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Brookfield Infrastructure Partners
Investor Meeting
September 29, 2016
In an unpredictable world…
2
Brookfield Infrastructure is an investment that provides
Security and Growth
How have we done since last year?
3
FFO/unit is up 12%
‘Same store’ FFO growth of 11%
Distributions per unit increased by 11%
~$1 billion of capital deployed
Last year we highlighted why it was a good time to invest
in Brookfield Infrastructure
4
1. High quality transportation assets
2. Our global business development initiatives with a focus on Brazil
3. Predictable and stable cash flows
4. Building value through diversification
1. Driving growth within our Transport segment
5
Invested $350 million in Australian port business (Asciano)
Deployed over $200 million to expand our toll roads, rail and ports
New investment of $170 million, adding over 350 km of toll roads
2. Leading the charge into Brazil
6
Building a large-scale electrical transmission utility
Acquiring a leading natural gas transmission system
Investing over $1 billion
3. Continuing to deliver predictable and growing cash flows
7
$117
$197
$392
$462
$682 $724
$808
$928
2009 2010 2011 2012 2013 2014 2015 2016
34% CAGR
FFO (in $US millions)
15%
1) Reflects annualized Q2’16 YTD results
1
And exceeding distribution targets
8
1) Represents total quarterly increase of distribution per unit, including the recently announced distribution increase
2) Annualized 2016 quarterly distribution per unit
$0.71 $0.73
$0.88
$1.00
$1.15
$1.28
$1.41
$1.55
2009 2010 2011 2012 2013 2014 2015 2016
12% CAGR
11%1
2
4. We further diversified our geographic and sector footprint
9
India
North
America
South
America
Australia
Europe
Airports
Water
Utilities
Transport
Energy Comm
Infra
Peru
We also had a number of other wins
10
Increased ownership in NGPL and repositioned for growth
Increased our capital backlog by 54%
Recycled $1 billion of capital
Raised $10 billion of third party capital to invest alongside BIP
Further reasons to invest in Brookfield Infrastructure
11
• High Quality Assets – Spotlight on Energy and Communications
Infrastructure
Brian Baker, Managing Partner, Energy
• Execution of Contrarian Investment Strategy
Ben Vaughan, Chief Operating Officer
• A Simple Business with High Quality Cash Flows
Bahir Manios, Chief Financial Officer
• Pulling it all together – Why BIP is an investment for ‘all seasons’
Sam Pollock, Chief Executive Officer
AGENDA
High Quality Assets:
Spotlight on Energy and
Communications Infrastructure
Brian Baker, Managing Partner, Energy
September 2016
We own a diverse portfolio of core infrastructure assets
across five continents
13
Ports ● Railroads ● Utilities ● Toll roads ● Natural gas transmission ● Telecom towers
Provision of essential services • Consistent customer demand profile
Uniquely positioned and difficult
to replicate
• Strong barriers to entry
• High customer retention
High quality cash flows
• Long-term customer contracts
• Inflation escalation
• Minimal maintenance capital
Significant organic growth potential • Large, rapidly evolving sectors
Today we will focus on our Energy and
Communications Infrastructure operating segments…
14
…and their attractive investment attributes
Energy: Diversified portfolio of high quality assets
15
Systems that provide
energy transmission, distribution and storage services
~15,000 km of natural gas transmission lines
> 600 bcf of natural gas storage
23 district energy plants servicing ~14,500 customers
U.S., Canada and Australia
Gas sector transformation underway…
16
Uniquely positioned assets
to capture upside from evolving demand flows
Northwest Pipeline Alliance
Northern
Border
Piceance
San Juan
Marcellus / Utica
REX
Illinois
Barnett &
Bossier
DJ Basin
Louisiana
South Texas
Permian
Offshore
Anadarko
Arkoma
East
Texas U.S. Gas Storage
CDN Gas Storage
NGPL
…driving significant organic growth opportunities
17
$80 million Chicago Market Expansion
$210 million Gulf Coast Reversal
Permian and South Texas opportunities
Gulf Coast Storage Expansion
