27.02.2010 - Earthquake in Chile: Main effects as of 05.03.2010
st
Pacífico Pulp Mill / Mininco, IX Region /March 1 , 2009 th
On Saturday February 27 , at 3:30 AM a violent earthquake with an intensity of 8.8 on the Richter scale struck the area between the regions of Valparaiso and the Araucanía. Additionally, a strong tsunami struck the coastal area of the Maule and Biobío regions. All the above caused hundreds of deaths and severe damage to property and infrastructure. The greatest impact was suffered in the Maule and Bio Bio regions. st
As it was reported on March 1 , there were not severe employees misfortunes registered in any of the mills that CMPC has in the Metropolitana, Maule, Bio Bio and Araucanía regions. During the occurrence of earthquake, only two workers reported minor injuries. Nevertheless, the affected employees are recovering satisfactorily. In consideration of the above, CMPC will dedicate its mayor efforts to recover the productive operation of its units as soon as it is possible. Following the quake, all CMPC’s Chilean facilities stop their operations, activating their contingency plans. Today, electricity and water supply has been restored in several facilities, which facilitates the resumption of its activities. As a consequence, CMPC is operating the following plants: • Tissue and Sanitary Products: Puente Alto and Talagante • Packaging Paper: Puente Alto • Folding Boxboard: Valdivia and in the following days Maule • Corrugating Boxes: Quilicura, Buin and Til Til • Paper Bags: Chillán • Fruit Trays: Puente Alto The newsprint and pulp mills that CMPC has in the Bio Bio and Araucania regions are not operating. This is mainly due to multiple deteriorations in their facilities. As a consequence, these mills should not be operating before the end of March. The sawmills, remanufacturing plants and plywood mill operations will be gradually normalized depending on wood supply. Together with that, the Company is actively collaborating with the communities surrounding its operations that are in need of help and support.
Empresas CMPC S.A. Fourth Quarter 2009 Results th March 4 , 2010
4Q09 in Brief
2
Income Statement Analysis
3
Balance Sheet Analysis
7
Relevant Events
8
Balance Sheet
9
Income Statement
10
Cash Flow Statement
11
Sale Volumes
12
4Q09
“In the recent years, the effort has been placed in the growth of the Tissue business in Latin America. This has been a great advance. Now, the effort is concentrated in the Pulp business, after the opportunity of acquiring Guaíba. This will continue. CMPC is very pleased of arriving in Brazil, especially given its importance in the continent. We know that there is a great opportunity for growth and development.” Eliodoro Matte, Chairman of CMPC Extract from an interview for the Brazilian newspaper Zero Hora
Conference Call th Date: March 11 10:00 AM Eastern Time / 12:00 PM Santiago de Chile’s Time US Toll Free: (+1 866) 356 4279 International Dial: (+1 617) 597 5394 Password: 21981600
4Q09
4Q09 in Brief
During the fourth quarter of 2009, there was an increase in the total sales of the company, when compared to those of the previous quarter. This was mainly explained by the higher sales reached by the Pulp division, as a consequence of better prices and sale volumes registered during the quarter. Moreover, all business divisions showed higher sale volumes, in response to better economic conditions. All the above, recorded a 28% increase in CMPC's consolidated EBITDA when compared to that of 3Q09. It is important to highlight that the Guaíba Unit was consolidated in CMPC's Financial Statements since October 1st, 2009.
•
CMPC’s consolidated sales for 4Q09 reached US$915 million, registering a 12% increase when compared to those of 3Q09. During the quarter, there were higher sale prices in the Forestry and Pulp divisions. On the other hand, sale volumes increased in all business areas.
•
Consolidated EBITDA reached US$210 million during 4Q09, showing a 28% increase when compared to that of 3Q09. This higher EBITDA is mainly explained by the raise in CMPC's consolidated sales, especially in those of the Pulp division. The EBITDA margin reached 23%, three points higher than that of the previous quarter.
•
CMPC registered a Net Income of US$123 million during 4Q09; showing a 94% increase when compared to that of 3Q09. This was mainly explained by the higher EBITDA generation as well as the increase in Other non operational results.
