Grupo Argos S.a. · BVC:GRUPOARGOS

Grupo Argos — Investor Presentation (April 2013)

31 slides from Grupo Argos's investor presentation, April 2013

  1. Slide 1: Grupo Argos

    GRUPO ARGOS

  2. Slide 2: Disclaimer

    DISCLAIMER This document contains forward-looking statements relating to GRUPO ARGOS and its subsidiaries based upon management projections. These projections reflect GRUPO ARGOS’ opinion on future events that may be subject to a number of risks, uncertainties and assumptions. Various factors may ca

  3. Slide 3: Transformation

    Transformation Structure prior 2006 After spin-off 2012 70% 61% 50,2% 50% 100% 100% Cementos Argos Real Cement Energy Ports Coal Estate 3

  4. Slide 4: Grupo Argos Strategic Investments Evolution

    Grupo Argos Strategic Investments Evolution GRUPO ARGOS Strategic Pillars 2007 2010 2012 **The value of each investment for the companies that trades in the the exchange markets are calculated based on the share price at December 4 2012 and the other assets are calculated based on the spin-off valua

  5. Slide 5: Grupo Argos

    Grupo Argos Consolidated revenues Consolidated EBITDA US$ millones US$ millones 1.600 4.000 3.717 1.400 36% 30% 3.500 28% 24% 3.129 1.200 18% 19% 18% 2.899 12% 3.000 1.000 876 883 899 2.500 756 2.020 2.125 800 2.000 1.837 1.495 600 1.500 340 368 400 270 1.000 730 200 87 500 - - 2005 2006 2007 2008 2

  6. Slide 6: Investments

    Investments Strategic Investment * Portfolio Investments Grupo Argos Investments* 16% 5% 6% 73% Grupo Sura Grupo Sura Bancolombia Grupo Nutresa $12.2 Trillion $7.3 Trillion $19.5 Trillion Stake Value Value Price per Share Company Held (COP$ millon) (US$ million)*** (In COP)* Grupo Suramericana 29,2%

  7. Slide 7: Corporate Governance

    GobiernoCorporate Corporativo Governance Board of Directors 5 Independent Members Independent Chairman 2 Non independent Members Audit Committee Corporate Governance Committee Compensation Committee  2 Independent members  2 Independent members  2 Independent members  1 Non independent member 

  8. Slide 8: Corporate Governance

    Corporate Governance  GRI, WBCSD GRUPO ARGOS BVC: INVARGOS Board of Directors David Bojanini Rosario Córdoba* Carlos Piedrahita Guillermo Heins* Ana Arango* CEMENTOS Mario Scarpetta* CELSIA ARGOS BVC: CELSIA BVC: CEMARGOS / ADR nivel 1: CMTOY.PK Esteban Giraldo* Board of Directors CEO: José Vélez B

  9. Slide 9: Cementos Argos

    Cementos Argos Colombia’s leader in Cement, Ready Mix Concrete and Aggregates since 1934. 5to cement producer in LATAM 4to concrete producer in the US  Market Cap. Dic. 2012: US$ 6.6 billion  Revenues Dic.2012: US$ 2.4 billion  EBITDA Dic.2012: US$ 440 million  Net Debt Dic.2012: US$ 1.6 billion

  10. Slide 10: Cementos Argos

    Cementos Argos Consolidated revenues Consolidated EBITDA 3.000 US$ millones US$ millones 600 2.437 17% 18% 16% 19% 18% 19% 2.500 12% 500 440 1.955 1.983 2.000 1.824 400 369 1.602 1.594 329 304 303 284 1.454 300 1.500 243 200 1.000 100 500 - - 2006 2007 2008 2009 2010 2011 2012 2006 2007 2008 2009 20

  11. Slide 11: Transition process

    Transition process 2006 2012 Prior to 2006 After Merge After Spin-Off 70% 61% Real Estate Assets Ports Assets Cementos Coal Assets Cementos Argos Portfolio Investment Argos 11

  12. Slide 12: Cementos Argos – Geographic Coverage

    Cementos Argos – Geographic Coverage Colombia Estados Unidos Cement Cement  ~49% Market share  Second largest producer of  Installed capacity: 9.9 mm TPA the Southeast2  Plants: 9  Installed capacity: 3.2mm TPA  Grinding Stations: 1  Plants: 2  Ports: 1  Grinding stations: 1 Ready - mix  P

  13. Slide 13: Cementos Argos

    Cementos Argos Cement Installed Capacity in LatAm Cements Installed Capacity in Southeast US** Million TPA Million TPA Cemex 43.0 Holcim 3.8 Holcim* 36.3 Votorantim 33.0 Argos 3.2 Camargo Correa 17.8 National Cement of Alabama 1.9 Argos* 12.8 Lafarge* 9.7 Cemex 1.8 Nassau 9.4 Cruz Azul 8.0 Giant Cem

  14. Slide 14: Cementos Argos vs. Benchmark

    1000 1200 1400 1600 0 200 400 600 800 03/01/2003 14 03/01/2004 Argos 03/01/2005 Cemex 03/01/2006 Cementos Argos 03/01/2007 Holcim 03/01/2008 03/01/2009 Cementos Argos vs. Benchmark Lafarge 03/01/2010 03/01/2011 03/01/2012 Heidelberg 03/01/2013

