Half-Yearly Financial Report (Aberdeen New Thai)

Date : 10/30/2009 @ 11:31AM
Source : UK Regulatory (RNS and others)
Stock : Aberdeen New Thai (ANW)
Quote : 165.75  0.0 (0.00%) @ 2:42AM
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Half-Yearly Financial Report (Aberdeen New Thai)

 
TIDMANW 
 
RNS Number : 7061B 
Aberdeen New Thai Inv Trust PLC 
30 October 2009 
 
? 
ABERDEEN NEW THAI INVESTMENT TRUST PLC 
 
 
HALF-YEARLY FINANCIAL REPORT FOR THE SIX MONTHS ENDED 31 AUGUST 2009 
 
 
The following is the unaudited Interim Board Report for the six months ended 31 
August 2009. 
 
 
INTERIM BOARD REPORT 
 
 
Investment Objective 
The investment objective of the Company is to provide Shareholders with a high 
level of long-term, above average capital growth through investment in Thailand. 
 
 
Investment Policy 
The Company's assets are invested in a diversified portfolio of securities 
(substantially in the form of equities or equity related securities such as 
convertible securities and warrants) in companies spread across a range of 
industries which are quoted on the Stock Exchange of Thailand ("SET") Index. 
 
 
Background 
During what proved to be an excellent six months for equity markets everywhere, 
your Company's net asset value total return (in Sterling terms) was 33.0%, 
compared to a rise of 46.2% in the benchmark SET Index. Your Company's share 
price rose by 27.3% (including dividends reinvested), partially due to a 
widening, from 14.1% to 18.1%, in the discount to net asset value. 
 
 
The strong rally during the review period was the result of a collective 
realisation that the world would avoid a widespread slump. In such an 
environment it was weaker companies that had previously fallen the most that 
outperformed. Your Manager, with its focus on stronger, well-managed companies, 
accepts that there will occasionally be periods when underperformance of the 
benchmark should be expected. The review period has been a particularly extreme 
case of this, reflecting how pessimistic investors were earlier this year. 
 
 
On 6 May 2009, the Board declared an increased annual dividend of 3.5p per 
Ordinary share in respect of the year ended 28 February 2009 which was paid to 
shareholders who were on the register on 2 July 2009. The increase of 27.3% on 
the previous year (2008 - 2.75p) reflected the continuing strong earnings flow 
from the investment portfolio. Notwithstanding the recent downturn your Company 
has seen significant revenue returns and as at the period end held over GBP2.4 
million in revenue reserves. 
 
 
Overview 
Thai equities underwent a strong rally during the period under review. The SET 
Index rebounded by more than 40%, in line with the region generally, as an 
appetite for risk returned amid growing optimism that the worst of the global 
economic downturn had passed. We have now entered the stage where equities will 
continue to rally because of economies' weakness rather than in spite of it and 
monetary conditions will remain loose as a result. Paradoxically, the major risk 
for markets now is that economies overheat, though we do not see this as a 
serious risk in the near term. 
 
 
According to stock exchange data, overseas investors bought a net 32.2 billion 
baht of Thai stocks in the eight-month period between January and August 2009, 
compared with net sales of 97.5 billion baht for the same period in 2008. The 
volte-face in investor sentiment has been nothing short of dramatic. Initially, 
worsening global economic indicators prompted fears of a widespread slump. 
However, an increasing belief that unprecedented stimulatory measures worldwide, 
both monetary and fiscal, would obviate a prolonged downturn allayed investors' 
fears. 
 
 
Thailand was among the export-oriented economies in the region which saw a 
significant improvement in second-quarter GDP from the previous quarter, as 
export declines eased. Such positive, or rather less negative, economic signals 
have led to a recent improvement in consumer confidence. The baht weakened by 
about 7% against sterling during the period; this was due in part to the central 
bank's loosening of monetary policy which saw interest rates hit a five-year low 
of 1.25% and also to the strength of sterling following its decline last year. 
 
 
Meanwhile, expansionary fiscal policy has been employed to counter the decline 
in private demand. The centrepiece of Prime Minister Abhisit's administration is 
a three-year stimulus program worth 1.06 trillion baht, targeted at healthcare, 
education and infrastructure projects and part financed by 700 billion baht in 
new borrowing. However, the realisation of those plans is contingent on the 
staying power of the administration, which is vulnerable to a highly changeable 
political climate. 
Not surprisingly, the domestic political scene remained as fractious as ever. 
Initially, events mirrored those of last year, as supporters of Thaksin 
Shinawatra fought against the legitimacy of Prime Minister Abhisit's election by 
blockading his office and forcing the cancellation of a regional summit, which 
led the government to declare a state of emergency. Later, their petition to 
seek a royal pardon for Thaksin underscored the acute division in the political 
landscape. 
 
 
Portfolio 
The underperformance of the portfolio for the period to 31 August 2009 was due 
largely to the fact that weaker companies led the rally. Thus a number of the 
portfolio's core holdings, such as Thai Reinsurance, Siam Makro, Amarin 
Printing, Bangkok Insurance, Goodyear, Big C Supercenter and BEC World, 
significantly lagged behind the index. All of these are steady, defensive 
companies that tend to get left behind in rallies such as the one just 
witnessed. However, the Company's borrowing, which equated to 6.1% of net asset 
value as at 31 August 2009, enhanced performance during the period. 
 
