GLPR.L Regulatory News (GLPR)

For immediate release 26 March 2012

Global Ports Investments PLC

2011 Full Year Results

Global Ports Investments PLC ("the Company" and, together with its subsidiaries and joint ventures, "Global Ports" or "the Group"), the leading container terminal operator serving Russian cargo flows (LSE ticker: GLPR) today announces its full year results for the twelve month period ended 31 December 2011.

Certain financial and operational information which is derived from the management accounts is marked in this announcement with an asterisk {*}. Information (including non-IFRS financial measures) requiring additional explanation or defining begins with initial capital letters and the explanations or definitions thereto are provided at the end of this announcement.

SUMMARY

During 2011 Global Ports increased its container throughput volumes in the Russian Ports segment by 44%[1], strongly outperforming the 29%[2] growth in the overall Russian container market. This outperformance was driven by well-timed investments which ensured there was adequate available capacity to accommodate the market recovery as well as a number of commercial initiatives implemented by the management. This strong operational performance was reflected in the excellent financial results the Group achieved.

Group financial highlights

§ Consolidated revenue rose 31% year on year to USD 501.3 million reflecting the significant growth in container handling volumes, improved pricing and changes in the mix of services provided.

§ Strict cost-cutting measures implemented by management as well as a degree of operating leverage resulted in Group costs increasing less than revenue growth with total cost of sales, administrative, selling and marketing expenses up just 21% year on year to USD 277.4 million.

§ Adjusted EBITDA climbed 37% year on year to USD 282.2* million.

§ Adjusted EBITDA Margin reached 56%* compared to 54%* in 2010.

§ Profit for the year increased by 23% to USD 146.9 million despite USD 19 million of net foreign exchange losses on borrowings and cash, cash equivalents and loans receivablein 2011.

§ Return on Capital Employed (ROCE) increased to 22%* compared to 16%* in the previous year.

§ CAPEX on a cash basis increased by 153% year on year to USD 132.0 million reflecting accelerated investments to enable capacity expansion, equipment renewal, and improvement of the services rendered to clients.

§ The Group reduced its Net Debt by 53% to USD 66.0* million at 31 December 2011 compared to USD 139.9* million at the end of 2010. Net Debt to Adjusted EBITDA was only 0.2x* at 31 December 2011 compared to 0.7x* at the end of 2010.

§ On the basis of the excellent financial results and strong balance sheet of the Group, the Board of Directors recommends an additional dividend payment of USD 32.9 million or USD 0.21 per GDR subject to shareholder approval at the Annual General Meeting. This together with a dividend payment of USD 28.2 million or USD 0.18 per GDR in September 2011 sets the total base dividend for the year 2011 at USD 0.39 per GDR[3] 

Operational highlights

§ Global Ports' Russian Ports segment delivered record growth in Gross Container Throughput, up 44% year on year to approximately 1,344* thousand TEUs (twenty-foot equivalent units) in 2011[4]:

Ø This growth significantly exceeded growth in the overall Russian market which, driven by economic growth and deferred consumer demand, grew 29% year on year to approximately USD 4.5 million TEUs in 2011[5].

Ø Global Ports' market share[6] of overall Container Throughput through the Russian Federation Ports market rose to 30%* in 2011 from 27%* in 2010.

§ Global Ports' Oil Products Terminal segment delivered a stable performance with a modest increase of Revenue Per CBM of Storage of 4% in 2011 compared to 2010. Average Storage Capacity increased by 4% year on year due to the additional storage commissioned in 2010.

§ The Gross Container Throughput of the Finnish Ports segment in 2011 increased by 2% to 163 thousand TEUs compared to 2010.

Nikita Mishin, Chairman of the Board of Directors of Global Ports, commented:

"It has been a landmark year for Global Ports following our listing, and it gives me great pleasure to announce our Full Year Results for 2011. Over the last 12 months we have built on our successful operational track record by outperforming Russia's overall container market, improving our terminals and expanding our services. We have had some notable financial successes during the year including operating efficiency as evidenced by growth in Adjusted EBITDA Margin across segments, a significantly enhanced return on capital employed, and reduced net debt - all of which highlight the essential strengths of our business. These achievements are also reflected in our increased dividend. We intend to continue to capitalize on our market leadership and capacity expansion program and deliver value for all our stakeholders in 2012."

