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PRESENTATION J.W.CONSTRUCTION HOLDING S.A. PERFORMANCE IN Q4 2008

This presentation highlights the performance of J.W. Construction Holding S.A. in Q4 2008, including gross sales profit, strategy for diversifying operational risk, and projects in progress. It also discusses the development prospects in the industry according to the company's view.

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PRESENTATION J.W.CONSTRUCTION HOLDING S.A. PERFORMANCE IN Q4 2008

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  1. PRESENTATION J.W.CONSTRUCTION HOLDING S.A. PERFORMANCE IN Q4 2008

  2. PRESENTATION AGENDA • PERFORMANCE IN Q4 2008 3 • Q4 2008 GROSS SALES PROFIT5 • STRATEGY OF J.W. CONSTRUCTION HOLDING S.A. 6 • STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP7 • STRATEGY - PROJECTS IN PROGRESS14 • STRATEGY- APARTMENTS READY TO MOVE IN16 • STRATEGY-PROJECTS IN THE PIPELINE17 • IMPLEMENTED PROJECTS - OVERVIEW 18 • OTHER PLANNED PROJECTS 27 • PROJECTS IN PROGRESS WILL YIELDOVER PLN 1 BILLION IN MARGINS 28 • INDUSTRY DEVELOPMENT PROSPECTS IN THE COMPANY’S VIEW 29 • THE COMPANY’S SALES POLICY IN 2008 30 2 PRESENTATION PERFORMANCE IN Q4 2008

  3. PERFORMANCE IN Q4 2008 After the surge in 2006 and 2007, the Company still generates satisfactory earnings. 3 PRESENTATION PERFORMANCE IN Q4 2008

  4. PERFORMANCE IN Q4 2008 After the surge in 2006 and 2007, the Company still generates satisfactory earnings. 4 PRESENTATION PERFORMANCE IN Q4 2008

  5. Q4 2008 GROSS SALES PROFIT The total gross sales profit for the four months ended 31December 2008came to PLN 213,7 million. The following projects contributed the main to this figure: Górczewska Park, Warsaw, Górczewska/Olbrachta Streets- 41 % • Osiedle Lewandów II, Warsaw, Lewandów Street- 18 % • Osiedle Lazurowa, Warsaw, Lazurowa Street - 13 % • Osada Wiślana, Warsaw, Marcina z Wrocimowic Street - 11 % • Rezydencja Quatro, Warsaw, Łukowska Street - 8 % In addition, other projects also contributed to the profit, including: • Osiedle Leśne, Gdynia, Parkowa Street • Aleja Wiślana, Odkryta Street 5 PRESENTATION PERFORMANCE IN Q4 2008

  6. STRATEGY OF J.W. CONSTRUCTION HOLDING S.A. Regardless of circumstances, the Company diversifies the Group’s risks by: • Expanding non-developer operations of affiliated companies – general construction, designing, construction prefab manufacturing • Enhancing the product range by office and commercial space • Continuing started housing projects – none of the projects in progress has been stopped • Providing a differentiated commercial offer – including apartments ready to take • Continuing preparations of new projects (documentation and building permit phase) 6 PRESENTATION PERFORMANCE IN Q4 2008

  7. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Development of Affiliated Companies – Strength and Capabilities • J.W. Construction S.A. – focus: construction and assembly work • Strengths: • It may implement projects for unaffiliated clients (general construction, electrical engineering, water & sewage, and road construction work) • Experienced engineering and technical staff, own resources for project implementation • Substantial construction and transportation equipment resources 7 PRESENTATION PERFORMANCE IN Q4 2008

  8. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Development of Affiliated Companies – Strength and Capabilities • JW Projekt Sp. z o.o. – focus: architecture and design. • It may prepare projects for unaffiliated clients (recently it has been invited by National Airports to take part in the contest for a luxury hotel in the vicinity of the Okęcie Airport) • Skilled and experienced experts in various designing units dedicated to: architecture, design engineering, water & sewage and electrical systems 8 PRESENTATION PERFORMANCE IN Q4 2008

