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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 20-F/A

(Amendment No. 1)



| ̈ | REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ------------------------------------------------------------------------------------------------

OR



|x | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ------------------------------------------------------------------------------------

For the fiscal year ended December 31, 2013

OR



| ̈ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ----------------------------------------------------------------------------------------

OR



| ̈ | SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | -------------------------------------------------------------------------------------------

Date of event requiring this shell company report
.. . . . . . . . . . . . . . . . . . .

For the
transition period from                  to

Commission
file number: 1-13240

EMPRESA NACIONAL DE ELECTRICIDAD S.A.



(Exact name of Registrant as
specified in its charter)

EMPRESA NACIONAL DE ELECTRICIDAD S.A.



(Translation of Registrants
name into English)

CHILE



(Jurisdiction of incorporation or
organization)

Santa Rosa 76, Santiago, Chile



(Address of principal executive
offices)

Fernando Gardeweg, phone: (56-22) 2353-4639, fax: (56-2) 2378-4789, fgr@endesa.cl, Santa Rosa 76, Piso 15, Santiago,
Chile



(Name, Telephone,
E-mail and/or Facsimile number and Address of Company Contact Person)

Securities registered or to be registered pursuant to Section 12(b) of the Act:



|                                                                                  |  |  |  |                                                
|--------------------------------------------------------------------------------- |  |  |  | -----------------------------------------------
|Title of Each Class                                                               |  |  |  | Name of Each Exchange on Which Registered      
|American Depositary Shares Representing Common Stock
Common Stock, no par value * |  |  |  | New York Stock Exchange
New York Stock Exchange



*Listed, not for trading, but only in connection with the registration of American Depositary Shares, pursuant to the requirements of the
Securities and Exchange Commission.

Securities registered or to be registered pursuant to Section 12(g) of the Act: None

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act:



|                |  |        |  |                           
|--------------- |  | ------ |  | --------------------------
|US$ 200,000,000 |  | 8.625% |  | Notes due August 1, 2015  
|US$ 205,881,000 |  | 7.875% |  | Notes due February 1, 2027
|US$ 70,780,000  |  | 7.325% |  | Notes due February 1, 2037
|US$ 40,416,000  |  | 8.125% |  | Notes due February 1, 2097



(Title of Class)

Indicate the number of outstanding shares of each of the issuers classes of capital or common stock as of the close of the period covered by the annual
report.

|                        |  |              
|----------------------- |  | -------------
|Shares of Common Stock: |  | 8,201,754,580

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

x Yes      
 ̈ No

If this report is an annual or transition report, indicate by check mark if the registrant is not
required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.

 ̈ Yes      x No

Indicate
by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days:

x Yes       ̈ No

Indicate
by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this
chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

 ̈ Yes      
 ̈ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer,
or a non-accelerated filer. See definition of accelerated filer and large accelerated filer in Rule 12b-2 of the Exchange Act.

Large accelerated filer
x                                 
       Accelerated filer
 ̈                                 
       Non-accelerated filer  ̈

Indicate by check mark which basis of
accounting the registrant has used to prepare the financial statements included in this filing:



|            |  |                                                                                                         |  |        
|----------- |  | ------------------------------------------------------------------------------------------------------- |  | -------
|U.S. GAAP  ̈ |  | International Financial Reporting Standards as issued
by the International Accounting Standards Board x |  | Other
 ̈

If Other has been checked in response to the previous question, indicate by check mark which financial statement
item the registrant has elected to follow:

 ̈    Item 17       ̈ Item 18

If this is an annual report, indicate by check mark whether the registrant is a shell company
(as defined in Rule 12b-2 of the Exchange Act).

 ̈ Yes      
x No



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EXPLANATORY NOTE

This Amendment No. 1 to annual report on Form 20-F for the year ended December 31, 2013 (the Form 20-F) is filed solely
for the purpose of incorporating the conformed signature page, which was inadvertently omitted from the Form 20-F filed by Empresa Nacional de Electricidad S.A. (the Company) on April 1, 2014.

Except for the signature page and the updated certifications of our Chief Executive Officer and Chief Financial Officer, this Amendment
No. 1 to our Form 20-F does not modify or update other disclosures in, or exhibits to, the Form 20-F.



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Endesa Chiles Simplified Organizational Structure (1)

As of December 31, 2013



LOGO





|(1) | Only principal operating subsidiaries are presented here. The percentage listed for each of our subsidiaries represents Endesa Chiles economic interest in such subsidiary.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Through Endesa Brasil, we carry out our participation in the Brazilian electricity business, which consolidates operations of two generation companies (Endesa Fortaleza and Cachoeira Dourada), one transmission company
(CIEN), and two distribution companies (Ampla and Coelce). Endesa Brasil is a subsidiary of our parent company, Enersis.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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TABLE OF CONTENTS



|                                 |  |                                                                              |     |      |     | 
|-------------------------------- |  | ---------------------------------------------------------------------------- | --- | ---- | --- | 
|                                 |  |                                                                              |     | Page |    
|Glossary                         |  |                                                                              | 4   |     
|Introduction                     |  |                                                                              | 9   |     
|Technical Terms                  |  |                                                                              | 10  |     
|Calculation of Economic Interest |  |                                                                              | 10  |     
|Forward-Looking Statements       |  |                                                                              | 10  |     
|PART I                           |  |                                                                              | 13  |     
|                                 |  |                                                                             
|Item 1.                          |  | Identity of Directors, Senior Management and Advisers                        |     |      | 13  | 
|Item 2.                          |  | Offer Statistics and Expected Timetable                                      |     |      | 13  | 
|Item 3.                          |  | Key Information                                                              |     |      | 13  | 
|Item 4.                          |  | Information on the Company                                                   |     |      | 26  | 
|Item 4A.                         |  | Unresolved Staff Comments                                                    |     |      | 101 | 
|Item 5.                          |  | Operating and Financial Review and Prospects                                 |     |      | 101 | 
|Item 6.                          |  | Directors, Senior Management and Employees                                   |     |      | 126 | 
|Item 7.                          |  | Major Shareholders and Related Party Transactions                            |     |      | 137 | 
|Item 8.                          |  | Financial Information                                                        |     |      | 139 | 
|Item 9.                          |  | The Offer and Listing                                                        |     |      | 140 | 
|Item 10.                         |  | Additional Information                                                       |     |      | 143 | 
|Item 11.                         |  | Quantitative and Qualitative Disclosures About Market Risk                   |     |      | 159 | 
|Item 12.                         |  | Description of Securities Other Than Equity Securities                       |     |      | 163 | 
|Item 13.                         |  | Defaults, Dividend Arrearages and Delinquencies                              |     |      | 165 | 
|Item 14.                         |  | Material Modifications to the Rights of Security Holders and Use of Proceeds |     |      | 165 | 
|Item 15.                         |  | Controls and Procedures                                                      |     |      | 165 | 
|Item 16.                         |  | Reserved                                                                     |     |      | 166 | 
|Item 16A.                        |  | Audit Committee Financial Expert                                             |     |      | 166 | 
|Item 16B.                        |  | Code of Ethics                                                               |     |      | 166 | 
|Item 16C.                        |  | Principal Accountant Fees and Services                                       |     |      | 167 | 
|Item 16D.                        |  | Exemptions from the Listing Standards for Audit Committees                   |     |      | 168 | 
|Item 16E.                        |  | Purchases of Equity Securities by the Issuer and Affiliated Purchasers       |     |      | 168 | 
|Item 16F.                        |  | Change in Registrants Certifying Accountant                                 |     |      | 168 | 
|Item 16G.                        |  | Corporate Governance                                                         |     |      | 168 | 
|Item 16H.                        |  | Mine Safety Disclosure                                                       |     |      | 168 | 
|                                 | 
|PART III                         |  |                                                                              | 169 |     



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GLOSSARY



|                  |  |                                                              |  |                                                                                                                                                                                                                                                             
|----------------- |  | ------------------------------------------------------------ |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|AFP               |  | Administradora de Fondos de Pensiones                        |  | A legal entity that manages a Chilean pension fund.                                                                                                                                                                                                         
|                  |  |                                                             
|Ampla             |  | Ampla Energia e Serviços S.A.                                |  | A publicly held Brazilian distribution company operating in Rio de Janeiro, owned by Endesa Brasil, a subsidiary of our parent company, Enersis.                                                                                                            
|                  |  |                                                             
|ANEEL             |  | Agência Nacional de Energia Elétrica                         |  | Brazilian governmental agency for electric energy.                                                                                                                                                                                                          
|                  |  |                                                             
|Cachoeira Dourada |  | Centrais Elétricas Cachoeira Dourada S.A.                    |  | Brazilian generation company owned by Endesa Brasil, a subsidiary of our parent company, Enersis.                                                                                                                                                           
|                  |  |                                                             
|CAMMESA           |  | Compañía Administradora del Mercado Mayorista Eléctrico S.A. |  | Argentine autonomous entity in charge of the operation of the Mercado Eléctrico Mayorista (Wholesale Electricity Market), or MEM. CAMMESAs stockholders are generation, transmission and distribution companies, large
users and the Secretariat of Energy.
|                  |  |                                                             
|CDEC              |  | Centro de Despacho Económico de Carga                        |  | Autonomous entity in two Chilean electric systems in charge of coordinating the efficient operation and dispatch of generation units to satisfy demand.                                                                                                     
|                  |  |                                                             
|Celta             |  | Compañía Eléctrica Tarapacá S.A.                             |  | Chilean generation subsidiary of Endesa Chile that operates generation plants in the SING. Celta merged with Endesa Eco in November 2013. Endesa Eco merged with San Isidro in September 2013 and San Isidro merged with Pangue in May
2012.                
|                  |  |                                                             
|Cemsa             |  | Endesa Cemsa S.A                                             |  | Energy trading company with operations in Argentina, and a subsidiary of our parent company, Enersis.                                                                                                                                                       
|                  |  |                                                             
|Chilectra         |  | Chilectra S.A.                                               |  | Chilean electricity distribution company operating in the Santiago metropolitan area and owned by our parent company, Enersis.                                                                                                                              
|                  |  |                                                             
|CIEN              |  | Companhia de Interconexão Energética S.A.                    |  | Brazilian transmission company, wholly-owned by Endesa Brasil, a subsidiary of our parent company, Enersis.                                                                                                                                                 
|                  |  |                                                             
|CNE               |  | Comisión Nacional de Energía                                 |  | Chilean National Energy Commission, governmental entity with responsibilities under the Chilean regulatory framework.                                                                                                                                       
|                  |  |                                                             
|Codensa           |  | Codensa S.A. E.S.P.                                          |  | Colombian distribution company controlled by our parent company, Enersis, which operates mainly in Bogotá.                                                                                                                                                  
|                  |  |                                                             
|Coelce            |  | Companhia Energética do Ceará S.A.                           |  | A publicly held Brazilian distribution company operating in the state of Ceará. Coelce is controlled by Endesa Brasil, a subsidiary of our parent company, Enersis.                                                                                         



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|                 |  |                                                        |  |                                                                                                                                                                                                                                           
|---------------- |  | ------------------------------------------------------ |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|COES             |  | Comité de Operación Económica del Sistema              |  | Peruvian entity in charge of coordinating the efficient operation and dispatch of generation units to satisfy demand.                                                                                                                     
|                 |  |                                                       
|CREG             |  | Comisión de Regulación de Energía y Gas                |  | Colombian Commission for the Regulation of Energy and Gas.                                                                                                                                                                                
|                 |  |                                                       
|CTM              |  | Compañía de Transmisión del Mercosur S.A.              |  | Argentine transmission company and a subsidiary of Endesa Brasil.                                                                                                                                                                         
|                 |  |                                                       
|Edegel           |  | Edegel S.A.A.                                          |  | A publicly held Peruvian generation company and a subsidiary of Endesa Chile.                                                                                                                                                             
|                 |  |                                                       
|Edelnor          |  | Empresa de Distribución Eléctrica de Lima Norte S.A.A. |  | A publicly held Peruvian distribution company with a concession area in the northern part of Lima and a subsidiary of our parent company, Enersis.                                                                                        
|                 |  |                                                       
|Edesur           |  | Empresa Distribuidora Sur S.A.                         |  | Argentine distribution company with a concession area in the south of the Buenos Aires greater metropolitan area and a subsidiary of our parent company, Enersis.                                                                         
|                 |  |                                                       
|El Chocón        |  | Hidroeléctrica El Chocón S.A.                          |  | Argentine generation company and a subsidiary of Endesa Chile, with two hydroelectric plants, El Chocón and Arroyito, both located in the Limay River.                                                                                    
|                 |  |                                                       
|Emgesa           |  | Emgesa S.A. E.S.P.                                     |  | Colombian generation company controlled by Endesa Chile.                                                                                                                                                                                  
|                 |  |                                                       
|Endesa Brasil    |  | Endesa Brasil, S.A.                                    |  | Brazilian holding company and a subsidiary of our parent company, Enersis.                                                                                                                                                                
|                 |  |                                                       
|Endesa Chile     |  | Empresa Nacional de Electricidad S.A.                  |  | Our company, a publicly held limited liability stock corporation incorporated under the laws of the Republic of Chile, with operations in Chile, Colombia, Peru and Argentina and an equity interest in Brazil. Registrant of this
Report.
|                 |  |                                                       
|Endesa Costanera |  | Endesa Costanera S.A.                                  |  | A publicly held Argentine generation company controlled by Endesa Chile.                                                                                                                                                                  
|                 |  |                                                       
|Endesa Eco       |  | Endesa Eco S.A.                                        |  | A former Chilean subsidiary of Endesa Chile and owner of Central Eólica Canela S.A. and Ojos de Agua mini hydroelectric plant. Endesa Eco was merged with Celta in November 2013.                                                         
|                 |  |                                                       
|Endesa Fortaleza |  | Central Geradora Termelétrica Fortaleza S.A.           |  | Brazilian generation company that operates a combined cycle plant, located in the state of Ceará. Endesa Fortaleza is wholly-owned by Endesa Brasil, a subsidiary of our parent company,
Enersis.                                         



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|                     |  |                                                                                                                             |  |                                                                                                                                                                             
|-------------------- |  | --------------------------------------------------------------------------------------------------------------------------- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Endesa Latinoamérica |  | Endesa Latinoamérica S.A.U.                                                                                                 |  | A subsidiary of Endesa Spain and owner of 40.3% of our parent company, Enersis. Endesa Latinoamérica was formerly known as Endesa Internacional, S.A.U.                     
|                     |  |                                                                                                                            
|Endesa Spain         |  | Endesa, S.A.                                                                                                                |  | A Spanish electricity generation and distribution company with a 20.3% direct interest and 60.6% beneficial interest in our parent company, Enersis.                        
|                     |  |                                                                                                                            
|Enel                 |  | Enel S.p.A.                                                                                                                 |  | Italian power company, with a 92.1% controlling ownership of Endesa Spain.                                                                                                  
|                     |  |                                                                                                                            
|Enersis              |  | Enersis S.A.                                                                                                                |  | Our Chilean parent company, with a 60.0% controlling stake in Endesa Chile.                                                                                                 
|                     |  |                                                                                                                            
|ENRE                 |  | Ente Nacional Regulador de la Electricidad                                                                                  |  | Argentine national regulatory authority for the energy sector.                                                                                                              
|                     |  |                                                                                                                            
|ESM                  |  | Extraordinary Shareholders Meeting                                                                                         |  | Extraordinary Shareholders Meeting.                                                                                                                                        
|                     |  |                                                                                                                            
|Etevensa             |  | Empresa de Generación Termoeléctrica Ventanilla S.A.                                                                        |  | Peruvian generation company that merged with Edegel in 2006.                                                                                                                
|                     |  |                                                                                                                            
|FONINVEMEM           |  | Fondo para Inversiones Necesarias que permitan Incrementar la Oferta de Energía Eléctrica en el Mercado Eléctrico Mayorista |  | Argentine fund created to increase electricity supply in the MEM.                                                                                                           
|                     |  |                                                                                                                            
|GasAtacama           |  | GasAtacama S.A.                                                                                                             |  | Company involved in gas transportation and electricity generation in northern Chile that is 50% owned by Endesa Chile and it is accounted under the equity method (IRFS 11).
|                     |  |                                                                                                                            
|Gener                |  | AES Gener S.A.                                                                                                              |  | Chilean generation company that competes with the Company in Chile, Argentina and Colombia.                                                                                 
|                     |  |                                                                                                                            
|GNL Quintero         |  | GNL Quintero S.A.                                                                                                           |  | Company created to develop, build, finance, own and operate a LNG regasification facility at Quintero Bay (Chile) in which LNG is unloaded, stored and regasified.          
|                     |  |                                                                                                                            
|IDR                  |  | Issuer Default Rating                                                                                                       |  | Reflects the relative vulnerability of an entity to default on its financial obligations.                                                                                   
|                     |  |                                                                                                                            
|IFRS                 |  | International Financial Reporting Standards                                                                                 |  | Accounting standards adopted by the Company on January 1, 2009.                                                                                                             
|                     |  |                                                                                                                            
|LNG                  |  | Liquefied Natural Gas.                                                                                                      |  | Liquefied natural gas.                                                                                                                                                      
|                     |  |                                                                                                                            
|MEM                  |  | Mercado Eléctrico Mayorista                                                                                                 |  | Wholesale Electricity Market in Argentina, Colombia and Peru.                                                                                                               
|                     |  |                                                                                                                            
|MME                  |  | Ministério de Minas e Energia                                                                                               |  | Brazilian Ministry of Mines and Energy.                                                                                                                                     



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|           |  |                                                           |  |                                                                                                                                                                                                                                     
|---------- |  | --------------------------------------------------------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|NCRE       |  | Non Conventional Renewable Energy                         |  | Energy sources which are continuously replenished by natural processes, such as wind, biomass, mini-hydro, geothermal, wave or tidal energy.                                                                                        
|           |  |                                                          
|NIS        |  | Sistema Interconectado Nacional                           |  | National interconnected electric system. There are such systems in Chile, Argentina, Brazil and Colombia.                                                                                                                           
|           |  |                                                          
|ONS        |  | Operador Nacional do Sistema Elétrico                     |  | Electric System National Operator. Brazilian non-profit private entity responsible for the planning and coordination of operations in interconnected systems.                                                                       
|           |  |                                                          
|Osinergmin |  | Organismo Supervisor de la Inversión en Energía y Minería |  | Energy and Mining Investment Supervisor Authority, the Peruvian regulatory electricity authority.                                                                                                                                   
|           |  |                                                          
|OSM        |  | Ordinary Shareholders Meeting                            |  | Ordinary Shareholders Meeting.                                                                                                                                                                                                     
|           |  |                                                          
|Pangue     |  | Empresa Eléctrica Pangue S.A.                             |  | A former Chilean subsidiary of Endesa Chile and owner of the Pangue power station. San Isidro merged with Pangue in May 2012 and Endesa Eco merged with San Isidro in September 2013. Celta merged with Endesa Eco in
November 2013.
|           |  |                                                          
|Pehuenche  |  | Empresa Eléctrica Pehuenche S.A.                          |  | A publicly held Chilean electricity company, owner of three power stations in the Maule River basin and a subsidiary of Endesa Chile.                                                                                               
|           |  |                                                          
|San Isidro |  | Compañía Eléctrica San Isidro S.A.                        |  | A former Chilean subsidiary of Endesa Chile and owner of a thermal power station. San Isidro merged with Pangue in May 2012 and Endesa Eco merged with San Isidro in September 2013. Celta merged with Endesa Eco in
November 2013. 
|           |  |                                                          
|SEF        |  | Superintendencia de Electricidad y Combustible            |  | Chilean Superintendency of Electricity and Fuels, a governmental entity in charge of supervising the Chilean electricity industry.                                                                                                  
|           |  |                                                          
|SEIN       |  | Sistema Eléctrico Interconectado Nacional                 |  | Peruvian interconnected electric system.                                                                                                                                                                                            
|           |  |                                                          
|SIC        |  | Sistema Interconectado Central                            |  | Chilean central interconnected electric system covering all of Chile except the north and the extreme south.                                                                                                                        
|           |  |                                                          
|SING       |  | Sistema Interconectado del Norte Grande                   |  | Electric interconnected system operating in northern Chile.                                                                                                                                                                         
|           |  |                                                          
|SVS        |  | Superintendencia de Valores y Seguros                     |  | Chilean authority in charge of supervising public companies, securities and the insurance business.                                                                                                                                 
|           |  |                                                          
|UF         |  | Unidad de Fomento                                         |  | Chilean inflation-indexed, Chilean peso-denominated monetary unit.                                                                                                                                                                  



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|    |  |                                 |  |                                                                                                                                                                             
|--- |  | ------------------------------- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|UTA |  | Unidad Tributaria Anual         |  | Chilean annual tax unit. One UTA equals 12 UTM.                                                                                                                             
|    |  |                                
|UTM |  | Unidad Tributaria Mensual       |  | Chilean inflation-indexed monthly tax unit used to define fines, among other purposes.                                                                                      
|    |  |                                
|VAD |  | Valor Agregado de Distribución  |  | Value added from distribution of electricity.                                                                                                                               
|    |  |                                
|VNR |  | Valor Nuevo de Reemplazo        |  | The net replacement value of electricity assets.                                                                                                                            
|    |  |                                
|XM  |  | Expertos de Mercado S.A. E.S.P. |  | Colombian company Interconexión Eléctrica S.A. (ISA)s subsidiary that provides system management in real time services in electrical, financial and transportation sectors.



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INTRODUCTION

As used in this Report on Form 20-F, first person personal pronouns such as we, us or our refer to
Empresa Nacional de Electricidad S.A. (Endesa Chile or the Company) and our consolidated subsidiaries unless the context indicates otherwise. Unless otherwise noted, our interest in our principal subsidiaries and jointly-controlled entities and
associates is expressed in terms of our economic interest as of December 31, 2013.

We are a Chilean company engaged directly and through our
subsidiaries and jointly-controlled entities in the electricity generation business in Chile, Argentina, Colombia and Peru. We also have unconsolidated equity investments in companies engaged primarily in the electricity generation, transmission and
distribution business in Brazil. As of the date of this Report, our direct controlling entity, Enersis S.A. (Enersis), owns a 60.0% stake in us. Endesa, S.A. (Endesa Spain), a Spanish electricity generation and
distribution company, beneficially owns 60.6% of Enersis. Enel S.p.A. (Enel), an Italian generation and distribution company, owns 92.1% of Endesa Spain through Enel Energy Europe, S.L.U.

Financial Information

In this
Report on Form 20-F, unless otherwise specified, references to U.S. dollars, US$, are to dollars of the United States of America; references to pesos or Ch$ are to Chilean pesos, the legal
currency of Chile; references to Ar$ or Argentine pesos are to the legal currency of Argentina; references to R$, or reais are to Brazilian reais, the legal currency of Brazil; references to
soles are to Peruvian Nuevo Sol, the legal currency of Peru; references to CPs or Colombian pesos are to the legal currency of Colombia; references to  or Euros are to the legal
currency of the European Union; and references to UF are to Development Units (Unidades de Fomento).

The Unidad de
Fomento is a Chilean inflation-indexed, peso-denominated monetary unit that is adjusted daily to reflect changes in the official Consumer Price Index (CPI) of the Chilean National Institute of Statistics (Instituto Nacional
de Estadísticas). The UF is adjusted in monthly cycles. Each day in the period beginning on the tenth day of the current month through the ninth day of the succeeding month, the nominal peso value of the UF is indexed in order to reflect
a proportionate amount of the change in the Chilean CPI during the prior calendar month. As of December 31, 2013, one UF was equivalent to Ch$ 23,309.56. The U.S. dollar equivalent of one UF was US$ 44.43 as of December 31, 2013,
using the Observed Exchange Rate reported by the Central Bank of Chile (Banco Central de Chile) as of December 31, 2013 of Ch$ 524.61 per US$ 1.00. The U.S. dollar observed exchange rate (dólar observado) (the
Observed Exchange Rate), which is reported by the Central Bank of Chile and published daily on its web page, is the weighted average exchange rate of the previous business days transactions in the Formal Exchange Market.
Nevertheless, the Central Bank of Chile may intervene by buying or selling foreign currency on the Formal Exchange Market to attempt to maintain the Observed Exchange Rate within a desired range.

As of March 31, 2014, one UF was equivalent to Ch$ 23,606.97. The U.S. dollar equivalent of one UF was US$ 42.83 on March 31,
2014, using the Observed Exchange Rate reported by the Central Bank of Chile as of such date of Ch$ 551.18 per US$ 1.00.

Our
consolidated financial statements and, unless otherwise indicated, other financial information concerning Endesa Chile included in this Report are presented in Chilean pesos. Since January 1, 2009, Endesa Chile has prepared its financial
statements in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting Standard Board (IASB).

Our subsidiaries are consolidated and all their assets, liabilities, income, expenses and cash flows are included in the consolidated
financial statements after making the adjustments and eliminations related to intra-group transactions.

Until December 31, 2012,
jointly-controlled companies were consolidated using the proportionate consolidation method. Commencing January 1, 2013, we began recording these jointly controlled companies using the equity method, as required by IFRS 11, Joint
Arrangements. This change affected our accounting for Centrales



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Hidroeléctricas de Aysén S.A., Inversiones GasAtacama Holding Ltda. and their subsidiaries and Transmisora Eléctrica de Quillota Ltda. Our audited consolidated financial
statements as of and for the years ended December 31, 2012 and 2011 were restated to give retrospective effect to the application of IFRS 11. These changes do not have any effect on equity or net income, in both cases, attributable to the
shareholders of Endesa Chile. Our audited consolidated financial statements as of and for the years ended December 31, 2010 and 2009 are presented in the form in which they were originally prepared in accordance with IFRS, as issued by the
IASB, and do not reflect the application of IFRS 11.

Investments in associated companies over which the Company exercises significant
influence are recorded in our consolidated financial statements using the equity method. For detailed information regarding subsidiaries, jointly-controlled entities and associated companies, see Appendices 1, 2 and 3 to the consolidated
financial statements.

For the convenience of the reader, this Report contains translations of certain Chilean peso amounts into
U.S. dollars at specified rates. Unless otherwise indicated, the U.S. dollar equivalent for information in Chilean pesos is based on the Observed Exchange Rate for December 31, 2013, as defined in Item 3. Key
InformationA. Selected Financial DataExchange Rates. The Federal Reserve Bank of New York does not report a noon buying rate for Chilean pesos. No representation is made that the Chilean peso or U.S. dollar amounts shown in
this Report could have been or could be converted into U.S. dollars or Chilean pesos, as the case may be, at such rate or at any other rate. See Item 3. Key InformationA. Selected Financial DataExchange Rates.

Numbers in tables may not total exactly due to rounding.

Technical Terms

References to TW are to terawatts; references to GW and GWh are to gigawatts and gigawatt hours,
respectively; references to MW and MWh are to megawatts and megawatt hours, respectively; references to kW and kWh are to kilowatts and kilowatt-hours, respectively; references to kV are to
kilovolts, and references to MVA are to megavolt amperes. Unless otherwise indicated, statistics provided in this Report with respect to the installed capacity of electricity generation facilities are expressed in MW. One TW
equals 1,000 GW, one GW equals 1,000 MW and one MW equals 1,000 kW.

Statistics relating to aggregate annual electricity
production are expressed in GWh and based on a year of 8,760 hours, except for leap years (such as 2012), which are based on 8,784 hours. Statistics relating to installed capacity and production of the electricity industry do not
include electricity of self-generators. Statistics relating to our production do not include electricity consumed by us by our own generation units.

Energy losses experienced by generation companies during transmission are calculated by subtracting the number of GWh of energy sold from the
number of GWh of energy generated (excluding their own energy consumption and losses on the part of the power plant), within a given period. Losses are expressed as a percentage of total energy generated.

Calculation of Economic Interest

References are made in this Report to the economic interest of Endesa Chile in its related companies. In circumstances where we do
not directly own an interest in a related company, our economic interest in such ultimate related company is calculated by multiplying the percentage of economic interest in a directly held related company by the percentage of economic interest of
any entity in the ownership chain of such related company. For example, if we own 60% of a directly held subsidiary and that subsidiary owns 40% of an associate, our economic interest in such associate would be 60% times 40%,
or 24%.

Forward-Looking Statements

This Report contains statements that are or may constitute forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act). These statements appear throughout this Report and include statements regarding our intent, belief or current
expectations, including, but not limited to, any statements concerning:



| |  |  | our capital investment program;
| | - |  | -------------------------------



10



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##### Table of Contents

| |  |  | trends affecting our financial condition or results from operations;
| | - |  | --------------------------------------------------------------------



| |  |  | our dividend policy;
| | - |  | --------------------



| |  |  | the future impact of competition and regulation;
| | - |  | ------------------------------------------------



| |  |  | political and economic conditions in the countries in which we or our related companies operate or may operate in the future;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------



| |  |  | any statements preceded by, followed by or that include the words believes, expects, predicts, anticipates, intends, estimates, should,
may or similar expressions; and
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | other statements contained or incorporated by reference in this Report regarding matters that are not historical facts.
| | - |  | -----------------------------------------------------------------------------------------------------------------------

Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such
forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to:



| |  |  | changes in the regulatory framework of the electricity industry in one or more of the countries in which we operate;
| | - |  | --------------------------------------------------------------------------------------------------------------------



| |  |  | our ability to implement proposed capital expenditures, including our ability to arrange financing where required;
| | - |  | ------------------------------------------------------------------------------------------------------------------



| |  |  | the nature and extent of future competition in our principal markets;
| | - |  | ---------------------------------------------------------------------



| |  |  | political, economic and demographic developments in the markets in South America where we conduct our business; and
| | - |  | -------------------------------------------------------------------------------------------------------------------



| |  |  | the factors discussed below under Risk Factors.
| | - |  | -------------------------------------------------

You should not place undue
reliance on such statements, which speak only as of the date that they were made. Our independent public accountants have not examined or compiled the forward-looking statements and, accordingly, do not provide any assurance with respect to such
statements. You should consider these cautionary statements together with any written or oral forward-looking statements that we may issue in the future. We do not undertake any obligation to release publicly any revisions to forward-looking
statements contained in this Report to reflect later events or circumstances or to reflect the occurrence of unanticipated events.

For
all these forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

RECENT DEVELOPMENTS

Bocamina IIs Shutdown

On December 17, 2013, the Court of Concepción, in southern Chile, ordered the temporary shutdown of our 350 MW coal-fired
thermal power plant, Bocamina II. The court granted an injunction in favor of local fishermen who claim our facility is harmful to marine life and causes pollution. The financial impact of Bocamina IIs shutdown had no material effect on our
2013 results because its operation ceased near the end of the fiscal year. However, as of the date of this Report, the plant remains shut down while we appeal the case. On December 23, 2013, we submitted all required documents and studies to
the Chilean Environmental Superintendence. Our operating margin is reduced between US$ 20 million and US$ 44 million each month the facility remains shut down.



11



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##### Table of Contents

HidroAysén Hydroelectric Project

In August 2008, HidroAysén submitted an Environmental Impact Assessment Study to the Chilean environmental authority for its
approval. On May 9, 2011, we received a favorable environmental qualification resolution, though it contained certain conditions. In June 2011, opponents to the project filed 34 requests for review, and HidroAysén filed one,
with the Council of Ministers, consisting of six cabinet members chaired by the Minister of the Environment, all requesting the review of certain conditions established in the resolution. By law, the authority has 60 business days to review the
submission. In our cause, the authority took over two years and requested additional studies. On January 30, 2014, toward the end of former Chilean President Sebastián Piñeras term, the Council of Ministers met to
review the appeals. The majority of the issues were resolved, but the Council requested additional background information and new studies on certain points. In March 2014, Chilean President Michelle Bachelet took office and a new Council
of Ministers was convened, which repealed the Councils earlier decisions. The new Council stated it would review the matter once again and resolve all claims within the 60 business day timeframe established by law. We are awaiting
the decision of the Council.

GasAtacama Acquisition

On March 31, 2014, the Board of Directors of Endesa Chile approved the acquisition from Southern Cross Latin American Private Equity Fund III,
LP (Southern Cross) of all of its interest in Inversiones GasAtacama Holding Ltda. (GasAtacama Holding), which owns 50% of GasAtacama. Endesa Chile currently holds a 48.1% economic interest in GasAtacama, and Enersis
beneficially owns the remaining 1.9%. An affiliate of Southern Cross will assign Endesa Chile a US$ 28,330,155 promissory note executed by an affiliate of GasAtacama Holding in favor of the Southern Cross affiliate. Endesa Chile will
pay US$ 309 million for the shares and the assignment of the promissory note. The transaction is in settlement of an arbitral dispute between Southern Cross and Endesa Chile relating to the terms of a right of first refusal provision in a
shareholders agreement entered into by the parties and relating to GasAtacama Holding. Completion of the transaction is subject to execution and delivery of definitive documentation by the parties on or before April 30, 2014.

Los Cóndores Hydroelectric Project

On March 27, 2014, the Endesa Chile Board of Directors authorized the 150 MW Los Cóndores hydroelectric project, with a total
investment, including the transmission line, of a US$ 661.5 million. Los Cóndores is in Chiles seventh region and will generate power from the Laguna El Maule reservoir. Commercial start-up is expected by the end of 2018.



12



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##### Table of Contents

PART I

Item 1.     Identity of Directors, Senior Management and Advisers

Not applicable.

Item 2.     Offer Statistics and Expected Timetable

Not applicable.

Item 3.     Key Information



|A. | Selected Financial Data.
|-- | ------------------------

The following summary of consolidated financial data should
be read in conjunction with our audited consolidated financial statements included in this Report. The consolidated financial data as of and for the years ended December 31, 2010 and 2009 are derived from our audited consolidated financial
statements not included in this Report. Our audited consolidated financial statements as of and for the years ended December 31, 2013, 2012, and 2011 were prepared in accordance with IFRS, as issued by the IASB.

Until December 31, 2012, jointly-controlled companies were consolidated using the proportionate consolidation method. Commencing
January 1, 2013, we began recording these jointly controlled companies using the equity method, as required by IFRS 11, Joint Arrangements. This change affected our accounting for Centrales Hidroeléctricas de
Aysén S.A., Inversiones GasAtacama Holding Ltda. and their subsidiaries and Transmisora Eléctrica de Quillota Ltda. Our audited consolidated financial statements as of and for the years ended December 31, 2012 and 2011 were
restated to give retrospective effect to the application of IFRS 11. These changes do not have any effect on equity or net income, in both cases, attributable to the shareholders of Endesa Chile. Our audited consolidated financial statements as of
and for the years ended December 31, 2010 and 2009 are presented in the form in which they were originally prepared in accordance with IFRS, as issued by the IASB, and do not reflect the application of IFRS 11.

Amounts are expressed in millions except for ratios, operating data, shares and ADS (American Depositary Shares) data. For the convenience of
the reader, all data presented in U.S. dollars in the following summary, as of and for the year ended December 31, 2013, is translated at the Observed Exchange Rate for that date of Ch$ 524.61 per US$ 1.00. No representation is made
that the Chilean peso or U.S. dollar amounts shown in this Report could have been or could be converted into U.S. dollars or Chilean pesos, at such rate or at any other rate. For more information concerning historical exchange rates, see
 Exchange Rates below.



13



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##### Table of Contents

The following tables set forth the selected consolidated financial data of Endesa Chile for the
periods indicated and the operating data by country:



|                                                                                      |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|------------------------------------------------------------------------------------- |  | ----------------------------------------- | ------- |  | ---- |  | ----------- | -------- |  |  | -------------- |  |  | ---- | ----------- |  | ---- |  | ----------- |  |  |  | ----------- | 
|                                                                                      |  | As of and for the year ended December 31, |        
|                                                                                      |  | 2013 (1)                                  |         |  | 2013 |  |             | 2012 (2) |  |  | 2011 (2)       |  |  | 2010 |             |  | 2009 | 
|                                                                                      |  | (US$ millions)                            |         |  |      |  |             |          |  |  | (Ch$ millions) | 
|Consolidated income statement data                                                    |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|Revenues                                                                              |  |                                           | 3,865   |  |      |  | 2,027,432   |          |  |  | 2,320,385      |  |  |      | 2,284,265   |  |      |  | 2,435,382   |  |  |  | 2,418,919   | 
|Operating expense (3)                                                                 |  |                                           | (2,372) |  |      |  | (1,244,593) |          |  |  | (1,707,969)    |  |  |      | (1,517,575) |  |      |  | (1,544,658) |  |  |  | (1,401,988) | 
|                                                                                      |  |                                           |         |  |      | 
|Operating income                                                                      |  |                                           | 1,493   |  |      |  | 782,839     |          |  |  | 612,416        |  |  |      | 766,690     |  |      |  | 890,724     |  |  |  | 1,016,931   | 
|Financial income (expense), net                                                       |  |                                           | (261)   |  |      |  | (137,130)   |          |  |  | (146,995)      |  |  |      | (119,091)   |  |      |  | (119,717)   |  |  |  | (170,796)   | 
|Total gain (loss) on sale of non-current assets not held for sale                     |  |                                           | 5       |  |      |  | 2,564       |          |  |  | 765            |  |  |      | 973         |  |      |  | 1,621       |  |  |  | 65          | 
|Other non-operating income                                                            |  |                                           | 229     |  |      |  | 120,140     |          |  |  | 135,670        |  |  |      | 139,893     |  |      |  | 91,947      |  |  |  | 98,368      | 
|                                                                                      |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|Net income before tax                                                                 |  |                                           | 1,465   |  |      |  | 768,413     |          |  |  | 601,856        |  |  |      | 788,465     |  |      |  | 864,575     |  |  |  | 944,568     | 
|Income tax                                                                            |  |                                           | (391)   |  |      |  | (204,907)   |          |  |  | (182,833)      |  |  |      | (207,330)   |  |      |  | (179,964)   |  |  |  | (172,468)   | 
|                                                                                      |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|Net income                                                                            |  |                                           | 1,074   |  |      |  | 563,506     |          |  |  | 419,023        |  |  |      | 581,135     |  |      |  | 684,611     |  |  |  | 772,100     | 
|Net income attributable to shareholders of Endesa Chile                               |  |                                           | 675     |  |      |  | 353,927     |          |  |  | 234,335        |  |  |      | 446,874     |  |      |  | 533,556     |  |  |  | 627,053     | 
|Net income attributable to non-controlling interests                                  |  |                                           | 399     |  |      |  | 209,579     |          |  |  | 184,688        |  |  |      | 134,261     |  |      |  | 151,055     |  |  |  | 145,047     | 
|Net income (loss) from continuing operations per share, basic and diluted (Ch$ / US$) |  |                                           | 0.08    |  |      |  | 43.15       |          |  |  | 28.57          |  |  |      | 54.49       |  |      |  | 65.05       |  |  |  | 76.45       | 
|Net income (loss) from continuing operations per ADS (Ch$ / US$)                      |  |                                           | 2.47    |  |      |  | 1,294.50    |          |  |  | 857.13         |  |  |      | 1,634.70    |  |      |  | 1,953.00    |  |  |  | 2,293.50    | 
|Net income (loss) per Share, basic and diluted (Ch$ / US$ per share)                  |  |                                           | 0.08    |  |      |  | 43.15       |          |  |  | 28.57          |  |  |      | 54.49       |  |      |  | 65.05       |  |  |  | 76.45       | 
|Net income (loss) per ADS (Ch$ / US$ per ADS)                                         |  |                                           | 2.47    |  |      |  | 1,294.50    |          |  |  | 857.13         |  |  |      | 1,634.70    |  |      |  | 1,953.00    |  |  |  | 2,293.50    | 
|Cash dividends per share (Ch$ / US$ per share)                                        |  |                                           | 0.027   |  |      |  | 14.29       |          |  |  | 27.24          |  |  |      | 32.53       |  |      |  | 17.53       |  |  |  | 25.25       | 
|Cash dividends per ADS (Ch$ / US$ per ADS)                                            |  |                                           | 0.82    |  |      |  | 428.57      |          |  |  | 817.28         |  |  |      | 975.90      |  |      |  | 525.90      |  |  |  | 757.50      | 
|Number of shares of common stock (millions)                                           |  |                                           | 8,202   |  |      |  | 8,202       |          |  |  | 8,202          |  |  |      | 8,202       |  |      |  | 8,202       |  |  |  | 8,202       | 
|Number of ADS (millions)                                                              |  |                                           |        |  |      |  | 12          |          |  |  | 14             |  |  |      | 13          |  |      |  | 11          |  |  |  | 13          | 
|                                                                                      |  |                                           |         |  |      | 
|Consolidated balance sheet data                                                       |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|Total assets                                                                          |  |                                           | 12,890  |  |      |  | 6,762,125   |          |  |  | 6,453,231      |  |  |      | 6,506,747   |  |      |  | 6,034,872   |  |  |  | 6,169,353   | 
|Non-current liabilities                                                               |  |                                           | 3,690   |  |      |  | 1,935,919   |          |  |  | 1,952,720      |  |  |      | 2,159,729   |  |      |  | 1,969,055   |  |  |  | 2,233,249   | 
|Equity attributable to owners of parent                                               |  |                                           | 5,055   |  |      |  | 2,651,968   |          |  |  | 2,541,242      |  |  |      | 2,558,538   |  |      |  | 2,376,487   |  |  |  | 2,069,086   | 
|Equity attributable to non-controlling interests                                      |  |                                           | 1,784   |  |      |  | 935,846     |          |  |  | 893,251        |  |  |      | 882,460     |  |      |  | 728,340     |  |  |  | 885,916     | 
|Total equity                                                                          |  |                                           | 6,839   |  |      |  | 3,587,814   |          |  |  | 3,434,493      |  |  |      | 3,440,998   |  |      |  | 3,104,827   |  |  |  | 2,995,002   | 
|Capital stock (4)                                                                     |  |                                           | 2,931   |  |      |  | 1,537,723   |          |  |  | 1,537,723      |  |  |      | 1,537,723   |  |      |  | 1,537,723   |  |  |  | 1,537,723   | 
|                                                                                      |  |                                           |         |  |      | 
|Other consolidated financial data                                                     |  |                                           |         |  |      |  |             |          |  |  |                |  |  |      |             |  |      |  |             |  |  |  |             | 
|Capital expenditures (CAPEX) (5)                                                      |  |                                           | 557     |  |      |  | 292,017     |          |  |  | 257,483        |  |  |      | 263,608     |  |      |  | 258,790     |  |  |  | 316,002     | 
|Depreciation, amortization and impairment losses (6)                                  |  |                                           | 374     |  |      |  | 196,155     |          |  |  | 195,685        |  |  |      | 179,978     |  |      |  | 179,714     |  |  |  | 240,142     | 





|(1) | Solely for the convenience of the reader, Chilean peso amounts have been translated into U.S. dollars at the exchange rate of Ch$ 524.61 per U.S. dollar, the Observed Exchange Rate for December 31,
2013.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Restated as a result of the application of IFRS 11.
|--- | ---------------------------------------------------

|(3) | Operating expense includes selling and administration expense.
|--- | --------------------------------------------------------------

|(4) | Includes share premium.
|--- | -----------------------

|(5) | CAPEX figures represent actual payments for each year.
|--- | ------------------------------------------------------

|(6) | For further detail please refer to Notes 7C and 26 to the Consolidated Financial Statements.
|--- | --------------------------------------------------------------------------------------------



14



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|                                     |  |                                           |        |  |      |  |        |      |  |  |        |  |  |      |        |  |  |  |        | 
|------------------------------------ |  | ----------------------------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ |  |  | ---- | ------ |  |  |  | ------ | 
|                                     |  | As of and for the year ended December 31, |       
|                                     |  | 2013                                      |        |  | 2012 |  |        | 2011 |  |  | 2010   |  |  | 2009 |       
|Operating data by country            |  |                                           |        | 
|Endesa Chile                         |  |                                           |        | 
|Installed capacity in Chile (MW) (1) |  |                                           | 5,571  |  |      |  | 5,571  |      |  |  | 5,221  |  |  |      | 5,221  |  |  |  | 5,260  | 
|Installed capacity in Argentina (MW) |  |                                           | 3,652  |  |      |  | 3,652  |      |  |  | 3,652  |  |  |      | 3,652  |  |  |  | 3,652  | 
|Installed capacity in Colombia (MW)  |  |                                           | 2,925  |  |      |  | 2,914  |      |  |  | 2,914  |  |  |      | 2,914  |  |  |  | 2,895  | 
|Installed capacity in Peru (MW)      |  |                                           | 1,540  |  |      |  | 1,657  |      |  |  | 1,668  |  |  |      | 1,668  |  |  |  | 1,667  | 
|Generation in Chile (GWh) (1) (2)    |  |                                           | 19,438 |  |      |  | 19,194 |      |  |  | 19,296 |  |  |      | 19,096 |  |  |  | 20,266 | 
|Generation in Argentina (GWh) (2)    |  |                                           | 10,840 |  |      |  | 11,207 |      |  |  | 10,713 |  |  |      | 10,862 |  |  |  | 11,877 | 
|Generation in Colombia (GWh) (2)     |  |                                           | 12,748 |  |      |  | 13,251 |      |  |  | 12,051 |  |  |      | 11,237 |  |  |  | 12,622 | 
|Generation in Peru (GWh) (2)         |  |                                           | 8,391  |  |      |  | 8,570  |      |  |  | 8,980  |  |  |      | 8,293  |  |  |  | 7,984  | 





|(1) | Excludes the capacity and generation of GasAtacama, which was included in previous filings, because GasAtacama is now recorded under the equity method due to the application of IFRS 11.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Beginning in 2013, we changed how we calculate our electricity generation. The impact of applying the new criteria on a cumulative basis for 2009 through 2012 is not material. We now report the energy effectively
available for sales in all countries.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Exchange Rates

Fluctuations in the exchange rate between the Chilean peso and the U.S. dollar will affect the U.S. dollar equivalent of the peso price of our
shares of common stock on the Santiago Stock Exchange (Bolsa de Comercio de Santiago), the Chilean Electronic Stock Exchange (Bolsa Electrónica de Chile) and the Valparaíso Stock Exchange (Bolsa de Corredores de
Valparaíso). These exchange rate fluctuations will likely affect the price of our ADSs and the conversion of cash dividends relating to the common shares represented by ADSs from Chilean pesos to U.S. dollars. In addition, to the extent
that significant financial liabilities of the Company are denominated in foreign currencies, exchange rate fluctuations may have a significant impact on earnings.

In Chile, there are two currency markets, the Formal Exchange Market (Mercado Cambiario Formal) and the Informal Exchange Market
(Mercado Cambiario Informal). The Formal Exchange Market is comprised of banks and other entities authorized by the Central Bank of Chile. The Informal Exchange Market is comprised of entities that are not expressly authorized to operate in
the Formal Exchange Market, such as certain foreign exchange houses and travel agencies, among others. The Central Bank of Chile has the authority to require that certain purchases and sales of foreign currencies be carried out on the Formal
Exchange Market. Both the Formal and Informal Exchange Markets are driven by free market forces. Current regulations require that the Central Bank of Chile be informed of certain transactions and that they be effected through the Formal Exchange
Market.

The U.S. dollar observed exchange rate (dólar observado) (the Observed Exchange Rate), which is
reported by the Central Bank of Chile and published daily on its web page, is the weighted average exchange rate of the previous business days transactions in the Formal Exchange Market. Nevertheless, the Central Bank of Chile may intervene by
buying or selling foreign currency on the Formal Exchange Market to attempt to maintain the Observed Exchange Rate within a desired range.

The Informal Exchange Market reflects transactions carried out at an informal exchange rate (the Informal Exchange Rate). There
are no limits imposed on the extent to which the rate of exchange in the Informal Exchange Market can fluctuate above or below the Observed Exchange Rate. Foreign currency for payments and distributions with respect to the ADSs may be purchased
either in the Formal or the Informal Exchange Market, but such payments and distributions must be remitted through the Formal Exchange Market.

The Federal Reserve Bank of New York does not report a noon buying rate for Chilean pesos. As of December 31, 2013, the U.S. dollar
exchange rate used by us was Ch$ 524.61 per US$ 1.00.



15



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##### Table of Contents

The following table sets forth the low, high, average and period-end Observed Exchange Rate for
U.S. dollars for the periods set forth below, as reported by the Central Bank of Chile:



|                        |  |                                                |        |  |          |  |        |             |  |  |            |  |  |  |        | 
|----------------------- |  | ---------------------------------------------- | ------ |  | -------- |  | ------ | ----------- |  |  | ---------- |  |  |  | ------ | 
|                        |  | Daily Observed Exchange Rate (Ch$ per US$) (1) |       
|Year ended December 31, |  | Low (2)                                        |        |  | High (2) |  |        | Average (3) |  |  | Period-end | 
|2013                    |  |                                                | 466.50 |  |          |  | 533.95 |             |  |  | 498.83     |  |  |  | 524.61 | 
|2012                    |  |                                                | 469.65 |  |          |  | 519.69 |             |  |  | 486.31     |  |  |  | 479.96 | 
|2011                    |  |                                                | 455.91 |  |          |  | 533.74 |             |  |  | 483.45     |  |  |  | 519.20 | 
|2010                    |  |                                                | 468.01 |  |          |  | 549.17 |             |  |  | 510.38     |  |  |  | 468.01 | 
|2009                    |  |                                                | 491.09 |  |          |  | 643.87 |             |  |  | 554.22     |  |  |  | 507.10 | 
|Month ended             |  |                                                |       
|March 2014              |  |                                                | 550.53 |  |          |  | 573.24 |             |  |  | n.a.       |  |  |  | 551.18 | 
|February 2014           |  |                                                | 546.94 |  |          |  | 563.32 |             |  |  | n.a.       |  |  |  | 559.38 | 
|January 2014            |  |                                                | 527.53 |  |          |  | 553.84 |             |  |  | n.a.       |  |  |  | 553.84 | 
|December 2013           |  |                                                | 523.76 |  |          |  | 533.95 |             |  |  | n.a.       |  |  |  | 524.61 | 
|November 2013           |  |                                                | 512.53 |  |          |  | 529.64 |             |  |  | n.a.       |  |  |  | 529.64 | 
|October 2013            |  |                                                | 493.96 |  |          |  | 508.58 |             |  |  | n.a.       |  |  |  | 507.64 | 





Source: Central Bank of Chile.

|(1) | Nominal figures.
|--- | ----------------

|(2) | Exchange rates are the actual low and high, on a day-by-day basis for each period.
|--- | ----------------------------------------------------------------------------------

|(3) | The average of the exchange rates on the last day of each month during the period.
|--- | ----------------------------------------------------------------------------------

As of
March 31, 2014, the U.S. dollar exchange rate was Ch$ 551.18 per US$ 1.00.

Calculation of the appreciation or devaluation of
the Chilean peso against the U.S. dollar in any given period is made by determining the percent change between the reciprocals of the Chilean peso equivalent of US$ 1.00 at the end of the preceding period and the end of the period for which the
calculation is being made. For example, to calculate the appreciation of the year-end Chilean peso in 2013, one determines the percent change between the reciprocal of Ch$ 479.96 (the value of one U.S. dollar as of December 31, 2012)
and the reciprocal of Ch$ 524.61 (the value of one U.S. dollar as of December 31, 2013). In this example, the percentage change between 0.002084 (the reciprocal of Ch$ 479.96) and 0.001906 (the reciprocal of Ch$ 524.61) is
negative 8.5%, which represents the 2013 year-end devaluation of the Chilean peso against the 2012 year-end U.S. dollar. A positive percentage change means that the Chilean peso appreciated against the U.S. dollar, while a
negative percentage change means that the Chilean peso devaluated against the U.S. dollar.

The following table sets forth the
period-end rates for U.S. dollars for the years ended December 31, 2009 through December 31, 2013 and through the date indicated in the table below, based on information published by the Central Bank of Chile.



|                        |  |                                  |        |  |                                |  |       | 
|----------------------- |  | -------------------------------- | ------ |  | ------------------------------ |  | ----- | 
|                        |  | Chilean Peso Equivalent of US$ 1 |       
|                        |  | Period End                       |        |  | Appreciation (Devaluation) (1) | 
|Year ended December 31, |  | (in Ch$)                         |        |  | (in %)                         | 
|2013                    |  |                                  | 524.61 |  |                                |  | (8.5) | 
|2012                    |  |                                  | 479.96 |  |                                |  | 8.2   | 
|2011                    |  |                                  | 519.20 |  |                                |  | (9.9) | 
|2010                    |  |                                  | 468.01 |  |                                |  | 8.4   | 
|2009                    |  |                                  | 507.10 |  |                                |  | 25.5  | 





Source: Central Bank of Chile.

|(1) | Calculated based on the variation of period-end exchange rates.
|--- | ---------------------------------------------------------------



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|B. | Capitalization and Indebtedness.
|-- | --------------------------------

Not applicable.



|C. | Reasons for the Offer and Use of Proceeds.
|-- | ------------------------------------------

Not applicable.



|D. | Risk Factors.
|-- | -------------

A financial or other crisis in any region worldwide can have a
significant impact on the countries in which we operate, and consequently, may adversely affect our operations, as well as our liquidity.

The five countries in which we operate are vulnerable to external shocks, including financial and political events, which could cause
significant economic difficulties and affect their growth. If any of these economies experience lower than expected economic growth or a recession, it is likely that our customers will demand less electricity. Furthermore, some of our customers may
experience difficulties paying their electric bills, possibly increasing our uncollectible accounts. Any of these situations could adversely affect our results of operations and financial condition.

