HOLDINGS INC. Designed and Managed for Strength and Stability - - PowerPoint PPT Presentation

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ENBRIDGE INCOME FUND HOLDINGS INC.

Designed and Managed for Strength and Stability

Investment Community Presentation

July 2013

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FORWARD LOOKING STATEMENTS

This presentation includes certain forward looking information (“FLI”) to provide Enbridge Income Fund Holdings Inc. (“EIFH”) shareholders and potential investors with information about EIFH and its investee, Enbridge Income Fund (the “Fund”), management's assessment of their future plans and operations, which may not be appropriate for other

• purposes. FLI is typically identified by words such as "anticipate", "expect", "project", "estimate", "forecast", "plan",

"intend", "target", "believe" and similar words suggesting future outcomes or statements regarding an outlook. Although we believe that the FLI in this presentation is reasonable based on the information available today and the processes used to prepare it, such statements are not guarantees of future performance and you are cautioned against placing undue reliance on FLI. FLI inherently involves a variety of assumptions, known and unknown risks, uncertainties and other factors which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied in our FLI and the FLI relating to the Fund. Material assumptions include: expected supply and demand for crude oil, natural gas and natural gas liquids; prices of crude oil, natural gas and natural gas liquids; expected exchange rates; inflation; interest rates; availability and price of labour and pipeline construction materials; operational reliability; customer project approvals; maintenance of support and regulatory approvals for the Fund’s projects; anticipated in-service dates and weather. Our FLI is subject to risks and uncertainties pertaining to operating performance, regulatory parameters, project approval and support, construction schedules, weather, economic conditions, exchange rates, interest rates and commodity prices, including but not limited to those discussed more extensively in our filings and the filings of the Fund with Canadian securities regulators. The impact of any one risk, uncertainty or factor on any particular FLI is not determinable with certainty as these are interdependent and the future course of action of EIFH and the Fund depends

• n management's assessment of all information available at the relevant time. Except to the extent required by law,

neither EIFH nor the Fund assumes any obligation to publicly update or revise any FLI, whether as a result of new information, future events or otherwise. All FLI in this presentation is expressly qualified in its entirety by these cautionary statements. This presentation may make reference to certain financial measures, such as cash available for distribution, which are not recognized under GAAP. Reconciliations to the most closely related GAAP measures are included in the MD&A filings and/or Supplementary Financial Information available on our website or in the slides that accompany this presentation, if applicable.

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Ticker Symbol: Enterprise Value:

~$5.0 Billion

Public Market Capitalization:

~$1.4 Billion

Dividend Frequency:

Monthly

Annualized Dividend Per Share:

$1.335 CDN

Dividend Yield:

~5.5%

10 year Dividend/Distribution Growth Rate

~5%

COMPANY SNAPSHOT

TSX: ENF

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Green Power Generation Liquids Transportation & Storage Natural Gas Transmission

80.1% 19.9%

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VALUE PROPOSITION

 Low Risk Business Model  Diversified Asset Base  High Payout of Predictable Cash Flows  Strong Sponsor

Our Fund is designed and managed to provide steady and predictable cashflow in all market conditions.

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Our cashflow has become increasingly diversified through acquisitions and organic growth.

CASHFLOW GENERATION

2010 CAFD1

1 Cashflow from operating assets before working capital adjustments and corporate expenses, less maintenance capex, plus distributions from Alliance and NRGreen 2 Cash Available for Distribution (CAFD) before Corporate expenses, pro forma the acquisition of crude oil storage and renewable energy assets acquired in December 2012 as it these assets were owned by the Fund from January 1, 2012. CAFD is a non-GAAP measure.

Current CAFD2 Green Power Generation Liquids Transportation & Storage Natural Gas Transmission

20% 34% 46%

> $120 MM

> $350 MM

62% 34% 4%

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THREE STRONG BUSINESSES

We have built a diversified portfolio of low risk energy infrastructure assets across our three business lines.

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GREEN POWER Renewable Generation Facilities

Ontario Assets

One of Canada’s largest suppliers of environmentally friendly electric power.