 
Notwithstanding the overall underperformance, your Manager is comfortable with 
the existing holdings. The Manager has avoided stocks that are deemed to be 
either highly cyclical or to have corporate governance issues. Instead, your 
Manager prefers companies with sound, steady businesses run by proven management 
teams. 
 
 
Domestically-oriented stocks generally underperformed during the review period. 
Holdings in retailers Siam Makro and Big C Supercenter lagged in the market 
rally, though it should be noted that both companies have delivered robust 
performances in the past several years. In the media and publishing sector, 
Amarin Printing was hurt by lower advertising revenue, while BEC World's share 
price was depressed by MCOT's renegotiation to raise its concession fee for TV 
Channel 3. Nevertheless, both holdings remain well funded and have substantial 
cash piles. Car tyre-maker Goodyear was hit by lower sales of its OEM and REM 
tyres, while its margins were affected by a fire at one of its factories. 
 
 
On an encouraging note, Hana Microelectronics was the top performer in the 
portfolio. Its shares rebounded in the second quarter, thanks to a strong rise 
in orders. Nevertheless, management remains cautious in its earnings outlook 
because of uncertain economic prospects. Holdings in the construction materials 
sector, such as Siam Cement and Siam City Cement, also held up well, supported 
by government stimulus. In financials, lender Tisco Financial benefited from its 
broadening business, while Kasikornbank, one of the largest local private banks, 
gained on prospects of an economic recovery. Elsewhere, hopes of a pick up in 
demand lifted vehicle lamp manufacturer Thai Stanley Electric's share price. 
 
 
Portfolio transaction activity was minimal during the review period which is to 
be expected given your Manager's long investment time horizon. 
 
 
Subscription shares 
Further to the Company's announcement on 21 September 2009, the Board will 
publish shortly its proposals in relation to a bonus issue of Subscription 
Shares to existing Shareholders. Included in the Circular, which will be issued 
to Shareholders, will be a separate Letter from the Chairman which sets out the 
details of the Board's proposals. 
 
 
Outlook 
Although earnings have exceeded forecasts it should be noted that expectations 
were low to begin with. Stimulus measures have supported markets and the up-tick 
in foreign capital inflows is encouraging, but much still hinges on the 
government's ability to preserve fragile political stability and investor 
confidence. In spite of the current market optimism, some short-term caution is 
warranted given the rapid rise in global stock markets. 
 
 
However, Thailand's government finances remain sound: year-to-date reserves 
stand at US$132 billion, which should be a significant buttress to domestic 
growth. While the Thai economy appears to be showing signs of improvement, 
sustainability remains precarious, dependent on a broader recovery in global 
trade. Thus in the medium-term, with the implementation of government spending 
plans, the larger contribution to growth may come from domestic demand. 
Thailand's economy and financial system do not have the same structural problems 
relating to excessive leverage as in the West but very loose monetary policy, 
combined with nagging deflationary pressures, foreshadow a degree of uncertainty 
for the nation's long-term economic outlook. 
 
Since the period end growing anxiety over King Bhumibol's health has been 
reflected in the Thai stock market. At the age of 82, it is unsurprising that 
the King's health, and the issues relating to a successor, remain an overhanging 
concern for Thai investors. 
 
 
Amid such challenging conditions, it will be the stronger, better-managed 
companies, favoured by your Manager's investment style, which should outperform 
in the long run. These tend to be found in domestic sectors, rather than in 
highly competitive external sectors and comprise the bulk of your Company's 
holdings. With your portfolio currently trading on a multiple of 15.1 times 2009 
earnings, valuations are attractive, particularly in relation to other regional 
markets. Your Company continues to post robust long-term performance numbers 
with an excellent dividend track record and is one of the few closed-end funds 
dedicated to giving investors access to the Thai market. 
 
 
Principal risks and uncertainties 
Investment in Thai equities involves a greater degree of risk than that usually 
associated with investment in major securities markets. The securities which the 
Company owns may be considered speculative because of the higher degree of risk. 
 
 
The principal risks and uncertainties are detailed below. Other risks include: 
 
(i) Performance risk: The performance of the portfolio relative to the Benchmark 
is monitored closely by the 
 

Board;

(ii) Discount volatility: The Company's shares may trade at a discount to its 
underlying net asset value. The 
 

Board monitors any requirement for

share buybacks on an ongoing basis; and 
(iii)Regulatory risk: The Company operates in a complex regulatory environment 
and faces a number of 
 

regulatory risks. Breaches of regulations,

such as Section 842 of the Income and Corporation Taxes Act 
 

1988,

the UKLA Listing Rules or Companies Act legislation, could lead to a number of 
detrimental 
 

outcomes and reputational damage. The Audit and

Management Engagement Committee monitors 
 

compliance with

regulations by reviewing internal control reports from the Manager. 
 
 
Market price of Ordinary Shares 
The market price and the realisable value of the Ordinary shares are primarily 
affected by the underlying net asset value attributable to each Ordinary share. 
Other factors which may influence the market price include market conditions, 
general investor sentiment and the interaction of supply and demand for the 
Ordinary shares. 
 
