conferencia citi marzo 2012
TRANSCRIPT
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 1/35
March 28-29, 2012
Host by Citi
Entel ChileCiti Investment Research 20th Annual
Latin American ConferenceNew York, U.S.A.
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 2/35
3/22/20122
Table of contents
Industry Size and Competitive Environment
Company Overview
Business Segments
Financial Overview
(*) Values in IFRS
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 3/35
137%
41%
37%
39%
Mobile¹
Local²
FixedBroadband²
Pay TV²
Long Distance
3/22/20123
N.A.
Subscription: 0,11 US$/ min
Prepaid: 0,12 US$/ min
0,022 US$/ min
Broadband: 28-43 US$/ month
Básic: 23 US$/ month
DLD: 0,09 US$/ min
ILD: 0,29 US$/ min
Chilean telecom market: Mobile Services Leading sector
Chilean Telecom Market (Year 2010)
Telecom Market Size (Revenues) = US$ 7.6 bn (*)
(*) Exchange rate as of September 2011: $519.2
1 % over population2 % over homes
Source: Subtel, IDC, Pukara, Entel estimates
IT Services Others: includes HW, SW Deploy and Support, Integration andDevelopment, Education and Training and Consulting.
Penetration / Tariffs
Mobile
51%
Long Distance
3%
Datacomm
6%
Internet
8%
Pay TV
10%
Local
10%
IT Outsourcing
Services
6%
IT Services Others
6%
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 4/35
0
5
10
15
20
25
Services in Chile(in million)
Mobile Voice
Fixed Voice
MBB
FBB
Pay TV
27%
3/22/20124
Telecom Industry: Chile subscribers trends
7,0%
13%
Source: Entel
During 2012, MBB willreach FBB
39% 13%
13%67%
39% 13% 12%
28%
6% 93%8%
70% 0% 0%
70%
Penetration2010
CAGR 08-11 CAGR 11-14
116% 12% 4%
76% 6%
-1%
35%
27%
11%
Local trends are in line with worldwide trends:• MBB leading growth in the industry, accompanied by FBB and Pay TV• Mobile Voice continues growing at lower rates
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 5/35
3/22/20125
Company Overview
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 6/35
Entel Wireline
6%
Entel Mobile
21%
GTD
3%
Claro Mobile
8%
Claro Fixed
4%
Movistar Mobile
22%
Movistar Fixed
15%
VTR
10%
Direct TV
1%
Others IT
Companies
10%
Mobile Data Services DLD - ILD
40%42%
28% - 38%
3/22/20126
ENTEL27%
Source: Entel
Entel is the largest publicly traded telecom company in Chile
Entel Overview
Entel’s Market Share (December 2011)
Leading competitive position in main markets where itparticipates, based on quality services, technology andinnovation.
Moving to a new organizational structure, responding tofixed and mobile services convergence.
Wide range of integrated telecom and IT services supportedby solid execution and innovative process.
Top brand in Chilean telecom market.
2010 Telecom and IT Revenue Share
(*) Exchange rate as of December 2011: $519.2
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 7/353/22/20127
Source: “Kronos Chile January - December2011”
Entel is the top brand in the Chilean industry
Overall Image Survey Chilean Mobile Phone Sector (January-December 2011)
46
39
43
33 34 32
38
34 34
39
32
29
36
29 2925
33
24 27
35
17 1615
19 2119 19
13 14
20
ENTEL
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 8/353/22/20128
FO Cable toB.Aires andP.Arenas (Chile)
Panamerican
Santiago
Arica
Iquique
Antofagasta
La Serena
Valparaíso
Concepción
Valdivia
Chillán
Los Andes
Puerto Montt
Copiapo
FO Cableto Peru
Cable FO Cable to Bolivia
FO Cable to Argentina
and Atlantic ocean
FO Puerto Monttdestino
Coyhaique
Entel’s top quality services are provided through its extensive network…
Digital Microwave Transport NetworkFiber Optic Transport NetworkMobile Network(60 MHz in 1900 MHz Band)
Capacity 400 Gbps
BSC( 32 )
MSC-S(10)
MSC( 8 )
1 BSCIQUIQUE
ANTOFAGASTA
1 MSC-SANTOF.
1 MSC-S; 1 MSCVALP.
2 BSCVALP.
VALPARAISO
11 BSCSTGO.
SANTIAGO
1 MSC; 1 MSC-S
RANC.
