Invesco Prop Inc Annual Financial Report -4-

Investment properties are analysed after deduction of obligations under finance 
leases of GBP7.6 million. 
 
* Properties sold or contracted to be sold since the year end. 
 
LEASE EXPIRY PROFILE 
 
                                                 2014              2013 
 
                                             ANNUAL     % OF   ANNUAL      % OF 
                                             INCOME   ANNUAL   INCOME    ANNUAL 
PERIOD OF LEASE                               GBP'000   INCOME    GBP'000    INCOME 
 
0-3 yrs                                       8,135     69.0   10,854      63.0 
 
3-7 yrs                                       3,112     26.0    4,641      27.0 
 
7-10 yrs                                        340      3.0    1,094       6.4 
 
10-15 yrs                                         0      0.0      536       3.1 
 
15-20 yrs                                       278      2.0       93       0.5 
 
> 20 yrs                                          1      0.0        1       0.0 
 
CURRENT ANNUAL INCOME FROM PROPERTIES        11,866    100.0   17,219     100.0 
 
Annual income is derived from leases in place at 31 March 2014 and so will 
differ from total annual income received by the Group for the year ended 31 
March 2014. 
 
SECTOR WEIGHTINGS OF PORTFOLIO BY GEOGRAPHIC AREA 
 
AS AT 31 MARCH 2014 
 
                                           % OF PORTFOLIO 
 
SECTOR                             UK  FRANCE  BELGIUM SPAIN  GERMANY    TOTAL 
 
Industrial                      13.21   12.60        -  2.90        -    28.71 
 
Offices                         23.01   29.95     4.87     -    13.46    71.29 
 
Total                           36.22   42.55     4.87  2.90    13.46   100.00 
 
AS AT 31 MARCH 2013 
 
                                           % OF PORTFOLIO 
 
SECTOR                             UK  FRANCE  BELGIUM SPAIN  GERMANY    TOTAL 
 
Industrial                      28.40   12.10        -  2.00        -    42.50 
 
Offices                         10.80   29.80     7.30     -     9.60    57.50 
 
Total                           39.20   41.90     7.30  2.00     9.60   100.00 
 
. 
 
DIRECTORS' RESPONSIBILITIES STATEMENT 
in respect of the preparation of the annual financial report 
 
The Directors are responsible for preparing the financial statements in 
accordance with applicable law and regulations. 
 
Company law requires the Directors to prepare financial statements for each 
financial year. Under that law the Directors have elected to prepare group 
financial statements in accordance with International Financial Reporting 
Standards (`IFRS') as adopted by the European Union. The financial statements 
are required by law to give a true and fair view of the state of affairs of the 
Group and of the profit or loss of the Group for that period. 
 
International Accounting Standard 1 requires that financial statements present 
fairly for each financial period the Group's financial position, financial 
performance and cash flows. This requires the faithful representation of the 
effects of transactions, other events and conditions in accordance with the 
definitions and recognition criteria for assets, liabilities, income and 
expenses set out in the International Accounting Standards Board's `Framework 
for the preparation and presentation of financial statements'. In virtually all 
circumstances, a fair presentation will be achieved by compliance with all 
applicable IFRS. However, directors are also required to: 
 
* properly select and apply accounting policies; 
 
* present information, including accounting policies, in a manner that provides 
relevant, reliable, comparable information; 
 
* provide additional disclosures when compliance with the specific requirements 
in IFRS are insufficient to enable users to understand the impact of particular 
transactions, other events and conditions on the entity's financial position 
and financial performance; and 
 
* make an assessment of the Company's ability to continue as a going concern. 
 
The Directors, to the best of their knowledge, state that: 
 
* the financial statements, prepared in accordance with IFRS as adopted by the 
European Union, give a true and fair view of the assets, liabilities, financial 
position and results of the Group; 
 
* this annual report includes a fair review of the development and performance 
of the business and the position of the Group together with a description of 
the principal risks and uncertainties that it faces; and 
 
* they consider that this annual financial report, taken as a whole, is fair, 
balanced and understandable and provides the information necessary for 
shareholders to assess the Group's performance, business model and strategy. 
 
The Directors are responsible for keeping proper accounting records that 
disclose with reasonable accuracy at any time the financial position of the 
Group and enable them to ensure that the financial statements comply with the 
Companies (Jersey) Law 1991. They are also responsible for safeguarding the 
assets of the Group, and hence for taking reasonable steps for the prevention 
and detection of fraud and other irregularities. 
 
