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Foresight 4 VCT plc
Interim Report for the six months
ended 31 August 2004

Objective
The objective of Foresight 4 VCT plc (formerly Advent 2 VCT plc) is to provide investors with an
attractive return, principally by maximising the stream of dividend distributions from the income and
capital gains generated by a portfolio of investments mainly in established unquoted companies in
the United Kingdom.
VCT Tax Benefit for Shareholders beyond 6 April 2004
To obtain VCT tax reliefs on subscriptions up to £200,000 per annum, a VCT investor must be a
‘qualifying’ individual over the age of 18 with UK taxable income. The tax reliefs for subscriptions
since 6 April 2004 are:
• Income tax relief of 40% on subscription into new shares, which is retained by shareholders if the
shares are held for more than three years. This relief is available for the two tax years 2004/05
and 2005/06.
• VCT dividends (including capital distributions of realised gains on investments) are not subject to
income tax.
• Capital gains on disposal of VCT shares are tax free, whenever the disposal occurs.
Website: www.foresightvct.com
Contents
Summary and Chairman’s Statement 1
Investment Summary 3
Profit and Loss Account 9
Statement of Total
Recognised Gains and Losses 9
Balance Sheet 10
Summarised Statement of Cashflows 11
Notes to the Interim Report 12
Shareholder Information
Corporate Information

Summary
● The Company invested £310,673 in follow-on funding rounds in five portfolio companies: Advanced Visual Technology
(£50,000), EnSeal Systems (£100,018), IPV (£42,222), Nomad Software (£100,000) and Reqio (£18,433).
● A prudent basis of valuation and continuing difficult market conditions for some portfolio companies have contributed
to provisions of £5.96m being made against the previous valuations of twelve investments.
● During the six-month period, upward revaluations were made to three investments totalling £1.13m as a result of
improved trading performance or exit prospects.
● A number of portfolio companies now have stronger sales pipelines and order books, reflecting increased customer
demand.
● Preliminary approaches have been received from possible purchasers or merger partners for certain portfolio
companies, a number of which are being pursued and which could lead to exits being achieved in due course.
● A final dividend is not being recommended.
● The Company continues to exceed the 70% requirement for investment in qualifying holdings set by the Inland Revenue.
Chairman’s Statement
Roger Brooke
Change of Manager, Name and Directors
On 30 June 2004, I wrote to you explaining and seeking
shareholders’ approval to a proposed change of the
manager of the Company and a change of name.
At the Extraordinary General Meeting held on 26 July,
shareholders approved these changes. On 30 July,
Foresight Venture Partners took over the management of
the Company from Advent Fund Managers Limited, the
name of the Company was subsequently changed from
Advent 2 VCT plc to Foresight 4 VCT plc, the resolution for
continuation as a VCT was deferred for five years and a
new carried interest scheme was introduced for Foresight
Venture Partners. Sir Peter Williams and Sir David Cooksey
then resigned as directors while Philip Stephens and
I agreed to remain as a Director and Chairman respectively.
Following the appointment of Bernard Fairman and Peter
Dicks, I now welcome both of them to the Board. Bernard
is one of the two founder partners of Foresight Venture
Partners, which was established twenty years ago to invest
in the technology sector. Foresight Venture Partners has
a well established reputation as a successful manager in
the technology sector, having launched and managed
Foresight Technology VCT plc, the most successful VCT
since launch in 1997 and recent winner of the “Investor
All Stars” Venture Capital Trust of the year award. Peter was
a founder director in 1973 of Abingworth PLC, a successful
venture capital company, and is a director of a number of
listed and unquoted companies; he is also Chairman of
Foresight Technology VCT plc and Unicorn AIM VCT plc.
I am confident that Foresight Venture Partners will help to
improve the prospects for the portfolio and increase the
likelihood of generating positive returns for shareholders.
Foresight Venture Partners has plans to raise further funds
for the Company and is being proactive in arranging
banking finance. Foresight Venture Partners is currently
developing its strategy to maximise returns from each
portfolio company.