Financial and political crisis in other parts of the world could also adversely affect our business. For example, the current crisis in
Ukraine could result in higher fuel prices worldwide, which in turn could increase our cost of fuel for our thermal generation plants and adversely affect our results of operations and financial condition.

In addition, a financial crisis and its disruptive effects on the financial industry could adversely impact our ability to obtain new bank
financings on the same historical terms and conditions. Our ability to tap the capital markets in the five countries in which we operate, as well as the international capital markets for other sources of liquidity, may also be diminished, or such
financing may be available only at higher interest levels. Reduced liquidity could, in turn, adversely affect our capital expenditures, our long-term investments and acquisitions, our growth prospects and our dividend payout policy.

South American economic fluctuations are likely to affect our results from operations and financial condition, as well as the value of
our securities.

All of our operations are located in five South American countries. Accordingly, our consolidated revenues may be
affected by the performance of South American economies as a whole. If local, regional, or worldwide economic trends adversely affect the economy of any of the five countries in which we have investments or operations, our financial condition and
results from operations could be adversely affected. Moreover, we have investments in volatile countries, such as Argentina. Insufficient cash flows for our subsidiaries located in Argentina have, in some cases, resulted in their inability to meet
debt obligations and the need to seek waivers to comply with restrictive debt covenants.

The majority of our operating income is
generated in Chile and Colombia, and as a result our financial condition and results of operations are particularly dependent on Chilean and Colombian economic performance. In 2013, Chilean GDP increased by 4.2% compared to a 5.6%
increase in 2012. In 2014, Chilean GDP is forecast to grow by 3.75% to 4.75% according to the Central Bank of Chile. In 2013, Colombian GDP increased by 4.0%, as it did in 2012. In 2014, Colombian GDP is
forecast to grow by 4.5% according to the Central Bank of Colombia. Future adverse developments in the Chilean and Colombian economies may impair our ability to execute our strategic plans, which could adversely affect our results of operations
and financial condition.

In addition, South American financial and securities markets are, to varying degrees, influenced by economic and
market conditions in other countries. Although economic conditions are different in each country, investor reaction to developments in one country may have a significant contagion effect on the securities of issuers in other countries, including
Chile. Chilean financial and securities markets may be adversely affected by events in other countries, which could adversely affect the value of our securities.



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Certain South American countries have been historically characterized by frequent and
occasionally drastic economic interventionist measures by governmental authorities, including expropriations, which may adversely affect our business and financial results.

Governmental authorities have altered monetary, credit, tariff, tax and other policies to influence the course of the economies of Argentina,
Brazil, Colombia and Peru. To a lesser extent, the Chilean government has also exercised in the past and continues to exercise a substantial influence over many aspects of the private sector, which may result in changes to economic or other
policies. These governmental actions, intended to control inflation and affect other policies, have often involved wage, price and tariff rate controls, as well as other interventionist measures, such as expropriation or nationalization. For
example, Argentina froze bank accounts and imposed capital restrictions in 2001, nationalized the private sector pension funds in 2008, used its Central Bank reserves to pay down indebtedness maturing in 2010 and expropriated Repsols 51% stake
in YPF in 2012. In 2010, Colombia imposed an equity tax to finance reconstruction and repair efforts related to severe flooding, which resulted in an extraordinary tax expense accrual booked in January 2011 for taxes payable in 2011 through 2014.

Changes in the policies of these governmental and monetary authorities with respect to tariffs, exchange controls, regulations and
taxation could reduce our profitability. Inflation, devaluation, social instability and other political, economic or diplomatic developments, including the response by governments in the region to these circumstances, could also reduce our
profitability. Any of these scenarios could adversely affect our results of operations and financial condition.

Our electricity
business is subject to risks arising from natural disasters, catastrophic accidents and acts of terrorism, which could adversely affect our operations, earnings and cash flow.

Our primary facilities include power plants, transmission and distribution assets, pipelines, LNG terminals and re-gasification plants,
storage and chartered LNG tankers. Our facilities may be damaged by earthquakes, flooding, fires, other catastrophic disasters arising from natural or accidental human causes, as well as acts of terrorism. A catastrophic event could cause
disruptions in our business, significant decreases in revenues due to lower demand or significant additional costs to us not covered by our business interruption insurance. There may be lags between a major accident or catastrophic event and the
final reimbursement from our insurance policies, which typically carry a deductible and are subject to per event policy maximums.

As an
example, on February 27, 2010, Chile experienced a major earthquake in the Bío-Bío region, with a magnitude of 8.8 on the Richter scale, followed by a very destructive tsunami. Our Bocamina and Bocamina II thermal generation
units, which are located near the epicenter, sustained significant damage as a result of the earthquake.

A continuing financial
crisis in Argentina or a deeper devaluation of the Argentine peso could have an adverse effect on our debt.

The Argentine peso is
under increasing devaluation pressure against the U.S. dollar. The Argentine government is actively intervening in the currency market in response to capital flight from the country. Currently, Argentina is making incremental adjustments to the
Argentine peso and imposing tight restrictions on buying and selling foreign currencies in the country. Media reports from the country describe a robust informal parallel market (referred to as the blue dollar market) in which the Argentine peso
appears to have depreciated more steeply than the official rate. Because there is no liquidity in the derivatives market in Argentina, our debt is exposed to any further devaluation in the Argentine peso.

Argentinas sovereign creditworthiness is deteriorating, based on market data and reports from credit ratings agencies. The insurance
cost of sovereign bonds, as measured by credit default swaps, increased to 16.5% from 14.4% during the last twelve months, which indicates an increased probability of a distressed credit event. Argentinas sovereign debt rating is subject to
downgrade actions over the coming months as reflected by the negative outlook established by the major rating agencies. For instance, Standard & Poors downgraded the countrys sovereign credit rating to CCC+ and
maintained a negative outlook in September 2013. Further deterioration to Argentinas economy could adversely affect our results of operations and financial condition.



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We are subject to financing risks, such as those associated with funding our new projects
and capital expenditures, and risks related to refinancing our maturing debt; we are also subject to debt covenant compliance, all of which could adversely affect our liquidity.

As of December 31, 2013, our debt totaled Ch$ 1,894 billion.

Our debt had the following maturity timetable:



| |  |  | Ch$ 354 billion in 2014;
| | - |  | ------------------------



| |  |  | Ch$ 254 billion from 2015 to 2016;
| | - |  | ----------------------------------



| |  |  | Ch$ 163 billion from 2017 to 2018; and
| | - |  | --------------------------------------



| |  |  | Ch$ 1,123 billion thereafter.
| | - |  | -----------------------------

Set forth below is a breakdown by country for debt maturing
in 2014:



| |  |  | Ch$ 130 billion for Argentina;
| | - |  | ------------------------------



| |  |  | Ch$ 127 billion for Chile;
| | - |  | --------------------------



| |  |  | Ch$ 66 billion for Colombia; and
| | - |  | --------------------------------



| |  |  | Ch$ 31 billion for Peru.
| | - |  | ------------------------

Some of our debt agreements are subject to (1) financial
covenants, (2) affirmative and negative covenants, (3) events of default, (4) mandatory prepayments for contractual breaches and (5) certain change of control clauses for material mergers and divestments, among other provisions.
A significant portion of our financial indebtedness is subject to cross default provisions, which have varying definitions, criteria, materiality thresholds and applicability with respect to subsidiaries that could give rise to such a cross default.

In the event that we or our subsidiaries breach any of these material contractual provisions, our creditors and bond holders may demand
immediate repayment, and a significant portion of our indebtedness could become due and payable.

We may be unable to refinance our
indebtedness or obtain such refinancing on terms acceptable to us. In the absence of such refinancing, we could be forced to dispose of assets in order to make the payments due on our indebtedness under circumstances that might not be favorable to
obtaining the best price for such assets. Furthermore, we may be unable to sell our assets quickly enough, or at sufficiently high prices, to enable us to make such payments.

We may also be unable to raise the necessary funds required to finish our projects under development or under construction. Market conditions
prevailing at the moment we require these funds or other unforeseen project costs can compromise our ability to finance these projects and expenditures.

As of the date of this Report, Argentina continues to be the country in which we operate with the highest refinancing risk. As of
December 31, 2013, the third-party debt of our Argentine subsidiaries amounted to Ch$ 143 billion. As long as fundamental issues concerning the electricity sector remain unresolved, we will roll over our outstanding Argentine debt to the extent
we are able to do so. If our creditors will not continue to roll over our debt when it becomes due and we are unable to refinance such obligations, we could default on such indebtedness.

Our Argentine subsidiary, Endesa Costanera, did not make any installment payments due in 2012 and 2013 under the terms of a 1996 supplier
credit agreement with Mitsubishi Corporation (MC). As of December 31, 2013, Endesa Costanera has missed US$ 68.5 million in payments, including principal and interest. It has experienced difficulties in making timely
payments under its agreement with MC on a recurring basis since the Argentine crisis began in 2002, but had received waivers from MC in the past expressing its willingness to renegotiate payments. Additionally, MC has liens over the Mitsubishi
combined cycle power plant at Endesa Costanera.



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As of the date of this Report, Endesa Costanera has not received any waivers for the past-due
payments or any acceleration notices. We continue with active negotiations aimed at restructuring the debt. If MC were to declare an event of default and accelerate payment of the US$ 185 million principal and interest balance under the
supplier credit agreement, all outstanding Endesa Costanera debt (Ch$ 117 billion) would be accelerated and Endesa Costanera would be required to enter into bankruptcy proceedings. For more information, see Item 5. Operating and Financial
Review and Prospects  B. Liquidity and Capital Resources.

Our inability to finance new projects or capital expenditures or to
refinance our existing debt could adversely affect our results of operation and financial condition.

We may not be able to enter
into suitable investments, alliances and acquisitions.

On an ongoing basis, we review acquisition prospects that would augment
our market coverage or supplement our existing businesses, though there can be no assurance that we will be able to identify and consummate suitable acquisition transactions in the future. The acquisition and integration of independent companies or
companies that we do not control is generally a complex, costly and time-consuming process and requires significant efforts and expenditures. If we consummate an acquisition, it could result in the incurrence of substantial debt and assumption of
unknown liabilities, the potential loss of key employees from the acquired company, amortization expenses related to tangible assets and the diversion of our managements attention from other business concerns. In addition, any delays or
difficulties encountered in connection with acquisitions and the integration of multiple operations could have a material adverse effect on our business, financial condition or results of operations.

Since our generation business depends heavily on hydrological conditions, drought conditions may adversely affect our profitability.

Approximately 59% of our consolidated installed generation capacity in 2013 was hydroelectric. Accordingly, extreme
hydrological conditions could adversely affect our business, results of operations and financial condition. In the last few years, regional hydrology has been affected by two climactic phenomena  El Niño and La Niña
 that influence rainfall regularity and may lead to droughts. The effects of El Niño or La Niña can unevenly affect the hydrology of the countries where we operate.

During periods of drought, thermal plants, including our facilities that use natural gas, fuel oil or coal as fuel, are used more frequently.
Operating costs of thermal plants can be considerably higher than those of hydroelectric plants. Our operating expenses increase during these periods, and, depending on our commercial obligations, we may have to buy electricity at spot prices in
order to meet our contractual supply obligations. The cost of these electricity purchases may exceed the price at which we sell contracted electricity, thus producing losses from those contracts.

Governmental regulations may adversely affect our business.

We are subject to extensive regulation of the tariffs we charge our customers and other aspects of our business, and these regulations may
adversely affect our profitability. For example, the Chilean government can impose electricity rationing during drought conditions or prolonged failures of power facilities. If, during rationing, we are unable to generate enough electricity to
comply with our contractual obligations, we may be forced to buy electricity at the spot price, as even a severe drought does not release us from our contractual obligations as a force majeure event. The spot price may be significantly higher
than our costs to generate the electricity and can be as high as the cost of failure set by the Chilean National Energy Commission (the CNE). This cost of failure, which is updated semiannually by the CNE, is a
measurement of how much final users would pay for one extra MWh under rationing conditions. If we were unable to buy enough electricity at the spot price to comply with our contractual obligations, then we would have to compensate our regulated
customers for the electricity we failed to provide at the rationed price. Rationing periods may occur in the future, and consequently our generation subsidiaries may be required to pay regulatory penalties if they fail to provide adequate service
under their contractual obligations. Material rationing policies imposed by regulatory authorities in any of the countries in which we operate could adversely affect our business, results of operations and financial condition.



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Electricity regulations issued by governmental authorities in the countries in which we operate
may affect the ability of our generation companies (such as Endesa Costanera in Argentina) to collect revenues sufficient to offset their operating costs.

The inability of any company in our consolidated group to collect revenues sufficient to cover operating costs may affect the ability of the
affected company to operate as a going concern and may otherwise have an adverse effect on our business, assets, financial results and operations.

In addition, changes in the regulatory framework are often submitted to the legislators and administrative authorities in the countries in
which we operate and, if approved, could have a material adverse impact on our business. For instance, in 2005 there was a change in the water rights law in Chile that requires us to pay for unused water rights.

Regulatory authorities may impose fines on our subsidiaries, which could adversely affect our results of operations and financial
condition.

Our electricity businesses may be subject to regulatory fines for any breach of current regulations, including energy
supply failures, in the five countries in which we operate. In Chile, such fines may be imposed for a maximum of 10,000 Annual Tax Units (Unidades Tributarias Anuales) (UTA), or Ch$ 4.9 billion using the UTA and foreign exchange
rate as of December 31, 2013. In Peru, fines may be imposed for a maximum of 1,400 Treasury Tax Units (Unidad Impositiva Tributaria) (UIT) or Ch$ 972 million using the rates as of December 31, 2013. In Colombia,
fines may be imposed for a maximum of 2,000 Minimum Monthly Salaries (Salarios Mínimos Mensuales) or Ch$ 315 million. In Argentina, there is no maximum limit for the fines.

Our electricity generation subsidiaries, supervised by their local regulatory entities, may be subject to these fines in cases where, in the
opinion of the regulatory entity, operational failures affecting the regular energy supply to the system are the fault of the company; for instance, when the agents are not coordinated with the system operator. In addition, our subsidiaries may be
required to pay fines or to compensate customers if those subsidiaries are unable to deliver electricity, even if such failure is due to forces outside of the subsidiaries control.

For example, in September 2011, the Chilean Superintendency of Electricity and Fuels (Superintendencia de Electricidad y
Combustibles) (SEF) imposed Ch$ 816 million in fines on Endesa Chile and Pehuenche due to a blackout that occurred in the Santiago metropolitan region in March 2010. For further information on fines, please refer to
Note 34 to our Consolidated Financial Statements.

We depend in part on payments from our subsidiaries, jointly-controlled
entities and associates to meet our payment obligations.

In order to pay our obligations, we rely partly on cash from dividends,
loans, interest payments, capital reductions and other distributions from our subsidiaries and equity affiliates. The ability of our subsidiaries and equity affiliates to pay dividends, interest payments, loans, and other distributions to us is
subject to legal constraints such as dividend restrictions, fiduciary duties, contractual limitations, and foreign exchange controls that may be imposed in any of the five countries where they operate.

Historically, we have been able to access the cash flows of our Chilean subsidiaries, but we have not been similarly able to access at all
times the cash flows of our non-Chilean operating subsidiaries due to government regulations, strategic considerations, economic conditions and credit restrictions.

Our future results from operations outside Chile may continue to be subject to greater economic and political uncertainties than what we have
experienced in Chile, thereby reducing the likelihood that we will be able to rely on cash flows from operations in those entities to repay our debt.

Dividend Limits and Other Legal Restrictions. Some of our non-Chilean subsidiaries are subject to legal reserve requirements and other
restrictions on dividend payments. Other legal restrictions, such as foreign currency controls, may limit the ability of our non-Chilean subsidiaries and equity affiliates to pay dividends and make loan payments



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or other distributions to us. In addition, the ability of any of our subsidiaries that are not wholly owned to distribute cash to us may be limited by the fiduciary duties of the directors of
such subsidiaries to their minority shareholders. Furthermore, some of our subsidiaries may be forced by local authorities, in accordance with applicable regulation, to diminish or eliminate dividend payments. As a consequence of such restrictions,
our subsidiaries could, under certain circumstances, be prevented from distributing cash to us.

Contractual Constraints.
Distribution restrictions included in certain credit agreements of our subsidiaries Endesa Costanera and El Chocón may prevent dividends and other distributions to shareholders if they are not in compliance with certain financial ratios.
Generally, our credit agreements prohibit any type of distribution if there is an ongoing default.

Operating Results of Our
Subsidiaries. The ability of our subsidiaries and equity affiliates to pay dividends or make loan payments or other distributions to us is limited by their operating results. To the extent that the cash requirements of any of our subsidiaries
exceed their available cash, the subsidiary will not be able to make cash available to us.

Any of the situations described above could
adversely affect our results of operations and financial condition.

Foreign exchange risks may adversely affect our results and the
U.S. dollar value of dividends payable to ADS holders.

The currencies of South American countries in which we and our
subsidiaries operate have been subject to large devaluations and appreciations against the U.S. dollar and may be subject to significant fluctuations in the future. Historically, a significant portion of our consolidated indebtedness has been
denominated in U.S. dollars. Although a substantial portion of our operating cash flows is linked to U.S. dollars, we generally have been and will continue to be materially exposed to currency fluctuations of our local currencies against
the U.S. dollar because of time lags and other limitations to peg our tariffs to the U.S. dollar.

In countries where operating
cash flows are denominated in the local currency, we seek to maintain debt in the same currency, but due to market conditions it may not be possible to do so. The most material example is in Argentina, where most of our debt is denominated in U.S.
dollars while our revenues are mostly in Argentine pesos. Because of this exposure, the cash generated by our subsidiaries can decrease substantially when local currencies devalue against the U.S. dollar. Future volatility in the exchange rate
of the currencies in which we receive revenues or incur expenditures may affect our financial condition and results from operations.

As
of December 31, 2013, the amount of Endesa Chiles total consolidated debt was Ch$ 1,894 billion (net of currency hedging instruments). Of this amount, Ch$ 637 billion, or 34%, was denominated in U.S. dollars and Ch$ 307 billion
in Chilean pesos. As of December 31, 2013, our consolidated foreign currency-denominated indebtedness (other than U.S. dollars or Chilean pesos) included the equivalent of:



| |  |  | Ch$ 894 billion in Colombian pesos;
| | - |  | -----------------------------------



| |  |  | Ch$ 32 billion in Argentine pesos; and
| | - |  | --------------------------------------



| |  |  | Ch$ 24 billion in Peruvian soles.
| | - |  | ---------------------------------

These amounts total Ch$ 950 billion in currencies other than
U.S. dollars or Chilean pesos.

For the twelve-month period ended December 31, 2013, our operating cash flows were Ch$ 707
billion (before consolidation adjustments) of which:



| |  |  | Ch$ 313 billion, or 44%, came from Chile;
| | - |  | -----------------------------------------



| |  |  | Ch$ 274 billion, or 39%, came from Colombia;
| | - |  | --------------------------------------------



| |  |  | Ch$ 96 billion, or 14%, came from Peru; and
| | - |  | -------------------------------------------



| |  |  | Ch$ 24 billion, or 3%, came from Argentina
| | - |  | ------------------------------------------



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We are involved in litigation proceedings.

We are currently involved in various litigation proceedings, which could result in unfavorable decisions or financial penalties against us,
and we will continue to be subject to future litigation proceedings, which could cause material adverse consequences to our business.

For
example, in December 2013, a court granted an injunction in favor of local fishermen ordering a temporary shutdown of our Bocamina II facility. While we are appealing the case, the plant remains shut down and our operating income is reduced between
US$ 20 million and US$ 44 million each month the facility is shut down. Our financial condition or results from operations could be adversely affected if we are unsuccessful in defending this litigation or other lawsuits and
proceedings against us.

The values of our generation subsidiaries long-term energy supply contracts are subject to
fluctuations in the market prices of certain commodities and other factors.

We have economic exposure to fluctuations in the
market prices of certain commodities as a result of the long-term energy sales contracts into which we have entered. We and our subsidiaries have material obligations as selling parties under long-term fixed-price electricity sales contracts. Prices
in these contracts are indexed according to different commodities, the exchange rate, inflation, and the market price of electricity. Adverse changes to these indices would reduce the rates we charge under our long-term fixed-price electricity sales
contracts, which could adversely affect our results of operations and financial condition.

Our controlling shareholders may have
conflicts of interest relating to our business.

Enel owns 92.1% of Endesa Spain, which in turn beneficially owns 60.6%
of Enersis share capital, and Enersis owns 60.0% of Endesa Chiles outstanding capital stock. Our controlling shareholders have the power to determine the outcome of most material matters that require shareholders votes, such
as the election of the majority of our board members and, subject to contractual and legal restrictions, the distribution of dividends. Our controlling shareholders also can exercise influence over our business strategy and operations. Their
interests may in some cases differ from those of the other shareholders. Enel and Endesa Spain conduct their business operations in the field of renewable energies in South America through Enel Green Power S.p.A., in which we do not have an equity
interest.

Environmental regulations in the countries in which we operate and other factors may cause delays, impede the development
of new projects or increase the costs of operations and capital expenditures.

Our operating subsidiaries are subject to
environmental regulations which, among other things, require us to perform environmental impact studies for future projects and obtain permits from both local and national regulators. The approval of these environmental impact studies may take
longer than planned and may be withheld by governmental authorities. Local communities and ethnic and environmental activists, among others, may intervene in the approval process to delay or prevent a projects development. They may also seek
injunctive or other relief, which could negatively impact us if they are successful.

Environmental regulations for existing and future
generation capacity may become stricter, requiring increased capital investments. For example, Decree 13 of the Chilean Ministry of the Environment promulgated in January 2011, and published in June 2011, defined stricter emission standards for
thermoelectric plants that must be met between 2014 and 2016 and stricter standards for new facilities or additional capacity.

In 2009,
we presented our 740 MW coal fueled Punta Alcalde project for environmental approval in Chile. In 2012, the regional environmental authority rejected the project. We appealed to the Council of Ministers. Even though the Council unanimously reversed
the decision of the environmental authority, the Court of Appeals accepted four injunctions against us in early 2013. Ultimately, the Chilean Supreme Court ruled that the project could proceed in January 2014.

In addition to environmental matters, there are other factors that may adversely affect our ability to build new facilities or to complete
projects currently under development on time, including delays in obtaining regulatory approvals, shortages or increases in the price of equipment, materials or labor, strikes, adverse weather conditions, natural disasters, civil unrest, accidents,
or other unforeseen events.



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Delays or modifications to any proposed project and laws or regulations may change or be
interpreted in a manner that could adversely affect our operations or our plans for companies in which we hold investments, which could adversely affect our results of operations and financial condition.

Our business may be adversely affected by judicial decisions on environmental qualification resolutions for electricity projects in
Chile.

The environmental qualification resolutions term for electricity generation or transmission projects in Chile has more
than doubled, due primarily to judicial decisions against such projects, environmental opposition, social criticism and government delays. This can cast doubt on the ability of a project to obtain such approval, and increase the uncertainty for
investing in electricity generation and transmission projects in Chile. The uncertainty is forcing companies to reassess their business strategies as the delay in the construction of electricity generation and transmission projects may result in a
supply constraints over the next five or six years. If any plant within the system ceases operation unexpectedly, we could experience supply shortages in our system, which could lead to power cuts.

For example, in August 2008, the HidroAysén environmental impact assessment study was submitted for approval. In May 2011, a favorable
environmental qualification resolution was reached. In June 2011, HidroAysén filed an appeal with the Council of Ministers requesting its review of certain conditions established by the environmental authority. On January 30, 2014, the
Council of Ministers met to review the appeals and the majority of them were resolved. The Council of Ministers requested new background information and studies in order for the Council to perform a new evaluation and issue its decision regarding
the project.

In March 2014, Chilean President Michelle Bachelet took office, and during this month a new Council of Ministers was
convened, and it repealed the decisions taken in January 2014. The new Council stated it would study the issue again and resolve all claims within the 60 business day timeframe established by law.

Our power plant projects may encounter significant opposition from groups that may ultimately damage our reputation and could result in
impairment of goodwill with stakeholders.

Our reputation is the foundation of our relationship with key stakeholders and other
constituencies. If we are unable to effectively manage real or perceived issues, which could negatively impact sentiments toward us, our ability to operate could be impaired and our financial results could suffer.

The development of new power plants may face opposition from several stakeholders, such as ethnic groups, environmental groups, land owners,
farmers, local communities and political parties, among others, all of which may impact the sponsoring companys reputation and goodwill. For example, our HidroAysén project has encountered substantial opposition by environmental
activists. Such groups are sometimes financed internationally and may receive global attention. Similarly, the El Quimbo hydroelectric project in Colombia faced constant social demands that have delayed construction and increased costs. Between
August 16, 2013 and September 9, 2013, a national agricultural strike involving communities near the project blocked roads and occupied neighboring lands.

The operation of our current thermal power plants may also affect our goodwill with stakeholders, due to emissions such as particulate matter,
sulfur dioxide and nitrogen oxides, which could adversely affect the environment.

Damage to our reputation may exert considerable
pressure on regulators, creditors, and other stakeholders, and ultimately lead to projects and operations that may not be optimal, cause our share prices to drop and hinder our ability to attract or retain valuable employees, all of which could
result in an impairment of goodwill with stakeholders.



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Our business may experience adverse consequences if we are unable to reach satisfactory
collective bargaining agreements with our unionized employees.

A large percentage of our employees are members of unions and have
collective bargaining agreements that must be renewed on a regular basis. Our business, financial condition and results of operations could be adversely affected by a failure to reach agreement with any labor union representing such employees or by
an agreement with a labor union that contains terms we view as unfavorable. The laws of many of the countries in which we operate provide legal mechanisms for judicial authorities to impose a collective agreement if the parties are unable to come to
an agreement, which may increase our costs beyond what we have budgeted.

In addition, we employ many highly-specialized employees, and
certain actions such as strikes, walk-outs or work stoppages by these employees could negatively impact our operating and financial performance, as well as our reputation.

Interruption or failure of our information technology and communications systems or external attacks to or invasions of these systems
could have an adverse effect on our operations and results.

We depend on information technology, communication and processing
systems (IT Systems) to operate our businesses, the failure of which could adversely affect our financial condition and results of operations.

IT Systems are all vital to our generation subsidiaries ability to monitor our power plants operations, maintain generation and
network performance, adequately generate invoices to customers, achieve operating efficiencies and meet our service targets and standards. Temporary or long-lasting operational failures of any of these IT Systems could have a material adverse effect
on our results of operations. Additionally, cyber attacks can have an adverse effect on the companys image and its relationship with the community.

In the last few years, global cyber attacks on security systems, treasury operations, and IT Systems have intensified. We are exposed to
cyber-terrorist attacks aimed at damaging our assets through computer networks, cyber spying involving strategic information that may be beneficial for third parties and cyber-theft of proprietary and confidential information, including information
of our customers. During 2013, we suffered a cyber attack organized by a group known as Operation Green Rights to protest the construction of proposed hydroelectric power plants in the Chilean Patagonia as well as other cyber attacks
related to the operation of thermal power plants in the north and south of Chile.

We rely on electricity transmission facilities
that we do not own or control. If these facilities do not provide us with an adequate transmission service, we may not be able to deliver the power we sell to our final customers.

We depend on transmission facilities owned and operated by other unaffiliated power companies to deliver the electricity we sell. This
dependence exposes us to several risks. If transmission is disrupted, or transmission capacity is inadequate, we may be unable to sell and deliver our electricity. If a regions power transmission infrastructure is inadequate, our recovery of
sales costs and profits may be insufficient. If restrictive transmission price regulation is imposed, transmission companies upon whom we rely may not have sufficient incentives to invest in expansion of their transmission infrastructure, which
could adversely affect our operations and financial results. On February 27, 2010, due to the 8.8 magnitude earthquake on the Richter scale in Chile, Transelec, a transmission company unrelated to us, experienced damage to its high voltage
transmission network that prevented us from delivering our electricity to final consumers.

On September 24, 2011,
nearly 10 million people located in central Chile experienced a blackout (affecting more than half of all Chileans), due to the failure of Transelecs 220 kV Ancoa substation. The failure led to the disruption of two 500 kV
transmission lines in the SIC (the Chilean Central Interconnected System) and the subsequent failure of the remote recovery computer software used by CDEC to operate the grid. This blackout, which lasted two hours, exposed weaknesses in the
transmission grid and its need for expansion and technological improvements to increase the reliability of the transmission grid.



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Any such failure could interrupt our business, which could adversely affect our results of
operations and financial condition.

The relative illiquidity and volatility of Chilean securities markets could adversely affect
the price of our common stock and ADS.

Chilean securities markets are substantially smaller and less liquid than the major
securities markets in the United States. In addition, Chilean securities markets may be affected materially by developments in other emerging markets. The low liquidity of the Chilean market may impair the ability of holders of ADS to sell shares of
our common stock withdrawn from the ADS program into the Chilean market in the amount and at the price and time they wish to do so.

Lawsuits against us brought outside of the South American countries in which we operate, or complaints against us based on foreign legal
concepts may be unsuccessful.

All of our assets are located outside of the United States. All except one of our directors and all
of our officers reside outside of the United States and most of their assets are located outside the United States as well. If any investor were to bring a lawsuit against our directors, officers or experts in the United States, it may be difficult
for them to effect service of legal process within the United States upon these persons or to enforce against them, in United States or Chilean courts, judgments obtained in United States courts based upon the civil liability provisions of the
federal securities laws of the United States. In addition, there is doubt as to whether an action could be brought successfully in Chile on the basis of liability based solely upon the civil liability provisions of the United States federal
securities laws.

Item 4.     Information on the Company



|A. | History and Development of the Company.
|-- | ---------------------------------------

Incorporation and Contact Information of the Company

Empresa Nacional de Electricidad S.A. is a publicly held limited liability stock corporation organized under the laws of the Republic
of Chile on December 1, 1943. Since 1943, the Company has been registered in Santiago with the SVS under Registration No. 0114. The Company is legally referred to by its full name as well as by the shorter Endesa Chile. In
Chile, it is also known as Endesa, a term that is avoided in this Report because of potential ambiguity when referring to Endesa, S.A., a parent company in Spain.

The Companys contact information in Chile is:



|                |  |                                                      
|--------------- |  | -----------------------------------------------------
|Street Address: |  | Santa Rosa 76, Santiago, Código Postal 8330099, Chile
|Telephone:      |  | (56-2) 2353-4639                                     
|Fax:            |  | (56-2) 2378-4689                                     
|Web site:       |  | www.endesa.cl                                        

The Companys authorized representative in the United States of America is Puglisi & Associates,
whose contact information is:



|                |  |                                                      
|--------------- |  | -----------------------------------------------------
|Street Address: |  | 850 Library Avenue, Suite 204, Newark, Delaware 19711
|Telephone:      |  | 1 (302) 738-6680                                     

We are an electricity utility company engaged, directly and through our subsidiaries and affiliates, in the
generation and transmission of electricity businesses in Chile, Argentina, Brazil, Colombia and Peru. In May 1992, we began our international expansion program with the following developments:



| |  |  | We acquired a stake in Endesa Costanera in 1992 and later, in August 1993, we acquired a controlling equity interest in El Chocón, both in Argentina. As of December 31, 2013, our equity interest in
El Chocón is 65.4% and in Endesa Costanera 75.7%.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



26



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| |  |  | We acquired Edegel in Peru in October 1995. In June 2006, Edegel and Etevensa merged, after which Endesa Chiles equity interest in Edegel increased to 33.1%. In October 2009, we purchased an
additional 29.4% of Edegel from Generalima, a Peruvian indirect subsidiary of Endesa Spain. With this transaction, we increased our economic interest in Edegel to 62.5%.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | We acquired Betania and Emgesa, both in Colombia, in December 1996 and in October 1997, respectively. In September 2007, these subsidiaries were merged into Betania, which then adopted the name of
Emgesa S.A. E.S.P. As of December 2011, Endesa Chiles equity interest in Emgesa was 26.9%. Due to a transfer of rights from Enersis, Endesa Chile controls and therefore consolidates Emgesa.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | We acquired Cachoeira Dourada in Brazil in September 1997, and in 1998 we and Endesa Spain invested in CIEN, which operates an international transmission line connecting Brazil and Argentina. Since
October 2005, Cachoeira Dourada and CIEN have been subsidiaries of our affiliate, Endesa Brasil, which we account for based on the equity method.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Since June 2009, Enel S.p.A. has been the ultimate controller of Enersis by virtue of its 92.1% equity interest in Endesa Spain.
Endesa Spain beneficially owns 60.6% of the share capital of Enersis, which in turn holds 60% of the share capital of Endesa Chile. Enel publicly trades on the Milan Stock Exchange, is headquartered in Italy and is primarily engaged in the
energy sector, with a presence in 40 countries worldwide, and approximately 99 GW of net installed capacity. It provides service to more than 61 million customers through its electricity and gas businesses.

As of December 31, 2013, we had 13,688 MW of installed capacity, with 178 generation units in the four countries in which we
operate, consolidated assets of Ch$ 6,762 billion and operating revenues of Ch$ 2,027 billion.

Capital Investments, Capital Expenditures and
Divestitures

We coordinate our overall financing strategy, including the terms and conditions of loans or intercompany advances
entered into by our subsidiaries, in order to optimize debt and liquidity management. Our operating subsidiaries generally independently plan capital expenditures financed by internally generated funds or with direct financing. One of our goals is
to focus on investments that will provide long-term benefits, such as energy loss reduction projects. Additionally, by focusing on Endesa Chile as a group and seeking to provide services group-wide, we aim to reduce investments at the individual
subsidiary level for items such as procurement, telecommunication and information systems. Although we have considered how these investments will be financed as part of the Companys budget process, we have not committed to any particular
financing structure. Our investments will depend on the prevailing market conditions at the time the cash flows are needed.

Our
investment plan is flexible enough to adapt to changing circumstances by giving different priorities to each project in accordance with its profitability and strategic fit. Our current investment priorities include developing new, environmentally
responsible hydroelectric and thermal projects in Chile and Colombia in order to guarantee adequate levels of reliable supply.

From 2014 through 2018, we expect to make capital expenditures of Ch $1,921 billion on a consolidated basis relating to
investments currently in progress, maintenance of existing installed capacity and studies required to develop other potential generation projects. For further detail regarding these projects, please see Item 4. Information on the Company
 D. Property, Plant and Equipment  Projects Under Development.



27



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##### Table of Contents

The table below sets forth the expected capital expenditures from 2014 through 2018 and
the capital expenditures incurred by our subsidiaries in 2013, 2012 and 2011:



|       |  |                      |           |  |          |  |         |          |  |  |          |  |  |  |         | 
|------ |  | -------------------- | --------- |  | -------- |  | ------- | -------- |  |  | -------- |  |  |  | ------- | 
|       |  | Capital Expenditures |          
|       |  | 2014-2018            |           |  | 2013 (1) |  |         | 2012 (1) |  |  | 2011 (1) | 
|       |  | (in millions of Ch$) |          
|Chile  |  |                      | 905,733   |  |          |  | 85,169  |          |  |  | 73,673   |  |  |  | 122,723 | 
|Abroad |  |                      | 1,015,116 |  |          |  | 206,848 |          |  |  | 183,810  |  |  |  | 140,885 | 
|       |  |                      |           |  |          |  |         |          |  |  |          |  |  |  |         | 
|Total  |  |                      | 1,920,849 |  |          |  | 292,017 |          |  |  | 257,483  |  |  |  | 263,608 | 
|       |  |                      |           |  |          |  |         |          |  |  |          |  |  |  |         | 





|(1) | CAPEX figures represent actual payments for each year, net of contributions, except for future projections.
|--- | -----------------------------------------------------------------------------------------------------------

Capital Expenditures 2013, 2012 and 2011

Our capital expenditures in the last three years were related principally to (i) the 350 MW Bocamina II project in Chile,
(ii) the 400 MW El Quimbo project in Colombia and (iii) maintenance of existing installed capacity. Bocamina II began commercial operations in October 2012, with 350 MW of installed capacity. The El Quimbo project is still
under construction. In addition, in November 2013, the first of Salaco projects hydro plants began its operation in Colombia. The project will add 144 MW of capacity to the system when completed.

For additional information regarding Bocamina II, which currently is not operating due to an environmental restriction, please see
Introduction  Recent Developments.

Investments Currently in Progress

Our material plans in progress include completion of the El Quimbo project, which is expected to be finished by July 2015 and will
add 400 MW of capacity to our Colombian operations. El Quimbo is being constructed in response to increased demand in that market.

In general terms, projects in progress are expected to be financed with external and internal funds for each of the projects described.



|B. | Business Overview.
|-- | ------------------

We are a publicly held limited liability stock corporation with
consolidated operations in Chile, Argentina, Colombia, and Peru, and an equity interest in a Brazilian company. Our core business is electricity generation. Less than 1.0% of our 2013 revenues came from non-generation activities, and we do
not break down our revenues by businesses in this Report or in our consolidated financial statements.

The table below presents our
revenues by country:



|                                                                  |  |                         |           |  |                        |  |           |      |  |  |           |  |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | --------- |  | ---------------------- |  | --------- | ---- |  |  | --------- |  |  |  | ------ | 
|                                                                  |  | Year ended December 31, |           |  | Change   2013 vs. 2012 | 
|Revenues                                                          |  | 2013                    |           |  | 2012                   |  |           | 2011 |  | 
|                                                                  |  | (in millions of Ch$)    |           |  | (in %)                 | 
|Generation (Chile) (1)                                            |  |                         | 962,879   |  |                        |  | 1,107,117 |      |  |  | 1,137,770 |  |  |  | (13.0) | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 10,261    |  |                        |  | 7,503     |      |  |  | 18,699    |  |  |  | 36.8   | 
|Argentina                                                         |  |                         | 131,443   |  |                        |  | 344,178   |      |  |  | 390,136   |  |  |  | (61.8) | 
|Colombia                                                          |  |                         | 639,504   |  |                        |  | 580,125   |      |  |  | 498,544   |  |  |  | 10.2   | 
|Peru                                                              |  |                         | 283,806   |  |                        |  | 282,124   |      |  |  | 239,841   |  |  |  | 0.6    | 
|Consolidated adjustments to foreign subsidiaries                  |  |                         | (461)     |  |                        |  | (662)     |      |  |  | (725)     |  |  |  | (30.4) | 
|                                                                  |  |                         |           |  |                        |  |           |      |  |  |           |  |  |  |        | 
|Total revenues                                                    |  |                         | 2,027,432 |  |                        |  | 2,320,385 |      |  |  | 2,284,265 |  |  |  | (12.6) | 
|                                                                  |  |                         |           |  |                        |  |           |      |  |  |           |  |  |  |        | 

(1) Restated in accordance with IFRS 11



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For further information related to operating revenue and total income by business segment, see
Item 5. Operating and Financial Review and Prospects  A. Operating Results and Note 31 to our Consolidated Financial Statements.

The operating figures presented in this Report differs from previously reported figures, due to:



| |  |  | application of IFRS 11, Joint Arrangements pursuant to which jointly controlled companies as of January 1, 2013 are now recorded using the equity method. Until December 31, 2012, they were
consolidated using the proportionate consolidation method. With respect to our generation business, the application of IFRS 11 requires us to exclude GasAtacama figures from 2012 and 2011; and
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | changes to what we define as electricity generation, which we now define as total generation output minus (i) the electricity consumed by the facilities themselves, (ii) consumption by external
auxiliary facilities, (iii) losses in transmission and (iv) technical losses, which definition is uniformly applied to all countries. We have recalculated the operating data for 2009 through 2012, however we believe the differences in
calculation methods are not material. Our consolidated installed capacity as of December 31, 2013 was 13,688 MW, of which 58.6% was hydroelectric capacity, 40.8% was thermal electric and 0.6% was wind power generation capacity. Total installed
capacity is defined as the maximum power capacity (measured in MW generation units) under specific technical conditions and characteristics.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

We own and operate 178 generation units in the four countries in which we consolidate results, comprised principally of 105
generation units in Chile with an aggregate installed capacity, as of December 31, 2013, of 5,571 MW. This excludes the three units with 390 MW of capacity at GasAtacama.

Additionally, as of December 31, 2013, we had an interest in 73 generation units outside of Chile with an aggregate installed
capacity of 8,118 MW compared to 8,224 MW of aggregate installed capacity as of December 31, 2012. This decrease was due to the decomissioning of Edegels 121 MW Santa Rosa TG 7 unit and Emgesas 39 MW La
Tinta and La Junca plants. This decrease was partially offset by a 50 MW increase in Emgesas Darío Valencia 2 unit and a 4.2 MW increase in Edegels Matucana unit.

We accounted for 30% of Chiles total generation capacity as of December 31, 2013, measured by the installed capacity published
by CDEC-SIC. Hydroelectric installed capacity represents 62.2% of Endesa Chiles total installed capacity in Chile, thermoelectric installed capacity represents 36.4% and wind power represents 1.4%. The CDEC manages Chiles
electricity distribution. See Item 4. Information on the Company  B. Business Overview  Electricity Industry and Regulatory Framework. Hydroelectric installed capacity outside Chile represents 56.2% of Endesa
Chiles total installed capacity outside Chile. Based on 2013 data, the Companys installed generation capacity in Argentina, Colombia and Peru represents approximately 12%, 20% and 20% of total capacity in each country,
respectively.

For additional detail on capacity increase of these units see Item 4. Information on the Company  D.
Property, Plant and Equipment.

ENDESA CHILES CONSOLIDATED GENERATION BY TYPE (GWh) (1)



|                         |  |                         |        |  |      |  |       |                 |  |  |        |  |  |                 |       |  |   |  |        |  |  |  |       | 
|------------------------ |  | ----------------------- | ------ |  | ---- |  | ----- | --------------- |  |  | ------ |  |  | --------------- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                         |  | Year ended December 31, |       
|                         |  | 2013                    |        |  | 2012 |  |       | 2011            | 
|                         |  | Generation(GWh)         |        |  | %    |  |       | Generation(GWh) |  |  | %      |  |  | Generation(GWh) |       |  | % | 
|Hydroelectric generation |  |                         | 28,465 |  |      |  | 55.4  |                 |  |  | 30,732 |  |  |                 | 58.8  |  |   |  | 30,213 |  |  |  | 59.2  | 
|Thermal generation (2)   |  |                         | 22,808 |  |      |  | 44.4  |                 |  |  | 21,336 |  |  |                 | 40.9  |  |   |  | 20,695 |  |  |  | 40.5  | 
|Other generation (3)     |  |                         | 145    |  |      |  | 0.3   |                 |  |  | 153    |  |  |                 | 0.3   |  |   |  | 132    |  |  |  | 0.3   | 
|                         |  |                         |        |  |      |  |       |                 |  |  |        |  |  |                 |       |  |   |  |        |  |  |  |       | 
|Total generation         |  |                         | 51,417 |  |      |  | 100.0 |                 |  |  | 52.222 |  |  |                 | 100.0 |  |   |  | 51,040 |  |  |  | 100.0 | 
|                         |  |                         |        |  |      |  |       |                 |  |  |        |  |  |                 |       |  |   |  |        |  |  |  |       | 





|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

|(2) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(3) | Other generation refers to the Canela and Canela II wind farms.
|--- | ---------------------------------------------------------------



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Our consolidated electricity production reached 51,417 GWh in 2013, 1.5% lower than
the 52,222 GWh produced in 2012, mainly due to a decrease in hydro generation in Chile and Colombia, to conditioned dispatch by CAMMESA in Argentina, and to lower thermal generation in Peru. We increased our generation in Chile
from 19,194 GWh to 19,438 GWh, an increase of 1.3%. Our generation decreased by 3.8% in Colombia, 3.3% in Argentina and 2,1% in Peru. Hydroelectric generation in 2013 in the four countries in which we consolidate
results from operations was 7.4% lower than in 2012 and thermal generation in 2013 was 6.9% higher than in 2012.

Our consolidated electricity energy sales for 2013 were 57,754 GWh, 1.5% lower than our consolidated electricity energy sales
of 58,621 GWh in 2012 as result of less contracts in Chile, Peru and Colombia. We increased our sales in Argentina from 11,852 GWh to 12,354 GWh, an increase of 4.2%. In the other countries our sales decreased compared
with 2012, mainly in Peru and Chile with decreases of 7.1% and 2.3% respectively, as set forth in the following table:

ENDESA CHILE ELECTRICITY DATA PER COUNTRY



|                                   |  |                                           |        |  |      |  |        |      |  |  |        | 
|---------------------------------- |  | ----------------------------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ | 
|                                   |  | As of and for the year ended December 31, |       
|                                   |  | 2013                                      |        |  | 2012 |  |        | 2011 | 
|Chile (1)                          | 
|Number of generating units (2) (3) |  |                                           | 105    |  |      |  | 105    |      |  |  | 104    | 
|Installed capacity (MW) (3) (4)    |  |                                           | 5,571  |  |      |  | 5,571  |      |  |  | 5,221  | 
|Electricity generation (GWh) (5)   |  |                                           | 19,438 |  |      |  | 19,194 |      |  |  | 19,296 | 
|Energy sales (GWh)                 |  |                                           | 20,406 |  |      |  | 20,878 |      |  |  | 20,315 | 
|Argentina                          |  |                                           |        |  |      |  |        |      |  |  |        | 
|Number of generating units (2)     |  |                                           | 20     |  |      |  | 20     |      |  |  | 20     | 
|Installed capacity (MW) (4)        |  |                                           | 3,652  |  |      |  | 3,652  |      |  |  | 3,652  | 
|Electricity generation (GWh) (5)   |  |                                           | 10,840 |  |      |  | 11,207 |      |  |  | 10,713 | 
|Energy sales (GWh)                 |  |                                           | 12,354 |  |      |  | 11,852 |      |  |  | 11,381 | 
|Colombia                           |  |                                           |        |  |      |  |        |      |  |  |        | 
|Number of generating units (2) (3) |  |                                           | 29     |  |      |  | 30     |      |  |  | 30     | 
|Installed capacity (MW) (3) (4)    |  |                                           | 2,925  |  |      |  | 2,914  |      |  |  | 2,914  | 
|Electricity generation (GWh) (5)   |  |                                           | 12,748 |  |      |  | 13,251 |      |  |  | 12,051 | 
|Energy sales (GWh)                 |  |                                           | 16,090 |  |      |  | 16,304 |      |  |  | 15,112 | 
|Peru                               |  |                                           |        |  |      |  |        |      |  |  |        | 
|Number of generating units (2)     |  |                                           | 24     |  |      |  | 25     |      |  |  | 25     | 
|Installed capacity (MW) (3)(4)     |  |                                           | 1,540  |  |      |  | 1,657  |      |  |  | 1,668  | 
|Electricity generation (GWh) (5)   |  |                                           | 8,391  |  |      |  | 8,570  |      |  |  | 8,980  | 
|Energy sales (GWh)                 |  |                                           | 8,903  |  |      |  | 9,587  |      |  |  | 9,450  | 
|Total (5)                          |  |                                           |        |  |      |  |        |      |  |  |        | 
|Number of generating units (2)     |  |                                           | 178    |  |      |  | 180    |      |  |  | 179    | 
|Installed capacity (MW) (4)        |  |                                           | 13,688 |  |      |  | 13,794 |      |  |  | 13,455 | 
|Electricity generation (GWh) (5)   |  |                                           | 51,417 |  |      |  | 52.222 |      |  |  | 51,040 | 
|Energy sales (GWh)                 |  |                                           | 57,754 |  |      |  | 58,621 |      |  |  | 56,257 | 





|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(2) | For details on generation facilities, see Item 4. Information on the Company  D. Property, Plant and Equipment.
|--- | ------------------------------------------------------------------------------------------------------------------

|(3) | The Bocamina II TV2 generation unit in Chile has been consolidated since April 2012, and the Darío Valencia hydro plant in Colombia has been consolidated since November 2013. Unit 2 of Matucana
hydro plant in Peru increased its installed capacity in June 2013. In October 2013, Edegels 121 MW Santa Rosa TG 7 unit in Peru and Emgesas 39 MW La Tinta and La Junca plants in Colombia were retired.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(4) | Total installed capacity is defined as the maximum MW capacity in generation units, under specific technical conditions and characteristics. In most cases, installed capacity is confirmed by tests performed by equipment
suppliers. Data may differ from installed capacity declared to governmental authorities and customers in each country, according to criteria defined by such authorities and relevant contracts.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(5) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

We segment our sales to customers using two different categories. First, we distinguish between regulated and unregulated customers. Regulated
customers are distribution companies that mainly serve residential customers.



30



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Unregulated customers, on the other hand, may freely negotiate the price of electricity with
generators or they may purchase electricity in the pool market at the spot price. The second criterion we use to segment our customer sales is by contracted sales and non-contracted sales. This method is useful because it provides a uniform way for
us to compare our customers from country to country. The countries in which we operate have varying classifications for what constitutes a regulated customer. In contrast, contracted sales are defined uniformly throughout.

In the countries in which we operate, the potential for contracting electricity is generally related to electricity demand. Customers
identified as small volume regulated customers, such as residential customers subject to government regulated electricity tariffs, must purchase electricity directly from a distribution company. These distribution companies, which purchase large
amounts of electricity for small volume residential customers, generally enter into contractual agreements with generators at a regulated tariff price. Those identified as large volume industrial customers also enter into contractual agreements with
energy suppliers. However, such large volume industrial customers are not subject to the regulated tariff price. Instead, these customers are allowed to negotiate the price of energy with generators based on the characteristics of the service
required. Finally, the pool market, where energy is normally sold at the spot price, is not carried out through contracted pricing.

The
following table contains information regarding Endesa Chiles consolidated sales of electricity by type of customer for each of the periods indicated:

ENDESA CHILE CONSOLIDATED ELECTRICITY SALES BY CUSTOMER TYPE (GWh) (1)



|                              |  |                         |        |  |                  |  |       |       |  |  |                  |  |  |       |       |  |                    |  |        |  |  |  |       | 
|----------------------------- |  | ----------------------- | ------ |  | ---------------- |  | ----- | ----- |  |  | ---------------- |  |  | ----- | ----- |  | ------------------ |  | ------ |  |  |  | ----- | 
|                              |  | Year ended December 31, |       
|                              |  | 2013                    |        |  | 2012             |  |       | 2011  | 
|                              |  | Sales                   |        |  | % of SalesVolume |  |       | Sales |  |  | % of SalesVolume |  |  | Sales |       |  | % of Sales  Volume | 
|Regulated customers           |  |                         | 27,786 |  |                  |  | 48.1  |       |  |  | 28,863           |  |  |       | 49.2  |  |                    |  | 26,377 |  |  |  | 46.9  | 
|Unregulated customers         |  |                         | 12,392 |  |                  |  | 21.5  |       |  |  | 14,070           |  |  |       | 24.0  |  |                    |  | 13,441 |  |  |  | 23.9  | 
|                              |  |                         |        |  |                  |  |       |       |  |  |                  |  |  |       |       |  |                    |  |        |  |  |  |       | 
|Total contracted sales (2)    |  |                         | 40,178 |  |                  |  | 69.6  |       |  |  | 42,933           |  |  |       | 73.2  |  |                    |  | 39,818 |  |  |  | 70.8  | 
|                              |  |                         |        |  |                  |  |       |       |  |  |                  |  |  |       |       |  |                    |  |        |  |  |  |       | 
|Electricity pool market sales |  |                         | 17,576 |  |                  |  | 30.4  |       |  |  | 15,688           |  |  |       | 26.8  |  |                    |  | 16,439 |  |  |  | 29.2  | 
|                              |  |                         |        |  |                  |  |       |       |  |  |                  |  |  |       |       |  |                    |  |        |  |  |  |       | 
|Total electricity sales       |  |                         | 57,754 |  |                  |  | 100.0 |       |  |  | 58,621           |  |  |       | 100.0 |  |                    |  | 56,257 |  |  |  | 100.0 | 
|                              |  |                         |        |  |                  |  |       |       |  |  |                  |  |  |       |       |  |                    |  |        |  |  |  |       | 



|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(2) | Includes the sales to distribution companies not backed by contracts in Chile and Peru.
|--- | ---------------------------------------------------------------------------------------

The
specific energy consumption limit (measured in GWh) for regulated and unregulated customers is country specific. Moreover, regulatory frameworks often require that regulated distribution companies have contracts to support their commitments to small
volume customers and also determine which customers can purchase energy in electricity pool markets.

In terms of expenses, the primary
variable costs involved in the electricity generation business, in addition to the direct variable cost of generating hydroelectric or thermal electricity such as fuel costs, are energy purchases and transportation costs. During periods of
relatively low rainfall conditions, the amount of our thermal generation increases. This not only involves increasing the total cost of fuel but also the cost of transporting that fuel to the thermal generation power plants. Under drought
conditions, electricity that we have contractually agreed to provide may exceed the amount of electricity that we are able to generate, requiring us to purchase electricity in the pool market at spot prices in order to satisfy our contractual
commitments. The cost of these purchases at spot prices may, under certain circumstances, exceed the price at which we sell electricity under contracts and result in a loss. We attempt to minimize the effect of poor hydrological conditions on our
operations in any year primarily by limiting contractual sales requirements to an amount that does not exceed the estimated production in a dry year. In determining estimated production in a dry year, we take into account the available
statistical information concerning rainfall and water flows, and the capacity of key reservoirs. In addition to limiting contracted sales, we may adopt other strategies such as installing temporary thermal capacity, negotiating lower consumption
levels with unregulated customers, negotiating with other water users and including pass-through cost clauses in contracts with customers.



