FAQs

DUET is a quadrupled stapled security that is listed on the Australian Securities Exchange (ASX). Trading of securities must be conducted through an ASX registered stockbroker. The ASX website www.asx.com.au can provide further details on ASX registered stockbrokers.

DUET was first listed on the ASX on 13 August 2004.

There is a chronological history of DUET in each Annual Report and in the News section of this website.

DUET consists of three Australian registered managed investment schemes and an Australian public company: Diversified Utility and Energy Trust No 1 (DUET1), Diversified Utility and Energy Trust No 2 (DUET2), Diversified Utility and Energy Trust No (DUET3) and DUET Investment Holdings Limited (DIHL).

The responsible entity of DUET1 is AMPCI Macquarie Infrastructure Management No 1 Limited (RE1).

The responsible entity of DUET2 is AMPCI Macquarie Infrastructure Management No 2 Limited (RE2).

The responsible entity of DUET3 is AMPCI Macquarie Infrastructure Management No 2 Limited (RE2).

The manager of DIHL is AMPCI Macquarie Infrastructure Management No 1 Limited (RE1).

RE1 and RE2 are jointly owned (50:50) by AMP Capital Holdings Limited and Macquarie Group Limited.

DUET's management team has expert knowledge of, and experience in, the energy utility sector, and RE1 and RE2 have access to the combined infrastructure expertise and investment management resources of the Macquarie Group and the AMP Capital Group.

Stapled securities are securities comprising securities in two (or more) separate entities that have to be traded as a single stapled security. In DUET's case, there are three trusts, DUET1, DUET2 and DUET3 and one company DIHL (collectively referred to as DUET Group or DUET). DUET stapled security holders have an equal number of units and shares in DUET1, DUET2, DUET3 and DIHL.

The stapled security structure maximises the efficiency with which returns can be made to the security holders. DUET1, DUET2 and DUET3 are eligible investment trusts for the purposes of the Australian Income Tax Assessment Act and therefore have the ability to distribute income to unit holders which has not been subject to income tax at the trust level.

DIHL will be taxed as a company for the purposes of the Australian Income Tax Assessment Act. Potential security holders should seek their own independent advice regarding the investment and receipt of distributions in a trust/s and dividends from DIHL.

The ATO has developed information to assist investors who own stapled securities determine their capital gains tax (CGT) obligations. Click on the following link to read more:

• ATO information on stapled securities

The ongoing management of DUET is carried out by RE1 in respect of DUET1, RE2 in respect of DUET2, RE2 in respect of DUET3 and RE1 in respect of DIHL.

Under the terms of the constitutions of DUET1, DUET2, DUET3 and DIHL and the Management Deeds entered into with RE1 and RE2, respectively, a Base Fee and, potentially, a Performance Fee are payable by DUET1, DUET2, DUET3 and DIHL to RE1 and RE2 respectively.

The Base Fee is calculated as 1% per annum of DUET's market capitalisation after adding commitments to invest and any external debt and then deducting uncommitted cash on the balance sheet.

A Performance Fee may also be payable in the event that the DUET accumulation index outperforms the S&P 200 Industrials Accumulation Index measured over half yearly periods. The performance fee is 20% of the amount of the net out-performance.

This management fee structure aims at ensuring that each manager's interests are aligned with those of DUET's stapled security holders, namely through security price performance.

DUET owns and operates energy utility assets in OECD countries with strong competitive positions which offer predictable cashflows.

DUET intends to accumulate a portfolio of energy utility assets diversified by geography, operator, energy source and regulatory regime.

DUET will seek to acquire significant shareholdings in those assets so as to provide DUET with a level of influence over the key strategic, operating and commercial decisions affecting its investments.

DUET will seek to achieve these investment objectives by targeting energy utility businesses which:

• have established historical or contracted volume levels;
• are governed by regulatory regimes or have long term supply agreements; and
• are operated by capable operators able to manage risks and improve operating efficiencies.

DUET's existing diversified portfolio of assets comprises:

• 80.0% interest in the Dampier Bunbury Pipeline (DBP), a major natural gas transmission pipeline in Western Australia.
• 66.0% interest in United Energy Distribution (UED), one of five electricity distribution networks in Victoria;
• 100% interest in Multinet, one of three Victorian gas distribution networks;
• 100% of the subordinated debt in DBP and Multinet.

DUET intends

• In relation to DUET1, DUET2 and DUET3, to distribute to security holders all distributable income for each financial year, with distributions made twice yearly; for the half year ended 31 December and full year ended 30 June.
• In relation to DIHL, the DIHL Board will determine the dividend policy each half year.

The Responsible Entities intend to pay stapled unit distributions and dividends to investors in February for the half year distribution and in August for the full year distribution.

The DRP is the Dividend and Distribution Reinvestment Plan. Under this plan, Australian and New Zealand stapled security holders can choose to have their dividends and distributions automatically reinvested in DUET securities without incurring brokerage fees. Unit holders will be able to participate in the plan commencing with the distribution for the half year ending 31 December 2004. A booklet and application form is available from the share registry or download the booklet and application form here.

DUET has the ability to offer a discount of up to 10% under the DRP, however, Directors have the ultimate discretion to determine DRP discount levels, if any.

A tax statement for the tax year to 30 June is mailed to all security holders who have held an investment in DUET during that tax year. The tax statement summarises the distributions paid during the year and includes information required to complete your annual tax return.

If you have any questions about your security holder details, or wish to change your details, please contact DUET's share registry Computershare Investor Services.

You can contact Computershare on (please have your Holder Identification Number ready):

Free call within Australia: 1800 009 874
Outside Australia: 61 3 9415 4189.

Alternatively, you can become a member of Computershare's online investor centre and you can find out about your details online at: www.computershare.com

We welcome any comments or questions you may have about your investment in DUET. Contact DUET investor relations on:

Telephone within Australia:1800 005 049
Telephone outside Australia:+64 2 8232 4491
Write to DUET:

GPO Box 4294
Sydney NSW 1164
AUSTRALIA

Email DUET: duet@duet.net.au