Martin Guptill edged to the keeper two balls later and departed for 30 and Daryl Tuffey, Brent Arnel and Tim Southee were swept away in the space of four deliveries.
Katich was handed two reprieves when he was dropped on 68 by wicketkeeper Brendon McCullum and Darryl Tuffey, but eventually fell 21 runs short runs short of a century when he was trapped lbw by Arnel.
Australia skipper Ricky Ponting won the toss and elected to bat first and was soon out in the middle when opener Phillip Hughes - a replacement for the injured Shane Watson - become Arnel's first Test wicket when he edged a catch to Ross Taylor at slip.