CVC LIMITED — Interim / Quarterly Report 2007

Feb 8, 2007

31 December 2006 - Interim Results Presentation

February 2007

• First half FY 2007 PBT of \$10.0 million and NPAT of \$7.9 million;
• An increase of \$44.1 million after tax in the value of listed investments;
• An increase of 100% in the interim dividend to a record 6 cents fully franked per share;
• A forecast NPAT of approximately \$30 million for the full year ended 30 June 2007; and
• A forecast final dividend of 6 cents fully franked per share (full year dividends of 12cps)
• Anticipated NPAT for the full year ended 30 June 2008 to be at a similar level to 2007

Financial Summary

Balance Sheet - 31 December 2006

\$'000	30 Jun 06	31 Dec 06	Movement
Current Assets	40,389	49,803	23.3%
Non-Current Assets	155,733	210,018	34.9%
Total Assets	196,122	259,821	32.5%
Current Liabilities	7,111	2,976	$(58.1\%)$
Non-Current Liabilities	21,604	41,898	93.9%
Total Liabilities	28,715	44,874	56.3%
Net Assets	167,407	214,947	28.4%
Total Equity	167,407	214,947	28.4%

Financial Summary

Profit & Loss - 31 December 2006

\$'000	31 Dec 05	31 Dec 06	Movement
Total Income	6,821	11,444
Net Equity Accounted profits/ (losses)	(504)	1,140
Expenses	3,071	2,573
Profit before income tax expense	3,246	10,011	208.4%
Income Tax Expense	209	2,145
Net Profit after Tax	3,037	7,866	159.0%
Basic & diluted EPS (cents)	2.39	6.75
Dividends paid during period per share (cents)	3.00	3.00

Note: Total Income includes Unallocated, corporate and Tax revenues of \$0.78m (\$1.06m HY1 2005)

In the six months to 31 December 2006

• The first half FY07 profit after tax increased 159% over the ۰ comparative half year
• The Listed Investments segment experienced a strong 54% gain in $\bullet$ value (pre-tax)
• Return on shareholder funds is over 31% $\bullet$
• Successful ASX listing of Probiotec at 15% premium to IPO price $\bullet$
• Scheme of arrangement for Greens Foods (GFD) ۰
• Entered into a JV with Trinity Property Fund $\bullet$
• Dominant shareholder in successful IPO of Cyclopharm at 50% $\bullet$ premium to IPO price – unlocking \$5m+ in value
• An increased dividend payment $\bullet$
• Expansion of Property Portfolio ۰

Listed Investments

	Change Revenue HY1 06 Revenue HY 1 05
82%	5.07m	2.78m

• History of strong dividend and capital growth $\bullet$
• Portfolio (major investments): $\bullet$

	30.06.06	31.12.06	$\%$
Sunland (SDG)	\$76m	\$123m	65%
Trinity (TCQ)	\$5m	\$10m	40%
Cellnet Group (CLT)	\$11m	\$15m	23%
Greens (GFD)	\$10m	\$14m	42%
Tri Origin Minerals	\$1m	\$7m	608%

• Holding in Green's Foods Limited scheduled to be sold to Nestle in Mar 2007 $\bullet$ (crystallising \$6.6m profit)
• JV with GPG PLC to purchase the non-pet food assets of Greens Foods $\bullet$ (including land & buildings)

Private Equity

	Change Revenue HY1 06 Revenue HY 1 05
108%	3.14m	1.51 m

• An active management approach to add significant value to $\bullet$ performing and underperforming companies
• Successful listing of Probiotec on the ASX in Nov 2006 (retained 4% $\bullet$ and crystallised \$2.2m profit)
• ASX listing of Cyclopharm in Jan 2007 ۰
• Continued development of Ron Finemore Transport (25% interest) $\bullet$
• Improving profitability
• Medium to long term view
• Continue to identify new investment opportunities $\bullet$

	Change Revenue HY1 06 Revenue HY 1 05
190%	1.80m	0.62 m

• The identification and participation in property based transactions $\bullet$ where they meet the investment criteria set by CVC and provides scope for yield, re-current income and capital growth
• Continued to expand property portfolio $\bullet$
• Recently entered into a JV to develop two commercial properties in $\bullet$ Shepparton and Geelong (Victoria)
• Provided mezzanine finance to the Sakkara Group for a 49 unit $\qquad \qquad \bullet$ residential project in Sydney's North Shore
• Fern Bay JV project of 950 residential lots in Newcastle has settled $\bullet$ a further 14 lots
• Sold Belrose NSW development into CVC Trinity as seed asset $\bullet$

Property

Funds Management

• Revenue HY1 06 Change Revenue HY 105 $-25%$ $0.64_m$ $0.85m$
• CVC Renewable Energy Equity Fund ("CVC REEF") a \$27m $\bullet$ unlisted fund
• CVC Private Equity a \$20m unlisted fund $\bullet$
• CVC Sustainable Investments Limited a \$10m unlisted fund $\bullet$
• CVC Trinity Property Fund signed a JV with Trinity Group to expand $\bullet$ number of investment properties in the fund
• Recently completed a \$7.5m capital raising
• Currently reviewing options to significantly increase the scale of $\bullet$ funds under management

Dividend Policy

Dividend	Change	HY106	HY 105
	100%	6cps	3cps

• In recognition of the continuing development of CVC and the $\bullet$ transition to more recurrent earnings streams
• The dividend will be paid on the 16^th February 2007 to all $\bullet$ shareholders registered at 9 February 2007
• The Final Dividend will also be increased to 6cps (fully franked). $\bullet$
• Total dividend for FY07 will be 12cps (fully franked). $\bullet$
• CVC intend the FY08 dividend to also be at least 12 cps (fully $\bullet$ franked)

Strate

To unlock value in CVC through

• Increasing the dividend pay-out ratio to 40% $\bullet$
• Growing FUM $\bullet$
• Increasing liquidity $\bullet$
• Focusing on building recurring revenue streams $\bullet$
• Utilising the strength of the balance sheet to facilitate deals $\qquad \qquad \bullet$

Growth Opportunities

• Develop a diversified financial services business $\bullet$
• Identify a junior fund manager and seed the fund
• Identify and acquire an existing fund manager
• Develop investment banking business $\bullet$
• Identify opportune satellite businesses

Fern Bay Belrose Shepparton Geelong Gordon

Ron Finemore Transport Green's Foods Others

CVC Trinity CVC Sustainable CVC Private Equity CVC REEF

Siraigolo ESCO Investigents

Pro-Pac Packaging Sunland Group Cellnet Tri-Origin Cyclopharm Probiotec

• Grow funds under management to $> $300$ m by 2009 $\bullet$
• Continued development of management strengths to $\bullet$ execute active investment prospects
• JV with Trinity to grow CVC Trinity property fund to at $\bullet$ least \$200m by 2008
• Increase dividend payment to 12 cents per share fully $\bullet$ franked (40% pay-out ratio)
• Identified significant private equity opportunities to $\bullet$ achieve $>$ 20% per annum returns
• Identification of significant listed equity opportunities to $\bullet$ build substantial stake and un-lock value
• Continued development of funds management and ۰ investment banking