RICS ROSSIA & CIS: MEETING OF RICS MEMBERS BASED IN UKRAINE Date: 20 November 2009 Location: Kiev, Ukraine

2. НАЦИОНАЛЬНАЯ АССОЦИАЦИЯ RICS ROSSIA & CIS: ПЕРВОЕ ПРОФЕССИОНАЛЬНОЕ ЗАСЕДАНИЕ ЧЛЕНОВRICS УКРАИНЫ 20 ноября 2009 года Киев, Украина RICS ROSSIA & CIS: MEETING OF RICS MEMBERS BASED IN UKRAINE Date: 20 November 2009 Location: Kiev, Ukraine

3. AGENDA • Share RICS Global strategy • Share RICS Europe Results and Targets for 2009-10 • Share RICS Rossia & CIS activities and plans (now and for the year) • Set the pace for further development • Outline the steps for the upcoming months for RICS in Ukraine (working with end-users (banks), streamline of procedures, etc.) • Finally, become a voice heard at government and local professional level • Award RICS Diplomas to the new MRICS of October session • Make everyone meet and understand who the RICS community is in Ukraine

4. Oct 2009 It’s been a good year for RICS Europe

5. Oct 2009 Continued success

6. Oct 2009 A few new hoops to jump

7. Oct 2009 One or two surprises

8. Oct 2009 But you lifted the global prize

9. 658 414 292 202 164 104 87 Europe Asia MENEA Americas India UK Oceania Oct 2009 Membership Development Worldwide

10. Oct 2009 RICS’ World is changing 2003 2009 30% 95% 70% 5% Net membership growth

11. Oct 2009 But still slowly in totality Non-UK Members UK Members Qualified members end July 2009

12. Oct 2009 WHERE WE WANT TO BE OurVision: Essence: World leading professional qualification Champion of professional standards THE STRATEGY AIMING AT 2018 WHEN RICS IS 150 YEARS

13. Oct 2009 RICS recognises it’s on a journey from UK operation with overseas members to worldwide business with devolved market units

14. We recognise the world is different to UK

15. Transportation strategy is not the same

16. Some health & safety differences

17. Slightly different views on alcohol

18. Even Surveyors struggle at times

19. Business Units – Market Strategies UK EUROPE ASIA MENEA INDIA AMERICAS OCEANIA Oct 2009 Where we want to be RICS HQ Knowledge & Standards Regulation Brand Finance, IT Central Services

20. Oct 2009 Where we want to be • HQ sets the vision and mission, global policy • frameworks • World Markets determine the strategies and • plans • HQ acts as an ‘investor/capital allocator’

21. Oct 2009 Expectations of Management Board • World Units break even by at least 2013 • Business plans directly linked to robust market assessment • Management Board will invest in most attractive plans • World Board accountable for delivering the agreed goals • Good, regular two way dialogue

22. RICS GLOBAL RESULTS 2008-09

23. RICS EUROPE RESULTS 2008-09 • Final results as at 31 July 2009: • New qualified members (net): +658 (+22%) to 3,637 • New trainees (net): +402 (+34%) to 1,593 • New students (net): +691 (+29%) to 3,071 • Press: 2,324 (target 1,220) + major quality increase • Revenue: 1,904,000 EUR • Spend: 2,379,000 EUR • UK subsidy: 475,000 EUR (vs a target of 838,000 EUR)

24. RICS EUROPE RESULTS 2008-09 • Our evolution since 1/8/2004: • from 1,619 to 3,637 qualified members, i.e. 125% growth in 5 years • from a subsidy of 910,000 EUR in 2004-05 to 475,000 EUR in 2008-09 • (Important note: HQ is not charging us any cost yet for services)

25. RICS EUROPE QUALIFIED MEMBERS/COUNTRY 2008-09

26. RICS EUROPE KEY ACTIVITIES/ ACHIEVEMENTS 2008-09 • 60 Final Assessment sessions of between 5 and 124 candidates • in 20 countries in 7 languages with an average pass rate of 76% • Continued development efforts in Russia, Romania and Baltics, and • proactive development started in Sweden, Finland, Ukraine and Turkey • Experienced assessor trainers/assessors supporting FA panels in new countries/ • countries with a lack of knowledge of the APC. Also, where there were • perceived FA issues experienced assessors monitoring assessments • Steps taken to speak to those countries where the APC/route to membership rules had been misunderstood/were not implemented correctly • Emphasising the importance of course conversion to the accredited courses • and confirming the freeze on course accreditation (excl. ‘exceptional’ courses)

27. RICS EUROPE KEY ACTIVITIES/ ACHIEVEMENTS 2008-09 • Rolling out the implementation of accreditation application (at (re-)accreditation • stage) and accreditation management fees (annually) to all courses • Together with the Valuation PG running valuation promotion campaigns targeted • at the end user in France and Netherlands • After introducing MyAPC in 2008 (has been continuously fine-tuned since) launch of MyFellowship in February 2009

