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announcement Macquarie

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									Macquarie International Infrastructure Fund Limited
EC36305




Penboss Building                  Telephone    +65 6231 2766
50 Parliament Street              Fax          +65 6438 7306
2nd Floor                         Internet     www.macquarie.com
Hamilton HM 12
BERMUDA




SGX-ST/MEDIA RELEASE



                         MIIF NOTES THE ADJUSTMENTS TO THE
       STATED PROPORTIONATE BUSINESS NET DEBT BALANCE AND
                       ENTERPRISE VALUE



SINGAPORE, 3 November 2010 – Further to today’s release of Macquarie
International Infrastructure Fund Limited’s (MIIF) financial results for the nine months
ended 30 September 2010, adjustments have made to its proportionate business’ net
debt balance and the resultant enterprise value on:
     •     Slide 26 and 27 of the MIIF Third Quarter 2010 Results Presentation; and
     •     Page 30 note H of the MIIF SGX Quarterly Report.

These adjustments are attached and highlighted in yellow.

For further information, please contact:
=
Wei Cheong                                                 Fiona McDonald
Investor Relations, Singapore                              Corporate Communications, Singapore
Tel:     (65) 6231 2766                                    Tel:    (65) 6231 2749
Email: wei.cheong@macquarie.com                            Email: fiona.mcdonald@macquarie.com
=




None of the entities noted in this document is an authorised deposit-taking institution for the purposes of the
Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other
liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide
assurance in respect of the obligations of these entities.
                                              MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND




                                                                Third Quarter 2010
                                                               Results Presentation
                                                                         3 November 2010




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND
                                                                                                                                              Important Notices
  Disclaimer
  Macquarie International Infrastructure Fund Limited (MIIF) is a Bermudian registered mutual fund company listed on the Singapore Exchange Securities Trading Limited. Macquarie Infrastructure
  Management (Asia) Pty Limited (MIMAL) (AFSL 284 621) is the manager of MIIF. MIMAL is a wholly owned subsidiary of Macquarie Group Limited (ACN 122 169 279).
  None of the entities noted in this document is an authorised deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia) and their obligations do not represent
  deposits or other liabilities of Macquarie Bank Limited (ABN 46 008 583 542) (MBL). MBL does not guarantee or provide assurance in respect of the obligations of these entities.
  This presentation has been prepared based on available information. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the
  information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law, neither Macquarie Group Limited, MBL, MIIF, MIMAL, their directors, employees or
  agents, nor any other person accepts any liability for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it, including, without limitation, any
  liability arising from fault or negligence on the part of Macquarie Group Limited, MBL, MIIF, MIMAL or their directors, employees or agents.
  In particular, no representation or warranty is given as to the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects or returns contained in the information. Such
  forecasts, prospects or returns are by their nature subject to significant uncertainties and contingencies. Each recipient of the information should make its own independent assessment of the
  information and take its own independent professional advice in relation to the information and any action taken on the basis of the information.

  General Securities Warning
  This presentation is not an offer or invitation for subscription or purchase of or a recommendation of securities. It does not take into account the investment objectives, financial situation and
  particular needs of the investor. Before making an investment in MIIF, the investor or prospective investor should consider whether such an investment is appropriate to their particular investment
  needs, objectives and financial circumstances and consult an investment adviser if necessary.
  Information, including forecast financial information, in this presentation should not be considered as a recommendation in relation to holding purchasing or selling, securities or other instruments in
  MIIF. Due care and attention has been used in the preparation of forecast information. However, actual results may vary from forecasts and any variation may be materially positive or negative.
  Forecasts by their very nature, are subject to uncertainty and contingencies many of which are outside the control of MIIF. Past performance is not a reliable indication of future performance.


  United Kingdom
  This document is only being distributed to and is directed only at persons falling within the following exemptions from the financial promotion restriction in s 21 of the United Kingdom Financial
  Services and Markets Act 2000 (“FSMA”): (a) authorised firms under FSMA and certain other investment professionals falling within article 14 of the FSMA (Promotion of Collective Investment
  Schemes) (Exemptions) Order 2001 Promotion) Order, (the “Order”); (b) high net worth entities (not individuals) falling within article 22 of the Order; and their directors, officers and employees
  acting for such entities in relation to investment; and (c) persons who receive this document outside the United Kingdom, in accordance with applicable local requirements. The distribution of this
  document in the United Kingdom to anyone not falling within the above categories is not permitted and may contravene FSMA.


  United States
  This document is not an offer of securities for sale into the United States. The shares have not been and will not be registered under the US Securities Act of 1933, as amended (the Securities Act)
  and, subject to certain exceptions, may not be offered or sold within the United States or to, or for the account or benefit of, US persons (as defined in Regulation S under the Securities Act), unless
  the shares are offered or sold to US persons who receive the Prospectus (or any other offering materials) and communicate their investment decisions while outside the United States.




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                                   2
                                                          Agenda

                                                             Page

                 Highlights                                   4


                 Financial Results                            7


                 Diversified Infrastructure Investments       13


                 Strong Balance Sheet                         25


                 Portfolio & Capital Review                   30


                 Outlook                                      33


                 Appendix                                     35



MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                         3
                                              Highlights




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                4
                                                                                                                       Highlights
                                                                             Period ended 30 September 2010

      Q3 2010 Net                         Income was in line with expectations
      income on an                          ― Higher investment income received from HNE of S$21.3 million (2009: S$14.2 million)
      adjusted basis                          and CXP of S$4.6 million (2009: S$1.1 million)
      S$33.2m                               ― Investment income received from Taiwan Broadband Communications (TBC) was lower
                                              at S$12.7 million (2009: S$16.6 million) due to the amortisation of its debt facilities

      NAV per share                       Net Asset Value (NAV) of S$1.03b
      S$0.80                                ― Decreased from S$1.04b as at 30 June 2010 due mainly to adverse currency movements

      Solid capital                       Market capitalisation of S$759.2 milllion1
      position                            Cash balances of S$478.6 million or 37 cents per share (cps)2
                                          No corporate-level borrowings

      Deployment of                       Continued focus on acquiring Asian infrastructure businesses
      cash balances                         ― A number investment opportunities reviewed todate
                                            ― None of these opportunities have met MIIF’s strict investment criteria




    Note:   (1) As at 2 November 2010
            (2) As at 30 September 2010

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                             5
                                                                                                                                           Highlights
                                                                                                         Period ended 30 September 2010

      Strong portfolio                               MIIF’s portfolio of businesses performed strongly
      performance                                        ― Businesses recorded significant EBITDA growth
                                                         ― Stable or increasing revenues across the portfolio



      Secure business-                               No debt maturing until 20141
      level borrowings                               Prudent and sustainable business-level gearing
                                                     Debt facilities compliant with covenants
                                                         ― Weighted average DSCR2: 1.7x




   Note:   (1) Excludes Miaoli Wind as its equity value is zero
           (2) Debt Service Coverage Ratio – Cash flow available for debt service divided by total debt service. As at 30 September 2010

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                             6
                                              Financial Results




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                       7
                                                                                                                                            Financial Results
                                                                                                              Net income on an adjusted basis

    Lower year to date net income due primarily to lower investment income

     (S$’000)                                                                                  9 months ended                     9 months ended                                   Variance
                                                                                                  30 Sep 2010                        30 Sep 2009                                  Fav/(Adv)
     Total income from investments, interest income
                                                                                                                  42,960                             49,848                           (13.8%)
     and other income

     Net foreign exchange gain                                                                                         822                             7,046                          (88.3%)

     Total revenue                                                                                                43,782                             56,894                           (23.0%)

     Management, performance and directors’ fees                                                                    3,854                              2,995                          (28.7%)

     Finance costs and other operating expenses                                                                     2,092                              2,165                               3.4%

     Net income on an adjusted basis(1)                                                                           37,836                             51,734                           (26.9%)


    Note: (1) Net income on an adjusted basis (excluding gain/loss on sale of investment) represents the earnings of MIIF that underpins the payment of dividends to MIIF shareholders, and as
          such it is the measure that the Board of Directors of MIIF focuses on to determine the amount of dividend that is ultimately paid to MIIF shareholders. This excludes all unrealised gains
          or losses on investments and other balance sheet items, and transaction costs incurred, that are ordinarily captured in a statement of comprehensive income prepared in accordance
          with all applicable accounting standards.

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                            8
                                                                     Financial Results
                                                                         Review of revenue

    Lower revenue driven by TBC debt amortisation and cessation of distributions
    from CAC, Arqiva and MEIF

                                              9 months ended   9 months ended      Variance
      (S$’000)
                                                 30 Sep 2010      30 Sep 2009     Fav/(Adv)
      Arqiva                                               -            3,798     (100.0%)
      CAC                                              3,245           10,988       (70.5%)
      CXP                                              4,619            1,098      >100.0%
      MEIF                                                 -            3,094     (100.0%)
      TBC                                             12,703           16,610       (23.5%)
      HNE                                             21,261           14,233        49.4%
      Interest income                                  1,132              27       >100.0%
      Net foreign exchange gain/(loss)                  822             7,046       (88.3%)
      Total Revenue                                   43,782           56,894       (23.0%)



MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                   9
                                                                    Financial Results
                                                          Review of operating expenses

    Total operating expenses higher due to increased management fees as a result
    of MIIF’s higher share price
                                              9 months ended   9 months ended    Variance
      (S$’000)
                                                 30 Sep 2010      30 Sep 2009   Fav/(Adv)
      Management Fees                                  3,554            2,674     (32.9%)
      Directors’ Fees                                   300              321        6.5%
      Finance Costs                                        -             581      100.0%
      Lending Fees                                      248              410       39.5%
      Other Operating Expenses                         1,844            1,174     (57.1%)
      Total Operating Expenses                         5,946            5,160     (15.2%)




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                 10
                                                                                                                      Financial Results
                                                                                                               Portfolio valuation analysis

  Total investments of S$1.03b down 3.8% from 31 December 2009
       Divestment of Arqiva and CAC
       Net foreign exchange losses arising from translation of MIIF’s foreign denominated assets to Singapore dollars
       Revaluation uplift of HNE, TBC and CXP
       Portfolio valuation was S$1.04b as at 30 June 2010
                                                     Company                    Additional      Distribution       Foreign    Revaluation    Company
                                                    Balance at                investment /   received from       exchange              to   Balance at
                                                     31 Dec 09                (divestment)     investments          effects     30 Sep 10    30 Sep 10
                                                         $’000                       $’000             $’000          $’000         $’000        $’000
    Unlisted securities
    Arqiva                                              297,193                  (238,490)                 -      (23,611)       (35,092)            -
    CAC                                                  89,821                   (88,087)          (3,245)          2,379          (868)            -
    CXP                                                  85,955                          -          (4,619)         (4,207)        11,836      88,965
    HNE                                                 258,579                          -         (21,261)       (12,787)         52,404     276,935
    Miaoli Wind                                                  -                  1,716                  -             3        (1,719)            -
    TBC                                                 169,039                          -         (12,703)         (7,188)        27,628     176,776
    Others                                                     72                        -                 -              -             -          72
    Investments in unlisted
    securities                                          900,659                  (324,861)         (41,828)       (45,411)         54,189     542,748
    Net cash & cash equivalents                         169,934                   317,811                  -              -             -     487,7451
    Total investments                                1,070,593                     (7,050)         (41,828)       (45,411)         54,189    1,030,493
   Note: (1) Includes $9.1 million deferred sales proceeds from the CAC IPO

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                              11
                                                                                                                              Share Price vs NAV

      Share price discount to                      1.40
                                                              1.28
                                                                                         1.22
      NAV reduced from a peak                      1.20
                                                                            1.20
      of 76% in March 2009 to                                                                            1.12
                                                   1.00
      29% on 14 September                                                                                              0.97
                                                                                                                                                                                 0.82                       0.80              0.80
                                                                                                                                       0.88
      2010                                         0.80                                                                                             0.87
                                                                                                                                                                    0.80                         0.79



                                              S$
                                                   0.60
      Discount of 32% as at 30
      September 2010                               0.40

                                                   0.20

                                                   0.00




                                                                                                          Nov-08




                                                                                                                                                                     Nov-09
                                                          Jan-08




                                                                                      Jul-08




                                                                                                                   Jan-09




                                                                                                                                                 Jul-09




                                                                                                                                                                              Jan-10




                                                                                                                                                                                                            Jul-10
                                                                   Mar-08

                                                                             May-08



                                                                                                Sep-08




                                                                                                                              Mar-09

                                                                                                                                        May-09



                                                                                                                                                           Sep-09




                                                                                                                                                                                        Mar-10

                                                                                                                                                                                                   May-10



                                                                                                                                                                                                                     Sep-10
                                                                                                                            Share Price                     NAV




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                                                          12
                                              Diversified Infrastructure
                                                           Investments




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                13
                                                                                                   Diversified Portfolio
                                                                                       Attractive high-quality investments

    Portfolio composition by geography1                                                    Portfolio composition by asset1

                                                                                                                     HNE
                                                                         China                                      26.9%
                                                                         35.5%

          Cash/                                                                            Cash/
        Receivables                                                                      Receivables
                                                                                          47.3%2
         47.3%2




                                                                                                                       TBC
                                                                 Taiwan                                               17.2%
                                                                  17.2%
                                                                                                              CXP
                                                                                                             8.6%




    Notes: (1) Based on 30 September 2010 valuation. Numbers are subject to rounding
           (2) Includes $9.1 million deferred sales proceeds from the CAC IPO


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                   14
                                                                                                        Proportionate EBITDA

    MIIF businesses (with the exception of Miaoli Wind) saw growth in EBITDA for
    the quarter and nine months

                         Three Months Ended 30 September                                                Nine Months Ended 30 September
                               Proportionate EBITDA                                                          Proportionate EBITDA



                  20.0                19.0                                                       60.0
                                             18.0                                                                     53.1
                  18.0
                  16.0                                                                           50.0                        45.3
    S$ millions




                  14.0




                                                                                   S$ millions
                                                                                                 40.0
                  12.0
                  10.0                                                 9.1   8.7                 30.0                                                  27.0 25.7
                   8.0
                   6.0                                                                           20.0
                   4.0    2.4   2.3                                                              10.0   7.1 6.5
                                                           0.9   1.0                                                                    4.7 5.1
                   2.0
                     -                                                                              -
                            CXP         HNE                 Miaoli      TBC                              CXP            HNE             Miaoli           TBC

                                             3Q10   3Q09                                                    9 months to 2010        9 months to 2009




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                        15
                                                                    Changshu Xinghua Port (CXP)
                                                                          Multi-purpose cargo port in China

  Business performance                                                                Financial highlights for the nine months
                                                                                                ended 30 September
        CXP generated revenues of RMB192.9 million, up                                                                                                 Variance
        20.9% on the pcp due to increases in log and                   RMB million                                   2010                2009
                                                                                                                                                       Fav/(Adv)
        container volumes                                              Revenue                                       192.9              159.6            20.9%
        ― Consequently EBITDA was 9.8% higher compared to
          the pcp                                                      EBITDA                                        95.5                87.0               9.8%

