Delivering for all stakeholders 6 financial goals2 matters most to customers Customers • 126,000 new home loans • Helped 19,473 customers with financial assistance packages 39,574 Employees Employees • $11bn in new lending businesses3 to • 65 relief packages for customers impacted by natural disasters $164m 2017 Community contribution1 • Paid $200m claims Paid $125m in Life insurance Community • Further roll out of dementia-friendly banking • in General $1.9bn Income tax in 1H18 insurance claims • Westpac SmartPlan launched – online tool to help manage credit card balances Economy $8.5bn Committed exposure to climate change and environmental solutions Environment Global banking leader in the Dow Jones Sustainability Index in 2017, the fourth year in a row Data for 1H18 or at 31 March 2018 unless otherwise stated. 1 FY17 for detail see Westpac Group 2017 Sustainability Performance Report page 84. 2 Australia data only. 3 Excludes institutional lending. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Customers 14.0m Supporting customers’ Being there when it

Core earnings up across operating divisions 7 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack impairments Business Bank 3 3 Group 13 13 repeat of customer refunds and payments Institutional Bank 4 1• Higher impairment benefit led to lift in cash earnings (NZ$)(5)3• Impairments moved from a benefit to a small charge 1H18-2H17 (% earnings change) Division Cash Core Comments 1H18 – 2H17 Consumer Bank63• Disciplined growth, improved margins, flat costs, lower • Lending up 2% with growth across SME and commercial • Improved margins; Impairments little changed BT Financial• Private Wealth, higher insurance premiums and non • Partly offset by higher seasonal weather claims Westpac• Relatively flat outcome across key earnings line items • Sound growth across mortgages and business, strong New Zealand deposit growth, margins higher, costs lower contributing to the decline in cash earnings

Building long term franchise value 11 1H16 1H18 Change Strong Balance sheet Customer No. & relationship 442 502 14% Customer deposits ($bn) depth Drive efficiency 116 131 13% Productivity savings ($m) via digital Highly engaged, Reinventure commitment ($m) 50 100 2x innovative culture 1 Digital sales is Consumer Bank only. Sales included if a deposit is completed or an account is activated. 2 Refer to slide 136 for metric definition. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Employee engagement (Index) 69 79 10ppts Women in Leadership2 (%) 46 50 4ppts Expense to income ratio (%) 41.6 41.7 13bps Customers with e-statements (%) 28 45 17ppts Customer numbers (#m) 13.2 14.0 +800k Digital sales1 (% of total sales) 22 29 7ppts CET1 capital ($bn)384416% Impaired assets ($bn)2.491.54(40%) NTA per share ($) 13.74 15.00 9%

Positioning for changing landscape 12 Harnessing Innovating Upgrading data for customers infrastructure Remuneration & “Motivate” BEAR – enhanced accountability Training & accreditation New banking code of practice • • • Get it right – Put it right initiative Product reviews Flexible & agile working 1 Comprehensive credit reporting. 2 Presto Smart is a new system for linking merchant terminal with point of sale systems. BT Super Invest a new flexible superannuation product that gives customers choice in how their funds are invested. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack • Customer service hub • Big data platform • Panorama • Hybrid cloud • API platform • Cyber and other upgrades • Culture & • Compliance • • • Reinventure • AI, robotic process automation • Open data & CCR1 • New payments channels • Customer insights • Presto Smart2 • BT Super Invest2 • Institutional loan portal • Customer insight reporting

Asset quality sound 19 2.0 downgraded to 0.0 1 TCE is total committed exposure. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Mar-17 Sep-17 Mar-18 Agriculture, forestry & fishing Wholesale & retail trade Property Transport & storage Services Manufacturing Construction Property services & business services Accommodation, cafes & restaurants Other Mining Stressed assets as a % of TCE1 Watchlist & substandard 3.2090+ day past due and not impaired 1.051.09 2.07 Impaired 2.48 1.45 2.17 1.24 1.60 0.85 1.241.201.14 0.71 0.99 0.65 0.46 0.59 0.57 0.56 0.41 0.54 0.35 0.31 0.67 0.62 0.58 0.26 0.33 0.35 0.37 0.34 0.25 0.44 0.27 0.22 0.20 0.20 0.15 0.15 Corporate/business stressed exposure by sector ($bn) 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 Mar-17Sep-17Mar-18 2 large names moved to watchlist 3 large names stressed risk grades

Australian mortgages performing well 20 3.0 30+ day past due total 1 Including offset balances, excludes RAMS in 1H17 and 2H17. 2 Based on current loan application to gross income. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Pre-2006 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Property in possession (number) 253 Mar-16Sep-16Mar-17Sep-17Mar-18 437 398 382 262 Australian mortgage portfolio (year of origination) (% of total book)1718 223 Calendar year 5 2015 saw further tightening 14 of lending standards 10 7 54445 Australian mortgage portfolio delinquencies (%) 90+ day past due total 90+ day past due investor 2.0 1.0 0.0 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 Introduced new hardship treatment Australian mortgage portfolio characteristics 30+ day delinquencies 144bps 90+ day delinquencies 69bps Customers ahead of repayments 1 68% Loan to income 2 >6 times 8% Dynamic LVR (weighted average)52%

Substantial equity backs pre 2015 originations 21 Australian mortgage lending1 by origination date and dynamic LVR2 (%) % of total portfolio (Movement Sept 17 to Mar 18) 21 (down 5ppts) 26 (down 7ppts) 53 (up 12ppts) wer loans written h tighter standards and higher interest rate buffers Dynamic LVR bands (%) >80 60-80 <=60 Older loans benefit from lower interest rates and increases in property prices <2011 2011-2014 2015+ (or buffer of 1.80%) (or buffer of 1.80%) (or buffer of 2.25%) 1 Analysis based on a portfolio of residential mortgages. Some mortgages not included as they were originated on different systems and have some data differences i.e. RAMS, certain business mortgages (including construction) and SMSF loans. 2 Dynamic LVR is the loan-to-value ratio taking into account the current loan balance, changes in security value, offset account balances and other loan adjustments. Property valuation source Australian Property Monitors. 3 Changes in house prices based on house price indexes (and average not separate valuations) Source: Westpac Economics, CoreLogic. All dwellings Australia - average 8 major capital cities. Prices to March 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Westpac interest rate floor (%)6.806.807.25 Average house price changes3 At least 39%21% - 39%0 – 21% 5 7 11 Ne wit 14 21 45 81 72 44

Unquestionably strong capital 23 1 October 2018 buffer to absorb a rise standardised approach, $7.5bn RWA (20bps) 1 Convertible preference shares. 2 Probability of default. 3 Collectively assessed provisions. 4 Individually assessed provisions. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 2H18 developments • $566m in additional capital (14 bps) from conversion of CPS1 to 19.2m ordinary shares (April 18) • Estimated impact of model changes Operational risk – model overlay approximates Updates to mortgage PD2 models, approx $4bn RWA (10 bps) Accounting provisions and capital ($m) 1,531 Applying AASB 9 from Significant $1.5bn CAP3 in provisions at implementation Accounting Capital impact from provision regulatory expected loss 3,165 4,696 • • IAP4 2,694 471 CET1 capital ratio (% and bps) 16.13 9.9710.56(2)(1)10.50 Organic +19bpsOther -25bps Mar-17Sep-17 Cash earnings Final dividend Ordinary Other RegulatoryFX translation Defined Mar-18 Mar-18 APRAAPRA (net of DRP) RWA movements modelling impact benefit impact APRA Int. Comp. growth changes (22) 102(70)(8)(5)

WBC listed on ASX & NZX Westpac Group at a glance: Australia’s First Bank Strategy 30 Key statistics at 31 March 2018 Customers Key financial data for First Half 2018 Reported net profit after tax 14.0m $4,198m Australian household deposit market share5 23% Cash earnings $4,251m Australian mortgage market share6 23% Expense to income ratio9 41.7% Australian business credit market share6 19% Common equity Tier 1 capital ratio (APRA basis) 10.5% New Zealand deposit market share7 19% Return on equity9 14.0% New Zealand consumer lending market share7 19% Total assets $872bn Australian wealth platforms market share8 Market capitalisation10 18% $97bn 1 31 Mar 18 Source: S&P Capital IQ, based in US$. 2 Credit Suisse analysis of expense to income ratio of world’s largest banks Apr 18. 3 S&P Global Ratings, Moody’s Investors Service and Fitch Ratings respectively. S&P Global Ratings has Westpac on a negative outlook, Moody’s Investor Services and Fitch Ratings have Westpac on a stable outlook. 4. Most sustainable bank globally in the 2017 Dow Jones Sustainability Index . 5 APRA Banking Statistics, Mar 18 6 RBA Financial Aggregates, Mar 18. 7 RBNZ, Mar 18. 8 Strategic Insights Dec 17, All Master Funds Admin. 9 Cash earnings basis. 10 Based on share price at 29 Mar 18 of $28.62. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack •In its 201st year, Australia’s first bank and first company, opened 1817 Consumer •Australia’s 2nd largest bank and 21st largest bank in the world; Bank ranked by market capitalisation1 •Well positioned across key markets with a service-led strategy focused on customers •Supporting consumers and businesses in Australia and New Zealand and customers with ties to these markets •Unique portfolio of brands providing a full range of financial services including consumer, business and institutional banking, and wealth administration •One of the most efficient banks globally2 •Consistent earnings profile over time •Capital ratios are in the top quartile globally, with sound asset quality •Credit ratings3 AA-/ Aa3 / AA-•Leader in sustainability4 Business Bank BT Financial Group Institutional Bank Pacific Westpac New Zealand

Progress on our strategic agenda Strategy 31 Our Vision: To be one of the world’s great service companies, helping our customers, communities and people to prosper and grow Strategic Priorities Service Leadership Performance Discipline Digital Transformation Targeted Growth Workforce Revolution Employee engagement in top quartile of high performing norms, women in leadership1 50% Cost growth 2-3% per annum and expense to income ratio below 40% Seeking to achieve 13-14% ROE (medium-term) Grow customer base and deepen relationships Stronger growth in wealth and SME Measures Women in Customer numbers Leadership 50% Expenses up 1% Expense to income Funds flat SME lending up 2% up 1.2m since October 2014 Progress 1H18-2H17 ROE 14.0% Up 37bps Employee engagement Customers with ratio 41.7% 79% a wealth product 1 Refer page 136 for metric definition. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

What sets Westpac apart Strategy 32 • Strong asset quality with 0.45 peers of peers Balance sheet weighted to • amortisation period1 (years) • First Australian bank to: Foundation member of UNEP FI ‘s Principles for 1 Peer 1 and 2 are on continuing operations basis, Peer 3 excludes restructuring expenses. Peers based on 1H18 results. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Sustainability leadership • Australia’s first bank and first company, opened 1817 Sign Equator Principles 2003 Commit to 2 degree economy 2014 Public support of TCFD recommendations 2017 responsible banking 2018 • Global banking leader in Dow Jones Sustainability Index since 2002, sector leader 10 times, including 2017 Conservative balance sheet Impaired assets to gross loans1 (%) lowest impaired assets of • Provision cover at upper end Peer 1Peer 2Peer 3WBC mortgages Capitalised software average • Capital ratios at top end of6.5 banks globally • Write-off capitalised software one third faster than the peer average Peer 1Peer 2Peer 3WBC • Only Australian Bank SEC registered – Sarbanes Oxley Effective tax rate1 (%) certification 29.830.029.430.3 Peer 1Peer 2Peer 3WBC 4.8 3.2 3.3 0.35 0.280.22 Strong strategic position – consistent strategy • No. 1 or 2 position across key markets – all divisions well placed • Unique portfolio of brands, reaching more customers • Strong strategic position in wealth with a comparative advantage in platforms • No material non-core businesses • Highly experienced executive team

Rebuilding trust Strategy 34 before monthly credit card repayment is due cards repayment plan, enabling customers to break Life to improve savings habits provide wider choice assistance packages partnership with Alzheimer’s Australia retail customers lose money through no fault Committed $1m to establishment of a Debt multiple creditors 1 Australian Banking Association. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Delivering for customers •Helping customers manage their finances Ability to reduce credit card limit online Enabling alerts via SMS or email 5 days Ability to restrict debit transactions on credit Introduced Westpac SmartPlan, a structured down large items on their credit card into regular monthly instalments Westpac Lite a “no frills” credit card •Helping customers develop savings habits New accounts - Westpac Bump & Westpac •Helping customers in times of need 19,473 customers supported with financial Dementia-Friendly Banking program in Fraud guarantee; monitor fraud and fix it when of their own (Mar 18) Repayment Service to assist customers with Get it Right. Put it Right •Dedicated initiative to identify where we may not have got it right and where problems are identified we are committed to fixing them •Empowering employees to fix issues directly •Progressing a number of programs to improve products, policies, procedures and practices for customers •Reviewed 320 products, changed over 150 products Simplified and lowered transaction fees for 1.3m personal transaction accounts Introduced simplified mortgage package product Expanded the BT Approved Product List to New, shorter, plain-English loan documents and strengthened protections under small business contracts to make them more favourable for customers Reduced FX fees for online payments •Provision of $169m for customer refunds and payments in 2H17 where prior practices were not in line with current community standards Completed ABA1 six point plan 1. Reviewing product sales and commissions Sales incentives removed for tellers Removed product sales targets for personal bankers 2. Making it easier for customers when things go wrong Customer advocate appointed (Nov 16) Prioritising long-dated complaints Updated customer remediation policy and governance 3. Reaffirming support for whistleblowers Revised whistleblowing policy (Mar 17) 4. Removing individuals from the industry for poor conduct Implemented Conduct Background Checking Protocol 5. Strengthen commitment to customers in the Banking Code of Practice Revised Banking Code of Practice submitted to ASIC for approval in Dec 17 Committed to implementing within 12 months of approval 6. Supporting ASIC as a strong regulator New funding model in place

Cash earnings and reported net profit reconciliation Results 36 Reported net profit and cash earnings adjustments ($m) 2H17 1H18 Reported net profit 4,083 4,198 Amortisation of intangible assets 64 17 Fair value (gain)/ loss on economic hedges 62 37 % chg 1H18-2H17 % chg 1H18-1H17 Ineffective hedges 20 9 1H18 ($m) Cash earnings 4,251 5% 6% Partial sale of BTIM (171) - 3.9 3.9 3.9 Treasury shares (13) (10) Cash EPS (cents) 125.0 4% 4% Cash earnings 4,045 4,251 Reported net profit 4,198 3% 7% 1 Cash earnings is not a measure of cash flow or net profit determined on a cash accounting basis, as it includes non-cash items reflected in net profit determined in accordance with AAS (Australian Accounting Standards). The specific adjustments outlined include both cash and non-cash items. Cash earnings is reported net profit adjusted for material items to ensure they appropriately reflect profits available to ordinary shareholders. All adjustments shown are after tax. For further details refer to page 131. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Reported net profit and cash earnings ($bn) Reported profit Cash earnings 4.4 4.2 4.04.0 4.1 4.0 1H15 2H15 1H16 2H16 1H17 2H17 1H18 3.8 4.3 3.7 3.7 3.6 Cash earnings1 policy •Westpac Group uses a measure of performance referred to as cash earnings to assess financial performance at both a Group and divisional level •This measure has been used in the Australian banking market for over 15 years and management believes it is the most effective way to assess performance for the current period against prior periods and to compare performance across divisions and across peer companies •To calculate cash earnings, reported net profit is adjusted for: Material items that key decision makers at Westpac Group believe do not reflect ongoing operations Items that are not considered when dividends are recommended, such as the amortisation of intangibles, impact of treasury shares and economic hedging impacts Accounting reclassifications between individual line items that do not impact reported results

1H18 financial snapshot Results 37 1 All measures on a cash earnings basis. 2 Total liquid assets represent cash, interbank deposits and assets eligible for existing repurchase agreements with a central bank. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack (CET1) capital ratio (APRA basis) (%) (Internationally comparable) (%) (bps)11-(4bps) Change Change 1H18 1H18 – 2H17 1H18 – 1H17 Balance sheet Total assets ($bn)871.92%4% Common equity Tier 110.50 (6bps) 53bps CET1 capital ratio 16.13 (7bps) 79bps CET1 capital ($bn)43.62%8% Risk weighted assets ($bn)415.73%3% Loans ($bn)701.42%5% Customer deposits ($bn)502.13%5% Net tangible assets per share ($)15.002%5% Funding and liquidity Customer deposit to loan ratio (%)71.6 52bps (19bps) Net stable funding ratio (%)1123ppts4ppts Liquidity coverage ratio (%)134 10ppts 9ppts Total liquid assets2 ($bn)147.67%7% Change Change 1H181H18 – 2H17 1H18 – 1H17 Earnings1 Earnings per share (cents)125.04%4% Core earnings ($m)6,4975%4% Cash earnings ($m)4,2515%6% Return on equity (%)14.0 37bps1bp Dividend (cents per share)94--Expense to income ratio (%)41.7 (91bps)(9bps) Net interest margin (%)2.17 7bps 10bps Credit quality Impairment charges to average gross loans Impaired assets to gross loans (bps)22-(8bps) Impaired provisions to impaired assets (%)45.5 (76bps) (653bps)

Cash earnings up 6% over the year and 5% on prior half Performance discipline 38 including costs associated with the Royal Commission margins up 7bps 4,045 write-backs 2H17, offset by lower fees from removing certain and higher insurance claims margins up 10bps including costs associated with the Royal Commission (153) 100 (103) 4,251 strong 1H17, lower fees from removing provisions partly offset by income income charges 1 Average interest-earning assets. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Cash earnings features of 1H18 – 2H17 ($m) AIEA1 up 1%, Higher investment and regulatory and compliance costs 29066(50)(33)(67)4,251 Non-repeat of customer refunds and payments in Lower ATM and transaction fees, lower credit card fees Up 5% 2H17 Net interest Non-interest Expenses Impairment Tax & NCI 1H18 income income charges Cash earnings features of 1H18 – 1H17 ($m) AIEA up 3%, Higher investment and regulatory and compliance costs 608(218) 4,017 Lower financial markets income after a Lower individually assessed certain ATM and transaction fees, partly lower write-backs offset by higher insurance income Up 6% 1H17 Net interest Non-interest Expenses Impairment Tax & NCI 1H18 % chg% chg 1H18 1H18-1H18 - ($m) 2H17 1H17 Net interest income 8,301 4 8 Non-interest income 2,850 2 (7) Expenses (4,654) 1 3 Core earnings 6,497 5 4 Impairment charges (393) 9 (20) Tax and non-controlling (1,853) 4 6 interests Cash earnings 4,251 5 6 Reported net profit 4,198 3 7

