PRELIOS (FORMERLY PIRELLI RE): BOARD OF DIRECTORS APPROVES RESULTS AT SEPTEMBER 30TH, 2010

MAJOR IMPROVEMENT IN RESULTS CONTINUES IN THE FIRST NINE MONTHS OF THE
YEAR, ALL FULL-YEAR TARGETS CONFIRMED

NINE-MONTH EBIT IS POSITIVE €24.9 MILLION, WELL UP ON LOSS OF €8.9 MILLION AT END OF
SEPTEMBER 2009
EBIT FROM SERVICE ACTIVITIES2 IS POSITIVE €14.1 MILLION VERSUS LOSS OF €0.5 MILLION AT
END OF SEPTEMBER 2009, FULL-YEAR TARGET CONFIRMED IN RANGE OF +€20/+€30 MILLION

NINE-MONTH REAL ESTATE SALES OF €920.6 MILLION (€657.5 MILLION AT SEPTEMBER 2009), IN
LINE WITH FULL-YEAR TARGET OF BETWEEN €1.3 AND €1.5 BILLION

FIXED COST SAVINGS OF OVER €35 MILLION IN FIRST NINE MONTHS: TOP END OF FULL-YEAR
TARGET RANGE ALREADY EXCEEDED (BETWEEN €25 AND €30 MILLION)

CONSOLIDATED NET RESULT IS LOSS OF €29.6 MILLION, ALMOST ALL OF WHICH DUE TO
PROPERTY WRITEDOWNS (-€25.8 MILLION) AND HALVED FROM -€57.9 MILLION AT SEPTEMBER
2009
NET FINANCIAL POSITION EXCLUDING SHAREHOLDER LOANS GRANTED: -€480.6 MILLION
(-€445.8 MILLION AT DECEMBER 31ST, 2009); GEARING3 AT 0.75. THE NFP IS EXPECTED TO
SHOW IMPROVEMENT WITH RESPECT TO DECEMBER 2009 BY YEAR-END.



Milan, November 3rd, 2010
– At today's meeting, the Board of Directors of Prelios (formerly Pirelli RE) examined and approved the interim management statement at September 30th, 2010.

All the key performance indicators in the first nine months of 2010 have continued to report a major improvement on the same period in 2009. In terms of operating results, EBIT is €24.9 million (-€8.9 million in the first nine months of 2009), while EBIT from service activities has climbed to €14.1 million (-€0.5 million in the same period of 2009). In light of these results, the Company confirms all its EBIT and other financial targets forecast for the end of 2010.

During the period under review the shareholders of Pirelli & C resolved to separate the Company from the Pirelli Group; this separation came into effect on October 25th, as a result of which the Company has changed its name from Pirelli RE to Prelios. This operation lays the terrain for creating a real estate-centric platform that is also more flexible for the purposes of future acquisitions, consistent with the business model's repositioning in pure real estate management, and that might arise from opportunities offered by the current process of real estate market consolidation.