Preliminary Announcement of Results for the year to 30 June 2008

The Group today reported a loss before tax of £4,517,382 (2007: profit of £1,346,126). Earnings per share fell from 4.04p to a loss per share of 17.97p.

On the basis of the results for the year under review, the Board will not propose a payment of a final dividend (2007: 3p per share).

The Group’s performance has been impacted by a significant non-cash write-down in the Paulownia timber asset. In addition, the loss includes one-off expenses incurred in the establishment of the timber fund, as well as higher farm operating expenses due to a larger number of assets owned compared to previous years.

Revenue for the year was higher at £1.13m (2007: £0.04m) as income from harvest of the more established projects began to come through. Revenue also includes £0.43m of (2007: £nil) of fees for advisory services.

Chief Executive Tim Bennett said “The results for the year to 30 June 2008 reflect higher farm costs due to the continuing investment programme and an increase in farm assets, and in respect of the timber fund costs, the development of the Company. Improved revenues and some other fair value increases are positive signs of the Company’s progress. New practices are being adopted to improve the performance of the Paulownia and the vineyard assets, and the Board has taken and is taking action to try to reduce the potential for adverse valuation movements and development expenses going forward.”

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