CORPORATEPRESENTATION MAY 2011

Transcription

1 CORPORATEPRESENTATION MAY 2011

2 1: COMPANY OVERVIEW 2: THE CONSTRUCTION INDUSTRY 3: BUSINESS UNITS 4: FINANCIAL PERFOMANCE 5:OUTLOOK FOR THENEXTYEARS eevev

3 COMPANY OVERVIEW CHAPTER 01

4 COMPANY OVERVIEW CHAPTER 01 SALFACORP: A CONSOLIDATED COMPANY 82yearsofhistory Leadership Role in Engineering & Construction and Real Estate Development Businesses Local (Chile) & International Presence (Péru& Colombia) Industry Leading Liquidity & Corporate Governance Salfa Ingeniería y Construcción S.A. Our Business Model Aconcagua S.A. SalfaCorp, march 2011 (*) (US$ million) dec-04 mar , , ,579 Assets Market Cap Revenues LTM Well Diversified Revenue Mix Management focused on each Business Unit Strong Brand Recognition and Solid Reputation Long Term Relationships with Clients Around 24,000 employees (*) Based on an exchange rate of pesos/us$) for the period ended december 2004 and pesos/us$ for the period ended march 2011.

5 COMPANY OVERVIEW CHAPTER 01 SALFACORP: RECOGNIZED AS A LEADER Among the Main Construction Companies in Latam (Revenue, US$ million, at dec-10) 1,514 Strong position in the engineering & construction sector and in real estate development in the local market: Historic leadership in engineering & construction, One of the two largest real estate developers, MAINE&C ANDREALESTATE CHILEAN COMPANIES Source: SVS.

6 COMPANY OVERVIEW CHAPTER 01 SALFACORP: AN OUTSTANDING PERFORMANCE IN THE CAPITAL MARKETS SalfaCorp S.A. s share price vs IPSA index Base 100 SalfaCorp IPSA Active player in the local market, this is reflected in Its market value and trading volumes: As of april 2011, the share price had raised 635.2% since its IPO in 2004 vs 183.7% increase in the IPSA index over the same period, Constant growth in share liquidity, Daily average volume traded of US$ 3.3 million (YTD) Present at the IPSA Index, IPO Jan-05 May-05 Sep-05 Jan-06 May-06 Sep-06 Jan-07 May-07 Sep-07 Jan-08 May-08 Sep-08 Jan-09 May-09 Sep-09 Jan-10 May-10 Sep-10 Ene-11 MarketCap(apr-11) = US$ 1,484 million Daily Average Volume Traded (*) 3.5US$ million Credit Ratings, march 2011 Credit Rating BBB+ Outlook Stable YTD BBB+ Stable A- Stable (*) Based on the exchange rate at the end of each period Source: Santiago Stock Exchange, Credit Ratings Agencies

7 COMPANY OVERVIEW CHAPTER 01 DIVERSIFIED SHAREHOLDER BASE CONTROLLING GROUP FREE FLOAT Listedin theipsa Index Chilean families related to the construction industry with breadth of experience and knowledge of the sector 41% 59% Ownership Structure (dec-04) Ownership Structure (mar-11) Investment Funds Pension 8.2% Funds, Mutual Funds, Insurance Companies, Ext. Funds 3.4% Stockbrokers 10.7% Others 10.7% Controlling Group 67.0% Investment Funds 11.9% Pension Funds, Mutual Funds, Insurance Companies, Ext. Funds 20.6% Others 6.1% Stockbroker s 20.1% Controlling Group 41.3%

8 COMPANY OVERVIEW CHAPTER 01 BUSINESS MODEL: STRATEGIC COMPETITIVE ADVANTAGES AND SYNERGIES ENGINEERING & CONSTRUCTION business model comprises various business segments according to their specialty and geographic area REAL ESTATE business model comprises one business unitformanagement and real estate development and other for building of own and third parties projects SALFAINGENIERÍA& CONSTRUCCIÓN S.A. ACONCAGUA S.A. Chile Perú Colombia & Caribe Real Estate Development Residential & Non- Residential Building Industrial Assembly Industrial Assembly Industrial Assembly northern Civil Works Civil Works Specialties (Ports) central Infrastructure Infrastructure southern New Specialties Building Revesol

