Immobiliare Grande Distribuzione SIIQ S.p.A. · MIL:IGD
Immobiliare Grande Distribuzione SIIQ — IGD SIIQ — Non-Deal Roadshow (2014)
89 slides from Immobiliare Grande Distribuzione SIIQ's roadshow presentation, 2014
Slide 1: Roadshow presentation
Roadshow presentation
Slide 2: Disclaimer
DISCLAIMER This presentation does not constitute an offer or an invitation to subscribe for or purchase any securities. The securities referred to herein have not been registered and will not be registered in the United States under the U.S. Securities Act of 1933, as amended (the “Securities Act”),
Slide 3: Index
3 Index IGD 4 FY2013 Results 13 BP 2014-2016 60
Slide 4: IGD
IGD
Slide 5: IGD overview
IGD Is one of the main player in the Italian real estate sector of the large organized distribution: 5 develops and manages shopping centers across the country and has a significant presence in retail distribution in Romania. Presence throughout the territory, capital strength, processing power, con
Slide 6: SIIQ status from 1 January 2008
Siiq status from 1° January 2008 6 First of all: BEING LISTED ON THE STOCK MARKET (IGD has been listed since 2005) At least 80% of total assets must be rental asset KEY FIGURES At least 80% of total positive components of P&L (excl change in FV) must be rental income N. 1 shareholder: no more than 5
Slide 7: Our Business model
7 Our Business model DIRECT MANAGEMENT of centers A careful merchandising mix, marketing activity adapted to each context and various customer related services, but especially in this economic environment careful attention paid to tenants and their problems. MEDIUM SIZED and EASILY REACHABLE In line
Slide 8: IGD's shareholders
8 IGD’s shareholders COOP ADRIATICA 56,7% UNICOOP TIRRENO 35,1% 43,6% QUANTUM STRATEGIC PARTNERS LTD SCHRODER INVESTMENT Total Free float MANAGEMENT LTD.* FREE FLOAT 3,3% 5,0% 13,1% Source: IGD direct monitoring - updated on 12/02/2014 IGD is listed on the STAR segment of Borsa Italiana Share Capita
Slide 9: Coop world (updated at 31/12/2012)
9 WORLD (updated at 31/12/2012) Share of market: 18.5% (+0.1% vs 2011) Turnover: 13 mld euro Points of sale: 1,470 Employees: 55,800 people Members: 7.9 mn (+2,4% vs 2011) Coop Products: • goods with Coop brand : market share of 27% (sales +12.6% vs 2011) • Coop Salute: 111 points of sale • Coop Voc
Slide 10: Coop world legal entities by region
10 WORLD (updated at 31/12/2012) 9 big legal entities divided in: Veneto, Emilia Romagna, Marche, Abruzzo Toscana, Lazio, Umbria, Campania Lombardia, Sicilia Piemonte Liguria, Piemonte Emilia Romagna, Lombardia, Trentino, Veneto, Friuli Venezia Giulia Emilia Romagna, Puglia, Basilicata Toscana Tosca
Slide 11: Coop associate companies and partnerships
11 (updated at 31/12/2012) Turnover:2.1 mld euro Points of sale: 176 Employees: 8,974 Members: 1,210,000 (+4.68% vs 2011) Associate Companies • Strategic partnership • UNIPOL GRUPPO FINANZIARIO (Insurance & banking) • IGD SIIQ SPA • IPERCOOP SICILIA SPA and SUPERCOOP SICILIA SRL • Diversifications •
Slide 12: Coop associate companies and services
12 (updated at 31/12/2012) Turnover: 1.2 mld euro Point of sale: 110 Employees: 5,131 Members: 919,875 (+2.68% vs 2011) • UNIPOL GRUPPO FINANZIARIO (Insurance & banking) • IGD SIIQ SPA allows you to purchase food online and have them delivered at home (service available only in the area of Rome) off
