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Ladies and gentlemen good morning thank you for coming, and it’s so

nice to be back in Bangkok. I heard that today is a productive and value for you.

Asset management, am internally it’s C.P.N asset management is highly

implemented, has work, most of mean, so i think at the end of the day you

have much clear appreciation of it. It’s very important ladies and gentlemen,

that you ask question as we go because i understand that the language barrier

will be a challenge for some of you, you speak Thai, and i speak Australian and

New Zealand but i cannot speak Thai.สวัสดีท่านสุภาพบุรุษและสุภาพสตรี ขอบคุณท่ีมาและมันเป็นเร่ืองดีมากท่ีจะได้กลับมากรุงเทพฯ ผมได้ยินมาว่าวันน้ีเป็นวันท่ีความหมายส าหรับท่าน

การบริหารสินทรัพย์โดยภายในแล้วมันเป็นการจัดการสินทรัพย์ของ CPN กล่าวคอืมีน าไปประยุกตใ์ชอ้ย่างมาก

ดังน้ันคดิว่าในตอนท้ายของวันคุณจะพอใจอย่างชดัเจน

มันเป็นส่ิงท่ีส าคญัมากสุภาพสตรีและสุภาพบุรุษท่ีคุณถามค าถามท่ีเราไปเพราะผมเขา้ใจว่าอุปสรรคทางภาษาจะเป็นส่ิงท่ีท้าทายส าหรับบางส่วน

ของคุณคุณพูดภาษาไทยและฉันพูดออสเตรเลียและนิวซแีลนด์ แต่ฉันไม่สามารถพูดภาษาไทยได้

so if you want full explanation or you want a little bit more details or

something, that mean you can just raise your hand up, and just let me know,

because our lesson for today is to learn and for me is to impart knowledge to

you, so you know it’s a unique experience for you to take it happen, some have

a lot experience too, so make the most to raise your hand to that, and i would

tell you to do so. so in terms of this topic i spoken too and others, since we

first starting with C.P.N about 12 months ago, and i just talk about Westfield,

when we back 25 years ago in Australia market with, we would willing rapidly

as a company very much, a like city in Australia with this company we would

requiring more exits in Australia and also in the U.S.A that thought, and a

western modern is in the C.P.N that

we would doing a lot of redevelopment of existing more which is

typically Westfield about more seldom building on value. So in early 90’s we

went through severe decisions in Australia which last a long time, cause a lot of

issue to the economy retailing was so badly a lot of retail that was bankrupt

and quietly difficult time and that was badly and the same time we had a very

large redevelopment plan of prospects in Australia and in the same time we

went in Singapore were significantly spending business Westfield in the U.S

particularly. So will attached on a couple of project .that we had problems with,

is to demonstrate to that it was in ten Westfield and i believe that challenge in

the world it does not make mistakes and not exact science building and

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managing challenge in us. In some of those lessons in us that we learn along

the way, but i think we had a couple of wake up tools along the projects most

of all, we might some mistakes in some project and really it was a wake up tool

for business and i think all and its sad to say that Westfield has a lot of money,

money was not an issue, opportunity was not an issue, but one thing that

holding the business .destruction that we had implies was the people in

particular level with experience people that understood the business and the

structure that we had implies at that time that was really we were stretched so

thinly and because of that thing were fallen through attracts that we might

some mistakes that really we should know, and i think it’s consider as a wake

up tool for Westfield to relook to destruction, to relook to people and we will

mark the significance to prevent to up skill the people we had. To recruit

people with a lot of incidence trying to get ourselves to a higher position.

The strong the most and the business stood that, i think this private phrases

also the asset management approached to running the business really was

something what happen, you know and are not to switch on one by one the

next time you do, that was probably the process of evacuations of over period

of several years, were we went from being a more profiting management

focus business to asset management focus business and so i think probably

most people understand what cooperative management means and in its

unit in the sense of clean, pure, maintain, marketed and so on, and that’s very

important point, what we focused on center that level.

So we gonna talk about asset management and we really try to

understand. I think part of business in this stage, I guess that the management

team that trying for growing and developing people that probably the key rules

in my head, in my rule, in my time way motoring people, and trying to

developed people that they might stand on their job, and we Westfield attract

economy like this, the difference there is the industry is more matured in

Australia so much bigger pule of experience tenant to grow up, well that in this

country that was in Australia so hopefully what i learned

since i was part of, is exactly that we learned up so if we gonna part of each

lesson, some of those learning, I think in here in Westfield for 25 years, part of

it i was in retail. I joined retailing item in New Zealand, we move to Australia in

1980 and i joined in school in 1984 since in the manager, in managing the

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bottom half in Australia some of you seen it very successful

Ask yourself with some questions, we gonna see on the detail we got

four concepts today, and those concepts are all around the asset management

subject. And were looking at play studies and hopefully the play studies were

got will generalize some discussions some tool because this pretty good

examples of asset management. We can describe asset management in the

number of ways in the workbook its more technical explanation, and it’s

describes a collaborative, cross divisional approached to operating,

maintaining and enhancing the valve of retail asset. The key was there really a

collaboration and crosstivational, that mean that every part of the business, it

doesn’t matter what part of the business were talking about, we talked about

property management industry, we talked about marketing , we talked about

leasing, we talked about development we talked about finance, we talked

about i.t. (10:00) and the other support functions in the head office, so all

parts of the business really everything that they do in the worldwide is most on

approached challenge, so it’s to decide this C.P.N in executive design, way

Westfield did operated very much in silos, and the silos did not really working

together and in fact in Westfield there was a lot of confrontation between the

divisions and I have set meetings in the Westfield, we would really have quiets

time amazing arguments and talked of it of what will gonna do, and we won’t

we gonna do.

In terms of asset management the success of crosstivational approached

really depends a lot of individual personalities no anything else some people

are more naturally collaborative other people are opposite and we will deal

with people from both sides. And often we can have a team in that which

extremely work together and guide to another part of Australia and you can

have design structure and you can found that team that does not working

together and that’s the spirit of personalities involved in that term, so you

know one of the key I just wanna impart on you is that at the end of the day

it’s all about the balance of personalities, i think anyone is responsible for

putting a team full of a sign of nature, or a team full of passives nature, you

really need a balance. So in Westfield it really costumize that a lot of what goes

on, is much through personal influence insidence through abstraction so, it’s

quiet important concepts for the guides

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(Thai language)

13:40 so in a team that works together, think you have to start to think about

silos in a different way, someone have to take in a leadership role in whatever

a team activity is, i gonna sense here, i don’t wanna be critical but, we listen to

some assets reviews of being part of everyone that was setting around waiting

for someone else to make a decision and it doesn’t seem to be, as we seen it

partly its personality, partly its culture, partly is a structure issue, but it’s very

important that people particularly in managing, we should stand up and type a

leadership role and not wait for someone else to make a tool that really

important. So in terms of divisional roles. In each of the countries that are

operates Westfield Australia, Westfield U.S, Westfield U.K and Westfield New

Zealand. All have the line management teams such manage internally in those

countries most in Australia. Policy Australia, is the in mothership, the head

office but every country is purely self containal.