9 COMPANY OVERVIEW CHAPTER 01 STRONG GROWTH WITH A SUCCESFUL HISTORY IN THE CAPITAL MARKETS Company s Net Revenues ( ) and Revenues Target for 2013 US$ million CAGR 10-13m: 20.0% CAGR 06-10: 25.2% ,122 1,514 Consolidated Revenues from subsidiaries in which SalfaCorp holds a controlling interest... 2, m (*) Revenuesfor2010 and 2013 basedonanexchangerateof $468.10/US$ Aconcagua S.A. 21.0% Aconcagua S.A. 23.0% Salfa Ingenieríay Construcción S.A. 79.0% Salfa Ingenieríay Construcción S.A. 77.0%

10 COMPANY OVERVIEW CHAPTER 01 DRIVERS OF GROWTH FOR EACH BUSINESS UNIT MINING DEVELOPMENT - organic growth(current projects) - growth through acquisitions and/or partnerships INFRASTRUCTURE - organic growth(current projects) - growth through acquisitions and/or partnerships GROUND MOVEMENT - organic growth(current projects) - growth through acquisitions and/or partnerships INTERNATIONAL - organic growth(current projects) - growth through acquisitions and/or partnerships OTHER BUSINESSES(INDUSTRIAL ASSEMBLY, CIVIL WORKS) - organic growth(current projects) REALESTATE& BUILDING - organic growth(current projects) - growth through private investment funds and/or partnerships

11 THECONSTRUCTIONINDUSTRY CHAPTER 02

12 THE CONSTRUCTION INDUSTRY CHAPTER 02 ECONOMIC GROWTH PROSPECTS FOR OUR MARKETS GDP Chile, Peru & Colombia US$ million (2010) 285,511 Ch.% GDP Chile Perú Colombia Latam 203,323 Chile +Perú + Colombia > PIB US$640,000 million 152, % 1.5% 5.3% 8.8% 4.3% 6.1% 5.9% 7.5% 4.6% 4.7% 4.9% 5.8% 4.5% 4.2% Chile Perú Colombia -1.7% -1.7% e 2012e Source: IMF PIB per Cápita Chile, Peru & Colombia (PPP) US$ 2010 / capita 15,002 Source: IMF % Construction GDP / GDP 6.8% 6.7% 6.5% 9,330 9,566 Chile Perú Colombia Chile Perú Colombia Source: IMF Source: Chile, Perú and Colombia Central Banks

13 THE CONSTRUCTION INDUSTRY CHAPTER 02 CREDIT RISK IN LATAM COUNTRIES Latin America s Credit Rating, december 2010 Country Fitch Ratings Moody s Standard& Poors SalfaCorp S.A. s Markets Chile A Aa3 A+ Perú BBB- Baa3 BBB- Colombia BB+ Ba1 BB+ Other Countries México BBB Baa1 BBB Brasil BBB- Baa3 BBB- Venezuela B+ B2 BB- Argentina B B3 B Bolivia B+ B2 B Ecuador CCC Caa3 B- Source: Fitch Ratings, Standard & Poors and Moody. CHILE, PERU, COLOMBIA SHOW EXCELLENT RISK PROSPECT FOR THE STANDARDS OF THE REGION

