Annual Report. Future Park Leasehold Property Fund

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1 For period from January 1, 2013 to December 31, 2013 TRANSLATION This English version of this Annual Report is only for informational purposes. Interpretation and construction must still be based on the Thai Text.

2 Table of Contents Page Messages from the Management Company 1 2 Name List of Fund Manager 5 Details of Investment 6 Details of the lmmovable Properties 7 Details of Purchase and Lease of lmmovable Properties 8 Details of Sale or Leasehold Rights Transfer of Immovable Properties 8 Details of Loan of Fund 9 Property Market Situation and Outlook 10 Total Expenses as called from Property Fund 11 List of Related Persons having transactions with the Fund 11 managed by BBL Asset Management Company Limited List of Soft commission 12 Mutual Fund Supervisor Report 13 Auditor Report and Financial Statements 14 BBL Asset Management Company Limited 45

3 Messages From the Management Company To Unitholders As we have managed of for the accounting year ended 2013, we kindly submit the Annual Report with the Auditor Report, the Supervisor Report for the period of 1 January December 2013 and Details of Loan of Fund. The reports include all the details of our current portfolio and description on invested property to all of our unitholders. In this connection, we would like to express our sincere thanks to the trust of all unitholders who have been extended to us for your investment management. Sincerely yours, BBL Asset Management Co., Ltd. 1

Abbreviation as FUTUREPF The Asset Management Company BBL Asset Management Co., Ltd. Type of the Fund Project Closed-end Property fund Project Life Not Specified.

4 Abbreviation as FUTUREPF The Asset Management Company BBL Asset Management Co., Ltd. Type of the Fund Project Closed-end Property fund Project Life Not Specified. Objectives The purposes of the Fund are to mobilize funds from general investors, both natural persons and juristic persons in both domestic and foreign countries which are used to purchase and/or take on lease immovable properties. The Fund will accept the transfer of ownership and/or leasehold rights and derive benefits from the immovable properties by letting out on lease or sublease, transferring and/or disposing of immovable property invested or acquired by the Fund, and by improving, changing, developing and/or disposing of the various properties invested or acquired by the Fund, whether by the granting of a lease and/or sale and/or by other means relevant and necessary to make use of the immovable properties in return for income and yields for the Fund and its unit holders, including to invest in other properties and/or securities and/or to acquire other fruits by any other means stipulated by the Securities Law and/or other relevant laws. Investment of the Fund 1 st Investment: Land Title deed????? no.???? 310 and ??? Lease Lease part of Building Rangsit Plaza????????? FUTUREPF FUTUREPF Pipatanasin leases out Owner of Buildings Rangsit Plaza leases out As of 24 November 2006, the Fund has invested in the rights to the lease of Future Park Rangsit project which is a completed commercial center built on land title deeds no. 310 and with total land area of 108 rais, 1 ngan, 67.5 square wah (Pipatanasin Co., Ltd. owns the lands and has entered into a land lease agreement with Rangsit Plaza Co., Ltd. which owns the buildings). The Fund has invested in the lease rights to parts of the buildings where there are not subject to long-term leases with up-front payment, with total usable area of 52, square meters and rights to generate income from the common areas totaling 48, square meters including the outside walls of the Future Park Rangsit buildings. The income generation shall be in the forms of rent, provision of service, giving rights to the use of space or other forms of generating income. The term of the lease rights to the space is 20 years from 24 November 2006 to 31 December