  9. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Development of Affiliated Companies – Strength and Capabilities • JWCH Produkcja Budowlana Sp. z o.o. – focus: construction prefab manufacturing – own plant with an advanced production line • Shorter deadlines • Prefabs may be offered to unaffiliated clients • Target – reduced expenditures 9 PRESENTATION PERFORMANCE IN Q4 2008

  10. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Office and Commercial Space The Company is prepared to start a commercialization project for office buildings, hence project implementation may commence soon. • Office Building – Jerozolimskie Point • Warszawa, • Badylarska / Al. Jerozolimskie Streets • It is a modern 5-storey B+ class office building (with option to upgrade to A class standard), designed to the highest standards and care for work comfort. Useable space: 4,157 sq. m. 10 PRESENTATION PERFORMANCE IN Q4 2008

  11. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Office and Commercial Space • Office Building - Nowa Dana • Szczecin, Wyzwolenia Avenue / Odzieżowa Street • It is a technologically advanced 22-storey A class office building. • - Useable space: 25,324 sq. m.- Office space: 20,877 sq. m.- Commercial space: 4,447 sq. m. • A hotel with catering establishments and shops • Warszawa, PileckiegoStreet • Construction design in progress. Planned space: 16,838 sq. m. 11 PRESENTATION PERFORMANCE IN Q4 2008

  12. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Hotel Operations At present, J.W. Construction Holding Group has 5 two- and three-star hotels in: Zegrze, Stryków, Cieszyn, Tarnów Podgórny and Święta Lipka. Hotels focus on institutional clients (conferences, training sessions, seminars), but do not ignore individuals. 12 PRESENTATION PERFORMANCE IN Q4 2008

  13. STRATEGY - DIVERSIFYING OPERATIONAL RISK OF THE GROUP Hotel Operations In 2005, the Company purchased the “Czarny Potok” Resort in Krynica. Now, it is being expanded and upgraded to the “Resort & SPA” standard. The goal is to convert it into a four-star hotel with appropriate catering and conference facilities plus a five-star SPA/wellness centre. The building houses a lobby with reception desk, a restaurant for 400 guests and a multi-purpose conference room. 13 PRESENTATION PERFORMANCE IN Q4 2008

  14. STRATEGY- PROJECTS IN PROGRESS • Projects in progress total nearly 6,000 apartments, of which 75% are sold. • Necessary financing for projects in progress is ensured. 14 PRESENTATION PERFORMANCE IN Q4 2008

  15. STRATEGY- PROJECTS IN PROGRESS Projects under construction and in the sales stage(data as at the end of December 2008) *Apartments available for sale 15 PRESENTATION PERFORMANCE IN Q4 2008

  16. STRATEGY- APARTMENTS READY TO MOVE IN The Company has about 100 available apartments, ready to move in, in already completed projects • Osiedle Leśne in Gdynia • Osiedle Centrum in Łódź • Osiedle Uroczysko in Katowice • Willa Konstancin in Konstancin Jeziorna 16 PRESENTATION PERFORMANCE IN Q4 2008

  17. STRATEGY- PROJECTS IN THE PIPELINE • Regardless of market circumstances, works related to preparation of further projects are carried out based on the existing “land bank”, including: • Drawing up documents, e.g. design documentation • Applying for building permits. • The above actions will allow smooth construction commencement in the future. * Apartments available for sale – construction work to start in the middle of 2009 17 PRESENTATION PERFORMANCE IN Q4 2008

  18. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Osiedle Lazurowa • Warsaw, Lazurowa Street • A housing estate at Lazurowa Street in Warsaw, close to the projected subway station. The project consists of four stages, on completion it will include 669 high-standard apartments. 18 PRESENTATION PERFORMANCE IN Q4 2008

  19. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Górczewska Park II • Warsaw, Górczewska/ Olbrachta Streets • The Górczewska Park project includes 12 apartment buildings situated at Górczewska/Olbrachta Streets- 886 apartments and 4 commercial premises. 19 PRESENTATION PERFORMANCE IN Q4 2008