14 THE CONSTRUCTION INDUSTRY CHAPTER 02 CHILE => CONSTRUCTION SPENDING IN FUTURE INVESTMENT PROJECTS Construction Investment is expected to rise 11.3% in 2011e, driven by civil works(energy, mining, retail, etc.), Record level of investment projects to be developed in coming years, energy & mining are the main drivers Construction Investment (housing & infrastructure) (UF million & Ch.%) 11.30% 9.60% 1.80% 16.0% 12.0% 8.0% 4.0% 0.0% % % % -12.0% e Backlog of Investment Projects for Upcoming Years (US$ million) Backlog of Investment Projects by Economic Sector (US$97,211 million) mining 40.2% non residential building 7.2% 39,103 54,215 77,496 89,840 97,211 others 11.6% Source. CChC (MACH32). Source. CChC (MACH 32) energy 40.9%

15 THE CONSTRUCTION INDUSTRY CHAPTER 02 CHILE => RECOVERYONREAL ESTATE MARKET Housing Supply vsmonth of Supply of Homes (units) Housing Sales vsmonth of Supply of Homes (units) 100,000 houses + apart. month supply of homes 35 7,000 houses + apart. month supply of homes 35 80, ,000 5, , , , , , ,000 1, Jan-07 Apr-07 Jul-07 Oct-07 Jan-08 Apr-08 Jul-08 Oct-08 Jan-09 Apr-09 Jul-09 Oct-09 Jan-10 Apr-10 Jul-10 Oct-10 Jan-07 Apr-07 Jul-07 Oct-07 Jan-08 Apr-08 Jul-08 Oct-08 Jan-09 Apr-09 Jul-09 Oct-09 Jan-10 Apr-10 Jul-10 Oct-10 Source. CChC. Source. CChC. The housing stock declines in recent months consecutively... right time to launch new projects. Sales in recent months show a positive change monthly and annual... It consolidates the beginning of dynamic real estate market. PIB PerCapita (PPP) Homes per US$ 1000 hab. Chile , Chile , Chile 2010E 14,400??? Spain , Source: Central Bank and PNUD Reports Census 1992 and 2002

16 THE CONSTRUCTION INDUSTRY CHAPTER 02 PERU & COLOMBIA: OPPORTUNITIES FOR GROWTH AND CONSOLIDATION Colombia: Construction Investment US$ million Perú: Construction Investment US$ million 6, , ,588 3, , , e 2012e Source: BanColombia, Banco de la República, JPMorgan e Source: Banco de Crédito de Perú. SalfaCorp S.A.: Proposals by Country Total: US$ 4,009 million Inter. Subsidiari es 23.5% Chile 76.5% According to this Data, the Colombian and Peruvian Construction Industry provides ample Opportunity for Growth and Consolidation

17 BUSINESS UNITS CHAPTER 03

18 3.1 Salfa Ingeniería y Construcción S.A.

19 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 BUSINESS MODEL: SPECIALIZATION BY SEGMENT AND MARKET SALFAINGENIERÍA& CONSTRUCCIÓN S.A. CHILE PERÚ COLOMBIA& CARIBE Industrial Assembly Civil Works Infrastructure New Specialties Revesol Industrial Assembly Civil Works Infrastructure Building Industrial Assembly Specialties (Ports) BUSINESS MODEL => Strategy focused on three countries with attractive sizes and growth, Local partners in each country, Value added specialties(mining, energy, ports, others) Team and machinery&equipment investments according to the needs of each country,

20 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 BUSINESS MODEL: SPECIALIZATION BY SEGMENT AND MARKET INDUSTRIAL ASSEMBLY contracts for assembly of industrial equipment and EPC including detailed engineering, procurement, management and acqusition of materials and equipment related to the project, CIVIL WORKS construction and implementation of civil works in which the construction company provides both the labor and materials required for the project designed and requested by the client, INFRASTRUCTURE design and construction of roads, bridges and ground movement,

21 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 BUSINESS MODEL: SPECIALIZATION BY SEGMENT AND MARKET NEW SPECIALTIES: INDUSTRIAL MAINTENANCE, PORTS, TUNNELS& GROUND MOVEMENTS - development of tunnels in underground mining and hydroelectric power plants, - engineering & construction of marine, lake and river works, - services of maintenance and operation of industrial plants, such as mining and energy, - ground movements. REVESOL design and supply of components for the transportation of materials and hydraulic equipment.