Slide 13: FY2013 Results
FY2013 Results Vi
Slide 14: Highlights 1/2
14 Highlights 1/2 REVENUES € 127.0 mn •Total revenues (+3.0% vs 31/12/2012) € 120.7 mn •Core business revenues (-2.1% vs 31/12/2012) EBITDA € 82.8 mn •EBITDA (core business) (-3.5% vs 31/12/2012) 68.6% •EBITDA margin (core business) (-1 percentage point) Group Net Profit € 5.0 mn (-55.7% vs 31/12/20
Slide 15: Highlights 2/2
15 Highlights 2/2 € 2.22 NNAV per share (2.31% as at 31/12/2012) Total Portfolio Market Value € 1,891.3 mn (-15.3 € mn vs 31/12/2012) Income related Portfolio Market Value € 1,723.7 mn (-30.9 € mn vs 31/12/2012) FINANCIAL OCCUPANCY at 31/12/2013 •ITALY 97.4% •ROMANIA 84.5%
Slide 16: Economic context
ECONOMIC CONTEXT
Slide 17: The Italian economic context in 2013
17 The Italian economic context in 2013 GDP trend (change %) Consumption trend (change%) Retail investments in Italy High street Shopping centers Retail warehousing 1.0% 1.5% 1.5% 0.6% Factory outlet Supermarkets Other 0.0% 1.0% 0.6% 0.5% 1.3% 3,000 0.5% -0.5% 2,500 0.0% -0.5% -1.5% 2,000 -2.5% -1.0
Slide 18: The Romanian economic context in 2013
18 The Romanian economic context in 2013 GDP trend (change %) Consumption trend (change %) 4.0% 3.5% 3.5% 3.0% 3.0% 2.9% 2.5% 2.9% 2.5% 2.3% 2.1% 2.1% 2.5% 2.0% 1.6% 2.0% 1.5% 1.5% 1.0% 1.0% 0.7% 1.0% 0.5% 0.5% 0.0% 0.0% 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 Data source: sample averages
Slide 19: Economic and financial results
ECONOMIC AND FINANCIAL RESULTS
Slide 20: Consolidated Income Statement
20 Consolidated Income Statement CONSOLIDATED CORE BUSINESS "PORTA A MARE" PROJECT €/000 31/12/2012 31/12/2013 % 31/12/2012 31/12/2013 % 31/12/2012 31/12/2013 % Revenues from freehold properties 107,637 105,653 (1.8)% 107,625 105,556 (1.9)% 12 97 n.a. Revenues from leasehold properties 10,503 10,183
Slide 21: Margins from activities
21 Margins from activities CONSOLIDATED CORE BUSINESS "PORTA A MARE" PROJECT €/000 31/12/2012 31/12/2013 Δ% 31/12/2012 31/12/2013 Δ% 31/12/2012 31/12/2013 Δ% Margin from freehold properties 93,660 91,353 (2.5)% 93,648 91,256 (2.6)% 12 97 n.a. Margin from leasehold properties 1,295 935 (27.8)% 1,295
Slide 22: Revenues
22 Revenues BREAKDOWN OF TOTAL REVENUES BYTYPE TOTAL REVENUES (€/000) OF ASSET 123,276 Total 126,995 revenues 8.3% 0.1% +3.0% 6.260 0.4% 1.2% Core business -2.1% "PORTA A MARE" PROJECT 29.3% 60.7% CORE BUSINESS 123.264 120.735 MALLS HYPERMARKETS CITY OTHER ROMANIA "PORTA A MARE" PROJECT 31/12/2012 3
Slide 23: Direct costs and G&A expenses core business
23 Direct costs and G&A expenses core business DIRECT COSTS CORE BUSINESS (€ 000) 27,749 28,011 Trend of direct costs mainly due to: OTHER DIRECT COSTS • IMU +0.4 € mn (+6.2%) with an increase in +0.9% PROVISIONS calculation coefficients on D8 land registry 18,419 18,314 IMU property tax (ex ICI) ca
Slide 24: Total consolidated Ebitda
Total consolidated Ebitda: € 82.9 mn 24 Ebitda (core business): € 82.8 mn (-3.5%) CONSOLIDATED EBITDA (€ 000) 2,445 284 281 381 85,732 82,903 Ebitda 31/12/2012 Change in core Change in direct Change in trading Change in G&A Ebitda 31/12/2013 business revenues costs activities expenses EBITDA and EBI
Slide 25: Group net profit: € 5.0 mn
