Grand Harbour Marina plc - Interim Directors’ Statement

On 18 November, Grand Harbour Marina plc (GHM) issued its Interim Directors’ Statement providing an update for the first nine months of 2013.

During the period under review, both GHM’s marina in Malta and the marina in Turkey (in which the Company has a 45% interest) reported operational improvements.

The marina in Malta registered a 12% increase in revenues to €2.29 million while cost of sales and operating expenses increased by 2% to €1.66 million. Similar to the previous comparable period, no berth sales were registered during the first nine months of the year. After deducting €0.76 million in depreciation and finance costs, the Grand Harbour Marina in Malta reduced its pre-tax loss to €0.13 million compared to €0.4 million in the previous year.

Similarly, revenues at the IC Cesme marina in Turkey grew by 24% to €3.77 million (GHM’s 45% share is €1.7 million). Cost of sales and operating expenses also increased by 17% to €2.33 million (GHM’s 45% share is €1.05 million). After deducting €1.19 million (GHM’s 45% share is €0.54 million) in depreciation and finance costs, the Turkish marina registered a pre-tax profit of €0.25 million (GHM’s 45% share is €0.11 million) compared to a pre-tax loss of €0.09 million (GHM’s 45% share is €0.04 million) in the previous comparable period.

Overall, the consolidated revenues of GHM grew by 17% to €3.99 million which was partially offset by an 8% increase in cost of sales and operating expenses to €2.71 million. The Group incurred €1.3 million in depreciation and finance costs leading to a pre-tax loss of €0.02 million which is lower than the pre-tax loss of €0.44 million registered in the first nine months of 2012.

The announcement also revealed that GHM has instructed HSBC Bank Malta plc, in its capacity as the trustee of the sinking fund created for the €12 million 7% bonds, to utilise the amounts available to repurchase any bonds which will subsequently be cancelled as permitted by the Prospectus dated 25 January 2010.