 
As such, the market value and the realisable value of the Ordinary shares may 
fluctuate and vary considerably from the underlying net asset value of the 
Ordinary shares and investors may not be able to realise the value of their 
original investment. 
 Dividends 
The Company will only pay a dividend on the Ordinary shares to the extent that 
it has profits available for that purpose. The ability of the Company to pay a 
dividend in respect of the Ordinary shares and any future dividend growth will 
depend primarily on the level of income received from its investments. 
Accordingly, the amount of the dividends paid to Shareholders may fluctuate. 
 
 
Borrowings 
Whilst the use of borrowings should enhance the total return on the Ordinary 
shares where the return on the Company's underlying assets is rising and exceeds 
the cost of borrowing, it will have the opposite effect where the underlying 
return is less than the cost of borrowing, further reducing the total return on 
the Ordinary shares. The Company currently utilises gearing in the form of bank 
borrowings. 
 
 
Market Risks 
The Company's investments are subject to normal market fluctuations and the 
risks inherent in the purchase, holding or selling of securities and there can 
be no assurance that appreciation in the value of those investments will occur. 
 
 
Political Risk 
In common with stockmarkets in other emerging and less developed countries, 
investments in Thailand are subject to a greater degree of political risk than 
that with which investors might be familiar. 
 
 
Foreign Exchange Risks 
The Company accounts for its activities and reports its results in Pounds 
Sterling ("Sterling") while investments are made and realised in Thai Baht; bank 
borrowings are presently denominated in Sterling. 
 
 
It is not the Company's present intention to engage in currency hedging, 
although it reserves the right to do so. Accordingly, the movement of exchange 
rates between Sterling, Thai Baht and other currencies in which the Company's 
borrowings may be drawn down from time to time may have a material effect, 
unfavourable as well as favourable, on the total return otherwise experienced on 
the investments made by the Company. 
 
 
Taxation and Exchange Controls 
Any change in the Company's tax status or in taxation legislation (including the 
tax treatment of dividends or other investment income received by the Company) 
could affect the value of the investments held by the Company and the Company's 
ability to provide returns to Shareholders or alter the post-tax returns to 
Shareholders. 
 
 
The Company may purchase investments that may be subject to exchange controls or 
withholding taxes in the Thai jurisdiction. In the event that exchange controls 
or withholding taxes are imposed with respect to any of the Company's 
investments, the effect will generally be to reduce both the income received by 
the Company from its investments and/or the capital value of the affected 
investments. 
 
 
Related Parties 
Mr Hugh Young, a director of the Company, is also a director of the investment 
manager, Aberdeen Asset Management Asia Limited. 
 
 
Mr Peter Bristowe, a director of the Company, is also a director and shareholder 
of Edison Investment Management Research Limited which supplies investor 
relations and equity research services to the Company to the value of GBP10,000 
per annum. 
 
 
Statement of Directors' Responsibilities 
The Directors are responsible for preparing the Half-Yearly Financial Report in 
accordance with applicable law and regulations. The Directors confirm that to 
the best of their knowledge: 
 
 
- the Interim Financial Statements have been prepared in accordance with the 
Accounting Standards Board's 
 

statement "Half-Yearly Financial

Reports"; and 
- the Interim Board Report includes a fair review of the information required by 
4.2.7R and 4.2.8R of the 
 

FSA's Disclosure and Transparency Rules.

 
 
For Aberdeen New Thai Investment Trust PLC 
 
 
Keith Falconer 
Chairman 
 
 
30 October 2009 
 
 
 
 
+--------------------------------------------------+----------------+--------------+ 
| Performance                                      |     Six months |   Year ended | 
|                                                  |          ended |  28 February | 
|                                                  | 31 August 2009 |         2009 | 
+--------------------------------------------------+----------------+--------------+ 
| Total Return                                     |                |              | 
+--------------------------------------------------+----------------+--------------+ 
| (Capital return plus dividends reinvested)       |                |              | 
+--------------------------------------------------+----------------+--------------+ 
| Share price                                      |         +27.3% |       -34.8% | 
+--------------------------------------------------+----------------+--------------+ 
| Net asset value                                  |         +33.0% |       -27.8% | 
+--------------------------------------------------+----------------+--------------+ 
| Stock Exchange of Thailand ("SET") Index         |         +46.2% |       -33.5% | 
| (Sterling adjusted)                              |                |              | 
+--------------------------------------------------+----------------+--------------+ 
|                                                  |                |              | 
+--------------------------------------------------+----------------+--------------+ 
| Capital Return                                   |                |              | 
+--------------------------------------------------+----------------+--------------+ 
| Share price                                      |         +24.2% |       -35.8% | 
+--------------------------------------------------+----------------+--------------+ 
| Net asset value                                  |         +30.2% |       -28.8% | 
+--------------------------------------------------+----------------+--------------+ 
| Stock Exchange of Thailand ("SET") Index         |         +40.9% |       -36.7% | 
| (Sterling adjusted)                              |                |              | 
+--------------------------------------------------+----------------+--------------+ 
| Source: AAM PLC/Fundamental Data                 |                |              | 
+--------------------------------------------------+----------------+--------------+ 
 
 
 
