:: Annual Report 2012 ::

TRANSLATION

This English version of this Annual Report is only for informational purposes. Interpretation and construction must still be based on the Thai Text.

Annual Report

Future Park Leasehold Property Fund

For period from January 1, 2012 to December 31, 2012

Annual Report

For the Period of 1 January 2012 – 31 December 2012


Table of Contents Page

Messages from the Management Company 1

Future Park Leasehold Property Fund 2

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 9

Details of Loan of Fund 9

Property Market Situation and Outlook 10

Total Expenses as called from Property Fund 11

Name List of Fund Manager 12

List of Related Persons having transactions with the Fund 12

managed by BBL Asset Management Company Limited

List of Soft commission 13

Mutual Fund Supervisor Report 14

Auditor Report and Financial Statements 15

BBL Asset Management Company Limited 38

Annual Report


1


Messages From the Management Company

To Unitholders


With reference to BBL Asset Management Co., Ltd.'s role as the manager of the Fund as of 1 February

2012, the Management Company has implemented a number of measures to generate maximum

benefits to unitholders.

In 2012, the Fund had a total net revenue of Baht 696 million compared with Baht 546 million in 2011

which is an increase of 27% year-on-year. On 26 December 2012, the Fund increased its investments by

a total of Baht 1.5 billion (comprising Baht 900 million from issuing unit trusts and Baht 600 million of

borrowings from financial institutions) to implement the following:

1. Extension of the lease by another 15 years (from 1 January 2027 to 31 December 2041) for rental

space amounting to approximately 53,065.66 sq.m. and the rights to deploy or seek commercial

revenue from parts of the public area amounting to 47,697.94 sq.m. and external building walls of

the Future Park Rangsit site.

2. Investment in a 29-year lease (ending 31 December 2041) for additional rental space at the Future

Park Rangsit site, comprising approximately 3,840.08 sq.m. and rights to deploy or seek commercial

revenue from 992.27 sq.m. of public area.

Registration with the Land Department has been completed since December 2012. Total rental area

amounts to 65,182.62 sq.m., comprising 56,905.74 sq.m. of rental area and another 8,276.88 sq.m.

of public area which can be utilized to generate commercial revenue. The extension and investment in

new leases will provide the fund with both a larger space to generate revenue and a longer duration until

2041 which will be beneficial to unitholders.

BBL Asset Management Co., Ltd. is grateful of the trust placed on us by each of our unitholders to

perform the role as fund manager. The company will carry out its duties by upholding the best interests

of unitholders and good governance.

Sincerely yours,

BBL Asset Management Co., Ltd.

Annual Report


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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. The leasehold rights ending 2041

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

1st Investment:

On November 24, 2006, Future Park Leasehold Property Fund has acquired leasehold rights of

immovable properties which is a commercial center, in 1 project, certain of Future Park Rangsit Project

Building of about 52,573.09 sq.m., and the right to seek benefits by means of granting lease or area

utilization rights, providing services and others in respect of certain of the Common Area having an

area of 48,190.51 sq.m. and the areas on the outside walls of the Future Park Rangsit Project Building,

the details being as follows:

(1) Certain leasehold rights of the Future Park Rangsit Project building to be acquired from Rangsit

Plaza Co., Ltd. covers an area of approximately 52,573.09 sq.m., i.e. between the date on which

the Fund enters into the Building Lease agreement with Rangsit Plaza Co., Ltd. and 31 December

2026. Rangsit Plaza Co., Ltd. has undertaken to extend the Building Lease Agreement with the

Fund so that the leasehold rights are extended from the date of its expiry for another period equal

to that by which Pipatanasin Co., Ltd. agrees to extend the Land Lease Agreement.

Annual Report


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In addition, the Fund has the right of first refusal regarding the whole or a part of the Area under a

Lease Agreement whereby a Consideration is payable for Leasehold Rights to be acquired from

Rangsit Plaza Co., Ltd. when the former tenants’ leaseholds expire. As of 30 June 2006, the total

Area under a Lease Agreement whereby a Consideration is payable for Leasehold Rights are

122,741.05 square meters.