5 The Fund had initially invested and entered into a lease agreement with Rangsit Plaza Co., Ltd. covering 52, square meters of useable area and parts of the Future Park Rangsit Project that could generate income of 7, square meters (from the total common area of 48, square meters as per the lease rights agreement with Rangsit Plaza Co., Ltd. signed at the Land Department on 24 November 2006 signed, for the total income generating area of 60, square meters. Investments from the first capital increase The fund raised not more than Baht 900 million by issuing additional units for subscription and obtained not more than Baht 600 million from bank borrowings, together amounting to not more than 1.5 billion Baht of funds mobilized. 1. The extension of the lease rights to the Future Park Rangsit Project with total area of 53, square meters and rights to the use of parts of the common areas of 47, square meters which include 8, square meters of income-generating common area and rights to the outer walls of the Future Park Rangsit Project buildings and other assets that are related and necessary for the use of the buildings for generating income for another 15 years (from 2027 to 2041) and 2. Investment in the rights to lease the Future Park Rangsit Project buildings for the additional leasable spaces that have no previous leases with Rangsit Plaza Co., Ltd. totaling 3, square meters for a period of 29 years from the of related agreements to the year 2041 ( Additional Assets to be invested ) Rangsit Plaza Company Limited still acts as the Property Manager. Dividend Payment Policy The Fund Project pays dividend to unitholders at least twice a year. (1) If the Fund reports a net profit in any accounting period, the Management Company shall pay dividend to unitholders at the rate of no less than 90 percent of the net profit not including unrealized profit from appraisal or reviewed appraisal of real estate or leasehold rights to real estate for the said accounting period. (2) If the Fund reports retained earnings in any accounting period, the Management Company may also pay to unitholders dividend from the said retained earnings. Provided that dividend payment under (1) shall not increase the Fund s accumulated loss for the accounting period when dividend is paid. Dividend payment under (1) and (2) by the Management Company shall be completed within 90 days of the end of the accounting period when dividend is paid. In the event that the Management Company is unable to make payment by the time specified above, the Management Company shall inform unitholders and the Office of the SEC in writing. 3

6 In consideration of dividend payment, if the dividend per investment unit to be paid during a fiscal year period is lower than or equal to Baht 0.10, the Management Company reserves the right not to pay such dividend for that period whereby such dividend shall be carried forward for payment at the end of the fiscal year period. Project Capital : 6,233,161,000 Baht (Baht Six billion, Two Hundred and Thirty-Three Million, One Hundred and Sixty-One Thousand) Number of Investment Units : 529,566,100 units (Five Hundred and Twenty-Nine Million, Five Hundred and Sixty-Six Thousand and One Hundred units) Type of Investment units : Holder name specified Trustee : The Hongkong and Shanghai Banking Corp Ltd. Investment Units Registrar : Thailand Securities Depository Co., Ltd. Fund Advisor : -None- Property Manager : Rangsit Plaza Co., Ltd. No. 94, 3 rd Floor, Future Park Rangsit Building Phaholyothin Road, Tambon Prachathipat, Amphur Thanyaburi, Pathum Thani Province Tel

7 Name List of Fund Manager For the Period from 1 January 2013 to 31 December 2013 No. Name List of Fund Manager Property Fund Manager 1 Mrs. Voravan Tarapoom 2 Mr. Sudhipongse Phuaphanprasert 3 Ms. Warisara Techakulwirote 4 Mr. Apiched Ritsuwan 5 Ms. Siriphen Wangdumrongves 6 Mr. Khematat Saradatta Mutual Fund Manager (Liquidity Portion) 1 Mrs. Voravan Tarapoom 2 Mr. Peerapong Jirasevijinda 3 Ms. Sudarat Tippayatordtana 4 Ms. Dusadee Pupatana 5 Mrs. Atikarn Bhanijkasem 6 Ms. Priyanuch Klongkumnuankarn 7 Ms. Chanikarn Leelathammarat 8 Ms. Arunee Silpkarnpradit 9 Ms. Sirarat Arunjit 5

8 Details of Investment As at 31 December 2013 Assets Fair value / Market value (Baht) % of Net Asset Value 1. Cash on hand and at banks 76,886, Cash at financial institutions pledged as security 30,000, Investment in securities Bonds 409,865, Total 516,752, Investment in properties Leasehold on buildings 6,754,000, Total 6,754,000, Other assets Rental receivables, net 40,715, Other accounts receivable 842, Accrued Interest 721, Deferred Charge 10,864, Total 53,144, Total assets 7,323,896, Liabilities Other accounts payable (62,038,164) (0.97) Accrued expenses (34,400,703) (0.54) Borrowing (540,000,000) (8.47) Deposits received from customers (305,093,146) (4.79%) Other liabilities (10,694,880) (0.17%) Total liabilities (952,226,893) (14.94) Net assets 6,371,669, No of units 529,566, Units Net asset value per unit Baht 6

