#1Investor presentation 22 November 2012 Etalon Group#2Disclaimer IMPORTANT: You must read the following before continuing. The following applies to the presentation (the "Presentation") following this important notice, and you are, therefore, advised to read this important notice carefully before reading, assessing or making any other use of the Presentation. In assessing the Presentation, you unconditionally agree to be bound by the following terms, conditions and restrictions, including any modifications to them any time that you receive any information from Etalon Group Limited ("Etalon Group" or the "Company") as a result of such access. 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Etalon Group 00 01#3Today's presenting team Viacheslav Zarenkov Chairman of the Board of Directors Founding shareholder and President of Etalon Group Founded Etalon in 1987 Anton Evdokimov CFO of Etalon Group Member of the Board of Directors With Etalon Group since 1998 Dmitri Boulkhoukov Head of Investments of Etalon Group Member of the Board of Directors With Etalon Group since 2007 ✓ Etalon Group 02 70#4Construction programme: update Updated construction programme, ths sqm of NSA 1000 900 800 800 800 700 707 600 500 583 -582- 400 300 485 Actual delivery +57% 413 467 364 323 328 200 209 100 0 Proven 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 capacity =2008 St Petersburg +2011 MMA deliveries Quarterly deliveries of NSA, ths sqm Actual Construction program (acquired projects) Projects under acquisition Certain amount of transfers will happen in 2013 Certain amount of transfers will happen in 2014 439 500 450 400 350 300 250 200 150 100 50 0 146 107 111 28 42 40 289 211 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 Source: company estimates Etalon Group 03 33#52012 eight step programme & 25% growth in NCS in 2012 New projects scheduled for launch in 2012 Projects in MMA A8 Project NSA, ths sqm Status A2 Tsarskaya stolitsa 384 Expect to launch next year A8 Etalon-City 419 Expect to launch next year A1 Lastochkino gnezdo 311 Launched A6 Rechnoy 114 Construction permit obtained, launch due 11/2012 A4 Molodejny 112 Expect to launch before year end A7 Letniy 65 Launched A3 Galant 49 Expect to launch before year end A5 55 Marshala Tukhachevskogo 24 Launched Total 1,478 Projects in SPMA New contract sales, ths sqm 500 450 400 437 350 A5 300 250 A2 200 A4 A3 150 100 A6 50 A7 0 2008* Etalon Group 160 2009 +33% 212 2010 +27% 270 +25% 337 2011 FY 2012 Annualized new contract sales based on 1H 2012, St. Petersburg only 4 04#6Project Lastochkino gnezdo: Planning permit for 2nd stage obtained • • Overview Located close to Neva river in 500 m from Oktyabrskaya embankment (approximately 20 minutes by car to the centre of St. Petersburg) - and just 2 km to the KAD ring road Second largest project on sale in St. Petersburg. 311 ths sqm planned NSA Consists of 2 phases. Etalon Group launched project in 2012 and plans to complete in 2015 Cash collections are expected at USD 670 mn Location Planning permit 12.11.2012 Lastochkino gnezdo Design stage In the course of DD and negotiations Under construction » Etalon Group ПРАВИТЕЛЬСТВО САНКТ-ПЕТЕРБУРГА ПОСТАНОВЛЕНИЕ окуд Об утверждении проекта планировки с проектом межевания территории, ограниченной Октябрьской наб., ר проектируемым проездом, проездом № 1, административной границей Санкт-Петербурга, в Невском районе 226015/2012-14845(2) No 1196 И B В соответствии со статьей 45 Градостроительного кодекса Российской Федерации целях обеспечения градостроительного развития территории, ограниченной Октябрьской наб., проектируемым проездом, проездом №1, административной границей Санкт-Петербурга, в Невском районе Правительство Санкт-Петербурга ПОСТАНОВЛЯЕТ: 1. Утвердить проект планировки территории, ограниченной Октябрьской наб., проектируемым проездом, проездом № 1, административной границей Санкт-Петербурга, в Невском районе в составе: 1.1. Чертеж планировки территории, ограниченной Октябрьской наб., проектируемым проездом, проездом № 1, административной границей Санкт-Петербурга, в Невском районе (красные линии, линии связи, объекты инженерной и транспортной инфраструктур) согласно приложению № 1. 