25 Group net profit: € 5.0 mn GROUP NET PROFIT (€ 000) NET PROFIT EVOLUTION (€ 000) 2,988 159 11,288 -55.7% 2,641 1,423 2,941 11,288 698 4,998 4,998 31/12/2012 31/12/2013 Group net profit Change in Change in Change in Change in Change in Change in Group net profit 31/12/2012 Ebitda core Ebitda 'Port
Slide 26: Core business Funds From Operations
26 Core business Funds From Operations FFO (€/000) 31/12/2012 31/12/2013 D D% Of which: • –3.0 € mn due to Pre-tax profit 5,763 6,584 821 14.2% decreased Ebitda (decreased net Depreciation and other provisions 1,688 1,446 -243 -14.3% revenues, slightly Change in FV and devaluations 30,594 28,467 -2,
Slide 27: Operating performance
FY 2009 RESULTS OPERATING Bologna PERFORMANCE November 11, 2011
Slide 28: Commercial Highlights
28 Commercial Highlights Footfalls in Italian IGD Shopping Malls (L4L) + 0.9% vs 31/12/2012 Tenants sales in Italian IGD Shopping Malls (L4L) -1.6% vs 31/12/2012 Retailer sales in CNCC malls -2.5% Footfalls in Romanian WINMARKT Shopping -5.4% vs 31/12/2012 Malls (L4L)
Slide 29: The performance of our shopping malls in 2013
29 The performance of our shopping malls in 2013 TENANT SALES AND FOOTFALLS IN OUR SHOPPING CENTERS SALES FOOTFALLS total trend LFL total trend LFL abs. Value ITALY -1.4% -1.6% +0.9% +0.9% 66.2 mn ROMANIA n.p* -5.4% 31.7 mn *not all our tenants have a cash register ITALY Footfalls: +0.9%. Footfalls
Slide 30: Tenant sales and footfalls trend
30 The performance of our shopping malls in 2013 TENANT SALES AND FOOTFALLS TREND (per month) 6.0% 5.4% 4.4% 5.0% 3.6% 4.0% 3.9% 3.6% 3.8% 2.0% 1.1% 1.2% -0.4% 0.0% -0.4% 0.2% -2.1% -1.0% -1.6% -1.0% -2.0% -3.3% -3.1% -2.6% -4.0% -4.3% -3.7% -4.2% -4.4% -6.0% -5.7% -8.0% Tenant sales change Footfall
Slide 31: Hypermarket and supermarket trends in 2013
31 Hypermarket and supermarket trends in 2013 HYPERMARKET/SUPERMARKET SALES IN ITALY total trend LFL total trend LFL total trend LFL total trend LFL supermarkets + -0.8% -1.6% -0.7% -1.5% -0.7% -1.4% -2.1% -6.6% hypermarkets hypermarkets -1.6% -2.7% -1.0% -1.0% -3.0% -3.0% -2.1% -6.6% supermarkets -
Slide 32: Tenants in Italy
32 Tenants in Italy TOP 10 Tenants Product category Turonver impact Contracts TOTAL CONTRACTS Miroglio group clothing 3.7% 34 Malls 1,016 clothing 3.2% 9 Hypermakets 19 Total 1,035 clothing 1.9% 7 clothing 1.7% 19 BRAND BREAKDOWN IN MALLS footwear 1.6% 4 By turnover BBC bricolage 1.4% 1 electronics
Slide 33: Tenants in Romania
33 Tenants in Romania TOTAL CONTRACTS 552 BRAND BREAKDOWN IN MALLS By turnover 29% 46% 25% International brands National brands Local brands
Slide 34: Contracts in Italy and Romania
Contracts in Italy and Romania 34 EXPIRY DATE OF CONTRACTS OF HYPERMARKETS EXPIRY DATE OF CONTRACTS OF HYPERMARKETS AND AND MALLS IN ITALY (% no. Of contracts) MALLS IN ITALY ( % of value) Nr. 19 120% 100.0% 120% 100.0% 100% 100% 80% Nr. 546 80% Nr. 140 53.7% 55.4% 60% 60% Nr. 212 40% 40% Nr. 118 17
Slide 35: Commercial strategies: Italy (1/2)
35 Commercial strategies: Italy (1/2) Ability to understand and react to the ongoing changes in consumption models: new food anchor needs, development of temporary shops, introduction of traditional shops selling typical and food design products, a new second-hand area (both in clothing and in ele
Slide 36: Commercial strategies: Italy (2/2)