Our district energy business is a core utility-like asset…
18
Operating in 10 N. American
and Australian CBDs through
23 facilities
Average contract duration of
~20 years
Inflation indexation and full
cost pass-through
Irreplaceable assets with
captive customers
…and our business is heating up
19
Fragmented market with over 1,000 systems across our core markets
Currently evaluating 12 opportunities representing ~$2 billion in capital
Expanding outside N. America
• Completed first Australian tuck-ins
• Europe on the radar
Energy assets continue to trade at strong multiples
20
Source: Company announcements, Press releases, Equity research
Acquirer Asset Seller EV EV/EBITDA
Colonial Coriance KKR €480 M 15.2x
AMP/Infracapital Adven EQT €500 M 16.5x
Wolf Infrastructure 50% Access Pipeline Devon $2.2 B 11.0x
Southern Company 50% Southern
NG Pipeline Kinder Morgan $4.2 B 10.5x
Trans Canada Columbia Gas/Gulf Columbia Pipeline
Group $13.0 B 18.0x
Consolidated Edison 50% NE Gas Storage Crestwood $2.0 B 13.4x
CheungKong/ Power 65% Husky Midstream Husky Energy $1.3 B 13.0x
District
Energy
Transmission,
Distribution
& Storage
Our energy assets should be highly valued based on their
strong investment characteristics and growth profile
21
Enterprise value: $3.2 – $3.7 billion
EBITDA1 Characteristics Multiple
District Energy 18% • Long term contracts
• Core utility-like asset with growth
15x – 17x
Transmission,
Distribution &
Storage
82% • Strong contracted cash flow
• Visibility to 35%+ EBITDA growth
by 2020
12x – 14x
Total 100%
($255 M) 12.5x – 14.5x
1) Represents annualized YTD Q2 2016 results adjusted for the sale of our European gas distribution business and the recently completed acquisition of Niska Gas Storage
Communications Infrastructure: Leading portfolio of assets
22
Provides essential services and critical infrastructure
to the broadcasting and telecom sectors
> 7,000 active tower sites
> 26,000 points of presence
5,000 km high speed fibre network
Largest independent operator in France
Recent developments continue to highlight the
essential role of telecom infrastructure…
23
Renewed customer contracts – average life of 9.5 years
High customer retention in broadcast tenders
Over 1,400 new points of presence since March 2014
MNO tower disposals and densification will drive growth
…with our Fibre-to-the-Home business under development
24
Potential €13-14 billion of investment required over next 10 years
Focus on medium to low-density regions
Neutral carrier operating model over a 25-year exclusive
concession period
Leveraging TDF’s operating expertise, MNO relationships and
existing 5,000 km fibre backbone
Significant opportunity to build out a fibre network in France
TowerCos have been transacting in a range of
16x – 18x EBITDA
25
Source: Company announcements, Press releases, Equity research, Infranews
1) Market Cap at IPO
Acquirer Tower Asset EV EV/EBITDA
3i Wireless Infrastructure Group ~£300 M ~16.0x
Spin Off Telesites ~$2,500 M1 ~18.0x
Macquarie (MIRA) Crown Castle Australia ~A$2,000 M ~16.0x
Initial Public Offering INWIT €2,200 M1 16.6x
Initial Public Offering Cellnex €3,200 M1 15.7x
Abertis Wind Towers (Galata) €770 M 16.0x
Our telecom assets should be valued based on their
high quality cash flows and growth potential
26
Enterprise value: $1.4 – $1.6 billion
EBITDA1 Characteristics Multiple
Communications
Infrastructure
$88 M • Long-term contracts
• Strong customer retention
• High growth potential
16x – 18x
1) Represents annualized YTD Q2 2016 results
We estimate a net asset value to BIP of ~$3 billion for our existing
Energy and Communications Infrastructure assets
27
1) Consensus street NAV for BIP’s energy and communications businesses is currently a combined $2.3 billion based on most recent reports
2) Calculated with reference to the mid-point EVs on prior pages being $5.0 billion in aggregate ($3.5 billion and $1.5 billion for energy and communications, respectively) less combined debt of $2.0 billion
~$2.3B1
~$3.0B2
Street consensus NAV Implied NAV
~$700 M
~$2.00
per unit ~$6.70
per unit
~$8.70
per unit
Energy
Where do we go from here?
