Third avenue

THIRD AVENUE INTERNATIONAL VALUE FUND

THIRD AVENUE MANAGEMENT LLC

622 THIRD AVENUE

NEW YORK, NY 10017

212.888.5222

WWW.THIRDAVE.COM

For Investment Professionals Only For Investment Professionals Only For Investment Professionals Only For Investment Professionals Only –––– Not for Public DistributionNot for Public DistributionNot for Public DistributionNot for Public Distribution

THIRD AVENUE MANAGEMENT 2

A STRONG FOUNDATION FOR WEALTH CREATION AND PRESERVATION

Our History

� Founded in 1986 by Martin Whitman as the culmination of a multi-decade career in value and distress investing

� Overarching value philosophy derived from a creditor’s point of view and driven by a belief in the primacy of the

balance sheet

� Evolved into a global asset management firm offering five value-oriented strategies:

� Global

� Small-Cap

� Real Estate

� International

� Credit/Distressed

Stable, Long-Tenured Team

� Collaborative culture of independent thinkers – 27 investment professionals

� Consistent, long-standing portfolio management teams

Aligned Interests

� Senior management and investment professionals have material ownership stakes in the firm

� Investment professionals have significant portions of their liquid personal wealth in Third Avenue Funds invested

alongside our clients

Sound Enterprise

� $12 billion* in assets under management

� Partnered with $327 billion* global asset manager Affiliated Managers Group (NYSE: AMG) since 2002

*AUM as of March 31, 2012


THIRD AVENUE MANAGEMENT & VALUE INVESTING

The common view is that there is an elementary trade-off: you have to

take risks to obtain rewards. In Third Avenue Management’s view, there

is no such trade-off, but rather, the cheaper you buy, the greater the

potential investment reward and the cheaper you buy, the less the

inherent risk.

DEDICATED INTERNATIONAL TEAM

4THIRD AVENUE MANAGEMENT 4

Portfolio Manager

29 Years Experience

17 With Firm

Amit Wadhwaney

Sr. Research Analyst

17 Years Experience

8 With Firm

Jakub Rehor

Portfolio Manager

12 Years Experience

12 With Firm

Matthew Fine

Research Analyst

9 Years Experience

9 With Firm

John Mauro

Research Analyst

7 Years Experience

5 With Firm

Michael Campagna


WHY THIRD AVENUE INTERNATIONAL VALUE?

A Differentiated Approach to Global Investing

� Opportunistic approach yields unconstrained portfolios that offer a unique mix of securities across the globe

� Not benchmark focused; high active share*

� Willingness to hold cash in the absence of attractive opportunities

Prudently Concentrated

� Extremely thorough research leads to high conviction portfolios

� Portfolio typically consists of fewer than 40 securities

Global Expertise

� Third Avenue manages approximately $6 billion** in non-U.S. investments across multiple portfolios

� Investing globally since 1996

Augmented Research Capabilities

� The Third Avenue International team benefits from the ability to collaborate with Third Avenue’s Value, Real

Estate and Credit research teams to help source and evaluate investment ideas

Transparent Client Communications

� Informative quarterly portfolio commentaries

� Regularly scheduled conference calls for investment professionals

*The term “active share” refers to the proportion of a portfolio’s stock holdings that is different from the composition of the portfolio’s benchmark.

** As of March 31, 2012.

THIRD AVENUE’S APPROACH TO GLOBAL INVESTING

5 Key Points

� Strictly “bottom-up” approach

� Buy businesses at a significant discount to net asset value

� Risk averse

� Balance sheet focused

� Long-term investors

THIRD AVENUE MANAGEMENT 6THIRD AVENUE MANAGEMENT

6 ONTARIO TEACHERS’ PENSION PLAN

� Understandable business model with a high-quality balance sheet

� Lies in a defensible position in the value chain – assets difficult to replicate

� High quality management aligned with shareholder interests

� Limited risks from currency exposure, political or regulatory issues

� Analysis based on what is currently known. We do not pay up for “optionality” of potential cash flows

� Meaningfully discounted on an “as-is” basis compared to the price a private cash acquirer would pay in an arms-

length, non-distressed, non-hyped transaction

Appropriate Valuations

Key Qualitative Criteria

6

Attractive Valuation

� Trading at about 4x EBITDA*, and at a meaningful discount to our conservative estimate of net

asset value

Strong Growth Potential

� Catalysts for growth and/or stock price appreciation include:

� Broadband penetration in Poland (which is among the lowest in EU)

� Favorable regulatory environment for independent telecom companies

� Continued expansion of EBITDA margins

� Margins had fallen from 35% to 15% on subscriber acquisition investment and other growth

initiatives, but have since rebounded to about 27% currently*.

� Recently two acquisitions have confirmed Netia’s position as the prime consolidator of the Polish

telecom market.