OUTLOOK

Even if the outlook for the global economy remains unpredictable, Global Ports' management team has a successful track record of operation in all phases of the economic cycle. Our market-leading position in one of the world's key developing economies means we are well placed to capture future growth opportunities, particularly in the under-penetrated and fast-growing Russian container market.

During the opening months of 2012 the robust macroeconomic context in Russia produced strong trading conditions in the container market with 12% year-on-year market growth recorded in January and February. Against this background we are optimistic about the Russian Ports segment's prospects for 2012 and will focus on further optimization of our operations and service quality.

In the Oil Products Terminal segment we have capitalized on our position as the only sizable independent fuel oil terminal. We successfully managed recent changes in the industry landscape and are operating at a stable run-rate. We have continued to diversify both our client base and our service mix and as a result, our financial performance in this segment is currently running ahead of the levels achieved in the second half of 2011.

Downloads

The consolidated financial statements for the year ended 31 December 2011 are available for viewing at www.globalports.com

GROUP FINANCIAL PERFORMANCE

FINANCIAL RESULTS SUMMARY

The following table sets forth the Group's key financial information for the full year of 2011.

Revenue

The Group's revenue in 2011 rose 31% or USD 118.9 million to USD 501.3 million compared to 2010. This increase was primarily driven by the increased revenues of the Russian Ports segment as well as modest increases in revenues of the Oil Products Terminal segment.

In 2011 the Russian Ports segment contributed 67% of Group revenue with the Oil Products Terminal segment and Finnish Ports segment accounting for 29% and 4% respectively.

The following table sets out the Group's revenue by operating segments adjusted for the effect of proportionate consolidation:

The Group's revenue is discussed in greater details in the Analysis by Operating Segment section that follows.

Cost of sales

The Group's cost of sales in 2011 increased by 20% or USD 39.1 million to USD 237.6 million compared to 2010, driven largely by increased staff costs (up 21% or USD 10.9 million), transportation expenses (up 15% or USD 6.7 million), fuel, electricity and gas expenses (up 32% or USD 6.2 million) as well as purchased services (up 179% or USD 5.2 million).

In particular, staff costs increased mainly due to the rise in staff costs in the Russian Ports segment which was driven by growth in the variable parts of salaries resulting from the increased throughput, wage inflation and an increase in the rate of unified social tax in Russia. These factors were partially offset by the increased outsourcing of auxiliary personnel.

The increase in transportation expenses resulted largely from the growth in container throughput in the Russian Ports segment.

Fuel, electricity and gas expenses increased due to increased fuel, electricity and gas prices, increased throughput in the Russian Ports segment as well as the change in cargo mix coming to the Oil Products terminal.

The purchased services increased as a result of the outsourcing of auxiliary services in the Russian Ports Segment.

Administrative, selling and marketing expenses

The Group's total administrative, selling and marketing expenses in 2011 increased by 30% or USD 9.2 million to USD 39.8 million compared to 2010 driven primarily by staff costs (up 25% or USD 3.5 million) and legal, consulting and other professional services expenses (up 132% or USD 3.1 million). Staff costs increased mainly due to wages and salaries inflation as well as a higher number of administrative employees. Legal, consulting and other professional services expenses growth primarily reflects the additional expenses associated with the Initial Public Offering and listing of Global Depositary Receipts of the Company on the Main Market of the London Stock Exchange in June 2011.

Operating Profit

The majority of key cost items grew at a lower rate than revenue growth reflecting the Group's continued strong cost control as well as its operating leverage. As a result, operating profit increased 44% or USD 69.0 million to USD 226.0 million during 2011.

Finance income / (costs) - net

In 2011 the Group recorded a net finance loss of USD 30.1 million compared to a net finance loss of USD 14.8 million in the previous year. This was primarily due to an USD 20.3 million increase in net foreign exchange, borrowings and other financial items compared to the previous year, primarily reflecting the depreciation of the Russian rouble against the US dollar at 31 December 2011 in comparison to the same date in 2010 (USD/RUB 32.2 at 31 December 2011 in comparison to USD/RUB 30.5 at 31 December 2010). The impact was partially offset by a decrease in interest expenses of USD 3.1 million, arising from lower average interest rates in 2011 compared to the previous year and an increase of interest income of USD 1.8 million.

Profit before income tax

Profit before income tax increased by 38% or USD 53.8 million to USD 195.9 million compared to 2010, due to the factors detailed above.