RANCAGUA
CONCEPCION
1 MSC-SP. AREN.
1 BSC P. AREN.PUNTA ARENAS
1 BSCANTOF.
1 MSC-SP. MONTT2 BSC P.MONTT
PUERTOMONTT
1 BSC TEMUCOTEMUCO
LA SERENA1 BSC
SERENA
4 MSC-SSTGO.
1 BSCCOPIAPO
2 BSCRANCAGUA
1 BSC VALDIVIA
MGW(23 )
1 BSCSAN ANTO.
MSC : Mobile Switching Center
POP : Point of presence
BSC : Base Station Controller
RNC: Radio Network Controller
MGW :
Mobile Switching Server Center
Media Gateway
MSC-S :
RNC(25 )
4 MGW STGO7 RNC STGO
1 MSC-SCONC.
1 MGW IQUIQUE1 MGW IQUIQUE1 RNC IQUIQUE
2 MGW ANTOF.2 RNC ANTOF.
1 MGW1 MGW VALP.1 RNC VALP.
1 RNC1 MGW CONCEP.1 RNC CONCEP.
1 MGW P. MONTT2 RNC P. MONTT
1 MGW RANCAG.2 RNC RANCAG.1 MGW CURICO1 RNC CURICO1 MGW TALCA
1 RNC TALCA
1 MGW
1 MGW COPIAPÓ1 RNC COPIAPÓ
1 BSCQUILLOTA
1 MGW LA SERENA2 RNC LA SERENA
1 MGW V AL PO1 MGW QUILLOTA
1 MGW SN ANTON
1 BSC CURICO1 BSC TALCA
1 MGW CHILLAN1 RNC CHILLÁN1 MGW TEMUCO2 RNC TEMUCO
2 BSC CONC.1 BSC CHILLAN
1 BSC COYHAIQUE
1 MGW VALDIVIA1 RNC VALDIVIA1 MGW COYHAIQ 1 RNC COYHAIQ
IQUIQUE
1 MGW P. ARENAS1 RNC P. ARENAS
LA SERENA
1 MSC;1GMSC STGO.
1 MSCTEMUCO.
POP( 3.696)
POP: 4.204 (incl. FDT); 2G Sites: 4.182 (2.832 BTS + 478 Micro + 511 RP +361 FDT);
3G Sites: 2.659 (incl. FDT)
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 9/35
3/22/20129
ARICA
IQUIQUE
SANTIAGO
PTA. ARENAS
COIHAIQUE
CONCEPCIÓNLOS ÁNGELES
COPIAPO
ANTOFAGASTA
LA SERENAOVALLE
QUILLOTALOS ANDES
TEMUCO
VALDIVIA
OSORNO
PUERTO MONTT
VALPARAISOSAN ANTONIO RANCAGUA
CURICOTALCA
LINARES
Santiago
Arica
Iquique
Antofagasta
Viña del MarValparaíso
Concepción Chillán
Puerto Montt
Talcahuano
Calama
Temuco
Rancagua
CALAMA
COQUIMBO
VALLENAR
SAN FELIPE
SAN FERNANDO
CHILLANTALCAHUANO
NGN Presence
PTO. NATALES
Santa Cruz
Switches NGN
Casablanca
Paipote
Chuquicamata (San Jorge)
Los Andes - San Felipe - Nogales
Pichidegua
Castro
Fixed Access Network (NGN-IP) Fixed Wireless Coverage
Copiapó
La Serena
Coquimbo
Quillota
Curicó
Talca
Los Ángeles
Osorno
San Gregorio
Pichincha
Michilla
Lince
Pan de Azucar
Llanquihue
9
San Pedro de Atacama
WiMax Presence
WiMax Presence (Cluster)
Calbuco
La Chimba
Constitución Cerro Peñón
Alto Hospicio
Chiguayante
Nogales Queronque
Entel’s network provides services to the main cities of Chile(digital and NGN switches and Gigabit ethernet network).