Introduction
I indicated in my last Annual statement in April that our
portfolio companies were experiencing improving market
conditions and that there were clear signs that the recovery
was building further. A number of portfolio companies
have benefited from these conditions but others have still
found trading conditions difficult. A detailed review of
portfolio valuations by Foresight Venture Partners as at
31 August 2004 has contributed to a number of changes to
previous valuations – both upwards and downwards – with
the overall effect of substantially reducing the net asset
value of the Company from 44.3p per share as at
29 February 2004 to 30.4p per share as at 31 August 2004.
Investment activity
During this six month period, £310,673 was invested in
follow-on funding rounds in five portfolio companies,
namely Advanced Visual Technology (£50,000), EnSeal
Systems (£100,018), IPV (£42,222), Nomad Software
(£100,000) and Reqio (£18,433) and no new investments
were made. A prudent basis of valuation and continuing
difficult market conditions have contributed to provisions
of £5.96m being made against the previous valuations of
twelve investments. These included provisions of £474,000
against the investment in Adeptra which is making slower
progress than originally expected; £774,000 against the
investment in IPV reflecting its failure to complete a
proposed refinancing; £727,000 against the investment in
PrismTech reflecting the news of a proposed refinancing
and £811,000 against the investment in Reqio which
continues to experience very difficult trading conditions.
Foresight 4 VCT plc
1

Chairman’s Statement
However, improved trading and exit prospects enabled
upward revaluations to be made to the investments in
Healthgain Solutions, Snell & Wilcox and DNA Research
Innovations, totalling £1.13m.
The prospects of several portfolio companies continue
to improve gradually. Footfall, INCA Digital Printers, The
Casella Group and Healthgain Solutions have all produced
good trading performances. However, whilst EnSeal
Systems and Elam-T have achieved key milestones for their
technologies and are progressing to commercialisation, this
is likely to take considerable further time.
On 28 October 2004, the investment in DNA Research
Innovations Limited was successfully realised when the
company, which has developed and patented its own
DNA purification/extraction technology, was acquired by
Invitrogen Corporation of the USA – one of the largest life
science technology groups in the world. This realised
£1.4m in cash at completion while a further £1.4m may be
realised if certain technical milestones are achieved. This
would then represent a return of nearly three times the
original cost of investment of £1m. The proceeds from this
realisation have reduced the Company’s bank borrowing
requirements appreciably.
Balance sheet
The net asset value per share as at 31 August 2004 was
30.4p compared with 44.3p as at 29 February 2004.
Valuation policy
Unquoted investments have been valued in accordance
with guidelines issued by the British Venture Capital
Association (BVCA) except that listed securities are valued
at mid-market prices with no discount applied.
Dividend
The Company realised no gains and had a low level
of income during the period. The Board is therefore not
recommending a dividend. Gross cumulative dividends
paid since the inception of the Company amount to 21.8p.
Venture Capital Trust Status
Foresight 4 VCT plc has been granted approval as a
Venture Capital Trust (VCT) under section 842AA of the
Income and Corporation Taxes Act 1988 and it is intended
that the business of the Company be carried on so as to
maintain its VCT status.
Foresight 4 VCT plc
2
Purchase of own shares
It continues to be the Company’s policy to consider
repurchasing shares when they become available in order
to provide liquidity for the Company’s shares and it is
hoped that this may be possible in the medium-term.
However, the need to maintain cash resources for follow
on investments has not enabled the Company to
repurchase any shares during this six-month period and
the existence of a loan, as referred to below, further
compounded this situation.
Borrowing
In the last annual report, I highlighted the lack of
cash available within the Company. The Company has a
borrowing facility with its bankers, of which some £1 million
was drawn as at 31 August 2004. Following the realisation
of the investment in DNA Research Innovations Limited the
Company intends to repay its bank debt whilst maintaining
access to ongoing borrowing facilities.
Outlook
A number of portfolio companies are benefiting from
more stable economic conditions after a long period
of difficult trading, careful cost control and cash
preservation. Portfolio companies are now increasing
their sales and marketing efforts and ensuring they have
sufficient resources to manage growing order books
and sales. I believe that a number of companies in the
portfolio have the potential to generate value provided that
circumstances continue to improve, particularly corporate
spending on IT and services. Preliminary approaches have
been received from possible purchasers or merger partners
for certain companies in the portfolio, a number of which
are being pursued and these approaches could lead to
exits being achieved in due course.