So you know in New Zealand school business development team in U.K.

development team and leasing team in every country so much and so forth. I

challenge every country to operate and independently but obviously link

together.

So in terms of development the key pule of development place or

supplies obviously open new opportunities which now i do, and the key

objective is to optimize the performance of C.P.N’s retail assets and protect

there long term potential. That’s a key function for development.

Leasing, the key function for leasing and i am sure some of you i told that in

location optimizing the retail mix what, in shopping centers it’s done and it’s

done well in my time then you will grow retails house, you grow in rent for a

profit that’s a very simple location as a complete business, there’s a lot of

moving parts, the property management key focus here is to deliver to

shoppers everyday as well as the best possible environment for CPN’s retailers

to conduct their business, so that is a key function for proper management and

in cleaning maintenance and security and so on, that we might have to make

shopping, we have to make costumer survey. the shopping experience every

time you come to a shopping centers, that’s very important marketing key

rule for marketing is to sure that we get costumers look. And in the marketing

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team develops public assistance strategies for the CPN brain. Drive traffic to

the malls. It’s a great team.

Casual mall leasing that’s a great form for a platform for non-permanent

tenants, generating strong revenue streams for CPN and Westfield all over the

years is actually crow to a proper term research. A lot of good success in

several years and also the revenue streams for Westfield, for leasing and in

media market and today is a have number and it’s probably the biggest parts

of Westfield and growth of net income in terms from today and its part of the

business human resource. We talked for having the best people, number

people that is such the critical the quickly of the business. So i challenge that

very important applying and doing the business, actually we gonna have the

right system and right process and staff, but CPN grow the business rapidly if

your doing the our fashion menu vices system is simple cannot do it, we went

to that whole change in Westfield, as well as years ago, that from small

business, it’s not fun rapidly growing business because that strange business

and now we introduce, finance critical to the business,

To the business we all know that finance in the Westfield environment

by really partakers of operating business in the management, am so it’s a great

partnership. So there are different parts of the business, you know that there is

nothing new but the previous each device decision. Obviously has a lot of work

to do in a silos sense but also we need to joined together in a group in terms

of managing the shopping centers, on day by day basis or more that as we go

on (20:00)

So people want to know who owned asset management highly

implemented and so on, I think there is no single one of asset management

really it’s a part of the business. The head of the business but, that is partly

true and the reality is that everyone of business owned asset management

because you are a part of it in your own different way. In terms of

implementation, to get the asset of management team approached waiting on

the ground and really that was a process of a very serious manager’s guideline

as a team device, i conducting reviews and mighty things happen.

Westfield business today, with these brother in a regular basis, we

knows that were in for 5 years, every 3 months per week. It’s very intense

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Westfield in London and the other exits we have and that’s on today, any we

will go on to the 25 years of Westfield so, you know it’s not on the ground, but

it is on the ground, but it is on the ground of Westfield by internally involved

centers, that particularly involved in the problem center, development in a

major instructions in the Westfield of the business, so today because the

Westfield portfolio quite so big you know. In the regular basis they will go and

the risk is in the business. Ok so, the first concept we gonna talk about is

defying the asset management, maintaining management is really am. In a

stable of environment, It really starts in some mistakes business plan for each

of the most and i know you do business plans, and I have to say that, I read

business plan for in my mind in a thousand solutions, to deal those issues so.

So you the concept is there, that is not working properly we need to look but,

in Westfield we will do a new business plan and that was stand by parts of the

business, so everyone contribute to the business plans so that development to

do this section, leasing to do this section, marketing nad so on and so forth and

it was stand as a group. So really anyone total strange you can walk, pick up

business plans in a very clear understanding of the against issue. The tenants

make the financial and understanding.

you know as what analysis issues are and what is the strategic plans to

deal with the issue to the most got and what the plans are to do grow the

more, so i think cadies and gentlemen on how to do the work of the business

plan in terms in just more work and previous document what things happen in

the Westfield is that in the years ago we went to huge work and travel to be a

business plan that was like this a thick comprehensive of documents that really

it was known to use, it was done and put on the drawer business plan and that

specifically that was happen in the business plan often.

So Westfield now a days were arrange to have a business plan, like that

the business plan today very focus much contagious. There are uses as a

template for the exit review meetings, the asset review meetings

approximately as were looking at your business plan, we will follow the issues

beginning of the year, are we making previous on it, are we getting it, in often

you have to change directions something and the business plans has to afflict

situation to operate groups. Ok. So in terms of different meetings, I conducted

a project, environment controlled meeting, that was conducted every week

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inside. And that compose development any design construction in westfield.

We appropriately, differently of what you doing in a project leasing team on its

project, in a project leasing team is based inside, and that project management

team based inside of a project, so those groups raise every single week in u.k.

historica they went to every single project controled meeting for westfield

london. And project what we do in parts of London.

the project was pcg’s meeting a fundamental for a crosstivational

approached am in a projects, or a million of projects that you have

developments and all the thousand decisions are make and all done effectively

together, and in leasing constantly would be changing background, you know

and its organize in a think which is more guided part of the business that was

all about meeting, and in that way, we will avoid a lot of problems and a lot of

issures. If you don’t talk together doing things. Is that make sence? Asset

review meetings, we will talic them. We have a lot of problems and for the

first probably 2 1

2 years we had quickly review meeting and that also a join

venture of property that westfield is a so percent and co owner also with

representatives meeting that we had to ensure that we in the process of.

so typically in an asset review meeting, I done some here with some

review typically the issues, key issues for anymore by experience, we study

more of some issues and understand parts of the business, we look at retail

performance, we talk more about retail house which really appointed time in a

CPN’s, we look on customer traffic, leasing. Major focus on leasing in a review

meetings, some phonamental to financial outcomes performance on the mall.

We guys to the profit, and loss detail, debtors, casual mall, leasing marketing

and capital expenditure

Really the key of all of this is to identify what the issues are, identify the

great and action plan but above all else ladies and gentlemen, you might to

have things happen, we just have a meeting and in talked in a few minutes, so

the key is you might have things to happen. Westfield make mistake in a

project we gonna wrong in some way immediately regardless of what they cost

for. For Westfield, more major trading issue, retailers more happy, settle

reputation, because it will impact next a lot of development that you want to

do, so very important that things happen. This is the basic example of minute’s,

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review meetings might sure that things happen. This is the basic example of

minutes, review meetings might sure that things happen, we gonna have some

any responsible, any you gonna have a date so never accept open indeed in

this minute it’s not working in some way.

