GTC China
Company ProfileReal Estate
Overview PresenceOverview
Established in August 2005
Headquarters in Beijing, PRC
Sectors: residential and commercial
•Shenyang
• Dalian•Beijing Sec o s: es de d co e c
• Hangzhou•Changzhou
•Chengdu
•Xi’an
Strategy Expected GDP Growth in China (%)
Target 2nd and 3rd tier cities
Develop according to local demand
Current focus on residential first steps in retail
2008E 2009E 2010E
HSBC 9.2 7.8 8.9
M St l 9 0 5 5 8 0Current focus on residential, first steps in retail
Projects are developed in partnership with local
developers
Morgan Stanley 9.0 5.5 8.0
Goldman Sachs 8.9 6.0 9.0
* Reports as of January, 2009
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Existing ProjectsReal Estate
Project GTC S
Residential Area 2 Residential Units Commercial Area
2Total Area
2Project Share (m2) Residential Units (m2) (m2)
Qili Xiangdi(Shenyang) 50% 176,635 1,922 2,756 179,391
Palm Garden(Shenyang) 50% 470,048 3,577 23,500 493,548
Suzy(Shenyang) 50% 562,000 6,762 41,092 603,092
Olympic Garden(Xian) 50% 843,155 7,885 13,609 856,764
City Dream(Changzhou) 45% 500,568 4,916 66,000 566,568(Changzhou)
Galleria Chengdu 75% - - 35,974 35,974
Hangzhou 50% 100,389 850 9,000 109,389
Dalian 100% 112,000 1,100 100,000 212,000
Total 2,764,795 27,012 291,931 3,056,726
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* Figures do not include parking space of 272,075 m2 in total
Residential Units Under ConstructionReal Estate
City Project Beginning of Construction
% of Completion2
Total Number of Residential
Completed and under
Construction
Number of Residential
Number of Units Handed-
Number of Units Sold in Construction Completion Units Construction
Units Units Sold over Q1 09
Shenyang
Qili Xiangdi Q3 2005 100% 1,922 1,922 1,855 1,769 1
Palm Garden Q4 2006 41% 3 577 1 070 568 232 2Shenyang Palm Garden Q4 2006 41% 3,577 1,070 568 232 2
Suzy Q2 2008 16% 6,762 1,109 427 - 125
Xi'an Olympic Garden Q4 2006 28% 7,885 3,135 2,769 420 94
Changzhou City Dream Q4 2008 11% 4,916 308 161 - 69
Total 25,062 7,544 5,780 2,421 291
Notes:1) Figures above are as of March 31 ,20092) Estimated according to actual costs divided by estimated total costs, except for Qili Xiangdi
Advances from customers –EUR 67mn
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Qili Xiangdi Palm Garden Suzy Olympic Garden City Dream
Expanding Commercial Sector Real Estate
Strong demand due to rising middle class
population and GDP growth
Galleria Chengdu
population and GDP growth
Large commercial area under construction
(292 000m2)(292,000m2)
Plans to expand to other cities in tiers 2 & 3
Expected compression of high yields in tier
2 & 3 citiesModern shopping center
Capitalizing on experience in CEE regionpp g
Total estimated investment - EUR 70mn
Total NRA - 36,000m2
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Financial Services
Financial Services - KFSFinancial Services
Overview Ownership structure
Total assets 31.3.09 - EUR1.7 bnPortfolio 31.3.09 - EUR1.18 bn (31.12.08: EUR 1.25 bn)Value of last transaction - EUR 320 mn (March 2009)
96%
Kardan NV
KFSTBIH established in 1998 to benefit from• pension reforms• low insurance penetrationPension AUM December 2008: EUR763mn (31.12.07: EUR 90% 40%
KFS
Vienna Insurance Group (Wiener)
60%743 mn)Pension 1.82 mn members (31.12.07: 1.71 mn)Insurance premiums 2008 EUR 224 mn: 2007, EUR105 mn3;
TBIF TBIH
Banking & Lending Insurance & Pension
TBIF established in 2001 to benefit from• low credit penetration• high growth retail lending and asset managementProvides banking, leasing, consumer finance, mortgage and