All divisions contributing to core earnings growth Performance discipline 39 1H18 ($m) CB BB BTFG WIB NZ2 Other3 Group Operating income 4,417 2,610 1,183 1,424 1,067 450 11,151 Expenses (1,730) (930) (601) (675) (429) (289) (4,654) Core earnings 2,687 1,680 582 749 638 161 6,497 Impairment (charges)/benefits (233) (137) (3) 17 (24) (13) (393) Tax & non-controlling interests (737) (463) (175) (215) (173) (90) (1,853) Cash earnings 1,717 1,080 404 551 441 58 4,251 % of Group cash earnings 40 26 10 13 10 1 1 Refer to division definitions, page 134. 2 In A$. 3 Other is Group Businesses (including Treasury). Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H18 divisional1 core earnings movements ($m) 4268871086,497 2H17 CB BB BTFG WIB NZ2 Other 31H18 6,19173 Up 5% 1H18 divisional1 cash earnings movements ($m) 4721(40)504,251 4,0459335 2H17 CB BB BTFG WIB NZ2 Other 31H18 Up 5%

More customers, deeper relationships and strengthening of the balance sheet Service leadership 40 sheet 10.0 7.7 Mar-16 Mar-17 Mar-18 residual maturity (%) 1 Australian banking refers to Consumer Bank and Business Bank. 2 Other includes BTFG and WIB. 3 Australian retail refers to Consumer Bank, Business Bank and Private Wealth. 4 In A$. 5 Refer to page 137 for details of metric provider. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Strengthened balance s CET capital ratio (%) and 8.78.88.8 Mar-12 Mar-13 Mar-14 Mar-15 Funding composition by r capital ($bn) 10.5 10.5 Wholesale Onshore <1yr Wholesale Offshore <1yr Wholesale Onshore >1yr Wholesale Offshore > 1yr Securitisation Equity Customer deposits 11 1 12 1 8 8 10 1 62 62 44 Sep-08 Sep-17 Mar-18 16 20 5 8 6 8 44 40 38 30 28 27 24 Deepen relationships Transaction account balances ($bn) 342 Australian retail New Zealand Other 143.5 134.3 112.0122.1 Mar-15 Mar-16 Mar-17 Mar-18 Australian customers with a wealth product5 (%) Peers St. George Westpac 21.0 18.6 18.2 13.8 11.3 Mar-16 Mar-17 Mar-18 Grow customers Customer numbers (#m) Australian banking1 New Zealand Other2 13.113.213.714.0 Mar-15 Mar-16 Mar-17 Mar-18 Increase in customer numbers (#’000’s) 243 1H15 2H15 1H16 2H16 1H17 2H17 1H18 216216 130 193 171 19

Workforce revolution delivering 42 Workforce revolution 2018. Two of the key programs designed in • LearningBank, our online learning platform, by employees in 1H18 1 Spot number at 31 March for each period. 2 Global high performing norm reflects the benchmark score for high performance organisations in the IBM engagement database. 3 Lost time injury frequency rate. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Employee engagement2 (%) Westpac Global high performing norm 77 Sep-16Sep-17 79 69 Women in Leadership positions1 (%) Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 50 49 46 44 43 LTIFR3 (rolling 12 months) (#) 1.80 1.40 0.900.80 0.69 0.30 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Learning and development • Over 1,400 leaders have participated in leadership development programs since October 2016, with a further 1,200 enrolled in partnership with the AGSM had over 50,000 learning modules accessed • New ‘behaviours-first’ approach to performance management “Motivate” now covers all employees Service leadership and culture • All teller incentives now based 100% on customer advocacy • Consumer Bank performance frameworks and scorecards for FY18 now 50% customer measures / 50% financial metrics for Personal Bankers • Elevated ‘Integrity’ to our first value • Rolled out new values training to all employees Simplification • Digitised HR policies with embedded AI. Has improved search functionality for employees and driven a 21% reduction in policy questions to our HR service centre • New digital process for new employees • Further automation of reporting for people leaders

Actively positioning for digital opportunities1 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1 Logos are of the respective companies. 2 For further details on these investments see page 44. 43 Digital transformation Westpac is actively responding to digital threats and opportunities. We encourage digital innovation through investing in venture capital, partnerships and direct investments. Westpac can learn directly and gain access to emerging fintech developments. Westpac has committed $100m to Reinventure, a fintech venture capital fund, which invests in a range of fintech businesses. This enables Westpac access to insights and adjacent business opportunities. The model also helps Westpac assess different ways of working to be more innovative and deliver faster 20 investments2 to date covering areas such as: Investment in Assembly (June 2015) Westpac invested in Assembly via Reinventure Partnership with Assembly (June 2017) Westpac partnered with Assembly to develop a new capability for customers Westpac made a direct investment in Assembly Deliver Presto Smart for Westpac customers (April 2018) Launched software built by Assembly that enables a businesses merchant terminal to connect with a range of point-of-sale systems Uno is a disruptor online mortgage broker. Enabling consumers to search, compare and apply for a home loan, from a choice of 20 lenders Surgical Partners helps medical practices improve efficiency by connecting practice management software to cloud based accounting software Offers point-of-sale credit and digital payment services to the retail, health, travel and education sectors. It also owns Pocketbook, a personal financial management app LanternPay is a scalable, cloud based claims and payments platform for use in consumer directed care programs such as the NDIS, aged / home care and Government insurance schemes FUELD is a data accelerator, which aims to bring together businesses with data-based companies to solve real world problems Westpac is actively positioning for digital opportunities, responding to digital disruption and supporting digital innovation through its venture capital funds, partnerships and direct investments. Through this process Westpac is building capability and gaining access to emerging fintech opportunities QuintessenceLabs (Qlabs) creates opportunities with quantum technology that encrypts confidential data Assembly Payments is a payments platform that helps marketplaces, merchants, and their customers transact simply and securely Direct investment/partnering Reinventure Example of how a Reinventure investment delivered a commercial solution for customers •Distributed ledger •Payments •Big data •Social networks •Digital processes •Digital currencies •Peer to peer lending •Data analytics •B2B networks

Reinventure – Investing in new fintech businesses1 1 Logos are of the respective companies. Digital transformation Flare HR provides a comprehensive cloud-based human resources and employee benefits platform to streamline HR processes A business loan marketplace that matches SMEs to the best lender based on their characteristics and needs A natural language AI system for data analysis targeting relatively simple business queries that comprise 70% of an analyst’s work in a large organisation Open Banking API platform that provides connectivity to over 100 financial sources across Australia and NZ BRICKX enables the purchase of residential property, one ‘brick’ at a time SocietyOne is Australia’s leading peer-to-peer (P2P) online lending platform connecting borrowers and investors in a secure, safe, professional online environment A bitcoin wallet and platform where merchants and consumers can transact the digital currency, bitcoin OpenAgent helps home sellers make decisions about who they choose to sell their property Assembly Payments is a full stack payments platform that helps marketplaces, merchants, and their customers transact simply and securely online Connects ordering apps, payment devices, loyalty and reservations platforms to any point of sale A trust framework and secure platform that allows users to exchange data safely and securely Standardises mobile forms into a format you can easily read and fill at the tap of a button A global big data, business intelligence and enterprise data warehousing company Kasada is an enterprise cyber security company that protects businesses from malicious bot attacks CodeLingo enables software development teams to scale the processes they use to improve code quality, such as code reviews and debugging Everproof provides a single platform for verifying and digitising employee certifications, accreditations and qualifications Indebted provides new ways for businesses to collect outstanding debts. Leveraging modern communications, automation and machine learning, the system can be used by businesses of all sizes An app to revolutionise the payment process for customers when dining out or grabbing a coffee on the go New business models, market places and customer experiences New innovative capabilities Data and analytics Westpac is actively responding to digital threats and opportunities. We encourage digital innovation through investing in venture capital, partnerships and direct investments. Westpac can learn directly and gain access to emerging fintech developments. Westpac has committed up to $100m to Reinventure, an independent early stage venture capital fund. The operation allows Westpac to gain access to emerging fintech business models, adjacent business opportunities and entrepreneurial ways to execute at speed Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 44

Customer Service Hub: Commencing with a new mortgage experience Digital transformation 45 Reengineering the home ownership process: Digitising the end-to-end home loan origination experience by 2020 Customer access via any channel Banker dashboard Customer application tracker At any time customers have clarity as to the status of their application Single point for bankers to view customer information and loan status Applications available seamlessly across channels Remote digital upload of information Customers can upload documents digitally Every element of the process supports providing a record of verification Settlement Digitised offer and acceptance Plain English terms & conditions and online acceptance Simplified application assessment / approval for customer and banker Digitises a number of manual processes Digital settlement. Integrated with land titles registry More home ownership needs met at origination Improved customer experience Increased banker productivity Lower cost of change Increased efficiency 50% reduction in customer documents, faster time to conditional approval 1.7x to 1.2x reduction in costs. Single platform across multiple brands 10% more of customer’s lifestyle and protection needs met 25% reduction in banker time spent processing 25% reduction in the cost of mortgage origination Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Leading to: Phase 1 Strategy Capabilities to be delivered

Customers increasingly choosing digital channels Digital transformation 46 4.53 3.84 287 279 1 Australian consumer and business customers who have had an authenticated session (including Quickzone) on Westpac Group digital banking platforms in the prior 90 days. 2 Sales refers to digital sales of Consumer core products only. Sales with a completed deposit or activation constitute a quality sale. Prior periods have been restated on the same basis to enable comparability with 1H18. 3 Includes new American Express credit card sales to existing customers. 4 Branch transactions are typically withdrawals, deposits, transfers and payments. 5 Digital transactions are typically payments and transfers. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Branch transactions4 (#m) 29.528.1 22.521.720.8 wn 8% 1H15 2H15 1H16 2H16 1H17 2H17 1H18 25.624.4 Do Dow n 4% Digital transactions5 (#m) 304313 241254262 Up 9% 1H15 2H15 1H16 2H16 1H17 2H17 1H18 Up 3% Digitally active customers1 (#m) 4.69 4.33 3.964.05 Up 8% Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 4.18 Up 4% Quality digital sales (#000) and % of sales via digital2,3 Sales % of sales via digital 29 25 24 380 287 312 Up 22% Up 32% 1H17 2H17 1H18

New digital services launched over the last 6 months Digital transformation 48 Electronic correspondence Automatic e-statement registrations Automatic online registrations Application status and next steps New ways of connecting via Alexa1 Through the creation of a digital inbox, customers can choose to receive certain correspondence electronically Credit cards are one of the biggest product groups with paper statements. The creation of automatic e-statement registration for credit cards and personal loans has been introduced Many credit card customers are digitally inactive. New and existing credit card and personal loan customers are now automatically registered for internet and mobile banking Customers can monitor the status and next steps of their application for unsecured finance products Customers can query their account balance, recent spending history and reward points status by talking to Amazon’s virtual assistant, Alexa 1 Alexa is a virtual assistant developed by Amazon. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Helping customers with cybersecurity Digital transformation 49 • Real-time monitoring tools and Proactive time & identifying suspicious transactions in determine whether the customer is using a provide further validation if required 1 Subject to Terms and Conditions. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Detection and remediation Identifying fraudulent/ suspicious behaviour quickly by implementing security solutions such as: Risk Manager: Monitoring transactions real-milliseconds so they can be held, declined or an alert raised for investigation. Customers are then notified and prompted for additional validation • Device ID: Inspecting transaction devices to known device. Real time monitoring tools • Remediation: Westpac will repay any missing funds as a result of internet fraud1 Prevention Using a variety of security features to protect customers: • Biometric login: Face ID or fingerprint to logon to banking • Card lock and unlock: Enabling customers to lock and unlock their card if lost or stolen • Travel notifications: Encouraging customers to notify us of their travel plans to prevent unauthorised overseas transactions • Malware indicator: Inspecting online banking activities to identify if malicious software is present on a customer’s device Awareness Enhancing security awareness for customers by providing information on: • How we protect you • How to protect yourself • Being aware of fraud and common scams

Continued sustainability leadership Sustainable futures 50 1 Alzheimer’s Australia September 2017, acknowledged St. George Bank as Australia’s first dementia friendly bank. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Development Goals alignment priority areas First Half 2018 performance outcomes there when it matters most to • Continued to roll out dementia-friendly banking across brands sustainability policies, action • Refer Appendix 2 page 132 for details of sustainability awards, indexes, recognition, Further information on Westpac’s Sustainability and progress on our strategic priorities is available at www.westpac.com.au/sustainability United Nations Sustainable Westpac’s sustainability • Financial literacy programs through Davidson Institute and Managing Your Money • Improving financial literacy in target segments with specific programs: Youth supported through Year 13 partnerships and Mathspace Helping people make better Young adults and women through The Cusp and Ruby Connection financial decisions Older Australians through Starts at 60 • Over 19,000 customers received hardship assistance via Westpac Group Assist Helping people by being• 1st Australian bank accredited as dementia friendly1 them • 134 microenterprises have been provided finance, including 39 Indigenous businesses, through our Many Rivers partnership, helping to create 1,681 jobs • At 31 March 2018, 25 start-ups supported, including 20 through Reinventure Helping people create a• Total committed exposure of $8.5bn to climate change solutions and environmental prosperous nation services at 31 March 2018 • Maintained Indigenous employment parity • Launched a neurodiversity internship program to support people on the Autism A culture of doing the rights pectrum build a career in the Group thing• Launched the Inclusion and Diversity strategy for 2018 to 2020 • Maintained carbon neutral status The fundamentals –• $2.6m sourced from diverse suppliers, including $1.7m from Indigenous suppliers plans and frame works key commitments and partnerships

Climate-related metrics Sustainable futures 51 (% of TCE)1 220 203 10.6 0.86 Renewable energy transport 5.5 5.3 5.3 3.8 3.5 1 Exposures in WIB only. 2 Australia only. NEM benchmark is sourced from Australian Energy Market Operator. 3 Data reported annually. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Emissions intensity (tCO2-e/MWh)2,3 Westpac electricity generation portfolio National electricity market (NEM) benchmark 0.910.90 FY15FY16FY17 0.38 0.38 0.36 Climate change solutions exposure (% of TCE) TCE at 31 March 2018 $8.5bn 3.8 3.8 Green buildings 6.6 12.441.7 Low carbon Adaptation infrastructure 31.7 Forestry Other Mining exposure ($bn) Sep-15 Sep-16 Sep-17 Mar-18 14.5 11.3 9.7 9.3 6.46.8 5.0 1.4 0.9 0.6 0.4 Total Non-fossil fuel Oil and gas Coal - thermal & metallurgical Electricity generation exposure TCE at 31 March 2018 $3.5bn 1.8 0.9 Renewable energy Gas 14.9 Black coal Brown coal 71.8 Liquid fuel Climate change solutions exposure ($bn) 8.5 7.0 6.1 6.2 Sep-15 Sep-16 Sep-17 Mar-18 Total scope 1, 2 and 3 emissions (tCO2e, 000s)3 244 FY15 FY16 FY17

Delivering sustainable value for all stakeholders1 Sustainable futures 52 Customers Employees Community Suppliers Investors Economy Environment 14.0m Customers 39,574 Employees 40+ years Sponsorship of Westpac Rescue Helicopter Service $2.4bn Spent with suppliers in Australia 14.0% Cash return on equity $1.9bn Income tax 1H18 $8.5bn Committed exposure to climate change and environmental solutions $1.7bn Climate related bond issuance Provided 126,000 New home loans Australia 50% Target reached for Women in Leadership positions $1.3bn Committed exposure to social and affordable housing sector $1.7m Spent with Indigenous Australian suppliers $3.2bn In dividends to shareholders 30.3% Effective tax rate in 2nd Largest tax payer in Australia5 10th time In 2017, Westpac achieved the global banking leadership position in the Dow Jones Sustainability index for the 10th time Provided $11bn New business lending in Australia (excludes Institutional) 74% Employees with flexible working arrangements2 200 200 education scholarships3, 200 community grants4 and 200 Businesses of Tomorrow in our 200th year 630K shareholders and more via super funds $2.4bn Paid to employees $1.25 Cash earnings per ordinary share (cents) $0.4bn In other taxes paid including Bank Levy $0.2bn6 19,473 Customers supported through Westpac Group Assist 1 Data for 1H18 or as at 31 March 2018 unless otherwise stated. 2 As at 30 September 2017. 3 Through Westpac Bicentennial Foundation. 4 Through Westpac Foundation. 5 Source: Corporate Tax Transparency Report 2015 - 2016, published December 2017. 6 Australia only. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Net operating income up 3% over the half Revenue 54 39 19 5 3 162 (97) 213 38 (209) 92 231 3 (6) 59 3 1H17 CB BB BTFG WIB NZ Group 2H17 CB BB BTFG WIB NZ Group 1H18 1 AIEA is average interest-earning assets. 2 Divisional movements from 1H17 to 2H17 have been restated to reflect restatements that occurred in 1H18. 3 The New Zealand contribution in A$. 4 Group Businesses. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Net operating income by division2 ($m) 1H18 Divisional contribution (%) (7)(193)173 11,151 CB 10 BB 13 40 BTFG WIB 11 NZ 3 23 Group 4 3434 37(126)51 10,76110,79576 Flat (up $34m) Up 3% Net operating income movement ($m) 11,151 10,761(16)10,795 Net interest up 4% 1H17 AIEA1 Margins Fees &Wealth Trading Other 2H17 AIEA1 Margins Fees &Wealth Trading Other 1H18 growth commissions growth commissions 15677 Non-interest up 2% Non-interest down 9% Net interest up 4%

Composition of lending and deposits Composition of Revenue 55 (28) 437 667 up NZ $1.8bn 1 In 1H18, $4.1bn of structured deposits were reclassified as term deposits, previously they had been reported as transaction. Prior periods have been adjusted for comparability. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Mar-17 Sep-17 Consumer Bank Business Bank WIB New Zealand Other (inc. BT) Mar-18 Mar-17 Sep-17 New lending Net run off Mar-18 Customer deposit mix ($bn) and % of total Term deposits1 Savings Transaction1 479487502 41% 143 28% 31% 134 Up 2% 139 Up 3% 155 152 154 204 193 194 Mar-17 Sep-17 Mar-18 Customer deposit composition ($bn) CB BB WIB BTFG, NZ & Other 502 479487 Mar-17 Sep-17 Mar-18 96 89 92 99 98 92 108 107 102 190 196 199 Net loans ($bn) 68582231701 New Zealand Up 2% Composition of lending (% of total) 2 Aust. mortgages 11 Aust. business 3 Aust. institutional Aust. other consumer 1362 New Zealand lending Other overseas lending Australian mortgage lending ($bn) 38 414 427