Ok so we gonna look up some quick instructions and operations, the

three stages asset management. So this might take a little bit understanding

and this is really a chart which is attempt to show of a life cycle of a quick

instruction period. So if a project is life usually 12 months, and so developing

on and planning stages staff, with position. Authorities approvals, drafted

coming and so more we gonna have.

Two levels, 3 levels, 10 levels. In the Westfield environment all parts of

the business also rule in this first stage, the stage here, the early involves in the

Westfield before was in U.K, we look the number of opportunities, and we

have to do some quick draft and financial assistance between and we had one

or two people from leasing i we had 1 or 2 people from property management,

and we have couple finance people and we had relevant executive and we

have a small team and we would work together often in ways, design. We

would wait and we would come up some draft and budget, draft range and we

will get some research done preliminary research that would test the market

indication of retail so in particular side, so i think typically in CPN it does really

happen in Crosstivational way, but if you get a lot of that in issue word then

correctly a lot of subsequent issues that were got will disappear or minimize.

On to the key thing is getting data of marketing system in research of any

insight that market system is a document that is very comprehensive it caus’e

a lot of money.

It is very helpful in determining the size of the mall, because clearly then

you need to maximize the details so next month to revenue and so on and

value the property will be, leaning the point of it, but the very first stage the

most critical is a sign that we work together.

But just before we do agreed just to finish quickly the explanation what

means the construction starts zero here, in the Westfield insight construction

team, the Westfield so design building and design tools in CPN that’s the

system different way. And sure after that we developer outside operational

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team, you can see that the development executive response that project sight

was to a project of leasing manager, on the size of the mall, more project on

leasing team, and we have project center manager, project marketing and we

have project operation manager. And the part of PGC group.

And as a development, the care center management team is so the key

there is development have total control over that crisis from the very

beginning. Development involves away, and the operational development

obviously is on the top, and then in done on the asset management and vices

and all parts of the business, regular devices to make sure that the center is

delivering a phase ability objectives for each objectives and doing what it

needs to do more details and let us consider that question.

Analysis difficult am to CPN to contemplate something like this i

understand that my job is not to know the issues to do. My job is to explain

here and this is leading development manager and shopping center design

operated since it was started in 1900. So I think 100 some point CPN has to I

guess tell some part thinking about his, it mean, this mean resources which is

an issue for you right now. People in this case if we are short of resources this

is way as we get wrong is the beginning, there are rules project in the

beginning that will flow through it cause you money, been in a project it cause

a lot a money that fixed and some of that is necessary.

What happens development will very quickly prepare phase ability

stoned off. So all of the design that costing, the finishes operational elements

will be left in this stage. So the ability to go back in change or enhance is very

difficult. Ok so in your workbooks details, we talked about more detail you

know the involvements of the different divisions in a project, so we talked

about the asset review meeting and we talk about the need to have the regular

devices, and again i want to emphasize that the key for the asset review

meetings is to make sure that each the latest is a long term financial objectives.

And it is possibility as a term to identify the issue and escalate to see the

management in Westfield asset management team will regularly participating

team reviews. This is the issue of not aware what problems are, because often

the problems come up stabilize result in additional money spent generally

does budgeted any can often be painful, the example of that you want to

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spend a lot of money because of the project you could not get stable quickly

cause ti was budgeted, so that quiet painful.

The CPN typically in Westfield in CPN starts meeting towards this and its

meeting. It’s all parts of the business participate any have a problem purpose

that collaboration and working together to solve issues and the best thing we

can do it getting to ordained to meetings with, pointing fingers, developments

fault, leasing fault, marketing’s fault, or somebody else fault, you know

blah….blah….blah…. I am not responsible to do that. That will happen

sometimes whether we will like it or not and we talk on Rama 9,.a with some

issues, review meetings, or someone or some people solve that problems, that

is what you have to do otherwise no hope.

So not talk of that line by line, is there any questions? Ladies and

gentlemen study the idea to get asset management and hope.

Ok, I just feedback from the morning team relation to this pre

construction period. Again, it’s just to level the environment of leasing any

proper management in particular. The key involvement really is leasing

because leasing have to set the mixed as we talked before, very much from

Taiwan. Because all the finances from the project will flow from the range

revenue from the voice come from device way, so the blast strategy is really

the most important piece of the puzzle and as what i said property

management in marketing involvement from the point of view of the

positioning of the mall any understand the people on the trial area and that

impact the level finishes and services and so on.

And we talked the one key requirement’s crosstivational pre-

construction period, retail planning you know, goes with. For example, if you

have escalators dumpling people in the particular point of the mall those

tendencies can attract premium and rent because of the location exposure to

people who come up from the escalators for example, so this little things like

that went through were the car parks, connect to the building so it’s all about

looking at, and understanding traffic flows, around the building and trying to

get the next exposure to all of the shops of the traffic flow, if you do that then

you can maximize away, that there are things that i firmly believe and strongly

recommend that you think about how to achieve that

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I know you don’t do it, you haven’t done it, I’m sure there will be some

existence to it, but again you really want to, another level of time that what we

gonna have to do, all the base people developers certainly in Australia that i

know pretty much design it not it’s the principle in widely industry.

You find some development executive much more pursue the others,

and so on putting to one side the business has to ensure that you have so

much destruction so I just wanna phrase that because really something the

key point for can and a key business issue for you.

Ok, so we talked about view Rama 9, and we done 2, 3 reviews in several

years, and i like tenant on what location review which focus on today, we will

review every single trap and we try to decide whether that shop is right or

wrong and if it is wrong we should work us sue put in, we come up with the

comprehensive strategy for the basic level that Rama 9 issue for you, and we

discuss things like which is very bad. It’s not acceptable to this to stand

in the escalator, to eat to go down and go up, it nothing there to tell you what

is above you or below you, there is no sign if you don’t have enough column

behind you, you know it’s all invisible. And we talked the great link about the

issue of upper levels, being very soft huge to the lift traffic light, the car park

level six indicate up to the entertainment pre-area of the restaurant, and

cinemas, and it doesn’t encourage people to go easily up to the upper levels of

the mall, and i know all part of the world and more of descendants are trying

consume is that they don’t like going to the mall to the upper levels.

it could be land us sure here, and i guess and i am not sure that in

Australia, us and also U.K free level maximum ground to the first level.

So I heard some of you the business state investigate taking people on

the ground up to level six, is that right? To way up six level of car park which is

not easy thing, and you know in my experience particularly I don’t like got

driving up and down in the mail car park and I imagine people, different people

in Australia and my wife is act when we get there 4,5 levels down is not easy.

