AMREP Corporation

1
AMREP Corporation
2
General Information

• Index NYSE
• Symbol AXR
• Sector Industrial Goods
• Industry Residential Construction
• Sub-Industry Diversified Commercial
  Professional Services
  
• Employees 1,295
• Senior Management 4
• Board of Directors 7

3
Company Overview

• Product Categories
• Real Estate Development
• Rio Rancho, New Mexico
• 500 businesses
• 17 shopping centers
• Industrial properties
• 85 buildings with 4.5 million square feet.
• Colorado
• Residential properties
• 160 acres with 350 homes
• Commercial properties
• 10 acres
• Focus of its current activity is on the
  entitlement, development and the sale of land for
  residential, commercial and industrial uses

4
Company Overview

• Product Categories
• Magazine Service Operations
• Provides an array of fulfillment services for
  publishers and distributes magazines to
  wholesalers, direct distributors and specialty
  retailers
• Second largest provider of subscription
  fulfillment services to magazine publishers in
  the United States
  
• 725 different magazine titles, for 250 clients
  and almost 41 million active subscriber names

5
Additional Financial Information
6
One Year Chart
7
Competitors

• Competitors for the magazine services Anderson
  News Company, Chas. Levy Circulating Company,
  etc.
  
• Competitors in real estate Pulte Homes
  Industries, Lennar Corporation, etc.

8
Real Estate Comparisons
9
Risks

• Primary Risk Interest rate risk on its long
  term debt and fixed rate receivables
  
• Company does not hedge interest rate risk using
  financial instruments
  
• Major decreases in land value in New Mexico and
  Colorado
  
• Companys real estate business is highly
  concentrated in one market (New Mexico), so
  current and future growth may be limited if the
  economy contracts in this market.
• Substantial legal, regulatory, and other
  requirements regarding the development of the
  land
  
• Beta 1.82

10
Executive Officers

• James Wall, 69 - Senior Vice President of the
  Company since 1991 Chairman, President and Chief
  Executive Officer of AMREP Southwest Inc., a
  wholly-owned subsidiary of the Company, since
  1991.
• Peter M. Pizza, 55 - Vice President and Chief
  Financial Officer of the Company since May 2001
  Vice President and Controller of the Company from
  1997 to 2001.
• Joseph S. Moran, 58 - Vice President, General
  Counsel and Secretary of the Company since June
  2005 Mr. Moran previously served as Vice
  President, General Counsel and Secretary of
  SatCon Technology Corporation from 2001 to 2005.
  
• Michael P. Duloc, 49 - President and Chief
  Operating Officer of the Company's Newsstand
  Distribution Services business since 1996 and of
  the Company's Fulfillment Services business since
  2000.

11
Reasons for Investing

• Large Revenue growth
• From 2004 to 2005 14.73
• From 2005 to 2006 33.13
• Expansion acquiring Palm Coast Data Holdco
• 67.79 increase in net income from 2005 to 2006
• 351 increase in cash flow from operating
  activities from 2005 to 2006
  
• Higher ROA and ROE then competitors

12
Questions???