Investor Briefing

www.tanjongplc.com
 TANJONG
Contents Index public limited company

Group Overview
Corporate Structure

Core Businesses
Power Generation
Gaming
Leisure

Group Corporate Matters

Group revenue & EBITDA
Balance sheet
Key corporate metrics
Shareholders’ Profile
Rewarding Our Shareholders

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 TANJONG
Group Overview Corporate Structure public limited company

TANJONG PLC
100%

Tanjong Power PMP Sdn Bhd Tanjong Entertainment Sdn Tanjong Asset
Holdings Sdn Bhd NFO & RTO Bhd Holdings
100% 75% 100% 67%
Tanjong Energy Tropical TGV Impian Klasik
Holdings Sdn Bhd Islands Cinemas Sdn Bhd
S.ar.l Sdn Bhd Property
100% 100% 55% Tropical Film Investment
Islands exhibition
Powertek Kuasa Pendekar
Bhd Nusajaya Energy
Power (L) Ltd (L) Ltd
Generation Power Power
10% Generation Generation

Taweelah
Asia
Power Co
Power
Generation
& Water
Desalination

Power Generation Gaming Leisure Property

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 TANJONG
Core Business public limited company

Power Generation

Leveraging on our core strengths to

maintain growth momentum

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 TANJONG
Core Business Power Generation public limited company

Our Performance
3,200

2,800

2,400 725
712
Turnover & EBIT (RM million)

2,000
108 708
1,600 674
625 662
1,200 1,042 1,299

800 987
595 898 1,050
775 794
683 1,365
400 387
1,333
1,087 1,057 1,074
0
2006 2007 2008 2009 2010*

PEL Egypt Malaysia EBIT EBITDA

*Annualised from 1st half results

2006 2007 2008 2009 2010*

Net Generating 1,490 1,490 3,055 3,951 3,951

Capacity (MW)

Export Energy 7,612 14,846 15,974 26,000 25,600

(GWh)

Weighted Ave. 90.4 92.3 88.4 92.8 n/a

Availability (%)
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 TANJONG
Core Business Power Generation public limited company

Our Performance
Initial success in Malaysia
1993 440 MW Open Cycle Gas Turbine Plant – fast track completion 13 months to 1995
1999 Acquired 330 MW Combined Cycle Gas Turbine from Tenaga
2001- Build, own & operate 720 MW Combined Cycle Gas Turbine plant on a fast track
2003 basis

2nd largest IPP in Malaysia with total generating capacity of 1,490 MW

Going International
2005 Acquired a 10% stake in the 2000 MW and 160 MIGD Taweelah B IWPP in Abu
Dhabi
2006 Acquired 2 thermal power plants in Egypt with a combined generating capacity of
1365 MW
2007 Acquisition of 896 MW interest in 7 plants in Egypt, Bangladesh, Pakistan & Sri
Lanka.

The Group’s effective power generating capacity has more than doubled to 3,951 MW over the last 3 years
and water desalination capacity of 16 MIGD.
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 TANJONG
Core Business Power Generation public limited company

Where are we?

Effective Net/Effective EBIT (RM million)

Company Location Name PPA Expiry
Stake Capacity 2008 2009

Powertek Bhd Malaysia Powertek 100% 2016 440 MW

Pahlawan 100% 2020 330 MW
Panglima 100% 2023 720 MW
431 253
Kuasa Port Said 100% 2023 683 MW
Nusajaya Ltd Suez Gulf 100% 2023 683 MW
294 291
Pendekar Egypt Sidi Krir 55% 2022 375 MW
Energy Ltd Bangladesh Meghnaghat 55% 2024 248 MW
Bangladesh Haripur 55% 2023 198 MW
Bangladesh NEPC 28% 2014 30 MW
Pakistan Kabirwala 23% 2029 36 MW
Sri Lanka Ace Horana 16% 2012 4 MW
Sri Lanka Ace Matara 16% 2012 4 MW
55 312
Pendekar Abu Dhabi Taweelah B 10% 2028 200 MW
Power (L) Ltd 13 19

Total 3951 MW 793 875

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 TANJONG
Core Business Power Generation public limited company

Strategic Objectives
> Strategies

• To develop Tanjong Energy Holdings (TEH) as a global brand

• To build a balanced asset portfolio through a combination of M&A and
Greenfield in both developed and developing countries, paying due regard
to the business cycle
• To invest in contracted assets and mature merchant markets
• To form strategic alliances with reputable equity and EPC partners, and to
enhance relationship with OEMs and financiers.
• To enhance the value of existing and future assets through:
1. Financial & technical engineering
2. Emission Trading Schemes
3. Appropriate vertical integration

• To restructure O&M as a separate business.