� Further expansion via M&A remains an option.


^2012 adjusted EBITDA guidance.

*Pro forma, before integration costs and synergies from recent acquisitions.

Source: TAM research, company website. TAM believes that Netia provides an illustrative example of its investment approach. This information should not be considered a recommendation to purchase or sell any

particular security.

INDEPENDENT POLISH TELECOM OPERATOR

NETIA (NET PW)

Corporate Description

� Netia is a leading independent fixed-line telecommunications operator in

Poland. It has a nationwide fiber optic network, limited competition from cable

TV, last mile access in cities and excellent opportunities for growth.

Balance Sheet Strength

� Even after acquiring two large competitors for cash in December 2011, the

company’s net debt is only 0.8x EBITDA^.

Netia’s network

DISCOUNTED CANADIAN GLOBAL AGRIBUSINESS PLAYER

VITERRA (TSX: VT)

Investment Conclusion

� On March 20, 2012, global commodities supplier Glencore announced a takeover bid for Viterra, valuing the company at

C $6.1 billion, a 48% premium to its market value prior to Viterra’s disclosure that it received expressions of interest. The

deal is expected to close in Summer 2012.

Source: TAM research, company website. TAM believes that Viterra provides an illustrative example of its investment approach. This information should not be considered a recommendation to purchase

or sell any particular security.

8THIRD AVENUE MANAGEMENT

Corporate Description

� Viterra, formerly Saskatchewan Wheat Pool, is a global agribusiness

operator whose main assets are grain-handling infrastructure in Canada

and Australia, moving grains from farm to ship. The company is also a

retailer of crop inputs, grain trader, and food processor (malting barley

and oats).

� The company originated as a Saskatchewan cooperative, with an

inequitable voting structure and relative lack of access to equity

markets.


Third Avenue Investment

� Third Avenue Management (“TAM”) purchased shares at a meaningful discount to NAV and at a modest multiple of operating

earnings, starting in late 2005.

� TAM provided financing for the hostile takeover of Viterra’s biggest Canadian competitor in 2006.

� TAM supported Viterra’s tender offer for its acquisition of ABB Grain in Australia in 2009.


THIRD AVENUE INTERNATIONAL VALUE FUND (UCITS)

PORTFOLIO CHARACTERISTICS AS OF APRIL 30, 2012


INDUSTRY WEIGHTINGS1

+ Holdings subject to change without notice.

1 Industry classifications provided by Third Avenue for equity holdings only.

2 Source: Thomson Portfolio Analytics; based on equity holdings only

3 Informa IS definitions; based on equity holdings only

4 Includes assets from all Third Avenue offerings under the International

strategy, as of 31 March 2012.

5 “Other” may consist of option investments.

6 All classes are accumulation shares.

MARKET CAPITALIZATION3

Micro (<$500 Million) 4.3%

Small ($500 Million to $2 Billion) 26.1%

Mid ($2 Billion to $7 Billion) 35.1%

Large (>$7 Billion) 34.5%

CHARACTERISTICS

Total Strategy Assets4 $2.12 Billion

Weighted Market Cap2 $15.38 Billion

Median Market Cap2 $3.28 Billion

TAVIXU P/B2 0.89x

MSCI AC World ex US Index P/B2 1.18x

Active share vs MSCI AC World

Index as of 5/31/1298.4%

Active share vs MSCI AC World ex

US Index as of 5/31/1297.3%

ASSET CLASSES

Equity 90.8%

Debt 0.0%

Cash, Equivalents & Other5 9.2%

1.5%

5.7%

3.4%

11.8%5.4%

2.3%

5.2%

2.9%

0.2%

0.5%

2.3%

9.2%

5.3%

7.1%

4.4%

0.7%

2.2%

2.5%

2.2%

1.4%

2.3%

0% 2% 4% 6% 8% 10% 12%

Transportation

Telecommunications

Securities Brokerage

Real Estate

Pharmaceuticals

Other Financial

Oil & Gas

Metals & Mining

Media and Entertainment

IT Services

Investment Companies

Insurance & Reinsurance

Holding Companies

Forest Products & Paper

Electronics Components

Diversified Operations

Corporate Services

Capital Goods

Building & Construction Products/Services

Automotive

Agriculture

Advertising

12.1%

SHARE CLASSES6 ISIN MANAGEMENT FEE NAV/SHARE

Class A1 USD IE00B57HGV17 1.60% $26.93

Class A2 GBP IE00B57HGW24 1.60% NA

Class A3 EUR IE00B57HGX31 1.60% €25.44

Class A4 USD Institutional IE00B6WFK593 1.10% $22.65

Class A5 EUR (Hedged) Institutional IE00B6WFK601 1.10% NA

TOP 10 HOLDINGS*

WBL Corp. 7.1%

Netia SA 5.7%

Taylor Wimpey 4.2%

Weyerhaeuser Co. 4.1%

White Mountains Insurance Group 3.7%

Daiwa Securities 3.4%

Sanofi-Aventis 3.4%

Leucadia National Corp. 3.3%

Allianz 2.8%

Munich Re 2.8%

TOP 10 COUNTRIES

United States 12.6% Canada 6.0%

United

Kingdom 11.0% Poland 5.7%

Japan 10.4% France 5.5%

Singapore 7.9% Hong Kong 4.8%

Germany 7.7% Austria 2.6%


THIRD AVENUE INTERNATIONAL VALUE FUND (UCITS)