 
+---------------------------------------------+------------+------------+------------+ 
| Financial Highlights                        |  31 August |         28 |   % change | 
|                                             |       2009 |   February |            | 
|                                             |            |       2009 |            | 
+---------------------------------------------+------------+------------+------------+ 
| Total assets (GBP'000)                      |     34,906 |     27,583 |      +26.5 | 
+---------------------------------------------+------------+------------+------------+ 
| Equity shareholders' funds (net assets)     |     32,906 |     25,273 |      +30.2 | 
| (GBP'000)                                   |            |            |            | 
+---------------------------------------------+------------+------------+------------+ 
| Share price (mid-market)                    |    149.00p |    120.00p |      +24.2 | 
+---------------------------------------------+------------+------------+------------+ 
| Net asset value per share (including        |    181.85p |    139.67p |      +30.2 | 
| undistributed net revenue for period)       |            |            |            | 
+---------------------------------------------+------------+------------+------------+ 
| Discount to net asset value                 |      18.1% |      14.1% |            | 
+---------------------------------------------+------------+------------+------------+ 
  INCOME STATEMENT 
 
 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |          Six months ended            | 
+------------------------------------+-------+--------------------------------------+ 
|                                    |       |            31 August 2009            | 
+------------------------------------+-------+--------------------------------------+ 
|                                    |       |             (unaudited)              | 
+------------------------------------+-------+--------------------------------------+ 
|                                    |       |    Revenue |    Capital |      Total | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    | Notes |    GBP'000 |    GBP'000 |    GBP'000 | 
+------------------------------------+-------+------------+------------+------------+ 
| Gains/(losses) on investments      |       |          - |      7,399 |      7,399 | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
| Income                             |     2 |      1,409 |          - |      1,409 | 
+------------------------------------+-------+------------+------------+------------+ 
| Investment management fee          |       |      (150) |          - |      (150) | 
+------------------------------------+-------+------------+------------+------------+ 
| Administrative expenses            |       |      (126) |          - |      (126) | 
+------------------------------------+-------+------------+------------+------------+ 
| Exchange gains/(losses)            |       |          - |          3 |          3 | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |  _________ |  _________ |  _________ | 
+------------------------------------+-------+------------+------------+------------+ 
| Net return before finance costs    |       |      1,133 |      7,402 |      8,535 | 
| and taxation                       |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
| Interest payable and similar       |       |       (21) |          - |       (21) | 
| charges                            |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |  _________ |  _________ |  _________ | 
+------------------------------------+-------+------------+------------+------------+ 
| Net return on ordinary activities  |       |      1,112 |      7,402 |      8,514 | 
| before taxation                    |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
| Taxation on ordinary activities    |     3 |      (248) |          - |      (248) | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |  _________ |  _________ |  _________ | 
+------------------------------------+-------+------------+------------+------------+ 
| Return on ordinary activities      |       |        864 |      7,402 |      8,266 | 
| after taxation                     |       |            |            |            | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |  _________ |  _________ |  _________ | 
+------------------------------------+-------+------------+------------+------------+ 
| Return per Ordinary share (pence)  |     5 |       4.77 |      40.91 |      45.68 | 
+------------------------------------+-------+------------+------------+------------+ 
|                                    |       |  _________ |  _________ |  _________ | 
+------------------------------------+-------+------------+------------+------------+ 
 
 
+------------------------------------------------------------------------------+ 
| The total column of this statement represents the profit and loss account of | 
| the Company.                                                                 | 
+------------------------------------------------------------------------------+ 
| No Statement of Total Recognised Gains and Losses has been prepared as all   | 
| gains and losses are recognised in the Income Statement.                     | 
+------------------------------------------------------------------------------+ 
| All revenue and capital items are derived from continuing operations.        | 
+------------------------------------------------------------------------------+ 
  INCOME STATEMENT 
 
 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |          Six months ended             | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |            31 August 2008             | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |              (unaudited)              | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |    Revenue |    Capital |       Total | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     | Notes |    GBP'000 |    GBP'000 |     GBP'000 | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Gains/(losses) on investments       |       |          - |    (4,422) |     (4,422) | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Income                              |     2 |      1,504 |          - |       1,504 | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Investment management fee           |       |      (169) |          - |       (169) | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Administrative expenses             |       |      (135) |          - |       (135) | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Exchange gains/(losses)             |       |          - |      (217) |       (217) | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |  _________ |  _________ |   _________ | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Net return before finance costs and |       |      1,200 |    (4,639) |     (3,439) | 
| taxation                            |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Interest payable and similar        |       |       (42) |          - |        (42) | 
| charges                             |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |  _________ |  _________ |   _________ | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Net return on ordinary activities   |       |      1,158 |    (4,639) |     (3,481) | 
| before taxation                     |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Taxation on ordinary activities     |     3 |      (326) |          - |       (326) | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |  _________ |  _________ |   _________ | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Return on ordinary activities after |       |        832 |    (4,639) |     (3,807) | 
| taxation                            |       |            |            |             | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |  _________ |  _________ |   _________ | 
+-------------------------------------+-------+------------+------------+-------------+ 
| Return per Ordinary share (pence)   |     5 |       4.60 |    (25.64) |     (21.04) | 
+-------------------------------------+-------+------------+------------+-------------+ 
|                                     |       |  _________ |  _________ |   _________ | 
+-------------------------------------+-------+------------+------------+-------------+ 
 
