The best way to balance your investments in the growing electric sector in South America 0
AGENDA 1.- Introduction 2.- Fundamentals 3.- Financial Analysis 4.- Enersis future 1
2008: YEAR OF STOCK MARKET MELTDOWN Stock Markets performance YTD Source: Bloomberg All figures, as of December 29 th,2008 ENI 2 France Germany Spain United Kingdom China Japan United States Brazil Argentina Mexico Chile 5% -5% -15% -25% -35% -45% -55% -65%
2008: CREDIT CRISIS IMPACTS ECONOMIC GROWTH GDP 3Q08 growth: % change over same quarter of previous year 11% 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% France Germany Spain United Kingdom China Japan United States Argentina Brazil Chile Colombia Peru -1% Source: Consensus Forecast, December 2008 3
Colombia 2009: YEAR OF ECONOMIC SLOWDOWN GDP expected growth Source: Consensus Forecast, December 2008 4 France Germany Spain United Kingdom China Japan United States Argentina Brazil Chile Peru 8% 7% 6% 5% 4% 3% 2% 1% 0% -1% -2%
OUR OWNERSHIP STRUCTURE ENEL ACCIONA OTHER 67% 25% 8% ENDESA SPAIN Chilean Pension Funds ADR Holders Other Inst. Shareholders Minority Shareholders 60% 17% 11% 9% 3% ENERSIS Note: Enel & Acciona control Endesa Spain through an investment vehicle. All figures as of Dec-08 5
OUR BUSINESS STRUCTURE ENERSIS Distribution Generation 99 % 35 % 65 % 60 % 54 % * 42 % 39 % 54 % 70 % 22 % 34 % 54 % 53 % 16 % 20 % All figures as of Sept 08 *Transmission 6
GENERATION, a source of opportunities Colombia Capacity 2,895 MW Production 12,766 GWh Market Share* 21% Brazil Capacity 987 MW Production 3,772 GWh Market Share* 1% Peru Capacity 1,467 MW Production 7,975 GWh Market Share* 28% Argentina Capacity 3,644 MW Production 10,388 GWh Market Share* 14% Chile Capacity 4,893 MW Production 19,443 GWh *Installed Capacity All figures LTM, as of Sept 08 Market Share* 37% Total Capacity: 13,885 MW Total Sales: 65,884 GWh Total Assets: US$MM 10,934 7
DISTRIBUTION, the best provider of stability Colombia Brazil Customers 2.4 Million Sales 9,139 GWh Customers 2.2 Million Sales 11,779 GWh Peru Customers 2.8 Million Sales 7,460 GWh Argentina Customers 1 Million Sales 5,502 GWh Customers 2.2 Million Sales 16,010 GWh Chile Total Clients: 12.3 Million All figures LTM, as of Sept - 08 Customers 1.5 Million Sales 12,645 GWh Total Sales: 62,535 GWh Total Assets: US$ MM 11,993 8
AGENDA 1.- Introduction 2.- Fundamentals 3.- Financial Analysis 4.- Enersis future 9
INCREASING DEMAND World Total Primary Energy Consumption by Region, Reference Case, 2005-2030 350 300 Quadrillion Btu 250 200 150 100 149 92 45 69 241 37 24 38 50 121 81 38 51 110 23 14 23 0 OECD North America OECD Europe OECD Asia Non- OECD Europe and Eurasia Non- OECD Asia Middle East Africa Central and South America 2005 2030 Source: Energy Information Administration 10
DEMAND PREDICTABILITY Chile Energy demand vs. Economic growth, Dec 2005-Sep 2008 160% 150% 140% Energy Demand 130% 120% 110% 100% Economy Energy demand elasticity of 1,14. 90% Dec-99 Dec-00 Dec-01 Dec-02 Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Source: Chile Central Bank, CDEC - SIC 11
INCREASING CLIENTS BASE Enersis clients base per quarter, 1Q 2004-3Q 2008 and projection 14,600,000 13,300,000 12,000,000 10,700,000 9,400,000 8,100,000 Source: Press Releases 12 1Q04 2Q04 3Q04 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08e 1Q09e 2Q09e 3Q09e 4Q09e 1Q10e 2Q10e 3Q10e 4Q10e 1Q11e 2Q11e 3Q11e 4Q11e 1Q12e 2Q12e 3Q12e Number of clients 4Q12e
AMPLE ROOM FOR GROWTH World Per Capita Total Primary Energy Consumption, 2006 350 335 300 250 Million Btu 200 150 181 177 161 162 179 100 50 56 79 51 78 30 22 0 France Germany Spain Unit ed Kingdom China Japan Unit ed States Argentina Brazil Chile Colombia Peru Source: Energy Information Administration 13