Nationwide capacity for over 400,000 equivalent lines.
Copper and GPON access technology
2 natiowide coverage licenses: 100 MHz total spectrumfrequency in 3.5 GHz band, 20Mhz total spectrum frequency in900 MHz band.
... with presence all along the country
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 10/35
3/22/201210
NAP Miami
Río de Janeiro
Lima
Santiago
Los Angeles
Nueva York
OJUS Miami
ENTEL Bolivia(1 STM-1)
Entel also provides transportation capacity via global consortiumsFiber Optic and Satellites
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 11/35
3/22/201211
Entel is progressing forward in Social Responsibility
Third publication ofbiannual Sustainability
Report prepared underthe Global ReportingInitiative (GRI)
Entel Group maintainscommitment to United
Nations GlobalCompact …
Social Responsibilityis an essential partof Entel’s corporatemanagement…
Entel services andproducts play a centralrole under CSRframework, encouragingacademic excellence andimprovements in qualityof life
Second Phase of “Todo Chile
Comunicado” was deployed:as of to date it includes theconnection of 1,000 new ruralvillages along the countrywith mobile broadband,benefiting 2.7 milloninhabitants. The total projectreaches 1,400 rural areas and3.0 million people.
... Voluntarily manifestingthe ability to listen,understand and meet theexpectations andinterests of theCompany’s stakeholders...
... In order to ensurelong term
sustainability,contributing to thedevelopment
and welfare of society.
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 12/35
3/22/201212
Entel shares are traded in the Chilean stock market
Listed on Santiago stock exchange.
Market cap
1
: US$ 4.5 billion. Daily average trading volume2: US$ 5.7
million.
1: Exchange rate 484.71 Ch$/1 US$.- Stock price as of March 14, 2012.
2: Average from March 2010 to February 2012.
Highlights
As of February 29, 2012
Entel´s corporate governance at high standards.
Board of Directors composed by 9 members
Controlling parties appoint 7members
2 members are independents.
Board Committee composed by 3 Directors
2 members are independent.
Procedure related to market disclosure ofinformation.
Release of relevant information in company´swebsite.
Adoption of Ethic Code .
3: Altel is a wholly-owned subsidiary of Almendral (Holding Company) andits main controllers are Matte, Fernandez/Hurtado, Izquierdoand Gianoli Economic Groups.
Entel´s Ownership – Strong and experienced
Altel InversionesLtda.
54.8%
Pension Funds
9.5%
All Others
35.7%
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 13/35
3/22/201213
Corporate structureMain Operating Companies (Year 2011)
Total Revenue: USD 2.390 MM (*)
Total EBITDA: USD 992 MM
Mobile Business
Revenue: USD 1.905 M
EBITDA: USD 763 M
Voice, Data & Mobile
BroadBand
ChileWireline
Revenue: USD 610 M
EBITDA: USD 220 M
Local Telephony
Internet
Data services including ITLong Distance
Infraestructure Rentals andWholesale
Americatel Perú
Revenue: USD 43 M
EBITDA: USD 4 M
Call Center
Revenue: USD 51 M
EBITDA: USD 5 M
* Net of intercompanies revenuesValues divided by $519.2
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 14/35
3/22/201214
Business Segments
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 15/35
3/22/201215
Mobile
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 16/35
Ingresos Globales (Datos/voz)
2008-2013
0
200
400
600
800
1000
1200
2008 2009 2010 2011 2012 2013
I n g r e s o s ( U S $ b n )
Voz Datos
16
Ingresos Globales (Broadband/Non Broadband)
2008-2013
0
50
100
150
200
250
300
2008 2009 2010 2011 2012 2013
I n g r e s o s ( U S $
b n )
Non Broadband Broadband
3/22/2012
Mobile industry worldwide trends: Voice - Data
Total Mobile Revenues (data vs voice)2008 - 2013
Total Data Revenues (Broadband vs others)2008 - 2013
Total Mobile Revenues (voice and data), 2008 - 2013 Voice services declining inrevenue share.