PORTFOLIO HOLDINGS AS OF APRIL 30, 2012


NAME WEIGHT COUNTRY INDUSTRY

WBL CORP LTD 7.14% SINGAPORE ELECTRONICS COMPONENTS

NETIA SA 5.72% POLAND TELECOMMUNICATIONS

TAYLOR WIMPEY PLC 4.15% UNITED KINGDOM REAL ESTATE

WEYERHAEUSER CO 4.10% UNITED STATES FOREST PRODUCTS & PAPER

WHITE MOUNTAINS INSURANCE GROUP, LTD 3.66% UNITED STATES INSURANCE & REINSURANCE

DAIWA SECURITIES 3.45% JAPAN SECURITIES BROKERAGE

SANOFI-AVENTIS SA 3.36% FRANCE PHARMACEUTICALS

LEUCADIA NATIONAL CORP 3.34% UNITED STATES HOLDING COMPANIES

ALLIANZ SE 2.80% GERMANY INSURANCE & REINSURANCE

MUENCHENER RUECKVERSICHERUNGS AG 2.76% GERMANY INSURANCE & REINSURANCE

MITSUI FUDOSAN CO LTD 2.61% JAPAN REAL ESTATE

HUTCHISON WHAMPOA LTD 2.59% HONG KONG DIVERSIFIED OPERATIONS

ATRIUM EUROPEAN REAL ESTATE LTD 2.57% AUSTRIA REAL ESTATE

LG CORP 2.56% SOUTH KOREA HOLDING COMPANIES

PARGESA HOLDING SA 2.50% SWITZERLAND HOLDING COMPANIES

SEGRO PLC 2.48% UNITED KINGDOM REAL ESTATE

ASATSU-DK INC 2.33% JAPAN ADVERTISING

YUANTA FINANCIAL HOLDING CO LTD 2.33% TAIWAN OTHER FINANCIAL

RESOLUTION LTD 2.30% UNITED KINGDOM INVESTMENT COMPANIES

GUOCO GROUP LTD 2.20% HONG KONG HOLDING COMPANIES

DAIMLER AG 2.16% GERMANY AUTOMOTIVE

NEXANS SA 2.15% FRANCE CAPITAL GOODS

GLAXOSMITHKLINE PLC 2.09% UNITED KINGDOM PHARMACEUTICALS

TITAN CEMENT CO 2.04% GREECE BUILDING & CONSTRUCTION PRODUCTS/SERVICES

PETROLEUM GEO-SERVICES 2.03% NORWAY OIL & GAS

ANTARCHILE SA 1.78% CHILE DIVERSIFIED OPERATIONS

ENCANA CORP 1.71% CANADA OIL & GAS

NEWMONT MINING CORP 1.54% UNITED STATES METALS & MINING

PRECISION DRILLING TRUST 1.48% CANADA OIL & GAS

SEINO HOLDINGS CORP 1.48% JAPAN TRANSPORTATION

GP INVESTMENTS 1.47% BRAZIL HOLDING COMPANIES

VITERRA INC 1.43% CANADA AGRICULTURE

RUBICON LTD 1.25% NEW ZEALAND FOREST PRODUCTS & PAPER

KINROSS GOLD CORP 1.23% CANADA METALS & MINING

BOARDROOM, LTD 0.74% SINGAPORE CORPORATE SERVICES

OTSUKA CORP 0.52% JAPAN IT SERVICES

TENON LTD 0.49% NEW ZEALAND BUILDING & CONSTRUCTION PRODUCTS/SERVICES

ALMA MEDIA OYJ 0.15% FINLAND MEDIA AND ENTERTAINMENT

DUNDEE PRECIOUS METALS INC 0.12% CANADA METALS & MINING

4/30/12 Portfolio

Cash Level = 9.21%


THIRD AVENUE INTERNATIONAL VALUE FUND

PERFORMANCE AS OF MAY 31, 2012

*Inception for Third Avenue International Value Fund (40Act) is December 31, 2001.

^Inception for Third Avenue International Value Fund (UCITS) is March 31, 2009.