Net interest margin excluding Treasury & Markets up 3bps Revenue 56 1bp 1bp 2bps 0bp 2.05 1 NIM excluding Treasury & Markets has been restated on the same basis as 1H18. 2 Divisional NIM has been restated on the same basis as 1H18. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 2H17 Loans Customer deposits Term wholesale funding Bank Levy Capital & other Liquidity Treasury & Markets 1H18 Net interest margin by division2 (%) 1H17 2H17 1H18 2.70 2.74 2.78 CB BB WIB NZ 2.27 2.36 2.37 1.96 2.09 2.15 1.56 1.62 1.58 Net interest margin (NIM) movement1 (%) Treasury & Markets impact on NIM NIM excl. Treasury & Markets 4bps 2.17 1bp (2bps) 2.10 0.12 2.07 0.08 Margin excluding Treasury & Markets up 3bps 0.11 2.05 2.02 1.96 Net interest margin (NIM)1 (%) NIM NIM excl. Treasury & Markets 2.192.17 2.03 1H13 2H13 1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18

Expenses up 1% from investments and increased regulatory and compliance costs including the Royal Commission Expenses 59 34 4,654 22 4,604 35,290 (210) 247 16 35,096 1 Company data, Credit Suisse. Expense to income ratio average for Peer 1, 2 and 3 based on 1H18 results, all others based on FY17. Peer 1 and 2 are presented on a continuing operations basis. Peer 3 excludes restructuring costs. European average excludes Deutsche Bank. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack US regional average European average Canadian average Korean average Hong Kong average Peer 1 Singapore average Peer 2 Peer 3 WBC Consistent productivity savings ($m) 263262 FY14 FY15 FY16 FY17 1H18 239 131 219 Global peer comparison of expense to income ratios1 (%) 70.1 55.952.7 47.245.045.043.943.941.7 61.7 Expense movements ($m) 125(131) 2H17 Ongoing Productivity Investment Regulatory/1H18 expenses compliance Up 1% FTE run versus change (#) Run: ongoing operations Change: project based 37735,720 1H17 Run Change 2H17 Run Change 1H18

Investment spend focused on growth and productivity Expenses 60 Investment spend ($m) 1H17 2H17 1H18 Expensed 236 243 251 Capitalised 344 433 387 Total investment spend 580 676 638 Investment spend expensed 41% 36% 39% Capitalised software Opening balance 1,781 1,814 1,916 Additions 344 422 389 Amortisation (303) (311) (301) Other1 (8) (9) 1 Closing balance 1,814 1,916 2,005 Average amortisation period 2.9yrs 2.9yrs 3.2yrs Other deferred expenses Deferred acquisition costs 91 86 80 Other deferred expenses 56 28 30 1 Other includes write-offs, impairments and foreign exchange translation. 2 Based on 1H18 results. Software amortisation has been annualised. Peer 1 and 2 are reported on a continuing operations basis. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Capitalised software2 Capitalised software balance ($bn) Amortisation ($bn) Average amortisation period (years) 6.5 Peer 1 Peer 2 Peer 3 WBC 4.8 2.71 2.00 3.2 1.90 1.78 3.3 0.60 0.56 0.40 0.40 Investment spend mix ($m) Other technology Regulatory change Growth & productivity 580676638 1H17 2H17 1H18 62 77 84 143 182 163 375 417 391

Continued low impairment charge reflects sound asset quality Impairments 61 of large names of large write-backs 393 364 360 256 246 173 (43) (86) (110) 80 20 1 Pre-2008 does not include St.George. 2008 and 2009 are pro forma including St.George for the entire period with 1H09 ASX Profit Announcement providing details of pro forma adjustments. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Impairment charges and stressed exposures1 (bps) 120500 Impairment charge to average loans 100 400 annualised (lhs) Stressed exposures to TCE (rhs) 300 60 200 40 100 00 2007 2008 2009 2010 2011 2012 2013 2014 1H15 2H15 1H16 2H16 1H17 2H17 1H18 109bps 11bps Impairment charges ($m) Individually assessed Collectively assessed New IAPs Write-backs & recoveries Write-offs direct Other movements in CAP Total Lower due to absence Lower due to an absence 484443525430457493 (173) (228) (228) (167)(183) 2H16 1H17 2H17 1H182H16 1H17 2H17 1H18 2H16 1H17 2H17 1H18 2H16 1H17 2H17 1H182H16 1H17 2H17 1H18

Standard and Poor’s Risk Grade1 Australia NZ / Pacific Asia Americas Europe Group % of Total AAA to AA- 93,873 8,940 2,096 10,668 462 116,039 11% A+ to A- 32,577 6,243 7,084 5,206 2,801 53,911 5% BBB+ to BBB- 55,783 11,563 8,986 2,298 1,572 80,202 8% BB+ to BB 73,307 11,564 1,755 393 258 87,277 9% BB- to B+ 62,373 9,655 96 15 11 72,150 7% <B+ 5,612 2,580 - - - 8,192 1% Mortgages 500,981 54,062 396 - - 555,439 54% Other consumer products 44,634 5,165 8 - - 49,807 5% Total committed exposures (TCE) 869,140 109,772 20,421 18,580 5,104 1,023,017 Exposure by region2 (%) 85% 11% 2% 2% <1% 100% High quality portfolio with bias to mortgage lending Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1 Risk grade equivalent. 2 Exposure by booking office. Lending composition at 31 March 2018 (% of total) Asset composition (%) 63 Credit Quality 69 17 11 3 Housing Business Institutional Other consumer Total loans of $701bn Exposure by risk grade at 31 March 2018 ($m) Total assets ($872bn) 1H17 2H17 1H18 Loans 80 81 80 Trading securities, financial assets at fair value and available-for-sale securities 11 10 10 Derivative financial instruments 3 3 3 Cash and balances with central banks 2 2 3 Life insurance assets 1 1 1 Goodwill 1 1 1 Receivables due from other financial institutions 1 1 1 Other assets 1 1

A diversified loan portfolio Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1 Exposures at default is an estimate of the committed exposure expected to be drawn by a customer at the time of default. Excludes consumer lending. 2 Finance and insurance includes banks, non-banks, insurance companies and other firms providing services to the finance and insurance sectors. 3 Property includes both residential and non-residential property investors and developers, and excludes real estate agents. 4 Construction includes building and non-building construction, and industries serving the construction sector. 5 NBFI is non-bank financial institutions. 0 20 40 60 80 100 Other Mining Accommodation, cafes & restaurants Construction Utilities Agriculture, forestry & fishing Transport & storage Property services & business services Services Manufacturing Wholesale & retail trade Government admin. & defence Property Finance & insurance Mar-17 Sep-17 Mar-18 1.9 1.4 1.3 1.1 1.2 1.3 1.1 1.2 1.0 1.1 1.1 Sep-08 Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Mar-18 0 300 600 900 1,200 1,500 1,800 2,100 2,400 2,700 A+ BBB- BBB+ BBB+ A- A- BBB- BBB+ A BBB+ S&P rating or equivalent Top 10 exposures to corporations and NBFIs5 (% of TCE) Top 10 exposures to corporations & NBFIs5 at 31 March 2018 ($m) 64 Largest corporation/NBFI single name exposure represents less than 0.3% of TCE Exposures at default1 by sector ($bn) 2 3 4 Credit Quality

Well provisioned, sound asset quality Credit Quality 65 Provisions for impairments 1H17 2H17 1H18 Total provisions to gross loans (bps) 52 45 45 Impaired asset provisions to impaired assets (%) 52 46 46 Collectively assessed provisions to credit RWA (bps) 77 76 75 3,332 Overlay ($m) 378 323 335 48 46 46 46 46 45 43 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Impaired asset provisions to impaired assets (%) 1H172 H17 1H18 5250 Westpac Peer 1Peer 2Peer 3 353634 Total impairment provisions ($m) Overlay 5,061 Collectively assessed provisions 3,4813,513 3,119 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Mar-17 Sep-17 Mar-18 453 Individually assessed provisions 4,414 2,986 346 4,241 363 3,949 2,607 389 3,602 2,408 2,196 389 378 3,165 389 388 2,344 2,348 335 2,225 323 2,275 2,359 2,316 1,622 1,461 1,470 1,364 869 867 787 669 480 471

Stressed exposures little changed Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1 Facilities 90 days or more past due date not impaired. These facilities, while in default, are not treated as impaired for accounting purposes. New and increased gross impaired assets ($m) Movement in stress categories (bps) Stressed exposures as a % of TCE 66 114 5 1 0 3 105 0 3 0 1 109 Mar-17 Impaired 90+ dpd not impaired Substandard Watchlist Sep-17 Impaired 90+ dpd not impaired Substandard Watchlist Mar-18 1,748 1,519 1,343 1,060 1,194 997 958 708 609 607 633 1,078 477 589 440 471 2H10 1H11 2H11 1H12 2H12 1H13 2H13 1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 0.67 0.62 0.58 0.44 0.27 0.20 0.22 0.20 0.15 0.15 0.46 0.41 0.35 0.31 0.26 0.25 0.33 0.35 0.34 0.37 2.07 1.45 1.24 0.85 0.71 0.54 0.65 0.59 0.56 0.57 3.20 2.48 2.17 1.60 1.24 0.99 1.20 1.14 1.05 1.09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Mar-17 Sep-17 Mar-18 Watchlist & substandard 90+ day past due (dpd) and not impaired Impaired Credit Quality 1 1

Areas of interest: Commercial property Credit Quality 69 Commercial property portfolio Sep-17 Mar-18 Total committed exposures (TCE) $65.2bn $66.3bn Lending $49.6bn $51.1bn Commercial property as a % of Group TCE 6.48 6.48 Median risk grade BB equivalent BB equivalent % of portfolio graded as stressed1,2 1.27 1.74 % of portfolio in impaired2 0.38 0.28 9 15 & diversified groups 16 Vic Qld SA & NT WA 21 10 46 Retail Investors >$10m 30 26 11 10 Groups and Property (diversified) 1 Includes impaired exposures. 2 Percentage of commercial property portfolio TCE. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Mar-09 Sep-09 Mar-10 Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 Commercial property portfolio composition (%) Region (%)Borrower type (%)Sector (%) NSW & ACT Exposures <$10m Commercial offices Developers >$10m Residential 4444 8 NZ & Pacific Diversified Property Industrial Institutional Trusts >$10m Commercial property exposures % of TCE and % in stress 10 Commercial property as % of TCE (lhs)20 815 6 10 4 25 00 Commercial property % in stress (rhs)

Areas of interest: Inner city apartments Credit Quality 70 Commercial property portfolio TCE ($bn) Mar-17 Sep-17 Mar-18 TCE %1 Residential apartment development >$20m 4.1 4.2 4.0 6.0% • • Market activity is slowing as demand eases and pre-sales slow Still a high level of construction to complete. Our tightened risk appetite in areas of higher concern (progressively introduced since 2012) remains in place Settlements remain slightly slower, but Westpac’s debt has been repaid in full given low loan to value ratios (LVRs) Residential apartment development >$20m in major markets, shown below 2.8 2.7 2.7 4.1% • Sydney major markets 1.3 1.5 1.9 2.9% • Still active in key markets. 1H18 new lending LVR 47.5% Inner Melbourne 1.0 0.7 0.6 0.9% • 1H18 new lending LVR 48% Inner Brisbane 0.2 0.4 0.2 0.3% • Slow market. Exposure low, new lending at 47% LVR Perth metro 0.2 0.0 0.0 - Adelaide CBD 0.1 0.1 0.0 - • Project completed Sep-17 Mar-18 residential apartment development 1 Percentage of commercial property TCE. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Residential apartment development >$20m weighted average LVR (%) 50.449.0 46.447.5 Average portfolio LVR 49% 2018201920202021 Expected completion date Consumer mortgages Consumer mortgages where security is within an inner city Total loans $14.1bn $14.7bn Average LVR at origination 70% 73% Average dynamic LVR 53% 56% Dynamic LVR >90% (% of portfolio) 1.94% 2.65% 90+ day delinquencies 36bps 40bps

Areas of interest: Retail trade Credit Quality 71 Retail trade portfolio Sep-17 Mar-18 Total committed exposures (TCE) $15.4bn $15.5bn Lending $11.5bn $11.3bn Retail trade as a % of Group TCE 1.53 1.51 Median risk grade BB equivalent BB equivalent % of portfolio graded as stressed 1,2 3.02 4.67 % of portfolio in impaired 2 0.31 0.48 4.67 16.4 16.3 Stressed 2.68 2.51 retailing services 1 Includes impaired exposures. 2 Percentage of retail trade portfolio TCE. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Retail trade portfolio composition Retail trade exposure (TCE) $bn% of portfolio graded as stressed Retail trade by risk grade category $bn Investment 6.4Sub-investment 5.0 Personal and Motor vehicle Food retailing Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 household good retailing and 4.1 14.4 15.315.415.5 14.0 3.663.58 3.02 2.29 Overview •The retail sector continues to be challenged by subdued consumer demand and growth in domestic and international online channels •These changes have been emerging for a number of years and businesses continue to adapt •Stress increased over the half principally from the downgrade of two institutional customers •The portfolio is diversified and the asset quality remains sound

Areas of interest: Mining and NZ dairy Credit Quality 72 Mining (inc. oil and gas) portfolio Sep-17 Mar-18 140 pac Total committed exposures (TCE) $9.7bn $9.3bn Lending $5.1bn $5.1bn % of Group TCE 0.96 0.91 % of portfolio graded as stressed1,2 2.33 1.72 % of portfolio in impaired2 0.44 0.31 New Zealand dairy portfolio Sep-17 Mar-18 Economics forecast $10 Total committed exposure (TCE) NZ$6.0bn NZ$6.1bn Lending NZ$5.8bn NZ$5.8bn % of Group TCE 0.55 0.55 % of portfolio graded as stressed1,2 17.02 14.94 $0 % of portfolio in impaired2 0.34 0.47 1 Includes impaired exposures. 2 Percentage of portfolio TCE. 3 Sourced from Westpac Economics and Bloomberg. 4 The steel index 62% Fe fines benchmark. 5 Brent oil price. 6 Source Fonterra. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack NZ dairy portfolio (TCE) by security (%) 22 1 77 Fully secured Partially secured Unsecured Milk price & Fonterra dividend6 (NZ$) Kg Ms DividendMilk price Westpac $8 $6 $4 $2 0.40 0.400.30 6.55 6.50 0.250.40 6.12 4.40 3.90 2014/15 2015/16 2016/17 2017/18 2018/19 Mining portfolio (TCE) by sector (%) 9 1538 5 2211 Oil and gas Iron ore Other metal ore Coal Mining services Other Iron Ore and Oil prices ($)3 Iron ore (USD/t)4 Crude oil (USD/bbl)5 mics ast 100 60 20 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18 West Econo forec

Australian consumer unsecured lending, 3% of Group loans Credit Quality 73 Australian consumer unsecured lending portfolio Mar-17 Sep-17 Mar-18 30+ day delinquencies (%) 3.99 3.60 3.95 90+ day delinquencies (%) 1.63 1.66 1.71 Estimated impact of changes to hardship treatment for 90+ day delinquencies (bps) 28bps 56ps 52ps • APRA hardship policy adopted across Westpac’s Australian unsecured portfolios in FY17 March 2018 unsecured consumer delinquencies, excluding hardship reporting changes are 9bps higher than September 2017, and 16bps lower than March 2017 • 3.00 8 7 7 5 55 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Australian unsecured portfolio ($bn) Mar-17Sep-17Mar-18 23 22 22 10 10 10 Credit cards Personal Auto loans Total loans(consumer)consumer unsecured 90+ day delinquencies (%) Personal loans Auto loans Personal loans Auto loans ex-hardship ex-hardship Hardship reporting 2.00 1.00 - changes commenced 90+ day delinquencies (%) Total unsecured Credit cards consumer lending Total ex-hardship Credit cards 3.00ex-hardship Hardship reporting 2.00 1.00 - changes commenced 90+ day delinquencies (%) by State NSW/ACTVIC/TASQLDWASA/NT 3.00 2.00 1.00 -

Australian mortgage portfolio continues to perform well Credit quality 74 Australian mortgage portfolio delinquencies (%) Australian mortgage delinquencies and properties in possession (PIPs) Mar-17 Sep-17 Mar-18 90+ day past due total 90+ day past due investor 3.0 30+ day delinquencies (bps) 139 130 144 90+ day delinquencies (bps) (includes impaired mortgages) 67 67 69 2.0 Consumer PIPs 382 437 398 1.0 Properties in possession continue to be mostly in WA and Qld reflecting weaker economic conditions in those states. Targeted collections strategies in those states have contributed to lower PIPs in 1H18 and improved customer outcomes 0.0 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 43 41 1H18 Westpac Group drawdowns 37 12 9 7 7 7 6 1 Source ABA Cannex February 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Housing lending portfolio by State (%) Australian banking system1 Westpac Group portfolio 27 26 29 17 17 15 NSW & ACTVIC & TASQLDWASA & NT Australian mortgages 90+ day delinquencies by State (%) 3.0 2.0 1.0 0.0 Mar-14 Sep-14Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 NSW/ACTVIC/TASQLD WASA/NTALL Introduced new hardship treatment 30+ day past due total Loss rates Introduced new hardship treatment