•
CMPC’s net debt as of the end of 4Q09 stood at US$2,130 million, presenting a US$813 million raise when compared to that as of September 30th. This was mainly explained by the issue of new credits which were destinated to finance the acquisition of Guaíba in Brazil. Additionally, during the quarter CMPC paid US$1,300 million to Fibria for the total acquisition of the Guaíba unit. Nevertheless, it is important to highlight that CMPC closed the year with US$761 million of cash.
•
On December 15th, 2009 CMPC paid Fibria US$1,300 million, because of the acquisition of the Guaíba Unit (Now know as Celulose Rio Grandense). Additionally, a US$78 million payment was done on January 29th. During the quarter, CMPC issued over
US$1,150 million in several financial operations, regarding Guaíba's financing plan. In October the Company issued a US$500 million international benchmark bond at the United States. Additionally, CMPC raised US$500 million through a capital increase operation in December. Few days later, CMPC subscribed a US$150 million credit note in Brazil.
Key Figures US$ M illion
4Q08
3Q09
4Q09
∆%Q/Q
∆%Y/Y
FY 2008
FY 2009
∆%Y/Y
Sales EBITDA EBITDA Margin Net Income
759 156 21% (79)
819 164 20% 63
915 210 23% 123
12% 28% 3% 94%
21% 34% 2% -255%
3.269 818 25% 268
3.124 644 21% 268
-4% -21% -4% 0%
79
92
83
-9%
6%
275
317
15%
9.662 1.460 3.158
10.550 1.317 7.028
12.244 2.130 8.749
16% 62% 24%
27% 46% 177%
9.662 1.460 3.158
12.244 2.130 8.749
27% 46% 177%
636,45 656,99
550,36 548,34
507,10 525,67
-8% -4%
-20% -20%
636,45 656,99
507,10 525,67
-20% -20%
CAPEX Total Assets Net Debt Market Capitalization Closing Exchange Rate Average Exchange Rate
2
Forestry
Pulp
Papers
Tissue
Paper Products
4Q09
Income Statement Analysis
Total revenues reached US$915 million during the quarter, a 12% higher when compared to those of 3Q09. During the quarter, there were higher pulp prices, which were mainly explained by a decrease in the level of inventories abroad. In addition, there was an increase in pulp sale volumes. This was mainly explained by the recovery of a delayed shipment with destination to Asia, as well as the first sale volumes of Celulose Rio Grandense in Brazil. On the other hand, Forestry sale volumes were up, especially those of plywood, sawing logs and sawn wood. Moreover, Paper and Paper Products sale volumes were also higher when compared with those of the previous quarter, because of the proper seasonality of the fruit export season in Chile, as well as the higher industrial activity. Finally, the increase in Tissue sale volumes was consequence of the consolidation of several capacity expansion projects in Latin America.
Sales Breakdown Analysis to Third Parties
Total Revenues Evolution 819
759
= ∆ Volumes
= ∆ Prices
915
+12
+38
+11
+9
-1
915
-2
-16
+31
819
4Q08
3Q09
4Q09
+1
+13
Sales Forestry Ventas 3T09 forestal 3Q09 +14
Pulp celulosa +69
Pap ers papeles +11
Sales Tissue P. Papel Paper Ventas tissue 4T09 4Q09 Pro d ucts -7 +9
CMPC’s consolidated EBITDA reached US$210 million, 28% above than 3Q09’s EBITDA. This growth is mainly explained by the higher EBITDA of the Pulp, Forestry, Paper and Paper Products divisions. Nevertheless, this was slightly offset by a decrease in the EBITDA of the Tissue division.
EBITDA Variation by Business
EBITDA Evolution 210 156
164
4Q08
3Q09
4Q09
Net Income during the quarter reached US$123 million, 94% superior than that of 3Q09. This increase is mainly explained by a higher EBITDA, an increase in Net biological income, as well as higher Non operational results, mainly due to the positive variation resulting from the Price-level restatement effect arising from Deferred taxes. All the above was partially offset by a lower Price level restatement, an inferior Depreciation & Stumpage, as well as higher Financial costs.