Income tax expense

Income tax expense in the year more than doubled from USD 23.2 million in 2010 to USD 49.0 million, an increase of USD 25.8 million. This was mainly driven by (i) an increase in profit before income tax as described above and (ii) a non-recurring deferred tax charge of USD 8.9 million on the Oil Products Terminal segment's distributable retained earnings due to a change in management's intentions concerning payment of future dividends.

Profit for the year

Profit for the year increased 23% to USD 146.9 million compared to the previous year due to the factors detailed above.

Adjusted EBITDA (Non-IFRS financial measure)

The Group's Adjusted EBITDA increased 37% to USD 282.2* million compared to 2010 reflecting the strong growth in revenues and strict cost management as described above.

The Group's profitability improved with the Adjusted EBITDA Margin increasing to 56%* compared to 54%* in the previous year reflecting the continued cost control measures and the operating leverage of the Group's business.

Liquidity and capital resources

The Group's liquidity requirements arise primarily in connection with the capital investment programmes of each of its operations as well as their operating costs. In the year under review, the Group's liquidity needs were met primarily by revenues generated from operating activities, proceeds from Initial Public Offering, and borrowings. The management of the Group expects to fund its liquidity requirements in both the short and medium term with cash generated from operating activities, borrowings and cash balances.

Cash Flows

Net cash from operating activities rose from USD 174.4 million in 2010 to USD 230.2 million in 2011, an increase of 32%. This was primarily driven by a strong performance in all Group's segments.

Net cash used in investing activities increased by USD 43.7 million or 66% year on year to USD 110.2 million in 2011, mainly reflecting a 153% growth in purchases of property, plant and equipment. In addition, the Group acquired a leasehold title to a plot of land adjacent to the existing terminal sites that will be used for capacity expansion (reflected in purchases of intangible assets). The above increase of net cash used in investing activities was impacted by the increase in net cash from the deposits with maturity over 90 days and loan repayments from related parties.

Net cash used in financing activities amounted to USD 25.8 million in 2011 compared to USD 104.2 million in 2010. Net cash used in financing activities for 2011 can largely be broken down into the following:

§ Net proceeds from the issue of shares of USD 96.6 million;

§ Net cash outflows from borrowings and financial leases[7] of USD 41.0 million reflecting mainly cash outflow from repayment of borrowings and finance lease principal payments, offset in part by proceeds from borrowings;

§ Interest paid of USD 17.0 million;

§ Dividends paid to non-controlling interests of USD 11.2 million;

§ Dividends paid to the owners of the Company of USD 53.2 million[8].

Capital expenditures (on a cash basis)

The Group's capital expenditures on a cash basis in 2011 more than doubled to USD 132.0 million, increasing by USD 79.8 million compared to the previous year, reflecting the accelerated expansion of its terminal facilities and the purchase and renovation of equipment as well as investments to develop the service offering.

The Russian Ports segment's capital expenditures on a cash and 100% basis increased by USD 70.0 million year-on-year to USD 117.7 million in 2011 and were primarily used to finance the construction of a new reefer container yard, a new customs inspection zone, the expansion of the railway front in VSC, and the purchase of new handling equipment.

The Oil Products Terminal segment's capital expenditures on a cash and 100% basis increased by USD 8.9 million year on year to USD 29.6 million in 2011. The majority of investments were used to finance the construction of a truck loading rack, construction of new additional railcar unloading facilities and construction of additional pipelines.

The Finnish Ports segment's capital expenditures on a cash and 100% basis rose USD 1.6 million year on year to USD 1.7 million in 2011, mainly reflecting primarily the purchase of handling equipment and its spare parts.

Capital resources

The Group's financial indebtedness consisting of bank borrowings, loans from third parties and finance lease liabilities remained broadly flat at USD 206.9 million at 31 December 2011, up only USD 0.2 million compared to the end of 2010.

As at 31 December 2011, the Group had USD 137.1 million in cash and cash equivalents and USD 3.9 million in bank deposits with maturity over 90 days.

The Group's Net Debt declined by 53% or USD 73.9 million to USD 66.0* million at 31 December 2011 compared to USD 139.9* million the end of 2010. Net Debt to Adjusted EBITDA ratio decreased to 0.2x* at 31 December 2011 compared to 0.7x* at the end of 2010.

The Group's weighted average effective interest rate was 6.1%* as at 31 December 2011 compared to 6.9%* as at 31 December 2010.

As at 31 December 2010 and 31 December 2011, the carrying amounts of the Group's borrowings were denominated in the following currencies:

The following table sets forth the maturity profile of the Group's borrowings (including finance leases) as at 31 December 2011.