AGENDA 1.- Introduction 2.- Fundamentals 3.- Financial Analysis 4.- Enersis future 14
4. FINANCIAL ANALYSIS Adequate liquidity Easy access to capital markets Proper debt maturity Appropriate protection measures 15
OUR OPERATING RESULTS MM US$ 2003 2004 2005 2006 2007 3Q08 LTM Operating Revenues 3,961 4,860 6,275 7,311 9,432 10,973 Operating Costs (2,782) (3,405) (4,264) (4,873) (6,367) (7,173) Gross Margin 894 1,138 1,571 2,006 2,527 3,225 Gross Margin (%) 30% 30% 32% 33% 32% 35% CAGR 46,2% 60,1% 10.500 8.500 6.500 4.500 2.500 500 10.973 9.432 6.275 7.311 29% 3.961 4.860 27% 27% 25% 23% 23% 2003 2004 2005 2006 2007 3Q08 LTM Operating Revenues Gross Margin 30% 28% 26% 24% 22% 20% 16
OUR IMPROVED FINANCIALS Better Ratios: In line with investment grade companies 4,500 4,000 4,121 6.0 5.5 3,500 3,383 5.2 5.0 MM US$ 3,000 2,500 2,305 2,800 3.8 4.1 4.5 4.0 3.5 Times 2,000 1,500 1,576 1,831 2.8 3.3 3.0 2.5 1,000 2.2 2003 2004 2005 2006 2007 3Q08 LTM EBITDA * EBITDA/Int. * / Expense Int. Expense 2.0 * EBITDA = Operating Income + Depreciation + Amortization 17
CONTRIBUTION OF EACH BUSINESS TO EBITDA * MM US$ Generation Distribution Other Total Argentina 113 3% 137 3% - 250 6% Brasil 426 10% 710 17% (14) 1,122 27% Chile 1,135 28% 312 8% 31 1,478 36% Colombia 478 12% 505 12% - 983 24% Perú 142 3% 136 3% - 278 7% Ajustes Cons. - - - - - 9 0% Total EBITDA 2,294 56% 1,801 44% 17 4,120 100% - All figures as of Sept - 08 * EBITDA = Operating Income + Depreciation + Amortization 18
ADEQUATE LIQUIDITY Cash & Cash Equivalent Versus Liquidity MM US$ 1,400 1,200 1,000 800 600 400 200 1.0 557 1.5 982 0.9 703 1.2 827 1.3 1,160 1.2 1,390 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 Times 0 2003 2004 2005 2006 2007 3Q08 0.0 Cash and Cash Equivalent Liquidity * * Liquidity = Total Current Assets / Total Current Liabilities 19
EASY ACCESS TO THE CAPITAL MARKETS Cash & Cash Equivalent: US$ 1,390 million Open Credit lines (In Chile): US$ 411 million Open Credit Lines (International markets): US$ 800 million Total availability: US$ 2,601 million All figures as of Sept - 08 20
DEBT MATURITY BY COUNTRY MM US$ EBITDA Sep 08 (LTM) 1S 2009 2S 2009 Debt 2009 EBITDA/DEBT 09 Chile 1,478 662 156 819 1.68 Enersis (31) 32 152 183-0.15 Chilectra 312 0 0 0 14.31 Endesa 1,135 625 4 629 1.80 Argentina 250 57 58 116 1.66 Edesur 137 5 17 22 6.23 Costanera 75 41 24 65 0.80 Chocon 39 12 17 29 1.12 Peru 278 78 45 123 1.38 Edelnor 136 25 0 25 2.12 Edegel 142 53 45 98 1.04 Brazil 1,122 69 253 322 3.26 Coelce 288 21 143 164 1.67 Ampla 423 40 103 143 2.82 Cien 119 2 2 5 16.58 Fortaleza 77 5 5 10 5.26 Colombia 983 23 147 170 5.66 Codensa 505 23 0 23 19.28 Emgesa 477 0 147 147 3.23 TOTAL 4,121 889 659 1,548 2.36 All figures as of Sept - 08 * EBITDA = Operating Income + Depreciation + Amortization 21
PROPER DEBT MATURITY BY COUNTRY MM US$ 2009 2010 2011 2012 Balance TOTAL Chile 819 274 218 24 2,319 3,713 Argentina 116 93 109 35 12 399 Peru 123 73 104 119 270 767 Brazil 322 312 393 384 210 1,643 Colombia 170 103 276 156 488 1,197 Consolidated 1,548 855 1,099 718 3,299 7,719 All figures as of Sept - 08 22
THE SOUND AND RESPONSIBLE USE OF OUR FCF Free Cash Flow Debt Dividends Investments has been unanimously recognized by the rating agencies 23
APPROPRIATE PROTECTION MEASURES Debt profile Interest Rate Structure Debt by Country Peru 10% Variable; 32% Protected; 3% Fixed; 64% $ COL 15% SOL PER 6% Currency Structure OTHERS 1% US 40% Colombia 15% Brasil 22% Argentina 5% Chile 48% REAL BRAS 21% $ CHI 1% UF 16% All figures as of Sept - 08 24