Net Income Evolution
Net Income Analysis
+25
123 +26 +45
63
123 -4
-23
Financial Costs
Other Non Price Level Net Income Oper. Restatement 4Q09
-10 63
4Q08
3Q09
4Q09
(79) Net Income 3Q09
Forestry
Pulp
Papers
EBITDA
Depreciation & Stumpage
Tissue
Net Biol. Income
Paper Products
3 3
4Q09
Income Statement Analysis Sales to Third Parties Breakdown by Destination FORESTAL
A breakdown of CMPC’s sales to third parties by destination during 4Q09 shows that 46% of the sales corresponded to exports, 27% to the domestic market in Chile and 27% to domestic markets of foreign subsidiaries. During 4Q09, export sales increased their contribution to CMPC’s consolidated sales. This was mainly explained by the higher prices and sale volumes reached by pulp.
Foreign Subsidiaries 27%
Domestic Sales in Chile 27%
Export Sales 46%
CMPC’s sales breakdown to third parties by business for 4Q09 shows that the Tissue business contributed with 33% of total revenues, followed by Pulp and Paper contributing with 28% and 19% of total sales respectively. Finally, the Forestry and Paper Products divisions represented 12% and 8% of total revenues respectively. CMPC’s EBITDA breakdown by business for 4Q09 shows that the Pulp division experienced a sharp increase in its contribution to consolidated EBITDA, as a consequence of the higher volumes and sale prices. Although there was an increase in the volumes sold of Tissue, this was not enough to maintain this division’s EBITDA. This decrement was mainly explained by lower sales, as well as higher fiber costs and fixed expenses. On the other hand, the Paper, Paper Products and Forestry businesses registered a higher EBITDA during 4Q09 when compared to the previous quarter. This was mainly explained by higher sale volumes, in response to better economic conditions.
3Q09 Sales Breakdown by Business Area
4Q09 Sales Breakdown by Business Area Paper Products (8%)
Paper Products Forestry (11%) (8%)
Tissue (33%)
Pulp (23%)
Tissue (38%)
Pulp (28%)
Papers (20%)
Papers (19%)
3Q09 EBITDA Breakdown by Business Area
Paper Products (6%)
Forestry (12%)
4Q09 EBITDA Breakdown by Business Area Paper Products (5%)
Forestry (7%)
Forestry (6%)
Tissue (21%)
.
Tissue (31%)
Pulp (36%)
Papers (17%)
Pulp (51%)
Papers (20%)
4
Forestry
Pulp
Papers
Tissue
Paper Products
4Q09
Income Statement Analysis
The Forestry and solid wood business registered a 15% increase in sales (+US$14 million) during this period when compared to those of 3Q09. Total sale volumes increased by 14%, whereas average sale price increased by 1%. During this period, there was an increment in Sawing logs (+17%), Sawn wood (+17%), Plywood (+15%) and Pulpwood volumes (+9%). On the other hand, Remanufactured wood volumes were down by 8%, which was mainly explained by the diminution registered in the exports with destination to the United States and Oceania.
FORESTRY
∆% Sales: +15% ∆% Volumes: +14% ∆% Price: +1%
Pulp sales increased by 37% (+US$69 million) during 4Q09 when compared to 3Q09, which was mainly explained by a 15% increase in CMPC’s pulp average effective price, as well as a 19% increment in sale volumes. Hardwood volumes increased 27%, while those of Softwood increased 6%. The higher volumes reached by Hardwood are mainly explained by the recovery of a delayed shipment with destination to Asia, as well as the first sale volumes of Celulose Rio Grandense in Brazil. Hardwood shipments with destination to China increased 48%, while those destinated to Europe were up by 11%. On the other hand, the higher volumes reached by Softwood are mainly explained by an increase in the company’s exports to China (+171%), United States (+33%) and Europe (+14%). Average effective price reached CIF 643 US$/ton and CIF 587 US$/ton for Softwood and Hardwood respectively. During this period, the spread between both fibers reached 56 US$/ton.
PULP
∆% Sales: +37% ∆% Volumes: +19% ∆% Price: +15%
Paper business during 4Q09 registered a 7% increase (+US$11 million) in consolidated sales, when compared to those of 3Q09. This was mainly due to the higher sale volumes, especially those reached by boxboard and packaging paper.
