WACC Input Assumptions

As at 30 June 2009, the Cost of Capital Report uses the following input assumptions:

Risk free rate of return (five year bond)
Rf
5.5%
Marginal tax rate on debt
Tc
30.0%
Market risk premium
Rm-DmTm-Rf(1-Ti)
7.5%
Investor tax rate on equity
Ti
30.0%
Minimum asset beta adjustment
0.30