                                                                       EBITDA margin                                 49.5%              54.5%            (5.0%)
        CXP has performed well year to date, with general
        cargo and container volumes increasing by 16.1%                Distributions to MIIF
                                                                       (S$ million)2                                  4.6                 1.1           320.0%
        and 13.7% respectively
        ― Log volumes increased by c.61.9% due to higher                                                 Cargo composition
                                                                      Tonnes (‘000)                                                                          TEU(1) (‘000)
          imports of New Zealand logs                                   1,800.0   1,785.0 1,764.8
                                                                                                                                     1,628.6                       90.0
                                                                        1,600.0
        ― Other non steel products increased by c.92.9% due to                                                                             1,570.5                 80.0
          the handling of new products such as sodium sulphate          1,400.0                                                                      68.7
                                                                                                                                                                   70.0
          and mining equipment                                          1,200.0                                                                          60.4
                                                                                                                                                                   60.0
                                                                        1,000.0                      931.6
                                                                                                                                                                   50.0
        ― Paper and pulp volumes were also above the pcp at
                                                                          800.0                                                                                    40.0
          3.7%
                                                                          600.0                              575.5   485.6                                         30.0
        ― Container volumes have rebounded significantly from             400.0                                                                                    20.0
                                                                                                                             251.7
          the low levels observed in 2009, which were impacted            200.0                                                                                    10.0
          by the global contraction in container trade                      0.0                                                                                    0.0
                                                                                      Steel           Logs            Other          Paper & Pulp    Container
   Notes: (1) Twenty foot equivalent unit                                                                            Non Steel                        (RHS)
          (2) 2009 distribution impacted by a one-time legal case                             9 months to Sep 2010                   9 months to Sep 2009

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                  16
                                                       Changshu Xinghua Port (CXP)
                                                            Multi-purpose cargo port in China

   Outlook                                                                      Business snapshot
       CXP achieved significant growth in volumes         Date of investment                 2 December 2005
       across most of its product groups and
       management expects this trend to continue for      Cost of acquisition                S$112.3 million
       the remainder of FY2010                            30 September 2010 valuation        S$89.0 million

                                                          Distributions since acquisition    S$19.0 million

                                                          MIIF ownership                     38.0% interest

                                                          % of MIIF portfolio                8.6%




                                                          Hua Nan Expressway (HNE)




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                    17
                                                                                          Hua Nan Expressway (HNE)
                                                                                                                          Urban toll road in South China

  Business performance                                                                                                      Financial highlights for the nine months
                                                                                                                                      ended 30 September
        Revenue was 15.7% higher compared to the same
        period in 2009. This was due to:                                                                                                                                                    Variance
                                                                                                       RMB million                                          2010            2009
                                                                                                                                                                                            Fav/(Adv)
           ― The continued positive contribution from the newly
                                                                                                       Revenue                                              402.4           347.9              15.7%
             opened Phase III section of HNE1 which acts as a
             feeder road to HNE Phase I and II                                                         EBITDA                                               333.4           284.4              17.2%
           ― The improvement in economic conditions in the                                             EBITDA margin                                        82.9             81.8              1.1%
             Guangdong province                                                                        Distributions to MIIF
                                                                                                                                                            21.3             14.2              50.0%
           ― The continued strong growth in passenger vehicle                                          (S$ million)
             sales in Guangdong province
                                                                                                                                 Total tolled vehicle volumes by type
        Operating expenses were 8.7% higher due to:                                                                       30.0
                                                                                                                     30
           ― General increases in expenses such as operating tax                                                                 24.9
                                                                                                                     25
             which is positively correlated to toll revenue

                                                                                           Total volume (millions)
                                                                                                                     20
           ― Timing difference on certain expenses
                                                                                                                     15

                                                                                                                     10
                                                                                                                                                              5.5 5.0
                                                                                                                      5                      1.9   1.7                                        1.4   1.0
                                                                                                                                                                             0.5 0.4
                                                                                                                      0
                                                                                                                          P assenger      M inibus/ Light   M edium B us    Large B us/      Heavy Duty
  Notes: (1) The Phase III section of Hua Nan Expressway is a complementary road to HNE                                                        Truck           Truck        Large Truck     Truck/ Trailer
             and is not owned and operated by MIIF
                                                                                                                                        9 mo nths to Sep 2010       9 mo nths to Sep 2009

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                                  18
                                                                                                Hua Nan Expressway (HNE)
                                                                                                       Urban toll road in South China

   Outlook
                                                                                                                        Business snapshot
         Guangzhou is hosting the 2010 Asian Games in
                                                                                                  Date of investment                19 November 2007
         December 2010, and significant traffic restrictions
         have been announced for the period from 1                                                Cost of acquisition               S$295.7 million(1)
         November to 22 December 2010, with the aim of
                                                                                                  30 September 2010 valuation       S$276.9 million
         reducing traffic levels by 50% for the period.
         Whilst this will have a material impact on HNE                                           Distributions since acquisition   S$63.1 million
         traffic volumes in Q4 2010, traffic is expected to
                                                                                                  MIIF ownership                    81.0% interest
         recover fully in Q1 2011
                                                                                                  % of MIIF portfolio               26.9%




   Notes: (1) Originally announced acquisition price of S$329.5m included S$295.7m invested
              at acquisition, and S$33.8m to be drawn at a later date contingent upon certain
              events. This contingency is now no longer required and will not be drawn.


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                              19
                                                                                                        Miaoli Wind
                                                                           Operating wind farm in Taiwan

   Business performance                                                        Financial highlights for the half year
                                                                                      ended 30 September
       Total energy production was 4.1% lower
       compared to the pcp due to lower average wind                                                                      Variance
                                                                   NT$ million                  2010          2009
       speeds, in January and February 2010, which                                                                        Fav/(Adv)
       was only partially offset by the higher average             Revenue                     150.2          159.7         (5.9%)
       wind speeds in June and July. Consequently
       EBITDA was 8.4% lower compared to 2009                      EBITDA                      110.8          120.9         (8.4%)

       Since acquisition, wind speeds have been                    EBITDA margin               73.8%         75.7%          (1.9%)
       significantly lower than expected                           Distributions to MIIF
                                                                                                    -           -               -%
       ― The original valuation at acquisition was based on        (S$ million)
         36 years of wind history from a nearby location and
         provided management with high confidence over a
                                                                                      Total energy production
         long term achievable average                              GWh
                                                                    90.0
       ― The operational performance has been disappointing
         and management has now revised its forecast to the
         average actual experience                                  85.0
                                                                                                            82.5
       ― This puts at risk Miaoli Wind’s ability to refinance to                            79.1
         current debt levels in 2012                                80.0

       As a result of the poor wind conditions for the              75.0
       12 months to 31 December 2009, MIIF injected
       S$1.7 million into Miaoli Wind to avoid a breach             70.0
       of the debt service cover ratio
                                                                                           Total Energy Production
                                                                             9 months to Sep 2010        9 months to Sep 2009

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                           20
                                                                                                                                       Miaoli Wind
                                                                                                         Operating wind farm in Taiwan

  Outlook                                                                                                                  Business snapshot
        Miaoli Wind has lodged an application for Voluntary                                          Date of investment                20 March 2008
        Gold Standard carbon credits
                                                                                                     Cost of acquisition               S$30.8 million(1)
        ― If the application is successful, Miaoli Wind will be able
          to generate incremental revenue through the sale of                                        30 September 2010 valuation       Nil
          these credits
                                                                                                     Distributions since acquisition   S$0.4 million

                                                                                                     MIIF ownership                    100% interest

                                                                                                     % of MIIF portfolio               0.0%




   Notes: (1) Includes an equity injection of S$1.7 million in March 2010 to avoid a breach of the
              31 December 2009 debt service cover ratio


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                21
                                Taiwan Broadband Communications (TBC)
                                                                                 Leading media company in Taiwan

  Business performance                                                                        Financial highlights for the half year
                                                                                                     ended 30 September
     TBC has performed well to date with EBITDA
     5.3% higher compared to the pcp. This was                                                                                                          Variance
                                                                                 NT$ million                          2010               2009
                                                                                                                                                        Fav/(Adv)
     primarily due to higher revenues following
     increases in subscriber numbers across all the                              Revenue                            5,151.3             4,955.5             4.0%
     businesses                                                                  EBITDA                             3,207.4             3,045.2             5.3%
        ― Basic cable subscriber numbers reached 734,875,                        EBITDA margin                       62.3%              61.5%               0.8%
          representing an increase of 1.8% on pcp
                                                                                 Distributions to MIIF
        ― Broadband subscribers increased by 9.5% to                                                                  12.7                16.6            (23.5%)
                                                                                 (S$ million)
          150,382 and digital subscribers increased by
          123.1% to 45,956
                                                                                                       Subscriber composition
     Distributions for 1H2010 were lower than pcp due
     to the scheduled amortisation of TBC’s senior                                800.0      734.9 721.7
     debt facilities                                                              700.0
                                                                                  600.0
                                                            Subscribers (’000)
                                                                                  500.0
                                                                                  400.0
                                                                                  300.0
                                                                                  200.0                                                           150.4 137.4

                                                                                  100.0                                 46.0
                                                                                                                               20.6
                                                                                    0.0
                                                                                              Basic CATV              Premium Digital              Broadband
                                                                                           Ending subscribers as at Sep 2010          Ending subscribers as at Sep 2009


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                               22
                                                    Taiwan Broadband Communications (TBC)
                                                                                                          Leading media company in Taiwan

   Outlook                                                                                                                           Business snapshot
        TBC continues to demonstrate strong operational
                                                                                                           Date of investment                      16 July 2007
        performance and will continue to focus on
        enhancing its digital TV and broadband products to                                                 Cost of acquisition                     S$161.8 million(1)
        build the subscriber base and deliver stronger
                                                                                                           30 September 2010 valuation             S$176.8 million
        margins
            ― Digital TV represents only 6.3% of total basic Cable                                         Distributions since acquisition         S$49.9 million(2)
              TV, implying substantial growth opportunities through
              up-selling of digital TV products to basic Cable TV                                          MIIF ownership                          20.0% interest
              subscribers
                                                                                                           % of MIIF portfolio                     17.2%




                                                                                                          Hua Nan Expressway (HNE)
   Notes: (1) Post the return of capital from TBC of US$68.3 million (S$104.1 million), which was
              distributed to MIIF as a result of the refinancing of TBC’s debt facilities shortly after
              MIIF’s acquisition of its interest in TBC
          (2) Excludes return of capital from TBC of US$68.3 million (S$104.1 million)


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                             23
                                                          Canadian Aged Care (CAC)
                                                                   Regulated aged-care provider

  Disposal of CAC                                                                    Business snapshot
       Disposal of MIIF’s 55 per cent interest in          Date of investment                    27 November 2005
       Canadian Aged Care (CAC) was successfully
       completed through an initial public offering        Cost of acquisition                   S$164.9 million
       (IPO) of Leisureworld Senior Care Corporation
                                                           Disposal valuation                    S$91.2 million
       on 24 March 2010
                                                           Distributions since acquisition       S$73.4 million
       MIIF has to date received approximately
       CAD60.1 million (90 per cent of the total IPO
       proceeds). MIIF continues to hold a residual
       2.6 per cent economic interest in Leisureworld
       which it intends to realise in due course. The
       payment of the outstanding proceeds
       (CAD6.7 million) has been deferred for a
       period of 12 months (23 March 2011) to cover
       any indemnification obligations. Refer to MIIF’s
       website at www.macquarie.com/miif for more
       details.

                                                          Hua Nan Expressway (HNE)




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                         24
                                               Strong Balance Sheet
                                               Supported by Prudent
                                              Business Debt Program




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                           25
                                                         Portfolio Funding Composition

   Proportional Enterprise Value S$0.8 billion
   MIIF aggregated gearing is 32%1

                     Enterprise Value on a proportionately-consolidated basis as at 30 September 2010


      MIIF business’ equity attributable to MIIF shareholders                       S$542.6 million


      less MIIF corporate cash                                                      (S$478.6 million)


      Proportionate business’ net debt2/(cash)                                      S$733.1 million


      Enterprise Value proportionately consolidated                                 S$797.2 million




   Notes: (1) As at 30 September 2010
          (2) Non-recourse to MIIF


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                             26
                                                                                                                Business-Level
                                                                                          Proportionate capital structure1

                                                                             Aggregated gearing of MIIF investments:
                          900.0
                                                                             Excluding corporate level cash = 57%
                          800.0
                                            60%
                                                                             Including corporate level cash = 32%
                          700.0


                          600.0
             S$ million




                          500.0           410.2
                                                                        56%
                          400.0


                          300.0                                        223.0


                          200.0
                                                                                                   24%
                                          276.9
                          100.0                                        176.8                     28.4                  100%
                                                                                                 89.0                71.5       0.0
                              -
                                          HNE                          TBC                       CXP              Miaoli Wind

                                   MIIF Business' Equity Value (LHS)            MIIF Business’ Net Debt (LHS)        Gearing

    Notes: (1) As at 30 September 2010

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                           27
                                                                                      Business-Level Borrowings
     No significant contractual debt maturities until 2017 and borrowings are
     non-recourse to MIIF

                                        Debt principal repayment profile of MIIF’s businesses(1)


                         25.0%



                         20.0%
      % of debt repaid




                         15.0%



                         10.0%


                         5.0%



                           -%
                                 2010    2011          2012            2013    2014    2015       2016      2017   2018   2019
                                                                         CXP   TBC    HNE     Miaoli Wind
     Notes: (1) Proportionately consolidated as at 30 September 2010


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                      28
                                                                             MIIF & Business-Level Borrowings
                                                                                                                                                              Debt terms(1)

   Business level borrowings are non-recourse to MIIF
        Weighted average DSCR of 1.7x (2)
        Average margin of 3.0%(1)
        Average Net debt/EBITDA of 5.9x
        Weighted average debt maturity of nine years across MIIF’s businesses
    Business Level                             Total debt drawn          Maturity date              Repayment                             % Hedged          DSCR            DSCR
                                                                                                                                                            2010(4)         Default
    CXP A                                      RMB180 million            Jul 2014                   Bullet                                N/A               4.7x            N/A
    CXP B                                      RMB240 million            Apr 2017                   Bullet; with RMB80 m repaid           N/A               4.7x            N/A
                                                                                                    each year from 2015-2017
    HNE                                        RMB2.6 billion            Feb 2022                   Amortising                            N/A               1.4x            N/A
    Miaoli Wind A                              NT$1.4 billion            June 2020                  Amortising                            100%              1.1x (3)        1.05x
    Miaoli Wind B                              NT$500 million            Dec 2012                   Bullet                                100%              1.1x (3)        1.05x
    TBC Senior(6)                              NT$23.9 billion           Jun 2017                   Amortising                            75%               1.9x            1.20x
    TBC Junior                                 US$135 million            Dec 2017                   Bullet                                100%              1.9x            1.05x
    MIIF Level                                 Facility limit            Maturity date              Total debt drawn
    Corporate Facility A                       S$100 million             Oct 2011                            -                            N/A               N/A             N/A

   Notes: (1)   As at 30 September 2010
          (2)   Debt Service Coverage Ratio – Cash flow available for debt service divided by total debt service
          (3)   Post equity injection by MIIF
          (4)   Last 12 months Debt Service Coverage Ratio as at 30 Sep 2010
          (5)   Last 12 months Debt Service Coverage Ratio as at 31 May 2009 was 1.9 x (pre-refinancing). Post refinancing DSCR will be provided in December 2010 quarter
          (6)   There is an additional NT$600m of capex revolver facility

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                           29
                                              Portfolio & Capital Review




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                30
                                                                    Portfolio & Capital Review

                                   Comprehensive Package of Measures

                                                                                        Divestment of non-Asian
             Repaid all corporate-level
                                                    Dividend sustainability            businesses & Confirmation
                   borrowings
                                                                                            of Asset values




                              Continue to assess options to generate shareholder value




                                                     Options Available

                                     Acquisition of Asian
                                                                          Return capital to
                                    businesses that meet
                                                                           Shareholders
                                stringent investment criteria



MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                        31
                                                                                                                               Investment Criteria1

   Stringent investment criteria
      Investment focus                                Infrastructure businesses that have a dominant market position, sustainable and
                                                      predictable cash flows over the long term, and potential for long-term capital
                                                      growth

      Target                                          East Asia: China, Taiwan, Hong Kong, Japan
      geographies                                     South East Asia: Singapore, Malaysia, Indonesia, Thailand, Philippines

      Target sectors                                  Transportation infrastructure: Toll roads, ports and airports
                                                      Utilities and energy: Water and wastewater treatment, energy distribution and
                                                      storage, renewable power generation
                                                      Communications infrastructure

      Business life stage                             Operational and management track record (non-greenfield)

      Hold period                                     Potential for long term hold

      Expected returns                                Mid to high teen IRR portfolio return, comprising both distribution yield and
                                                      capital appreciation
   Note:   (1) As at 11 May 2010. The summary above is only intended as a guide and MIIF will consider investment opportunities outside these parameters where returns and benefits meet
               MIIF’s objectives.