PAPERS
A breakdown of the different paper grades in this business shows that Newsprint volumes registered a 4% decrease when compared to those of 3Q09. Additionally, sale prices decreased 5%, following the trend in the foreign markets. On the other hand, Boxboard prices increased 4% when compared with those of 3Q09. Moreover, sale volumes were up by 6%. Finally, Packaging Paper sale volumes increased 20% compared to those of the previous quarter. This was mainly explained by the proper seasonality of the export fruit season in Chile, as well as the higher industrial activity. Average sale price increased 9% when compared to that of the previous quarter.
∆% Sales: +7% ∆% Volumes: +7% ∆% Price: 0% TISSUE
∆% Total Sales: -2% ∆% Volumes: Paper:+4%/Diapers&FCP:-2% ∆% Price: Paper:-6%/Diapers&FCP:-2% PAPER PRODUCTS
Tissue business, including operations in Chile, Argentina, Peru, Uruguay, Mexico, Colombia, Ecuador and recently Brazil, showed a 2% decrease in sales (-US$7 million) during 4Q09, when compared to those of 3Q09. This was mainly explained by the lower sale price registered in some of the Latin-American markets. All the above was partially offset by an increase in the Tissue paper volumes, which increased 4% during 4Q09. This was primarily explained by the consolidation of several expansion projects in Argentina, Peru, Uruguay and Mexico, as well as the recent acquisition of Melhoramentos in Brazil. On the other hand, the volumes of Diapers and Feminine Care Products decreased by 2%. Finally, average sale price (measured in US Dollars) decreased 6% for Tissue paper, whereas those of Diapers & Feminine care products decreased 2%, when compared to those of 3Q09.
Paper products business during 4Q09 registered a 13% increase (+US$9 million) in sales compared to those of 3Q09. This increment is mainly attributable to the proper seasonality of the fruit export season in Chile. However, Chilean fruit has matured later as a result of a delay in the summer temperatures. Because of this, demand for Fruit boxes felt by 6% when compared to that of 4Q08. On the other hand, the better economic scenario increased Industrial boxes volumes. All the above resulted in a 25% rise in Corrugated boxes volumes when compared to those of the previous quarter. Moreover, Molded pulp trays felt by 2% in volumes, while Paper bags volumes felt 4%. The average selling price recorded a drop of 3%, when compared to that of the previous quarter.
∆% Sales: +13% ∆% Volumes: +16% ∆% Price: -3%
Forestry
Pulp
Papers
Tissue
Paper Products
5
4Q09
Income Statement Analysis
Operating costs excluding depreciation, stumpage and decrease due to harvest amounted to US$579 million, 8% higher than those of 3Q09. This increment in costs is mainly explained by a 12% increase in CMPC’s total sales. At a consolidated level, Operating costs in 4Q09 were 63% of total sales, three points lower than that of 3Q09. Other operating expenses reached US$126 million, 6%higher than that of 3Q09. This account represented 14% of total sales, the same percentage than that recorded in 3Q09. Financial expenses during 4Q09 increased 15% compared to 3Q09, amounting to US$34 million. This increase is primarily explained by the higher level of consolidated total debt, in advance to the GuaĂba unit assets acquisition. Moreover, during this period there were higher Share results in associated companies. Since October 2009, the relative effects of changes in the fair value of financial instruments including forwards, forwards investments related to synthetic swaps, cross currency swaps and swaps, different from those under hedge accounting, were reclassified from the Exchange rate differences account into the Other gains (losses) items. Based on the foregoing, the depreciation of the dollar against the Chilean peso had positive results during 4Q09, registering a US$0.7 million gain. These results are generated by the mismatch between assets and liabilities denominated in currencies different from the US Dollar (functional currency) at a specific point in time. Price level restatement is caused by the variation experienced by the balance sheet accounts registered in UF (or Unidades de Fomento). The US$3 million loss recorded during the quarter was primarily due to the positive variation of the UF (price deflation), applied to UF debts held by the company. Other gains includes sales of products that are not purely of the company business and other items such as losses not covered by insurance companies, financial income, donations, and the relative effects of changes in the fair value of financial instruments including forwards, forwards investments related to synthetic swaps, cross currency swaps and swaps, different from those under hedge accounting, among others. During this quarter there was a US$33 million loss in this account. Income taxes for the period amounted a US$41 million gain. This was mainly due to the positive variation resulting from the Pricelevel restatement effect arising from Deferred taxes, because of the US Dollar depreciation.
