camp john hay suites “3g” program. ‘3g’ program highlights ‘3g’ program concept (the...
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‘3G’ Program Highlights
‘3G’ Program Concept (The Three Guarantees)• Guaranteed 100% return of principal (unit acquisition
price only, less all discounts) at the end of the leasehold term, in Year 2046
• Guaranteed annual cash dividend of a weighted average of 8%, for the first 5 years, on leaseback units
• Guaranteed completion/delivery of units
G1
G2
G3
3G’ Program HighlightsG1: Guaranteed return of principal or “Money-Back Guarantee” in year 2046
Advantages:• Eliminates buyers’ concern regarding ‘leasehold’ rights;• Buyers can pass on benefits to their children or heirs;How? An investment management account will be established
& managed through a reputable, solid banking institution, BANCO DE ORO, which will be designated as the “TRUSTEE INSTITUTION”
3G’ Program HighlightsG2: Guaranteed annual cash dividend of a weighted
average of 8%, on leaseback units
Advantages Attractive investment with a guaranteed annual
income, of a weighted average of 8%, for the first 5 years
How? By duplicating the historical track record of CJH
Manors for the past 8 years, CJH Hotel Corp can guarantee an average annual cash dividend of 8% for the first 5 years and 8% thereafter.
3G’ Program Highlights
CJH Hotel & Convention Center is a very popular & prestigious venue for year-round conventions, seminars, corporate meetings & events, social functions, etc.;
Historical track record of CJH Manors for the past 8 years reflects a net return of 8%-11%;
10 yr. financial forecast of Suites projects the following: Net Income (Cash): 11.38% per annum Non-Cash (30-days usage): 4.70% per annum Association Dues/CUSA: 2.20% per annumTOTAL BENEFIT: 18.28% per annum
CJH Manor Historical Trends
Camp John Hay Manor Financial Performance (amount in millions)
12.222.28
30.3724.21 28.86
41.12
58.366.18
126.72
146.68138.61
164.31
183.39
208.51
0
50
100
150
200
250
2002 2003 2004 2005 2006 2007 2008
Net Incomebeforedistribution
Total Revenue
3G’ Program Highlights
3 OPTIONS WE CAN OFFER TO THE BUYER:
OPTION 1: 3 G’s - buyer can enjoy all the 3 Guarantees
OPTION 2: 2 G’s - guaranteed construction/delivery of
units, money-back guarantee, but cash dividend is variable (not guaranteed at 8%), based on
actual performanceOPTION 3: 1 G - guaranteed construction/delivery of unit only
3G’ Program HighlightsG3: Guaranteed Completion /Delivery of Units Advantages• Assures buyers of full completion & delivery of
units giving them “peace of mind”
How? - Project Manager will submit construction
schedule - Guaranteed dates of construction per unit will be included in the inventory listing
Proposed “Money-Back Guarantee & Guaranteed Return” Structure
How?• Signing of an Investment Management Agreement by and between CJH Suites Corp. and the bank
• Banco de Oro, as the Trustee Institution shall handle the : - management of the investment - administration - safekeeping - proper disbursement
Proposed “Money-Back Guarantee & Guaranteed Return” Structure
How?
• Deposit to the Trustee Institution (BDO), the required contribution, to guarantee money back in 2046, based on the actuarial study for the remaining term of 37 years
CREATESINKING
FUND
PROPOSED CJH SUITES “MONEY-BACK GUARANTEE”& ‘GUARANTEED DIVIDEND” STRUCTURE
CJH DevCo
BANCO DE OROTrustee Institution
OPEN IMA ACCOUNTInvestment Management Account
2046 “MONEY BACK GUARANTEE”TRUST FUND
(For remaining 37 years)
GUARANTEED RETURN FUND@
8% DIVIDEND PER YEAR
CJH SUITES CORPORATIONBoard of Directors
CJH SUITES CORPORATIONBoard of Trustees G
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• Manage the Investment• Administration • Safekeeping• Proper Disbursement
‘3G’ Program Highlights
• The CJH SUITES ‘3G program’, will be launched at the current price of P70k/sq.m
• Price will be increased after 30 days from date of launching
• Guaranteed Date for the completion of the construction of ALL units in phase 1, is on December 31, 2009
• Target Date for Full Hotel Operations of Suites Phase 1, is on March 30, 2010
• Release of the cash dividends will be on April 2011 - downpayment of 30% will start earning
dividends