Investor Presentaiton

Revenue Stream 3: Community and Utilities Management ERC's extensive infrastructure investments position it as the exclusive utilities and services provider - a model that generates sustainable cash flows • • Water ERC invests in desalination plant and equipment Management and maintenance subcontracted for a fixed fee • Water sold to developers at market rates 1 cost recovery and 3 profit centers from recurring revenues Electricity ERC invests in internal electricity grid ⚫ ERC is the licensed electricity distributor • Electricity sub-station in design phase. Once online will result in substantially higher profit margins Communications • ERC invests in equipment and • black fiber network throughout entire site Services supplied through project partners: High-Speed Internet • VOIP IPTV Other Services Supply of Community Services ⚫ Ernst Body Corporate designed the community administration procedures and community rules and regulations ERC hired a team of professionals who currently manage and administer the community and its resources • Volume and quality-based pricing Potable: • Apartments: EGP 15.00 per m³ • Hotels: EGP 10.00 per m³ Irrigation: 3 • Golf and Green: EGP 6.25 per m³ • Capacity: 14,000 m³ current 75,000 m³ - 2035 (est.) Gross Margins of 50%+ • • Guiding Economics Budgeted CAPEX of EGP 100 million for a new 40 MW substation Capacity: 20 MW - current 300 MW 2035 (est.) ⚫ Gross Margins TBA post sub-station • Quad-play fiber optic cables completed in Phases I and II • Tevotech & LinkdotNet selected as business partners • ERC's revenue share = 15%-40% of revenues • Fees are based on community management model as cost recovery • 15% management fees starting 2016 31 34 Investor Presentation 3Q 2015 ERC Egyptian Resorts Compeny

View entire presentation