36 Commercial strategies: Italy (2/2) Merchandising mix not only stores dedicated to shopping but also personal services (such as medical and dental clinics, fitness centers, spa). This also serves as a balance to the new shopping trends resulting from the spread of e-commerce. Sports event -Esp S
Slide 37: E-commerce
37 E-commerce Change in e-commerce sales by country 2012- Italy is an emerging market in e-commerce even 2016 if something is changing. 2012 2013 2014 2015 2016 Italy 17.0% 16.8% 15.3% 13.5% 12.0% 2013 online sales in Italy: +17% (total estimated UK 13.7% 13.7% 12.2% 10.2% 8.2% US 14.2% 13.4% 11
Slide 38: IGD and new technologies
38 IGD and new technologies LEGEND: CURRENT SITUATION OF NEW TECHNOLOGIES IN IGD 1. Idea 2. Project 3. Implementation 4. Execution Shopping Social network Mobile centers websites applications - All shopping centers have a - 66% of the shopping centers - After completion of the survey, website and wi
Slide 39: Sustainability
39 Sustainability MARCH: ISO14001 environmental certification obtained for 4 shopping centers and for the headquarters APRIL: 3° Sustainability Report presented APRIL: Specialized training on sustainability carried out to 2/3 of IGD’s employees (to be extended to all in 2014) JULY/DECEMBER:
Slide 40: Portfolio
FY 2009 RESULTS PORTFOLIO Bologna November 11, 2011
Slide 41: Italian and Romanian Portfolio
41 Italian and Romanian Portfolio 51 REAL ESTATE UNITS IN 11 ITALIAN REGIONS: 19 shopping malls and retail parks 15 SHOPPING CENTERS + 1 OFFICE 19 hypermarkets and supermarkets BUILDING IN 13 DIFFERENT ROMANIAN 1 city center 4 plots of land for development MEDIUM SIZED CITIES 1 property held for tra
Slide 42: Italian and Romanian portfolio breakdown
42 Italian and Romanian portfolio BREAKDOWN BY TYPE OF IGD’S PORTFOLIO PORTFOLIO BREAKDOWN BY MARKET VALUE GEOGRAPHIC AREA IN ITALY (mkt value) 1.5% 0.3% 9.2% 6.0% 21.6% 28.8% 2.8% 35.5% 28.1% 51.4% 14.7% NORTH EAST NORTH WEST CENTRE SOUTH+ISLANDS HYPERMARKETS/SUPERMARKETS MALLS LANDS OTHER PORTA A
Slide 43: Breakdown of portfolio appraisals
43 Breakdown of portfolio appraisals PROPERTY CATEGORY % PORTFOLIO APPRAISER 13.37% CBRE Hypermarkets and supermarkets 15.20% REAG 28.83% CBRE Shopping malls and retail parks 23.03% REAG City Center 1.47% CBRE 0.33% CBRE Other 0.02% REAG Porta a Mare 6.04% CBRE 1.73% CBRE Development and lands 0.66%
Slide 44: Market Value evolution 1/2
44 Market Value evolution 1/2 € mn Mkt Value Mkt Value 31/12/2012 31/12/2013 LFL Italian portfolio 1,548.95 1,522.49 (malls+hypermarkets+other) City Center Project V. Rizzoli 27.70 27.80 Total income related portfolio in ITALY 1,576.65 1,550.29 -1.67% Total income related portfolio in ROMANIA 177.90
Slide 45: Market Value evolution 2/2
45 Market Value evolution 2/2 ITALIAN Portfolio Change in income related LFL FV (hypermarekts, malls, city center and others): -1.67% of which: • HYPERMARKETS: +1.11% (FV of hypermarket asset class suffered a decrease of about -0.7 € mn due to the reduction of inflation rate hypothesis used in DCF,
Slide 46: Portfolio characteristics
46 Portfolio characteristics ITALY ROMANIA HYPERMARKETS MALLS AVERAGE MALLS Financial occupancy 100.0% 96.2% 97.4% 84.5% Market value as at 31 December 2013 €mn 544.39 971.52 170.00 Compound average yield of total portfolio 6.63% 6.52% 6.44% (gross initial yield) The profit return on HYPERMARKETS (6