31



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The following table contains information regarding our electricity generation and purchases:

CONSOLIDATED GENERATION AND PURCHASES (GWh) (1) (2)



|                       |  |                         |        |  |               |  |       |       |  |  |               |  |  |       |       |  |               |  |        |  |  |  |       | 
|---------------------- |  | ----------------------- | ------ |  | ------------- |  | ----- | ----- |  |  | ------------- |  |  | ----- | ----- |  | ------------- |  | ------ |  |  |  | ----- | 
|                       |  | Year ended December 31, |       
|                       |  | 2013                    |        |  | 2012          |  |       | 2011  | 
|                       |  | (GWh)                   |        |  | % of   Volume |  |       | (GWh) |  |  | % of   Volume |  |  | (GWh) |       |  | % of   Volume | 
|Electricity generation |  |                         | 51,417 |  |               |  | 88.8  |       |  |  | 52.222        |  |  |       | 88.9  |  |               |  | 51,040 |  |  |  | 90.6  | 
|Electricity purchases  |  |                         | 6,455  |  |               |  | 11.2  |       |  |  | 6,499         |  |  |       | 11.1  |  |               |  | 5,320  |  |  |  | 9.4   | 
|                       |  |                         |        |  |               |  |       |       |  |  |               |  |  |       |       |  |               |  |        |  |  |  |       | 
|Total (3)              |  |                         | 57,872 |  |               |  | 100.0 |       |  |  | 58.720        |  |  |       | 100.0 |  |               |  | 56,360 |  |  |  | 100.0 | 
|                       |  |                         |        |  |               |  |       |       |  |  |               |  |  |       |       |  |               |  |        |  |  |  |       | 





|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(2) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

|(3) | Total energy generation (GWh) plus purchases differs from GWh sales due to energy losses at the pumps for the Muña reservoir in Colombia.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------

We have a 48.1% beneficial interest in GasAtacama Chile S.A., through which we participate in the gas transportation and thermal
generation business in northern Chile. Since March 2008, we have held a 51% beneficial interest in HidroAysén, through which we participate in a hydroelectric project in the Aysén Region. We also participate in the gas
transportation business in Chile through our related company, Electrogas S.A. (Electrogas), in which we have a 42.5% beneficial interest. Electrogas owns a pipeline in the Valparaíso Region and supplies natural gas to the
power plants of San Isidro and Nehuenco. The other shareholders of Electrogas are Colbún S.A. and ENAP.

Since September 2005,
our participation in the Brazilian electricity business has been carried out through our equity investment in Endesa Brasil S.A., in which we have a beneficial ownership interest of 37.1%. Endesa Brasil consolidates operations of (i) two
generation companies, Central Geradora Termeléctrica Endesa Fortaleza S.A. (Endesa Fortaleza) and Cachoeira Dourada, (ii) CIEN, which owns two transmission lines between Argentina and Brazil, (iii) CTM and TESA,
subsidiaries of CIEN which own the Argentine side of the lines and (iv) two distribution companies, Ampla Energia e Serviços S.A., (Ampla), which is the second largest electricity distribution company in the State of Rio de
Janeiro, and Companhia Energética do Ceará S.A. (Coelce), which is the sole electricity distributor in the State of Ceará.

Operations in Chile

We own and operate a total of 105 generation units in Chile directly and through our subsidiaries Pehuenche and Celta. Of these
generation facilities, 38 are hydroelectric, with a total installed capacity of 3,465 MW. This represents 62.2% of our total installed capacity in Chile. There are 16 thermal units that operate with gas, coal or oil with a total
installed capacity of 2,028 MW, representing 36.4% of our total installed capacity in Chile. There are 51 wind power units with 78 MW in the aggregate, representing 1.4% of our total installed capacity in Chile. All of our
generation units are connected to the countrys central interconnected electricity systems, Central Interconnected System (Sistema Interconectado Central) (SIC), except for two Celta thermoelectric units which are connected
to the Northern Interconnected System (Sistema Interconectado del Norte Grande) (SING) in the north.

For information
on the installed generation capacity for each of the Companys Chilean subsidiaries, see Item 4. Information on the Company  D. Property, Plant and Equipment.

Our total electricity generation in Chile (including the SIC and the SING) accounted for 29.4% of total gross electricity production in
Chile during 2013.



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The following table sets forth the electricity generation for each of our Chilean generation
subsidiaries:

ELECTRICITY GENERATION BY SUBSIDIARY IN CHILE (GWh) (1)



|               |  |                         |        |  |      |  |        |      |  |  |        | 
|-------------- |  | ----------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ | 
|               |  | Year ended December 31, |       
|               |  | 2013                    |        |  | 2012 |  |        | 2011 | 
|Endesa         |  |                         | 11,967 |  |      |  | 11,723 |      |  |  | 11,076 | 
|Pehuenche      |  |                         | 2,565  |  |      |  | 2,615  |      |  |  | 2,975  | 
|Pangue (2)     |  |                         |       |  |      |  | 325    |      |  |  | 1,713  | 
|San Isidro (2) |  |                         | 2,546  |  |      |  | 3,529  |      |  |  | 2,460  | 
|Celta (2)      |  |                         | 1,564  |  |      |  | 798    |      |  |  | 899    | 
|Endesa Eco (2) |  |                         | 796    |  |      |  | 204    |      |  |  | 173    | 
|               |  |                         |        |  |      |  |        |      |  |  |        | 
|Total          |  |                         | 19,438 |  |      |  | 19,194 |      |  |  | 19,296 | 
|               |  |                         |        |  |      |  |        |      |  |  |        | 





|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

|(2) | The electricity generation difference from 2011 to 2012 was primarily due to the incorporation of Pangues electricity generation into San Isidros from May 1, 2012 following the merger of the
two entities. The electricity generation difference from 2012 to 2013 was primarily due to the incorporation of San Isidros electricity generation into Endesa Eco from September 1, 2013 following the merger of the two entities,
and the further consolidation into Endesa Eco following its merger with Celta on November 1, 2013.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The potential
energy in Chilean reservoirs reached 2,870 GWh in 2013, an increase of 480 GWh, or 20%, compared to 2,391 GWh in 2012 and 3,844GWh in 2011.

Generation by type in Chile is shown in the following table:

ELECTRICITY GENERATION BY TYPE IN CHILE (GWh) (1)



|                                 |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|-------------------------------- |  | ----------------------- | ------ |  | ---- |  | ----- | ---------- |  |  | ------ |  |  | ---------- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                                 |  | Year ended December 31, |       
|                                 |  | 2013                    |        |  | 2012 |  |       | 2011       | 
|                                 |  | Generation              |        |  | %    |  |       | Generation |  |  | %      |  |  | Generation |       |  | % | 
|Hydroelectric generation         |  |                         | 9,617  |  |      |  | 49.5  |            |  |  | 10,578 |  |  |            | 56.5  |  |   |  | 11,403 |  |  |  | 59.1  | 
|Thermal generation (2)           |  |                         | 9,404  |  |      |  | 48.4  |            |  |  | 8,188  |  |  |            | 42.7  |  |   |  | 7,497  |  |  |  | 38.9  | 
|Wind generation  NCRE (3)       |  |                         | 145    |  |      |  | 0.7   |            |  |  | 153    |  |  |            | 0.8   |  |   |  | 132    |  |  |  | 0.7   | 
|Mini-hydro generation  NCRE (4) |  |                         | 272    |  |      |  | 1.4   |            |  |  | 275    |  |  |            | 1.4   |  |   |  | 264    |  |  |  | 1.4   | 
|                                 |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|Total generation                 |  |                         | 19,438 |  |      |  | 100.0 |            |  |  | 19,194 |  |  |            | 100.0 |  |   |  | 19,296 |  |  |  | 100.0 | 
|                                 |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 





|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

|(2) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(3) | Refers to the generation of the Canela and Canela II wind farms.
|--- | ----------------------------------------------------------------

|(4) | Refers to the generation of Palmucho and the Ojos de Agua mini-hydroelectric plants.
|--- | ------------------------------------------------------------------------------------

Our
thermal electric generation facilities use natural gas, LNG, coal or oil as fuel. In order to satisfy our natural gas and transportation requirements, we enter into long-term gas contracts with suppliers who establish maximum supply amounts and
prices and long-term gas transportation agreements with the pipeline companies. We currently use Gas Andes (which is not related to us) and Electrogas (which is not related to us) as our suppliers. Since March 2008, all of our natural gas units
can operate using natural gas or diesel, and since December 2009, San Isidro, San Isidro 2 and Quintero can operate using LNG.

In July 2013, Endesa Chile and British Gas successfully ended a renegotiation of its LNG sale and purchase agreement. This renegotiation
modified some conditions of the original contract, allowing Endesa Chile to secure its long term LNG supply at competitive prices, with significant flexibility and new capacity sufficient for its current power plants and future projects.



33



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Endesa Chile also exercised a priority option to purchase capacity as part of an expansion at the
Quintero LNG Terminal. This will allow us to increase our regasification capacity from 3.2 million cubic meters per day to 5.4 million cubic meters per day, starting late 2014. This expansion will allow our Quintero facility
to bring additional thermal electricity generation online, expand our gas commercialization business and develop new power plants. Because Chile has experienced prolonged droughts, we believe LNG is becoming a strategic business for us and for
Chile.

In 2013, we signed a new 1,600 kiloton coal supply agreement with Endesa Energía, which we believe is sufficient
to supply Tarapacá and Bocamina with coal through until December 2014.

Under Chilean law, power generation companies must
demonstrate that certain minimum amounts of their energy sales come from non-conventional renewable sources (NCRE) other than large traditional hydro plants. Currently our Canela wind farm, Ojos de Agua mini-hydroelectric plant
and 40% of the installed capacity of our Palmucho mini-hydroelectric plant qualify as NCRE facilities. We fully complied with this obligation during 2013. The additional cost of generating electricity using NCRE facilities is being charged
as a pass-through in our new contracts, which mitigates the impact to our operating income.

Electricity sales industry-wide in Chile,
increased 3.5% during 2013, with sales in the SIC increasing by 3.3% and in the SING by 3.8%, as detailed in the following table:

ELECTRICITY SALES PER SYSTEM IN CHILE (GWh) (1)



|                              |  |                         |        |  |      |  |        |      |  |  |        | 
|----------------------------- |  | ----------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ | 
|                              |  | Year ended December 31, |       
|                              |  | 2013                    |        |  | 2012 |  |        | 2011 | 
|Electricity sales in the SIC  |  |                         | 47,831 |  |      |  | 46,282 |      |  |  | 43,805 | 
|Electricity sales in the SING |  |                         | 15,399 |  |      |  | 14,831 |      |  |  | 14,263 | 
|                              |  |                         |        |  |      |  |        |      |  |  |        | 
|Total electricity sales       |  |                         | 63,230 |  |      |  | 61,113 |      |  |  | 58,068 | 
|                              |  |                         |        |  |      |  |        |      |  |  |        | 





|(1) | Figures may differ from those previously reported as a result of their update in the CDEC-SIC and CDEC-SING yearly reports.
|--- | ---------------------------------------------------------------------------------------------------------------------------

Our electricity sales in Chile reached 20,406 GWh in 2013 and 20,878 GWh in 2012, which represented a 32.3%
and 34.2% market share, respectively. The percentage of the energy purchases to satisfy our contractual obligations to third parties has decreased from 7.8% in 2012 to 4.7% in 2013 as a result of the increase in our
generation.

The following table sets forth our electricity generation and purchases in Chile:

ELECTRICITY GENERATION AND PURCHASES IN CHILE (GWh) (1)



|                           |  |                         |        |  |             |  |       |          |  |  |             |  |  |       |       |  |             |  |        |  |  |  |       | 
|-------------------------- |  | ----------------------- | ------ |  | ----------- |  | ----- | -------- |  |  | ----------- |  |  | ----- | ----- |  | ----------- |  | ------ |  |  |  | ----- | 
|                           |  | Year ended December 31, |       
|                           |  | 2013                    |        |  | 2012 (2)    |  |       | 2011 (2) | 
|                           |  | (GWh)                   |        |  | % of Volume |  |       | (GWh)    |  |  | % of Volume |  |  | (GWh) |       |  | % of Volume | 
|Electricity generation (2) |  |                         | 19,438 |  |             |  | 95.3  |          |  |  | 19,194      |  |  |       | 91.9  |  |             |  | 19,296 |  |  |  | 95.0  | 
|Electricity purchases      |  |                         | 968    |  |             |  | 4.7   |          |  |  | 1,684       |  |  |       | 8.1   |  |             |  | 1,019  |  |  |  | 5.0   | 
|                           |  |                         |        |  |             |  |       |          |  |  |             |  |  |       |       |  |             |  |        |  |  |  |       | 
|Total                      |  |                         | 20,406 |  |             |  | 100.0 |          |  |  | 20,878      |  |  |       | 100.0 |  |             |  | 20,315 |  |  |  | 100.0 | 
|                           |  |                         |        |  |             |  |       |          |  |  |             |  |  |       |       |  |             |  |        |  |  |  |       | 





|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(2) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------



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We supply electricity to the major regulated electricity distribution companies, large
unregulated industrial firms (primarily in the mining, pulp and steel sectors) and the pool market. Commercial relationships with our customers are usually governed by contracts. Supply contracts with distribution companies must be auctioned, are
generally standardized and have an average term of ten years.

Supply contracts with unregulated customers (large industrial customers)
are specific to the needs of each customer and the conditions are agreed between both parties, reflecting competitive market conditions.

In 2013, 2012 and 2011, Endesa Chile had 50, 49 and 47 customers, respectively. In 2013, our customers
included 21 distribution companies in the SIC and 29 unregulated customers.

The following table sets forth information
regarding our sales of electricity in Chile by type of customer:

ELECTRICITY SALES PER CUSTOMER SEGMENT IN CHILE (GWh) (1)



|                              |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 
|----------------------------- |  | ----------------------- | ------ |  | ----------------- |  | ----- | ----- |  |  | ----------------- |  |  | ----- | ----- |  | ----------------- |  | ------ |  |  |  | ----- | 
|                              |  | Year ended December 31, |       
|                              |  | 2013                    |        |  | 2012              |  |       | 2011  | 
|                              |  | Sales                   |        |  | % ofSales  Volume |  |       | Sales |  |  | % ofSales  Volume |  |  | Sales |       |  | % ofSales  Volume | 
|Regulated customers           |  |                         | 14,796 |  |                   |  | 72.5  |       |  |  | 13,971            |  |  |       | 66.9  |  |                   |  | 12,700 |  |  |  | 62.5  | 
|Unregulated customers         |  |                         | 4,185  |  |                   |  | 20.5  |       |  |  | 5,996             |  |  |       | 28.7  |  |                   |  | 5,798  |  |  |  | 28.5  | 
|                              |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 
|Total contract sales          |  |                         | 18,981 |  |                   |  | 93.0  |       |  |  | 19,967            |  |  |       | 95.6  |  |                   |  | 18,498 |  |  |  | 91.1  | 
|Electricity pool market sales |  |                         | 1,425  |  |                   |  | 7.0   |       |  |  | 911               |  |  |       | 4.4   |  |                   |  | 1,817  |  |  |  | 8.9   | 
|                              |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 
|Total electricity sales       |  |                         | 20,406 |  |                   |  | 100.0 |       |  |  | 20,878            |  |  |       | 100.0 |  |                   |  | 20,315 |  |  |  | 100.0 | 
|                              |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 





|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

Our most significant supply
contracts with regulated customers are with Chilectra S.A. (Chilectra, a subsidiary of Enersis) and with Compañía General de Electricidad S.A. (CGE), which is not related to us. These are the two largest distribution
companies in Chile in terms of sales.

The following table sets forth Endesa Chiles public contracts with electricity distribution
companies in the SIC for their regulated customers:



|                   |  |                         |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |       |  |      |  |       |  |  |  |       |  |  |  |       |  |  |  |       | 
|------------------ |  | ----------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ |  |  | ---- | ------ |  | ---- |  | ------ | ---- |  |  | ------ |  |  | ---- | ------ |  | ---- |  | ------ | ---- |  |  | ------ |  |  | ---- | ----- |  | ---- |  | ----- |  |  |  | ----- |  |  |  | ----- |  |  |  | ----- | 
|                   |  | Year ended December 31, |       
|Company            |  | 2014                    |        |  | 2015 |  |        | 2016 |  |  | 2017   |  |  | 2018 |        |  | 2019 |  |        | 2020 |  |  | 2021   |  |  | 2022 |        |  | 2023 |  |        | 2024 |  |  | 2025   |  |  | 2026 |       |  | 2027 | 
|                   |  | (in GWh)                |       
|Chilectra          |  |                         | 7,160  |  |      |  | 7,393  |      |  |  | 7,375  |  |  |      | 7,528  |  |      |  | 7,621  |      |  |  | 7,624  |  |  |      | 7,624  |  |      |  | 6,574  |      |  |  | 4,874  |  |  |      | 3,524 |  |      |  | 3,524 |  |  |  | 2,850 |  |  |  | 1,350 |  |  |  | 1,350 | 
|CGE                |  |                         | 4,964  |  |      |  | 5,953  |      |  |  | 6,258  |  |  |      | 6,119  |  |      |  | 6,034  |      |  |  | 6,078  |  |  |      | 5,201  |  |      |  | 5,201  |      |  |  | 3,801  |  |  |      | 3,801 |  |      |  | 3,801 |  |  |  |      |  |  |  |      |  |  |  |      | 
|Chilquinta         |  |                         | 1,331  |  |      |  | 1,637  |      |  |  | 1,639  |  |  |      | 1,701  |  |      |  | 1,742  |      |  |  | 1,755  |  |  |      | 1,755  |  |      |  | 1,755  |      |  |  | 1,755  |  |  |      | 1,755 |  |      |  | 1,095 |  |  |  | 350   |  |  |  | 350   |  |  |  |      | 
|Saesa              |  |                         | 2,540  |  |      |  | 2,524  |      |  |  | 2,266  |  |  |      | 2,190  |  |      |  | 2,140  |      |  |  | 2,081  |  |  |      | 581    |  |      |  | 581    |      |  |  | 581    |  |  |      | 581   |  |      |  | 581   |  |  |  |      |  |  |  |      |  |  |  |      | 
|                   |  |                         |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |       |  |      |  |       |  |  |  |       |  |  |  |       |  |  |  |       | 
|Total Endesa Chile |  |                         | 15,996 |  |      |  | 17,507 |      |  |  | 17,538 |  |  |      | 17,538 |  |      |  | 17,538 |      |  |  | 17,538 |  |  |      | 15,161 |  |      |  | 14,111 |      |  |  | 11,011 |  |  |      | 9,661 |  |      |  | 9,001 |  |  |  | 3,200 |  |  |  | 1,700 |  |  |  | 1,350 | 
|                   |  |                         |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |        |  |      |  |        |      |  |  |        |  |  |      |       |  |      |  |       |  |  |  |       |  |  |  |       |  |  |  |       | 

For 2013, 2012 and 2011, Endesa Chile and its Chilean subsidiaries held 46%, 46% and 45%
respectively of the total publicly tendered supply regulated contracts with the distribution companies in the SIC for their regulated customers. The rest of the contracts are distributed among eight companies.

Our generation contracts with unregulated customers are generally on a long-term basis and typically range from five to fifteen years. Such
contracts are usually automatically extended at the end of the applicable term, unless terminated by either party upon prior notice. Some of them include a price adjustment mechanism in the case of high marginal costs, which also reduces the
hydrological risk.

Contracts with unregulated customers may also include specifications regarding power sources and equipment, which may
be provided at special rates, as well as provisions for technical assistance to the customer. We have not experienced any supply interruptions under our contracts. If we experience a force majeure event, as contractually defined, we are
allowed to reject purchases and we are not required to supply electricity to our unregulated customers. Disputes are typically subject to binding arbitration between the parties, subject to limited exceptions.



35



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##### Table of Contents

The following table sets forth our sales by volume to our five largest distribution and
unregulated customers in Chile for each of the periods indicated:

MAIN CUSTOMERS IN CHILE (GWh) (1)



|                                                  |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|------------------------------------------------- |  | ----------------------- | ------ |  | ------------------ |  | ---- | -------- |  |  | ------------------ |  |  | ----- | ---- |  | ------------------ |  | ------ |  |  |  | ---- | 
|                                                  |  | Year ended December 31, |       
|                                                  |  | 2013                    |        |  | 2012 (6)           |  |      | 2011 (6) | 
|                                                  |  | Sales                   |        |  | % of Sales  Volume |  |      | Sales    |  |  | % of Sales  Volume |  |  | Sales |      |  | % of Sales  Volume | 
|Distribution companies:                           |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|Chilectra                                         |  |                         | 5,296  |  |                    |  | 27.9 |          |  |  | 5,008              |  |  |       | 24.0 |  |                    |  | 4,679  |  |  |  | 22.4 | 
|CGE                                               |  |                         | 4,208  |  |                    |  | 22.2 |          |  |  | 4,152              |  |  |       | 19.9 |  |                    |  | 3,887  |  |  |  | 18.6 | 
|Chilquinta                                        |  |                         | 1,588  |  |                    |  | 8.4  |          |  |  | 1,407              |  |  |       | 6.7  |  |                    |  | 1,332  |  |  |  | 6.4  | 
|Saesa group (2)                                   |  |                         | 2,076  |  |                    |  | 10.9 |          |  |  | 1,312              |  |  |       | 6.3  |  |                    |  | 1,066  |  |  |  | 5.1  | 
|Emel group (3)                                    |  |                         | 1,056  |  |                    |  | 5.6  |          |  |  | 968                |  |  |       | 4.6  |  |                    |  | 1,018  |  |  |  | 4.9  | 
|                                                  |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|Total sales to the largest distribution companies |  |                         | 14,224 |  |                    |  | 74.9 |          |  |  | 12,848             |  |  |       | 61.5 |  |                    |  | 11,981 |  |  |  | 57.4 | 
|                                                  |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|                                                  |  |                         |        |  |                    | 
|Unregulated customers:                            |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|Cía. Minera Collahuasi                            |  |                         | 927    |  |                    |  | 4.9  |          |  |  | 894                |  |  |       | 4.3  |  |                    |  | 903    |  |  |  | 4.3  | 
|Grupo CAP-CMP (4)                                 |  |                         | 960    |  |                    |  | 5.1  |          |  |  | 1,027              |  |  |       | 4.9  |  |                    |  | 1,076  |  |  |  | 5.2  | 
|Cía. Minera Carmen de Andacollo                   |  |                         | 479    |  |                    |  | 2.5  |          |  |  | 443                |  |  |       | 2.1  |  |                    |  | 423    |  |  |  | 2.1  | 
|CMPC (5)                                          |  |                         | 271    |  |                    |  | 1.4  |          |  |  | 584                |  |  |       | 2.8  |  |                    |  | 683    |  |  |  | 3.3  | 
|Codelco (6)                                       |  |                         | 129    |  |                    |  | 0.7  |          |  |  | 538                |  |  |       | 2.6  |  |                    |  | 557    |  |  |  | 2.7  | 
|Cía. Minera Los Pelambres (7)                     |  |                         |       |  |                    |  |     |          |  |  | 1,165              |  |  |       | 5.6  |  |                    |  | 1,155  |  |  |  | 5.5  | 
|                                                  |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 
|Total sales to the largest unregulated customers  |  |                         | 2,766  |  |                    |  | 14.6 |          |  |  | 4,650              |  |  |       | 22.3 |  |                    |  | 4,797  |  |  |  | 23.1 | 
|                                                  |  |                         |        |  |                    |  |      |          |  |  |                    |  |  |       |      |  |                    |  |        |  |  |  |      | 



|(1) | Excludes GasAtacama, which was included in previous reports.
|--- | ------------------------------------------------------------

|(2) | The values of the Saesa Group include the consumption of the distributors Saesa and Empresa Eléctrica de la Frontera S.A.
|--- | -------------------------------------------------------------------------------------------------------------------------

|(3) | The data for the Emel Group includes the consumption of Empresa Eléctrica de Melipilla, Colchagua y Maule (Emelectric), Empresa Eléctrica de Talca (Emetal) and Empresa
Eléctrica de Atacama (Emelat), customers of Endesa Chile. The Emel Group is a subsidiary of the CGE Group.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(4) | Consumption of Grupo CAP and Compañía Minera del Pacífico S.A. (CMP) includes the contracts with CAP Huachipato, CMP Algarrobo, CMP Hierro Atacama, CMP Los Colorados, CMP Pellets
and CMP Romeral.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(5) | CMPC reduced its consumption from the Laja plant.
|--- | -------------------------------------------------

|(6) | The contract with Codelco ended in March 2013.
|--- | ----------------------------------------------

|(7) | The contract with Compañía Minera Los Pelambres ended in December 2012.
|--- | -----------------------------------------------------------------------

We
compete in the SIC primarily with two generation companies, Gener and Colbún S.A. (Colbún). According to the CDEC-SIC in 2013, in the SIC, Gener and its subsidiaries had an installed capacity of 2,579 MW, of
which 89.5% was thermoelectric, and Colbún had an installed capacity of 2,957 MW, of which 57.4% was thermoelectric. In addition to these two large competitors, there are a number of smaller entities with an aggregate installed
capacity of 2,973 MW that generate electricity in the SIC.

Our primary competitors in the SING are E-CL (GDF Suez group) and Gener,
which have 2,147 MW and 1,465 MW of installed capacity, respectively. Our direct participation in the SING includes our 182 MW Tarapacá thermal plant, owned by our subsidiary Celta.



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Electricity generation companies compete largely on the basis of price, technical experience and
reliability. In addition, because 64.3% of our installed capacity in the SIC comes from hydroelectric power plants, we have lower marginal production costs than companies generating electricity through thermal plants. Our thermal installed
capacity benefits from access to gas from the Quintero LNG terminal. During periods of extended droughts, however, we may be forced to buy more expensive electricity from thermoelectric generators at spot prices in order to satisfy our contractual
obligations.

Directly and through our subsidiaries, we are the principal generation operator in the SIC, with 38.3% of the total
installed capacity and 40.5% of the electricity energy sales of this system in 2013.

In the SING, our subsidiary Celta
accounted for 4.0% of the total installed capacity in 2013 and 6.6% of the electricity energy sales of this system in 2013.

Operations in Argentina

We participate in electricity generation in Argentina through our subsidiaries Endesa Costanera and El Chocón, with a total of twenty
power units. El Chocón owns nine hydroelectric units, with total installed capacity of 1,328 MW and Endesa Costanera owns eleven thermal units, with a total installed capacity of 2,324 MW. Our hydro and thermal generation units in
Argentina represented 11.6% of the Argentine National Interconnection System (Sistema Interconectado Nacional, the Argentine NIS) installed capacity in 2013.

Our Argentine subsidiaries have holdings in three additional companies, Termoelélectrica Manuel Belgrano S.A., Termoelélectrica
San Martín S.A. and Central Vuelta de Obligado S.A. These companies were formed to undertake the construction of three new generation facilities for FONINVEMEM. The first two plants started operations using gas turbines in 2008,
with 1,125 MW of aggregate capacity, and combined cycles as of March 2010, with an additional 572 MW. The total aggregate capacity of these units is 1,697 MW (848 MW for Manuel Belgrano and 849 MW for San Martín). We
expect that the third plant will start open cycle operations in mid-2015 (with an installed capacity of 550 MW) and in combined cycle in the beginning of 2016 (with a total installed capacity of 800 MW).

Since 2002, government intervention and energy industry authority actions, including limiting the spot price of electricity by
considering the variable cost of generating electricity with natural gas and without considering the hydrological conditions of rivers and reservoirs or the use of more expensive fuels, have led to the lack of investment in the electric power
sector. (See Item 4. Operation of the Company  B. Business Overview  Electricity Industry Regulatory Framework for further detail). In addition, since 2002, the Argentine government has taken an active role in
controlling the supply of fuel to the electricity generation sector. In March 2013, the government intervened in the fuel markets through Resolution 95/2013. CAMMESA (the electric market operator) is now responsible of the supply and commercial
management of fuels for electric generation purposes.

As of December 31, 2013, Endesa Costaneras installed capacity accounted
for 7.4% of the total installed capacity in the Argentine NIS. Endesa Costaneras second combined-cycle plant can operate with either natural gas or diesel. Our 1,138 MW steam turbine power plant also can operate with either natural
gas or fuel oil.

El Chocón accounted for 4.2% of the installed capacity in the Argentine NIS as of December 31, 2013. El
Chocón has a 30-year concession, ending in 2023, for two hydroelectric generation facilities with an aggregate of 1,328 MW of installed capacity. The larger of the two facilities for which El Chocón has a concession
of 1,200 MW of installed capacity is the primary flood control installation on the Limay River. The facilitys large reservoir, Ezequiel Ramos Mejía, enables El Chocón to be one of the Argentine NIS major peak suppliers.
Variations in El Chocóns water discharge are moderated by El Chocóns Arroyito facility, a downstream dam with 128 MW of installed capacity. In November 2008, we finished construction work on the Arroyito dam, and
increased the elevation of the reservoir water level, that allows releasing water at an additional 1,150 m3/sec, for a total of 3,750
m3/sec. The additional energy, 69 GWh per year, was sold on the spot market until April 2009 and under the Energy Plus program thereafter. The Energy Plus program is the offer of
new electricity capacity to supply the electricity demand growth, on top of the demand level for electricity in 2005. (For details on Energy Plus, see Item 4. Information on the Company  B. Business Overview  Electricity
Industry Regulatory Framework  Argentina).



37



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For information on the installed generation capacity for each of the Companys Argentine
subsidiaries, see Item 4. Information on the Company  D. Property, Plant and Equipment.

Our total generation in
Argentina reached 10,840 GWh in 2013. Our generation market share was approximately 8.4% of total electricity production in Argentina during 2013, according to CAMMESA.

Hydroelectric generation in Argentina accounted for nearly 21.4% of our total generation in 2013. This was due to the restrictions
of the operation of our El Chocón facility that were imposed by CAMMESA and the dry conditions for the Limay River and for the Collón Curá River, which are the main tributaries of El Chocón. Due to the drought
in 2013, the region received around 83% of its historic average rainfall.

Generation by type and subsidiary is shown in the
following table:

ELECTRICITY GENERATION IN ARGENTINA (GWh) (1)



|                                     |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|------------------------------------ |  | ----------------------- | ------ |  | ---- |  | ----- | ---------- |  |  | ------ |  |  | ---------- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                                     |  | Year ended December 31, |       
|                                     |  | 2013                    |        |  | 2012 |  |       | 2011       | 
|                                     |  | Generation              |        |  | %    |  |       | Generation |  |  | %      |  |  | Generation |       |  | % | 
|Hydroelectric generation (El Chocón) |  |                         | 2,317  |  |      |  | 21.4  |            |  |  | 2,801  |  |  |            | 24.8  |  |   |  | 2,404  |  |  |  | 22.4  | 
|Thermal generation (Endesa Costanera |  |                         | 8,523  |  |      |  | 78.6  |            |  |  | 8,406  |  |  |            | 75.2  |  |   |  | 8,308  |  |  |  | 77.6  | 
|                                     |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|Total generation                     |  |                         | 10,840 |  |      |  | 100.0 |            |  |  | 11,207 |  |  |            | 100.0 |  |   |  | 10,713 |  |  |  | 100.0 | 
|                                     |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 



| | (1) | Figures may differ from those previously reported, as the current data are shown net of all losses.
| | --- | ---------------------------------------------------------------------------------------------------

The following table sets forth our electricity generation and purchases in Argentina:

ELECTRICITY GENERATION AND PURCHASES IN ARGENTINA (GWh)



|                           |  |       |        |  |         |  |       |         |  |  |        |  |  |       |       |  |   |  |        |  |  |  |       | 
|-------------------------- |  | ----- | ------ |  | ------- |  | ----- | ------- |  |  | ------ |  |  | ----- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                           |  | 2013  |        |  | 2012(1) |  |       | 2011(1) | 
|                           |  | (GWh) |        |  | %       |  |       | (GWh)   |  |  | %      |  |  | (GWh) |       |  | % | 
|Electricity generation (1) |  |       | 10,840 |  |         |  | 87.7  |         |  |  | 11,207 |  |  |       | 94.6  |  |   |  | 10,713 |  |  |  | 94.1  | 
|Electricity purchases      |  |       | 1,514  |  |         |  | 12.3  |         |  |  | 645    |  |  |       | 5.4   |  |   |  | 668    |  |  |  | 5.9   | 
|                           |  |       |        |  |         |  |       |         |  |  |        |  |  |       |       |  |   |  |        |  |  |  |       | 
|Total                      |  |       | 12,354 |  |         |  | 100.0 |         |  |  | 11,852 |  |  |       | 100.0 |  |   |  | 11,381 |  |  |  | 100.0 | 
|                           |  |       |        |  |         |  |       |         |  |  |        |  |  |       |       |  |   |  |        |  |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

The distribution of electricity sales in Argentina, in terms of customer segment and per subsidiary, is shown in the following tables:

ELECTRICITY SALES PER CUSTOMER SEGMENT IN ARGENTINA (GWh)



|                        |  |                         |        |  |                 |  |       |       |  |  |                 |  |  |       |       |  |                 |  |        |  |  |  |       | 
|----------------------- |  | ----------------------- | ------ |  | --------------- |  | ----- | ----- |  |  | --------------- |  |  | ----- | ----- |  | --------------- |  | ------ |  |  |  | ----- | 
|                        |  | Year ended December 31, |       
|                        |  | 2013                    |        |  | 2012            |  |       | 2011  | 
|                        |  | Sales                   |        |  | % ofSalesVolume |  |       | Sales |  |  | % ofSalesVolume |  |  | Sales |       |  | % ofSalesVolume | 
|Contracted sales        |  |                         | 1,737  |  |                 |  | 14.1  |       |  |  | 2,155           |  |  |       | 18.2  |  |                 |  | 2,145  |  |  |  | 18.8  | 
|Non-contracted sales    |  |                         | 10,617 |  |                 |  | 85.9  |       |  |  | 9,696           |  |  |       | 81.8  |  |                 |  | 9,236  |  |  |  | 81.2  | 
|                        |  |                         |        |  |                 |  |       |       |  |  |                 |  |  |       |       |  |                 |  |        |  |  |  |       | 
|Total electricity sales |  |                         | 12,354 |  |                 |  | 100.0 |       |  |  | 11,852          |  |  |       | 100.0 |  |                 |  | 11,381 |  |  |  | 100.0 | 
|                        |  |                         |        |  |                 |  |       |       |  |  |                 |  |  |       |       |  |                 |  |        |  |  |  |       | 



38



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ELECTRICITY SALES PER SUBSIDIARY IN ARGENTINA (GWh)



|                 |  |                         |        |  |      |  |        |      |  |  |        | 
|---------------- |  | ----------------------- | ------ |  | ---- |  | ------ | ---- |  |  | ------ | 
|                 |  | Year ended December 31, |       
|                 |  | 2013                    |        |  | 2012 |  |        | 2011 | 
|Endesa Costanera |  |                         | 8,962  |  |      |  | 8,655  |      |  |  | 8,493  | 
|El Chocón        |  |                         | 3,392  |  |      |  | 3,197  |      |  |  | 2,888  | 
|                 |  |                         |        |  |      |  |        |      |  |  |        | 
|Total            |  |                         | 12,354 |  |      |  | 11,852 |      |  |  | 11,381 | 
|                 |  |                         |        |  |      |  |        |      |  |  |        | 

In March 2013, the government intervened in the commercial market for energy, except with respect to the
Energy Plus program through the Resolution 95/2013. CAMMESA (the electric market operator) is now responsible for the administration of contracts with end customers, except for contracts under the Energy Plus program.
The resolution defined a transition period in which the electricity generating companies will continue managing the contracts until their expiration date.

At the end of 2013, Endesa Costanera was serving customers under 24 contracts. Endesa Costanera has no contracts with distribution
companies.

The following table sets forth Endesa Costaneras sales to its largest unregulated customers for each of the periods
indicated:

ENDESA COSTANERAS MAIN CUSTOMERS (GWh)



|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |     |  |  |  |      | 
|------------------------------------------------ |  | ----------------------- | --- |  | ----------------------- |  | ---- | ----------------- |  |  | ----------------------- |  |  | ----------------- | ---- |  | ----------------------- |  | --- |  |  |  | ---- | 
|                                                 |  | Year ended December 31, |    
|                                                 |  | 2013                    |     |  | 2012                    |  |      | 2011              | 
|                                                 |  | Contracted  Sales       |     |  | % of  Contracted  Sales |  |      | Contracted  Sales |  |  | % of  Contracted  Sales |  |  | Contracted  Sales |      |  | % of  Contracted  Sales | 
|Cencosud (Cemsa) (1)                             |  |                         | 42  |  |                         |  | 7.2  |                   |  |  | 78                      |  |  |                   | 9.2  |  |                         |  | 73  |  |  |  | 9.9  | 
|Transclor (Cemsa) (1)                            |  |                         | 41  |  |                         |  | 7.0  |                   |  |  | 67                      |  |  |                   | 8.0  |  |                         |  | 61  |  |  |  | 8.3  | 
|Peugeot (Cemsa) (1)                              |  |                         | 24  |  |                         |  | 4.1  |                   |  |  | 42                      |  |  |                   | 5.0  |  |                         |  | 31  |  |  |  | 4.2  | 
|Hipermercado Libertad                            |  |                         | 40  |  |                         |  | 6.9  |                   |  |  | 23                      |  |  |                   | 2.7  |  |                         |  |    |  |  |  |     | 
|Rasic Hnos.                                      |  |                         | 25  |  |                         |  | 4.2  |                   |  |  | 41                      |  |  |                   | 4.8  |  |                         |  | 39  |  |  |  | 5.3  | 
|YPF (Cemsa) (1)                                  |  |                         |    |  |                         |  |     |                   |  |  | 145                     |  |  |                   | 17.1 |  |                         |  | 152 |  |  |  | 20.6 | 
|Solvay                                           |  |                         |    |  |                         |  |     |                   |  |  |                        |  |  |                   |     |  |                         |  | 23  |  |  |  | 3.1  | 
|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |     |  |  |  |      | 
|Total sales to our largest unregulated customers |  |                         | 173 |  |                         |  | 29.3 |                   |  |  | 395                     |  |  |                   | 46.8 |  |                         |  | 379 |  |  |  | 51.4 | 
|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |     |  |  |  |      | 



|(1) | These customers do not have contracts with Endesa Costanera, but are served through Cemsa, which is a related company.
|--- | ----------------------------------------------------------------------------------------------------------------------

Sales to the pool market amounted to 8,373 GWh in 2013.

In January 2013, El Chocón had contracts with 17 unregulated customers. Some of these contracts expired during the year and
were not renewed. As a result, El Chocón had eight unregulated customers at the end of 2013. El Chocón has two contracts under the Energy Plus program; however, it has no contracts with distribution companies.



39



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The following table sets forth sales by volume to El Chocóns largest unregulated
customers for each of the periods indicated:

EL CHOCÓNS MAIN CUSTOMERS (GWh)



|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |       |  |  |  |      | 
|------------------------------------------------ |  | ----------------------- | --- |  | ----------------------- |  | ---- | ----------------- |  |  | ----------------------- |  |  | ----------------- | ---- |  | ----------------------- |  | ----- |  |  |  | ---- | 
|                                                 |  | Year ended December 31, |    
|                                                 |  | 2013                    |     |  | 2012                    |  |      | 2011              | 
|                                                 |  | Contracted  Sales       |     |  | % of  Contracted  Sales |  |      | Contracted  Sales |  |  | % of  Contracted  Sales |  |  | Contracted  Sales |      |  | % of  Contracted  Sales | 
|Minera Alumbrera                                 |  |                         | 496 |  |                         |  | 43.1 |                   |  |  | 499                     |  |  |                   | 38.1 |  |                         |  | 500   |  |  |  | 35.5 | 
|Air Liquide                                      |  |                         | 152 |  |                         |  | 13.2 |                   |  |  | 161                     |  |  |                   | 12.3 |  |                         |  | 161   |  |  |  | 11.4 | 
|Profertil (Cemsa) (1)                            |  |                         | 96  |  |                         |  | 8.3  |                   |  |  | 105                     |  |  |                   | 8.0  |  |                         |  | 113   |  |  |  | 8.0  | 
|Praxair                                          |  |                         | 55  |  |                         |  | 4.8  |                   |  |  | 98                      |  |  |                   | 7.5  |  |                         |  | 91    |  |  |  | 6.4  | 
|Chevron                                          |  |                         | 92  |  |                         |  | 8.0  |                   |  |  | 87                      |  |  |                   | 6.6  |  |                         |  | 83    |  |  |  | 5.9  | 
|Acindar (Cemsa) (1)                              |  |                         | 82  |  |                         |  | 7.1  |                   |  |  | 81                      |  |  |                   | 6.2  |  |                         |  | 80    |  |  |  | 5.7  | 
|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |       |  |  |  |      | 
|Total sales to our largest unregulated customers |  |                         | 972 |  |                         |  | 84.6 |                   |  |  | 1,031                   |  |  |                   | 78.6 |  |                         |  | 1,028 |  |  |  | 72.9 | 
|                                                 |  |                         |     |  |                         |  |      |                   |  |  |                         |  |  |                   |      |  |                         |  |       |  |  |  |      | 



|(1) | Profertil and Acindar do not have contracts with El Chocón, but are served through Cemsa, which is a related company.
|--- | ---------------------------------------------------------------------------------------------------------------------

El Chocón does not have the right to terminate its operating agreement with Endesa Chile, unless Endesa Chile fails to perform its
obligations under the agreement. Under the terms of the operating agreement, Endesa Chile is entitled to a fee payable in U.S. dollars based on El Chocóns annual gross revenues, payable in monthly installments.

Electricity demand throughout the Argentine NIS increased 3.2% during 2013, according to CAMMESA. Total electricity demand
was 125,167 GWh in 2013, 121,237 GWh in 2012 and 116,446 GWh in 2011. Our Argentine subsidiaries compete with all the major power plants connected to the Argentine NIS. According to the installed capacity reported by
CAMMESA, in the monthly report for December 2013, our major competitors in Argentina are the state controlled company Enarsa (with an installed capacity of 2,155 MW), a nuclear unit NASA (with an installed capacity
of 1,010 MW) and the hydroelectric units Yacyretá and Salto Grande (with an aggregate installed capacity of 3,690 MW). The main private competitors are: AES Group, Sociedad Argentina de Energía S.A. (Sadesa), and
Pampa Energía. The AES Group has eight power plants connected to the Argentine NIS with a total installed capacity of 3,224 MW (37% of which is hydroelectric). Sadesa owns a total of approximately 3,858 MW of installed capacity, the
most significant of which are Piedra del Águila (with an installed capacity of 1,400 MW) and Central Puerto (a thermal facility with 1,777 MW of installed capacity). Pampa Energía, with a total installed capacity
of 2,184 MW, competes against us with six power plants, of which 630 MW is hydroelectric and 1,554 MW is thermal.

Operations in Colombia

Our generation operations in Colombia are carried out through Emgesa. We hold a 26.9% stake in Emgesa as of December 31, 2013, which
we control and consolidate pursuant to a shareholders agreement with Enersis. Enersis owns an additional 21.6% of Emgesa. As of December 31, 2013, our Colombian subsidiary operated 29 generation units in Colombia, with a total
installed capacity of 2,925 MW. Emgesa has 2,482 MW in hydroelectric plants and 444 MW in thermoelectric plants. Our hydroelectric and thermal generation plants in Colombia represent 20.0% of the countrys total electricity
generation capacity as of December 2013, according to XM.

For information on the installed generation capacity for each of the
Companys Colombian subsidiaries, see Item 4. Information on the Company  D. Property, Plant and Equipment.

Approximately 85% of our installed capacity in Colombia is hydroelectric. As a result, our electricity generation depends on the
reservoir levels and rainfalls. Our generation market share in Colombia was 20.5% in 2013, 22.2% in 2012 and 20.6% in 2011, according to XM. In addition to hydrological conditions, the amount of



40



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##### Table of Contents

generation depends on our commercial strategy. Companies are free to offer their electricity at prices driven by market conditions and are dispatched by a centralized operating entity to generate
according to the prices offered, as opposed to being dispatched according to the operating costs, as in other countries in which we operate.

During 2013, thermal generation represented 7.6% of total generation and hydroelectric generation represented the
remaining 92.4% of our generation in Colombia. During 2013, hydrological conditions were below the historical average in Colombia, with rainfall around 91% of the historical average. For Emgesa, the flows in the Guavio River Basin
were 84% of average and the flows in the Magdalena River (Betania) were 89% of average while the flows in the and Bogotá River (Cadena Nueva) were a more favorable 132% of average according to XM. The poor hydrological
condition affected Emgesas generation which was lower by 6.8% compared to 2012.

Generation by type in Colombia is shown in the
following table:

ELECTRICITY GENERATION IN COLOMBIA (GWh) (1)



|                         |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|------------------------ |  | ----------------------- | ------ |  | ---- |  | ----- | ---------- |  |  | ------ |  |  | ---------- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                         |  | Year ended December 31, |       
|                         |  | 2013                    |        |  | 2012 |  |       | 2011       | 
|                         |  | Generation              |        |  | %    |  |       | Generation |  |  | %      |  |  | Generation |       |  | % | 
|Hydroelectric generation |  |                         | 11,784 |  |      |  | 92.4  |            |  |  | 12,649 |  |  |            | 95.5  |  |   |  | 11,613 |  |  |  | 96.4  | 
|Thermal generation       |  |                         | 964    |  |      |  | 7.6   |            |  |  | 602    |  |  |            | 4.5   |  |   |  | 438    |  |  |  | 3.6   | 
|                         |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 
|Total generation         |  |                         | 12,748 |  |      |  | 100.0 |            |  |  | 13,251 |  |  |            | 100.0 |  |   |  | 12,051 |  |  |  | 100.0 | 
|                         |  |                         |        |  |      |  |       |            |  |  |        |  |  |            |       |  |   |  |        |  |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

During 2013, Emgesa used 465 kilotons of coal for its coal-fired plants, which were obtained from over 20 local suppliers. The
local coal price has remained below the export price as high transport costs make it difficult for domestic coal to compete in the export market. This trend is expected to continue in the Colombian coal market.

During 2013, Emgesa also entered into a fuel oil supply agreement with Esapetrol, which complemented the existing oil supply contracts
with Petromil and Biomax. We believe this will ensure Emgesa has access to a reliable supply of fuel oil for the Cartagena power plant.

The following table sets forth our electricity generation and purchases in Colombia:

ELECTRICITY GENERATION AND PURCHASES IN COLOMBIA (GWh)



|                           |  |                         |        |  |          |  |       |          |  |  |        |  |  |     |       |  |   |  |        |  |  |  |       | 
|-------------------------- |  | ----------------------- | ------ |  | -------- |  | ----- | -------- |  |  | ------ |  |  | --- | ----- |  | - |  | ------ |  |  |  | ----- | 
|                           |  | Year ended December 31, |       
|                           |  | 2013                    |        |  | 2012 (1) |  |       | 2011 (1) | 
|                           |  | GWh                     |        |  | %        |  |       | GWh      |  |  | %      |  |  | GWh |       |  | % | 
|Electricity generation (1) |  |                         | 12,748 |  |          |  | 78.6  |          |  |  | 13,251 |  |  |     | 80.8  |  |   |  | 12,051 |  |  |  | 79.2  | 
|Electricity purchases      |  |                         | 3,461  |  |          |  | 21.4  |          |  |  | 3,153  |  |  |     | 19.2  |  |   |  | 3,163  |  |  |  | 20.8  | 
|                           |  |                         |        |  |          |  |       |          |  |  |        |  |  |     |       |  |   |  |        |  |  |  |       | 
|Total (2)                  |  |                         | 16,209 |  |          |  | 100.0 |          |  |  | 16,404 |  |  |     | 100.0 |  |   |  | 15,215 |  |  |  | 100.0 | 
|                           |  |                         |        |  |          |  |       |          |  |  |        |  |  |     |       |  |   |  |        |  |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

|(2) | Electricity generation plus electricity purchases differ from electricity sales because of the pumps for the Muña reservoir.
|--- | ----------------------------------------------------------------------------------------------------------------------------

The only interconnected electricity system in Colombia is the National Interconnected System (Sistema Interconectado Nacional, the
Colombian NIS). Electricity demand in the Colombian NIS increased 2.6% during 2013. Total electricity consumption was: 60,890 GWh in 2013, 59,370 in 2012 and 57,150 GWh in 2011.

The generation in Colombias electricity market has been affected by an agreement with Ecuador to provide an interconnection between the
electricity systems of Colombia and Ecuador. During 2013, Colombian electricity generator sold 662 GWh of electricity to Ecuadorian customers.



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In addition, Colombia has interconnection links with Venezuela that operate under exceptional
circumstances as needed by either of the two countries. In early April 2011, Colombia and Venezuela signed an agreement to supply energy to Venezuela as part of the normalization of commercial relations. The agreement also includes the import
of gasoline and diesel from Venezuela. The total energy exported was 715 GWh in 2013.

The distribution of our electricity sales
in Colombia by customer segment is shown in the following table:

ELECTRICITY SALES PER CUSTOMER SEGMENT IN COLOMBIA (GWh)



|                        |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 
|----------------------- |  | ----------------------- | ------ |  | ----------------- |  | ----- | ----- |  |  | ----------------- |  |  | ----- | ----- |  | ----------------- |  | ------ |  |  |  | ----- | 
|                        |  | Year ended December 31, |       
|                        |  | 2013                    |        |  | 2012              |  |       | 2011  | 
|                        |  | Sales                   |        |  | % of Sales Volume |  |       | Sales |  |  | % of Sales Volume |  |  | Sales |       |  | % of Sales Volume | 
|Contracted sales        |  |                         | 11,567 |  |                   |  | 71.9  |       |  |  | 11,719            |  |  |       | 71.9  |  |                   |  | 10,544 |  |  |  | 69.8  | 
|Non-contracted sales    |  |                         | 4,523  |  |                   |  | 28.1  |       |  |  | 4,585             |  |  |       | 28.1  |  |                   |  | 4,568  |  |  |  | 30.2  | 
|                        |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 
|Total electricity sales |  |                         | 16,090 |  |                   |  | 100.0 |       |  |  | 16,304            |  |  |       | 100.0 |  |                   |  | 15,112 |  |  |  | 100.0 | 
|                        |  |                         |        |  |                   |  |       |       |  |  |                   |  |  |       |       |  |                   |  |        |  |  |  |       | 

During 2013, Emgesa served customers under an average of 798 contracts, serving 440 unregulated
customers and 13 were for distribution and trading companies. Emgesas sales to our distribution company, Codensa, accounted for 36.7% of our total contracted sales in 2013. Electricity sales to the five largest unregulated
customers represented 5.9% of total contracted sales.

The following table sets forth our sales by volume to our largest distribution
customers in Colombia for the last three years:

MAIN DISTRIBUTION AND TRADING CUSTOMERS IN COLOMBIA (GWh)



|                                                   |  |                         |       |  |                         |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|-------------------------------------------------- |  | ----------------------- | ----- |  | ----------------------- |  | ---- | ----------------- |  |  | --------------------- |  |  | ----------------- | ---- |  | --------------------- |  | ----- |  |  |  | ---- | 
|                                                   |  | Year ended December 31, |      
|                                                   |  | 2013                    |       |  | 2012                    |  |      | 2011              | 
|                                                   |  | Contracted  Sales       |       |  | % of  Contracted  Sales |  |      | Contracted  Sales |  |  | % of Contracted Sales |  |  | Contracted  Sales |      |  | % of Contracted Sales | 
|Codensa (Enersis)                                  |  |                         | 4,236 |  |                         |  | 36.7 |                   |  |  | 5,016                 |  |  |                   | 42.8 |  |                       |  | 5,035 |  |  |  | 47.8 | 
|Electrificadora del Caribe (Electrocaribe)         |  |                         | 2,262 |  |                         |  | 19.6 |                   |  |  | 371                   |  |  |                   | 3.2  |  |                       |  | 360   |  |  |  | 3.4  | 
|Cía. Energética del Tolima (Enertolima)            |  |                         | 498   |  |                         |  | 4.3  |                   |  |  |                      |  |  |                   |     |  |                       |  |      |  |  |  |     | 
|Electrificadora de Boyacá (EBSA)                   |  |                         | 320   |  |                         |  | 2.8  |                   |  |  |                      |  |  |                   |     |  |                       |  |      |  |  |  |     | 
|Empresas Públicas de Medellín (EPM)                |  |                         | 249   |  |                         |  | 2.1  |                   |  |  | 806                   |  |  |                   | 6.9  |  |                       |  | 760   |  |  |  | 7.2  | 
|Empresa de Energía de Cundinamarca (EEC) (Enersis) |  |                         | 241   |  |                         |  | 2.1  |                   |  |  | 235                   |  |  |                   | 2.0  |  |                       |  | 266   |  |  |  | 2.5  | 
|Centrales Eléctricas del Norte de Santander (CENS) |  |                         | 125   |  |                         |  | 1.1  |                   |  |  | 573                   |  |  |                   | 4.9  |  |                       |  | 152   |  |  |  | 1.4  | 
|Electrificadora de Santander                       |  |                         | 39    |  |                         |  | 0.3  |                   |  |  | 373                   |  |  |                   | 3.2  |  |                       |  | 47    |  |  |  | 0.4  | 
|Electrificadora del Huila                          |  |                         | 80    |  |                         |  | 0.7  |                   |  |  |                      |  |  |                   |     |  |                       |  | 416   |  |  |  | 3.9  | 
|Electrificadora del Meta (Meta)                    |  |                         |      |  |                         |  |     |                   |  |  |                      |  |  |                   |     |  |                       |  | 82    |  |  |  | 0.8  | 
|                                                   |  |                         |       |  |                         |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Total sales to our largest distribution customers  |  |                         | 8,050 |  |                         |  | 69.7 |                   |  |  | 7,375                 |  |  |                   | 62.9 |  |                       |  | 7,118 |  |  |  | 67.4 | 
|                                                   |  |                         |       |  |                         |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 

Our most important competitors in Colombia include the following state-owned companies: Empresas
Públicas de Medellín (with an installed capacity of 3,251 MW) and Isagen (with an installed capacity of 2,182 MW). We also compete with the following private sector companies in Colombia: Chivor (with an installed capacity
of 1,000 MW), which is owned by Gener; Colinversiones (with an installed capacity of 1,982 MW), which includes Termoflores and Epsa; and Gecelca (with an installed capacity of 1,207 MW).



