Slide 1: Finbar International Limited
developing better lifestyles Finbar International Limited www.finbar.com.au ABN 97 009 113 473
Slide 2: Disclaimer/Forward Looking Statements
Disclaimer/Forward Looking Statements « — This presentation is provided to you, as a professional investor as defined in Chapter 6D.2 of the Corporations Act, for the sole purpose of providing preliminary background financial and other information to enable recipients to review the business activiti
Slide 3: Contents
Contents Company Overview......0...00..0... ccc eee ceeeeneee ere eees 4 Company Overview - 2005 Objectives................. 5 Company Statistics & Performance.. Business Model..........00...000 cee 7 Key Business Drivers..........0.0.0.0000.0 eee 8 industry Setting - Conducive to Growth 9 Perth Pro
Slide 4: Company Overview
Company Overview B Finbar was first incorporated as an Offshore Marine Services Company in 1984. «= Restructured and re-listed on ASX in 1995 with the current management as a residential property developer. «= Finbar now leading Perth based developer of medium to high density residential property. «
Slide 5: Company Overview - 2005 Objectives
Company Overview - 2005 Objectives The focus of Finbar’s Corporate Strategy is to: « Ensure that the company continues to grow by leveraging off its strong management skills in an established marketplace. « Build on established relationships with strong JV partners and identify new opportunities for
Slide 6: Company Statistics & Performance
Company Statistics & Performance Shares on Issue 89.7m Share Price 44¢ Price Range 25.5¢ to 50¢ Market Cap $38.6m S060 fooooe Monthly Volume 78,564 30.480 488,009 Net Cash 30 Jun ‘04 $0.3m sooo 499,000 260,000 oH 8 soso onto «= Paul Rengel Chairman sos00 aen000 *« John Chan Managing Director « — Ric
Slide 7: Business Model
Business Model «= — Identify development opportunity. « — Identify product demand. « Prepare schematic plan for a product to target identified demand. « Produce draft feasibility. * — Identify willing joint venture partner (if applicable). « Contract the acquisition, subject to due diligence and/or
Slide 8: Key Business Drivers
Key Business Drivers Finbar's key business drivers are all turning positive in a synchronised manner: Strong product demand, strong local economy, growing population = Conducive Environment“ 2) Outsourcing model, exclusive external consultants, established builders, experienced management = Capacity
Slide 9: Industry Setting - Conducive to Growth
Industry Setting - Conducive to Growth « Eastern states perception not reflected in Westem Australia. = — Low interest rates. « Backlog of demand for affordable housing. « — Increased equity in family home has generated larger pool of investors looking for bricks and mortar investments. « Grants and
Slide 10: Perth Property Market
Perth Property Market 8 Economy performing strongly estimated Gross State Product growth @ 4.5% for 2004-2005. « — |mproved demand in WA apartment market. = Predicted weakening in housing market but less in WA with the absence of the overheating as seen in Sydney and Melbourne. « Business and consum
Slide 11: Management
Management « Long term experienced property team. * — Performance incentives * Open door policy. « — |dentifying weekly opportunities. * Seeking low or zero equity project opportunities. 4
Slide 12: Company Objectives — Key Strategies
Company Objectives — Key Strategies « Diversification of Property Portfolio ~ Mix of residential apartment size, location and specifications for broad spread over all residential market sectors. ~ Large selection of products available at bread and butter end of the marketplace. « — |dentification an
Slide 13: Company Objectives — Risk Management
Company Objectives — Risk Management = Spread project risk through joint ventures and incorporation of Special Purpose Vehicles. «= Maintain low fixed office running costs through outsourcing/management agreement. «= Project specific finance, via major Australian Banks. = 100% of project debt covere
Slide 14: Current Projects
Current Projects developing batter itesivles Market Rise ~ 93 apartments + 1 commercial 176 Hay - 51 apartments inc 1 commercial. Arum at Shorerush Bay — 50 apartments + 4 commercial. Samphire at Shorerush Bay - 43 apartments. Riverstone - 14 apartments. Westralian — 96 apartments + 2 commercial. Co
Slide 15: Project Pipeline
Project Pipeline Units 2004. 2005, 2006 2007, Market Rise 94 175 Hay 52 Arum at Shorerush Bay 54 Samphire at Shorerish Bay 43 Riverstone 44 Westralian 98 Cosmopolitan 84 One28 104 Altair 123 Soho 84 Avena at Shorerush Bay 76 Stage Four at Shorerush Bay 113 45
Slide 16: Issue Outcomes
Issue Outcomes « — Increased issued capital at time of strong earnings growth ( increasing EPS on increased issued capital) and expected dividend growth. « — Reduces financial risk by bolstering the balance sheet to enable the company to seize opportunities as they present themselves. « — Introduces
Slide 17: Balance Sheet
Balance Sheet « Over the past 3 years the balance sheet has strengthened materially and is essentially Cash 50 92 10 : 43 ungeared. Receivables 12.5 16.2 24.2 24.2 | Inventories 82 3.0 2.4 2.4 * Interest exposure largely eliminated ~ net cash | Investments 5.5 2.9 6.3 63 $3.6m. | Property Plant & Eq