 
+--------------------------------------------------------------------------------+ 
| The total column of this statement represents the profit and loss account of   | 
| the Company.                                                                   | 
+--------------------------------------------------------------------------------+ 
| No Statement of Total Recognised Gains and Losses has been prepared as all     | 
| gains and losses are recognised in the Income Statement.                       | 
+--------------------------------------------------------------------------------+ 
| All revenue and capital items are derived from continuing operations.          | 
+--------------------------------------------------------------------------------+ 
  INCOME STATEMENT 
 
 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |              Year ended               | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |           28 February 2009            | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |              (audited)                | 
+-------------------------------------+-------+---------------------------------------+ 
|                                     |       |    Revenue |     Capital |      Total | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     | Notes |    GBP'000 |     GBP'000 |    GBP'000 | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Gains/(losses) on investments       |       |          - |    (10,205) |   (10,205) | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Income                              |     2 |      1,845 |           - |      1,845 | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Investment management fee           |       |      (297) |           - |      (297) | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Administrative expenses             |       |      (245) |           - |      (245) | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Exchange gains/(losses)             |       |          - |       (404) |      (404) | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |  _________ |   _________ |  _________ | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Net return before finance costs and |       |      1,303 |    (10,609) |    (9,306) | 
| taxation                            |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Interest payable and similar        |       |       (86) |           - |       (86) | 
| charges                             |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |  _________ |   _________ |  _________ | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Net return on ordinary activities   |       |      1,217 |    (10,609) |    (9,392) | 
| before taxation                     |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Taxation on ordinary activities     |     3 |      (338) |           - |      (338) | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |  _________ |   _________ |  _________ | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Return on ordinary activities after |       |        879 |    (10,609) |    (9,730) | 
| taxation                            |       |            |             |            | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |  _________ |   _________ |  _________ | 
+-------------------------------------+-------+------------+-------------+------------+ 
| Return per Ordinary share (pence)   |     5 |       4.86 |     (58.63) |    (53.77) | 
+-------------------------------------+-------+------------+-------------+------------+ 
|                                     |       |  _________ |   _________ |  _________ | 
+-------------------------------------+-------+------------+-------------+------------+ 
 
 
+--------------------------------------------------------------------------------+ 
| The total column of this statement represents the profit and loss account of   | 
| the Company.                                                                   | 
+--------------------------------------------------------------------------------+ 
| No Statement of Total Recognised Gains and Losses has been prepared as all     | 
| gains and losses are recognised in the Income Statement.                       | 
+--------------------------------------------------------------------------------+ 
| All revenue and capital items are derived from continuing operations.          | 
+--------------------------------------------------------------------------------+ 
  BALANCE SHEET 
 
 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |       As at |       As at |      As at | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   31 August |   31 August |         28 | 
|                                       |       |        2009 |        2008 |   February | 
|                                       |       |             |             |       2009 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       | (unaudited) | (unaudited) |  (audited) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       | Notes |     GBP'000 |     GBP'000 |    GBP'000 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Non-current assets                    |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Investments at fair value through     |       |      34,645 |      33,596 |     27,657 | 
| profit or loss                        |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Current assets                        |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Debtors                               |       |         268 |         263 |         73 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Cash at bank and in hand              |       |         396 |         274 |        220 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |         664 |         537 |        293 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Creditors: amounts falling due within |       |             |             |            | 
| one year                              |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Bank loans                            |       |     (2,000) |     (2,467) |    (2,300) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Other creditors                       |       |       (403) |       (432) |      (367) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |     (2,403) |     (2,899) |    (2,667) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Net current liabilities               |       |     (1,739) |     (2,362) |    (2,374) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Total assets less current liabilities |       |      32,906 |      31,234 |     25,283 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Provision for liabilities and charges |       |          -  |        (39) |       (10) | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Net assets                            |       |      32,906 |      31,195 |     25,273 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Capital and reserves                  |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Called-up share capital               |       |       4,524 |       4,524 |      4,524 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Share premium account                 |       |      13,058 |      13,058 |     13,058 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Capital redemption reserve            |       |         106 |         106 |        106 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Capital reserve                       |       |      12,759 |      11,327 |      5,357 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Revenue reserve                       |       |       2,459 |       2,180 |      2,228 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Equity Shareholders' funds            |       |      32,906 |      31,195 |     25,273 | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
| Net asset value per Ordinary share    |     8 |      181.85 |      172.39 |     139.67 | 
| (pence)                               |       |             |             |            | 
+---------------------------------------+-------+-------------+-------------+------------+ 
|                                       |       |   _________ |   _________ |  _________ | 
+---------------------------------------+-------+-------------+-------------+------------+ 
  RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS 
 
