March 18, 2016 Revenues Jan Dec (MUS$) 2014 2015 -12% 496.4 - - PowerPoint PPT Presentation

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March 18, 2016 Revenues Jan Dec (MUS$) 2014 2015 -12% 496.4 - - PowerPoint PPT Presentation

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March 18, 2016 Revenues Jan Dec (MUS$) 2014 2015 -12% 496.4 439.2 -6% -21% 278.5 262.8 184.4 145.8 -8% 33.5 30.6 Fishing Salmon Other Seafood TOTAL Revenues affected by slower catches and weak salar prices 2 Annual Revenues

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March 18, 2016

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184.4 278.5 33.5 496.4 145.8 262.8 30.6 439.2 Fishing Salmon Other Seafood TOTAL

Revenues

2014 2015

Revenues affected by slower catches and weak salar prices Jan – Dec (MUS$)

  • 6%
  • 12%
  • 8%
  • 21%
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3 11 26

184.4 278.5 33.5 496.4 145.8 262.8 30.6 439.2 Fishing Salmon Other Seafood TOTAL

Annual Revenues - Fishing

MUS$

  • 21%

38,620 51,988

YTD Q4 2015 YTD Q4 2014

1,780 1,763 69 92 Impact of lower catches (-29%) and lower yields of oil (-34%) due to El Niño

  • 58%

5,729 13,332 YTD Q4 2015 YTD Q4 2014 1,913 1,960

  • 25%

Volume (Ton) Average price (US$/Ton) Revenues (US$ million) 2014 2015

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184.4 278.5 33.5 496.4 145.8 262.8 30.6 439.2 Fishing Salmon Other Seafood TOTAL

  • 6%

+15%

  • 21%
  • 9%
  • 2015 without trout vs US$ 12 mill. in 2014
  • US$ 10 mill. of lower revenues for services to third parties
  • Harversts: 43 thousand tons in 2015 vs 39 thousand in 2014

MUS$

42,195 36,814 YTD Q4 2015 YTD Q4 2014 4.4 5.6 187 206

Annual Revenues - Salmon

Volume (Ton WFE) Average price (US$/Kg WFE) Atlantic Salmon Revenues (US$ million)

2014 2015

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+5%

  • 1%

+4%

Volume (Ton) Average price (US$/Kg) Mussels Revenues (US$ million)

28 thousand tons of processed raw material and production record in 2015 of 9,500 tons. (+10%) Higher stocks at the end of 2015

  • Temporary block to the Russian market (fixed at the end of May)

2014 2015

8,877 8,422 YTD Q4 2015 YTD Q4 2014 2.7 2.7 24 23 Other seafood in the north

Scallops: Sales volume of 127 ton in 2015 (as of October) vs 254 ton in 2014 (-50%) 10% price drop Abalone: 2015 revenue of US $ 3.2 million (-20% vs 2014). 19% price drop

Annual Revenues – Other Seafood

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Results Jan – Dec (MUS$)

EBITDA (before Fair Value) Profit/Loss

2014 2015

33.1 31.5 1.6 66.1 15.7 6.7

  • 0.8

21.6 Fishing Salmon Other Seafood TOTAL 6.2 6.5

  • 1.5

11.1 1.4

  • 6.8
  • 3.6
  • 9.0

Fishing Salmon Other Seafood TOTAL

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11.9 25.5 53.0 60.0 66.1 58.7 45.1 47.1 21.6 439 459 483 485 496 489 453 462 439 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 EBITDA (MUS$) Revenues (MUS$)

10.0% 2.7% 5.6% 11.0% 12.4% 13.3% 12.0% 10.2% 4.9%

Development: Last 4 mobile quarters

X%

EBITDA/Revenues

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28 20 43 27 18 18 40 22 38 19 38 29 4 2 16 23 19 4 23 31 8 3 2014 2015 2014 2015 2014 2015 2014 2015 Q1 Q2 Q3 Q4

Sardine: Lower 2015 fishing quota (-18%) and early bans due to lower fish size.

