Prospectus and Application Form

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SOUTH AUSTRALIAN GOVERNMENT FINANCING AUTHORITY BONDSINFORMATION FOR APPLICANTSWHAT IS SAFA?SAFA has become the popular abbreviation for the South Australian Government Financing Authority. One ofSAFA’s main functions is to act as a central borrowing agency for South Australia’s semi government authorities,but it also has a broader role of assisting the South Australian Government with the general coordination of theState public sector’s fundraising, cash management and investment activities.Funds raised by SAFA are on-lent to a variety of authorities and the State Government itself to assist with thefinancing of a wide range of worthwhile activities and projects in areas such as housing, transport, education,health, primary production, fire protection, arts and recreation.Your investment will be helping to build a better South Australia and this, of course, has benefits for the wholenation.WHAT ARE SAFA BONDS?SAFA Bonds take the form of Inscribed Stock. This means that your name will be ‘inscribed’ in SAFA’s centralstock (or securities) register as the holder of specific SAFA Bonds, and all subsequent transactions relating to theBonds, including any change of ownership, will be recorded on that register.These arrangements eliminate the need to issue a security to you that needs to be kept in a safe place to avoidtheft, loss, etc. Instead, a (non-negotiable) SAFA Bonds Certificate of Inscription will be issued to you, whichconfirms your ownership of the Bonds and other details of your investment. Inscribed stock is commonly used inmoney markets because of the security aspects and its ease of transfer.ARE SAFA BONDS SECUREYes. Payment of interest and repayment of principal on the Bonds is unconditionally guaranteed by theGovernment of South Australia.WHO CAN INVEST• Individuals (excluding persons under the age of 18)• Incorporated bodies• Registered Friendly Societies• Trade Unions• Unincorporated Associations (with written rules and a constitution)• Unincorporated Superannuation Funds, Executors, Administrators and Trustees (applications must bemade in the individual names of the executors, administrators or trustees without reference to trusteeship)HOW MUCH CAN I INVEST?The Minimum Application Amount shall be $500, or such other minimum amount as SAFA may from time to timespecify.Applications for $200,000 or more will not be accepted without prior consent of SAFA.Each subscription must be paid in full when the application is made together with the provision of such otherinformation as SAFA may require to satisfy itself that there has been compliance with the terms and conditionshereof, otherwise applications will not be accepted. SAFA reserves the right to reject any application for the issueof SAFA Bonds in whole or in part and any unapplied subscription moneys will be refunded. No interest will accrueon such refunded amounts.1
SUBSCRIPTION TERMSDetails as to the current Maturity Dates, Interest Rates and Frequencies of Interest Payments applicable toSAFA Bonds can be obtained only from the following authorised sources:(a) Authorised advertisements published periodically in the South Australian press; or(b) Telephoning SAFA’s Registry, Link Market Services Office on 1800 088 585 (toll free); or(c) Telephoning SAFA on (08) 8226 9471; or(d) Any of the Application Lodgment Offices listed on page 12 of this Prospectus; or(e) SAFA’s website – http://www.safa.sa.gov.auWHAT WILL BE THE INTEREST RATE ON MY INVESTMENT?SAFA continually monitors the interest rates it offers on SAFA Bonds, and varies them as necessary; toensure that they remain competitive with market rates generally. Your interest rate will be set as at thedate your application is received by any of the Application Lodgment Offices listed on page 12 of thisProspectus.That interest rate will be the current rate applicable to the term you have selected, and will not vary for the life ofyour investment. SAFA reserves the right to review the rate on Bonds greater than $200,000.Interest accrues on your investment from the day it is received by SAFA or its Registry Offices.HOW IS INTEREST AND PRINCIPAL PAID?Your payments will be credited directly to your Bank, Building Society or Credit Union account.DO I HAVE TO HOLD MY SAFA BONDS UNTIL THEIR MATURITY DATE?No. If you want access to your investment you may sell your SAFA Bonds back to SAFA who will forward you theproceeds. Once you have held your SAFA Bonds until the first interest payment date, SAFA stands ready to buyback your Bonds at any time at a price related to prevailing market rates. This means that the amount you receiveon the repurchase prior to maturity may be greater or less than the amount of your original investment. SAFA’spolicy is to respond quickly to ‘cash-in’ requests.REINVESTMENTThe reinvestment offer is an offer to reinvest the principal due to you on the maturity of the Bond and optionally, toincrease the Bond amount.Prior to the maturity date of your Bond, a letter will be sent by the Registry to the address provided by you,informing you of the reinvestment offer. If you accept the offer by the nominated date, the amount of the Bondowed to you will be reinvested into a new Bond with a maturity date and corresponding interest rate that you selectfrom the choices available.If you decide to add to your original investment with the reinvestment offer, the additional amount will be bankedon the date of receipt and you will earn interest from that date.TAX FILE NUMBERSTax File Number (TFN) legislation authorises investment bodies to record Tax File Numbers or exemption detailsprovided by their investors. It is not compulsory for investors to quote their TFN, however unless an exemptionapplies, tax will be taken from those interest payments for which a TFN or exemption has not been quoted at thehighest marginal tax rate.For joint investments, if there are more than two holders, TFN details for at least two holders are required. Detailsof those who have TFN’s should be quoted in preference to those who claim exemption. In the case of twoinvestors only, both must quote TFN’s.2
Page 1: Guaranteed by the Government of Sou
Page 5 and 6: HOW DO I INVEST?STEP 1 - Applicatio
Page 7 and 8: Who can certify identity documents
Page 9 and 10: Authorisation - In relation to the
Page 11 and 12: Step 3 - Payment Methods• Persona
Page 13 and 14: ENQUIRIESGeneral EnquiriesPostal ad
Page 15 and 16: TERMS AND CONDITIONS1. PERIOD OF IS

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