SERENDIB HOTELS PLC INTERIM CONDENSED FINANCIAL STATEMENTS SECOND QUARTER 2016/17

SERENDIB HOTELS PLC INTERIM CONDENSED FINANCIAL STATEMENTS SECOND QUARTER 2016/17

Quarter ended 30th September 2017 Contents Page No. Operations Review 3 Financial Statements Statement of Financial Position 4 Statement of Profit or Loss 5 Statement of Comprehensive Income 6 Statement of Changes in Equity 7-8 Statement of Cash Flows 9 Notes to the Financial Statements 10 Investor Information 11-13

SERENDIB HOTELS PLC OPERATIONS REVIEW SECOND QUARTER 2017/18 The Serendib Leisure Hotels Group comprise of Serendib Hotels PLC and its subsidiaries Dolphin Hotels PLC, Hotel Sigiriya PLC, Serendib Leisure Management Ltd., Frontier Capital Lanka (Private) Limited and its two fully owned subsidiaries, Evolution Capital Lanka (Private) Limited and Lantern Villa (Private) Limited. The Group under the Serendib Leisure umbrella manages AVANI Bentota Resort & Spa, AVANI Kalutara Resort, Club Hotel Dolphin and Hotel Sigiriya with a room inventory key count of 413. On the 15 th of September, the Group acquired a 51. 15% stake in Frontier Capital Lanka (Private) Limited which together with its fully owned subsidiaries Evolution Capital Lanka (Private) Limited and Lantern Villa (Private) Limited operates the Lantern Beach Collection consisting of luxury boutique villas with a total room inventory of 23 keys increasing Group s consolidated room inventory to 436 keys. Jada Resorts & Spa (Private) Limited, the owning company of Avani Kalutara is treated as an investment. Hence, the operating results of Avani Kalutara is not reflected in the Consolidated Financial Statements of Serendib Hotels PLC and is not discussed below. Review of the Period Sri Lanka recorded 946,978 tourist arrivals up to the second quarter of the financial year 2017/18. This was a growth of 3% against the same period last year, and was lower in comparison to the 7% growth experienced in the first quarter of 2017/18. April, June and August had a positive growth of 17.5%, 4.5% & 2.5% respectively while May, July and September saw a decline of 2.5% 1.8% and 2.3% respectively compared to last year. During the year under review, arrivals from European markets such as Netherlands, Spain and Ukraine have grown at healthy levels of 25%, 20% and 19% respectively whereas arrivals from the Group s traditional markets; UK and Germany grew moderately by 10% and 2% respectively. Furthermore, arrivals from India which is an immerging market has grown by 10% whilst arrivals from China and Russia has declined by 25% and 4% respectively. Financial & Operational Review Serendib Leisure Hotels recorded an average occupancy of 67% during the year under review, which was an increase of 3% over last year. Club Hotel Dolphin achieved an occupancy of 71% and Sigiriya achieved 64%, Avani Bentota achieved 62% whilst Lantern achieved 35%. However, the increase in room nights was overridden by a 10% decrease in the average room rates resulting in a negative impact of Rs. 64 Mn on accommodation revenue superseding the positive impact of Rs. 29 Mn relating to increase in occupancy. As a result of the above reasons, the Group s topline declined by 6% to Rs. 712 Mn from Rs.754 Mn recorded for the same period of the last year. Despite the drop in revenue, cost of sales has only decreased marginally due to an increase in food & beverage cost mainly as a result of a change in the guest mix particularly at Club Hotel Dolphin. In terms of operating expenses, administrative, sales and marketing, and finance cost have increased during the year by Rs.38 Mn, Rs.3.6 Mn and Rs. 4.9 Mn respectively. The main reasons for the increase in administrative expenses are increase in IT-related expenses and amortization due to new systems implementations, and business development expenses, whereas the finance costs have grown mainly due to