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Operations in Peru

Through our subsidiary Edegel, we operate a total of 24 generation units in Peru, with a total installed capacity of 1,540 MW. As of
December 2013. Edegel owns 18 hydroelectric units, with a total installed capacity of 750 MW. The company has six thermal units, which represent the remaining 790 MW of total installed capacity. During October 2013, the
TG 7 unit of Santa Rosa in Peru was decommissioned. Our hydroelectric and thermal generation plants in Peru represent 19.7% of the countrys total electricity generation capacity according to the information reported in
December 2013 by Osinergmin.

For information on the installed generation capacity for each of the Companys power plants in
Peru, see Item 4. Information on the Company  D. Property, Plant and Equipment.

Generation by type in Peru is
shown in the following table:

ELECTRICITY GENERATION IN PERU (GWh) (1)



|                         |  |                         |       |  |      |  |       |            |  |  |       |  |  |            |       |  |   |  |       |  |  |  |       | 
|------------------------ |  | ----------------------- | ----- |  | ---- |  | ----- | ---------- |  |  | ----- |  |  | ---------- | ----- |  | - |  | ----- |  |  |  | ----- | 
|                         |  | Year ended December 31, |      
|                         |  | 2013                    |       |  | 2012 |  |       | 2011       | 
|                         |  | Generation              |       |  | %    |  |       | Generation |  |  | %     |  |  | Generation |       |  | % | 
|Hydroelectric generation |  |                         | 4,474 |  |      |  | 53.3  |            |  |  | 4,428 |  |  |            | 51.7  |  |   |  | 4,528 |  |  |  | 50.4  | 
|Thermal generation       |  |                         | 3,917 |  |      |  | 46.7  |            |  |  | 4,141 |  |  |            | 48.3  |  |   |  | 4,452 |  |  |  | 49.6  | 
|                         |  |                         |       |  |      |  |       |            |  |  |       |  |  |            |       |  |   |  |       |  |  |  |       | 
|Total generation         |  |                         | 8,391 |  |      |  | 100.0 |            |  |  | 8,570 |  |  |            | 100.0 |  |   |  | 8,980 |  |  |  | 100.0 | 
|                         |  |                         |       |  |      |  |       |            |  |  |       |  |  |            |       |  |   |  |       |  |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

In 2013, we generated 21.9% of total electricity production in Peru according to COES.

Hydroelectric generation represented 53.3% of Edegels total production in 2013. For Edegel, all hydrological contributions
were above their historical average in 2012: in the Rimac River Basin (Huinco, Matucana, Callahuanca, Moyopampa, Huampaní) hydrological contributions were 114%; in the Tulumayo River (Yanango) hydrological contributions
were 112%; and in the Tarma River (Chimay) hydrological contributions were 118% according to COES, the operator of the Peruvian system.

The portion of electricity supplied by Edegels own generation was 94.2% of total electricity sales, requiring 5.8% of
purchases to satisfy contractual obligations to customers.

Edegel has long-term gas supply, transportation and distribution contracts for
its Ventanilla and Santa Rosa facilities. It has also signed firm transport capacity transfer agreements with other generators, which allows them to trade firm transport capacity to operate as indicated for the COES (the electric market operator)
and optimize the use of the natural gas transport system.



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The following table sets forth our electricity generation and purchases in Peru:

ELECTRICITY GENERATION AND PURCHASES IN PERU (GWh) (1)



|                       |  |                         |       |  |      |  |       |      |  |  |       |  |  |     |       |  |   |  |       |  |  |  |       | 
|---------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | ---- |  |  | ----- |  |  | --- | ----- |  | - |  | ----- |  |  |  | ----- | 
|                       |  | Year ended December 31, |      
|                       |  | 2013                    |       |  | 2012 |  |       | 2011 | 
|                       |  | GWh                     |       |  | %    |  |       | GWh  |  |  | %     |  |  | GWh |       |  | % | 
|Electricity generation |  |                         | 8,391 |  |      |  | 94.2  |      |  |  | 8,570 |  |  |     | 89.4  |  |   |  | 8,980 |  |  |  | 95.0  | 
|Electricity purchases  |  |                         | 512   |  |      |  | 5.8   |      |  |  | 1,018 |  |  |     | 10.6  |  |   |  | 469   |  |  |  | 5.0   | 
|                       |  |                         |       |  |      |  |       |      |  |  |       |  |  |     |       |  |   |  |       |  |  |  |       | 
|Total (1)              |  |                         | 8,903 |  |      |  | 100.0 |      |  |  | 9,587 |  |  |     | 100.0 |  |   |  | 9,450 |  |  |  | 100.0 | 
|                       |  |                         |       |  |      |  |       |      |  |  |       |  |  |     |       |  |   |  |       |  |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses.
|--- | ------------------------------------------------------------------------------------------------------

The Peruvian National Interconnected Electric System (Sistema Eléctrico Interconectado Nacional, SEIN) is the only
interconnected system in Peru. Electricity sales in the SEIN increased 5.9% during 2013 compared to 2012, reaching total annual sales of 35,632 GWh.

The distribution of Edegels electricity sales, in terms of customer segment, is shown in the following table:

ELECTRICITY SALES PER CUSTOMER SEGMENT IN PERU (GWh)



|                        |  |                         |       |  |                    |  |       |       |  |  |                    |  |  |       |       |  |                    |  |       |  |  |  |       | 
|----------------------- |  | ----------------------- | ----- |  | ------------------ |  | ----- | ----- |  |  | ------------------ |  |  | ----- | ----- |  | ------------------ |  | ----- |  |  |  | ----- | 
|                        |  | Year ended December 31, |      
|                        |  | 2013                    |       |  | 2012               |  |       | 2011  | 
|                        |  | Sales                   |       |  | % of Sales  Volume |  |       | Sales |  |  | % of Sales  Volume |  |  | Sales |       |  | % of Sales  Volume | 
|Contracted sales (1)    |  |                         | 7,892 |  |                    |  | 88.6  |       |  |  | 9,092              |  |  |       | 94.8  |  |                    |  | 8,632 |  |  |  | 91.3  | 
|Non-contracted sales    |  |                         | 1,011 |  |                    |  | 11.4  |       |  |  | 495                |  |  |       | 5.2   |  |                    |  | 818   |  |  |  | 8.7   | 
|                        |  |                         |       |  |                    |  |       |       |  |  |                    |  |  |       |       |  |                    |  |       |  |  |  |       | 
|Total electricity sales |  |                         | 8,903 |  |                    |  | 100.0 |       |  |  | 9,587              |  |  |       | 100.0 |  |                    |  | 9,450 |  |  |  | 100.0 | 
|                        |  |                         |       |  |                    |  |       |       |  |  |                    |  |  |       |       |  |                    |  |       |  |  |  |       | 



|(1) | Includes sales to distributors without contracts.
|--- | -------------------------------------------------

Edegels electricity sales
in 2013 decreased 7.1% compared with 2012 mainly due the expiration of contracts, which is reflected in the lower contracted sales. During 2013, Edegel had nine regulated customers and 14 unregulated customers. Sales to
unregulated customers represented 42.2% of Edegels total contracted sales in 2013.

During 2011, Luz del Sur carried
out a long-term tender process for 2018-2027, with an energy requirement of approximately 2,500 GWh/year. An amount of 2,245 GWh was granted to Cerro del Águila, Celepsa, Egesur, Enersur and Fenix. The remaining unallocated
amount of 255 GWh was declared void.

During 2012, Edelnor carried out a long-term tender process for 2016-2027, with an
energy requirement of approximately 990 GWh/year. The contracts were granted to EEPSA (12.5%), Egejunin (1.8%), Edegel (42.3%), Fenix (24.9%) and Kallpa (18.5%).

In 2013, there were no long-term tenders in Peru.



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The following table sets forth our sales by volume to our largest customers in Peru for each of
the periods indicated:

MAIN CUSTOMERS IN PERU (GWh)



|                                                  |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|------------------------------------------------- |  | ----------------------- | ----- |  | --------------------- |  | ---- | ----------------- |  |  | --------------------- |  |  | ----------------- | ---- |  | --------------------- |  | ----- |  |  |  | ---- | 
|                                                  |  | Year ended December 31, |      
|                                                  |  | 2013                    |       |  | 2012                  |  |      | 2011              | 
|                                                  |  | Contracted  Sales       |       |  | % of Contracted Sales |  |      | Contracted  Sales |  |  | % of Contracted Sales |  |  | Contracted  Sales |      |  | % of Contracted Sales | 
|Distribution companies:                           |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Edelnor (Regulated) (1) (2)                       |  |                         | 2,455 |  |                       |  | 31.1 |                   |  |  | 3,130                 |  |  |                   | 34.4 |  |                       |  | 4,173 |  |  |  | 48.3 | 
|Luz del Sur (Regulated) (1)                       |  |                         | 1,250 |  |                       |  | 15.8 |                   |  |  | 1,917                 |  |  |                   | 21.1 |  |                       |  | 1,539 |  |  |  | 17.8 | 
|ElectroSur (3)                                    |  |                         | 367   |  |                       |  | 4.7  |                   |  |  | 362                   |  |  |                   | 4.0  |  |                       |  |      |  |  |  |     | 
|Seal                                              |  |                         | 237   |  |                       |  | 3.0  |                   |  |  |                      |  |  |                   |     |  |                       |  | 99    |  |  |  | 1.1  | 
|Hidrandina (3)                                    |  |                         | 92    |  |                       |  | 1.2  |                   |  |  | 573                   |  |  |                   | 6.3  |  |                       |  |      |  |  |  |     | 
|                                                  |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Total sales to our largest distribution companies |  |                         | 4,401 |  |                       |  | 55.8 |                   |  |  | 5,981                 |  |  |                   | 65.8 |  |                       |  | 5,811 |  |  |  | 67.2 | 
|                                                  |  |                         |       |  |                       | 
|Unregulated customers:                            |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Refinería Cajamarquilla                           |  |                         | 1,341 |  |                       |  | 17.0 |                   |  |  | 1,332                 |  |  |                   | 14.6 |  |                       |  | 1,320 |  |  |  | 15.3 | 
|Antamina                                          |  |                         | 912   |  |                       |  | 11.6 |                   |  |  | 889                   |  |  |                   | 9.8  |  |                       |  | 708   |  |  |  | 8.2  | 
|SN Power                                          |  |                         | 349   |  |                       |  | 4.4  |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Siderúrgica del Peru                              |  |                         | 322   |  |                       |  | 4.1  |                   |  |  | 309                   |  |  |                   | 3.4  |  |                       |  | 288   |  |  |  | 3.3  | 
|Creditex                                          |  |                         | 83    |  |                       |  | 1.0  |                   |  |  | 72                    |  |  |                   | 0.8  |  |                       |  | 78    |  |  |  | 0.9  | 
|                                                  |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Total sales to our largest unregulated companies  |  |                         | 3,006 |  |                       |  | 38.1 |                   |  |  | 2,601                 |  |  |                   | 28.6 |  |                       |  | 2,394 |  |  |  | 27.7 | 
|                                                  |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 
|Total sales to our largest customers              |  |                         | 7,407 |  |                       |  | 93.9 |                   |  |  | 8,583                 |  |  |                   | 94.4 |  |                       |  | 8,205 |  |  |  | 94.9 | 
|                                                  |  |                         |       |  |                       |  |      |                   |  |  |                       |  |  |                   |      |  |                       |  |       |  |  |  |      | 



|(1) | The figures for Edelnor and Luz del Sur represent sales under bilateral contracts with Edegel only, and not withdrawals of these companies assigned to Edegel for non contract-related consumption. The energy sold to
these distributors includes the amount granted to Edegel in the bids realized since 2006.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Edelnor reduced its consumption in 2013 compared to 2012 due to the reduction in the dispatch of two contracts.
|--- | ---------------------------------------------------------------------------------------------------------------

|(3) | Hidrandina and ElectroSur have been customers since 2012. Edegel entered into bilateral contracts with each customer at the bar price between January 2012 and December 2012 and between January 2012
and December 2013, respectively.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Our most important competitors in Peru are Enersur (GDF-Suez group, with an installed
capacity of 1,264 MW); Electroperú (a state-owned competitor, with an installed capacity of 902 MW); Kallpa (Inkia Energy group, with an installed capacity of 861 MW); and Egenor (Duke Energy group, with an installed capacity
of 622 MW).



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ELECTRICITY INDUSTRY REGULATORY FRAMEWORK

The following chart shows a summary of the main characteristics of the electricity regulatory framework by business segment in the countries
in which we operate.



|   |  |                    |  |  |                                               |  |  |                                                                                                     |                                        |  |  |                                                  |      |                                              |                            |                            |  |                                                              |          |  |  |                 
|-- |  | ------------------ |  |  | --------------------------------------------- |  |  | --------------------------------------------------------------------------------------------------- | -------------------------------------- |  |  | ------------------------------------------------ | ---- | -------------------------------------------- | -------------------------- | -------------------------- |  | ------------------------------------------------------------ | -------- |  |  | ----------------
|   |  |                    |  |  |                                               |  |  |                                                                                                     |                                        |  |  |                                                  |      |                                              |                            |                            |  |                                                              |          |  | 
|   |  | Argentina          |  |  | Brazil                                        |  |  |                                                                                                     | Chile                                  |  |  |                                                  | Peru |                                              |                            |                            |  |                                                              | Colombia
|   |  | Unregulated Market |  |  | RegulatedremunerationschemeResolution 95/2013 |  |  | Spot markets with costs audited by the regulator                                                    |                                        |  |  |                                                  |      | Spot marketwithauctionedcost (Price-offered)
|Gx |  | Regulated          |  |  | Seasonal Price                                |  |  | Auction 20 yearsfor Thermal / 30 years for
Hydro                                                    |                                        |  |  | Node Priceauction 15 years                       |      |                                              |                            | Node Priceauction 20 years |  |                                                              |          |  |  | Auction 3/5years
|   |  | Capacity           |  |  | Contributionpeak demand                       |  |  |                                                                                                    |                                        |  |  | Income based on contributions during peak demand |      |                                              |                            |                            |  | Firm energycontribution(energyauctions forat least 20
years)
|Tx |  | Features           |  |  |                                               |  |  | Public - Open Access - Regulated Tariff Monopoly Regime for Transmission System Operators (TSOs)
|   |  | Law                |  |  | Concession contract                           |  |  |                                                                                                     | Administrative Concession
(indefinite) |  |  |                                                  |      |                                              | AuthorizationOperationZone
|Dx |  | Expansion          |  |  | 95 years                                      |  |  | 30 years                                                                                            |                                        |  |  | Undefined                                        |      |                                             
|   |  |                    |  |  |                                               |  |  |                                                                                                     |                                        |  |  | 4 years                                          |      |                                              |                            |                            |  | 5 years                                                     
|   |  | Tariff review      |  |  | 5 years                                       |  |  | 4/5 years                                                                                           |                                        |  |  |                                                  |      |                                              |                            |                           
|   |  |                    |  |  |                                               |  |  |                                                                                                     |                                        |  |  |                                                  |      |                                              |                            |                            |  |                                                              |          |  |  |                 
|Cx |  | Unregulated Agents |  |  | > 0.03 MW                                     |  |  | > 0.5 MW                                                                                            |                                        |  |  | > 0.5 MW                                         |      |                                              |                            | > 0.2 MW                   |  |                                                              |          |  |  | > 0.1 MW        
|   |  |                    |  |  |                                               |  |  |                                                                                                     |                                        |  |  |                                                  |      |                                              |                            |                            |  |                                                              |          |  | 
|   |  | Liberalized (%)    |  |  | ≈ 20%                                         |  |  | ≈25%                                                                                                |                                        |  |  | ≈30%                                             |      |                                              |                            | ≈45%                       |  |                                                              |          |  |  | ≈30%            



|               |  |                  |  |                  |  |            
|-------------- |  | ---------------- |  | ---------------- |  | -----------
|Gx: Generation |  | Tx: Transmission |  | Dx: Distribution |  | Cx: Trading

Chile

Industry Overview

Industry
Structure

The Chilean electricity industry is divided into three business segments: generation, transmission and distribution.
These business segments are carried out by publicly-owned private sector companies. The states role is circumscribed to regulation, supervision and indicative investment planning through non-binding recommendations in the case of the
generation and transmission businesses, with the exception of the main transmission system in which indicative planning is binding as well as part of the bidding processes for its construction.



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The following chart shows the relationships among the various participants in the Chilean market:



LOGO

The generation segment comprises a group of electricity companies that own generating plants, whose energy
is transmitted and distributed to end customers. This segment is characterized by being a competitive market which operates under market-driven conditions. Generating plants sell their production to distribution companies, unregulated customers,
other generation companies, and their surpluses on the spot market.

The transmission system comprises a combination of lines, substations
and equipment for the transmission of electricity from the production points (generators) to the centers of consumption or distribution. Transmission in Chile is defined as lines or substations with a voltage or tension higher than 23 kV. The
transmission system is open access, and transmission companies may impose rights of way over the available transmission capacity through the payment of tolls.

The distribution segment is defined for regulatory purposes as all electricity supplies to end customers at a voltage no higher than 23
kV. Distribution companies operate under a distribution public utility concession regime, with service obligations and regulated tariffs for supplying regulated customers.

Customers are classified according to their amount of demand, as follows: (i) unregulated customers with a connected capacity
over 2,000 kW; (ii) regulated customers with connected capacity of no more than 500 kW; and (iii) customers that choose for either a regulated-tariff or an unregulated regime, for a minimum period of four years in each regime,
available to customers whose connected capacity falls in the range of 500 kW to 2,000 kW.

The distribution companies supply
regulated customers, a segment for which the price and supply conditions are the result of tender processes regulated by the CNE, and unregulated customers, with bilateral agreements between generators, whose conditions are freely negotiated and
agreed.

In Chile, there are four separate interconnected electricity systems. The main systems that cover the most populated Chilean
areas are the SIC, which services the central and south central part of the territory, where 92% of the Chilean population lives, and the SING, which operates in the northern part of the country, where most of the mining industry is located and
where 6% of the Chilean population lives (figures based on the 2013 CDEC-SIC annual report). In addition to the SIC and the SING, there are two isolated systems in southern Chile that provide electricity to remote areas, where 2% of
the population lives.

In 2013, the Chilean government sent a proposal to modify the Chilean Electricity Law (described below) to
allow the state to promote the interconnection project between the SIC and the SING. In January 2014, the proposal was approved and signed into law by the Chilean President as Law 20,726. The interconnection is expected to be completed
between 2018 and 2019.



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The operation of electricity generation companies in each of the two major interconnected
electricity systems is coordinated by their respective dispatch centers, known as a CDEC, an independent entity that coordinates generators, transmission companies and large customers. CDEC coordinates the operation of its system with an efficiency
criterion in which the lowest cost producer available is usually required to satisfy demand at any moment in time. As a result, at any specific level of demand, the appropriate supply will be provided at the lowest possible production cost available
in the system. The marginal cost used is the price at which generators trade energy on an hourly basis, involving both their injections into the system and their withdrawals or purchases for supplying their customers.

Principal Regulatory Authorities

The
Chilean Ministry of Energy develops and coordinates plans, policies and standards for the proper operation of the sector, approves tariffs and node prices set by the CNE, and regulates the granting of concessions to electricity generation,
transmission and distribution companies.

The CNE is the technical entity in charge of defining prices, technical standards and regulatory
requirements. The SEF monitors the proper operation of electricity, gas and fuel sectors in compliance with the law in terms of safety, quality, and technical standards.

The Chilean Ministry of Environment is responsible for the development and application of regulatory and policy instruments that provide for
the protection of natural resources, the promotion of environmental education and the control of pollution, among other matters. It is also responsible for administering the environmental impact assessment system at the national level, coordinating
the preparation of environmental standards and establishing the programs for compliance with the standards.

Chilean antitrust authorities
are responsible for preventing, investigating and correcting any threats to free market competition and any anti-competitive practices by potentially monopolistic companies. These authorities include:



| |  |  | Free Market Competition Tribunal (TDLC in its Spanish acronym). This is a special and independent jurisdictional entity, subject to the directive, correctional and economic authority of the Chilean Supreme
Court, which functions to prevent, correct and sanction threats to free market competition.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | National Economic Prosecutor (FNE in its Spanish acronym). This is the attorney general responsible for economic matters and for investigating and prosecuting all antitrust conduct before the FNEs
resolutory commission and other tribunals.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The panel of experts acts as a tribunal in electricity matters arising from
disputes between participants in the electricity market and the regulatory authority in certain tariff processes. It issues enforceable resolutions and comprises experts in industry matters, five engineers or economists and two lawyers, all of whom
are elected every six years by the TDLC.

There are also other entities related to the energy sector: the Chilean Nuclear Energy Committee
in charge of research, development, use and control of nuclear energy, and the Chilean Energy Efficiency Agency, in charge of promoting energy efficiency.

The Electricity Law

General

Since its inception, the Chilean electricity industry has been developed by private sector companies. Nationalization was carried
out during the period 1970-73. During the 1980s, the sector was reorganized through the Chilean Electricity Law, known as DFL 1, allowing participation of private capital in the electricity sector. By the end of the 1990s,
foreign companies had a majority participation in the Chilean electricity system.



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The goal of the Chilean Electricity Law is to provide incentives to maximize efficiency and to
provide a simplified regulatory scheme and tariff-setting process that limits the discretionary role of the government by establishing objective criteria for setting prices. The goal is an economically efficient allocation of resources. The
regulatory system is designed to provide a competitive rate of return on investment to stimulate private investment, while ensuring the availability of electricity to all who request it.

DFL 1 was published in 1982 and has had only two important changes since then. The first one took place in 2004 to encourage
investments in transmission lines. The second one was in 2005 to create long-term contracts between generation and distribution companies as part of a bid process.

The present text of the law was restated in DFL No. 4 of 2006, which is supplemented with a series of regulations and standards.

Limits and Restrictions

The owners of the main transmission system must be constituted as limited liability stock corporations and cannot take part in the electricity
generation or distribution businesses.

Individual participation in the Main Transmission System (STT) by companies
operating in another electricity or unregulated customer segment cannot exceed, directly or indirectly, 8% of the total investment value of the STT. The aggregate participation of all such agents in the STT must never exceed 40% of the
investment value.

According to the Chilean Electricity Law, there are no restrictions on market concentration for generation and
distribution activities. However, Chilean antitrust authorities have imposed certain measures to increase the transparency within the different companies that form the Enersis group. The FNEs resolution 667/2002 requires:



| | (i) | board members of Enersis, Endesa Chile and Chilectra be elected from different and independent groups;
| | --- | ------------------------------------------------------------------------------------------------------



| | (ii) | the external auditors of Enersis, Endesa Chile and Chilectra be different;
| | ---- | --------------------------------------------------------------------------



| | (iii) | Enersis, Endesa Chile and Chilectra may not merge companies within the Enersis group which operate in electricity generation and distribution; instead, Enersis must continue to maintain both business segments separately
through companies that are independent business units; and
| | ----- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iv) | Enersis, Endesa Chile and Chilectra must remain subject to the regulatory authority of the SVS and comply with the regulations applicable to publicly held stock corporations, even if they should lose such designation.
| | ---- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Additionally, in October 2012, Official Letter No. 1479 imposed additional restrictions on Endesa Chile stating that:



| | (i) | the controlling shareholders should refrain from designating those persons who had been directors of Chilectra the prior term, as Endesa Chile directors; and
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | Endesa Chiles management should refrain from designating employees in first and second level positions, that had held the same positions in Chilectra during the six months prior to their designation.
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

In addition, the Water Utility Services Law also sets restrictions on the overlapping of concessions in the same area,
setting restrictions on the ownership of the property between sewage services concessions and utilities that are natural monopolies, such as electricity distribution, gas or home telephone networks.



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Regulation of Generation Companies

Concessions

The
law permits generation activity without a concession. However, companies may apply for a concession to facilitate access to third-party properties. Third-party property owners are entitled to compensation, which may be agreed to by the parties or,
if there is no agreement, it may be determined by an administrative proceeding that may be appealed in the Chilean courts.

Dispatch
and Pricing

In each transmission system, the pertinent CDEC coordinates the operations of generation companies, in order to
minimize the operating costs in the electricity system and monitor the quality of service provided by the generation and transmission companies. Generation companies satisfy their contractual sales requirements with dispatched electricity, whether
produced by them or purchased from other generation companies in the spot market.

Sales by Generation Companies to Unregulated
Customers

Sales by generation companies may be made to final unregulated customers or to other generation companies under freely
negotiated contracts. To balance their contractual obligations with their dispatch, generators have to trade deficit and surplus electricity at the spot market price, which is set hourly by each CDEC, based on the lowest cost of production of the
next kWh to be dispatched.

Sales to Distribution Companies and Certain Regulated Customers

Prior to 2005, sales to distribution companies for resale to regulated customers were made through contracts at regulated prices set by
the CNE (node prices) in effect at the relevant locations (or nodes) on the interconnected system through which such electricity was supplied. Under Law 20,018 Ley Corta II, enacted on May 19, 2005, all new contracts between generation and
distribution companies to supply electricity to regulated customers must arise from international bids. The bids must have a maximum energy price offer based on the average price paid by the unregulated customers at the time that the bid takes
place, which is calculated twice a year by the CNE. If a first bid is unsuccessful, the CNE may increase this maximum price by an additional 15%. The bids are awarded on a minimum price basis. The average prices associated with these bids are
transferred directly to end customers, replacing the regulated node price regime. During the term of the contracts, the energy and capacity prices are indexed according to formulas set forth in the bid documentation and linked to fuel, investment
and other costs of energy generation. Under the bid system, all distribution companies have separate electricity contracts for their regulated and unregulated customers.

Due to the bankruptcy of the generating company Campanario in September 2011, certain regulated customers in the central-southern region
of the country no longer had electricity contracts. In response, the Chilean government published two resolutions: RM 2288 and RM 239. Pursuant to these resolutions, all generating companies must meet demand from their customers on a pro
rata basis to their injections into the system until new contracts are awarded under new tendering processes. As of the date of this Report, only 47% of this energy has been awarded to generation companies until December 2014 (of
which 38% was to Endesa Chile and 9% to Gener).

As in most of the countries of the region, the Chilean electricity markets are
concentrated on a few big operators. In the generation market, ranked by electricity generation market share, the major participants are as follows: Endesa Chile 29 %, Gener 28%, Colbún 16.5% and GDF Suez 14%, according to
CDEC-SIC and CDEC-SING. In the distribution market, ranked by physical sales market share, the major participants are as follows: Chilectra (an Enersis subsidiary) 40%, Compañía General de Electricidad 39% Saesa Frontel 9%
and Chilquinta 9%, according to Empresas Eléctricas A.G.



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Sales of Capacity to Other Generation Companies

Each CDEC determines a firm capacity for each power plant on an annual basis. Firm capacity is the highest capacity which a generator may
supply to the system at certain peak hours, taking into consideration statistical information and accounting for time out of service for maintenance purposes and for extremely dry conditions in the case of hydroelectric plants.

A generation company may be required to purchase or sell capacity in the spot market, depending upon its contractual requirements in relation
to the amount of electricity to be dispatched from such company and to its firm capacity.

Regulatory Charges

Chilean laws have not established any specific charge for the electric system. Nevertheless, if the tariff for residential customers increases
by more than 5% in a six-month period, the government can establish a subsidy for low-income families. The last governmental subsidy was granted in 2009.

Promotion of Generation from Renewable Energy Sources

On April 1, 2008, Law 20,257 amended Law 19,940 of March 2004, known as the General Electric Services Law. The purpose of the
amendment was to promote the use of NCRE. This law defines the different types of technologies that qualify as NCRE and establishes the obligation for generators, between 2010 and 2014, to supply at least 5% of the total energy
contracted as of August 31, 2007, to be of a certain type, and to progressively increase this percentage by 0.5 percentage points annually up to a minimum of 10% as of 2024.

On October 22, 2013, Law 20,698 (known as the 20/25 Law) supported renewable energy sources and modified the previously
defined NCRE minimum requirements. This law establishes a mandatory share of renewable energy sources in 2025, calculated as a percentage of the total contracted energy of each generator. In particular, for those contracts signed
between 2007 and 2013, the target is 10% in 2024, while for contracts beyond 2013, the target is 20% by 2025.

Incentives and Penalties

If a rationing decree is enacted in response to prolonged periods of electricity shortages, strict penalties may be imposed on generation
companies that contravene the decree. A severe drought is not considered a force majeure event under our service agreements.

Generation
companies may also be required to pay fines to the regulatory authorities, as well as to make compensatory payments to electricity customers affected by shortages of electricity. The fines are related to system blackouts due to an electricity
generators operational problems, including failures related to the coordination duties of all system agents. If generation companies cannot satisfy their contractual commitments to deliver electricity during periods when a rationing decree is
in effect and there is no energy available to purchase in the system, the generation company must compensate the customers at a rate known as the failure cost determined by the authority in each tariff setting. This failure cost, which
is updated semiannually by the CNE, is a measurement of how many final customers would pay for one extra MWh under rationing conditions.

Regulation in
Transmission

The main transmission system consists of 220 kV or higher voltage lines that are used by generators and customers.
Every four years, a study is done to evaluate the existing system and to define the expansion plan. On December 31, 2010, the last study was delivered to the CNE. In November 2011, the CNE promulgated Decree 61, which defines the current
value of the existing lines to be remunerated for the 2011 to 2014 period. The main transmission system is paid by generators and customers.



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According to the modifications to the General Electricity Services Law, the transportation of
electricity by main transmission systems and sub-transmission systems are defined as a public service. Therefore, the transmitter has a service obligation and is responsible for the maintenance and improvement of its facilities.

On October 14, 2013, the Electricity Concessions Law was approved, which law aims to streamline the processing of electrical concessions,
including, among other things, compensation, taxation and notifications.

Regulation in Subtransmission

Subtransmission systems are defined as voltage lines exceeding 23 kV. There are seven subtransmission systems defined by decree. The
subtransmission systems are paid mainly by customers according to the values fixed by decree of the Ministry of Energy. Generators and unregulated customers pay only for the lines they use in each system. In April 2013, Decree 14 was
promulgated, which established a tariff schedule from 2011 through 2014.

Environmental Regulation

The Chilean Constitution grants citizens the right to live in a pollution-free environment. It further provides that certain other
constitutional rights may be limited in order to protect the environment. Chile has numerous laws, regulations, decrees and municipal ordinances that address environmental considerations. Among them are regulations relating to waste disposal
(including the discharge of liquid industrial wastes), the establishment of industries in areas in which they may affect public health, and the protection of water for human consumption.

Environmental Law 19,300 was enacted in 1994 and implemented by several rules, such as the Environmental Impact Assessment System
Rule issued in 1997 and modified in 2001. This law requires companies to conduct an environmental impact study and a declaration of any future generation or transmission projects.

In January 2010, Law 19,300 was modified by Law 20,417, which introduced changes in the environmental assessment process and in
the public institutions involved, principally creating the Chilean Ministry of Environment and the Superintendency of Environment. Consequently, environmental assessment processes are coordinated by this entity and the Environmental Assessment
Service.

For more information about Chiles NCRE regulations, see  Promotion of Generation from Renewable Energy
Sources.

In June 2011, the Ministry of Environment published Decree 13, emission standards for thermoelectric
plants applicable to generation units of at least 50 MW, in the Diario Oficial, a governmental publication. The object of this regulation is to control atmospheric emissions of particulate matter (MP), nitrogen oxides (NOx), sulfur
dioxide (SO2) and mercury (Hg), in order to prevent and protect the health of the population and protect the environment. Existing emission sources will have to meet emission limits as established in the regulation for MP emissions within
two and a half years from the date this decree was published (December 2013) and for SO2 and NOx emissions, within four years in highly polluted areas and within five years elsewhere.

In June 2012, Law 20,600 created the Environmental Courts, special jurisdictional courts subject to the control of the Chilean
Supreme Court. Their primary function is to resolve environmental disputes within their jurisdiction and look into other matters that are submitted for their attention under the law. The law created three such courts, the first of which began
operating in December 2012 and the other two of which began operating in June 2013.

On December 28, 2012, the
Superintendency of Environment was formally created and began to exercise its powers of enforcement and sanctions pursuant to Chilean environmental regulations.

Water Rights

Companies in Chile must
pay an annual fee for unused water rights. License fees already paid may be recovered through monthly tax credits commencing on the start-up date of the project associated with the water right. The maximum license fees that may be recovered are
those paid during the eight years before the start-up date.



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The Chilean constitution considers water as a national public good on which real utilization
rights are defined; that is similar to holding the private property rights over water, as set forth in article 19, paragraph 24 The rights of individuals over water, recognized or constituted in accordance with the law, grant their
holders ownership over such rights. Notwithstanding the foregoing, paragraph 24 also elaborates on the societal function of the private property so that water rights are subject to legal limitations.

Argentina

Industry Overview

Industry Structure

In the Argentine Wholesale Electricity Market (Argentine MEM in its Spanish acronym) there are four categories of local agents
(generators, transmitters, distributors, and large customers) and external agents (traders of generation and traders of demand) who are allowed to buy and sell electricity as well as related products.

The following chart shows the relationships among the various participants in the Argentine MEM:



LOGO

The generation sector was organized on a competitive basis until March 2013, with independent
generating companies selling their output in the Argentine MEM spot market, through private contracts to purchasers in the Argentine MEM contract market or to CAMMESA, which is the entity in charge of the operation of the Argentine MEM, through
special transactions like contracts under Resolutions SE 220/2007 and 724/2008.

On March 26, 2013 the Secretariat for
Energy published Resolution 95/2013 that set out a regulated remuneration scheme for power generation activity beginning retroactively from February 2013. The main features of the Resolution are as follows:



| |  |  | It applies to generators, co-generators and self-generators except for power plants entered into operation after 2005, nuclear generation, cross-border hydro generation.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | CAMMESA, the market operator, will be the single buyer/seller for the fuel needed for plant operations. This implies that market agents will not be allowed to trade commodities.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Free bilateral trading is suspended: large customers will have to buy electricity directly from CAMMESA (no change of supply for residential customers, they will still be served by distribution companies).
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Generators are to receive a regulated remuneration, which should cover fixed and variable costs and include an additional remuneration.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------



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The transmission sector operates under monopoly conditions and is comprised of several companies
to whom the Argentine government grants concessions. One concessionaire operates and maintains the highest voltage facilities and eight concessionaires operate and maintain high and medium voltage facilities, to which generation plants, distribution
systems and large customers are connected. The international interconnected transmission systems also require concessions granted by the Argentine Secretariat of Energy. Transmission companies are authorized to charge different tolls for their
services.

Distribution is regarded as a public service operating under monopoly conditions and is comprised of companies that have been
granted concessions by the Argentine government. Distribution companies have the obligation to make electricity available to end customers within a specific concession area, regardless of whether the customer has a contract with the distributor or
directly with a generator. Accordingly, these companies have regulated tariffs and are subject to quality service specifications. Distribution companies may obtain electricity on the Argentine MEMs spot market, at a price called seasonal
price, which is defined by the Argentine Secretariat of Energy as the cap for the costs of electricity bought by distributors that can be passed through to regulated customers.

There are two electricity distribution areas subject to federal concessions. The concessionaires are Edesur (one of our subsidiaries) and
Edenor (which is not a related company), both of which are located in the greater Buenos Aires area. The local distribution areas are subject to concessions granted by the provincial or municipal authorities. However, all distribution companies
acting on the Argentine MEM must operate under its rules.

Regulated customers are supplied by distributors at regulated tariffs.

Large Customers are classified into three categories: major large customers, minor large customers and private large customers.
Each of these categories of customers has different requirements with respect to purchases of their energy demand. For example, major large customers are required to purchase 50% of their demand through supply contracts and the remainder in the
spot market, while minor large customers and private large customers are required to purchase all of their demand through supply contracts. Large customers participate in CAMMESA by appointing two acting and two alternate directors through the
Argentine Association of Electric Power for Large Customers.

There is one interconnected system, the Argentine Interconnection System
(Argentine SADI), and smaller systems that provide electricity to specific areas. According to the Argentine National Institute of Statistics and Census (INDEC in its Spanish acronym), 99.2% of the energy required by the
country is supplied by the Argentine SADI interconnected system and only 0.8% is supplied by isolated systems.

Principal Regulatory Authorities

The Argentine Ministry of Federal Planning, Public Investment and Services, through the Argentine Secretariat of Energy, is primarily
responsible for studying and analyzing the behavior of energy markets, preparing the strategic planning with respect to electricity, hydrocarbons and other fuels, promoting policies to increase competition and improve efficiency in the assignment of
resources, leading actions for applying the sector policy, orienting new operators to the general interest, respecting the rational exploitation of the resources and the preservation of the environment.

The Electricity National Regulatory Agency (ENRE in its Spanish acronym) carries out the measures necessary for meeting national
policy objectives with respect to the generation, transmission and distribution of electricity. Its principal objectives are to protect the rights of customers, promote competitiveness in production, encourage investments that assure long-term
supply; promote free access, non-discrimination and the generalized use of the transmission and distribution services; regulate transmission and distribution services to ensure fair and reasonable tariffs, and encourage private investment in
production, transmission, and distribution, ensuring the competitiveness of the markets where possible. ENRE directly controls the management of Edenor and Edesur as



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distribution companies operating under a national concession. In the case of Edesur, on July 12, 2012, ENRE temporarily appointed an overseer for 45 business days, a term that was
extended for successive periods of the same duration, in order to monitor and control all acts of management of the Company. ENRE resolution 243/13 increased the term from 45 to 90 business days and it may be extended further. The
Vice President of ENRE was initially appointed to oversee Edesur. However, pursuant to ENRE Resolution 31/2014 passed January 30, 2014, the President of ENRE will oversee Edesur for 90 business days, which may be extended further.

The principal functions of the Administrative Company for the Wholesale Electricity Market (CAMMESA) are the coordination of
dispatch operations, the establishment of wholesale prices and the administration of economic transactions made through the SIN. It is also responsible for executing the economic dispatch through economic considerations and rationality in the
administration of energy resources, coordinating the centralized operation of the SIN to guarantee its security and quality, and managing the Argentine MEM, in order to ensure transparency through the participation of all the players involved and
with respect to the respective regulations.

The principal functions of the Argentine Federal Electricity Council are the following:
(i) managing specific funds for the electricity sector and (ii) advising the national executive authority and the provincial governments with respect to the electricity industry, the priorities in performing studies and works, concessions
and authorizations, and prices and tariffs in the electricity sector. It also provides advice regarding modifications resulting from legislation referring to the electricity industry.

The Federal Environmental Council is an institutional branch of the federal government empowered to address environmental problems and
solutions in Argentina. It has legal authority to coordinate the development of environmental policy among member states. The member states adopt regulations or rules that are issued by the Assembly, which are issued as resolutions.

The Ministry of Environment and Sustainable Development, a member of the Federal Environment Council, assists the Chief of Cabinet of
Ministers in the implementation of environmental measures and articulates its insertion in the ministries and other areas of the national public administration. It seeks to foster rational exploitation and sovereignty over Argentinas natural
resources with consideration to fairness and social inclusion. The Secretariat is involved in environmental planning and preservation, planning and implementation of national environmental management in the implementation of sustainable development,
rational use of non-renewable resources and the diagnosis of environmental issues in coordination with different areas of the government.

The
Electricity Law

General

The Argentine electricity industry was originally developed by private companies. As a result of service problems, the government began to
intervene in the sector in the 1950s and initiated a nationalization process. Law 15,336/60 was passed to organize the sector and establish the federal legal framework for the start of major transmission and generation projects. Many state
companies were created within this framework in order to carry out various hydroelectric and nuclear projects.

As a result of the
electricity shortage in 1989, the following laws were passed starting in 1990: Law 23,696 (State Reform), Law 23,697 (Economic Emergency) and Law 24,065 (Electricity Framework).

The objective of the new legislations was essentially to replace the vertically-integrated system based on a centrally-planned state monopoly
with a competitive system based on the market and indicative planning.

Regulatory Developments: The Industry After the Public
Emergency Law

Law 25,561, the Public Emergency Law, was enacted in 2002 to manage the economic crisis that began that
year. It forced the renegotiation of public service contracts (such as electricity transmission and distribution concession contracts) and imposed the conversion of U.S. dollar denominated obligations into Argentine pesos at a pegged rate of
Ar$ 1.00 per US$ 1.00. The mandatory conversion of transmission and distribution tariffs from



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U.S. dollars to Argentine pesos at this pegged rate (compared to the market exchange rate at that time of approximately Ar$ 3.00 per US$ 1.00) and the regulatory measures that cap and
reduce the spot and seasonal prices hindered the pass-through of generation variable costs in the tariffs to end customers.

The Public
Emergency Law also empowered the Argentine government to implement additional monetary, financial and foreign exchange measures to overcome the economic crisis in the medium term. These measures have been periodically extended. Law 26,729,
which was enacted in December 2011, extended the measures until December 31, 2013 and Law 26,896, enacted in October 2013 further extended the measures until December 31, 2015.

The Argentine Secretariat of Energy introduced several regulatory measures aimed at correcting the effects of the devaluation into the
Argentine MEMs costs and prices and to reduce the price paid by the end customers.

Resolution SE 240/2003 changed the
method for calculating spot prices by decoupling such prices from the marginal cost of operation. Prior to this resolution, spot prices in the Argentine MEM were typically fixed by units operating with natural gas during the warm season (from
September through April) and units operating with liquid fuel/diesel in the winter (May through August). Due to restrictions on natural gas supply, winter prices were higher and affected by the price of imported fuels priced in U.S. dollars.
Resolution SE 240/2003 sought to avoid price indexation pegged to the U.S. dollar and, although generation dispatch is still based on actual fuels used, the calculation of the spot price under the resolution is defined as if all dispatched
generation units did not have the existing restrictions on natural gas supply. In addition, water value is not considered if its opportunity cost is higher than the cost of generating with natural gas. The resolution also set a cap on the spot price
at Ar$ 120/MWh, which was valid until the adoption of Resolution 95/2013. The real variable costs of thermal units burning liquid fuels were paid by CAMMESA through the Transitory Additional Dispatch Cost (Sobrecosto transitorio de
despacho, or STD) plus a margin of Ar$ 2.5/MWh, according to the Resolutions SE 6,866/2009 and 6,169/2010, that came into effect in May 2010.

The government has avoided the increase in electricity tariffs to end customers and seasonal prices have been maintained substantially fixed
in Argentine pesos. In contrast, gas producers have received price revisions by the authority and thereby were able to recover part of the value that they lost as a result of the 2002 devaluation.

Under this system, CAMMESA sells energy to distributors who pay seasonal prices and buys energy from generators at spot prices that recognize
rising gas prices at a contractual price defined by the instructions of the Argentine Secretariat of Energy. To overcome this imbalance, the Argentine Secretariat of Energy  through Resolution SE 406/2003  only allows payments to
generators for amounts collected from the purchasers in the spot market. This resolution set a priority of payment for different services, such as capacity payment, fuel cost and energy sales margin, among others. As a result, CAMMESA accumulates
debt with generators while the system gives a distorted price incentive to the market that encourages electricity consumption but discourages investments to satisfy the growth in electricity demand, including investments in transmission capacity.
Additionally, electricity generators experience a reduction of estimated income from contract prices because of the reduction of the spot price.

The Argentine government has gradually reversed its decision to freeze distribution tariffs. During 2011, various resolutions authorizing
the elimination of electricity and natural gas subsidies were issued. However, the subsidy elimination has been applied to only 5% of the demand. For further details, see  Sales to Distribution Companies and Certain Regulated
Customers below.

In order to enhance the energy supply, the Argentine Secretariat of Energy created different schemes to sell
more reliable energy. Resolution 1,281/2006 created the Energy Plus Service Program, which was designed to increase generation capacity in order to meet growth in electricity demand over the Base Demand, which was the
demand for electricity in 2005.

Resolutions SE 220/2007 and 724/2008 gave thermal generators the opportunity to reduce
some of the adverse effects of Resolution SE 406/2003 by entering into MEM Supply Commitment Contracts, (CCAM in its Spanish acronym). Under these resolutions, a thermal generator can perform maintenance or repowering investments to
improve the availability of its units and add additional capacity to the system. After authorization, the thermal



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generator can then sign a CCAM at prices that would permit the recovery of such capital expenditures. Additionally, energy sales through a CCAM receive payment priority compared with spot energy
sales under Resolution 406/2003). Generators with a CCAM can supply energy to CAMMESA for up to 36 months, renewable only for an additional period of six months.

During 2009, Resolution SE 762/2009 created the National Hydroelectric Program to promote the construction of new hydro plants. The
program enables authorized generators to enter into energy supply contracts with CAMMESA for up to 15 years at prices that would allow for the recoupment of their investment.

The Argentine government has adopted several other measures to encourage new investments, including the following: auctions to expand the
capacity of natural gas transportation and electricity transmission; the implementation of certain projects for the construction of power plants; the creation of fiduciary funds to finance these expansions; and the awarding of contracts with
renewable energy, called the GENREN program. For more details, refer to  Environmental Regulation below. In addition, Law 26,095/2006 created specific charges that must be paid by end customers, which are used to
finance new electricity and gas infrastructure projects. The Argentine government has also enacted regulations to encourage the rational and efficient use of electricity.

Since the implementation of Law 24,065 (Electricity Framework), the generation sector has sold the electricity it generates
on the wholesale spot market and the private contract market. However, a series of resolutions have been published in recent years that have permitted the Argentine government and generators to sign contracts for the incorporation of new generation
and/or maintenance of existing plants to guarantee the availability of the units, all in accordance with Resolutions 146/02, 220/07, 724/08 and 200/09.

On August 24, 2012, the Argentine government informed electricity sector companies that it would reform the Argentine MEM and end the
marginalist system of the 1990s. To implement these changes, a Strategic Planning and Coordination Commission of the National Hydrocarbons Investment Plan was created. The principal change in the generation sector is the evolution of the
liberalized marginalist model into a Cost Plus model in accordance with the following Declared Principles: (i) any income shall be applied to each company based on the sum of its equity and debt, less
redundant assets, (ii) a Reasonable Profit would be recognized, and (iii) efficient operating costs would be recognized.

With this new regulatory model, the Argentine government will have more information and control over (i) the profitability of companies,
(ii) the quality of service, and (iii) the supply of fuels through CAMMESA, which will be the sole supplier of fuels (through imports and a contract with YPF S.A., an Argentine company engaged in the exploration, distribution and sale of
petroleum and its derivatives).

As mentioned above, Resolution 95/2013 attempted to implement the majority of the reforms announced
in 2012 by moving from a marginalist system to a regulated system, in which an electricity generation companys income is driven by regulated streams of revenues. Based on the new regulation, generators remuneration is now made up of
the following items, which vary depending on the method of generation:



| |  |  | Fixed costs: capacity remuneration subject to the achievement of a target availability.
| | - |  | ---------------------------------------------------------------------------------------



| |  |  | Variable costs: variable remuneration for operation and maintenance costs only, given that electricity generators do not incur fuel cost, which is managed by CAMMESA.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Additional remuneration: part is paid in cash to the electricity generators, and the remainder is accumulated in a fund that will be used to finance investments in new generation facilities.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

FONINVEMEM

Resolution SE 712/2004 created FONINVEMEM, a fund whose purpose is to increase electricity capacity/generation within the Argentine MEM.
Pursuant to Resolution SE 406/2003, the Argentine Secretariat of Energy decided to pay generators for the spot prices up to the amount available in a stabilization fund, after collecting the funds from the purchasers in the spot market at
seasonal prices, which were lower than spot prices for the same period. FONINVEMEM would receive the differences between spot prices and payments to sellers, according to Resolution SE 406/ 2003 from January 1, 2004 to December 31,
2006. CAMMESA was appointed to manage FONINVEMEM.



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Pursuant to Resolution SE 1,193/2005, all private generators in the Argentine MEM were
called upon to participate in the construction, operation and maintenance of the electricity generation plants to be built with the funds from FONINVEMEM, consisting of two combined -cycle generation plants of approximately 825 MW each.

Due to the insufficient resources to construct the plants, Resolution SE 564/2007 required all of the Argentine MEMs private sector
generators to commit to FONINVEMEM by including the differences between spot prices and payments made pursuant to Resolution SE 406/2003 for an additional period ending December 31, 2007. These plants were completed in 2010 and are
powered by natural gas or alternative fuels.

The Energy Plus Program

In September 2006, the Argentine Secretariat of Energy issued Resolution SE 1,281/2006 in an effort to respond to the continued
increase in energy demand following Argentinas economic recovery after the crisis. With this resolution the Argentine government started the Energy Plus Program. which principal objectives are to (i) create incentives to construct
electricity generation plants and (ii) ensure that energy available in the market is used primarily to service residential customers and industrial and commercial customers with an energy demand is at or below 300 kW as well as those who
do not have access to other viable energy alternatives.

The resolution also established the price large customers are required to pay for
excess demand that are not covered by a contract under the Energy Plus Program, which is equal to the marginal cost of operations. This marginal cost is equal to the generation cost of the last generation unit dispatched to supply the incremental
demand for electricity at any given time.

Agreement to Manage and Operate Projects

On November 25, 2010, the Argentine Secretariat of Energy signed an agreement with several generation companies, including Enersis
subsidiaries, in order to: (i) increase thermoelectric unit availability, (ii) increase energy and capacity prices and (iii) develop new generation units through the contribution of outstanding debts of CAMMESA owed to the generation
companies. This agreement seeks to accomplish the following: (i) continue the reform of the Argentine MEM; (ii) enable the incorporation of new generation to meet the increased demand for energy in the Argentine MEM (pursuant to this
agreement, Endesa Chiles subsidiaries, together with the SADESA Group and Duke, formed a company to develop the combined-cycle project with a capacity of approximately 800 MW at the Vuelta de Obligado thermal plant); (iii) determine a
mechanism to pay the generators sales settlements with maturity dates to be determined (LVFVDs in the Spanish acronym), which represent generators claims for the period from January 1, 2008 to December 31, 2011; and
(iv) determine the method for recognizing the total remuneration due to generators. On October 24, 2012, the contract for the turnkey supply and construction of the Vuelta de Obligado plant was entered into among General Electric
Internacional Inc. and General Electric Internacional Inc., Argentina branch, and the Argentine Secretariat of Energy. The project also includes the expansion of the Río Coronda 500 kV transformer station which connects to the Argentine
Interconnected System (Argentine NIS), the construction of four new fuel tanks, the construction of a gas pipeline to supply natural gas from the national network, and maintenance of the plant during the single and combined-cycle
operation periods for a period of ten years.

Limits and Restrictions

To preserve competition in the electricity market, participants in the electricity sector are subject to vertical and horizontal restrictions,
depending on the market segment in which they operate.



