Airport Authority Hong Kong Priced US$3 Billion Multi-Tranche<br>Regulation S/Rule 144A Senior Notes Offering with Green Tranche

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(HONG KONG, 6 January 2023, 1500hrs) – Airport Authority Hong Kong (AAHK) announces that it has successfully priced a US$3 billion multi-tranche senior notes offering (the Notes) in Reg S / Rule 144A format. The multi-tranche offering comprises of:

• US$500 million 4.875% senior notes due 2026 (the 3-year tranche)
• US$1 billion 4.750% senior green notes due 2028 (the 5-year green tranche)
• US$700 million 4.875% senior notes due 2030 (the 7-year tranche)
• US$800 million 4.875% senior notes due 2033 (the 10-year tranche).

Despite interest rate has increased substantially since AAHK’s last USD bonds issued in January 2022, AAHK managed to achieve a weighted average cost of 4.911%. The Notes were oversubscribed by more than eight-times which enabled AAHK to price the Notes well below the initial price guidance.

The Notes were well-received by a diverse group of both conventional and green investors with the green tranche receiving encouraging demand from global green investors which accounted for 49.35% of final allocation.

More than US$25 billion or 1,325 orders were received across various tranches of the offering from professional and institutional investors including sovereign wealth funds, asset managers, corporations, banks and insurance companies across Asia, Europe and the United States participated in the transaction, which was the largest orderbook out of all USD bond issuances by AAHK.

This is the second time AAHK issued green bonds, which demonstrates AAHK’s commitment to making Hong Kong International Airport (HKIA) one of the world’s greenest airports, and support to HKSAR Government’s policy to promote the development of sustainable finance and to develop Hong Kong as an international sustainable finance hub.

Jack So, Chairman of AAHK said, “AAHK’s USD bond offering has received overwhelming responses from global investors, which is a testament to the solid credit profile of AAHK. The relaxation of travel restrictions has generated significant recovery of passenger traffic at HKIA in the past few months. With the commissioning of the new third runway on time and within budget in 2022, together with other enhanced airport facilities, we are ready to welcome global passengers again.”

The proceeds from the 3-year, 7-year and 10-year tranches will be used to fund AAHK's capital expenditure including the capital expenditure of the Three-runway System project (3RS) and for general corporate purposes. Meanwhile, the proceeds from the 5-year green tranche will be used to finance or refinance the eligible green projects undertaken under the Airport Authority Sustainable Finance Framework (the Framework). The issuance and use of proceeds of the 5-year green tranche and eligible green projects are governed by the Framework published in January 2022, with a second party opinion provided by Sustainalytics. The 5-year green tranche has also received the Green Finance Certificate (pre-issuance stage) from the Hong Kong Quality Assurance Agency. Details of the Framework can be found at https://www.hongkongairport.com/en/sustainability/sustainable-finance.page.

The Notes are expected to be issued on 12 January 2023, subject to the satisfaction of certain conditions precedent and are expected to be listed on The Stock Exchange of Hong Kong Limited.

The Notes are expected to be rated “AA+” by S&P.

The Joint Global Coordinators, Joint Bookrunners and Joint Lead Managers are BofA Securities, HSBC, J.P. Morgan, Standard Chartered Bank and UBS; and the Joint Bookrunners and Joint Lead Managers are ANZ, Bank of China, Barclays, Citigroup, DBS Bank Ltd., Goldman Sachs (Asia) L.L.C. and Morgan Stanley.

Summary of investors responses and pricing of the Notes:

UST: US Treasury Rate

Important Notice

This release is not for distribution, directly or indirectly, in or into the United States (including its territories and possessions, any State of the United States and the District of Columbia). This release does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The securities mentioned herein have not been, and will not be, registered under the Securities Act.

Such securities may not be offered or sold in the United States or to, or for the account or benefit of, US persons (as such term is defined in Regulation S under the Securities Act) except pursuant to an exemption from the registration requirements of the Securities Act. There will be no public offer of securities in the United States.

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