(2) The right to apply the Common Areas of the Future Park Rangsit Project Building, totaling

48,190.51 sq.m., and the areas on the outside walls of the Future Park Rangsit Building under the

Agreement Granting Rights for Area Utilization and Benefit Seeking, to benefit seeking by

means of providing lease or services or granting right to area use or by any other means.

However, such area use and benefit seeking must be consistent with the business operation of

Rangsit Plaza Co., Ltd. during the period before the Fund makes an investment, and must have

regard for the convenience of other tenants to make use of the Common Areas of the Future Park

Rangsit Project Building. On the date prior to the Fund’s investment, a total of 7,582.79 sq.m.

of the Common Areas were subject to the benefit seeking activity, and other portion of the

Common Areas was being used for purposes of convenience to the service users of Future Park

Rangsit Project Building, such as for walkway.

Further the Fund will have such right during the period from the Date of the Fund’s Investment to

31 December 2026. Rangsit Plaza Co., Ltd. has undertaken to extend the Agreement Granting

Rights for Area Use and Benefit Seeking with the Fund so that the Fund will be entitled to acquire

benefits from the Common Areas and the areas on the outside walls of the Future Park Rangsit

Building, for an additional period equal to the extension of the Building Lease Agreement under

Clause 2.1 from the expiry of the Fund’s right to utilize the space areas.

In order to give the Fund a valid, lawful right to the Fund’s 1st Investment Area, the Fund and

Rangsit Plaza Co., Ltd. will arrange for the registration with the Land Department of the leasehold

rights under the Building Lease Agreement and of the right to utilize the area of 7,582.79 sq.m.

of the Future Park Rangsit Project Building under the Agreement Granting Rights for Area Use

and Benefit Seeking.

Investments from the first capital increase

The fund raised Baht 900 million by issuing additional units for subscription and obtained Baht 600

million from bank borrowings, together amounting to 1.5 billion Baht of funds mobilized.

1. Extension of the lease at Future Park Rangsit covers 53,065.66 sq.m. and the rights to deploy

parts of the public space amounting to 47,697.94 sq.m. which includes 8,276.88 sq.m. that is

revenue-generating and external building walls of the Future Park Rangsit site plus other relevant

property assets useful to the property site. The aforementioned space can be utilized for

commercial benefits for another 15 years (from 2027 to 2041).

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4


2. The lease acquired at the Future Park Rangsit site for the additional property assets is separate from

the main leasehold contract made with Rangsit Plaza Co., Ltd. amounting to 3,840.08 sq.m.

for 29 years from the date of the contract signing until 2041.

Rangsit Plaza Co., Ltd. continues its role as the property manager of the Fund.

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.

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

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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, 3rd Floor, Future Park Rangsit Building

Phaholyothin Road, Tambon Prachathipat,

Amphur Thanyaburi, Pathum Thani Province

Tel. 0-2958-0011

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6


Details of Investment As at 31 December 2012

Assets Market Value

(Baht)

% of Net Asset

Value

1. Cash at banks

2. Investments in securities

Bond

172,351,883

248,838,606

2.83%

4.09%

Total 421,190,489 6.92%

3. Investment in Properties

Leasehold Rights

6,628,000,000

108.89%

Total 6,628,000,000 108.89%

4. Other Assets

Receivables from Rental

Other Receivables

Accrued Interest

Deferred Charges

36,329,214

16,160,852

3,454

8,616,370

0.60%

0.27%

0.00%

0.14%

Total 61,109,890 1.01%

Total assets 7,110,300,379 116.82%

5. Other liabilities

Other Payables

Accrued fees and Expenses

Borrowings

Security Deposit

Other liabilities

(17,536,122)

(32,177,349)

(600,000,000)

(286,069,200)

(87,521,412)

(0.29%)

(0.53%)

(9.86%)

(4.70%)

(1.44%)

Total liabilities (1,023,304,083) (16.82%)

Net assets value 6,086,996,296 (100.00%)

No of units 529,566,100.0000 Units

Net asset value per unit 11.4943 Baht

Annual Report


7


Details of the lmmovable Properties

As at 31 December 2012

The Fund invested in certain leasehold rights of Future Park Rangsit Project Building covering an area

of approximately 56,905.74 sq.m., and the right to use the common area of Future Park Rangsit Project

Building, totaling 48,690.21 sq.m., and the areas on the outside walls of Future Park Rangsit Project

Building to seek benefits.