Australian mortgage portfolio well collateralised Credit quality 75 Mar-17 balance Sep-17 balance Mar-18 balance 1H18 flow1 Australian mortgage portfolio 100 1H18 drawdowns LVR at origination Portfolio LVR at origination Portfolio dynamic LVR5 Total portfolio ($bn) 413.9 427.2 437.2 38.4 55.3 55.5 57.2 Owner occupied (%) 56.0 Investment property loans (%) 39.5 39.8 39.5 42.4 Portfolio loan/line of credit (%) 5.3 4.8 4.5 0.4 82 / 18 79 / 21 70 / 30 Variable rate / Fixed rate (%) 77 / 23 Interest only (%) 50.1 45.5 39.6 22.6 10 11 6 5 5 5 Proprietary channel (%) 57.7 57.3 56.5 52.0 2 1 1 0 8.4 8.1 6.9 First home buyer (%) 7.9 Mortgage insured (%) 18.1 17.5 16.9 11.1 balance balance balance Mar-17 Sep-17 Mar-18 Average loan size2 ($’000) 259 264 270 Customers ahead on repayments including offset account balances3 (%) 71 70 68 Actual mortgage losses net of insurance4 ($m) 36 48 48 Actual mortgage loss rate annualised (bps) 2 2 2 1 Flow is new mortgages settled in the 6 months ended 31 March 2018 and includes RAMS. 2 Includes amortisation. 3 Excludes RAMS in 1H17 and 2H17. Includes RAMS in 1H18. Loans ahead on payments exclude equity/line of credit products as there are no scheduled principal payments. 4 Mortgage insurance claims 1H18 $6m (2H17 $9m; 1H17 $3m). 5 Excludes RAMS. 6 LVR calculated as simple average by balances. 7 Dynamic LVR is the loan-to-value ratio taking into account the current loan balance, changes in security value, offset account balances and other loan adjustments. Property valuation source Australian Property Monitors. 8 Average LVR of new loans is on rolling 6 months. 9 Weighted average LVR calculation considers size of outstanding balances. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Australian housing loan-to-value ratios (LVRs) (%) 90 80 70 60 50 40 30 20 10 63 48 50 15 15 13 15 20 16 0<=6060<=7070<=8080<=9090<=9595+ Australian mortgage portfolio LVRs Mar-17 Sep-17 Mar-18 Simple averages LVR at origination6 (%)707070 Dynamic LVR5,6,7 (%)424241 LVR of new loans 6,8 (%)686769 Weighted averages LVR at origination9 (%)747474 Dynamic LVR 5,7,9 (%)505252 LVR of new loans 8,9 (%)737371

Australian mortgage portfolio standards tightening Credit quality 76 Notable changes to Westpac mortgage lending standards • 10% limit on investment property lending growth announced – implemented by 30 September 2015 2014 • Stricter loan affordability tests for new borrowers – Increase in minimum assessment (‘floor’) rate to 7.25% – Increase in serviceability assessment buffer to 2.25% Credit card repayments assessed at 3% of limit (previously 2%) Expenses benchmark (HEM) adjusted by income bands as well as post settlement postcode location, marital status and dependants Serviceability for loans with interest only terms assessed over the residual P&I term, not full loan term Maximum I/O terms reduced – owner occupied reduced to 5 years • • 2015 standards tightened • • • Mandatory 20% minimum shading on all non base income (e.g. rental income, annuity income) – previously non base income discounted by varying amounts Stopped non-resident lending – For Australian and NZ citizens and permanent visa holders using foreign income, tightened verification and LVR restricted to 70% Maximum I/O terms for new IPLs reduced to 10 years Maximum LVRs restricted to include LMI capitalisation • 2016 • • 4 4 • • • • 30% limit on interest-only lending originations Tighter limits on interest-only lending >80% LVR Heightened supervision of mortgage lending warehouses Strengthened pre settlement hind-sighting process with introduction of day 2 review team 2 2017 • More granular assessment of living expenses through the introduction of 13 categories to capture living expenses and other commitments1 2018 1. Currently excludes RAMS. Additional expense categories expected to be implemented for RAMS in 2H18. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Pre-2006 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 (YTD) Australian mortgage portfolio by year of origination (% of total book) Calendar year More than half the portfolio originated after lending 18 17 5 14 10 7 55 4 23

Australian mortgage portfolio repayment buffers Credit quality 77 for a mortgage must discount Westpac minimum assessment ('floor') rate 36 35 33 7.25% minimum 27 30 29 27 high for tax purposes months repayment buffer 1 SVR is the Standard Variable Rate for owner-occupied Westpac Rocket Repay Home Loan inclusive of Premier Advantage Package discount. 2 Excludes RAMS. 3 Includes RAMS in 1H18. Customer loans ahead on payments exclude equity/line of credit products as there are no scheduled principal payments. ‘Behind’ is more than 30 days past due. ‘On time’ includes up to 30 days past due. Includes mortgage offset accounts. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 Ma r-14 Se p-14 Ma r-15 Se p-15 Ma r-16 Se p-16 Ma r-17 Se p-17 Ma r-18 Australian home loan customers ahead on repayments3 (% by balances) Mar-17 Sep-17 Mar-18•68.5% of Westpac Loans 'on time' and <1 month ahead (% of balances) borrowers are ahead on their mortgage Investment property loans - repayments incentivised to keep repayments 23 23 2225 24 22 Accounts opened in the last 12 111 17 18 19 766 Loans with structural restrictions on repayments e.g. fixed rate Residual - less than 1 month Behind On Time< 1 Mth < 1 Yr< 2 Yrs>2 Yrs Mar-18 24 6 6 12 Westpac Australian off. set account balances2 ($bn) Linked to P&I mortgages Linked to I/O mortgages 3739 31 24 21 Mortgage interest rate buffers (%) Westpac owner occupied SVR1 inc package• Borrowers applying be able to service 9 the higher of either: .25 7 assessment rate; or 54.44 Product rate plus 2.25% buffer 3 7

Interest only portfolio Credit quality 78 5.03 4.99 1 Flow is based on APRA definition. 2 I/O is interest only mortgage lending. P&I is principal and interest mortgage lending. 3 Interest rates as at 7 March 2018 for Westpac Rocket Repay Home Loan inclusive of Premier Advantage Package discount assuming loan amount $250,000 - $499,999. 4 Excludes I/O loans that should have switched to P&I but for the previously announced mortgage processing error. 5 Excludes RAMS. Dynamic LVR is the loan-to-value ratio taking into account the current loan balance, changes in security value, offset account balances and other loan adjustments. Property valuation source Australian Property Monitors. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Interest only lending by dynamic LVR5 and income band (%) Applicant gross income bands 60>$250k <$100k <=60%60%<=80%>80% Chart does not add due to rounding Dynamic LVR bands (%) 14 $100k - $250k 32 31 7 8 2 2 18 15 7 5 Scheduled I/O term expiry4 (% of total I/O loans) 19 17 0<1 Yr1<2 Yrs2<3 Yrs3<4 Yrs4<5 Yrs5<10 Yrs10 Yrs+ 16 15 14 9 10 I/O1 flows (% of total) Applications Settlements APRA 30% limit 43 2322 22 3Q17 4Q17 1Q18 2Q18 35 23 2624 Switching from I/O to P&I2 ($m) Reached end of I/O periodCustomer initiated 3Q17 4Q17 1Q18 2Q18 7,913 4,717 4,044 4,261 3,911 3,447 3,623 3,004 Variable mortgage interest rates3 (%) at 31 March 2018 Owner occupied Investor 5.50 4.44 P&II/OP&II/O

Performance of interest only mortgages Credit quality 79 Interest only lending • Interest only (I/O) loans always assessed on a principal and interest basis – Loans originated prior to 2015 were assessed on a principal and interest basis over the full contractual term – Loans originated from 2015 were assessed on a principal and interest basis over the residual amortising term Current serviceability assessments also include an interest rate buffer (at least 2.25%), minimum assessment rate (7.25%) and a requirement to be in surplus1 I/O loans are full recourse 14 • 2 • Interest only portfolio statistics as at 31 March 2018 • • • 74% weighted average LVR of interest only loans at origination2 (portfolio) 65% of customers ahead of repayments (including offset accounts)2,3 Offset account balances attached to interest only loans represent 55% of offset account balances Interest only portfolio performance as at 31 March 2018 •90+ day delinquencies 58bps (compared to P&I portfolio 73bps) •Annualised loss rate 2bps (net of insurance claims) 1 A surplus requirement measures the extent to which a borrower’s income exceeds loan repayments, expenses and other commitments, as assessed. 2 Weighted average LVR calculation takes into account size of outstanding balances. Excludes RAMS. 3 Customer loans ahead on payments exclude equity/line of credit products as there are no scheduled principal payments. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Nov-14 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 Jan-17 Mar-17 May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 Australian mortgage portfolio delinquencies (%) I/OP&I 2.0 1.5 Introduced new 1.0 0.5 0.0 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 Increase in 90+ day delinquencies includes impact of decreasing balances of I/O loans as borrowers switch to P&I and new flows have declined hardship treatment Australian interest only loan portfolio balances ($m) 250I/O performing loans balance (lhs) 20012 10 1508 1006 4 50 00 I/O 90+ day delinquencies balance (rhs)

Investment property portfolio Credit quality 80 gross income band (%) 25 Mortgage lending growth (%) Investor lending6 growth remaining <10% Investment property lending (IPL) portfolio Mar-17 Sep-17 Mar-18 Weighted averages LVR of IPL loans at origination1 (%) 73 73 73 Investor (APRA Extended definition) Owner occupied LVR of new IPL loans in the period1,2 (%) 72 72 71 9.8% Dynamic LVR 1,3 of IPL loans (%) 55 54 54 5.6% Average loan size4 ($’000) 309 313 318 5.5% Customers ahead on repayments including offset accounts 1,5 (%) 4.4% 61 59 58 90+ day delinquencies (bps) 47 49 53 Annualised loss rate (net of insurance claims) (bps) 2 3 2 1 Weighted average LVR calculation takes into account size of outstanding balances. Excludes RAMS. 2 Average LVR of new loans is on rolling 6 month window. 3 Dynamic LVR is the loan-to-value ratio taking into account the current loan balance, changes in security value, offset account balances and other loan adjustments. Property valuation source Australian Property Monitors. 4 Includes amortisation. 5 Includes RAMS in 1H18. Customer loans ahead on payments exclude equity/line of credit products as there are no scheduled principal payments. 6 Investor is as per APRA extended definition used for reporting against the 10% cap. 12 month rolling basis. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack <=50 50<=75 75<=100 100<=125 125<=150 150<=200 200<=500 500<=1m 1m+ 0<=60 60<=70 70<=75 75<=80 80<=85 Oct-16 Nov-16 Dec-16 Jan-17 85<=90 90<=95 95<=97 97+ Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Mortgage applications by Owner occupied IPL 20 15 10 5 0 Australian mortgage portfolio at 31 March 2018 LVR at origination (%) Owner occupied IPL 50 40 30 20 10 0 Australian mortgage portfolio at 31 March 2018 Investment property portfolio by number of properties per customer (%) 1 1 1 7 22 3 26 4 62 5 6+ Chart does not add to 100 due to rounding

Australian mortgage deep dive Credit quality 81 ending1 by origination date, dynamic LVR2 and income (%) 2 1 Portfolio comprised of residential mortgages, excluding RAMS, and business mortgages originated via a separate platform such as construction loans and loans to SMSFs. 2 Dynamic LVR is the loan-to-value ratio taking into account the current loan balance, changes in security value, offset account balances and other loan adjustments. Property valuation source Australian Property Monitors. 3 Based on a specific Rocket Repay rate offered during the period. Westpac Rocket Repay Home Loan exclusive of discounts assuming loan amount $250,000 - $499,999. 4 Source, Westpac Economics, CoreLogic. All dwellings Australia - average 8 major capital cities. Prices to March 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Australian mortgage l Chart may not add due to rounding Gross income bands >$250k $100k - $250k <$100k Dynamic LVR2 bands (%) Year of origination <2011 2011-14 2015+ 81 4445 10 7 11 3 25 23 13 12 <6060-80>80<6060-80>80<6060-80>80 % of portfolio at 31 March 2018212653 Westpac SVR3 (%) (excl. discounts)7.866.89 – 5.705.24 Westpac interest rate buffer (%)1.801.802.25 Westpac interest rate floor (%)6.806.807.25 House price changes4 At least 39%21% – 39%0 – 21% 6 8 72 35 14 12 21 3 38 39 22 12 71 2 7 15 2 7 6

Lenders mortgage insurance arrangements Credit quality 82 100% of risk subsequently transferred to Arch Reinsurance Limited 1 From 18 May 2015 WLMI underwrites all mortgage insurance, where required, on Westpac originated Mortgages. The in-force portfolio of loans includes mortgage insurance provided by external providers. 2 Prudential Capital Requirement (PCR) calculated in accordance with APRA standards. 3 Insured coverage is net of quota share. 4 Low doc loans no longer sold. Refers to arrangements in place for legacy products. 5 Loss ratio is claims over the total earned premium plus exchange commission. 6 LMI gross written premium includes loans >90% LVR reinsured with Arch Reinsurance Limited. 1H18 gross written premium includes $62m from the arrangement (2H17: $73m, 1H17: $107m). Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Lenders mortgage insurance arrangements LVR BandInsurance • LVR <80%Not required • Low doc4 LVR <60% • LVR >80% to < 90%•Where insurance required, insured through captive insurer, WLMI • Low doc 4• LMI not required for certain borrower groups LVR >60% to < 80%•Reinsurance arrangements: - 40% risk retained by WLMI - 60% risk transferred through quota share arrangements with Arch Reinsurance Limited, Tokio Millennium Re, Endurance Re, Everest Re, Trans Re, AWAC and Capita 2232 • LVR >90%•100% reinsurance through Arch Reinsurance Limited - Reinsurance arrangements see loans with LVR >90% insured through WLMI with Insurance statistics 1H17 2H17 1H18 Insurance claims ($m)396 WLMI claims ratio5 (%)72720 WLMI gross written premiums6 ($m)14110990 Lenders mortgage insurance •Where mortgage insurance is required, mortgages are insured through Westpac’s captive mortgage insurer, Westpac Lenders Mortgage Insurance1 (WLMI), and reinsured through external LMI providers, based on risk profile •WLMI is well capitalised (separate from bank capital) and subject to APRA regulation. WLMI targets a capitalisation ratio of 1.2x PCR2 and has consistently been above this target •Scenarios indicate sufficient capital to fund claims arising from events of severe stress – estimated losses for WLMI from a 1 in 200 year event are $110m net of re-insurance recoveries (2H17: $117m) Westpac’s Australian mortgage portfolio at 31 March 2018 (%) 84 Not insured Insured by third parties 3 Insured by WLMI 79

Mortgage portfolio stress testing outcomes Credit quality 83 at 31 March 2018 - (18.5) (29.7) (35.2) (% change cumulative) 1 Assumes 30% of LMI claims will be rejected in a stressed scenario. 2 Represents 1H18 actual losses of $48m annualised. 3 Stressed loss rates are calculated as a percentage of mortgage gross loans. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Australian mortgage portfolio stress Key assumptions Current s testing Stressed scenario Year 1 Year 2 Year 3 Portfolio size ($bn)437421413410 Unemployment rate (%)5.511.610.69.6 Interest rates (cash rate, %)1.500.250.250.25 House prices Annual GDP growth (%)2.7(3.9)(0.2)1.7 Stressed loss outcomes (net of LMI recoveries)1 $ million 962 1,186 1,961 725 Basis points3 2 28 48 18 •Westpac regularly conducts a range of portfolio stress tests as part of its regulatory and risk management activities •The Australian mortgage portfolio stress testing scenario assumes a severe recession and assumes that significant reductions in consumer spending and business investment lead to six consecutive quarters of negative GDP growth. This results in a material increase in unemployment and nationwide falls in property and other asset prices •In 1H18 the percentage decline of house prices has been increased in the economic scenario to better align with assumptions used across the industry •Estimated Australian housing portfolio losses under these stressed conditions are manageable and within the Group’s risk appetite and capital base - Cumulative total losses of $3.5bn over three years for the uninsured portfolio (FY17: $2.9bn) - Cumulative claims on LMI, both WLMI and external insurers, of $911m over the three years (FY17: $762m) - Peak loss rate in year 2 has increased (48bps compared to 41bps at FY17) mainly due to the increase in the severity of house price decline through the severe scenario - WLMI separately conducts stress testing to test the sufficiency of its capital position to cover mortgage claims arising from a stressed mortgage environment •Capital targets incorporate buffers at the Westpac Group level that also consider the combined impact on the mortgage portfolio and WLMI of severe stress scenarios

Well positioned for “Unquestionably strong” Capital, Funding and Liquidity 85 (APRA basis) Westpac CET1 capital ratio (rhs, %) APRA industry 10.5% CET1 • RWA increase from regulatory model changes unquestionably strong 55 12 • • RWA increased 3% mostly in credit risk Credit RWA up 3% mostly from regulatory model 50 RWA 10 45 • 10.5% unquestionably strong benchmark Well placed for changes to 2018 unquestionably 4 ordinary shares (~14bps increase) 2 standardised approach (~$7.5bn RWA) developments 15 0 1 Domestic systemically important bank. 2 APRA’s revision to the calculation of RWA for Australian residential mortgages, which came into effect on 1 July 2016. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Highlights CET1 capital ratio (%) and CET1 capital ($bn) Westpac CET1 capital (lhs, $bn) •CET1 capital ratio down 6bps from Sep 2017 ratio and portfolio growth partly offset by organic guidelines 10.5% capital generation $bn Building for 1%% DSIB1 buffer 10.2 10.5 10.110.1 10.5 movements changes 8 40 APRA’s• Proposed changes to framework released Feb 356 strong •Impact studies to be concluded over 2018 and benchmark 2019, finalisation in 201930 •$566m of preference share conversion to 25 •RWA headwinds ~30bps CET1 impact 20 2H18 capital Operational risk model overlay approximates Modelling updates for mortgages (~$4.0bn RWA) •No material impact from transition to AASB 9 10.6 10.0 10.0 9.59.5 9.3 9.08.8 9.0 8.4 44 43 42 Impact of APRA’s 40 41 39 38 38 mortgage RWA2 37 37 34 32 30 30 29

CET1 capital ratio, top quartile globally Capital, Funding and Liquidity 87 BIS 75th percentile2 15.3 16.2 16.1 comparable) 1 Internationally comparable methodology aligns with the APRA study titled ‘International Capital Comparison Study’ dated 13 July 2015. For more details on adjustments refer page 91. 2 Group 1 banks BIS 75th percentile fully phased-in Basel III capital ratios from BIS monitoring report released 6 March 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Capital ratios Mar-17 Sep-17 Mar-18 Key capital ratios (%) APRA basis Internationally comparable1 basis 21.7 16.1 14.8 CET1 Tier 1 Total CET1 Tier 1 Total regulatory regulatory capital capital CET1 capital ratio10.0 10.6 10.5 Additional Tier 1 capital 1.7 2.1 2.3 Tier 1 capital ratio 11.7 12.7 12.8 Tier 2 capital 2.3 2.1 2.0 Total regulatory capital ratio 14.0 14.8 14.8 Risk weighted assets (RWA) ($bn)404404416 Leverage ratio 5.3 5.7 5.8 Internationally comparable ratios 1 Leverage ratio (internationally comparable)6.0 6.3 6.4 CET1 capital ratio (internationally 19.1 12.8 10.5

