PRESS RELEASE

[ CURRENT FLIGHT STATUS ]

INTERIM RESULTS FOR THE SIX MONTHS ENDED
30 APRIL 2005

Chairman's Statement

This has been a busy period for the Company during which we have significantly progressed our major development, the YES! Project, in South Yorkshire. We are encouraged by the support of major leisure operators and in particular Sony, who are now keen to be associated with the project. We are also optimistic about our consultancy division's prospects and anticipate it making a growing contribution to revenues in the year ahead.

Results

I am pleased to report the results for the six months to 30 April 2005. In line with the Board's expectations we made a loss before exceptional items of £642,030 (2004: £353,610), on a turnover of £5,526 (2004: £1,267). The major part of this loss stems from expenditure on professional fees in relation to the YES! Project, which are not capitalised. These expenditures are within planned forecast levels and have significantly moved the project forward. As at 30 April 2005, the Group had net assets of £11,279,241 (including goodwill of £10,828,446) and cash of £744,310.

The Directors do not propose the payment of a dividend (2004: £Nil).

Trading

I am pleased to report a period of high activity in which significant progress has been made on the YES! Project, our £270 million covered, mixed-use leisure scheme located on a 327 acre ex-coalfield site adjoining the Rother Valley Country Park in Rotherham.

We are now working with a number of key anchor tenants including Baydrive Group, which owns the TopGolf courses, and Venture Xtreme UK Ltd, the specialist sports activity company. We have also signed a Memorandum of Understanding with Sony United Kingdom Ltd and Venue Solutions to provide state of the art, innovative entertainment facilities at the scheme.

Furthermore, the Company has appointed internationally renowned architects CZWG and Holder Mathias to design the project. The innovative and striking design has been well received by the architectural press and will be a landmark for the region.

During the period efforts have been focussed on harnessing political and local support for the project such that we are now in a strong position to secure planning approval. The outline planning application was submitted in January and the Directors anticipate that outline consent will be obtained by the end of 2005. This should enable the development to be completed early 2009.

The Company is also actively promoting its consultancy division which capitalises on the extensive skills and expertise of the management team to offer project consultancy on every aspect of property investment management and development for discerning clients. As part of our expansion in this area we recently appointed a new development executive who has valuable international experience.

Now that firm foundations are in place, this division of the business looks promising. A considerable number of consultancy opportunities are being progressed which we hope will come to fruition soon and boost revenue in 2005/2006. As announced on 1 July, further progress was made when we signed consultancy agreements to advise on two major themed leisure parks in the UK - Shakespeare's World near Banbury, Oxon and Outlaw's Kingdom near Mansfield.

In April at the time of the preliminary results announcement, we successfully raised £1.1 million, net of expenses, through a share placing. The Directors believe that the Company now has sufficient working capital, together with anticipated consultancy income, to take the YES! Project through to planning consent on the revised programme.

With a rapidly growing international reputation in the leisure, retail and hotel sectors, a number of opportunities are now being offered to the Company. Each of these will be carefully analysed and your Board views the future with optimism and is looking forward to fully maximising the Oak brand.

Malcolm Savage

28 July 2005

The full Interim Results Report is available as a dowloadable .pdf document here

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