Performance Fee for Period Ended 30 June 2005

06 July 2005

The initial public offering of the ordinary shares of Macquarie International Infrastructure Fund Limited (MIIF) was sponsored by Macquarie Securities (Asia) Pte Limited.

Macquarie International Infrastructure Fund Limited (MIIF) advises that a performance fee of S$28.1 million is payable to its Manager, Macquarie Infrastructure Management (Asia) Pty Limited (the Manager), for the period ended 30 June 2005.

In the period since MIIF’s initial public offering on 27 May 2005 to 30 June 2005 total shareholder value¹ increased by S$128.5 million.

Over this period, the MIIF Accumulation Index increased by 18.3% versus the agreed benchmark annual return of 8% (0.7% for the period).  MIIF has therefore outperformed the benchmark by 17.6% over the period and this out performance results in a performance fee payable to the Manager of S$28.1 million.

Under the terms of the management agreement the Manager will receive a performance fee, calculated and payable quarterly in arrears, if the return on the Shares² for a quarter (including reinvestment of all distributions) is greater than zero and exceeds the benchmark return.  The performance fee is equal to 20% of the return above the benchmark return for the quarter.

The MIIF Accumulation Index is the accumulated total return on the Shares, including reinvestment of all distributions, from MIIF’s listing date.  The benchmark return for a period equals the average market capitalisation of MIIF over the last 15 SGX-ST trading days of the previous period multiplied by an annualised return of 8% per annum.

As disclosed in MIIF’s prospectus dated 20 May 2005, the Manager has agreed that any performance fees payable in respect of the forecast period ending 31 December 2005 will be satisfied by the issue of new Shares.

An application will be made to the SGX-ST for the listing of the new Shares that are to be issued to the Manager in respect of the performance fee for the period ended 30 June 2005.  Such new Shares shall not qualify for any dividend to be declared for the period ending 30 June 2005.

The Directors of MIIF reiterate the prospectus distribution guidance for 30 June 2005 of between 1.8 cents to 2.3 cents per Share and its semi-annual dividend for the six months ending 31 December 2005 of between 2.8 cents to 3.5 cents per Share.  The issue of Shares in satisfaction of the performance fee will not impact the distributions disclosed in MIIF’s prospectus dated 20 May 2005.

For further information please contact:

Investor Enquiries
Lianne Buck
Macquarie International Infrastructure Fund
Tel: (61 2) 8232 3965
Email: lianne.buck@macquarie.com

Media Enquiries
Jane Rotsey
Public Affairs Manager
Mobile: (61) 401 997 160
Email: jane.rotsey@macquarie.com