announcement on centro.com.au on msc 36 update, page-12

dc1,

I think it's important to put some context around the NTA values otherwise they are simply alarmist.

For instance in Sep 06, when Centro completed the Heritage acquisition and spun out CAWF, CNP paid a special one-off cash distribution to shareholders of $0.75 per share. CNP could easily have retained this, which amounted to $637m odd.

The CER NTAs are not a like-for-like comparison. Last year, CER and CSF merged into a single entity, so anything prior is 'old' CER which was a very different entity. At the time, Centro alerted investors that the NTA would drop but this was a trade-off for other (at the time) positives which investors agreed to. CSF holders, who are now CER holders, also received a special distribution as a result.

There a number of other reasons which are contextual to these figures which can be obtained by going through the reports.

I also think it's important to say that investors only fall back on NTA when a company is in difficulty. When a company is healthy, it is valued based on future income. Most Aus companies trade at multiples of their NTA and, when Centro returns to health, it will too.