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                32
                                              Outlook




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND             33
                                                                                                                 Outlook

     Portfolio outlook          MIIF’s portfolio is expected to continue performing well despite one-off impact of
                                the Asian Games on HNE traffic numbers in the fourth quarter
                                  ― All businesses are forecast to deliver revenue and EBITDA growth year on year


                                MIIF will maintain a conservative stance towards capital management across its
                                businesses
                                  ― The aggregated level of gearing across the portfolio has reduced significantly


                                MIIF will focus on identifying attractive opportunities in Asia
                                  ― Significant cash balances to capitalise on opportunities should they arise




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                34
                                              Appendix




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND              35
                                                                                                                        Corporate Structure
                                                                                                                                 30 September 2010

                                             Public
                                                                                                                        Retail
                             Institution               Macquarie
                                         43.2%       8.6%(1)                                                       48.2%




                   Asia-based private owner and                    Macquarie International
                     operator of infrastructure
                  businesses listed on Singapore                    Infrastructure Fund
                         Stock Exchange                                   Limited


        2.2%                   2.6%                                  38.0%                     20.0%            60.0%                      81.0%                   100.0%

      Other             Leisureworld(2)                    Changshu                         Taiwan               Other            Hua Nan                 Miaoli Wind
    Macquarie             (Long-term aged                 Xinghua Port                    Broadband            Macquarie         Expressway            (Operating wind farm)
    Managed                 care provider)                 (Multi-purpose               Communications         Managed           (Urban toll road in
      Fund                                                   cargo port)                 (Cable TV operator)     Fund              South China)




  Notes: (1) Includes MIMAL’s interest of 8.2%
         (2) MIIF’s interest in Canadian Aged Care is held through a total return swap arrangement

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                    36
                                                        Portfolio composition

          Asia Focus
          Sustainable Leverage
          Positive Distributable Cash
                                                        ― Changshu
          “Controlling Interest”                          Xinghua Port


                                                        ― Hua Nan
        Cash Balance at                                   Expressway
       30 September 2010
                                       China
       S$478.6 million
                                               Taiwan



                                                        ― Taiwan Broadband
                                                          Communications




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                     37
                                                                                                            Dividend Profile
                                                                                                                    On a paid basis

    MIIF dividend is based on free cash flow distributed to MIIF and generated from
    the regular operating income of its underlying businesses
                                                        MIIF Dividend per Share (on a paid basis)
                          10
                                                                                    8.50 cps
                           9                                          8.15 cps
                           8                                                        4.25 cps
                                                       7.05 cps
     S$ Cents per share




                           7                                         4.15 cps

                           6                           3.95 cps
                           5                                                                          4.50 cps
                           4                                                                          1.50 cps             3.00 cps
                                                                                    4.25 cps
                           3   2.20 cps(1)                           4.00 cps
                                                                                                      3.00 cps             1.50 cps
                           2                           3.10 cps
                               2.20 cps
                           1                                                                                               1.50 cps
                           0
                                 2005                       2006       2007           2008             2009                 2010
                                    Relates to current year 1st half earnings    Relates to prior year 2nd half earnings

    Notes: (1) Reflects a part year of operations in 2009


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                           38
                                                                                                 Foreign Exchange Exposure
                                                                                                         Well-diversified currency portfolio

         Short term currency management
             ― Foreign currency investment income receipts are hedged up to a maximum of 24 months


         Medium term currency management
             ― Foreign currency diversity reduces S$ volatility over time
                      ― Forecast investment income
                      ― Portfolio valuation

                                                              Portfolio Currency Exposure(1)

                          Renminbi                                                  Taiwan dollar                                               Singapore dollar

                             35.5%                                                         17.2%                                                     47.3%



    Notes: (1) Based on 30 September 2010 valuation. Numbers are subject to rounding. Includes cash and receivables held at corporate level in S$


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                        39
                                                            Changes In Exchange Rates
                                                              3 months to 30 September 2010

        The S$ has appreciated against the RMB and the NT$ over the 3 months to 30
        September 2010

                                                                                        % change
                                              30 Sep 2010        30 Jun 2010   Sep 2010/ Jun 2010

          S$:RMB                                    5.087              4.846                5.0%

          S$:NT$                                   23.719             23.061                2.9%




    Source: Bloomberg


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                         40
                                               Contact

    For further information, please contact:

             Wei Cheong
             Investor Relations
             Tel: 65 6231 2766
             Mob: 65 9006 4452
             Email: wei.cheong@macquarie.com




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND              41
                                              MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND




                                                                Third Quarter 2010
                                                               Results Presentation
                                                                         3 November 2010




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND
                                                                                                                                Important Notices
  Hong Kong
  This presentation has been prepared and intended to be disposed solely to "professional investors" within the meaning of the Securities and Futures Ordinance (Cap. 571) of
  Hong Kong for the purpose of providing preliminary information and does not constitute any offer to the public within the meaning of the Companies Ordinance (Cap.32) of Hong
  Kong. None of Macquarie Group Limited, its group members or any of their employees or directors is responsible for any liabilities, claims, mistakes, errors or otherwise arising
  out of or in connection with the content of the material. Macquarie Bank Limited ABN 46 008 583 542 and its holding companies including their subsidiaries and related
  companies do not carry on banking business in Hong Kong and are not Authorized Institutions under the Banking Ordinance (Cap. 155) of Hong Kong and therefore are not
  subject to the supervision of the Hong Kong Monetary Authority. The contents of this information have not been reviewed by any regulatory authority in Hong Kong.

  Ireland
  MIIF will not advertise or market its Shares in any way in Ireland without the prior approval of the Financial Regulator. MIIF is not supervised by the Financial Regulator and
  MIIF is not otherwise supervised or authorised in Ireland.

  Japan
  This presentation does not, and is not intended to, constitute an invitation or a offer of securities in Japan. The securities have not been and will not be registered under the
  Securities and Exchange Law of Japan. Noneof the securities may be offered or sold, directly or indirectly, in Japan or to, or for the benefit of, any resident of Japan (which term
  means any person resident in Japan, including any corporation or other entity organized under the laws of Japan), or to others for re-offering or resale, directly or indirectly, in
  Japan or to a resident of Japan, except pursuant to an exemption from the registration requirements of, or otherwise in compliance with, the Securities and Exchange Law of
  Japan and in compliance with any other applicable laws and regulations of Japan.

  Malaysia
  This presentation has been prepared only for ‘sophisticated investors’ (as defined under Schedule 2 and 3 of the Securities Commission Act 1993) attending the MIIF investor
  presentation and is not intended or prepared for any other persons.

  This presentation does not constitute and should not be interpreted as an advertisement, investment recommendation, research or advice, including legal, tax or accounting
  advice. None of the information takes into account your personal objectives, financial situation or needs and you must determine whether the information is appropriate in terms
  of your particular circumstances. This presentation is not intended as an offer or solicitation with respect to the purchase or sale nor does it constitute an offer or solicitation in
  any jurisdiction in which such an offer or solicitation is not authorized or to whom it is unlawful to make such solicitation or offer. No representation or warranty is made that any
  indicative performance or return will be achieved in the future.

  Singapore
  This material has been prepared for accredited and institutional investors (each as defined under the Securities and Futures Act, Chapter 289 of Singapore) attending the MIIF
  investor presentation and is not intended or prepared for any other persons.

  Macquarie Group does not hold a licence under the Banking Act, Chapter 19 of Singapore and hence, does not carry on banking business in Singapore. Accordingly, Macquarie
  Group is not subject to the supervision of the Monetary Authority of Singapore in respect thereof.


MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                                 43
                                                                                                                             Important Notices
  Switzerland
  This presentation does not constitute an issue prospectus pursuant to Article 652a or Article 1156 of the Swiss Code of Obligations and the issuer has not and will not register
  with the Swiss Federal Banking Commission as a foreign collective investment scheme. MIIF will not be listed on the SWX Swiss exchange and, therefore, the presentation
  may not comply with the disclosure standards of the listing rules of the SWX Swiss exchange.

  Accordingly, the shares in MIIF may not be offered to the public in or from Switzerland, but only to qualified investors in accordance with the Federal Act on Collective
  Investment Schemes and its implementing ordinances or pursuant to private placement exemptions pursuant to the practice of the Swiss Federal Banking Commission.

  This presentation is personal to each offeree and does not constitute an offer to any other person. The presentation may only be used by those persons to whom it has been
  handed out in connection with an evaluation of the security described therein and may neither be copied or directly nor indirectly be distributed or made available to other
  persons without express consent of the issuer.

  United Arab Emirates
  This document does not constitute a public offer in the UAE.

  United Kingdom
  This document is only being distributed to and is directed only at persons falling within the following exemptions from the financial promotion restriction in s 21 of the United
  Kingdom Financial Services and Markets Act 2000 (“FSMA”): (a) authorised firms under FSMA and certain other investment professionals falling within article 14 of the FSMA
  (Promotion of Collective Investment Schemes) (Exemptions) Order 2001 Promotion) Order, (the “Order”); (b) high net worth entities (not individuals) falling within article 22 of
  the Order; and their directors, officers and employees acting for such entities in relation to investment; and (c) persons who receive this document outside the United Kingdom,
  in accordance with applicable local requirements. The distribution of this document in the United Kingdom to anyone not falling within the above categories is not permitted and
  may contravene FSMA.

  United States
  This document is not an offer of securities for sale into the United States. The shares have not been and will not be registered under the US Securities Act of 1933, as amended
  (the Securities Act) and, subject to certain exceptions, may not be offered or sold within the United States or to, or for the account or benefit of, US persons (as defined in
  Regulation S under the Securities Act), unless the shares are offered or sold to US persons who receive the Prospectus (or any other offering materials) and communicate their
  investment decisions while outside the United States.




MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND                                                                                                                                           44
MACQUARIE INTERNATIONAL
INFRASTRUCTURE FUND LIMITED
=
SGX Quarterly Report for the quarter ended 30 September 2010
CONTENTS




           REPORT SUMMARY ................................................................................................1
                   REPORT SUMMARY.................................................................................................... 2

           PERFORMANCE REVIEW OF MACQUARIE
           INTERNATIONAL INFRASTRUCTURE FUND LIMITED ..........................................4
                   INTRODUCTION .......................................................................................................... 5
                   REVIEW OF NET INCOME ON AN ADJUSTED BASIS .................................................. 8

           FINANCIAL STATEMENTS FOR THE QUARTER
           ENDED 30 SEPTEMBER 2010 ...............................................................................10
                   CONSOLIDATED STATEMENTS OF FINANCIAL POSITION ....................................... 11
                   CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME ................................ 12
                   EARNINGS PER SHARE ............................................................................................ 14
                   STATEMENTS OF CHANGES IN EQUITY................................................................... 15
                   CHANGES IN SHARE CAPITAL ................................................................................. 17
                   CONSOLIDATED STATEMENT OF CASH FLOW........................................................ 18
                   RECONCILIATION OF NET INCOME ON AN ADJUSTED BASIS TO THE
                   CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME ................................ 19

           MANAGEMENT REVIEW: FOR THE QUARTER ENDED
           30 SEPTEMBER 2010.............................................................................................20
                   REVIEW OF REVENUE AND EXPENSES FOR THE QUARTER ENDED
                   30 SEPTEMBER 2010................................................................................................ 21
                   REVIEW OF NET ASSETS AND STATEMENTS OF FINANCIAL
                   POSITION AS AT 30 SEPTEMBER 2010 .................................................................... 25
                   INVESTMENT PORTFOLIO ........................................................................................ 34
                   INVESTMENT PORTFOLIO DISCUSSION................................................................... 35
                   OUTLOOK ................................................................................................................. 44
                   CONFIRMATION OF THE BOARD PURSUANT TO RULE 705(5) OF THE
                   LISTING MANUAL...................................................................................................... 45
REPORT SUMMARY




   MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED ====ö======m^db=N=
REPORT SUMMARY




KEY HIGHLIGHTS
      Investments performed strongly recording EBITDA growth on prior corresponding period (pcp)
      Substantial investment income for the quarter of S$33.5 million (2009: S$25.7 million)
      Strong balance sheet maintained with cash balances of S$478.6 million and no corporate-level debt
      Net Asset Value (NAV) of S$1.03 billion down slightly from previous quarter mainly due to adverse currency movements


FINANCIAL HIGHLIGHTS
Macquarie International Infrastructure Fund Limited achieved net income on an adjusted basis (net income) of S$37.8 million for
the nine months to 30 September 2010, down S$13.9 million from the prior corresponding period. Net income for the quarter
was S$33.2 million, up S$9.6 million on Q3 2009.

Income for the nine months to 30 September 2010 was in line with expectations:
    Higher investment income received from HNE of S$21.3 million (2009: S$14.2 million) and CXP of S$4.6 million
    (2009: S$1.1 million);
      Investment income received from Taiwan Broadband Communications (TBC) was lower at S$12.7 million
      (2009: S$16.6 million) due to the amortisation of its debt facilities;
      Lower or cessation of investment income from MIIF’s non-Asian investments which have been divested; and
      Higher total operating expenses (up S$0.8 million) driven by higher management fees.


MIIF’s NAV as at 30 September 2010 was down slightly at S$1.03 billion compared to 30 June 2010 (S$1.04 billion), mainly
due to adverse currency movements.

Despite a dividend payment of S$19.5 million in September 2010, MIIF’s cash balance has increased to S$478.6 million
(up from S$465.2 million as at 30 June 2010). This cash balance represents approximately S$0.37 per share of NAV.


OPERATIONAL HIGHLIGHTS
Key operating highlights from MIIF’s businesses for the nine months to 30 September 2010 include:
   Changshu Xinghua Port (CXP): CXP performed well year to date, with EBITDA 9.8 per cent higher than the prior
   corresponding period. Volumes across all products were higher. Steel volumes were up 1.1%, log volumes increased by
   c.61.9% due to higher imports of New Zealand logs, and other non steel products increased by c.92.9% due to the
   handling of new products such as sodium sulphate and mining equipment. Paper and pulp volumes were also up
   3.7%. Container volumes have rebounded significantly, up 13.7% on 2009;
      Hua Nan Expressway (HNE): HNE’s EBITDA of RMB333.4 million was 17.2 per cent higher than the prior corresponding
      period on traffic volumes of 39.3 million vehicles (2009: 33.1 million). This increase was largely driven by the continued
                                                                       1
      increase in car ownership in China, the opening of the Phase III section of HNE and the improvement in economic
      conditions in the Guangdong province.
      It is anticipated that earnings in the fourth quarter of 2010 will be materially impacted by measures to reduce traffic prior to
      and during the Asian Games which are to be held in Guangzhou at the end of this year. Traffic is expected to recover fully in
      Q1 2011;
      Miaoli Wind: EBITDA of NT$110.8 million for the nine months was 8.4 per cent lower when compared to the prior
      corresponding period on total energy production of 79.1 GWh for the period (2009: 82.5 GWh). This decrease was due to
      lower wind speeds.