Financial performance1,2
mn 2006
asset management services
Notes:
73 6157
70201
-4128
-23Revenues Results
EUR
m 20072008Q1-09
29
Notes:1) Kardan NV consolidated IFRS (segment note) 2) Profit from operations before unallocated expenses (segment note)
TBIF
Financial InstitutionsFinancial Services
(EUR mn) Russia Ukraine Romania Bulgaria
Based on Financial Statements for March 31,2009
Name Sovcom Bank VAB TBI TBI
Holding (%) 65% 49% 100% 100%
TBIF equity investment & loans 62 71 71 49TBIF equity investment & loans 62 71 71 49
Profit & Loss Q1-09
Revenues* 23 15 6 6
N t P fit (L ) (12) (4) (1) 1Net Profit (Loss) (12) (4) (1) 1
Equity 55 69 30 14
Total assets 563 656 183 146
Equity/ Total Assets ratio 10% 11% 16% 9%
PIATRA NEAMT
BAIA MARE
BISTRITA
SUCEAVASATU MARE
ZALAU
TG MURES
IASI
BACAUCLUJ
ORADEA REGHIN
BOTOSANI
VASLUI
BARLAD
SIGHETU MARMATIEIRADAUTI
FALTICENI
DOROHOI
PASCANI
ROMAN
MOINESTI
Presence as of 31.12.08
151 branches 169 b h133 branches
P i 930161 branches
P i
TIMISOARA GALATI
RAMNICU VALCEA
FOCSANI
ARAD
BUZAU
ALBA IULIA
BRAILA
SLATINA
GIURGIU
TURNU SEVERIN
TARGOVISTE
TG. JIU
SF. GHEORGHE
DEVA
CONSTANTA
CRAIOVA
BUCURESTI
PLOIESTI
PITESTI
BRASOV
SIBIU
ALEXANDRIA
RESITASLOBOZIA
NAVODARI
MANGALIA
MEDGIDIA
TULCEA
CALARASI
CAMPULUNG
CAMPINA
MOTRU
ONESTITECUCI
31
702 POS 169 branches Presence in 930 merchants
Presence in over 4,000 merchants
* Includes net interest income, net commission and operating income
Credit PortfolioFinancial Services
EUR mn
Business Lines Countries
EUR mn1 207 1,207
1,400
1,600
1,400
1,600
EUR mn1,207 1,207
1,000
1,200
1,000
1,200
600
800
600
800
200
400
200
400
0
Mar
-06
Jun-
06
Sep-
06
Dec
-06
Mar
-07
Jun-
07
Sep-
07
Dec
-07
Mar
-08
Jun-
08
Sep-
08
Dec
-08
Mar
-09
Bulgaria Romania Ukraine Russia
0
Mar
-06
Jun-
06
Sep-
06
Dec
-06
Mar
-07
Jun-
07
Sep-
07
Dec
-07
Mar
-08
Jun-
08
Sep-
08
Dec
-08
Mar
-09
Banking Consumer finance Leasing Mortgage gBanking Consumer finance Leasing Mortgage
32
TBIF company data reflecting 100% of each subsidiary
Lending Margins and NPLFinancial Services
Lending Rates Cost of Funding
40% 40%
20%
30%
40%
20%
30%
40% Leasing Romania Leasing Bulgaria Credit Romania
Credit Bulgaria Mortgages Bulgaria Bank Ukraine
Bank Russia Leasing Ukraine
0%
10%
%
0%
10%
20%
NPL* Average NPL Q1 2009 Breakdown
Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09
6.9%5 6%
3%4%5%6%
2.4% 0.3%
5.6%
Consumer Finance
Leasing Mortgage Banking0%1%2%
Q1-08 Q2-08 Q3-08 Q4-08 Q1-09
33
* 90 days overdue Banking includes VAB Bank and SCB consumer finance
Liquidity Analysis Financial Services
(EUR mn) Russia Ukraine Romania Bulgaria
A f 31 3 09 Inflow Outflow Inflow Outflow Inflow Outflow Inflow OutflowAs of 31.3.09 (Portfolio) (Loans1) (Portfolio) (Loans1) (Portfolio) (Loans1) (Portfolio) (Loans1)
2009 206 - 166 21 63 41 78 33
2010 58 - 138 108 40 31 22 39
2011 onwards 65 44 278 84 50 34 37 43
Total 329 44 582 213 153 107 137 115
Excess cash flow2 285 369 47 22
Cash & S-T investments 179 57 6 14
Available resources 464 426 53 36
Deposits3 431 367 - -
Notes Over 90% of deposits are secured by Government (deposits increased in Q1 09)Moody’s credit rating – B3
Moody’s credit rating – B3
Notes:1) From 3rd parties excluding shareholders and Central Bank where applicable
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1) From 3 parties, excluding shareholders and Central Bank, where applicable2) Before deposits3) Most of the deposits mature in 2009, includes promissory note and funding from Central Bank.