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 TANJONG
Core Business Power Generation public limited company

Our Core Competencies

Greenfield Mergers &

Developments < Operations
• Teluk Gong (Malaysia)
• Panglima (Malaysia)
• Taweelah B Extension
(Abu Dhabi)
> Acquisitions
• Least Cost Operator
• Availability
• Risk Management
• Knowledge Management
• Commercial Contractual
Skills
• Cultural Diversity
• Own O&M work with smart
partnership (Fortum, E.ON)
• Pahlawan (Malaysia)
• Suez Gulf (Egypt)
• Port Said (Egypt)
• Sidi Krir (Egypt)
• Meghnaghat (Bangladesh)
• Haripur (Bangladesh)
• NEPC (Bangladesh)
• Kabirwala (Pakistan)
• Ace Horana (Sri Lanka)
• Ace Matara (Sri Lanka)
• Taweelah B (Abu Dhabi)

Financing

• Non-recourse
Debt
• Prudent Capital
Structure
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 TANJONG
Core Business Power Generation public limited company

International Opportunities

Country Power Strategy

• Risk/return paradigm
Regions with attractive long term • Plant size
contracted cash flows & abundant • Level of control
fossil fuel reserves
• PPA / fuel preference
Greenfield: • Velocity of returns
• Asia Pacific Where?
How much? • O & M philosophy
Risk/Returns
• MENA
• South Asia

• Portfolio strategy: diverse tenures,

• Greenfield development energy sources & risk/reward profiles
and M&A How? End Game in markets with stable and regulated
• Renewable returns
• Leverage on core • Ultimately self sustaining cash flows
competencies
- Generation
- O&M

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 TANJONG
Core Business public limited company

Gaming

Continuing with leadership in innovation,

Continuing with leadership in innovation,
branding and product appeal
branding and product appeal

www.damacai.com.my

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 TANJONG
Core Business Gaming public limited company

NFO - Performance
2,400

2,000
2,087
Revenue & EBITDA (RM'm)

1,600 1,993 2,026 1,990

1,925

1,200

800

320.0
400 215.0 173.0 243.0 244.0

0
2006 2007 2008 2009 2010*
Financial Year
Turnover EBITDA
*Annualised from 1st half results

2006 2007 2008 2009 2010*

Turnover per 10.7 11.1 11.5 12.2 11.2

normal draw (RM)
Payout Ratio (%) 64.6 68.7 65.1 64.6 61.8
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 TANJONG
Core Business Gaming public limited company

NFO – Competitive Landscape

NFO Market Share

100%
24.2% 23.8% 23.3% 21.8% 23.0% PMP
80%
60% 36.7% 37.4% 36.4% 34.5% 36.2% Magnum

40%
20% 39.1% 38.8% 40.3% 43.7% 40.8% BST

0%
FY2006 FY2007 FY2008 FY 2009 1QFY10
* source from Bursa Malaysia announcements PMP & BST Feb-Jan, Magnum Jan-Dec

• Top line CAGR of 3% since FY2005

• BToto’s introduction of new jackpot product in 2007 has enabled it to increase its market share over PMP
& Magnum
• Significant changes to FY2009 and 1QFY10 market share resulting mainly from timing difference of
special draws.
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 TANJONG
Core Business Gaming public limited company

NFO – The Real Competition

NFO Market
by number of outlets

Magnum
(485)
PMP BToto
(343) (681)

Others
Unauthorised
Operators

• Split between the legal and illegal NFO market is now believed to be 55:45

• There is considerable opportunity in garnering market share from the

unauthorised operators
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 TANJONG
Core Business Gaming public limited company

NFO – Strategic Initiatives

• Branding exercise to promote in the market place

• Operator incentives

• transformation program

• Special draws?

• New products and more outlets?

• Mergers, acquisitions & strategic alliances to diversify our risks?

