6% DOLMEN PROPERTIES PLC SECURED 2012

The Company

Dolmen Properties plc, a fully owned subsidiary of Tumas Group Company Ltd., is the owner, on a freehold basis, of the land and buildings that constitute the Dolmen Resort Hotel and its amenities in Bugibba, Malta. The company was incorporated on 30 June 2003. Dolmen Properties plc is also the 99.9% shareholder of Dolmen Complex Ltd., which is the operator of the hotel. The segregation of the ownership of the hotel and its operation was made on 19 September 2003. Prior to this date, the hotel was both operated and owned by Dolmen Complex Ltd.

Use of Proceeds

€5.1 million of the proceeds were used to finance the upgrading and expansion of the hotel. The balance of the proceeds were used for the refinancing of the long-term bank and other loans taken out primarily to fund capital projects of the Dolmen Hotel, totalling €5.8 million.

Security

The bonds are represented in the form of a Global Note held by the Trustee (HSBC Bank Malta plc) following the constitution of a Trust Deed entered into by Dolmen Properties plc for the purpose of the bond issue and for the benefit of the bondholders as beneficiaries under the Trust Deed. The hypothec ranks with first priority and preference over all other creditors of the company over the Hypothecated Property (the Dolmen Resort Hotel), except for the block of 47 timeshare apartments in favour of HSBC Bank Malta as trustees for the payment of the principal and interest on the Bonds.

Coupon

6%

Amount Issued

€10,949,470

ISIN Code

MT0000281205

Maturity

The Bonds will be redeemed early on 20 November 2012.

Bond Redemption Fund

Dolmen Properties plc agreed to set up a Bond Redemption Fund to cover the redemption of the Bonds on maturity date. Dolmen Properties plc intended to allocate 66% of Available Free Cash Flows in each financial year, starting from 2004, to the Bond Redemption Fund, up to the financial year immediately preceding the date of redemption, until an amount equivalent to the principal value of the outstanding bonds is accumulated.

Interest Payment

Annually on 20 November

XD Date

6 November

Listing

Official List

No. of Bondholders

2,482

Directors

George Fenech, Raymond Fenech, Ray Sladden, Lino Spiteri, Michael Grech.

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