Fondul Proprietatea

Fund Information / Factsheet • Jun 14, 2020

Administrator Code:	PJM07.1AFIASMDLUX0037
Fund:	Fondul Proprietatea SA
Fund Code:	PJR09SIIR/400006
Reporting date:	29.05.2020

Fund Administrator: Franklin Templeton International Services S.à r.l. Administrator Code: PJM07.1AFIASMDLUX0037 Fund: Fondul Proprietatea SA

Fondul Proprietatea SA 's Assets and Liabilities based on NAV calculation according with the CNVM Regulation No. 4 / 2010, as subsequently amended

	Lei
1. Non-current Assets	7,021,598,818.06
1.1. Intangible assets	88,021.35
1.2. Tangible assets	0.00
1.3. Financial assets	7,021,510,796.71
1.3.1 Listed shares**	8,868,065.91
1.3.2 Unlisted shares	7,012,587,241.66
1.3.3 Government securities	0.00
1.3.4 Certificates of deposits	0.00
1.3.5 Bank deposits	0.00
1.3.6 Municipal bonds	0.00
1.3.7 Corporate bonds	0.00
1.3.8 Newly issued securities	0.00
1.3.9 Participation titles of UCITS and/or of OCIU	0.00
1.3.10 Other financial assets	55,489.14
2. Current assets	3,672,294,462.04
2.1 Inventory	0.00
2.2 Receivables out of which:	613,130,496.31
- commercial papers	0.00
2.3 Cash	25,235,856.09
2.4 Short term financial investments	2,520,873,644.48
2.4.1 Listed shares**	2,520,873,644.48
2.4.2 Unlisted shares	0.00
2.4.3 Municipal bonds	0.00
2.4.4 Corporate bonds	0.00
2.4.5 Participation titles of UCITS and/or of OCIU	0.00
2.5 Newly issued securities	0.00
2.6 Government securities	101,150,661.20
2.7 Bank deposits	411,903,803.96
2.8 Certificates of deposits	0.00
2.9 Other current assets	0.00
3. Derivatives	0.00
4. Prepaid expenses	465,606.20
5. Total assets	10,694,358,886.30
6. Total liabilities	461,028,823.08
6.1 Borrowings from bond issues	0.00
6.2 Amounts due to credit institutions	0.00
6.3 Advance payments to customer accounts	0.00
6.4. Payables	14,038,955.01
6.5 Commercial papers due	0.00
6.6 Amounts due to group companies	0.00
6.7 Amounts due to related parties	0.00

[English translation of the original report in Romanian - for information purposes only] _________________________________________________________________________________________________________________________________________ 1

6.8 Other debts	446,989,868.07
7. Provisions	856,247.22
8. Deferred income out of which:	0.00
8.1 Subsidies for investments	0.00
8.2 Deferred income	0.00
9. Shareholders' equity out of which:	10,232,473,816.00
9.1 Share capital	3,959,264,762.44
9.2 Share capital premiums	0.00
9.3 Revaluation differences	-8,898.55
9.4 Reserves	-108,409,586.08
9.5 Retained earnings	7,167,417,477.71
9.6 Period result	-785,789,939.52
9.7 Profit appropriation	0.00
10. Total liabilities and Shareholders' equity	10,694,358,886.30
11. Net Asset Value	10,232,473,816.00
12. No of shares issued*	6,514,127,615
13. Net asset value per share	1.5708
14. Number of portfolio companies out of which:	33
14.1 Companies admitted to trading on a regulated market	3
14.1 Companies admitted to trading on an alternative regulated market***	4
14.3 Companies not admitted to trading	26

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Legend:

* = Represents the number of shares related to the paid-up subscribed share capital (according to provisions of Law 247/2005, Title VII, Art. 9² , alin. 5 "Subscribed unpaid shares are not taken into account for the computation of net asset value per share for Fondul Proprietatea") excluding (a) the Fund's own shares bought back (Treasury shares), according to provisions of CNVM Regulation no. 4/2010, as subsequently amended, and (b) the equivalent number of shares corresponding to the GDRs bought back

** = Include also the value of holdings admitted to trading on AeRo market (alternative regulated market) *** = Include the number of companies admitted to trading on AeRo market (alternative trading system)

Franklin Templeton International Services S.à r.l acting in the capacity of Sole Director of Fondul Proprietatea SA

Călin Meteș Marius Nechifor Permanent representative Compliance Officer

BRD Groupe Societe Generale

Victor Strâmbei Claudia Ionescu Manager Depositary Department Director

[English translation of the original report in Romanian - for information purposes only] _________________________________________________________________________________________________________________________________________ 2

Annex - Valuation methods used for the securities and the monetary market instruments held by Fondul Proprietatea S.A. as at 29 May 2020

