Origin Energy Not for Distribution or release in the United States of ...

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The Integral Energy and Country Energy retail businesses deliver Origin alarge scale incumbent market position in NSW, Australia’s largest energymarketIntegral Energy + Country Energy retail businessesAcquisition Price:Customer accounts as at30 June 2010:Annual Sales Volumes andRevenuesyear ended 30 June 2010:Eraring GenTrader arrangementsAcquisition Price:$2,300 millionElectricity:Natural Gas:LPG:Electricity:Natural Gas:Revenues:1.6 million33 thousand9 thousand27 TWh4.5 PJ$3.8 billion$950 million(excluding a deferred and contingent payment of up to $198 million)Power Station Contracts: Eraring Power Station 2,800 MW Black CoalShoalhaven Scheme 240 MW Pumped Hydro• Eraring Power Station is currently upgrading the capacity of each unit from 660 MW to 720 MW by 2012,which Origin can dispatch up to a plant total of 2,800 MWThe GenTrader arrangements increase the scale and diversity ofOrigin’s generation portfolio making Origin the owner of one of thelargest portfolios of generation capacity and generation contractualrights in Australia6
The Integral Energy and Country Energy customer bases have been acquiredfor $1,282 per customer account which is consistent with previousacquisitions …Retail Segment Price Key MetricIntegral Energy and Country Energy retailcustomer accounts1.6 million customer accountsWholesale Portfolio27 TWh$2,108 million $1,282/customer account$192 million $0.35/MWh 1Generation Segment Price Key MetricEraring GenTrader arrangements - 3,040 MW $950 million $313/kWIncluding contingent consideration $1,148 million $378/kW• The Country Energy and Integral Energy retail businesses will be reported throughOrigin’s Retail Segment. This segment has historically earned EBIT margins of 8% - 9%• The GenTrader will be reported in the Generation Segment and will receive a tollingcharge from Retail commensurate with a pre-tax cash-flow return on productive capital… while the GenTrader arrangements have been acquired for$313/kW to $378/kW, well below new entrant cost7(1) Value across Origin’s entire post-acquisition wholesale electricity portfolio of 57 TWh, represents an annual equivalent
Page 1 and 2: Sydney15 December 2010Origin Energy
Page 3 and 4: Outline1) Transaction Overview2) In
Page 5: Through the NSW Government’s Ener
Page 9 and 10: 2) Integral Energy and Country Ener
Page 11 and 12: Integral Energy holds NSW’s secon
Page 13 and 14: IPART’s determination of regulate
Page 15 and 16: 3) Eraring GenTrader Arrangements
Page 17 and 18: Eraring Power Station has proven to
Page 19 and 20: The Eraring GenTrader arrangements
Page 21 and 22: The payment structure for the GenTr
Page 23 and 24: The Cobbora coal resource is expect
Page 25 and 26: The National Electricity Market was
Page 27 and 28: The acquisition of the Integral Ene
Page 29 and 30: Due to allowances for plant age and
Page 31 and 32: MW18,00013,5009,0004,500-MW18,00031
Page 33 and 34: Origin has a higher proportion of g
Page 35 and 36: 5) Appendix
Page 37: Acquisition of Integral Energy Reta

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