LOADING MESSAGE FROM THE CEO Dear shareholders, 2019 was another landmark year for Lamda Development. Our most important milestone was the completion of the €650 mln Share Capital Increase, the highest non-banking share capital increase of the decade in Greece. Through this, Lamda Development reached a capitalization and net asset value exceeding €1 bln, while important new investors, such as the European Bank of Reconstruction and Development (EBRD) and Aegean Airlines -which is now an important strategic partner of the company- have acquired an equity stake in the company, confirming the support of the Greek business community to the Hellinikon project. Now, we are not only a larger company, but a company with new capabilities and prospects. This brings us to a very favorable position with regards to attracting interest from international partners across the business and investment spectrum. Most importantly, the successful completion of the Share Capital Increase is the most positive vote of confidence to the emblematic Hellinikon project, which will give much-needed impetus to the Greek economy and create value for everyone. FINANCIAL PERFORMANCE Introduction 01 2019 was a record-high year for Lamda Development, in terms of net profitability and assets. The Group’s consolidated EBITDA, excluding the expenditures related to Hellinikon, reached €50.5 mln, recording a 7.9% increase, while considering the fair value of the properties included in the company’s investments portfolio, the overall EBITDA reached €115.9 mln. The Net Consolidated Profits reached €49.9 mln in 2019, over €42.3 mln in 2018. Offices buildings contributed approximately €0.2 mln to the Group’s operating profitability. Numerical figures Share Capital Increase In December 2019, Lamda Development finalized the highest non-banking share capital increase of the decade in Greece, amounting to €650 mln, with the participation of a high number of investors. Apart from the main shareholders of the company, the participation of the European Bank of Reconstruction and Development (EBRD), which acquired 1.8% of the Company, is also considered a significant development. Furthermore, the participation of key-market investors, such as Aegean Airlines, confirms the support of the business community to Hellinikon project. Net Asset Value (NAV) in mln € The Company’s Net Asset Value reached €1,115 mln (€6.54 per share) while the corresponding amount for FY 2018 reaches €438 mln (€5.64 per share) 2015 2016 2017 2018 2019 NAV 0 0 0 0 0,0 NAV per share 0 0 0 0 0 % change –0% –0% –0% 0% 0% 1 1 1 1 2018 1,01 1 1 1 2019 Investment Portfolio Bank Debt Cash Net Debt INVESTMENT PORTFOLIO Introduction 02 In 2019 Lamda Development’s assets continued recording impressive performance. The average occupancy rate of shopping centers scored a constant 100%, while interest expressed by new tenants is currently growing. The overall turnover of shops and the total number of visitors at shopping centers were increased by 2.5% and 0.2% respectively. Specifically, The Mall Athens achieved revenues of €243 mln and an EBITDA of €28.8 mln, Mediterranean Cosmos recorded revenues of €191 mln and an EBITDA of €18.6 mln while Golden Hall’s revenues amounted to €160.5 mln accompanied by an EBITDA of €16.9 mln. Moreover, the Net Loan-to-Value ratio reached 37.1%. The average occupancy rate of malls scored a constant 100%, while interest expressed by new tenants is currently growing. Group EBITDA In mln € Total Turnover of shopping centers In mln € Customer Visits All Shopping centers Golden Hall The Mall Athens Mediterranean Cosmos H1 2019 –0% –0% 0.2% –0% H2 2019 0% 0% 0% 0% FY 2019 0.2% –0.5% 1% –1.0% * % change of the overall number of customer visits respectively compared to 2018. Shopkeepers’ turnover All Shopping centers Golden Hall The Mall Athens Mediterranean Cosmos H1 2019 1% 1% 1.0% 0.7% H2 2019 1% 1% 1% 1.0% FY 2019 1% 1% 1% 1% * % change of the overall number of customer visits respectively compared to 2018. €1mln of total shopkeeper's turnover 1 stores 1,0m² GLA 1,000 underground parking spaces €1mln of total shopkeeper's turnover 1 stores 1,0m² GLA 1,1 parking spaces €1mln of total shopkeeper's turnover 1 stores 0,000m² GLA 1,000 parking spaces 1 luxurious berths 1% of tenants occupancy rate 1,0m² facilities 1,000visitors in average during the weekends THE HELLINIKON PROJECT Introduction 03 Hellinikon Project constitutes the largest greenfield urban infrastructure development investment in Europe, specifically planned to trigger significant new investments in tourism, culture, entrepreneurship, innovation and the environment, which are expected to result to a positive impact, not only for the region of Attica, but for the whole country. Hellinikon constitute a one-of-a-kind urban development project, combining the natural beauty of the area and the unique characteristics of the state-of-the art buildings. The project’s sustainable design, will provide for world-class services and infrastructures, while it will upgrade the citizens’ quality of life. As part of its planning for this project, back in December 2019, Lamda Development, successfully concluded the highest non-banking share capital increase of the decade in Greece, amounting to €650 mln. General Information The 6,200,000 m² plot is directly connected with nearby municipalities, creating that way a unique urban continuity. The project’s master plan is based on current infrastructure of the area providing easy and convenient mass-transportation access for its visitors. 