May 1 (Reuters) - Australia and New Zealand Banking Group Ltd ANZ.AX :
* TOUGH RETAIL BANKING ENVIRONMENT WILL BE A REALITY FOR FORESEEABLE FUTURE
* WHILE PERFORMANCE THIS HALF WAS SOLID, THERE ARE HEADWINDS FACING SECTOR AND WE ARE TAKING APPROPRIATE ACTION
* MAJOR CONCERN IN NEW ZEALAND REMAINS IMPACT OF PROPOSED CAPITAL CHANGES ON BROADER ECONOMY
* RETAIL BANKING IN AUSTRALIA TO REMAIN UNDER PRESSURE FOR FORESEEABLE FUTURE
* IS IN BETTER POSITION TO MANAGE ANY CHANGE IN NZ CAPITAL PROPOSAL GIVEN TRANSFORMATION & NUMBER OF OPTIONS AVAILABLE IF CIRCUMSTANCES REQUIRE
* INSTITUTIONAL BANKING PERFORMING WELL & POSITIONED FOR POSITIVE EARNINGS DIVERSIFICATION, WHICH WILL PARTIALLY OFFSET HEADWINDS IN OTHER PARTS
* NZ PERFORMING WELL BUT STARTING TO SHOW SIMILAR CHARACTERISTICS WITH AUSTRALIAN MARKET DUE TO STRONG COMPETITION& SLOWING AUCKLAND HOUSING MARKET
* AUSTRALIA RETAIL BANKING TO FACE SUBDUED CREDIT GROWTH, INTENSE COMPETITION & INCREASED COMPLIANCE COSTS IMPACTING EARNINGS IN FORESEEABLE FUTURE