 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Six months ended 31 August   |       |         |         |            |           |         |          | 
| 2009 (unaudited)             |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |         |   Share |    Capital |           |         |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |   Share | premium | redemption |   Capital | Revenue |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | capital | account |    reserve |   reserve | reserve |    Total | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |Notes  | GBP'000 | GBP'000 |    GBP'000 |   GBP'000 | GBP'000 |  GBP'000 | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 28 February 2009  |       |  4,524  | 13,058  |       106  |    5,357  |  2,228  |  25,273  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Return on ordinary           |       |       - |       - |          - |    7,402  |    864  |   8,266  | 
| activities after taxation    |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Dividend paid                |  4    |       - |       - |          - |         - |   (633) |    (633) | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 31 August 2009    |       |  4,524  | 13,058  |       106  |   12,759  |  2,459  |  32,906  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Six months ended 31 August   |       |         |         |            |           |         |          | 
| 2008 (unaudited)             |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |         |   Share |    Capital |           |         |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |   Share | premium | redemption |   Capital | Revenue |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | capital | account |    reserve |   reserve | reserve |    Total | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | GBP'000 | GBP'000 |    GBP'000 |   GBP'000 | GBP'000 |  GBP'000 | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 28 February 2008  |       |  4,524  | 13,058  |       106  |   15,966  |  1,846  |  35,500  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Return on ordinary           |       |       - |       - |          - |   (4,639) |    832  |  (3,807) | 
| activities after taxation    |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Dividend paid                |  4    |       - |       - |          - |         - |   (498) |    (498) | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 31 August 2008    |       |  4,524  | 13,058  |       106  |   11,327  |  2,180  |  31,195  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Year ended 28 February 2009  |       |         |         |            |           |         |          | 
| (audited)                    |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |         |   Share |    Capital |           |         |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       |   Share | premium | redemption |   Capital | Revenue |          | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | capital | account |    reserve |   reserve | reserve |    Total | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | GBP'000 | GBP'000 |    GBP'000 |   GBP'000 | GBP'000 |  GBP'000 | 
|                              |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 28 February 2008  |       |  4,524  | 13,058  |       106  |   15,966  |  1,846  |  35,500  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Return on ordinary           |       |       - |       - |          - |  (10,609) |    879  |  (9,730) | 
| activities after taxation    |       |         |         |            |           |         |          | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Dividend paid                |  4    |       - |       - |          - |         - |   (497) |    (497) | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
| Balance at 28 February 2009  |       |  4,524  | 13,058  |       106  |    5,357  |  2,228  |  25,273  | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
|                              |       | _______ | _______ |    _______ |   _______ | _______ |  _______ | 
+------------------------------+-------+---------+---------+------------+-----------+---------+----------+ 
  CASHFLOW STATEMENT 
 
 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |   Six months |   Six months |       Year  | 
|                                          |        ended |        ended |      ended  | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |   31 August  |   31 August  | 28 February | 
|                                          |         2009 |         2008 |        2009 | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |  (unaudited) |  (unaudited) |   (audited) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |      GBP'000 |      GBP'000 |     GBP'000 | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net return on ordinary activities before |        8,535 |      (3,439) |     (9,306) | 
| finance costs and taxation               |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Adjustments for:                         |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| (Gains)/losses on investments            |      (7,399) |        4,422 |      10,205 | 
+------------------------------------------+--------------+--------------+-------------+ 
| Exchange (gains)/losses                  |          (3) |          217 |         404 | 
+------------------------------------------+--------------+--------------+-------------+ 
| Increase in accrued income               |        (218) |        (263) |        (55) | 
+------------------------------------------+--------------+--------------+-------------+ 
| Decrease in other debtors                |           -  |           -  |           3 | 
+------------------------------------------+--------------+--------------+-------------+ 
| Decrease in other creditors              |         (24) |         (42) |        (39) | 
+------------------------------------------+--------------+--------------+-------------+ 
| Overseas withholding tax suffered        |         (97) |         (99) |          -  | 
+------------------------------------------+--------------+--------------+-------------+ 
| Stock dividends included in investment   |           -  |          (4) |          -  | 
| income                                   |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net cash inflow from operating           |          794 |          792 |       1,212 | 
| activities                               |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net cash outflow from servicing of       |         (20) |         (32) |        (89) | 
| finance                                  |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net tax paid                             |           -  |           -  |       (295) | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net cash inflow/(outflow) from financial |          332 |        (464) |       (233) | 
| investment                               |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Equity dividend paid                     |        (633) |        (498) |       (497) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Net cash inflow/(outflow) before         |          473 |        (202) |          98 | 
| financing                                |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Financing                                |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Repayment of loans                       |        (300) |           -  |       (455) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Increase/(decrease) in cash              |          173 |        (202) |       (357) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Reconciliation of net cash flow to       |              |              |             | 
| movements in net debt                    |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Increase/(decrease) in cash as above     |          173 |        (202) |       (357) | 
+------------------------------------------+--------------+--------------+-------------+ 
| Cash outflow from repayment of loans     |          300 |           -  |         455 | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Change in net debt resulting from cash   |          473 |        (202) |          98 | 
| flows                                    |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Exchange movements                       |            3 |        (217) |       (404) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Movement in net debt in the period       |          476 |        (419) |       (306) | 
+------------------------------------------+--------------+--------------+-------------+ 
| Opening net debt                         |      (2,080) |      (1,774) |     (1,774) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Closing net debt                         |      (1,604) |      (2,193) |     (2,080) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
| Represented by:                          |              |              |             | 
+------------------------------------------+--------------+--------------+-------------+ 
| Cash at bank and in hand                 |          396 |          274 |         220 | 
+------------------------------------------+--------------+--------------+-------------+ 
| Debt falling due within one year         |      (2,000) |      (2,467) |     (2,300) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |      (1,604) |      (2,193) |     (2,080) | 
+------------------------------------------+--------------+--------------+-------------+ 
|                                          |    _________ |    _________ |   _________ | 
+------------------------------------------+--------------+--------------+-------------+ 
  NOTES: 
 