Slide 47: Porta a Mare evolution: Piazza Mazzini completed
Porta a Mare evolution: 47 work in sub area Piazza Mazzini completed Retail and Residential Palazzo Orlando (Offices) Work in Piazza Mazzini completed in the second half of 2013 Breakdown of Piazza Mazzini areas (19,208 m² ) Retail area: work in progress for commercialization. Expected opening date
Slide 48: 2013 investments/capex
48 2013 investments/capex 2013 main investments were: Centro d’Abruzzo Restyling and Extension Inside Restyling Extension Mondovì and La Torre Fit out Creation of a new medium sized area in Mondovì Tiburtino shopping center remodeling Creation of a new medium sized area outside Retail Park Chioggia
Slide 49: Focus on Romania
NEXT OPENINGS Spring 2014 – Galati Spring 2014 – Ramnicu Valcea 49 Focus on Romania Autumn 2014 – Piatra neamt Spring 2015 - Tulcea The renovation of the portfolio continues Total investments activated in 2013 equal to about € 4.7 mn Total investments expected in 2014 about € 4.1 mn before shopping
Slide 50: NNAV
50 NNAV NNAV PS (€) 2.31 NNAV FY12 FY13 Market value ow ned properties, lands, direct development initiatives and assets held for trading a 1,906.56 1,891.28 2.23 Investment properties, lands and development initiatives, assets held for trading b 1,905.78 1,890.86 Potential capital gain c=a-b 0.78 0
Slide 51: Financial structure
FY 2009 RESULTS FINANCIAL STRUCTURE Bologna November 11, 2011
Slide 52: Financial Highlights 1/2
52 Financial Highlights 1/2 31/12/2012 31/12/2013 GEARING RATIO 1.38 1.38 LOAN TO VALUE 57.2% 57.4% COST OF DEBT 3.91% 3.94 % INTEREST COVER RATIO 2.00X 1.91X AVERAGE LENGTH OF LONG TERM DEBT (Bond excluded) 10.2 years 8.6 years MID/LONG TERM DEBT RATE 56.3% 75.3%
Slide 53: Financial Highlights 2/2
53 Financial Highlights 2/2 31/12/2012 31/12/2013 HEDGING ON LONG TERM DEBT + BOND 76.1% 79.3% HEDGING ON LONG TERM DEBT 68.1% 75.3% BANKING CONFIDENCE € 273.5 mn € 273.5 mn BANKING CONFIDENCE AVAILABLE € 93.8 mn € 86.6 mn MKT VALUE OF MORTGAGE FREE ASSETS/LANDS € 551.3 mn € 347.7 mn
Slide 54: Financial structure
54 Financial structure NET DEBT COMPOSITION (€ 000) 4,779 8,819 814,681 1,084,887 86,661 187,585 Short term debt Current share of long term Long term debt Potential mall and business Cash&cash equivalents Net debt debt division fees DEBT MATURITY (€ 000) 200,000,000 180,000,000 160,000,000 140,000,0
Slide 55: Net Debt
55 Net Debt NET DEBT CHANGE (€ 000) 4,998 22,277 5,128 34,810 578 17,337 1,089,631 1,084,887 Net debt 31/12/12 Profit for the period Depreciation/ Devaluation/ Change in NWC (net PM Change in other non- Change in fixed/ non-fixed Change in shareholders' Net debt 31/12/13 attributable to Parent Chang
Slide 56: Reclassified balance sheet
56 Reclassified balance sheet SOURCES/USE OF FUNDS (€ 000) FY12 FY13 D D% Fixed assets 1,889,979 1,879,129 -10,850 -0.6% NWC 75,713 71,271 -4,442 -5.9% Other long term liabilities -68,520 -68,519 0 0.0% TOTAL USE OF FUNDS 1,897,172 1,881,881 -15,291 -0.8% Net debt 1,089,631 1,084,887 -4,744 -0.4% Ne
Slide 57: Dividend
57 Dividend The IGD Board of Directors will ask the shareholders at the Annual General Meeting on 15 April 2014 to approve the distribution of a: dividend of € 0.065 per share DIVIDEND (€) DIVIDEND YIELD (%) on price at year-end 0.070 8.5% 0.065 7.5% 2012 2013 2012 2013 A Dividend yield of 5.8% on t
