Slide 1: Results for the year ended 31 December 2015
Results for the year ended 31 December 2015 24 March 2016 1
Slide 2: Disclaimer
DISCLAIMER The information detailed in this presentation is subject to the general reservations and the risk factors detailed herein. •This presentation does not constitute a proposal and/or an offer and/or invitation by or on behalf of Plaza Centers N.V. (the “Company”) and/or any of its affiliates
Slide 3: Agenda
AGENDA Agenda Company Overview Capital Markets & Debt Restructuring Financial Highlights Operational Highlights 3
Slide 4: Company Overview
Company Overview Plaza Centers is a leading emerging markets property developer, focused on western-style shopping and entertainment centres Business Description Real Estate Portfolio Plaza Centers • 20-year track record of developing shopping & N.V. entertainment centres in CEE - Plaza Centers has
Slide 5: Company Overview: Competitive Advantage
Company Overview Competitive Advantage • Proven track record and Geographical reach – Plaza has been • Strong brand name — Plaza Centers has become a widely active in the CEE for 20 years and together with its regional recognised brand name for successful property development in teams has developed
Slide 6: Historical Business Cycle (1996-2016)
Company Overview 20Historical Business year track record Cycle shopping of developing (1996-2016)& entertainment centres in CEE — Plaza Centers has been active in the region since 1996 and was the first to develop western-style shopping and entertainment centres in Hungary 1996 First investment in H
Slide 7: Historical Business Cycle (1996-2016) cont.
Company Overview 20Company Overview year track record - Historical of developing shoppingBusiness Cycle centers & entertainment (1996-2016) in CEE – —cont. Plaza Centers has been active in 20 year track record of developing shopping & entertainment centers in CEE — Plaza Centers has been active thei
Slide 8: Portfolio Summary by Country
Company Overview Portfolio Summary by Country Portfolio Summary by Country Total portfolio of 21 assets in nine countries 4 2 3 1 2 2 2 1 1 1 1 1 Poland Serbia India Romania Hungary Czech Bulgaria Greece Latvia Republic 8 Completed & Active (5) Offices (1) For Development (4) Plots Pipeline (11)
Slide 9: Operating Shopping and Entertainment Centres
Company Overview Operating Shopping and Entertainment Centres Poland Location Torun, Poland • Operating shopping and entertainment centre Shopping and entertainment • Located in Central Poland Concept centre • Opened to the public in November 2011 GLA (sqm) 40,000 • External Valuation 12/2015: €97.7
Slide 10: Operating Shopping and Entertainment Centres
Company Overview Company Overview Operating Shopping- Operating Assets and Entertainment Centres Latvia Location Riga, Latvia • Operating shopping and entertainment centre Shopping and entertainment • Located in the capital of Latvia Concept • Opened to the public in March 2009 centre GLA (sqm) 49,0
Slide 11: Capital Markets & Debt Restructuring
Capital Markets & Debt Restructuring Plaza’s shares are traded on the Main Board of the London Stock Exchange (LSE), listed on the Warsaw Stock Exchange (WSE) and on Tel-Aviv Stock Exchange (TASE) Capital Markets Shareholding Structure • On 1 November 2006, Plaza raised ₤166m (€247m) from its IPO an
Slide 12: Bonds Repayments Schedule
Capital Markets & Debt Restructuring Capital Markets & Debt Restructuring Bonds Repayments Schedule Bonds Series Plaza currently has two series of NIS Bonds traded on the Tel-Aviv Stock Exchange (“TASE”) and one series of PLN bonds (circa €13 Million) held by Polish institutional investors. Debentur
Slide 13: Capital Markets & Debt Restructuring
Capital Markets & Debt Restructuring Capital Plaza’s Markets &plan debt restructuring Debtwas Restructuring approved by the Dutch court in July 2014 and became final in November 2014 with the Rights Issuance approval. Plaza’s debt Sinceprogram restructuring then, Plaza has paidby was approved circa
Slide 14: Activities Following Approval of Restructuring Plan: Asset Sales
Activities Following Approval of Restructuring Plan Sales of assets since approval of the Restructuring Plan In line with the Company’s stated restructuring plan, 75% of the net cash proceeds from Plaza’s asset sales are distributed to the Company’s bondholders as an early principal repayment. Septe
Slide 15: Bank Loans - Refinancing and Discounts
Activities Following Approval of Restructuring Plan Bank Loans- Refinancing and Discounts As part of the Company’s plan to reduce its leverage, the following action was taken: February 2014: Following the sale of its airplane for US$1.9 million, the Company reached a settlement with the airplane fin
Slide 16: Plaza's Main Focus in 2016
Activities Following Approval of Restructuring Plan Plaza’s main focus in 2016 Plaza’s Main Focus in 2016 Developments:1. Continuing construction of Belgrade Plaza (“Visnjicka”) in Belgrade, Serbia – The building permit was received in July 2015 and bank financing is expected to be agreed shortly. T
Slide 17: Financial Highlights Summary
Financial Highlights Summary Financial Highlights Reduction in total portfolio value to €392 million (31 December 2014: €466 million), following strategic disposals (mainly of Koregaon Park Plaza and Iasi plot of land) and write-down and uplift of trading properties and equity accounted investees
Slide 18: Financial Highlights Summary cont.
