Fondul Proprietatea

Net Asset Value • Jun 15, 2015

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Fund Code: PJR09SIIR/400006 Reporting date: 29.05.2015

Fund Administrator: Franklin Templeton Investment Management Limited UK, Bucharest Branch Administrator Code: PJM05SSAM/400001 Fund: Fondul Proprietatea SA

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

	Lei
1. Non-current Assets	6,481,780,853.55
1.1. Intangible assets	796,931.18
1.2. Tangible assets	0.00
1.3. Financial assets	6,480,983,922.37
1.3.1 Listed shares**	10,649,639.24
1.3.2 Unlisted shares	6,470,334,056.34
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	226.79
2. Current assets	6,823,002,168.49
2.1 Inventory	0.00
2.2 Receivables out of which:	409,047,138.61
- commercial papers	0.00
2.3 Cash	707,894.60
2.4 Short term financial investments	6,322,659,041.92
2.4.1 Listed shares**	6,322,659,041.92
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	44,711,892.14
2.7 Bank deposits	45,520,696.16
2.8 Certificates of deposits	0.00
2.9 Other current assets	355,505.06
3. Derivatives	0.00

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

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4. Prepaid expenses	212,633.01
5. Total assets	13,304,995,655.05
6. Total liabilities	621,504,887.88
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	12,292,667.87
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
6.8 Other debts	609,212,220.01
7. Provisions	15,164,622.53
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:	12,668,326,144.64
9.1 Share capital	10,965,850,800.30
9.2 Share capital premiums	0.00
9.3 Revaluation differences	4,214,849,513.80
9.4 Reserves	-4,579,086,792.93
9.5 Retained earnings	1,694,923,657.82
9.6 Period result	371,788,965.65
9.7 Profit appropriation	0.00
10. Total liabilities and Shareholders' equity	13,304,995,655.05
11. Net Asset Value	12,668,326,144.64
12. No of shares issued*	10,704,678,974
13. Net asset value per share	1.1834
14. Number of portfolio companies out of which:	51
14.1 Companies admitted to trading on a regulated market***	14
14.1 Companies admitted to trading on an alternative regulated market****	1
14.3 Companies not admitted to trading	36

Note: As at 19 May 2015, the FSA Instruction no 1 / 2015 stating that the adoption of IFRS as statutory accounting basis (official accounting regulations) was postponed until 1 January 2016 entered into force. Consequently, starting with the NAV report for 29 May 2015, the accounting records under Romanian Accounting Regulations (CNVM Regulation no. 4/2011) were used for the computation of NAV for nonportfolio items.

In the previous period, starting with 1 January 2015, the FSA Instruction no. 2/2014 was in force stating that the IFRS should be the statutory accounting basis and consequently for the NAV reports as at 30 January 2015, 27 February 2015, 31 March 2015 and 30 April 2015, the accounting records under IFRS were used for the computation of NAV for non-portfolio items.

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

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Legend:

* = Represents the number of shares related to the paid in 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 the Fund's own shares bought back (Treasury shares), according to provisions of CNVM Regulation no.11/2012.

** = Include also the value of holdings admitted to trading on Rasdaq market and AeRo market (alternative regulated market)

*** = Include also the number of companies admitted to trading on Rasdaq market

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

Franklin Templeton Investment Management Ltd United Kingdom Bucharest Branch, acting as sole administrator on behalf of FONDUL PROPRIETATEA S.A

Oana Truța Legal representative

Marius Nechifor Compliance Officer

BRD Groupe Societe Generale

Victor Strâmbei Manager Depositary Department

Claudia Ionescu Director

[English translation of the original report in Romanian - for information purposes only] _____________________________________________________________________________________________________________________________________ 3

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Annex - Valuation methods used for the securities and the monetary market instruments held by Fondul Proprietatea S.A. as at 29 May 2015