1
    The Phase III of Hua Nan Expressway is a complementary road to HNE and is not owned by MIIF. MIIF owns Phase I and II of HNE

m^db=O ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
      Miaoli Wind has lodged an application for Voluntary Gold Standard carbon credits. If successful, Miaoli Wind will be able to
      generate incremental revenue through the sale of these credits; and
      Taiwan Broadband Communications (TBC): Increases in high speed internet broadband subscription, higher take-up of the
      new digital product and steady basic cable subscriber growth have led to year to date EBITDA increase of 5.3 per cent
      versus the prior corresponding period. Since the re-launch of the new digital TV product in March 2009, digital subscribers
      have grown significantly and are expected to be a key driver of TBC’s next growth phase.


PORTFOLIO OUTLOOK
MIIF’s outlook for the balance of 2010 is positive. Operationally, its portfolio is expected to continue performing well despite the
one-off impact of the Asian Games on HNE’s traffic numbers in the fourth quarter. All of MIIF’s core Asian infrastructure
businesses are forecast to deliver revenue and EBITDA growth year on year. In addition, the aggregated level of gearing across
the invested portfolio is low at 56 per cent 2 as at 30 September 2010.

All of MIIF’s investments are currently located in Asia and MIIF will continue to focus on identifying attractive acquisition
opportunities in the region. With its significant cash balance, MIIF is well positioned to capitalise on these opportunities should
they arise in the course of the year. In addition, MIIF has the ability to pursue options such as share buy-backs or the payment
of a special dividend.




2
    Weighted average gearing of CXP, HNE and TBC excluding Miaoli Wind as its equity value is zero.

                                                                MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED     ==ö======m^db=P
            PERFORMANCE REVIEW OF
     MACQUARIE INTERNATIONAL INFRASTRUCTURE
                   FUND LIMITED




m^db=Q ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
INTRODUCTION




ABOUT MIIF
Macquarie International Infrastructure Fund Limited (MIIF or the Company), a Bermuda-registered mutual fund company, is a
leading Asia-listed owner and operator of private infrastructure businesses. MIIF has investments in toll roads, ports, renewable
energy and communication infrastructure businesses.

MIIF was the first infrastructure fund to list on the main board of the Singapore Exchange Securities Trading Limited (SGX-ST).
MIIF listed on the SGX-ST on 27 May 2005 and has over 8,000 investors, including retail investors and some of the world’s
foremost institutional investors.

MIIF is an Asian-focused listed infrastructure fund managed by Macquarie Infrastructure Management (Asia) Pty Limited
(MIMAL), a subsidiary of Macquarie Group Limited.

As at 30 September 2010, MIIF’s portfolio comprises the following businesses:

                                                                                                            Percentage              Percentage of
                                                                                                            Ownership            Portfolio by Value
 Investment Portfolio                                                                                              (%)                          (%)
 Changshu Xinghua Port (CXP)                                                                                      38.0%                        8.6%

 Hua Nan Expressway (HNE)                                                                                         81.0%                       26.9%

 Miaoli Wind Co. Ltd (Miaoli Wind)                                                                               100.0%                           0%

 Taiwan Broadband Communications (TBC)                                                                            20.0%                       17.2%
                                  (1)
 Cash and cash equivalents                                                                                            N/A                     47.3%


1)   Includes $9.1 million deferred sales proceeds from the CAC IPO. These proceeds are subject to certain conditions. Refer to page 43 for further
     details




m^db=R ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
DIVIDEND POLICY
MIIF intends to pay out as ordinary dividends to shareholders the majority of normal distributions that it receives or expects to
receive from its investments and not to retain significant cash balances in excess of prudent reserves. Prudent reserves are
required to ensure that MIIF remains solvent and that, amongst other things, operating costs such as finance costs, audit fees,
registry fees and hedging costs are adequately provided for. Currently, MIIF has significant cash balances following the
completion of its strategy to divest its Non-Asian assets. In line with its focus on Asia, MIIF is now seeking attractive acquisition
investments in Asia. With its significant cash balances, MIIF is well positioned to capitalise on these opportunities should they
arise over the course of the year. If no opportunities are identified, MIIF will look to return cash to Shareholders.

MIIF declares and pays regular semi-annual cash dividends on all outstanding shares.

As a Bermudian incorporated company, MIIF is governed by the Bermuda Companies Act 1981. The Bermuda Companies Act
1981 allows companies that are governed by it to declare and pay dividends to shareholders in excess of accounting profits
and reserves. Consequently, it is possible that the dividends that MIIF’s Board of Directors (The Board) intends to declare and
pay for the period may exceed the total of MIIF’s retained earnings and accounting profits generated for the period. Such
situations may arise as a result of unrealised losses that MIIF is required to recognise due to movements in its foreign exchange
rates, changes in the value of MIIF’s unlisted securities and other business specific and general economic factors. These
unrealised losses do not impact MIIF’s cash flow and its ability to pay dividends in the current period.


DIVIDENDS
The interim ordinary dividend of 1.5 cents per ordinary share (cps) for the half-year ended 30 June 2010 was paid on
9 September 2010. No dividends have been declared in respect of the quarter ended 30 September 2010
(30 September 2009: nil).

The table below provide details of MIIF’s historical dividends:

  Period ended                                                                                                    Cents per share
  30 June 2005                                                                                                  2.20
  31 December 2005                                                                                              3.10
  30 June 2006                                                                                                  3.95
  31 December 2006                                                                                              4.00
  30 June 2007                                                                                                  4.15
  31 December 2007                                                                                              4.25
  30 June 2008                                                                                                  4.25
  31 December 2008                                                                                              3.00
  30 June 2009                                                                                                  1.50
  31 December 2009                                                                                              1.50
  30 June 2010                                                                                                  1.50




m^db=S ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
TAXATION
As MIIF is incorporated in Bermuda and is not a resident in Singapore for tax purposes, dividends paid by MIIF will be regarded
as foreign-source income. The foreign dividend is subject to Singapore corporate income tax when received in Singapore by
corporate shareholders. Foreign dividends received by foreign investors with no permanent establishment in Singapore are
generally not subject to Singapore income tax. Foreign dividends received by individuals in Singapore (whether resident or
otherwise) are exempt from Singapore income tax.

Note: Each shareholder and prospective investor is advised to consult their professional tax adviser about the particular or
potential tax consequences of their investment in MIIF shares.


STATEMENTS OF COMPREHENSIVE INCOME ANALYSIS
Net income on an adjusted basis as set out on page 8 represents the earnings of MIIF that underpins the payment of dividends
to MIIF shareholders, and as such is the measure that the Board focuses on to determine the amount of dividends that are
ultimately paid to shareholders. This measure excludes all unrealised gains or losses on investments and other balance sheet
items that are ordinarily captured in a statement of comprehensive income prepared in accordance with all applicable
accounting standards.

The following table compares the unaudited actual results for the quarter ended 30 September 2010 to the quarter ended
30 September 2009.




                                                     MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED             ==ö======m^db=T
REVIEW OF NET INCOME ON AN ADJUSTED BASIS




NET INCOME ON AN ADJUSTED BASIS(1)
                                                                   Quarter ended          Quarter ended             Year to date           Year to date
                                                                      30 Sep 10              30 Sep 09               30 Sep 10              30 Sep 09
                                                       Note                $’000                  $’000                   $’000                  $’000
 Revenue
 Total income from investments                           A                  33,470                 25,665                 41,828                  49,821
 Interest income                                        B (i)                   596                       3                 1,132                      27
 Net foreign exchange gain/(loss) on                    B (ii)                  945                   (234)                   822                  7,046
 hedged transactions
 Total revenue                                                              35,011                 25,434                 43,782                  56,894


 Expenses
 Management fees                                        C (i)                  (939)                  (994)                (3,554)                (2,674)
 Directors’ fees                                       C (ii)                   (98)                  (104)                  (300)                  (321)
 Finance costs                                         C (iii)                      -                 (170)                       -                 (581)
 Lending fees                                          C (iv)                   (32)                  (255)                  (248)                  (410)
 Other operating expenses                              C (v)                   (789)                  (355)                (1,844)                (1,174)
 Total operating expenses                                                   (1,858)                (1,878)                 (5,946)                (5,160)


 Net income/(loss) on an adjusted basis                                     33,153                 23,556                 37,836                  51,734
 Transaction costs                                       D                          -                      -               (4,679)                       -
 Profit attributable to equity holders                                      33,153                 23,556                 33,157                  51,734


 Amounts not included in the above
 analysis
 Unrealised foreign exchange movement                                      (11,181)                    (90)                (4,763)              (15,210)
 on hedged transactions
 Unrealised foreign exchange movement                                       10,770                     238                  8,200                     665
 on revaluing items
 Net (loss)/gain on the movement in the                                    (23,083)               (85,703)               (31,436)              (199,170)
 fair value of MIIF’s financial assets
 Total GAAP adjustments                                                    (23,494)               (85,555)               (27,999)              (213,715)


 Net income/(loss) on an unconsolidated                                       9,659               (61,999)                  5,158              (161,981)
 basis (2)


 Consolidation adjustments to net                                               (63)               (1,094)                10,249                   5,678
 income


 Net income/(loss) on a consolidated                                          9,596               (63,093)                15,407               (156,303)
 basis

1)   All figures, unless stated otherwise are presented in Singapore dollars, which is MIIF’s functional and presentation currency. The notes to net income
     on an adjusted basis can be found on pages 21 to 24.
2)   Please refer to page 19 for reconciliation to consolidated statement of comprehensive income.




                                                                 MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                        ==ö======m^db=U
REVIEW OF NET INCOME ON AN ADJUSTED BASIS
For the year to date 30 September 2010, MIIF reported a net income on an adjusted basis of $37.8 million, $13.9 million lower
compared to the pcp. The decrease is in line with expectations and follows the disposal of MIIF’s interest in MEIF during the
fourth quarter of 2009 and MIIF’s interests in Arqiva and CAC during the current year.

During the quarter, MIIF recognised distributions from CXP of $4.6 million (2009: $1.1 million), TBC of $7.6 million
(2009: $6.6 million) and HNE of $21.3 million (2009: $14.2 million). The year on year improvement in distributions from HNE
reflects improved traffic volumes experienced during 2009 and the increase in CXP distributions reflects the steady
performance of the assets with growing volumes in all cargo types. The lower distribution received in 2009 for CXP was due to
a one-off legal claim that was provided for in 2008.

The above increases have been offset by lower or no receipts from the non-Asian assets which have been sold in 2009 and in
the first half of 2010. In particular, the variance is explained by CAC (2009: $11.0 million), Arqiva (2009: $3.8 million) and MEIF
(2009: $3.1 million). In addition, year to date income from TBC of $12.7 million (2009: $16.6 million) was lower than pcp due to
the need for the asset to use some of its available cash to fund amortising debt.

Total revenue of $43.8 million incorporates interest income of $1.1 million generated from the investment of surplus cash
balances as well as net foreign exchange gains of $0.8 million.

MIIF’s total operating expenses of $5.9 million for the year to date 30 September 2010 were $0.8 million higher than the pcp.
This increase was principally due to higher management fees as a result of the higher level of market capitalisation of MIIF in the
first quarter of 2010 (Refer to C (i) on page 23 for details).




                                                      MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED              ==ö======m^db=V
                        MACQUARIE INTERNATIONAL
                      INFRASTRUCTURE FUND LIMITED


 FINANCIAL STATEMENTS FOR THE QUARTER ENDED
              30 SEPTEMBER 2010




m^db=NM ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION




Financial statements of the Company include the results and balances only of the parent entity (ie. MIIF). Financial statements of
the Group include balances that are reflected in the accounts of those investments that MIIF is required to consolidate under
IFRS (eg. Miaoli Wind).

                                                                             Group as at   Group as at   Company as at   Company as at
                                                                              30 Sep 10     31 Dec 09       30 Sep 10       31 Dec 09
                                                                Note              $’000         $’000           $’000           $’000
 Assets
 Current assets
 Cash and cash equivalents                                          I           488,707       175,599         478,608          169,934
 Trade and other receivables                                     E (i)           19,765         2,570          21,263             4,673
 Financial assets at fair value through profit or loss           E (ii)                -           51                -                  -
 Other assets                                                                       807            93              77                  33
                                                                                509,279       178,313         499,948          174,640
 Non-current assets
 Intangible assets                                               E (iii)         85,960        93,878                -                  -
 Financial assets at fair value through profit or loss        E (iv) & (v)      573,456       929,627         542,757          900,659
 Other assets                                                                       426           466                -                  -
                                                                                659,842     1,023,971         542,757          900,659
 Total assets                                                                 1,169,121     1,202,284        1,042,705       1,075,299


 Liabilities
 Current liabilities
 Trade and other payables                                        F (i)           13,033        17,121            5,661            9,252
 Financial liabilities at fair value through profit or loss      F (iii)          4,990           152            4,925                152
 Borrowings                                                      F (ii)           6,663         5,803                -                  -
                                                                                 24,686        23,076          10,586             9,404
 Non-current liabilities
 Trade and other payables                                                              -           10                -                  -
 Financial liabilities at fair value through profit or loss      F (iii)          6,177         4,676                -                  -
 Provision for other liabilities and charges                                        418           436                -                  -
 Borrowings                                                      F (ii)          73,839        79,936                -                  -
                                                                                 80,434        85,058                -                  -
 Total liabilities                                                              105,120       108,134          10,586             9,404


 Net assets                                                                   1,064,001     1,094,150        1,032,119       1,065,895


 Equity
 Share capital                                                                1,246,616     1,246,616        1,246,616        1,246,616
 Foreign currency translation reserve                                            (6,346)        2,124                -                  -
 Accumulated losses                                                            (206,661)     (183,134)       (214,497)        (180,721)
                                                                              1,033,609     1,065,606        1,032,119        1,065,895
 Non-controlling interest                                        F (iv)          30,392        28,544                -                  -
 Total equity                                                                 1,064,001     1,094,150        1,032,119       1,065,895

    Notes to the consolidated statements of financial position can be found on pages 25 to 27.

    Please refer to note L (vi) on page 33 for the listing of all subsidiaries and joint venture entities included within the Group
    results.

m^db=NN ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME




                                                                            Group                   Group                   Group                   Group
                                                                    Quarter ended           Quarter ended             Year to date            Year to date
                                                                       30 Sep 10               30 Sep 09               30 Sep 10               30 Sep 09
                                                                            $’000                   $’000                   $’000                   $’000
 Income
 Power supply revenue                                                          1,414                  1,435                   6,521                   7,096
 Interest income                                                                 586                      13                  1,142                       64
 Net foreign exchange gain/(loss)                                            13,231                  (1,504)                 20,548                   5,857
 Net gain/(loss) on financial assets at fair value
                                                                             (3,290)               (61,512)                   7,559              (156,973)
 through profit or loss(1)
 Other income(2)                                                                 542                      10                  3,453                       12
 Total income/(loss)                                                         12,483                (61,558)                  39,223              (143,944)


 Expenses
 Base management fees                                                           (939)                  (994)                 (3,554)                 (2,674)
 Finance costs                                                               (1,012)                 (1,270)                 (3,127)                 (3,906)
 Employee benefits expense                                                       (77)                    (38)                  (312)                   (269)
 Professional services                                                          (605)                  (189)                 (5,974)                 (1,022)
 Rental expense                                                                  (16)                    (55)                    (54)                  (145)
 Directors’ fees                                                                (123)                  (128)                   (471)                   (353)
 Amortisation                                                                (1,373)                 (1,481)                 (4,218)                 (4,469)
 Lending fees                                                                    (32)                  (255)                   (248)                   (410)
 Other operating expenses                                                       (725)                (1,530)                 (2,977)                 (3,561)
 Total operating expenses                                                    (4,902)                 (5,940)               (20,935)                (16,809)


 Profit/(loss) before income tax                                               7,581               (67,498)                  18,288              (160,753)
 Income tax expense                                                              (60)                    488                   (695)                   (582)
 Profit/(loss) after income tax                                                7,521               (67,010)                  17,593              (161,335)


 Profit/(loss) attributable to:
 Owners of the parent                                                          9,596               (63,093)                  15,407              (156,303)
 Non-controlling interest                                                    (2,075)                 (3,917)                  2,186                  (5,032)
 Profit/(loss) after income tax                                                7,521               (67,010)                  17,593              (161,335)

1)   Income from investments is shown as part of “Net gain/(loss) on financial assets at fair value through profit or loss” as per MIIF’s accounting policies
     and International Financial Reporting Standards (IFRS).