28. RICS EUROPE TARGETS 2009-10 • To be achieved by 31 July 2010: • New qualified members (net): +654 (+18%) to 4,291 • New trainees (net): +398 (+25%) to 1,593 • Press: 1,500 mentions + continued work on quality • Revenue: 2,149,000 EUR (incl. fee increase) • Spend: 2,547,000 EUR • UK subsidy: 425,000 EUR (incl. fee increase)

29. RICS EUROPE PLAN 2009-10 • Continue the development plan as in 2008-09 (with continuous improvements) • Subscription fees increased in 15% (to 35%), 35% (to 65%) and • 50% (to 75%) countries • Proposal made to HQ to adapt the Senior Professional route to allow us to • accept ‘Senior Experts’ – HQ has set up a working group • Proposal made to HQ to streamline the accreditation process to allow us to • accredit more courses – discussed at Membership Board on 8 Oct. • In principle agreed, but more detail to be added to proposal • Continue the new governance work started in 2008-09 (setting up new • legal entities, composing NG Boards)

30. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 THE BOARD 2 Representatives from Ukraine to be elected in December 2009

31. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 THE SITE • www.joinricsineurope.eu/ru FEES EXAM INFO • News • Events • Members • Useful & • Interesting • Schedule • Supporting docs • for self-education • All types of • fees • For RU & UA • For Kazakhstan

32. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 THE FINAL ASSESSMENTS • Chairs of Panels: • Olga Arkhangelskaya MRICS, E&Y/ Valuation • Alexander Kopylov MRICS, E&Y/ Valuation • Polina Kondratenko MRICS, Colliers Interbational / Valuation • Igor Artemenkov FRICS, International Valuation Centre / Valuation • Assessors: • 54 trained licensed assessors with different pathways, bi-lingual • 11 from Ukraine

33. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 THE FINAL ASSESSMENTS • FA Oct 01-02, 2009: • No. of candidates: 18 • Pathways: VAL, PFI, PRM, QS, COM, MC • 17 SPs (1 Referred) + 1 Grad 2 • Candidates’ geography: Moscow, Kiev, Ekaterinburg, Almaty • Result: • Passrate: 67% and 12 new MRICS (+5 from Ukraine) • FA Dec 03-04, 2009: • No. of candidates: 24 (the first session that big!) • 2 full days (09:30 – 19:30) • 6 candidates for each Chair • Pathways: VAL, QS, PRM, COM, PFI, MC (VAL = 66%) • 23 SPs (3 Referred) + 1 Grad 2 (Referred) • Candidates’ geography: Moscow, Kiev, Mariupol, Kharkiv, Almaty • Region ratio: 9 Ukraine / 1 Kazakhstan/ 14 Russia • = 50/50 CIS/Russia

34. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 THE FINAL ASSESSMENTS • FA schedule for 2010: • pls see it at: www.joinricsineurope.eu/ru (Final Assessments section) • Feb 25-26 session has 22 candidates registered and already closed • for applications • Apr 08-09 session has 10 candidates registered already • The total existing pool is 50 candidates, with 26 of them Grad 1s.

35. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 GEOGRAPHY EXPANDING • We are expanding the borders of our National Group to include more • of former USSR states and you may see already at site in Members section Azerbaijani members; the resumes have started to come from • Armenia and recently I have been asked by RICS Europe management to assist the current Country manager Patrick Simon FRICS in the development of the Baltics region (Lithuania, Latvia and Estonia). I plan to make a market visit early next year and understand the potential, then handing it over to Patrick and an admin person from RICS Brussels office.

36. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 CPD EVENT – DEC 07, 2009 Time: 15:30 - registration 16:00 - 19:00 - event 19:00 – networking cocktail at “Uncle Sam” cafe across the road (everyone is paying for himself, VR will negotiate a discount for drinks) Location:E&Y office, conf rooms Moscow 1 + 2 + 3 Topic:Specifics of valuation reporting for the purposes of IFRS

37. CPD EVENT – DEC 07, 2009 Agenda & Speakers: 16:00 - 16:15 – RICS development strategy: globally and for our region (highlights of AM Brussels Oct 15-16, 2009 incl. workshops learnings) Speakers: Olga Arkhangelskaya MRICS, Vera Rukina, RICS 16:15 – 16:30 – Diploma ceremony (new MRICS + FRICS) 16:30 – 16: 45 - General overview and current trends in the real estate industry in Russia Speaker: Vladimir Pantyushin, JLL 16:45 - 17:15 – Auditors point of view (IFRS 16 and 40) Speakers: TBA by Olga for E &Y (potentially from Deloitte, not sure) 17:15 - 17:30 – coffee break 17:30 - 18:00 – Valuers point of view Speakers: Alexander Kopylov MRICS, E&Y and Polina Kondratenko MRICS, Colliers International 18:00 - 18:30- Developers point of view Speakers: TBA by Igor Roganovich MRICS fromKnight Frank 18:30 - 19:00 – Open discussion and Q&A

38. RICS ROSSIA & CIS: OUR LIFE NOW AND FOR 2010 • The next visit of RICS Europe Management to Kiev is planned • for February 22, 2010 and will cover : • Assessors training for the new MRICS • Diploma ceremony for the new MRICS (from December 2009 session) BON CHANCE AND SEE YOU SOON!