 ANALYSIS BY OPERATING SEGMENTS

The following table sets forth the Group's key operational information for 2011 and 2010[9].

Russian Ports segment

Operational performance

During 2011, the Group's Russian Ports segment significantly outperformed the market with container throughput in the Russian Ports segment growing 44% to 1,344* TEUs in 2011. Container Throughput in the Russian Federation Ports increased by 29% year on year to approximately 4,508 thousand TEUs, reflecting strong GDP growth (up 4.3%[12]) and growth in consumer spending (up 6.4%[12]). The Group's container terminals market share[13] of overall Container Throughput in the Russian Federation Ports rose from 27%* in 2010 to 30%* in 2011.

Gross Container Throughput increased across all the Group's terminals with both PLP and Moby Dik (both located in the Baltic Sea Basin) delivering a 44% and 61% increase respectively, and VSC (located in the Far East Basin) posting a 33% increase. The container capacity utilisation[14] of the Russian Ports segment improved to 69%* in 2011.

This strong performance was driven primarily by the strategic initiative to make significant investments in capacity expansion during 2008-2011 which has enabled the Group to capture a significant part of the market growth and win market share. In addition, the Group retained its strong customer focus, implementing a number of commercial initiatives including the following:

§ In 2011 PLP increased its presence in the refrigerated container segment by expanding its container yard for refrigerated containers. In 2011 PLP also commissioned a new customs inspection zone.

§ PLP attracted new weekly services from global liner operators including CMA CGM, MSC and OOCL. In addition, PLP handled two regular mainline services calling at St. Petersburg: the ECUBEX service from South America and the MARUS service from Morocco, both of which are operating in the lucrative reefer segment of the container business.

§ Moby Dik attracted new services from Hyundai Merchant Marine.

§ VSC continued to enjoy strong support for its dedicated block train services to Western Siberia, Urals and central Russia (frequency up by 24% in 2011) and has attracted new direct services from mainland China by Sasco and Maersk Line.

Traditional Ro-Ro and cars throughput increased 50% and 56% respectively in 2011 compared to the year before driven by growth in the construction and agriculture sectors and very strong growth in passenger car sales in Russia. Reflecting the Group's strategy of focusing on containerised cargo, handling of dry bulk cargo and refrigerated bulk cargo declined 17% and 70% respectively.

The inland container terminal Yanino continued expanding its customer base and increasing throughput, recording growth in container throughput of 104% and gross bulk cargo throughput of 61% compared to 2010. The Group's coal handling facility in VSC was commissioned and started operations in late 2011.

Financial performance

The Russian Ports segment consists of the Group's 100% interest in PLP, 75% interest in VSC (with DP World having 25% interest), and 75% interest in Moby Dik and Yanino (in each of which Container Finance currently has a 25% effective ownership interest). The financial results of Moby Dik and Yanino are proportionally consolidated and the financial results of PLP and VSC are fully consolidated.

Revenue

The Russian Ports segment's revenue increased by 46% or USD 110.5 million year on year to USD 349.7 million in 2011.

Revenue from container handling, the key revenue driver for the Russian Ports segment contributing 75% of its revenue in 2011, increased 46% year on year to USD 261.4* million. This reflected strong growth in container throughput as well as a moderate increase in average revenue per TEU. The growth of average revenue per TEU in 2011 was driven by increased headline tariffs partially offset by changes in the service mix - predominantly decreased average storage revenue as clients focused on optimising their port costs and better managed their dwell times.

Other revenue, accounting for 25% of the segment's revenue, increased by 48% year on year to USD 88.3* million supported by a strong increase in number of block trains operated in VSC as well as significant increase in Ro-Ro and car handling volumes.

The following table sets forth the components of the Russian Ports segment's revenue for 2011 and 2010 on a 100% basis.

Total cost of sales, administrative, selling and marketing expenses

The Russian Ports segment's total cost of sales, administrative, selling and marketing expenses increased 28% year on year to USD 178.9 million in 2011, significantly below the 46% growth rate of segment's revenues reflecting Group's successful cost cutting measures as well as the segment's operating leverage.

In particular, staff costs, which accounted for 33% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, were up 29% or USD 13.2 million year on year to USD 58.9 million. This increase was primarily due to the growth in the variable parts of salaries (resulting from increased throughput), wage inflation and an increase in the rate of unified social tax in Russia, and was offset in part by a reduction in the number of employees arising from staff optimisation measures and outsourcing.