I know it’s not easy to do, and there is also problems attached to it but I

guess from my perspective issue in Rama 9, then Rama 9 struggle to stabilize

and again the keys that, there is no single issue that usually in the center, that

we have to get right its normally a wholesale of things that what we need to

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work on connectively to solve some of the issue so you know Rama 9 is got an

issue with this positional, and tendency makes, strategy and that afflict of you

have 9 budget for it, costing rule in it and you know it has to be with that

business plan, profit design strategy, and you know Westfield environment. If

we had a stabilizing more Rama 9 that needs a lot of post opening word. We

will exit to a project leasing team to do that work. And it get right as long as

possible.

the long you live in the issue on this work in the shopping center

involvement, it is hallow distress, a story long ago is being very badly manage

up to this point, and you know problems are quite serious because the

problems never dealt with properly form, so we got to point now, with this

some serious fundamental issue on it. And it’s gonna be a lot of pain to get it

right so that with and I think as we look at issues, that we talk about, is

particular piece of work and i strongly believe that solution to some with the

problems in it, so in Rama 9 it’s not an easy, cause money is a cost rule but i

think long term t

this is a key part proper management. Would lead that and we will come up

with a designing package we cost it and we get approval from and implement

the package.

That has to be done has it said, and you know the , tis complicated and

it’s hard to understand what was way, and i think review central is life

expectancy in its different places, it’s a difficult define area in my part, and in

sure the costumers will quite equally difficult.

it’s a classic example of where different people has beginning have to

type ownership regardless of particular cost of action with this pavement we

look today, may not be verbal or physical, this is my position please sigh here,

then you make a decision, so that eh job rule the business is to get to that

point proposal, please sign on. And that’s what you have to do in the business,

that’s what you have to do in this point, in the workbook i just explain here.

some ask questions about trial that might be have, just to give you quick

work. Because that is also a key in how you manage, the business so, in

Australia lets say, we have offices in Sydney, we also got an office in Victoria,

Australia, and office in Queensland and the office in west Australia, so the

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original term in age of offices and that is property management, leasing and

marketing, its also team generally that depens on development generally in

head office, but still a lot in offices, so in terms of leasing, we will attached on

it, in Westfield we have either one or two or three indicated leasing executives

in the mall depending the size of the mall, and the complexity of the mall, and

I do all of the leasing for that mall, so food, fashion, whatever it is, they do it,

they know the market in intimately I know the competition intimately, and

understand the retail business internally if you wanna have a comprehensive

discussion, leasing discussion about any of the shopping centers in the

Westfield and that what country de same goes structure you will, one person

or two people, and that’s all i do, that more, so you get that much. Much focus

on the center, in terms of property management, there is a change structure

slowly since were meet.

there is a regional manager in each of those regions, and those regions

managers are assigned managers of the mall, but above them is a regional

general manager and these three regional general managers will stood up in

this business, and the marketing instructure executive design is a regional

marketing manager in each those offices,

we do this in Australia because geographically it’s a very big country so

the place of this city so it’s a big country, so in efficient way that

most importantly the asset management since you got the key people in we

run it each region setting in the same building and the team so it’s like many

Westfield in each of those regions, that might since, and like atonomy, we also

involved in it. In the bottom half of Australia for many years and you know we

had, we could do pretty much whether we like in reason, but in terms of

driving the business, am you know it was very much bottom up approached.

Obviously Westfield is centralized business so is a combination of that up down

and also the bottom up, and that persist from the very beginning that involved

all the time, when we appreciated that the growth of the business mean we

have to we think and we operated. So it is a project in, for example in Victoria

in that Lakewood team that would take the leadership position on the

particularly project and that the point of the project team from within the

resources in its state gent rally and we will do it that way. U.S. operate in a

similar way because geographic

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it’s a big country, U.K is a small country, and so around the whole

country management develop as a so that sufficient to do it, New Zealand also

small country and its centralized as well and regional team people that’s not

worth it in that country.

But I think for CPN I think, probably worthwhile thinking about that

regional structure some point issue of business expense, you want me to do

that you know one by. You gonna wake up with am 40, 45, 50, 60 ,and you will

not the way you do it and it is not possible.

Surattani someone talk with us Surattani firstly I understand that, this

common in most news centers for am some retail in the first three months and

in my experience we would normally expect the nutritional right of between 5

or 10 percent of the retailers to the first is months, most often, in other words

some of those retailers will sometimes fault for reasons not necessarily

associate more in, am sometimes you know th mixes just wrong it either wrong

tenant, wrong location. Wrong tenant with the right location sometimes so,

don’t get hang up with the fact that you know, 12 months after

open you gonna delima about fashion which is naturally under before

me and you got some interest from uniqlo, I would say that is pretty

desperating, I have been around, process you know countless project of the

years i can think of any other one or two, we will have not had an right, of

some extent normally within 5 or ten percent, of one project that was ,in

Australia, we say that we had no stabilization face, stabilize , and

we had zero nutrition right and that desperately unique

So I think what really you need to do is, a little bit of analysis and study

yourself, what central plaza to know the potential, expected get of fashion

plus I don’t know if this is supplying you a detail if not then were trying to get

you detail understand, and something in uniqlo, we put uniqlo in space what

size you believe what uniqlo will do and probably one thing that was missing

from here is that how much capital do you have to contribute to the uniqlo

again in my experience, those on the retailers generally they plan and estimate

capital contribution, I wanna talk to you tomorrow one of that I ,whether the

major development care and we got a lot of things wrong and that particular

project mentioned. And in the first three years we have place

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200 retailers any that extremely unusual as well to happen in my experience

any that is extremely painful costly process because so two things part, one is

maybe she got wrong sometimes, despite of indivies but in addition to that it is

pretty normal to have a final rate of retailers between five or ten percent, it is

not unusual and affects us more so that normally distress affect that’s a normal

part of business that we rent, you know it’s not black and white solution

sometimes, we don’t really know, how we get percent open, individually

retailers than before in , understand the seller, generally performing well, is

good

Yes I can, with this simple case, do the members as heading capital,

capital of all configuration to be done, and you can make the business decision

well or not distinction as uniqlo, directing to the center, and that question

from the simple market but, and typically that’s what we would do and am

sometimes you might wanna do, other issue is in deficient makes, I might

wanna do about research just to you know to the some views from, about the

mix and the center, and we would typically do focus groups, exercises and we

will have short number questions we will ask, am customs are left in terms of

reviews of the mix or in terms of experts of experts of the mix.