Western Assets

Whitecourt (under construction)

Asset Location Interest

Greenwich Wind Ontario 100% Ontario Wind Ontario 100% Talbot Wind Ontario 100% Magrath Wind Alberta 33% Chin Chute Wind Alberta 33% Sunbridge Wind Saskatchewan 50% Sarnia Solar Ontario 100% Amherstburg Solar Ontario 100% Tilbury Solar Ontario 100% NRGreen Waste Heat Saskatchewan 50%

Asset Location Interest

Greenwich Wind Ontario 100% Ontario Wind Ontario 100% Talbot Wind Ontario 100% Magrath Wind Alberta 33% Chin Chute Wind Alberta 33% Sunbridge Wind Saskatchewan 50% Sarnia Solar Ontario 100% Amherstburg Solar Ontario 100% Tilbury Solar Ontario 100% NRGreen Waste Heat Saskatchewan 50%

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Commercial arrangements support stability of cashflow.

Facility Gross Generating Capacity

• Avg. Remaining

Contract Length

Ontario Wind 190 MW 17 Years Talbot 99 MW 19 Years Greenwich 99 MW 19 Years Magrath 30 MW 12 Years Chin Chute 30 MW 5 Years SunBridge 11 MW 10 Years Sarnia 80 MW 18 years Amherstburg 15 MW 19 Years Tilbury 5 MW 18 Years NRGreen Waste Heat 20 MW 15 Years

TOTAL 534MW

~17 Years

• Wtg. Average
• Power Price Risk – Eliminated through long-term Power Purchase Agreements
• Demand Risk – Virtually eliminated through long-term Power Purchase Agreements
• Energy Supply Risk – Substantially mitigated through diversification of assets by

location and resource

Greenwich Wind Project Amherstberg

GREEN POWER Renewable Generation Facilities

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LIQUIDS TRANSPORTATION & STORAGE Saskatchewan System

ENB Mainline

Assets Capacity (kbpd)

Saskatchewan Gathering 255 Weyburn System 47 Virden System 37 Bakken Expansion Program 145 Westspur System 255 Saskatchewan Tankage Facilities 450

Our crude oil gathering system provides a vital link to U.S. markets for producers in Saskatchewan, Manitoba and North Dakota.

Bakken Expansion Program

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LIQUIDS TRANSPORTATION & STORAGE Saskatchewan System

Asset Current Toll Methodology Regulator

Saskatchewan Gathering Cost of Service Saskatchewan Weyburn System Market Based Saskatchewan Virden System Market Based Manitoba Bakken Expansion Program Long Term Take or Pay NEB Westspur System Fee for Service1

• downside protection

NEB

Bakken Expansion Program

Bakken production is driving new investment and long-term growth. Toll Structures provide stability and predictability.

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Total Bakken Production North Dakota, Saskatchewan, & Manitoba

0.0 0.2 0.4 0.6 0.8 1.0 1.2 1.4 2012 2013 2014 2015 2016 2017 2018 2019 2020 MMbpd

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Our contract storage assets are located at a key crude oil pipeline hub in Western Canada.

LIQUIDS TRANSPORTATION & STORAGE Hardisty Contract Storage

Asset Capacity Description Hardisty Contract Terminals 7.5 million barrels

• 18 crude oil storage tanks
• 1 condensate storage tank

Hardisty Storage Caverns 3.5 million barrels

• 4 underground caverns
• 2 above ground crude oil tanks

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Virtually all of the cashflow generated by these facilities is locked-in through long-term fixed price contracts.

CAPP Western Canadian Production Forecast

MMbpd 1 2 3 4 5 2012 2013 2014 2015 2016 2017 2018 2019 2020

Oil Sands Conventional Heavy

• Conv. Light and Medium

Pentanes/Condensate Source: CAPP – Crude Oil Forecast, Markets & Pipelines (June 2012)

Contract Storage at Hardisty

50% 21% 29%

Hardisty Contract Terminal (HCT) Hardisty Caverns (HCLP) Other Asset Contract Structure Remaining Contract Life Hardisty Contract Terminals Fully Contracted (take-or-pay), 80% of revenue 2-9 years + additional 15 years with Enbridge Hardisty Storage Caverns Fully Contracted (take-or-pay) ~8 years + additional 15 years with Enbridge

LIQUIDS TRANSPORTATION & STORAGE Hardisty Contract Storage

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NATURAL GAS TRANSMISSION Alliance Canada

Very Rich Gas: > 1,400 Btu/cf Rich Gas: 1,050 < 1,400 Btu/cf Lean Gas: < 1,050 Btu/cf

Alliance Canada has consistently delivered close to 1.6 bcf/day

• f liquids-rich gas to premium markets in the U.S.