22 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 MORE THAN US$ 890 MILLION OF BACKLOG TO BE EXECUTED ON THE NEXT YEARS Wide portfolio of projects (low risk): 139 projects (third parties) Assured future sales: Backlog: US$ million (mar-11) 57.6% to be executed in 2011 / 42.4% in 2012 and 2013 Evolution of Engineering& Construction Backlog (US$ million) Perú 8.4% Chile 91.6% mar-11 (*) Backlog in US$ of each period (**) Backlog for 2010 and mar-11 do not include building segment Backlog by Economic Sector Total: US$ 897 million Backlog by Business Segment Total: US$ 897 million mining, 27.9% others, 10.1% hotels, 3.6% new specialties 9.1% industrial assembly 55.4% non residential building, 4.5% energy, 26.7% infrastructure 4.9% infrastructure, 4.9% industrail maintenance, 8.4% retail & shopping centers, 13.9% civil works 30.6%

23 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 MAIN PROJECTS UNDERWAY AND CONTRACTED AT MARCH 31, 2011 MAIN INDUSTRIAL ASSEMBLY PROJECTS UNDERWAY AND CONTRACTED (MAR-11) Project Owner Starting Date Completion Date Santa María Power Plan, Unit 2 POSCO ENGINEERING & CONSTRUCTION CO. Ltda. dec-10 apr-13 Supply and placing of concrete at primary crusher, grinding, flotation and others - Caserones project Copper concentrate roasting plant, gas cleaning system and sulphuric acid plant Codelco Norte MINERA LUMINA COPPER CHILE S.A. FLUOR CORPORATION may-11 nov-12 OUTOTEC CHILE Ltda. aug-11 aug-12 MAIN CIVIL WORKS PROJECTS UNDERWAY AND CONTRACTED (MAR-11) Project Owner Starting Date Completion Date Lotería Shopping Center CENCOSUD SHOPPING CENTERS S.A. jan-11 aug-11 Craighouse College COLEGIO CRAIGHOUSE mar-11 mar-12 Costanera Center CENCOSUD SHOPPING CENTERS S.A. jan-10 dec-15 MAIN INTERNATIONAL SUBSIDIARIES PROJECTS UNDERWAY AND CONTRACTED (MAR-11) Project Owner Starting Date Completion Date Improvement and expansion of potable water systems, sewage and wastewater treatment in several cities of Cajamarca SEDACAJ S.A. aug-10 nov-11 Plaza de la Luna Shopping Center MULTIMERCADOS ZONALES jan-11 jul-11 Tottus Sodimac Jockey Plaza FALABELLA S.A. nov-10 jun-11

24 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 MAIN DRIVERS Mantención OF GROWTH Industrial, FOR THE NEXT Túneles YEARS y Puertos NEW MARKETS NEW SPECIALTIES Tunnels underground development for mining & hydroelectric generation Ports complementary with industrial assembly projects Ground Movements Revenue Contribution of New Markets and Specialties to Engineering& Construction Total Revenues % 2010 Target (2013m) NEW MARKETS 12.0% 20.0% NEW SPECIALTIES 8.5% 20.0% Infrastructure design and construction of roads and bridges complementary with civil works and building projects

25 BUSINESS UNITS SALFA INGENIERÍA Y CONSTRUCCIÓN S.A. CHAPTER 03 MORE THAN US$ 4,000 MILLION OF PROPOSALS PRESENTED AND UNDER REVIEW PROPUESTAS PRESENTED: US$ 2,954 million Others 1.2% Colombia & Caribe 13.8% Perú 12.9% Chile 72.2% infrastruct ure 1.3% civil works 12.3% new specialties 18.1% industrial maintenan others 8.7% mining 41.1% ce 3.0% industrial assembly 68.3% non residential building 6.1% hidrocarbu ros 7.4% energy 16.1% undergrou nd mining 17.6% PROPOSALS UNDER REVIEW: US$ 1,055 million Colombia & Caribe 1.6% Chile 88.8% new specialties 16.0% industrial assembly 48.0% infrastruct ure 15.4% non residential building 14.4% undergrou nd mining 14.3% energy 13.4% Perú 9.6% infrastructur e 15.4% civil works 20.7% mining 29.9% others 8.0% retail & shopping centers 4.5%

26 3.2 Aconcagua S.A.

