annual report 2016‌‌

02

Chairman's Letter

04

Managing Director's Report

08

Operational Review

18

Safety, Health and Environment

20

Financial Information

132

Corporate Directory

Annual General Meeting

The 2016 Annual General Meeting of Qube Holdings Limited will be held in Grand Ballroom 1, Level B, Shangri-La Hotel, 176 Cumberland Street, Sydney on Thursday, 24 November 2016 at 10:00am (Sydney time).

Qube is establisHed as a leading logistics provider for import and

export freigHt.

contents AnnuAl report 2016 1

chAirmAn's letter

tHe HigHligHt of 2016 Was our successful Joint acQuisition of patricK container terminals.

Christopher D Corrigan Chairman 2016 was a year of extraordinary achievement for Qube as the company's vision of transforming Australia's logistics chains moved closer to reality.

The highlight of 2016 was our successful joint acquisition of Patrick Container Terminals - in Qube's view, Australia's lowest-cost and most efficient container stevedoring operation.

This acquisition, in a joint venture with Brookfield Infrastructure Partners, was completed in August following a lengthy, complex and competitive process lasting the majority of FY16.

The Patrick investment will underpin Qube's long-term earnings and extend the company's supply chain capabilities to national container ports, enhancing our ability to deliver efficient logistics solutions to our customers.

The other key milestone achieved was final Concept Plan approval for the Moorebank project in south-western Sydney which has seen works on the site commence. After many years in the

planning, development of this vital national infrastructure project is now underway.

In addition, this project will now be fully owned by Qube following the decision by Aurizon to sell its 33% interest in the Moorebank development.

It was particularly pleasing that these milestones were achieved while the two operating divisions Qube Logistics and Qube Ports & Bulk were still able to deliver a sound financial performance in the face of challenging trading conditions.

Other highlights for the period (including agreements negotiated during the period but finalised post financial year end) include:

  • The agreement to acquire the remaining 50% of Australian Amalgamated Terminals (AAT) (subject to ACCC approval).

  • Completion of a $494 million entitlement offer to existing shareholders and a $306 million placement to the Canada Pension Plan Investment Board (CPPIB) to support the investment in Patrick.

  • Establishing new debt facilities

within Patrick (non-recourse to Qube), and increasing Qube's debt facilities, in each case on favourable terms and

pricing to support the Patrick acquisition and Qube's continued growth.

2 AnnuAl report 2016 qube holdings limited

Qube Holdings Limited published this content on 12 October 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 19 October 2016 23:03:03 UTC.

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