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

October 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: Market Capitalization:

~$1.5 Billion

Enterprise Value:

~$5.0 Billion

Dividend Frequency:

Monthly

Annualized Dividend Per Share:

$1.335 CDN

Dividend Yield:

~5.5%

10 year Dividend Growth Rate

~5%

2 year Dividend Growth Rate

7.7%

COMPANY SNAPSHOT

TSX: ENF

ENF is a growing player in the Canadian Energy sector. We are designed and managed for strength and stability.

As at June 30, 2013.

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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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RECENT DEVELOPMENTS Significant Acquisitions

Benefits of Acquisitions

• Underpinned by long-term, fixed price contracts
• Supported dividend increases
• Increased scale and diversification of asset
• Reinforced the Fund’s low risk value proposition
• Increased liquidity and access to capital markets
• Continued strategic alignment with Enbridge Inc.

Acquired assets fit well with our value proposition.

Acquisition Year Facility Location Gross Capacity Acquisition Cost

2011 Ontario Wind Ontario 190 MW Talbot Wind Ontario 99 MW Sarnia Solar Ontario 80 MW

$1.2 B

2012 Greenwich Wind Ontario 99 MW Amherstburg Solar Ontario 15 MW Tilbury Solar Ontario 5 MW Hardisty Contract Storage Alberta 11 million barrels

$1.2 B

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Bakken Expansion Project supported by strong supply and demand fundamentals and low risk contract structure.

RECENT DEVELOPMENTS Organic Growth Bakken Expansion Project

– In-service Q1 2013 – On time and on budget – Capital cost ~ $190 M – 145,000 bpd of initial capacity – Low cost expansion potential – Take or pay contracts – Pass through of operating costs

Bakken Expansion Pipeline

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ASSET PORTFOLIO

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

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

SOURCES OF 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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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%

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Commercial arrangements support stability of cashflow.

Facility Gross Generating Capacity

• Avg. Remaining

Contract Length

Ontario Wind 190 MW 15 Years Talbot 99 MW 18 Years Greenwich 99 MW 18 Years Magrath 30 MW 11 Years Chin Chute 30 MW 4 Years SunBridge 11 MW 9 Years Sarnia 80 MW 16 years Amherstburg 15 MW 18 Years Tilbury 5 MW 17 Years NRGreen Waste Heat 20 MW 15 Years

TOTAL 579 MW

~15 Years

• Wtg. Average
• Power Price Risk – Eliminated through long-term, fixed price 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 Amherstburg Solar

GREEN POWER Renewable Generation Facilities

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LIQUIDS TRANSPORTATION & STORAGE Saskatchewan System

Bakken Expansion Pipeline

Assets Capacity (kbpd)

Saskatchewan Gathering 255 Weyburn System 47 Virden System 37 Westspur System 255 Bakken Expansion Pipeline 145 Operational Storage 445 kbbls

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

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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 Westspur System Fee for Service1

• downside protection

NEB Bakken Expansion Pipeline Long Term Take or Pay NEB

Bakken Expansion Pipeline

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

Regional Infrastructure

Oil Sands Hardisty

Stonefell Cheecham Athabasca Edmonton Kirby Lake

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

Western Canadian Crude Oil 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: Canadian Association of Crude Oil Producers (CAPP) – Crude Oil Forecast, Markets & Pipelines (June 2012)

Contract Storage at Hardisty

50% 21% 29%

Hardisty Contract Terminal Hardisty Caverns 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 Inc. Hardisty Storage Caverns Fully Contracted (take-or-pay) ~8 years + additional 15 years with Enbridge Inc.

LIQUIDS TRANSPORTATION & STORAGE Hardisty Contract Storage

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1,425 – 1,528 Btu/cf 1,020 – 1,200 Btu/cf

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.

970 – 1,005 Btu/cf 1,100 - 1,200 Btu/cf

ACE hub

ASLP

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1,425 – 1,528 Btu/cf 1,020 – 1,200 Btu/cf Very Rich Gas: > 1,400 Btu/cf Rich Gas: 1,050 < 1,400 Btu/cf Lean Gas: < 1,050 Btu/cf 970 – 1,005 Btu/cf 1,100 - 1,200 Btu/cf

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

The pipeline is well positioned for the future given its geographic position and unique ability to cost effectively transport liquids rich natural gas.

16 ACE hub

ASLP

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LOW RISK BUSINESS MODEL

• 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

Designed and Managed to Provide Stable and Predictable Cash Flows

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LOW RISK BUSINESS MODEL Financial Policies

• Target Fund (EIF) Payout: ~ 80%

– After reserving for contingencies and debt amortization – Smoothed dividend payout at EIFH

• Appropriate Use of Leverage

– Target Leverage approximately 50%

• Focus on Financial Flexibility

– Enhanced access to capital – Maintenance of strong credit ratings: BBB(H) & Baa2

• Avoid/Minimize Financial Risk

– Negligible exposure to market price and counterparty credit risk

Financial policies are consistent with the Fund’s low risk value proposition.

