Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Investor Presentation (March 2021)
78 slides from Enel Chile Sa's investor presentation, March 2021
Slide 1: Enel Chile Corporate presentation March 2021
Chile Enel Chile Corporate presentation March 2021
Slide 2: Enel Chile as part of Enel Group
Enel Chile as part of Enel Group Chile Enel Group is leading the new energy world… 1st network 47 GW 40 GW 6.1 GW 70 mn operator1 Renewable capacity2 Conventional Demand response customers4 capacity3 New services enable Leading decarbonization World’s largest private decarbonization and Largest reta
Slide 3: Enel Chile at a glance
Enel Chile at a glance Chile The largest utility in Chile with a 4.7 GW Leader in renewables and decarbonization with 2.4 GW Highly flexible & efficient. Based on LNG Renewable Capacity a diversified portfolio Thermal Capacity strong, unique and resilient portfolio, 2.0 Million clients Benchmark in
Slide 4: Key investment considerations
Chile Key investment considerations Diversified and resilient long-term investment vehicle in energy sector in the country ESG fully integrated into the corporate long-term strategy Leading the decarbonization process with no coal exposure by 2022 First renewable operator in Chile with 77% renewable
Slide 5: Chilean Market Context
Chile Chile Chilean Market Context 4
Slide 6: Transition towards low-carbon energy system (1/2)
Transition towards low-carbon energy system (1/2) The Chilean reality and opportunities Chile Decarbonization Chilean renewable growth potential Chile on the path toward a Renewable potential +70x clean generation matrix compared to current installed capacity1 Emissions reduction Total 1.100 MtCO2eq
Slide 7: Transition towards low-carbon energy system (2/2)
Transition towards low-carbon energy system (2/2) The Chilean reality and opportunities Chile Technological evolution Electrification Digital revolution and new New energy uses and decarbonization technologies boosting efficiency will increase energy consumption Solar energy costs Energy ~78 TWh -80
Slide 8: A regulatory framework in evolution: Networks
A regulatory framework in evolution Networks Chile Tariff updates Distribution 2020-2023 Consultant Preliminary report on reference model Company to be issued by March 21. Final report to be issued on April 21 and technical report shall be issued on 4Q21 Tariff Decree to be issued on early 202
Slide 9: A regulatory framework in evolution: Market
A regulatory framework in evolution Market Chile Portability Law Proposed type of clients Market liberalization on gradual pace Large >5,000 KW customers (already Free clients) Once approved, government has up to 18-months to define implementation rules [20-5,000] Medium KW Customers (Potentiall
Slide 10: A regulatory framework in evolution: Generation
A regulatory framework in evolution Generation Chile Tariff stabilization mechanism Energy efficient law Mechanism stablishes the balance Law published on Feb 13th 2021 Main takeaways recovery by 2027 at latest - Energy Intensity efficient of 10% by Gencos receivables shall be accrued until Promote
Slide 11: Hybridification: Batteries and Hydrogen
Hybridification Batteries and Hydrogen Chile Flexibility framework H2 National Strategy H2 Participative Strategy1 Renewables + Batteries + National strategy launched on public consultation Flexibility strategy proposal to be presented in 2021 US$ 50 mn funding to support companies to invest i
Slide 12: Hydrology outlook
Decarbonization Hydrology outlook Pacific temperatures confirm La Niña effect Chile Rainfall in our most relevant basins1 Rapel Maule 600 (9% of consolidated Gx) 2500 (34% of consolidated Gx) Cumulated rainfall (mm) Cumulated rainfall (mm) 500 2000 400 1500 300 1000 200 100 500 0 0 Jul Oct Nov Dec J