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Approximately ~99% of Alliance’s capacity is fully contracted through December 2015.

Annual Historical Throughput

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NATURAL GAS TRANSMISSION Alliance Canada

Competitive Strengths:

• Footprint in growing rich-gas areas
• Unique ability to transport liquids rich-gas
• Reduced field capital requirements for Producers
• Access to premium liquids markets
• Cost competitive gas transportation to key delivery

points

Alliance’s geographic positioning and unique ability to cost effectively deliver liquids rich natural gas positions it well for the future.

Very Rich Gas: > 1,400 Btu/cf Rich Gas: 1,050 < 1,400 Btu/cf Lean Gas: < 1,050 Btu/cf

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LOW RISK BUSINESS MODEL

• Solid long-term supply and demand fundamentals
• Strong contractual support
• Disciplined growth
• Prudent financial policies

– Fund Distribution Payout ~80% – Leverage ~50% – Minimal Market Price Risk*

*Commodity price, foreign exchange and interest rate exposure are substantially mitigated.

Our business model is predicated on long-lived energy transportation and generation assets supported by low risk tolling constructs.

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$0 $50 $100 $150 $200 $250 1

CAD ($ Million)

Market Price Risk*

< 1.5% of CAFD Cashflow at Risk (CFaR**)

* Foreign Exchange, Interest Rate & Commodity as at December 31, 2012 **CFaR – Measures the maximum cashflow loss that could result from adverse market price movements over a 12 month period within 97.5% confidence level (1.96 std. deviations) under normal market conditions .

Counterparty Credit Risk

Receivable Outstanding by Counterparty Credit Quality

Investment Grade Security Received

All financial risks are substantially mitigated. The Fund has minimal exposure to foreign exchange, interest rate and commodity prices

LOW RISK BUSINESS MODEL Conservative Financial Risk Management

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STRONG SPONSORSHIP

• Economic and Strategic Alignment

– Enbridge Inc. retains a 67.3% economic interest in the Company

• Operational Expertise

– Asset operations – Risk management systems and processes – Project construction management

• Infrastructure Development and Investment Expertise

– Enbridge is one of North America’s most successful developer of energy infrastructure – Over $49B in consolidated assets; $28B in secured projects (2012 – 2016)

ENF benefits from the ownership and sponsorship of Enbridge Inc.

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• Optimize operations and value of existing assets

– Maximize revenue, improve efficiencies , minimize costs

• Grow organically

– Extend or expand existing assets

• Acquire complimentary infrastructure

– From third party; from Enbridge Inc. – Target energy infrastructure with risk-return characteristics in keeping with the Fund’s current profile

• Maintain diversified asset base over long-term

STRATEGIES

The Fund is executing on all of its strategies.

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DIVIDEND GROWTH

Consistent execution has generated reliable dividends and steady growth.

$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013e

Dividends/Distributions to Investors

Per Share

Taxable Distribution paid by Enbridge Income Fund prior to restructuring in December 2010 Eligible Dividend paid by Enbridge Income Fund Holdings Inc. post restructuring

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$0 $5 $10 $15 $20 $25 $30

Jun-03 Oct-03 Feb-04 Jun-04 Oct-04 Feb-05 Jun-05 Oct-05 Feb-06 Jun-06 Oct-06 Feb-07 Jun-07 Oct-07 Feb-08 Jun-08 Oct-08 Jan-09 May-09 Sep-09 Jan-10 May-10 Sep-10 Jan-11 May-11 Sep-11 Jan-12 May-12 Sep-12 Jan-13 May-13

Share Price* HISTORICAL PERFORMANCE

Adherence to our value proposition and consistent execution have driven strong performance in the market.

Initial Public Offering

June 2003

Purchased wind power assets from Enbridge Inc.