1.2. Чертеж планировки территории, ограниченной Октябрьской наб., проектируемым проездом, проездом № 1, административной границей Санкт-Петербурга, в Невском районе (линии, обозначающие дороги, улицы, проезды, проходы к водным объектам общего пользования и их береговым полосам; границы зон планируемого размещения объектов капитального строительства) согласно приложению № 2. 1.3. Положение о размещении объектов капитального строительства, характеристиках планируемого развития территории и характеристиках развития систем социального, транспортного обслуживания и инженерно-технического обеспечения, необходимых для развития территории, ограниченной Октябрьской наб., проектируемым проездом, проездом № 1, административной границей Санкт-Петербурга, в Невском районе согласно приложению № 3. 2. Утвердить проект межевания территории, ограниченной Октябрьской наб., проектируемым проездом, проездом №1, административной границей Санкт-Петербурга, в Невском районе в составе: 2.1. Чертеж межевания территории, ограниченной Октябрьской наб., проектируемым проездом, проездом №1, административной границей Санкт-Петербурга, в Невском районе (красные линии, границы зон с особыми условиями использования территории) согласно приложению № 4. 55 05#7Appendix Etalon Group 90 06#8At a glance Presence in rapidly growing markets •Dominant player in "comfort class" (sweet spot between economy and business class) in Russia • Focus on "Golden Triangle" of Moscow, Greater Moscow Area and St. Petersburg • Leader in St. Petersburg* real estate market with c. 11% market share(1) Strong delivery track record • 3.0 mln sqm commissioned since • inception in 1987 25 years of construction & development experience True vertical integration • All stages of development cycle • Large-scale multi-phase projects • Country-wide sales network • 40 business units with c. 4,000 people * St Petersburg metropolitan and Moscow metropolitan areas respectively (1) Average annual market share of total residential completions in the private sector (excluding individual construction) between 2000 and 2011 in St. Petersburg; (2) Net debt as of 31.12.2010, EBITDA for 2010; based on audited consolidated IFRS accounts of Etalon Group; (3) 'B' long-term & 'B' short-term corporate credit ratings of SSMO LenSpetsSMU with 'Stable' outlook (last reconfirmed on 10.01.2012); Liquidity and credit ratings • Secure liquidity position supported by pre-sales cash collections • Low leverage: 0.6x Net debt / EBITDA as of 31.12.2010 (2), Net cash = US$167 mln as of 31.12.2011 • Credit rating by S&P's: B/Stable/B (3) Rapidly expanding projects portfolio • Land bank of 3.78 mln sqm (equivalent of c. 16 Empire State Buildings) • Land bank sufficient until 2017 • Projects portfolio focused on cash-flow generation • Focus on comfort class segment •⚫ Land bank secured to 2x delivery volume by 2012 and 4x by 2014 Corporate governance • 10 BoD members, five NEDS • Fully accomplished Board of Directors with appropriate representation of interests of all investor groups • Quarterly trading updates and semi-annual financial reporting • Official guidance on deliveries and new contract tales Ticker