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Vertical Integration Restrictions

The vertical integration restrictions apply to companies that intend to participate simultaneously in different sub-sectors of the electricity
market. These vertical integration restrictions were imposed by Law 24,065, and apply differently to each sub-sector as described below:

Generators



| |  |  | Neither a generation company nor any of its controlled or controlling companies can be an owner, majority shareholder or the controlling entity of a transmission company; and
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Since a distribution company cannot own generation units, a holder of generation units cannot own distribution concessions. However, the shareholders of the electricity generator may own an entity that holds
distribution units, either by themselves or through any other entity created with the purpose of owning or controlling distribution units.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Transmitters



| |  |  | Neither a transmission company nor any of its controlled or controlling companies can be an owner, majority shareholder or the controlling company of a generation company;
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Neither a transmission company nor any of its controlled or controlling companies can be an owner, majority shareholder or the controlling company of a distribution company; and
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Transmission companies cannot buy or sell electric energy.
| | - |  | ----------------------------------------------------------

Distributors



| |  |  | Neither a distribution company nor any of its controlled or controlling companies can be an owner, majority shareholder or the controlling company of a transmission company; and
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | A distribution company cannot own generation units. However, the shareholders of an electricity distributor may own generation units either by themselves or through any other entity created with the purpose of owning or
controlling generation units.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Horizontal Integration Restrictions

In addition to the vertical integration restrictions described above, distribution and transmission companies are subject to the following
horizontal integration restrictions:

Transmitters



| |  |  | Two or more transmission companies can merge or be part of a same economic group only if they obtain an express approval from the ENRE. Such approval is also necessary when a transmission company intends to acquire
shares of another transmission company. Pursuant to the concession agreements that govern the services rendered by private companies operating transmission lines between 132 kW and 140 kW, the service is rendered by the concessionaire on
an exclusive basis in certain areas indicated in the concession agreement. Pursuant to the concession agreements that govern the services rendered by the private companies operating the high-tension transmission services of at least 220 kW,
such companies must render the service on an exclusive basis and are entitled to render the service throughout the entire country, without territorial limitations.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Distributors



| |  |  | Two or more distribution companies can merge or be part of a same economic group only if they obtain an express approval from the ENRE. Such approval is necessary when a distribution company intends to acquire shares of
another transmission or distribution company; and
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Pursuant to the concession agreements that govern the services rendered by private companies operating distribution networks, the service is rendered by the concessionaire on an exclusive basis in certain areas
indicated in the concession agreement.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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Regulation of Generation Companies

Concessions

Hydroelectric generators with a normal generation capacity exceeding 500kW must obtain a concession to use public water sources.
Concessions may be granted for a fixed or an indefinite term.

Such concession-holders have the right to: (i) take control of the
private properties within the concession area (subject to general laws and local regulations) that are necessary to create reservoirs as well as underground or above ground supply-line and release channels, (ii) flood lands that are necessary
to raise water levels, and (iii) request the authorities to make use of the powers conferred in article 10 of Law 15,336 in cases where it is absolutely necessary to appropriate the property of a third-party that was not part of the
concession and the concession-holder has failed to reach an agreement with such third-party.

Dispatch and Pricing

CAMMESA controls the coordination of dispatch operations and the administration of the Argentine MEMs economic transactions. All
generators that are Argentine MEM agents must be connected to the Argentine NIS and are obliged to comply with the dispatch order to generate and deliver energy to the Argentine NIS.

The emergency regulations enacted after the Argentine crisis in 2001 had a significant impact on energy prices. Among the measures
implemented pursuant to the emergency regulations were the specification of prices in the Argentine MEM and the requirement that all spot prices be calculated based on the price of natural gas, even in circumstances where alternative fuel such as
diesel is purchased to meet demand due to the lack of supply of natural gas.

The introduction of the Resolution 95/2013, (see
Item 4. Information on the Company  B. Business Overview  Electricity Industry Regulatory Framework. Argentina  Industry Overview and  Regulatory Developments: the industry after the Public Emergency
Law), suppressed the market for energy transactions among generators, large customers and traders. This resolution defines a regulated remuneration scheme for each type of technology used in power generation.

Seasonal Prices

The emergency regulations also made significant changes to the seasonal prices charged to distributors in the Argentine MEM, including the
implementation of a cap (which varies depending on the category of customer) on the cost of electricity charged by CAMMESA to distributors at a price significantly below the spot price charged by generators. These prices have not changed since
November 2008.

Pursuant to Resolution SE 1,301/2011, which announced the elimination of subsidies, the Argentine MEMs
seasonal reference prices for non-subsidized electricity were published in November 2011. This resolution also provided for the (i) discontinuation of the practice of charging subsidized prices for non-residential customers based on their
payment capacity and economic activity; (ii) creation of a Register of Exceptions including a list of customers exempt from the subsidy elimination, provided that they can certify their inability to bear the seasonal reference prices for
non-subsidized electricity; and (iii) the identification of the National State Subsidy, requiring CAMMESA to explicitly identify the subsidies that it provides to each level of demand. Under the resolution, distributors are also required to
notify residential customers that will be affected by the elimination of subsidies.

Stabilization Fund

The stabilization fund, managed by CAMMESA, was created to absorb the difference between purchases by distributors at seasonal prices and
payments to generators for energy sales at the spot price. When the spot price is



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lower than the seasonal price, the stabilization fund increases and when the spot price is higher than the seasonal price, the stabilization fund decreases. The outstanding balance of this fund
at any given time reflects the accumulation of differences between the seasonal price and the hourly energy price in the spot market. The stabilization fund is required to maintain a minimum balance to cover payments to generators if prices in the
spot market during the quarter exceed the seasonal price.

The stabilization fund has been adversely affected as a result of the
modifications to the spot price and the seasonal price made by the emergency regulations, pursuant to which seasonal prices were set below spot prices resulting in large deficits in the stabilization fund. These deficits have been financed by the
Argentine government through loans to CAMMESA and with FONINVEMEM funds, but these continue to be insufficient to cover the differences between the spot price and the seasonal price.

Sales to Distribution Companies and Regulated Customers

In order to stabilize the prices for distribution, the market uses the seasonal price as the energy price to be paid by distributors for their
purchases of electricity traded in the spot market. This is a fixed price determined every six months by the Argentine Secretariat of Energy based on CAMMESAs recommended seasonal price level for the next period according to its estimated spot
price. CAMMESA estimates this price by evaluating its expected supply, demand and available capacity, as well as other factors. The seasonal price is maintained for at least 90 days. Since 2002, the Argentine Secretariat of Energy has
been approving seasonal prices lower than those recommended by CAMMESA.

At the end of 2011, the Argentine government issued various
resolutions in order to being a process of reducing subsidies to gas, electricity and water tariffs. These resolutions provide for, among other things, the (i) approval of the seasonal programming of regulated tariffs for the period from
November 2011 to April 2012, (ii) establishment of a new non-subsidized seasonal price, which increased from Ar$ 243/MWh to Ar$ 320/MWh, (iii) listing of economic activities that are subject to the reduction in subsidies,
(iv) creation of a register recording the exceptions to the reduction in subsidies, (v) establishment of the effective date for the new tariffs as of January 1, 2012, and (vi) provisions for voluntarily renouncing gas,
electricity and water subsidies through an online system.

Specific Regulatory Charges for Electricity Companies

The authority to impose regulatory charges in Argentina is administratively divided among the federal, provincial and the municipal
governments. Therefore, the tax charge varies according to where the customer lives.

Incentives and Penalties

The Energy Plus Service Program, part of the Energy Plus Program, is provided by generators that have (i) installed new generation
capacity or (ii) connected previously unconnected existing generation capacity to the Argentine NIS. All Large Customers that had a higher demand than their Base Demand as of November 1, 2006 were required to enter into a
contract with the Energy Plus Service Program to cover their excess demand. Large Customers that did not enter into such contracts are required to pay additional amounts for any consumption that exceeds the Base Demand. The prices under the
contracts with Energy Plus Service Program must be approved by the relevant authorities. Unregulated customers that were unable to secure an Energy Plus Service contract are able to request CAMMESA to conduct an auction in order to satisfy their
demand.

Regulation in Transmission

The transmission sector is regulated based on the principles established in Law 24,065 and the terms of the concession granted to
Transener S.A. (not an affiliated company) under Decree 2,743/92. Due to technological reasons, the transmission sector is heavily affected by economies of scale that limit competition. As a result, the transmission sector operates under
monopoly conditions and is subject to considerable regulation.



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Natural Gas Market

Since the emergency economic measures of 2002, the lack of investment in natural gas production forced the system to burn increasing
amounts of liquid fuels.

The Argentine government has adopted different measures to improve the natural gas supply. Since 2004,
local gas producers and the Argentine government have entered into various agreements to guarantee gas supply. The last agreement was signed in July 2009 and resulted in a 30% increase in the natural gas price for power generators until
December 2009. In addition, Argentina and Bolivia entered into a 20-year agreement in 2006 that guarantees Argentinas right to receive up to 28 million cubic meters of natural gas on a daily basis.

The Electronic Gas Market (MEG in its Spanish acronym) was also recently created to increase the transparency of physical and
commercial operations in the spot market.

Electricity Exports and Imports

In order to give priority to the internal market supply, the Argentine Secretariat of Energy adopted additional measures that restricted
electricity and gas exports. Resolution SE 949/2004 established measures that allowed agents to export and import electricity under very restricted conditions. These measures prevented generators from satisfying their export commitments.

The Argentine Secretariat of Energy published Disposition 27/2004, together with related resolutions and decrees, which created a plan to
ration natural gas exports and the use of transport capacity. These measures restricted gas delivery to Chile and Brazil. These restrictions are expected to continue as Resolution Enargas 1,410, which was issued in October 2010, reinforced
such restrictions on gas distribution to certain customers. Specifically, the resolution mandated that the distribution of gas be made in the following order, from highest to lowest priority: (i) residential and commercial customers,
(ii) the compressed natural gas market, (iii) large customers, (iv) thermal generator units, and (v) exports.

Environmental
Regulation

Electricity facilities are subject to federal and local environmental laws and regulations, including Law 24,051, the
Hazardous Waste Law, and its ancillary regulations.

Certain reporting and monitoring obligations and emission standards are
imposed on the electricity sector. Failure to satisfy these requirements entitles the Argentine government to impose penalties such as suspension of operations which, in case of public services, could result in the cancellation of concessions.

Law 26,190, enacted in 2007, defined the use of nonconventional renewable energy for electricity production as a national interest
and set as a target 8% market share for generation from renewable energies within a term of 10 years. During 2009, the government took actions to reach this objective by publishing Resolution 712/ 2009 and launching an
international auction to promote the installation of up to 1,000 MW of renewable energy capacity. This resolution created a mechanism to sell renewable energy through fifteen-year contracts with CAMMESA under special price conditions through
ENARSA. In June 2010, the GENREN program awarded a total of 895 MW, distributed in the following manner: 754 MW of wind power, 110 MW of bio-fuels, 11 MW of mini-hydro, and 20 MW of solar units. The prices awarded vary
from US$ 150/MWh (for mini-hydro units) to US$ 598/MWh (for solar units). In 2011, the Argentine Secretariat of Energy issued Resolution 108/11 which allowed CAMMESA to sign contracts directly with generators of renewable energy on
conditions similar to Resolution 712/ 2009.



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Brazil

Industry Overview

Industry
Structure

Brazils electricity industry is organized into one large interconnected electricity system, the Brazilian NIS,
which comprises most of the regions of Brazil, and several other small isolated systems.

The following chart shows the relationships among the various
participants in the Brazilian NIS:



LOGO

Generation, transmission, distribution and trading are legally separated activities in Brazil.

The generation sector is organized on a competitive basis, with independent generators selling their output through private contracts with
distributors, traders or unregulated customers. Differences are sold on the short-term market or spot market at the Settlement Price for the Differences (PLD in its Portuguese acronym) and there is also a special mechanism between
generators that seeks to re-allocate hydrological risk by offsetting differences between generators assured energy and that which is actually produced, called the Electricity Reallocation Mechanism (MRE in its Portuguese acronym).

The Brazilian Constitution was amended in 1995 to authorize foreign investment in power generation. Before, all generation
concessions were held either by Brazilian individuals or entities controlled by Brazilian individuals or the Brazilian government.

The
transmission sector operates under monopoly conditions. Revenues from the transmission companies are fixed by the Brazilian government. This applies to all electricity companies with transmission operations in Brazil. The transmission revenue fee is
fixed and, therefore, transmission revenues do not depend on the amount of electricity transmitted.

Distribution is a public service that
works under monopoly conditions and is provided by companies who have also been granted concessions. Distributors in the Brazilian NIS are not permitted to: (i) develop activities related to the generation or transmission of electricity;
(ii) sell electricity to unregulated customers, except for those in their concession area and under the same conditions and tariffs maintained with respect to captive customers in the Regulated Market; (iii) hold, directly or indirectly,
any interest in any other company, corporation or partnership; or (iv) develop activities that are unrelated to their respective concessions, except for those permitted by law or in the relevant concession agreement. Similarly, generators are
not allowed to hold equity interests in excess of 10.0% in distributors.

The selling of electricity is governed by Law 10,848/
2004 and Decrees 5,163/2004 and 5,177/2004 of the Electricity Trading Chamber or Clearing House (CCEE in its Portuguese acronym), and ANEEL Resolution 109/2004, which introduced the Electricity Trading Convention. This is
a convention in which the terms, rules and procedures of the trading in the CCEE are defined. Two possible situations were introduced by these regulations for the execution of energy sales agreements: (i) the regulated contracting environment,
in which energy generation and distribution agents participate, and (ii) the free market contracting environment, in which energy generation, trading, importing and exporting agents, and unregulated customers, participate.



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Commercial relations between the agents participating in the CCEE are governed mainly by energy
sales agreements. All the agreements between the agents in the Brazilian NIS should be registered with the CCEE. The register includes the amounts of energy and the terms. The energy prices agreed are not registered with the CCEE, but instead are
specified by the parties involved in the agreements.

The CCEE books the differences between energy produced or consumed and the
contracted amount. The positive or negative differences are settled in the short-term market and priced at the PLD, determined weekly for each level of load and for each sub-market, based on the systems marginal operating cost, within a
minimum and maximum price range.

The unregulated market includes the sale of electricity between generation concessionaires, independent
producers, self-producers, sellers of electricity, importers of electricity, unregulated, and special customers. It also includes contracts in place between generators and distributors until their expiration, at which point new contracts may be
entered into under the terms of the new regulatory framework. According to the specifications set forth in Law Number 9,427/96, unregulated customers in Brazil are those who currently have: (i) a demand of at least 3,000 kW ,
generated using any method and purchase the energy supply directly with generators or traders, but not directly from distributors or (ii) a demand in the range of 500 to 3,000 kW generated using ERNC and purchase their energy supply
directly with alternative generators or traders, with the option to purchase energy from distributors as well.

The Brazilian NIS is
coordinated by the Brazilian Electricity System Operator (ONS in its Portuguese acronym) and is divided into four electric sub-systems: South-East/Center-West, South, North-East, and North. In addition to the Brazilian NIS, there are
also the isolated systems that are not part of the Brazilian NIS. These isolated systems are generally located in the Northern and North-Eastern regions of Brazil, and rely solely on electricity generated from coal-fired and oil-fueled thermal
plants. According to the ONS, more than 98% of the energy required by Brazil is supplied by the Brazilian NIS and only 1.7% is supplied by isolated systems.

Principal Regulatory Authorities

The Brazilian Ministry of Mines and Energy (Brazilian MME) regulates the electricity industry and its primary role is to establish
the policies, guidelines and regulations for the sector.

The Brazilian National Energy Policy Council (CNPE in its Portuguese
acronym) is in charge of developing the national electricity policy. Among its roles are to guide the President in the formulation of energy policies and guidelines, promote the stable and secure supply of the countrys energy resources, ensure
the energy supply to the most distant places of the country, establish directives for specific programs (such as the use of natural gas, alcohol, biomass, coal and thermonuclear energy), and establish directives for the import and export of energy.

The Energy Research Company (EPE in its Portuguese acronym) is an entity under the Brazilian MME. Its purpose is to provide
services in the area of studies and research to support the energy sector planning.

ANEEL, the Brazilian National Agency for Electric
Energy, is the entity that implements the regulatory policies, and its main responsibilities include, among others: (i) supervision of the concessions for electricity sale, generation, transmission and distribution; (ii) enactment of
regulations for the electricity sector; (iii) implementation and regulation of the exploitation of electricity resources, including the use of hydroelectricity; (iv) promotion of a bidding process for new concessions; (v) resolution
of administrative disputes between electricity sector agents; and (vi) setting the criteria and methodology for determining distribution and transmission tariffs, as well as the approval of all the electricity tariffs, ensuring that customers
pay a fair price for energy supplied and, at the same time, preserving the economic-financial balance of the distribution companies, so that they can provide the service to agreed quality and continuity.

The Energy Sector Monitoring Committee (CMSE in its Portuguese acronym) is an entity created under the scope of the Brazilian MME
and is under the Brazilian MMEs direct coordination. CMSE was established to



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evaluate the continuity and security of the energy supply across the country. CMSE has the mandate to: (i) follow the development of the energy generation, transmission, distribution,
trading, import and export activities; (ii) assess the supply and customer service as well as the security of the system; (iii) identify difficulties and obstacles that affect the supply security and regularity; and (iv) recommend
proposals for preventive actions that can help preserve the supply security and service.

CCEE is a non-profit company subject to
authorization, inspection and regulation by ANEEL and its main purpose is to carry out the wholesale transactions and trading of electric power within the Brazilian NIS by registering the agreements resulting from market adjustments and whose agents
are gathered into four categories: generation, distribution, trading and customers.

The ONS is comprised of generation, transmission and
distribution companies, and independent customers, and is responsible for the coordination and control of the generation and transmission operations of the Brazilian NIS, subject to the ANEELs regulation and supervision.

The Brazilian Institute of Environment and Renewable Natural Resources (IBAMA in its Portuguese acronym) is an executive body of
the National Environmental Policy, which takes the form of a federal autarchy. It is part of the Ministry of Environment, with responsibility for the implementation of the National Environmental Policy and the preservation and conservation of
natural heritage, exercising control and supervision over the use of natural resources (water, flora, wildlife, soil, etc.).

IBAMA is
also responsible for the environmental impact studies and the granting of environmental licenses for projects nationwide. The environmental license is a procedure by which the competent environmental agency at the federal, state or municipal levels,
allows the location installation, expansion, and operation of businesses and activities that require natural resources. It also can consider the effective or potential pollution, in whatever form, and any cause of environmental degradation. This
license seeks to ensure that preventive and control measures taken in the draft are compatible with sustainable development.

The Electricity Law

General

Before 1993, power tariffs were the same throughout Brazil. The dealers were entitled to a guaranteed return because the regulatory
regime provided for the cost of service. Concession areas that obtained a higher return than the one guaranteed deposited the surplus in a fund from which the distributors with less than the guaranteed return withdrew the difference.

In 1993, the Brazilian electric sector was reformed through Law 8,631/93, which abolished the equalization of electricity tariffs
system.

The Concessions Law 8,987 and the Power Sector Law 9,074, both enacted in 1995, intended to promote competition
and attract private capital into the electricity sector. Since then, several assets owned by the Brazilian government and/or state governments have been privatized.

The Power Sector Law also introduced the concept of independent power producers (IPPs) in order to open the electricity sector to
private sector investment. IPPs are single agents, or agents acting in a consortium, who receive a concession, permit or authorization from the Brazilian government to produce electricity for sale for their own account.

Law 9,648/98 created the wholesale energy market, composed by the generation and distribution companies. Under this new law, the purchase
and sale of electricity are freely negotiated.

The spot price is used to value the purchase and sale of electric power in the short term
market. According to the law, the CCEE is responsible for setting electricity prices in the spot market. These prices are calculated on a marginal costs basis, modeling future operation conditions and setting a merit order curve with variable costs
for thermal units and opportunity cost for hydroelectric plants, resulting in one price for each subsystem set for the week subsequent to the determination.



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Pursuant to Law 10,433/02, the wholesale energy market structure came to be closely
regulated and monitored by ANEEL. ANEEL is also responsible for setting wholesale energy market governance rules including measures to stimulate permanent external investment.

During 2003 and 2004, the Brazilian government established the basis for a new model for the Brazilian electricity sector through
Laws 10,847 and 10,848 of March 15, 2004, and Decree 5,163 of July 30, 2004. The principal objectives of these laws and decrees were to (i) guarantee the security of the electricity supply, (ii) promote the
reasonability of tariffs, and (iii) improve social integration in the Brazilian electricity sector through programs designed to provide universal access to electricity.

The new model contemplates a series of measures to be followed by the agents, such as the obligation to contract all the demand of the
distributors and unregulated customers. It also defines a new methodology for calculating the physical energy guarantee for sale of generation, contracting hydroelectric and thermal generating plants in proportions that ensure the best balance
between guarantee and supply cost, plus the constant monitoring of the continuity and security of supply, seeking to detect occasional imbalances between supply and demand.

In terms of the tariffs reasonability, the model contemplates the purchase of electricity by distributors in a regulated environment
through tenders in which the principle of lowest tariff is observed. As a result, the cost of acquiring electricity to be passed on to captive customers can be reduced. The new model creates conditions for the benefits of electricity made available
to customers who do not yet have this service and for guaranteeing a subsidy for low income customers.

Limits and Restrictions

Regulatory Resolution 299/2008 repeals certain sections of ANEEL Resolution 278/2000, which established the limits and
conditions for the participation of electricity distributors and traders. Specifically, the section of Resolution 278/2000 on limits to generation was repealed. Subsequently, Resolution 378/2009 establishes new procedures for analyzing
mergers and violations of economic regulations in the electric power sector.

Regulation of Generation Companies

Concessions

The
Concessions Law provides that, upon receiving a concession, IPPs, self-producers, suppliers and customers will have access to the distribution and transmission systems owned by other concessionaires, provided that they are reimbursed for their costs
as determined by ANEEL.

Companies or consortia that intend to build or operate hydroelectric generation facilities with a capacity
exceeding 30 MW or transmission networks in Brazil have to resort to a public tender process. Concessions granted to the holder give the right to generate, transmit or distribute electricity, as the case may be, in a given concession area for a
certain period of time.

Concessions are limited to 35 years for new generation concessions and to 30 years for new transmission
or distribution concessions. Existing concessions may be renewed at the Brazilian governments discretion for a period equal to their initial term.

In September 2012, ANEELs Provisional Resolution 579 established the criteria for the renewal of generation, transmission and
distribution concessions that expire between 2015 and 2017. It foresees the reduction of energy tariffs and indemnities for non-depreciated investments in hydroelectric plants and transmission installations. In addition, Provisional
Resolution 577 defines procedures for the temporary provision of the electricity energy service in the case of cancellation of concessions due to management problems. It also reinforces the powers of ANEEL to intervene in the case of
economic-financial imbalance in order to avoid affecting the service provided.



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On January 23, 2013, the Brazilian Congress approved Law 12,783, which renewed
electricity concessions according to Provisional Resolution 579. This law requires companies to reduce the average electricity tariff by 20.2% from February 2013, and to extend generation, transmission and distribution concessions for up
to 30 years, for both hydroelectric and thermal plants, which expire between 2015 and 2017.

Dispatch and Pricing
(Settlement Price for the Differences (PLD)

The PLD is used to value the purchase and the sale of electric power in
the short term market. The price-setting process of the electric power traded in the short-term market is accomplished by using the data employed by the ONS to optimize the operation of the Brazilian NIS.

The mathematical models used to compute the PLD take into account the preponderance of hydro-electric plants within the Brazilian power
generation grid. The purpose is to find an optimal equilibrium solution between the current benefit obtained from the use of the water and the future benefit resulting from its storage, measured in terms of the savings from the use of fuels for
thermal plants.

The PLD is an amount computed on a weekly basis for each load level based on the Marginal Operational Cost, which in turn
is limited by a maximum and minimum price in effect for each period and submarket. The intervals set for the duration of each level are determined by the ONS for each month and reported to the CCEE to be included into the accounting and settlement
system.

The model used to compute the PLD seeks to achieve an optimal result for the period being studied and to define both the
hydroelectric and thermal power generation for each submarket by taking into account the hydrological conditions, the demand for electric power, the prices of fuel, the cost of the deficit, the entry of new projects into operation and the
availability of equipment used for generation and transmission. As result of this process, the Marginal Operational Costs can be obtained for each load level and submarket.

The calculation of the price is based on the ex-ante dispatch that is determined based on estimated information existing prior to
the actual operation of the system, taking into account the declared availability amounts regarding both the generation and the consumption envisaged for each submarket. The complete process for calculating the PLD involves the use of the
computational models NEWAVE and DECOMP. These models are used to calculate the Marginal Operational Cost for each submarket on a monthly and weekly basis.

Electricity Reallocation Mechanism

The Electricity Reallocation Mechanism (MRE) provides financial protection against hydrological risks for hydro-generators in
order to mitigate the shared hydrological risks that affect generators and assure the optimal use of the hydroelectric resources of the interconnected power system.

The mechanism guarantees that despite of the centralized dispatch all the generators that participate in the MRE will have a participation in
the overall hydro generation dispatched in the proportion of its assured energy. The value of the final allocated energy to a generator can be greater or less than its assured energy depending if the overall hydro generation is greater or less than
the overall hydro assured energy, respectively. This mechanism permits each generator, before buying energy in the spot market to fulfill its contracts, to purchase cheaper energy at a price that covers the incremental costs of operation and
maintenance of hydroelectric plants and the payment of financial use of water compensation. The tariff used for trading energy in the MRE, the Optimum Energy Tariff, was set as R$ 10.54 per MWh for 2014.

As the overall generation is more stable than the individual production, the MRE is a very efficient mechanism to reduce the volatility of the
individual production and the hydrological risk. Therefore, the energy contracts are only financial instruments in the Brazilian system and generation is totally disassociated from the energy contracts.



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Sales Between the Agents of the Market

The current model for the electric sector states that the trading of electric power is accomplished in two market environments: the Regulated
Contracting Environment (ACR in its Portuguese acronym) and the Free-Market Contracting Environment (ACL in its Portuguese acronym).

Contracting in the ACR is formalized by means of regulated, bilateral agreements, called Electric Power Trading Agreements within the
Regulated Environment (CCEAR in its Portuguese acronym) entered into between selling agents (sellers, generators, independent producers or self-producers) and purchasing agents (distributors) who participate in electric power purchase
and sale auctions.

In the ACL environment, on the other hand, the negotiation among the generating agents, trading agents, free-market
customers, importers and exporters of electric power is accomplished freely, whereby the agreements for the purchase and sale of electric power are entered into through bilateral agreements.

Generation agents, regardless of whether they are public generation concessionaires, IPPs, self-producers or trading agents, are allowed to
sell electric power within the two environments. This allows the overall market to remain competitive. All agreements that have been entered into in the ACR or the ACL are registered in the CCEE and they serve as a basis for the accounting posting
and the settlement of the differences in the short term market.

Sales by Generation Companies to Unregulated Customers

In the unregulated contracting environment, the conditions for purchasing energy are negotiable between suppliers and their customers. As for
the regulated environment, where distribution companies operate, the purchase of energy must be conducted pursuant to a bidding process coordinated by ANEEL. In 2012, the Brazilian MMEs Decree 455 mandated the creation of a prices
index and a requirement to register energy contracts ex-ante. According to the internal schedule of the CCEE, the new price index is expected to be published in June 2014. It is expected that this index will be subject to internal tests over a
six month period before being officially published in the market.

Sales by Distribution Companies and Regulated Customers

Pursuant to market regulations, 100% of the energy demand from distributors must be satisfied through long-term contracts.
Contracts must be renewed or newly entered into prior to the expiration of current contracts.

Tenders under the current regulatory
environment are as follows: (i) A-5 tenders, corresponding to tenders for energy purchases from new generation sources to be supplied five years following the tender; (ii) A-3 tenders, for the acquisition of energy from new generation
sources; (iii) A- 1 tenders, for the acquisition of energy from existing generation sources; and (iv) A- 0 tenders, energy adjustment tenders, for supplementing the energy load necessary for servicing customers in the distribution
concession market, with a limit of 1% of such load. Reserve tenders are also carried out for increasing the security of the system.

Various energy tenders were held during 2011, including an A-3 tender and a reserve tender completed in August and an A-5 tender in
December.

In the A-3 tender process for the supply of 2014, 2,744.6 MW of new capacity was assigned and is to be generated
by 51 plants. Of the total contracted, 62% was from renewable sources (hydroelectric, wind and biomass) and the remaining 38% from fossil fuels (natural gas).

The tender for reserve energy in August 2011 assigned 1,218.1 MW. These were from wind farm, thermal and biomass projects, involving
a total of 41 generating plants. The average price was R$ 99.61 per MWh.

For the new A-5 tender process carried out in
December 2011, 42 projects were assigned with a capacity of 1,211.5 MW at an average price of R$ 102.18 per MWh.



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For 2012, two tenders were planned. An A-3 tender for December 12, 2012 was cancelled
due to the low demand of distributors. An A-5 tender for new energy was held on December 14, 2012. Of the 574.3 MW of total installed capacity up for tender, 303.5 MW was allocated. The weighted average price was fixed in R$ 91.25 per
MWh. Of the total energy allocated, 294.2 MW was allocated to two hydroelectric plants (at an average price of R$ 93.46 per MWh) and 281.9 MW was allocated to ten wind farms (at an average price of R$ 87.94 per MWh) .

In 2013, six tenders took place: (i) an energy adjustments tender in which no energy was allocated and the maximum price was fixed
at R$ 163 per MWh; (ii) an A-0 tender in which no energy was allocated and the maximum price was fixed at R$ 177.22 per MWh; (iii) an A-1 tender in which only 39% of the distributors requirements was allocated at average
price of R$ 177.22 per MWh; (iv) an A-3 tender with 332.5 MWh allocated to 39 wind power plants at average price of R$ 124.43 per MWh; (v) an A-5.1 tender in which 690.8 MWh was allocated (46% hydroelectric plants
and 54% of biomass thermal plants) at an average price of R$ 124.97 per MWh; and (vi) an A-5.2 tender in which 1,599.5 MWh (33% of hydroelectric plants, 5% of biomass thermal plants and 62% of wind power plants) was
allocated at an average price of R$ 109.93 MWh.

For 2014, an A-3 tender has been scheduled for June 6, 2014. Three energy
adjustment tenders, at least one A-1 tender and one A-5 are expected to be held as well.

Sales of Capacity to Other Generation
Companies

Generators can sell their energy to other generators through direct negotiation at freely-agreed prices and conditions.

Incentives and Penalties

Another change imposed on the electricity sector is the separation of the bidding process for existing power and new
power projects. The Brazilian government believes that a new power project needs more favorable contractual conditions such as long term power purchase agreements (15 years for thermal and 30 years for hydro) and certain price
levels for each technology in order to promote investment for the required expansion. On the other hand, existing power, which includes depreciated power plants, can sell their energy at lower prices under contracts with shorter terms.

Law 10,438/02 created certain incentive programs for the use of alternative sources in the generation of electricity, known under
the name of Proinfa. It assures the purchase of the electricity generated by Eletrobras for a period of 20 years and financial support from the Brazilian National Development Bank (BNDES in its Portuguese acronym) a state-owned
development bank. Other programs include a discount of up to 50% on the distribution or transmission tariffs and a special exception for the customers with electricity demand in the range of 500 to 3,000 kW who decide to migrate to an
unregulated environment, provided that such customers purchase electricity from generating companies using non-conventional sources of electricity.

Selling agents are responsible for paying the buying agent if they are unable to satisfy their delivery obligations. ANEEL regulations set
forth the fines applicable to electricity agents based on the nature and the materiality of the violation (including warnings, fines, temporary suspension of the right to participate in bids for new concessions, licenses or authorizations and
forfeiture). For each violation, fines may be imposed for up to 2% of the concessionaires revenues arising from the sale of electricity and services provided (net of taxes) in the 12-month period immediately preceding any assessment
notice.

ANEEL may also impose restrictions on the terms and conditions of agreements between related parties and, under extreme
circumstances, terminate such agreements.

Decree 5,163/2004 establishes that the selling agents must assure 100% physical
coverage for their energy and power contracts. This coverage must be made up of physical guarantees from its own power plants or through the purchase of energy or power contracts from third parties.



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Among other aspects, ANEELs Normative Resolution 109/2004 specifies that when these
limits are not met, the generation companies and traders are subject to financial penalties. The determination of penalties is predicated on a 12-month period and the revenues obtained from the levying of the penalties are reverted to tariff
modality within the ACR.

If the limits on contracting and physical coverage defined in the Trading Rules are not met, the relevant
generation companies and traders are notified by the Superintendent of CCEE. Pursuant to the specific Trading Procedure, CCEEs agents are allowed to file an appeal to be evaluated by CCEEs Board of Directors who then decides whether to
collect or to cancel the financial penalty.

Generation agents may sell power through contracts signed within the ACR or the ACL. Public
Service Generators and IPPs must provide a physical coverage from their own power generation for 100% of their sales contracts. Self-producers generate energy for their own exclusive use and they may sell excess power through contracts with
ANEELs authorization. In both cases, the verification of physical coverage is accomplished on a monthly basis, predicated on generation data and on sales contracts for the last 12 months. Generation agents must pay penalties if they
fail to provide physical coverage.

Regulation in Transmission

Transmission lines in Brazil are usually very long, since most hydroelectric plants are usually located away from the large centers of power
consumption. Today, the countrys system is almost entirely interconnected. Only the states of Amazonas, Roraima, Acre, Amapá, Rondônia and a part of Pará are still not connected to the interconnected power system. In these
states, supply is carried out by small thermal plants or hydroelectric plants located close to their respective capital cities, but the Brazilian government is gradually connecting these areas.

The interconnected power system provides for the exchange of power among the different regions when any region faces problems such as a
reduction in hydroelectric power generation due to a drop in its reservoir levels. As the rainy seasons are different in the south, southeast, north and northeast of Brazil, the higher voltage transmission lines (500 kV or 750 kV) make it
possible for locations with insufficient power production to be supplied by generation centers located in a more favorable location.

Any
electric power market agent that produces or consumes power is entitled to use the basic network. Free-market customers also have this right, provided that they comply with certain technical and legal requirements. This is called free
access and is guaranteed by law and by ANEEL.

The operation and management of the basic network is the responsibility of ONS, which
is also responsible for managing energy dispatched from plants in optimized conditions, involving use of the interconnected power system hydroelectric reservoirs and thermal plants fuel.

Environmental Regulation

The Brazilian
Constitution gives the federal, state and local governments power to enact laws designed to protect the environment, and to issue regulations under such laws. While the Brazilian government is empowered to enact environmental regulations, the state
governments are usually more stringent. Most of the environmental regulations in Brazil are at the state and local level rather than at the federal level.

Hydroelectric facilities are required to obtain concessions for water rights and environmental approvals. Thermal electricity generation,
transmission and distribution companies are required to obtain environmental approvals from environmental regulatory authorities.



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Colombia

Industry Overview

Industry
Structure

The Wholesale Electricity Market in Colombia (Colombian MEM in its Spanish acronym) is based on a
competitive market model and operates under open access principles. The Colombian government participates in this market through an institutional structure that is responsible for setting forth policies and regulations, as well as for exercising
supervision and control powers in respect of market participants. The Colombian MEM relies for its effective operation on a central agency known as the Colombian Administrator of the Commercial Exchange System (ASIC in its Spanish
acronym).

The Colombian National Interconnected Electric System (Colombian NIS) includes generation plants, the
interconnection grid, regional transmission lines, distribution lines and end-customers.

There are two categories of agents, generators
and traders, who are allowed to buy and sell electricity as well as related products in the Colombian MEM. All of the electricity supply offered by generation companies connected to the Colombian NIS and all of the electricity requirements of
end-customers, whose demand is represented by trading companies, are traded on the Colombian MEM.

The following chart shows the
relationships among the various participants in the Colombian MEM:



LOGO

Generation activity consists of the production of electricity through hydroelectric, thermoelectric and all
other generation plants connected to the Colombian NIS. The generation sector is organized on a competitive basis, with independent generators selling their output on the spot market or through private contracts with large customers, other
generators and traders. Generation companies are required to participate in the Colombian MEM with all of their generation plants or units connected to the Colombian NIS with generating capacities equivalent to or exceeding 20 MW. Generation
companies declare their energy availability and the price at which they are willing to sell it. This electricity is centrally dispatched by the National Dispatch Center (CND in its Spanish acronym).

Trading consists of intermediation between the market participants that provide electricity generation, transmission and distribution services
and the customers of these services, whether or not that activity is carried out together with other electricity-sector activities.



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Electricity transactions in the Colombian MEM are carried out under the three following modes:

1. Energy spot market: short term daily market

2. Bilateral contracts: long term market; and

3. Firm Energy.

Firm Energy refers to the maximum electric energy that a generation plant is able to deliver on a continual basis during a year,
in extreme conditions of hydro inflows. The generator who acquires a Firm Energy Commitment (OEF in its Spanish acronym) will receive a fixed remuneration during the commitment period, which is explained in the Incentives and
Penalties section below.

Transmission works under monopoly conditions and with a guaranteed annual fixed income that is determined
by the new replacement value of the networks and equipment and by the resulting value of bidding processes awarding new projects for the expansion of the National Transmission System (NTS). This value is allocated among the traders of
the NTS in proportion to their energy demand.

Distribution is defined as the operation of local networks below 220 kV. Any customer
may have access to a distribution network for which it pays a connection charge.

There is one interconnected system, the Colombian NIS,
and several isolated regional and smaller systems that provide electricity to specific areas. According to the World Energy Council 93.6% of the Colombian population in 2012 received electricity through the public network.

Principal Regulatory Authorities

The Colombian Ministry of Mines and Energy (Colombian MME) is responsible for the policy-making of the electricity sector, which
aims for a better use of the mining and energy resources available in Colombia, and in turn contributes to the countrys social and economic development.

The Colombian Mining and Energy Planning Agency (UPME in its Spanish acronym) is in charge of planning the expansion of the
generation and transmission networks.

The National Council for Economic and Social Policy (CONPES in its Spanish acronym) is
the highest national planning authority and works as an advisory entity to the government in all aspects related to Colombias economic and social development. It coordinates and directs the entities responsible for economic and social
direction, through the study and approval of documents on policy development.

The National Planning Department (DNP in its
Spanish acronym) performs the functions of Executive Secretariat of the CONPES and is therefore the entity responsible for coordinating and presenting the documents for discussion at meetings.

The Energy and Gas Regulatory Commission (CREG in its Spanish acronym) implements the principles of the industry set out by the
Colombian Electricity Act. This commission is constituted by five experts named by the Colombian President, the Colombian MME, the Colombian Ministry of Public Credit and the director of the DNP or their delegates. Such principles are: efficiency
(the correct allocation and use of resources and the supply of electricity at minimum cost); quality (compliance with technical requirements); continuity (continuous electricity supply without unjustified interruptions); adaptability (the
incorporation of modern technology and administrative systems to promote quality and efficiency); neutrality (impartial treatment of all electricity customers); solidarity (the provision of funds by high-income customers to subsidize the subsistence
consumption of low-income customers); and fairness (an adequate and nondiscriminatory supply of electricity to all regions and sectors of the country).

CREG is empowered to issue regulations that govern technical and commercial operations and to set charges for regulated activities.
CREGs main functions are to establish conditions for gradual deregulation of the electricity sector toward an open and competitive market, approve charges for transmission and distribution networks and for regulated customers, establish the
methodology for calculating maximum tariffs for supplying the regulated market, regulations for planning and coordination of operations of the Colombian NIS, technical requirements for quality, reliability and security of supply, and protection of
customers rights.



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The National Operation Council (CNO in its Spanish acronym) is responsible for
establishing technical standards to facilitate the efficient integration and operation of the Colombian NIS. It is a consultative entity composed of the CNDs Director and generation, transmission and distribution company representatives.

The Commercialization Advisory Committee (CAC) is an advisory entity which assists CREG with the commercial aspects of the
Colombian MEM.

The Superintendency of Industry and Commerce investigates, corrects and sanctions restrictive commercial competition
practices, such as antitrust behavior. It also oversees mergers of companies operating in the same productive activities to prevent excessive concentration or monopoly of certain industries.

The Superintendency of Domestic Public Services (SSPD in its Spanish acronym) is responsible for overseeing all public utility
services companies. The SSPD monitors the efficiency of all utility companies and the quality of services. The SSPD can also assume control over utility companies when the availability of utility services or the viability of such companies is at
risk. Other duties include (i) enforcing regulations, imposing penalties and generally overseeing the financial and administrative performance of public utility companies, (ii) providing accounting norms and rules for public service
companies, and (iii) in general, organizing information networks and databases pertaining to public utilities.

The Ministry of
Environment and Sustainable Development is responsible for the management of the environment and renewable natural resources. It is also responsible for guiding and regulating environmental planning as well as developing policies and regulations.
The Ministry of Environment and Sustainable Developments goal is to recover, conserve, protect, and promote sustainable use of renewable natural resources, the environment of the nation, and to ensure sustainable development, without prejudice
to the functions assigned to other sectors.

The Ministry of Environment and Sustainable Development, together with the Colombian
President, aims to develop national environmental and renewable natural resource policies to ensure the right of Colombians to a healthy environment in which natural heritage and national sovereignty are protected.

The Electricity Law

General

In 1994, the Colombian Congress passed significant reforms affecting the public utilities industry. These reforms, contained
in Law 142, known as the Public Utility Services Law (LSPD in its Spanish acronym), and Law 143, were the result of constitutional amendments made in 1991. These laws form the basic legal framework that currently governs
the electricity sector in Colombia. The most significant reforms included the opening of the electricity industry to private sector participation, the functional segregation of the electricity sector into four distinct activities (generation,
transmission, distribution and trading), the creation of an open and competitive wholesale electricity market, the regulation of transmission and distribution activities as regulated monopolies and the adoption of universal access principles
applicable to transmission and distribution networks.

The Colombian Electricity Act regulates electricity generation, trading,
transmission, and distribution (collectively, the Activities). Under the law, any company existing before 1994, domestic or foreign, may undertake any of the Activities. Companies established subsequent to such date can engage
exclusively in only one of such Activities. Trading, however, can be combined with either generation or distribution.



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Limits and Restrictions

The market share for generators and traders is limited. The limit for generators is 25% of the Colombian systems Firm Energy. The
principal market share metric used by CREG to regulate the generation market is the percentage of Firm Energy that a market participant holds.

Additionally, if an electricity generation companys share of Colombias total Firm Energy ranges from 25% to 30% and the
markets Herfindahl Hirschman Index (IHH in its Spanish acronym), a measure of market concentration, is at least 1,800, such company becomes subject to monitoring by the SSPD. If an electricity generation companys share
of Colombias total Firm Energy exceeds 30%, such company may be required to sell its share exceeding the 25% threshold.

Similarly, a trader may not account for more than 25% of the trading activity in the Colombian NIS. Limitations for traders take into
account international energy sales. Market share is calculated on a monthly basis according to the traders commercial demand and traders have up to six months to reduce their market share when the limit is exceeded.

Such limits are applied to economic groups, including companies that are controlled by, or under common control with, other companies. In
addition, generators may not own more than a 25% interest in a distributor, and vice versa. However, this limitation only applies to individual companies and does not preclude cross-ownership by companies within the same corporate group.

A distribution company can have more than 25% of an integrated companys equity if the market share of the latter company is less
than 2% of the national generation business. A company created before the enactment of Law 143 is prohibited from merging with another company created after Law 143 came into effect.

A generator, distributor, trader or an integrated company (i.e., a firm combining generation, transmission and distribution activities) cannot
own more than 15% of the equity in a transmission company if the latter represents more than 2% of the national transmission business in terms of revenues.

Regulation of Generation Companies

Concessions

The
Colombian electricity sector was structurally reformed by Laws 142 and 143 of 1994. Under this new legal structure, economic activities related to the provision of the electricity service are governed by the constitutional principles
of free market economic activity, free market private initiative, freedom to enter and leave, corporate freedom, free market competition and private property, with regulation and inspection, surveillance and control by the state.

According to Law 143 of 1994, these constitutional principles of freedom are the general rule in the electricity sector business,
while the concession is the exception. Different economic, public, private or mixed agents may participate in the sectors activities, which agents shall enjoy the freedom to develop their functions in a context of free market competition. In
order to operate or start up projects, they must obtain from the competent authorities the necessary environmental, sanitation and water-right permits as well as other municipal permits and licenses. All economic agents may construct generation
plants and their respective connection lines to the interconnection and transmission networks.

The Colombian government cannot legally
participate in the execution and exploitation of generation projects. As a general rule, such projects are to be carried out by the private sector. The Colombian government is only authorized to enter into concession agreements on its own behalf
relating to generation when there is no entity prepared to assume these activities on comparable conditions.



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Dispatch and Pricing

The purchase and sale of electricity can take place between generators, distributors acting in their capacity as traders, traders (who do not
generate or distribute electricity) and unregulated customers. There are no restrictions for new entrants into the market as long as the participants comply with the applicable laws and regulations.

The Colombian MEM facilitates the sale of excess energy that has not been committed under contracts. In the wholesale market, an hourly spot
price for all dispatched units is established based on the offer price of the highest priced energy dispatched unit for that period. The CND receives price bids each day from all the generators participating in the Colombian MEM. These bids indicate
prices and the hourly available capacity for the following day. Based on this information, the CND, guided by an optimal dispatch principle (which assumes an infinite transmission capacity through the network), ranks the dispatch
optimized during the 24-hour period, taking into account initial operating conditions, and determining which generators will be dispatched the following day in order to satisfy expected demand. The price for all generators is set as the most
expensive generator dispatched in each hourly period under the optimal dispatch. This price-ranking system is intended to ensure that national demand, increased by the total amount of energy exported to other countries, will be satisfied at the
lowest cost combination of available generating units in the country.

Additionally, the CND plans for the dispatch, which takes into
account the limitations of the network, as well as other conditions necessary to satisfy the energy demand expected for the following day in a safe, reliable and cost-efficient manner. The cost differences between the planned dispatch
and the optimal dispatch are called restriction costs. The net value of such restriction costs is assigned proportionally to all the traders within the Colombian NIS, according to their energy demand, and these costs are
passed through to the end customers. Some generators have initiated legal proceedings against the government arguing that recognized prices do not fully cover the costs associated with these restrictions on the grounds that current regulations do
not take into account all the costs incurred under safely reliable generation. However, from CREGs point of view, Resolution 036-2010 modified the remuneration of these restrictions for hydro plants by assigning the opportunity cost to
the spot price.

In July 2012 and October 2013, CREG published Resolutions 076-2012 and 082-2013, respectively
(Statute for situations of scarcity in the MEM as part of the operative regulations) that proposed a draft resolution for defining the rules of operation under critical supply conditions.

Sales by Generation Companies to Unregulated Customers

In the unregulated market, generation companies and unregulated customers sign contracts in which terms and prices are freely agreed.
Typically, these agreements establish that the customer pays the energy that it consumes each month without a cap or a floor. The prices are fixed in Colombian pesos indexed monthly to the Colombian PPI. According to resolution CREG 131
of 1998, to be considered unregulated, customers are required to have an average monthly power demand for six months of at least 0.1 MW, or a minimum of 55 MWh in monthly average energy demand over the prior six months.

Sales by Distribution Companies to Regulated Customers

The regulated market is served by traders and by distributors acting as traders, who bill all service costs, according to prices regulated by
CREG. The scheme allows distributors to pass through the average purchase price of all the market transactions that affect the regulated market into the customers tariff, thereby mitigating spot price volatility and providing an efficiency
signal to the market. Additionally, CREG established a formula for the total cost of service, which transfers transmission, distribution, marketing costs, and physical losses costs to the regulated market.

Sales by Generation Companies to Traders for the Regulated Market

Traders in the regulated market are required to buy energy through procedures that ensure free market competition. For evaluating the bids,
the buyer takes into account price factors as well as other technical conditions and commercial objectives to be defined before the contracting process. These agreements can be signed with



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different terms, such as: Pay amount contracted, Pay amount demanded with or without a limit, Pay the percentage actually consumed, etc. Prices are denominated
in Colombian pesos indexed monthly to the Colombian CPI.

Sales to Other Generation Companies

Generators can sell their energy to other generators through direct negotiation, at freely negotiated prices and conditions.

Regulatory Charges

Contribution by generation per Law 99 of 1993: Generation companies are obliged to pay monthly payments based on their
generation to the regional autonomous corporations for environmental protection in areas where the plants are located and to the municipalities where the generation plants are situated. For more information, see  Environmental
Regulation below.

Generation contribution to the Financial Support Fund for Energy for Unconnected Zones (FAZNI
in its Spanish acronym): Law 633 of 2000 (tax reform) states that generators must make a contribution of 1 Colombian peso to the FAZNI for every kilowatt dispatched on the Wholesale Energy Exchange. Initially, this requirement was
effective until December 31, 2007 but it was extended to 2014 by Law 2,099 of November 2006.

Incentives and
Penalties

Generators connected to the Colombian NIS can also receive reliability payments which are a result of the
OEF that they provide to the system. The OEF is a commitment on the part of generation companies backed by its physical resource capable of producing firm energy during scarcity periods. A generator that acquires an OEF will receive fixed
compensation during the commitment period, whether or not the fulfillment of its obligation is required. To receive reliability payments, generators have to participate in firm energy bids by declaring and certifying such firm energy. Until
November 2012, the transition period, the firm energy supply for reliability purposes was assigned proportionally to the declared firm energy of each generator. Beyond the transition period, the additional firm energy required by the system is
allocated by bids.

During 2011, CREG published resolutions for the assignment of OEF for the periods from December 2014 to
November 2015 and from December 2015 to November 2016. For the first of these periods, the OEF assigned this pro rata to the existing generators while, for the second, it carried out a second tender for the electricity sector on
December 27, 2011.

During 2013, Resolution 062-2013 created incentives for thermal plants to back up their OEF with
imported natural gas to guarantee their OEF for 10 years, beginning December 2015.The new resolution proposes the foundations of the remuneration for the group of thermal plants in order to develop the first regasification terminal in
Colombia. The project will be constructed by an Infrastructure Agent that will be chosen through a tender process in 2014.

On March 10, 2014, CREG published Resolution 022/ 2014, which defined a transitory regulated revenue in order to motivate the agents to
build the regasification terminal.

The tender for firm energy for the period from November 2015 to December 2016 was made on
December 27, 2011. Seven companies participated with a total of eight projects of which five were assigned at a price of US$ 15.7/MWh. The new projects are Río Ambeima (hydro, 45 MW), Carlos Lleras Restrepo (hydro, 78 MW), San Miguel
(hydro, 42 MW), Gecelca 32 (thermal, 250 MW) and Tasajero 2 (thermal, 160 MW). The new assignments were made for a period of twenty years as of December 1, 2015.

In addition, on January 26, 2012, the auction was concluded for projects with long construction periods (GPPS in its Spanish
acronym) which assigned OEFs for a period of twenty years to three hydroelectric projects and one thermal project. Two of these were assigned to new plants: Termonorte which will have a capacity of 88



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MW by 2017 and the Porvenir II hydroelectric power plant which will have a capacity of 352 MW by 2018. The other two involved increases in OEF for plants already under construction
and had available firm energy following the GPPS process carried out in 2008 (Sogamoso and Pescadero-Ituango hydroelectric plants). The process ended with assignment prices below the maximum defined for the auction in December (US$ 15.7/MWh),
and were in connection with Termonorte (US$ 14.9/MWh); Porvenir II (US$ 11.7/MWh); Sogamoso and Pescadero-Ituango (US$ 15.7/MWh).

CREG
regulated the reconfiguration auction scheme, under the methodology of reliability charge that allowed agents to change the beginning of the OEF by renouncing the reliability payments and paying a premium. The market operator, XM,
published the results of the auction sale reconfiguration of OEF and Termocol, Amoya and Gecelca were the participating companies.

During 2012 CREG also issued the statement regarding OEF allocation for the period from December 2016 to November 2017. CREG
indicated that (i) a tender for OEF allocation was not necessary due to the conditions of the system and (ii) the assignment schedule will be published once there is greater certainty with regards the dates for execution of the
Colombia-Panama interconnection agreement and the processes for importing natural gas. CREG Circular 045 states that this publication will be made after June 30, 2014.

Despite the statement, a tender was finalized in July 2012 for the reconfiguration of the OEF for the period from December 2012 to
November 2013. The OEF was allocated to Termocol, which owns the Poliobras project (4.5 GWh per day) and to Amoyá, which owns the Isagen project (0.5 GWh per day). Such tenders are called when previously allocated OEFs exceed the
projected demand for a certain period. The tender ended with a price margin of US$ 0.6 per MWh, which is over the reliability load price for the period from December 2012 to November 2013.

Electricity Exports and Imports

Decision CAN 536 of 2002, CAN 720 of 2009, and CAN 757 of 2011, signed by the countries that participate in the
Andean Nations Community (CAN in its Spanish acronym), Colombia, Ecuador, Bolivia and Peru, established the general framework for the interconnection of electrical systems that created a coordinated economic dispatch for the countries
involved in the interconnections. Under this framework, the interconnection system between Colombia and Ecuador was inaugurated in March 2003. The two countries adopted a transitional regime pursuant to CAN 757, while adopting common
standards in order to make such international transactions viable.

In addition to the interconnection with Ecuador Colombia is also
interconnected with Venezuela by three links, the most important being the Cuestecitas-Cuatricentenario line. During 2011 and 2012, there were some transfers of energy made from Colombia to Venezuela, due to shortages in Venezuela, over
this line under an agreement between the presidents of both nations. The agreement covers estimated transactions of 30 GWh/month, with a demand of 70 MW in periods of low and medium load and of 140 MW in periods of high load. The
contract was signed on February 1, 2013 for a term of eleven months and was formalized by a contract between Isagen (Colombia) and Corpoelec (Venezuela).

There is also an energy interconnection project with Venezuela being carried out by the Institute of Planning and Promotion of Energy
Solutions for Non-Interconnected Zones (IPSE in its Spanish acronym) pursuant to an agreement between Colombia and Venezuela. Under the terms of this agreement, Colombia will sell electricity to Venezuela at a rate that is much cheaper
than the costs to produce it. Venezuela is expected to pay for the electricity with fuel rather than cash. This interconnection project is estimated to cost US$ 8 billion and contemplates the construction of a 35.6 kilometer transmission
line with a capacity of 34,500 volts in order to supply electricity to the region of San Fernando de Atabapo, Venezuela.