The Board is disappointed at the substantial further decline
in the net asset value of the Company but believes that
this represents the application of robust and prudent
valuations in line with BVCA guidelines and that the
recent appointment of Foresight Venture Partners, a VCT
manager with a strong performance record, is an important
milestone in building and realising value from the portfolio.
Roger Brooke
Chairman
29 October 2004

Investment Summary
THE VENTURE CAPITAL FUNDS
On 30 July 2004, Foresight Venture Partners replaced Advent Fund Managers Limited as the investment manager of the
Company. Foresight Venture Partners’ obligations are detailed in an Investment Management Agreement of the same date.
During the six-month period ended 31 August 2004, further investments totalling £310,673 were made in five existing portfolio
companies. The full investment portfolio as at 31 August 2004 is detailed below:
Adeptra Ltd
develops and markets interactive content based alert services, principally to banks in the USA and UK for debit and credit card notification where
a transaction may be suspect or where an account is overdue. The company has made initial traction in these markets which provide very strong
growth opportunities. In addition there are many other potential applications including: share price, sports results and other content based alerts.
The number of customers and volume of alerts are increasing steadily, however the valuation reflects the slower than expected rate of progress
and the weight of prior ranking capital raised in October 2000.
Dates of Investment: December 1999
March 2000
October 2000
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 December 2003
£’000
Amounts Invested £1,228,828 £1,228,828 Sales £1,390
Valuation £140,000 £614,414 Loss Before Tax (£4,553)
% Equity / Voting Rights 3.2% 3.2% Net Liabilities (£1,576)
Advanced Visual Technology Ltd
develops and markets retail space management software and now has 45 customers worldwide including Tesco, W H Smith, Barclays and HMV
in the UK and Office Depot, Staples and KMart in the USA. Its products deliver impressive financial improvements for customers and more
salesmen, partners and resellers have been recruited to increase marketing efforts. In the year to September 2003, AVT achieved its first ever
annual profit but trading in the year to 30 September 2004 has proved more difficult due to slower capital expenditure by customers and a loss
is expected to be incurred.
Dates of Investment: December 1998
February 2000
September 2000
February 2001
May 2004
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 September 2003
£’000
Amounts Invested £1,806,844 £1,756,844 Sales £1,762
Valuation £750,000 £1,317,633 Profit Before Tax £11
% Equity / Voting Rights 34.6% 34.6% Net Assets £207
DNA Research Innovations Ltd
continues to develop its patented, flexible technology for extracting pure DNA from a wide variety of samples and is generating a growing pipeline
of new products. A range of 27 products has now been developed for extracting both DNA and RNA both manually and with robots which are
now being sold through a small sales force, including specific products for: forensics applications, human blood, animal blood and plants. A
number of key accounts have been won while full commercialisation is expected to be achieved through marketing/distribution agreements and
partnerships with major companies. Foresight 4’s investment in DNA Research Innovations was acquired by Invitrogen Corporation from the
US on 28 October 2004 for an initial consideration of £1.4 million rising to £2.8 million if certain technical milestones are achieved.
Date of Investment: December 2000
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 June 2004
£’000
Amounts Invested £1,000,000 £1,000,000 Sales 23
Valuation £1,800,000 £1,000,000 Loss Before Tax (£2,035)
% Equity / Voting Rights 8.7% 8.7% Net Assets £2,865
Foresight 4 VCT plc
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Investment Summary
Elam-T Ltd
develops organic emitting display materials targeting the flat-screen display market. Its materials are well suited to small portable devices with bright
clear colours, long lifetimes and low power consumption. The company is working closely with key Far East product manufacturers which have given
positive feedback, however commercial revenues are around twelve months away because of the cycle of building new manufacturing facilities. The
$50bn global display screen market offers strong licence revenue opportunities, however the current valuation has been reduced to reflect the slow
commercial adoption and preference shares held by other investors from more recent funding rounds in which the company did not participate.
Dates of Investment: November 2000
October 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 July 2003
£’000
Amounts Invested £710,000 £710,000 Sales £5
Valuation £20,000 £710,000 Loss Before Tax (£1,971)
% Equity / Voting Rights 6.3% 6.3% Net Assets £1,834
EnSeal Systems Ltd
has developed seal encoding technology for detecting cheque and document fraud. The technology is being used by the US Federal Reserve
Bank, and licenced to J P Morgan Chase, Fiserv (a major US banking services provider), an affiliate of Bank of America and HSBC USA. Several
major US banks are keen to adopt this anti-fraud technology to sell as a revenue generating service to their corporate customers.