 
+-----+-----+-------------------------------------------------------------------------+ 
| 1.  | Accounting policies                                                           | 
+-----+-------------------------------------------------------------------------------+ 
|     | (a) | Basis of accounting                                                     | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     | The accounts have been prepared in accordance with applicable UK        | 
|     |     | Accounting Standards, with pronouncements on half yearly reporting      | 
|     |     | issued by the Accounting Standards Board and with the Statement of      | 
|     |     | Recommended Practice 'Financial Statements of Investment Trust          | 
|     |     | Companies and Venture Capital Trusts' issued in January 2009. The       | 
|     |     | adoption of the January 2009 SORP has no effect on the financial        | 
|     |     | statements of the Company, other than the requirement separately to     | 
|     |     | disclose capital reserves that relate to the revaluation of investments | 
|     |     | held at the reporting date. These are disclosed in note 7. This new     | 
|     |     | requirement replaces the previous requirement to disclose the value of  | 
|     |     | the capital reserve that was unrealised. They have also been prepared   | 
|     |     | on the assumption that approval as an investment trust will continue to | 
|     |     | be granted. The financial statements have been prepared on a going      | 
|     |     | concern basis.                                                          | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     |                                                                         | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     | The financial statements and the net asset value per share figures have | 
|     |     | been prepared in accordance with UK Generally Accepted Accounting       | 
|     |     | Practice (UK GAAP).                                                     | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     |                                                                         | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     | The half yearly financial statements have been prepared using the same  | 
|     |     | accounting policies applied for the year ended 28 February 2009.        | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     |                                                                         | 
+-----+-----+-------------------------------------------------------------------------+ 
|     | (b) | Dividends payable                                                       | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     | Final dividends are recognised in the period in which they are paid.    | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     |                                                                         | 
+-----+-----+-------------------------------------------------------------------------+ 
|     | (c) | Investments                                                             | 
+-----+-----+-------------------------------------------------------------------------+ 
|     |     | In accordance with FRS29, all investments have been categorised as      | 
|     |     | Level 1 - quoted in an active market.                                   | 
+-----+-----+-------------------------------------------------------------------------+ 
 
 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         | Six months ended | Six months ended |      Year ended  | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |   31 August 2009 |   31 August 2008 | 28 February 2009 | 
+-----+-------------------------+------------------+------------------+------------------+ 
| 2.  | Income                  |          GBP'000 |          GBP'000 |          GBP'000 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Income from investments |                  |                  |                  | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Overseas dividends      |            1,408 |            1,479 |            1,815 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Stock dividends         |                - |                4 |                4 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |        _________ |        _________ |        _________ | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |            1,408 |            1,483 |            1,819 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |        _________ |        _________ |        _________ | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Other income            |                  |                  |                  | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Deposit interest        |                1 |                7 |               10 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Stock lending           |                - |               14 |               16 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |        _________ |        _________ |        _________ | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |                1 |               21 |               26 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |        _________ |        _________ |        _________ | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     | Total income            |            1,409 |            1,504 |            1,845 | 
+-----+-------------------------+------------------+------------------+------------------+ 
|     |                         |        _________ |        _________ |        _________ | 
+-----+-------------------------+------------------+------------------+------------------+ 
 
 
3.Taxation 
Following changes in the Finance Bill 2009 dividends and other distributions 
from foreign companies received on or after 1 July 2009 have largely been exempt 
from UK corporation tax. 
 
 
This change in legislation will enhance the revenue available for distribution 
to Shareholders by cutting the UK Corporation tax charge currently suffered by 
the Company. However, the Company continues to be subject to irrecoverable Thai 
withholding tax of 10% on income received form underlying portfolio holdings. 
 
 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |  Six months ended | Six months ended |    Year ended  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |    31 August 2009 |   31 August 2008 |    28 February | 
|     |                         |                   |                  |           2009 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
| 4.  | Dividends               |           GBP'000 |          GBP'000 |        GBP'000 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | 2008 final dividend -   |                 - |              498 |            498 | 
|     | 2.75p                   |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | 2009 final dividend -   |               633 |                - |              - | 
|     | 3.50p                   |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Unclaimed dividends     |                 - |                - |            (1) | 
|     | refunded                |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |               633 |              498 |            497 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
 
 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |  Six months ended | Six months ended |    Year ended  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |    31 August 2009 |   31 August 2008 |    28 February | 
|     |                         |                   |                  |           2009 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
| 5.  | Return per Ordinary     |                 p |                p |              p | 
|     | share                   |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Revenue return          |              4.77 |            4.60  |          4.86  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Capital return          |             40.91 |          (25.64) |        (58.63) | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Total return            |             45.68 |          (21.04) |        (53.77) | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | The return per share is based on the following figures:                         | 
+-----+---------------------------------------------------------------------------------+ 
|     |                         |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |  Six months ended | Six months ended |    Year ended  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |    31 August 2009 |   31 August 2008 |    28 February | 
|     |                         |                   |                  |           2009 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |           GBP'000 |          GBP'000 |        GBP'000 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Revenue return          |               864 |             832  |           879  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Capital return          |             7,402 |          (4,639) |       (10,609) | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Total return            |             8,266 |          (3,807) |        (9,730) | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Weighted average number |       18,095,420  |      18,095,420  |    18,095,420  | 
|     | of Ordinary shares in   |                   |                  |                | 
|     | issue                   |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |      ____________ |     ____________ |   ____________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
 
