CRCT – BT

CRCTs First Quarter 2007 Income Available for Distribution Exceeds Forecast by 9.5%

Pro-active asset management drives occupancy rates and shopper traffic across the portfolio

CapitaRetail China Trust Management Limited (CRCTML), the manager of CapitaRetail China Trust (CRCT), is pleased to announce a S$7.17 million income available for distribution to unitholders of CRCT (Unitholders) for the period from 1 January 2007 to 31 March 2007 (First Quarter 2007). This is S$0.63 million or 9.5% higher than the forecast income available for distribution of S$6.54 million for First Quarter 2007.

Available Distribution Per Unit in CRCT (DPU) for First Quarter 2007 is 1.51 cents (6.11 cents on an annualised basis), which is 9.5% higher than the forecast available DPU for First Quarter 2007 of 1.38 cents (5.58 cents on an annualised basis).

CRCTs gross revenue of S$17.1 million for First Quarter 2007 was S$1.2 million or 6.4% lower than the forecast1 gross revenue for the same period. Net property income was S$1.05 million or 8.9% lower than the forecast1. However, income available for distribution for First Quarter 2007 exceeded forecast1 by 9.5%, mainly due to net interest savings.

The lower than forecast gross revenue and net property income are mainly attributable to tenants at Wangjing Mall and Qibao Mall taking longer than expected time to obtain approvals from relevant local authorities, as well as some pre-termination of leases at Xinwu Mall. Tenants turnover and changes to tenancy mix are part and parcel of the active asset management process. Despite these slight disruptions, the portfolio occupancy rate registered an increase of 3.2% from 89.9% (as at 31 August 2006) to 93.1% (as at 15 April 2007), with all malls in the portfolio showing an improvement over the same period. Separately, rental from new leases at Wangjing Mall, Qibao Mall and Xinwu Mall outperformed forecast rental rates by 11.8%.