  15. Slide 15: Celsia

    Celsia 4to power generator in Colombia 2do thermal power generator 5to energy distributor in Colombia  Revenues Dec.2012: US$1 billones  EBITDA Dec.2012 : US$414 millones  Net Debt Dec.2012: US$533 millones Zona Franca Plant, Barranquilla  Market Cap. Dep. 2012: US$2.2 billones  Investment Port

  16. Slide 16: Transition process

    Transition process Source: Celsia 16

  17. Slide 17: Celsia

    Celsia Consolidated revenues Consolidated EBITDA US$ millones US$ millones 700 1.200 1.126 1.001 600 39% 37% 37% 1.000 916 500 32% 386 414 800 400 26% 343 300 600 200 400 69 82 265 259 100 200 - 2008 2009 2010 2011 - 2008 2009 2010 2011 2012 EBITDA EBITDA Margin Annual dividend per share Market Cap.

  18. Slide 18: Celsia – Geographic Coverage

    Celsia – Geographic Coverage  1,777 MW installed capacity 17 plants in operation  55% hydro, 45% thermo 610MW Power  9,645 GWh-year firm energy 32% Generation (10% of Colombia)  487MW (+28%) in ongoing and under development Celsia projects  274 km 220 kV power lines Transmission 40MW 169MW  Se

  19. Slide 19: Celsia

    Celsia Power generation market share Distribution market share (Demand) % of installed % of demand 2010 Hidro Termo Otra capacity 2010 Codensa 26% EPM 25% Emgesa 20% EPM 26% Isagen 15% Electricaribe 22% Celsia 12% Emcali 7% Gecelca 8% EPSA 4% AES Chivor 7% Otros 15% Otros 13% 0 1,000 2,000 3,000 4,0

  20. Slide 20: Ports Business

    Ports Business New port company 9 Operating Ports  7 Ports in Colombia  4,2 Million Tons moved in 2012  Revenues Dic.2012: COP$ 114 billion  EBITDA Dic.2012: Puerto Cartagena COP$ 29 billion  ~320 employees 20

  21. Slide 21: Compas – Geographic Coverage

    Compas – Geographic Coverage Compas operating port Port with commercial and operating agreements Port under development 21

  22. Slide 22: Port Facilities

    Port Facilities Cartagena Port Barranquilla Port Tolu Port  25 Hectares  25 Hectares  22 Hectares  17,000 m2 of warehouse  Port concession until Feb.  Public port since 2011 2029  3.5 millions tons of capacity  1.5 millions tons of capacity  1.5 millions tons of capacity  31 hectares avail

  23. Slide 23: Port Facilities

    Port Facilities Buenaventura Port Panama Port Houston Port  Port Concession until 2021  5 Hectares  11 Hectares  1.1 millions tons of capacity  1.5 millions tons of  1.0 million tons of capacity capacity  100% Bulk 23

  24. Slide 24: Port Facilities - Projects

    Port Facilities - Projects Buenavista Port (Cartagena) Sociedad Puerto Industrial Aguadulce S.A  Beginning trade operations at the Buenavista Port in the  50% of the project Sociedad Puerto Cartagena harbor Industrial Aguadulce S.A to manage general cargo and grains  40 hectares - permition proce

  25. Slide 25: Real Estate Business

    Real Estate Business Urbanism Business Property Leaseback Business  Viva Villavicencio Development investment of COP$ 213 billion  Revenues Dic.2012: COP$ 40 billion  EBITDA Dic.2012: Urbanismo Barranquilla COP$ 9 billion  ~38 employees 25

  26. Slide 26: Situm

    Situm Consolidated revenues 50 40 38 30 30 22 19 20 10 - 2009 2010 2011 2012 Consolidated EBITDA 35 25 23 19 15 10 5 5 2009 2010 2011 2012 -5 26

  27. Slide 27: Estrategy

    Estrategy Property Leaseback Land Development Industrial properties and distribution centers Urbanisms Office assets and corporate buildings Residential and Commercial Development Land development with international Retail malls and shopping centers standards Projects under development Total value o

  28. Slide 28: Land

    Land Barranquilla Barú Others  1,200 hectares  1,300 hectares  2,600 hectares  Area with the highest projected growth  22 Km of beach front  Located throughout Colombia in Barranquilla and Puerto Colombia  Beaches, swamps and cliffs  Potential for:  Potential for:  Near Cartagena, city dec

  29. Slide 29: Viva Villavicencio

    Viva Villavicencio Gross Leasable Area 49,799 mt2 Total Investment COP 213,000 MM 215, brands: Exito, Ripley y Stores Beginning of Construction September 2012 Flamingo Annual Revenue Year 3 ~COP 24,000 MM Opening June 2014 Source: Grupo Argos. 29

  30. Slide 30: Coal Business

    Coal Business  9 mining titles located mainly in departments of Córdoba and Antioquia, Colombia  SGS GEOSTAT was retained to evaluate the mine’s resources under JORC code standards  Preliminary Company estimates of 873 million tons of resources and 156 million tons of reserves, mainly thermal 30

  31. Slide 31: Contact

    www.grupoargos.com Ricardo Sierra Nicolás Valencia CFO Investor Relations rsierra@argos.com.co Tel.: (574) 319.87.12 Medellín, Colombia nvalenciap@argos.com.co Medellín, Colombia 31

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