2)   Includes income MIIF earns from the provision of management services to its subsidiaries and associates.




                                                                MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                           ==ö======m^db=NO
                                                                 Group           Group          Group             Group
                                                         Quarter ended   Quarter ended    Year to date      Year to date
                                                            30 Sep 10       30 Sep 09      30 Sep 10         30 Sep 09
                                                                 $’000           $’000          $’000             $’000
Profit/(loss) after income tax                                  7,521         (67,010)         17,593          (161,335)
Other comprehensive income:
Foreign currency translation reserve                           (1,413)          1,263          (8,808)             1,519
Total comprehensive income                                      6,108         (65,747)          8,785          (159,816)


Total comprehensive income/(loss) attributable to:
Owners of the parent                                            8,536         (62,024)          6,937          (154,938)
Non-controlling interest                                       (2,428)         (3,723)          1,848             (4,878)
Total comprehensive income                                      6,108         (65,747)          8,785          (159,816)




                                                     MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED   ==ö======m^db=NP
EARNINGS PER SHARE




                                                              Group           Group           Group             Group
                                                      Quarter ended   Quarter ended     Year to date      Year to date
                                                         30 Sep 10       30 Sep 09       30 Sep 10         30 Sep 09
                                                              $’000           $’000           $’000             $’000
Weighted average number of shares on issue
used in calculation of basic earnings per share
(‘000)                                                   1,297,804        1,297,804       1,297,804         1,297,804
Weighted average number of shares on issue
used in calculation of diluted earnings per share
(‘000)                                                   1,297,804        1,297,804       1,297,804         1,297,804


Earnings per share
Earnings/(losses) attributable to owners of the
parent ($’000)                                               9,596         (63,093)          15,407          (156,303)
   Basic earnings per share (cents per share)                 0.74            (4.86)           1.19             (12.04)

   Diluted earnings per share (cents per share)               0.74            (4.86)           1.19             (12.04)




                                                    MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED   ==ö======m^db=NQ=
STATEMENTS OF CHANGES IN EQUITY




                                                      (Accumulated        Foreign
                                                            losses)/     currency                     Non-
                                                           retained    translation               controlling
Consolidated Statement of             Share capital        earnings       reserve        Total     interest    Total equity
Changes in Shareholders’ Equity              $’000            $’000         $’000       $’000        $’000           $’000
Balance as at 1 January 2010            1,246,616         (183,134)        2,124     1,065,606      28,544      1,094,150


Changes in equity for the half-year
ended 30 June 2010
Dividends paid                                    -        (19,467)              -    (19,467)             -      (19,467)
Total comprehensive income for the
period                                            -           5,811       (7,410)      (1,599)       4,276          2,677
Balance as at 30 June 2010              1,246,616         (196,790)       (5,286)    1,044,540      32,820      1,077,360


Changes in equity for the quarter
ended 30 September 2010
Dividends paid                                    -        (19,467)              -    (19,467)             -      (19,467)
Total comprehensive income for the
period                                            -           9,596       (1,060)       8,536       (2,428)         6,108
Balance as at 30 September 2010         1,246,616         (206,661)       (6,346)    1,033,609      30,392      1,064,001




Balance as at 1 January 2009            1,246,616           (8,688)        1,271     1,239,199      30,247      1,269,446


Changes in equity for the half-year
ended 30 June 2009
Dividends paid                                    -        (38,934)              -    (38,934)             -      (38,934)
Total comprehensive income for the
period                                            -        (93,210)          296      (92,914)      (1,155)       (94,069)
Balance as at 30 June 2009              1,246,616         (140,832)        1,567     1,107,351      29,092      1,136,443


Changes in equity for the quarter
ended 30 September 2009
Dividends paid                                    -        (19,467)              -    (19,467)             -      (19,467)
Total comprehensive income for the
period                                            -        (63,093)        1,069      (62,024)      (3,723)       (65,747)
Balance as at 30 September 2009         1,246,616         (223,392)        2,636     1,025,860      25,369      1,051,229




m^db=NR ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
                                                                                 (Accumulated
                                                              Share capital   losses)/ retained   Total equity
Statement of Changes in Shareholders’ Equity of MIIF                 $’000      earnings $’000          $’000
Balance as at 1 January 2010                                     1,246,616           (180,721)     1,065,895


Changes in equity for the half-year ended
30 June 2010
Dividends paid                                                            -           (19,467)       (19,467)
Total comprehensive income for the period                                 -            (4,501)        (4,501)
Balance as at 30 June 2010                                       1,246,616           (204,689)     1,041,927


Changes in equity for the quarter ended
30 September 2010
Dividends paid                                                            -           (19,467)       (19,467)
Total comprehensive income for the period                                 -             9,659          9,659
Balance as at 30 September 2010                                  1,246,616           (214,497)     1,032,119


Balance as at 1 January 2009                                     1,246,616             15,862      1,262,478


Changes in equity for the half-year ended
30 June 2009
Dividends paid                                                            -           (38,934)       (38,934)
Total comprehensive income for the period                                 -           (99,982)       (99,982)
Balance as at 30 June 2009                                       1,246,616           (123,054)     1,123,562


Changes in equity for the quarter ended
30 September 2009
Dividends paid                                                            -           (19,467)       (19,467)
Total comprehensive income for the period                                 -           (61,999)       (61,999)
Balance as at 30 September 2009                                  1,246,616           (204,520)     1,042,096




m^db=NS ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
CHANGES IN SHARE CAPITAL




There were no changes to share capital during the quarter ended 30 September 2010.




m^db=NT ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
CONSOLIDATED STATEMENT OF CASH FLOW




                                                                Group            Group          Group             Group
                                                        Quarter ended    Quarter ended    Year to date      Year to date
                                                           30 Sep 10        30 Sep 09      30 Sep 10         30 Sep 09
                                                                $’000            $’000          $’000             $’000

Cash flows from operating activities
Profit/(loss) after tax                                         7,521         (67,010)         17,593          (161,335)
Adjustments for non cash items:
Amortisation                                                    1,373           1,481           4,218               4,469
Income tax expense                                                 60                -            695                     -
Unrealised foreign exchange (gains)/losses                     (1,390)          2,589          (8,728)              1,410
Amortisation of transaction costs                                  24              24              72                   73
Revaluation of financial assets at fair value
through profit or loss                                        37,284           89,545          27,273            209,653
Changes in working capital, net of the effects
from acquisition of subsidiaries:
Decrease/(increase) in trade and other
receivables                                                    (6,810)             11         (17,195)            10,139
Increase/(decrease) in trade and other payables                (4,709)           (736)         (4,793)           (17,436)
Increase in provision for other liabilities and
charges                                                           (12)               -            (18)                    -
(Increase)/decrease in other assets                               122               3            (674)                988
Net cash inflow from operating activities                     33,463           25,907          18,443             47,961
Cash flows from investing activities
Proceeds from sale of investments                                    -               -        335,288                     -
Purchase of business assets net of cash
acquired                                                             -               -               -           (10,187)
Net cash inflow/(outflow) from investing activities                  -               -        335,288            (10,187)
Cash flows from financing activities
Proceeds from borrowings                                             -         18,000                -            53,000
Repayments of borrowings                                             -        (29,000)         (2,898)           (56,786)
Dividends paid                                               (19,467)         (19,467)        (38,934)           (58,401)
Movement in restricted cash of subsidiary                       (121)             (14)           (538)               (576)
Net cash outflow from financing activities                   (19,588)         (30,481)        (42,370)           (62,763)
Net increase/(decrease) in cash and cash
equivalents                                                   13,875           (4,574)        311,361            (24,989)
Cash and cash equivalents at beginning of
financial period                                             468,789           10,875         170,469             31,221
Effects of exchange rate changes on cash and
cash equivalents                                                1,451                -          2,285                   69
Cash and cash equivalents at end of financial
period                                                       484,115            6,301         484,115               6,301




                                                      MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED   ==ö======m^db=NU=
RECONCILIATION OF NET INCOME ON AN ADJUSTED BASIS TO
THE CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME




The income statement on page 8 of this report, and specifically the line titled ‘Net income on an adjusted basis’, has been
prepared so as to present the earnings out of which MIIF dividends will be paid over time. However, income in excess of
distributions in one year may be used to cover small shortfalls in other years. The income statement on page 8 has not been
prepared in accordance with applicable accounting standards. The consolidated statement of comprehensive income on page
12 has been prepared in accordance with International Financial Reporting Standards (IFRS). The table below reconciles net
income on an adjusted basis for year to date 30 September 2010 presented in the income statement on page 8 of this report
to the consolidated statement of comprehensive income (MIIF and its subsidiaries) for the year to date 30 September 2010
disclosed on page 12.

                                                                     Net Income(1) on                GAAP          Consolidation
                                                                    an adjusted basis        adjustments(2)        adjustments(3)        MIIF Group(4)
                                                                         year to date          year to date          year to date        year to date
                                                                           30 Sep 10            30 Sep 10             30 Sep 10            30 Sep 10
                                                                               $’000                 $’000                 $’000                $’000
 Income
 Investment revenue                                                             41,828              (41,828)                      -                    -
 Power supply revenue                                                                   -                    -              6,521                 6,521
 Interest revenue                                                                 1,132                   (15)                  25                1,142
 Net foreign exchange gain                                                          822              10,736                 8,990               20,548
 Net gain on financial assets at fair value through
 profit or loss                                                                         -                187                7,372                 7,559
 Other income                                                                           -              2,921                   532                3,453
 Total income                                                                   43,782              (27,999)               23,440               39,223


 Expenses
 Management fees                                                                (3,554)                      -                    -             (3,554)
 Finance costs                                                                          -                    -             (3,127)              (3,127)
 Professional services                                                          (1,045)               (4,646)                (283)              (5,974)
 Directors’ fees                                                                   (300)                     -               (171)                 (471)
 Lending fees                                                                      (248)                     -                    -                (248)
 Other operating expenses                                                          (799)                  (33)             (6,729)              (7,561)
 Total expenses                                                                 (5,946)               (4,679)            (10,310)              (20,935)


 Profit/(loss) before income tax                                                37,836              (32,678)               13,130               18,288
 Income tax expense                                                                     -                    -               (695)                 (695)
 Profit/(loss) after income tax                                                 37,836              (32,678)               12,435               17,593
 Non-controlling interest                                                               -                    -             (2,186)              (2,186)
 Profit/(loss) attributable to owners of the parent                             37,836              (32,678)               10,249               15,407

1)   This is the net income on an adjusted basis presented in the income statement on page 8.
2)   These are adjustments that must be made to the net income on an adjusted basis to arrive at the net income on an unconsolidated basis, prepared
     in accordance with IFRS. This also includes transaction costs as shown on page 8.
3)   This column includes consolidation adjustments only. It reverses a portion of the net revaluation gains recognised in the unconsolidated income
     statement of MIIF that relates to assets which are consolidated in the consolidated income statement of MIIF as required under IFRS.
4)   This is the consolidated statement of comprehensive income after tax of the MIIF Group disclosed on page 12.




m^db=NV ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
                        MACQUARIE INTERNATIONAL
                      INFRASTRUCTURE FUND LIMITED


               MANAGEMENT REVIEW:
     FOR THE QUARTER ENDED 30 SEPTEMBER 2010




m^db=OM ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
REVIEW OF REVENUE AND EXPENSES FOR THE QUARTER ENDED
30 SEPTEMBER 2010
Presented in the income statement disclosed on page 8




REVIEW OF REVENUE
MIIF’s total revenue of $43.8 million for year to date 30 September 2010 was 23.0% lower than pcp.

During the quarter, MIIF recognised distributions from CXP of $4.6 million (2009: $1.1 million), TBC of $7.6 million
(2009: $6.6 million) and HNE of $21.3 million (2009: $14.2 million). The year on year improvement in distributions from HNE
reflects improved traffic volumes experienced during 2009 and the increase in CXP distributions reflects the steady
performance of the assets with growing volumes in all cargo types. The distribution received in 2009 for CXP was lower due to
a one-off legal claim that was provided for in 2008.

The above increases have been offset by lower or no receipts from the non-Asian assets which have been sold in 2009 and in
the first half of 2010. In particular, the variance is explained by CAC (2009: $11.0 million), Arqiva (2009: $3.8 million) and MEIF
(2009: $3.1 million). In addition, year to date income from TBC of $12.7 million (2009: $16.6 million) was lower than pcp due to
the need for the asset to use some of its available cash to fund amortising debt.


A)        TOTAL INCOME FROM INVESTMENTS
MIIF’s total income from investments is derived from the following sources:
    Distributions and other income arising from the normal operating earnings of the investments. These distributions and other
    income from the investments are recurring in nature.
     One-off distributions arising from capital management initiatives such as but not limited to refinancing or asset sales. These
     one-off distributions are non-recurring in nature. There were no such items in the current quarter or pcp.


The table below provides a detailed breakdown of the income from investments recognised by MIIF during the following
reporting periods:

                                                         Quarter ended       Quarter ended         Year to date        Year to date
                                                            30 Sep 10           30 Sep 09           30 Sep 10           30 Sep 09
 Investment                                                      $’000               $’000               $’000               $’000
 Income from investments
 Arqiva                                                                -                   -                   -             3,798
 CAC                                                                   -              3,745               3,245             10,988
 CXP                                                              4,619               1,098               4,619              1,098
 MEIF                                                                  -                   -                   -             3,094
 TBC                                                              7,590               6,589             12,703              16,610
 HNE                                                             21,261             14,233              21,261              14,233
 Total income from investments                                   33,470             25,665              41,828              49,821


 Special distributions                                                 -                   -                   -                  -
 Total income                                                    33,470             25,665              41,828              49,821




m^db=ON ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
Distribution Policies
The distribution policy of each of MIIF’s businesses is to distribute all net cash flow generated from operations, reduced for debt
servicing costs and maintenance capital expenditure, subject to legal requirements and prudent reserves.

The following table shows the typical historic frequency of distributions from MIIF’s current portfolio of assets as at
30 September 2010:

  Investment Portfolio                                              Frequency per annum               Distribution declaration date

  CXP                                                                          1                               September
  HNE                                                                          1                               September
  Miaoli Wind                                                                  1                                   July
  TBC                                                                          2                             June, December


Depending on local regulatory or legal requirements, the time delay between the date distributions from the assets are
generated and the date they are declared and received by MIIF will vary from asset to asset. For example, CXP and HNE paid
their distributions in respect of the 2009 financial year in the third quarter of 2010. As a result of this timing difference, MIIF may
use its surplus cash balances or corporate debt facility to bridge finance its dividend on a temporary basis. Debt drawn down
for this purpose is repaid as soon as the distributions from the assets are received.

It should be noted that MIIF did not receive any distributions from Miaoli Wind in respect of 2009 or year to date 2010
performance (see page 39 for Investment Portfolio Discussion on Miaoli Wind).


B)       OTHER REVENUE ITEMS
(i)        Interest income
Interest income for the year to date 30 September 2010 was $1.1 million. MIIF has invested the majority of its net cash
proceeds from the sale of MEIF, CAC and Arqiva in short term commercial paper earning an annualised interest of
approximately 0.4%. Surplus cash deposits earned an annualised interest of approximately 0.1%.