Market capitalization Share price ETLN:LI USD 1,401 mln (21.11.2012) USD 4.75 (21.11.2012) Portfolio composition Total unsold NSA breakdown 45% 55% ■SPMA as of 31.12.2011 ■MMA as of 31.12.2011 1% 1% ■Residential under construction Residential design stage 43% 55% ■Completed residential Standing commercial Etalon Group 07#9Multiple generations of growth opportunity 22mn Total # of households in target market 6300 12% MMA and SPMA are the most attractive residential markets in Russia MMA & SPMA - most populated Russian regions... Total: 142mn(4) Potential demand estimation (ths. households) Potential demand estimation (mn sqm) 50 45 8000 1700 40 35 85% MMA SPMA Other ...with growing demand for residential real estate Population growth/ (decline) in 2007-2010(4) Households with income within target price-range Households planning to improve living conditions Satisfied households 56% (8) Households with preference for primary market 622 Secondary preference 1.3% Indicative 0.6% Regional demand 0.4% potential market(3) 622 Investment demand ■Secondary prefernce 30 Higher 1852 Lower income income 25 20 Opportunity gap 60% (7) 15 1111 10 5 3.3 2.7 3.2 Béliveric 0 2008 2009 2010 201 Potential demand households * 75 sqm = 46.7 mn sqm 622 SPMA MMA MMA SPMA Other The above set of simple assumptions further supports the existence of significant unsatisfied demand for value-added housing in MMA and SPMA (1)Company estimates based on Rosstat's methodology and data; includes additional demand from mortgage users share of sales with mortgage in total sales is 12%, according to MER (assuming no overlap between mortgage and instalments customers); (2)1H2010 new supply volume of Middle Class residential properties on the primary market, according to MIAN and SPb Realty, converted from sqm into housing units, assuming that 1 flat = 85.3 sqm (average flat size in Russia in 2009, Rosstat)); (3)The demand structure shown on the pie chart is for indicative purposes; (4) Rosstat data as of January 2010; (5) Residential real estate commissioning, excluding individual construction; (6) Calculated as residential real estate commissioning volume in 2009 (excluding individual construction) multiplied by average real estate RUR prices on the primary market in 2009 and divided by end of period official CBR RUR/US$ exchange rate in 2010 (RUR/US$ 30.5); (7)60% of households plan to improve living conditions (source Rosstat; Comcon, 2010); (8)56% of consumers prefer primary vs. secondary residential real estate market (Source -Metrinfo survey in Moscow, 1H 2010) Etalon Group 08 80#10Unique price, product and market combination Etalon Group is attractively positioned in high quality, yet affordable real estate segment Real estate price segments of presence vs. competitors Supply structure by volume(2) (2H 2010) MMA SPMA Regions PIK SU-155(1) LSR SU-155(1) RGI International PIK SU-155(1) YIT St. Petersburg 9% 14% Total: 1.1mn sqm LSR LSR RGI International »Etalon Group Sistema-Hals Mirland Don-Story(1) Inteco (1) Lower Medium Upper Lower Economy Class Medium Upper Medium Class Panel Poured concrete Premium Class 77% Moscow 10% Total: 1.9mn sqm 46% 44% 1% 5% 94% Moscow Region Total: 13.7mn sqm Economy class Middle class Premium class • . Etalon Group is positioned in Upper Economy Class and Lower Middle Class - market segment with fewer number of competitors Economy Class and Middle Class price segments dominate both SPMA and MMA real estate markets, with marginal share of premium class Competitive pricing combined with upscale poured concrete technology is able to target a very wide universe of customers (1)Non-public peers (2) Based on the total area of