Baring Asset Management Limited 155 Bishopsgate, London EC2M 3XY Authorised and regulated by the Financial Services Authority Tel: +44 (0) Fax: +44 (0) INVESTMENT EXCELLENCE IN EUROPEAN EQUITIES James Buckley

Europe – economic overview Interest rates have begun to rise Eastern Europe provides a boost Unemployment rates are declining Domestic demand is picking up Business sentiment has plateaued CPI Industrial Production Unemployment Rate (%) GDP October ‘06 Forecasts January ‘07 Forecasts yoy Economic growth forecasts have been upgraded Source: Consensus Economics Inc, January 2007

Pan European M&A – Here to stay €billion Pending Shares Cash Source: Citigroup Investment Research and Datastream, Jan 2007 M&A Activity has been a key theme in the last year

Growth theme in Peripheral Europe intact Economic growth in the euro zone has improved Peripheral euro zone economies are even more attractive Source: Consensus Forecast December 11th, 2006

Traditional Investing Performance by country is not linked to index weight Source: MSCI Europe in € at 29 December 2006

Traditional Investing Sector performance doesn’t help either Source: MSCI Europe in € at 29 December 2006

Stock picking is the only tool left Opportunity for active managers to benefit from market inefficiencies

Four Key Measures VALUATIONMANAGEMENTGROWTH VALUE CREATION Clear, credible strategy Company culture Corporate governance Demonstrable track record Acquisitions and disposals Pace and duration Competitive position Opportunities for real growth Quality of earnings Culture of innovation Cashflow returns Improving returns Economic value added Capital allocation Balance sheet structure EV/EBITDA* Price/cash flow Price/earnings Asset undervaluation Sector/market/cross border comparison *Enterprise Value/Earnings Before Interest, Tax, Depreciation and Amortisation Investment Process Fundamental Research – strong idea generation Research augmented by regular contact with target companies Unrecognised growth Credible management Enhanced shareholder value Favourable risk / reward

Buy & Sell Disciplines We buy when we identify: Earnings growth prospects better than consensus estimates Undervaluation, based on comprehensive understanding of corporate strategy, fundamentals and peer comparables Catalysts that will lead to the stock being re-rated within a defined time frame A disciplined approach to investment Triggers for a sell: Stock achieves absolute valuation target We detect deterioration in fundamental outlook Changes in strategic/economic overlay Best and worst performing stocks review

Baring Europa Fund Portfolio Characteristics as at 31 th January 2007 Fund Size (USD million)382.1 Number of holdings in portfolio58 Large-cap eur>5bn+ (%)59.72 Mid-cap eur2-5bn (%)13.48 Small Cap eur<2bn (%)23.27 Tracking Error4.05 Source: Baring Asset Management, data as 31/01/2007

Top 10 current overweight stocks* % HSBC Holdings PLC-2.35 BP PLC-2.33 GlaxoSmithKline-1.74 Vodafone Group-1.72 Total S.A Nestle S.A-1.65 Novartis AG-1.50 Royal Bank of Scotland-1.43 Royal Dutch Shell PLC-1.42 Banco Santander Central-1.27 % Autonomy Corp. PLC1.80 Standard Chartered PLC1.80 CGG Veritas1.76 Tullow Oil PLC1.76 Ryanair Holdings PLC1.76 Puma AG1.75 Shire PLC1.75 BK of Cyprus1.74 D. Carnegie & Co. AB1.73 Hexagon AB1.72 Source: Baring Asset Management as at 31/01/07 * Relative to MSCI Europe index Top 10 current underweight stocks* Baring Europa Top 10 holdings For Comparative Purposes Only

Baring Europa Fund Performance as at 31 st January st Quartile 49/23626/3017/367Rank An Offshore Fund recognised under the Laws of the UK, managed by Baring International Fund Managers (Ireland) Limited and marketed by Baring Asset Management Limited (Authorised and regulated by the Financial Services Authority). * Annualised Returns. Index is MSCI Europe. ** Micropal, UK Registered Investment Funds Equity Europe ex UK Reference to the index is for comparative purposes only. Source: Baring Asset Management, Standard & Poor’s. (bid to bid, in sterling, with net income reinvested).

Important Information This document is issued by Baring Asset Management Limited and in jurisdictions other than the UK it is provided by its investment advisory affiliates. It has been produced for, and is intended for receipt by, professional investors/advisers and must not be relied on by any other category of recipient. The value of any investments and any income generated may go down as well as up and is not guaranteed. Past performance is not a guide to future performance. Quoted yields are not guaranteed. We reasonably believe that the information contained herein from 3rd party sources, as quoted, is accurate as at the date of publication. This document must not be relied on for purposes of any investment decisions. This document may include forward-looking statements which are based on our current opinions, expectations and projections. We undertake no obligation to update or revise any forward-looking statements. Actual results could differ materially from those anticipated in the forward-looking statements. The information in this document does not constitute investment, tax, legal or other advice or recommendation or, an offer to sell or an invitation to apply for any product or service of Baring Asset Management. Research Material Baring Asset Management only produces research for its own internal use. Where details of research are provided in this document it is provided as an example of research undertaken by Baring Asset Management and must not be used, or relied upon, for the purposes of any investment decisions. The information and opinions expressed herein may change at anytime. Complied (London): 14 th February 2007 Ensure Complied Date is added at foot of Disclosure