In the
first half of 2012, CREG and the National Public Services Authority of Panama (ASEP in its Spanish acronym) issued resolutions that provided for enhancing the process for tendering of rights to construct the future interconnection
line between Colombia and Panama.

The resolutions also supplement pre-existing resolutions by providing for provisions that allow
Panamanian distribution companies to participate in future tenders in Colombia. The most important resolutions issued by



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Colombia are (i) CREG-002-2012, which attempts to resolve the discrepancies between firm capacity in Panama and the OEF in Colombia; (ii) CREG-004-2012, which outlines the exchanges in
conditions of rationing; and (iii) CREG 057-2012, which is an operative agreement between the operators of the systems of Colombia and Panama. Panama has also issued parallel resolutions that enable Colombian companies to participate in
tenders in Panama as international interconnection agents.

Emgesa, Isagen, Celsia and its subsidiary EPSA participated in the tender
process to obtain line capacity rights in Panama that took place on August 21, 2012. These companies were able to participate in the tender by forming subsidiaries in Panama and complying with all requirements under Panamanian law, including
the provisions relating to guarantees.

In June 2012, Interconexión Eléctrica Colombia-Panamá (ICP),
which is jointly owned by Interconexión Eléctrica de Colombia (ISA) and the state-owned Empresa de Transmisión Eléctrica de Panamá (ETESA), was entrusted with the construction of an
interconnection project and was allowed to join the tender for capacity rights. ICP submitted the base amount that is necessary to participate in the tender and proceeded to obtain prequalifications in July and August 2012. However, the tender
process was suspended indefinitely on August 19, 2012. This was primarily due to financial reasons as the Panamanian government, citing budget constraints, refused to provide a firm commitment to contribute capital.

ICP is expected to continue to seek financial support in order to ensure the viability of the project and reduce uncertainties for the
participants. With the support from the Interamerican Development Bank, ICP has hired a consultant to carry out a study that will explore alternatives plans that would result in more competitive energy prices and greater business opportunities. The
Colombian government is also in conversations with its Panamanian counterpart in order to restart the process.

In November 2012, the
Declaration of Santiago was signed by Chile, Colombia, Ecuador, Peru and Bolivia. The main purpose of this declaration was to facilitate regional electricity transaction by harmonizing regulatory frameworks of the member countries.

Gas Market

Natural gas is important for
the Colombian electricity sector, as natural gas is a key fuel for generation. The Colombian natural gas market operates under near monopolistic conditions and consists of a primary market, secondary market and short-term market. Supply contracts
depend on a balance between supply and demand for the next five years, which is calculated by the regulatory authority every year. Transportation contracts are traded under bilateral negotiation schemes or through auctions.

This regulatory framework is the result of a former proposal that sought to reform the wholesale market for natural gas and ensure that it
operates under the principles of transparency and liquidity. This new framework also outlines entities that are eligible to participate in each market, the types of permitted transactions, and the kind of contracts that may be entered into. It even
seeks to create standardized force majeure provisions for such contracts in order to clarify the responsibilities of the parties. The new rules took effect in August 2013.

Additionally, in June 2013 the regulatory authorities published a new incentive framework so as to enable the possibility for the first
regasification facility on the north coast of the country. The principal purpose of this facility will be to serve as a backup source of gas to certain thermal plants in Colombia. In the long term, this facility will be an alternative point of
supply for the market.

Regulation in Transmission

Transmission companies which operate at no less than 220 kV constitute the National Transmission System (NTS). They are
required to provide access to third parties on equal conditions and are authorized to collect a tariff for their services. The transmission tariff includes a connection charge that covers the cost of operating the facilities, and a usage charge,
which applies only to traders.



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CREG guarantees an annual fixed income to transmission companies. Income is determined by the new
replacement value of the network and equipment and by the resulting value of bidding processes awarding new projects for the expansion of the NTS. This value is allocated among the traders of the NTS in proportion to their energy demand.

The expansion of the NTS is conducted according to model expansion plans designed by the Mining and Energy Planning Agency (UPME,
in its Spanish acronym) and pursuant to bidding processes opened to existing and new transmission companies, which are handled by the Colombian MME in accordance with the guidelines set by CREG. The construction, operation and, maintenance of new
projects is awarded to the company that offers the lowest present value of future cash flows needed for carrying out the project.

In 2012, CREG established the new quality of service regulation for the NTS. It defined incentives for failure to provide energy and
required companies to compensate customers, by reducing their charges, for service interruptions in the NTS.

Trading
Regulation

The retail market is divided into regulated and unregulated customers. Customers in the unregulated market may freely and
directly enter into electricity supply contracts with a generator or a distributor, acting as traders, or from a pure trader. The unregulated customer, which for 2013 represented about 33% of the market, consists of customers with a peak
demand in excess of 0.1 MW or a minimum monthly energy consumption of 55 MWh.

Trading involves reselling the electricity
purchased in the wholesale market. It may be conducted by generators, distributors or independent agents, which comply with certain requirements. Parties freely agree upon trading prices for unregulated customers.

Trading on behalf of regulated customers is subject to the regulated freedom regime under which tariffs are set by each trader
using a combination of general cost formulas given by CREG and individual trading costs approved by CREG for each trader. Since CREG approves limits on costs, traders in the regulated market may set lower tariffs for economic reasons. Tariffs
include, among other things, energy procurement costs, transmission charges, distribution charges and a trading margin.

The trading
tariff formula became effective on February 1, 2008. The main changes to this formula were the establishment of a fixed monthly charge and the introduction of reduction costs of non-technical energy losses in the trading charges. In addition,
CREG allows traders in the regulated market to choose tariff options to manage tariff increments.

In May 2009, a company called
Derivex was created so as to incorporate an energy derivatives market. In October 2010, Derivex began its operation with the first electricity forward derivative contract.

In December 2011, CREG issued the Retailing Code, which includes specific rules that improve retailers relations with other
electricity market members. It established new regulations about energy measurement, non-technical losses, the retailers connection to the wholesale electricity market, and the retailers credit risks, among other considerations.

In October 2013, CREG published a new resolution that defines technical equity (technical equity corresponding to the minimum
equity that allows agents to perform operations on the wholesale market, either as sellers or buyers) as a mechanism to rate the technical abilities of companies in order to protect the wholesale market from unstable companies. According to the new
rule, any transaction in the spot market has to be lower than the technical equity of the companies involved in the transaction.

In order
to improve wholesale price formation, CREG has been designing a new energy procurement scheme based on long term energy bids, known as Organized Market (MOR in its Spanish acronym). The final rules for this new system are not available,
but CREG issued a new draft version of the mechanism by Resolution 117-2013, and the deadline for consultations has passed. It is expected that CREG will issue the final resolution on MOR in early 2014 and will call for the first auction
in mid-2014.



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Tariffs to Final Customers

The energy trader is responsible for charging the electricity costs to end customers and to transfer their payments to the industrys
agents. The tariffs applied to regulated customers are calculated pursuant to a formula established by CREG. This formula reflects the costs of the industry: generation, transmission, distribution (depending on the customers connection level),
trading losses, constraints, administrative costs, and market operating costs.

In addition, the final costs of the service are affected
by subsidies and/or contributions that are applied according to the socio-economic level of each customer. When subsidies exceed contributions, the Colombian government covers the difference. The subsidies mechanism is experiencing some
modifications. Colombian MMEs Resolution 18 1479 (August 2012) modified the subsidy removal method for residential customers whose consumption exceeds the subsistence consumption, as established in article 2 of
Resolution 18 1272 of 2011.Colombian MMEs Decree 011 2012 regulating the Social Energy Fund (FOES in its Spanish acronym) as provided in article 103 of Law 1450 of 2011 (published in 2012). The
purpose of FOES is to cover up to CPs 46 per kWh of the value of electricity for subsistence consumption of residential customers belonging to income groups 1 and 2 of the least developed rural areas.

Another factor that affects the final tariff is the Distribution Area which established a single tariff for the distribution companies in
adjacent geographic zones.

Environmental Regulation

The environmental framework in Colombia was established by Law 99/1993, which also established the Colombian Ministry of the Environment
(now the Ministry of Environment and Sustainable Development) as the authority for determining environmental policies. The Colombian Ministry of Environment defines issues, executes policies and regulations that focus on the recovery, conservation,
protection, organization, administration and use of renewable resources.

Any entity planning to develop projects or activities relating
to generation, interconnection, transmission or distribution of electricity that may result in environmental deterioration must first obtain environmental permits and licenses and also establish environmental management plans.

According to Law 99, generation plants that have a total installed nominal capacity above 10 MW are required to contribute to the
conservation of the environment. Hydroelectric power plants must pay 6% of their generation and thermoelectric plants must pay 4% of their generation in addition to a tariff that is annually determined. This payment is made monthly to the
municipalities and environmental corporations where these facilities are located.

Law 1450 of 2011 issued the National
Development Plan 2010-2014. The plan establishes that between 2010 and 2014, the government must develop strategies for environmental sustainability and for the prevention of environment risks. These include measures such as the
national plan for adaptation to climate change, the environmental licensing process and environmental impact studies.

In 2011,
Institutional Decree 3,570 established a new regulatory structure for the environment, creating the Colombian Ministry of Environment and Sustainable Development (previously, the functions of the Ministry of the Environment were established in
conjunction with functions of the Ministry of Housing). The main objective of the Colombian Ministry of Environment and Sustainable Development is the formulation and management of environmental and renewable natural resource policies. In 2012,
the Colombian Ministry of Environment and Sustainable Development published several resolutions. Resolution 1517 of 2012 established the procedures relating to the Environmental Compensation for Biodiversity Loss while Decree 1640
of 2012 set forth regulations for the planning and management of hydrographic basins. In addition, Resolution 1526 of 2012 established the procedural requirements for the subtraction of the forest areas protected by Law 2
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In 2012, the Colombian Ministry of the Environment and Sustainable Development included the
NAMA (Nationally Appropriate Mitigation Action) in the CDM (Clean Development Mechanism) & NAMA Portfolio.

NAMA and CDM are two
mechanisms established by the United Nations in order to promote the developments of project which reduce emissions of greenhouse gases in certain countries (listed in Exhibit I of the Kyoto Protocol), for example, electric vehicles promoted by
Endesa Spain and Enersis.

The Colombian Ministry of the Environment and Sustainable Development publishes progress reports annually for
the portfolio projects of CDM and NAMA under development in Colombia. This gives interested parties a chance to buy CERs (Certified Emission Reduction) in connection with CDM projects and also provides financing opportunities in the case of NAMA
projects.

In December 2012, the UPME published Resolution 0563, which establishes the procedure for the exclusion of sales tax
for the programs or activities related to reduced energy consumption and energy efficiency.

In August 2013, the DNP issued CONPES
Document 3762, a policy text that established guidelines for the identification and priorization of infrastructure projects that are of national and strategic interest in the energy, mining, oil, gas, and transportation sectors. It defines the
relevant issues related with the formalities and procedures for acquiring land, prior consultation, community relations, environmental licensing and permits, and institutional coordination, all of which need to be resolved in order to assure the
correct formulation and development of those projects.

In the last few years, the environmental regulation for the electricity sector has
been focused on regulating power plant emissions, hydro policies (including water discharges and basin organizations), and environmental licensing and penalties.

Peru

Industry Overview

Industry Structure

In the Wholesale Electricity Market (Peruvian MEM in its Spanish acronym) there are four categories of local agents: generators,
transmitters, distributors and large customers.

The following chart shows the relationships among the various participants in the
interconnected system, (SEIN in its Spanish acronym)





LOGO

The generation segment is composed of companies which own generation plants. This segment is noted for
being a competitive market in which prices tend to reflect the marginal cost of production.



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Electricity generators, as energy producers, have capacity and energy sale commitments with their
contracted customers. Generators may sell this capacity and energy to both distributors and unregulated customers.

The energy received by
a generators unregulated and regulated customers does not necessarily coincide with the energy produced by that supplier since the generation plants production is allocated by the Committee of Economic Operation of the System
(COES in its Spanish acronym), the system operator, through a centralized dispatch. The transfer cost is minimized through a consideration of the variable production costs of each power plant, regardless of their contractual commitments
(the only exception to this rule are the natural gas (NG) plants wich declare once a year the NG price for dispatch purpose). Therefore, there is a short-term market also managed by the COES, where an economic balance is made between the energy
produced and the consumption required by the generators customers. The only exception to this rule are the natural gas plants which declare (once a year) the natural gas price for dispatch matters.

The generation plants production and the customers energy consumption at the nodal short-term marginal cost are valued, and the
deficit generators pay for the energy purchased from surplus generators. The balance made in connection with energy sales is also carried out with respect to capacity, in which case the price of the capacity corresponds to a price regulated by the
Supervising Entity on Investment in Energy and Mining (Osinergmin in its Spanish acronym), the Peruvian regulatory electricity authority.

In 2008, Osinergmin defined a new rule to calculate spot prices through December 2013 due to gas transport and electricity transmission
problems. Decree 049/2008 established two models, one which represented a theoretical dispatch without considering any restrictions and another that considered real dispatch with restrictions. The spot price is obtained from the theoretical dispatch
(known as idealized marginal cost), and the additional operating costs resulting from system restrictions are paid by demand to the affected generators through a mechanism established by the authority. The idealized marginal
cost regime was finally extended until December 31, 2016.

The settlements made by the COES also include payments and/or
collections for complementary services such as frequency and tension regulation. They also consider compensation for operating cost overruns, such as the operation at minimum load, random operational tests, etc.

Regulation DS 027-2011-EM of June 2011 established that as of January 2014, several participants may also participate as
buyers in the short-term market, in addition to the generators. These other participants include distributors (in order to meet the demand of their unregulated customers), large customers with demand over 10 MW, and a group of unregulated
customers whose aggregate demand exceeds 10 MW. This regulation is now suspensed until the wholesale market prices return to previous levels (anticipated to occur after 2017).

The transmission system is made up of transmission lines, substations and equipment for the transmission of electricity from the production
points (generators) to the consumption centers or distribution points. Transmission in Peru is defined as all lines or substations with a tension higher than 60 kV. Some generation and distribution companies also operate sub-transmission
systems at the transmission level.

Electricity distribution is an activity carried out in the concession areas granted to different
distribution companies.

Customers with a capacity demand lower than 200 kW are considered regulated customers, and their energy
supply is considered to be a public service. Customers whose capacity demand is within the range of 200-2,500 kW are free to choose whether to be considered regulated or unregulated customers. Once this type of customer chooses to be a
regulated or unregulated customer, the customer has the obligation to remain in that category for at least three years. If the customer wants to change its category from regulated to unregulated customer, or vice versa, it shall provide at least one
year advance notice.

There is only one interconnected system, the SEIN, and several isolated regional and smaller systems that provide
electricity to specific areas. According to the National Institute of Statistics of Peru (INEI in its Spanish acronym as of December 2012, 91.2% of the population obtained electricity through the public network.



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Principal Regulatory Authorities

The Peruvian Ministry of Energy and Mining (MINEM in its Spanish acronym) defines energy policies applicable nationwide, regulates
environmental matters applicable to the energy sector and oversees the granting, supervision, maturity and termination of licenses, authorizations and concessions for generation, transmission, and distribution activities. On August 10, 2012,
Regulation DS 030-2012-EM amended the articles of organization and defined the functions of MINEM and the Natural Gas Management Department.

The Agency for the Promotion of Private Investment (PROINVERSIÓN in its Spanish acronym) is a public entity responsible for
attracting private investment in public utilities and infrastructure works. It also advises regarding the difficulties faced by investors in making their investments.

Osinergmin, the Energy and Mining Investment Supervisor, is an autonomous public regulatory entity that controls and enforces compliance with
legal and technical regulations related to electrical and hydrocarbon activities, controls and enforces compliance with the obligations stated in the concession contracts, and is responsible for the preservation of the environment in connection with
the development of these activities. Osinergmins Tariff Regulatory Bureau has the authority to publish the regulated tariffs. It also controls and supervises the bidding processes required by distribution companies to purchase energy from
generators.

The COES coordinates the SEINs short, medium- and long-term operations at minimum cost, maintaining the security of the
system and optimizing energy resources. It also plans for the SEINs transmission development and manages the short-term market.

The
National Institute for Defense of Competition and Intellectual Property (INDECOPI in its Spanish acronym) is responsible for promoting competition, protecting customer rights and safeguarding all forms of intellectual property.

The General Electricity Authority (DGE in its Spanish acronym) is the regulatory technical entity responsible for evaluating the
electricity sector, and proposes the necessary regulations for the development of the electricity generation, transmission and distribution activities.

The Peruvian Ministry of Environment (MINAM in its Spanish acronym) defines environmental policies applicable nationwide and is
the head of the national environmental management system, which includes the National Environmental Impact Assessment System, the National Environmental Information System, the Protected Natural Areas System, as well as the management of natural
resources in its area of competence, biodiversity and climate change, among others.

The Electricity Law

General

The
general legal framework applicable to the Peruvian electricity industry includes: the Law of Electricity Concessions (Decree Law 25,844/1992) and its ancillary regulations, the Law to Secure the Efficient Development of Electricity Generation
(Law 28,832/2006), the Technical Regulation on the Quality of the Electricity Supply (Supreme Decree 020/1997), the Electricity Import and Export Regulation (Supreme Decree 049/2005), the Antitrust Law for the Electricity Sector
(Law 26,876/1997), and the law that regulates the activity of Osinergmin (Law 26,734/1996, together with Law 27,699/2002).

Some of the characteristics of the regulatory framework are (i) the separation of the three main activities: generation, transmission and
distribution; (ii) freely-determined prices for the supply of energy in competitive market conditions; (iii) a system of regulated prices based on the principle of efficiency together with a bidding regime; and (iv) private operation
of the interconnected electricity systems subject to the principles of efficiency and quality of service.



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Law 29,852/2012 and Regulation 021-2012-EM created the Hydrocarbons Energy Security
System and the Fund of Social Energy Inclusion (FISE in its Spanish acronym). These laws also created a system of social compensation and universal service for the most vulnerable sectors of the population which will be financed by
surcharges on the electricity billing of unregulated customers (equivalent to the surcharge that exists today for regulated customers on the Electrical Social Compensation Fund (FOSE in its Spanish acronym)), transport surcharges for
hydrocarbon-derivate liquids and natural gas multi-pipelines and surcharges on the use of the natural-gas pipeline.

Osinergmin and
distribution companies will be the administrators of the FISE, which funds will be directed to (i) the massification of natural gas to vulnerable sectors, (ii) develop new energy sources like photovoltaic cells, solar panels, etc., and
(iii) supply liquefied petroleum gas (LPG) to vulnerable sectors.

Law 29,969/2012 provides for the
massification of natural gas. State electricity distributors are authorized to carry out natural-gas programs, including the distribution of natural gas in their concession area. They will also be able to associate with companies specializing in the
development of gas-distribution projects. Within a maximum term of three years from the start of the gas distribution, MINEM will start the process of promoting private investment for the granting of the gas-distribution concession of gas by the
pipeline network.

Law 29,970/2012 guarantees energy security and promotes the development of the petro-chemical complex in the south
of the country. Under this law, the following agendas have been declared as a matter of national interest: (i) guaranteeing energy security, (ii) transporting ethane to the south of Peru; and (iii) constructing regional pipelines in
the regions of Huancavelica, Junín, and Ayacucho and linking them with the existing gas pipelines.

Limits and Restrictions

Since the enactment of the Law of Electricity Concessions, vertical integration is restricted, and thus activities in the
generation, transmission and distribution segments must be developed by different companies. The Antitrust Law for the Electricity Sector regulates the cases in which vertical and horizontal integration is admissible.

An authorization is compulsory for those electricity companies that hold more than 5% of another business segment, either before or as a
result of a merger or integration. An authorization is also required for the horizontal integration of generation, transmission and distribution activities which result in a market share of 15% or higher of any business segment, either before
or as a result of any operation.

Such authorizations are granted by the Institute for Defense of the Consumer and Intellectual Property,
using the market share information provided by Osinergmin.

Regulation of Generation Companies

Concessions

Generation companies that own or operate a power plant with an installed capacity greater than 500 kW require a concession granted by the
MINEM. A concession for electricity generation activity is an agreement between the generator and the MINEM, while an authorization is merely a unilateral permit granted by said public entity. Authorizations are granted by the MINEM for an unlimited
period of time, although their termination is subject to the same considerations and requirements as the termination of concessions under the procedures set forth in the Law of Electricity Concessions, and its related regulations.

In order to receive a concession, the applicant must first request for a temporary concession of two years, and must subsequently apply for a
definitive concession.

In order to receive an authorization, the applicant must file a petition before the MINEM. If the petition is
admitted and no opposition is presented, the MINEM grants the authorization to develop generation activities for unlimited time, subject to compliance with applicable regulations.



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Dispatch and Pricing

The coordination of electricity dispatch operations, the setting of spot prices and the control and management of economic transactions that
take place in the SEIN are controlled by COES. Generators can sell energy directly to large customers and buy the deficit or transfer the surplus between contracted energy and actual production in the pool at the spot price.
Resolution 080-2012-OS/CD ( 2012) established the criteria and methodology for deciding the real-time operation under exceptional conditions as declared by the MINEM.

Sales by Generation Companies to Unregulated Customers

Sales to unregulated customers are carried out at mutually agreed prices and conditions, which include tolls and compensation for the use of
transmission systems and, if necessary, to distribution companies for the use of their network.

Sales to Distribution Companies and
Certain Regulated Customers

Sales to distributors can be under bilateral contracts at a price no greater than the regulated price
in the case of regulated customers, or at an agreed price in the case of unregulated customers. In addition to the bilateral method allowed under the Law of Electricity Concessions, Law 28,832 has also established the possibility that
distributors may meet their unregulated or regulated customers demand under contracts signed following a capacity and energy supply tender process.

Sales of Capacity to Other Generation Companies

COES determines a firm capacity for each power plant on an annual basis. Firm capacity is the highest capacity that a generator may supply to
the system at certain peak hours, taking into consideration statistical information and accounting for time out of service for maintenance purpose and for extremely dry conditions in the case of hydroelectric plants.

A generation company may be required to purchase or sell capacity in the spot market, depending upon its contractual requirements in relation
to the amount of electricity to be dispatched from such company and to its firm capacity.

Regulatory Charges

In addition to taxes applicable to all industries (mainly an income tax and a value added tax), the electricity industry operators are subject
to a special regulation contribution that compensates the costs incurred by the state in connection with the regulation, supervision and monitoring of the electricity industry. The applicable rate for this contribution is up to 1% of the annual
billing of each company and the funds levied are distributed proportionally to the MINEM and Osinergmin.

Generators that also have
hydroelectric plants pay a water royalty as a function of the hydroelectric energy produced and the regulated energy tariff at peak hours.

Tenders Promoted by the State

During 2009, MINEM carried out several studies which concluded that there will be lack of power generation capacity in the system, in the
near future. MINEM recommended the construction of new power plants that would serve as backup in order to guarantee the flow of electricity to the system and avoid blackouts. As a result, PROINVERSIÓN carried out a public bid in
August 2010, seeking to secure investments for three projects located in Talara, Trujillo and Ilo that will add another 800 MW to the system. The bid resulted in only two of the projects being awarded: Talara (200 MW, for EEPSA, now an
Enersis subsidiary) and Ilo (400 MW, for Enersur, an unrelated company). These plants will receive regular payments for being permanently available to operate and provide energy to the SEIN whenever the COES calls on them and will also be reimbursed
for the fuel costs incurred for generating electricity. The Trujillo generation facility was later substituted by the Eten generation facility, and awarded to Planta de Reserva Fría de Generación de Eten S.A. (200 MW) (the Cold
Reserve Project).



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An international tender was held in 2012 for the concession for the Cold Reserve Project for
the Pucallpa (Ucayali) and Puerto Maldonado (Madre de Dios) plants, which were awarded to Consorcio Energía Perú S.A. The term for the construction of the plants will be 30 months from the signing of the contracts and the
concession covers a period of 20 years plus the construction period. The Pucallpa thermal plant will require an investment of around US$ 31.5 million and will have a capacity between 35 and 40 MW, covering 80% of the energy
demand. The Puerto Maldonado thermal plant will require an investment of around US$ 18.5 million, will have a capacity between 15 and 18 MW, covering 100% of the energy demand.

PROINVERSIÓN established February 28, 2013 as the date to submit offers for the international public tender that is intended to
promote private investments for the Hydroelectric Plants project (CH Molloco310 MW), which is located in the hills of the Arequipa region.

Services provided by generation, transmission, and distribution companies have to comply with technical standards stated in the Technical
Regulations on the Quality of the Electric Supply. Failure to do so might result in the imposition of fines by Osinergmin.

Generators receive a capacity
payment whose main component is the annuity of a peak-load plant. However, to be eligible to obtain this charge, plants have to be part of the reserve margin established annually by Osinergmin. The capacity ranking is constructed in base of firm
power of every power plant connected to the system and their relative efficiency (ordered by variable costs). Only those plants that appear in the ranking as required to cover the peak demand plus the reserve margin obtain capacity payment. Every
year, Osinergmin sets the power price that shall be assigned and paid to each generator pursuant to this concept.

Electricity Exports and Imports

A 220 kV transmission line has been implemented for the interconnection with Ecuador, with a limited capacity of 160 MW.
However, the line has not operated continuously because of regulatory issues. During June and August 2011, Peru imported energy from Ecuador due to the lack of generation in northern Peru and transmission problems to that zone in the SEIN.
In 2012, Peru imported 4.5 GWh of electricity from Ecuador due to the maintenance of the Talara Zorritos line (3.9 GWh in February 2012) and the TGN4 Malacas power plant (0.6 GWh in March 2012). All of the exports to Ecuador
totaling 5.5 GWh occurred in August and September 2012 (1.9 GWh and 3.6 GWh, respectively.)

Internal regulations were also
approved for the application of Decision 757 of the Andean Community of Nations (CAN in its Spanish acronym), which establishes that when bilateral electricity transactions are carried out with other countries of the CAN, the
Economic Operation Committee of the SEIN should send to the MINEM and to Osinergmin weekly reports showing that priority has been given to supplying the domestic market (Supreme Decree 011-2012-EM).

In addition to the interconnection with Ecuador, the governments of Peru and Brazil in 2010 signed the Agreement between the
Republic of Peru and the Federal Republic of Brazil for the supply of electricity to Peru and export of surpluses to Brazil, with the main purpose of exploiting Peruvian hydroelectric resources in the Amazon basin. In January 2012, Peru
created a commission to handle the aspects contemplated in that agreement. The general framework establishes that the accumulated capacity of the generation plants that can be committed to export to Brazil is a maximum of 7,200 MW and dispatch
will have the following order of priority: (i) the Peruvian regulated market, (ii) the Peruvian unregulated market, and lastly, (iii) the Brazilian market. As of the date of this Report, the process is on hold, and is expected to be
approved by the Peruvian Congress that currently is under the study of the Commission of Andean, Amazonian and Afro-Peruvian Peoples, Environment and Ecology.

The governments of Peru and Chile have established a bilateral working group to discuss energy matters. The purpose of the working group is to
identify and take advantage of the potential synergies between the two countries. The first few meetings of this group took place in 2011. At the request of the presidents of both nations, the working



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group is expected to propose a framework for an agreement in connection with both countries electricity integration that would establish the general rules for energy exchanges between them.
As of the date of this Report, both countries have conducted negotiations but a final agreement is still pending.

Regulation in Transmission

Transmission activities are divided in two categories: principal, which are for common use and allow the flow of energy through
the national grid; and secondary, which are those lines that connect a power plant with the national grid that connects principal transmission with the distribution network or that connect directly to certain final customers.
Law 28,832 also defined guaranteed transmission systems and supplementary transmission systems, applicable to projects commissioned after the enactment of that law. Guaranteed system lines are the result of a public bid
and supplementary system lines are freely constructed and exploited as private projects. Principal and guaranteed system lines are accessible to all generators and allow electricity to be delivered to all customers. Transmission concessionaires
receive an annual fixed income, as well as variable tariff revenues and connection tolls per kW. The secondary and complementary system lines are accessible to all generators but are used to serve only certain customers who are responsible for
making payments related to their use of the system.

Environmental Regulation

The environmental legal framework applicable to energy related activities in Peru is set forth in the Environmental Law (Law 28,611/2005)
and in the Regulation for Environmental Protection regarding Electricity Activities (Supreme Decree 029-94-EM). The MINEM dictates the specific environmental legal dispositions applicable to electricity activities, and Osinergmin is in charge
of supervising certain aspects of their application and implementation. According to the Environmental Law, the Peruvian Ministry of Environment has the principal duties of (i) designing the general environmental policies to every productive
activity; and (ii) establishing the main guidelines of the different government authorities for their specific environmental sector regulations. During 2010, most supervision functions regarding the application and implementation of the
Environmental Laws dispositions were transferred from Osinergmin to the Peruvian Ministry of the Environment.

Renewable Energy
Resources (RER) for electricity generation are considered to be from biomass, wind, solar, geothermal and tidal sources, plus hydroelectric plants whose installed capacity does not exceed 20 MW.

In 2008, the authority issued regulations to promote the use of RER. The principal investment incentives established by these regulations
are (i) an objective percentage of national electricity consumption, set every five years, to be covered by RER-based electricity generation, not including hydroelectric plants (for the first five-year period, this percentage is 5%);
(ii) through tenders of energy to be covered by RER, the winning investor is guaranteed a firm price for the energy injected into the system during the supply contract period of up to 20 years; and (iii) priority in the dispatch of
load and access to transmission and distribution networks.

The second RER tender was made in August 2011 for the 1,300
GWh/year, which must be generated from non-hydroelectric sources. Out of 21 initiatives proposed, 473 GWh were awarded to three projects.

In addition, other regulations establish tax incentives, including (i) accelerated depreciation of assets for income tax purposes, and
(ii) the advanced recovery of the sales tax. In 2011, the permanent congressional commission approved Law 29,764 extending these tax benefits through 2020.

Law 29,968/2012 created the National Environmental Certification Service for Sustainable Investments (SENACE in its Spanish
acronym), a specialized public organization with technical autonomy and a separate legal constitution, reporting to the Peruvian Ministry of the Environment. This organization is responsible for reviewing and approving detailed environmental impact
studies of public, private or mixed capital investment projects, whether national or multi-regional, that involve activities, construction and other commercial and service activities whose characteristics, importance and/or location can result in
significant environmental impacts, with the exception of those expressly excluded by Supreme Decree with the consenting vote of the Council of Ministers.



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SENACE seeks to implement just one system of environmental administrative procedures to guarantee
sustainable investments through the implementation of a sole window of environmental certification.

Raw Materials

For information regarding Enersis raw materials, please see Item 11. Quantitative and Qualitative Disclosures About Market
Risk  Commodity Price Risk.



|C. | Organizational Structure.
|-- | -------------------------

Principal Subsidiaries and Affiliates

We are part of a group led by the Italian company, Enel. Enel owns 92.1% of Endesa Spain, which beneficially owns 60.6% of Enersis
directly and through its Spanish subsidiary, Endesa Latinoamérica, and Enersis in turn owns 60% of Endesa Chile. Enel publicly trades on the Milan Stock Exchange, is headquartered in Italy and is primarily engaged in the energy sector,
with a presence in 40 countries worldwide, and approximately 99 GW of net installed capacity. It provides service to more than 61 million customers through its electricity and gas businesses.



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The following chart shows our most important operating subsidiaries and jointly-controlled
companies as of December 31, 2013.



|
|
|

LOGO



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The companies listed in the following table were consolidated by us as of December 31, 2013.
In the case of subsidiaries, our economic interest is calculated by multiplying our percentage economic interest in a directly held subsidiary by the percentage economic interest of any entity in the chain of ownership of such ultimate subsidiary.



|                                              |  |                                                      |      |  |                                                                 |  |         |                                                              |  |  |       | 
|--------------------------------------------- |  | ---------------------------------------------------- | ---- |  | --------------------------------------------------------------- |  | ------- | ------------------------------------------------------------ |  |  | ----- | 
|Principal Companies and Country of Operations |  | % EconomicOwnership of MainSubsidiary byEndesa Chile |      |  | Consolidated Assetsof Each MainSubsidiary on aStand-alone Basis |  |         | Operating Income ofEach MainSubsidiary on aStand-alone Basis | 
|Electricity Generation                        |  | (in %)                                               |      |  | (in billions of Ch$)                                            | 
|Celta (Chile) (1)                             |  |                                                      | 96.2 |  |                                                                 |  | 596.8   |                                                              |  |  | 103.0 | 
|Pehuenche (Chile)                             |  |                                                      | 92.7 |  |                                                                 |  | 251.4   |                                                              |  |  | 144.0 | 
|El Chocón (Argentina)                         |  |                                                      | 65.4 |  |                                                                 |  | 147.7   |                                                              |  |  | 14.2  | 
|Endesa Costanera (Argentina)                  |  |                                                      | 75.7 |  |                                                                 |  | 142.8   |                                                              |  |  | 21.1  | 
|Emgesa (Colombia) (2)                         |  |                                                      | 26.9 |  |                                                                 |  | 2,028.4 |                                                              |  |  | 363.9 | 
|Edegel (Peru)                                 |  |                                                      | 62.5 |  |                                                                 |  | 776.6   |                                                              |  |  | 95.9  | 
|Other Non-Electricity Business                |  |                                                      |      |  |                                                                 |  |         |                                                              |  |  |       | 
|Túnel El Melón (Chile)                        |  |                                                      | 100  |  |                                                                 |  | 22.3    |                                                              |  |  | 6.5   | 



|(1) | Includes Endesa Eco and San Isidro, which were merged into Celta in 2013.
|--- | -------------------------------------------------------------------------

|(2) | We hold 31.3% of Emgesas voting shares and, due to a transfer of rights from Enersis, we have the right to appoint the majority of the Board members, and we effectively control Emgesa.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Celta (Chile)

Celta was formed
in 1995 to build and operate two thermoelectric plants in the SING: a coal-fired plant with an installed capacity of 158 MW and a gas/fuel oil power plant with 24 MW of installed capacity. On November 1, 2013, Endesa Eco
(including San Isidro and Pangue) was merged into Celta. This merger was completed under the organizational simplification announced by Endesa Chile on February 29, 2012.

Pehuenche (Chile)

Pehuenche, a
generation company connected to the SIC, owns three hydroelectric facilities south of Santiago in the hydrological basin of the Maule River, with a total installed capacity of 699 MW. The 570 MW Pehuenche plant began operations
in 1991, the 89 MW Curillinque plant began operations in 1993, and the 40 MW Loma Alta plant began operations in 1997. Endesa Chile holds 92.7% of Pehuenche.

El Chocón (Argentina)

El
Chocón is an electricity generation company, incorporated in Argentina, located between the Neuquén and Río Negro provinces, in the Comahue Basin in southern Argentina. It has two hydroelectric power stations with an aggregate
installed capacity of 1,328 MW. A 30-year concession, which expires in 2023, was granted by the Argentine government to our subsidiary, Hidroinvest S.A., which bought 59.0% of the shares in July 1993 during the privatization
process. Endesa Chile operates El Chocón for a fee pursuant to an operating agreement with a term equal to the duration of the concession.

Endesa Costanera (Argentina)

Endesa
Costanera is a publicly held electricity generation company in Argentina, with 2,324 MW of total installed capacity in Buenos Aires, including six steam turbines with an aggregate capacity of 1,138 MW which burn oil and gas, and two
natural gas combined-cycle facilities with a total capacity of 1,186 MW. Endesa Costanera was acquired from the Argentine government after the privatization of Servicios Eléctricos del Gran Buenos Aires S.A.

Emgesa (Colombia)

Emgesa has a total
installed generating capacity of 2,925 MW, 85% of which corresponds to hydroelectric power plants and 15% to thermoelectric power plants. Empresa de Energía de Bogotá S.A. has a direct 51.5% equity



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interest in Emgesa. Endesa Chiles beneficial ownership in Emgesa is 26.9%; however, it has 31.3% of the voting rights, and due to a transfer of rights from Enersis, Endesa Chile
has the right to appoint the majority of the Board members and, therefore, controls Emgesa.

Edegel (Peru)

Edegel, an electricity generation company, was acquired by Endesa Chile in 1995. It currently owns seven hydroelectric plants and two
thermal plants, with a combined installed capacity of 1,540 MW. In October 2009, Endesa Chile purchased an additional 29.4% stake in Edegel from Generalima, S.A.C., a subsidiary of Enersis. Consequently, Endesa Chile increased its
beneficial ownership in Edegel from 33.1% to 62.5%.

Edegel holds an 80% share of Chinango S.A.C., and Peruana de
Energía S.A.A. (an unaffiliated entity) owns the remaining 20% share.

Túnel El Melón (Chile)

Túnel El Melón is a 2.5 kilometer two-lane highway tunnel, located between the provinces of Petorca and Quillota,
Valparaíso Region, Chile. The tunnel operations will take place until the termination of the concessions contractual period in June 2016.

Selected Associates and Jointly-Controlled Companies

Electrogas (Chile)

Electrogas was
incorporated in 1996. This company offers natural gas transportation services to the Valparaíso Region in Chile, especially to the San Isidro and Nehuenco combined-cycle plants at Quillota. Endesa Chile has a 42.5% beneficial
interest in this company. The other shareholders are Colbún S.A. and Empresa Nacional del Petróleo S.A. (ENAP) (both unaffiliated entities).

Cemsa (Argentina)

Cemsas
principal activities are electricity and fuel oil trading. Cemsa has executed several agreements with Argentine electricity power stations to support its supply contracts. The power stations that provide Cemsas electricity supply contracts
are: Endesa Costanera S.A., Central Dock Sud S.A., Centrales Térmicas del Noroeste S.A., and El Chocón. Endesa Chile has an indirect ownership interest of 45% in Cemsa, and its other shareholder is Enersis.

Endesa Brasil (Brazil)

In 2005,
Endesa Brasil was formed to manage all Brazilian generation, transmission and distribution assets that Endesa Latinoamérica, a subsidiary of Endesa Spain, held together with Enersis, Endesa Chile and Chilectra. Endesa Brasil consolidates
operations of two generation companies (Cachoeira Dourada and Endesa Fortaleza, both operated by us), the transmission company CIEN, as well as two distribution companies (Ampla and Coelce). Endesa Fortaleza is a combined-cycle power plant
of 322 MW fueled by natural gas, with a capacity to generate one-third of the electricity requirements of the State of Ceará, a state with a population of 8.2 million people. Cachoeira Dourada is a hydro run of the river plant
using the flows from the Paranaiba River, with ten generating units totaling 665 MW of installed capacity, located in the State of Goias. CIEN is a Brazilian transmission and trading company wholly owned by Endesa Brasil, transmits electricity
through two owned transmission lines between Argentina and Brazil covering a distance of 500 kilometers, with a total interconnection capacity of 2,100 MW. Ampla is the second largest electricity distribution company in the State of Rio de
Janeiro, Brazil, in terms of the number of customers and annual energy sales. Ampla is engaged mainly in the distribution of electricity to 66 municipalities of the State of Rio de Janeiro and serves 2.8 million customers in a concession
area of 32,615 square kilometers. Coelce is the sole electricity distributor in the State of Ceará, in northeastern Brazil, and serves over 3.2 million customers within a concession area of 148,825 square kilometers.
Endesa Chile has a beneficial interest of 37.1% in Endesa Brasil and accounts for this unconsolidated investment under the equity method.



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GNL Quintero (Chile)

GNL Quintero was incorporated in March 2007. Endesa Chile has a 20% ownership interest, and the remaining interest is owned by British
Gas (20%), ENAP (20%), Metrogas (20%) and Enagas (20%). This company operates a LNG regasification facility located in Quintero Bay whereby LNG is unloaded, stored and regasified.

This project was built by Chicago Bridge & Iron and currently has a regasification capacity of 9.6 million m3 per day
and two 160,000 m3 LNG containment tanks.

HidroAysén (Chile)

HidroAysén was incorporated in March 2007. Endesa Chile has a 51% ownership interest and Colbún S.A. the
remaining 49%. The company was created to develop and exploit a hydroelectric project located in the Aysén Region, in the southern region of Chile.

GasAtacama (Chile)

Endesa Chile has
a 50% beneficial interest in GasAtacama, located in the northern region of Chile. GasAtacama has a four-unit combined cycle power plant of 780 MW and a gas pipeline that allows for the import of gas from Argentina. Since 2007,
Southern Cross Latin America Private Equity Fund III, L.P. owns the remaining 50% beneficial interest.

Transquillota (Chile)

Transquillota was incorporated in June 1997, as part of an agreement between San Isidro and Colbún, for the joint development of
a 220 kV transmission line for dispatching the energy produced and connecting San Isidro (which is now merged with Celta, an Endesa Chile subsidiary) and Nehuenco (a subsidiary of Colbún) plants to the Central Interconnected Electric
System (SIC). The 220 kV transmission line is 8 kilometers long. The property is equally divided among Endesa Chile and Nehuenco. Endesa Chiles economic interest is 50%.

For additional information on all of Endesa Chiles subsidiaries and jointly-controlled companies, please refer to Appendix 1 of our
Consolidated Financial Statements.



|D. | Property, Plant and Equipment.
|-- | ------------------------------

In Chile, Endesa Chile owns 27 generation power
plants. Endesa Chile also consolidates revenues from other non wholly-owned generation companies in Argentina, Colombia and Peru, which involve an additional 25 generation power plants.

A substantial portion of Endesa Chiles cash flow and net income is derived from the sale of electricity produced by its electricity
generation facilities. Significant damage to one or more of Endesa Chiles main electricity generation facilities or interruption in the production of electricity, whether as a result of an earthquake, flood, volcanic activity or any other such
cause, could have a material adverse effect on their operations. Endesa Chile insures all of its electricity generation facilities against damage due to earthquakes, fires, floods, other acts of god (but not for prolonged droughts, which are a
force majeure risk not covered by insurance companies) and from damage due to third-party actions, based on the appraised value of the facilities as determined from time to time by an independent appraiser. Based on geological, hydrological
and engineering studies, management believes that the risk of an event with a material adverse effect is remote. Claims under Endesa Chiles insurance policies are subject to customary deductibles and other conditions. Endesa Chile also
maintains business interruption insurance providing for coverage for failure of any of our facilities for a period of up to 24 months, including the deductible period.

The insurance coverage taken for non-Chilean property is approved by each companys management, taking into account the quality of the
insurance companies and the needs, conditions and risk evaluations of each generating facility, and is based on general corporate guidelines.

All insurance policies are purchased from reputable international insurers. We continuously monitor and meet with the insurance companies in
order to obtain what we believe is the most commercially reasonable insurance coverage.



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The following table identifies the power plants that we own, at the end of each year, and their
basic characteristics:



|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|-------------------------- |  | ------------------- |  | -------------------------------------- |  | ------------------ | ----- |  | ---- |  | ----- | ---- |  |  | ----- | 
|                           |  |                     |  |                                        |  | Installed capacity |      
|Country/Company            |  | Power Plant Name    |  | Power Plant Type (1)                   |  | 2013               |       |  | 2012 |  |       | 2011 | 
|                           |  |                     |  |                                        |  | (in MW)            |      
|Chile                      |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|Endesa Chile               |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Rapel               |  | Reservoir                              |  |                    | 377   |  |      |  | 377   |      |  |  | 377   | 
|                           |  | Cipreses            |  | Reservoir                              |  |                    | 106   |  |      |  | 106   |      |  |  | 106   | 
|                           |  | El Toro             |  | Reservoir                              |  |                    | 450   |  |      |  | 450   |      |  |  | 450   | 
|                           |  | Los Molles          |  | Pass-through                           |  |                    | 18    |  |      |  | 18    |      |  |  | 18    | 
|                           |  | Sauzal              |  | Pass-through                           |  |                    | 77    |  |      |  | 77    |      |  |  | 77    | 
|                           |  | Sauzalito           |  | Pass-through                           |  |                    | 12    |  |      |  | 12    |      |  |  | 12    | 
|                           |  | Isla                |  | Pass-through                           |  |                    | 70    |  |      |  | 70    |      |  |  | 70    | 
|                           |  | Antuco              |  | Pass-through                           |  |                    | 320   |  |      |  | 320   |      |  |  | 320   | 
|                           |  | Abanico             |  | Pass-through                           |  |                    | 136   |  |      |  | 136   |      |  |  | 136   | 
|                           |  | Ralco               |  | Reservoir                              |  |                    | 690   |  |      |  | 690   |      |  |  | 690   | 
|                           |  | Palmucho            |  | Pass-through                           |  |                    | 34    |  |      |  | 34    |      |  |  | 34    | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total hydroelectric |  |                                        |  |                    | 2,290 |  |      |  | 2,290 |      |  |  | 2,290 | 
|                           |  | Bocamina (2)        |  | Steam Turbine/Coal                     |  |                    | 478   |  |      |  | 478   |      |  |  | 128   | 
|                           |  | Diego de Almagro    |  | Gas Turbine/ Diesel Oil                |  |                    | 24    |  |      |  | 24    |      |  |  | 24    | 
|                           |  | Huasco              |  | Gas Turbine/IFO 180 Oil                |  |                    | 64    |  |      |  | 64    |      |  |  | 64    | 
|                           |  | Taltal              |  | Gas Turbine/Natural Gas+Diesel Oil     |  |                    | 245   |  |      |  | 245   |      |  |  | 245   | 
|                           |  | San Isidro 2        |  | Combined Cycle /Natural Gas+Diesel Oil |  |                    | 399   |  |      |  | 399   |      |  |  | 399   | 
|                           |  | Quintero            |  | Gas Turbine/Natural Gas+Diesel Oil     |  |                    | 257   |  |      |  | 257   |      |  |  | 257   | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total thermal       |  |                                        |  |                    | 1,467 |  |      |  | 1,467 |      |  |  | 1,117 | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total               |  |                                        |  |                    | 3,757 |  |      |  | 3,757 |      |  |  | 3,407 | 
|Pehuenche                  |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Pehuenche           |  | Reservoir                              |  |                    | 570   |  |      |  | 570   |      |  |  | 570   | 
|                           |  | Curillinque         |  | Pass-through                           |  |                    | 89    |  |      |  | 89    |      |  |  | 89    | 
|                           |  | Loma Alta           |  | Pass-through                           |  |                    | 40    |  |      |  | 40    |      |  |  | 40    | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total               |  |                                        |  |                    | 699   |  |      |  | 699   |      |  |  | 699   | 
|Pangue (3)                 |  | Pangue              |  | Reservoir                              |  |                    |      |  |      |  |      |      |  |  | 467   | 
|San Isidro (3) (4)         |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | San Isidro          |  | Combined Cycle /Natural Gas+Diesel Oil |  |                    |      |  |      |  | 379   |      |  |  | 379   | 
|                           |  | Pangue              |  | Reservoir                              |  |                    |      |  |      |  | 467   |      |  |  |      | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total               |  |                                        |  |                    |      |  |      |  | 846   |      |  |  | 379   | 
|Endesa Eco (4)             |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Canela              |  | Wind Farm                              |  |                    |      |  |      |  | 18    |      |  |  | 18    | 
|                           |  | Canela II           |  | Wind Farm                              |  |                    |      |  |      |  | 60    |      |  |  | 60    | 
|                           |  | Ojos de Agua        |  | Pass-through                           |  |                    |      |  |      |  | 9     |      |  |  | 9     | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total               |  |                                        |  |                    |      |  |      |  | 87    |      |  |  | 87    | 
|Celta (4)                  |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Tarapacá            |  | Steam Turbine/Coal                     |  |                    | 158   |  |      |  | 158   |      |  |  | 158   | 
|                           |  | Tarapacá            |  | Gas Turbine/Diesel Oil                 |  |                    | 24    |  |      |  | 24    |      |  |  | 24    | 
|                           |  | San Isidro          |  | Combined Cycle /Natural Gas+Diesel Oil |  |                    | 379   |  |      |  |      |      |  |  |      | 
|                           |  | Pangue              |  | Reservoir                              |  |                    | 467   |  |      |  |      |      |  |  |      | 
|                           |  | Canela              |  | Wind Farm                              |  |                    | 18    |  |      |  |      |      |  |  |      | 
|                           |  | Canela II           |  | Wind Farm                              |  |                    | 60    |  |      |  |      |      |  |  |      | 
|                           |  | Ojos de Agua        |  | Pass-through                           |  |                    | 9     |  |      |  |      |      |  |  |      | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|                           |  | Total               |  |                                        |  |                    | 1,115 |  |      |  | 182   |      |  |  | 182   | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 
|Total capacity in Chile(5) |  |                     |  |                                        |  |                    | 5,571 |  |      |  | 5,571 |      |  |  | 5,221 | 
|                           |  |                     |  |                                        |  |                    |       |  |      |  |       |      |  |  |       | 



|(1) | Reservoir and Pass-through refer to hydroelectric plants that use the force of a dam or a river, respectively, to move the turbines which generate electricity. Steam refers to thermal
power plants fueled with natural gas, coal, diesel or fuel oil to produce steam that moves the turbines. Gas Turbine (GT) or Open Cycle refers to thermal power that uses either diesel or natural gas to
produce gas that moves the turbines. Combined Cycle refers to a thermal power plant fueled with natural gas, diesel oil, or fuel oil to generate gas that first moves a turbine and then recovers the gas that escapes from that process to
generate steam to move a second turbine.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | On October 28, 2012, Bocamina II (350 MW) commenced commercial operation.
|--- | -------------------------------------------------------------------------

|(3) | Empresa Eléctrica Pangue S.A. was merged with San Isidro on May 2, 2012. San Isidro was the surviving company.
|--- | --------------------------------------------------------------------------------------------------------------

|(4) | San Isidro S.A. merged with Endesa Eco S.A. on September 1, 2013, and the latter remained the surviving company. Subsequently, Endesa Eco S.A. merged with Celta S.A. on November 1, 2013, and Celta S.A.
remained as the surviving company.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(5) | For comparative purposes we have subtracted 50% of the capacity of our jointly-controlled company, GasAtacama (390 MW for 2011 and 2012 figures) since we account for it under the equity method as of
January 1, 2013 pursuant to IFRS 11.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|--------------------------- |  | ------------------------------------- |  | ------------------------------------- |  | ------------------ | ------ |  | ---- |  | ------ | ---- |  |  | ------ | 
|                            |  |                                       |  |                                       |  | Installed Capacity |       
|Country/Company             |  | Power Plant Name                      |  | Power Plant Type                      |  | 2013               |        |  | 2012 |  |        | 2011 | 
|                            |  |                                       |  |                                       |  | (in MW)            |       
|Argentina                   |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|Endesa Costanera            |  | Endesa Costanera Steam Turbine        |  | Steam Turbine/Natural Gas+Fuel Oil    |  |                    | 1,138  |  |      |  | 1,138  |      |  |  | 1,138  | 
|                            |  | Endesa Costanera Combined Cycle II    |  | Combined Cycle/Natural Gas+Diesel Oil |  |                    | 859    |  |      |  | 859    |      |  |  | 859    | 
|                            |  | Central Buenos Aires Combined Cycle I |  | Combined Cycle/Natural Gas            |  |                    | 327    |  |      |  | 327    |      |  |  | 327    | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|                            |  | Total                                 |  |                                       |  |                    | 2,324  |  |      |  | 2,324  |      |  |  | 2,324  | 
|El Chocón                   |  | Chocón                                |  | Reservoir                             |  |                    | 1,200  |  |      |  | 1,200  |      |  |  | 1,200  | 
|                            |  | Arroyito                              |  | Pass-through                          |  |                    | 128    |  |      |  | 128    |      |  |  | 128    | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|                            |  | Total                                 |  |                                       |  |                    | 1,328  |  |      |  | 1,328  |      |  |  | 1,328  | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|Total capacity in Argentina |  |                                       |  |                                       |  |                    | 3,652  |  |      |  | 3,652  |      |  |  | 3,652  | 
|                            |  |                                       |  |                                      
|Colombia                    |  |                                       |  |                                       |  |                    |        |  |      |  |        |     
|Emgesa                      |  | Guavio                                |  | Reservoir                             |  |                    | 1,213  |  |      |  | 1,213  |      |  |  | 1,213  | 
|                            |  | Paraíso                               |  | Reservoir                             |  |                    | 276    |  |      |  | 276    |      |  |  | 276    | 
|                            |  | La Guaca                              |  | Pass-through                          |  |                    | 325    |  |      |  | 325    |      |  |  | 325    | 
|                            |  | Termozipa                             |  | Steam Turbine/Coal                    |  |                    | 236    |  |      |  | 236    |      |  |  | 236    | 
|                            |  | Cartagena                             |  | Steam Turbine/ Natural Gas            |  |                    | 208    |  |      |  | 208    |      |  |  | 208    | 
|                            |  | Minor plants (1)                      |  | Pass-through                          |  |                    | 77     |  |      |  | 116    |      |  |  | 116    | 
|                            |  | Betania                               |  | Reservoir                             |  |                    | 541    |  |      |  | 541    |      |  |  | 541    | 
|                            |  | Dario Valencia (2)                    |  | Pass-through                          |  |                    | 50     |  |      |  |       |      |  |  |       | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|Total capacity in Colombia  |  |                                       |  |                                       |  |                    | 2,926  |  |      |  | 2,914  |      |  |  | 2,914  | 
|                            |  |                                       |  |                                      
|Peru                        |  |                                       |  |                                       |  |                    |        |  |      |  |        |     
|Edegel                      |  | Huinco                                |  | Pass-through                          |  |                    | 247    |  |      |  | 247    |      |  |  | 247    | 
|                            |  | Matucana (3)                          |  | Pass-through                          |  |                    | 133    |  |      |  | 129    |      |  |  | 129    | 
|                            |  | Callahuanca                           |  | Pass-through                          |  |                    | 80     |  |      |  | 80     |      |  |  | 80     | 
|                            |  | Moyopampa                             |  | Pass-through                          |  |                    | 66     |  |      |  | 66     |      |  |  | 66     | 
|                            |  | Huampani                              |  | Pass-through                          |  |                    | 30     |  |      |  | 30     |      |  |  | 30     | 
|                            |  | Santa Rosa (4) (5)                    |  | Gas Turbine/Diesel Oil                |  |                    | 305    |  |      |  | 426    |      |  |  | 429    | 
|                            |  | Ventanilla (4)                        |  | Combined Cycle/Natural Gas            |  |                    | 485    |  |      |  | 485    |      |  |  | 493    | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|                            |  | Total                                 |  |                                       |  |                    | 1,346  |  |      |  | 1,463  |      |  |  | 1,474  | 
|Chinango                    |  | Yanango                               |  | Pass-through                          |  |                    | 43     |  |      |  | 43     |      |  |  | 43     | 
|                            |  | Chimay                                |  | Pass-through                          |  |                    | 151    |  |      |  | 151    |      |  |  | 151    | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|                            |  | Total                                 |  |                                       |  |                    | 194    |  |      |  | 194    |      |  |  | 194    | 
|Total capacity in Peru      |  |                                       |  |                                       |  |                    | 1,540  |  |      |  | 1,657  |      |  |  | 1,668  | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 
|Consolidated capacity       |  |                                       |  |                                       |  |                    | 13,689 |  |      |  | 13,795 |      |  |  | 13,455 | 
|                            |  |                                       |  |                                       |  |                    |        |  |      |  |        |      |  |  |        | 



|(1) | Minor plants have an aggregate capacity of 77 MW. As of December 31, 2013 Emgesa owned and operated four minor plants: Charquito, El Limonar, Tequendama and San Antonio. In October 2013, the La Tinta (19.5 MW)
and La Junca (19.5 MW) were decommissioned.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | In November 2013, the Dario Valencia (50 MW) power plant began commercial operations.
|--- | -------------------------------------------------------------------------------------

|(3) | In June 2013, the Matucana power plant increased its installed capacity by 4 MW.
|--- | --------------------------------------------------------------------------------

|(4) | The installed capacity of this power plant in 2012 was the result of tests made by the COES.
|--- | --------------------------------------------------------------------------------------------

|(5) | In October 2013, unit TG 07 (121 MW) of the Santa Rosa power plant was decommissioned.
|--- | --------------------------------------------------------------------------------------



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As of December 31, 2013, Endesa Chile received the ISO 14,001 certification
for 97.4% of its installed capacity in South America, which included 51 out of 52 generation facilities that produced 95.9% of the total annual generation in accordance with the ISO 14,001 standard.