Slide 13: Responding to COVID-19
Responding to COVID-19 Measures to ensure the safety of our people and business continuity Chile Our people & Operation Our clients Our communities >70% 100% Boosting digitalization to mitigate impacts in More power of Enel Chile total of our plants collection together personnel and networks working
Slide 14: Our journey & Value proposition
Chile Our journey & Value proposition 13
Slide 15: Our journey toward CO2 reduction
Our journey toward CO2 reduction, reshaping our Company into platform-based business model… Chile Utility as a Platform The pathway to 0% Coal generation Zero Coal Leading the Chilean decarbonization process Speed up Looking forward decarbonization Integrated offering of commodity and Decarbonizati
Slide 16: The needs of clients are evolving
… to manage increasing levels of Chile complexity, and new clients needs Climate change Digital The needs oriented Digital clients +8 TWh/year in the of clients are last 2 years PPAs 100% renewable 52% Interactions during 2020 evolving Clients centricity constantly Energy as a service - Partnership
Slide 17: Open power: sustainability planning process
By a solid sustainable long-term strategy process … Chile Open power for a brighter Sustainability planning process future: We empower sustainable Environmental1 Social1 Governance1 progress • Decarbonization • People we work with • ISO 37001 • Electrification • Community Engagement • Human Right •
Slide 18: Consolidated governance practices and policies
… and consolidated Governance practices and policies… Chile Governance We take care of transparency We care about the environment Integrity in our core as a and privacy protection communities, and our workers Ethical code Sustainability and backbone Tax transparency and reporting Community Relations
Slide 19: Improvements in main ESG scores
… reflecting in the sharp improvements of our main ESG scores Chile ISS ESG FTSE Russell MSCI AA 3.4 3.2 A -B BBB C 2.7 Categoría 1 Categoría 1 Categoría 1 2018 2019 2020 2019 2020 2018 2019 2020 Scale from CCC to AAA Scale from -D to B+ Scale from 0 to 5 Vigeo Eiris S&P Dow Jones 54 88 1st Company
Slide 20: Value-added portfolio, platforms and digitization
Enel Chile anchored by a value-added portfolio, platforms and digitization Chile Customer Going into platformization Digitization Initiatives centricity evOs X-Installer Digital power plants By Design: Asset digitization and connectivity to control room Remote controlled and monitored centrally from
Slide 21: Capex allocation with direct impact on SDGs
With Capex allocation with direct impact on SDGs Chile CAPEX by SDG 2021-23 Circular economy VALUE & Fog collection in PV plants SUSTAINABLE 2% Reuse of concrete from damaged poles GROWTH 20% US$ 2.2 bn Capex related to SDGs 71% PV modules and EV Chargers integrated in Reverse logistic service for n
Slide 22: Delivering value for ALL
Delivering value for ALL Chile Shareholders Society Environment Cumulated Temporary Job DPS (US$/sh ‘000)1 creation deploying new CO2 Emissions reduction renewable capacity (gCO2/KWh) 6.0 5.0 200.00 4.0 5.1 4.6K 5.8K 150.00 220 100.00 3.9 50.00 <100 3.0 2020 2023E 0.00 2020E 2023E 2.0 Just transitio
Slide 23: Our ambition
Chile Our ambition Chile
Slide 24: Energy Transition leader in Chile, fostering decarbonization
Decarbonization Energy Transition leader in Chile, fostering the decarbonization… Chile Strategic actions Renewables growth (GW) 2023 Net installed capacity Support profitability through 9.0 000 23% de-risking our matrix 8.0 000 Thermal 7% 0% 7.0 000 16% 2.4 coal 38% >85% 6.0 000 Solid pipeline to e