One other thing, I should add is that, just be aware that when shopping

centers stabilize it’s not unusual to have particular problems in the first month

that will actually disappear over along the time, I seen that many times that

when we has issues with the food or fashion elements of the mix but that is

the functions of the market, really i guess coming to set off the mall and

sometimes that is the time process and nothing else so, this is balancing it,

sometimes is not all business you jumping in to change quickly, it might just be

a process of time but it’s clearly wrong. We have jumping and fixed it. Typically

you would do the, market system rather in the beginning that we ta lked, and

you would look in the market, the market system goes in to refined retail

categories in some, so you look market system the market sheet potential that

you can expect to get, in other words what market system you gonna do, if you

have got am, let me explain to you this way if this is your shopping center, the

market assistant is would determine both what your do and it would end, how

much retail spending in the trader area and it would tell you by category, so

we go to detail, food, fashion and base of fashion up so and so.

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That then helps you to tendency mix you know strategy, and it helps you

what your decision about how many fashion shops, how many u food shops,

how much in the unusual to put in and so on because the objection is to

maximize market share or your percentage of spent available in the trade area.

So if we talked about fashion so in the very beginning you determining from

marketers system the potential spend fashion and that would help you

sometimes, you can just have too many shops in a particular category which

means so, if that’s the available fashion spent in your

area it simply got to many shops it just means, too many shops spent available,

so some of the shops trade food potential and you have issues with that so

sometimes you have to twick the mix a little bit and you have to add or

subtract particular shops in particular category so the

stage with we have to make a decision is it? Is that correct? With that stage

we gonna make decision of what we do with that, and sometimes you don’t

have to wait but really the things depends on this, analysis and some ideas you

know, if we look that financially

that you can replace, in particular retailer then you know we would do it,

the right thing to do, but if you are replacing a retailer at huge cost and you got

lass rent from the income retailer and you question why you want to do that.

And in this cases with particular rentailer with an particular center and may not

be space available in appointed time, so you know a.l strategy we identified for

that center you will know th retailer is that you want to move out and be an

opportunity, some is knocking in your door. Sigh, know, in your shopping

center, sometimes you can make it happen, sometimes you can’t. Again there

is no black and white answer. If the cases is different, You just have to do a

little bit of that, you know, though financial analysis on so wall, you know, part

we get rent from retailer, more valve, am strong door, for the center and do

more sales then you do it, It’s a point in my view.

Renovation’s, renovation process, So look at the 3, the 3 type of issue

for CPN for the business we try to understand what cause renovations CPN do.

And controls it and so on, i give you some thoughts on that, and so this

generally there types of projects that we should consider and wait the first on ,

the project is cost you money with an additional revenue, associate with that

spent, and second is, that it cost you money and generate incremental revenue.

17

I gonna show you example of one of those. And the project’s that are based in

a long term strategic master plan for the mall. So something you might

consider doing am, because it consistent with a long term plans for that

particular unit. Sometimes the team on the ground they might do particular

thing and developed and we don’t want to do that because it will affects a long

term of master plan for that particular mall and something we cut new things

because some we demolished things as efficiency about it.

So in Westfield why we do am. Expenditure, operating expending times

quiet simple were got, what we call, which is maintenance 1 and maintenance

2 and we got Capex. So in every center has got project of those there

expending so maintenance one (1) is recurring maintenance expenditure, so as

today expenditure encure in a large shopping center so you know. So today,

planting, parking tips. Washes all of that today recurring expenditure basis,

maintenance 2 we would classify is one of expenditure of a maintenance

nature, so it could be example that you might decide to maintain toilet

communities for example because washidism you might be refreshing, clean all

the toilets, freshen up the tone of item, you would do it you know, we do it

next year, spend money and we will do that project begin. Capex expenditure

so I should say one of maintenance to recover expenditure so we could cover

that from the tenants so that recover book and Capex is non-recover books

because it’s pay from the owners, so in Westfield we have a five year capital

budget for each of the malls and some cases we were that for ten years and

we would get approval from the owners worldly for the capital budget.

Westfield London is now open five years ago. And that is now on capital

budget, just to give you an idea of 2 1

2 million pounds and every center in

westfield got a capital expenditure budget in addition to that M1 and M2

recurring expenditure budget, so that means that centers can be am fresh,

relevant, and up to pays and money is provided for, now i know capital.

Expenditure budgets a lot that in CPN and i know the moment whenever am

money is required to developments. Developments frustrated of a lot of that

and that we call property management functional, and i think if you started to

that approached in your budgeting a lot of instinct got approval renovations

will disappear.

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in support to that capital budget, five year capital budget, thinking is also

set in your business plan, so any of business plan talk about what to do on the

next year until the capital expenditure particularly, and so again so up,

to start in your business plan, your operating budget, your asset meetings and

get the strategy with the capital and all of that is, all that means stamps

properly is that you know how to maintain your properties to the optimum

level and ;you are not constantly finding for capital and scratching, try to be

approved with some money that you gonna budget for so in any large center in

the Westfield typically they have annual capital budget of 1 to 2 to 3 million

dollars and on besides of the center.

So ok I think what well gonna do now is show you, an, it’s just an

example of a projects which was: this is one of these what we call optionistic

capital projects that will profit from time to time in this particular case in

Westfield, they been ruled a lot of this void in fill projects, again this is typical

shopping center 2 level glass above, void areas are design just to improve

between the malls but the most cases particularly the oldest centers is a lot of

so there a lot of missing space, it that make since? So in this case the glen

shopping center fil in the void. In my cases you can passionately in fill the void

area, that simply simple exercise as we say were done a lot in Westfield and in

the malls. And the day here is that in Westfield we got a special, typically there

would beyond the capacity of the property team to do, a lot of structure will

involve, so special project team at Westfield would pick up that project on

behalf of the property management team. And they would do the design and

that would be approval to additional space and the retail, the shopping center

in Australia, leasing would commit too, and he will do the projects. That quiet

simple.

So the next here is really does it make sense ladies and gentlemen, the

process of better stand for better work that they would do but again this is a

project. So, this are the numbers, this is typically what we would do in terms of

financial analysis and so it’s quite simple and you get 50 thousand dollars rent

this is Australian dollars $50 rent from the kios. They spent $650 of capex to

do the structure work. The yield which is income divided by cost 7.7 percent.

The cap rate for 6.5 percent and generally if you can get, you know if you can

get an increased in the yield we would sort of and do it. The valve of

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completion in this particular case $769.231 and development profit is the valve

on completion and in the field. And again that project involved development

and also special projects to do that work in leasing. To do the bills, Property

management will just managing the project and its very simple projects.

So I guess the one of the questions that often comes up is. We have

spent money that does not generate to the revenue or this not accredited to

the capital, so what really force that to the whole capital expenditure thinking.

And strategy and it comes up outside the capital budget and it doesn’t

generate revenue it would be unusual that we get approved of in this

strategically topic that should be done but typically is a seed. But if you have

got strategy Westfield in capital, then you should relevant on this.