the interest costs of the short term borrowings obtained in order to fund the above said acquisition and other new business development initiatives. As a result of all of the above reasons, the Group s result for the six months ended September 2017 was a loss of Rs. 31.7 Mn before tax, compared to a profit of of Rs. 29.5 Mn in the corresponding period last year. The reduction in tourist arrivals and increase in supply of room inventory has created a challenging environment for rates and occupancies. The increase in demand for informal sector accommodation continues to impact on our performance at Bentota and Sigiriya. We continue to work with our industry partners to work with the Government in order to create a strong promotional campaign for the destination internationally, which we hope will strengthen the flow of tourists into Sri Lanka. As we prepare for the traditional tourist season ahead, we have embarked on a number of initiatives aimed at improving guest experiences and operational efficiencies to positively impact overall profitability. Malinga Arsakularatne Executive Director

STATEMENT OF FINANCIAL POSITION Group Company As at 30.09.2017 30.09.2016 31.03.2017 30.09.2017 30.09.2016 31.03.2017 Rs.'000 Audited Audited ASSETS Non-Current Assets Property, Plant & Equipment 3,554,443 3,146,780 3,185,809 748,840 779,237 769,906 Leasehold Property 28,380 30,211 29,296 26,376 28,078 27,227 Intangible Assets 393,049 25,020 95,986 22,348 143 25,085 Investments in Subsidiaries - - - 580,674 260,497 271,191 Other Non Current Financial Assets 330,106 370,573 330,107 322,106 363,064 322,107 4,305,978 3,572,584 3,641,198 1,700,344 1,431,019 1,415,516 Current Assets Inventories 30,627 23,493 25,088 8,678 7,271 7,817 Trade and Other Receivables 252,392 281,654 469,076 50,539 53,172 116,773 Taxation Recoverable 8,639 8,088 12,885 2,000 1,692 503 Other Current Financial Assets 56,335 15,468 705 26,362 4,567 35 Cash and Short Term Deposits 218,138 183,324 163,125 56,334 23,904 29,045 566,131 512,027 670,879 143,913 90,606 154,173 Total Assets 4,872,109 4,084,611 4,312,077 1,844,257 1,521,625 1,569,689 EQUITY AND LIABILITIES Capital and Reserves Stated Capital 913,122 913,122 913,122 913,122 913,122 913,122 Other Components of Equity 556,934 580,385 570,115 79,566 87,717 82,443 Other Revenue Reserve 19,940 19,940 19,940 14,500 14,500 14,500 Retained Earnings 882,719 865,059 938,047 168,689 178,960 193,763 Equity Attributable to Owners of the Parent 2,372,715 2,378,506 2,441,224 1,175,877 1,194,299 1,203,828 Non Controlling Interest 805,894 783,391 805,224 Total Equity 3,178,609 3,161,897 3,246,448 1,175,877 1,194,299 1,203,828 Non-Current Liabilities Interest Bearing Loans & Borrowings 270,722 131,782 54,090 109,758 29,963 8,741 Deferred Tax Liabilities 152,085 118,447 144,352 31,882 16,926 31,883 Employee benefit Liabilities 60,390 56,543 56,494 13,582 12,326 14,281 483,197 306,772 254,936 155,222 59,215 54,905 Current Liabilities Trade and Other Payables 651,606 381,369 545,981 105,795 131,586 161,843 Dividends Payable 7,972 4,287 8,201 3,210 1,588 3,206 Income Tax Liabilities 1,175 2,495 343 - - - Interest Bearing Loans and Borrowings 138,104 152,760 126,481 64,595 118,394 130,596 Interest Bearing Related Party Borrowings 311,637 - - 311,637 - - Bank Overdraft 99,809 75,031 129,687 27,921 16,543 15,311 1,210,303 615,942 810,693 513,158 268,111 310,956 Total Equity and Liabilities 4,872,109 4,084,611 4,312,077 1,844,257 1,521,625 1,569,689 Net Assets Per Share (Rs.) 21.28 21.33 21.89 10.54 10.71 10.79 The above figures are provisional & subject to audit. These Financial Statements are in compliance with the requirements of the Companies Act No.07 of 2007.. K.D.D.Gunasekera - Director Finance The board of directors is responsible for the preparation and presentation of these financial statements. Signed for and on behalf of the board by,. Colombo 14 November 2017. W.M.De.F. Arsakularatne - Director

