On a dropping market, Impact D&C S.A. reports a 4% increase of agreements

Bucharest, November the 12^th 2009 - Real estate developer Impact Developer & Contractor S.A. has communicated to the Bucharest Stock Exchange the analysis of the activity subsequent to the nine months of the current year "In August we communicated for the first quarter of this year an increase of the market share with 10% and we proposed to commence working at the following stages of the real estate developments, the increase of the sale force and the flexibility of products subject to beneficiaries' needs. Today, three months later, we see that there have been reached all these objectives which need to fairly reach the shareholders and the public", announces Carmen Sandulescu, chief executive officer of Impact D&C S.A.

The report, as sent by the real estate developer to Bucharest Stock Exchange mentions a increase with 4% of the number of transactions, as concluded on the domestic market during the first months of the year (over 150 agreements and reservations) as compared to the same period in 2008. The value of the agreements as concluded on the internal level this year is 7% less than the one of the previous year, due to the structure of the products as commercialized by the company: "This year over 90% of our transactions have been with apartments, and not with houses such as it happened in the previous years. We have adjusted our offer of products to the actual and real needs of the beneficiaries asking for smaller areas but as much configurable as possible subject to independent needs, as well as top quality post - sale services. At the same time, we have turned more efficient the control of costs of utilities invoices. In other works, the expectations of future owners evaluate faster than the rest of the real estate market", Mrs. Carmen Sandulescu sketches the portrait of real estate customers, based upon her 18 year experience in the field.

Coming back to those objectives as set three months ago, the flexibility of products and services took a material form through the development of certain products, such as "Zero Risk" - reservation of the dwelling for three months, during which time the customer gets support and assistance in getting the best finance solutions and in the event the customer shall no the credit, the latter shall be fully reimbursed the down payment, as paid, "Habitest^® "- testing under real conditions the future dweling and the chosen assembly or "Group Discount" - by virtue of which several friends or event unknown people may purchase up to an entire entrance of a block and may choose the division of apartments out of several variants, as offered by the architects involved in the project.

Finally, the last objective, as set, namely that of commencing the works at the following stages of urban developments, as initiated, is materialized both in terms of the infrastructure works as conducted at present in Lomb Hill where the company has concluded a public - private partnership with Cluj-Napoca Local Council, as well as in terms of the ongoing designing of the 6^th neighborhood, "il Giardino" within Greenfield urban development in Bucharest, District 1, which shall consist of several assemblies. The main feature of each group of dwellings within this 6^th sub - assembly is given by the organization around a central garden or approximately 4.000 square meters.

The incomes and expenses budget, as approved by the General Meeting of the Associates in April 2009 envisaged for the first 3 quarters a loss estimated at 481.000 lei. However, the gross profit of the company, as related to 9 months, is 2.484.000 lei. In exchanges, the turnover in 9 months is 41 million lei, with 40% below the planned one. The difference is due to those expenses as related to the adjustment of the company to the new market conditions, as well as to the necessary and required re - designing for the ample projects in Lomb Hill in Cluj Napoca and Greenfield in the Northern part of the Capital. In other words, the less turnover is also the result of a gap in the commencement of the projects, in close connection with the evolution of the prices of the construction materials and the evolution of the dwellings market.

Even if for this year, the company Impact D&C S.A. has budgeted a total gross profit of 4,1 million lei, about 60% less than the one as registered in 2008, whereas the exceed of profit, as registered in 9 months time, it is envisaged an exceed of the estimated profit for the entire year 2009.

"In terms of the following period of time, subsequent to having optimized the activities, we plan on staying, just like we have done so far, within the predictions, as proposed. Within such an economic situation, it makes no sense to make any comparison with the previous years, but to reach our objectives, as set from now on. This fact has happened so far and it has even been exceeded", it is the real conclusions, as drawn by Carmen Sandulescu with reference to the increase of the market share, the profit as accomplished in 9 month term, as well as the dropping of the degree of indebtedness of the company with 40%.

Further information: Florian Fugaşin, PR Manager. 0729/100 111, florian.fugasin@impactsa.ro