Dates of Investment: February 2002
February 2003
June 2004
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 December 2003
£’000
Amounts Invested £961,033 £861,015 Sales £312
Valuation £961,033 £861,015 Loss Before Tax (£320)
% Equity / Voting Rights 75.0% 75.0% Net Liabilities (£264)
Eqos Ltd
develops and markets e-collaboration and CRM (customer relationship management) software for business to business transactions, principally
sold to major UK retailers for improving the efficiency of their supply chains. A significant proportion of annual sales revenue comes from repeat
orders from existing customers but annual sales growth depends on winning a small number of orders from new customers. Eqos has recently
won its first large contract in the USA with a major national retailing group.
Dates of Investment: March 2000
March 2001
May 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 September 2003
£’000
Amounts Invested £1,050,000 £1,050,000 Sales £2,615
Valuation £500,000 £1,050,000 Loss Before Tax (£567)
% Equity / Voting Rights 6.6% 6.6% Net Liabilities (£3,923)
Foresight 4 VCT plc
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Investment Summary
Footfall Ltd
produces a key index for UK retail performance and is used by the Bank of England Monetary Policy Committee. The company is the UK’s leading
provider of automated counting systems in retail environments and provides managed services to rapidly process and publish individual client
data and national indices. A strong growth in sales during 2003 included prestigious projects such as the Bull Ring in Birmingham. Footfall is
profitable and continues to forecast strong growth based on penetration of the UK and European retail markets.
Dates of Investment: April 2000
September 2001
November 2001
June 2002
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 March 2004
£’000
Amounts Invested £1,309,200 £1,309,200 Sales £6,157
Valuation £1,270,403 £1,270,403 Profit Before Tax £386
% Equity / Voting Rights 9.1% 9.1% Net Assets £2,733
Healthgain Solutions Ltd
continues to deliver good revenue growth in a tough market for healthcare contract sales teams. Growth has been achieved on the back of the
company’s reputation for delivering high quality teams for specialist application, and displacing more well known and larger contract sales team
competitors. The company remains highly regarded for its specialist NHS knowledge and has a growing blue-chip customer base.
Date of Investment: June 2000
As at 31 August 2004 As at 29 February 2004 Year Ended:
Draft
30 April 2004
£’000
Amounts Invested £999,989 £999,989 Sales £2,515
Valuation £1,260,000 £999,989 Loss Before Tax (£418)
% Equity / Voting Rights 40.0% 40.0% Net Liabilities (£887)
INCA Digital Printers Ltd
develops and manufactures large flat bed ink jet printing machines. Reflecting growing confidence in the printing industry, orders for Inca’s Eagle
and the even larger Columbia machines, capable of printing hoarding sized coloured images at high speed on a variety of materials, have grown
appreciably during 2004 from customers in the UK, USA and China. This is now being reflected in improving profitability.
Dates of Investment: May 2000
November 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 April 2004
£’000
Amounts Invested £756,025 £756,025 Sales £14,283
Valuation £1,900,000 £2,334,513 Profit Before Tax £1,020
% Equity / Voting Rights 7.6% 7.6% Net Assets £3,220
Foresight 4 VCT plc
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Investment Summary
IPV Ltd
designs and sells video editing hardware and software to the broadcast industry worldwide. With only a narrow product range and a small number
of key OEM customers, the company was heavily loss-making. A new Chief Executive was appointed in May 2003 and, as part of his turnround
strategy, the product range has now been broadened appreciably, new markets established and the number of partners increased around the
world. The company requires further finance to fully develop these markets and therefore this uncertainty has been reflected in the valuation.
Dates of Investment: December 1999
August 2000
April 2004
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 March 2003
£’000
Amounts Invested £1,562,222 £1,520,000 Sales £1,262
Valuation £28,000 £760,000 Loss Before Tax (£486)
% Equity / Voting Rights 13.3% Net Assets £39
Nomad Software Ltd
is a London based developer and supplier of retail payments software and systems to the Central and Eastern European retail banking sector.