Well placed on internationally comparable CET1 and leverage ratios Capital, Funding and Liquidity 90 6.39% Peer group comprises listed commercial banks with assets in excess of A$700bn and which have disclosed fully implemented Basel III ratios or provided sufficient disclosure to estimate. Based on company reports/ presentations. Ratios at 31 Dec 2017, except for Westpac and ANZ which are at 31 Mar 2018, while Scotiabank, Bank of Montreal, Royal Bank of Canada and Toronto Dominion are at 31 Jan 2018. NAB CET1 ratio at 31 Mar 2018 and leverage ratio at 30 Sept 2017. For CET1, assumes Basel III capital reforms fully implemented. Leverage ratio is on a transitional basis. Where accrued expected dividends have been deducted, these have been added back for comparability. US banks are excluded from leverage ratio analysis due to business model differences, for example from loans sold to US Government sponsored enterprises. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack China Construction Bank Nordea ICBC Norinchukin Bank Bank of China CBA ANZ Bank of Communications Westpac Intesa Sanpaolo RBS BBVA Rabobank Westpac BPCE China Merchants Bank ING Group Agricultural Bank of China HSBC ANZ Lloyds CBA NAB HSBC Commerzbank Intesa Sanpaolo Rabobank Deutsche Bank NAB Standard Chartered Norinchukin Bank Unicredit RBS Barclays Standard Chartered Sumitomo Mitsui Nordea China Construction Bank Unicredit Credit Suisse Credit Suisse ICBC Lloyds BNP Paribas Citigroup Commerzbank Credit Agricole SA Santander Mitsubishi UFG BPCE JPMorgan Chase Mitsubishi UFG China Merchants Bank Sumitomo Mitsui Mizuho FG BNP Paribas Wells Fargo ING Group Societe Generale Barclays Natixis Bank of America Scotiabank BBVA Credit Agricole SA Scotiabank Societe Generale Bank of China Bank of Montreal Bank of Montreal Mizuho FG Santander Royal Bank of Canada Royal Bank of Canada Toronto Dominion Bank Bank of Communications Deutsche Bank Agricultural Bank of China Natixis Toronto Dominion Bank Leverage ratio (%) 8% 6% 4% 2% 0% Common equity Tier 1 ratio (%) 25% 20% 16.13% 15% 10% 5% 0%

Internationally comparable capital ratio reconciliation Capital, Funding and Liquidity 91 APRA’s Basel III capital requirements are more conservative than those of the Basel Committee on Banking Supervision (BCBS), leading to lower reported capital ratios by Australian banks. In July 2015, APRA published a study that compared the major banks’ capital ratios against a set of international peers1. The following details the adjustments from this study and how Westpac’s APRA Basel III CET1 capital ratio aligns to an internationally comparable ratio (%) Westpac’s CET1 capital ratio (APRA basis) 10.5 Equity investments Balances below prescribed threshold are risk weighted, compared to a 100% CET1 deduction under APRA’s requirements 0.5 Deferred tax assets Balances below prescribed threshold are risk weighted, compared to a 100% CET1 deduction under APRA’s requirements 0.3 Interest rate risk in the banking book (IRRBB) APRA requires capital to be held for IRRBB. The BCBS does not have a Pillar 1 capital requirement for IRRBB 0.4 Loss given default (LGD) of 15%, compared to the 20% LGD floor under APRA’s requirements. correlation factor for mortgages higher than the 15% factor prescribed in the Basel rules APRA also applies a Residential mortgages 1.8 Unsecured non-retail exposures LGD of 45%, compared to the 60% or higher LGD under APRA’s requirements 0.7 Non-retail undrawn commitments Credit conversion factor of 75%, compared to 100% under APRA’s requirements 0.5 Use of internal-ratings based (IRB) probabilities of default (PD) and LGDs for income producing real estate and project finance exposures, reduced by application of a scaling factor of 1.06. APRA applies higher risk weights under a supervisory Specialised lending 0.8 slotting approach, but does not require the application of the scaling factors Increase in the A$ equivalent concessional threshold level for small business retail and small to medium enterprise corporate exposures Currency conversion threshold 0.2 APRA requires these items to be deducted from CET1. The BCBS only requires exposures classified as intangible assets under relevant accounting standards to be deducted from CET1 Capitalised expenses 0.4 Internationally comparable CET1 capital ratio 16.1 Internationally comparable Tier 1 capital ratio 19.1 Internationally comparable total regulatory capital ratio 21.7 1 Methodology aligns with the APRA study titled “International capital comparison study", dated 13 July 2015. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Optimising returns by actively managing capital Capital, Funding and Liquidity 92 Return on AIEA1 (%) Divisional capital and ROE2 2007 1H17 2H17 1H18 Allocated capital ($bn) 1H17 2H17 1H18 Total Group (including intangibles) Net interest margin 57.7 59.4 61.1 2.16 2.07 2.10 2.17 Consumer Bank 14.1 16.4 17.6 Non-interest income 1.29 0.82 0.73 0.74 Business Bank 11.9 11.9 12.5 Operating expenses BTFG 3.5 3.6 3.5 (1.55) (1.21) (1.21) (1.22) WIB 9.2 8.4 8.2 Impairment charges (0.16) (0.13) (0.09) (0.10) Westpac NZ (A$) 4.6 4.6 4.6 Tax and non-controlling interests Return on equity (%) 1H17 2H17 1H18 (0.53) (0.47) (0.47) (0.48) Total Group 14.0 13.6 14.0 Cash earnings (return on AIEA) Consumer Bank 17.1 16.0 16.1 1.20 1.08 1.06 1.11 Business Bank 13.1 14.2 14.1 Leverage (AIEA/AOE) 19.9x 12.9x 12.8x 12.6x BTFG 13.6 12.5 14.4 WIB 12.9 11.7 12.6 Return on equity 23.84 13.95 13.59 13.96 Westpac NZ (A$) 17.1 18.8 17.4 1 Average interest-earning assets. 2 Divisional capital and divisional ROE for 1H17 and 2H17 have been restated to enable comparability with 1H18. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Return on equity (ROE) is important •ROE is a key measure of performance for the Group and across divisions •Westpac seeking to achieve a ROE of 13 - 14% Incorporates a margin above the cost of capital Generates sufficient capital for growth •Group ROE 37bps higher compared to 2H17 with cash earnings up 5% and average equity up 3% •Leverage lower from the increased average ordinary equity (AOE) •Divisional capital allocation refined in 2018 $6bn additional capital allocated to divisions Prior periods restated to enable comparability to 1H18 •Key changes included: Higher capital allocated to Consumer Bank and Business Bank, principally due to more capital being allocated to mortgages A reduction in capital allocated to WIB from lower risk weights for certain corporate exposures

Well progressed on FY18 term funding, $21bn raised to date Capital, Funding and Liquidity 93 7 8 Securitisation Hybrid 5 years 1 Based on residual maturity and FX spot currency translation. Includes all debt issuance with contractual maturity greater than 13 months excluding US Commercial Paper and Yankee Certificates of Deposit. 2 Westpac public benchmark transactions and excludes ASX-listed Additional Tier 1 transaction. 3 Contractual maturity date for hybrids and callable subordinated instruments is the first scheduled conversion date or call date for the purposes of this disclosure. 4 Tenor excludes RMBS and ABS. 5 Perpetual sub-debt has been included in >FY23 maturity bucket. Maturities exclude securitisation amortisation. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack FY14 FY15 FY16 FY17 FY18 YTD FY18 remaining FY19 FY20 FY21 FY22 FY23 >FY23 New term issuance by tenor 3,4 (%) 4.7yrs 4.9yrs 5.4yrs 5.8yrs 7.0yrs WAM4 28 43 56 >5years 4 years 3 years 2 years 1 years 45 30 33 25 17 11 8 FY14 FY15 FY16 FY17 1H18 25 40 30 18 44 25 7 New term issuance composition1 (%) By typeBy currency 2020 529 653 40 Senior unsecured Covered bonds AUD USD EUR Subordinated debt GBP Other By investor location2 By tenor3,4 2356 218 11 20 2933 Asia & Middle East Australia & NZ 3 Years 5 Years Europe North America UK>5 years Charts may not add to 100 due to rounding. Term debt issuance and maturity profile1,3,5 ($bn) Sub debt Senior/Securitisation Hybrid Covered bond 37 42 Issuance Maturities 28 27 29 28 33 31 21 12 21 12

Funding and liquidity metrics Capital, Funding and Liquidity 94 4 1 Wholesale funding Committed Liquidity Facility 2 Corp d 1 Includes long term wholesale funding with a residual maturity less than or equal to 1 year. 2 Equity excludes FX translation, Available-for-Sale securities and Cash Flow Hedging Reserves. 3 LCR is calculated as the percentage ratio of stock of HQLA and CLF over the total net cash outflows in a modelled 30 day defined stressed scenario. Calculated on a spot basis. HQLA includes HQLA as defined in APS 210, RBNZ eligible liquids, less RBA open repos funding end of day ESA balances with the RBA. Committed Liquidity Facility or CLF is made available to Australian Authorised Deposit-taking Institutions by the RBA that, subject to qualifying conditions, can be accessed to meet LCR requirements under APS 210 – Liquidity. Other flows include credit and liquidity facilities, collateral outflows and inflows from customers. 4 Other includes derivatives and other assets. 5 Other loans includes off balance sheet exposures and residential mortgages >35% risk weight. 6 NSFR as at 30 September 2017 was estimated based on APRA guidelines. NSFR became effective in Australia on 1 January 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Liquidity coverage ratio3 (%) Liquid assets Liquid assets September 2017 March 2018 Customer deposits High Quality Liquid Assets Other flows Net stable funding ratio at 31 March 2018 (NSFR, $bn) 594 529 NSFR 30 Sep 20176109% Institutional 31 Mar 2018 112% mortgages Available Stable Funding Required Stable Funding orate & deposits Wholesale funding and other liabilities Liquids and other4 Other loans5 Retail & SME deposits Residential <35% risk weight Capital LCR 124% 121.0 LCR 134% 129.0 96.0 98.0 Net cash outflows 30 Sept Net cash outflows 31 M Funding composition by residual maturity (%) 1 Wholesale Onshore <1yr Wholesale Offshore <1yr1 4 Wholesale Onshore >1yr 1 Wholesale Offshore >1yr Securitisation Equity Customer deposits 12 11 8 8 4 1 62 62 10 5 44 Sep-08 Sep-17 Mar-18 16 20 5 8 6 8

Consumer Bank – growing the franchise Consumer 96 Key financial metrics Change on 2H17 1H17 2H17 1H18 Driven by reduction in funding costs, partly offset by a change in Revenue ($m) 2% 4,110 4,341 4,417 Net interest margin (%) 1bp 2.27 2.36 2.37 (61bps) Expense to income (%) 40.2 39.8 39.2 79 (3) (3) Customer deposit to loan ratio (%) (40bps) 52.8 53.1 52.7 Stressed assets to TCE (%) 1bp 0.66 0.64 0.65 Key operating metrics Change on 2H17 1H17 2H17 1H18 Total customers (#m) 9.0 9.2 9.3 1% Active digital customers (#m) 3.8 4.0 4.1 3% Total branches (#) (21) 1,059 1,046 1,025 7.6 (=2nd) 7.6 (=2nd) 7.6 (=2nd) Customer satisfaction1 - Net promoter score (NPS)1 6mma Up 1 place -2.5 (3rd) 0.9 (4th) 0.3 (3rd) 1 Refer page 137 for metric definition and details of provider. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 2H17 Net interest income Non-interest income Operating expenses Impairment charges Tax and NCI 1H18 Cash earnings ($m) AIEA up 2%, margin up 1bp from improved term deposit spreads and lower wholesale mortgage portfolio mix and full period impact unsecured loans of the Bank Levy impairments 60(40)1,717 1,624 1,531 Lower ATM and transaction fees, lower credit card interchange fees, partly offset by provisions for customer payments and refunds in 2H17 not repeated Up $93m or 6%

Improving the customer experience through digital and new products Consumer 98 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Concierge tool •A tablet based tool that allows bankers to identify and attend to customer needs while improving appointment workflow •Supports the increased digitisation of the branch network and enables banker mobility •Pilot underway, on track to commence roll out to St.George branches in Second Half 2018 Making digital easier •Enabling customers to use internet banking from day 1 •A further 500k accounts elected e-statements during 1H18 •Almost 800k St.George customers elected to receive correspondence electronically in 1H18 New ways of connecting - Alexa •Access account balance, recent spending history, and reward points status with Amazon’s virtual assistant – Alexa •Financial market updates available for customers to include in their daily news feed Wearables •Launched PayWear, a wearable, waterproof payments device providing a hands free way to pay without needing to carry a wallet or a phone. 45,000 on issue at March 2018 •Fitbit MasterCard launched Dec 2017 Rewarding customers •Westpac Extras Rewards & Offers provides debit and credit card customers with merchant discounts and rewards, via Westpac Live •Launched in March 2018, ~900k unique visits in first month •Average $7.5k per week in cashback offers redeemed by customers since launch Payments via Sharing •iMessaging Make payments, obtain cardless cash code and share account details using iPhone iMessage app

Business Bank, another solid result Business 99 Key financial metrics Change on 2H17 1H17 2H17 1H18 Revenue ($m) 2% 2,467 2,559 2,610 Net interest margin (%) 4bps 2.70 2.74 2.78 (36bps) Expense to income (%) 36.4 36.0 35.6 Customer deposit to loan ratio (%) (23bps) 69.9 71.6 71.4 Stressed assets to TCE (%) 35bps 2.29 2.13 2.48 Key operating metrics Change on 2H17 1H17 2H17 1H18 Total business customers (‘000’s) 1% 1,049 1,073 1,085 Customer satisfaction1 (rank) - =#1 #1 #1 Customer satisfaction - SME1 (rank) - #2 #1 #1 Customers migrated to simplified products (‘000’s) 147 n/a 110 257 1 Refer page 137 for metric definition and details of provider. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 2H17 Net interest income Non-interest income Operating expenses Impairment charges Tax and NCI 1H18 Cash earnings ($m) Margins up 4bps from improved Increased deposit spreads and repricing of some regulatory and mortgages in the prior year compliance costs 465(9)6(13)1,080 in the commercial portfolio 1,045 958 Higher line fees Lower impaired downgrades Up $35m or 3%

Transforming the Business Bank Business 101 reconciliations and speeds up the sales process making it easier for customers and bankers products in 1H18 customers’ merchant terminals Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Payment and transaction solutions Helping customers take and make payments, meet cash flow shortfalls and manage payables and receivables Presto Smart •An integrated payment solution enabling merchants to link payments from a range of sources to their payment terminal •Removes the need for manual input and Targeted product range •Continue to streamline and simplify deposit products, •147,000 customers moved to simpler deposit Simpler merchant pricing •Launched a simpler pricing plan for St.George Digital for customers Empowering more customers with online capabilities such as account opening, overdraft access and servicing Investment in digital capabilities continues to support growth of digital channels New online capabilities include: •Ability to open savings or transaction accounts online and unlock a debit card in less than 5 minutes for existing single director and sole trader customers in St.George •Customers can maintain and update details and manage access to their accounts by third parties. Over 1,000 banker-intensive work requests have been automated Investing in bankers Enabling bankers to build great customer relationships through industry insights, paperless processes, simplified products and innovative technologies eDocs for Westpac SME bankers •Launched eDocs to reduce loan deal preparation time and accelerate customer acceptance, resulting in a faster time to cash Industry insights and risk grading •Through Optimist, our credit risk management tool, bankers can prepare file reviews more efficiently, better assess customer financial needs and provide insights to customers based on industry benchmarks •Currently providing this service for the legal sector and rolling out to further industries in 2H18 LOLA for St.George •Expanded the Group’s online lending origination platform (LOLA) to St.George SME bankers •The system simplifies and speeds up loan origination

BTFG, a leading wealth provider responding to industry change BT Financial Group 102 Key financial metrics Change on 2H17 1H17 2H17 1H18 5% 1,131 1,124 1,183 Revenue ($m) Large Expense to income (%) 52.1% 54.3% 50.8% 3% 191.5 191.4 197.7 Total funds ($bn) (spot) (19) 53 3% Loans ($bn) (spot) 19.3 20.1 20.8 3% Deposits ($bn) (spot) 29.7 30.7 31.7 Key operating metrics ($m) Change on 2H17 1H17 2H17 1H18 Customers with a wealth product3 (%) 18 18 18 (4bps) Planners (salaried & aligned) (#) (spot) 1,094 1,011 939 (7%) Platform FUA market share4 (inc. Corp Super) (%) 19 19 18 (50bps) Platform gross flows market share4 (inc. Corp Super) (%) 20 21 21 40bps Life Insurance market share5 (%) 12 12 11 (40bps) Life Insurance in-force premiums6 ($m) 1,030 1,068 1,276 19% H&C insurance market share7 (%) 6 6 6 (20bps) General Insurance gross written premiums ($m) 250 258 251 (3%) 1 Includes $11m of revenue ($4m cash earnings) from the management of Group Insurance for BTFG Corporate Super. 2 Represents income on invested capital required for regulatory purposes primarily for Life Insurance entities. 3 Refer page 137 for wealth metrics provider. 4 Strategic Insight, All Master Funds Admin at Dec 17 (for 1H18), at Jun 17 (for 2H17), at Dec 16 (for 1H17) and represents the BT market share at these times. 5 Strategic Insight (Individual Risk) rolling 12 month average. New sales includes sales, premium re-rates, age and CPI indexation Dec 17. 6 At 1 Jan 18, Westpac Life Insurance Services Limited became the preferred insurer for BTFG Corporate Super members. Life insurance in-force premium at Mar 18 consists $1,000m retail, $276m Group Life Insurance (2H17: $993m retail, $75m Group Life insurance; 1H17: $966 m, $64m Group Life insurance). 7 Internally calculated from APRA quarterly general insurance performance statistics, Dec 17. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 Cash earnings impact of BTIM sell down 1H17 Funds Management Income 1 Insurance income Capital and other income2 Expenses Tax and NCI 1H18 Cash earnings ($m) Loans up 8%, deposits up 7%, Higher insurance premiums average funds up 8%. Partly Retail Life in-force: up 4% offset by margin compression H&C GWP: up 4% and lower Advice revenue Lower weather related claims 26(12)(12) 404 379(11)368 Up $36m or 10%