Slide 58: Dividend Reinvestment Option
58 Dividend Reinvestment Option The Board of Directors at the Annual General Meeting to be held on 15 April 2014 will propose a share capital increase without pre-emption rights, to be offered to IGD Shareholders entitled to receive the 2013 dividend. Those who decide to agree to the capital increas
Slide 59: Dividend Reinvestment Option: steps
59 Dividend Reinvestment Option: steps Who can participate Shareholders that own IGD shares on the trading day prior to the 2013 going-ex dividend The total offer will amount to 80% of the proposed 2013 dividend. How much Each shareholder may reinvest an amount not exceeding 80% of their gross divid
Slide 60: 2014-2016 Business Plan presentation
2014-2016 Business Plan presentation
Slide 61: Why a Business Plan update?
61 Why a Business Plan update? BASIC Rolling plan with an annual update (methodology introduced in 2009 and now TARGET consolidated) Deterioration of the macroeconomic environment at the end of 2012 and in 2013 (and the expectations for the following years): CONTINGENT • GDP SITUATION • Inflation •
Slide 62: Basic macro assumptions
62 Basic macro assumptions Basic assumptions 2013 2014 2015 2016 Inflation NEW 1.4% 1.4% 1.3% 1.5% Inflation OLD 2.2% 2.0% 2.0% - GDP NEW -1.8% 0.6% 1.1% 1.7% Italy GDP OLD -0.3% 1.1% 1.2% - Consumption NEW -2.4% 0.0% 0.6% 0.4% Consumption OLD -1.1% 0.7% 1.0% - Inflation Euro area NEW 1.5% 1.4% 1.4%
Slide 63: Integration of sustainability in the Business Plan
63 Integration of sustainability in the Business Plan This Business Plan integrates, for the first time, the logics of sustainability into business strategies. These are the main strategic impacts: Increase in quality and • ISO 14001 roll out plan and BREEAM certification of portfolio asset efficien
Slide 64: Key figures – 2014-2016 Business Plan
64 Key figures – 2014-2016 Business Plan CAGR core business revenues of which: +2.9% Growth concentrated CAGR rental revenues +2.6% at the end of the business thanks to CAGR service revenues +7/8% the investments carried out CAGR LFL rental revenues +1.5% > 80% Ebitda Margin Freehold Management (+3%
Slide 65: Change in fair value assumptions in BP
65 Change in fv assumptions in BP Real Estate portfolio market value as at 30/06/2013 € 1.9 bn Expected fair value evolution in Business Plan timespan 2013 2014 2015 2016 Further slight declines Stability Investments on existing portfolio without increasing asset value Total change in Fair Value Abo
Slide 66: Commercial strategies: Italy
66 Commercial strategies: Italy Confirmation of ongoing commercial strategies to support revenues headline and vacancy reduction: Merchandising mix: not only stores dedicated to shopping but also personal services (such as medical and dental clinics, fitness centers, spa). This also serves as a bal
Slide 67: Commercial strategies: Romania
67 Commercial strategies: Romania Winmarkt’s location is confirmed as a strong point, although new openings by competitors have a short term impact. 2011 The appeal of new generation shopping 2009 2010 2014 centers can be balanced against: • The consolidation of Winmarkt’s 2012 2014 2012 leaders
Slide 68: Portfolio strategy: Italy
