TLI Alt. AO. Prfnpv

    Alternative Asset Opportunities PCC Limited

17 August 2007

Trading update

Following the adoption of the new valuation methodology, announced on 27 July
2007, the table below sets out a range of illustrative annualised returns on
this basis over the remaining life of the Company, with reference to the end
June NAV of 117.8 pence. 

Mortality    Proportion     Exit     -10c      -5c  At Exit      +5c     +10c
Assumption    Surviving Price(c)                      Price                  
(note 1)       (note 2) (note 3)                                             
                                                                             
-18 months        38.5%    45.57    10.0%    10.9%    11.7%    12.6%    13.4%
                                                                             
-6 months         42.4%    45.80     8.5%     9.5%    10.5%    11.5%    12.4%
                                                                             
Central           45.5%    45.98     7.3%     8.5%     9.6%    10.6%    11.7%
                                                                             
+6 months         48.9%    46.17     5.9%     7.2%     8.4%     9.6%    10.7%
                                                                             
+18 months        55.0%    46.50     3.1%     4.7%     6.3%     7.7%     9.0%

Notes

1. The central case assumes that claims experience precisely matches the
valuation basis. The changes as shown illustrate the effect of actual life
expectancies varying from the medically assessed life expectancies by the
stated number of months.

2. This shows the percentage of policy lives insured assumed to survive
throughout the life of the Company.

3. This shows the assumed average realisation values per US$1 of TLI policy
face value in respect of the policies of the surviving lives insured at the end
of life of the Company, by reference to the different mortality assumptions as
stated. The central case corresponds to the valuation assumptions used in
arriving at the end-June NAV.

Source: Surrenda-link Limited

The Company also announces that it has increased its bank facility with Allied
Irish Banks p.l.c. to $30 million and extended its term to March 2009. The
Company's current total bank borrowings are $25 million. Any further draw down
will continue to depend on the balance between monthly premiums payable
(currently around US$750,000 per month) and the receipt of policy maturity
proceeds.

The company's year end is 30 June and a more detailed update will accompany the
release of the Company's full year results.

Enquiries

Laura Duquemin

Kleinwort Benson (Channel Islands) Fund Services Limited

Telephone: +44 (0) 1481 752528



END

Alternative Asset Opps Pcc (LSE:TLI)
Historical Stock Chart
From Jun 2024 to Jul 2024

Alternative Asset Opps Pcc (LSE:TLI)
Historical Stock Chart
From Jul 2023 to Jul 2024