STATEMENT OF PROFIT OR LOSS Group Company 3 Months 3 Months % Variance 6 Months 6 Months % Variance 3 Months 3 Months % Variance 6 Months 6 Months % Variance Ended Ended Ended Ended Ended Ended Ended Ended Rs.'000 30.09.2017 30.09.2016 30.09.2017 30.09.2016 30.09.2017 30.09.2016 30.09.2017 30.09.2016 Revenue 409,572 443,675-8% 712,822 754,759-6% 108,381 128,238-15% 205,199 209,218-2% Cost of Sales (118,930) (133,908) -11% (220,557) (221,527) -0.4% (30,918) (35,143) -12% (62,200) (58,276) 7% Gross Profit 290,642 309,767-6% 492,265 533,232-8% 77,463 93,095-17% 142,999 150,942-5% Dividend Income - - - - 51,135-100% 6,653 51,135-87% Other Operating Income and Gains 16,121 388 4055% 40,687 1,519 2579% 4,055-0% 6,812 30 22607% Sales and Marketing Expenses (13,227) (12,082) 9% (26,837) (23,143) 16% (5,546) (5,015) 11% (10,565) (9,970) 6% Administrative Expenses (239,884) (257,523) -7% (529,261) (491,165) 8% (71,689) (81,343) -12% (163,310) (149,604) 9% Operating Profit 53,652 40,550 32% (23,146) 20,443-213% 4,283 57,872-93% (17,411) 42,533-141% Finance Cost (7,860) (3,696) 113% (12,811) (7,847) 63% (5,573) (2,637) 111% (8,655) (4,678) 85% Finance Income 400 14,453-97% 4,168 16,962-75% (2,120) 2,733-178% 929 3,261-72% Profit /(Loss) Before Tax 46,192 51,307-10% (31,789) 29,558-208% (3,410) 57,968-106% (25,137) 41,116-161% Income Tax Expense (10,003) (7,854) 27% (17,178) (13,821) 24% (158) 1,399-111% 63 1,399-95% Profit for the Period 36,189 43,453-17% (48,967) 15,737-411% (3,568) 59,367-106% (25,074) 42,515-159% Attributable to : Equity Holders of the Parent 17,186 24,589-30% (55,328) (8,423) 557% Non-Controlling Interest 19,003 18,864 1% 6,361 24,160-74% 36,189 43,453-17% (48,967) 15,737-411% Earnings /(Loss) Per Share (Rs.) 0.15 0.22 (0.50) (0.08) (0.03) 0.53 (0.22) 0.38 The above figures are provisional & subject to audit.

STATEMENT OF COMPREHENSIVE INCOME Group Company 3 Months 3 Months 6 Months 6 Months 3 Months 3 Months 6 Months 6 Months Ended Ended Ended Ended Ended Ended Ended Ended 30.09.2017 30.09.2016 30.09.2017 30.09.2016 30.09.2017 30.09.2016 30.09.2017 30.09.2016 Rs. Rs. Rs. Rs. Profit for the Period 36,189 43,453 (48,967) 15,737 (3,568) 59,367 (25,074) 42,515 Other Comprehensive Income Net Movement on Cash Flow Hedge (3,437) (1,135) (18,686) 10,957 3,226 332 (2,877) 5,372 Other Comprehensive Income for the Period, Net of Tax (3,437) (1,135) (18,686) 10,957 3,226 332 (2,877) 5,372 Total Comprehensive Income for the Period, Net of Tax 32,752 42,318 (67,653) 26,694 (342) 59,699 (27,951) 47,887 Attributable to: Equity Holders of the Parent 16,067 21,490 (68,509) 5,866 Non Controlling Interest 16,684 20,828 856 20,828 32,751 42,318 (67,653) 26,694 The above figures are provisional & subject to audit.