27 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 BUSINESS MODEL FOCUSED IN SYNERGIES OF THE REAL ESTATE BUSINESS ACONCAGUA S.A. REAL ESTATE DEVELOPMENT INMOBILIARIAACONCAGUAS.A. RESIDENTIAL AND NON RESIDENTIAL BUILDING CONSTRUCTORANOVATECS.A. Northern Central South BUSINESS MODEL => Real estate management & development through the subsidiary Inmobiliaria Aconcagua S.A. with national footprint, Residential & Non Residential building for for own and third parties through the subsidiary Constructora Novatec S.A. Partnership with third parties for the development of macro-projects(i.e. IM Trust Public Fund)

28 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 ONE OF THE MOST DIVERSIFIED HOMEBUILDERS IN THE LOCAL MARKET NORTHERN II Region IV Region Antofagasta La Serena CENTRAL Plaza Norte, Antofagasta San Marcos, Antofagasta Puerta del Sol, La Serena V Region Con-Con, Quilpué, Viña del Mar, Valparaíso Metropolitan Region Colina, Huechuraba, Lo Barnechea, Las Condes, Lampa, Maipú, Peñalolén, Pudahuel, Puente Alto, Recoleta, San Miguel, Stgo. Centro, Cerrillos Geomar II, Con Cón Jardines de la Montaña, Lampa El Refugio, Colina SOUTHERN VIII Regin Chillán, Concepción IX Region Temuco X Region Osorno, Puerto Montt XIV Region Valdivia Brisas del Valle, Chillán Obispo Salas, Concepción Lomas del Río, Valdivia

29 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 RESIDENTIAL AND NON RESIDENTIAL BUILDING FOR OWN AND THIRD PARTIES PROJECTS RESIDENTIAL AND NON RESIDENTIAL BUILDING construction of housing projects (houses and apartment buildings and installation of basic services) and non residential building, such as, office buildings, hotels, etc.

30 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 ONE OF THE MOST DIVERSIFIED HOMEBUILDERS IN THE LOCAL MARKET Diversified portfolio, including products that target different income levels: 64 proyects under development in 26 cities and counties around the country, Mix of houses and apartments, Prices from US$ 36,000 to US$ 800,000, targeting high, middle and low-income level, with an average price of US$ 80,000 Diversification by Geographic Area Potential Sales: UF 7.8 million Diversification by Product Potential: UF 7.8 million Diversification by Target Segment Potential Sales: UF 7.8 million central 69.4% southern 18.7% apart. 4 floors 7.0% apart. > 5 floors 40.0% > UF % UF UF % < UF % northern 11.9% houses 53.0% UF UF % Potencial Sales of real estate projects comprises the stock of projects available for delivery and projects under construction.

31 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 ACTIVE SALES STRATEGY AND PRODUCT INNOVATION EXPLAINS GROWTH... Presales (units and UF million) 3,303 4,914 2,343 3,542 3,786 3,875 6,000 7,000 6,000 5,000 4,000 3,000 Pre Sales Agreements (3m-10 vs 3m-11): 985 units (+4.5% 10 vs 11) UF2.45 million (+37.1% 10 vs 11) 4 2, , LTM 2011e Deliveries (units and UF million) 6.1 3, , ,191 UF million 7.9 3,694 units 8.2 3, , ,750 5,000 4,000 3,000 2,000 1,000 0 Deliveries (3m-10 vs 3m-11): 664 units (+20.7% 10 vs 11) UF1.55 million (+3.4% 10 vs 11) LTM 2011e UF million units

