Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Endesa Chile — Investor Presentation (December 2008)
21 slides from Enel Chile Sa's investor presentation, December 2008
Slide 1: December 2008
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Slide 2: Disclaimer
Disclaimer This presentation contains declarations that constitute or may constitute declarations about the future, as established in the United States Private Securities Litigation Reform Act of 1995. Such declarations appear frequently in this presentation with declarations referring to our intent
Slide 3: Endesa Chile – one of the largest electricity generators in Latam
Endesa Chile – one of the largest electricity generators in Latam Our Shareholders Others Inst. Investors 10.2% Retail 4.3% ADRs 5.5% Enersis 60.0% Chilean Pension Funds 20.0% As of December 2008 3
Slide 4: Important Presence in 5 countries
Important Presence in 5 countries Emgesa ▪ Installed Cap. : 2,895 MW Endesa Brasil ▪ Hydro Cap.: 85% Affiliate ▪ 21% market share ▪ 11 power plants ▪ Cachoeira (Gx): 665 MW ▪ Fortaleza (Gx): 322 MW ▪ Ampla (Dx): 2.4 m clients ▪ Coelce (Dx): 2.8 m clients Edegel ▪ Cien (Tx): 2,100 MW ▪ Installed Cap.
Slide 5: Investment Opportunities … room to grow
Investment Opportunities … room to grow Opportunities: Improvement in Latam regulations contribute to meet long‐ term electricity demand. 200.0 Peru Electricity Demand Year 2008 vs. Year 2007 170.0 Chile Argentina » Peru: 9.5% 140.0 Brazil » Chile: 0.3% Colombia 110.0 » Argentina: 2.9% » Brazil: 2.8
Slide 6: Contributing with more generation capacity
Contributing with more generation capacity Start‐up during 2008 San Isidro II Taltal Ojos de Agua 105 MW (total: 353 MW) 120 MW (dual tech.) 9 MW Chile Chile Chile 2009 2010, onwards Quintero Bocamina II Los Cóndores Neltume HidroAysén Canela II LNG Plant 2,750 MW 250 MW 370 MW 150 MW 473 MW 60 MW 9
Slide 7: Coming forth against challenging energy environment
Coming forth against challenging energy environment •Higher thermal generation mostly in (US$ million) 2007 2008 ∆% Chile and Peru, using diesel instead of natural gas. Revenues 2,955 3,914 32.5% •Increase of fuel costs by US$ 227 m in Chile, US$72 m in Argentina and Operating Costs 1,914 2,434 27.1
Slide 8: Well diversified EBITDA throughout the Region
Well diversified EBITDA throughout the Region EBITDA - As of December 2008 EBITDA by Country (US$ million) Peru 8.7% Dec-07 Dec-08 Var.% Chile 739 1,053 42% Argentina 107 111 4% Colombia 329 480 46% Colombia Chile 58.5% Peru 134 156 16% 26.7% Total 1,309 1,800 38% Figures expressed in US$ as of Dece
Slide 9: Solid Financial Ratios
Solid Financial Ratios US$ m Veces Times 2.000 10 1.800 9 1.600 1.540 8 1.279 7 1.200 1.105 5,9 6 4,9 971 875 4,3 5 4,3 4,0 800 3,5 4 2,6 2,8 3,2 3,0 2,6 2,4 3 335 346 349 322 355 400 306 2 1 0 0 2003 2004 2005 2006 2007 2008 Ebitda Interest Expense Debt/Ebitda Ebitda/Int. Exp. As of December 2008 a
Slide 10: Recognition of strong financial position
Recognition of strong financial position Financial Debt Evolution Financial Debt by Currency 7,000 5,950 6,000 20% 4,920 5,000 4,702 4,426 4,343 4,087 4,124 4,076 3,859 3,904 4,000 US$ m 15% 3,000 65% 2,000 1,000 US$ UF-Ch$ Local Currencies - 99 00 01 02 03 04 05 06 07 08 19 20 20 20 20 20 20 20 20
Slide 11: Comfortable debt maturity profile
Comfortable debt maturity profile Chile: US$ 2.8 bn US$ m US$ m Colombia: US$ 694 m 900 841 800 300 700 633 192 178 200 136 600 111 76 100 500 414 0 400 ce 264 09 10 11 12 13 14 15 16 17 18 300 an 20 20 20 20 20 20 20 20 20 20 213 214 213 al B 200 100 17 12 14 14 US$ m Argentina US$ 314 m 0 300 ce 0