Slide 25: Robust pipeline and new technologies development
Decarbonization … supported by a robust pipeline and new technologies development Chile Renewables pipeline (GW) H2 Pilot project GENERATION STORAGE First pilot project for green hydrogen production in Chile 5.4 JV with AME and prospective ~14 partners 4.6 1.2 Electrolyzer fueled by wind 2.6 energy
Slide 26: Fully decarbonized by 2050: coal phase-out strategy
Decarbonization To be fully decarbonize by 2050 backboned by our coal phase-out strategy Chile The final Reduction of 64% of the stretch for direct CO2 coal emissions by 2023 Coal capacity evolution (GW) CO2 equivalent specific emissions(1), gCO2/kWh Coal phase out FULL 0.5 DECARBONIZATION May 2022
Slide 27: Boosting renewables expansion: projects under construction
Decarbonization Boosting renewables expansion Projects under construction Chile Installed Capacity Overall End of Construction 2021 (MW) Progress 1Q 2Q 3Q 4Q Campos del Sol 382 55% Renaico II 144 66% Cerro Pabellón III 28 81% . Santiago Azabache 61 61% Los Cóndores 150 75% 2023 Finis Terrae 126 39%
Slide 28: Improvements in quality and resilience of networks
Networks Improvements in the quality and resilience of our networks Chile Strategic actions Key business drivers Main KPIs 2020 Q1 2021 2023E Ensuring the highest level of Digitization End users 2.0 2.0 2.1 (mn) quality and efficiencies Energy distributed1 15.5 15.5 16.9 Reliability (TWh) Improving
Slide 29: Infrastructure & Networks: collection and digital payments
Networks Infrastructure & Networks portfolio Digitalization improvements to mitigate impacts in collection Chile Collection (%) Number of digital payments (%) +0.2pp -2.1pp 102.4 102.6 99.4 97.3 26% 44% 39% 51% 74% 56% 61% 49% Q4 2019 Q4 2020 FY 2019 FY 2020 FY 2017 FY 2018 FY 2019 FY 2020 On-Site D
Slide 30: Electrification: clients' reference choice
Electrification To be our clients reference choice, enabling electrification, decarbonization and share value creation Chile Strategic actions Main KPIs 2020 2023E Joint Venture with AMP +17k to boost Electric public Promoting electrification, Charging Points1-2 2030E 766 6,110 transportation effici
Slide 31: Our vision in numbers
2021-2023 Our vision in numbers
Slide 32: Strategic plan at a glance
Strategic plan at a glance Chile EBITDA (US$ bn) Net Income (US$ bn) CAPEX (US$ bn) Net debt/EBITDA +37% +26% -7% -1.2x 1.2 0 3.0 2.5 1.0 0 2.5 3.1 2.4 0.8 0 0.7 1.6 2.0 0.6 1.9 1.5 1.2 0.6 0 0.4 0 1.0 0.2 0 0.5 0.0 0.0 0 2020 2023E 2020 1 2023E 2020-22 2021-23 2020 2023E EBITDA FFO/ 36%1 43% 91% 88
Slide 33: Capex allocation de-risking margins and accelerating electrification
Capex allocation focusing on de-risk margins and accelerating the electrification Chile Total Capex 2021-23 Capex development by business line Capex allocation by year 1% 1% 5% 2021 59% 2.4 20% 2.4 4% 1.7 72% 21% 70% US$ bn US$ bn US$ bn 90% 2022 25% 8% 8% 2023 16% Renewables Thermal Asset developme
Slide 34: Generation capex driven by decarbonization and renewables
Power Generation Generation capex driven by decarbonization and growth on renewables Chile Generation CAPEX 2021-23 EBITDA evolution 2020E-23E (US$ bn) Total CAPEX Development CAPEX +32% 0.27 0.08 (0.15) 13% 4% EBITDA FY20 5% 1.0 US$bn 0.07 1.3 3% 0.04 1.8 1.6 US$ bn 15% US$ bn 73% 1.0 87% 1 Asset d
Slide 35: Decarbonization driving the energy sales balance
Power Generation Decarbonization and renewable expansion is also driving the energy sales balance Chile Production Evolution (TWh) Energy balance (TWh) Performance indicators +24% +17% 2020E 2023E CAGR FY20 PPA price1 -5% 30. 0 23.0 TWh 26.3 26.3 76 66 FY20 (US$/MWh) 25. 0 19.3 TWh 24.2 22.5 22.5 2.
