Circular - Lippo Malls Indonesia Retail Trust - Investor Relations

We observe that: the assessed market value for Pejaten Village as at 30 June 2012 was between Rp. 841billion (S$106.9 million) and Rp. 870.15 billion (S$110.6 million). The agreed PejatenVillage Purchase Consideration, assuming no adjustment, is Rp. 748.0 billion (S$95.1million). We note that the Pejaten Village Purchase Consideration of Rp.748.0 billion(S$95.1 represents a 12.6% discount to the average of the two independent valuationsconducted by the Independent Valuers; and the assessed market value for Binjai Supermall as at 30 June 2012 was between Rp. 247billion (S$31.4 million) and Rp. 253.9 billion (S$32.3 million). The agreed BinjaiSupermall Purchase Consideration is Rp. 237.5 billion (S$30.2 million). We note that theBinjai Supermall Purchase Consideration of Rp. 237.5 billion (S$30.2 million) representsa 5.2% discount to the average of the two independent valuations conducted by theIndependent Valuers.6.3 Financial effectsThe pro forma financial effects of the Proposed Acquisitions and the acquisitions of theRecent Properties (“Recent Acquisitions”) presented below are strictly for illustrativepurposes only and were prepared based on:(i) LMIR Trust’s audited consolidated financial statements for FY2011 (the “FY2011Audited Consolidated Financial Statements”) and the unaudited financial statements ofthe target companies for FY2011; and(ii) the unaudited consolidated financial statements of LMIR Trust and the targetcompanies for the six months ended 30 June 2012 (the “6M 2012 Unaudited FinancialStatements”),and assuming:(a) the cash portion of S$129.0 million of the Total Acquisition Cost will be paid in full incash;(b) the cash component is funded by the proceeds from the Notes at an assumed weightedaverage interest rate of 5.079% per annum;(c) a rental guarantee in respect of KJI amounting to Rp.10.75 billion (S$1.4 million) perquarter will be provided by the KJI vendor; and(d) (in relation to the pro forma financial effects of the Recent Acquisitions and theProposed Acquisitions on the Distributable Income for LMIR Trust for FY2011) that:(I) LMIR Trust had purchased the relevant properties on 1 January 2011 and hadincurred expenditures for the acquisition of these properties on 1 January 2011; and(II) such expenditures are based on the purchase consideration for 100% of the revenuegenerating spaces within the malls that are to be acquired.A-12