Slide 18: Dividend Policy
Dividend Policy « Seek to provide a balance between returns to Shareholders and growth in underlying NTA. « FY’04 DPS of 2¢ represented a Dividend Payout of 40% (EPS 5¢ ) « — Having built the balance sheet the Board has resolved to increase the Dividend Payout Ratio to 60% « The Board plans to consi
Slide 19: Earnings Outlook
Earnings Outlook « The increasing use of JV’s to merge risk pene discounts the reporting of revenues. EV OSE . a i 8 5. « Eamings from JV’s is expected to grow and | EBITDA inciuding assoc earnings 63 91 Management are anticipating strong EBIT growth | Depreciation ; 0.0 0.0 in FY ‘05. . Amortisatio
Slide 20: SPP Timetable
SPP Timetable 22 December - Record Date for SPP 21 January - SPP Closes 28 January - Settle Shortfall to SPP (if any) developing better ifovivles 26
Slide 21: Investment Highlights
Investment Highlights a a a a a a Demonstrable track record by management of an ability to source and successfully develop profitable projects. Intimate knowledge of a marketplace exhibiting strong long term growth prospects. An aversion to risk — the business model sets out to minimise risk and the
Slide 22: Contacts
Contacts John Chan Managing Director 08 9474 4460 john@finbar.com.au Darren Pateman General Manager 08 9474 4460 darren@finbar.com.au 22
Slide 23: Appendices
Appendices » Directors and Officers Profiles » Current and Future Projects x Project Ownership » — Additional Information on Current Projects a
Slide 24: Directors and Officers
Appendix: Directors and Officers » Jane Olan - Managing Director (appointed 27/4/95) Mr Chan has a Bachelor of Science degree from Monash University and a Master of Business Administration degree from the University of Queensland. He has considerable experience as a Direcior in public corporations a
Slide 25: Current & Future Projects
Appendix: Current & Future Projects riverstone wat RENT APART MENTS MARKET SHORERUSH BAY Y COSMOPOLITAN RE OAS SOs RR EME WTS developing batter itesivles
Slide 26: Project Ownership
Appendix: Project Ownership Gor Gwaed wv
Slide 27: Delhi Street, West Perth
Appendix: 9 Delhi Street, West Perth Apartments: Completion: Sales to Date: End Sale Value: Ownership: West Perth G34+4 dune 94 $29.1m (87%), $33.6 50% IV
Slide 28: Hay Street, East Perth
Appendix: 175 Hay Street, East Perth Location: East Perth 1 17 ego Apartments: 51+ 1 Completion: Dec 2004 Sales to Date: — $44.00m (81%) End Sale Value: $76.45m. Ownership: 60% JV developing batter itesivles
Slide 29: Tununda Drive, Rivervale
Appendix: 11 Tununda Drive, Rivervale ARUM Location: Rivervale Apartments: 50+ 4 Completion: — March 2005 Sales toDate: — $13.3m (86%) End Sate Value: $16.4m Ownership: 50% JV developing batter itesivles
Slide 30: Tununda Drive, Rivervale
Appendix: 15 Tununda Drive, Rivervale SAMPHIRE Te ee UN ae, Location: Rivervale Apartments: 43 March 2005 Sales to Date: $1 1.5m (92%) End Sale Value: $12.4m Ownershii 50% IV developing batter itesivles
Slide 31: Stone Street, South Perth
Appendix: 15 Stone Street, South Perth riverstone ) developing batter itesivles Location: South Perth Apartments: 14 Completion: = March 2005 Sales to Date: $3.5 (54%) End Sale Value: $6.6 Ownership: = 100%
Slide 32: Terrace Road, East Perth
Appendix: 78 Terrace Road, East Perth pea Location: East Perth Apartments: 96 +2 Completion: — February 06 Sales to Date: $46.5 (59%) End Sale Value: $79.4m Ownership: = 50% JV developing better ifovivles 32
Slide 33: East Perth project
Location: = East Perth i) Apartments: 63 + 4 Completion: Sept 05 Sales to Date: $18.2m (96%) End Sale Value: = $18.9m Ownership: 30% JV developing batter itesivles #B
Slide 34: Adelaide Terrace, Perth
Appendix: 128 Adelaide Terrace, Perth Ne Location: East Perth Apartments: 103 +1 Commencement: January 2008 Sales to Date: — §24.6m (56%) End Sale Value: Approx $32.7m Ownership: 50% JV developing batter itesivles
Slide 35: Terrace Road, Perth
Appendix: 132 Terrace Road, Perth Loeation: Apartments: Completion: Sales to Date: End Sale Value: Ownership: Perth 120+3 March 07 $54 6m (68%) $79.6m 50% JV
Slide 36: Adelaide Terrace, Perth
Appendix: 188 Adelaide Terrace, Perth SOHO Location: East Perth Apartments: 80 +1 Commencement: April 05 Sales to Date: $2. 1m (Launched 27 Nov 04) End Sale Value: = $26.3m Ownership: 30% JV developing batter itesivles
Slide 37: Tununda Drive, Rivervale
Appendix: 16 Tununda Drive, Rivervale oy We Location: Apartments: Commencement: Sales to Date: End Sale Value: Ownership: Rivervale 76 Mareh 2006 $i1m (26%), S424m 50% IV
Slide 38: Tununda Drive, Rivervale
Appendix: 12 Tununda Drive, Rivervale UNNAMED Location: — Rivervale Apartments: 113 Commencment: = Vid 2006 Sales to Date: Not faunched End Sale Value: Approx $62m Ownership: = 60% JV Hobokot 6 ¢ BD Ev € 4 O P M EN FT Bb CBAKRG 3
Slide 39: Tununda Drive, Rivervale
Appendix: 13 Tununda Drive, Rivervale HERITAGE HOMESTEAD Sawn Location: — Rivervale Apartments: Nil Completion: Feb 2006 End Sale Value: Est. $1.3m Ownership: 50% JV developing batter itesivles #