Slide 36: Commercial strategy for long-term visibility and diversification
Power Generation Commercial strategy designed to bring long-term visibility and geographic diversification Chile Portfolio by off-taker PPAs geographic location PPAs by residual duration 2023 +12% 2019 2019 18% 54% 14% 23% 2023E 35% 23.5 TWh 42% 29% 2021-23 11% 67% 68% 35% 26.3 TWh 19% 9% 48% 29% Fr
Slide 37: Commercial strategy leading to margin stability
Decarbonization Commercial strategy leading to margin stability Chile Contracts profile (TWh/year)1 Supplying several industries 27.6 25.9 26.0 24.4 21.9 50% 60% 57% 57% 54% Mining Warehouse Pulp & paper 50% 40% 43% 43% 46% Universities Agriculture Vineyards 2020 2021 2022 2023 2024 Retail Regulated
Slide 38: Networks: focus on resiliency and quality
Networks Focus on resiliency and quality to foster a more efficient networks Chile Networks CAPEX 2021-23 EBITDA evolution 2020-23 (US$ bn) +42% 34% EBITDA 0.04 0.3 FY20 53% 0.2 US$bn 0.49 35% 0.49 0.02 0.04 (0.02) US$ bn US$ bn 0.2 0.01 66% 12% 0.21 Distribution Quality & resilience 2020E Demand In
Slide 39: Enel X: accelerating electrification of consumption
Electrification Enel X: accelerating the electrification of consumption Chile Enel X CAPEX 2021-23 EBITDA evolution 2020-23 (US$ mn) 2x 23% 3.7 EBITDA 4.9 FY20 4.1 39 21 20 US$Mn 7.0 36 5% US$ mn 20 72% 2020E B2B B2C B2G Fx 2023E B2B B2C B2G 38
Slide 40: Main strategic actions to reach sustainable EBITDA growth
Main strategic actions, to reach sustainable EBITDA growth by 2023 Chile EBITDA evolution 2020E-23 (US$ bn) +2.4GW renewable in operation up to 2023 and 0% coal production since +38% June/22 0.02 0.02 Renewables PPAs and energy EBITDA1 0.09 Strategic actions FY20 0.32 services addressing clients 1.6
Slide 41: Financial Management
2021-2023 Financial Management 40
Slide 42: Debt evolution and capital allocation
Debt evolution reflects capital allocation dynamics, supported by high cash conversion levels Chile Source of funds allocation 2021-23 (US$ bn) Net debt evolution (US$ bn) Net Debt FFO/EBITDA 7.0 5.0 (2.4) 6.0 0.2 4.0 -13% 4.0 3.8 5.0 3.0 4.0 (1.0) 3.0 3.3 3.5 3.1 2.0 2.0 1.0 0.7 1.0 91% 88% 60% 0.0
Slide 43: Earnings & Targets
2021-2023 Earnings & Targets 42
Slide 44: Visible value creation for our shareholders
Visible value creation for our shareholders Chile CAGR (%) Plan main drivers 20201 2020E2 2021E 2022E 2023E 2020E-23 EBITDA (US$ bn) 1.2 1.2 1.4~1.5 1.4~1.6 1.5~1.7 +9 / +13% Net income (US$ bn) 0.6 0.6~0.7 0.6~0.7 0.6~0.7 0.6~0.8 +11 / +16% Pay-out ratio3 50% 50% ≥ 50% ≥ 50% ≥ 50% - 1. Adjusted by
Slide 45: FY 2020 Results
FY 2020 Results 44
Slide 46: 2020 Adjusted Financial highlights