Transportation expenses accounted for 8% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 90% or USD 6.6 million year on year at USD 13.8 million. This was primarily due to an increase of railway services in VSC, increased outsourcing of intra-terminal transportation services and general cost inflation.

Fuel, electricity and gas contributed 6% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 53% or USD 3.7 million year on year to USD 10.7 million, primarily due to increased throughput and higher prices for these supplies.

Repair and maintenance of property, plant and equipment, contributed 6% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 20% or USD 1.9 million, primarily due to increased throughput, additional equipment purchased in the course of 2011 and general cost inflation.

Adjusted EBITDA (Non-IFRS financial measure)

The segment's Adjusted EBITDA increased by 53% or USD 75.5* million to USD 218.8* million compared to 2010 reflecting the factors described above.

The segment's profitability improved with the Adjusted EBITDA Margin increasing to 63%* compared to 60%* in the previous year reflecting strict cost controls as well as operating leverage in the segment's business.

Oil Products Terminal segment

Operational performance

Vopak E.O.S's Average Storage Capacity increased by 4% in 2011 driven by the additional storage commissioned in 2010. In parallel, Revenue Per CBM of Storage increased 4% in 2011 compared to 2010 - driven mainly by (i) increased headline tariffs (ii) changed cargo and client mix and (iii) improved service mix.

2011 was a year of change in the industry landscape. Vopak E.O.S. took active steps to address this and successfully further diversified its client base. It swiftly replaced over half of the volumes captive to the newly commissioned Ust Luga terminal with cargoes from new and existing clients. This resulted in Vopak E.O.S. increasing the share of cargoes originating from distant refineries - the handling of which requires more discharging capacity.

In addition, the above change together with the overall market trend resulted in an improved service mix that positively affected Vopak E.O.S's revenues - driven mainly by increased demand for railway services provided by Vopak E.O.S and segregated storage.

The change in cargo mix and the implementation time lag of the change in client mix affected the Oil Products Gross Throughput which declined by 13% in 2011 compared to 2010.

Financial performance

The Oil Products Terminal segment consists of the Group's 50% ownership interest in Vopak E.O.S. (in which Royal Vopak currently has a 50% effective ownership interest). The results of the Oil Products Terminal segment are proportionally consolidated, but are included in the segment figures and discussion below on a 100% basis.

Revenue

The Oil Products Terminal segment's revenue increased 8% year on year to USD 285.9 million in 2011 mainly due to a 4% increase in Average Storage Capacity as well as the 4% growth in Revenue Per CBM of Storage. The latter was driven mainly by (i) increases in headline tariffs; (ii) the improved service mix including increased demand for railway services provided by Vopak E.O.S. and increased demand for segregated storage and other factors; and (iii) changed product mix.

Total cost of sales, administrative, selling and marketing expenses

The Oil Products Terminal segment's total cost of sales, administrative, selling and marketing expenses increased 7% year on year to USD 162.1 million in 2011 primarily due to an increase in major cost items.

In particular, staff costs accounted for 16% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 9% or USD 2.2 million year on year to USD 26.3 million primarily due to an increase in the number of employees to support growth in railway operations and wage inflation.

Transportation expenses accounted for 43% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up only 1% or USD 0.9 million year on year to USD 69.3 million.

Fuel, electricity and gas contributed 18% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 20% or USD 5.0 million year on year to USD 29.1 million. This change is mainly due to inflation in fuel electricity and gas unit costs as well as the changed cargo mix requiring longer railway transportation and increased heating when unloading.

Repair and maintenance of property, plant and equipment, contributed 3% of the segment's total cost of sales, administrative, selling and marketing expenses in 2011, up 17% or USD 0.7 million, primarily due to deferred repair maintenance work from the previous periods and cost inflation.

Adjusted EBITDA (Non-IFRS financial measure)

The segment's Adjusted EBITDA increased 9% to USD 145.2* million compared to 2010 reflecting the factors described above.

The segment's profitability slightly improved with the Adjusted EBITDA Margin rising to 50.8%* compared to 50.4%* in the previous year reflecting management's achievements in increasing revenue and Adjusted EBITDA.

Finnish Ports segment

Operational performance

The Gross Container Throughput of the Finnish Port segment remained broadly flat with a 2% increase year on year to 163 thousand TEUs.

