Letter to MCG Security Holders

21 June 2004

Dear Investor

I am writing to you to address recent Australian press criticism of Macquarie Bank’s performance as manager of the ASX listed infrastructure funds Macquarie Infrastructure Group (MIG), Macquarie Airports (MAp) and Macquarie Communications Infrastructure Group (MCG).

The articles include numerous inaccuracies and for the record we provide the following summary of our performance.

Over the past seven years Macquarie has raised A$6.65 billion for the above three ASX listed infrastructure funds. Today that capital has a value of A$9.48 billion.

What that means for an investor is that:

• MIG’s compound annual return, on an accumulation basis since listing on 16 December 1996 to 17 June 2004, has been 23%. The average weighted issue price is A$2.17 vs the market price of A$3.30 (as at 17/6/04).
• MAp’s compound annual return, on an accumulation basis since listing on 2 April 2002 to 17 June 2004, has been 7.0%. The average weighted issue price is A$1.77 vs the market price of A$2.10 (as at 17/6/04).
  
• MCG’s compound annual return, on an accumulation basis since listing on 13 August 2002 to 17 June 2004, has been 44.4%. The average weighted issue price is A$2.05 vs the market price of A$3.58 (as at 17/6/04).

Macquarie, as manager of your fund, undertakes many functions including acquisitions, divestments, and development of new assets, financial and corporate structuring, communications and investor relations and corporate governance, as well as providing significant industry expertise and direction to the underlying businesses in which the funds invest.

We believe that the facts support our view that the Macquarie model, through which we are able to leverage the Macquarie global network and management expertise, is the most effective and beneficial way to grow value within the funds and to realise and return that value to investors.

Yours faithfully

Gerry Moriarty
Chairman
Macquarie Communications Infrastructure Management Limited

For further information, please contact:

David Beck
Associate Director
Tel: (612) 8232 4411
Email: david.beck@macquarie.com

Suzanne Mercer
Public Affairs Manager
Tel: (612) 8232 8525
Mobile: (614) 1394 6706
Email: suzanne.mercer@macquarie.com