Sound fundamentals BT Financial Group 103 1,276 General Insurance gross written premiums¹ 3.6 973 927 64 250 245 258 1 Includes CCI gross written premiums of $16m in 1H18 (2H17:$21m; 1H17:$25m; 2H16:$25m; 1H16:$24m) 2 Retail Platforms market share sourced from Strategic Insight, All Master Funds Admin segment and represents the BT Wealth business market share disclosed in Strategic Insight as at December 2017. 3 Strategic Insights December 2017. 4 Market share is Retail life insurance new sales. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Life insurance lapse rates3 (%) WBC Peer 1 Peer 2 Market Avg Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Retail platforms market share2,3 (%) WBC Peer 1 Peer 2 Avg next top 4 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Life insurance market share 3,4 (%) WBC Peer 1 Peer 2 Avg next top 4 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Insurance premiums ($m) Group in-force premiums Retail in-force premiums 1,0301,068276 5963 1,000 1H16 2H16 1H17 2H17 1H18 251 258 75 993 966 910 868 Funds ($bn) Platforms Superannuation Packaged funds Other 191.5191.4197.7 169.7179.24.03.57 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 38.0 3. 38.4 36.4 32.1 3.8 30.6 37.4 35.8 36.2 34.4 33.0 118.6 115.3 113.3 108.9 102.5 Insurance claims rates (%) General Insurance Life Insurance 71 5049 54 3835 35 44 34 38 1H16 2H16 1H17 2H17 1H18

Digitally enhancing customer experiences BT Financial Group 104 search for their lost super in 60 seconds insurance policies are now Funds rolled over customers access to more in 1H18 131 active on Panorama 8%3 online sales superannuation product that launched on solutions Tablet and mobile capability be more involved in managing their investments BT Assure is a tool delivering new front end online service solutions for Life insurance products (SOA) produced in 5 CANSTAR Innovation customer outcomes and advisor productivity TFN on file, usage allowed 1 As at 26 April 2018. 2 For strategies covered under BT Assure. 3 Change is on 1H18 vs 1H17. 4 Canstar April 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Customer offering enhancements Digitising insurance BT Super Check allows customers to $267m Home and contents (H&C) 41%3 with results straight to their phone through Super Check accessible online providing H&C online sales BT Super Invest is a direct sophisticated and tailored 13 March 2018 and allows customers to Super Invest accounts Motor and travel since launch1 launched in June 2017 Statement of Advice New claims & product admin platform; Winner of the advice digitally improving days2 Excellence Digital interface with medical Award4 professional; launch of Medical e-Certificate – ‘e-Cert’. “Best HNW Private Banking Company – Australia & Excellence Award in Wealth ” – International Finance Awards “Outstanding Private Bank $1M - $10M plus – Westpac Private Bank” – Australian Business Banking Awards “Heron Partnership - 5 Star Quality Rating” – awarded to Asgard Elements, eWRAP and Infinity Super and Pension “World Finance Global Insurance Award” – World Finance, 3rd year running “Life Insurance Company of the Year”-Australian Insurance Awards “Best Claims Outcome & Customer Experience” – Australian Insurance Awards “Underwriting team of the Year” - AFA/Strategic Insights Awards “Best Application Process” - AFA/Strategic Insights Awards

Panorama: an innovative wealth for customers and advisors management system BT Financial Group 105 Investors on Panorama (#) online, such as SMSFs system 312% A direct investment offer, Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack SMSF funds on Panorama (#) 5,332 145% Sep-16 Mar-17 Sep-17 Mar-18 4,305 3,217 2,173 Up Advisers using Panorama (#) 1,584 834 Sep-16 Mar-17 Sep-17 Mar-18 1,355 969 Up 90% One CoreOne of the first platforms to operating support complex account types •$9.4bn - FUA on the Panorama platform • “Click to Chat” – enhancing digital capabilities Investments integrated with Westpac Live SMSFs Unique end-to-end solution from establishment, administration to reporting Super Personal Super for advised and direct customers Insurance Investment, superannuation and pension with integrated insurance “Best Technology Offering” 2018 Conexus Financial Superannuation Awards 17,608 11,778 6,640 4,274 Up Sep-16 Mar-17 Sep-17 Mar-18 FUA on Panorama ($m) 9,363 244% Sep-16 Mar-17 Sep-17 Mar-18 6,713 3,936 2,719 Up

WIB performance reflects continued disciplined execution Westpac Institutional Bank 106 Key financial metrics Change on 2H17 1H17 2H17 1H18 Revenue ($m) 1,614 1,421 1,424 - Net interest margin (NIM) (%) 1.56 1.62 1.58 (4bps) 41.6 47.9 47.4 (45bps) Expense to income ratio (%) Customer deposit to loan ratio (%) 137.6 124.3 130.0 large Stressed assets to TCE (%) 0.59 0.55 0.52 (3bps) Key operating metrics Change on 2H17 1H17 2H17 1H18 Customer revenue1 / total revenue (%) 78.5 86.7 87.1 40bps Trading revenue / total revenue (%) 15.2 5.0 11.3 large Revenue per FTE ($’000)2 888 791 794 - Deposits ($bn) 98.5 92.1 98.9 7% 1 WIB customer revenue is lending revenue, deposit revenue, sales and fee income. Excludes trading, derivative valuation adjustments and Hastings. 2 Excludes Westpac Pacific revenue and FTE. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 2H17 Net interest income Non-interest income Operating expenses Impairment charges Tax and NCI 1H18 Cash earnings ($m) Disciplined growth in lending (up 3%) and deposits (up 7%) NIM 4bps lower Higher markets income Continued sound offset by the timing of asset quality 629 fees in Hastings 5303 flat 5 94551 Up $21m or 4%

Maintaining focus on returns, balance sheet in good shape Westpac Institutional Bank 107 98.9 growth in Australian term 98.5 deposits, supporting lending . 4.6 to see low levels of 90+ days past due and not impaired 76.1 74.1 0.04%, down 3bps, with no new large impaired 2.6 0.9 0.9 0.8 •Impairment provisions Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Portfolio stress remains at historically low levels •WIB portfolio continues Stressed exposures as a % of TCE stress Watchlist & substandard •Impaired assets to TCE Impaired assets emerging over 1H18 2.1 1.2 0.60.5 to impaired assets Mar-18: 63.7% Sep-17: 46.5% Mar-17: 66.6% Disciplined balance sheet management WIB deposits ($bn)Deposits •Deposits up 7% due to deposits and offshore term growth in Asia Net loans •3% increase in loans primarily reflects lending to support customers in Asia Mar-17 Sep-17 Mar-18 Margin •Net interest margin declined WIB net loans and RWA ($bn)4 basis points to 1.58% Net loans RWA primarily from the full period impact of the Bank Levy (3 basis points) 81.778.277.3 ROE •Continued balance sheet and RWA discipline reflected in 1H18 return on average equity 12.6% (2H17: 11.7%) Mar-17 Sep-17 Mar-18 71.6 92.1 Expense control •Expenses down 1% WIB expenses ($m) reflecting both ongoing discipline and productivity initiatives, including 671 680 675 refinement of the division’s operating model Mar-17 Sep-17 Mar-18

Building on the strength of our franchise with a focus on transactional banking and liquidity management Westpac Institutional Bank 108 Significant transactional banking Partnering with fintechs to deliver new contract with Westpac for a further 2 years customers to manage their liquidity and $6 billion Metro Tunnel Project PPP and lead Upgrade PPP •More than $1 billion new funding commitments Australian infrastructure and energy projects •Leading bank supporting new large scale commitments)2 projects, which when complete, will generate 1 Transactional banking relationships retention rate defined as the percentage of transactional relationships at the start of 1H18 that were retained through to the end of the period. 2 Source: IJ Global League Tables. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack First Half 2018 Franchise Strength Retained Government contracts •Victorian Government extended its banking Public infrastructure expertise •Lead arranger and underwriter on Melbourne's arranger on the $1.8 billion Western Roads Supporting infrastructure development supporting over $9.5bn in capital investment in Committed to clean energy targets renewable energy projects (by funding •Financed over 800MW of new renewable energy electricity to power over 500,000 homes Enhanced liquidity and working capital management •New digital liquidity management platform will make it easier for corporate and institutional working capital •Customers will have the capabilities of a bank “in-house”, including account opening, liquidity transfers between subsidiaries and other legal entities, intra-day sweeps, payments and collections •Will provide a single view of cash positions across the whole organisation •Giving greater flexibility and control over banking through an intuitive, user-friendly interface First to market with Corporate Loan Portal •Online portal providing customers with greater visibility and control over their loans, now with 150 customers in the pipeline Insights-driven analytics •Westpac Institutional Data Analytics is partnering with State Governments, providing data science services to support transport infrastructure planning and the promotion of key industries including tourism •150 APIs developed through Qvalent in the last year to enable flexibility and customisation of payments, receivables, and reconciliation reporting New technologies •Successful testing of bank guarantees using distributed ledger technology Payment solutions for Government and Education sectors •Over 1 million online transactions processed for the NSW Department of Education in 2017, almost double 2016 volumes •Enables parents in more than half of all NSW schools to make online payments, reducing cash in schools and cash handling costs Innovation Track record of delivering innovative industry and policy solutions investment technologies and increase delivery speed Efficiency Developing solutions for customers to enhance data management capabilities and increase efficiency Digitising sales, service, and back-office processes Market-leading straight through processing for FX transactions Service Banker to 91% of the ASX top 100 99.8% transactional banking retention rate1 Largest banker to the Australian/NZ public sector, providing significant scale and ability to reinvest in capabilities

NZ transformation delivering New Zealand 109 Key financial metrics Change on 2H17 1H17 2H17 1H18 facilities in 2H17 not repeated mortgages and business lending, Revenue (NZ$m) 1% 1,098 1,151 1,166 Net interest margin (%) 6bps 1.96 2.09 2.15 (113bps) Expense to income (%) 44.4 41.3 40.1 Customer deposit to loan ratio (%) 233bps 74.2 75.5 77.9 Stressed assets to TCE (%) 2.41 2.06 1.86 (20bps) Key operating metrics Change on 2H17 1H17 2H17 1H18 Customers (#m) 1.36 1.35 1.36 0.01 Branches 170 169 164 (5) Consumer NPS1 6 2 9 +7 Business NPS1 10 5 17 +12 Agri NPS1 43 54 52 (2) FUM and FUA (NZ$bn) (spot) 9.7 10.1 10.3 2% Service quality – complaints (000’s) 11.4 9.6 8.5 (11%) 1 Refer page 137 for metric definition. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 1H17 2H17 Net interest income Non-interest income Operating expenses Impairment charges Tax and NCI 1H18 Cash earnings (NZ$m) Loans up 2%, deposits up 5%. Margins higher from repricing of Write-backs from large partly offset by lower deposit spreads 23(8)7(67) 508 463 19482 Productivity savings and lower transformation costs partly offset by business as usual cost increases Down $26m or 5%

Improving the digital customer experience New Zealand 111 2017, which responds to customer questions in 2.4m 16 p 4% Down 19% 1 Financial transactions refers to customer initiated withdrawals, deposits, transfers and payments across all channels. 2 Source: Finalta Sales Effectiveness Benchmark Study 2017. restated to reflect all consumer products including Wealth. 4 OTC is over-the-counter. 3 Digital sales have been Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Digital sales3 (% of total sales) 2626 1818 8ppts Up 1H16 2H16 1H17 2H17 1H18 Digitally active customers (#’000’s) 791 772 758 736 U 723 1H16 2H16 1H17 2H17 1H18 OTC4 transactions 3.4m 3.1m 2.7m 2.2m 1H16 2H16 1H17 2H17 1H18 Consumer digital experience •Value Me program launched in 1H18, providing customers with personalised banking solutions and recommendations based on individual banking behaviour •Launched Wes (our online chat-bot), in October real-time. Personalised account query functionality is being developed Business digital experience •Single online business banking platform, Westpac One Business, developed. Pilot commenced in November 2017, with additional functionality to be rolled-out in 2H18 •Application programming interface (API) platforms enables business customers to complete customer initiated secure online payment transactions Declining branch transactions •3.4% of financial transactions1 for WNZL are completed via a branch, compared with NZ average of 4.1% and UK average 7.8%2 •Transformation supported by our people, customer education programs, digital ambassadors and learning tools

Stressed exposures lower as dairy portfolio improves New Zealand 113 forestry & fishing 59 0.0 0.2 0.1 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 Agribusiness portfolio Mar-17 Sep-17 Mar-18 Westpac TCE (NZ$bn) 8.6 8.9 8.9 $7 Agriculture as a % of total TCE 8.0 8.2 8.0 % of portfolio graded as ‘stressed’2 16.9 13.5 12.1 $1 % of portfolio in impaired 0.44 0.41 0.50 1 Large reduction in stressed exposures from Sep 2011 to Sep 2012 due primarily to transfer of WIB assets during 2012. 2 Includes impaired exposures. 3 Source: Fonterra. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Milk price & Fonterra dividend3 (NZ$) Kg Ms $10 Dividend Milk price $9 $8 $6 $5 $4 $36.50 $2 $0 2014/152015/162016/172017/182018/19 0.400.30 Economics forecast 0.40 6.55 0.250.40 6.12 4.40 3.90 Summary • Dairy portfolio’s risk grade profile is improving following favourable milk price movements • Focus remains on supporting existing dairy customers with proven long-term financial viability • Expect portfolio to continue improving as high milk price translates to cash flow although some land-price risks are evident Business stressed exposures as a % of New Zealand business TCE Property 1014 Manufacturing 5 Agriculture, Wholesale trade 3.33.63.43.73.9 Construction 1 Other 1 15.6 Impaired 12.8 13.290+ day past due not impaired 0.2 9.6 Watchlist & substandard 6.8 0.3 4.4 4.95.55.34.4 0.2 3.2 3.4 2.3 0.1 2.9 0.10. 2.4 0.2 0.3 2.3 0.0 2.2 2.6 1.5 0.9 0.8 1.1 3.4 4.0 4.8 5.0

Consumer asset quality in good shape Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Unsecured consumer 90+ day delinquencies (%) Mortgage loss rates each half (%) Mortgage 90+ day delinquencies (%) Mortgage portfolio LVR1 (%) of portfolio 1 LVR based on current loan property value at latest credit event. 114 New Zealand Mortgages 90+ day delinquencies 0.16 0.0 0.5 1.0 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 0.86 0.0 0.5 1.0 1.5 Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Sep-17 Mar-18 45% 23% 24% 5% 3% 0<=60 60<=70 70<=80 80<=90 90+ 92% of mortgage portfolio less than 80% LVR days past due 0 0.00 0.05 0.10 0.15 0.20 0.25 2H10 1H11 2H11 1H12 2H12 1H13 2H13 1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 Rise due to operational issue in collections

Australian economic snapshot Economics 116 Australian economy key statistics (latest available as at April 2018) Housing GDP (end calendar 2017) Westpac Economics Forecast (end calendar 2018) 2.4% 2.7% Unemployment Rate Westpac Economics Forecast (end calendar 2018) 5.5% 5.5% Sources: Reuters, Westpac Economics Sources: ABS, Westpac Economics Inflation Westpac Economics Forecast (end calendar 2018) 1.9% 2.1% Cash Rate Westpac Economics Forecast (end calendar 2018) 1.50% 9 1.00 1.50% AUD/USD4 Westpac Economics Forecast (end calendar 2018) US$0.76 US$0.74 Sources: ABS, RBA, Westpac Economics. Sources: RBA, Westpac Economics. 1 Non-residential building is both private and public. Infrastructure ex-mining is both private and public and excludes imports. Mining investment excludes imports. Westpac estimates. 2 Average RBA core CPI is average of seasonally adjusted trimmed mean & weighted median CPI ex tax changes & WBC estimate of carbon price impact. 3 Includes WCFI+BI commodities index, 2 year swap spread and NFD to GDP. 4. As at 27 April 2018. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack AUD forecast to move lower USD' fair value' band 1.20to 1.10 0.90 0.80 0.70 0.60 0.50 0.40 Apr-94 Apr-98 Apr-02 Apr-06 Apr-10 Apr-14 Apr-18 AUD/USD actual & forecast3 fc/s end 201 Inflation remains subdued2 %yr Avg RBA core CPI % qtr (rhs)% qtr 8 Headline CPI %yr (lhs)3.2 72.8 62.4 52.0 41.6 31.2 20.8 10.4 00.0 -1-0.4 Mar-96 Sep-01 Mar-07 Sep-12 Mar-18 Avg RBA core CPI %yr (lhs) f/cs Global backdrop mostly positive Index Westpac global trade PMI 60 JPMorgan global manufacturing PMI 55 50 45 40 35 30 Mar-98 Mar-02 Mar-06 Mar-10 Mar-14 Mar-18 Australian investment cycles offsetting1 $bn Business construction ex mining Westpac f/cs 28 Mining investment*to end 2019 24 20 16 12 8 4 0 Dec-93 Dec-01 Dec-09 Dec-17 * ex imports

Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Australian and New Zealand economic forecasts 117 Calendar year Key economic indicators (%) as at April 2018 2017 2018E 2019F World GDP1 3.8 3.9 3.7 Australia GDP2 2.4 2.7 2.5 Private consumption2 2.9 2.6 2.5 Business investment2,3 5.8 3.0 3.5 Unemployment – end period 5.5 5.5 5.6 CPI headline – year end 1.9 2.1 1.9 Interest rates – cash rate 1.50 1.50 1.50 Credit growth, Total – year end 4.9 4.2 3.7 Credit growth, Housing – year end 6.3 4.8 4.0 Credit growth, Business – year end 3.2 4.0 4.0 New Zealand GDP2 2.9 2.7 3.0 Unemployment – end period 4.5 4.5 4.7 Consumer prices 1.6 1.7 1.5 Interest rates – official cash rate 1.75 1.75 2.00 Credit growth – Total4 6.5 4.9 4.2 Credit growth – Housing4 7.4 5.2 3.6 Credit growth – Business4 6.6 5.4 5.6 Source: Westpac Economics. 1 Year average growth rates. 2 Through the year growth rates. 3 Business investment adjusted to exclude the effect of public sector purchases of public assets. 4 NZ credit forecasts are for growth over the calendar year. Economics

