Investor Presentaiton

Long-term vision: keeping the future in focus A strong and resilient structure for a purpose-led company Delivering on the promises we made in 2018: setting ourselves up for long-term strength and delivery for customers and environment • • Creation of new financing structure marks conclusion of period of work to embed public interest in Anglian Water which began in 2018 Articles of Association change in 2019 set the agenda for others to follow New structure will reduce gearing in Anglian Water Services, enabling us to retain strong credit ratings and borrow at competitive rates to finance investments for the long-term benefit of our customers and our region The Board of Anglian Water, in conjunction with its pension fund-backed shareholders (First State Investments, Canada Pension Plan Investment Board, IFM Investors, Dalmore Capital and GLIL Infrastructure), is announcing a series of financial and corporate initiatives to improve transparency, trust and customer confidence. Anglian Water will: Improve transparency and clarity of its financial structures It will significantly speed up the removal of its Cayman Islands subsidiary. It will repay an inter-company loan to simplify the presentation of its accounts (particularly around real dividends), aiming to complete this by the end of this Financial Year. Place public interest at the heart of the business It will work with Ofwat on proposals to ensure it can be held to account for acting in the public interest. Make an additional investment commitment to 2020 It will invest an extra £65m in resilience schemes not included in the company's original plan, by 2020. This will improve the region's ability to deal with drought and flooding and will be paid for through a reduction in dividends to shareholders. Reduce dividends and borrowings through to 2025 It will reduce dividends through to 2025, resulting in a significant reduction in the company's level of debt and gearing. Investor Presentation 20 Anglian Water announcement, March 2018 love every drop anglianwater

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