28
• N. American recapitalizations
• Asset sales from mega-mergers
• Carve-outs
Communications
Infrastructure
• European consolidation
• Looking abroad – India & LatAm
• Fibre-to-the-Home
Execution of a Contrarian
Investment Strategy
Ben Vaughan, Chief Operating Officer
September 2016
We consistently look for opportunities to invest
with a contrarian mindset
30
Recognize that superior returns often require contrarian thinking
Acquire on a value basis with a goal of maximizing results
Does not mean just ‘doing the opposite’
Need to have conviction and well-informed, long-term views
Why is this important?
31
Core element of our approach to value investing that helps us
earn 12-15% returns on a lower risk basis
Surfaces opportunities to transact on a bi-lateral basis
Seek to recycle capital when valuations are high
Our approach
32
• Build long-term views based on institutional knowledge, fundamental
analysis and replacement economics
• Ability to execute is critical!
Capital constraints in sectors/geographies Global footprint
Long-term cyclical trends Experience as owner-operators
Asset repositioning opportunities Active across capital markets
Tools Signals
We have been focused on…
33
S. America and India Out of favour geographies
Energy Sector “Filling up”
N. America to Brazil Reprioritizing utility investments
Reprioritizing utilities from North America to Brazil…
34
• N. American utility return expectations at all-time lows
• Universe of buyers growing
• Limited organic growth leading to consolidation
While at the same time…
• Brazil suffered a negative re-rating (loss of investment grade status)
• Reduced buyer universe and increasing supply of organic growth
Drivers
…to earn outsized returns on a lower risk basis
35
Sold Cross Sound
Cable and Ontario
Transmission
@ mid-single digit real returns
Investing in lower risk natural
gas and electric utilities
in S. America
@ 12-14% conservative real returns
Our Focus
• Recycle capital from fully-valued N. American assets into compelling
high quality assets in Brazil
Brazilian Natural Gas Transmission Utility (NTS)
36
MG
SP RJ
Belo Horizonte
São Paulo
Bolivia
Rio de Janeiro
• 2,000+ km pipeline system
• Backbone energy delivery system
• Meaningful growth potential Offshore/
LNG
Why did this trade make sense?
37
We gave up:
• Depreciating rate base assets with periodic regulatory re-sets and low growth potential
• Single digit future return potential
In exchange for:
• Going-in FFO and AFFO yields > 13%
• Low maintenance capital of ~3% of EBITDA
• Inflation indexed and no periodic regulatory resets
• Opportunities for real growth through future capital investments
Investing in out-of-favour geographies
38
• Large conglomerates in India suffering from over-leverage
• Commodity downcycle impacting economies and currencies
• Overstretched local construction companies
• Outreach program to source attractive assets
• Position ourselves for bi-lateral transactions
Our Focus
Drivers
Secured bi-lateral discussions and acquired
attractive portfolios of toll road assets
39
Gammon, India Rutas de Lima, Peru
• Acquired Gammon March 2016
• 242 km of well-located toll roads
• Roads span regions across India
• Acquired Rutas de Lima June 2016
• 115 km of urban toll roads
• Key arteries of Lima road network
“Filling up” on NGPL
40
• High quality asset undergoing a transition
• Gas flows changing from evolving shale gas sector
• Sub-investment grade capital structure
• Surface attractive growth projects underpinned with long-term contracts
• Reposition to address changes in gas flows and market needs
• Buy-out of minority partners and de-leverage balance sheet
• Strong partnership
Drivers
Our Focus
Execution
41
Brazil • We have been there for over 100 years
• Do not believe political/economic crisis will persist
• Underwriting strong base case returns with upside on re-rating
