Etalon Group - Expanding Portfolio for Robust Growth

El Grou Key takeaways ☐ Better than expected progress on acquisitions 518 ths sqm of NSA acquired since IPO, more than 40% out of planned at IPO Most of the acquisitions were financed via operating cash flow IPO proceeds largelly remain on the balance sheet Solid progress on sales ■ New contracts concluded in 1H 2011 up 41% compared to 1H 2010 (by area contracted) Progress in MMA ■ New project on Dmitrovskoe Shosse acquired (NSA 220 ths sqm, upgraded to 350 ths sqm), 5 new projects in the course of DD and negotiations ■ Etalon-City: Master plan is expected to be approved by Moscow authorities by the end of 2011. Construction permit for 1st stage of Etalon-City is planned to be obtained during H1 2012 ☐ Emerald Hills: Delivery of 1st stage of Emerald Hills on schedule for 2011. Pre-sales of 2nd stage under way Robust EBITDA growth and better than expected margins 1H 2011 EBITDA is up 25% in US$ compared to 1H 2010, EBITDA margins increased to 38% Strong balance sheet position to benefit from higher quality deal flow ■ Net cash as of 30/06/2011 is USD 271 mln ■ Long-term debt properly balanced between RUR and USD ✓ Etalon Group 38

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