TBIH
Pension ActivitiesFinancial Services
Bulgaria Ukraine CroatiaAssets Under Management
Name Doverie VAB Erste743 763
831800
EUR mn
Members31.3.09(‘000)
1,289 137 229 600
AUM 31.3.09 (EUR mn)
414 2 405 400
Profit (loss) Q1-09(EUR mn)
0.8 - 0.3200
Market share 31.12.08(%)
34% NA 11%-
31.12.07 31.12.08 31.3.09
Others (Ukraine Georgia) Croatia Bulgaria
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Others (Ukraine, Georgia) Croatia Bulgaria
Insurance ActivitiesFinancial Services
Turkey Ukraine GeorgiaPremiums - Current Activities
Name RaySigorta
UIG + VAB
GPIH + IRAO
250
EUR mn
Ray (Turkey) 224
Premiumsin 2008(EUR mn)
25 8 13
150
200 VAB, UIG (Ukraine)
GPIH, Irao (Georgia)
Presence 9 branches 158 POS 21 POS
100
105
Profit in Q1-09(EUR mn)
0.2 0.1 0.8
0
5046
Market share 31.12.08(%)
2.5% 5.5% 34% * Pro-forma figures for acquired companies in 2007 as if were acquired on January 1, 2007
02007* 2008 Q1-09
37
Infrastructure
Tahal - Overview Infrastructure
Focusing on water, sewage and environment for over 50 years
430 high quality engineers working in 30 counties430 high quality engineers working in 30 counties
Projects backed by local and international financing
Major clients: governments, public utilities, water agencies
Major Operations
Tahal Group International BV
100%100%Activities: Activities:Tahal Group Assets BV Tahal Group BV (Projects)
100%100%
100% 72%91%87%
Activities:- Investment- B.O.T.- B.O.O.
Activities:- Design- Consulting- Turn key
Eko-Wark
Via Maris * Tahal RomaniaL St Petersburg
Milgam TCEKWIG
Task
100% 100%50%28%
39
g
* Pending transfer; Currently under * Pending transfer; Currently under TahalTahal Group B.V. (Projects)Group B.V. (Projects)
Selected ProjectsInfrastructure
Country Description Type Scope * Backlog* Share Country Description Type (EUR mn) (EUR mn) (%)
Ghana Rehabilitation and expansion of water supply systems in the South and North of Kpong Turnkey 56 54 100
Angola Design and building of a 400 km water supply systems in capital city Luanda Turnkey 37 36 100
S bi Design, construction and operation of water treatment plant T k 20 15 100Serbia g , p pfor the city of Belgrade Turnkey 20 15 100
BotswanaFeasibility study and planning of project designed to build an infrastructure for pumping water from Zambezi River and Turnkey 8 6 100transferring them to dry areas of Northern Botswana
Russia
Following the completion of the design stage of the Yuzhnaja project, Tahal is now performing the equipment Turnkey 17 0 1 100Russia supply stage of the project; which is the Neiva River water treatment plant, feeding the city of St. Petersburg
Turnkey 17 0.1 100
40
* As of March 31, 2009
Expecting Higher RevenuesInfrastructure
Projects Segment - Revenues & Backlog
250
EUR mn
150
200
189
235 233100
150
6582
20
50
200
2007 2008 Q1-09
Revenues Backlog (end of period)
41
Selected AssetsInfrastructure
Company Description TypeInvestment
Value* Share (%)(EUR mn) (%)
KWIG (China) Concessions (20 years) to operate and maintain 6 operational WWTPs. Capacity: 198,000 tons/day (increase to 292,000). Concession 34 80
30 year Operation of WS and WWTP in Dazhou, 100 thousand m3/Day seawater desalination (increase up to 300 thousand m3/Day) . 20 thousand m3/Day Wastewater treatment (increase up to 100 thousand m3/Day)
B.O.O 91
C t ti d 25 O ti f Vi M i tVia Maris (Israel) Construction and 25 year Operation of Via Maris seawaterdesalination plant. 30 million m3/year seawater desalination. B.O.O 13 27.9
Milgam (Israel) Management and operation of urban water networks and collection for local authorities Services 13 87for local authorities
Task (Turkey) 35 year concession to manage, operate and maintain municipal water and sewage networks of Gulluk Concession 8 50