Relevant increases in mobilebroadband share.
Within data, also Mobile Internet
(chat, browsing, digital TV andradio) and emails are growingrapidly.
voice data
Source: Informa Telecoms and Media
R e v e n u e
( U S $ b n )
R e
v e n u e
( U S $ b n )
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 17/35
• iPad corresponds to 6% of portable computer equipment sales in USA (2Q10)
• It is expected that by 2012 “Pads” exceeds Netbooks market (Canalys July2010)
• In 2014, smartphones will represent almost 40% of mobile equipment sales.
Source: (Forrester and IDC March 2010)
-
20
40
60
80
100
120
140
2009 2010 2011 2012 2013 2014
Tablets
Netbooks
Notebooks
Desktop
Shipments by type of Equipment (U.S.A.)
Global TrendsTablets and Smartphones
17
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 18/35
4,214 4,4415,004
6,061
1,6611,769
1,605
2,341
126248
551
945
2008 2009 2010 2011
Prepaid Postpaid MBB
7,568
6,4576,001
9,347
3/22/201218
Strategic Focus
24%
Market Share as of December 2011**
Entel has a strong position in the mobile industryMobile Overview Entel’s Mobile Subscribers (in Thousands)
60 MHz in the 1,900 MHz band / GSM technology. 3.5G nationwide.First commercial HSPA+Dual Carrier network in LATAM.
Penetration at 137% in Chile, including mobile broadband
Strong market share at 40%, leading position in high value segments.
Market growth driven by mobile broadband and innovative VAS(Internet mobile and e-mail).
Competitive environment, with mobile number portability and newentrants expected in 2012.
Create value, sustained in top global service and best in classnetwork.
Revenue growth focused on value-added services, especially mobilebroadband and mobile Internet.
Adapt business processes to Fixed and Mobile convergence.
Expand VAS and MBB penetration, via flexible offerings (especiallynew enterprise M2M applications and smartphones).
Strategic alliances with technology providers and commercialpartnership. • (*) Nextel Market Share: 0.14%
• (**) Market Share measure over active customers• Source: Entel
16%
Cagr 08 / 11
Growth 10/11
Entel
40%
Movistar
39%
Claro
21%
Nextel
0%
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 19/35
142
192
285
401
2008 2009 2010 2011
3/22/201219
1998 a 2011
41%
Value added services and 3.5G growing at high rates
Value Added Services Revenues *(US$ Millions)
VAS / Outgoing Revenues(%)
* Including Mobile Broadband and datacards (as of December 2011 945 th. customers) -2008 / 2011 values divided by $519.20