(ii)      Net foreign exchange gain on hedged transactions
Net foreign exchange gain of $0.8 million for the year to date 30 September 2010 were due to gains from the realisation of
some of MIIF’s distribution hedges (2009: $7.0 million).




m^db=OO ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
C)           REVIEW OF EXPENSES
                                                                     Quarter ended           Quarter ended              Year to date            Year to date
                                                                        30 Sep 10               30 Sep 09                30 Sep 10               30 Sep 09
                                                                             $’000                   $’000                    $’000                   $’000
  Expenses
  Management fees                                                                  939                      994                 3,554                      2,674
  Directors’ fees                                                                   98                      104                    300                      321
  Finance costs                                                                          -                  170                       -                     581
  Lending fees                                                                      32                      255                    248                      410
  Other operating expenses                                                         789                      355                 1,844                      1,174
  Total operating expenses                                                      1,858                     1,878                 5,946                      5,160

Total operating expenses of $5.9 million for the year to date 30 September 2010 was 15.2% higher than the pcp.

An analysis of MIIF’s expense items are as follows:

(i)         Management fees
Management fees for the year to date 30 September 2010 are higher than the pcp due to the increase in MIIF’s average market
capitalisation and the non-recurrence of the MEIF fee rebate, being only partially offset by the impact of the increase in the
Fund’s cash balances.

The following table provides a reconciliation of the movement in management fees compared to the pcp.

                                                                    Quarter ended            Quarter ended              Year to date            Year to date
                                                                       30 Sep 10                30 Sep 09                30 Sep 10               30 Sep 09
                                                                            $’000                    $’000                    $’000                   $’000


  MIIF Market Capitalisation                                                726,915                 442,719                680,243(3)              411,145(3)
  MIIF Net Debt/(Cash)                                                    (478,608)                   15,996             (363,492)(3)                20,805(3)


  Base Management Fee (1.5% per annum) (1)                                     2,748                      1,674                 7,632                      4,613
                                                        (1)
  Fee on Net Debt/(Cash) (1.5% per annum)                                    (1,809)                        60                (4,078)                       233
                                        (2)
  Rebate in respect of MEIF fee                                                      -                    (740)                       -                (2,172)
  Net Fee                                                                        939                       994                  3,554                      2,674


Notes:
1.    MIIF pays a fee to its manager calculated on its market capitalisation including net debt/(cash).
2.    Distributions to MIIF from its investment in MEIF were received net of fees paid by MEIF to Macquarie Group. Macquarie Infrastructure Management
      (Asia) Pty Limited (MIMAL) provided to MIIF a rebate equivalent to this fee, to ensure that Macquarie Group did not double charge management
      fees.
3.    MIIF’s Market Capitalisation for the year to date is the average of the three relevant calculation periods from Quarter 1 to Quarter 3. MIIF’s net
      debt/(cash) for the year to date is a simple average of the balances at each quarter end reporting date.




                                                                 MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                           ==ö======m^db=OP
(ii)     Directors’ fees
Each independent director is entitled to receive an annual director’s fee of US$72,500. The Board comprises five members, of
which four are independent of the Macquarie Group. The remaining MIIF Board member who is an executive of the Macquarie
Group, is not entitled to be paid a director’s fee.

(iii)    Finance costs
There are no finance costs for the year to date 30 September 2010, following the decision to repay all outstanding corporate
level debt in the last quarter of 2009.

(iv)     Lending fees
Lending fees relate to commitment fees on undrawn borrowing facilities. The lending fees of $0.2 million for the year to date
30 September 2010 were lower than the pcp as MIIF cancelled one of its corporate facilities during the June quarter in light of
its significant cash balances.

(v)      Other operating expenses
Other operating expenses of $1.8 million for the year to date 30 September 2010 were $0.7 million higher than the pcp. The
increase was primarily due to higher professional fees incurred on due diligence during the quarter. Other items that are
reflected in this category relate to MIIF’s normal day–to-day operations. These items include fees paid for share registrar
services, SGX-ST listing and administration services, general legal services, audit services and professional fees incurred for
financial and acquisition advice.


D)       TRANSACTION COSTS
MIIF incurred professional fees and transaction costs amounting to $4.7 million during the sale of its investment in Arqiva in the
June quarter. The Group engaged Macquarie Capital Advisers to advise on the disposal (refer to note J(iv) for notes on related
party transactions).




m^db=OQ ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
REVIEW OF NET ASSETS AND STATEMENTS OF FINANCIAL
POSITION AS AT 30 SEPTEMBER 2010
As presented in the statements of financial position disclosed on page 11




E)           ASSETS
(i)          Trade and other receivables
Stand-alone current trade and other receivables increased from $4.7 million as at 31 December 2009 to $21.3 million as at
30 September 2010. The increase is materially explained by TBC distributions of $7.2 million to be received in October 2010
and a $9.1 million balance representing the deferred sales proceeds following the CAC IPO which MIIF expects to receive in
March 2011 once the holdback requirements are fulfilled.

Group current trade and other receivables increased from $2.6 million as at 31 December 2009 to $19.8 million as at
30 September 2010 largely due to movements at the Company level as explained above.

(ii)         Current financial assets at fair value through profit or loss
Group financial assets at fair value through profit or loss relate to prior year receivables in respect of mark to market movements
on its foreign currency forward contracts.

(iii)        Intangible assets
The balance as at 30 September 2010 was due to the consolidation of Miaoli Wind. Fixed assets held by Miaoli Wind were
recognised as intangible assets under International Financial Reporting Interpretations Committee, IFRIC 12: Service
Concession Arrangements.

(iv)         Stand-alone non-current financial assets at fair value through profit or loss
Stand-alone non-current financial assets (excluding forward foreign currency contracts) at fair value through profit or loss
decreased from $900.7 million as at 31 December 2009 to $542.7 million at 30 September 2010. This balance reflects the
Board’s valuation of the fair value of MIIF’s businesses as at 30 September 2010. The decrease in valuation of its investments
was substantially due to:
   divestment of Arqiva and CAC ($326.6 million)
        distributions received of $41.8 million; and
        net foreign exchange loss of $45.4 million arising from translation of MIIF’s foreign denominated assets to Singapore dollars.


Offset by:
    revaluation uplift of HNE of $52.4 million, TBC of $27.6 million and CXP of $11.8 million.




m^db=OR ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED
The following table sets out a reconciliation of the value of MIIF’s investments from 31 December 2009 to 30 September 2010.

                                 Company                                Income          Foreign        Revaluation         Company
                                Balance at      Investment /     received from        exchange                  to        Balance at
                                31 Dec 09        (divestment)      investments           effects        30 Sep 10         30 Sep10
                                    $’000               $’000             $’000           $’000             $’000             $’000
  Unlisted securities
      Arqiva                      297,193          (238,490)                  -         (23,611)           (35,092)                   -
      CAC                           89,821          (88,087)            (3,245)            2,379              (868)                   -
      CXP                           85,955                  -           (4,619)          (4,207)            11,836            88,965
      HNE                         258,579                   -          (21,261)         (12,787)            52,404           276,935
      Miaoli Wind                         -            1,716                  -                3            (1,719)                   -
      TBC                         169,039                   -          (12,703)          (7,188)            27,628           176,776
      Others                            72                  -                 -                 -                 -                  72
  Total investments               900,659          (324,861)          (41,828)          (45,411)            54,189           542,748


MIIF disposed its stake in CAC on 24 Mar 2010 for $91.2 million and Arqiva on 28 May 2010 for $238.5 million (net of fees).
Following these disposals, MIIF has cash and cash equivalents, including $9.1 million deferred sales proceeds from the CAC
IPO, amounting to $487.7 million.

The $54.2 million revaluation adjustment in MIIF’s investments year to date is mainly explained by the significant movements in
HNE ($52.4 million), TBC ($27.6 million) and CXP ($11.8 million), which were partially offset by the reduction to the sale price of
Arqiva ($35.1 million). The increase in HNE’s value reflects management’s view of future toll rates and increased traffic volumes.
The increase in TBC’s valuation reflects its continued business growth and also follows the successful debt refinancing that
took place in June 2010. CXP’s valuation increase reflects the strong volume growth across all cargo types.

MIIF injected $1.7 million into Miaoli Wind in the first quarter to avoid a breach of the debt service cover ratio. By proactively
addressing this potential breach, the Company remains unhindered in its application for Voluntary Gold Standard carbon
credits. If successful, the valuation of the business will eventually increase.

(v)         Group non-current financial assets at fair value through profit or loss
Group non-current financial assets (excluding forward foreign currency contracts) held at their fair value have decreased from
$929.6 million as at 31 December 2009 to $573.5 million as at 30 September 2010. The explanation for the movement at
Group level is materially the same as for the Company other than adjustments made to reflect the fair value of the Group’s
investments.




m^db=OS ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
F)        LIABILITIES
EáF       Trade and other payables
Stand-alone current trade and other payables decreased from $9.3 million as at 31 December 2009 to $5.7 million as at
30 September 2010 following the payment of certain outstanding balances.

Group current trade and other payables decreased from $17.1 million as at 31 December 2009 to $13.0 million as at
30 September 2010.

EááF      Borrowings
Stand-alone company borrowings are nil as at 30 September 2010.

Group short term borrowings include the portion of Miaoli Wind’s debt and interest payable of $6.7 million, to be amortised in
the current period.

Group long term borrowings of $73.8 as at 30 September 2010 relate to the consolidation of Miaoli Wind’s long term
borrowings which are non-recourse to MIIF. Equipment, building, cash and shares of Miaoli Wind were pledged with the lender
as collateral for the total borrowings of $80.5 million.

The following table illustrates the ageing of MIIF’s borrowings:

                                                                   Group as at   Group as at    Company as at      Company as at
                                                                    30 Sep 10     31 Dec 09        30 Sep 10          31 Dec 09
                                                                        $’000         $’000            $’000              $’000
   Amount repayable in one year or less, or on                          6,663          5,803                   -                   -
   demand
   Amount repayable after one year                                     73,839         79,936                   -                   -
   Total borrowings                                                    80,502         85,739                   -                   -


   Amount secured                                                      80,502         85,739                   -                   -
   Amount unsecured                                                          -              -                  -                   -
   Total borrowings                                                    80,502         85,739                   -                   -


EáááF     Financial liabilities at fair value through profit or loss
Stand-alone current financial liabilities held at their fair value as at 30 September 2010 include $5.4 million in respect of mark to
market movements on foreign exchange swaps that MIIF entered into during the year. These instruments are used to hedge the
foreign exchange movements of the Euro denominated commercial paper.

The remaining balance represents the fair value of the foreign currency forward contracts that MIIF has entered into to hedge its
forecast cash flow. It is MIIF’s policy to hedge distribution income for a period up to a maximum of 24 months in advance.
However, depending on market conditions, MIIF may choose to be selective on the proportion of distributions it hedges.

The Group balance of financial liabilities held at their fair value as at 30 September 2010 includes the fair value of Miaoli Wind’s
interest rate swaps and foreign currency forward contracts.

EáîF      Non-controlling interest
Non-controlling interest represents the share of Group net asset value attributable to the minority shareholder of SCHK (a
subsidiary holding MIIF’s interest in HNE).


                                                          MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED          ==ö======m^db=OT
G)        NET ASSET VALUE
MIIF uses the discounted cash flow (DCF) approach to value its investments. These valuations reflect the fair value for which
infrastructure assets could be exchanged between knowledgeable, willing parties in an orderly arm’s length transaction.

MIIF calculates the fair value of each of its assets at the end of each calendar quarter and adjusts the carrying value of each
investment to its fair value. This process generates revaluation gains and losses, which are reported in the Group statement of
comprehensive income as Net gain/loss on financial assets at fair value through profit or loss.

To ensure that the DCF analysis continues to provide a fair value estimate that can be considered reliable, the valuation model
is periodically benchmarked to other sources such as recent market transactions to ensure that the discounted cash flow
valuation is providing a reliable measure.

It should be noted that the preparation of the financial report in accordance with IFRS requires the use of certain critical
accounting estimates. It also requires management to exercise judgement in the process of applying the accounting policies.
Estimates and judgements are continually evaluated and are based on historic experience and other factors, including
reasonable expectations of future events. Management believes the estimates used in preparation of the financial report are
reasonable. Actual results in the future, however, may differ from those reported.

The valuation of MIIF’s investments has been determined by reference to changes to the respective asset’s discount rate,
adopted by the MIIF board in accordance with its valuation framework. The discount rate applied to the cash flows of a
particular asset comprises the risk free interest rate appropriate to the country in which the asset is located and a risk premium,
reflecting the uncertainty associated with the cash flows.

(i) The investment valuation sensitivity to movements in the discount rate is disclosed in the table below:
 Change in valuation                                      Sep 10               Sep 10                Sep 09               Sep 09
 due to movement in                                     1% higher             1% lower             1% higher             1% lower
 discount rate                                              $'000               $'000                  $'000               $'000
 Arqiva                                                          -                   -              (23,461)              25,936
 CAC                                                             -                   -                (8,082)              9,756
 CXP                                                       (8,150)              9,332                 (7,548)              8,677
 HNE                                                     (20,665)              23,067               (16,261)              18,106
 Miaoli Wind                                               (1,204)              1,421                 (1,491)              1,735
 TBC                                                       (6,990)              7,366                 (7,460)              7,921
 Total                                                   (37,009)              41,186               (64,303)              72,131

(ii) The investment valuation sensitivity to movements in the revenue forecasts are disclosed in the table below:
 Change in valuation                                      Sep 10                Sep 10               Sep 09               Sep 09
 due to movement in                                     1% higher              1% lower            1% higher             1% lower
 revenue                                                   $'000                 $'000                $'000                $'000
 Arqiva                                                           -                    -              11,395              (11,620)
 CAC                                                              -                    -              15,913              (15,934)
 CXP                                                         1,521               (1,521)                1,421               (1,421)
 HNE                                                         5,261               (5,261)                4,931               (4,928)
 Miaoli Wind                                                   554                 (541)                  540                 (540)
 TBC                                                         2,373               (2,259)                4,669               (4,573)
 Total                                                       9,709               (9,582)              38,869              (39,016)




m^db=OU ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
The table below shows the net asset movements:

                                                                   Group              Group            Company          Company
                                                                    As at              As at               As at           As at
                                                               30 Sep 10          31 Dec 09           30 Sep 10        31 Dec 09

    Net Asset Value


    Total net asset value ($’000)                              1,064,001          1,094,150           1,032,119         1,065,895

    Total number of ordinary shares on issue used in
                                                               1,297,804          1,297,804           1,297,804         1,297,804
    calculation of net asset value per share (‘000)

    Net asset value per ordinary share ($ per share)                 0.82               0.84               0.80                0.82


MIIF’s stand-alone NAV decreased from $1,065.9 million as at 31 December 2009 to $1,032.1 million as at 30 September
2010, taking its NAV per share to $0.80 at the end of the period. Group net assets decreased from $1,094.2 million as at
31 December 2009 to $1,064.0 million as at 30 September 2010.

The movement in MIIF’s NAV per share from 30 September 2009 to 30 September 2010 is outlined below.

                                                             Company        Company      Company          Company       Company
                                                                 As at          As at        As at           As at          As at
                                                            30 Sep 10       30 Jun 10    31 Mar 10       31 Dec 09     30 Sep 09

    Net asset value per ordinary share ($ per share)             0.80            0.80          0.79           0.82            0.80


30 June 2010 to 30 September 2010:
NAV per share remained unchanged at $0.80.

31 March 2010 to 30 June 2010:
NAV per share increased from $0.79 to $0.80 due to small increases in the valuations of CXP, TBC and HNE.

31 December 2009 to 31 March 2010:
NAV per share decreased from $0.82 to $0.79 primarily due to the decrease in valuation of Arqiva being materially offset by
increase in value of HNE and TBC.

