Fondul Proprietatea

Fund Information / Factsheet • Jul 13, 2016

Fund Description

Fondul Proprietatea (FP) is a joint stock company operating as an Alternative Investment Fund (AIF) with an unlimited lifetime, incorporated in Romania. The Fund was listed on the Bucharest Stock Exchange on 25 January 2011, and on the Specialist Fund Market of the London Stock Exchange ("LSE") by means of Global Depositary Receipts ("GDRs") on 29 April 2015.	0.70
Investment Objective
The Fund's investment objective is the maximization of returns and per-share capital appreciation via investments mainly in Romanian equities and equity-linked securities.	0.50
Alternative Investment Fund Manager
FRANKLIN TEMPLETON INTERNATIONAL SERVICES S.À R.L. as of 1 April 2016	0.30
Investment Manager
Franklin Templeton Investment Management Limited UK, Bucharest Branch – since 29 September 2010.
Portfolio Manager
Grzegorz Konieczny
Fund Details as at 30/06/2016
Base Currency of Fund: Romanian Lei (RON)
Date of Fund Launch: 28 December 2005
Performance Inception Date:
31 December 2010 for NAV
25 January 2011 for Ordinary Share Price
29 April 2015 for Global Depositary Receipts
Number of Issued Shares: 10,965,850,801
Number of Shares Corresponding to Paid Share capital:
10,602,038,451
Subscribed Share Capital: RON 9,320,973,180.85
Paid Share Capital: RON 9,011,732,683.35
Cash Distributions per Share
2016 Cash Distribution: 0.05000 RON June 2016
2015 Cash Distribution: 0.05000 RON June 2015
2014 Cash Distribution: 0.05000 RON July 2014
2012 Dividend: 0.04089 RON June 2013
2011 Dividend: 0.03854 RON June 2012
2010 Dividend: 0.03141 RON June 2011
2008–2009 Dividend: 0.0816 RON October 2010
Fund Identifier
Bucharest Stock Exchange Symbol: FP
London Stock Exchange Symbol: FP.
Bloomberg: FP RO (for BVB) and FP/ LI (for GDRs)

ISIN: ROFPTAACNOR5 ASF Public Register No: PJR09SIIR/400006/18.08.2010 CIVM Registration No: AC-4386-1/28.06.2016

Description of NAV Basis

Net Asset Value is calculated according to regulations currently applying to Fondul Proprietatea, approved by Local Regulator (CNVM Regulation no. 4/2010 as subsequently amended). Where there is trading activity in the last 30 trading days, shares listed on a regulated market are valued at closing price. The shares admitted to trading on AeRO market (alternative trading system) are valued based on the Reference Price method, respectively the average price. Where there is no trading activity in the 30 trading day period for listed investments, the unlisted valuation approach applies. Investments in unlisted companies are valued using either shareholders' equity value per latest annual financial statements (proportionally with the stake held) or by using valuation methods in accordance with International Valuation Standards (fair value principles). Any holding in companies going through an insolvency or reorganization procedure is valued either at zero or at the value provided by an independent valuer, using valuation methods in accordance with International Valuation Standards (fair value principles). Any holding in companies under judicial liquidation procedure, or any other liquidation procedures, as well as in companies under temporary or final suspension of operation, is valued at zero until the procedure is finalised.

Starting with the NAV report as at 29 January 2016, the accounting records under IFRS are used for the computation of NAV for non-portfolio items.

Contact Us:

tel: +40 21 200 9600 Fax: +40 21 200 9631/32 email: investor.relations@fondulproprietatea.ro

web: www.fondulproprietatea.ro

Fund's headquarters are at 78-80 Buzesti Str, 7th Floor, Bucharest District 1, 011017, Romania. Fund's Fiscal Identification Code (CIF): 18253260 and Trade Registry registration no: J40/21901/2005.

Monthly Report 30 JUNE 2016

SHARE PRICE (RON) AND DISCOUNT (%) SINCE LISTING ON BVB

FP Share Price Discount

Cumulative Performance %	1-Mo	3-Mo	6-Mo	9-Mo	1-Yr	2-Yr1	3-Yr1	Since perf. incept.
NAV RON	8.72	8.80	3.53	5.56	1.02	(0.16)	4.07	28.14
Ordinary Share Price RON	5.43	0.64	(4.21)	(1.78)	(2.40)	(1.74)	12.30	63.66
GDR RON	6.80	5.32	(3.05)	1.06	(0.52)	N/A	N/A	(7.05)
NAV USD	8.21	4.81	5.72	2.37	(0.47)	(11.50)	(1.74)	(0.33)
Ordinary Share Price USD	4.93	(3.04)	(2.18)	(4.75)	(3.84)	(12.90)	6.03	25.03
GDR USD	6.30	1.46	(1.00)	(1.99)	(1.99)	N/A	N/A	(9.42)

¹ Annualized rate of return. Performance data is shown rounded to the nearest hundredth. 2011 2012 2013 2014 2015 YTD1 Current Discount2 AVERAGE ANNUAL DISCOUNT

55.67% 50.20% 41.30% 30.71% 28.92% 32.69% 36.57% ¹ For the period 4 January – 30 June 2016, ² As at 30 June 2016.