9 Details of the lmmovable Properties As at 31 December 2013 The Fund invested in certain leasehold rights of Future Park Rangsit Project Building covering an area of approximately 56, square meters, and the right to use the common area of Future Park Rangsit Project Building, totaling 48, square meters (of which 8, square meters can generate income), and the areas on the outside walls of Future Park Rangsit Project Building to seek benefits. Project Location Characteristics of the Project Land Area Type of Use Project Area and Area Invested by the Fund No. 94 Phaholyothin Road, Tambon Prachathipat, Amphur Thanyaburi, Pathum Thani Province. An 18 year-old, five-storey (including one underground floor), reinforced concrete building, a seven-storey car parking building situated behind the commercial center and three outdoor parking areas that can accommodate around 7,000 cars (including temporary area for 1,000 car parking spaces) (Rangsit Plaza Co., Ltd. is the owner.) Land Title Deeds No. 310 and with total area of 106 rai and 9.5 square wahs (owned by Pipatanasin Co., Ltd. which has entered into a lease agreement with Rangsit Plaza Co., Ltd.) The Fund has not invested in and has not sub-leased these pieces of land. Commercial Center Details Total Area Area Invested by of the Project the Fund (square meters) (square meters) 1. Areas within the commercial center are divided into: - Leasable areas 180, , Common areas 48, , Income generating areas 8, , Non-income generating areas 40, , Service areas 54, Indoors parking spece 115, (for parking of around 4,500 cars) 3. Outdoor parking space 100, (for parking of around 1,500 cars) Total area 499, Total income generating area 65,

10 Lease Term From November 24, 2006 to December 31, 2041 Investment in Properties Latest Appraisal Value Fee for the right to lease and use of space Baht 6,036,443,000 Expenses for obtaining such rights Baht 42,695,493 Expenses for renovations of the Commercial buildings Baht 322,607,122 Total Baht 6,401,745,615 Baht 6,754,000,000 (as of December 31, 2013) by Knight Frank Chartered (Thailand) Co., Ltd. using the income approach Income per Year From January 1, 2013 to December 31, 2013 : Baht million Legal Obligation None Details of Purchase and Lease of lmmovable Properties For the period from 1 January 2013 to 31 December None - Details of Sale or Leasehold Rights Transfer of Immovable Properties For the period from 1 January 2013 to 31 December None - 8

11 Details of Loan of Fund For the period from 1 January 2013 to 31 December 2013 Lending Bank Repayment Term Amount of loan (as of the date of the contract) Amount of outstanding loan balance (as of 31 December 2013) Proportion of loan (as of 31 December 2013) Collateral Bangkok Bank PLC. 10 years Baht 600 million Baht 540 million 8.48% of the NAV Deposits of Baht 30 million Remark : The Fund withdraw Baht 600 million of loan on 24 December

12 Property Market Situation and Outlook At the end of 2013, the total retail supply in Bangkok increased to 6.32 million sq.m., rising by 1.85% y-o-y. Bangkok s retail supply increased in downtown and the suburbs, but decreased in midtown. The suburbs area achieved the highest growth at 3.80% to 2.70 million sq.m. from The Walk Kaset-Navamin (55,000 sq.m.), Pasio Town Sukhapibarn 3 (18,000 sq.m.) follows by downtown area at 3.90% to 1.27 million sq.m. from One Fenix Square Sukhumvit 22 and midtown area with a deceleration rate of 1.40% to 2.35 million sq.m. Currently, more than half of the retail developments are in the shopping mall formats follows by department store and superstore (Tesco Lotus, Big C, Makro) which accounts for 58.50%, 21.20% and 20.30% of total retail supply respectively. The overall occupancy rate of Bangkok retail properties in 2013 stood at 95.93%, decreasing by 0.55% y-o-y. The suburban area saw the highest occupancy rate at 97.96% - decreasing 1.48% y-o-y, follows by the downtown area at 95.67% - decreasing 1.34% y-o-y, and the midtown area at 95.28% increasing 0.92% y-o-y. The overall rental rate in 2013 is approximately the same as last year. The rental rates were highest in the downtown area and lowest in suburb area. In downtown areas, the rental rates for Grade A Shopping centers range from Baht 1,800-4,000/sqm./month on the ground floor to Baht 1,520-2,600/sq.m./month on the upper floors. In midtown areas, the rental rates range from Baht 1,500-2,800/sqm./month on the ground floor to Baht 1,040-2,100/sq.m./month on the upper floors. In suburban areas, the rental rate range from Baht 1,200-3,300/sq.m./month on the ground floor to Baht 800-1,100/sq.m./month on the upper floors. The retail supply in Bangkok is set to increase. Based on projects already announced, an additional 1.62 million sq.m. will be completed within the next 2 years, increasing the total Bangkok retail supply to 7.94 million sq.m. Of this, 0.81 million sq.m. of retail space is expected to be complete in 2014, bringing the total retail supply increasing by 12.85% to 7.13 million sq.m. by the end of The overall retail outlook is expected to be in a good condition. The Retail Sales Index as of October 2013 fell to decreasing 7.55% y-o-y. This was mainly due to the problem from first-time car buyer scheme which leaves hundreds of thousands of the preemption. The uncertainty of current political situation also has an effect on consumer confidence. Source : CB Richard Ellis (Thailand) Co., Ltd. 10