Peru/India
• Local presence – targeted outreach
• Speed and certainty matter
• Willing to be flexible and creative
NGPL
• Leverage institutional knowledge
− Deep experience in our Energy group
− Presence in Mexico
• Strong conviction in asset quality
A contrarian mindset is key to investing for value
42
“Excuse me…. Excuse me”
BIP – A Simple Business with
High Quality Cash Flows
Bahir Manios, Chief Financial Officer
September 2016
1
44
Leverage Metrics
Investment grade
metrics that are
improving over time
2 3
Impact of rising
rates on business
Not significant
Impact of a
strengthening US$
on payout ratios
Well-hedged from an
FFO and net-equity
perspective
Last year we highlighted the resiliency and strength
of our balance sheet
We had an active year on the financing front
45
Refinanced $2.7 billion of 2016/2017 maturities
Raised C$375 million in Canadian preferred share market
Began deleveraging at NGPL
• Further diversified inflation-linked cash flows
• Executing plan to refinance N. American maturities
Our business is substantially insulated from rising rates
46
Debt is fixed with long-dated maturities
• Average debt-to-maturity of eight years
A significant portion of EBITDA grows with inflation and/or
GDP growth
Our diversification and FX hedging strategy
minimizes our currency exposure
47
Last year we ran scenarios on the impact of currency depreciating
• Showed overall impact to our payout ratio was insignificant
One year later, currencies have stabilized and the R$ has appreciated
by more than 25%
Investor focus currently on GBP (Brexit)
• FX exposure fully hedged
1
Brookfield Infrastructure has many strengths
48
A simple to
understand business
2 3
Strong balance
sheet Generates high
quality earnings
Our business generates high quality earnings
49
Low volatility
• Regulated and contracted nature of cash flows reduce volatility in earnings
High margins
• Provides strong credit support
• Serve as cushion against unforeseen economic downturns
Strong cash conversion
• Low maintenance capital allows for increased distribution levels
Over 90%1 of BIP’s cash flows are regulated or contracted
50
Strong regulatory frameworks
• Established and attractive jurisdictions
• Provide high degree of certainty of long-term returns
• Lower risk of default
Long-term contracts
• Solid counterparties
• Average duration of 12 years
• Irreplaceable assets providing essential services
– Resulting in high re-contracting rates
1) Cash flow profile based on Q2 2016 YTD pre-corporate FFO
80%
Our margins are attractive
51
Utilities
50% Transport
57% Energy
53% Comm Infra
Predominantly fixed cost structure with minimal on-going maintenance
Significant up-front capital requirements to build or replace
Margins across all segments trending upwards
• $2 billion backlog to be commissioned with little change to cost structure
• Inflation indexation and GDP growth allow margins to grow exponentially
Factors contributing to our low maintenance capital requirements
52
A number of our systems are recently constructed
Our assets are mostly comprised of concrete and steel structures that
experience limited wear and tear
Several of our businesses recover capital expenditures through their
regulated frameworks
Our high quality earnings are demonstrated
by the cash we generate
53
Stable results
with high
margins
Low
maintenance
capital
requirements
Strong cash
conversion & =
1) Reflects annualized Q2’16 YTD results
AFFO is the best measure of free cash flow
generated in our business
Cumulative
2010-2015
Net income attributable to partnership $ 1,147
Add back or deduct the following:
Deferred income taxes 57
Mark-to-market gains and losses 39
Depreciation and amortization 2,022
FFO 3,265
Maintenance capital expenditures (644)
AFFO $ 2,621
AFFO and net income are similar but for one key item
54
(in US$ millions, unless otherwise noted)