Signed on behalf of the Board of Directors 
 
Richard Barnes 
Chairman 
 
27 November 2014 
 
. 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 
 
FOR THE YEAR ENDED 31 MARCH 2014 
 
                                         2014                       2013 
 
                             REVENUE  CAPITAL    TOTAL  REVENUE  CAPITAL    TOTAL 
                      NOTES    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000 
 
Income 
 
Rental income                 14,934        -   14,934   17,634        -   17,634 
 
Service charge income          3,779        -    3,779    4,018        -    4,018 
 
Interest receivable       2       16        -       16      707        -      707 
and other income 
 
Realised gains on                  -        -        -        -      183      183 
swaps 
 
Unrealised gain on                 -      333      333        -      289      289 
swaps 
 
Losses on investment 
properties 
 
Unrealised loss on                 -  (9,914)  (9,914)        -  (9,200)  (9,200) 
revaluation of 
properties 
 
Lease incentive                    -    (187)    (187)        -    (177)    (177) 
 
Realised loss on                   -    (280)    (280)        -        -        - 
disposal of 
properties 
 
Total income                  18,729 (10,048)    8,681   22,359  (8,905)   13,454 
 
Expenses 
 
Management fees                (903)    (124)  (1,027)    (930)    (127)  (1,057) 
 
Property expenses            (7,381)        -  (7,381)  (7,033)        -  (7,033) 
 
Professional fees            (1,719)        -  (1,719)  (2,258)        -  (2,258) 
 
Goodwill impairment                -        -        -        -  (5,897)  (5,897) 
 
Total expenses              (10,003)    (124) (10,127) (10,221)  (6,024) (16,245) 
 
Profit/(loss) before      3    8,726 (10,172)  (1,446)   12,138 (14,929)  (2,791) 
finance costs and tax 
 
Finance costs                (7,653)  (1,044)  (8,697)  (7,617)  (1,040)  (8,657) 
 
Profit/(loss) before           1,073 (11,216) (10,143)    4,521 (15,969) (11,448) 
tax 
 
Tax (charge)/credit            (602)    2,889    2,287     (69)      543      474 
 
Profit/(loss) for the            471  (8,327)  (7,856)    4,452 (15,426) (10,974) 
year attributable to 
equity shareholders 
 
Other comprehensive 
income/(expenses) 
 
Items that will not 
be reclassified 
subsequently to 
profit or loss 
 
Exchange differences                           (1,306)                       (89) 
on translating 
foreign operations 
 
Items that may be 
reclassified 
subsequently to 
profit or loss 
 
Unrealised gain on                               1,807                          - 
revaluation of cross 
currency swaps 
 
Unrealised gain on                               4,670                      1,418 
revaluation of 
interest rate swaps 
 
                                                 6,477                      1,329 
 
Total comprehensive                            (2,685)                    (9,645) 
expenses 
 
Loss per ordinary 
share 
 
   - basic and                                  (5.1)p                     (7.2)p 
diluted 
 
The total column of this statement represents the Group's consolidated 
statement of comprehensive income. The supplementary revenue and capital 
columns are presented for information in accordance with the Statement of 
Recommended Practice issued by the Association of Investment Companies. All 
items in the above statement derive from continuing operations. No operations 
were acquired or discontinued in the year. 
 
The accompanying notes are an integral part of these financial statements. 
 
. 
 
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 
FOR THE YEAR ENDED 31 MARCH 2014 
 
                          STATED 
                         CAPITAL   OTHER TRANSLATION   CAPITAL REVENUE 
                         RESERVE RESERVE     RESERVE   RESERVE RESERVE    TOTAL 
                           GBP'000   GBP'000       GBP'000     GBP'000   GBP'000    GBP'000 
 
Balance at 31 March      101,368 (6,088)       1,855 (184,449)  61,971 (25,343) 
2012 
 
(Loss)/profit for the          -       -           -  (15,426)   4,452 (10,974) 
year 
 
Other comprehensive 
income: 
 
   Exchange differences        -       -        (89)         -       -     (89) 
on translating foreign 
operations 
 
   Unrealised gain on          -   1,418           -         -       -    1,418 
revaluation of interest 
rate swaps 
 
Balance at 31 March      101,368 (4,670)       1,766 (199,874)  66,422 (34,988) 
2013 
 
Loss for the year              -       -           -   (8,327)     471  (7,856) 
 
Other comprehensive 
income: 
 
   Exchange differences        -       -     (1,306)         -       -  (1,306) 
on translating foreign 
operations 
 
   Unrealised gain on          -       -       1,807         -       -    1,807 
revaluation of cross 
currency swaps 
 
   Unrealised gain on          -   4,670           -         -       -    4,670 
revaluation of interest