Australian economic outlook Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Positive but uneven business conditions Australian private sector credit growth (% ann) Contributions to GDP growth (ppts) Consumer spending constrained by slow income growth 118 Sources: NAB survey, Westpac Economics. -30 -20 -10 0 10 20 30 Mar-06 Mar-08 Mar-10 Mar-12 Mar-14 Mar-16 Mar-18 net bal. Goods related Consumer sectors Business services 3 month moving avg. deviation from avg. Australian consumer spending (% ann) vs labour income (% ann) Australian business conditions (net balance) Sources: ABS, Westpac Economics. -2 -1 0 1 2 3 -2 -1 0 1 2 3 Consumer^ Mining * Non-mining investment Public Net exports GDP ppts ppts 2015 2016 2017 2018f 2019f ^ incl. housing * mining investment Sources: ABS, Westpac Economics. -4 -2 0 2 4 6 8 10 Dec-97 Dec-01 Dec-05 Dec-09 Dec-13 Dec-17 % ann Labour income Consumption Consumption long run avg: 3.3%yr Sources: RBA, Westpac Economics. % ann -10 -5 0 5 10 15 20 25 Mar-94 Mar-98 Mar-02 Mar-06 Mar-10 Mar-14 Mar-18 Housing Total credit Business Forecasts to end 2019 Economics

New South Wales and Victoria continue to outperform other States Economics 119 NSW and Victoria 58% of population and employment index index Sources: ABS, Westpac Economics Relative size of States (Share of Australia, 2016/17, %) GSP Population Employment 35 Exports 33 32 32 24 23 10 11 4 2 2 2 1 NSW Victoria Queensland WA SA Tasmania Sources: ABS, Westpac Economics 1. Real, financial years, experimental estimates Sources: ABS, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 6 7 7 26 26 18 20 20 20 14 14 Activity picking up in NSW and Victoria1 $bn Non-mining Business investment ($bn) 60 50 40 30 20 10 0 1993199720012005200920132017 New South Wales Queensland Victoria Western Australia Jobs growth strongest in NSW and Victoria Labour market conditions by State (index) 118118 114114 110110 106106 102102 9898 9494 Mar-10 Mar-13 Mar-16 Mar-10 Mar-13 Mar-16 Queensland Western Australia South Australia *First 6mths = 100 New South Wales Victoria

Jobs being created, although weak income growth remains a headwind Economics 120 5 5 Sources: ABS, Westpac Economics. Sources: ABS, Westpac Economics. 800 800 600 600 6 6 Agriculture 8 Sources: ABS, Westpac Economics. Sources: ABS, Westpac Economics. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Job gains in low wage sectors ‘000 Cumulative change in industry employment (‘000)‘000 Business services Other 400400 200200 00 -200-200 Mar-11 Mar-1 3 Mar-15 Mar-17 Mar-11 Mar-13 Mar-15 Mar-17 Public admin Manufacturing Household services Mining Construction Goods distribution Services employ a large part of the Australian workforce Australian employment by sector 2017 (%) Services Mining 60% 1527 Manufacturing Construction 9 Transport, Utilities Wholesale, Retail Household services 13 Health, Social Assistance Education 133 Public Administration 13 Finance Business services Jobs momentum slowing % ann Employment (% ann)% ann * smoothed Employment, %yr* 44 33 22 11 00 -1-1 -2-2 Mar-06 Mar-08 Mar-10 Mar-12 Mar-14 Mar-16 Mar-18 3 month chg, annls'd* Australian wage inflation remains low %yr Australian wage inflation (%, yr) 8Aus private sector wages 7 6 5 4 3 2 1 0 Dec-99 Dec-01 Dec-03 Dec-05 Dec-07 Dec-09 Dec-11 Dec-13 Dec-15 Dec-17 Mining industry wages

The Australian housing market has cooled Economics 121 Dwelling prices cooling Change in Australian dwelling prices (annual %) ann% ann% 30 30 25 25 20 20 15 15 10 10 prudential -5 -5 5 5 0 0 Sources: CoreLogic, Westpac Economics. -5 -5 -10 -10 Apr-10 Apr-12 Apr-14 Apr-16 Apr-18 Sources: CoreLogic, Westpac Economics. Dwelling prices are all dwellings, 6mth annualised growth. % Change last 3mths (Apr-18) % Change YoY (Apr-18) Avg since 2007 Capital city Pop’n Sydney 4.8m Down 1.2% Down 3.4% Up 5.7% Melbourne 4.5m Down 0.7% Up 3.7% Up 5.5% Brisbane 2.3m Down 0.1% Up 0.9% Up 1.1% Perth 1.9m Up 0.1% Down 2.3% Down 0.6% Sources: CoreLogic, Westpac Economics. Sources: ABS, CoreLogic, Westpac Economics. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack dwelling prices Unit pricing outperforming detached houses Dwelling prices by property type %(%, 3month annualised, seasonally adjusted by Westpac)% 4040 3535 3030 2525 2020 1515 1010 55 00 -5 prudential -5 -10-10 -15 -15 Apr-10 Apr-12 Apr-14 Apr-16 Apr-18 Houses Units macro-tightening Sydney Melbourne Brisbane Perth Price decline felt most in the top 25% of house prices Dwelling prices by property value ann %(annual %, all dwellings, seasonally adjusted by Westpac)ann % 4040 3535 3030 2525 2020 1515 1010 55 00 -10-10 -15-15 Apr-10 Apr-12 Apr-14 Apr-16 Apr-18 Top 25% Middle 50% Bottom 25% macro-tightening

Housing supply/demand fundamentals remain sound Economics 122 % 400 400 6 250 250 150 150 50 50 Sources: ABS, Westpac Economics. Dwelling stock is net of demolitions – implied by Census data. Sources: REIA, Westpac Economics 4 4 Sep-08 Sep-11 Sep-14 Sep-17 Sep-08 Sep-11 Sep-14 Sep-17 Sources: ABS, RBA, Westpac Economics. Sources: ABS, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Population growth remains high in Australia Population growth (% ann) % ann% ann 33 22 11 00 WA Qld SA 1.7 0.9 0.6 NSW Vic Australia 2.4 1.6 1.6 Dwelling approvals down from 2016 highs Dwelling approvals (‘000 month, annualised) Private approvals Trend SA 240240 200200 160160 120120 8080 Feb-98 Feb-02 Feb-06 Feb-10 Feb-14 Feb-18 RBA easing cycles Aggregate supply/demand fundamentals remain positive ‘000 Population versus dwelling stock (annual average change ‘000)‘000 450 Population Total increase in dwellings 450 350350 300300 200200 100100 00 1950s 1960s 1970s 1980s 1990s 2000s Last 6 yrs Next 4yrs high rise Rental vacancy rates remain tight in Sydney and Melbourne Rental vacancy rates (%, quarterly, seasonally adjusted by Westpac) 8 Sydney Brisbane 7 6.5 5 4 3 2 1 0 Mar-88 Mar-93 Mar-98 Mar-03 Mar-08 Mar-13 Mar-18 Melbourne Perth National average since 1980 2.8 2.1 2.0

Impact of macro-prudential measures across Australian industry Economics 123 % 16 8 4 Source: APRA, RBA, Westpac Economics Sources: RBA, Westpac Economics. APRA 30% % Sources: ABS, APRA, RBA, Westpac Economics. Sources: ABS, APRA, RBA, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Sep-08 Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18 Sep-08 Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18 Lower new flow of interest only loans Interest only housing loans 6010% investor interest only new 50 40 30 20 10 0 Outstanding loans credit growth limit flow limit New loans 32.7 15.2 Lower new flow of high LVR loans %High LVR housing loans 25 20 15 10 5 0 80-90%90%+ 13.6 7.2 Change in composition of housing credit Australian housing credit growth (6mth % change annualised) Total 10% limit on investment 30% limit on interest Investor 12 77 84 2 0 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 property annual portfolio growth only originations Owner-occupier 7. 5. 2. Introduction of differentiated mortgage pricing % Mortgage interest rates (major bank average) 7.5 7.0 6.5 25 6.0 5.80 5.80 5.5 5.20 5.0 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Own-occ. - principal and interest Own-occ. - interest only Investor - principal and interest Investor - interest only 6.

Australian household balance sheets Economics 124 Deteriorate mortgage 100 40 Mar-83 Mar-88 Mar-93 Mar-98 Mar-03 Mar-08 Mar-13 Mar-18 Sources: ABS, RBA, Westpac Economics Sources: RBA, Westpac Economics. 1400 1200 600 Sources: ABS, RBA, Westpac Economics. Sources: ABS, RBA, Westpac Economics. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Higher income households have increased borrowings %Australian household debt-to-income ratios by income quintile (%) 250 200 150 100 50 0 1st 2nd 3rd 4th 5th 2002200620102014 Australian household net wealth has also increased % Annual household disposable income %Total assets Jun-07 Since Jun-07:% 12001000 1000800 800 600 400400 200200 00 Dec-82 Dec-87 Dec-92 Dec-97 Dec-02 Dec-07 Dec-12 Dec-17 Dec-22 Total liabilities Total net worth +117pts +89pts +28pts Housing affordability: all dwellings (% income required to service mortgage of 75% median dwelling, all regions) 35 30 25 20 15 10 If mortgage rate was 1% higher Improve 10yr avg Long run avg Estimates based on capital cities prior to 1993 Australian household debt to income ratio remains high Australian households debt to income ratio (%) Total (gross) debt Forecasts 200 180 160 140of deposits 120 udes funds 80 accounts – 60nce peak 20988 0 -20 -40 Dec-87 Dec-92 Dec-97 Dec-02 Dec-07 Dec-12 Dec-17 Total debt net of offset account send 2019 Total debt net of all deposits* Trend since Jun-07 Debt net also excl held in offset 16pts si * Westpac Economics estimates prior to 1

Australia’s high rise apartment market – past the peak although supply still coming online Economics 125 Population Total increase in dwellings 450 300 200 Sources: REIA, Westpac Economics. Dwelling stock is net of demolitions – implied by Census data. Source: RBA, CoreLogic. 35 35 41% 10% Sources: ABS, Westpac Economics 1 Estimated proportion of approved dwellings completed by months after approval. Note that not all approved dwellings are completed, reflecting both cancellations and reductions in project size. Also, ‘high rise’ projects often have significant delays between approval and commencement. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Projected dwelling completions, major metro areas Dwelling completions by capital city (‘000s, rolling 6mth totals) ‘000s Non-high rise Other high rise High rise top 5 areas ‘000s 3030 2525 2020 1515 1010 55 00 Dec-06 Dec-12 Dec-18 Dec-06 Dec-12 Dec-18 Dec-06 Dec-12 Dec-18 Sydney Melbourne Brisbane/SEQ Projected Projected Projected 11% 10% 18% 71% 18% 73% 48% Aggregate supply/demand fundamentals remain positive ‘000 Population versus dwelling stock (annual average change ‘000)‘000 400 350gh 250 150 100 50 0 1950s 1960s 1970s 1980s 1990s 2000s last 6 yrs next 4yrs hi rise Dwelling construction: indicative completion times1 %% 100 100 90 90 80 80 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 0 12 24 36 48 60 Detached houses Low-mid rise High rise Average construction time for ‘high rise’ about 2-2½ yrs

New Zealand economic snapshot Economics 126 Key economic statistics FY17 FY18f Change % % GDP annual average growth1 3.0% 2.7% (30bps) Inflation rate 1.9% 1.6% (30 bps) Official cash rate (OCR) 1.75% 1.75% - Unemployment rate 4.6% 4.4% (20 bps) Dairy payout (ex dividend)2 $6.12 $6.55 $0.43 Source: Statistics NZ, Westpac Economics Source: RBNZ, Westpac Economics 70 0.60 55 45 Source: Statistics NZ, Westpac Economics Source: Statistics NZ, Westpac Economics 1 For year to September. 2 Seasons ended May. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Unemployment has trends down to around neutral levels %Unemployment rate (%)% 88 66 44 22 00 2005 2007 2009 2011 2013 2015 2017 2019 Forecast Low rates keeping downward pressure on NZD NZD/USD, NZD/AUD and TWI F’cast 1.00 90 85 0.90 80 0.80 75 0.70 65 60 0.50 50 0.40 40 2005 2008 2011 2014 2017 NZD/USD NZD/AUD TWI (right axis) Firm growth in recent years, but momentum has faded GDP (%) 66 44 22 00 -2-2 2005 2007 2009 2011 2013 2015 2017 2019 Qtr % chg Annual average % change Forecast

New Zealand economy: growth to slow Economics 127 on health and education. This will require an additional $7bn of net core Crown to dampen economic activity, offsetting some of the boost from fiscal spending losses on investment properties. These policies will weigh on house prices over Source: Westpac Economics estimates Source: Statistics NZ, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Migration cycle has started to turn down 000s Net migration (annual ‘000s) 000s 75 New Zealanders 75 5050 2525 00 -25-25 -50-50 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 Total Forecast Other Drivers of GDP growth in recent years are dissipating •After expanding at a firm pace in recent years, New Zealand GDP growth has cooled, and it is expected to soften further over the next few years •The new Labour-led Government is planning an additional $8.4bn of new operating spending over the next four years, the majority of which will be spent debt over the next four years •The Government is also planning to introduce a range of regulatory changes targeting areas such as the housing and labour markets. These policies are likely •The Government is planning a suite of policy changes over the coming years aimed at cooling the housing market. This includes restrictions on foreign buyers, an extension of the ‘bright line’ test for capital gains, and the ring-fencing of the coming years, and will have a significant dampening effect on consumer spending •Strong net migration has been a key driver of demand growth in recent years. Migration flows are still elevated, but have started to ease back. Net migration is set to fall further before the closer of the decade as earlier arrivals depart. Potential policy changes could reinforce this slowdown •There is a large amount of residential and non-residential building work planned nationwide. However, construction activity has flattened off at a high level due to tighter credit conditions, limited availability of skilled labour and the softening housing market. The level of activity is expected to remain elevated for an extended period, but increases are expected to be gradual •Post-earthquake reconstruction in the South Island is well advanced and has been gradually winding down •There has been broad based strength in NZ’s commodity prices. However, prices are expected to soften over the coming year. Tourist inflows remain strong •Borrowing rates are expected to remain low for an extended period Large pipeline of construction work, increases to be gradual $bn Construction spending (annual $bn)$bn 40 40 35 35 30 30 25 25 20 20 15 15 10 10 5 5 0 0 2005 2008 2011 2014 2017 2020 2023 Forecast Construction (excl. quake costs) Canterbury rebuild Kaikoura earthquake costs

New Zealand economic indicators Economics 128 6 6 Source: ANZ, Westpac Economics Source: Statistics NZ, Westpac Economics Kg Ms $10 8 8 Source: Fonterra, Westpac Economics Source: RBNZ, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 RBNZ on hold, offshore factors pursuing rates higher %Interest rates (%)% 10 10 9 9 7 7 6 6 5 5 4 4 3 3 2 2 1 1 2001 2005 2009 2013 2017 2021 90 day bank bill rate 2 year swap rate 5 year swap rate Forecast Milk price payout at average levels Dairy payout and dividend ($/Kg Ms) Milk price Dividend $8 $6 $4 $2 $0 F’cast Inflation off its lows, sustained return to target elusive %Inflation (%)% Forecast 5 5 4 4 3 3 2 2 1 1 0 0 2007 2009 2011 2013 2015 2017 2019 CPI inflation CPI excluding petrol Commodity prices remain firm NZ export commodity price index (world prices) Index 500 Meat, skins & wool Forestry Dairy 450 400 350 300 250 200 150 100 50 2006 2008 2010 2012 2014 2016 2018

New Zealand housing market to be dampened by policy changes Economics 129 Source: REINZ Source: REINZ Investors below 70% LVR Investors above 70% LVR 50 eased Source: RBNZ Source: REINZ, RBNZ, Westpac Economics Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Index = 100 in 2008 Index = 100 in 2008 Macro prudential policies have eased… %Investors’ share of new mortgage lending (%) LVR 40 30 20 10 0 Aug-14 Feb-15 Aug-15 Feb-16 Aug-16 Feb-17 Aug-17 Feb-18 Tax, LVR tightened LVR tightened …further easing likely if property market slows further %New Zealand house debt statistics% 20(% of households’ disposable incomes) 175 15 15 0 10 125 5 100 075 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 Spending on debt servicing Household liabilities (right axis) Lower mortgage rates have boosted housing demand… New Zealand house prices by region (index) 220220 200200 180180 160160 140140 120120 100100 8080 Jan-08 Jan-10 Jan-12 Jan-14 Jan-16 Jan-18 Canterbury Wellington Auckland …but a period of softness is expected New Zealand house prices (nationwide, %) 20 Forecast 20 15 15 10 10 5 5 0 0 -5-5 -10-10 -15-15 2008 2010 2012 2014 2016 2018 2020

Appendix 1: Cash earnings adjustments Appendix and Disclaimer 131 Cash earnings adjustment 1H17 $m 2H17 $m 1H18 $m Description Reported net profit 3,907 4,083 4,198 Net profit attributable to owners of Westpac Banking Corporation Identifiable intangible assets arising from business acquisitions are amortised over their useful lives, ranging between four and twenty years. This amortisation (excluding capitalised software) is a cash earnings adjustment because it is a non-cash flow item and does not affect cash distributions available to shareholders. The last of these intangible assets were fully amortised in December 2017 Amortisation of intangible assets 73 64 17 The unrealised fair value (gain)/loss on FX hedges of future NZ earnings and accrual accounted term funding transactions are reversed in deriving cash earnings as they may create a material timing difference on reported results but they do not affect the Group’s cash earnings over the life of the hedge Fair value (gain)/loss on economic hedges 7 62 37 The unrealised (gain)/loss on ineffective hedges is reversed in deriving cash earnings for the period because the gain or loss arising from the fair value movement in these hedges reverses over time and does not affect the Group’s profits over time Ineffective hedges (4) 20 9 During Second Half 2017 the Group recognised a gain, net of costs, associated with the partial sale of shares in BTIM. Consistent with the treatment of prior gains from sale, this gain has been treated as a cash earnings adjustment given its size and that it does not reflect ongoing operations. The Group has indicated that it may sell the remaining 10% shareholding in BTIM at some future date. Any future gain or loss on this shareholding will similarly be excluded from the calculation of cash earnings. Partial Sale of BTIM shares - (171) - Under AAS, Westpac shares held by the Group in the managed funds and life businesses are deemed to be Treasury shares and the results of holding these shares can not be recognised in the reported results. In deriving cash earnings, these results are included to ensure there is no asymmetrical impact on the Group’s profits because the Treasury shares support policyholder liabilities and equity derivative transactions which are re-valued in determining income Treasury shares 34 (13) (10) Cash earnings 4,017 4,045 4,251 Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Appendix 2: Sustainability Appendix and Disclaimer 132 Bloomberg Gender Equality Index Network on Disability’s Inaugural the 2016 Women in Banking and 1 As at 31 December 2017. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Inclusion and diversity recognition1 Included in the 2018 #1 Bank in Top 10 Australian Access and Inclusion Index Employer of Choice by The Workplace Gender Equality Agency for the 8th consecutive year Awarded Employer of the Year at Finance Awards Named as Australia’s 2016 Employer of the Year for LGBTI Inclusion in the Australian Workplace Equality Index Awards Sustainability indexes1 Number one bank globally in 2017, for the 4th year in a row and the 10th time since the index was established Included in the 2016 Global 100 Most Sustainable Corporations in the World, January 2016 Member of the FTSE4Good Index, of which Westpac has been a member for over 10 years, announced in April 2017 Member of the MSCI Global ESG Leaders index Member of the STOXX 2016/2017 Global ESG Leaders Indices for the fourth consecutive year Industry awards1 Awarded Gold Class ranking in RobecoSAM’s 2018 Sustainability Yearbook Achieved highest “Leading” rating for the tenth consecutive year for disclosure of sustainability risks in 2017 Recognised in the 2017 CDP to achieve Leadership level for our response to climate change, announced in October 2017 Reconfirmed as a constituent of the Ethibel Sustainability Index (ESI) Excellence Global, announced March 2018 Achieved a Prime status rating and identified as a leading performer of sustainability since 2014