Depreciation and amortization expense
is different than maintenance capital
Several factors account for these differences…
55
Elected to revalue PP&E annually under IFRS
Generally ascribe purchase price adjustments to PP&E vs. goodwill
Accounting useful life is not always reflective of economic useful life
1. Revaluation
policy
2. Impact of
PPA
3. Economic vs.
Accounting
Useful Life
$570
$100
$190
$100
$180
IFRSDepreciation
AnnualMaintenance
Capex
...and the impact is significant
56
(US$ millions)
1. Arising from our revaluation policy
57
Current Policy
• Revalue annually under capitalized
IFRS using a DCF approach
• Values of S. American transmission business has increased by $700 million to
reflect higher IFRS values
− Driven by inflation indexation, growth in rate base and lower discount rates
− Greater PP&E values → higher depreciation charges
Impact
For the 12 months ended June 30, 2016
$24 M INCREMENTAL
DEPRECIATION
Case Study: South American Transmission
2. Arising from our purchase price
accounting methodology
58
For the 12 months ended June 30, 2016
Current Policy
• Towers were recorded at fair value
using DCF approach
• Limited amounts allocated to goodwill
or indefinite lived intangibles
• Business valued at $2 billion in excess of book
• Allocated excess value to PP&E versus goodwill
Impact
$40 M INCREMENTAL
DEPRECIATION
Case Study: European Telecom
3. Arising from accounting vs. economic useful life assumptions
59
For the 12 months ended June 30, 2016
Current Policy
• Straight line depreciation over
average accounting useful lives
of ~27 years
• Housing developments will long outlast depreciation life
• Network of simple to operate, durable assets
• Once installed, maintenance spend required is minimal
• Any damages in construction phase fully recovered from homebuilders
Maintenance Capex Spend
$32 M INCREMENTAL
DEPRECIATION
Case Study: UK Regulated Distribution
How do we think about finite life concessions?
60
• AFFO does not reflect a capital charge for businesses that are finite
• 25% of our businesses are under concession agreements (not perpetual)
• Should adjust for cash flows that are effectively return of capital, rather than return
on capital
~$40 million (5%) of our LTM AFFO reflects a return of capital
on our concession based businesses
Return
of
capital
Acquisition
cost =
Cumulative AFFO expected over
concession term
AFFO (current year) x
Our track record of cash flow conversion is
strong and consistent
61
2012 2013 2014 2015 20161
Adjusted EBITDA $ 841 $ 1,110 $ 1,142 $ 1,177 $ 1,304
Maintenance Capital (107) (129) (131) (136) (132)
Unlevered net cash flow 734 981 1,011 1,041 1,172
% 87% 88% 89% 88% 90%
Interest, taxes and other (379) (428) (418) (369) (376)
AFFO $ 355 $ 553 $ 593 $ 672 $ 796
1) Reflects annualized Q2’16 YTD results
(in US$ millions, unless otherwise noted)
A Stock for all Seasons
Sam Pollock, Chief Executive Officer
September 2016
Our strategy is to build a business for all investment cycles
63
Provide predictability of
cash flows
Generate growth and inflation
protection &
Let’s do a recap of BIP’s utility-like cash flow characteristics
64
Regulated and contracted cash flows
Minimal volume exposure
Tariff certainty
Risk mitigation through diversification
Here is an illustration of how solid our cash flows are
