Business Overview

Invista Foundation Property Trust Limited (the "Company"), which was launched in July 2004, is a closed-ended property investment company, domiciled in Guernsey and is listed on both the Channel Islands Stock Exchange and the London Stock Exchange.

The Company's objective is to provide the shareholders with an attractive level of income, together with the potential for income and capital growth, from investing in a diversified portfolio of UK commercial property.

The Board of the Company has appointed Schroder Property Investment Management Limited as the Investment Manager, with effect from January 2012.

Company Background

The Company is a closed-ended, Guernsey registered investment company, managed by Schroder Property Investment Management Limited. The Company invests in a diversified portfolio of UK commercial property. The Company has an indefinite life but shareholders will have the opportunity to vote on its continuation at the Annual General Meeting to be held in 2014.

Investment Objective

The Company's objective is to provide shareholders with an attractive level of income together with the potential for income and capital growth from investing in a diversified portfolio of UK commercial property.

The Company's focus is to own commercial properties where it believes it can create value and grow income. Its portfolio comprises a mix of retail, office and industrial property throughout the UK.

Investment Portfolio

The Company's direct property portfolio was valued at £331.55 million as at 30 September 2011 and comprises 57 assets spread across the main retail, office and industrial sectors.

Debt

The Company has the power to borrow up to an amount equal to 65 per cent of the Company's Gross Assets (as defined in its Articles). However, it is the current intention of the Board that borrowings will be limited to a maximum of 50 per cent of the Company's total assets.

As at 30 September 2011 the Company had a single on-balance sheet loan facility of £173.5 million that matures in July 2014, with no other on-balance sheet financing maturing prior to this date.

At the same date the Company's on-balance sheet loan to value ratio, net of cash, was 40.3% compared to a net loan to value ratio covenant of 60%. The interest cover ratio was 213% compared to the covenant of 150%.

Net Asset Value and Dividends

The Company announced an unaudited net asset value ('NAV') of £168.4 million or 47.3 pence per share ('pps') as at 30 September 2011. This reflects a decrease of 2.3 pps or 4.6% compared with the NAV as at 30 June 2011 of £176.5 million.

The directly held property portfolio fell in value by £0.8 million or -0.2% on a like for like basis over the quarter, increasing to -£1.4 million or -0.4% after taking account of capital expenditure but before acquisition costs.

The negative movement of the Group's interest rate swaps of £4.1 million over the quarter accounted for approximately half of the total decrease in NAV. As at 30 September 2011 the total negative marked to market value of these swaps is -£30.64 million, representing 8.6 pps or 18% of the total NAV.

The Company also announced an interim dividend of 0.88 pps for the period 1 October 2011 to 31 December 2011. The dividend payment will be made on 25 November 2011 to shareholders on the register on 11 November 2011. The ex-dividend date will be 9 November 2011.

Further information about the outcome of the strategic business review can be found in the Company's latest interim report and accounts..