Preliminary announcement of financial statements 2009/10

On 22 April 2010, the Supervisory Board of TK Development A/S considered and
adopted the 2009/10 Annual Report. An outline is given below: 

• TK Development recorded a profit of DKK 25.4 million after tax against a
previous estimate of about DKK 50 million. The profit for the year includes an
extraordinary DKK -15 million value adjustment of investment properties. Thus,
the profit is in line with expectations. 
• In light of the prevailing market situation, Management considers the profit
for the year acceptable. 
• Consolidated equity totalled DKK 1,593.4 million at 31 January 2010,
corresponding to a solvency ratio of 36.4 %. 
• The Group's 39,500 m² multifunctional centre, Entré in Malmö, Sweden, opened
in March 2009 and was handed over to the investor in June 2009. 
• In December 2009, the Group entered into an agreement with the German
investment fund Commerz Real regarding the sale of its 14,300 m² retail park
project in Danderyd, Sweden.  The total selling price is expected to be in the
SEK 280 million range, based on forward funding. 
• Construction of the Group's 10,900 m2 retail park project in Uppsala, Sweden,
progressed as planned. The fully let retail park opened in March 2010 and has
been sold to the institutional fund of German IVG Funds based on forward
funding. 
• The Group's 17,300 m² shopping centre in Nowy Sącz, Poland, opened at the end
of October 2009, fully let. 
• The Group's 16,500 m² shopping centre in Tarnów, Poland, opened at the end of
November 2009, fully let. 
• In Poland, a sales agreement was made with a user regarding approx. 3,500 m2
of office space in the Tivoli Residential Park, Warsaw, in December 2009. The
sales agreement is based on forward funding. 
•Construction of the Group's approx. 25,000 m² shopping centre Sillebroen in
Frederikssund, Denmark, progressed as planned. The centre opened in March 2010,
and the current occupancy rate is 91 %. 
• The first 6,400 m² phase of the Group's retail park in Most, the Czech
Republic, opened on 30 April 2009. The current occupancy rate for the first
phase of the project is 86 %. 
• In the Czech Republic, the letting of premises in phase II of the Fashion
Arena Outlet Centre of about 7,000 m² has now reached a level allowing the
Group to initiate construction in April 2010. 
• The Group's project portfolio comprised 957,000 m², the same level as at 31
January 2009. 
• The Group operated under difficult market conditions in the 2009/10 financial
year. Management continues to focus on costs, consolidating its position and
executing existing projects in the portfolio. Due to the changed market
conditions, future earnings on part of the Group's existing project portfolio
are under pressure.  Management still expects to record a profit on all
projects in the portfolio, but at a lower than normal profit margin. 
• The Group believes that market price adjustments are coming to an end,
meaning that land prices, construction costs, rent levels and property prices
have stabilized at a new level. Therefore, new projects are expected to
generate a normal profit. 
• At the beginning of 2010, the investment climate was characterized by
cautious optimism and increased investor willingness. 
• Management is assessing additional specific new project opportunities, and
the Group expects to enter into agreements regarding several of these projects. 
• The Supervisory Board recommends to the General Meeting that a capital
increase be implemented in the form of a rights issue with total gross proceeds
of DKK 210.3 million. This will strengthen the Group's financial platform and
allow proactive use of the earnings potential offered by existing projects and
new project opportunities. 
• The capital increase has been discussed with the Group's major shareholders
and a few major private and institutional investors, who have made conditional
commitments to underwrite the total capital increase. 
• For the 2010/11 financial year, the Group expects to generate a profit after
tax of about DKK 100 million. 

Further information is available from Frede Clausen, President and CEO, on tel.
+45 8896 1010.