32 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 GROWTH DRIVERS OF THE REAL ESTATE BUSINES UNIT Value Added Real Estate development projects: Development of important projects with crystal lagoons (Aconcagua- Crystal Lagoons Joint Venture) Seismic technologies and energy efficiency New markets (target segment and new geographical areas: counties and cities) Non Residential Developments: Commerce, schools, offices, 40% of construction in urban areas, Growing at a faster rate than residential. Punta de Águila Lo Barnechea Laguna del Mar La Serena

33 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 SOME OF OUR REAL ESTATE PROJECTS UNDER DEVELOPMENT Value added projects (jointly with Crystal Lagoons) Project Laguna del Mar Stage B0-6a Location IV Región- La Serena Type of Housing apart. > 5 floors Units 102 Potential Sales (UF) 351,266 Launch of the project jul-10 Signing of the sales deed dec-11 Projects with Innovative Technologies (energy efficiency) Project Terramater Stage 2a Location R.M. Peñalolén Type of Housing houses Units 44 Potential Sales (UF) 213,136 Launch of the project nov-10 Signing of the sales deed nov-11

34 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 SOME OF OUR REAL ESTATE PROJECTS UNDER DEVELOPMENT Projects in New Market Segments (high income level) Project Punta de Aguila Stage 1 Location R.M. Lo Barnechea Type of Housing apart. 4 floors Units 36 Potential Sales (UF) 520,122 Launch of the project aug-10 Signing of the sales deed jan-12 Projects with Innovative Technologies (seismic technology) Project Geocentro Agustinas Stage - Location R.M. Santiago Centro Type of Housing apart. > 5 floors Units 287 Potential Sales (UF) 517,134 Launch of the project jun-08 Signing of the sales deed oct-11

35 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 LAUNCH OF PROJECTS FOR THE YEAR 2011E 2011 Launch of Projects, by geographic zone # projects # stages potential sales (UF) # units northern ,371,123 1,360 central ,978,185 3,343 southern ,739,993 1,241 total ,089,300 5,944 + Total Potential Sales (UF) projects under development(uf) = 7,763,213 = 21,852,130 Diversification by Geographic Area Potential Sales: UF 14.1 million zona central 63.8% zona sur 12.3% Diversification by Product Potential Sales: UF 14.1 million apart. 4 floors 12.3% apart. 5 o more floors 33.4% Diversification by Target Segment Potential Sales: UF 14.1 million UF UF % > UF % < UF % zona norte 23.9% houses 54.3% UF UF %

36 BUSINESS UNITS ACONCAGUA S.A. CHAPTER 03 MORE THAN US$ 227 MILLION OF BACKLOG TO BE EXECUTED ON THE NEXT YEARS Wide portfolio of projects (low risk): 60 projects (own and third parties) Backlog by Economic Sector Total: US$ 227 million Assured future sales: Backlog: US$ 227 million (mar-11) 86.2% to be executed in 2011 / 13.8,0% in 2012 and 2013 Evolution of Building Backlog (US$ million) hotels, 0.7% commercial building, 15.8% residential building (own projects), 59.5% residential building (third party projects), 24.0% MAIN BUILDING PROJECTS UNDERWAY AND CONTRACTED (MAR- 11) mar-11 (*) Backlog in US$ of each period Project Owner Starting date Completion date Delloite Office Building BICE Vida Compañía de Seguros S.A. apr-10 dec-12 Carmelitas Building Inmobiliaria PB70 S.A. oct-10 mar-12 Jardines de Huayquique Alto Huayquique Dos S.A. feb-11 jun-12