October 2006

Completion of corporate restructuring & Saskatchewan System Phase II Expansion

December 2010

Acquisition of renewable power assets

October 2011

Acquisition of crude storage & renewable power assets

December 2012

Completion of BEP

March 2013

* Prices prior to January 2011 reflect the common unit price of Enbridge Income Fund.

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• Solid underlying fundamentals

– Compelling long-term supply and demand drivers

• Strong contractual support

– Cost of service regulatory constructs; long-term contracts with downside protection

• Disciplined growth

– Strict investment criteria

• Prudent financial policies

– Conservative distribution payout and debt leverage – Minimal market price and credit risk

SUMMARY

Designed and managed to for strength and stability. Enbridge Income Fund Holdings Inc. (ENF)

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Q & A

TSX: ENF

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Contact Information:

Teri Majer, Manager Investor Relations Phone: (403) 508-3185 Email: teri.majer@enbridge.com

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APPENDIX

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ENBRIDGE INCOME FUND HOLDINGS INC. 2012 2011 Common Unit Interest in Enbridge Income Fund (Avg.) 80.9% 74.2% Distribution Income 59.8 40.3 Income Tax

• (2.9)

Net Income 59.8 37.3 Dividends Declared 52.8 34.8 Annual Dividend per Share $1.244 $1.166

CAD $millions, unless otherwise noted

ENBRIDGE INCOME FUND 2012 2011 Cash Available for Distribution 195.6 134.3 Preferred Distributions (80.8) (58.8) Common Distributions (73.6) (53.5) Total Payout 79% 84%

2012 FINANCIAL RESULTS

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ENBRIDGE INCOME FUND 2012 2011 Cash Available for Distribution 70.2 56.3 Preferred Distributions (28.5) (19.6) Common Distributions (25.9) (17.8) Total Payout 78% 66% ENBRIDGE INCOME FUND HOLDINGS INC. 2012 2011 Common Unit Interest in Enbridge Income Fund 85.6% 80.7% Distribution Income 22.2 14.4 Income Tax (1.0) (0.1) Net Income 21.2 14.3 Dividends Declared 18.3 12.3 1st Quarter – Dividend per Share $0.334 $0.309

CAD $millions, unless otherwise noted

2013 FIRST QUARTER FINANCIAL RESULTS

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OWNERSHIP STRUCTURE

Through its investment in Enbridge Income Fund Holdings and its common and preferred interest in Enbridge Income Fund, Enbridge Inc. retains a 67.3% economic interest in the Fund.

Enbridge Income Fund Holdings Inc. (ENF)

Outstanding Units Economic Interest Publicly Traded - Common Shares 45,249,000 80.1% Enbridge Inc. - Common Shares 11,242,000 19.9%

Total Outstanding Shares 56,491,000

Enbridge Income Fund*

Outstanding Units Economic Interest ENF - Common Units 56,491,000 40.80% Enbridge Inc. - Common Units 9,500,000 6.86% Preferred Units 72,465,750 52.34%

Total Common & Preferred Units 138,456,750

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CONTRACT PROFILE

Business Segment Throughput Capacity Current Revenue Generation Model* Primary Contract Term Expiry

Green Power 524 MW/Day Fixed Price Power Purchase Agreements (PPA’s) 2017 - 2031 Crude Oil & Liquids Transportation 255,000 barrels/day 145,000 barrels/day Cost of Service & Fixed Fee N/A 2023 Hardisty Terminals & Caverns 11 million barrels Take or Pay “Reservation” Charge (fixed/escalating fee) 2-9 years + Additional 15 years with Enbridge Inc. Gas Transmission 1.6 Bcf/day (1.325 Bcf/day firm service) Take or Pay “Reservation” Charge (based on cost of service) 2015

Revenue generation models reinforce strength and stability of cashflows.

*Some contracts have inflation escalators.

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ALLIANCE TOLLS ARE HIGHLY COMPETITIVE

Average Alberta receipt points to Dawn dry gas basis …even more competitive on a rich gas basis.

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ENF/ENB Investment Differentiators

ENF ENB

Payout ~80% (CashFlow) 60-70% (Earnings) Yield 5% 3% Growth 1-3% 10% Development Risk Low Moderate Leverage ~50% 60-64%