Interim Results for Period Ended 31 December 2003

19 February 2004

Macquarie Communications Infrastructure Group (MCG) today announced its results for the half year to 31 December, 2003.

Mr Scott Davies, Chief Executive Officer of MCG, said Broadcast Australia (BA), the cornerstone asset of MCG, performed strongly during the half year, exceeding prospectus forecasts by every measure.

"The half year results underscore BA's strong market position and potential for low risk, high margin growth," Mr Davies said.

MCG achieved revenue of $84.6 million during the half year, approximately 20% above the previous corresponding period (pcp), and earnings before interest, tax, depreciation and amortisation (EBITDA) of $42.8 million, approximately 51% above the pcp.

MCG announced in December an interim distribution of 11.2 cents per stapled security for the half year, in line with prospectus forecasts. This distribution was paid to security holders on 12 February 2004.

Over the pcp, BA revenue grew by 20% and EBITDA grew by 30%, resulting in an EBITDA margin increase to 57.4%, above the prospectus forecast of 55.1%.

BA provides the most extensive TV and radio transmission services in Australia from a network of approximately 600 transmission sites across metropolitan, regional and rural Australia, reaching 98% of the country’s population. It has major long term contracts to supply television and radio broadcast services to the ABC and SBS.

A key milestone during the half year, was BA's successful launch of digital radio trials through a digital radio trial in Melbourne and the soft launch of a datacasting trial in metropolitan Sydney.

"BA's digital rollout is proceeding exceptionally well and is ahead of where MCG expected it would be at the time of the prospectus," Mr Davies said.

During the half year, BA also signed a 15-year portal services agreement with Prime Television. In January, BA signed a similar 15-year portal services agreement with Southern Cross Broadcasting (SBC).

The agreement with SBC is the third that Broadcast Australia has successfully negotiated with regional television digital and analogue content providers.

The SBC agreement brings the value of new contracts awarded to BA to approximately $385 million since MCG listed in August 2002

Mr Davies said MCG continues to actively investigate potential acquisitions to grow revenue and enhance value for security holders.

"This is a deep and broad sector. We believe there are businesses involved in the provision of communications infrastructure that could be value accretive to MCG. We will continue to investigate these," he said.

Mr Davies said MCG is well on track to at least achieve its prospectus forecasts for the year to June 30, 2004.

"BA continues to seek new revenue opportunities. MCG and BA remain well-positioned for continued earnings growth," Mr Davies said.

MCG half year results summary

• Download Interim Results Investor Presentation (pdf 871 KB).
• Dowload Interim Financial Report (pdf 262 KB).
• Download Appendix 4D (pdf 24 KB).
• View the Interim Results Announcement webcast held on 19th February 2004.

For more information, please contact:

Investor Enquiries
Geetika Marwaha
Investor Relations Manager
Tel: (61 2) 8232 5301
Email: geetika.marwaha@macquarie.com

Media Enquiries
Jane Rotsey
Public Affairs Manager
Tel: (61 2) 8232 5026
Email: jane.rotsey@macquarie.com