68 Portfolio strategy: Italy Investments and capex Focus on committed pipeline: Restyling and extensions in prime shopping centers according to the commercial targets and to maintain a high level of attractiveness New openings in shopping centers with potential in the area or innovative projects s
Slide 69: Portfolio strategy: Romania
69 Portfolio strategy: Romania Investments About € 6 mn forecasted (in line with the previous 2012-2015 BP) for: • Adjustment of centers to international standards (facades, interior fit-out) • Asset efficiency (vertical use, GLA recovery and qualification) • Energy sustainability (energy transforme
Slide 70: IGD Group's Real estate portfolio: Pipeline
70 IGD Group’s Real estate portfolio: Pipeline Esp Centro d’Abruzzo New Chioggia Restyling/ Porto Grande investments Porta Medicea extensions Centro Sarca Gran Rondò Le Porte di Napoli Centro Borgo Opening expectations Total Investments Month Year 2014 2015 2016 in bp timespan Chioggia 3 2015 21 Por
Slide 71: Pipeline: Chioggia Retail Park
71 Pipeline: Chioggia Retail Park CHIOGGIA RETAIL PARK – CHIOGGIA (VE) Start of work November 2013 End of work March 2015 The project consists of a total GLA of 18,343 m², which will incorporate a Hypercoop of 7.490 m² (of which 4,500 m² of sales area), 5 medium surface areas for a total of 9,575 m²
Slide 72: Pipeline: ESP - Ravenna
72 Pipeline: ESP - Ravenna RESTYLING and EXTENSION Restyling – Work completed at the end of 2011 Total investment about € 2.8 mn The restyling (inside and outside) concerned lighting, flooring, furnushing and layout of some stores in the shopping mall. Extension: At the authorization and planning st
Slide 73: Pipeline: Porto Grande – Porto d'Ascoli
73 Pipeline: Porto Grande – Porto d’Ascoli (AP) EXTENSION Start of work: September 2013 End of work: September 2015 The final urban planning with the municipality is in progress. The extension consists of an additional 5,000 m² for 2 external medium surface areas, in addition to 1,700 m² of green ar
Slide 74: Pipeline: Centro D'Abruzzo
74 Pipeline: Centro D’Abruzzo – S. Giovanni Teatino (CH) EXTENSION Start of work second half 2012 End of work April 2014 The extension consists of the construction of a building of 4,700 m² with 3,000 sqm of GLA in addition to 8,743 m² for parking places. Total expected investment about € 16 mn Befo
Slide 75: Pipeline: Centro Sarca
Pipeline: Centro Sarca – Sesto S. Giovanni (MI) 75 RESTYLING Start of work: 2013 End of work: 2015 Restyling of The first part of the restyling of the underground parking and underground parking and shopping center connecting stairs have already been connecting stairs completed. At the beginning of
Slide 76: Pipeline: Centro Borgo – Bologna
76 Pipeline: Centro Borgo – Bologna RESTYLING Start of work: 2014 End of work: 1H 2015 Restyling of the mall interior and work on the external facade of the shopping center. Total expected investment about € 3.5 mn Rendering of the internal and external restyling
Slide 77: Pipeline: Gran Rondò and Le Porte di Napoli
Pipeline: Gran Rondò – Crema (CR) 77 Le Porte di Napoli – Afragola (NA) GRAN RONDO’ - RESTYLING and EXTENSION Start of work 2013 End of work May 2016 Extension with creation of a medium surface and restyling of the mall. Total expected investment about € 8 mn LE PORTE DI NAPOLI - RESTYLING Start of
Slide 78: Pipeline: Porta a Mare (1/3)