13 Total Expenses as called from Property Fund For the period from 1 January 2013 to 31 December 2013 Fund's Direct Expense 1 Amount (Thousand Baht) % of Net Assets Value Management Fee 9, Trustee Fee 1, Registrar Fee 2, Property Management Fee 85, Auditing Fee 1, Insurance Premium 12, Property Tax 15, Property Marketing And Administrative Expenses 61, Interest 27, Other Expenses 2, Total Expenses 219, Remark 1 Included VAT Average Net Asset : Baht 6,261,176, List of Related Persons having transactions with the Fund managed by BBL Asset Management Company Limited As of 31 December 2013 No. List of Related Persons 1 Rangsit Plaza Co., Ltd. 2 Bangkok Bank PLC. The investor can inspect the transactions entered into with the related persons of the mutual fund at the management company directly or at the website of the management company ( and the Office of SEC ( 11

14 List of Soft commission As of December 31, 2013 COMPANY BENEFIT REASON BANK OF AMERICA, NATIONAL ASSOCIATION Research paper For fund benefit BANK OF AYUDHYA PUBLIC COMPANY LTD. Research paper and Indicative Yield For fund benefit BANGKOK BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit BNP PARIBAS Research paper and Indicative Yield For fund benefit CIMB THAI BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit CITIBANK, N.A. Research paper and Indicative Yield For fund benefit DEUTSCHE BANK AG. Research paper and Indicative Yield For fund benefit JPMORGAN CHASE BANK, NATIONAL ASSOCIATION Research paper and Indicative Yield For fund benefit KASIKORNBANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit KRUNG THAI BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit THANACHART BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit TISCO BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit UNITED OVERSEAS BANK (THAI) PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit STANDARD CHARTERED BANK (THAI) PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit TMB BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED Research paper and Indicative Yield For fund benefit SIAM COMMERCIAL BANK PUBLIC COMPANY LIMITED Research paper and Indicative Yield For fund benefit ASIA PLUS SECURITIES PUBLIC COMPANY LIMITED Indicative Yield For fund benefit KGI SECURITIES (THAILAND) PUBLIC COMPANY LIMITED Indicative Yield For fund benefit 12

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16 Auditor Report and Financial Statements 31 December

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47 BBL Asset Management Company Limited. Background BBL Asset Management Co., Ltd. was registered on March 19, 1992 with a fully paid-up registered capital of Baht 100 million, the registered number It was granted a license to operate asset management business from the Ministry of Finance under the license number LorKor dated on January 15, Location of the Office BBL Asset Management Company Limited 175 Sathorn City Tower, 7 th, 21 st and 26 th floor South Sathorn Road, Sathorn, Bangkok Tel FAX : Compiled data as of February 13,

48 BBL ASSET MANAGEMENT CO., LTD. 175 Sathorn City Tower, 7 th, 21 st and 26 th Floor South Sathorn Road, Sathorn, Bangkok Tel. (662) Fax : (662)

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