residential apartments available for sale on primary market at the end of 2H 2010 Etalon Group 9#11Nationwide sales & marketing network supports sustainable contracting Powerful sales network across the country Regional population actively buys apartments in Moscow and St. Petersburg Murmansk Monchegorsk SPMA Arkhangelsk Naryan-Mar (Nenetskiy AD) Cherepovets Yaroslavl Etalon Group's regional sales geography (2010) (2) Region Leningrad region Khanty-Mansijsk AD Yamalo-Nenets AD Kamchatsky Krai Sakhalin region Share in sales 3.9% 3.2% 2.0% 1.9% 1.2% ⚫ Ukhta Magadan region 0.9% Noviy Urengoy Petropavlovsk- Kamchatskiy Yakutia 0.6% (Yamalo-Nenetskiy AD) MMA ● Norilsk Yakutsk Nenets AD 0.2% Magadan Nizhny Tagil Kazan Noyabrsk (Yamalo- Nenetskiy AD) Mirniy Other Russian regions 9.9% Khanty- Foreigners 0.6% Stavropol Chelyabinsk Mansiysk Surgut Total: 28.5% Nizhnevartovsk Orenburg Khabarovsk Uzhno- Sakhalinsk Krasnoyarsk ●Irkutsk Etalon Group's sales offices / representatives Established relationships/ partnerships with local sales agencies Vladivostok ⚫ Nakhodka The Group's flats are sold in 9 out of 10 richest Russian regions Disposable income (US$)(1) Moscow NenetsAD 11343 1247 Yamalo-Nents AD 1084 Chukotka 1064 Sakhalin 1025 Khanty-Mansijsk AD 995 873 866 841 789 603 ● • • Etalon Group sales force is focused on the regions with the largest disposable income Key markets: SPMA and MMA 30 cities covered with 10 sales offices in St. Petersburg and 10 sales offices nationwide External professional marketing and sales service agents engaged nationwide (1) Average monthly disposable income, Rosstat data as of 3Q 2010; RUR values were converted into US$ at official CBR average exchange rate in 3Q 2010 (30.62 RUR/US$); (2)Source: management accounts St. Petersburg Kamchastsky Krai Magadan Yakulia Russia average Etalon Group's target regions Etalon Group 10#12Strategic vertical integration: control over costs, quality and timing Etalon Group operates in every part of property development process 40 business units > 4,000 people Land Acquisition & Permits Design 2 management companies Construction Materials Funding Independence from suppliers, but only in crucial areas Construction Contracting & Commissioning 5 general contractors 16 subcontractors Tower Cranes Construction Effective Capital Recycling Control over costs, quality & timely delivery of the projects Sales & Marketing Ongoing Maintenance & Service I I Business stability and lower risk of counterparties' dependence Understanding of customer needs (sales network throughout the country) (1) Brick plant and concrete products plant. Own production only for "bottleneck" construction materials (2)38 Liebherr tower cranes (of which 37 were manufactured in 2006-2008). Data as of 31.12.2010 (3) Construction to third parties Etalon Group 11#13Board of Directors represents interests of all investor groups FOUNDERS Viacheslav Zarenkov Chairman of the Board of Directors, Founding shareholder and President of Etalon Group Experience and awards • 43 years of experience in construction industry Honored builder of Russia (1) Education • Institute of Civil Engineering and SPb University of the Internal Affairs ⚫ PhD in Economics, PhD in Technical Sciences, PHD in Architecture, Professor Dmitri Zarenkov First Vice-President • 16 years of experience in construction industry • of Etalon Group Experience and awards Honored builder of Russia(1); Certificate of Honour of the Ministry of Regional Development Education • Institute of Aeronautical Instrumentation, SPb University of Architecture & Civil Engineering and SPb University of Internal Affairs ⚫ PhD in Engineering NON-EXECUTIVE DIRECTORS Michael