2020 Adjusted Financial highlights (USD mn)1 Chile EBITDA2 Net Income2 Capex FFO2 Net Debt FY 2020 1,181 560 971 1,067 3,525 (+0% yoy) (+9% yoy) (+127% yoy) (+52% yoy) (+8% yoy) FY 2019 1,179 512 427 702 3,2713 Q4 2020 362 231 376 501 (+17% yoy) (+100% yoy) (+120% yoy) (+58% yoy) 1. Reported figures
Slide 47: COVID-19 Impacts
COVID-19 Impacts Demand evolution and bad debt Chile Net of FY 20201 Demand Adjusted2 (net of Others Bad debt COVID-19 (USD mn) purchases) impact Volumes lower than expected in all EBITDA 1,181 (89) (12) 1,282 businesses lines for the FY 2020 Extraordinary costs mainly in Bad Debt (9) Distribution b
Slide 48: Business continuity: sustainable capex plan
Sustainable capex plan Business continuity: sustainable capex plan Execution of our sustainable capex plan, 97% linked to SDGs Chile FY 2020 Capex by business and by nature1 FY 2020 Capex asset development by business1 3% 6% 5% Capex allocation by 11% 15% 1% Quarter (2020) 971 971 798 Q1 12% USD mn
Slide 49: Q4 2020 Adjusted EBITDA evolution
Q4 2020 Adjusted EBITDA evolution Results mainly driven by PPAs margin Chile Adjusted EBITDA evolution (USD mn)1 Main KPIs +17% Q4 2019 Q4 2020 yoy 16 362 10 Hydrology 24 3.2 3.4 +5% (TWh) 308 4 Gx Sales 5.6 6.0 +8% (TWh) Dx Sales 4.2 4.1 -2% (TWh) Marginal Cost3 35.5 35.4 -0.2% (USD/MWh) Q4 2019 Hy
Slide 50: FY 2020 Adjusted EBITDA evolution
FY 2020 Adjusted EBITDA evolution Results mainly driven by hydrology and demand performance Chile Adjusted EBITDA evolution (USD mn)1 Main KPIs +0% FY 2019 FY 2020 yoy 30 26 125 1.181 Hydrology 1.179 10.6 9.7 -8% (23) (10) (TWh) (34) (17) (53) (42) Gx Sales 23.5 23.0 -2% (TWh) Dx Sales 17.1 16.5 -4%
Slide 51: Generation Business EBITDA performance
Generation Business Decarbonization EBITDA performance Chile EBITDA Q4 2020 evolution (USD mn)1 EBITDA FY 2020 evolution (USD mn)1 +28%2 +8%2 1,105 1,030 Steady EBITDA margins despite 153 322 demand reduction driven by COVID-19 251 952 Lower hydrology generation (-0.9 TWh) in the period PPA margin d
Slide 52: Networks and Enel X EBITDA performance
electrification Networks, clients and Networks and Enel X business EBITDA performance Chile EBITDA Q4 2020 (USD mn)1 FY 2020 EBITDA (USD mn)1 -29% -24% 266 Demand reduction led 28 by lockdown measures 74 201 9 20 Energy losses driven by logistic 52 constrains and safety restrictions 12 238 64 182 E-
Slide 53: FY Profit & loss
FY Profit & loss (USD mn) FY 20201 FY 20191 ∆ yoy Chile Adjusted EBITDA2 1,181 1,179 +0% Reported EBITDA 1,149 1,332 -14% PPA early termination agreement booked in Q1 2019 D&A and Bad Debt (310) (312) -1% Impairment (882) (355) +149% Reported EBIT (43) 665 -107% Lower EBIT due to Bocamina II impairm
Slide 54: FFO
FFO USD bn Chile 1,600 1,400 162 1.181 1,200 (100) 1.067 1,000 (175) 800 600 400 200 0 Adjusted ∆Working Income Financial FFO EBITDA1 capital taxes expenses & other PY2 1,179 (69) (177) (231) 702 Delta YoY +0% +52% 1. Adjusted figures by decarbonization effect on FY 2020 (32 USD mn). Average exchang