30 September 2009 to 31 December 2009:
NAV per share increased from $0.80 to $0.82 primarily due to the increased valuation of HNE being only partially offset by the
reduction in value of Miaoli Wind.

.




                                                       MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED           ==ö======m^db=OV
H)         ENTERPRISE VALUE
MIIF’s Enterprise Value (EV) is calculated by aggregating:
    Proportionate operating businesses’ net debt, based on MIIF’s proportionate beneficial interest as at 30 September 2010
      MIIF’s net debt outstanding as at 30 September 2010; and
      MIIF businesses' equity attributable to MIIF’s Shareholders as at 30 September 2010.


                                                                                                  As at                      As at
                                                                                             30 Sep 10                 30 June 10
                                                                                                 $’000                      $’000
  Proportionate operating businesses’ net debt                                                 733,083                    753,630
  MIIF net (cash)/debt                                                                        (478,608)                  (465,190)
  MIIF businesses' equity attributable to MIIF shareholders                                    542,676                    566,365
  Enterprise Value (EV)                                                                        797,151                    854,805
  Net debt as a percentage (%) of EV
  Total MIIF net debt as a % of EV                                                                 32%                        34%


Net debt is reported at both the operating business level and at MIIF level. Operating businesses’ net debt is calculated at each
of the relevant operating businesses by subtracting total cash-on-hand from total debt as at 30 September 2010. Operating
business’ total debt is non-recourse to MIIF and is presented here only for the purposes of computing EV.

The operating businesses’ equity value attributable to MIIF Shareholders is calculated by aggregating MIIF’s interest in the fair
values of the individual businesses.

MIIF’s total gearing as a percentage of EV is 32% as at 30 September 2010. Total gearing is calculated by dividing the sum of
MIIF’s proportionate beneficial interest in the operating businesses’ net debt and MIIF’s net debt by EV.


I)         CASH FLOW ANALYSIS
Stand-alone company level cash and cash equivalents increased from $169.9 million as at 31 December 2009 to $478.6 million
as at 30 September 2010 following the payment of MIIF’s dividends paid during the year and sale proceeds received from
divestment of CAC and Arqiva. MIIF has invested $471.4 million in commercial paper.

For the purposes of presentation in the consolidated statement of cash flows, cash and cash equivalents excludes an amount
of $4.6 million (2009: $5.1 million) which is restricted for use, as the cash deposit has been pledged by Miaoli Wind to the
lender as collateral for the loan facility of Miaoli Wind.


J)         RELATED PARTY TRANSACTIONS
(i)        Directors
The following persons were directors of MIIF during the quarter to 30 September 2010:

                                                                      Date of Appointment             Date of Resignation
  John Stuart Hugh Roberts                                            7 February 2005                 Not applicable
  Heng Chiang Meng                                                    7 February 2005                 Not applicable
  Robert Andrew Mulderig                                              7 February 2005                 Not applicable
  Michael David Hamer                                                 7 February 2005                 Not applicable
  Lee Suet Fern                                                       20 December 2007                Not applicable


m^db=PM ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
(ii)         Directors’ remuneration
John Roberts is an executive director of Macquarie Group Limited (MGL), the ultimate parent entity of Macquarie Infrastructure
Management (Asia) Pty Limited (the Manager), and is not entitled to any remuneration from MIIF, other than reimbursement of
expenses incurred on behalf of MIIF. Heng Chiang Meng, Robert Mulderig, Michael Hamer and Lee Suet Fern are entitled to a
total remuneration of US$72,500 per annum each.

(iii)        The Manager
The Manager was appointed by MIIF as the sole and exclusive manager pursuant to a Management Agreement dated
19 May 2005.

The following transactions occurred between MIIF and the Manager during the year to date:

                                                                          Group                     Group                 Company                   Company
                                                                    Year to date              Year to date              Year to date              Year to date
                                                                     30 Sep 10                 30 Sep 09                 30 Sep 10                 30 Sep 09
                                                                          $’000                     $’000                     $’000                     $’000
    Transactions
    Base management fees                                                    3,554                     2,674                     3,554                     2,674
    Dividends                                                               3,203                     4,805                     3,203                     4,805


The following balances remained outstanding between MIIF and the Manager as at 30 September 2010:

                                                                    Group as at               Group as at           Company as at             Company as at
                                                                     30 Sep 10                 31 Dec 09               30 Sep 10                 31 Dec 09
                                                                         $’000                     $’000                   $’000                     $’000
    Balances
    Accrued base management fees                                              939                     1,508                       939                     1,508


The Manager holds 106,776,610 ordinary shares in MIIF.

For the quarter ended 30 September 2010, the MIIF Accumulation Index 3 was lower than the agreed benchmark annual return
of 8%. Consequently, no performance fee was payable to the Manager and a performance fee deficit 4 will be carried forward to
the next quarter.

MIIF retained the services of qualified independent advisors, who have confirmed that the performance fee deficit has been
determined in accordance with the Management Agreement between the Manager and MIIF dated 19 May 2005, which was
disclosed in the MIIF Prospectus.




3
    The performance of the MIIF Accumulation Index is measured as the average index value over the last 15 SGX-ST trading days of each three month period
    compared to the preceding three month period.
4
    Where the MIIF Accumulation Index has underperformed the benchmark in prior periods, this underperformance is carried forward as a deficit and taken into
    account in calculating the performance fee payable. The deficit carried forward in relation to this calculation is approximately $678 million.==


                                                                   MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                           ==ö======m^db=PN
(iv)     Macquarie Group (Macquarie)
Macquarie Group Limited (MGL) and in particular Macquarie Capital Advisers Limited (MacCap Adv) are important sources of
acquisition opportunities and financial and acquisition advice. There were no fees paid to Macquarie during the quarter in
respect of transaction related services.


K)       FOREIGN EXCHANGE TRANSACTIONS
MIIF utilises the services provided by MGL’s foreign exchange department from time to time to enter into foreign exchange
forward contracts based on arms length competitive market rates. The listing of foreign currency transactions entered into for
the current quarter and the relevant related party charges incurred were provided to the independent members of the MIIF
Board for review.


L)       ADDITIONAL INFORMATION
(i)      Disclosure, audit and review of financial statements
Pursuant to Rule 705(1) of the SGX-ST Listing Manual, the financial statements for the year to date 30 September 2010 have
been disclosed within 45 days after the end of the relevant financial period.

(ii)     Review by Independent Auditor
The financial statements for the quarter ended and year to date 30 September 2010 have not been audited or reviewed by the
Group’s auditor, PricewaterhouseCoopers LLP.

(iii)    Basis of preparation
The Group has applied the same accounting policies and methods of computation in the preparation of the financial statements
for the current period as that of preceding accounting periods. There are no substantial changes to the Group’s accounting
policies.

The financial statements are consistent with those set out in the 2009 audited financial statements which have been prepared in
accordance with IFRS. There have been no changes to the accounting policies described in the 2009 audited accounts except
for the adoption of certain revised International Financial Reporting Standards (IFRS) that became applicable from
1 January 2010.

The adoption of these revised standards did not have a material impact on the results of the Group. The preparation of financial
statements in conformity with IFRS requires the use of certain critical accounting estimates. It also requires management to
exercise its judgement in the process of applying the Group’s accounting policies. Estimates and judgements used in preparing
the financial statements are continually evaluated and are based on historical experience and other factors, including
expectations of future events that are believed to be reasonable under the circumstances.

(iv)     Functional and presentation currency
All figures, unless otherwise stated are presented in Singapore dollars, which is MIIF’s functional and presentation currency.

(v)      Rounding of amounts in the financial statements
Amounts in the financial statements have been rounded to the nearest thousand dollars, unless otherwise indicated.




m^db=PO ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
(vi)     Group Accounting - subsidiaries
Subsidiaries are all entities (including special purpose entities) over which the Group has the power to govern the financial and
operating policies. The existence and effect of potential voting rights that are currently exercisable or convertible are considered
when assessing whether the Group controls another entity.

Subsidiaries are consolidated from the date on which control is acquired or otherwise obtained by the Group. They are
deconsolidated from the date that control ceases.

The following entities were subsidiaries or joint venture entities as at 30 September 2010:

                                                                                                    Percentage
                                                                                                    of effective
                                                                                   Country of       equity held       Reporting
  Name of entity                         Type           Principal activities       incorporation    by the Group      date
  Macquarie Renewables Limited           Subsidiary     Holding Company            Bermuda          100%              31 December



  Macquarie International                Subsidiary     Holding Company            Bermuda          100%              31 December
  Infrastructure Holding Limited


  South China Highway                    Subsidiary     Investment in toll road    Hong Kong        90%               31 December
  Development (H.K.) Limited

  Macquarie International China          Subsidiary     Holding Company            Bermuda          100%              31 December
  Holdings Limited


  Macquarie International                Subsidiary     Holding Company            Netherlands      100%              31 December
  Infrastructure Netherlands2
  Cooperatief U.A
  Macquarie International                Subsidiary     Holding Company            Netherlands      100%              31 December
  Infrastructure Netherlands B.V


  Singapore Changshu Development         Joint          Holding Company            Singapore        40%               31 December
  Company                                Venture

  Macquarie International                Subsidiary     Holding Company            Bermuda          100%              31 December
  Infrastructure Taiwan Limited


  Macquarie International Taiwan         Subsidiary     Holding Company            Taiwan           100%              31 December
  Co., Ltd


  Miaoli Wind Co., Ltd                   Subsidiary     Operation of wind          Taiwan           100%              31 December
                                                        farm




                                                      MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED             ==ö======m^db=PP
INVESTMENT PORTFOLIO




The following diagrams show the contributions that various investments make to MIIF’s overall portfolio based on
30 September 2010 fair valuation of each business.


                                          Portfolio Composition by Geography




                                                                                                China
                                                                                                35.5%




                   Cash/ Receivables*
                         47.3%




                                                                                Taiwan
                                                                                 17.2%



                                          Portfolio Composition by Investment


                                                                                                HNE
                                                                                               26.9%




                      Cash/ Receivables*
                            47.3%




                                                                                                   TBC
                                                                                                  17.2%


                                                                           CXP
                                                                           8.6%



Note: * Includes $9.1 million deferred sales proceeds from the CAC IPO. These proceeds are subject to certain conditions. Refer to page 43 for further
details




                                                              MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                       ==ö======m^db=PQ
INVESTMENT PORTFOLIO DISCUSSION




Changshu Xinghua Port (CXP)
    Date of initial acquisition              2 Dec 2005                CXP is a multipurpose cargo port centrally located within the
                                                                       Yangtze River Delta industrial zone, a high-growth industrial region
    Cost of acquisition                      S$112.3 million
                                                                       which includes the cities of Suzhou, Wuxi and Changshu. CXP's
                5
    Valuation                                S$89.0 million            hinterland is one of China's fastest growing industrial regions.
    Distributions since Acquisition          S$19.0 million
                                                                       The port jetty of 1,700 metres has 8 berths, with 2 gantry container
    MIIF ownership                           38% interest
                                                                       cranes and 10 multiuse portal cranes. There are presently 14
    % of MIIF portfolio5                     8.6%                      warehouses totalling 107,300 m2, and additional yard storage
                                                                       totalling 608,147 m2.

                                                                       Water depth at the deepest point is 13.3 m, permitting vessels of up
                                                                       to 70,000 DWT to load/unload at the port.

                                                                       CXP's cargo base consists of bulk cargo comprising mainly steel
                                                                       and paper and pulp related products and containers. CXP will
                                                                       continue to build on its diversified cargo base while maintaining its
                                                                       position as a regional hub for steel and paper and pulp products.

Key operational statistics can be found in the tables below.

                                                3 months to       3 months to          Variance   9 months to     9 months to         Variance
    Volume                                        Sep 2010          Sep 2009          Fav/(Adv)     Sep 2010        Sep 2009         Fav/(Adv)
    Steel (tonnes)                                  644,157           526,659           22.3%       1,784,956       1,764,825            1.1%
    Logs (tonnes)                                   282,657           275,297            2.7%         931,606         575,455           61.9%
    Other Non-steel (tonnes)                        218,455           104,955          108.1%         485,562         251,697           92.9%
    Paper & Pulp Products (tonnes)                  605,893           522,630           15.9%       1,628,574       1,570,515            3.7%
    Total General Cargo (tonnes)                  1,751,162         1,429,541           22.5%       4,830,698       4,162,492           16.1%


    Container (TEU 6)                                 23,760            27,549         (13.8%)         68,689          60,439           13.7%



                                                3 months to       3 months to          Variance   9 months to     9 months to         Variance
    (RMB'million)                                 Sep 2010          Sep 2009          Fav/(Adv)     Sep 2010        Sep 2009         Fav/(Adv)
    Revenue                                              71.8                 57.5      24.9%           192.9           159.6           20.9%
    Operating Expenses                                  (39.2)               (26.9)    (45.7%)           (97.4)          (72.6)       (34.2%)
    EBITDA                                               32.6                 30.6       6.5%             95.5            87.0           9.8%
    EBITDA Margin                                     45.4%              53.2%          (7.8%)          49.5%           54.5%           (5.0%)




5
    Based on 30 September 2010 valuations. Numbers are subject to rounding
6
    Twenty-foot equivalent unit


m^db=PR ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
BUSINESS COMMENTARY (3 MONTHS TO SEPTEMBER 2010)
Financial Performance
   Revenue was 24.9% higher than pcp mainly due to increased log volumes. The increase in revenue, however, was offset by
   higher direct costs (45.7% above pcp), which were driven mainly by the larger volume of export steel handled at CXP this
   year. Handling costs for export steel are higher than costs incurred on handling import steel. In addition, facility
   maintenance costs have increased this period, contributing to the 7.8% reduction in EBITDA margin.


Operations
   CXP performed well this quarter with general cargo volumes increasing by 22.5% over the pcp. Container volumes were
   lower than pcp by 13.8% for the quarter but is higher than the pcp for the year as described below.


BUSINESS COMMENTARY (9 MONTHS TO SEPTEMBER 2010)
Financial Performance
   EBITDA was 9.8% higher compared to the pcp. This was primarily due to higher revenue following increases in log and
   container volumes. CXP generated revenue of RMB192.9 million, up 20.9% on the pcp.


Operations
   CXP has performed well year to date, with general cargo and container volumes increasing by 16.1% and 13.7%
   respectively
   General cargo: Steel volumes were 1.1% higher than the pcp. Log volumes increased by c.61.9% due to higher imports of
   New Zealand logs and other non steel products increased by c.92.9% due to the handling of new products such as sodium
   sulphate. Paper and pulp volumes were also above the pcp at 3.7%
   Container volumes have rebounded significantly (13.7%) from the low levels observed in 2009, which were impacted by the
   global contraction in container trade.


Outlook
Growth in volumes across most product groups is expected to continue into 4Q 2010.




m^db=PS ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
    Hua Nan Expressway (HNE)
    Date of initial acquisition              19 Nov 2007                   Hua Nan Expressway Phase I and II (HNE) is a 31-kilometre dual-
    Cost of acquisition   8
                                             S$295.7 million               carriage urban toll road in the city of Guangzhou, the capital of
                                                                           Guangdong province in China. It is the main artery for north-south
    Valuation 9                              S$276.9 million
                                                                           traffic in Guangzhou, enabling easy access to South China and is
    Distributions since Acquisition          S$63.1 million
                                                                           intersected by eight expressways and urban arteries, ensuring
    MIIF ownership                           81% interest                  excellent connectivity.
    % of MIIF portfolio9                     26.9%
                                                                           HNE has an established traffic history since 1999, with the rights to
                                                                           operate and collect tolls 7 up to 2026. HNE was the first toll road in
                                                                           Guangdong province to implement electronic tolling. It has a routine
                                                                           maintenance program in place and significant excess capacity to
                                                                           accommodate traffic growth. As an urban toll road in Guangzhou,
                                                                           HNE benefits from being exposed to the long term traffic growth
                                                                           potential of Guangdong province.