John Calvey Senior partner at Baring Vostok since 1999 Alexey Kalinin Senior partner at Baring Vostok Experience and awards Member of the board of Europlan, Volga Gas, Gallery Media Group, etc. Worked at EBRD, Salomon Brothers, Sovlink Corporation • Ex-Member of the board of CTC Media, Golden Telecom, Burren Energy Education • University of Oklahoma and London School of Economics Experience and awards • With Baring Vostok since 1999 Worked at Alfabank and Alfa Capital • Chairman of the Board of Directors at Volga Gas, member of the board of directors at Samarenergo and two Russian glass companies Education • Moscow Power Engineering University ⚫ PhD in Engineering Martin Cocker INED at Etalon Group Experience and awards 16 years of experience in audit, 3 years in construction industry • Runs his own development business in Portugal • Worked at Deloitte & Touche, KPMG and Ernst & Young in Russia, Kazakhstan and UK Education University of Keele Peter Touzeau Client Director at International Private Equity Services (Guernsey) Limited Experience and awards Director of the General Partners Boards of a number of Guernsey private equity funds • Director of the Board of the Investment Advisor to the funds investing in Russia, board member of a number of their portfolio companies • Worked at Sedgwick Management Services (Guernsey) Limited, Marsh Management Services (Guernsey) Ltd Education • Oatlands College Anton Poriadine INED at Etalon Group Experience and awards • 10 years of experience in strategy consulting at A.T. Kearney. Partner and Vice President at A.T. Kearney • Previously project manager at Barents International Markets B.V., Corporate Development and Project Finance Director at Torno Internazionale S.p.A., deputy General Manager of St. Petersburg Foundation for Enterprise Development Education • St. Petersburg Technical University and Business School at the University Of Rochester EXECUTIVE DIRECTORS Alexander Shkuratov Advisor to the President of Etalon Group Experience and awards • 6 years of experience in construction industry • Worked at Baring Vostok, Carlyle Group, E&Y, Deloitte Education • Finance Academy under the Government of Russia (1) Title granted by President of Russia ✓ Etalon Etalon Group Anton Evdokimov CFO of Etalon Group • Experience and awards 26 years of experience in construction industry • Certificate of Honour of the Ministry of Regional Development of Russia Education ⚫ Leningrad Engineering Construction Institute, SPb State University and International Banking Institute, MBA Dmitri Boulkhoukov Head of investments of Etalon Group Experience and awards • 6 years of experience in construction industry • Worked at Renaissance Partners, Carlyle Group, Deloitte, E&Y Education • Moscow State University named after Lomonosov 12#14Strong corporate governance and cornerstone international investor Corporate governance structure General Shareholders Meeting Board of Directors Current shareholding structure 27.9% Board Committees • Chairman (V. Zarenkov) • 4 Executive Directors Remuneration Committee 12.5% • 5 Non-Executive Directors, including two Independent Directors Nomination Committee Management Team Audit Committee • 1 INED (Chairman) 1 NED Source: Company data (1)includes Baring Vostok Etalon Group 2 Executive Directors 12.4% Founders Management Institutional investors Free float As of 15 April 2011 47.2% 13#15Revenue recognition scheme Timing 3-5 years Total development period range: 39-59 months 12-18 months 18-30 months 6-8 months 3 months Stages of residential real estate Zoning & initial permit documentation development Investment contract, planning & construction permit Construction State