1,0,000m² of total land area The Metropolitan Park The development of Hellinikon-Agios Kosmas 2,000,000 m² Metropolitan Park will be characterized by its environment-friendly design, based on fundamental sustainability principles. The enhancement of the coastal front and the opening of the city’s connection towards the sea, constitute a key environmental and social objective of Hellinikon’s Master Plan. 1,000,000m² Metropolitan Park 1,000m² of open green spaces Less than 1% of coefficient coverage 1km of path network for pedestrian and cyclists Approximately 1km of newly developed free access beach Positive impact on the economy Hellinikon is the largest urban development project in Greece’s history. It is a multi-dimensional project which expands over many sectors of the economy, and it is expected to accelerate the country’s economic development , both on a macroeconomic and microeconomic basis. €1bln total investment 1% contribution to GDP 1,000 new jobs during construction 1,000 new jobs during operation €1bln in tax revenues 1mln visitors to be attracted €1bln of estimated budget for infrastructure project Smart City Hellinikon is a project that has been developed and designed incorporating smart city concepts and cutting-edge technologies HUMAN CAPITAL Introduction 04 Lamda Development recognizes that business success depends on its people and to this end, the company aims at the creation of an excellent work environment that fosters employees’ professional development, implementing strategies to attract, develop and retain human capital and offering equal opportunities to everyone. The company supports its people so that they accomplish their goals through continuous learning and development which is achieved through the implementation of evaluation and development systems. The company implements training programs, tailored to the needs of the employees in order to cover their specific training needs, to facilitate their professional development and to ensure their effective response to the company’s ambitious goals. Lamda Development is committed to the education, the improvement of corporate internal communication and the reinforcement of the corporate culture aiming at the professional fulfilment and development of its employees. 1,0hrs of training sessions (an average of 19 hrs per employee) SUSTAINABLE OPERATION Environmental Responsibility 06 Lamda Development has set environmental responsibility as a main component in its business and commercial operations, bearing always in mind to make fair use of all resources. With a well-planned layout, modern architectural design and model ancillary services, our shopping and leisure centers are aimed to ensure they are run in an environmentally-friendly way, in the context of sustainable development and responsible business conduct. In detail, our centers feature Building Management Systems that ensure monitoring of energy consumption, proper time-scheduled lighting and air-conditioning, improving thus energy consumption and achieving maximum energy efficiency. Moreover, state-of-the-art practices and procedures on waste management are being implemented emphasizing on recycling (separation of five flows – material classes – recycling). Energy Consumption 2019 1,0,000KWh The Mall Athens (shopkeepers included) 1,0,0KWh Golden Hall (shopkeepers included) 1,0,0KWh Mediterranean cosmos (shopkeepers excluded)* 1,0KWh (Vessels’ consumption excluded) Flisvos Marina *Heating & air-conditioning is provided to shopkeepers. Each store has an individual contract for energy supply Natural Gas Consumption 2019 1,0m³ The Mall Athens 1,0,000m³ Golden Hall 1,0,0m³ Mediterranean cosmos (shopkeepers excluded)* *Restaurants are excluded Water Consumption 2019 1,0m³ The Mall Athens 1,0m³ Golden Hall 1,0m³ Mediterranean cosmos (shopkeepers included) 1,00m³ (Vessels’ & tenants consumption is excluded) Flisvos Marina Waste Consumption 2019 1,0Kg The Mall Athens 1,0Kg Golden Hall (shopkeepers included) 1,0Kg Mediterranean Cosmos 1,0Kg Flisvos Marina 1,0,0kg of recycled waste Social Responsibility For Lamda Development, an organization’s starting point for doing business should be its contribution to society and the country’s economic growth. Lamda abides by its ethical commitments with regard to transparency, quality of service, defending human rights, environmental protection and safeguarding cultural heritage, which represent our main principles in terms of Corporate Social Responsibility (CSR). Corporate business activities and the operation of three shopping centers (The Mall Athens, Golden Hall, Mediterranean Cosmos) have created 7,000 jobs and host 547 shops generating an annual turnover of €700 mln. At the same time, numerous notable synergies are deployed between the Golden Hall, The Mall Athens, Mediterranean Cosmos and the Flisvos Marina with Non-Governmental Organizations (NGOs) and other entities. This way all partners may be hosted in public spaces of our company-owned shopping centers in order to communicate their work to an audience of 25,000,0000 visitors annually. 1voluntarism initiatives of employees >1,000jobs and a total 547 stores have been supported as part of the company’s activity >1NGOs have been supported by the company’s CSR initiatives Initiatives with NGOs Floga: Lamda’s employees donated hand-made gifts in order to be sold during a special Easter Bazaar. ELEPAP: Employees’ visited ELEPAP’s facilities and joined the children in their drawing activities. Special High School for Deaf and Hard of Hearing of Thessaloniki: Two groups of employees visited the school and joined the children in art activities. Make a Wish Greece: The employees participated in “Bake a Wish” program. They prepared cookies which were later on sold for charity reasons. The amount raised was donated to grant a wish to a child suffering by a serious disease. Save a Greek Stray: Lamda’s employees visited the organization’s shelter located in Oropos. The employees’ children attended a special educational program. Alma Zois: The company’s employees participated in the 11th Greece Race for the Cure. The HOME Project: A group of employees visited the shelter for unaccompanied minors and were informed over the organization’s initiatives and donated material for the renovation of the shelter’s facilities. Amimoni: Lamda’s employees made Christmas gifts and cards which were donated to the NGO in order to be sold to the upcoming bazaar. Furthermore, the organization’s kiosks were hosted in Lamda’s malls, The Mall Athens and Golden Hall. “Niki”-Victor Artant: The company’s employees received the organization’s children and offered them Christmas gifts. Creating Value The adoption of best practices constitutes a vital part of Lamda Development’s business planning. The company’s main objective is to create value for its shareholders, enhance employment, and further develop services of high added value for its customers. Zero incidents of privacy and personal data breach have been reported Zero incident of non-compliance in connection with rules related to health & safety of visitors ReTech Innovation Challenge to support innovation