6
Forestry
Pulp
Papers
Tissue
Paper Products
4Q09
Balance Sheet Analysis st
th
As of December 31 2009, Current assets registered a 6% increase when compared with those as of September 30 , 2009. This was mainly due to the higher Operative Receivables, as well as the Inventories account showed at the end of the fourth quarter. Despite the US$1,300 million payment to Fibria for the total acquisition of the Guaíba unit, the Cash and cash Equivalents account only diminished by 10%. This was mainly explained by Guaíba’s financing plan, which raised more than US$1,150 million through the issue of an international benchmark bond, a capital increase operation and a Credit note undertaken in Brazil. On the other hand, Non current th assets presented a 19% increase when compared with those as of September 30 , 2009. th
Current liabilities were up by 41% when compared with those as of September 30 , 2009. That was mainly explained by the higher Operative liabilities as well as the rise registered in the Other liabilities account, because of the outstanding payment of the Guaíba th acquisition. On the other hand, Non current liabilities presented a 23% increase when compared with those as of September 30 , 2009. This is mainly explained by the issuance of a US$500 million international benchmark bond and a US$150 million credit in Brazil, which are going to be used for refinance liabilities, as well as to finance CMPC’s new projects. The current liquidity ratio diminished from 2.9 to 2.2 times, because the increase in the Current assets was lower than the increment in Current liabilities. st
CMPC’s financial debt stood at US$2,891 million as of December 31 2009, showing a US$729 million increase when compared to th that as of September 30 , 2009. This is mainly explained by the issue of new credits, which are destinated to refinance liabilities, as well as to finance CMPC’s new projects. On the other hand, CMPC’s net financial debt reached US$2,130 million as of December st th 31 , 2009, registering an increase of US$813 million when compared to that as of September 30 , 2009. This was mainly explained by th the issue of new credits which were destinated to finance the Guaíba acquisition in Brazil. Additionally, on December 15 , CMPC paid US$1,300 million to Fibria for the total acquisition of the Guaíba unit. Nevertheless, it is important to highlight that CMPC closed the year with US$761 million of cash. As of the end of 4Q09, 66% of CMPC´s debt was denominated in USD, 27% was denominated in Chilean pesos (or Unidades de Fomento) and the balance in other local currencies. On the other hand, 74% of CMPC’s total financial debt has a fixed interest rate, whereas the balance has a floating interest rate. st
Debt Breakdown as of December 31 , 2009 In Th. US$ (i) (ii) (iii) (iv)
4Q09
3Q09
Interest-bearing Liabilities Hedging Liabilities Non Current Interest-bearing Liabilities Mark to Market of Derivatives Debt Instruments for Hedging Currencies and Interest Rates (1)
355 12 1,852 (56)
Total Debt
2,163
Cash and Cash Equivalents
846
Net Debt
1,317
Average Cost of Debt
4.4%
(1)
443 10 2,509 (71) 2,891 761 0 2,130 4.6%
∆% QoQ 25% -23% 36% 27% 34% -10% 62% 0.2%
Information included in Note N°9 of CMPC's Financial Statements: Financial Assets
st
Amortization Schedule as of December 31 , 2009
500 270 139 2010
341
365
2011
266
237
194
153 2012
2013
2014
2015
2019
2027
2030
Shareholders’ Equity presented a US$643 million increase when compared to that of 3Q09. This is mainly due to a US$500 million capital increase operation, as well as the higher Retained Earnings registered during the quarter.
Forestry
Pulp
Papers
Tissue
Paper Products
7
4Q09
Relevant Events
Payment of the Guaíba Unit to Fibria: On December 15 , CMPC paid US$1,300 million to Fibria for the total acquisition of th the ex-Aracruz’ Guaíba unit. Additionally, US$78 million were paid on January 29 , 2010. The Guaíba assets are located in the city of Guaíba, 30 kilometers away from Porto Alegre, in the state of Rio Grande do Sul. The acquisition includes: (i) land totaling an area of approximately 212,000 hectares of eucalyptus (of which 125,000 hectares are already planted or in plans to be planted); (ii) a nursery capable of producing 30 million plants a year and genetic material developed by Aracruz for this unit; (iii) a pulp mill with an annual production capacity of approximately 450,000 tons of bleached hardwood pulp; (iv) a paper plant, with an annual production capacity of around 60,000 tons; (v) an industrial site, environmental licenses and authorizations for a project to expand the pulp mill, raising its production capacity to around 1.75 million tons a year; (vi) US$89.4 million of working capital; (vii) all assets and services necessary for the proper operation of the property identified. With this acquisition, CMPC’s installed capacity will increase by 23%, exceeding 2.45 million tons of pulp production per year. With this, CMPC will reaffirm its position as one of the most important players in the pup industry worldwide.