  • J. Macker.: Late catches, but recover as of Q3 2015.

Anchovy: Lower 2015 industrial fishing quota (-14%) and late beginning, but with more purchases to third parties; weak Q4 due to El Niño.

Jack Mackerel Anchovy Sardine

2016 Quota: Considers sardine quota expansion estimation. In the case of the sardine, and anchovy, catches include own and third parties. Company’s estimations are based on current information, which could change due to deviations

Thousands of tons

271 202 249

Driver: Pelagic Fishing

129 87 130 96 73 75 46 42 44 2014 2015 Quota 2016 Year

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1,605 1,635

Prime Fishmeal Price (Chile) IFFO Week 8 2016

1,763 1,780

1,813 1,803 1,532 1,398 1,492 1,567 1,850 2,013 2,247 1,844 1,613 1,760 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015

Driver: Fishmeal Price

Prices hit a peak in Q1 2015, and fell after normalization of the Peruvian quota for the 1st season and then rise again due to a lower quota for the 2nd and due to El Niño risks.

US$ / ton (Camanchaca)

May to Jul: 2.5 MM Ton (68% catched) Nov to Jan: 2.5 M Ton May to Jul: 2 M Ton Nov to Jan: No quota May to Jul: 2.6 MM Ton (98% catched)

Peru’s Fishing Quota:

Nov to Jan: 1.1 M Ton (99% catched)

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10 December 31, 2015 December 31, 2014 VOLUME Months of Production ThUS$ VOLUME ThUS$ SALMON Atlantic Salmon (Tons) 7,458 3.4 42,198 6,021 37,889 Salmon Total 42,198 37,889 FISHING Fishmeal (Tons) 5,793 1.3 6,937 4,879 5,492 Fish oil (Tons) 846 0.8 1,896 692 984 Frozen Jack Mackerel (Tons) 1,185 0.9 694 1,418 1,058 Canned Fish (thousands of boxes) 43 0.5 664 169 3,211 Langostino Lobster (Tons) 225 2.9 2,824 382 4,789 Fishing Total 13,015 15,534 OTHER SEAFOOD Mussels (Tons) 2,280 3.2 5,304 1,230 3,026 Abalone (Tons) 86 4.9 1,969 117 2,915 Scallops (Tons) 19 1.0 157 80 1,108 Other Seaafood Total (Tons) 7,430 7,049 COMPANY TOTAL 62,643 60,472

Higher Stocks of mussels and abalone. Normal fishing stocks

(valued at cost)

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Economic Feed Conversion Rate – Atlantic Salmon

2014 2015

Q4 2015: Increased SRS and sea lice. 10.2% 8.7% 9.0% 5.4% 11.7% 14.2% 9.8% 12.9% 9.8% 10.9% Q1 Q2 Q3 Q4 Year 1.41 1.35 1.55 1.30 1.34 1.36 1.44 1.35 1.42 1.35 1.00 Q1 Q2 Q3 Q4 Year

Driver: Favorable Salmon Sanitary Conditions

Mortality – Atlantic Salmon % in closed cycle

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Algae Bloom in Chile

  • Mainly affects neighborhoods 1, 2, 3, 6, 7 and 10 (10th Region)
  • Mortality of approx. 24 million fish,

equivalent to more than 39 thousand tons of biomass

  • Expected Chilean supply 2016: drop ~20%
  • Expected Global supply 2016: drop ~6%
  • Estimated impacts for Camanchaca:
  • 90% mortality in 3 sites (2.6 million fish)
  • 2016 lower harvests of 12,500 to 13,000 tons WFE (30% of annual production)
  • Estimated Direct Impact after insurances: US$ 5 million
  • No impact on 2017 harvests

Company’s estimations are based on current information, which could change due to deviations

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Cost reduction

Atlantic Salmon - Cost ex-cage liveweight (US$ / kg)

3.41 3.01

Improvements in cost mainly for better diets and feeding techniques, coupled with better processes in freshwater.