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 TANJONG
Core Business Leisure public limited company

Tropical Islands

Completing the product & reaching for

a wider market

www.my-tropical-islands.com
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 TANJONG
Core Business Leisure public limited company

Tropical Islands - Performance

180

130
Revenue & EBITDA (RM'm)

163
141
80 103

97 67 32
30
1.7

(2.4)
-20 2006 2007 2008 2009 2010*
-45 -23
(34.0)
-34
(59.0)
-70 (59.0)
(69.0)
Financial Year
Turnover EBITDA EBIT
st
*Annualised from 1 quarter results

2006 2007 2008 2009 2010*

Average visitors 2,458 1,404 1,893 2,280 2,751

per day
Average spend 24.4 30.0 31.7 34.2 34.8
per visitor (€)
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 TANJONG
Core Business Leisure public limited company

Tropical Islands

Phase 1 – Existing Attractions

™ Tropical Rainforest
− 20,000 plants, more than 500 species, almost 1 km jungle path

™ Tropical Village
− Authentic houses from 6 tropical countries, a colourful marketplace and the
Wayang stage

™ Paradise Beach
− The world’s biggest indoor beach: 8,000m2 of white sand for fun and sports

™ South Sea
− 140 meters long, 4,000m2 of water surface, 28oC warm

™ Bali Lagoon
− 32oC water, water slides, whirlpools, waterfall

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 TANJONG
Core Business Leisure public limited company

Tropical Islands

Phase 2 – Completing the Product

™ Themed Children’s Play Area

− 4,000m2 Kid’s Paradise - a push go-kart track, adventure playground, power
paddling boat lake, ball arena and eight trampolines
™ Germany’s tallest water slide
− 25-meter high water slide tower featuring 4 different water slides from a
leisure slide to a high-speed power slide reaching speeds of up to 70km/h
™ Jungle Wellness
− The Rainforest will form the backdrop for six different wellness areas
™ Beach and Kid’s Paddling Pool
− More relaxation areas and a kid’s paddling pool will allow visitors to keep an
eye on their children while at the beach
™ Tropical Shopping Mile
− A street offering merchandise bargains
™ The Food Experience
− A brand new food experience at Tropical Village ranging from Street Food
around the world to a Polynesian Barbecue
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 TANJONG
Core Business Leisure public limited company

Tropical Islands
Map (Phase 1 & 2) Foyer & Shopping
Bali Lagoon Tropical
Boulevard Village

Children’s Play
Area

new

new

Water Slides

new

Rainforest Wellness
Camping
Complex Rainforest
South Sea & Kids’ Paddling Ground
Paradise Beach Pool
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 TANJONG
Core Business Leisure public limited company

Tropical Islands

Phase 3 – Optimising the Potential of the Project

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 TANJONG
Core Business Leisure public limited company

Tropical Islands
Current onsite accommodation
Internal:
120 tents (356 beds)
14 “Asiana” lodges (28 beds)

External :
Caravan parks
Hotels
Partner Hotels

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Core Business
Tropical Islands
Our partners
Developer
• Responsible for development of 375
homes by Dec 2011(Stage 1)
• Largest Developer of holiday homes
in Denmark & Northern Germany.
Has 14 year track record, over 7000
homes built.
• Has 2 manufacturing plants in
Denmark & Germany
TANJONG
Leisure public limited company
Marketer
• Responsible for marketing of rental of
homes & provide ancillary services
• Largest vacation homes marketer in
Southern Europe
• Part of RCI Group world No 1
Vacation Exchange Network with 3.4
million members, owned by
Wyndham Worldwide Group
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 TANJONG
Core Business Leisure public limited company

Tropical Islands
Going forward

¾ Need to fully utilise Dome capacity of 7000 visitors/day (5000 p.o.g.)

• Current :900K p.a. or 2300/day
• With 375 homes/lodges: 1300K p.a. or 3600/day
¾ Options being considered to increase accommodation
• Additional 1525 homes – assuming full use of land
• Hotels:
9 200 room MICE hotel (3 star)
9 150 rooms budget hotel (1 star)
¾ Potential for additional leisure facilities to complement current offerings
(restaurants, cinemas, sports & recreation facilities, etc.)
¾ Potential tie ups with other leisure industry players & investors.

