ASX Announcement - National Completes Sale of BNZ Investment Management - 31 January 2006

The National today announced the completion of the sale of BNZ Investment Management Limited to Assure New Zealand Limited, a wholly owned subsidiary of AXA Asia Pacific Holdings Limited.

The sale was subject to certain conditions.  These conditions have been satisfied and completion occurred on terms consistent with the original sale announcement on 30 November 2005.

A key element to the transaction is a new arrangement between Bank of New Zealand and Assure, under which Bank of New Zealand will distribute Assure's managed fund products to the Bank's retail customers.

The sale price is commercial in confidence, but is not material to the National Group's operations.

Transitional services will be provided by Bank of New Zealand in respect of the BNZ Investment Management operations to assist in the smooth transition of ownership of the business.  These transitional services will be provided at cost and are expected to be in place for up to 12 months.

For further information:

Brandon Phillips
Group Manager, External Relations
03 8641 3857 work
0419 369 058 mobile

Kim Lovely
External Relations Manager
03 8641 4982 work
0406 035 243 mobile

Hany Messieh
Head of Investor Relations
03 8641 2312 work
0414 446 876 mobile