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
2011 2012 2013 2014 2015
Utilities Transport
Energy Comm Infra
‘Same-store’ constant currency EBITDA
($ millions)
65
Let’s recap how BIP generates attractive growth
66
Inflation indexation embedded in tariffs
Organic growth projects
Strong capability to source new investments
1. Inflation indexation embedded in tariffs
67
70% of EBITDA is indexed to inflation
Contributes on average ~3% annual growth to our results
2. Organic growth projects
68
We’ve consistently expanded our businesses by
re-investing capital into growth initiatives
2010 2016 ‒ 2017
• Growth capital invested as
% of invested capital 5% 15% ‒ 20%
• Growth capital run-rate $200M $900M
We have high visibility on future organic growth
69
Today, we have $2 billion of approved, ongoing projects in our backlog
Doesn’t include almost $2 billion of initiatives currently in our pipeline:
• Smart meter roll-out
• Brazilian toll road infrastructure investment program (PIL)
• Fibre-to-the-home opportunities
• Gas storage expansion in Texas
• Future expansion at NGPL
3. Strong capability to source new investments
70
We’ve built our business through strategic acquisitions…
0
2
4
6
8
10
12
14
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
1 2 3 4 5
6
13
10
8
1
Number of
transactions
2008 2009 – 2010 2011 – 2012 2013 – 2014 2015 – 2016
BIP spin out
Total Equity Capital Deployed
$0.1B
$2.0B
$1.6B
$1.2B
$1.7B
Office locations
Regions with operations
…and by applying BIP’s international market presence
and access to capital
71
Over 160 professionals
Many reasons to invest in BIP now
72
Compelling relative value
Discount to intrinsic value
Entering period of significant growth
Great value relative to peers
73
Distribution Yield
4.1%
3.4%
2011 2016
Distribution Growth
Distribution Yield
$0.71
$1.55
2009 2016E
12% CAGR
4.8% 4.6%
2011 2016
Distribution Growth
$6.91
$8.78
2009 2016E
4% CAGR
S&P 500 Utilities Index BIP
BIP is trading below our historic multiples
74
(in US$ millions, unless otherwise noted) 2012 2013 2014 2015 20161
AFFO $ 355 $ 553 $ 593 $ 672 $ 796
Return of Capital (9) (35) (36) (40) (45)
$ 346 $ 518 $ 557 $ 632 $ 751
Units Issued 287.3 310.0 315.2 337.4 345.3
Per share $1.20 $1.67 $1.77 $1.87 $2.17
Price-to-AFFO
Volume weighted average price 17.9x 14.9x 14.8x 15.0x 12.3x
Period end 19.5x 15.7x 15.8x 13.5x 14.7x
1) Reflects annualized Q2’16 YTD results
~30% discount to intrinsic value
75
Street Consensus NAV Implied NAV
Utilities (2014) Transport (2015) Energy and Comm Infra (2016)
$0.7B
$1.0B
$2.1B
Entering period of significant growth
76
Organic projects
on the go
• Brazilian toll roads
• Brazilian rail
• N.A. container terminal
• Utilities
Commissioning
• 2017-2019
• 2017
• 2016-2017
• 2016-2019
Recent acquisitions
• Peruvian toll roads
• N.A. gas storage
• Australian ports
Closed
• June
• July
• August
~$1 billion of pending
investments (2017)
• Brazilian electricity transmission
• Brazilian natural gas transmission
The opportunity for capital appreciation is two-fold
77
1) Based on closing price on NYSE on Sept 23, 2016 and 2016 annualized distribution
2) Based on projected annualized 2016 quarterly dividend
3) Assumptions constitute forward-looking statements and information.