Key operational statistics can be found in the tables below.

                                                              3 months         3 months          Variance         9 months         9 months          Variance
    Total volume of vehicles types (‘000)                    to Sep 10        to Sep 09         Fav/(Adv)        to Sep 10        to Sep 09         Fav/(Adv)
    Passenger vehicles                                        10,254.6           9,558.6             7.3%         29,999.0         24,874.9             20.6%
    Minibus / Light Truck                                         640.3            662.1            (3.3%)          1,941.3          1,735.5            11.9%
    Medium Bus / Truck                                         1,974.8           2,111.4            (6.5%)          5,482.0          4,971.6            10.3%
    Large Bus / Large Truck                                       186.1            187.0            (0.5%)            518.4            431.8            20.1%
    Heavy Duty Truck / Trailer                                    506.1            464.8             8.9%           1,404.1          1,040.5            34.9%
    Total Vehicles                                            13,561.9         12,983.9              4.5%         39,344.8         33,054.3             19.0%



                                                           3 months            3 months          Variance         9 months         9 months          Variance
    (RMB'million)                                          to Sep 10          to Sep 09         Fav/(Adv)        to Sep 10        to Sep 09         Fav/(Adv)
    Revenue                                                       143.6            135.9             5.7%             402.4            347.9            15.7%
    Operating Expenses                                            (24.5)            (22.8)          (7.5%)            (69.0)            (63.5)          (8.7%)
    EBITDA                                                        119.1            113.1             5.3%             333.4            284.4            17.2%
    EBITDA Margin                                                82.9%            83.2%             (0.3%)           82.9%            81.8%               1.1%




7
  Toll rates on HNE are set by the Guangdong provincial government
8
  Originally announced acquisition price of $329.5m included $295.7m invested at acquisition, and $33.8m to be drawn at a later date contingent upon certain
events. This contingency is now no longer required and will not be drawn.
9
  Based on 30 September 2010 valuations. Numbers are subject to rounding


                                                                 MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                             ==ö======m^db=PT
BUSINESS COMMENTARY (3 MONTHS TO SEP 2010)
Financial Performance
       Revenue was 5.7% higher compared to the same period in 2009. This was due to:
                                                                                                           10
       Ô the continued positive contribution from the newly opened Phase III section of HNE                     which acts as a feeder road to
           HNE Phase I and II;
       Ô the improvement in economic conditions in the Guangdong province; and
       Ô the continued strong growth in passenger vehicle ownership in Guangdong province.
       This was partially offset by the non recurrence of a higher number of goods vehicles that HNE enjoyed during the temporary
       closure of the Northern Ring Road for maintenance in 2H09.
       Operating expenses were 7.5% higher compared to pcp due to the general increases in expenses such as operating tax
       which is positively correlated to toll revenue and the timing differences of certain expense items.


Operations
       Refer to Financial Performance.


BUSINESS COMMENTARY (9 MONTHS TO SEP 2010)
Financial Performance
       EBITDA was 17.2% higher compared to pcp. This favourable variance was largely driven by the strong revenue
       performance during the period as a result of the overall increase in traffic numbers.


Operations
       The 20.6% year on year increase in the volume of passenger vehicles reflected the positive impacts of the opening of Phase
       III and the general increase in car ownership in Guangdong province.
       The continued strengthening economic conditions in Guangdong province has resulted in a 14.3% increase in commercial
       vehicles relative to pcp, thereby contributing to traffic numbers.


Outlook
Guangzhou is hosting the 2010 Asian Games in December 2010, and significant traffic restrictions have been announced for
the period from 1 November to 22 December 2010, with the aim of reducing traffic levels by 50% for the period. Whilst this will
have a material negative impact on HNE traffic volumes in Q4 2010, traffic is expected to recover fully in Q1 2011.




10
     The Phase III section of Hua Nan Expressway is a complementary road to HNE and is not owned by MIIF


m^db=PU ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
     Miaoli Wind
     Date of initial acquisition              20 March 2008             Miaoli Wind owns and operates 25 wind turbines, with a combined
     Cost of acquisition                      S$30.8 million 11         capacity of 49.8MW, at two sites in Miaoli County, Taiwan.
     Valuation 12                             S$0.0 million
                                                                        Miaoli Wind generates revenue by selling its entire energy production
     Distributions since Acquisition          S$0.4 million
                                                                        to Taipower under a 15 year fixed tariff PPA (one agreement per wind
     MIIF ownership                           100% interest             farm site) with an option to extend each PPA for an additional 5 years.
                         12
     % of MIIF portfolio                      0.0%                      The fixed tariff is NT$ 2.00/kWh.

Key operational statistics can be found in the table below.

                                                          3 months          3 months           Variance          9 months          9 months           Variance
     (GWh)                                               to Sep 10         to Sep 09          Fav/(Adv)         to Sep 10         to Sep 09          Fav/(Adv)
     Total Energy Production                                    18.8              15.4            22.1%                79.1              82.5            (4.1%)



                                                          3 months          3 months           Variance          9 months          9 months           Variance
     (NT$'million)                                       to Sep 10         to Sep 09          Fav/(Adv)         to Sep 10         to Sep 09          Fav/(Adv)
     Revenue                                                    33.5              32.6             2.8%              150.2             159.7             (5.9%)
     Operating Expenses                                        (11.2)             (8.5)         (31.8%)              (39.4)             (38.8)           (1.5%)
     EBITDA                                                     22.3              24.1            (7.5%)             110.8             120.9             (8.4%)
     EBITDA Margin                                           66.6%              73.9%             (7.3%)            73.8%             75.7%              (1.9%)




NN
  =Includes an equity injection of S$1.7 million made in March 2010 to avoid a breach of the 31 December 2009 debt service cover ratio. The low debt service cover
ratio was caused by the poor wind conditions for the 12 months to 31 December 2009=
NO
  =Based on 30 September 2010 valuations. Numbers are subject to rounding=

                                                                  MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                            ==ö======m^db=PV
BUSINESS COMMENTARY (3 MONTHS TO SEPTEMBER 2010)
Financial Performance
   Revenue for the quarter was 2.8% higher compared to pcp. This was due to higher generation in July.
   EBITDA for the period was 7.5% lower compared to the pcp due to higher operating expenses. Operating expenses in the
   pcp were lower due to the accrual of availability compensation from the O&M contractor.


Operations
   Total energy production was 22.1% higher compared to pcp due to higher average wind speeds in July.


BUSINESS COMMENTARY (9 MONTHS TO SEPTEMBER 2010)
Financial Performance
   EBITDA for the period was 8.4% lower than pcp, due to revenue being 5.9% lower in the period.


Operations
   Total energy production was 4.1% lower compared to pcp. This was due to lower average wind speeds in January and
   February, which was only partially offset by the higher average wind speeds in June and July.


Outlook
Since acquisition, wind speeds have been significantly lower than expected. The original valuation at acquisition was based on
36 years of wind history from a nearby location and provided management with high confidence over a long term achievable
average. However, the operational performance has been disappointing and management has now revised its forecast to the
average actual historic generation. This puts at risk Miaoli Wind’s ability to refinance to current debt levels in 2012.
Miaoli Wind has lodged an application for Voluntary Gold Standard carbon credits. If the application is successful, Miaoli Wind
will be able to generate incremental revenue through the sale of these credits.




m^db=QM ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
 Taiwan Broadband Communications (TBC)
 Date of initial acquisition                      16 July 2007                  TBC is one of the three leading cable television operators in
                            13                                                  Taiwan, which is the fifth largest cable television market by
 Cost of acquisition                              S$161.8 million
                                                                                revenue in Asia. Established in 1999, TBC owns an interest in five
 Valuation 14                                     S$176.8 million               cable television networks located in adjacent service areas in
 Distributions since Acquisition         15
                                                  S$49.9 million                northern and central Taiwan.

 MIIF ownership                                   20% interest
                                                                                TBC is the sole licensee and provider of cable television services in
 % of MIIF portfolio14                            17.2%                         its five operating regions. TBC is a key provider of integrated
                                                                                entertainment and communications services to more than one
                                                                                million homes serviced by its cable network.

                                                                                TBC’s core business is the provision of cable television services. It
                                                                                also offers value-added services such as broadband internet
                                                                                access and cable telephony services, as well as premium digital
                                                                                television programming, thereby providing subscribers with
                                                                                improved picture and sound quality and extra channels.

Key operational statistics can be found in the tables below.

                                                Net Additional Subscribers                              Ending Subscribers
                                                3 months to       3 months to                                                                                 Variance
                                                  Sep 2010          Sep 2009                          Sep 2010                   Sep 2009                    Fav/(Adv)
 Basic Cable TV                                         4,212                    2,636                  734,875                    721,723                        1.8%


 Basic Digital 16                                       9,771                    3,632                    45,956                     20,600                    123.1%
                       17
 Penetration rate                                           NA                       NA                     6.3%                       2.9%                       3.4%


 Broadband                                              4,000                    3,200                  150,382                    137,382                        9.5%
 Penetration rate                                           NA                       NA                   20.5%                      19.0%                        1.5%



                                               3 months to          3 months to               Variance        9 months to           9 months to               Variance
 (NT$'million)                                   Sep 2010             Sep 2009               Fav/(Adv)          Sep 2010              Sep 2009               Fav/(Adv)
 Revenue                                            1,733.7               1,665.4                 4.1%              5,151.3               4,955.5                 4.0%
 Operating Expenses                                  (652.5)               (637.7)               (2.3%)            (1,943.9)            (1,910.3)                (1.8%)
 EBITDA                                             1,081.2               1,027.7                 5.2%              3,207.4               3,045.2                 5.3%
 EBITDA Margin                                        62.4%                61.7%                  0.7%                62.3%                61.5%                  0.8%




13
   Post a return of capital from TBC of US$68.3 million (S$104.1 million) which was distributed to MIIF as a result of the refinancing of TBC’s debt facilities shortly
   after MIIF’s acquisition of its interest in TBC
14
   Based on 30 September 2010 valuations. Numbers are subject to rounding
15
  =Excludes return of capital from TBC of US$68.3 million (S$104.1 million)
16
   Excludes additional pay-tier subscribers for HBO, Rainbow and Sonsee
17
   Penetration rate is calculated as a percentage of Basic subscribers


                                                                     MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                                ==ö======m^db=QN
BUSINESS COMMENTARY (3 MONTHS TO SEP 2010)
Financial Performance
   EBITDA was 5.2% higher compared to the pcp. This was primarily due to higher revenue following increases in subscribers
   across all the businesses. TBC generated revenue of NT$1,733.7 million, up 4.1% on the pcp.
   The overall EBITDA margin of 62.4% was higher than pcp (61.7%).


Operations
   TBC has performed strongly in the September 2010 quarter, with basic cable subscriber numbers increasing by 4,212,
   digital subscribers increasing by 9,771 and broadband subscribers increasing by 4,000 from 2Q 2010.


BUSINESS COMMENTARY (9 MONTHS TO SEPTEMBER 2010)
Financial Performance
   EBITDA was 5.3% higher compared to the pcp. This was primarily due to higher revenue following increases in subscriber
   numbers across all the businesses. TBC generated revenue of NT$5,151.3 million, up 4.0% on the pcp.
   The overall EBITDA margin of 62.3% was higher than pcp (61.5%).


Operations
   TBC has performed well year to date, with its market leading broadband and digital TV services driving significant increases
   in multi-product sales. Broadband subscribers increased by 9.5% on pcp to 150,382 due to continued marketing efforts.
   Digital subscribers increased by 123.1% on pcp to 45,956 due to the successful up-selling of the new digital product (which
   was launched in March 2009). In addition, basic cable subscriber numbers reached 734,875, representing an increase of
   1.8% on pcp.
   Digital TV is a key aspect of TBC’s next growth phase. Digital TV currently represents only 6.3% of total basic Cable TV,
   implying substantial growth opportunities via successful up-selling of digital TV products to basic Cable TV subscribers.


Outlook
   TBC continues to demonstrate strong operational performance and will continue to focus on enhancing its digital TV and
   broadband products to build the subscriber base and deliver stronger margins.




m^db=QO ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=
Disposal of Canadian Aged Care (CAC)
     Date of initial acquisition              27 Nov 2005                 On 24 March 2010, Leisureworld Senior Care Corporation
                                                                          (Leisureworld) successfully completed the initial public offering of CAC.
     Cost of acquisition                      S$164.9 million
                                                                          MIIF has to date received approximately CAD60.1 million (90% of the
     Proceeds of disposal                     S$91.2 million              total IPO proceeds). The payment of the remaining proceeds of
     Distributions since Acquisition          S$73.4 million              approximately CAD7.1 million 18 has been deferred for a period of
                                                                          12 months (23 March 2011) to cover any indemnification obligations.
                                                                          This deferred amount comprises a cash portion and common shares
                                                                          representing a 2.6% economic interest in Leisureworld as mentioned
                                                                          below.

                                                                          Leisureworld acquired 95.2% of the ownership interests in CAC from
                                                                          Macquarie Power and Infrastructure Income Fund (MPT) and
                                                                          Macquarie Group Limited (MGL). The remaining 4.8% of common
                                                                          shares were retained by MPT and MGL to satisfy an over-allotment
                                                                          option that was granted to the underwriters for a period of 30 days
                                                                          from the date of closing of the initial public offering. On 24 April 2010,
                                                                          the over-allotment option was not exercised by the underwriters and
                                                                          as a result, MPT and MGL will retain the common shares for a
                                                                          minimum period of 180 days. Accordingly, MIIF will continue to hold a
                                                                          2.6% economic interest in Leisureworld by way of total return swaps
                                                                          with MGL and MPT will hold the remaining 2.2%.




NU
 =This is based on c.0.5 million of retained shares at a price of CAD10.25 per share (as at 30 September 2010) and cash balances of c.CAD1.7 million. The final
      payment to MIIF will depend on the share price realised and any indemnification obligations up to 23 March 2011.

                                                                    MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED                           ==ö======m^db=QP
OUTLOOK




MIIF’s outlook for the balance of 2010 is positive. Operationally, its portfolio is expected to continue performing well despite the
one-off impact of the Asian Games on HNE’s traffic numbers in the fourth quarter. All of MIIF’s core Asian infrastructure
businesses are forecast to deliver revenue and EBITDA growth year on year. In addition, the aggregated level of gearing across
the invested portfolio is low at 56 per cent 19 as at 30 September 2010.


All of MIIF’s investments are currently located in Asia and MIIF will continue to focus on identifying attractive acquisition
opportunities in the region. With its significant cash balance, MIIF is well positioned to capitalise on these opportunities should
they arise in the course of the year. In addition, MIIF has the ability to pursue options such as share buy-backs or the payment
of a special dividend.




19
     Weighted average gearing of CXP, HNE and TBC excluding Miaoli Wind as its equity value is zero.


                                                                   MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED   ==ö======m^db=QQ=
CONFIRMATION OF THE BOARD PURSUANT TO RULE 705(5) OF
THE LISTING MANUAL




On behalf of the Board of Directors of Macquarie International Infrastructure Fund Limited, we, the undersigned hereby confirm
to the best of our knowledge that nothing has come to the attention of the Board of Directors of the Company which may
render the financial statements for the year to date 30 September 2010 to be false or misleading in any material aspect.

On behalf of the Board of Directors




 John Stuart Hugh Roberts                                                 Heng Chiang Meng
 Chairman                                                                 Deputy Chairman
 Sydney                                                                   Singapore
 3 November 2010                                                          3 November 2010




m^db=QR ====ö======MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LIMITED=

								
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