41%
Cagr 08 / 11
Growth 10/11
EDGE
SMS WAPGPRS SMS PremiumXAT (SMS) MMS
EDGE nationwide
Video Streaming
PTT
Blackberry
3.5 G
In main cities3.5 G
NationwideHSPA+
Nationwide
HSPA+ DualCarriermain cities
10% 12% 13%
16%19%
25%
29%
2005 2006 2007 2008 2009 2010 2011
P fit bl li t b
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 20/35
19.818.2 18.2 17.6
2008 2009 2010 2011
618
586
644
763
42%41% 39% 40%
2008 2009 2010 2011
1,493 1,444
1,647
1,905
2008 2009 2010 2011
166182
197 194
2008 2009 2010 2011
3/22/201220
2 Minutes of usage.
19%
-4%
1. Average Revenue per User
16%
-1%
Profitable client baseMobile Revenues (US$mm)
Mobile EBITDA and EBITDA Margin (US$mm, %)
Blended ARPU1 (US$) MOU2 (Minutes/month)
2009 figures impacted by 45% drop in access charges
-2008 / 2011 values divided by $519.20
5%
8%
Cagr 08 / 11
Growth 10/11
7%
Th Wi li B i Chil
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 21/35
3/22/201221
The Wireline Business - Chile
Chile wireline offers integrated solutions focused on
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 22/35
Long Distanceand value added
services
81%
Internet
4%
Local Telephony
15%
Traffic
Business
24%
Network
Rentals
76%
Long Distance and value
added services
9%
Internet
9%
Data services
35%
IT Services
22%
Local Telephony
25%
3/22/201222
US$ 316 million US$ 40 millionUS$ 254 million
Chile wireline offers integrated solutions focused onthe enterprise segment
Revenue distribution per segment – Year 2011
Corporate and SME * Residential *Services to Other Telecom
Companies *
* Includes intercompany RevenuesValues divided by $519.20.
Corporate and SME segments: leading position
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 23/35
Leading position and expertise in traditional data
services (42% market share), growing through theintegration of IT services.
Market trends: integrated offerings includingIT/telco; convergence of Fixed & Mobile; bundledsolutions over IP networks.
Standardized service offering for all companies
based on cloud computing.
3/22/201223
Corporate and SME segments: leading position,consolidating IT services
Overview•Ciudad de Los Valles is interconnectedto the network of six data centers.
•Deliver wide range of IT Services;
•Cloud Computing Services•On- demand solutions•Dedicated virtual servers•On-demand hosting and storage services
Corporate Strategic Focus SME Strategic Focus
Continue leading traditional Telco market (integrated voice,
data and Internet).
Grow market share in IT (O/S, data center, virtual servicesand on-demand services).
Strengthen service model for Fixed & Mobile convergence.
Increase market share.
Increase coverage and capacity by deploying networkfiber optic (GPON) access.
Provide IT services aligned with SME requirements(virtual infrastructure and on-demand services);working in development of fixed & mobileconvergence.
Services to other telecom companies: Optim izat ion of
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 24/35
TrafficBusiness
24%
NetworkRentals
76%
3/22/201224
Services to other telecom companies: Optim izat ion of
network usage
Note: Includes Intercompany Revenues
Overview
Strategic Focus
2010 Revenues
Leading network infraestructure provider to other
telecom operators and related companies.
Service provided to Intercompany business
represents more than 75% of Network Rentals.
Cost-effective provider of Traffic desk, managing
credit risk in high volumes related to Wholesale,
Incoming Traffic and Value Added Services.
Provide quality service of rental network capacity to related companies and other operators.
Leverage current network capacity.
Traffic routing optimization to assure low tariff for LD. Focus on low risk customers.
IFRS values divided by $519.20.
US$ 62 mm
US$ 192 mm
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 25/35
146
184210
220
28%
34%38% 36%
20%
50%
80%
0
80
160
240
2008 2009 2010 2011
EBITDA EBITDA Margin
3/22/201225
Chile Wireline EBITDA and EBITDA Margen(US$ millions)
5%
Chile´s Wireline Business reporting solid growth
Strategy focused in the enterprise segment.
-2008 / 2011 Values divided by $519.20
Cagr 08 / 11
Growth 10/11
15%
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 26/35
Americatel Per ú
3/22/201226
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 27/35
LD
44%
Wholesale
25%
Data,
Local
Telephony
& NGN31%
2008
40 39 3943
2008 2009 2010 2011
Revenue Mix 2008 – 2011: Changing to services provided over own access network
Continuous growth in datacom and local telephonyservices in the enterprise segment in the Lima Area.Recently adding IT services.