37 BUSINESS UNITS INVESTMENT PLAN CHAPTER 03 INVESTMENT Mantención PLAN FOR 2011 Industrial, SUPPORTS GROWTH Túneles OF y BOTH Puertos BUSINESS UNITS ENGINEERING AND CONSTRUCTION MACHINERIES& EQUIPMENT(4.0%) INVESTMENT IN MACHINERY & EQUIPMENT FOR REPLACEMENT AND NEW SPECIALTIES LAND BANK INVESTMENT IN LAND FOR THE REPLACEMENT OF CONSUMPTION OF LAND FOR REAL ESTATE PROJECTS UNDER DEVELOPMENT REAL ES SATE INFRASTRUCTURE OF REAL ESTATE PROJECTS CONSTRUCTION OF REAL ESTATE PROJECTS INVESTMENT IN INFRASTRUCTURE OF REAL ESTATE PROJECTS DEVELOPMENTS INVESTMENT IN CONSTRUCTION OF REAL ESTATE PROJECTS (*) TOTAL INVESTMENT=> US$ 500 MILLION ACQUISITIONS AND/OR PARTNERSHIPS(30.0%) INVESTMENT IN ACQUISITIONS AND /OR PARTNERSHIPS OF/WITH COMPANIES AÑÍAS IN LINE WITH THE BUSINESS PLAN (*) Comprises own projects and those in association with third parties

38 FINANCIALPERFORMANCE CHAPTER 04

39 FINANCIAL PERFORMANCE CHAPTER 04 REMARKABLE RESULTS...SUSTAINED GROWTH IN SALES Revenues Gross Profit & % gross profit / revenues (Ch$ million) CAGR 06-10: 28.2% 261, , , , , , LTM 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 (Ch$ million) 20.0% CAGR 06-10: 11.3% 16.3% 28.3% 12.6% 11.9% 11.3% 16.0% 12.0% 11.1% 8.0% 29,695 61,869 76,285 67,790 80,401 84, LTM 4.0% 0.0% EBITDA & % EBITDA / revenues Profit (loss) for the Period & % profit (loss) for the period / revenues 60,000 50,000 40,000 30,000 20,000 (Ch$ million) (*) 6.6% 9.7% CAGR 06-10: 27.1% 7.9% 6.0% 6.4% 6.1% 12.0% (Ch$ million) 25, % 20, % 4.1% 15, % 4.0% 10, % CAGR 06-10: 19.5% 2.7% 3.1% 3.1% 6.0% 4.0% 2.0% 10, ,283 36,903 48,016 34,033 45,072 46, LTM 2.0% 5, % 0 10,841 21,825 16,521 7, % 22,122 23, LTM 0.0% (*) EBITDA defined as the sum of gross profit, other income, distribution costs, administrative expenses, depreciation, amortization and share profit (loss) of associates.

40 FINANCIAL PERFORMANCE CHAPTER 04 REVENUES, EBITDA AND PROFIT BREAKDOWN Revenues by Business Unit Total: Ch$ 757,255 million (LTM mar-11) EBITDA by Business Unit Total: Ch$ 46,405 million (LTM mar-11) Profit (loss) by Business Unit Total: Ch$23,441 million (LTM mar-11) 582, ,640 28,580 19,985 (2,159) 15,297 9,033 (888) Enginnering & Construction Real Estate Engineering & Real Estate Corporate Engineering & Construction Construction Real Estate Corporate Revenues, EBITDA and Profit breakdown for LTM and 2013e % LTM mar-2011 ENGINEERING& CONSTRUCTION Revenues EBITDA Net Profit(loss) Target (2013) LTM mar-2011 Target (2013) LTM mar-2011 Target (2013) 76.9% 77.0% 58.8% 74.0% 62.9% 69.0% REAL ESTATE 23.1% 23.0% 41.2% 26.0% 37.1% 31.0%