Project Location 94 Phaholyothin Road, Tambon Prachathipat, Amphur Thanyaburi, Pathum Thani

Province

Chalacteristics of the

Project

A five-storey building (including underground) is approximately 17 years old, a

seven-storey car parking building situated behind the commercial center, three

outdoor parking areas that can accommodate about 7,000 cars (including 1,000 cars

in temporary parking areas).

(Rangsit Plaza Co., Ltd. is the owner.)

Land area Land Title Deeds No. 310 and 92118 with total area of 106 rais 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 and has not subleased these pieces of land.

Type of use The commercial center

Details Total Project

Areas

(sqm)

Areas the Fund

invested

(sqm)

1. Areas within the commercial center

are divided into:

- Leasable areas

- Common areas

Income generating area

Non-income generating area

- Service areas

179,156.61

48,190.51

7,582.79

40,607.72

56,281.33

56,905.74

48,690.21

8,276.88

40,413.33

2. Indoors parking space

(for parking of about 4,500 cars)

115,325.61

3. Outdoor parking space

(for parking of about 1,500 cars)

100,314.98

Total area 499,269.04

Project Area and

Area Invested by the

Fund

Total Income generating area 65,182.62

Annual Report


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Lease Term From 24 November 2006 to 31 December 2026 (20 years 1 month and 7 days)

Investment in

Properties

Fee for the right to lease and use of space 6,036,443,000 baht

Expenses for obtaining such rights 42,695,493 baht

Expenses for renovations of the Commercial buildings 313,984,586 baht

Total 6,393,123,079 baht

Latest Appraisal Value Baht 6,628,000,000 (as of 28 June 2012)

Appraised by Nexus Property Consultant Company Limited using the income

approach

Legal Obligation None

Details of Purchase and Lease of lmmovable Properties

For the period from 1 January 2012 to 31 December 2012 The Fund raised Baht 900 million by issuing additional units for subscription and obtained Baht 600

million from bank borrowings, together amounting to Baht 1.5 billion of funds mobilized.

1. Extension of the lease at Future Park Rangsit covers 53,065.66 sq.m. and the rights to deploy

parts of the public space amounting to 47,697.94 sq.m. which includes 8,276.88 sq.m. that is

revenue-generating and external building walls of the Future Park Rangsit site plus other relevant

property assets useful to the property site. The aforementioned space can be utilized for commercial

benefits for another 15 years (from 2027 to 2041).

2. The lease acquired at the Future Park Rangsit site for the additional property assets is separate from

the main leasehold contract made with Rangsit Plaza Co., Ltd. amounting to 3,840.08 sq.m. for

29 years from the date of the contract signing until 2041.

Rangsit Plaza Co., Ltd. continues its role as the property manager of the fund.

Date of investment : 26 December 2012

Landlord : Rangsit Plaza Co., Ltd.

Objective : For investment and extension of lease

Annual Report


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Details of Sale or Leasehold Rights Transfer of Immovable Properties

For the period from 1 January 2012 to 31 December 2012

- None -

Details of Loan of Fund


Lending Bank Bangkok Bank PLC.

Repayment Term 10 years

Amount of loan

(as of the date of the contract)

Baht 600 million

Amount of outstanding loan balance

(as of 31 December 2013)

Baht 600 million

Proportion of loan

(as of 31 December 2013)

10% of the NAV

Collateral Deposits of Baht 30 million

Remark : The Fund withdraw Baht 600 million of loan on 24 December 2012.

Annual Report


10


Property Market Situation and Outlook

At the end of 2012, the total retail supply in Bangkok increased to 6.21 million sq.m., rising by 8.88%

y-o-y. Bangkok’s retail supply increased in all areas – downtown, midtown and the suburbs. Downtown

area achieved the highest growth at 4.83% to 1.22 million sq.m. from Watergate Pavillion (45,000

sq.m.), follows by suburbs area at 11.46% to 2.60 million sq.m. from several projects such as Thanya

Shopping Park at Srinakarin Road, The Coast Village at Bangna and midtown area at 8.29% to 2.38

million sq.m. from The Square at Sukhumvit 26 and The Scene at Town in Town. Currently, more than

half of the retail developments are in the shopping mall formats follows by superstore (Tesco Lotus,

Big C, Makro) department store and which accounts for 59.60%, 20.40% and 20.00% of total retail

supply respectively.

