HBL Subordinated Notes – Indicative Pricing

17 April 2023 HEARTLAND BANK SUBORDINATED NOTES - INDICATIVE PRICING Heartland Bank Limited (Heartland) has announced an offer of up to NZ$75 million (with the right to accept oversubscriptions of up to an additional NZ$50 million at Heartland's discretion) of unsecured subordinated notes (Notes) to New Zealand investors and certain overseas institutional investors. The offer opens today, 17 April 2023, and is expected to close at 11.00am on 21 April 2023. The indicative Issue Margin range for the Notes is 3.20% - 3.45% per annum. The actual Issue Margin (which may be above, below or within the indicative Issue Margin range) and interest rate for the first 5 years, until the First Optional Redemption Date (28 April 2028), will be announced via NZX on or about 21 April 2023 following a bookbuild process. The Notes are expected to be issued on 28 April 2023. The interest rate for the first 5 years, until the First Optional Redemption Date (28 April 2028), will be a fixed rate equal to the sum of the Swap Rate on the Rate Set Date (21 April 2023) plus the Issue Margin, but in any case will be no less than the minimum interest rate of 7.30% per annum. Details of the offer and the Notes are contained in the Limited Disclosure Document dated 11 April 2023 (LDD), which is available on the Disclose Register at https://disclose-register.companiesoffice.govt.nz/ under Heartland's offer number OFR13495. Copies of the LDD, the investor presentation for the offer and the indicative terms sheet are available at www.heartland.co.nz/unsecured-subordinated-notes-offer, or by contacting one of the Joint Lead Managers to the offer (listed below) or your usual financial advice provider. The LDD must be given to investors before they decide to acquire any Notes. There is no public pool for the offer, with all of the Notes being reserved for clients of the Joint Lead Managers, Primary Market Participants and other approved financial intermediaries. Investors can register their interest by contacting a Joint Lead Manager or their usual financial advice provider. This offer is being made in accordance with the Financial Markets Conduct Act 2013. Arranger and Joint Lead Manager: Westpac Banking Corporation (ABN 33 007 457 141) (acting through its New Zealand branch): 0800 772 142 Joint Lead Managers: Bank of New Zealand (contact 0800 275 269), Craigs Investment Partners Limited (contact 0800 226 263) and Forsyth Barr Limited (contact 0800 367 227) ENDS The person who authorised this announcement: Leanne Lazarus Chief Executive Officer, Heartland Bank Limited For further information and media enquiries, please contact: Nicola Foley Group Head of Communications, Heartland Group Holdings Limited +64 27 345 6809 nicola.foley@heartland.co.nz Level 3, Heartland House, 35 Teed Street, Newmarket, Auckland, New Zealand End CA:00410003 For:HBL Type:OFFER Time:2023-04-17 09:47:15