•
US$500 million International benchmark bond issue: As part of the Guaíba acquisition financing plan, on October 29 , Inversiones CMPC S.A. issued a US$500 million international benchmark bond under the 144A-S regulation of the United States Securities Act. The transaction was under the guaranty of Empresas CMPC, acting through its Cayman Island Agency. This bullet bond has a maturity term of 10 years, with by annual interest payments. Issue effective rate was 6.245%, which was equivalent to CT10 + 275 Bps of spread. BNP Paribas, J.P. Morgan and Santander act as joint book-running managers.
•
CMPC issued US$500 million in a capital increase operation: Additionally, as a part of the Guaíba acquisition financing st plan, on Empresas CMPC’s 51 Extraordinary Shareholders meeting, it was agreed a US$500 million capital increase. This was done through the issue of new 20 million common shares, payable at a price of Ch$13,800 each (US$25 per share based th aprox.). On Friday December 18 , CMPC finished its capital increase process, with the auction of the 886,684 remaining shares that were not subscribed during the preferred period. The auction was realized at the Santiago Stock exchange, at an average price of Ch$19,649 per share (US$39), which was a 0.7% lower than Thursday’s closing price. Consequently, Empresas CMPC’s capital will be divided into 220 million shares.
•
8
th
•
th
CMPC issued US$150 million in a credit facility in Brazil: As part of the Guaíba acquisition financing plan, on December th 14 , Protisa do Brasil Ltda. under the guaranty of Empresas CMPC, issued a US$150 million credit facility in Brazil. The th facility has a maturity term of 3 years, with 13 monthly equal payments, starting on the 24 month. The credit effective rate was Libor + 250 Bps of spread. The lender banks were Banco Santander S.A. and Banco Itaú BBA S.A..
Forestry
Pulp
Papers
Tissue
Paper Products
4Q09
Consolidated Balance Sheet
2008
2009
4Q08
Figures in Th. US$*
1Q09
2Q09
4Q09 3Q09
4Q09
QoQ
YoY
Current Assets Cash and Cash Equivalents Operative Receivables Inventories Biological Assets Hedging Assets, Net Other Current Assets
1,953,705 220,181 654,613 768,786 142,470 4,738 162,917
2,189,956 534,976 647,847 737,341 173,246 6,117 90,429
2,141,115 576,466 615,483 672,353 183,810 93,003
2,407,277 846,121 618,466 683,283 184,022 75,385
2,561,739 761,487 694,044 737,263 169,195 1,619 198,131
Non Current Assets Hedging Assets, Net Property, Plant and Equipment Biological Assets Other Non Current Assets
7,708,492 12,536 4,890,046 2,572,986 232,924
7,917,848 15,229 5,015,039 2,561,814 325,766
7,964,188 4,968,901 2,557,026 438,261
8,142,839 5,141,221 2,560,838 440,780
9,685,972 1,678 6,053,997 3,054,419 575,878
19%
26%
-
-87%
18%
24%
TOTAL ASSETS
9,662,197
10,107,805
10,105,303
10,550,116
887,576 410,193 338,245 139,139
793,912 348,493 336,501 108,918
853,018 449,464 297,733 105,821
2,273,765 1,263,104 953,229 57,432
2,599,492 1,613,056 886,863 99,573
156,194
Shareholders' Equity TOTAL LIABILITIES & SHAREHOLDERS' EQUITY
Current Liabilities Interest-Bearing Liabilities Operative Liabilities Other Current Liabilities Non Current Liabilities Interest-Bearing Liabilities Deferred Tax Liabilities Other Non Current Liabilities Minority Interests
6%
31%
-10%
246%
12%
6%
8%
-4%
-8%
19%
-
-66%
163%
22%
19%
19%
31%
147%
12,247,711
16%
27%
841,590 354,596 375,953 111,040
1,184,223 443,476 453,746 287,001
41%
33%
2,685,498 1,612,979 951,040 121,479
3,101,673 1,851,818 948,056 301,799
3,805,395 2,509,437 1,040,162 255,796
153,567
153,675
153,768
6,344,662
6,560,834
6,413,112
9,662,197
10,107,805
10,105,303
25%
8%
21%
34%
158%
106%
23%
67%
36%
99%
10%
9%
-15%
345%
157,648
3%
1%
6,453,085
7,100,445
10%
12%
10,550,116
12,247,711
16%
27%
* Balance Sheet numbers are based on CMPC's quarterly financial data, w hich is presented to the "Superintendencia de Valores y Seguros" (SVS) .