STATEMENT OF CHANGES IN EQUITY Attributable to Owners of the parent Total Group Stated Other Components of Equity Other Revenue Retained Total Non Controlling Equity Capital Cash Flow Hedge Revaluation Reserves Earnings Interest Reserve Reserve Rs. Rs. Rs. Rs. Rs. Rs. Rs. Balance as at April 01, 2016 913,122 11,638 559,754 19,940 985,003 2,489,457 790,667 3,280,124 Net Profit/(Loss) for the period - (8,423) (8,423) 24,160 15,737 Other Comprehensive Income Net Movement on Cash Flow Hedge 8,993 8,993 1,964 10,957 Total Comprehensive Income - 8,993 - - (8,423) 570 26,124 26,694 Dividend Paid (111,521) (111,521) (33,400) (144,921) Balance as at September 30, 2016 913,122 20,631 559,754 19,940 865,059 2,378,506 783,391 3,161,897 Balance as at April 01, 2017 913,122 17,484 552,631 19,940 938,047 2,441,224 805,224 3,246,448 Net Profit/(Loss) for the period (55,328) (55,328) 6,361 (48,967) Other Comprehensive Income Net Movement on Cash Flow Hedge (13,181) (13,181) (5,505) (18,686) Total Comprehensive Income - (13,181) - - (55,328) (68,509) 856 (67,653) Dividend Paid - - (4,456) (4,456) Acquisition of non controlling interest 4,270 4,270 Balance as at September 30, 2017 913,122 4,303 552,631 19,940 882,719 2,372,715 805,894 3,178,609 The above figures are provisional & subject to audit.

STATEMENT OF CHANGES IN EQUITY Company Stated Other Components of Equity Other Revenue Retained Total Capital Cash Flow Hedge Revaluation Reserves Earnings Rs.'000 Reserve Reserve Rs. Rs. Rs. Rs. Rs. Rs. Balance as at April 01, 2016 913,122 (8,706) 91,051 14,500 247,971 1,257,938 Net Profit/(Loss) for the period - - - 42,515 42,515 Other Comprehensive Income Net Movement on Cash Flow Hedge - 5,372 - - - 5,372 Total Comprehensive Income - 5,372 - - 42,515 47,887 Dividend Paid (111,526) (111,526) Balance as at September 30, 2016 913,122 (3,334) 91,051 14,500 178,960 1,194,299 Balance as at April 01, 2017 913,122 (1,486) 83,929 14,500 193,763 1,203,828 Net Profit/(Loss) for the period - - - (25,074) (25,074) Other Comprehensive Income Net Movement on Cash Flow Hedge (2,877) (2,877) Total Comprehensive Income - (2,877) - - (25,074) (27,951) Balance as at September 30, 2017 913,122 (4,363) 83,929 14,500 168,689 1,175,877 The above figures are provisional & subject to audit.