Slide 55: Debt
Debt (USD mn) Cost of debt declined by 60 bps Chile Gross debt1 Net debt evolution1 +11% +8% 3,993 3,585 467 396 3,525 314 3,271 971 (46) 3,525 (1,067) 3,271 91% 60% 2 2 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 FFO Capex Dividends2 FX & Dec 31, 2020 Paid Others Net Debt Cash FFO/Adj EBITDA Cost of gro
Slide 56: Liquidity position
Liquidity position Business continuity supported by liquidity position Chile Liquidity Position (US$ Bn)1 Debt maturities (US$ Bn)1 Maturities/Gross Debt 99% of gross debt has a fixed rate 2.5 5% 12% 6% 15% 1.0 49% 51% US$ bn 99% of gross debt is USD denominated 0.5 0.6 0.2 0.3 Cash 2021 2022 2023 2
Slide 57: Closing Remarks
2021-2023 Closing Remarks 56
Slide 58: Closing remarks
Closing remarks Chile Continue to Decarbonization Platformization and Networks to support embrace strategy paved by combined offerings renewables sustainability, renewables and are key to address expansion and ESG tear 1 solid pipeline new clients needs electrification player in Latam 57
Slide 59: Disclaimer
Corporate presentation Disclaimer Chile This presentation contains statements that could constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements appear in a number of places in this announcement and include statements regardi
Slide 60: Contact us
Corporate presentation Contact us Chile Contacts Email ir.enelchile@enel.com Phone +56 2 2630 9606 Channels Follow us Website Isabela Klemes Enel.cl Head of Investor Relations Enel Chile Investor Relations team Mobile App Catalina González Enel Investors Claudio Ortiz Pablo Contreras Download app Fr
Slide 61: Annexes
* a | j J 2021-2023 . =: oa Annexes we { =e > o or. Nie ay 8 WY + wee ad ¥ me Ke
Slide 62: Credit Rating
Credit Rating Enel Chile and Enel Generación Chile Chile International market Chilean market Enel Chile Enel Chile Standard & Poor’s Moody’s Fitch Ratings Fitch Ratings Feller Rate Affirmed Aug/20 Affirmed Jun/20 Affirmed Jan/21 Affirmed Jan/21 Affirmed Jul/20 Enel Generación Enel Generación Standar
Slide 63: Our positioning
Enel Chile Our positioning Largest Utility player in Chile in installed capacity and number of clients Chile Thermal generation Renewables generation Distribution area Empresa Eléctrica Tarapacá TG Azabache Finis Terrae Cerro Pabellón Pampa Norte Colina Atacama Valle de los Vientos Luz Andes Lalacka
Slide 64: Chilean energy market
Chilean energy market Chile 2020 National Installed capacity by technology1 Distribution segment2 Number of clients (mn) 0.2% 12.7% 3.00 27.3% 1.97 9.9% 0.89 0.74 25.4 GW CGE Enel Chile Saesa Chilquinta 50.0% Energy sales (Gwh) 17,106 11,474 3,669 2,889 Solar Wind Thermal Hydro Geothermal Enel Chile
Slide 65: Main assumptions
iM: 4 A - ae 2083 es Main assumptions” f lo aD ¥ + at) - Py e ” a Sel V .