The biggest issue that come up with these in leasing, leasing in Westfield

have capital budget is part of the annual leasing budget and that is we’re

leasing identified retailers, part of it strategy and often you have to capital

contribution in Australia to do retailers and it depends on the market, in the

market quite soft in Australia any with the full capital distribution to retailers in

the high level as years ago. And we have some discussion in particular project

in central world which cost significant a lot of money but it’s the maintenance,

in my view is that Westfield would never contemplate that never ever spend

money to generate this rate because you gonna do.

So, ok anyone in the room familiar with life cycle? Marketing people

should do I heard. Life cycle is termly used in management. It really applies to

pretty match any product you think about, toothpaste , black beans, products

of life cycle has four stages, introduction stage so this sign is Rama 9., people in

context we open Rama 9 at this point, Rama 9, people in context we open

Rama 9 at this point, Rama 9 goes to a growth stage, that growth stage can be

5.10.15 years less or more, typically in some point your shopping center will

nature and that means it’s maximum potential for the size, and it is the market

capacity for retail spent, and typically if nothing happens you will slowly and

surely go into decline, and you will stop going back total, that particularly in

malls. It’s very important to understand and had a view about we will more

exceeding in a life cycle, it’s that life cycle can go up, down up, down and

pretty much forever and the plan in terms of this practice principles is to

ensure that you don’t necessarily focus huge debt.

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So you know typically you would be looking it ahead, development will

be looking ahead, we are sighing that were looking ahead, with the next five

years, and so that we gonna start and slow up and people coming to the

market and we know that expenditure and people always spending money in

the mall, in some point we have to redevelop with finished mall and maybe

reposition, try to mix a little bit and it will end up to another parts of lifecycle.

This is something that all parts of the business gonna , So you know if

you look at the workbook, we took renovate, so understanding the costumer,

it’s ;now in the trade area in its potential and it’s in research, competition

some points of difference, we have a lifecycle and long way term thinking, so

typically most shopping center there would be a long term strategy for

property. That might be 20, 30 years strategy, sometimes it’s not, sometimes.

It’s not optimistic in nature. The same that happen in the market place

suddenly we, the opportunity to buy a, opportunity too, after lunch and that

can happen sometimes, so really is part of this you know, the business

planning lifecycle is a short term planning process in the mall basis, the master

plan for a shopping center asset is a long term 15, 20, 25 year plan, that’s a

long period of time. In my case i think to change other time but the point is it

has to be a view on, you know if you’re on your own for example if you spent

nothing on it, it would get you to some stage with it will be money, shopping

centers exactly design, and often the opportunity spent, the Westfield model

is base on primary ability to in a shopping center once, twice, or 3 times and

that’s a normal part of business model.

so there are the key of key requirements and these are the

responsibility of the asset management and you know in the regular reviews of

the center the trapping performance, costumer visitations and know what

happen in the market place, know its competition, economic circumstance the

country goes into position. And it’s really having fingers on its post of the

business understanding what’s going on and what i mean in the long term

basis, so i just wanted to explain to you about the pressure on publicly listed

property companies in upper Australia of the property companies is published

it twice a year, Westfield if I make update to the market we come back to what

we talked about, in terms of keeping your work shopping centers, I guess the

things you mean by renovation, understanding renovations. If you’re saving,

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what renovation worth or what renovation means? It suppose to a strategic

plan, keep you more fresh and relevant your capital expenditure and your

maintenance to particular so that i guess the two distinction’s that you can

help me your understanding what renovation projects as for years just day by

day basis stuff or its major

well, I think what CPN has to do is what capital expenditure budgeting

process together you know I think a lot of your problems expect or disappear

what should got place operating proper because this is process for a business

as what man makes surprise? Surprise normally in what money on what i

understand.

alright, let’s keep moving, so the side of analysis we talked the life cycle

in 4 stages, introduction, growth, maturity and decline and we talked about

lifecycle in any product, shopping centers in any differences and we just

highlighted some key issues that help you to way you are in life cycle, know

your customer, know your trade area and its potential, know your competition,

know your points of difference, know your position in the life cycle, know

where you are heading.

so I just wanna talk a little bit, it’s really device crucial KPI in disposals in

determining shopping centers, if you don’t have access accurate to know the

other, you will never know how your shopping centers is excellent performing.

We talked about traffic in a minute in some limitations on it, it is a good for

sure, the trains can be accurate, they can also be misleading.

So Westfield in most major property groups in all part of the world are

obliged to give a 6 months update to the market of the performance, half year

performance to the full year performance, and i just highlighted this particular

piece from the market update, and you can see the shopping centers update

operating performance in focused really on special accuracy cost that’s a major

determine of potential to grow rent or a might be a warning sign cost very high

that could affect oriented potential growth, and also it talks about specially

retail house eon an activity basis telling what marketers, and again that is a

key KPI for market endless.

As you can see in the united states to this performance after of quite

four years of negative statistic growth, Australia and New Zealand a pretty

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much in CPI, and united kingdom today, in not showing am that percentage

because we got insufficient Variety and it talk about per square foot, and per

square meter and again that’s very important market information and it talks

about operating income growth, so it’s really a snop shop of financial

performance in this case for Westfield for the six months and you can see that

cost retail house, retail house activity, but is a key part of operating a shopping

center portfolio , so if you see the CPN if you got know strategy from retailers,

it’s from basis and i think that 20% of portfolio, so really one of the

recommendation is that we make in Rama 9 even create point of some

information and it will give you starting point and tomorrow we handling you

out a copy of a report which is also a form of report, and this is very simple one

and I show you how you can go about yourselves and i think that time the

company and the CPN will make a decision about putting list turn over

provision of the world, it’s not common in the U.K. when we went there was

no application for retailers and we had decide about changing it and we went

from pretty much zero to 95, so ti can be done it’s not easy quite people here

told me that retailers and my view is that a lot of English retailers

but if you work at it CPN it’s a position of strength in the market. In my view

and I think you know it’s not fixing in the market place and we do something

better, because if you had this, you will never truly effectively understand

performing and equally you will never truly set proper market place. Because

you quite understand it build space, itself, it’s right leasing.

so in follows that the objective of the business is to make spaces

available principle, so that means you can’t build too much of it, because it’s

gonna be tangible, am if you get the right mix and you position that for the

market, then you know that’s gonna work, but sometimes we can over

complicate what we do (laughing) i don’t have to do that, so in terms of

financial performance which we touch from before clearing the measure of

success all the time is the financial performance to the shopping centers, and

again it’s the simplest way if you got the right mix, more maximize details

spending that means you can maximize to revenue the time, means you can

maximize your no 1 and that mean you can maximize your valuation. It’s really

that simple, the more rent, you can get the total incomers in higher valuation

you expect to get.

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the vacancies then the value more negative view of property and you

will see frequent, we see that moment in Australia some of the results that the

property some reporting they are making causes because of the crime that

valuations. The crime in no 1 doesn’t necessarily sometimes, but sometimes

take a long review of property. It might it bad. If we have that negative viewer.

