1st Quarter Results

8 MAY 2013

INTU PROPERTIES PLC

INTERIM MANAGEMENT STATEMENT FOR THE PERIOD FROM 1 JANUARY 2013 TO 8 MAY 2013

David Fischel, Chief Executive, commented:

"In the first quarter of 2013 we have launched the first UK nationwide primeshopping centre brand, acquired a major asset with considerable growthpotential funded by an equity placing and refinanced a third of our debt toachieve a significantly extended maturity profile. Although the UK retailenvironment remains difficult we have strong momentum across the business, withthe roll out of our digitally integrated customer experience and our £1 billionpipeline of development projects as we position each of our centres for mediumterm value creation." Trading update

The UK retail environment remains difficult with retailers continuing to becautious in entering into store commitments. Intu's centres however continue toout-perform national benchmarks and attract new brands and flagship stores.

* Footfall in our centres during the period has been 1 per cent lower year to

date than 2012. This represents a significant out-performance of Experian's

measure of UK national retail footfall which declined 4 per cent reflecting

the weak economic background

* Occupancy across our centres remains high at 95 per cent, down 1 per cent

from 31 December 2012 due to expiry of seasonal lettings (31 March 2012 -

95 per cent). In aggregate units amounting to three per cent of rent are

currently being traded by administrators and are treated as occupied within

the 95 per cent

* 33 new long term leases were signed in the quarter, representing £8 million

of new passing rent, in aggregate 2 per cent above previous passing rent

and in line with valuation assumptions. These include:

*

+ £3 million of new lettings and renewals at Cribbs Causeway, Bristol, a

significant portion of the 2013 expiries at the centre and including

Arcadia and Aurora brands + Urban Outfitters are to open at intu Victoria Centre in Nottingham, demonstrating confidence in recently announced refurbishment plans

+ improving our catering mix, including introducing Wagamama at Cribbs

Causeway, Ed's Diner at intu Metrocentre and Circle 360 Champagne Bar

at intu Lakeside

* To date tenants have committed to investing around £30 million in 2013 into

new shopfits for stores in our centres

Midsummer Place acquisition

In March we acquired Midsummer Place, Milton Keynes, a key strategic asset forIntu. The £250 million acquisition was financed by an equity placing.

Midsummer Place is a high specification, well-let centre with a modernconfiguration of retail units. The centre opened in 2000 adjoining the town'soriginal "thecentre:mk". Milton Keynes is a thriving location and one of theUK's leading regional shopping centre destinations. We are confident that thehighly accessible centre in an affluent catchment will generate significantrental income growth in a three to five year timeframe with planned activemanagement projects.

Financing

As announced in February, we have established a new debt funding platform bycontributing £2.3 billion of assets into a flexible, ring-fenced security pooland raising £1.15 billion of bond and bank debt secured on it. The inauguralbond issue was highly successful with strong demand supporting upsizing to twotranches of `A' rated debt totalling £800 million with the balance of £350million provided by a five year bank loan. The transaction represents the firststerling multi-debt sourced real estate structured financing since 2007. Keybenefits of the structure are:

* access to the bond markets and a range of other instruments diversifies our

sources of funding

* blended cost of 4.4 per cent, in line with previous funding cost of debt

secured on the four assets, whilst extending the weighted maturity on these

assets from 2 years to 10 years

* tranches of £450 million and £350 million maturing in 2023 and 2028

respectively significantly extend our overall debt maturity profile, from 6

years to 8 years

* in refinancing a third of the Group's debt, we have significantly de-risked

the 2015-2017 maturities and demonstrated that our prime assets can be

financed at around 50 per cent loan to value at competitive margins

Following the acquisition, the equity placing and the refinancing, net externaldebt was unchanged at £3.5 billion at 31 March 2013 and the debt to assetsratio (based on 31 December valuations) was 48 per cent. On a pro forma basis,were the 2.5 per cent convertible bonds 2018 to convert into equity, the netdebt to assets ratio would reduce to 44 per cent.

Nationwide consumer-facing brand and transformed digital proposition

We announced in January the creation of intu, a nationwide consumer facingshopping centre brand, now the prefix for our shopping centres as well as thename of the company. Our aim is to generate stronger relationships withcustomers by providing them with a better experience in a dynamic, engaging anddigitally-enabled retail environment.

As the traditional boundaries of online and offline shopping experiences arebecoming more blurred, a key part of our plan is to integrate physical anddigital retailing:

* we are the UK's first landlord to commit to large scale investment in

directly owned fibre optic networks in our shopping centres, giving direct

ownership of the WiFi technology and the subsequent data

* the roll out of this £8 million digital infrastructure plan has begun in

the period, with the launch of high quality free WiFi throughout the malls

of intu Trafford Centre and intu Lakeside, with intu Eldon Square and intu

Braehead to follow in the next few months

* we are also investing up to £10 million over three years in a

transactional, fashion focused, mobile enabled website. This will be

launched in summer 2013 to coincide with the provision of free WiFi to a

significant proportion of our shoppers and will launch with multi-channel

capability including click and collect services at our centres

* in addition, we have signed a partnership with Wireless Infrastructure

Group to install networks to support multiple mobile operators' 4G services

in what is thought to be the first for UK shopping centres

These innovations put us in a strong and flexible position to benefit fromchanging shopping habits.

