ANZ Shareholder Centre

ANZ's economic contribution to society is more than financial profits. We create jobs, pay salaries and invest in the skills of our people. We also pay taxes in the countries where we operate, support business in our supply chain and provide products that satisfy the needs of our customers.

Economic value generated and distributed (EVG&D), as defined in the Global Reporting Initiative's Sustainability Guidelines (G3), provides a basic indication of how an organisation has created wealth for stakeholders.

ANZ's EVG&D information is derived from our audited financial statements and community investment figures calculated using the London Benchmarking Group methodology.

In 2011, direct economic value generated was $35,817 million and total economic value distributed was $32,737 million.

Economic Value Generated and Distributed

Direct economic value generated
Revenues $35,817m
Total direct economic value generated: $35,817m
Economic value distributed
Operating costs $3,272m
Employee wages and benefits $4,751m
Payments to providers of capital $22,388m
Payments to government $2,309m
Community investments $17m
Total economic value distributed $32,737m
Economic value retained/reinvested $3,080m

Total tax contribution

ANZ participates in an annual Total Tax Contribution Survey in conjunction with the Business Council of Australia and the Corporate Tax Association. ANZ uses this framework to communicate our economic tax contribution, manage tax-operating risk and optimise our tax strategy to create shareholder value. Further, a disclosure of this kind supports our tax strategy, being to maintain a low-risk tax appetite and a transparent tax culture.

During 2011, taxes borne in Australia amounted to more than $2.3 billion, with income tax and GST combining to contribute 84% of this amount. In New Zealand, taxes borne totalled $435 million, with income tax and GST contributing 89% of this amount.

Taxes collected in Australia amounted to $2.9 billion with more than half relating to GST and employee PAYG. New Zealand's taxes collected figure was $538 million with resident withholding tax and employee PAYG making up 78% of the total.

Regulation

Australia

ANZ is authorised to operate as a bank by the Australian Prudential Regulatory Authority (APRA), the Australian prudential regulator is responsible for maintaining the stability and safety of the Australian financial system.

ANZ holds an Australian Financial Services Licence, issued by the Australian Securities and Investments Commission (ASIC), which carries minimum standards relating to disclosure, advice and adviser training. As the financial services regulator, ASIC licenses and monitors financial services businesses to ensure that they operate efficiently, honestly and fairly.

ANZ is also subject to oversight by the Australian Transaction Reporting and Analysis Centre (AUSTRAC), Australia's anti-money laundering and counter-terrorism financing regulator and financial intelligence unit.

Australian competition laws are administered by the Australian Competition and Consumer Commission and ANZ is also subject to regulation under State law in relation to consumer lending and fair trading.

New Zealand

ANZ Bank New Zealand Limited operates under Conditions of Registration set by the Reserve Bank of New Zealand (RBNZ), which has a supervisory function to encourage the soundness and efficiency of the financial system as a whole.

ANZ New Zealand is subject to competition laws contained in the Commerce Act which is administered by the Commerce Commission, as well as legislation regulating consumer lending and fair trading.

Asia Pacific

As the largest bank in the Pacific and Australia's leading bank in Asia, ANZ operates in a large number of jurisdictions each with their own regulatory requirements. Locally incorporated subsidiary operations and representative offices in the Asia Pacific region adhere to relevant country specific banking and prudential requirements, overseen by central bank and regulatory authorities, in each country in which we operate.

For example, in Asia these include our subsidiaries in Cambodia, Indonesia, Laos and Malaysia and our representative offices in Thailand, Malaysia and the United Arab Emirates. In the Pacific this includes our subsidiaries in America Samoa, Guam, Kiribati, Papua New Guinea, Samoa, Vanuatu and our representative office in New Caledonia.

APRA is responsible for prudential regulation of our branches located outside of Australia which must also comply with the laws of the countries in which they operate. ANZ has branches located in China, Japan, South Korea, Taiwan, Philippines, Cook Islands, Fiji, New Caledonia, Solomon Islands, Timor Leste and Tonga.