Forestry
Pulp
Papers
Tissue
Paper Products
9
4Q09
Consolidated Income Statement
2008 1Q08
Figures in Th. US$
Sales Operating Costs (1)
844,928 (534,583)
2Q08
2009 3Q08
4Q08
1Q09
2Q09
4Q09 3Q09
4Q09
QoQ
YoY
914,770 (579,300)
12% 8%
21% 13%
335,470
19%
37%
6%
40%
877,461 (514,244)
788,347 (512,341)
758,715 (513,150)
698,394 (489,543)
691,295 (460,459)
819,150 (536,563)
310,345
363,217
276,006
245,565
208,851
230,836
282,587
(92,654)
(107,680)
(90,275)
(89,478)
(69,543)
(100,974)
(118,115)
(125,557)
EBITDA(3) EBITDA Margin (%)
217,691 26%
255,537 29%
185,731 24%
156,087 21%
139,308 20%
129,862 19%
164,472 20%
209,913 23%
28% 3%
34% 12%
Depreciation and Stumpage Increase in Biological Assets due to Forests Growth and Price Effects Decrease in Biological Assets due to Harvest
(77,171) 61,292 (29,267)
(80,240) 61,218 (42,457)
(80,199) 62,206 (45,935)
(72,967) 60,455 (43,230)
(75,583) 49,105 (32,513)
(78,517) 38,318 (34,315)
(81,551) 38,318 (35,853)
(91,179) 54,815 (26,050)
12% 43% -27%
25% -9% -40%
Operating Margin Other Operating Expenses
(2)
Operating Income
172,545
194,058
121,803
100,344
80,317
55,348
85,385
147,500
73%
47%
Financial Expenses Share Results in Associated Companies Exchange Rate Differences Price Level Restatement Other Gains (Losses) Income Taxes
(18,029) (638) (47,860) (3,333) 2,935 43,013
(21,387) 3,724 80,101 (6,163) 7,968 (117,224)
(18,738) (550) 8,022 (13,851) (1,287) (37,448)
(17,360) (1,532) (51,549) (14,323) (39,044) (55,963)
(19,262) 2,969 (41,226) 9,372 (5,897) 27,121
(21,905) 6,805 (41,213) 1,940 (4,395) 31,541
(29,446) 3,486 17,719 2,702 1,234 (17,638)
(33,850) 3,991 710 (3,061) (32,556) 40,528
15% 14% -96% -213% -2739% -330%
95% -361% -101% -79% -17% -172%
141,077
57,950
(79,427)
53,393
28,119
63,442
123,263
94%
-255%
Net Income
148,633
(1) Operating Expenses are calculated as: Costs of Sales minus Stumpage minus Decrease in Biological Assets due to Havest minus Depreciation (2) Other Operating Expenses are calculated as: Marketing Costs plus Distribution Costs plus Administration Expenses plus Other Operational Costs plus Research and Development (3) EBITDA is calculated as: Sales minus Operating Costs minus Other Operating Expenses
10
Forestry
Pulp
Papers
Tissue
Paper Products
4Q09
Consolidated Cash Flow Statement Figures in Th. US
Cash Flow from Operating Activities
2008
2009
As of December
As of December
482,2080 0 268,233 273,729 260,694 88,956 (84,281) (43,161) (1,004) 1,164 0 (282,122) 0 0 (141,447) 0 0 0 956,826 0 (815,814) (70,147) (6,372) (205,941) 0 0 (206,666) 0 0 320 44,663 6,735 16,975 (275,358) 0 0
268,218 61,851 276,845 53,057 (51,825) 63,745 (17,250) 13 20,819 40,983 0 0 1,454,171 0 0 513,847 1,732,401 0 (649,724) (78,686) (8,298) (55,369) 0 0 (1,684,401) 0 0 280 (57,359) 3,115 10,490 (317,340) 0 (1,323,587)
Net Increase (Decrease) in Cash and Cash Equivalents Effects of Changes in Exchange Rates on Cash and Cash Equivalents Cash and Cash Equivalents at the Beginning of the Period