Financial Performance

The Finnish Ports segment consists of the Group's 75% ownership interest in MLT Kotka, MLT Helsinki, and three container depots in Finland (in each of which Container Finance currently has a 25% effective ownership interest). The results of the Finnish Ports segment are proportionally consolidated, but are included in the segment figures and discussion below on a 100% basis.

Revenue

Finnish Ports segment's revenue increased by 9.8% year on year to USD 31.0 million in 2011, largely reflecting the increased Gross Container Throughput and management efforts to attract other cargoes to the terminal, namely Ro-Ro cargoes.

Total cost of sales, administrative, selling and marketing expenses

The Finnish Ports segment's total cost of sales, administrative, selling and marketing expenses remained broadly flat year on year and amounted to USD 27.9 million in 2011. Total cost of sales, administrative, selling and marketing expenses increased due to the Gross Container and Ro-Ro cargoes throughput growth as well as higher fuel, electricity and gas costs (due to inflation in average prices for fuel and electricity). This rise in costs was offset by cost cutting initiatives implemented by the management (in particular a number of staff optimization measures) and the 5% depreciation of the average exchange rate of EURO against the US dollar.

Adjusted EBITDA (Non-IFRS financial measure)

The segment's Adjusted EBITDA increased 105% to USD 6.3* million compared to 2010 reflecting the factors described above.

The segment's profitability improved with Adjusted EBITDA Margin increasing to 20.3%* in 2011 compared to 10.9%* in the previous year reflecting the increased revenues and cost control measures implemented by the management.

FOOTNOTES

[1] Excluding volumes of inland container terminal Yanino.

[2] Source: ASOP ("Association of Sea Commercial Ports", www.morport.com)

[3] Does not include the USD 25.0 million dividend paid to shareholders in June 2011 prior to the initial public offering of the Company attributable to the previous periods. Each GDR represents an interest in three ordinary shares.

[4] Excluding volumes of inland container terminal Yanino.

[5] Source: ASOP

[6] Market share calculated as Global Ports' Russian Ports segments' Gross Container Throughput in corresponding period divided by Container Throughput in the Russian Federation Ports in the same period. Sourced from ASOP.

[7] Defined as the balance between "proceeds from borrowings", "repayments of borrowings" and "finance lease principal payments (to third parties)".

[8] Includes the USD 25.0 million dividend paid to shareholders in June 2011 prior to the initial public offering of the Company attributable to previous periods.

[9] Gross Throughput, Average Storage Capacity and Revenue per CBM of Storage are shown on a 100% basis for each terminal, including terminals held through joint ventures and proportionally consolidated.

[10] Excluding the container throughput of the Group's inland container terminal, Yanino, which was 32* thousand TEUs in 2010 and 65* thousand TEUs in 2011.

[11] Excluding the bulk cargo throughput of the Group's inland container terminal, Yanino, which was 142* thousand tonnes in 2010 and 229* thousand tonnes in 2011.

[12] Source: Rosstat

[13] Market share calculated as Global Ports' Russian Ports segments' Gross Container Throughput in corresponding period divided by Container Throughput in the Russian Federation Ports in the same period. Sourced from ASOP ("Association of Sea Commercial Ports", www.morport.com).

[14] Container capacity utilization is defined as annualized container throughput for the corresponding period (for the half-year period, container throughput in first six month of respective year multipled by two) divided by annual container handling capacity for the period. It excludes the Group's inland container terminal, Yanino.

[15] Including the container handling revenue of Yanino

[16] Source: ASOP, as of 2011

[17] Source: Argus Nefte Transport, as of 2011

PRESENTATION OF INFORMATION

Unless stated otherwise all financial information presented in this announcement is derived from the consolidated financial statements of Global Ports Investments PLC ("the Company" and, together with its subsidiaries and joint ventures, "Global Ports" or "the Group") for the year ended 31 December 2011 and prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union and the requirements of Cyprus Companies Law, Cap.113. The Group's consolidated financial statements for the year ended 31 December 2011 is available at the Group's corporate website (www.globalports.com).

The financial information is presented in US dollars, which is also the functional currency of the Company and certain other entities in the Group. The functional currency of the Group's operating companies for the years under review was (a) for the Russian Ports segment, the Russian rouble, (b) for Oil Products Terminal segment, the Estonian kroon (until 31 December 2010) and the Euro (from 1 January 2011), and (c) for the Finnish Ports segment, the Euro.

Certain financial information which is derived from management accounts is marked in this announcement with an asterisk {*}.