So we talk about extending life proper asset and this is really we touch

this before, we take about the timing of doing renovations or expantions and

really you can see in the workbook. See in the slide here. As a whole affecters

that really come into play, and it’s a whole affecters that you have to work

through, and this is typically what asset team would do. You know develop a

perspective development which pretty close to ti should be the centers with

the teams, and its generally quite clear to everyone business you know more

telling to hit the wall in terms of this life cycle and the danger signs are always,

there to look for.

so really it’s understanding that of people are possibly increasing and

more most people in Australia more and more people traveling since overseas,

all parts of the world so their expectations I think much higher. Than is years

ago.

we have some discussions on CPN online retailing am in Australia that’s

a major issue for retail to this time, retails house recurring online rapidly

increasing and we are to U.K and U.S most are very nature in microsoft online,

and in the department store in U.K which is very successful department store,

25% in the total value from online.

The capacity of you retailers department, So it’s you know. Its key issue

in the workbook of duplicated section of a product activity commission

enquirer that was done in Australia two years ago the retail market and really

there a huge push in Australia been for many years retailers.

So costumer traffic the key determine freely and i know it’s unusual in

CPN, I just like to point here and I know to costumer traffic that we will be

aware and one is that in my experience traffic system tourist unreliable but

often quicker false ratings, know information, part information on one boy is

gone or whatever so am. Depending on the system, you can see generally

more i could, that more being cost in the entrance but that level is a bottom

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line, and an increase in traffic counts does not necessarily mean an increase in

retail spending at the mall, you know if were getting more people in the mall.

Spending money , and we see many times were costumer traffic

crime in particular centers and retail house continue to grow and really that

means that people sometimes shock less but spent more in shopping centers,

so I just cushion that you know. If you got more with that traffickers dropping

don’t necessarily panic you know, can be a sigh that your loosing business but

not necessarily comparing traffic numbers between different malls can be

misleading and Westfield traffic in London does nearly double traffic of

Westfield London, but is too almost identical retails house. So you know if you

look isolation you would say that the most successful center but in reality

western London is much got higher spin so again it’s just understand that

traffic count trends can vary considerably between stable and unstable malls.

And in market in Australia is very matured, people mature centers. Established

centers, stable market, door traffic, generally does not increase pretty much,

but retails spending generally increased in.

So stable malls you will not see stable for costumer traffic and also we

just highlighting and retailer tell you this the money people spent at different

times of the week, experience that, spend on the weekends is very much high,

people typically more times and with the husband and wife for the family or

the or whatever, and it might take longer and spent more money, so

people busy, doing for something, doing what they wanna do, and it’s a lot of

spent so, you knows, i am more concern with traffic variations the weekends

and would be, Monday or Tuesday for example so again, party more quite days

in a week, so again, it’s more courage analysis of traffic, in this case, i said

before this morning that, its traffic center management is very complex, a lot

of moving parts the basic of it is very simple, and the basic of this is really I like

to explain to people that, you know, what we does, what CPN does and I

compare that ot department store in Australia, maybe less one percentage, so

you know the size cheap accuring in many parts of the world in terms of online

retailing and i don’t know in the stage of time. Some point and I believe the

solution now is I understand, but you know the world wide trainers differently

towards rapidly growing online.

John Lewis, took out traffic, and that’s what they do in U.K. they did this

25

ridiculous lay long leases so you know they are investing some order, heaving

and severally online. We retailers have different forms of selling to the retailers.

John Lewis department store in a whole sit up with computers and you

can as online and you can shop online. So the retailer’s is the most involve in

online. Westfield develop, Westfield Australia business develop online mall

which is essentially as you consumed you can online Westfield online,

shopping center buy something and Westfield get commissioned from the

retailer so Westfield develop online more in the late is million up which is a

lot of money.

But we could not figure out money of it, but I guess the issue is the

business was stood enough at a time it would be challenge of online retailing

is that more in this stage, so it’s very important that time, you guys in CPN

really take in what happening in the market and I think Westfield can do so this

is part unique you know what happens inside of U.S or Canada, you know

Australia but I think the worldwide traders such this time it would definitely

come here i think, one of the areas that really suffered country is electronics,

the electronic business in the U.S, for example is electronics last dams is being

numbered of change convert, so all of the gig boxed that they have, a large

number of electronics store in the malls and big boxes, so in not selling a

negative note, but in 5 year’s time you know it might face problem some of

what retailers can stand in business because of the presence online retailing.

so there is some categories, is another one is in Australia bookstore

pretty much dis appear, does not existing in online, some specific bookstore in

traditional long ago, so it’s a constantly changing, and this things some effect

you know, what you do in shopping center, years, years ago we had cinemas in

the early 92’s and the cinemas business went throughout pretty in 90’s where

the growth stores in a lot of a thing really become a big deal any we would

generally concerned the cinemas would out and we had issue boxes in tis every

single pretty much, and we has whole team working in strategy. They are

helping in cinema’s some other usage, any the cinemas was go down. But the

cinemas have lesson and more and more, and things go in cycle, but it’s the

matter of understanding, all of those things detail here in the workbook that

come together, talk here that retail thing concept in the world and in this

online we talked about. That’s too important to do that.

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So there’s any questions for asset management teams? You gonna

watch a competitions overseas because we don’t know you can do easily

So repositioning strategies, we talk about understanding the trader to

the mall and in Westfield we updated talk about research every 12 months on

the traders, that was basic but there also a lot of research, you

know just try to understand people was buying possibly thinking you know the

inspiration because you know the confidence, economy in Australia right now

is confidence is low any because of that people would seen they also increase

some savings in a market, increase savings in the mall and in Australia, which

means a people spending less in shops, so it’s really important to do that in

market research partner recommended you to do that, and that tens you really

you can find out from the market research what’s happening in the trader,

and generally trader is that a change rapidly. Generally changing all the period

of time, but they do change these lots of parts in Australia, were people

traditionally have a code like a block. So block that was stamped 40’s 50’s 60’s

and today a lot of those blocks subdivided into apartments and hotel is a very

difficult people and the people you know, the since has profit land so that’s

accuring all the time sending the magic capital cities and that has a kirect

impact on spending.