3.16 3.72 3.81 3.35 3.07 2.95 2.92 3.02 3.08 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Others Medicine Labor Smolt OPEX Feed

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6.0 4.8 5.8 4.5 5.4 4.4 5.2 4.1 5.6 4.4

.500

Q1 Q2 Q3 Q4 Year

Driver: Atlantic Salmon Price

Drop in prices due to devaluations of currencies against the USD US$ / kg WFE (Salmones Camanchaca)

Harvest (Thousands of Tons)

10.8 5.0 9.2

39.3

11.6

2014 2015

14.3 43.3 4.9 11.2 15.6

Δ-20% Δ-22% Δ-19% Δ-22% Δ-21%

2016 Harvests (E): 30 thousand tons WFE

Company’s estimations are based on current information, which could change due to deviations

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Atlantic Salmon Price: Long-term trend

Urner Barry Equivalent Trim C 2-3 *- US$/Lb Market prices under its trend line with impact in 2015 of ~US$ 50 million compared to 2014 price and ~US$ 30 million compared to the trend line price.

2.0 2.5 3.0 3.5 4.0 4.5 5.0 5.5 6.0 jan-04 may-04 sep-04 jan-05 may-05 sep-05 jan-06 may-06 sep-06 jan-07 may-07 sep-07 jan-08 may-08 sep-08 jan-09 may-09 sep-09 jan-10 may-10 sep-10 jan-11 may-11 sep-11 jan-12 may-12 sep-12 jan-13 may-13 sep-13 jan-14 may-14 sep-14 jan-15 may-15 sep-15 jan-16 mar-16 * Trim D = ~1,2 Trim C

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Hike in price

Prices every week: Chilean salmon (UB trim D 3-4 lb)

Source: ABG Sundal Collier (03/17/2016)

Price rises +US$ 1.2 / lb in the last weeks

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Camanchaca’s Atlantic Salmon RMP

Camanchaca vs Market (Salmonex, January 2012 = Base 100) In 2015, Camanchaca’s prices remain above the UBarry and Salmonex indexes (+96 and +76 cents respectively).

100 74 88 117 89 100 60 80 100 120 140 160 180

Urner Barry Salmonex Camanchaca

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Despite significant improvements in costs, tight margins due to price situation 10th region sites 11th region sites

Development of Atlantic Salmon Margins

70 90 110 130 150 170 190 210 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15

Raw Material Cost and RMP (Raw Material Return) Base 100 = RMP January 2013

RM cost before processing RMP Porcelana Benjamín Tahuenahuec Izaza Cabudahue Fiordo Largo Pilpilehue Ahoní Loncochalgua Leptepu Cahuelmó Lamalec Licha Puelche Contao

Mañihueico

Islotes Edwards Izaza |F.Largo| |-------P.Arg.------| |---Cabudahue---| |--Pilpilehue--| |-----Ahoní-----| Leptepu Cahuelmó

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EBIT (US$/Kg WFE) before Fair Value

Development of Atlantic Salmon Margins

Atlantic Salmon Business includes other Revenues and Costs due to services and sales to third parties, and intercompany salmon sales to our offices abroad.

  • 0.53
  • 0.8
  • 0.6
  • 0.4
  • 0.2

0.0 0.2 0.4 0.6 0.8 1.0 1.2 1.4

Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015

0.64

  • 0.10
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Driver: Diesel Price

Drop from Q4 2014 US$ / lt

2014 2015

At constant volume, fuel cost save in 2015 of US$ 6.2 million. 0.84 0.54 0.84 0.54 0.82 0.49 0.70 0.43 0.81 0.50

0.00

Q1 Q2 Q3 Q4 Year

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