Rodamco Europe is continuing its good results in the first nine months 2005. Based on the current standards and interpretations of International Financial Reporting Standards (IFRS), direct result after tax is up 5.2% and Triple NAV per share grew by 18.1% to 57.86 . Rodamco Europe is focusing on two items in evaluating its performance under IFRS: direct result after tax for its operational performance and Triple NAV for the intrinsic value. Triple NAV growth was supported by the very strong re-valuation result, which was also the main contributor to the 242.0% growth of net shareholders profit in the first 9 months 2005.
CEO Maarten Hulshoff: "We are pleased with the strong results during the third quarter 2005, which are mainly due to Rodamco Europe's active retail management and focus on top quality retail in dominant locations in key European cities. In the third quarter 2005, Jones Lang LaSalle carried out an assessment on approximately 70% of our total property portfolio and the outcome explicitly confirms the continuous investor sentiment for the top quality retail investments and cross-border investment activity across Europe. This is also clearly reflected in the 744 million increase of the value of our property portfolio in the first nine months of 2005.
The review of our total pipeline portfolio shows the strength of Rodamco Europe, which illustrates our access to new investment projects and the opportunities that exist in regards to expanding our standing investment portfolio. We are especially pleased with our strong pipeline portfolio in a time when the yield shift is strong and a high quality retail property is scarce. The total pipeline portfolio of 2.4 billion of which 1.1 billion is externally committed, provides us with a stable platform for further growth and strong rental growth potential estimated at a total of 22% over the next few years.
 IFRS ignores some business aspects in valuing real estate companies. In line with industry practice Rodamco Europe therefore allows for some adjustments in the shareholders' equity, reflected in triple net asset value (NNNAV). As explained on page 5, the adjustments are: discounted value deferred tax, valuation surplus on pipeline projects and marked-to-market value of loans and borrowings.
Source: Rodamco Europe