The software is used in handling and processing of payments via debit and credit cards and ATMs. Reflecting a decline in demand from banks
during 2002, Nomad incurred a substantial loss but in the second half of 2003 won a number of orders from new customers which substantially
reduced the level of losses. This improvement in orders and sales has continued during 2004. In conjunction with IBM, Nomad has recently set
up Debit Direct, a new outsourced debit card service to enable smaller UK financial institutions to issue such cards cost effectively and without
heavy capital investment. Considerable interest has been shown by such institutions and a number of customers have already contracted for this
new service.
Dates of Investment: March 2000
December 2001
April 2004
As at 31 August 2004 As at 29 February 2004 Year Ended:
Draft
31 December 2003
£’000
Amounts Invested £1,174,516 £1,074,516 Sales £3,345
Valuation £550,000 £805,887 Loss Before Tax (£803)
% Equity / Voting Rights 8.8% 8.8% Net Assets £280
Oasis Healthcare plc
is the UK’s leading privately focused dental group with a national chain of 127 practices providing a full range of dental services, including
implants and cosmetics. Oasis floated on AIM during 2000 and has since grown by a series of acquisitions. In February 2004, Oasis announced
a profits warning for the year to 31 March 2004 and has since taken a number of steps to improve operational efficiency and profitability. A new
Chief Executive, Stephen Lambert, was appointed in August 2004.
Date of Investment: January 2003
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 March 2004
£’000
Amounts Invested £474,286 £474,286 Sales £73,911
Valuation £132,800 £181,985 Loss Before Tax (£3,398)
% Equity / Voting Rights 1.2% 1.2% Net Assets £11,762
Foresight 4 VCT plc
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Investment Summary
PrismTech Ltd
develops middleware software based on CORBA open standards that enables enterprise applications to be used over distributed and mobile
networks. The company’s customers include key international and US defence and telecoms businesses. The company’s sales are growing
with £5m revenues this year and the company has reached breakeven profitability run-rate. However, PrismTech will continue to need to invest
in product development to exploit market opportunities, and the valuation has been adjusted to reflect this and a potential funding round.
Dates of Investment: June 2000
August 2001
December 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 March 2003
£’000
Amounts Invested £1,486,000 £1,486,000 Sales £3,643
Valuation £16,000 £743,000 Loss Before Tax (£980)
% Equity / Voting Rights 15.0% 15.0% Net Assets £2,755
Reqio Ltd
continues to secure contracts for its software in the emerging market for catalogue solutions. Recent contract wins include Asite (a services
provider to purchasing organisations) and Kem Edwards (a UK component distributor). Reqio’s software is robust and highly configurable,
but market demand remains weak in the short-term, with many of Reqio’s UK competitors having failed. With a reliable and proven software
solution, the company is focused on its sales and marketing effort, however the valuation has been adjusted to reflect the very poor cash
position and near-term funding round to support working capital requirements.
Dates of Investment: January 2001
September 2001
September 2002
January 2003
June 2004
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 September 2003
£’000
Amounts Invested £1,678,206 £1,659,773 Sales £860
Valuation £37,000 £829,887 Loss Before Tax (£2,378)
% Equity / Voting Rights 9.5% 9.5% Net Assets £722
Signum Technologies Ltd
has developed and owns a number of patents relating to the digital watermarking of electronic images to ensure that an original electronic image
has not been manipulated e.g. for scene of crime photographic evidence. Although royalties are generated from licensees including police
forces and photocopier manufacturers, customer demand has been appreciably less than originally expected.
Dates of Investment: January 2000
February 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 June 2004
£’000
Amounts Invested £1,254,000 £1,254,000 Sales £96
Valuation – – Loss Before Tax (£54)
% Equity / Voting Rights 35.2% 35.2% Net Assets £136
Foresight 4 VCT plc
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Investment Summary
Snell & Wilcox (UK) Ltd
is a leading manufacturer of broadcast electronics and a global leader in digital and high definition TV systems. In May 2002, Advent Venture
Partners led a geared institutional buy out of this loss-making company. The new management team has significantly restructured the business,
including making redundancies, cutting costs and improving operational efficiency. The team is now making good progress and has returned the
company to profitability.