Slide 12: Liquidity Position of Endesa Chile
Liquidity Position of Endesa Chile as of December 2008 Liquidity Sources + Liquid 1. Cash & cash equivalents US$ 808 million 2. Revolving III US$ 200 million 3. Revolving IV (T&R) US$ 200 million ‐ Liquid 4. Local credit lines US$ 200 million Total US$ 1.4 billion 9Cash position enhanced by the rece
Slide 13: Conservative commercial policy
Conservative commercial policy » Hydrology risk » Exchange rate risk Minimize variation of » Electricity demand growth margin » Portfolio of generation assets » Evolution of fuel prices Physical sales as of December 2008 Chile Argentina Colombia Peru 15% 22% 25% 55% 42% 53% 58% 32% 17% 78% 3% Regula
Slide 14: Highlights – Chile: largest electricity generator
Chile: largest electricity generator 2007 2008 ∆% Gen. Mix as of December 2008 (US$ m) Revenues 1,622 2,138 31.8% 30% Oper. Costs 1,019 1,236 21.3% Oper. Result 572 865 51.4% Sales (GWh) 19,212 19,808 3.1% Hydro Reg. P. (US$/MWh) 81 113 39.5% 70% Thermal Spot P. (US$/MWh) 172 207 20.3% Figures expre
Slide 15: Highlights – Argentina: leading privately-owned electricity generator
Argentina: leading privately‐owned electricity generator (US$ m) 2007 2008 ∆% Gen. Mix as of December 2008 19% Revenues 453 555 22.3% Oper. Costs 403 517 28.2% Oper. Result 44 28 (35.3%) Sales (GWh) 12,406 11,098 (10.5%) Hydro Reg. P. (A$/MWh) 55 57 4% Thermal Spot P. (A$/MWh) 75 87 16% Figures expr
Slide 16: Highlights – Colombia: leading privately-owned electricity generator
Colombia: leading privately‐owned electricity generator (US$ m) 2007 2008 ∆% Gen. Mix as of December 2008 4% Revenues 544 775 42.4% Oper. Costs 261 351 34.2% Oper. Result 274 413 50.7% Sales (GWh) 15,613 16,368 4.8% Hydro 96% Thermal Dist. P. (Col$/kWh) 80 93 16.8% Spot P. (Col$/kWh) 84 87 3.6% Figu
Slide 17: Highlights – Peru: largest privately-owned electricity generator
Peru: largest privately‐owned electricity generator (US$ m) 2007 2008 ∆% Gen. Mix as of December 2008 Revenues 286 388 35.6% 48% Oper. Costs 192 285 48.2% Oper. Result 79 85 8.5% Sales (GWh) 7,994 8,461 5.8% Hydro Thermal Reg. P. (US$/MWh) 38 42 10.5% 52% Spot P. (US$/MWh) 37 90 146.5% Figures expre
Slide 18: Strengths and opportunities to invest
Strengths and opportunities to invest Region Electric IndustryÆ growing Endesa Chile Æ in good shape ¾ Stable cash flows ¾ Attractive portfolio of Gx assets ¾ Growing demand in the long‐term ¾ Diversified energy resources (water, gas, coal, diesel, wind) ¾ Positive changes in regulation ¾ Flexible c
Slide 19: Aware of our environment and corporate social responsibility
Aware of our environment and corporate social responsibility Awards and Certifications » ISO 14001 standards: as of March 2008, 95.9% of installed capacity certified » OHSAS 18001 standards: as of December 2007, 96.1% of installed capacity certified » Important prizes: » 2007: 1st place in Chile of
Slide 20: Conclusions
Conclusions 9Multinational private electricity generator with leading market positions in most countries where we operate. 9Efficient assets distributed within South America 9Project portfolio adds value to Endesa Chile 9Excellent reputation and high level of technical standards 9Through its vast ex
Slide 21: Endesa Chile's Investor Relations Team
Endesa Chile’s Investor Relations Team Jaime Montero Juan Pablo Reitze Investor Relations Director Head of Investor Relations (56-2) 634-2329 (56-2) 630 96 03 jfmv@endesa.cl jprv@endesa.cl Irene Aguiló Jacqueline Michael M. Teresa Fuentealba Investor Relations Executive Investor Relations Executive