Manukau City Council | Rate Card

Fi x e d Rat e Bond Off e r

Current at 22 July 2009

This rate card sets out the maturities and rates prevailing for the secured, fixed rate Bonds
offered by Manukau City Council pursuant to the Investment Statement dated 10 July 2009.

MATURITY DATE INTEREST RATE (% PER ANNUM)*

15 September 2013** 6.15%

15 September 2015** 6.90%

* Interest is to be paid in arrear on 15 March and 15 September each year up to, and including, the Maturity Date to the relevant Bondholder in accordance with the terms
contained in the Investment Statement. For Bonds issued on or after 1 September 2009, the first Interest Payment Date will be 15 March 2010. For Bonds issued prior to
1 September 2009, the first Interest Payment Date will be 15 September 2009.
** The issuance of Bonds with this Maturity Date has been approved by the Auckland Transition Agency established under the Local Government (Tamaki Makaurau
Reorganisation) Act 2009.

The Interest Rate applicable to a Bond will not change after that Bond has been issued. However, the Issuer may, at any time, without prior notice,
change the Interest Rate it offers in respect of the Bonds of a particular Maturity Date that have not yet been issued. If this occurs and the Interest
Rate that you have selected is no longer available when the Issuer receives your application then:
(a) if the Interest Rate offered at the time your Application Form is received is higher than the Interest Rate noted on your Application Form,
the Issuer may accept your application at the higher rate; or

(b) if the Interest Rate offered at the time your Application Form is received is lower than the Interest Rate noted on your Application Form
then the Issuer will contact you to discuss whether you wish to elect to continue with your application at the lower rate or whether you wish
to have your application returned to you. If no election is made within 14 days, applicants will receive a full refund. No interest will be paid on
application moneys that are refunded.

If the Issuer has accepted your application for Bonds, it may only change the Interest Rate offered in relation to those Bonds if the change
increases that Interest Rate.

Applicants can obtain up-to-date details of the Interest Rates applicable from time to time by:
(a) Visiting the website www.manukau.govt.nz and following the “Bond Issue” link; or

(b) Contacting the Arranger, BNZ Capital on 0800 275 270.

The Issuer reserves the right to refuse all or any part of an application without giving any reason.

The Bonds are offered by the Issuer on the terms and conditions set out or referred to in the Investment Statement dated 10 July 2009. Applications
must be made on the Application Form contained in the Investment Statement and be for a minimum Principal Amount of $10,000 for Bonds of each
Maturity Date applied for and thereafter in multiples of $1,000.

The Issuer will pay brokerage to the Arranger and approved financial intermediaries through whom applications are made of a percentage of the
Principal Amount of the relevant Bonds, with that percentage being 0.40% for the Bonds with a 15 September 2013 Maturity Date and 0.50% for
the Bonds with a 15 September 2015 Maturity Date.

The Bonds will be secured by a charge created by the Debenture Trust Deed over the rates and rates revenue of the Issuer (and certain proceeds of
those rates and rates revenue). The security is first ranking except to the extent that other security is preferred by law (including security interests
that may have priority ranking under the Personal Property Securities Act 1999). The Bonds will rank equally with all other indebtedness of the Issuer
secured under the Debenture Trust Deed from time to time. A detailed description of the security (including the effect of the Auckland regional
governance reorganisation on this security) is set out in the Investment Statement.

Capitalised terms used in this Rate Card bear the meaning given to them in the Investment Statement.
For an Investment Statement please contact Link Market Services Limited, ph 09 375 5998,
BNZ Capital, the Arranger, ph 0800 275 270.

Arranger