David Murray Securities Institute of Australia 9 May 2001 www.commbank.com.au

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David MurraySecurities Institute of Australia
9 May 2001www.commbank.com.au
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Disclaimer

• The material that follows is a presentation of
  general background information about the Banks
  activities current at the date of the
  presentation, 9 May 2001. It is information
  given in summary form and does not purport to be
  complete. It is not intended to be relied upon as
  advice to investors or potential investors and
  does not take into account the investment
  objectives, financial situation or needs of any
  particular investor. These should be considered,
  with or without professional advice when deciding
  if an investment is appropriate.

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Speakers Notes

• Speakers notes for this presentation are
  attached below each slide.
• To access them, you may need to save the slides
  in PowerPoint and view/print in notes view.

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Agenda

• Changing Environment
• Strategy

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Currency
AUD - "FAIR VALUE"
THE AUD
USD
USD
0.96
120
0.90
0.90
CBA
(f)
vs
0.85
106
JPY
(rhs)
0.80
0.80
Traditional Fair Value Calculation
0.74
92
0.70
0.70
vs
USD
0.62
78
(lhs)
Actual
0.60
0.60
0.51
64
0.50
0.50
0.40
50
1986
1989
1992
1995
1998
1988
1991
1994
1997
2000
2001
2001
Source Commonwealth Bank Group illustration
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Wealth Distribution and Ageing
Prime Savers and Dissavers - of total
population
United States
Australia
Source US Census Bureau
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Regulation

• Growing influence of populism
• More than 25 inquiries currently underway
• Declining understanding of industrys role and
  operation
• Increasing trend to micro regulation

Increased regulation seems inevitable
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Technology
The Nasdaq
More than 20 Emerging Technologies
Index
Personalisation
Customisation
Advanced Mobile Computing
2001
2000
1997
Customer Self-Service
THE BANKING REVOLUTION
Internet-based Workflow
WebTV
Telecentres
Technology
Electronic Banking
Business Intelligence
Call Centres
ATM / EFTPOS
BRANCH NETWORKS
Proof / Sorters
On-line Entry
Manual Posting
1980
1950
1960
1990
1970
2000
2010
2005
Source A.T. Kearney
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People
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Strategy
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Group Strategy
Strategic Vision
Environment of
To be the best brands in helping customers
manage and build wealth
Low inflation
Technology shift
Competition and margin squeeze
Ageing population and rate of change
On line services and wealth creation
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Accelerated Change
CURRENCY
REGULATION
FURTHER SHIFT IN TECHNOLOGY
PEOPLE
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Accelerated Change

• Diversify revenue streams
• Productivity improvement

CURRENCY
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David MurraySecurities Institute of Australia
9 May 2001www.commbank.com.au