Final Results

EDINBURGH VALUE ZEROS PLC PRELIMINARY RESULTS FOR THE YEAR TO 31 MAY 2002 Edinburgh Value Zeros and its holding company, Edinburgh Income and Value Trust, managed by Edinburgh Fund Managers, is akin to a split capital investment trust but with no fixed life for the ordinary shares. The Group has investment objectives of providing ordinary shareholders with a high level of income, together with the opportunity for capital and income growth and for its zero dividend preference shareholders with a pre-determined capital entitlement in May 2005 with a competitive yield and capital cover. For further information, please contact : Alex Gowans, Director, Edinburgh Fund Managers plc 0131 313 1000 Please note that past performance is not necessarily a guide to the future and that the value of investments and the income from them may fall as well as rise. Investors may not get back the amount they originally invested. EDINBURGH VALUE ZEROS CHAIRMAN'S STATEMENT Edinburgh Value Zeros and its holding company Edinburgh Income and Value Trust were incorporated on 10 March 1999. The group's objectives are to provide the ordinary shareholders of Edinburgh Income and Value Trust ('EIVT') with a high level of income together with the opportunity for capital and income growth and holders of the zero dividend preference ('ZDP') shares of Edinburgh Value Zeros with a pre-determined capital entitlement in 2005. The final capital entitlement of the ZDP shares of 159.63p on 31 May 2005 represents a redemption yield of 7.9% per annum over the life of the ZDP shares, based on the placing price of 100p. As at 31 May 2002, the company had a few small holdings in gilts and a loan note from EIVT for £15.5m. In addition EIVT has entered into a Subscription Agreement with the company, whereby EIVT will subscribe for such number of ordinary shares in the company to enable it to satisfy the final capital entitlement of the ZDP shares on 31 May 2005. The performance of the investment portfolio held by EIVT is outlined in its chairman's statement. As a result of market movements during the period under review the cover for the ZDP shares is shown below: 31 May 2002 31 May 2001 % change Net asset value per ZDP share 125.17p 115.43p +8.4 ZDP share price 130.50p 125.25p +4.2 Group's net assets £55.71m £49.80m +11.9 Final capital entitlement of ZDP £24.77m £24.77m n/a shares 2.25 2.01 n/a Cover David Ritchie Chairman 10 July 2002 EDINBURGH VALUE ZEROS PLC PROFIT AND LOSS ACCOUNT (audited) Year to Year to 31 May 2002 31 May 2001 £000 £000 Investment income 1 1 Administrative expenses (25) (20) Loss on ordinary activities before taxation (24) (19) Taxation - - Loss on ordinary activities after taxation (24) (19) Non equity appropriations (1,443) (1,338) Retained loss for the period (1,467) (1,357) Earnings per ordinary share (823.72p) (761.97p) STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES (audited) Year to Year to 31 May 2002 31 May 2001 £000 £000 Unrealised loss on investments - - Revenue losses for the period (24) (19) Total recognised losses (24) (19) BALANCE SHEET (audited) As at As at 31 May 2002 31 May 2001 £000 £000 Fixed assets Investments 18 18 Current assets 19,871 18,357 Current liabilities 65 38 Net current assets 19,806 18,319 19,824 18,337 Capital and reserves Called up share capital 178 178 Reserves 19,646 18,159 19,824 18,337 Shareholders' funds: - Equity 107 63 - Non-equity 19,717 18,274 19,824 18,337 Adjusted net asset value per non-equity share 125.17p 115.43p CASHFLOW STATEMENT (audited) Year to Year to 31 May 2002 31 May 2001 £000 £000 NET CASH OUTFLOW FROM OPERATING ACTIVITIES - - CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT Purchase of investments - - Loan to Edinburgh Income and Value Trust - - FINANCING Issue of preference shares - - INCREASE IN CASH - - Notes : 1.There will be no dividend for the year ended 31 May 2002. 2.The profit and loss account, statement of total recognised gains and losses, balance sheet and cashflow statement set out above do not represent full accounts in accordance with Section 240 of the Companies Act 1985. The financial information for the year ended 31 May 2001 has been extracted from the Annual Report and Accounts of the company which have been filed with the Registrar of Companies. The auditors' report on those accounts was unqualified. The statutory accounts for 2002 contain an unqualified auditors' report and will be delivered to the Registrar of Companies following the company's Annual General Meeting which will be held at Donaldson House, 97 Haymarket Terrace, Edinburgh on Wednesday, 2 October 2002 at 11.45 am. 3. The accounts are prepared under the same accounting policies used for the year ended 31 May 2001. 4.The annual report will be posted to shareholders on 26 July 2002 and copies will be available at the registered office of the company - Donaldson House, 97 Haymarket Terrace, Edinburgh EH12 5HD. For Edinburgh Value Zeros plc Edinburgh Fund Managers plc, SECRETARY ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/07/10/20020710BIT00490/wkr0001.doc http://www.waymaker.net/bitonline/2002/07/10/20020710BIT00490/wkr0002.pdf