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Corporate Information

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 TANJONG
Group Overview Group Revenue public limited company

(RM'm)
4,400
3,895
4,000 3,641
3,600 795
3,200 715
2,800 2,671
2,385
2,400 724
2,000 1,882 636 2,799
2,718
1,600 698 1,844
1,200 1,682
800 1,087
208 301
400 103
97 67
0
2006 2007 2008 2009 2010*

TI & TGV Power Generation Gaming

*Annualised from 1st half results

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 TANJONG
Group Overview Group EBITDA public limited company

(RM'm)
1,900
1,610

1,500 261
1,203 1,276

1,023 222 1,299

1,100 239
159
754
1,042
700 204 987
898
595
300
12 50

-100 (45) (34) (23)

2006 2007 2008 2009 2010*

TI & TGV Power Generation Gaming

*Annualised from 1st half results

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 TANJONG
Group Overview Balance Sheet public limited company

Balance Sheet Summary as at 1HFY10 (RM mil)

Debt Power Others Group RM Others

Fixed 1,396 75 1,471 1,210 261

Floating 4,036 351 4,387 305 4,082

5,432 426 5,858 1,515 4,343

Cash/Liquid
(1,578) (482) (2,060)
Resources

Net Debt 3,854 (56) 3,798

Equity 3,746

Gearing (x) - 1.0

Assumed Debt Gearing of

2,000
Capacity 1.5x

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 TANJONG
Group Overview Key Corporate Metrics public limited company

Key Corporate Metrics as at FY09

2009 2008 2007 2006 2005

Return on
14.1 17.1 16.7 14.0 17.4
Equity (%)

Return on Total
10.2 9.9 12.3 10.0 12.0
Assets (%)

Interest Cover
2.3 3.3 3.2 4.4 5.0
(x)

Net Tangible
Assets per 7.96 8.06 7.81 7.11 5.88
Share (RM)

Net Debt to
1.36 1.27 0.84 0.19 0.33
Equity (x)

Free Cash Flow

2.09 1.72 1.70 1.15 1.33
per Share (RM)

Gross Dividend
90.0 90.0 82.0 70.0 70.0
per Share (RM)

Dividend Yield
6.3 5.2 6.0 5.0 5.5
(%)*

* Based on gross dividend expressed as a percentage of the weighted average share price during the financial year
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 TANJONG
Group Corporate Matters Corporate Information public limited company

Shareholders’ Profile
Malaysian
Usaha Tegas Sdn. Bhd. 31%
Ultimate Corporation Sdn. Bhd. 8%
Others 24%

Malaysian Free Float

63% of 56%

Foreign
37%

[Shareholder analysis as at 31 July 2009]

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 TANJONG
Group Corporate Matters Corporate Information public limited company

Rewarding our shareholders

Distribution to Shareholders Dividend Analysis
138 2006 2007 2008 2009
140 126
115 Gross Payout 75% 65% 66% 78%
120
100 93 Gross Yield 5.0% 6.0% 5.2% 6.3%
Sen

80 34 20
60 22 34 48
40 70
48 48 56 0
20
18

2006 2007 2008 2009 1QFY10

Financial Year

Interim dividend Final dividend Basic EPS

Dividend policy
“The Group has adopted a progressive dividend policy that seeks to achieve a balance
between long-term capital growth and immediate cash returns to shareholders. As
such, it will maintain an attractive payout ratio, while conserving adequate funds to
enable us to pursue new investment opportunities vital to our long-term growth.”

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Group Corporate Matters
2008
Asia’s Best Companies Poll - Malaysia
> No 4 “Most Commitment to Strong Dividend Policy”
> No 6 “Best Investor Relations”
2008
Best Corporate Governance Poll
Malaysia
> No 1 “Best Investor Relations” in Malaysia
> No 1 “Best Investor Relations Officer” in Malaysia
> No 2 “Overall Best Corporate Governance” in Malaysia
2005 & 2004
Global Emerging Markets Corporate Governance
Rankings
> No 1 in Malaysia
TANJONG
Awards & Accolades public limited company
2006
Asia’s Best Companies Poll - Malaysia
> No 1 “Best Investor Relations”
> No 4 “Best Corporate Governance”
> No 5 “Overall Best Managed Company”
> No 5 “Best Commitment to Strong Dividend Payments”
2005 & 2004
Asia Equities Market Report - Best Investor
Relations
> No 1 in Asia in the Hotels, Restaurants & Leisure Sector
2004
Asia’s Best Companies Poll
> No 1 in Asia “Most Transparent Accounts”
> No 1 in Asia “Most Accessible Senior Management”
> No 1 in Asia “Best Treatment of Minority Shareholders”
> No 4 in Asia “Most Useful & Informative Website”
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 TANJONG
public limited company

Thank You

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