Pre-sale commission, Act of acceptance signed Ownership rights registration Cash & revenue recognition Instalment programs High permission risk Permission risk vs. Project value Low entry price Source: Company data Etalon Group Medium-low permission risk Medium entry price Etalon Group focus Up to 90% pre-sold and accounted in cash flows 1 Revenue is recognized when the Act of acceptance is signed by the buyer • Etalon Group provides its customers various instalment plans The terms of these installment programs are agreed on individual basis 14#16Industrial construction Description •Etalon Group is a leader in industrial construction in the North-West region of Russia with superb track record throughout its history Track-record •We have contributed to 15 milestone projects •Heat & power station, two hotels, four car assembly plants, shipyards, machinery plant, fitness and sports center etc. Strategy •12 projects under way •Etalon Group plans to continue developing its industrial construction operations and maintain its share in total business Diversification benefits •Ability and expertise to provide quality construction services to well-known international and local companies facilitates Group's brand development •Allows to maintain skilled work force during market downturn Selected industrial projects completed by Etalon Group Toyota Poling and gridding Nissan NISSAN Infrastructure & site for the finished good Satellite Antennas Production Plant Turn-key project, which involved design and construction of an industrial building Ford GM Design & construction (increase of production capacities) Poling & road infrastructure construction Pulkovo customs Admiralty Shipyards Construction of workshop & transportation utilities North-West Heat & Power Station Full construction cycle Foundation construction for a cooling tower and main building Almazov Medical Complex Renovation of the existing building and building up two additional floors Etalon Group 15#17Income statement Mn USD Revenue 2009 2010 2011 1H 2011 1H 2012 635.6 668.7 773.8 329.6 397.7 Cost of sales (347.0) (364.6) (404.5) (166.4) (255.1) Gross profit 288.6 304.1 369.3 163.1 142.6 General and administrative expenses (45.3) (67.4) (79.2) (35.7) (39.1) Selling expenses (4.1) (19.4) (29.1) (11.8) (12.7) Other expenses, net (6.2) (5.8) (0.9) 1.3 (0.9) Results from operating activities 233.0 211.5 260.1 116.9 89.9 Finance income 7.1 9.3 49.0 8.2 12.0 Finance costs (33.0) (22.0) (2.0) (0.7) (3.1) Net finance costs (25.9) (12.6) 47.0 7.5 8.9 Share of profit of equity accounted investees (net of income tax) 0.1 0.0 0.0 0.0 0.0 Profit before income tax 207.1 198.9 307.1 124.5 98.8 Income tax expense (45.1) (44.6) (53.9) (28.2) (21.3) 162.0 154.3 253.1 96.3 77.5 Profit for the period Profit attributable to: Owners of the Company Non controlling interest Profit for the period Source: audited consolidated IFRS accounts for 2009, 2010, 2011 and condensed consolidated IFRS accounts for 6M 2012 Etalon Group 155.4 152.3 249.5 95.3 76.6 6.6 1.9 3.7 1.0 0.9 162.0 154.3 253.1 96.3 77.5 16#18Balance sheet Mn USD 2009 2010 2011 30/06/2012 Mn USD 2009 2010 2011 30/06/2012 Assets Equity and Liabilities Non-current assets Equity Share capital 64.6 PP&E 55.0 54.5 62.4 65.6 Retained earnings 176.1 64.0 465.2 333.2 549.8 456.0 609.7 Other long-term investments 1.1 1.3 2.7 1.5 Total equity attributable to equity Trade and other receivables 26.7 26.7 17.1 14.4 240.6 397.3 1,015.0 1,065.7 holders of the Company Deferred tax assets 36.9 8.6 21.1 16.3 Non-controlling interest Other non-current assets 0.1 1.1 2.9 0.3 Total equity 25.6 266.2 15.1 412.3 1,026.6 11.6 13.3 1,079.0 Total non-current