Financial Highlights Summary- cont. cont. Financial Highlights Loss in 2015 of €46.1 million (2014: loss of €119.7 million), stemming from a non-cash €25.3 million of finance costs (Forex and Bonds discount amortisation), as well as write down (and losses in connection with sale of Koregaon Park)
Slide 19: Results (€000)
Financial Highlights Financial Overview Results Results (€ 000)cont. (€ 000) Year ended December 31 2015 2014 Revenue from disposal of Trading Property 34,684 38,600 Rental income 18,676 22,112 Revenues from entertainment centres 728 1,713 54,088 62,425 Cost of Trading Property disposed (34,684) (38
Slide 20: Results (€000) cont.
Financial Highlights Financial Overview Results Results (€ 000)- (€ 000) cont. cont. Year ended December 31 2015 2014 Write-down of Trading Properties (1) (19,383) (89,176) Loss from disposal of equity accounted investees - (4,048) Gain (Loss) from disposal of trading property 2,589 (573) Share in r
Slide 21: Results (€000) cont.
Financial Highlights Financial Overview Results Results (€ 000)- (€ 000) cont. cont. 12 months ended December 31 2015 2014 Gain from the restructuring plan - 3,443 Finance income(1) 14,292 1,263 Finance costs(2) (45,195) (36,839) Net finance costs (30,903) (35,576) Loss before income tax (45,095) (1
Slide 22: Notes to the Results
Financial Highlights Financial Notes Overview to the (Cont.) results (1) Finance income increased to €14.3 million from €1.3 in 2014 mainly due €13.3 million gain due to two bank loans settles for discount in the Czech Republic and Romania. (2) Finance costs increased from €36.8 million to €45.2 mil
Slide 23: Company's Shopping Centres' Net Operating Income (NOI)
Financial Highlights Company’s ShoppingCenters Company’s Shopping Centres’ Net Operating Net Operating IncomeIncome (“NOI”) (“NOI”) The following table presents the NOI performance of shopping centres for the year ended 31 December 2015: Shopping Centre NOI 2015 (€M) NOI 2014 (€M) Remarks Torun 7.4
Slide 24: Trading Properties Breakdown
Financial Highlights Trading Properties Company Breakdown Trading Property breakdown Asset Book Value December 31, 2015 (€M) Remarks Casa Radio (Romania) 108.6 Torun (Poland) 68.1 Valuation as at 31 December 2015: €97.7M Suwalki (Poland) 39.7 Valuation as at 31 December 2015: €43.3M Belgrade Plaza (
Slide 25: Debt Structure of the Group
Financial Highlights Debt DebtStructure structure ofof thethe Group Group Debt Structure – December 31, 2015 € million Debentures(1) 203 CEE - operating malls(3) 123 Debt Bank Loans CEE - others(4) 8 Total Debt 334 Liquid balances - Consolidated 16 Resources Financial Instruments and restricted bank
Slide 26: Impairments of Trading Properties
Financial Highlights Impairment of trading properties Impairments of trading properties Results (in Thousand EUR) cont. Year ended December 31 Project name (location) 2015 2014 € thousands Iasi (Iasi, Romania) - 4,280 Koregaon Park (Pune, India) 1,540 10,059 Belgrade Plaza (Belgrade, Serbia) - 2,5
Slide 27: Estimated NAV of the Group
Financial Highlights Estimated NAV of theNAV Groupof the Group NAV Summary (€ M)- 31.12.2015 Net Financial Debt (314) Asset Values* Operating Assets 210 Development Assets** 162 Plots Pipeline 52 Office Building 3 427 Other assets and liabilities, net 1 NAV 114 * Valuation by Cushman & Wakefield as
Slide 28: Projected Group Cash Flows (€ Millions)
Financial Highlights GroupFlows (€ Millions) NAV of theCash Projected H1/2016 H2/2016 H1/2017 H2/2017 H1/2018 Opening Balance 20.0 18.9 37.1 34.6 33.8 Proceeds from selling trading and investment properties Malls 28.8 69.5 0.0 0.0 86.6 Plots- CEE 2.2 27.8 3.5 5.7 0.0 Plots- India 0.0 24.1 10.8 0.0 0
Slide 29: Operational Highlights: Developments, Finance and Asset Sales
Operational Highlights Developments, Finance and Asset sales Operational Highlights On 13 May 2015, Plaza announced the agreement to sell its Indian shopping mall located in Pune, for c. €35 million. The net cash proceeds (after repayment of the related bank loan, other liabilities and transaction
Slide 30: Operational Highlights: Developments, Finance and Asset Sales
Operational Highlights Operational Highlights Developments, Finance and Asset sales The Company is in negotiations to sell its 50% share in Riga Plaza (Latvia) project to a third party. The expected sale price approximates the assets book value. More information will be provided upon the closing o
Slide 31: Operational Highlights: Operating Shopping and Entertainment Centres
Operational Highlights Operating Shopping Operational Highlightsand Entertainment Centres (cont.) A stable occupancy level was recorded across the Company’s existing shopping and entertainment centres in the CEE, with the overall portfolio occupancy level at 94.96% as of 31 December 2015 (31 Decem
Slide 32: Plaza Centers
PLAZA CENTERS