Date of Investment: September 2001
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 March 2004
£’000
Amounts Invested £839,137 £839,137 Sales £33,266
Valuation £330,000 £261,552 Loss Before Tax (£3,187)
% Equity / Voting Rights 1.6% 1.6% Net Liabilities (£1,027)
The Casella Group Ltd
is a leading environmental consultancy, services and instrumentation group. Prior to a change in senior management in late 2002 and a
refinancing, the company was loss-making. Casella’s trading results have improved markedly from losses to significant positive EBITDA (earnings
before interest, tax, depreciation and amortisation) and the group is now looking to achieve further growth in both sales and profits in the
current year. Three of Casella’s subsidiaries, Stanger, Winton and Hazmat, are considered major brands within their respective niches in the
environmental market.
Dates of Investment: April 2000
November 2002
September 2003
February 2004
As at 31 August 2004 As at 29 February 2004 Year Ended: 30 June 2003
£’000
Amounts Invested £1,596,249 £1,596,249 Sales £38,073
Valuation £1,125,000 £1,596,249 Loss Before Tax (£5,485)
% Equity / Voting Rights 5.5% 5.5% Net Liabilities (£5,493)
VectorCommand Ltd
is a globally recognised authority on incident command and continues to secure orders for its core Fire Simulation and Training suites. Thirty-six
UK Fire Brigades and eight Australian Fire Authorities have deployed the system, and other users are based in Europe, the USA, Canada and the
West Indies. The company has over twenty fire scenarios and in partnership with Western government agencies is expanding its product portfolio
with the introduction of multi-agency Emergency Management tools. Early success has been achieved selling these into overseas markets, with
the company believed to be at the leading edge of training and emergency preparation tools. The valuation reflects anticipated funding to
enhance the product set and develop international sales, particularly in the USA.
Dates of Investment: September 1999
November 2000
April 2002
As at 31 August 2004 As at 29 February 2004 Year Ended: 31 December 2003
£’000
Amounts Invested £1,468,750 £1,468,750 Sales £1,000
Valuation £1,100,000 £1,101,563 Loss Before Tax (£3)
% Equity / Voting Rights 34.4% 34.4% Net Assets £838
Associated Funds
Foresight Venture Partners also advises Foresight Technology VCT plc, Foresight 2 VCT plc and Trivest plc and manages Foresight 3 VCT plc. Investments have been made by
Foresight 3 VCT plc in Oasis Healthcare (£1,343,809), IPV (£1,608,074), Elam-T Ltd (£810,000) and DNA Research Innovations Ltd (£521,890).
Foresight 4 VCT plc
8

Profit and Loss Account
for the six months to 31 August 2004
6 Months to 6 Months to Year to
31 August 2004 31 August 2003 29 February 2004
(unaudited) (unaudited) (audited)
£'000 £'000 £'000
Investment income and deposit interest 44 90 137
Investment management fees (81) (177) (309)
Other expenses (123) (92) (193)
Finance costs (34) (16) (54)
––––––– ––––––– –––––––
Operating loss (194) (195) (419)
Profit/(loss) on realisation of investments 25 (424) (5,636)
––––––– ––––––– –––––––
Loss on ordinary activities before taxation (169) (619) (6,055)
Tax on ordinary activities – – –
––––––– ––––––– –––––––
Loss on ordinary activities after taxation (169) (619) (6,055)
Dividends – – –
––––––– ––––––– –––––––
Balance transferred from reserves (169) (619) (6,055)
––––––– ––––––– –––––––
Earnings per share (0.5)p (1.7)p (16.9)p
––––––– ––––––– –––––––
Statement of Total Recognised Gains and Losses
for the six months to 31 August 2004
6 Months to 6 Months to Year to
31 August 2004 31 August 2003 29 February 2004
(unaudited) (unaudited) (audited)
£'000 £'000 £'000
Loss for the period (169) (619) (6,055)
Unrealised (losses)/gains on revaluation of investments (4,828) (1,415) 3,643
––––––– ––––––– –––––––
Total recognised losses relating to the period (4,997) (2,034) (2,412)
––––––– ––––––– –––––––
All items in the Profit and Loss account derive from continuing operations. No operations were acquired or discontinued in the
period.
The Company has only one class of business and derives its income from investments made in shares, securities and bank
deposits. Income from investments is recognised on an accruals basis.