Growing data-IP services over WiMax, focused on theenterprise segment.
Long distance services have decreased, mainly due toregulatory changes.
3/22/201227
Americatel Perú
8%
OverviewRevenues (US$ millions)
Strategic Focus
Change in revenue mix, increasing services over Americatel´s own access network in Lima (WiMax,copper) and IT, leveraging Chile experience.
Harvest along the mature LD business.
3%
Cagr 08 / 11
Growth 10/11
LD
24%
Wholesale
26%
Data, Local Telephony &
NGN
50%
2011
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 28/35
3/22/201228
Financial Overview
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 29/35
769 773859
992
40% 40%41%
42%
2008 2009 2010 2011
268 274333 348
2008 2009 2010 2011
1,939 1,9162,092
2,390
2008 2009 2010 2011
378
356
401459
2008 2009 2010 2011
3/22/201229
Consolidated Figures (US$ MM )
16%
14%
5%
14%
Revenues
EBITDA and EBITDA Margin
Operating Income Net Income
-2008 / 2011 Values divided by $519.20
Returning to high growth Cagr 08 / 11
Growth 10/11
9%
7%
9%
7%
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 30/35
Mobile
38%
Mobile handsets
32%
Data / TI
17%
All Others
13%
3/22/201230
Total = US$ 733.5 million(including postpaid handsets around US$ 230 million)
19% 19%16%
CAPEX mostly driven by Mobile Expansion
*Average Exchange rate of each year.
CAPEX / Revenues
CAPEX Strategy 2011 CAPEX Breakdown
Historical CAPEX * - Excluding postpaid handsets (US$ in Millions)
Keep tech. / quality edge in mobile,managing growth and providing broadbandsolutions.
Minimum investments in mature services.
Mobile (including postpaid handsets)accounts 70% of CAPEX.
Bulk of investment driven by demand.
360 338396
502
19% 19% 18%20%
2008 2009 2010
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 31/35
244 251
281 288
2008 2009 2010 2011
3/22/201231
3%
* Cash Flow is defined as: EBITDA - Capex - Net financial expenses
Cash Flow *(US$ Millions)
Strong cash flow in line with mobile expansion
--2008 / 2011 Values divided by $519.20.
Cagr 08 / 11
Growth 10/11
6%
Liquidity and debt ratios reflects the company’s healthy
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 32/35
3/22/201232
Liquidity and debt ratios reflects the company’s healthyfinancial position…
• Fully hedged to F/X exposure.
• 43% of debt is at fixed rate.
• Moody’s rating: Baa1, S&P rating: BBB+ (both with stable outlooks)
• Dividend policy: Up to 80% of Net Income.
-2008 / 2011 Values divided by $519.20
2008 2009 2010 2011
Current Ratio 1.2 1.1 1.0 0.9EBITDA/Financial expenses 26.2 35.4 45.1 49.9
Gross Financial Debt/EBITDA 1.0 0.8 0.7 0.6
Total liabilities /(Equity+ Minority interest) 1.2 1.1 1.1 1.0
Net financial debt (US$ Million) 637 658 544 651
Net financial Expenses (US$ Million) 24 20 16 14
with a comfortable debt payment schedule
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 33/35
2012 2013 2014 2015+Leasing Bank
204
4
404
12
3/22/201233
… with a comfortable debt payment schedule
Total gross debt = US$ 624 million as of December, 2011.
2012 maturities were refinanced during December 2011, which considers the payment of interestquarterly or semiannually and a single repayment in December 2014.
Maturities(US$ Millions)
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 34/35
3/22/201234
7/25/2019 Conferencia Citi Marzo 2012
http://slidepdf.com/reader/full/conferencia-citi-marzo-2012 35/35
Thank You !Investor Relations
[email protected] Andres Bello 2687 – Las Condes – Santiago_Chile