RomReal hereby announces the highlights in connection with the Q4 2010 results:
- Statutory Net Asset Value (NAV) under IFRS was EUR 0.63 (NOK 4.9) per share at the end of Q4 2010, a decline of 21.8% compared to the end of Q3 2010. This was mainly a result of a decrease in the value of investment properties as determined by the independent valuator. The significant lack of transactions in the current Romanian real estate market makes it very difficult for the valuators to find meaningful transactions that can serve as benchmarks for valuations.
- With the latest asset writedown, the book value of RomReal's land bank is now roughly 70% lower than it was at the peak of the market in early 2008.
- Pre-tax loss in Q4 2010 of EUR 9.82 million due to the asset writedown that has absolutely no cash effect on the Company. Total assets at the end of Q4 2010 were EUR 44.37 million.
- The company has sold one of its plots, the Bus Station plot located in central Constanta, with a size of 5,437 sqm for EUR 2.3 million.
- During Q4 2010, the company has signed an extension to the loan agreement with Alpha Bank to prolong the maturity of the loan for another 2 years until 30 November 2012. As part of the process the company made a partial repayment of the loan principal amounting to EUR 2.1 million.
RomReal invites investors, analysts and media to the results conference call, to be held at 9.00 a.m. Oslo time on Friday 25th February 2011.
Those who would like to attend the conference call should dial:
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The conference call will be recorded and made available to download from www.romreal.com shortly after the call has ended.
For further information, please contact:
Harris Palaondas,
Investor Relations
Mob: +40 73 11 23 037
E-mail: investors@romreal.com
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