In addition, since our announcement in January we have commenced the roll outof the new brand with considerable change taking place within our centresparticularly in terms of signage and customer service and we have launched anumber of nationwide marketing initiatives. The consumer roll out will continuefor 18 months. Development activity Our view is that for a shopping centre to thrive it needs to trade into theevening, providing the extended shopping hours which our customers want and awider range of catering and entertainment options. Our £1 billion pipeline oforganic developments over 10 years, including major extensions at intuLakeside, intu Braehead and intu Victoria Centre, is focused on projects whichposition each of our centres as broader destinations, providing top retailersand iconic brands along with a mix of leisure. Significant progress in theperiod includes:

* Watford: we have acquired the Charter Place precinct adjacent to intu

Watford and are preparing a planning application for submission later this

year for its redevelopment and integration to create a 1.4 million sq ft

destination. The proposed cinema, restaurants, food store and large format

retail units will significantly enhance Watford's overall retail,

entertainment and leisure offer and will help in attracting additional

major brands to the town. Our plans to invest around £100 million from 2014

in the combined centre have already attracted significant retailer interest

in both the new space and the existing centre, including a new 32,000 sq ft

flagship store for Next to open by Christmas 2013

* Nottingham: we have released the designs of a major refurbishment of intu

Victoria Centre including impressive new entrances, reconfiguration of

space around the Central Square and new ceilings, flooring and lighting.

These have been well received both locally and by existing and potential

retailers, with several discussions now underway with brands not currently

represented in the City. Our planned redevelopment of Broadmarsh, focusing

on leisure and catering, followed by the extension of intu Victoria Centre

should see Nottingham reclaiming its rightful place in the UK retail

hierarchy

* Intu Eldon Square: work is progressing well on our refurbishment programme

and we are close to submitting a planning application for a cluster of 20

restaurants. These are attracting good operator interest and work could commence in the first half of 2014 * Intu Trafford Centre: Next's expansion into adjacent units to create a

40,000 sq ft flagship store is on plan, with the first phase successfully

opening in March. The £6 million investment by Sealife in an aquarium

attraction at Barton Square is on target for opening next month

We have established a joint venture in Spain (up to €5 million investment) withEurofund, a local partner with a track record of successful retail development,for pre-development activity at two sites, in Valencia and Vigo, with potentialfor regional shopping centres. We are also working with Eurofund on themasterplan for the site of a potential major regional shopping centre in theprovince of Malaga over which Intu holds a purchase option until 2015.

Outlook

The pace of activity at Intu has accelerated in 2013 with significant progressin the first quarter. In addition, a range of initiatives is underway acrossthe business which we believe will strengthen our national position as well asreinforce each of our assets in their individual catchments. Tenant failures,lease expiries and tenant caution over new store commitments remain riskfactors likely to continue to impact short term earnings. However, we aredriving medium term value creation by using our focus, scale and specialism tomaximise the opportunities available to us in the changing marketplace.

Conference call

A conference call for analysts and investors will be held today at 9.00 BST.

A copy of this announcement is available for download from our website atintugroup.co.uk ENQUIRIES Intu Properties plc David Fischel Chief Executive +44 (0)20 7960 1207 Matthew Roberts Finance Director +44 (0)20 7960 1353 Kate Bowyer Head of Investor Relations +44 (0)20 7960 1250 Public relations UK: Michael Sandler/Wendy Baker, Hudson +44 (0)20 7796 4133 Sandler SA: Nick Williams/Vanessa Hillary, College +27 (0)11 447 3030 Hill NOTES FOR EDITORS Intu Properties plc (formerly Capital Shopping Centres PLC) owns and operatessome of the very best shopping centres, in the strongest locations right acrossthe country, including ten of the UK's top 25. You can find every one of theUK's top 20 retailers in our shopping centres, alongside some of the world'smost iconic global brands. With 16.6 million sq ft of retail space valued at over £7 billion as at 31December 2012, our centres attract over 320 million customer visits a year andtwo thirds of the UK population live within a 45 minute drive time of one ofour centres. Since 31 December 2012, Intu has acquired Midsummer Place inMilton Keynes, adding over 400,000 sq ft of further space and 17 million annualcustomer visits. At the forefront of UK shopping centre evolution since the 1970s our focus ison creating compelling destinations for consumers with added theatre. On 15January this year, we announced the creation of a nationwide consumer facingshopping centre brand - intu - and the transformation of our digitalproposition including a transactional website, to provide the UK's leadingshopping centre experience on and off-line.

We have an investment plan of £1 billion over the next ten years on activemanagement projects and major extensions at most of our centres.

Over 80,000 people are employed at our centres across the UK and we are fullycommitted to supporting our local communities and the wider environment throughmeaningful and hands-on initiatives.

We changed our name from Capital Shopping Centres Group plc to Intu Propertiesplc on 18 February 2013.

For further information see www.intu.co.uk

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