The valuation methods used for the computation of the NAV as at 29 May 2015, 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 Rasdaq RGBS traded within last 30 trading days: Reference price Closing Price (according with the letter received from Financial Supervision Authority in December 2013)
• 3. Listed companies on Rasdaq XMBS and UNLS traded within last 30 trading days: Reference price - Average Price (according with the letter received from Financial Supervision Authority in December 2013)
• 4. Listed companies on AeRo market (alternative trading system) traded within last 30 trading days: Reference price – Average Price
• 5. Listed companies with no trades within last 30 trading days: Shareholders' equity / share (from the annual financial statements prepared in accordance to Romanian accounting regulations or in accordance to IFRS), Fair value/share;
• 6. Unlisted companies: Shareholders' equity / share (from the annual financial statements prepared in accordance to Romanian accounting regulations or in accordance to IFRS), Fair value / share;
• 7. Companies in insolvency or reorganisation: Valued either at zero or at the value provided by an independent valuator;
• 8. Companies in liquidation/dissolution/ bankruptcy: Valued at zero;
• 9. Companies with negative shareholders' equity, unlisted, or listed but not traded within the last 30 trading days: Valued at zero;
• 10. Companies for which the annual financial statements of the previous year were not available 90 days after the legal term: Valued at zero;
• 11. Treasury bills: Acquisition price cumulated with the accrued interest receivable calculated for the period elapsed since the date of acquisition;
• 12. Listed government bonds: Closing price (Gross price);

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13. Bank deposits: Bank deposit amount cumulated with the accrued interest receivable calculated for the period elapsed since its creation date.

Franklin Templeton Investment Management Ltd United Kingdom Bucharest Branch, acting as sole administrator on behalf of FONDUL PROPRIETATEA S.A

Oana Truta Marius Nechifor Legal Representative Compliance Officer

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

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Annex – Changes in the valuation methods used for the computation of the NAV of Fondul Proprietatea as at 29 May 2015

For the computation of the NAV as at 29 May 2015 for Fondul Proprietatea S.A., Franklin Templeton Investment Management changed the valuation methods used for the investments in the companies presented below:

1) Alcom SA

Following the decision of General Shareholders Meeting of this company to approve the financial statements for the financial year ended 31 December 2014 and to distribute dividends, the valuation method for this company has been changed from Shareholders' equity (as of 31 December 2014) per share (respectively 117.8047 Lei/share) to Shareholders' equity (as of 31 December 2014) adjusted with dividends declared per share (respectively 116.6335 Lei/share). The total impact of this change of valuation method on the Fund's NAV was a decrease of Lei 104,528.43.

2) CN Administratia Porturilor Dunarii Maritime SA

For this company, the valuation method was changed from Fair value/share (zero value) to Shareholders' equity (as of 31 December 2014) adjusted with dividends declared per share (respectively Lei 20.4381 per share) being considered that this method reflects better the fair value of this investment in the Fund's NAV. This change was due to the fact that, based on the information received from the company, the outstanding issue regarding the additional liability imposed to the company in 2012 through a definitive Court decision in connection with a construction contract (liability which at that date was higher than the company shareholders equity amount) was largely settled during the first quarter of 2015, without affecting company's equity. The total impact of this change of valuation method on the Fund's NAV was an increase of Lei 1,158,329.32.

3) CN Administratia Porturilor Dunarii Fluviale SA

Following the decision of General Shareholders Meeting of this company to approve the financial statements for the financial year ended 31 December 2014 and do not distribute dividends, the valuation method for this company has been changed from Shareholders' equity (as of 31 December 2013) adjusted with dividends declared per share (respectively 128.5194 Lei /share) to Shareholders' equity (as of 31 December 2014) per share (respectively 106.9356 Lei/share).

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

____________________________________________________________________________________________________________________________________________ FONDUL PROPRIETATEA S.A., a closed-end investment company administrated under a unitary system • Headquarters at: 78-80 Buzesti Street, 7th floor, Bucharest 1st district, postal code 011017, Romania. • Fiscal Identification Code (CIF): 18253260, registered with the Trade Registry under no: J40/21901/2005 • Register on Data Protection Notification Register under number 18668 • Subscribed share capital RON 10,965,850,800.30, Paid-up Share Capital: RON 10,638,419,685.30 • Tel.: + 40 21 200 9600; Fax: +40 21 200 9631; Email: office@fondulproprietatea.ro; Internet: www.fondulproprietatea.ro

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The total impact of this change of valuation method on the Fund's NAV was a decrease of Lei 594,720.03.

Franklin Templeton Investment Management Ltd United Kingdom Bucharest Branch, acting as sole administrator on behalf of FONDUL PROPRIETATEA S.A.

Oana Truta Marius Nechifor

Legal representative Compliance Officer

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