Appendix 2: Sustainability Appendix and Disclaimer 133 Signatory (2002), Global Compact Founding Adopter, Finance Initiative CEO Statement of Commitment (2015) 1 As at 31 December 2017. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack Key commitments and partnerships1 The Equator PrinciplesUN Environment ProgramUN Sustainable Development GoalsUnited Nations Global Compact First Australian Bank (2003)Founding Member (1991)Network Australia Founding Member Banking Environment Initiative Principles for Global Investor Coalition The Montreal Carbon Pledge Founding signatory (2012)Responsible Investment Statement on Climate Change Signatory (2014) Signatory (2007)Signatory (2014) Climate Bonds Initiative Carbon Markets Institute We Mean Business Coalition Climate Action 100+ Partner Corporate Member Signatory (2015)Signatory (2018) Carbon Neutral Certification Supply Nation WeConnect International Social Traders Since 2012(for Indigenous owned businesses)(for women owned businesses)(for social enterprises) Founding member (2016)(2014)Member of Connect (2016)

Appendix 3: Definitions Appendix and Disclaimer 134 Consumer Bank (CB) is responsible for sales and service to consumer customers in Australia under the Westpac, St.George, BankSA, Bank of Melbourne and RAMS brands. Activities are conducted through a dedicated team of specialist consumer relationship managers along with an extensive network of branches, call centres and ATMs. Customers are also supported by a range of internet and mobile banking solutions. CB also works in an integrated way with Business Bank, BTFG and WIB in the sales and service of certain financial services and products including in wealth and foreign exchange. The revenue from these products is mostly retained by the product originator BT Financial Group (Australia) (BTFG) is the Australian wealth management and insurance arm of the Westpac Group providing a broad range of associated services. BTFG’s funds management operations include the manufacturing and distribution of investment, superannuation and retirement products, wealth administration platforms, private wealth, margin lending and equities broking. BTFG’s insurance business covers the manufacturing and distribution of life, general and lenders mortgage insurance. The division also uses third parties to manufacture certain general insurance products. In managing risk across all insurance classes the division reinsures certain risks using external providers. In addition to the BT brand, BTFG operates a range of financial service brands along with the banking brands of Westpac, St.George, Bank of Melbourne and BankSA for Private Wealth and Insurance. Consumer Bank BTFG Business Bank (BB) is responsible for sales and service to micro, SME and commercial business customers in Australia for facilities up to approximately $150 million. The division operates under the Westpac, St.George, BankSA and Bank of Melbourne brands. Customers are provided with a wide range of banking and financial products and services to support their borrowing, payments and transaction needs. In addition, specialist services are provided for cash flow finance, trade finance, automotive and equipment finance, property finance and treasury. The division is also responsible for consumer customers with auto finance loans. BB works in an integrated way with Consumer Bank, BTFG and WIB in the sales and service of select financial services and products including corporate superannuation, foreign exchange and interest rate hedging. The revenue from these products is mostly retained by the product originator Westpac New Zealand is responsible for sales and service of banking, wealth and insurance products for consumers, business and institutional customers in New Zealand. Westpac conducts its New Zealand banking business through two banks in New Zealand: Westpac New Zealand Limited, which is incorporated in New Zealand and Westpac Banking Corporation (New Zealand Branch), which is incorporated in Australia. Westpac New Zealand operates via an extensive network of branches and ATMs across both the North and South Islands. Business and institutional customers are also served through relationship and specialist product teams. Banking products are provided under the Westpac brand while insurance and wealth products are provided under Westpac Life and BT brands, respectively. New Zealand also maintains its own infrastructure, including technology, operations and treasury Business Bank Westpac NZ Westpac Institutional Bank (WIB) delivers a broad range of financial products and services to commercial, corporate, institutional and government customers with connections to Australia and New Zealand. WIB operates through dedicated industry relationship and specialist product teams, with expert knowledge in financing, transactional banking, and financial and debt capital markets. Customers are supported throughout Australia as well as via branches and subsidiaries located in New Zealand, the US, UK and Asia. WIB is also responsible for Westpac Pacific currently providing a range of banking services in Fiji and PNG. WIB works in an integrated way with all the Group’s divisions in the provision of more complex financial needs including across foreign exchange and fixed interest solutions This segment provides centralised Group functions including Treasury, Technology and Core Support (finance, human resources etc.). Costs are partially allocated to other divisions in the Group, with costs attributed to enterprise activity retained in Group Businesses. This segment also reflects Group items including: earnings on capital not allocated to divisions, earnings from non-core asset sales, earnings and costs associated with the Group’s fintech investments and certain other head office items such as centrally raised provisions WIB Group Businesses or GBU Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Appendix 3: Definitions Appendix and Disclaimer 135 Capital ratios As defined by APRA (unless stated otherwise) The NSFR is defined as the ratio of the amount of available stable funding (ASF) to the amount of required stable funding (RSF) defined by APRA. The amount of ASF is the portion of an ADI’s capital and liabilities expected to be a reliable source of funds over a one year time horizon. The amount of RSF is a function of the liquidity characteristics and residual maturities of an ADI’s assets and off-balance sheet activities. ADI’s must maintain an NSFR of at least 100% Assets (both on and off-balance sheet) are risk weighted according to each asset’s inherent potential for default and what the likely losses would be in case of default. In the case of non-asset-backed risks (ie. market and operational risk), RWA is determined by multiplying the capital requirements for those risks by 12.5 Net stable funding ratio (NSFR) Risk weighted assets or RWA As defined by APRA (unless stated otherwise). Tier 1 capital divided by ‘exposure measure’ and expressed as a percentage. ‘Exposure measure’ is the sum of on-balance sheet exposures, derivative exposures, securities financing transaction exposures and other off-balance sheet exposures Includes facilities where: Leverage ratio • contractual payments of interest and / or principal are 90 or more calendar days overdue, including overdrafts or other revolving facilities that remain continuously outside approved limits by material amounts for 90 or more calendar days (including accounts for customers who have been granted hardship assistance); or an order has been sought for the customer’s bankruptcy or similar legal action has been instituted which may avoid or delay repayment of its credit obligations; and the estimated net realisable value of assets / security to which Westpac has recourse is sufficient to cover repayment of all principal and interest, or where there are otherwise reasonable grounds to expect payment in full and interest is being taken to profit on an accrual basis. Internationally comparable regulatory capital ratios are Westpac’s estimated ratios after adjusting the capital ratios determined under APRA Basel III regulations for various items. Analysis aligns with the APRA study titled “International capital comparison study” dated 13 July 2015 Internationally comparable ratios 90 days past due and not impaired • • An APRA requirement to maintain an adequate level of unencumbered high quality liquid assets, to meet liquidity needs for a 30 calendar day period under an APRA-defined severe stress scenario. Absent a situation of financial stress, the value of the LCR must not be less than 100%, effective 1 January 2015. LCR is calculated as the percentage ratio of stock of HQLA and CLF over the total net cash out-flows in a modelled 30 day defined stressed scenario Liquidity coverage ratio (LCR) These facilities, while in default, are not treated as impaired for accounting purposes Loans not found to be individually impaired or significant will be collectively assessed in pools of similar assets with similar risk characteristics. The size of the provision is an estimate of the losses already incurred and will be estimated on the basis of historical loss experience for assets with credit characteristics similar to those in the collective pool. The historical loss experience will be adjusted based on current observable data. Included in the collectively assessed provision is an economic overlay provision which is calculated based on changes that occurred in sectors of the economy or in the economy as a whole High quality liquid assets (HQLA) Assets which meet APRA’s criteria for inclusion as HQLA in the numerator of the LCR Collectively assessed provisions or CAPs Committed liquidity facility (CLF) The RBA makes available to Australian Authorised Deposit-taking Institutions a CLF that, subject to qualifying conditions, can be accessed to meet LCR requirements under APS210 Liquidity Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Appendix 3: Definitions Appendix and Disclaimer 136 Represents the sum of the committed portion of direct lending (including funds placement overall and deposits placed), contingent and pre-settlement risk plus the committed portion of secondary market trading and underwriting risk Includes exposures that have deteriorated to the point where full collection of interest and principal is in doubt, based on an assessment of the customer’s outlook, cashflow, and the net realisation of value of assets to which recourse is held and includes: Total committed exposures (TCE) • facilities 90 days or more past due, and full recovery is in doubt: exposures where contractual payments are 90 or more days in arrears and the net realisable value of assets to which recourse is held may not be sufficient to allow full collection of interest and principal, including overdrafts or other revolving facilities that remain continuously outside approved limits by material amounts for 90 or more calendar days; non-accrual assets: exposures with individually assessed impairment provisions held against them, excluding restructured loans; restructured assets: exposures where the original contractual terms have been formally modified to provide for concessions of interest or principal for reasons related to the financial difficulties of the customer; other assets acquired through security enforcement (includes other real estate owned): includes the value of any other assets acquired as full or partial settlement of outstanding obligations through the enforcement of security arrangements; and any other assets where the full collection of interest and principal is in doubt Average interest-earning assets (AIEA) The average balance of assets held by the Group that generate interest income. Where possible, daily balances are used to calculate the average balance for the period Cash earnings per ordinary share Cash earnings divided by the weighted average ordinary shares (cash earnings basis) Impaired assets • • Core earnings Net operating income less operating expenses Full-time equivalent employees (FTE) A calculation based on the number of hours worked by full and part-time employees as part of their normal duties. The full-time equivalent of one FTE is 76 hours paid work per fortnight • • Net interest margin (NIM) Calculated by dividing net interest income by average interest-earning assets Net tangible assets per ordinary share Net tangible assets (total equity less goodwill and other intangible assets less minority interests) divided by the number of ordinary shares on issue (reported) Provisions raised for losses that have already been incurred on loans that are known to be impaired and are assessed on an individual basis. The estimated losses on these impaired loans is based on expected future cash flows discounted to their present value and, as this discount unwinds, interest will be recognised in the income statement Individually assessed provisions or IAPs Weighted average ordinary shares (cash earnings) Weighted average number of fully paid ordinary shares listed on the ASX for the relevant period Stressed assets Watchlist and substandard, 90 days past due and not impaired and impaired assets Women in Leadership refers to the proportion of women (permanent and maximum term) in leadership roles across the Group. It includes the CEO, Group Executive, General Managers, senior leaders with significant influence on business outcomes,(direct reports to General Managers and their direct reports), large (3+) team people leaders three levels below general manager, and Bank and Assistant Bank Managers Women in Leadership Watchlist and substandard Loan facilities where customers are experiencing operating weakness and financial difficulty but are not expected to incur loss of interest or principal Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Appendix 3: Definitions Appendix and Disclaimer 137 Data based on Roy Morgan Research, Respondents aged 14+ and 12 month rolling. Wealth penetration is defined as the proportion of Australians who have a Deposit or Transaction Account, Mortgage, Personal Lending or Major Card with a Banking Group and also have Managed Investments, Superannuation or Insurance with the same Banking Group. Note: Westpac and St.George use Managed Investments, Superannuation or Insurance with Westpac Group Net Promoter Score measures the net likelihood of recommendation to others of the customer’s main financial institution. Net Promoter ScoreSM is a trademark of Bain & Co Inc., Satmetrix Systems, Inc., and Mr Frederick Reichheld. Using a scale of 0 to 10 (0 means ‘extremely unlikely’ and 10 means ‘extremely likely’), the 0-6 raters (detractors) are Net Promoter Score or NPS Australian customers with wealth products metrics provider deducted from the 9-10 raters (promoters) NPS – overall consumer Source: DBM Consultants Consumer Atlas, March 2016 – March 2018, 6MMA. MFI customers Westpac includes Westpac, BT, Challenge Bank, Rothschild, ASGARD, and Sealcorp. St.Georgebrands include St. George, Advance Bank, BankSA, Bank of Melbourne, Dragondirect, RAMS. Westpac Group includes Westpac, St. George, Advance Bank, ASGARD, BankSA, Bank of Melbourne, BT, Challenge Bank, Dragondirect, RAMS, Rothschild, and Sealcorp. Peers includes: ANZ Group, CBA Group and NAB Group NPS – overall business Source: DBM Consultants Business Financial Services Monitor, March 2016 – March 2018, 6MMA. MFI customers, all businesses Source: DBM Consultants Business Financial Services Monitor, March 2016 – March 2018, 6MMA. MFI customers, SME businesses. SME businesses are those organisations with annual turnover under $5 NPS – SME The Customer Satisfaction score is an average of customer satisfaction ratings of the customer’s main financial institution for business banking on a scale of 0 to 10 (0 means ‘extremely dissatisfied’ and 10 means ‘extremely satisfied’) Customer satisfaction or CSat million (excluding Agribusinesses) Source: 3 month rolling Retail Market Monitor data (survey conducted by Camorra Research). Respondents are asked about likelihood to recommend their main bank to family and friends on a scale of 1 (extremely unlikely) to 10 (extremely likely). Net Promoter Score is represents % of Promoters (recommend score of 9 or 10) minus % of Detractors (recommend score of 1 to 6) NPS Consumer (Westpac NZ) CSat – overall consumer Source: DBM Consultants Consumer Atlas, March 2016 – March 2018, 6MMA. MFI customers Source: 6 month rolling Business Finance Monitor data (survey conducted by Kantar TNS among businesses with an annual turnover of $5 to $150 million). Respondents are asked about likelihood to recommend their main business bank to business colleagues and associates on a scale of 1 (extremely unlikely) to 10 (extremely likely). Net Promoter Score is represents % of Promoters (recommend score of 9 or 10) minus % of Detractors (recommend score of 1 to 6) CSat – overall business Source: DBM Consultants Business Financial Services Monitor, March 2016 – March 2018, 6MMA. MFI customers, all businesses NPS Business (Westpac NZ) 3 month rolling Retail Market Monitor data (survey conducted by Camorra Research). Main bank customers are asked to rate the overall level of service they receive from their main bank on a scale of 1 (poor) to 5 (excellent). Results represent the % of customers who rate the service as either 4 (very good) or 5 (excellent), excluding “don’t know” C Sat (Westpac NZ) 6 month rolling Agri Market Monitor data (survey conducted by Key Research). Respondents are asked about likelihood to recommend their main business bank to business colleagues, friends or family on a scale of 1 (extremely unlikely) to 10 (extremely likely). Net Promoter Score is represents % of Promoters (recommend score of 9 or 10) minus % of Detractors (recommend score of 1 to 6) NPS Agri (Westpac NZ) The ranking refers to Westpac Group’s position relative to the other three major Australian banking groups (ANZ Group, CBA Group and NAB Group) Westpac Group rank Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack

Disclaimer 139 The material contained in this presentation is intended to be general background information on Westpac Banking Corporation (Westpac) and its activities. The information is supplied in summary form and is therefore not necessarily complete. It is not intended that it be relied upon as advice to investors or potential investors, who should consider seeking independent professional advice depending upon their specific investment objectives, financial situation or particular needs. The material contained in this presentation may include information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. All amounts are in Australian dollars unless otherwise indicated. Unless otherwise noted, financial information in this presentation is presented on a cash earnings basis. Cash earnings is a non-GAAP measure. Refer to Westpac’s 2018 Interim Financial Results (incorporating the requirements of Appendix 4D) for the six months ended 31 March 2018 available at www.westpac.com.au for details of the basis of preparation of cash earnings. Refer to slide 36 for an explanation of cash earnings and Appendix 1 slide 131 for a reconciliation of reported net profit to cash earnings. This presentation contains statements that constitute “forward-looking statements” within the meaning of Section 21E of the US Securities Exchange Act of 1934. Forward-looking statements are statements about matters that are not historical facts. Forward-looking statements appear in a number of places in this presentation and include statements regarding our intent, belief or current expectations with respect to our business and operations, market conditions, results of operations and financial condition, including, without limitation, future loan loss provisions, financial support to certain borrowers, indicative drivers, forecasted economic indicators and performance metric outcomes. We use words such as ‘will’, ‘may’, ‘expect’, 'indicative', ‘intend’, ‘seek’, ‘would’, ‘should’, ‘could’, ‘continue’, ‘plan’, ‘probability’, ‘risk’, ‘forecast’, ‘likely’, ‘estimate’, ‘anticipate’, ‘believe’, ‘aim’, or other similar words to identify forward-looking statements. These forward-looking statements reflect our current views with respect to future events and are subject to change, certain risks, uncertainties and assumptions which are, in many instances, beyond our control, and have been made based upon management’s expectations and beliefs concerning future developments and their potential effect upon us. There can be no assurance that future developments will be in accordance with our expectations or that the effect of future developments on us will be those anticipated. Actual results could differ materially from those which we expect, depending on the outcome of various factors. Factors that may impact on the forward-looking statements made include, but are not limited to, those described in the Section titled ‘Risk factors' in Westpac’s 2018 Interim Financial Results for the six months ended 31 March 2018 (or Annual Report for the year ended 30 September 2017) available at www.westpac.com.au. When relying on forward-looking statements to make decisions with respect to us, investors and others should carefully consider such factors and other uncertainties and events. We are under no obligation to update any forward-looking statements contained in this presentation, whether as a result of new information, future events or otherwise, after the date of this presentation. Westpac Group 2018 Interim Results Presentation & Investor Discussion Pack