134,095 (81,777) 167,863
486,225 55,081 220,181
263% -167% 31%
Cash and Cash Equivalents at the End of the Period
220,181
761,487
246%
Net Income Adjustments to Reconcile with Opertaing Income Depreciation Unrealized Exchange Losses Change in Fair Value of Biological Assets Increase (Decrease) for Disposal of Other Assets and Financial Liabilities Participation in (Gain) Loss of Investments Recognition of Provisions Adjustment for Significant Non-Cash Items Increase (Decrease) in Working Capital Cash Flow from Financing Activities Proceeds from the Issuance of New Shares Proceeds from New Long Term Debt Bonds Issued Payments of Loans Payments of Financial Interests Dividend Payments to Minority Interests Dividens Paid Cash Flow from Investment Activities Divestments in Property, Plants and Equipment Other Cash Flows used in Investment Activities Proceeds from Investment Dividends Preceeds from Investment Interests Investments in Property, Plants and Equipment Payments to Acquire Other Financial Assets Payments to Acquire Subsidiaries, Net of Cash Acquired
Forestry
Pulp
Papers
Tissue
716,455
YoY
Paper Products
49% 0% -77% 6% -40% -39% -248% 1617% -99% -115% -1128% 81% -20% 12% 30% -73% 715% -12% -228% -54% -38% 15% -
11
4Q09
Sale Volumes
Domestic Sales(1)
4Q09 ∆%Q/Q ∆%Y/Y
Total Sales
Exports
4Q08
3Q09
4Q09
4Q08
3Q09
4Q09
4Q08
3Q09
4Q09
(Th. m ssc)
572 0 81 0
546 0 60 0
621 0 62 0
190 0 190 0
216 0 216 0
247 0 247 0
762 0 271 0
762 0 276 0
867 0 308 0
Pulp
(Th. Tons)
Paper, Boxboard and Newsprint
(Th. Tons)
3 0 50 15 13 0
17 0 50 14 10 0
17 0 60 15 12 0
403 0 112 65 38 0
359 0 128 75 44 0
430 0 129 81 40 0
406 0 162 80 51 0
377 0 178 90 54 0
448 0 189 96 52 0
79 0 64 45
109 0 53 38
114 0 63 48
1 0 6 2
1 0 6 1
1 0 6 2
79 0 70 47
110 0 59 39
114 0 69 49
3
Forestry and Wood Products Sawnwood, Remanufactured Wood & Plywood
Boxboard Newsprint Tissue Paper
(Th. Tons)
Paper Products
(Th. Tons) Corrugated Boxes
14% 0% 12% 0% 19% 0%
14% 0% 14% 0% 10% 0%
6% 6% -4% 0%
17% 20% 2% 0%
4% 0% 16% 25%
44% 0% -2% 4%
(1) Co nsiders Chile and Fo reign Subsidiaries (2) The CTM P To ns pro duced by M elho ramento s during 3Q09 were reclassified as P ulp
This document provides information about Empresas CMPC SA. In any case this constitutes a comprehensive analysis of the financial, production and sales situation of the company, so to evaluate whether to purchase or sell securities of the company, the investor must conduct its own independent analysis. In compliance with the applicable rules, Empresas CMPC SA. publishes this document on its Web site (www.cmpc.cl) and sends to the Superintendencia de Valores y Seguros, the financial statements of the company and its corresponding notes, which are available for consultation and review.
12
Forestry
Pulp
Papers
Tissue
Paper Products