STATEMENT OF CASH FLOWS Rs.'000 Cash Flows Used in Operating Activities 6 Months Ended 30.09.2017 Group 6 Months Ended 30.09.2016 6 Months Ended 30.09.2017 Company 6 Months Ended 30.09.2016 Net Profit before Income Tax (31,789) 29,558 (25,137) 41,116 Adjustments for Depreciation 75,496 63,022 24,500 22,281 Amortization 8,865 1,687 3,587 1,035 Exchange Gain/(Loss) 11,370 (13,616) (7,022) (1,031) Loss on Deemed Disposal of Investment in Associates - 1,559-1,559 Interest Income (4,168) (4,350) (929) (899) Dividend Income - - (6,653) (51,135) Finance Costs 12,811 7,847 8,655 4,678 Loss / (Profit) on Disposal of Fixed Assets (553) 3,375 203 - Impairment of debtors (2,947) - 259 - Movements in Provisions, Pensions 5,795 5,238 780 780 Working Capital Adjustments 74,880 94,320 (1,757) 18,384 (Increase)/ Decrease in Inventories (2,921) (1,669) (861) (716) (Increase)/ Decrease in Trade and Other Receivables 237,725 17,674 39,650 15,069 Increase/ (Decrease) in Trade and Other Payables (152,421) 1,365 (54,407) 8,562 (Increase)/Decrease Current Financial Assets (4,751) (4,523) - - (Increase)/Decrease Current Financial Liabilities (5,613) - - - Cash Generated from / (Used in) Operations 146,899 107,167 (17,375) 41,299 Finance Cost Paid (12,811) (7,847) (8,655) (4,678) Defined Benefit Plan Costs Paid (2,356) (2,479) (1,480) (1,857) Taxes Paid (8,622) (34,161) (1,435) (1,464) Net Cash From/(Used in) Operating Activities 123,110 62,680 (28,945) 33,300 Cash Flows From / (Used in) Investing Activities Acquisition of Property, Plant & Equipment (30,091) (69,799) (3,715) (30,614) Proceeds from Disposal of Property, Plant & Equipment 2,047 8,267 77 - Acquisition of /Investment in Subsidiaries (322,919) - (309,482) - Investment in Money Market (50,879) - - Interest Received 4,168 4,350 929 899 Dividend Received - - 6,653 51,135 Net Cash Flows From / (Used in) Investing Activities (397,674) (57,182) (305,538) 21,420 Net Cash Flows From / (Used in) Financing Activities Proceeds From Interest Bearing Loans & Borrowings 150,000-150,000 37,000 Proceeds From Related Party Loans & Borrowings 310,000-310,000 - Repayment of Interest Bearing Loans & Borrowings (95,859) (76,568) (44,838) (57,416) Repayment of Related Party Borrowings - - (66,000) Revaluation of FC Loan - - - 6,403 Dividends Paid - (111,487) - (111,526) Dividends Paid to Non-Controlling Interest (4,686) (33,400) - - Net Cash Flows from/(used in) Financing Activities 359,455 (221,455) 349,162 (125,539) Net Increase/(Decrease) in Cash and Cash Equivalents 84,891 (215,957) 14,679 (70,819) Cash and Cash Equivalents at the beginning of the period 33,438 324,250 13,734 78,180 Cash and Cash Equivalents at the end of the period 118,329 108,293 28,413 7,361 Analysis of Cash & Cash Equivalents Cash and Bank Balances 218,138 183,324 56,334 23,904 Bank Overdraft (99,809) (75,031) (27,921) (16,543) 118,329 108,293 28,413 7,361 The above figures are provisional & subject to audit.

NOTES TO THE FINANCIAL STATEMENTS 1 The condensed interim financial statements have been prepared in accordance with Sri Lanka Accounting Standard LKAS - 34, Interim Financial Reporting. The condensed interim financial statements should be read in conjunction with the annual financial statements for the year ended 31 March 2017. Further, provisions of the Companies Act No. 7 of 2007 have been considered in preparing the interim financial statements. 2 The accounting policies have been consistently applied by the Company and unaudited previous quarter's figures have been restated wherever necessary for better presentation and to be comparable with those of the current period. 3 There has been no significant change in the nature of the contingent liabilities as disclosed in the Annual Report of 2016/17 4 No circumstances have arisen after the reporting date, which would require adjustments to or disclosure in the Financial Statements. 5 Acquisition On 15th September 2017, company acquired a controlling stake (51.15%) in Frontier Capital Lanka (Pvt) Limited which has two fully owned subsidiaries, Evolution Capital Lanka (Private) Limited and Lantern Villa (Private) Limited. The three companies together manage the Lantern Beach Collection which consists of luxury villas located in Mirissa, Sri Lanka. Goodwill In calculating goodwill resulting from the acquisition of Frontier Capital Lanka (Pvt) Limited (Frontier) group, the Group has not determined the fair value of the identifiable assets and the liabilities assumed due to time constraints. The currently computed goodwill is based on the book value of net assets and hence will be revised when the fair values of aquired net assets and liabilities assumed are determined. Non-Controlling Interest has been valued at proportionate share of net assets. Goodwill is as follows. Rs.'000 Purchase consideration 309,482 Indirect investment in Frontier subsidiaries* 167,056 476,538 NCI -48.85% Frontier capital 163,814 640,352 Book value of net assets of Frontier 335,341 Goodwill on acquisition 305,012 * Evolution Capital Lanka (Private) Limited and Lantern Villa (Private) Limited have not been consolidated by Frontier and therefore has been directly consolidated by Serendib Hotels' PLC.