  20. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Lewandów Park Warsaw, Lewandów Street • A gated housing compound consisting of over 1,900 apartments. Construction in two stages - Lewandów Park I and Lewandów Park II. Attractive location, good connection to the city center. 20 PRESENTATION PERFORMANCE IN Q4 2008

  21. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Osiedle Bursztynowe • Warsaw, Korkowa Street • A small, cozy housing estate consisting of four-story houses. Very good connection to the city center. Gated and guarded estate. 322 apartments are planned. 21 PRESENTATION PERFORMANCE IN Q4 2008

  22. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Wiślana Aleja • Warsaw, Odkryta Street • A housing estate consisting of modern six-story houses. The estate includes 200 apartments with underground garages. Fast and easy access to schools, kindergartens and shopping malls. 22 PRESENTATION PERFORMANCE IN Q4 2008

  23. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Ludwinowska Aleja II • Warsaw, Ludwinowska Street • Six cosy semi-detached houses with 24 apartments. 23 PRESENTATION PERFORMANCE IN Q4 2008

  24. IMPLEMENTED PROJECTS - OVERVIEW Warsaw Market • Osada Wiślana • Warsaw, Marcina z Wrocimowic Street • A complex of 3-storey buildings with 400 apartments. The privacy of inhabitants is heightened by enchanting location, near the Vistula River and forest. 24 PRESENTATION PERFORMANCE IN Q4 2008

  25. IMPLEMENTED PROJECTS - OVERVIEW Project outside Warsaw • Lazurowe Ustronie I, stage I • Kręczki-Kaputy, Ożarów Maz. • A compound consisting of 11 residential buildings with underground garages. The project will include 376 apartments. Service facilities as well as a school and kindergarten are also planned. On completion of all stages, the project should include around 4,000 apartments. 25 PRESENTATION PERFORMANCE IN Q4 2008

  26. IMPLEMENTED PROJECTS - OVERVIEW Projects Abroad • Victoria Park • Russia, Kolomna • A guarded housing estate consisting of six apartment blocks in the town of Kolomna near Moscow. The project includes over 1,100 apartments and the planned completion date for the entire estate is 2012. 26 PRESENTATION PERFORMANCE IN Q4 2008

  27. OTHER PROJECTS IN PROGRESS Data as at the end of December 2008 27 PRESENTATION PERFORMANCE IN Q4 2008

  28. PROJECTS IN PROGRESS WILL YIELD OVER PLN 1 BILLION IN MARGINS Projects in progress will yield over PLN 1 billion in margins, which will be recognized in future financial results. 28 PRESENTATION PERFORMANCE IN Q4 2008

  29. INDUSTRY DEVELOPMENT PROSPECTS IN THE COMPANY’S VIEW • Regardless of the stagnation in the housing market, which has been felt for several months now, supply is still outstripped by demand — the shortfall amounts to over 1.5 million apartments (Central Statistical Office figures as of December 2007) • There is an active group of customers in the real estate market who were born during the 1980s baby boom and whose housing needs still have not been met • Forecasts indicate a decline in PLN interest rates • Supply of new apartments will be probably decreasing, starting in 2010, as developers have stopped many projects and postponed start-ups, which is likely to increase both demand and prices • Stable pricing situation in the construction materials market • In the longer term, demand will be boosted again from 2010 onwards due to the Euro 2012 effect and Poland’s probable entry into the euro area 29 PRESENTATION PERFORMANCE IN Q4 2008

  30. THE COMPANY’S SALES POLICY IN 2008 • Offer of financing programmes for Customers • Packages offering special conditions, dedicated to employees of institutions co-operating with J.W. Construction • Interior finishing programmes for Customers • Implementation of alternative sales channels • Continuous marketing activities • Flexible approaches to clients – negotiable prices depending on payment amounts and schedules 30 PRESENTATION PERFORMANCE IN Q4 2008

  31. INVESTOR RELATIONS OFFICE: Małgorzata Szwarc-Sroka Head of Financial Liquidity Management and Head of the Investor Relations Office Phone: +48 022 771 77 85 / +48 0 22 771 78 10 or +48 022 771 75 10 e-mail: relacje.inwestorskie@jwconstruction.com.pl

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