29 year concession to Construction and operation of the wastewater Treatment Facility and the wastewater main collectorin Dilovasi Industrialists’ Foundation
B.O.T 37.5
42
* Funds invested as of March 31, 2009
Kardan Israel
Israel – Kardan Israel Ltd
Overview Ownership structure
Automotive Real EstateCommunications & Technology Kardan NV
• UMI - Israeli distributor of General Motors
• Office
• Residential
• RR Satellite Communications
• Teledata Networks
74%
Kardan Israel
• DVT - Avis Israel • ConstructionLtd
• Unicell
Financial performance1,2
Listed on the Tel-Aviv Stock Exchange
Consolidated assets as per 31.3.09: EUR 539mn (31 12 2008 EUR 257 ) 31 32 30
48
UR
mn
200620072008
(31.12.2008 EUR 257mn)
Notes:1) Kardan NV consolidated IFRS (segment note) 2) Profit from operations before unallocated expenses, excludes real estate activities of Kardan Israel (segment note)
3114
3210
302 7
Revenues Results
EU Q1-09
44
Local presence in attractive sectors
UMI
Leading car importer and distributer in Israel
Israeli Activities
Revenues
2 107 2,299
Exclusive distributor for GM Group brand names:
“Chevrolet”, “Buick”, “Cadillac”, “Chevy
T k ” “O l” d “I ” ILS
mn
2,107 2,299
453
2007 2008 Q1-09
Trucks”, “Opel” and “Isuzu”
GM holds a direct stake of 10% in UMIQ
Strong distribution chain and maintenance network:
18 selling points and 60 service points & garages Operating Income, Net Income and Dividend
Ownership of its: Headquarters offices, Central
garage, Pre Delivery Inspection center, 4172 182LS
mn
showrooms, Logistic center and 14 selling points
2395 108
2940 40 20
2007 2008 Q1 09
I
45
2007 2008 Q1-09Operating Income Net Income Dividend
Kardan Real EstateIsraeli Activities
Involved in several real estate projects in Israel
including:including:
– Residential– Office
Purchased 50% in El-Har Engineering and
Construction company
Equity (including Shareholders loans) amounted
to ILS 254mn as of March 31, 2009
46
RRSatIsraeli Activities
Leading provider of end-to-end content Revenues
management and distribution network
Operating in a USD 15bn fast growing TV79U
SD m
n
and radio broadcasting market
Coverage of 95% of populated regions
43 5979
22
2006 2007 2008 Q1-09worldwide
As of June 1, 2009 RR Sat was traded at a
Q
Net Income
value of USD 183mn
912 13
USD
mn
93
2006 2007 2008 Q1-09
47
Kardan NV - Company Highlights
Emerging Markets Player
DiversificationGeographical & Segmental
No Oversized Projects
Far Maturities ofHigh Liquidity
Far Maturities of Bonds Low Leverage
Attractive Market Attractive O t iti
Proven Value Value OpportunitiesCreation
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Disclaimer
This presentation has been prepared on behalf of Kardan N.V. solely for information purposes. It is not an investmentd i ff li it ti f th h l f fi i l i t t Whil bl h badvice or an offer or solicitation for the purchase or sale of any financial instrument. While reasonable care has been
taken to ensure that the information contained herein is not untrue or misleading at the date of the presentation, KardanN.V. makes no representation that it is accurate or complete. The information contained herein is subject to changewithout notice. Neither Kardan N.V. nor any of its officers or employees accepts any liability for any direct or
ti l l i i f f thi t ti it t t C i ht d d t b i ht t ticonsequential loss arising from any use of this presentation or its contents. Copyright and database rights protectionexist in this presentation and it may not be reproduced, distributed or published by any person for any purpose withoutthe prior express consent of Kardan N.V. All rights are reserved.
Claude Debussylaan 30, Vinoly Building, 13th floory , y g,NL - 1082 MD Amsterdam, The NetherlandsT.+31 (0)20 305 0010 / F.+31 (0)20 305 0011www.kardan.com
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