NOTES TO THE FINANCIAL STATEMENTS 6 Reconciliation of Comparative Information Exchange gains/losses arising from operations have been classified under Other Operating Income / Administration Expenses and Exchange Gains / Losses arising from financing activities have been classified under Finance Income / Cost. The following expenses have been reclassified for better representation in line with current year figures. Statement of Comprehensive Income ( Rs.'000 ) Group 3 Months As previously reported Reclassification Reclassified 30.09.2016 30.09.2016 Exchange gain/(loss) (7,038) 7,038 - Administrative Expenses (251,216) (6,307) (257,523) Other Operating Income and Gains/(Losses) 1,119 (731) 388 6 Months As previously reported Reclassification Reclassified 30.09.2016 30.09.2016 Administrative Expenses (491,165) - (491,165) Other Operating Income and Gains/(Losses) 1,519-1,519 Exchange( Loss)/Gain - - - Company 3 Months As previously reported Reclassification Reclassified 30.09.2016 30.09.2016 Administrative Expenses (80,609) (734) (81,343) Exchange( Loss)/Gain (734) 734-6 Months As previously reported Reclassification Reclassified 30.09.2016 30.09.2016 Administrative Expenses (149,604) - (149,604) Exchange( Loss)/Gain - - - 7 Profit / (Loss) from Operations Group Company Included in Administrative Expenses 2017 2016 2017 2016 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Provision / (Reversal) for Doubtful Debt (2,947) 942 259 (18) Provision for Staff Salary ( for Budgetary Relief Allowance) 4,565-1,456 - Depreciation and Amortization 84,361 64,709 28,087 23,316 New Business Development Expenses 12,192 4,277 12,192 4,277

INVESTOR INFORMATION Audited Group 30.09.2017 30.09.2016 Y/E 31.03.2017 Earnings /(Loss) per Share (Rs.) (0.50) (0.08) 0.61 Debt/ Total Equity Ratio (%) 25.81 11.37 9.56 Interest Cover (Times) (1.48) 4.77 13.00 Quick Asset Ratio (Times) 0.44 0.79 0.80 No. of Shares Representing Stated Capital - Voting 75,514,738 75,514,738 75,514,738 - Non Voting 36,011,056 36,011,056 36,011,056 Market Price - Voting - Highest (Rs.) 26.00 29.80 28.00 - Voting -Lowest (Rs.) 20.20 26.50 21.80 - Last Traded Price (Rs.) 22.00 27.00 23.10 Market Price - Non Voting - Highest (Rs.) 19.40 24.90 22.80 - Non Voting -Lowest (Rs.) 16.00 19.00 16.60 - Last Traded Price (Rs.) 17.50 23.00 20.00 The above figures are provisional & subject to audit.

DIRECTORS' SHAREHOLDING 30.09.2017 No. of Shares Voting Non Voting Mr. A. N Esufally 16,565 NIL Mr. S M Enderby NIL NIL Mr. W M De F Arsakularatne NIL NIL Mr. E J D Rajakarier NIL NIL Mr. M A Jafferjee NIL NIL Mr. R N Athukorala NIL NIL Mr. T M Wijesinghe NIL NIL Ms. S.L. Speldewinde NIL NIL Mr. S.A.Chojnacki NIL NIL Mr. I.A.H.Esufally NIL NIL LIST OF 20 MAJOR SHAREHOLDERS (VOTING). 30.09.2017 Name No. of Shares % Hemas Holdings PLC 42,802,738 56.68 Lodging Investment (Labuan) Ltd. 18,886,578 25.01 Seylan Bank Ltd./ B.S.M. De Silva 1,294,552 1.71 Mr. E.J.De Soysa 800,000 1.06 Peoples Leasing & Finance PLC/L.P.Hapangama 648,750 0.86 Mrs. B.C.R. Wickramaratne 601,000 0.80 Acuity Partners (Pvt) Ltd. / Mr B S M De Silva 490,000 0.65 Mrs. M. V. Fernando 400,000 0.53 The Ceylon Chamber Of Commerce Account No 02 370,000 0.49 Dr. B. G. S. De Silva 355,747 0.47 Mrs. C A Wenceslaus 286,337 0.38 Mrs. A R Gamage 248,838 0.33 Dr. R S Deraniyagala 225,662 0.30 Ms. H G S Ansell 216,825 0.29 Mr. P P S Fernando 216,000 0.29 Miss. J.C. Wickramaratne 203,145 0.27 Waldock Mackenzie Limited/Dr.H.S.D.Soysa 191,047 0.25 Hemtours (Private) Limited 181,875 0.24 Mrs. S. Poologasundram 161,706 0.21 Dr. K. Poologasundram 156,268 0.21 68,737,068 91.03 Shares held by the balance shareholders 6,777,670 8.97 75,514,738 100.00