In this announcement the Group has used certain non-IFRS financial information (not recognised by EU IFRS or IFRS) as supplemental measures of the Group's operating performance.

Information (including non-IFRS financial measures) requiring additional explanation or defining is marked with initial capital letters and the explanations or definitions are provided at the end of this announcement.

Rounding adjustments have been made in calculating some of the financial and operational information included in this announcement. As the result, numerical figures shown as totals in some tables may not be exact arithmetic aggregations of the figures that precede them.

Market share data has been calculated using the information published by the Association of Sea Commercial Ports ("ASOP"), www.morport.com.

OTHER

Pursuant to Article 2.1(i)(ii) of the Transparency Directive (2004/109/EC) and Rule 6.4.2 of the Disclosure and Transparency Rules of the UK Financial Services Authority, the Company confirms that it has chosen the United Kingdom as its Home State.

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ANALYST AND INVESTOR CONFERENCE CALL

The release of the full year financial and operational results will be accompanied by an analyst and investor conference call hosted by Alexander Nazarchuk, Chief Executive Officer, Oleg Novikov, Chief Financial Officer, and Roy Cummins, Chief Commercial Officer.

Date: Monday, 26 March 2012

Time: 14.00 UK / 09.00 US (east coast) / 17.00 Moscow

To participate in the conference call, please dial one of the following numbers and ask to be put through to the "Global Ports" call:

UK toll-free: 0800 358 5263

International: +44 20 7190 1595

Webcast facility: a webcast will also be available through the Global Ports website (www.globalports.com). Please note that this will be a listen-only facility.

ENQUIRIES

Global Ports Investor Relations

Sergey Stikharev

+357 25 503 163

Email: irteam@globalports.com

Global Ports Media Relations

Anna Vostrukhova

+357 25 503 163

E-mail: media@globalports.com

Holloway & Associates

Richard Holloway/ Zoe Watt

+44 20 7240 2486

NOTES TO EDITORS

Global Ports Investments PLC is the leading operator of container terminals in the Russian market. Global Ports accounts for 30%[16] of the total container volumes in the Russian ports and 23%[17] of the total exports of fuel oil from the former Soviet Union countries. Global Ports is part of N-Trans group, one of the largest private transportation and infrastructure operators in Russia. Global Ports' terminals are located in the Baltic and Far East Basins, key regions for foreign trade cargo flows. Global Ports operates three container terminals in Russia (Petrolesport and Moby Dik in St. Petersburg, Vostochnaya Stevedoring Company in the Vostochny Port) and two container terminals in Finland (Multi-Link Helsinki and Multi-Link Kotka). Global Ports also includes Yanino Logistics Park located in the vicinity of St. Petersburg and a major oil terminal Vopak E.O.S. in Estonia.

Global Ports' consolidated revenue for the year ended 31 December 2011 was USD 501.3 million (up 31% year on year). Adjusted EBITDA for the year ended 31 December 2011 was USD 282.2* million (up 37% on the year ended 31 December 2010).

The Group's Russian Ports segment handled a total container throughput of approximately 1,344* thousand TEUs in 2011 (excluding Yanino), a 44% increase on 2010.

In June 2011 Global Ports listed its GDRs on the Main Market of the London Stock Exchange (LSE ticker: GLPR).

For more information please see: www.globalports.com

DEFINITIONS

Terms that require definitions are marked with capital letters in this announcement and definitions of which are provided below in alphabetical order:

Adjusted EBITDA (a non-IFRS financial measure) is defined as profit for the period before income tax expense, finance income/(costs) - net, depreciation of property, plant and equipment, amortisation of intangible assets, other gains/(losses)-net, impairment charge of property, plant and equipment and impairment charge of goodwill.

Adjusted EBITDA Margin(a non-IFRS financial measure) is calculated as Adjusted EBITDA divided by revenue, expressed as a percentage.

Average Storage Capacityis a storage capacity available at Vopak E.O.S. oil products terminals, averaged for the beginning and end of the year.

Baltic Sea Basin: the geographic region of northwest Russia, Estonia and Finland surrounding the Gulf of Finland on the eastern Baltic Sea, including St. Petersburg, Tallinn, Helsinki and Kotka.

Container Throughput in the Russian Federation Ports is defined as total container throughput of the ports located in the Russian Federation excluding transit cargo volumes. Respective information is sourced from ASOP ("Association of Sea Commercial Ports", www.morport.com).

Far East Basin: the geographic region of southeast Russia, surrounding the Peter the Great Gulf, including Vladivostok and the Nakhodka Gulf, including Nakhodka on the Sea of Japan.