Projects Under Construction

Colombia. El Quimbo Hydroelectric Project

El Quimbo hydroelectric project is located in the province of Huila, on the Magdalena River, upstream of the Betania power plant. Its
installed capacity will be 400 MW through two generation units. The construction began in December 2010, and completion is expected by July 2015.

In 2008, as a result of the awarding process, Emgesa assumed a firm energy obligation for El Quimbo starting in December 2014 and
increasing annually from 1.1 GWh/day during the first year up to 4.5 GWh/day from December 2017 to November 2034. In 2009, the Colombian Ministry of the Environment approved the environmental license and granted building
permission.

The principal contracts, corresponding to the civil works and the manufacturing, supply and assembly of the equipment, were
awarded to the Impregilo-OHL consortium and the Alstom - Schrader Camargo consortium.

The main advances in construction in 2013
were:



| |  |  | In February 2013 we finished phase one of the dam fillings.
| | - |  | -----------------------------------------------------------



| |  |  | In June 2013 we started activities associated with the Construction of Substitutes for Roads and Bridges contract.
| | - |  | --------------------------------------------------------------------------------------------------------------------



| |  |  | In October 2013 the beam tracks for assembling the first bridge crane were in place.
| | - |  | ------------------------------------------------------------------------------------

In
accordance with the equipment contract, we received the first turbine parts for the first unit at the site on December 3, 2012. In April 2013, we received the predistributor of unit 1, and in August, we received the predistributor of
unit 2.

This project is being financed primarily with external sources, through local and international bonds. The estimated total
investment is Ch$ 699,179 million of which Ch$ 342,696 million was accrued as of December 31, 2013.

Colombia. Salaco
Hydroelectric Project

The Salaco project consists of adding 145 MW of capacity to the current hydro cascade of the Bogotá
River, through major maintenance and modernization of six generating units that have been out of service. The units to be refurbished are located in three generating stations: Salto II (increasing capacity from 19.4 MW to 35.0 MW), Laguneta
(increasing capacity from 18.0 MW to 36.0 MW) and Dario Valencia (increasing capacity from 38.8 MW to 150.0 MW), all of which were previously being marginally dispatched as small hydro plants. The increase in capacity will generate an additional 482
GWh per year, approximately.

Renovation work began in February 2013 and is expected to be completed in 2015. On November 6, 2013,
Dario Valencias HPP unit 2 (50.0 MW) resumed commercial operation.

This project is being financed with internally generated funds.
The total estimated investment is Ch$ 22,925 million of which Ch$ 11,332 million was accrued as of December 31, 2013.



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Projects Under Development

The total investment of each project described below was translated into Chilean pesos at the exchange rate of Ch$ 524.61 per
U.S. dollar, the Observed Exchange Rate for December 31, 2013. Budgeted amounts include connecting lines that could eventually be owned by third parties and paid as tolls, unless otherwise indicated

We continuously analyze different growth opportunities in the countries in which we participate. Thus, the expected start-up for each project
is continuously assessed and will be defined based on the commercial opportunities and our financing capacity to fund these projects. The most relevant projects in the pipeline are as follows:

Chile. Los Cóndores Hydroelectric Project

The Los Cóndores project will be located in the Maule region. It consists of a 150 MW run-of-river hydroelectric power plant, which
will use water from the Maule Lake reservoir through a 12 kilometer penstock. The power plant will be connected to the SIC at the Ancoa substation (220 kV) through an 87 kilometer transmission line.

The feasibility study for the project has been completed. It considers the use of TBM technology (Tunnel Boring Machine), which is more
efficient, has higher safety standards and a lower environmental impact for the construction of the tunnel connecting the project to the Maule Lake. The environmental permit for this generation power plant was obtained in 2011. Basic
engineering was completed at the end of 2011.

The transmission line project received its environmental qualification resolution in
May 2012. In May 2013, some administrative claims were solved and the transmission project obtained its final approval. In November 2013, Endesa Chile obtained a hydraulic work permit, authorizing the river course change for the construction of the
plant.

Construction is expected to start in 2014, and completion is estimated for 2018. This project is being financed
primarily with internally generated funds. The estimated total investment is Ch$ 394,960 million, of which Ch$ 18,972 million was accrued as of December 31, 2013.

Chile. Neltume Hydroelectric Project

The Neltume project is located in Los Ríos region, on the upper part of the Valdivia River basin. The Neltume project consists of
a 490 MW installed capacity run-of-river hydro power plant, that will be connected to the SIC through a 42 kilometer 220 kV transmission line from Neltume to Pullinque.

The Neltume power generation project has been under the environmental assessment process since December 2010. During 2011, basic
engineering studies began and supplementary studies for environmental process were carried out. During 2012, basic engineering studies were completed.

During 2013, we prepared and submitted supplemental information (Addenda Number 4) to the environmental authority, both for the plant and for
the transmission line, in response to a fourth consolidated observations report (ICSARA Number 4) issued by the Environmental Evaluation Service (SEA). During the second half of 2013, the SEA initiated the indigenous consultation process
to the communities in the area, so as to know their position about the project and comply with Convention Number 169, Indigenous and Tribal Peoples Convention of the International Labor Organization (ILO).

Construction is expected to start during 2016 and completion is expected for 2021. This project is being financed primarily with internally
generated funds. The estimated total investment is Ch$ 456,905 million, of which Ch$ 23,590 million was accrued as of December 31, 2013.



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Chile. HidroAysén Hydroelectric Project

The HidroAysén hydroelectric project consists of five hydroelectric power plants, with an aggregated installed capacity of 2,750 MW,
two of which are in the Baker River (660 MW and 360 MW) and the other three are in the Pascua River (770 MW, 500 MW and 460 MW). The transmission project will be defined depending on the substation where the complex will be connected to the SIC.

On May 9, 2011, the environmental authority approved the Environmental Impact Assessment Study presented for the HidroAysén
project, with some environmental observations. However, opponents to the project presented 34 claims and HidroAysén presented one claim, all requesting the review of certain requirements established by the environmental
authority. In January 2014, during president Piñeras government, the majority of these claims were resolved by the Council of Ministers, consisting of six public cabinet members and presided over by the Minister of the
Environment. Although the Council should have taken 60 business days to resolve the matters, it took over two years, and it requested additional studies in order to resolve the pending claims.

In March 2014, President Michelle Bachelet took office, and during this month a new Council of Ministers was convened, and it repealed the
decisions taken in January 2014. The new Council stated it would study the issue again and resolve all claims within the 60 business day timeframe established by law.

As of May 2011 (the last project budget review), the estimated investment for Endesa Chiles 51% participation in HidroAysén had
been in the range of US$ 2,700 to US$ 3,200 million. However, the Company is not able to estimate future capital expenditures or an expected start up date because the final Council of Ministers resolution is still pending. The project is
expected to be financed through internally generated funds and, if needed, external financing. As of December 31, 2013 Ch$ 83,223 million has been accrued.

Chile. Punta Alcalde Power Plant

The project consists of the construction of two 370 MW coal-fired thermoelectric power plants located in the Atacama region, totaling
740 MW of installed capacity. The plant will be connected to the SIC at the Maitencillo substation (220 kV) through a 44 kilometer transmission line.

In 2009, we completed and submitted an Environmental Impact Study (EIA) of the generation project to the SEA, which initiated the required
environmental assessment process. In 2012, the regional environmental authority rejected the project. We appealed to the Council of Ministers. Even though it unanimously reversed the decision of the environmental authority, the Court of Appeals
accepted four injunctions against us in early 2013. Ultimately, the Supreme Court ruled in favor of the project in January 2014.

In June
2013, we completed and submitted an Environmental Impact Study (EIA) of the transmission line project to the SEA, which initiated the required environmental assessment process.

Construction is expected to start during 2016 and completion is expected for 2020. This project is being financed primarily with internally
generated funds. The estimated total investment is Ch$ 837,318 million, of which Ch$ 14,491 million was accrued as of December 31, 2013.

Chile. Renaico Wind Farm

This
project is located in the ninth region of Chile, in the town of Renaico. It consists of 44 wind generators of 2 MW each, with a bushing height of 95 meters and a total generation capacity of 255 GWh per year. The energy produced will be
injected into the SIC by two transmission lines: (i) the main line, which will consist of a 27 kilometer, 220 kV simple-circuit line to Bureo substation and (ii) a secondary line, which will consist of a 66 kV line that will tap into
Renaico-Angol transmission line.



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During 2012, the projects basic engineering was finished and tendering processes were
initiated for the projects main contracts. The environmental qualification resolutions for the wind farm and the main transmission line were also obtained. During 2013, the tendering process the supply of equipment, internal connections,
transmission line, substation and the transforming equipment was carried out.

After completing the tendering process and making the
investment decision, construction will be initiated and is expected to last 18 months. This project is being financed primarily with internally generated funds. The estimated total investment is Ch$ 118,118 million, of which Ch$
3,007 million was accrued as of December 31, 2013.

Chile. Taltal Combined Cycle

The project consists of the construction of a steam turbine for converting the existing Taltal gas-fired open cycle plant to a combined cycle
plant, by adding a turbine in the vapor phase, which would use the steam generated by the gas turbines heat emissions to produce energy. Currently, the existing Taltal power plant has two gas turbines of 123 MW each. The extra power to be
added by the steam turbine would be approximately 120 MW and therefore, the Taltal power plant would achieve a total capacity of 366 MW and an efficiency increase.

In December 2013, an optimized Environmental Impact Statement was submitted for approval to the Environmental Evaluation Service. The main
optimization relates to a change in the cooling system, which was originally designed as a wet system (using sea water) and is being modified to a dry cooling system. The energy produced will be supplied to the SIC through the existing 220 kV double
circuit Diego de Almagro  Paposo transmission line.

Construction is expected to begin in 2015 and is expected to be completed in
2017. This project is being financed primarily with internally generated funds. The estimated total investment is Ch$ 131,250 million, of which Ch$ 1,486 million was accrued as of December 31, 2013.

Peru. Curibamba Hydroelectric Project

Curibamba consists of a 188 MW run-of-river power plant and a 134 kilometer transmission line that will connect it to the national
interconnected system at Pachachaca substation (220 kV). This power plant will be located 385 kilometers northeast of Lima, upstream of Chimay hydroelectric power plant (province of Junín), and will use the waters of the Comas and Uchubamba
rivers (86 m3per second) through an 8.1 kilometer penstock.

During 2013, the EIA
study for the first section of the transmission line (Curibamba  Oroya Nueva, 112 kilometers) was approved, while the EIA study for the second section (Oroya Nueva  Pachachaca, 22 kilometers) is currently in its final stage of
assessment. In addition, archaeological permits were successfully obtained for the transmission line and the electrical connection study that was submitted in 2012 was granted COES approval. All documents required to obtain the electricity
concession were submitted to the authority in December 2013.

The bidding process for the projects main contracts (construction,
equipment supply and electrical interconnection) is expected to take place during 2014, and construction is expected to begin during the first quarter of 2015, with completion scheduled for 2019. This project is being financed primarily with
internally generated funds, with an estimated total investment of Ch$ 236,075 million, of which Ch$ 10,755 million has been accrued as of December 31, 2013.

Major Encumbrances

Endesa Costaneras supplier debt with Mitsubishi Corporation corresponds to the remaining payments on equipment purchased from the
Mitsubishi. The value of the assets pledged to secure this debt was Ch$ 24 billion as of December 31, 2013. Additionally, Endesa Costanera has granted liens in favor of Credit Suisse in guarantee of a loan, which were valued at Ch$ 11
billion as of December 31, 2013.



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Climate Change

In recent years, Chile and the region has seen growing development related to non-conventional renewable energy and strategies to combat
climate change. This has led both the public and private sectors to adopt strategies to comply with the new environmental requirements, as evidenced by legal obligations at the local level, commitments assumed by countries at the international
level, and the demanding requirements of the international markets.

Non-conventional renewable energies (NCRE) provide energy
with minimal environmental impact and without CO2 emissions. They are therefore considered as technological options that strengthen sustainable energy development as they supplement the production of traditional generators.

During 2013, Endesa Chile and its subsidiaries held working meetings with different public, academic, and private entities. This was done
in order to learn and share experiences concerning the technical and regulatory developments in connection with NCRE, discuss climate change at both the local and international levels, analyze and establish strategic alliances, develop social and
private projects, and strengthen our leadership position in Chile.

The Canela wind farm (18 MW, in operation since late 2007) and
Canela II wind farm (60 MW, in operation since late 2009) and the Callahuanca hidroelectric power station (80.2 MW installed capacity, in operation since 1938) are the NCRE facilities owned by Enersis, which have contributed with clean and
renewable energy to their respective national grids. Regarding the development of CO2 emission reduction mechanisms, during 2013, the projects in the Clean Development Mechanism (CDM) circuit were as follows:

Canela Wind Farm: On April 3, 2009, the United Nations Framework Convention on Climate Change (UNFCCC) approved the
registration of the Canela project as a CDM project, which recognizes that this wind farm may verify and trade the greenhouse gas emissions that it will avoid during its useful life. During 2013, we continued the CDM verification procedure in
order to meet the requirements of the UNFCCC. Since its registration under the UNFCCC as a CDM project, the installation has avoided approximately 127,171 tons of CO2 emissions, which can be traded in the carbon markets once they are verified.

On August 8, 2013, the Canela wind farm achieved registration under the Gold Standard (GS). This allows Enersis to apply
for the GS verification process, which would provide GS Voluntary Emission Reductions (VER). This is one of the most recognized carbon standards in the market.

Canela II Wind Farm: On August 12, 2012, the UNFCCC approved the registration of the Canela II project as a CDM project, which
recognizes that this wind farm may verify and trade the greenhouse gas emissions that it will avoid during its useful life. Since its registration under the UNFCCC as a CDM project, the Canela II wind farm has avoided approximately 121,485 tons
of CO2 emissions, which can be traded in the carbon markets once they are verified.

Ventanilla Conversion from Single-cycle to
Combined-cycle Power Generation Project: On June 20, 2011, the United Nations Framework Convention on Climate Change (UNFCCC) approved the registration of the project as a CDM, which recognizes that it may verify and trade the
greenhouse gas emissions that it will be avoided during it useful life. During 2013, we continued the CDM verification procedure in order to meet the requirements of the UNFCCC.

On October 31, 2013 Ventanilla Conversion from Single-cycle to Combined-cycle Power Generation Project got the registration/verification
under the VER + standard. A total amount of 2,496,494 tons of CO2 were avoided during the period of October 19, 2006 through June 19, 2011 and as a result, Edegel S.A.A. got a total amount of 2,496,494 pre CDM VERs (2).

The Rehabilitation of the Callahuanca hydroelectric power station project: On January 4, 2008, the United Nations Framework Convention on
Climate Change (UNFCCC) approved the registration of the project as a CDM, which recognizes that it may verify and trade the greenhouse gas emissions that it will be avoided during it useful life. During 2013, we continued the CDM
verification procedure in order to meet the requirements of the UNFCCC.



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On July 7, 2008 the Rehabilitation of the Callahuanca hydroelectric power station project
got the registration/verification under the VER + standard. A total amount of 19 951 tons of CO2 were avoided during the year 2007 and as a result, Edegel S.A.A. got a total amount of 19 951 pre CDMVERs (2).

Detail of CDM Projects Processed in 2013 by Endesa Chile



|                                                                                   |  |                                    |  |                                                                                                     |  |                                |  |                                               
|---------------------------------------------------------------------------------- |  | ---------------------------------- |  | --------------------------------------------------------------------------------------------------- |  | ------------------------------ |  | ----------------------------------------------
|CDM project                                                                        |  | Company/country                    |  | Position as of December 31, 2013                                                                    |  | Emission 
factor(tonsCO2e/MWh) |  | Approximate
emissions avoided
(tons CO2e/year)
|                                                                                   |  |                                    |  |                                                                                                    
|Canela Wind Farm                                                                   |  | Central Eólica Canela S.A. (Chile) |  | Registered with the Executive Authority of the UNFCCC since April 2009. CDM procedure implemented.  |  | 0.5713                         |  | 27,251
(CER not yet verified)
(1)             
|                                                                                   |  |                                    |  |                                                                                                    
|Canela Wind Farm                                                                   |  | Central Eólica Canela S.A. (Chile) |  | Registered with the Gold Standard (Voluntary Standard) since August 2013.                           |  | 0.5713                         |  | 27,251
(VER not yet verified)
(2)             
|                                                                                   |  |                                    |  |                                                                                                    
|Canela II Wind Farm                                                                |  | Central Eólica Canela S.A. (Chile) |  | Registered with the Executive Authority of the UNFCCC since August 2012. CDM procedure implemented. |  | 0.6541                         |  | 37,000
(CER not yet verified)
(1)             
|                                                                                   |  |                                    |  |                                                                                                    
|Ventanilla Conversion from Single-cycle to Combined-cycle Power Generation Project |  | EDEGEL S.A.A. (Peru)               |  | Registered with the Executive Authority of the UNFCCC since 2011. CDM procedure implemented.        |  | 0.454                          |  | 407,296                                       
|                                                                                   |  |                                    |  |                                                                                                    
|Ventanilla Conversion from Single-cycle to Combined-cycle Power Generation Project |  | EDEGEL S.A.A. (Peru)               |  | Registered with the VER + Standard (Voluntary Standard) since October 2013.                         |  | 0.454                          |  | 407,296                                       
|                                                                                   |  |                                    |  |                                                                                                    
|Rehabilitation of the Callahuanca hydroelectric power station                      |  | EDEGEL S.A.A. (Peru)               |  | Registered with the Executive Authority of the UNFCCC since 2008. CDM procedure implemented.        |  | 0.449                          |  | 18,189                                        
|                                                                                   |  |                                    |  |                                                                                                    
|Rehabilitation of the Callahuanca hydroelectric power station                      |  | EDEGEL S.A.A. (Peru)               |  | Registered with the VER + Standard (Voluntary Standard) since July 2008.                            |  | 0.449                          |  | 18,189                                        



|(1) | CER: Certified Emission Reductions.
|--- | -----------------------------------

|(2) | VER: Voluntary Emission Reductions.
|--- | -----------------------------------

In compliance with our group climate change guidelines,
Endesa Chile, together with Endesa Spain, has secured the certification of their carbon footprint for a second time. This means that the independent certification authority of the Spanish Association of Standards and Certification
(Asociación Española de Normalización y Certificación) (AENOR) has acknowledged the validity of the methodology. Acknowledgement by AENOR includes verification of the groups Endesa carbon
footprint 2009-2010-2011 and Endesa carbon footprint 2012 reports, which describe the work carried out by the group to calculate its carbon footprint and the results obtained for those years.

A carbon footprint is the sum of all greenhouse gases (GHGs) produced by a company in the course of its business activity. Endesa
Chile, together with Enersis and as part of Endesa Spains policies, is striving to reduce its emissions due to its commitment to combat climate change. The first step involves measuring our carbon footprint.



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As part of the process of calculating our carbon footprint, we plan to obtain a GHG inventory
including direct emissions, associated with activities controlled by Enersis. We also plan to obtain a GHG inventory of indirect emissions, which are not generated through sources controlled by us, but are consequences of our activities.

The tools used to calculate emissions include audits and checks at all of our facilities. This enables Endesa Chile to monitor its carbon
footprint throughout the entire electricity supply chain. Calculating the carbon footprint also enables us to identify phases of our activities with the greatest potential to boost energy efficiency and reduce emissions.

Item 4A.  Unresolved Staff Comments

None.

Item 5.    Operating and Financial Review and Prospects



|A. | Operating Results.
|-- | ------------------

General

The following discussion should be read in conjunction with our audited consolidated financial statements and the notes thereto, included in
Item 18 in this Report, and Selected Financial Data, included in Item 3 herein. Our audited consolidated financial statements as of December 31, 2013 and 2012 and for the three years ended December 31, 2013 have
been prepared in accordance with IFRS, as issued by the IASB.



|1. | Discussion of Main Factors Affecting Operating Results and Financial Condition of the Company
|-- | ---------------------------------------------------------------------------------------------

We own and operate electricity generation companies in Chile, Argentina, Colombia and Peru. We also have equity investments in Endesa Brasil,
which owns generation companies in Brazil that we operate, as well as companies in the transmission and distribution businesses. Our revenues, cash flow and equity income primarily come from the electricity generation business of Endesa Chile and of
our subsidiaries and associates, which operate in these five countries. For the years ended December 31, 2013, 2012 and 2011, other operating revenues, related primarily to a tunnel concession, represented 0.5%, 0.3% and 0.8%,
respectively, of consolidated total revenues for each year.

Factors such as (i) hydrological conditions, (ii) fuel prices,
(iii) regulatory developments, (iv) exceptional actions adopted by governmental authorities and (v) changes to the economic conditions in countries in which we operate may materially affect our financial results. In addition, our
results from operations and financial condition are affected by variations in the exchange rates between the Chilean peso and the currencies of the other four countries in which we operate. These exchange variations may materially impact in the
consolidation of the results of our companies outside Chile. Lastly, we have certain critical accounting policies that affect our consolidated operating results.

Our diversification strategy aims to balance the impact of significant changes in one country with opposing changes in other countries,
reducing the impact on our consolidated figures. The impact of these factors on us, for the years covered by this Report, is discussed below.

Until December 31, 2012, jointly-controlled companies were consolidated using the proportionate consolidation method. Commencing
January 1, 2013, we began recording these jointly controlled companies using the equity method, as required by IFRS 11, Joint Arrangements. This change affected our accounting for Centrales Hidroeléctricas de Aysén
S.A., Inversiones GasAtacama Holding Ltda. and their subsidiaries and Transmisora Eléctrica de Quillota Ltda. Our audited consolidated financial statements as of and for the years ended December 31, 2012 and 2011 were restated to give
retrospective effect to the application of IFRS 11. These changes do not have any effect on equity or net income, in both cases, attributable to the shareholders of Endesa Chile. Our audited consolidated financial statements as of and for the years
ended December 31, 2010 and 2009 are presented in the form in which they were originally prepared in accordance with IFRS, as issued by the IASB, and do not reflect the application of IFRS 11. For detailed information, refer to Note 2.2 to our
Consolidated Financial Statements and Annex VII.



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|a. | Hydrological Conditions
|-- | -----------------------

A substantial part of our generation capacity depends on the
hydrological conditions prevailing in the countries in which we operate, although only extreme hydrological conditions would generally materially affect the Companys operating results and financial condition. In terms of installed capacity, as
of December 31, 2013 (8,025 MW), 2012 (8,014 MW) and 2011 (8,010 MW), 58.6%, 58.0% and 58.0% of Endesa Chiles consolidated installed capacity, respectively, was hydroelectric. (See Item 4. Information on the
Company  A. History and Development of the Company).

Hydroelectric generation was 28,465 GWh in 2013, 30,732 GWh
in 2012 and 30,555 GWh in 2011. Our 2013 generation was lower than in previous years due to increasingly challenging hydrological conditions in Chile, characterized by low rainfalls and a poor snowmelt. These drought conditions
have prevailed since 2010. Because of this lack of water, hydroelectric generation in Chile had to be substituted with thermal generation and energy purchases on the spot market, both of which incur higher costs, in order to meet our
obligations under contracts with both regulated and unregulated customers.

During 2013, our Bocamina II facilities were able to
substitute most of the energy shortfall which improved margins compared to 2012. As a result of this situation, Chilean operating income increased by 58.5% to Ch$ 272 billion in 2013 from Ch$ 171 billion in 2012.
Consolidated operating income increased by 27.8% to Ch$ 783 billion in 2013 and Ch$ 612 billion in 2012.

Our thermal
generators burn natural gas, LNG, coal or diesel. We can offset the effect of poor hydrological conditions (reservoir levels, rain and snow) with thermal generation and electricity purchases. Our thermal installed capacity and the ability to
purchase electricity from other generators allow us to increase thermal generation and/or purchase electricity from competitors to meet our commitments. In addition, given the industry structure and the percentage of hydroelectric generation
capacity in the countries in which we operate, when hydrological conditions are poor, electricity prices generally increase. Under certain circumstances, poor hydrological conditions can potentially lead to higher revenues and sometimes, higher
operating income.

Operating costs in connection with thermal generation and energy purchases are higher than the variable cost of
hydroelectric generation in normal hydrological conditions. The cost of thermal generation does not depend on hydrology, but instead on global commodity prices for natural gas coal, LNG and diesel. However, the cost of electricity purchases in the
spot market does depend on hydrology and commodity prices.

The impact of low hydrology on our operating results depends on the resulting
effects on electricity prices in the market, the severity of the impact of hydrological conditions on our hydroelectric generation, our cost of thermal generation and the need for energy purchases. The effect of poor hydrological conditions on
market prices may increase or decrease our operating margin, depending on the conditions of all relevant market factors. In recent years, the addition of additional thermal capacity has more than offset the lower hydrology, resulting in increased
operating margins.

For additional information on the effects of hydrological conditions on our operating results, see Item 3.
Key Information  D. Risk Factors. Since our generation business depends heavily on hydrological conditions, drought conditions may adversely affect our profitability.



|b. | Selective Regulatory Developments
|-- | ---------------------------------

The regulatory framework governing our business in
the five countries in which we operate has a material effect on our results of operations. In particular, regulators set generation tariffs taking into consideration factors such as fuel costs, reservoir levels, exchange rates, future investments in
installed capacity and demand growth, all of which are intended to allow our companies to earn a regulated level of return on investment and guarantee service quality and reliability. The earnings of our electricity subsidiaries are determined to a
large degree by government regulators, mainly through the tariff setting process.



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For additional information relating to the regulatory frameworks in the countries where we
operate, see Item 4. Information on the Company  B. Business Overview  Electricity Industry Regulatory Framework.

In Argentina, on March 26, 2013, the Argentine Secretariat for Energy published Resolution 95/2013, which set forth a non-recurring
regulated remuneration schedule for power generation activity beginning retroactively as of February 2013. For additional information relating to the regulatory frameworks in the countries where we operate, see Item 4. Information on the
Company  B. Business Overview  Electricity Industry Regulatory Framework Argentina Industry Overview Industry Structure.



|c. | Economic Conditions
|-- | -------------------

Macroeconomic conditions, such as changes in employment levels,
gross domestic product and inflation or deflation in the countries in which we operate may have a significant effect on our operating results. When a country experiences sustained economic growth, consumption of electricity by industrial and
individual consumers increases. Other macroeconomic factors, such as the variation of a local currency against the U.S. dollar may impact our operating results, as well as our assets and liabilities, depending on the percentage denominated in
U.S. dollars. For example, a devaluation of local currencies against the U.S. dollar increases the cost of capital expenditure plans. For additional information, see Item 3. Key Information  D. Risk Factors  Foreign
exchange risks may adversely affect our results and the U.S. dollar value of dividends payable to ADS holders. and  South American economic fluctuations are likely to affect our results from operations and financial condition,
as well as the value of our securities.

Economic Growth and Electricity Demand

Overall electricity demand increased during 2013, primarily due to favorable economic conditions in most of the countries in which we
operate. The GDP and electricity demand growth rate for the years 2013, 2012 and 2011 are included in the following table:



|          |  |                  |     |  |                             |  |     |            |  |  |                             |  |  |            |     |  |                             |  |     |  |  |  |     | 
|--------- |  | ---------------- | --- |  | --------------------------- |  | --- | ---------- |  |  | --------------------------- |  |  | ---------- | --- |  | --------------------------- |  | --- |  |  |  | --- | 
|          |  | 2013 (estimated) |     |  | 2012                        |  |     | 2011       | 
|          |  | GDP    Growth    |     |  | Electricity    DemandGrowth |  |     | GDP Growth |  |  | Electricity    DemandGrowth |  |  | GDP Growth |     |  | Electricity    DemandGrowth | 
|          |  | (in %)           |    
|Chile (1) |  |                  | 4.4 |  |                             |  | 3.5 |            |  |  | 5.6                         |  |  |            | 5.2 |  |                             |  | 5.8 |  |  |  | 6.0 | 
|Argentina |  |                  | 3.5 |  |                             |  | 3.2 |            |  |  | 1.9                         |  |  |            | 4.2 |  |                             |  | 8.9 |  |  |  | 5.5 | 
|Brazil    |  |                  | 2.5 |  |                             |  | 2.5 |            |  |  | 0.9                         |  |  |            | 4.5 |  |                             |  | 2.7 |  |  |  | 3.4 | 
|Colombia  |  |                  | 3.7 |  |                             |  | 2.6 |            |  |  | 4.0                         |  |  |            | 3.8 |  |                             |  | 6.6 |  |  |  | 1.7 | 
|Peru      |  |                  | 5.4 |  |                             |  | 5.9 |            |  |  | 6.3                         |  |  |            | 5.9 |  |                             |  | 6.9 |  |  |  | 7.5 | 



Sources:
GDP growth data was obtained from the World Economic Outlook (October 2013) of the International Monetary Fund and corresponds to real growth for 2012 and 2011, and an estimate for 2013. Electricity demand growth data was
obtained from sales reported by the CDEC to the CNE for Chile, from electricity demand reported by CAMMESA for Argentina, from total demand of the NIS reported by the XM for Colombia, from energy charges reported by the ONS for Brazil and from
monthly reports of tariffs and the electricity market reported by the Osinergmin for Peru.

(1) Electricity demand growth includes growth in
the SIC and the SING.

Local Currency Exchange Rate

Variations in the parity of the U.S. dollar and the local currency in each of the countries in which we have operations may have an
impact on our operating results and overall financial position. The impact will depend on the level at which tariffs are pegged to the U.S. dollar, U.S. dollar-denominated assets and liabilities and also the translation of statements of
comprehensive income of our foreign subsidiaries for consolidation purposes to the presentation currency, which is the Chilean peso.



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As of December 31, 2013, Endesa Chile had total consolidated indebtedness of the equivalent
of Ch$ 1,894 billion, of which 33.6% was denominated in U.S. dollars, 47.2% in Colombian pesos, 16.2% denominated in Chilean pesos, 1.7% in Argentine pesos, and 1.2% in soles.

The following table sets forth the closing and average local currencies per U.S. dollar exchange rates for the periods indicated.



|                                            |  |                                           |        |  |          |  |        |         |  |  |          |  |  |         |        |  |          |  |        |  |  |  |        | 
|------------------------------------------- |  | ----------------------------------------- | ------ |  | -------- |  | ------ | ------- |  |  | -------- |  |  | ------- | ------ |  | -------- |  | ------ |  |  |  | ------ | 
|                                            |  | Local currency U.S. dollar exchange rates |       
|                                            |  | 2013                                      |        |  | 2012     |  |        | 2011    | 
|                                            |  | Average                                   |        |  | Year End |  |        | Average |  |  | Year End |  |  | Average |        |  | Year End | 
|Chile (Chilean pesos per U.S. dollar)       |  |                                           | 495.18 |  |          |  | 524.61 |         |  |  | 486.59   |  |  |         | 479.96 |  |          |  | 483.57 |  |  |  | 519.20 | 
|Argentina (Argentine pesos per U.S. dollar) |  |                                           | 5.48   |  |          |  | 6.52   |         |  |  | 4.55     |  |  |         | 4.92   |  |          |  | 4.13   |  |  |  | 4.30   | 
|Brazil (reais per U.S. dollar)              |  |                                           | 2.16   |  |          |  | 2.34   |         |  |  | 1.95     |  |  |         | 2.04   |  |          |  | 1.67   |  |  |  | 1.88   | 
|Colombia (Colombian pesos per U.S. dollar)  |  |                                           | 1,870  |  |          |  | 1,927  |         |  |  | 1,798    |  |  |         | 1,768  |  |          |  | 1,847  |  |  |  | 1,943  | 
|Peru (soles per U.S. dollar)                |  |                                           | 2.70   |  |          |  | 2.80   |         |  |  | 2.64     |  |  |         | 2.55   |  |          |  | 2.75   |  |  |  | 2.70   | 



Sources:
Central banks of each country.

For the year ended December 31, 2013, our revenues were Ch$ 2.027.9 or US$ 4.1billion, of
which 48.0% was generated by operations in Chile, 31.5% in Colombia, 14.0% in Peru and 6.5% in Argentina.



|d. | Critical Accounting Policies
|-- | ----------------------------

Critical accounting policies are defined as those that
reflect significant judgments and uncertainties, which would potentially result in materially different results under different assumptions and conditions. We believe that our critical accounting policies are limited to those described below with
reference to the preparation of our financial statements under IFRS. For further detail of the accounting policies and the methods used in the preparation of the financial statements, see Notes 2 and 3 to our Consolidated Financial
Statements.

Impairment of Long-Lived Assets

During the period, and principally at period end, we evaluate whether there is any indication that an asset has been impaired. Should any such
indication exist, we estimate the recoverable amount of that asset to determine, where appropriate, the amount of impairment. In the case of identifiable assets that do not generate cash flows independently, we estimate the recoverability of the
cash generating unit to which the asset belongs, which is understood to be the smallest identifiable group of assets that generates independent cash inflows.

Notwithstanding the preceding paragraph, in the case of cash generating units to which goodwill or intangible assets with an indefinite useful
life have been allocated, a recoverability analysis is performed routinely at each period end.

The recoverable amount is the greater
between the fair value less the cost needed to sell and the value in use, which is defined as the present value of the estimated future cash flows. In order to calculate the recoverable value of property, plant and equipment, goodwill and intangible
assets, we use value in use criteria in nearly all cases.

To estimate the value in use, we prepare future pre-tax cash flow projections
based on the most recent budgets available. These budgets incorporate managements best estimates of cash generating units, revenues and costs using sector projections, past experience and future expectations.



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In general, these projections cover the next ten years, estimating cash flows for subsequent
years by applying reasonable growth rates, between 2.2% and 9.0%, which in no case are increasing nor exceed the average long term growth rates for the particular sector and country.

These cash flows are discounted at a given pre-tax rate in order to calculate their present value. This rate reflects the cost of capital of
the business and the geographical area in which the business is conducted. The discount rate is calculated taking into account the current time value of money and the risk premiums generally used by market participants for the specific business
activity and the country involved.

The pre tax nominal discount rates applied in 2013, 2012 and 2011 are as follows:



|          |  |                |  |                         |       |  |         |  |       |         |  |  |         |  |  |         |       |  |         |  |       |  |  |  |       | 
|--------- |  | -------------- |  | ----------------------- | ----- |  | ------- |  | ----- | ------- |  |  | ------- |  |  | ------- | ----- |  | ------- |  | ----- |  |  |  | ----- | 
|          |  |                |  | Year ended December 31, |      
|          |  |                |  | 2013                    |       |  | 2012    |  |       | 2011    | 
|Country   |  | Currency       |  | Minimum                 |       |  | Maximum |  |       | Minimum |  |  | Maximum |  |  | Minimum |       |  | Maximum | 
|Chile     |  | Chilean peso   |  |                         | 8.6%  |  |         |  | 16.3% |         |  |  | 8.4%    |  |  |         | 14.6% |  |         |  | 9.2%  |  |  |  | 10.1% | 
|Argentina |  | Argentine peso |  |                         | 42.0% |  |         |  | 44.4% |         |  |  | 26.0%   |  |  |         | 29.0% |  |         |  | 23.0% |  |  |  | 26.0% | 
|Brazil    |  | Real           |  |                         | 9.0%  |  |         |  | 18.8% |         |  |  | 9.5%    |  |  |         | 18.0% |  |         |  | 9.5%  |  |  |  | 11.6% | 
|Colombia  |  | Colombian peso |  |                         | 14.2% |  |         |  | 14.2% |         |  |  | 14.5%   |  |  |         | 14.5% |  |         |  | 10.9% |  |  |  | 10.9% | 
|Peru      |  | Nuevo sol      |  |                         | 11.8% |  |         |  | 12.3% |         |  |  | 12.5%   |  |  |         | 12.5% |  |         |  | 9.3%  |  |  |  | 9.3%  | 

If the recoverable amount is less than the net carrying amount of the asset, the corresponding provision for
impairment loss is recorded for the difference, and charged to Reversal of impairment loss (impairment loss) recognized in profit or loss in the consolidated statement of comprehensive income.

Impairment losses recognized for an asset in prior periods are reversed when its estimated recoverable amount changes, increasing the
assets value with a credit to earnings, limited to the assets carrying amount if no adjustment had occurred. In the case of goodwill, adjustments that would have been made are not reversible.

Litigation and Contingencies

We are currently involved in certain legal and tax proceedings. As discussed in Note 20 to our Consolidated Financial Statements as of
December 31, 2013, we have estimated the probable outflows for resources of resolving these claims to be Ch$ 9.8 billion. We have reached this estimate after consulting our legal and tax advisors who are carrying out our defense in these
matters and an analysis of potential results, assuming a combination of litigation and settlement strategies.

Hedge Revenues
Directly Linked to the U.S. Dollar

We have established a policy to hedge the portion of our revenues directly linked to the
U.S. dollar by obtaining financing in this currency. Exchange differences related to this debt, as they are cash flow hedge transactions, are charged, net of taxes, to an equity reserve account and recorded as income during the period in which
the hedged cash flows are realized. This term has been estimated at ten years.

This policy reflects a detailed analysis of our future
U.S. dollar revenue streams. Such analysis may change in the future due to new electricity regulations limiting the amount of revenues tied to the U.S. dollar.

Pension and Post-Employment Benefits Liabilities

We have various defined benefits plans for our employees. These plans pay benefits to employees at retirement and use formulas based on years
of service and the compensation of the participants. We also offer certain additional benefits for some retired employees in particular.

The liabilities shown for the pensions and post-employment benefits reflect our best estimate of the future cost of meeting our obligations
under these plans. The accounting applied to these defined benefit plans involves actuarial calculations which contain key assumptions that include employee turnover, life expectancy and retirement



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ages, discount rates, the future level of compensation and benefits, the claims rate under medical plans, and future medical costs. These assumptions change as economic and market conditions vary
and any change in any of these assumptions could have a material effect on the reported results from operations.

The effect of an
increase of one percentage point in the discount rate used to determine the present value of the post-employment defined benefits would decrease the liability by Ch$ 3.0 billion in 2013, Ch$ 3.1 billion in 2012 and Ch$ 2.5 billion
in 2011 and the effect of a decrease of one percentage point in the rate used to determine the present value of the post-employment defined benefits would increase the liability by Ch$ 3.5 billion in 2013, Ch$ 3.6 billion in 2012 and
Ch$ 2.9 billion in 2011.

Recent Accounting Pronouncements

Please see Note 2.2 to our Consolidated Financial Statements for additional information regarding recent accounting pronouncements.

Argentina

Our
Argentine operations do not affect Endesa Chiles consolidated liquidity. As a result of the Argentine economic crisis in the early 2000s and the significant governmental intervention in the electricity sector in 2002, we have not
received dividends from our Argentine subsidiaries, Endesa Costanera and El Chocón, since 2000 and 2012 respectively. In 2011, we recorded a Ch$ 5.4 billion goodwill impairment charge for Endesa Costanera. Additional
economic deterioration of Argentina, of our subsidiaries that operate in that country is not expected to have any material effect on our financial and operating results.

Our Argentine liquid assets were Ch$ 6.7 billion as of December 2013, which represents 2.1% of Endesa Chiles total liquid
assets. Of our total Argentine current assets, 92.9% is denominated in local currency and the remaining 7.1% is denominated in U.S. dollars. Our Argentine debt was Ch$ 142.6 billion as of December 2013, representing 7.5% of
Endesa Chiles total debt. Of the total Argentine debt, 22.8% is denominated in local currency, and the remaining 77.2% is denominated in U.S. dollars. The currency translation effect of converting the statements of comprehensive
income from the Argentine peso to the Chilean peso led to a 15.4% decrease in 2013 compared to 2012. A default by any of our Argentine subsidiaries on their indebtedness would not affect Endesa Chile. For more information, see
Item 5. Operating and Financial Review and Prospects.  B. Liquidity & Capital Resources.

The Argentine
government has avoided increasing electricity tariffs to end customers, and seasonal prices have remained fixed in Argentine pesos. On the other hand, a generation companys tariffs are also regulated based on defined fixed and variable
remuneration. Due to rate controls, revenues of electric utility companies do not always cover their operating costs. Argentine authorities have created a new mechanism to improve the financial situation of these companies in recognition that their
performance is directly related to the regulatory framework. For more detail, see Item 4. Information on the Company  B. Business Overview  Electricity Industry Regulatory Framework  Argentina.



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|2. | Country by Country Comparative Analysis of Operating and Non-Operating Results for 2013 and 2012
|-- | ------------------------------------------------------------------------------------------------

Revenues from operations

The following table sets forth the revenues by country, as a percentage of total consolidated revenues for 2013 and 2012:



|                                                                      |  |                         |       |  |      |  |       | 
|--------------------------------------------------------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | 
|                                                                      |  | Year ended December 31, |      
|                                                                      |  | 2013                    |       |  | 2012 | 
|                                                                      |  | (as a % of total)       |      
|                                                                      |  |                        
|Chile (1)                                                             |  |                         | 47.5  |  |      |  | 47.7  | 
|Other businesses and intercompany transaction adjustments (Chile) (2) |  |                         | 0.5   |  |      |  | 0.3   | 
|Argentina                                                             |  |                         | 6.5   |  |      |  | 14.8  | 
|Colombia                                                              |  |                         | 31.5  |  |      |  | 25.0  | 
|Peru                                                                  |  |                         | 14.0  |  |      |  | 12.2  | 
|                                                                      |  |                         |       |  |      |  |       | 
|Total consolidated revenues                                           |  |                         | 100.0 |  |      |  | 100.0 | 
|                                                                      |  |                         |       |  |      |  |       | 



| | (1) | Restated in accordance with IFRS 11.
| | --- | ------------------------------------

| | (2) | We consider that our revenues from operations that are not related to the electricity business are immaterial and believe that they do not affect the analysis of our consolidated financial statements. These revenues
come mainly from a tunnel concession.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The tables below set forth the country breakdown for Endesa Chiles total
revenues from operations, the volume of energy sales (expressed in GWh) and the volume of energy produced, in each case for 2013 and 2012:



|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                  |  | Year ended December 31, |          
|Revenues                                                          |  | 2013                    |           |  | 2012   |  |           | Change | 
|                                                                  |  | (in millions of Ch$)    |           |  | (in %) | 
|                                                                  |  |                         |          
|Generation (Chile) (1)                                            |  |                         | 962,879   |  |        |  | 1,107,117 |        |  |  | (13.0) | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 10,261    |  |        |  | 7,503     |        |  |  | 36.8   | 
|Argentina                                                         |  |                         | 131,443   |  |        |  | 344,178   |        |  |  | (61.8) | 
|Colombia                                                          |  |                         | 639,504   |  |        |  | 580,125   |        |  |  | 10.2   | 
|Peru                                                              |  |                         | 283,806   |  |        |  | 282,124   |        |  |  | 0.6    | 
|Consolidated adjustment foreign subsidiaries                      |  |                         | (461)     |  |        |  | (662)     |        |  |  | 30.4   | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|Total revenues                                                    |  |                         | 2,027,432 |  |        |  | 2,320,385 |        |  |  | (12.6) | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------



|             |  |                         |        |  |        |  |        |        |  |  |       | 
|------------ |  | ----------------------- | ------ |  | ------ |  | ------ | ------ |  |  | ----- | 
|             |  | Year ended December 31, |       
|Energy Sales |  | 2013                    |        |  | 2012   |  |        | Change | 
|             |  | (GWh)                   |        |  | (in %) | 
|             |  |                         |       
|Chile (1)    |  |                         | 20,406 |  |        |  | 20,878 |        |  |  | (2.3) | 
|Argentina    |  |                         | 12,354 |  |        |  | 11,852 |        |  |  | 4.2   | 
|Colombia     |  |                         | 16,090 |  |        |  | 16,304 |        |  |  | (1.3) | 
|Peru         |  |                         | 8,904  |  |        |  | 9,587  |        |  |  | (7.1) | 
|             |  |                         |        |  |        |  |        |        |  |  |       | 
|Total        |  |                         | 57,754 |  |        |  | 58,621 |        |  |  | (1.5) | 
|             |  |                         |        |  |        |  |        |        |  |  |       | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------



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|               |  |                         |        |  |        |  |        |        |  |  |       | 
|-------------- |  | ----------------------- | ------ |  | ------ |  | ------ | ------ |  |  | ----- | 
|               |  | Year ended December 31, |       
|Generation (1) |  | 2013                    |        |  | 2012   |  |        | Change | 
|               |  | (in GWh)                |        |  | (in %) | 
|               |  |                         |       
|Chile (2)      |  |                         | 19,438 |  |        |  | 19,194 |        |  |  | 1.2   | 
|Argentina      |  |                         | 10,840 |  |        |  | 11,207 |        |  |  | (3.3) | 
|Colombia       |  |                         | 12,748 |  |        |  | 13,251 |        |  |  | (3.8) | 
|Peru           |  |                         | 8,391  |  |        |  | 8,570  |        |  |  | (2.1) | 
|               |  |                         |        |  |        |  |        |        |  |  |       | 
|Total          |  |                         | 51,417 |  |        |  | 52,222 |        |  |  | (1.5) | 
|               |  |                         |        |  |        |  |        |        |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses and defined as generation minus power plants own consumption, external auxiliaries, transmission and technical
losses.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Lower revenues in Chile (generation and other
businesses) of Ch$ 141.4 billion during 2013 were primarily due to a 11.5% reduction in average energy sales prices, mostly explained by fewer contracts indexed to the marginal cost, coupled with a 2.3% reduction of physical
energy sales, mainly to unregulated customers. In addition, we recorded two non-recurring sources of gains in 2012. In March 2012, we had extraordinary income of Ch$ 29.2 billion due to an agreement reached between Endesa Chile and
CMPC, a pulp and paper company. In December 2012, extraordinary additional income of Ch$ 55.1 billion was recorded due to the agreed compensation with an insurance company for loss of profits in connection with Bocamina as a result of
earthquake damage on February 27, 2010.

Due to Argentine Resolution 95, there was a one-time adjustment of Ch$ 207 billion
in Endesa Costanera as of December 31, 2013. This amount was related to fuel value and was deducted from both revenues and operating costs, with no impact on operating income. Revenues from operations in Argentina reached Ch$ 131.4 billion
in 2013, also because of a 25.4% reduction in operating revenues in El Chocón, primarily related to the exchange rate conversion effect, a decline in average sales price and lower hydrology. Lower revenues in Argentina were
partially offset by Ch$ 33.1 billion in revenues related to Endesa Costaneras combined cycle availability contract executed with the Secretariat of Energy. The currency translation effect is the net effect obtained when
translating the results from the local currency of each country to pesos. The currency translation effect of converting the statements of comprehensive income from the Argentine peso to the Chilean peso in Argentina led to a 15.4% decrease
in 2013, when compared to 2012.

Total revenues from operations in Colombia increased by Ch$ 59.4 billion, or 10.2%,
due to an 11.1 % increase in average sale electricity prices, offsetting a 1.3% decrease in physical sales. The effect of translating the statements of comprehensive income from Colombian pesos to Chilean pesos in both periods resulted in
a 2.0% decline in Chilean peso terms in 2013 when compared to 2012.

Revenues from operations in Peru grew by 0.6%
in 2013, primarily due to the compensation claim recognition from the TG 7 turbine damage at the Santa Rosa plant, for Ch$ 20.0 billion. The currency translation effect of converting the statements of comprehensive income from soles
to the peso for both periods resulted in a 0.5% decrease in 2013, when compared to 2012.



108



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Operating Expenses

The table below sets forth the country breakdown for operating expenses for 2013 and 2012:



|                                                                  |  |                         |         |  |        |  |           |        |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | ------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                  |  | Year ended December 31, |        
|Raw materials and consumables used (1)                            |  | 2013                    |         |  | 2012   |  |           | Change | 
|                                                                  |  | (in millions of Ch$)    |         |  | (in %) | 
|                                                                  |  |                         |        
|Generation (Chile) (2)                                            |  |                         | 494,892 |  |        |  | 753,998   |        |  |  | (34.4) | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 4       |  |        |  | 8         |        |  |  | (44.1) | 
|Argentina                                                         |  |                         | 36,479  |  |        |  | 282,316   |        |  |  | (87.1) | 
|Colombia                                                          |  |                         | 204,419 |  |        |  | 171,063   |        |  |  | 19.5   | 
|Peru                                                              |  |                         | 95,080  |  |        |  | 111,095   |        |  |  | (14.4) | 
|                                                                  |  |                         |         |  |        |  |           |        |  |  |        | 
|Total                                                             |  |                         | 830,874 |  |        |  | 1,318,480 |        |  |  | (37.0) | 
|                                                                  |  |                         |         |  |        |  |           |        |  |  |        | 



|(1) | Excludes selling and administrative expenses.
|--- | ---------------------------------------------

|(2) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Operating expenses in the generation business in Chile
decreased by 34.4% in 2013 as a result of Ch$ 173.7 billion of lower fuel costs and increased generation using coal. Additionally, energy purchases declined by Ch$ 94.9 billion due to reduced energy sales needs and a lower average
price of purchased energy in the spot market and reduced transportation expenses of Ch$ 3.8 billion. These cost reductions were partially offset by higher other variable procurements and services of Ch$ 13.4 billion, higher personnel
expenses of Ch$9.9 billion and higher other fixed costs of Ch$ 8.3 billion.

In Argentina, due to Resolution 95, there was
a one-time adjustment of Ch$ 207 billion to Endesa Costanera in December 2013. This amount was related to fuel value and was deducted from both revenues and operating costs, with no impact on operating income. This Resolution ended the
marginal remuneration system in the Argentine electricity generation market and defined instead remuneration by technology and size of the facilities, setting for each case a recognition of fixed costs (to be determined by availability) and variable
costs plus an additional payment (these two concepts to be determined based on energy effectively generated). As a result, operating expenses in Argentina reached Ch$ 36.5 billion in 2013, which included a Ch$ 3.1 billion increase in
energy purchases at Endesa Costanera due to higher physical energy purchases, offset by Ch$ 2.1 billion of lower other variable procurement and service costs and Ch$ 0.9 billion of lower energy purchases in El Chocón.

