Union Properties PJSC — Earnings Release 2011

Aug 11, 2011

Union Properties PJSC and Subsidiaries Earnings Release Six Months Ended June 30, 2011

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Highlights--

• H1 6M 2011 Revenues – AED2,249 million

• H1 6M 2011 Gross Operating Profit – AED415 million, growth of 37% Y-o-Y

• H1 6M 2011 Operating Profit AED 157 million, before provision on valuation of properties, growth of 4% Y-o-Y

• H1 6M 2011 Net Loss – AED439 million

• Total assets AED13.4 billion

• Total shareholders’ equity AED3.5 billion

Revenue for 6 months to 30[th] June 2011 was AED2,249 million, compared to AED1,558 million for 6 months to 30[th] June 2010, an increase of 44%.

Operating Profit of AED157 million, before provisions on valuation of properties, reflects consistent operating performance, and is 4% higher than AED151 million for H1 2010.

Net Loss of AED439 million compares with net loss of AED299 million at H1 2010, and is the result of non-cash provision against valuation of properties.

Total consolidated bank debt (short and long term, including that of subsidiaries) at the end of H1 2011 stood at AED6.2 billion down from AED6.9 billion at H1 2010. This is due to repayment of debt as the Company progressively continues to handover properties in the Index Tower and Limestone House in the Dubai Financial Centre during 2011.

While all segments of the business have continued to perform well in line with expectations.

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Union Properties PJSC and Subsidiaries Earnings Release Six Months Ended June 30, 2011

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About Union Properties

Union Properties (www.up.ae) is a public company listed on the Dubai Financial Market. It is one of UAE’s leading property development, investment and management companies.

The Company was established in 1987 as a limited liability company, and then floated as a public company in 1993. The following decade saw consistent organic growth on an impressive scale. The Company's ability to provide premium turnkey real estate solutions enabled it to benefit from an excellent choice of business partners: investors, developers, designers and property residents. Over the years, the Company's consistent results speak for themselves in terms of the net profit, as well as growth in assets and shareholders’ equity.

Astute investment in a variety of diverse resources helped Union Properties refine its products offering to deliver a superior and comprehensive range of property services across the development and management value chain. Union Properties business currently covers Property investment and development, Property Management, Interior Design & Fitout, Project Management, Facilities Management, Electro-mechanical contracting, Serviced Offices, Hospitality and District Cooling.