Foresight 4 VCT plc
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Balance Sheet
at 31 August 2004
As at As at As at
31 August 04 31 August 03 29 February 04
(unaudited) (unaudited) (audited)
£'000 £'000 £'000
Fixed assets
Investments
Quoted 133 733 182
Unquoted 11,788 15,777 16,256
––––––– ––––––– –––––––
Current assets
11,921 16,510 16,438
Debtors 376 162 438
Money market and other deposits – 3 –
Cash 271 156 350
––––––– ––––––– –––––––
Creditors:
Amounts falling due within one year
647 321 788
Bank borrowings (982) (199) (614)
Other creditors (694) (365) (723)
––––––– ––––––– –––––––
Net current liabilities (1,029) (243) (549)
––––––– ––––––– –––––––
Net assets 10,892 16,267 15,889
––––––– ––––––– –––––––
Capital and reserves
Called up share capital 1,793 1,793 1,793
Share premium account 23,581 23,581 23,581
Capital redemption reserve 9 9 9
Revaluation reserve (10,893) (11,123) (6,065)
Profit and loss account (3,598) 2,007 (3,429)
––––––– ––––––– –––––––
Equity shareholders' funds 10,892 16,267 15,889
––––––– ––––––– –––––––
Net asset value per ordinary share 30.4p 45.4p 44.3p
––––––– ––––––– –––––––
Foresight 4 VCT plc
10

Summarised Statement of Cashflows
for the six months to 31 August 2004
6 months to 6 months to Year to
31 August 04 31 August 03 29 February 04
(unaudited) (unaudited) (audited)
£'000 £'000 £'000
Net cash (outflow)/inflow from
operating activities (161) 118 (24)
Taxation – – –
Net capital expenditure and financial investment (286) (350) (432)
Equity dividends paid – – –
Net cash outflow before financing and
––––––– ––––––– –––––––
liquid resource management (447) (232) (456)
Financing
Loans drawn down 368 199 614
––––––– ––––––– –––––––
(Decrease)/increase in cash (79) (33) 158
––––––– ––––––– –––––––
Reconciliation of net cashflow to
movement in net debt
(Decrease)/increase in cash for the period (79) (33) 158
Net (debt)/cash at start of period (264) 192 192
Loans drawn down (368) (199) (614)
––––––– ––––––– –––––––
Net debt at end of period (711) (40) (264)
––––––– ––––––– –––––––
Reconciliation of operating loss to net cashflow
from operating activities
Operating loss (194) (195) (419)
Changes in working capital 33 313 395
––––––– ––––––– –––––––
Net cash (outflow)/inflow from operating activities (161) 118 (24)
––––––– ––––––– –––––––
Foresight 4 VCT plc
11

Notes to the Interim Report
1. The unaudited interim results have been prepared on the basis of accounting policies set out in the statutory accounts
of the Company for the year ended 29 February 2004. Unquoted investments have been valued in accordance with
BVCA guidelines. Quoted investments are stated at middle-market prices in accordance with Generally Accepted
Accounting Practice.
2. These are not statutory accounts in accordance with section 240 of the Companies Act 1985 and are neither audited
nor reviewed. The full audited accounts for the year ended 29 February 2004, which were unqualified, have been lodged
with the Registrar of Companies. No statutory accounts in respect of any period after 29 February 2004 have been
reported on by the Company’s auditors or delivered to the Registrar of Companies.
3. Copies of the Interim Report, which has been reviewed by the Company’s auditors, have been mailed to shareholders
and are available for inspection at the Registered Office of the Company at Swiss Life House, South Park, Sevenoaks,
Kent TN13 1DU.
