Net Asset Value report as of 28 December 2018

Fondul Proprietatea SA 's Assets and Liabilities based on NAV calculation according with the CNVM Regulation No. 4 / 2010, as subsequently amended

Lei

Legend:

* = Represents the number of shares related to the paid-up subscribed share capital (according to provisions of Law 247/2005, Title VII, Art. 92, alin. 5 "Subscribed unpaid shares are not taken into account for the computation of net asset value per share for Fondul Proprietatea") excluding (a) the Fund's own shares bought back (Treasury shares), according to provisions of CNVM Regulation no. 4/2010, as subsequently amended, and (b) the equivalent number of shares corresponding to the GDRs bought back

** = Include also the value of holdings admitted to trading on AeRo market (alternative regulated market)

*** = Include the number of companies admitted to trading on AeRo market (alternative trading system)

[English translation of the original report in Romanian - for information purposes only]

Annex - Valuation methods used for the securities and the monetary market instruments held by Fondul Proprietatea S.A. as at 28 December 2018

The valuation methods used for the computation of the NAV as at 28 December 2018, for the securities and the monetary market instruments held by Fondul Proprietatea S.A. are the following:

1. Listed companies on BVB traded within last 30 trading days: Closing Price

2. Listed companies on AeRo market (alternative trading system) traded within last 30 trading days: Reference price - Average Price

3. Listed companies with no trades within last 30 trading days: Shareholders' equity / share (from the annual financial statements prepared in accordance to Romanian accounting regulations or in accordance to IFRS), Fair value/share;

4. Unlisted companies: Fair value / share;

5. Companies in insolvency or reorganisation: Valued either at zero or at the value provided by an independent valuator;

6. Companies in liquidation/dissolution/ bankruptcy: Valued at zero;

7. Companies with negative shareholders' equity, unlisted, or listed but not traded within the last 30 trading days: Valued at zero;

8. Companies for which the annual financial statements of the previous year were not available 90 days after the legal term: Valued at zero;

9. Treasury bills: Acquisition price cumulated with the accrued interest receivable calculated for the period elapsed since the date of acquisition;

10. Listed government bonds: Fair value (reference composite price, including the cumulated interest);

11. Bank deposits: Bank deposit amount cumulated with the accrued interest receivable calculated for the period elapsed since its creation date.

Franklin Templeton International Services S.à r.l acting in the capacity of Sole Director of Fondul Proprietatea SA

[English translation of the original report in Romanian - for information purposes only]

Annex - Changes in the valuation methods used for the computation of the NAV of Fondul Proprietatea as at 28 December 2018

For the computation of the NAV as at 28 December 2018 for Fondul Proprietatea SA, the valuation methods used for the investments in the companies presented below changed and/or have been updated:

CN Administratia Canalelor Navigabile SA, CN Administratia Porturilor Dunarii Fluviale SA and CN Administratia Porturilor Dunarii Maritime SA

For these holdings, the valuation method has been changed from Fair value / share (Shareholders' equity as of 31 December 2017 adjusted with dividends declared) to Fair value / share (Value based on valuation report as at 30 September 2018), as it was considered that this method reflects better the fair value of these investments in the Fund's NAV. The total impact of this change on the Fund's NAV was a decrease of RON 1,701,364.74, detailed in the below table:

Hidroelectrica SA, CN Aeroporturi Bucuresti SA, E-Distributie Banat SA, Engie Romania SA, E-Distributie Muntenia SA, E-Distributie Dobrogea SA, CN Administratia Porturilor Maritime SA, Societatea Nationala a Sarii SA, Enel Energie SA, Enel Energie Muntenia SA, Posta Romana SA, Zirom SA, Aeroportul International Timisoara - Traian Vuia SA, Plafar SA, Aeroportul International Mihail Kogalniceanu - Constanta SA, Complexul Energetic Oltenia SA

For these companies, the valuation method remained the same, respectively Fair value / share (Value based on valuation report), but the valuation was updated with the assistance of the independent valuer. The total impact of this change on the Fund's NAV was an increase of RON 576,648,350.77, detailed in the below table:

IOR SA and Mecon SA

For these holdings, the valuation method has been changed from Fair value (Last available trading price) (respectively IOR SA: RON 0.0840 /share and Mecon SA: RON 9.2000 /share) to Reference price - Average price (respectively IOR SA: RON 0.1100 /share and Mecon SA: RON 22.8000 /share)  according to CNVM Regulation 4/2010, as subsequently amended, because the shares of these companies were traded during the last 30 trading days. The total impact of this change on the Fund's NAV was an increase of RON 884,913.50, detailed in the below table:

Franklin Templeton International Services S.à r.l acting in the capacity of Sole Director of Fondul Proprietatea SA

[English translation of the original report in Romanian - for information purposes only]