assets 119.7 95.1 106.2 98.0 Non-current liabilities Current assets Long-term debt 85.1 219.9 262.6 227.5 Inventories 883.5 841.6 995.2 1,054.6 Long-term trade and other 12.6 8.6 1.5 0.9 Trade and other receivables 128.2 130.1 232.1 249.8 payables Short-term investments 0.9 11.2 41.2 92.4 Provision 2.7 2.7 2.4 1.9 Cash and cash equivalents 113.0 119.3 449.8 404.5 Deferred tax liabilities 27.8 1.3 3.0 8.3 Other current assets 0.8 1.9 1.1 0.4 Total non-current liabilities 128.2 232.4 269.5 238.5 Total current assets 1,126.4 1,104.0 1,719.4 1,801.8 Current liabilities Total assets 1,246.1 1,199.1 1,825.6 1,899.8 Loans and borrowings 108.2 Trade and other payables Provisions 679.8 46.7 468.6 420.5 60.6 102.8 443.9 Total current liabilities Total equity and liabilities 63.6 39.0 851.6 554.4 529.5 1,246.1 1,199.1 1,825.6 48.4 35.5 582.3 1,899.8 Source: audited consolidated IFRS accounts for 2009, 2010, 2011 and condensed consolidated IFRS accounts for 6M 2012 Etalon Group 17#19Cashflow statement Mn USD Operating Activities 2009 2010 2011 1H 2011 1H 2012 Mn USD 2009 2010 2011 1H 1H 2011 2012 Profit for the period 162.0 154.3 253.1 96.3 77.5 Investing Activities Adjustments for Proceeds from disposal of non-current assets 3.4 1.0 4.0 3.4 1.3 Depreciation and amoritasation 6.5 9.4 9.0 4.4 6.8 Interest received 6.3 3.1 4.8 2.4 8.2 (Gain/loss on disposal of PP&E (2.0) (0.0) (3.1) (2.1) (0.9) Acquisition of PP&E (7.0) (10.8) (24.7) (6.7) (9.7) Loss on disposal of subsidaries 0 0.2 0.0 0.0 0.0 Loans given (8.4) (3.5) (8.6) Share of profit on equity (2.1) (0.4) (0.1) 0.0 0.0 0.0 accounted investees 0.0 Loans repaid 0.2 2.0 8.0 1.9 0.8 Gain/(loss) on disposal of other 0.0 0.0 (0.8) (0.8) Acquisition of subsidiaries, net of cash acquired 0.5 0.3 0.0 0.0 0.0 investments 0.0 Finance cost, net 24.3 16.1 (48.5) (7.4) (7.8) Disposal of subsidiaries, net of cash disposed of 0.0 (1.2) (0.6) 0.0 0.0 Impairment losses on loans given 2.4 0.0 0.0 0.0 0.0 Acquisition of other investments 0.0 (9.1) (34.9) (17.3) (54.9) Income tax expense 45.1 44.6 53.9 28.2 21.3 Net cash used in investing activities (4.9) (18.3) (52.1) (18.4) (54.7) Cash from operating activities Financing activities: before changes in working 238.2 224.6 263.7 118.6 96.9 capital Proceeds from IPO 0.0 0.0 458.9 472.2 0.0 Change in inventories 81.6 50.0 (180.6) (62.0) (68.1) Proceeds from issue of share capital 0.0 0.0 0.0 0.0 0.0 Change in accounts receivable (26.0) (6.6) (98.4) (32.0) (13.1) Acquisition of non-controlling interest 0.0 (3.2) (0.1) 0.0 0.0 Change in accounts payable (196.2) (219.2) (27.8) (15.3) 46.9 Change in provisions 13.2 (24.2) 12.5 (5.3) (13.4) Proceeds from disposal of non-controlling interest 0.0 0.0 0.8 0.8 0.0 Change in other currents assets (0.5) (1.1) 0.8 1.0 0.7 Proceeds from borrowings Income tax paid (15.9) (35.6) (64.5) (48.0) (30.6) Repayments from borrowings Interest paid (26.0) (26.8) (37.4) (19.2) (15.6) 272.2 355.3 216.2 79.8 (303.4) (283.7) (164.0) (27.2) 90.6 (80.1) Net cash provided by operating activities 68.6 (39.0) (131.8) (62.2) 3.7 Acquisition of own shares Dividends paid 0.0 0.0 (15.6) 0.0 (0.4) (1.0) (1.3) 0.0 0.0 0.0 Net cash (used in) from financing activities Net increase in cash and cash equivalents Cash & cash equivalents at the end of the period (32.1) 67.1 496.1 525.6 10.1 31.6 9.9 312.2 445.0 107.5 119.7 492.8 565.2 (40.9) 434.2 Source: audited consolidated IFRS accounts for 2009, 2010, 2011 and condensed consolidated IFRS accounts for 6M 2012 Etalon Group 18#20Etalon Group Limited Ogier House St Julian's Avenue St Peter Port Guernsey GY1 1WA Etalon Group Tel: +44 (0)20 8123 1328 Fax: +44 (0)20 8123 1328 Email: [email protected] 19