4. Number of shares in issue 35,862,753 (2003: 35,862,753).
5. Earnings for the first six months should not be taken as a guide to the results for the full year.
6. Movement in reserves Called up Share Capital Profit and
share premium redemption Revaluation loss
capital account reserve reserve account Total
£'000 £'000 £'000 £'000 £'000 £'000
As at 1 March 2004 1,793 23,581 9 (6,065) (3,429) 15,889
Net decrease in the value –
of investments – – – (4,828) – (4,828)
Loss for the period – – – – (169) (169)
––––––– ––––––– ––––––– ––––––– ––––––– –––––––
As at 31 August 2004 1,793 23,581 9 (10,893) (3,598) 10,892
––––––– ––––––– ––––––– ––––––– ––––––– –––––––
7. Summary of investments during the period Quoted Unquoted Total
£'000 £'000 £'000
Book cost as at 1 March 2004 475 22,028 22,503
Unrealised depreciation (293) (5,772) (6,065)
––––––– ––––––– –––––––
Valuation at 1 March 2004 182 16,256 16,438
Movements in the period:
Purchases at cost – 311 311
Disposal proceeds – – –
realised gains/(losses) – – –
Unrealised depreciation (49) (4,779) (4,828)
––––––– ––––––– –––––––
Valuation at 31 August 2004 133 11,788 11,921
––––––– ––––––– –––––––
Book cost at 31 August 2004 475 22,339 22,814
Unrealised depreciation (342) (10,551) (10,893)
––––––– ––––––– –––––––
Valuation at 31 August 2004 133 11,788 11,921
––––––– ––––––– –––––––
Foresight 4 VCT plc
12

Shareholder Information
Dividends
Interim dividends are ordinarily paid to shareholders in December. Final dividends are ordinarily paid to shareholders in July.
Shareholders who wish to have dividends paid directly into their bank account rather than by cheque to their registered
address can complete a Mandate Form for this purpose. Mandates can be obtained by telephoning the Company’s registrar,
Capita IRG (see over for details).
Share price
The Company’s Ordinary Shares are listed on the London Stock Exchange. The mid-price of the Company’s Ordinary Shares
is given daily in the Financial Times in the Investment Companies section of the London Share Service. Share price
information can also be obtained from many financial websites.
Notification of change of address
Communications with shareholders are mailed to the registered address held on the share register. In the event
of a change of address or other amendment this should be notified to the Company’s registrar, Capita IRG, under the
signature of the registered holder.
Trading shares
The Company’s Ordinary Shares can be bought and sold in the same way as any other quoted company on the London
Stock Exchange via a stockbroker. The primary market maker for Foresight 4 VCT plc is Teather & Greenwood (see over
for details).
Please call Hazel Gross (see details below) if you or your adviser have any questions about this process.
Indicative financial calendar
April 2005 Announcement of annual results for the year ended 28 February 2005
May 2005 Posting of the Annual Report for the year ended 28 February 2005
June 2005 Annual General Meeting
October 2005 Announcement of interim results for the six months to 31 August 2005
Enquires
Contact Hazel Gross, Foresight Venture Partners, VCT Investor Relations Manager for Foresight 4 VCT plc:
Telephone: 01732 471803
Fax: 01732 471810
e-mail: hgross@foresightventurepartners.com
website: www.foresightvct.com
Foresight 4 VCT plc is managed by Foresight Venture Partners, the trading name of VCF LLP, which is Authorised and regulated by the
Financial Services Authority. Past performance is not necessarily a guide to future performance. Stockmarkets and currency movements may
cause the value of investments and the income from them to fall as well as rise and investors may not get back the amount they originally
invested. Where investments are made in unquoted securities and smaller companies, their potential volatility may increase the risk to the
value of, and the income from, the investment.
Foresight 4 VCT plc

Corporate Information
Directors
Roger Brooke (Chairman)
Philip Stephens
Peter Dicks
Bernard Fairman
Company Secretary
VCF Fund Managers Limited
Swiss Life House
South Park
Sevenoaks TN13 1DU
Registered Office and
Investment Managers
Foresight Venture Partners
Swiss Life House
South Park
Sevenoaks TN13 1DU
VCT Tax Adviser
PricewaterhouseCoopers LLP
1 Embankment Place
London WC2N 6RH
Registrar
Capita IRG plc
The Registry
34 Beckenham Road
Beckenham
Kent BR3 4TU
Registrar’s shareholder helpline: 0870 162 3100
Sponsors and Stockbrokers
Teather & Greenwood
Beaufort House
15 St Botolph Street
London EC3A 7QR
Auditors and Tax Adviser
Ernst & Young LLP
1 More London Place
London SE1 2AF
Solicitors
Martineau Johnson
No. 1 Colmore Square
Birmingham B4 6AA
Registered Number
3506579
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