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Market Price Risk*

~ 1.0% 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

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

Cash Available for Distribution (CAFD) CAD ($ million)

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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 $51B 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

Share Price* SHARE PRICE PERFORMANCE

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

Initial Public Offering

June 2003

Purchases 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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100 200 300 400 500 600 2003 2006 2009 2012

ENF Peer Avg. TOTAL SHAREHOLDER RETURN (10 Year)

TOTAL RETURN VS. PEERS

Strong relative performance in periods of market volatility.

ENF CAGR – 16.6% Peer CAGR – 17.4%

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GROWING LIQUIDITY

Acquisition and project related financing has increased trading liquidity and access to capital.

* Issued by Enbridge Income Fund

25 50 75 100 125 $0.0 $0.4 $0.8 $1.2 $1.6 $2.0 2010 Q2'13

• Ave. Daily Trading Volume (,000’s of shares)

Market Capitalization (CAD $Billion)

Publicly Traded Common Shares

$0.0 $0.4 $0.8 $1.2 $1.6 $2.0 2010 Q2'13 Outstanding Debt (CAD $Billion)

Outstanding Term Debt *

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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 2013 2012 Cash Available for Distribution 71.0 52.2 Preferred Distributions (29.1) (19.6) Common Distributions (26.6) (17.8) Total Payout 79% 72% ENBRIDGE INCOME FUND HOLDINGS INC. 2013 2012 Common Unit Interest in Enbridge Income Fund 85.6% 80.7% Distribution Income 22.8 14.4 Income Tax (1.1) (0.1) Net Income 21.8 14.3 Dividends Declared 18.9 12.3 2nd Quarter – Dividend per Share $0.402 $0.363

CAD $millions, unless otherwise noted

2013 SECOND 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 40.8% Enbridge Inc. - Common Units 9,500,000 6.9% Preferred Units 72,465,750 52.3%

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 (net) 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 & Commodity Sensitive Take or Pay & Fixed Fee N/A 2023 Hardisty Terminals & Caverns 11 million barrels Take or Pay & Fixed 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 (based on cost of service) 2015

Revenue generation models reinforce strength and stability of cashflows.

*Some contracts have inflation escalators.

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GREEN POWER - SUPPLEMENTAL

Green Power Generation Capacity

400 800 1200 2010 2011 2012 Actual Target GWh 200 400 600 2010 2011 2012 Solar Wind Other GWh

$0 $5 $10 $15 $20 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Revenue ($ Million)

Wind Assets (Forecast) Solar Assets (Forecast) 2012 Actuals (Wind + Solar)

Wind and Solar - 2012 Forecast and Actual Revenue Profile

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ALLIANCE PIPELINE- SUPPLEMENTAL

WCSB NGL Supply Outlook

3 6 9 12 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Montney Duvernay Bakken

Gas Supply Outlook

Bcf/d

Source: Enbridge Inc.

Comparative cost of gas delivery to Dawn Ontario

KBPD

Rich Gas Alliance Trading Pool Aux Sable Chicago Gas

Alliance Receipt Zone Contracted by Producer Alliance Transmission Zone Contracted by Long-haul Shipper

Aux Sable provides competitive gas netback with Alberta market Aux Sable shares NGL value

Producer Value

Alliance Value Proposition

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Volumetrically Economically Thermodynamically

ALLIANCE PIPELINE - SUPPLEMENTAL

Source: Alberta Energy; Aux Sable

Maximize Value

Changing Value Drivers… Alliance Strategy

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ALLIANCE NEW SERVICES & TOLLING OPTIONS POST – 2015

Volume based tolls converted to Energy based tolls @ a fixed 1,100 Btu/cf

Transfer Pool (ATP) to Chicago:

$0.64 / MMBtu (no indexing) $0.58 / MMBtu floor (plus indexing)

Source: Alliance Pipeline

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SASKATCHEWAN - SUPPLEMENTAL

Rail vs. Pipeline cost differentials Enbridge New Market Access Initiatives

• St. James

• St. John

+$5-7 $8-10/bbl +$5-7 Additional cost for rail ($/bbl) Rail costs ($/bbl)

($30) ($20) ($10) $0 $10 Oct-10 Apr-11 Oct-11 Apr-12 Oct-12 Apr-13 ($/bbl)

WTI - Bakken Crude Oil Differential

($50) ($40) ($30) ($20) ($10) $0 $10 Oct-10 Apr-11 Oct-11 Apr-12 Oct-12 Apr-13 ($/bbl)

Bakken - LLS Crude Oil Differential

Preference to Rail Band of Indifference Preference to Pipe

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ENF/ENB Investment Differentiators

ENF ENB

Payout ~80% (CashFlow) 60-70% (Earnings) Yield ~5.5% ~3.0% Growth 1-2% 10% Development Risk Low Moderate Leverage ~50% 60-64%