41 FINANCIAL PERFORMANCE CHAPTER 04 SOLID FINANCIAL POSITION AND OPTIMIZATION OF CAPITAL STRUCTURE SUPPORTS EXPANSIÓN Current Ratio (Current Assets/ Current Liabilities) Leverage (Total Liabilities/ Total Equity) Q Q-2011 Financial Leverage (Debt/ Total Equity) Net Financial Leverage (Debt/ Total Equity) Covenant: < 2.5x Covenant: < 2.0x Q Q-2011

42 FINANCIAL PERFORMANCE CHAPTER 04 FOCUSING OUR EFFORTS ON BUSINESS PROFITABILITY Net Financial Expenses Coverage (EBITDA LTM / Net Financial Expenses LTM) Net Debt/ EBITDA (Debt Cash&Equiv. / EBITDA LTM) Target: 5.0x Covenant: > 3.0x LTM LTM Return over Equity(ROE) (Profit(loss) of theperiodltm / Equity) Return over Assets (ROA) (Profit(loss) for the period LTM / Assets) 20.0% 12.4% 7.2% 4.2% 11.6% 12.1% 8.2% 5.1% 2.7% 1.4% 4.1% 4.3% LTM LTM

43 FINANCIAL PERFORMANCE CHAPTER 04 DEBT PROFILE Debt (1T-11) Ch$ million Debt by Financing Source Long TermDebt/ Debt 85.3% ST Banks LT Banks 12.1% 26.0% Bonds 57.6% Leasing 4.3% Total 100.0% Long Term 192,342 Profile of Debt Repayment (Total: Ch$ 225,471 million) Short Term 33,129 17,559 20,912 Debt Cash & Equiv. Net Debt 14.2% 5.6% 27.6% 19.2% 33.4%

44 FINANCIAL PERFORMANCE CHAPTER 04 SUCCESSFUL BOND ISSUANCE IN THE LOCAL MARKET Spread Analysis for Bonds Issuance in the Chilean Market with duration less than 5 years CorpBanca AA-/AA BICE AA/AA Santander AAA/AAA BBVA AAA/AAA Kopolar AA-/AA- Scotiabank AAA/AA- Santander AAA/AAA Banco de Chile AAA/AAA Aguas Andinas AA+/AA+ Enjoy BBB+/A- Forum AA+/AA- Banco Internacional A/A Factorline A/A Enjoy BBB+/A- SalfaCorp BBB+/A- Iansa BBB+/BBB+ La Araucana A/A Dec/09 Jan/10 Mar/10 May/10 Jun/10 Aug/10 Sep/10 Nov/10 Jan/11

45 FINANCIAL PERFORMANCE CHAPTER FINANCIAL PLAN GOAL: TO SUPPORT GROWTH FOR THE COMING YEARS 2011 Asset Optimization Plan & Financing of the Investment Plan Basis of Financial Plan for 2011 ASSETOPTIMIZATIONPLAN Activities Inventories, Accounts Receivable and Accounts Payable Turnover Management: Inventories => development of smaller stages of real estate projects, Accounts Receivable and Accounts Payable => use of financial instruments that may increase (decrease) days payable outstanding (days sales outstanding) through factoring, confirming, etc., FINANCINGOF THEINVESTMENTPLAN Capital increase for a total amount of $ 120,000 million divided into 75,000,000 shares, Bank loan for a total amount of UF 2.6 million (currently under management) in order to restructure short-term liabilities for long-term liabilities of acquired companies, Bank loans in order to finance international expansión(perú and Colombia&Caribe).

46 OUTLOOK FOT THENEXTYEARS CHAPTER 05

47 OUTLOOK FOR THE NEXT YEARS CHAPTER 05 BECOME A LEADER IN THE CONSTRUCTION INDUSTRY... NEXT 3 YEARS BECOME A LEADER IN THE CONSTRUCTION INDUSTRY IN THE SOUTH PACIFIC MARKET.. NEXT 10 YEARS BECOME A LEADER IN THE CONSTRUCTION INDUSTRY IN THE LATIN AMERICAN MARKET