So a lot of here support and understand what the U.S and that really a

unique selling reposition and that makes more standard and am understanding

the market place that discussion about Rama 9, what does Rama 9 stands for

the market place and consumed just in the mall or some elements of that and

that lesson to make some strategy and that you heard a lot about that is a long

term strategy, and all good centers have a turn right of am. I would think 5 or

10 percent stable malls retailers in a place with better performing retailers and

that’s a healthy thing to do and you know good retailers done and surrounded

by good performing retailers because of the impact’s of those business and I

know many years ago in south Australia. I manage in Australia for a long time, I

am retailers that would base only on east lost Australia and you know they

would struggling sales growth and generally they took a massive makes

strategy and they got a number of major retailers the east come out to an over

period of 3 to 4 years, we tune the situation and that was manage I easing with

together in marketing. And I am we put all the centers to growth. Environment

27

that purely what we had to the centers do nothing else. Ok so we gonna talk

about a long term a long term master planning and we touch in this point and i

think the point about the effectiveness, long term is 15-20 years and i am again

Westfield the business has a view to the asset and interesting enough stood a

last probably 3 years more than any time in the history, have sold a number of

properties am particularly in the U.S and some in the U.K. sold in some in

Australia but in centers they are pretty high in portfolio and centers don’t have

a long term redevelopment potential, am Westfield gonna taking more active

disposals so once upon a time Westfield never and never spend in the center,

today that’s not the case and long term potential win the opportunities of

being sort off. And the money is being put back. To growth win opportunities

and in Westfield i think have more slowly but surely am from the west market

and the Westfield London concept which is a premium exit and line up focusing

on creating premium assets Westfield London and in some major capital cities

of the world, so you have a long term strategy in different time and that

strategy can be change that we talk about.

So I just wanna walking through one example of typically examples of

Westfield in the land for those familiar in the city. It opens in 1968. 80 it’s a 45

years old shopping center am, its took 20 years in Australia, 100 million retails

house and it is severally very good . So, just in a minute.

So the long term asset planning is all about growing the market share,

we gonna talked too much of that out Westfield. That’s massive is a major

trading for redevelopment market store. So in Southland, so this is southland

in 1985, in manager in this time before, in Australia center shares the centers

completely by, so this is major highway, highway over the road,

here is the dimension. So the first development it could in the 80’s and we

expanded, this is the existing, we expanded on the side, double beside in the

center and development as you can see here.

That’s a market successfully in some years. Westfield with long term

variations to appear that opportunity present itself and we jump into a product

site, in retail’s house so the last the third redevelopment is classic double,

double. Double. So this side of the mall is existing mall. And this is the bridge

part of the center, this is two level mall with the hundred shops and that’s a

classic place of long term vision, And you know if that scene have never been

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touched today would be.

Question : 1 what is walking between from in to in ?

(answer) it’s too long way.

2. How does it affect the shop in?

(answer) the bridge is a long way, if you walk one day you took ah 4.5

kilometers of all around the mall. So it’s a very big mall, so really the mix is so

important. So we put department store, in that side also in this side have

different department store. Shopping mall in this side and the food court over

that side here is a major entertaining malls.

We has some, we talk about more detail examinations, we talked about

am really i just want to put indication example typically example of long term

strategic massive plan property it’s been implemented well. The problem was

set on that growth i think the challenge with the center is the best

performance center is over the side here is very large industry as well. So a

long dated, the challenge would be you know life talked about. Some point a

lot to be capital. So any question on this?

So ok the lastly , I am not sure we need to do, I am not sure if we need to

do this particular workshop that you do in the mall more relevant.

The valuation principles. We had touched on this, and the southland was a

great example of growing your market share and not leaving your market

share decline. It would be a shadow of what it is today and be less spending

and must slow, so maintaining and growing the market share is really key

objectives and the key part of that is keeping your shopping centers well to

market proposal any also different markets, with different people, that

different expectations. We can do nothing in the few more. We come back to

discussion capital expenditure and you know that a great way to keep your

center relevant up to an increase and abiding for your costumers.

Again some of this analysis really would determine with usually tell or

hold we talk about, taken of view analysis they don’t, to the long term plans,

so the key message really is for a long term plan for the malls and that’s the

development function, and it’s also i think my experience that do the asset

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plan as well, and effectively we would have a pretty strong view on what

believe team.

So finally, long and short term objectives am, Some view impacts of

asset value, i think this is pretty obvious but, Westfield, southland all that

things. All financial decisions made on what is base on.

There are many property groups that would make decision base on

valuation impact and the maximize of those years ago. Very distinct we will

maximize the value of assets we will look at the quite difference, some we talk

about food fall, we talk about retails house, location is a prime locations. You

got opportunity to grow if your market you trade is also growing all the time.

And we will catch on, you know. Australia we got some make capital cities with

a lot of generation going on and that means more people coming into areas.

Growing population growth costumers , tenants operating in the center,

competition conditions of the building, the problems because we did and we

had to come back and deal with that capex. And being a challenges in

southland you know. When you keep spending in the center it’s matching the

equipment. So long any short term goes they are often team we touches,

sometimes the asset team they want to do several thing and the business to do

that conflict in a long term expirations for the property, and I have seen the

numbers into the prime because don’t have money to spent, because the

massive redevelopment,

So ladies and gentlemen in some way, hopefully its clear this point but

hopefully it’s clear that a team approached to enhance the performance, on

the am. I think the challenge now in CPN is have the asset management for

long, the business and what it means is gonna have to be think a key

executives that really take ownership of that and pushes and Westfield as I

mentioned startly senior managers were very active in getting meeting and

review, meetings in the malls that’s how you set he culture in the business.

And all you do. Pushing that up to line because that is that bind up through the

business and it would be struggle.

I know we put strategy in place, as we talk about month ago make things

happen, and again most of the things to happen, am, you know I business

operates and that’s the reason why Westfield successful one of the key reason

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is that they get things done.

So again we talk about people, employs building performance team, it’s

not motherhood, it is fundamental to success business in five year’s time, in 10

year’s time, you can have double shopping centers another business in the

markets and you say how you gonna manage that how can we do that I know

from my past experience that it’s a big, big challenge for the business. People is

a seed. Money is ok. Opportunity is ok but a lot of people is gonna how you

back sure.

So this people, the knowledge. Competences, everyone got skills, to rent

to the table, everyone got different ideas, listen to different ideas, its actually

really good to pent sometimes, but different issues.

Sometimes you can’t exit no, it’s an answer. You gonna push it. The bible

else understand the costumer, you know and in that issues we talk about

fundamental goes with that knowledge you will struggle so, in research, in that

retail, you are business that thought on your back, two key requirements so

dare to be different, challenge the conventional really and be flexible on that

and adaptable and that’s a key, i in Westfield amazing,

people business and you know acquired the property in new Zealand am so

the business sometimes. Getting on those hands so you gonna be have ,

people then you gonna be walk on a white to take opportunities.

That’s it ladies and gentlemen for the month I think I am rush and

exercise for you. I help kind of interest, and I have told you so fully exit that a

lot were talking about. I know it’s a right thing to do. It’s been proven am. And

start some things in your business were by a challenge for you but you have to

do it. You must do it. We thank you everybody. I appreciate your time am I

know a 4 days session is hard work and I know the language is make double

hard for you. And I am sure my voice had not enough.