The overall occupancy rate of Bangkok retail properties in 2012 stood at 96.48%, increasing by

4.81% y-o-y. The suburban area saw the highest occupancy rate at 97.96% - increasing 1.90% y-o-y,

follows by the downtown area at 95.70% - increasing 8.30% y-o-y, and the midtown area at 95.30%

increasing 6.00% y-o-y.

The overall rental rate in 2012 has been largely stable, with just marginal growth compared with the

previous 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 1,800-3,500/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 1,500-2,680/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

0.58 million sq.m. will be completed within the next 2 years, increasing the total Bangkok retail supply

to 6.79 million sq.m. Of this, 0.44 million sq.m. of retail space is expected to be complete in 2013,

bringing the total retail supply increasing by 7.10% to 6.65 million sq.m. by the end of 2013.

The overall retail outlook is expected to be in a good condition. The Retail Sales Index as of November

2012 fell to 235.33 - increasing 54.76% y-o-y. This was mainly due to consumer spending bounce back

after the floods last year and the tax rebates for first time car buyers. However we expect the retail

market will continue to grow, driven by the government’s economic stimulus policies and the dramatic

expansion of modern trade especially convenience stores.

Source : CB Richard Ellis (Thailand) Co., Ltd.

Annual Report


11


Total Expenses as called from Property Fund


Fund's Direct Expense1 Amount (Thousand Baht)

% of Net Assets Value

Management Fee 7,827.44 0.15

Trustee Fee 1,128.49 0.02

Registrar Fee 1,980.02 0.04

Property Management Fee 78,330.19 1.47

Auditing Fee 999.14 0.02

Insurance Premium 10,194.88 0.19

Property Tax 12,326.44 0.23

Property Marketing And Administrative Expenses 57,993.29 1.09

Asset Appraisal Fee 149.80 0.00

Listing Fee -Written Off 395.08 0.01

Other Expenses 1,631.45 0.03

Total Expenses 172,956.23 3.25

Remark 1 Included VAT

Annual Report


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Name List of Fund Manager

For the Period from 1 January 2012 to 31 December 2012

No. Name List of Fund Manager

Property Fund Manager

1 Mrs. Voravan Tarapoom

2 Mr. Sudhipongse Phuaphanprasert

3 Ms. Siriphen Wangdumrongves

4 Ms. Warisara Techakulwirote

5 Mr. Apiched Ritsuwan

6 Ms. Natree Panassutrakorn *

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 * Termination Date : 1 March 2013

List of Related Persons having transactions with the Fund

managed by BBL Asset Management Company Limited

As of 31 December 2012

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 (www.bblam.co.th) and the Office of SEC (www.sec.or.th)”

Annual Report


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List of Soft commission

As of December 31, 2012

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 LTD. 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 LTD. Research paper and Indicative Yield For fund benefit

ASIA PLUS SECURITIES PLC. Indicative Yield For fund benefit

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Auditor Report and Financial Statements

31 December 2012

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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 0105535049700. It was granted a license to operate

asset management business from the Ministry of Finance under the license number LorKor-0005-02

dated on January 15, 2010.

Location of the Office

BBL Asset Management Company Limited

175 Sathorn City Tower, 7th, 21st and 26th floor

South Sathorn Road, Sathorn, Bangkok 10120

Tel. 0-2674-6488 FAX : 0-2679-5996

www.bblam.co.th

Compiled data as of February 13, 2013

BBL ASSET MANAGEMENT CO., LTD.

175 Sathorn City Tower, 7th, 21st and 26th Floor

South Sathorn Road, Sathorn, Bangkok 10210.

Tel. (662) 674-6488 Fax : (662) 679-5996

www.bblam.co.th

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:: Annual Report 2012 ::

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