LAMDA Development group of companies: Financial results for Q1 2003

FINANCIAL RESULTS
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Thursday, May 29, 2003

PRESS RELEASE

LAMDA Development group of companies: Financial results for Q1 2003

The consolidated turnover for LAMDA Development during the first quarter of 2003 resulted in €12,916. During the same period, the consolidated earnings before taxes for the LAMDA Development group of companies resulted in €923,000.

Brief consolidated financial data

(in thousands of Euro)Q1 2003
Turnover12,916
Income before taxes923

According to Mr. Lambros Anagnostopoulos, CEO of LAMDA Development: “LAMDA Development has undertaken the development and management of significant infrastructure projects in land, sea and air. We estimate that, due to the seasonal business activity in sales, the current buyer interest in the projects under development will transform into sales during the second half of 2003. This projection is expected to contribute, along with other factors, to the development of positive financial results for the group. Considering the above developments, our goal in 2003 is to work methodically so that we can, in turn, deliver in a timely manner the innovative and modern infrastructure projects we are developing and continue our steady course.”

In comparison to the corresponding financial quarter in 2002, a reduction of 8.6% was recorded in consolidated turnover, while a 14.7% reduction was recorded in income before taxes.

Performance of companies in the group

LAMDA Estate Development S.A. (100% participation by LAMDA Development S.A.)

Due to the current seasonal business activity in sales, the company has not pursued real estate sales. Nonetheless, the company’s profitability continued and amounted to €1,215. Moreover, there was a significant increase in turnover of 15.2%, in comparison to the corresponding financial quarter for 2002.

LAMDA Prime Properties S.A. (100% participation by LAMDA Development S.A.)

The Cecil office building has been fully leased and is generating a steady monthly return, via the rental fees collected. Thus, the company presented an increased turnover by 138% in comparison to the corresponding quarter during 2002. A significant 204% increase in income before taxes was also recorded.

EFG Eurobank Properties S.A. (29.9% participation by LAMDA Development S.A.)

The company’s profits before taxes for the first quarter of 2003 increased by 34% and its investment programme is continuing with success.

Swissport LAMDA Hellas S.A. (50% participation by LAMDA Development S.A.)

A significant upturn was recorded in the company’s financial performance during the first quarter of 2003, with a 28% increase in turnover and a 43% increase in profits before taxes compared to the corresponding quarter for 2002. This development is particularly important considering that the competitor environment continues to present difficulties and the air transport sector is still trying to reach stability on an international level.

LAMDA Shipyards and Marine Services S.A. (75% participation by LAMDA Development S.A.)

The company recorded a reduction in turnover by 61% and a reduction in profits by 65% due to the seasonal business activity in the marine sector, the increase recorded in freightage as well as the delayed commencement of the Hellenic Navy project, which is expected to begin within the next few days.

LAMDA Development

LAMDA Development S.A., listed on the main market of the Athens Stock Exchange, is a holding company investing in the development of land, sea and air infrastructure. Combining a strong entrepreneurial drive, specialist international expertise, expert management, powerful strategic allies (Deutsche Bank, EFG Bank Group, Hochtief, Bilfinger Berger, Strabag, Swissport International, Sonae Imobiliaria) and with the business credibility and financial strength of the Latsis Group, LAMDA Development shapes and connects the business areas it is active in, creating growth, reaping synergies and providing value to both its clients and shareholders.

The LAMDA Development group of companies offers its clients integrated business solutions and high quality services and products at competitive prices. Its focus on complementary infrastructure sectors extends to real estate, marinas and yacht maintenance and refurbishment as well as airport services. At the forefront of exploiting numerous opportunities arising from regional developments, such as industry deregulation, Greece’s entry into the Euro Zone with the adoption of the Euro, and the preparation for the Athens 2004 Olympic Games, the LAMDA Development group of companies is leveraging its presence in Greece and neighbouring countries to play a leading role in the modernization and development of Southeastern Europe.

For more information, please contact CIVITAS:

Pandora Lycouri: +30 210 6835 403; [email protected]
Nectaria Metrakou: +30 210 6835404; [email protected]