Belgrade Wholesale Market LLC (Veletržnica Beograd))

City of Belgrade and Belgrade Green Markets presents:

“Belgrade Wholesale Market LLC”

The biggest logistics center for marketing, export and import of fruit,

vegetables, flowers, meat and fish.

Belgrade, November 28, 2011

Content of the Presentation

• Information and Features of the Project

• Pictures of the Complex

• Timeframe

• Investment: Conditions, Outlook2

Belgrade Wholesale Market LLC• 18.5 ha in a premium location in 53rd block in

New Belgrade (instead of the existing truck market)

• Estimation of capital of the site was completed by the Faculty of Economy in Belgrade

• Urban planning conditions are defined by the detailed regulation plan and ownership structure is clean

• The site will include pavilions for fruit and vegetables, meat, fish and flowers

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Current Situation

• Ownership structure (before recapitalization): City of Belgrade – 100%

• Annual Income: 2.5 million EUR (2010)

• Asset value: 24.5 million EUR in total; land – 19.5 million EUR, infrastructure – 5 mil EUR (est. Faculty of Economics)

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Infrastructure

• Stringent food safety standards• Optimum storage temperature– Depending on the type of products for sale

• Pavilion for fruit and vegetables will gradually introduce facilities for calibration and packaging

• Truck parking lot (5ha) • Business premises and storage (3,000 m2)• Electricity, water, sewage, telecommunications,

access roads

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Layout Plan with Disposition of Contents

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Basis for Commodity Exchange

• Internal quality standards• Definition of pricing structure• Merchants registered on site will be excused

from tendering and privileged to supply public sector entities at prices valid on delivery

• Modern educational center for training and cooperation among merchants and producers

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Traffic Connections and Market

• Direct access to Highway E75 (Corridor X), 5 km from international airport, 15 km from Belgrade Port (Corridor VII)

• Market size in 60 km radius - 4 million people

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Clearing-house system…

… in order to monitor the execution of contracts closed in the market, manage cash deposits and intervene should contracts be disobeyed.

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Whole Complex 10

Fruit and Vegetable Hall 11

Head Office, Bank, Post Office, Restaurant 12

Head Office, Bank, Post Office, Restaurant 13

Waste Selection Facility 14

Main Building 15

Fruit and Vegetable Hall 16

Meat and Fish Hall 17

Existing Open Plateau for Sale from Vehicle 18

Existing Open Plateau for Sale from Vehicle 19

Whole Complex 20

Timeframe• Phase one: Developing 10,400 m2 pavilion for

fruit and vegetables, 62,549 m2 of SNB asphalt parking lots for trucks, adequate infrastructure, new entry gates and fencing (Nov 2011 – Jul 2012).

• Phase two: Developing pavilions for meat, fish and flowers (end 2012 – May 2013).

• Phase three: Developing additional pavilions for fruit and vegetables (timeline depends on market needs).

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Investment Overview• Expected level of investments (in total):

18 million EUR – City of Belgrade invests 6 million EUR

• Individual investment range:– 150,000 EUR (min); 450,000 EUR (max)–Minimum lease includes: 150 m2 of

warehouse and 25 m2 of exhibition space (min) and 25 m2 of office space

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Further Investment Details

• Lease fees: 5 EUR / m2 for shareholders; 10 EUR / m2 for other (commercial)

• Share in the company: 0.5 % on average/150,000 EUR investment (upon completing phase 1)

• Projected annual income: 3.5 mil EUR (upon completion of phase 1)

• Expected profit return* (est. Faculty of Economics): 6% dividend (worst case scenario) plus 4% from lease savings

• Credit line for investors: 4% interest rate, 12 year term, 2 year grace, investment share pledged as collateral

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Advantages and Benefits for Investors in a Nutshell

• An exceptional, highly accessible location on Corridor X, 5km to Belgrade airport;

• Access to Belgrade market that supplies over 4 million people;

• Most competitive lease rates in Southeast Europe;• Legal benefits in tendering food supplies for public sector

entities;• Flexible lease of storage and retail space of 100 – 400 m²;• On-site packaging and calibration;• Investor protection and contract execution;• Increased marketing and sales in the country and abroad.

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Investors eligible to participatein the ownership and management structure

• companies (national and international) engaged in production and distribution of fresh fruit and vegetables, meat, fish and flowers,

• local governments in the Republic of Serbia, • agricultural cooperatives and associations, and • registered agricultural households in the Republic

of Serbia.

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Thank you for your attention!Questions?

Interested investors are invited to respond to the invitation by supplying written expressions of interest in the form downloadable at

www.bgpijace.rs. The EoI form is to be submitted no later than December 1, 2011, to: JKP Gradske Pijace, Zivka Karabiberovica 3,

11000 Belgrade, Serbia or by email to: wholesalemarket@bgpijace.rs

The site visit will be arranged and additional information will be provided to investors who express interest in writing.

Requests for further information and clarification are to be addressed to:

Е: info@bgpijace.rs T: +381 11 3806 451/452 F: +381 11 2401 928.

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