Slide 66: Main Assumptions
Main Assumptions Main assumptions Chile GDP (%) CPI (%) Avg. FX against US$ Demand Growth (%) 2021 2022 2023 2021 2022 2023 2021 2022 2023 2021 2022 2023 5.2 4.3 3.9 2.6 2.3 2.6 732 700 680 4.5 2.5 2.5 Commodities’s prices 2020 2021 2022 2023 Gas Henry Hub ($/mmbtu) 2.1 2.4 2.6 2.7 Oil Brent ($/bbl)
Slide 67: Capex by Business line
Capex by Business line Chile Gross Capex (US$ bn) Business line 2020 2021E 2022E 2023E Ʃ 2021-2023 Renewables 0.8 1.0 0.4 0.3 1.6 Thermal 0.0 0.1 0.1 0.1 0.2 Networks 0.1 0.2 0.2 0.2 0.5 Enel X 0.0 0.0 0.0 0.0 0.0 Others 0.0 0.0 0.0 0.0 0.0 Total 1.0 1.2 0.7 0.5 2.4 66
Slide 68: Installed capacity and Production
Installed capacity and Production Chile Net Installed Capacity (GW) Production (TWh) Technology 2020 2021E 2022E 2023E Technology 2020 2021E 2022E 2023E CCGT 1.5 1.5 1.5 1.5 CCGT 3.8 2.8 2.3 2.3 Coal 0.3 0.3 0.0 0.0 Coal 2.0 1.7 0.1 0.0 Oil & Gas 0.6 0.6 0.6 0.6 Oil & Gas 0.6 0.0 0.0 0.0 Hydro 3.6 3
Slide 69: Sustainability Plan
2021-2023 Sustainability Plan
Slide 70: Sustainable business model, driving change through growth accelerators
Sustainable business model, driving change through growth accelerators Chile 2021 – 2023 Sustainability Plan * 69 * Growth accelerators include innovation, cyber security, digital supports, circular economy and sustainable finance
Slide 71: People centricity
Local and global communities People centricity Chile Plan actions 20201 2030 targets 1 High-quality, inclusive and fair education ~ 217,000 beneficiaries 350,000 beneficiaries in 2030 Access to affordable and clean energy ~ 354,000 beneficiaries 450,000 beneficiaries in 2030 Employment and sustainab
Slide 72: Corporate Governance
2020-2022 Corporate Governance
Slide 73: Shareholders Structure
Shareholders Structure Organization structure Chile Enel Chile shareholders1 ADR's 64.9% 3.0% Institutional Investors 16.5% Chile Pension Market Cap2 Funds 5.4 $ bn 14.2% Enel SpA 64.9% 100.0% 93.5% 99.1% 99.1% 100.0% Others 1.3% Green Power Generación Chile Transmisión Chile Distribución Chile Enel
Slide 74: Focus on Corporate Governance
Focus on Corporate Governance Corporate governance structure Chile Shareholders’ meeting Audit firm 14% 43% BoD’s composition Board of Directors (7 members) 43% Non executive Executive Independent Functions: Directors Committee Audit committe Sustainability committe Related parties transactions 73
Slide 75: Board composition
Focus on Corporate Governance Board composition Chile Board of Directors Board of Directors’ diversity Herman Chadwick Chair Giulio Fazio Director 57% Age Gender diversity diversity Salvatore Bernabei Director 43% 100 % 41-50 Over 50 Male Female Daniele Caprini Director Directors’ Committee (C) Fern
Slide 76: CEO's short-term variable remuneration
CEO’s short-term variable remuneration Focus on Corporate Governance Chile Macro objective Objective Type of target Weight Range Profitability Net Income Chile 25% Maximum 120% Economic Efficiency OPEX Chile 20% Maximum 120% Economic Cash and debt FFO Chile 15% Maximum 120% Financial management Safe
Slide 77: Management of the company
Focus on Corporate Governance Management of the company Chile Management Team P. Pallotti Chief Executive Officer A. Pellegrini Sustainability & Community Relations G. Turchiarelli Chief Financial Officer R. Puentes Procurement L. Schnaidt People and Organization A. Barrios Digital Solutions D. Gome
Slide 78: Policies, principles and codes
Focus on Corporate Governance Policies, principles and codes Chile Ethics, Integrity, Human Rights, and Diversity • Ethical code • Zero Tolerance Plan for Corruption • Global Compliance Program on Corporate Criminal Liability • Criminal Risk Prevention Model • Compliance Program for Free Competition