 
+-----+-------------------------+-------------------+------------------+----------------+ 
| 6.  | Transaction costs                                                               | 
+-----+---------------------------------------------------------------------------------+ 
|     | During the six months ended 31 August 2009 expenses were incurred in acquiring  | 
|     | or disposing of investments classified as fair value through profit or loss.    | 
|     | These have been expensed through capital and are included within gains on       | 
|     | investments in the Income Statement. The total costs were as follows:           | 
+-----+---------------------------------------------------------------------------------+ 
|     |                         |                   |                  |                | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |  Six months ended | Six months ended |    Year ended  | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |    31 August 2009 |   31 August 2008 |    28 February | 
|     |                         |                   |                  |           2009 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |           GBP'000 |          GBP'000 |        GBP'000 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Purchases               |                 1 |                7 |              9 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     | Sales                   |                 1 |                3 |              4 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |                 2 |               10 |             13 | 
+-----+-------------------------+-------------------+------------------+----------------+ 
|     |                         |         _________ |        _________ |      _________ | 
+-----+-------------------------+-------------------+------------------+----------------+ 
 
 
+-----+------------------------------------------------------------------------------+ 
| 7.  | Capital reserve                                                              | 
+-----+------------------------------------------------------------------------------+ 
|     | The capital reserve reflected in the Balance Sheet at 31 August 2009         | 
|     | includes gains of GBP9,457,000 (31 August 2008 - gains of GBP8,855,000; 28   | 
|     | February 2009 - gains of GBP2,703,000) which relate to the revaluation of    | 
|     | investments held at the reporting date.                                      | 
+-----+------------------------------------------------------------------------------+ 
 
 
+-----+------------------------------------+--------------+--------------+--------------+ 
|     |                                    |        As at |        As at |        As at | 
+-----+------------------------------------+--------------+--------------+--------------+ 
| 8.  | Net asset value per Ordinary share |    31 August |   31 August  | 28 February  | 
|     |                                    |         2009 |         2008 |         2009 | 
+-----+------------------------------------+--------------+--------------+--------------+ 
|     | Attributable net assets (GBP'000)  |       32,906 |       31,195 |       25,273 | 
+-----+------------------------------------+--------------+--------------+--------------+ 
|     | Number of Ordinary shares in issue |   18,095,420 |   18,095,420 |   18,095,420 | 
+-----+------------------------------------+--------------+--------------+--------------+ 
|     | Net asset value per Ordinary share |       181.85 |       172.39 |       139.67 | 
|     | (p){A}                             |              |              |              | 
+-----+------------------------------------+--------------+--------------+--------------+ 
|     |                                                                                 | 
+-----+---------------------------------------------------------------------------------+ 
|     | {A} Calculated including undistributed net revenue for period                   | 
+-----+------------------------------------+--------------+--------------+--------------+ 
 
 
+-----+------------------------------------------------------------------------------+ 
| 9.  | In accordance with stated policy no interim dividend has been declared for   | 
|     | the period (2008 - nil).                                                     | 
+-----+------------------------------------------------------------------------------+ 
|     |                                                                              | 
+-----+------------------------------------------------------------------------------+ 
 
 
+-----+------------------------------------------------------------------------------+ 
| 10. | The financial information contained in this Half-Yearly Financial Report     | 
|     | does not constitute statutory accounts as defined in Sections 434-436 of the | 
|     | Companies Act 2006. The financial information for the six months ended 31    | 
|     | August 2009 and 31 August 2008 has not been reviewed or audited by the       | 
|     | Company's independent auditors further to the Auditing Practices Board       | 
|     | guidance on Review of Interim Financial Information.                         | 
+-----+------------------------------------------------------------------------------+ 
|     |                                                                              | 
+-----+------------------------------------------------------------------------------+ 
|     | The information for the year ended 28 February 2009 has been extracted from  | 
|     | the latest published audited financial statements which have been filed with | 
|     | the Registrar of Companies. The report of the auditors on those accounts     | 
|     | contained no qualification or statement under Section 237 (2) or (3) of the  | 
|     | Companies Act 1985.                                                          | 
+-----+------------------------------------------------------------------------------+ 
 
 
+-----+------------------------------------------------------------------------------+ 
| 11. | This Half-Yearly Financial Report was approved by the Board on 30 October    | 
|     | 2009.                                                                        | 
+-----+------------------------------------------------------------------------------+ 
 
 
+-----------------------------------------------------------------------------------+ 
| The Interim Report will shortly be available from the Company's website           | 
| website (www.newthai-trust.co.uk) and will be posted to shareholders in November  | 
| 2009.                                                                             | 
+-----------------------------------------------------------------------------------+ 
 
 
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 
and may be affected by exchange rate movements. Investors may not get back the 
amount they originally invested. 
 
 
For Aberdeen New Thai Investment Trust plc 
Aberdeen Asset Management PLC, Secretary 
 
 
END 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
 IR WUGMPUUPBGAU 
 
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