Endesa S.a. · BME:ELE
Endesa — Investor Presentation (June 2006)
30 slides from Endesa's investor presentation, Jun 8, 2006
Slide 1: Bolonia Real Estate: Constructing value
BOLONIA REAL ESTATE Constructing value Corporate Services and Technology
Slide 2: From Disposals to Value Management
From Disposals to Value Management Until 2004 Since 2005 Creation of BOLONIA Real Estate. Sales of (euro)250 million in 2006 Launch of Natural Environments Focus Focus DISPOSALS VALUE MANAGEMENT
Slide 3: Bolonia follows Endesa's commitment to its sustainability policy
Focus BOLONIA FOLLOWS ENDESA'S COMMITMENT TO ITS SUSTAINABILITY POLICY Commitment to Commitment to the development of the Social societies in which dimension we operate Environmental dimension Commitment to the environmental Economic dimension creation of value and protection profitability For you,
Slide 4: Frame
Frame IT ACQUISITIONS R+D+i Asset Management Corp Services & Tech. Manso Velasco NEA
Slide 5: Bolonia's Targets
Bolonia's Targets Bolonia is created to oversee Endesa's real estate assets 5Assets which do not affect the business Creating value through managing real estate assets which do not affect the business Create value for Endesa's real estate assets which are currently undergoing urban management proces
Slide 6: Excellent track record in sustainable management of environment and land
A company with an excellent track record in the sustainable management of the environment and land. FOCUS Mission o Creating maximum value for Endesa optimising risk and profitability. o Provide Endesa with resources (land+cash-flow) which strengthen the company's core business. o Design and carry o
Slide 7: Value Cycle
Value Cycle We propose a project to manage the land cycle, creating value and returning it to society Acquire Industrial use 25-40 years Recover the land, Clean up Design the best project possible Return to society Natural Environments Urban Development Protect Ensure appropriate use
Slide 8: Land Portfolio with High Potential
Excellent portfolio Land Portfolio with High Potential o Extremely large land reserve: over 40 million m2 in Spain o Estimated potential land which can be built on: 1 million m2 o Ability to generate value in the medium and long term of over 1,000 million euros*. o National dimension: o Current port
Slide 9: Land Portfolio with High Potential: diversified product
Excellent portfolio Land Portfolio with High Potential o Excellent diversified product in privileged locations: o Residential (1st & 2nd home): 55% o Tertiary: shops, hotels, tourism:45% o Sea front, cities with high land value , Mountain resorts, business parks Mm2 Land: 145 Spain 62 LATAM 83 Mm2 L
Slide 10: Best proven ability in land management
We have the best proven ability in land mangement Proven ability o Civil Engineering o Land moving o Civil works, Large constructions o Conservation; Land recovery o Sale of assets o Urban developments
Slide 11: Portfolio + skills: aimed at getting maximum value
Portfolio+skills: aimed at getting maximum value 1. Identifying/designing the best final real estate project for each asset. 2. Reducing final wacc/risk of real estate project. 3. Managing landmark sites through reclassification and urbanisation = Obtain maximum: o land to be built on o optimise Mix
Slide 12: Two drivers to maximise value
we design the best project (euro)/mn 2 Two drivers to maximise value We manage urban landmarks and reduce risk Book value Land value Managing Land value Construction Promoting final Initial Status Quo Land Final Status Quo value 12
Slide 13: Managing urban landmarks to reduce investment risk
We manage urban landmarks to reduce the investment risk for the developer Reducing WACCcc We design the best project to optimise the value of the land based on: area to be built on, usage mix, sales price WACC of developer Land value 9-junio-2006 12
Slide 14: Significant progress in projected real estate asset sales
Significant progress in projected real estate asset sales 1Q 2006 Developments Planned divestment of real estate assets (euro)Mn o Bolonia Real Estate consolidated organisation o Extension of divestment target for real 750 1,000 estate assets to (euro)1bn in 2006-2010 o Estimated divestment of (euro
Slide 15: Palma Project
Palma Project The most important urban project in Palma de Mallorca We are managing >55% of the Plan
Slide 16: Palma de Mallorca Project: Process and Calendar
Palma de Mallorca Project (Levante seafront) Process and Calendar 1.-Invitation letters sent: 17 Feb 06 Fact Sheet Confidentiality Agreements InfoMemo 2.-Indicative Offers (non-binding): Offers received: 4 Apr 06 Selection and notification: 19 Apr 06 3.-Phase II in progress: o More than 35 bids rece
Slide 17: Malaga Project (Old Fossil Fuel Plant)
Malaga Project (Old Fossil Fuel Plant) o 153,000M2 of land on the seafront o Original 800MW CCGT project moved 6Kms inland o Current plan includes 63,000m2 for Endesa to be able to build on o High level project according to study carried out by Estudio Arquitectura CHP which will change the skyline
Slide 18: Endesa's natural spaces
An unique initiative aimed at giving Real Value: ENDESA's natural spaces. ENDESA's excellent conservationist track record. Endesa has a unique and unrivalled portfolio of natural surroundings/spaces. Ways of creating value: Protection aimed at partial and sustainable real estate development Reforest
Slide 19: Excellent management abilities + unique asset portfolio
Excellent Excellent management management abilities abilities + Unique Unique asset asset Portfolio Portfolio Bolonia Constructing value Per m2 land and per asset One of Spain's leading real estate companies
Slide 20: Diversified assets for sustainable development and value creation
40 M m2 of Diversified Assets which allow Sustainable Development and Value Creation LAND FOR BUILDING NATURAL ENVIRONMENTS Altafulla Sevilla Empalme Malaga Fossil Fuel Plant Malaga San Rafael Son Molinas Central III San Juan de Dios Sant Adria San Roque Sant Just Enea Tapihue MIXED Bolonia Guejar S
Slide 21: Altafulla (Tarragona)
Altafulla (Tarragona) ALTAFULLA Size (Sqm) Land to be built on (Sqm) 227,452 90,000
Slide 22: Bolonia (Cadiz)
Bolonia (Cadiz) BAHIA DE BOLONIA Size (Sqm) Land to be built on (Sqm) 1,920,835 104,018
Slide 23: Seville
Seville SEVILLA EMPALME Size (Sqm) Land to be built on (Sqm) 57,466 60,706
Slide 24: Sant Adria (Barcelona)
Sant Adria (Barcelona) SANT ADRIA Size (Sqm) Land to be built on (Sqm) 40,000 36,000
Slide 25: Sant Just Desvern (Barcelona)
Sant Just Desvern (Barcelona) SANT JUST DESVERN Size (Sqm) Land to be built on (Sqm) 49,614 80,871
Slide 26: Guejar Sierra (Granada)
Guejar Sierra (Granada)
Slide 27: 70mn m2 of Assets in LATAM: ENEA Project
70mn m2 of Assets in LATAM ENEA Project: 1,031ha next to Santiago airport: 14.4% of project sold.
Slide 28: Fundo Tapihue
Fundo Tapihue Tapihue Project: 7,302ha in the town of Til Til at least 50km from Santiago (900ha buildable).
Slide 29: Disclaimer
Disclaimer o This presentation contains certain "forward-looking statements" regarding anticipated financial and operating results and statistics and other future events. These statements are not guarantees of future performance and are subject to material risks, uncertainties, changes and other fac
Slide 30: Bolonia Real Estate: Constructing value
BOLONIA REAL ESTATE Constructing value Corporate Services and Technology SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. ENDESA, S.A. Dated: June 8 th