The MSCI AC World ex US Index is an unmanaged index of common stocks and includes securities representative of the market structure of over 50 developed and emerging market countries (other than the United States)

in North America, Europe, Latin America and the Asian Pacific Region. The MSCI AC World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of

developed and emerging markets. The MSCI World Value Index covers the full range of MSCI Developed, Emerging and All Country Indices across large, mid and small cap size segmentations. The index is constructed using an approach that provides a precise definition of style using historical and forward-looking fundamental data for each security in order to properly capture the appropriate value (as opposed to growth) securities.

Past performance is no guarantee of future results; returns include reinvestment of all distributions. Third Avenue Funds are offered by prospectus only. The prospectus contains important information, including investment

objectives, risks, advisory fees and expenses. Please read the prospectus carefully before investing in the Funds. Past performance is no guarantee of future results. Investment return and principal value fluctuate so that

an investor's shares, when redeemed, may be worth more or less than the original cost. For updated information or a copy of the Fund’s prospectus, please call 1-800-443-1021 or go to our web site at www.thirdave.com

11

2011 2010 2009 2008 2007 2006 2005 2004 2003 2002

International Value Fund (40 Act) -15.28% 11.11% 35.43% -37.28% 3.36% 17.13% 18.00% 27.71% 54.68% -2.87%

MSCI AC World ex US Index -13.33% 11.60% 42.14% -45.24% 17.12% 27.16% 17.11% 21.36% 41.41% -14.67%

MSCI AC World Index -6.86% 13.21% 35.41% -41.85% 12.18% 21.53% 11.37% 15.75% 34.63% -18.98%

MSCI World Value Index -4.92% 9.77% 27.70% -39.85% 4.09% 25.94% 10.30% 19.26% 39.00% -19.55%


THIRD AVENUE INTERNATIONAL VALUE FUND (40ACT) NET PERFORMANCE AS OF MAY 31, 2012

Annualized

1 Month 3 Month YTD 1 Year 3 Year 5 Year 10 Year Inception*

International Value Fund (40Act) -9.90% -13.03% -0.42% -20.88% 3.28% -5.31% 7.48% 7.77%

MSCI AC World ex US Index -11.25% -13.73% -2.66% -20.11% 5.01% -5.12% 6.11% 6.20%

MSCI AC World Index -8.88% -9.22% 0.97% -11.81% 9.38% -3.17% 5.09% 4.66%

MSCI World Value Index -8.53% -9.15% -0.92% -12.65% 7.86% -5.53% 4.39% 4.18%

THIRD AVENUE INTERNATIONAL VALUE FUND (UCITS) NET PERFORMANCE AS OF MAY 31, 2012

Annualized

1 Month 3 Month YTD 1 Year 2 Year Inception^

International Value Fund (UCITS) -10.39% -13.32% -0.45% -21.31% -0.74% 6.11%

MSCI AC World ex US Index -11.25% -13.73% -2.66% -20.11% 2.10% 13.58%

MSCI AC World Index -8.88% -9.22% 0.97% -11.81% 6.57% 16.26%

MSCI World Value Index -8.53% -9.15% -0.92% -12.65% 5.16% 15.23%

THIRD AVENUE INTERNATIONAL VALUE FUND: UP/DOWN CAPTURE

VS MSCI AC WORLD EX US INDEX

Inception through March 31, 2012


Upside%

0

20

40

60

80

100

120

140

Downside%

0 20 40 60 80 100 120 140

Third Avenue International Value

MSCI AC WORLD INDEX ex USA


Up

28

MSCI AC WORLD INDEX ex USA 28

Down

13

13

Up

Market

7.29

8.22

Down

Market

-7.00

-9.79

Best

65.98

61.67

Worst

-43.50

-46.18

Up

Capture

87.0

100.0

Down

Capture

75.1

100.0

R-Squared

87.75

100.00

# of QuartersAverage Return (%)

vs. Market1-Year (%) Market Benchmark (%)

Inception for Fund is December 31, 2001.

Source: Zephyr StyleADVISOR. Manager returns supplied by: Morningstar, Inc.

Past performance is no indication of future results.


Upside%

0

20

40

60

80

100

120

140

Downside%

0 20 40 60 80 100 120 140


MSCI ACWI


Up

28

MSCI ACWI 27

Down

13

14

Up

Market

7.16

7.57

Down

Market

-5.74

-8.93

Best

65.98

56.31

Worst

-43.50

-42.74

Up

Capture

92.7

100.0

Down

Capture

69.7

100.0

R-Squared

83.14

100.00

# of QuartersAverage Return (%)

vs. Market1-Year (%) Market Benchmark (%)

Inception for Fund is December 31, 2001.

Source: Zephyr StyleADVISOR. Manager returns supplied by: Morningstar, Inc.

Past performance is no indication of future results.

THIRD AVENUE INTERNATIONAL VALUE FUND: UP/DOWN CAPTURE

VS MSCI AC WORLD INDEX

Inception through March 31, 2012

Economy & Finance

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