PORTFOLIO STRUCTURE		TOP 10 HOLDINGS
Asset	% of NAV	Security name	% of NAV
Listed Equities	26.67	Hidroelectrica SA	27.69
Unlisted Equities	62.46	OMV Petrom SA	21.87
Net Cash & Receivables1	10.87	CN Aeroporturi Bucuresti SA	5.36
Sector	% of NAV	ENEL Distributie Banat SA	5.29
Power utilities: generation	29.39	ENEL Distributie Muntenia SA	3.86
Power & Gas utilities: distribution, supply	24.64	Engie Romania SA	3.78
Oil & Gas	22.23	ENEL Distributie Dobrogea SA	3.40
Infrastructure	7.56	Electrica Distributie Muntenia Nord SA	2.15
Banks	2.21
Heavy Industry	1.70	BRD Groupe Societe Generale SA	2.11
Aluminium	0.64	Electrica Distributie Transilvania Sud SA	1.88
Postal services	0.50	Total	77.39
Others	0.26	1 Net cash and receivables includes bank deposits, current bank accounts,
Net Cash and receivables1	10.87	short-term treasury bills and bonds, guarantee deposit for tender offer, dividend receivables, as well as other receivables and assets, net of all

SHAREHOLDERS STRUCTURE	%	and dividends from previous years) and provisions. LARGEST SHAREHOLDERS Shareholder As at
The Bank of New York Mellon (depository bank for Global Depository Receipts)1	34.48
Foreign institutional investors	24.72
Romanian private individuals	20.42
Romanian institutional investors	13.92	City of London
Foreign private individuals	3.71	Source: Ownership disclosures submitted by shareholders.
Ministry of Public Finance 2	0.04
Treasury shares 3	2.71
Total Number of Shareholders	7,892

¹ Includes the 1,125,000 shares, equivalent of the 22,500 Global Depository Receipts of Fondul Proprietatea

² 363,812,350 shares unpaid by Ministry of Public Finance

³ 287,245,107 treasury shares acquired in the sixth buyback program

Important Information and Disclaimers

The above portfolio information is calculated on the basis of the NAV. The Investment Manager for the Fund reserves the right to withhold release of information with respect to holdings that would otherwise be included in the Top 10 Holdings list where the protection of such information is in the best interests of the Fund. The price of shares and income from them can go down as well as up and you may not get back the full amount that you invested. Past performance is no guarantee of future performance. In emerging markets, the risks can be greater than in developed markets. Investment in the Fund may not be suitable for all investors; we suggest investors seek guidance from a financial adviser. Read the issue prospectus before investing in this fund/investment firm. FRANKLIN TEMPLETON INTERNATIONAL SERVICES S.À R.L. as alternative investment fund manager and sole director of Fondul Proprietatea SA issues quarterly, semi-annual and annual reports which are published on the Fund's website at www.fondulproprietatea.ro This is a short summary for the information of existing shareholders only and is not intended to be used as the basis for investment decisions.

Elliott Associates 21 October 2015 21.06

liabilities (including liabilities to shareholders related to the returns of capital

Investment Mgmt. 5 April 2016 5.04

Source: Ownership disclosures submitted by shareholders.

% of total voting rights

© 2016 Franklin Templeton Investments. All rights reserved. Existing and potential investors should refer to the Fund's prospectus and amendment, available at www.fondulproprietatea.ro All information presented in the report is provided by Franklin Templeton Investment Management Limited United Kingdom, Bucharest Branch. This report is issued in Romania by Franklin Templeton Investment Management Limited United Kingdom, Bucharest Branch, at 78-80 Buzesti Str, Premium Point, 7th and 8th Floors, Bucharest 1, 011017, ROMANIA registered with ASF Public Register No. PJM01SFIM/400005.

NAV/Share:

Ordinary Share Price:

/ USD 2.91 billion

USD 1.84 billion

USD 1.16 million

USD 2.06 million

¹ For the period 1 – 30 June 2016

RON 1.1445/ EUR 0.2532/ USD 0.2817

RON 0.7260 / EUR 0.1606 / USD 0.1787 GDR price (1 GDR = 50 shares): RON 37.37/ EUR 8.27 / USD 9.20 Share Price Discount: 36.57% GDR Discount: 34.69%

Fund NAV: RON 11.80 billion / EUR 2.61 billion

Market Capitalisation (Excluding treasury shares): RON 7.49 billion / EUR 1.66 billion /

Average Daily Turnover on the BVB1: RON 4.70 million / EUR 1.04 million /

Average Daily Turnover on the LSE1: RON 9.30 million / EUR 2.29 million /