4) Assuming no change in current dividend yield
Current unit price1 $34
Yield1 4.6%
BIP Re-rating
Infrastructure Returns 8.0% – 9.0%
Less: Organic growth 5.0%
Cash yield range 3.0% – 4.0%
5-year Roll-forward Reflecting Growth Rates
Target3 Actual3
Distribution increase 5.0% - 9.0% 12.0%
Current Yield1 4.6%
Trading yields 3.0% 3.5% 4.0%
Implied unit price2,3 $52 $45 $39
Dividend Growth Rates 5.0% 7.0% 9.0% 12.0%
5-yr Projected Price3,4 $43 $48 $52 $60
BIP: A Stock for all Seasons
78
Security of cash flows
Generates growth and
provides inflation
protection
Considerable
opportunity for capital
appreciation
TODAY
$34
2008*
$11
*Closing price at Brookfield Investor Day
Disclaimer
79
FORWARD-LOOKING STATEMENTS
This presentation contains forward-looking information within the meaning of Canadian provincial securities laws and other “forward looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, Section 21E of the U.S. Securities Exchange Act of 1934, as amended, “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities regulations. The words “growing”, “target”, “growth”, “expect”, “will”, “strategy”, “return”, “backlog”, “appreciation”, “potential”, “expand”, “believe”, “continue”, “increase”, “may”, “should”, “opportunity”, derivations thereof and other expressions which are predictions of or indicate future events, trends or prospects and which do not relate to historical matters identify the above mentioned and other forward-looking statements. Forward-looking statements in this presentation include statements regarding participation in a growing asset class, targeting of dividend yield and growth in FFO and distributions, our ability to identify, acquire and integrate new acquisition opportunities, completion of and performance of new investments, return objectives, potential demand for additional capacity at our operations, further investment in each of our business segments, volume increases in certain of our businesses due to customer demands and economic recovery, growth in the sectors in which we operate, targeted equity returns, upside potential from development projects, availability of funding for growth projects with debt and internally generated cash flow, future growth prospects including large-scale development and expansion projects, distribution payout ratio, ability to finance our backlog of growth projects, future capital appreciation, distribution policy and objectives and other statements with respect to our beliefs, outlooks, plans, expectations and intentions. Although Brookfield Infrastructure believes that these forward-looking statements and information are based upon reasonable assumptions and expectations, the reader should not place undue reliance on them, or any other forward looking statements or information in this presentation. The future performance and prospects of Brookfield Infrastructure are subject to a number of known and unknown risks and uncertainties. Factors that could cause actual results of Brookfield Infrastructure to differ materially from those contemplated or implied by the statements in this presentation include general economic and market conditions in the jurisdictions in which we operate, regulatory developments and changes in inflation rates in the U.S. and elsewhere, the fact that success of Brookfield Infrastructure is dependent on market demand for an infrastructure company, which is unknown, the availability of equity and debt financing, foreign currency risk, the outcome and timing of various regulatory, legal and contractual issues, the competitive business environment in the industries in which we operate, the competitive market for acquisitions and other growth opportunities, our ability to satisfy conditions precedent required to complete acquisitions (including without limitation those mentioned in this presentation), our ability to integrate acquisitions into existing operations and the future performance of those acquisitions, our ability to complete large capital expansion projects on time and within budget, favourable commodity prices, weakening of demand for products and services in the markets for the commodities that underpin demand for our infrastructure, ability to negotiate favourable take-or-pay contractual terms, the continued operation of large capital projects by mining and industrial customers of our businesses which themselves rely on access to capital and continued favourable commodity prices and other risks and factors described in the documents filed by Brookfield Infrastructure Partners L.P. with the securities regulators in Canada and the United States including under “Risk Factors” in its most recent Annual Report on Form 20-F. Except as required by law, Brookfield Infrastructure Partners undertakes no obligation to publicly update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise.
IMPORTANT NOTE REGARDING NON-IFRS FINANCIAL MEASURES
To measure performance we focus on net income as well as funds from operations (“FFO”) and invested capital, which we refer to throughout this presentation. We define FFO as net income plus depreciation, depletion and amortization, deferred taxes and certain other items. We define invested capital as partnership capital, adding back non-cash income statement items net of maintenance capital expenditures, accumulated other comprehensive income and certain other items. FFO and invested capital are not calculated in accordance with, and do not have any standardized meaning prescribed by International Financial Reporting Standards (“IFRS”). FFO and invested capital are therefore unlikely to be comparable to similar measures presented by other issuers. FFO and invested capital have limitations as analytical tools. See the Reconciliation of Non-IFRS Financial Measures section of the most recent Annual Report on Form 20-F and the Partnership’s Supplemental Information report for a more fulsome discussion including a reconciliation to the most directly comparable IFRS measures.