78 Pipeline: Porta a Mare (1/3) PORTA A MARE PROJECT - LIVORNO It is a project aimed at transforming an area of the port of Livorno, near the city center, with the construction of a multifunctional complex of about 70,000 sqm for retail, residential, tertiary and accomodation and leisure uses, along
Slide 79: Pipeline: Porta a Mare (2/3)
79 Pipeline: Porta a Mare (2/3)
Slide 80: Pipeline: Porta a Mare (3/3)
80 Pipeline: Porta a Mare (3/3) 2013-2014 2015-2016 Piazza Mazzini: end of residential sale Mazzini Officine: retail and start of Retail and residential sale residential PORTA MEDICEA - Revenues development Pre 2013 2013 2014 2015 2016 Total 1.7 7.3 36.6 7.1 82.0 of which to IGD for retail 0.0 0.0 2
Slide 81: Pipeline: Romania
81 Pipeline: Romania 2013/4 2013 2013 2014/5 Bucharest 2014 2014/5
Slide 82: Disposals
82 Disposals The work carried out to maintain a high asset quality and The renewed interest of institutional investors, especially foreign, in the retail sector make us 14/02/2014 – Sale of the mall of Le Fonti confident about the disposal targets* del Corallo Shoppping Centre in Livorno Cash in 47
Slide 83: Financial strategy (1/2)
83 Financial strategy (1/2) 1) What did we do in 2013? Convertible Bond Exchange Offer €144.9mn (of which €22mn new money) BNP Paribas loan € 135 mn New credit lines obtained during the year € 15 mn Dividend Reinvestment Option (DRO) € 13.5 mn (adhesion percentage about 76%) Total resources found ab
Slide 84: Financial strategy (2/2)
84 Financial strategy (2/2) 2) Targets GEARING RATIO Debt ratio reduction at 2016 about 1.2x HEDGING POLICIES Target: confirm the degree of total debt coverage at about 65%, (depending on the performance of benchmarks and spreads) LOAN TO VALUE Target: LTV about 54% Repeat the DIVIDEND REINVESTM
Slide 85: Financial sustainability
Financial sustainability 85 2014 2015 2016 Spread on short term 2.90% 2.50% 2.50% Forecast Euribor3M Forecast Euribor6M Forecast IRS EUR3 years Forecast IRS EUR5 years Mark to Market 3,00% € 40 Millions € 35 2,50% € 30 2,00% € 25 1,50% € 20 € 15 1,00% € 10 0,50% €5 0,00% €0 20/07/2014 11/03/2016 27/
Slide 86: Sustainability: the results achieved
86 Sustainability: the results achieved First market awards obtained: ISO 14001 certification awarded in 2013 (for the environmental management system) Jan-Oct 2013 compared to the same Lower electricity consumption: - 8.4% period in 2012 Training on social responsibility carried out for all company
Slide 87: Final remarks (1/2)
87 Final remarks (1/2) In this critical context, IGD has demonstrated its ability to adapt to the needs of the sector and of all its stakeholders. It is essential to continue on this line to: Keep the profitability of Operate in a dynamic way Optimize the cost of its core business (portfolio rotatio
Slide 88: Final remarks (2/2)
88 Final remarks (2/2) and Maintain an attractive dividend policy Which is related to the FFO evolution* (at least 30/35% net of DRO effect) This Business Plan has been drawn up without considering extraordinary capital transactions, except for the DRO, which, in light of the present market conditio
Slide 89: Investor relations contacts
www.gruppoigd.it Claudia Contarini, IR T. +39. 051 509213 claudia.contarini@gruppoigd.it Elisa Zanicheli T. +39. 051 509242 elisa.zanicheli@gruppoigd.it