compared with the same period last year. Gas distribution volume is also up on last year's corresponding period. Vector's metering business continues to perform in an increasingly competitive market both here and in Australia. Connection numbers increased by 10.5% on the prior six-month period, bringing the total fleet number to 1,677,405. In early April AMS Australia installed its 250,000th meter in Australia, marking a significant milestone for the business. The seasonable weather has delivered an uplift in 9kg LPG bottle swap sales. Bottleswap 9kg and residential 45kg gas products saw a short-term but significant spike in demand at the start of the COVID-19 Level 4 lockdown in late March. Demand has since flattened to usual levels. Liquigas LPG tolling sales increased due to demand adjustments from large commercial customers. Natural gas and gas liquids are down on the corresponding period, with the reduction in natural gas volumes driven primarily by the loss of a large customer in January 2020. SAIDI minutes for the twelve months ended 31 March 2020 are 15.5% lower than the comparable period which is primarily due to fewer extreme weather events, significant investments and ongoing initiatives to improve network resilience. ENDS Investor contact Jason Hollingworth, Chief Financial Officer, Vector Jason.hollingworth@vector.co.nz, 021 312 928 Media contact Elissa Downey, Senior Manager Corporate Communications, Vector Elissa.downey@vector.co.nz, 021 866 146 About Vector Vector is New Zealand's leading network infrastructure company which runs a portfolio of businesses delivering energy and communication services to more than one million homes and commercial customers across the country. Vector is leading the country in creating a new energy future for customers and continues to grow and invest in the growth of Auckland, and in a wide range of activities and locations. Vector is listed on the New Zealand Stock Exchange with ticker symbol VCT. Our majority shareholder, with voting rights of 75.1%, is Entrust. For further information, visit www.vector.co.nz End CA:00352053 For:VCT Type:GENERAL Time:2020-04-23 08:30:19