APPROPRIATE PROTECTION MEASURES COMPANY RISK HEDGED DERIVATIVE INSTRUMENT AMOUNT (MM US$) STARTING DATE (AVERAGE) MATURITY (AVERAGE) ENERSIS RATE COLLAR 150 19-Dic-06 2009-03-29 EXCHANGE SWAP 600 08-May-04 2015-03-28 EDESUR RATE SWAP 15 20-Dic-07 2011-09-20 COELCE EXCHANGE SWAP 31 11-Jun-06 2012-06-05 EDELNOR RATE SWAP 28 30-Nov-06 2014-06-04 ENDESA RATE COLLAR 100 29-Dic-05 2010-03-12 EXCHANGE FORWARD 27 29-Ago-08 2008-09-25 CHOCON RATE SWAP 47 11-Jul-08 2011-09-15 CAM EXCHANGE FORWARD 8 19-Abr-08 2009-03-31 FORTALEZA RATE SWAP 19 15-Jun-06 2015-12-15 EXCHANGE SWAP 21 20-Mar-07 2015-12-15 EDEGEL RATE SWAP 61 15-May-05 2012-12-30 SUB TOTAL RATE SWAP 170 07-11-2006 2013-02-01 SUB TOTAL RATE COLLAR 250 30-07-2006 2009-08-15 TOTAL RATE 420 08-Sep-06 2011-01-09 SUB TOTAL EXCHANGE FORWARD 35 29-07-2008 2008-11-07 SUB TOTAL EXCHANGE SWAP 652 17-07-2004 2015-02-16 TOTAL EXCHANGE 687 30-Sep-04 2014-10-22 TOTAL 1,107 26-Jun-05 2013-05-16 All figures as of Sept - 08 25
AGENDA 1.- Introduction 2.- Fundamentals 3.- Financial Analysis 4.- Enersis future 26
4. ENERSIS FUTURE Coming investments Return to Our Shareholders and Risks Corporate Goals 27
FORECASTED INVESTMENTS & CAPEX 2008-2012 MM US$ Generation Distribution Total Argentina 158 2% 658 7% 816 8% Brazil 793 8% 1,971 20% 2,764 28% Chile 3,130 31% 695 7% 3,825 38% Colombia 1.262 13% 774 8% 2,036 20% Peru 256 3% 302 3% 558 6% Total 5,600 56% 4,400 44% 10,000 100% 28
INVESTMENTS IN GENERATION Plants Commissioned in 2007and 2008 Taltal 120 MW Chile Ojos de Agua 9 MW Chile San Isidro II 353 MW Chile Palmucho 32 MW Chile Canela 18 MW Chile 2009 2010 Onwards Canela II 60 MW Chile LNG Plant 9.5 MM m3 Chile (Fast-track) Santa Rosa 188 MW Peru Bocamina II 370 MW Chile El Quimbo 400 MW Colombia Choshuenco 128 MW Chile Quintero 250 MW Chile Los Cóndores 150 MW Chile Neltume 473 MW Chile 29
INVESTMENTS IN DISTRIBUTION Addition of 400,000 to 450,000 new clients per year US$ 850 million in maintenance capex per year Demand growing at 5% in average over 6 concession areas Development of new products for our distribution clients Recovering economic scenario pushing up commercial and industrial consumption Replacement of substations, transformers, grids, new solutions Our investments are equivalent to add a new midsize company every year * EBITDA = Operating Income + Depreciation + Amortization 30
STRONG RETURN TO OUR SHAREHOLDERS CAGR: 22%** 2007 MM US$ 10,504 2008 * MM US$ 10,611 2005 MM US$ 7,084 2006 MM US$ 10,406 Market Cap 2004 MM US$ 5,486 2003 MM US$ 4,729 (*) as of Sept 30, 2008 (**) as of Dec 30, 2007 31
DIVIDEND: 70% OF NET PROFITS 2007* Div. Yield: 2.5% Payout: 70% 2007 70% MM US$ 259 2006 70% MM US$ 368 2005 62% MM US$ 64 2004 50% MM US$ 24 (*) as of Dec 30, 2007 32
OUR CORPORATE GOALS Solid and sustainable growth Enhance shareholders value Responsible financial management Excellence in corporate government 33
You are always welcome to ENERSIS, a leader in the electricity market INVESTOR RELATIONS TEAM Ricardo Alvial Investments & Risk Director ram@e.enersis.cl 56 (2) 353-4682 Susana Rey Head of Investor Relations srm@e.enersis.cl 56 (2) 353-4554 Carmen Poblete Investor Relations Representative cpt@e.enersis.cl 56 (2) 353-4447 Denisse Labarca Investor Relations Representative dla@e.enersis.cl 56 (2) 353-4492 Bárbara López Investor Relations Representative bllf@e.enersis.cl 56 (2) 353-4552 Cristián Del Sante Investor Relations Representative cdb@enersis.cl 56 (2) 353-4555 Maria Luz Muñoz Investor Relations Assistant mlmr@e.enersis.cl 56 (2) 353-4682 34