The valuation methods used for the computation of the NAV as at 29 May 2020, for the securities and the monetary market instruments held by Fondul Proprietatea S.A. are the following:

• 1. Listed companies on BVB traded within last 30 trading days: Closing Price
• 2. Listed companies on AeRo market (alternative trading system) traded within last 30 trading days: Reference price – Average Price
• 3. Listed companies with no trades within last 30 trading days: Fair value / share;
• 4. Unlisted companies: Fair value / share;
• 5. Companies in insolvency, judicial reorganization, liquidation, dissolution or bankruptcy: Valued at zero;
• 6. Unlisted companies for which the annual financial statements for the previous year are not available within 90 days after the legal submission deadline: Valued at zero;
• 7. Listed government bonds: Fair value (reference composite price, including the cumulated interest);
• 8. Bank deposits: Bank deposit amount cumulated with the accrued interest receivable calculated for the period elapsed since its creation date.

Franklin Templeton International Services S.à r.l acting in the capacity of Sole Director of Fondul Proprietatea SA

Călin Meteș Permanent Representative Marius Nechifor Compliance Officer

[English translation of the original report in Romanian - for information purposes only] ___________________________________________________________________________________________________________________________

Annex – Changes of the valuation methods used for the computation of the NAV of Fondul Proprietatea as at 29 May 2020

For the computation of the NAV of Fondul Proprietatea SA as at 29 May 2020, the valuation method used for the investments in the companies presented below have been changed or updated:

Hidroelectrica SA, CN Aeroporturi Bucuresti SA, E-Distributie Banat SA, Engie Romania SA, E-Distributie Muntenia SA, E-Distributie Dobrogea SA, CN Administratia Porturilor Maritime SA, ENEL Energie SA, ENEL Energie Muntenia SA, Posta Romana SA, Aeroportul International Timisoara - Traian Vuia SA, Societatea Nationala a Sarii SA

The values for the unlisted holdings mentioned below (representing over 99% of the total Fund's unlisted portfolio) were updated using (i) the multiples values as at 29 May 2020 of publicly traded peers companies, and (ii) the same methodology and computation algorithm as in the latest available valuation report prepared with the assistance of an independent valuer. The values were also adjusted with the annual dividends declared during May 2020 (where the case). All other variables were kept at the same level as in the latest valuation report.

Moreover, for these companies, the valuation method remained the same, respectively Fair value / share (Value based on valuation report as at 30 September 2019 updated using the multiples values derived from the analysis of publicly traded peers companies), but the multiples values were updated as at 29 May 2020. The total impact of the valuation update on the Fund's NAV resulted in a net decrease of RON 78,298,326.97 as detailed in the table below:

Company	Previous value per share (RON/share)	Previous value of the holding (RON)	Current value per share (RON/share)	Current value of the holding (RON)	Impact of the valuation method update on NAV (RON)	Impact of the valuation change on NAV %
Hidroelectrica SA	51.5568	4,608,992,573.30	48.9113	4,372,494,383.88	-236,498,189.43	-2.48%
CN Aeroporturi Bucuresti SA	259.7165	746,799,991.91	286.7384	824,499,925.11	77,699,933.20	0.82%
E-Distributie Banat SA	31.4837	290,299,989.50	33.6961	310,699,742.29	20,399,752.79	0.21%
Engie Romania SA	191.0320	456,699,820.34	186.6818	446,299,805.90	-10,400,014.44	-0.11%
E-Distributie Muntenia SA	72.1963	235,099,742.53	76.6491	249,599,822.64	14,500,080.11	0.15%
E-Distributie Dobrogea SA	26.7431	180,599,550.67	29.1716	196,999,519.59	16,399,968.92	0.17%
CN Administratia Porturilor Maritime SA	90.5524	240,699,869.91	87.8437	233,499,798.59	-7,200,071.31	-0.08%
ENEL Energie SA	15.2976	25,699,968.00	15.3571	25,799,928.00	99,960.00	0.00%
ENEL Energie Muntenia SA	92.5563	41,099,995.24	92.7815	41,199,996.20	100,000.96	0.00%
Posta Romana SA	0.7261	10,798,520.72	0.7194	10,698,878.67	-99,642.04	0.00%
Aeroportul International Timisoara - Traian Vuia SA	306.0969	9,799,998.35	356.0719	11,399,997.95	1,599,999.60	0.02%
Societatea Nationala a Sarii SA	94.0732	188,699,926.71	116.5570	233,799,821.39	45,099,894.68	0.47%
Total		7,035,289,947.18		6,956,991,620.21	-78,298,326.97	-0.82%

Franklin Templeton International Services S.à r.l acting in the capacity of Sole Director of Fondul Proprietatea SA

Permanent representative Compliance Officer

Călin Meteș Marius Nechifor

[English translation of the original report in Romanian - for information purposes only] __________________________________________________________________________________________________________________________________________