THE DONATELLO FUND

The Donatello Fund is a closed multi-compartment real estate investment fund reserved for qualified investors. Subscriptions to the four compartments may be executed either by cash or through a contribution (property assets).

The Compartments differ in maturity and investment policy:
1) Michelangelo Two (formerly Narciso): 10 years, mainly office;
2) Giacinto: 25 years, mainly commercial use, also for development;
3) Tulipano: 10 years, varied designated uses, (at most 50% residential), also for development;
4) Margherita: 10 years, mainly non-residential, also for development;
5) Girasole: 10 years, mainly non-residential;
6) Iris: 10 years, mainly commercial property, also for development;
7) Lilium: 15 years, varied designated uses, (at most 50% residential), also for development;
8) David: 25 years, mainly non-residential, also for development;

The Fund started with four Compartments authorized by the Bank of Italy on the 6th of April 2007 and the total value of all Compartments amounts to €550 million.
In March 2008 Tulipano Compartment – Donatello Fund was launched; it acquired the property in Via Vittor Pisani in Milan. While during the second six month period of the year Compartments Giacinto, Margherita and Michelangelo Two (formerly Narciso) were launched.

During 2008 an additional 4 Compartments were established – Girasole, Iris, Lilium and David – with a total value amounting to €400 million. These Compartment have been authorized by the Bank of Italy on March 2009. In particular, on June 2009 David Compartment acquired the Galleria Colonna, known as Galleria Alberto Sordi.

The results of the Compartments of the Donatello Fund, since their establishment, are set out in the following table:

MICHELANGELO TWO COMPARTMENT (FORMERLY NARCISO)

  Value of Fund N° of shares Unit Value 6 month Var. % Annual Var. %
start-up 99,400,000 1,988 50,000.000    
31 December 2008 103,155,267 1,988 51,888.967   3.78
30 June 2009 136,961,492 2,618* 52,315.314 0.82  

· The variation in the number of shares is due to the additional purchase of shares on June 16th 2009; more specifically, an additional 630 shares were purchased with a unit value of €51,899.00

giacinto COMPARTEMENT

  Value of Fund N° of shares Unit Value 6 month Var. % Annual Var. %
start-up 28,200,000 564 50,000.000    
31 December 2008 29,796,457 564 52,830.598   5.66
30 June 2009 29,525,887 564 52,350.863 -0.91  

Tulipano COMPARTEMENT

  Value of Fund N° of shares Unit Value 6 month Var. % Annual Var. %
start-up 40,000,000 800 50,000.000    
30 June 2008 40,238,940 800 50,298.675 +0.60  
31 December 2008 39,401,183 800 49,251.479   -1.50
30 June 2009 37,816,296 800 47,270.370 -4.02  

margherita COMPARTEMENT

  Value of the Fund N° of shares Unit Value 6 month Var. % Annual Var. %
start-up 29,400,000 588 50,000.000    
31 December 2008 29,446,914 588 50,079.786   0.16
30 June 2009 29,393,808 588 49,989.469 -0.18  

david COMPARTEMENT

  Value of Fund N° of shares Unit Value 6 month Var. % Annual Var. %
start-up 100,000,000 2,000 50,000.000   -
30 June 2009 107,892,488 2,000 53,946.244 7.89