Finnish Ports segment consists of two terminals in Finland, MLT Kotka and MLT Helsinki (in port of Vuosaari), and three container depots (in each of which Container Finance currently has a 25% effective ownership interest). The financial results of the Finnish Ports segment have been proportionally consolidated in the Group's report and consolidated financial statements for the year ended 31 December 2011.

Functional Currency is defined as the currency of the primary economic environment in which the entity operates. The functional currency of the Company and certain other entities in the Group is US dollars. The functional currency of the Group's operating companies for the years under review was (a) for the Russian Ports segment, the Russian rouble, (b) for Oil Products Terminal segment, the Estonian kroon (until 31 December 2010) and the Euro (from 1 January 2011), and (c) for the Finnish Ports segment, the Euro.

Gross Container Throughputrepresents total container throughput of a Group's terminal or a Group's operating segment shown on a 100% basis. For the Russian Ports segment it excludes the container throughput of the Group's inland container terminal, Yanino.

Gross Throughput is throughput shown on a 100% basis for each terminal, including terminals held through joint ventures and proportionally consolidated.

Net Debt (a non-IFRS financial measure) is defined as a sum of current borrowings and non-current borrowings, less cash and cash equivalents and bank deposits with maturity over 90 days.

PLP includes Petrolesport OAO, Farwater ZAO and various other entities (including some intermediate holdings) that own and manage a container terminal in St. Petersburg port, North-West Russia. The Group owns a 100% effective ownership interest in PLP. The results of PLP have been fully consolidated in the Group's report and consolidated financial statements for the year ended 31 December 2011.

Revenue Per CBM of Storage is defined as the total revenue of Oil Products segment (Vopak E.O.S.) for a respective period divided by Average Storage Capacity during that period.

Russian Ports segment consists of the Group's 100% interest in PLP, 75% interest in VSC (with DP World having 25% interest), and 75% interest in Moby Dik and Yanino (in each of which Container Finance currently has a 25% effective ownership interest). The financial results of Moby Dik and Yanino are proportionally consolidated and the financial results of VSC are fully consolidated.

ROCE (Return on capital employed, a non-IFRS financial measure) is defined as operating profit for the last twelve months divided by the sum of Net Debt and total equity, averaged for the beginning and end of the last twelve month period.

Ro-Ro, roll on-roll off: cargo that can be driven into the belly of a ship rather than lifted aboard. Includes cars, buses, trucks and other vehicles.

Oil Products Terminal segmentconsists of the Group's 50% ownership interest in Vopak E.O.S. (in which Royal Vopak currently has a 50% effective ownership interest). The financial results of the Oil Products Terminal segment are proportionally consolidated.

TEU is defined as twenty-foot equivalent unit, which is the standard container used worldwide as the uniform measure of container capacity; a TEU is 20 feet (6.06 metres) long and eight feet (2.44 metres) wide and tall.

Vopak E.O.S. includes AS V.E.O.S. and various other entities (including an intermediate holding) that own and manage an oil products terminal in Muuga port near Tallinn, Estonia. The Group owns a 50% effective ownership interest in Vopak E.O.S.. The remaining 50% ownership interest is held by Royal Vopak. The results of Vopak E.O.S. have been proportionally consolidated in the Group's report and consolidated financial statements for the year ended 31 December 2011.

VLCC is defined as very large crude carrier: a ship that can carry up to two million barrels of crude oil and has a maximum deadweight size of 300,000 metric tonnes.

VSC includes Vostochnaya Stevedoring Company OOO and various other entities (including some intermediate holdings) that own and manage a container terminal in Vostochny port near Nakhodka, Far-East Russia. The Group owns a 75% effective ownership interest in VSC. The remaining 25% ownership interest is held by DP World. The results of VSC have been fully consolidated in the Group's report and consolidated financial statements for the year ended 31 December 2011.

LEGAL DISCLAIMER

Some of the information in these materials may contain projections or other forward-looking statements regarding future events or the future financial performance of the Company. You can identify forward looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could," "may" or "might" or the negative of such terms or other similar expressions. The Company wishes to caution you that these statements are only predictions and that actual events or results may differ materially. The Company does not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in projections or forward-looking statements of the Company, including, among others, general economic conditions, the competitive environment, risks associated with operating in Russia and market change in the industries the Company operates in, as well as many other risks specifically related to the Company and its operations.