Interim Management Statement

JLIF INTERIM MANAGEMENT STATEMENT

JLIF, the international PPP infrastructure investment company, today announces its Interim Management Statement (IMS) for the period 1 January 2013 to 10 May 2013[1].

JLIF is a London Listed investment company overseen by a fully independent non-executive board, and a member of the FTSE 250. It is invested in a portfolio of mature, operational assets and continues to operate stably, with the objective of protecting and enhancing yield for its shareholders.

Highlights

·; The Portfolio showed underlying growth of 2.1% in the first quarter of 2013, equivalent to 8.7% on an annualised basis

·; Actual Portfolio Value increased by £10.7 million to £548.1million in the first quarter of 2013 

·; Completed approximately £30 million of acquisitions from the market

·; Doubled JLIF's credit capacity with a new three year £150 million revolving credit facility from National Westminster Bank plc, Lloyds Bank plc and ING Bank NV

·; Dividend increased by 4.2% to 3.125 pence per share for the second half of 2012

·; Scrip Dividend Alternative has been taken up by 14.6% of shareholders

·; The Net Asset Value[2] (NAV) was £542.1 million[3] as at 31 March 2013 (after the dividend of £13.7 million allocated to be paid on 14 May 2013)

·; NAV per share was 105.2 pence ex-div (108.3 pence cum-div), as at 31 March 2013, due to the dividend of 3.125 pence per share and underlying growth over the period

Paul Lester, Chairman of the John Laing Infrastructure Fund, said:

"The start of 2013 has seen JLIF's strong performance continue, with underlying growth in our investments resulting in a 2.1% increase in the value of the Portfolio. This has been further enhanced by market acquisitions in the year to date totalling approximately £30 million.

In recognition of the growth in JLIF's Portfolio and the success of the underlying projects, as previously announced the Board has decided to increase the dividend for the six month period ended 31 December 2012 by 4.2% which will be reflected in the dividend payable on 14 May 2013."

Andrew Charlesworth, Director of John Laing Capital Management Limited (JLCM), Investment Adviser to JLIF, said:

"We are pleased to have made two new acquisitions in the period, both acquired on the open market. This takes the percentage of the investments sourced from third parties from 41% in 2012 to over 50% in total since the end of 2011.

The secondary market has been particularly active in the first few months of 2013 with a range of investment opportunities presented to JLIF both in the UK and overseas.

The new debt facility will enhance JLIF's ability to respond to acquisition opportunities, especially of large portfolios of projects, while supporting JLIF's ongoing commitment to ensure that capital raised in the equity markets remains fully invested, minimising cash drag."

Dividend

At the Board meeting held on 15th March 2013 the JLIF Board agreed an increase in the dividend relating to the six month period ended 31st December 2012 by 4.2%, to 3.125 pence per share. The Scrip Dividend Alternative has been taken up by 14.6% of shareholders and therefore 2,050,226 shares will be issued on 14th May 2013, when the dividend will also be paid. The company is confident that the dividend remains adequately cash covered in the short term.

Gearing

As reported in its 2012 Annual Report, in February 2013 JLIF signed a new three year £150 million Revolving Credit Facility with National Westminster Bank plc, Lloyds Bank plc and ING Bank NV. The new facility replaces the previous £75 million facility with National Westminster Bank plc and will be used primarily to fund acquisitions in between capital raisings. The facility increases JLIF's ability to respond quickly to opportunities that present themselves in the market, thus enhancing the company's competitiveness, especially when bidding for large portfolios of assets.

Portfolio Performance

JLIF's Portfolio as at 31 March 2013 was valued at £548.1 million representing growth of 2.1% on the rebased valuation as at 31 December 2012 (i.e. after taking account of acquisitions, distributions, exchange rate movements etc.). A summary is shown below:

The Portfolio outperformed its expected growth based on the Portfolio's weighted average discount rate. The expected underlying growth for the first quarter of 2013 was 2.0%, and the actual underlying growth was 2.1%. In absolute terms the Portfolio value increased by £11.5 million on the rebased valuation as at 31 December 2012, £0.8 million more than expected based on the unwind of the discount rate.

Acquisitions

Since the turn of the year JLIF has completed two acquisitions for a total of approximately £30 million, both of which have been made from sources other than John Laing.

In January 2013, JLIF completed the acquisition of an additional 9% stake in the E18 road project in Finland for a consideration of €3.15 million. Following this acquisition, JLIF has a 50% shareholding in the asset. The stake was acquired from co-shareholder Lemminkäinen.

In April 2013, JLIF acquired a 30% stake in Peterborough Hospital from Brookfield Infrastructure Partners LP for a consideration of £26.7 million.

These acquisitions increase the percentage of investments sourced from third parties from 41% in 2012 to over 50% in total since the end of 2011. JLIF continues to actively seek new opportunities, both in the UK and overseas.

Outlook

JLIF believes that the UK government's introduction of a new infrastructure procurement model, PF2, will help boost the flow of projects coming to market. Recently the UK closed the Alder Hey Children's Hospital in Liverpool, which indicates a positive move on behalf of the Government to support its investment in social infrastructure.

These opportunities will increase the pipeline available to JLIF in the medium and longer term. There remain challenges faced by the UK which may impact on infrastructure delivery, however in the recent budget it was confirmed that from 2015/6, £3 billion per year, £15 billion through to 2020, will be allocated to infrastructure. A positive for the infrastructure market, the Chancellor of the Exchequer commented that railways would see their largest investment programme since Victorian times and there would be more new investment in roads than has been seen in the last decade, core growth sectors for JLIF.

Overseas, the greatest opportunities across Europe are currently in the Benelux region, where broad political support (including that of the recently formed coalition government in The Netherlands) for the role of the private sector in infrastructure appears to provide a reasonable market. The Netherlands has a healthy flow of deals reaching financial close and there is speculation of new legislation that would limit municipal borrowing, thus making PPP more attractive.

Canada remains a strong infrastructure market. It has an advanced and efficient procurement model, boasts a liquid bond market, and has a clear pipeline of deals. While the US is not the biggest PPP market yet, the country has clear high growth potential in coming years due to the sheer size of the economy and the increasing need to modernise its infrastructure, which a strong pipeline should emerge from.

Note:

This IMS aims to give an update of material events and transactions that have taken place during the period from 1 January 2013 to 10 May 2013 and their impact on the financial position of the Investment Group (as defined in the company's Annual Report 2012). This update reflects JLCM's and the Board's current views. They are subject to a number of risks and uncertainties and could change. Factors which could cause or contribute to such differences include, inter alia, general economic and market conditions and specific factors affecting the financial prospects or performance of individual investments within the portfolio of JLIF.

This IMS contains forward-looking statements that are based on current expectations or beliefs, as well as assumptions about future events. Undue reliance should not be placed on any such statements because they speak only as at the date of this document and, by their very nature, they are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results and JLIF's actions to differ materially from those expressed or implied in the forward-looking statements.

This IMS has been prepared solely to provide additional information to shareholders as a body to meet the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules and this IMS should not be relied on by any other party or for any other purpose.

David Marshall Tel: + 44 (0) 20 7901 3326

Email: [email protected]

Andrew Charlesworth

Email: [email protected]

RLM Finsbury Tel: + 44 (0) 20 7251 3801

Faeth Birch

Philip Walters

Nidaa Lone