LIST OF 20 MAJOR SHAREHOLDERS (NON -VOTING) 30.09.2017 Name No. of Shares % Hemas Holdings PLC 19,260,487 53.48 Lodging Investment (Labuan) Ltd. 7,156,750 19.87 Deutsche Bank AG as Trustee to Candor Opportunities Fund 1,480,000 4.11 Askold (Pvt) Ltd. 999,658 2.78 National Industries Group (Holdings) (S.A.K) 990,210 2.75 Ceylon Guardian Investment Trust PLC A/C # 01 464,400 1.29 J B Cocoshell (Pvt) Ltd. 456,307 1.27 Trading Partners (Pvt) Ltd. 410,986 1.14 Shalsri Investments (Pvt) Ltd. 341,825 0.95 Acuity Partners (Pvt) Ltd. /Mr. B. S. M. De Silva 309,570 0.86 Ceylon Investment PLC A/C # 01 266,296 0.74 Mr. H W M Woodward 184,723 0.51 Cocoshell Activated Carbon Company Ltd. 150,000 0.42 Mr. H.A.Pieris 139,000 0.39 Mrs. H.G.S.Ansell 136,300 0.38 Mr. M.K. Kutubdeen 134,000 0.37 Dr. H.S.D. Soysa 112,781 0.31 Mrs.B.Y.La Brooy 100,370 0.28 Deutsche Bank AG As Trustee to Candor Growth Fund 100,000 0.28 Mrs. N.D. Palliya Guruge 100,000 0.28 33,293,663 92.46 Shares held by the balance shareholders 2,717,393 7.54 36,011,056 100.00 PUBLIC HOLDING As at 30.09.2017 Number of Shareholders % Ordinary (Voting) Shares 1057 18.05% Ordinary (Non - Voting) Shares 652 26.64%

CORPORATE INFORMATION Legal Form A quoted public company with limited Liability Incorporated in Sri Lanka in 1966 Company Registration No. PQ 223 Subsidiaries Hotel Sigiriya PLC Dolphin Hotels PLC Serendib Leisure Management Ltd. Sanctuary Resorts Lanka (Private) Limited Sanctuary Resorts Wilpattu Lanka (Private) Limited Frontier Capital Lanka (Pvt) Limited Evolution Capital (Private) Limited Lantern Villa (Private) Limited Directors Mr. A N Esufally Chairman - Alternate: Mr. V H A Perera Mr. S M Enderby Mr. E J D Rajakarier Mr. W M De F Arsakularatne Mr. M A Jafferjee Mr. R N A Athukorala Mr. T M Wijesinghe Ms. S.L. Speldewinde Mr. S.A.Chojnacki Mr. I.A.H.Esufally Registered Office Hemas House Level 3 75, Braybrooke Place Colombo 02 Tel: + 94 (11) 4790500-6 Fax: + 94 (11) 2438933 E-mail : inquiries@serendibleisure.lk Website : www.serendibleisure.com Secretaries Hemas Corporate Services (Pvt) Ltd. Level 9, Hemas House 75, Braybrooke Place Colombo 02 Tel: + 94 (11) 4731731 Fax: + 94 (11) 4731777 Managing Agent Serendib Leisure Management Ltd.