In Colombia, operating expenses increased by 19.5% in 2013 primarily due to a Ch$ 38.5 billion increase in energy purchases as
a result of higher purchase prices in the spot market related to the worsening of hydrological conditions, coupled with higher physical energy purchases due to the lower hydroelectric generation.

In Peru, operating expenses decreased by 14.4% mostly due to a Ch$ 18.7 billion reduction in energy purchases associated with lower
purchase prices in the spot market, and Ch$ 3.3 billion of lower fuel cost related to lower thermal generation due the reduced availability of Santa Rosa units.



109



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Selling and Administrative Expenses

The table below sets forth the country breakdown of selling and administrative expenses for 2013 and 2012:



|                                                                  |  |                         |         |  |        |  |         |        |  |  |      | 
|----------------------------------------------------------------- |  | ----------------------- | ------- |  | ------ |  | ------- | ------ |  |  | ---- | 
|                                                                  |  | Year ended December 31, |        
|                                                                  |  | 2013                    |         |  | 2012   |  |         | Change | 
|                                                                  |  | (in millions of Ch$)    |         |  | (in %) | 
|Selling and administrative expenses                               |  |                         |         |  |        |  |         |        |  |  |      | 
|Generation (Chile) (1)                                            |  |                         | 112,731 |  |        |  | 94,567  |        |  |  | 19.2 | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 1,210   |  |        |  | (907)   |        |  |  | n.a. | 
|Argentina                                                         |  |                         | 39,166  |  |        |  | 36,696  |        |  |  | 6.7  | 
|Colombia                                                          |  |                         | 33,511  |  |        |  | 32,917  |        |  |  | 1.8  | 
|Peru                                                              |  |                         | 31,408  |  |        |  | 31,192  |        |  |  | 0.7  | 
|Consolidated adjustment foreign subsidiaries                      |  |                         | (461)   |  |        |  | (661)   |        |  |  | 30.4 | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |      | 
|Total selling and administrative expense                          |  |                         | 217,565 |  |        |  | 193,804 |        |  |  | 12.3 | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |      | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Selling and administrative expenses, related to
salaries, compensation, administrative expenses, office materials and supplies, increased by Ch$ 23.8 billion in 2013.

Approximately 52.4% of total selling and administrative expenses are concentrated in Chile, a 21.7% increase in 2013
over 2012, mainly due to higher payroll expenses, which increased by Ch$ 12 billion due to higher staff and to wages indexing to inflation.

In Colombia, selling and administrative expenses increased from Ch$ 32.9 billion in 2012 to Ch$ 33.5 billion in 2013,
mainly as a result of Ch$ 2.3 billion of higher payroll expenses mainly due to more personnel, partly related to El Quimbo project. In Argentina, selling and administrative expenses rose by 6.7% when compared to 2012, primarily due to
Ch$ 6.1 billion of higher payroll expenses due mostly due to union negotiations, wages indexing to inflation and increased staffing.

Operating Margin and Operating Income

The following is our operating margin by country for 2013 and 2012:



|                       |  |                         |       |  |      |  |       | 
|---------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | 
|                       |  | Year ended December 31, |      
|                       |  | 2013                    |       |  | 2012 | 
|Operating margin       |  |                         |       |  |      |  |       | 
|Chile (1)              |  |                         | 27.9% |  |      |  | 15.4% | 
|Argentina              |  |                         | 26.6% |  |      |  | 0.7%  | 
|Colombia               |  |                         | 56.9% |  |      |  | 58.2% | 
|Peru                   |  |                         | 39.5% |  |      |  | 35.8% | 
|                       |  |                         |       |  |      |  |       | 
|Total operating margin |  |                         | 38.6% |  |      |  | 26.4% | 
|                       |  |                         |       |  |      |  |       | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------



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Our operating margin, or operating income as a percentage of revenues, increased to 38.6%
in 2013 from 26.4% in 2012. This growth was primarily due to higher operating margins reported in Chile and Argentina, partially offset by a lower operating margin in Colombia. The Argentine margin improvement was affected by the
additional Ch$ 33.0 billion in revenues received under the Endesa Costanera combined-cycle gas turbine availability contract. However, there is a distortion attributable to Resolution 95 which affected operating income and operating
expense by the same amount. The Chilean margin improvement is explained mainly by the Ch$ 241.8 billion decrease in operating costs due primarily to lower fuel costs, despite revenues decreasing by Ch$ 141.5 billion. The lower margin in
Colombia is due to the proportionally higher cost in relation to the revenue increase, due to lower hydroelectric generation. The Peruvian margin improvement is explained mainly for the Ch$ 29,6 billion cost operating reduction , due mostly to the
lower price in the spot market and the reduced availability of Santa Rosa units.

The following table summarizes operating income by
country for 2013 and 2012:



|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 
|----------------------------------------------------------------- |  | ----------------------- | ------- |  | ------ |  | ------- | ------ |  |  | ------- | 
|                                                                  |  | Year ended December 31, |        
|                                                                  |  | 2013                    |         |  | 2012   |  |         | Change | 
|Operating income                                                  |  | (in millions of Ch$)    |         |  | (in %) | 
|Generation (Chile) (1)                                            |  |                         | 265,258 |  |        |  | 165,459 |        |  |  | 60.3    | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 6,468   |  |        |  | 5,935   |        |  |  | 9.0     | 
|Argentina                                                         |  |                         | 34,928  |  |        |  | 2,473   |        |  |  | 1,312.6 | 
|Colombia                                                          |  |                         | 363,993 |  |        |  | 337,651 |        |  |  | 7.8     | 
|Peru                                                              |  |                         | 112,192 |  |        |  | 100,898 |        |  |  | 11.2    | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 
|Total operating income                                            |  |                         | 782,839 |  |        |  | 612,416 |        |  |  | 27.8    | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Endesa Chiles consolidated operating income was
Ch$ 782.8 billion in 2013 and Ch$ 612.4 billion in 2012. This increase was primarily due to lower generation costs explained by lower fuel consumption costs in Argentina and Chile, lower energy purchases in Chile and Peru,
coupled with lower transportation costs in Chile.

Non-operating Results

The following table sets forth certain information regarding our consolidated non-operating results for 2013 and 2012:



|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|------------------------------------------------------------------------------ |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                               |  | Year ended December 31, |          
|                                                                               |  | 2013                    |           |  | 2012   |  |           | Change | 
|Financial results                                                              |  | (in millions of Ch$)    |           |  | (in %) | 
|Financial income                                                               |  |                         | 18,292    |  |        |  | 14,630    |        |  |  | 25.0   | 
|Financial costs                                                                |  |                         | (142,667) |  |        |  | (148,469) |        |  |  | 3.9    | 
|Income (loss) for indexed assets and liabilities                               |  |                         | 1,002     |  |        |  | (1,066)   |        |  |  | n.a.   | 
|Foreign currency exchange differences                                          |  |                         | (13,757)  |  |        |  | (12,090)  |        |  |  | (13.8) | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total                                                                          |  |                         | (137,130) |  |        |  | (146,995) |        |  |  | (6.7)  | 
|                                                                               |  |                         |          
|Other non-operating results                                                    |  |                         |           |  |        |  |           |        |  |  |        | 
|Share of the profit (loss) of associates accounted for using the equity method |  |                         | 119,347   |  |        |  | 135,013   |        |  |  | (11.6) | 
|Net income from other investments                                              |  |                         | 793       |  |        |  | 657       |        |  |  | 20.7   | 
|Net income from sales of assets                                                |  |                         | 2,564     |  |        |  | 765       |        |  |  | 235.2  | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total                                                                          |  |                         | 122,704   |  |        |  | 136,435   |        |  |  | (10.1) | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total non-operating results                                                    |  |                         | (14,426)  |  |        |  | (10,560)  |        |  |  | 36.6   | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 



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Our total financial results in 2013 amounted to Ch$ 137.1 billion, a decrease
of 6.7% from 2012. This variation was primarily explained by the Ch$ 5.8 billion reduction in financial costs mainly in Peru due to debt amortizations which were not refinanced, Ch$ 3.7 billion of higher financial income mainly
from Colombia related to its higher cash availability, and Ch$ 2.1 billion of higher gains for indexed assets and liabilities. These were partly offset by a Ch$ 1.7 loss due to exchange differences.

The share of the profit of associates accounted for under the equity method amounted to Ch$ 119.3 billion in 2013, 11.6% lower than
2012. This variation was mostly explained by Ch$ 13.1 billion of lower net income in Endesa Brasil, Ch$ 1.7 billion of lower net income in HidroAysén and Ch$ 1.3 billion of lower net income in GasAtacama S.A. As a result of all
the foregoing, total non-operating results for 2013 amounted to an expense of Ch$ 14.4 billion.

Net Income

The following table sets forth our net income for 2013 and 2012:



|                                                         |  |                         |           |  |        |  |           |        |  |  |      | 
|-------------------------------------------------------- |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ---- | 
|                                                         |  | Year ended December 31, |          
|                                                         |  | 2013                    |           |  | 2012   |  |           | Change | 
|                                                         |  | (in millions of Ch$)    |           |  | (in %) | 
|Net income before tax                                    |  |                         | 768,413   |  |        |  | 601,856   |        |  |  | 27.7 | 
|Income tax                                               |  |                         | (204,907) |  |        |  | (182,833) |        |  |  | 12.1 | 
|                                                         |  |                         |           |  |        |  |           |        |  |  |      | 
|Net income                                               |  |                         | 563,506   |  |        |  | 419,023   |        |  |  | 34.5 | 
|Net income attributable to: shareholders of Endesa Chile |  |                         | 353,927   |  |        |  | 234,335   |        |  |  | 51.0 | 
|Net income attributable to: non-controlling interest     |  |                         | 209,579   |  |        |  | 184,688   |        |  |  | 13.5 | 

Income tax expenses increased by 12.1%, equivalent to Ch$ 22,074 million, when compared
to 2012. For more information see Note 30 to our Consolidated Financial Statements.



|3. | Country by Country Comparative Analysis of Operating and Non-Operating Results for 2012 and 2011
|-- | ------------------------------------------------------------------------------------------------

Revenues from Operations

The following table sets forth the revenues by country, as a percentage of total consolidated revenues for 2012 and 2011:



|                                                                     |  |                         |       |  |      |  |       | 
|-------------------------------------------------------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | 
|                                                                     |  | Year ended December 31, |      
|                                                                     |  | 2012                    |       |  | 2011 | 
|                                                                     |  | (as a % of total)       |      
|Chile (1)                                                            |  |                         | 47.7  |  |      |  | 49.8  | 
|Other businesses and intercompany transaction adjustments (Chile)(2) |  |                         | 0.3   |  |      |  | 0.8   | 
|Argentina                                                            |  |                         | 14.8  |  |      |  | 17.1  | 
|Colombia                                                             |  |                         | 25.0  |  |      |  | 21.8  | 
|Peru                                                                 |  |                         | 12.2  |  |      |  | 10.5  | 
|                                                                     |  |                         |       |  |      |  |       | 
|Total consolidated revenues                                          |  |                         | 100.0 |  |      |  | 100.0 | 
|                                                                     |  |                         |       |  |      |  |       | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

|(2) | We consider that our revenues from operations that were not related to its electricity business are immaterial and believe that they do not affect the analysis of our consolidated financial statements. These revenues
come mainly from a tunnel concession.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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The tables below set forth the country breakdown for Endesa Chiles total revenues from
operations, the volume of energy sales (expressed in GWh) and the volume of energy produced, in each case for 2012 and 2011:



|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                  |  | Year ended December 31, |          
|Revenues                                                          |  | 2012                    |           |  | 2011   |  |           | Change | 
|                                                                  |  | (in millions of Ch$)    |           |  | (in %) | 
|Generation (Chile) (1)                                            |  |                         | 1,107,117 |  |        |  | 1,137,770 |        |  |  | (2.7)  | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 7,503     |  |        |  | 18,698    |        |  |  | (59.9) | 
|Argentina                                                         |  |                         | 344,178   |  |        |  | 390,136   |        |  |  | (11.8) | 
|Colombia                                                          |  |                         | 580,125   |  |        |  | 498,544   |        |  |  | 16.4   | 
|Peru                                                              |  |                         | 282,124   |  |        |  | 239,841   |        |  |  | 17.6   | 
|Consolidated adjustments foreign subsidiaries                     |  |                         | (662)     |  |        |  | (724)     |        |  |  | (8.7)  | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|Total revenues                                                    |  |                         | 2,320,385 |  |        |  | 2,284,264 |        |  |  | 1.6    | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------



|             |  |                         |        |  |        |  |        |        |  |  |     | 
|------------ |  | ----------------------- | ------ |  | ------ |  | ------ | ------ |  |  | --- | 
|             |  | Year ended December 31, |       
|Energy sales |  | 2012                    |        |  | 2011   |  |        | Change | 
|             |  | (in GWh)                |        |  | (in %) | 
|Chile (1)    |  |                         | 20,878 |  |        |  | 20,315 |        |  |  | 2.8 | 
|Argentina    |  |                         | 11,852 |  |        |  | 11,381 |        |  |  | 4.1 | 
|Colombia     |  |                         | 16,304 |  |        |  | 15,112 |        |  |  | 7.9 | 
|Peru         |  |                         | 9,587  |  |        |  | 9,450  |        |  |  | 1.5 | 
|             |  |                         |        |  |        |  |        |        |  |  |     | 
|Total        |  |                         | 58,621 |  |        |  | 56,258 |        |  |  | 4.2 | 
|             |  |                         |        |  |        |  |        |        |  |  |     | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------



|               |  |                         |        |  |        |  |        |        |  |  |       | 
|-------------- |  | ----------------------- | ------ |  | ------ |  | ------ | ------ |  |  | ----- | 
|               |  | Year ended December 31, |       
|Generation (1) |  | 2012                    |        |  | 2011   |  |        | Change | 
|               |  | (in GWh)                |        |  | (in %) | 
|Chile (2)      |  |                         | 19,194 |  |        |  | 19,296 |        |  |  | (0.5) | 
|Argentina      |  |                         | 11,207 |  |        |  | 10,713 |        |  |  | 4.6   | 
|Colombia       |  |                         | 13,251 |  |        |  | 12,051 |        |  |  | 10.0  | 
|Peru           |  |                         | 8,570  |  |        |  | 8,980  |        |  |  | (4.6) | 
|               |  |                         |        |  |        |  |        |        |  |  |       | 
|Total          |  |                         | 52,222 |  |        |  | 51,040 |        |  |  | 2.3   | 
|               |  |                         |        |  |        |  |        |        |  |  |       | 



|(1) | Figures may differ from those previously reported, as the current figures are shown net of all losses and it is defined as generation minus power plants own consumption, external auxiliaries, transmission and
technical losses.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Lower revenues in Chile (generation and other
businesses) of Ch$ 41.8 billion during 2012 were primarily due to a 5.3% reduction in average energy sales prices as a result of lower indexation of contracts to the marginal cost in Chile, coupled with the absence of revenues from
government Resolution 88, that forced generators of the CDEC-SIC system to supply energy to distribution companies without contracts, (Ch$ 68.3 billion in 2011). This was partially offset by the agreed compensation with the insurance
company for loss of profits of Ch$ 55.1 billion as a result of the disaster of February 27, 2010.

Total revenues from
operations in Colombia increased by Ch$ 81.6 billion due to a 7.9% rise in electricity sales due to a higher hydro generation and a 7.9% increase in the average energy sales price in pesos due to a higher energy wholesale market price
recorded since August 2012. The currency translation effect is the net effect obtained when translating the results from the local currency of each country to pesos. The Colombian currency translation effect was positive, resulting
in a 3.4% increase in Chilean pesos in 2012, when compared to 2011. For additional information of our principal distribution and trading customers in Colombia see Item 4. Information on the Company  B. Business
Overview.



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Revenues from operations in Peru grew by 17.6% in 2012 primarily explained by a 15.3%
growth in the average energy sales price due to higher contract prices as a result of the fuel prices indexation and to a higher node price since May 2012. The currency translation effect of converting the statements of comprehensive income
from soles to the peso for both periods produced a 5.0% increase in Chilean pesos in 2012, when compared to 2011. For additional information of our principal customers in Peru see Item 4. Information on the Company 
B. Business Overview.

Total revenues from operations in Argentina decreased by 11.8% in 2012 as a result of a lower
operating and labor costs recognition, and lower capacity payment in Endesa Costanera, explained by the non renewal of the one-year term agreement between the Ministry of Energy and the generation companies of the MEM system executed in
November 2010. This was partially offset by a 1.8% increase in El Chocón revenues due to higher electricity sales in the spot market resulting from increased hydro generation in the period. The currency translation effect of
converting the statements of comprehensive income from the Argentine peso to the Chilean peso in both companies led to a 8.6% decrease in 2012, when compared to 2011. For additional information of our principal customers in Argentina
see Item 4. Information on the Company  B. Business Overview.

Operating Expenses

The table below sets forth the country breakdown for operating expenses for 2012 and 2011:



|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                  |  | Year ended December 31, |          
|                                                                  |  | 2012                    |           |  | 2011   |  |           | Change | 
|                                                                  |  | (in millions of Ch$)    |           |  | (in %) | 
|Raw materials and consumables used (1)                            |  |                         |           |  |        |  |           |        |  |  |        | 
|Generation (Chile) (2)                                            |  |                         | 753,998   |  |        |  | 601,672   |        |  |  | 25.3   | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 8         |  |        |  | 8         |        |  |  | (4.1)  | 
|Argentina                                                         |  |                         | 282,316   |  |        |  | 315,717   |        |  |  | (10.6) | 
|Colombia                                                          |  |                         | 171,063   |  |        |  | 134,852   |        |  |  | 26.9   | 
|Peru                                                              |  |                         | 111,095   |  |        |  | 86,884    |        |  |  | 27.9   | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 
|Total                                                             |  |                         | 1,318,480 |  |        |  | 1,139,133 |        |  |  | 15.7   | 
|                                                                  |  |                         |           |  |        |  |           |        |  |  |        | 



|(1) | Excludes selling and administrative expenses.
|--- | ---------------------------------------------

|(2) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Operating expenses in the generation business in Chile
increased by 25.3% in 2012 as a result of higher fuel costs of Ch$ 65.7 billion since 2012 was the third consecutive dry year. This was coupled with higher transportation costs of Ch$ 34.5 billion explained by increased toll
costs related to the drought in the central-southern zone of the country. Additionally, energy purchase costs grew by Ch$ 62.8 billion due to higher energy purchase prices in the spot market.

Colombias operating expenses increased by 26.9% in 2012 primarily explained by higher energy purchase costs of Ch$
19.7 billion due to higher energy purchase prices in the spot market, and increased fuel costs of Ch$ 12.3 billion primarily related to a higher back-up fuel supply requested by the authorities on the occasion of the Cumbre de Las Americas
held in Cartagena in the first quarter of 2012.

Operating expenses in Peru rose by 27.9% primarily explained by higher energy
purchase costs of Ch$ 14.7 billion in 2012 due to higher physical energy purchases in the spot market to supplement the plant maintenance activities, coupled with higher fuel costs of Ch$ 6.1 billion partly due to increased diesel
generation as a result of dual gas units maintenance activities.

Operating expenses in Argentina declined by 10.6% in 2012
primarily as a result of lower fuel costs of Ch$ 27.8 billion in Endesa Costanera due to lower generation with gas oil and a Ch$ 3.1 billion decrease in transportation costs, coupled with lower energy purchase costs of Ch$ 1.6 billion
in El Chocón due to the increased hydro generation in 2012.



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Selling and Administrative Expenses

Selling and administrative expenses, related to salaries, compensation, administrative expenses, office materials and supplies, decreased by
Ch$ 4.7 billion in 2012.

The table below sets forth the breakdown of selling and administrative expenses for 2012
and 2011:



|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 
|----------------------------------------------------------------- |  | ----------------------- | ------- |  | ------ |  | ------- | ------ |  |  | ------- | 
|                                                                  |  | Year ended December 31, |        
|                                                                  |  | 2012                    |         |  | 2011   |  |         | Change | 
|                                                                  |  | (in millions of Ch$)    |         |  | (in %) | 
|Selling and administrative expenses                               |  |                         |         |  |        |  |         |        |  |  |         | 
|Generation (Chile) (1)                                            |  |                         | 94,567  |  |        |  | 76,362  |        |  |  | 23.8    | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | (907)   |  |        |  | 10,024  |        |  |  | n.a     | 
|Argentina                                                         |  |                         | 36,696  |  |        |  | 28,188  |        |  |  | (30.2)  | 
|Colombia                                                          |  |                         | 32,917  |  |        |  | 72,867  |        |  |  | 54.8    | 
|Peru                                                              |  |                         | 31,192  |  |        |  | 11,748  |        |  |  | (165.5) | 
|Consolidated adjustment foreign subsidiaries                      |  |                         | (661)   |  |        |  | (725)   |        |  |  | 8.7     | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 
|Total selling and administrative expense                          |  |                         | 193,804 |  |        |  | 198,464 |        |  |  | (2.3)   | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |         | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Approximately 48.3% of total selling and
administrative expenses are concentrated in Chile, between the generation business and other businesses, with a 8.4% increase in 2012 over 2011, mainly due to higher payroll expenses which increased by 10.3% primarily reflecting
the engineering staff transfer.

In Colombia, selling and administrative expenses decreased from Ch$ 72.9 billion in 2011 to Ch$
32.9 billion in 2012, mainly as a result of the one-time effect of the equity tax reform in that country in 2011, which required booking the entire amount of tax payable for the four year period from 2011 to 2014 for a total
of Ch$ 43.5 billion on January 1, 2011. Also the reversal of a provision of profit sharing for workers in Peru created a one-time benefit on payroll expenses of Ch$ 14.6 million in June 2011.

Operating Margin and Operating Income

The following is our operating margin by country for 2012 and 2011:



|                       |  |                         |       |  |      |  |       | 
|---------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | 
|                       |  | Year ended December 31, |      
|                       |  | 2012                    |       |  | 2011 | 
|Operating margin       |  |                         |       |  |      |  |       | 
|Chile(1)               |  |                         | 15.4% |  |      |  | 33.2% | 
|Argentina              |  |                         | 0.7%  |  |      |  | 7.7%  | 
|Colombia               |  |                         | 58.2% |  |      |  | 50.9% | 
|Peru                   |  |                         | 35.8% |  |      |  | 43.6% | 
|                       |  |                         |       |  |      |  |       | 
|Total operating margin |  |                         | 26.4% |  |      |  | 33.6% | 
|                       |  |                         |       |  |      |  |       | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Our operating margin, or operating income as a
percentage of revenues, decreased to 26.4% in 2012 from 33.6% in 2011. This decrease is primarily due to lower operating margins reported in Chile, partially offset by a higher operating margin in Colombia.

As a consequence of the prolonged drought, Chilean operating margins decreased from 33.2% in 2011 to 15.4% in 2012, mainly
due to the increase in operating expenses, which represented 52.0% of 2011 revenues and 67.6% of 2012 revenues. Operating expenses increased by 25.3% in 2012 compared to 2011 as a result of lower hydroelectric
generation that forced the Company to utilize more thermal generation with more costly LNG and coal. This led to a 20.6% increase in fuel consumption costs to Ch$ 65.7 billion in 2012, and to the purchase of energy in the spot market,
with higher purchase costs of Ch$ 62.8 billion, or 40.1%. These higher costs were partially offset by lower transportation costs and lower other operating expenses. To a lesser extent, the decline in operating margin is also due to an
increase in depreciation and amortization expenses, which increased by Ch$ 4.2 billion, or 2.5%, associated primarily with the commissioning of our Bocamina II coal-fired plant in October 2012 and represented 7.6% of revenues
in 2012 compared to 5.9% in 2011.



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In Colombia, the operating margin increase was mainly due to the Ch$ 81.6 billion or 16.4%
revenue increase slightly helped by the Ch$ 2.6 billion or 1.0% cost operating decrease. In Peru, the operating margin deterioration is due to that the Ch$ 45.9 billion or 33.9% operating cost increase that were partially offset for smaller
improvement in the revenues of Ch$ 42.3 billion or 17.6%.

The following table summarizes operating income by country for 2012
and 2011:



|                                                                  |  |                         |         |  |        |  |         |        |  |  |        | 
|----------------------------------------------------------------- |  | ----------------------- | ------- |  | ------ |  | ------- | ------ |  |  | ------ | 
|                                                                  |  | Year ended December 31, |        
|                                                                  |  | 2012                    |         |  | 2011   |  |         | Change | 
|                                                                  |  | (in millions of Ch$)    |         |  | (in %) | 
|Operating income                                                  |  |                         |         |  |        |  |         |        |  |  |        | 
|Generation (Chile) (1)                                            |  |                         | 165,459 |  |        |  | 377,522 |        |  |  | (56.2) | 
|Other businesses and intercompany transaction adjustments (Chile) |  |                         | 5,935   |  |        |  | 6,431   |        |  |  | 7.7    | 
|Argentina                                                         |  |                         | 2,473   |  |        |  | 30,154  |        |  |  | (91.8) | 
|Colombia                                                          |  |                         | 337,651 |  |        |  | 253,546 |        |  |  | 33.2   | 
|Peru                                                              |  |                         | 100,898 |  |        |  | 104,485 |        |  |  | (3.4)  | 
|Consolidated adjustment foreign subsidiaries                      |  |                         |        |  |        |  | (5,448) |        |  |  | n.a.   | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |        | 
|Total operating income                                            |  |                         | 612,416 |  |        |  | 766,690 |        |  |  | (20.1) | 
|                                                                  |  |                         |         |  |        |  |         |        |  |  |        | 



|(1) | Restated in accordance with IFRS 11.
|--- | ------------------------------------

Endesa Chiles consolidated operating income was
Ch$ 612.4 billion in 2012 and Ch$ 766.7 billion in 2011. This decrease was primarily due to lower revenues as a consequence of lower average energy sales prices in Chile and Argentina, higher fuel costs in Chile, Colombia and
Peru and increased energy purchase costs in Colombia, Peru and Chile.



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##### Table of Contents

Non-operating Results

The following table sets forth certain information regarding our consolidated non-operating results for each of the periods indicated:



|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|------------------------------------------------------------------------------ |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                                               |  | Year ended December 31, |          
|                                                                               |  | 2012                    |           |  | 2011   |  |           | Change | 
|                                                                               |  | (in millions of Ch$)    |           |  | (in %) | 
|Financial results:                                                             |  |                         |           |  |        |  |           |        |  |  |        | 
|Financial income                                                               |  |                         | 14,630    |  |        |  | 28,264    |        |  |  | (48.2) | 
|Financial costs                                                                |  |                         | (148,469) |  |        |  | (135,258) |        |  |  | 9.8    | 
|Income (loss) for indexed assets and liabilities                               |  |                         | (1,066)   |  |        |  | (5,447)   |        |  |  | (80.4) | 
|Foreign currency exchange differences                                          |  |                         | (12,090)  |  |        |  | (6,650)   |        |  |  | 81.8   | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total                                                                          |  |                         | (146,995) |  |        |  | (119,091) |        |  |  | (23.4) | 
|                                                                               |  |                         |          
|Other non-operating results:                                                   |  |                         |           |  |        |  |           |        |  |  |        | 
|Share of the profit (loss) of associates accounted for using the equity method |  |                         | 135,013   |  |        |  | 138,856   |        |  |  | (2.8)  | 
|Net income from other investments                                              |  |                         | 657       |  |        |  | 1,037     |        |  |  | (36.7) | 
|Net income from sales of assets                                                |  |                         | 765       |  |        |  | 973       |        |  |  | (24.4) | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total                                                                          |  |                         | 136,435   |  |        |  | 140,866   |        |  |  | (3.1)  | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 
|Total non-operating results                                                    |  |                         | (10,560)  |  |        |  | 21,775    |        |  |  | n.a    | 
|                                                                               |  |                         |           |  |        |  |           |        |  |  |        | 

Our financial results in 2012 amounted to an expense of Ch$ 147.0 billion, a 23.4% increase
over 2011. This variation is explained by higher interest expenses of Ch$ 13.2 billion, mostly due to a contingency update with SUNAT (Peruvian Tax Authority), an exchange difference loss increased by Ch$ 5.4 billion, lower financial
income of Ch$ 13.6 billion, due to lower cash availability, partly offset by a gain for indexed assets and liabilities of Ch$ 4.4 billion.

The share of the profit of associates, accounted for under the equity method, amounted to Ch$ 135.0 billion in 2012, decreasing
by 2.8% compared to 2011. This variation was mostly explained by Ch$ 7.9 billion of lower net income in Endesa Brasil, Ch$ 1.8 billion of increased net income in HidroAysén, Ch$ 1.1 billion of increased net income in
GNL Quinteros, Ch$ 0.4 billion of increased net income in GNL Chile and Ch$ 0.4 billion of increased net income in GasAtacama.

As a result of all the foregoing, total non-operating results for 2012 amounted to an expense of Ch$ 10.6 billion.

Net Income

The
following table sets forth our net income for the periods indicated:



|                                                         |  |                         |           |  |        |  |           |        |  |  |        | 
|-------------------------------------------------------- |  | ----------------------- | --------- |  | ------ |  | --------- | ------ |  |  | ------ | 
|                                                         |  | Year ended December 31, |          
|                                                         |  | 2012                    |           |  | 2011   |  |           | Change | 
|                                                         |  | (in millions of Ch$)    |           |  | (in %) | 
|Net income before tax                                    |  |                         | 601,856   |  |        |  | 788,465   |        |  |  | (24.0) | 
|Income tax                                               |  |                         | (182,833) |  |        |  | (207.330) |        |  |  | (11.8) | 
|                                                         |  |                         |           |  |        |  |           |        |  |  |        | 
|Net income                                               |  |                         | 419,023   |  |        |  | 581,135   |        |  |  | (27.9) | 
|Net income attributable to: shareholders of Endesa Chile |  |                         | 234,335   |  |        |  | 446,874   |        |  |  | (47.6) | 
|Net income attributable to: non-controlling interest     |  |                         | 184,688   |  |        |  | 134,261   |        |  |  | (37.6) | 

Income taxes in 2012 decreased by 11.8%, the equivalent of Ch$ 24.5 billion, when compared
to 2011.



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##### Table of Contents

|B. | Liquidity and Capital Resources.
|-- | --------------------------------

The following discussion of cash sources and uses
reflects the key drivers of cash flow for Endesa Chile.

We have a direct ownership in Pehuenche (92.7 %), and Celta (96.2%), which are
our main Chilean consolidated subsidiaries. For the list of principal subsidiaries, please see Exhibit 8.1. We receive cash inflows from our own operating assets and from our subsidiaries, as well as from related companies in Chile and abroad.
Foreign subsidiaries and associates cash flows may not be available to satisfy our own liquidity needs, mainly because they are not wholly-owned, and because there is a time lag before we have effective access to those funds through dividends
or capital reductions. However, we believe that cash flow generated from our business operations, as well as cash balances, borrowings from commercial banks, and ample access to both Chilean and foreign capital markets will be sufficient to satisfy
all our needs for working capital, debt service, dividends and routine capital expenditures.

We have economic interests of 62.5% in
our Peruvian subsidiary, Edegel, 26.9% in our Colombian subsidiary, Emgesa (which we control pursuant to a shareholders agreement), 75.7% in our Argentine subsidiary, Endesa Costanera, and 65.4% in our Argentine subsidiary, El
Chocón. We consolidate these subsidiaries since we control the majority of the voting rights.

Set forth below is the consolidated
cash flow from an accounting perspective:



|                                                                                            |  |                         |       |  |      |  |       |      |  |  |       | 
|------------------------------------------------------------------------------------------- |  | ----------------------- | ----- |  | ---- |  | ----- | ---- |  |  | ----- | 
|                                                                                            |  | Year ended December 31, |      
|                                                                                            |  | 2013                    |       |  | 2012 |  |       | 2011 | 
|                                                                                            |  | (in billions of Ch$)    |      
|Net cash flows from (used in) operating activities                                          |  |                         | 708   |  |      |  | 538   |      |  |  | 665   | 
|Net cash flows from (used in) investing activities                                          |  |                         | (186) |  |      |  | (258) |      |  |  | (193) | 
|Net cash flows from (used in) financing activities                                          |  |                         | (430) |  |      |  | (434) |      |  |  | (400) | 
|                                                                                            |  |                         |       |  |      |  |       |      |  |  |       | 
|Net increase (decrease) in cash and cash equivalents before effect of exchange rate changes |  |                         | 92    |  |      |  | (154) |      |  |  | (72)  | 
|Effect of exchange rate changes on cash and cash equivalents                                |  |                         | (4)   |  |      |  |      |      |  |  | 15    | 
|Cash and cash equivalents at beginning of period                                            |  |                         | 236   |  |      |  | 390   |      |  |  | 303   | 
|                                                                                            |  |                         |       |  |      |  |       |      |  |  |       | 
|Cash and cash equivalents at end of period                                                  |  |                         | 324   |  |      |  | 236   |      |  |  | 390   | 
|                                                                                            |  |                         |       |  |      |  |       |      |  |  |       | 

For the year ended December 31, 2013, cash provided by operating activities was Ch$ 708 billion, an
increase of Ch$ 170 billion, or 31.6% compared to 2012, primarily as a consequence of a decrease in payments to suppliers for goods and services of Ch$ 258 billion, mainly in Chile and Argentina, a Ch$ 47 billion
decrease in income taxes paid, and an increase in collections from premiums and services, annual payments, and other obligations from policies held of Ch$ 68 billion, all of which were partially offset by the decrease in collections from the
sale of goods and services of Ch$ 198 billion, mainly in Chile and Argentina.

For the year ended December 31, 2012, cash
provided by operating activities was Ch$ 538 billion, a decrease of Ch$ 127 billion, or 19.1% compared to 2011, primarily as a consequence of an increase in payments to suppliers for goods and services of
Ch$ 203 billion, mainly in Chile and Peru, a Ch$ 34 billion increase in payments to and on behalf of employees, mainly in Chile and Argentina, and an increase in other outflows of cash of Ch$ 66 billion, all of which were
partially offset by the increase in collections from the sale of goods and services of Ch$ 131 billion and an increase in other collections from operating activities of Ch$ 52 billion.

For the year ended December 31, 2013, cash used by investment activities was Ch$ 186 billion, mostly explained by the acquisition of
property, plant and equipment and the incorporation of intangible assets for a total amount of Ch$ 292 billion, mainly at Endesa Chile, Endesa Argentina and Emgesa. See Item 4. Information of the Company  A. History and
Development of the Company  Investment, Capital Expenditures and Divestitures. The aforementioned cash outflow was partially offset by proceeds from dividends classified as investment cash flow of Ch$ 51 billion, other collections
from the sale of equity or debt instruments belonging to other entities of Ch$ 24 billion and interest received of Ch$ 17 billion.



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For the year ended December 31, 2012, cash used by investment activities was Ch$
258 billion, mostly explained by the acquisition of property, plant and equipment and the incorporation of intangible assets for a total amount of Ch$ 257 billion, mainly at Endesa Chile, Endesa Argentina and Emgesa, and other investment
disbursements of Ch$ 19 billion. See Item 4. Information of the Company  A. History and Development of the Company  Investment, Capital Expenditures and Divestitures. The aforementioned cash outflow was partially
offset by proceeds from dividends classified as investment cash flow of Ch$ 11 billion and interest received of Ch$ 7 billion.

For the year ended on December 31, 2013, cash used by financing activities was Ch$ 430 billion. The main drivers of this change are
described below.

The aggregate cash inflows were primarily due to:



| |  |  | Emgesa issued bonds and for Ch$ 149 billion.
| | - |  | --------------------------------------------



| |  |  | Costanera obtained cash for Ch$ 10.8 billion through a capital increase.
| | - |  | ------------------------------------------------------------------------



| |  |  | El Chocón obtained loans for Ch$ 15 billion.
| | - |  | --------------------------------------------

The aggregate cash outflows were
primarily due to:



| |  |  | Ch$ 294 billion in dividend payments (including Ch$ 118 billion from Endesa Chile on a stand-alone basis, Ch$ 53 billion from Emgesa among others).
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Ch$ 136 billion of interest expense (including Ch$ 71 billion in Endesa Chile on a stand-alone basis, Ch$ 51 billion in Emgesa among others).
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Ch$ 253 billion on payments of loans, bonds and other and other financial instruments from Endesa Chile consolidated.
| | - |  | ---------------------------------------------------------------------------------------------------------------------

For the year ended on December 31, 2012, cash used by financing activities was Ch$ 434 billion. The main drivers of this change are
described below.

The aggregate cash inflows were primarily due to:



| |  |  | Emgesa obtained loans for Ch$ 83 billion.
| | - |  | -----------------------------------------



| |  |  | Emgesa issued bonds for Ch$ 136 billion
| | - |  | ---------------------------------------



| |  |  | Edegel obtained loans for Ch$ 5 billion.
| | - |  | ----------------------------------------

The aggregate cash outflows were primarily due
to:



| |  |  | Ch$ 380.3 billion in dividend payments (including Ch$ 42.1 billion from Emgesa and Ch$ 221.8 billion from Endesa Chile on a stand-alone basis).
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Payments on loans, bonds, financial leasing and other instruments for Ch$ 361 billion (including Ch$ 105.2 billion in Emgesa and Ch$ 202 billion in Endesa Chile on a stand-alone basis).
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Ch$ 125 billion of interest expense (including Ch$ 39.3 billion in Emgesa and Ch$ 67.3 billion in Endesa Chile on a stand-alone basis).
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------

For a description of liquidity risks resulting from the inability of our subsidiaries to transfer funds, please see Item 3. Key
Information  D. Risk Factors  Risks Relating to Our Operations in Every Country in Which We Operate We depend in part on payments from our subsidiaries and affiliates to meet our payment obligations.



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We coordinate the overall financing strategy of our majority-owned subsidiaries. Our operating
subsidiaries independently develop capital expenditure plans. Generally, our policy is to have the foreign operating subsidiaries independently finance their capital expansion programs through internally generated funds or direct financings. In the
case of Chilean subsidiaries, they are financed by us through intercompany loans. For information regarding our commitments for capital expenditures, see Item 4. Information on the Company  A. History and Development of the Company
 Investments, Capital Expenditures and Divestitures.

We have accessed the international equity capital markets, with an
SEC-registered ADS issuance on August 3, 1994. We have also issued bonds in the United States (Yankee Bonds). Since 1996, we and our subsidiary Pehuenche have issued a total of US$ 2,370 million in Yankee Bonds.

The following table lists the Yankee Bonds issued by us and Endesa Chile outstanding as of December 31, 2013. The weighted average annual
coupon interest rate for such bonds is 8.1%, without giving effect to each bonds duration, or put options.



|                 |  |      |           |  |          |  |               |        |  |  |                            |  |  |             |     |  |  |  |     | 
|---------------- |  | ---- | --------- |  | -------- |  | ------------- | ------ |  |  | -------------------------- |  |  | ----------- | --- |  |  |  | --- | 
|                 |  |      |           |  |          |  |               |        |  |  | Aggregate Principal Amount | 
|Issuer           |  | Term |           |  | Maturity |  |               | Coupon |  |  | Issued                     |  |  | Outstanding |    
|                 |  |      |           |  |          |  |               | (in %) |  |  | (in millions of US$)       | 
|Endesa Chile     |  |      | 12 years  |  |          |  | August 2015   |        |  |  | 8.625                      |  |  |             | 200 |  |  |  | 200 | 
|Endesa Chile (1) |  |      | 30 years  |  |          |  | February 2027 |        |  |  | 7.875                      |  |  |             | 230 |  |  |  | 206 | 
|Endesa Chile (2) |  |      | 40 years  |  |          |  | February 2037 |        |  |  | 7.325                      |  |  |             | 220 |  |  |  | 71  | 
|Endesa Chile (1) |  |      | 100 years |  |          |  | February 2097 |        |  |  | 8.125                      |  |  |             | 200 |  |  |  | 40  | 
|                 |  |      |           |  |          |  |               |        |  |  |                            |  |  |             |     |  |  |  |     | 
|Total            |  |      |           |  |          |  |               |        |  |  | 8.109 (3)                  |  |  |             | 850 |  |  |  | 517 | 
|                 |  |      |           |  |          |  |               |        |  |  |                            |  |  |             |     |  |  |  |     | 



|(1) | Endesa Chile repurchased some of these bonds in 2001.
|--- | -----------------------------------------------------

|(2) | Holders of the Endesa Chile 7.325% Yankee Bonds due 2037 exercised a put option on February 1, 2009 for a total amount of US$ 149.2 million. The remaining US$ 70.8 million principal amount of
the Yankee Bonds mature in February 2037.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(3) | Weighted-average coupon.
|--- | ------------------------

The following table lists Emgesas bond issued in the United
States. The bond is denominated in Colombian pesos. The annual interest rate for such bond is 8.75%.



|       |  |      |          |  |          |  |              |                                  |        |  |                                 |             |  |                                 |     |  |                         |  |     |  |  |  |     | 
|------ |  | ---- | -------- |  | -------- |  | ------------ | -------------------------------- | ------ |  | ------------------------------- | ----------- |  | ------------------------------- | --- |  | ----------------------- |  | --- |  |  |  | --- | 
|       |  |      |          |  |          |  |              | Coupon (inflation-adjusted rate) |        |  | Aggregate Principal Amount      |            
|Issuer |  | Term |          |  | Maturity |  |              |                                  | Issued |  |                                 | Outstanding | 
|       |  |      |          |  |          |  |              |                                  |        |  | (in billions ofColombian pesos) |             |  | (in billions ofColombian pesos) |     |  | (in billions of    Ch$) | 
|       |  |      |          |  |          | 
|Emgesa |  |      | 10 years |  |          |  | January 2021 |                                  |        |  | 8.75%                           |             |  |                                 | 737 |  |                         |  | 737 |  |  |  | 201 | 



| | (1) | Calculated based on the observed exchange rate as of December 31, 2013, which was CPs$ 3.6717 per Ch$ 1.00.
| | --- | -----------------------------------------------------------------------------------------------------------

We, as well as our subsidiaries in the five countries in which we operate, have access to the domestic capital markets where we have issued
debt instruments including commercial paper and medium and long term bonds that are primarily sold to pension funds, life insurance companies and other institutional investors.



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The following table lists UF-denominated Chilean bonds issued by us and Endesa Chile, outstanding
as of December 31, 2013.



|                      |  |      |          |        |          |  |               |                                   |  |  |                            |  |  |                    |      |  |                        |  |      |  |  |  |     | 
|--------------------- |  | ---- | -------- | ------ | -------- |  | ------------- | --------------------------------- |  |  | -------------------------- |  |  | ------------------ | ---- |  | ---------------------- |  | ---- |  |  |  | --- | 
|Issuer                |  | Term |          |        | Maturity |  |               | Coupon(inflation-  adjusted rate) |  |  | Aggregate Principal Amount | 
|                      |  |      |          | Issued |          |  | Outstanding   |                                  
|                      |  |      |          |        |          |  |               |                                   |  |  | (in millionsof UF)         |  |  | (in millionsof UF) |      |  | (in  billions  of Ch$) | 
|                      |  |      |          |        |          | 
|Endesa Chile Series H |  |      | 25 years |        |          |  | October 2028  |                                   |  |  | 6.20%                      |  |  |                    | 4.0  |  |                        |  | 3.2  |  |  |  | 74  | 
|Endesa Chile Series M |  |      | 21 years |        |          |  | December 2029 |                                   |  |  | 4.75%                      |  |  |                    | 10.0 |  |                        |  | 10.0 |  |  |  | 233 | 
|                      |  |      |          |        |          |  |               |                                   |  |  |                            |  |  |                    |      |  |                        |  |      |  |  |  |     | 
|Total                 |  |      |          |        |          |  |               |                                   |  |  |                            |  |  |                    | 14.0 |  |                        |  | 13.2 |  |  |  | 307 | 
|                      |  |      |          |        |          |  |               |                                   |  |  |                            |  |  |                    |      |  |                        |  |      |  |  |  |     | 

For a full description of the local bonds issued by us and Endesa Chile, see   Unsecured
liabilities detailed by currency and maturity and   Secured liabilities breakdown by currency and maturity in Note 18 to our Consolidated Financial Statements.

The following table lists local bonds issued by our foreign subsidiaries, outstanding as of December 31, 2013. We present aggregate
information for each company. The maturity column for each company reflects the issuance with the longest maturity, and the coupon rate corresponds to the weighted average coupon of all issuances for each company.



|       |  |          |               |  |            |  |       |                                          |  |  |     | 
|------ |  | -------- | ------------- |  | ---------- |  | ----- | ---------------------------------------- |  |  | --- | 
|Issuer |  | Maturity |               |  | Coupon (1) |  |       | Aggregate Principal   Amount Outstanding | 
|       |  |          |               |  |            |  |       | (in billions of Ch$)                     | 
|Edegel |  |          | January 2028  |  |            |  | 6.69% |                                          |  |  | 61  | 
|Emgesa |  |          | December 2027 |  |            |  | 6.76% |                                          |  |  | 585 | 
|       |  |          |               |  |            |  |       |                                          |  |  |     | 
|Total  |  |          |               |  |            |  |       |                                          |  |  | 646 | 
|       |  |          |               |  |            |  |       |                                          |  |  |     | 



|(1) | Many of the coupon rates are variable rates based on local indexes, such as inflation. The table reflects the coupon rate taking into account each local index as of December 31, 2013.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

We frequently participate in the international commercial bank markets governed by the laws of the State of New York through syndicated senior
unsecured loans. As of December 31, 2013, the amounts outstanding or available for these bank loans are listed below:



|             |  |      |                           |  |          |  |           |                      |  |  |                      |  |  |  |     | 
|------------ |  | ---- | ------------------------- |  | -------- |  | --------- | -------------------- |  |  | -------------------- |  |  |  | --- | 
|Borrower     |  | Type |                           |  | Maturity |  |           | Facility Amount      |  |  | Amount Drawn         | 
|             |  |      |                           |  |          |  |           | (in millions of US$) |  |  | (in millions of US$) | 
|Endesa Chile |  |      | Syndicated revolving loan |  |          |  | June 2014 |                      |  |  | 200                  |  |  |  |    | 
|Endesa Chile |  |      | Syndicated term loan      |  |          |  | June 2014 |                      |  |  | 200                  |  |  |  | 200 | 
|             |  |      |                           |  |          |  |           |                      |  |  |                      |  |  |  |     | 
|Total        |  |      |                           |  |          |  |           |                      |  |  | 400                  |  |  |  | 200 | 
|             |  |      |                           |  |          |  |           |                      |  |  |                      |  |  |  |     | 

The Endesa Chile revolving credit facility due June 2014 do not contain a condition precedent requirement
regarding the non-occurrence of a Material Adverse Effect (or MAE, as defined contractually) prior to a disbursement, allowing the Company full flexibility to draw on up to US$ 200 million in the aggregate from such committed
revolving facilities under any circumstances, including situations involving a MAE.



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Endesa Chile also borrow from banks in Chile under fully committed facilities in which a
potential MAE would not be an impediment to this source of liquidity. In early 2013 entered into 3-year bilateral revolving loans for an aggregate of UF 4.8 million (equivalent to Ch$ 111 billion as of December 31, 2013) as
shown below.



|                                                                                                           |  |                           |  |          |               |  |                      |  |     |                      |  |  
|---------------------------------------------------------------------------------------------------------- |  | ------------------------- |  | -------- | ------------- |  | -------------------- |  | --- | -------------------- |  | -
|Borrower                                                                                                   |  | Type                      |  | Maturity |               |  | Facility Amount      |  |     | Amount Drawn        
|                                                                                                           |  |                           |  |          |               |  | (in millions of US$) |  |     | (in millions of US$)
|                                                                                                           |  |                           |  |         
|Endesa Chile                                                                                               |  | Syndicated revolving loan |  |          | February 2016 |  |                      |  | 106 |                      |  | 
|Our subsidiaries also have access to
fully committed credit lines in the local markets, as detailed above.
|Borrower                                                                                                   |  | Type                      |  | Maturity |               |  | Facility Amount      |  |     | Amount Drawn        
|                                                                                                           |  |                           |  |          |               |  | (in millions of US$) |  |     | (in Ch$ billion)    
|                                                                                                           |  |                           |  |         
|Emgesa                                                                                                     |  | Bilateral revolving loans |  |          | January 2015  |  |                      |  | 187 |                      |  | 

As a result of the foregoing, we have access to fully committed undrawn revolving loans, both international
and domestic, for up to approximately Ch$ 258 billion in the aggregate as of December 31, 2013.

Endesa Chile also borrows routinely
from uncommitted Chilean bank facilities with approved lines of credit for approximately Ch$ 161 billion in the aggregate, which is not currently drawn upon. Unlike the committed lines described above, which is not subject to material adverse effect
condition precedents prior to disbursements, these facilities are not guaranteed under all circumstances. Our foreign subsidiaries also have access to uncommitted local bank facilities, for a total amount of Ch$ 74 billion, none of which we
currently draw upon.

Endesa Chile can also tap the Chilean commercial paper market under programs that have been registered with the
Chilean SVS for a maximum of US$ 200 million for each borrower.

Finally, our foreign subsidiaries also have access to other types of
financing, including governmental facilities, supplier credit and leasing, among others.

Except for the SEC-registered Yankee Bonds,
which are not subject to financial covenants, our outstanding debt facilities include financial covenants. The types of financial covenants, and their respective limits, vary from one type of debt to another. As of December 31, 2013, the most
restrictive financial covenant affecting us was the Adjusted Consolidated Leverage Ratio in connection with the syndicated term and revolving facility that matures in June 2014. Under such covenant, the maximum additional debt that could be
incurred without a breach of the most restrictive covenant is Ch$ 2,775 billion. As of December 31, 2013 and as of the date of this Report, we are in compliance with the financial covenants contained in our debt instruments.

As is customary for certain credit and capital market debt facilities, a significant portion of our financial indebtedness is subject to cross
default provisions. Each of the revolving credit facilities described above, as well as our Yankee Bonds, have cross default provisions with different definitions, criteria, materiality thresholds, and applicability as to the subsidiaries that could
give rise to a cross default.

The cross default provision for our revolving credit facilities due in July 2014, governed by the laws
of the State of New York, refers to defaults of the borrower, without reference to any subsidiary. Under such credit facilities, only matured defaults exceeding US$ 50 million qualify for a potential cross default when the principal exceeds US$
50 million, or its equivalent in other currencies. In the case of a matured default above the materiality threshold, the revolving credit facilitys lenders would have the option to accelerate if the lenders representing more than 50%
of the aggregate debt of a particular facility then outstanding choose to do so. None of our local facilities due in February 2016, has cross default provisions to debt other than the respective borrowers own indebtedness.

The Yankee Bonds cross default provisions may be triggered only by debt of Endesa Chile or its Chilean subsidiaries. A matured default
of either us or one of our Chilean subsidiaries could result in a cross default to our



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Yankee Bonds if such matured default, on an individual basis, has a principal exceeding US$ 30 million, or its equivalent in other currencies. In the case of a matured default above the
materiality threshold, Yankee bondholders would have the option to accelerate if either the trustee or bondholders representing no less than 25% of the aggregate debt of a particular series then outstanding choose to do so. A payment default or
a bankruptcy/insolvency default outside of Chile has no contractual effect on our Yankee Bond indentures, no matter how material. Likewise, Endesa Chiles local bonds have no subsidiary cross default provisions.

Our Argentine subsidiary, Endesa Costanera, did not make any installment payments due in 2012 and 2013 under the terms of a 1996 supplier
credit agreement with Mitsubishi Corporation (MC). As of December 31, 2013, Endesa Costanera has missed US$ 68.5 million in payments, including principal and interest. It has experienced difficulties in making timely
payments under its agreement with MC on a recurring basis since the Argentine crisis began in 2002, but had received waivers from MC in the past expressing its willingness to renegotiate payments. Additionally, MC has liens over the Mitsubishi
combined cycle power plant at Endesa Costanera. Endesa Costanera carried out a capital increase in November 2013, that improved its working capital. Its weak financial situation is attributable to its inability to obtain tariff adjustments that
reflect its actual generation costs.

As of the date of this Report, Endesa Costanera has not received any waivers for the past-due
payments or any acceleration notices. We continue with active negotiations aimed at restructuring the debt. If MC were to declare an event of default and accelerate payment of the US$ 185 million principal and interest balance under the
supplier credit agreement, Endesa Costanera would be required to enter into bankruptcy proceedings. As explained elsewhere in this section, payment defaults and bankruptcy proceedings of non Chilean subsidiaries have no financial effect on our debt
obligations.

With the exception of our Argentine subsidiaries, our companies have access to existing credit lines sufficient to satisfy
all of their present working capital needs. Access to the capital markets on the part of our Argentine subsidiaries has been very limited due to the difficult financial situation still prevailing in Argentina (particularly in the utilities sector),
the poor capital markets environment due to the shortage of off-shore financing, the nationalization of the pension fund system and, in general, higher risk associated with lending to Argentine utilities as a consequence of the regulatory framework.

Payment of dividends and distributions by our subsidiaries and affiliates represent an important source of funds for us. The payment of
dividends and distributions by certain subsidiaries and affiliates are subject to legal restrictions, such as legal reserve requirements, and capital and retained earnings criteria, and other contractual restrictions. We have been advised by legal
counsel in the countries where our subsidiaries and affiliates operate that there currently are no additional legal restrictions on the payment to us of dividends or distributions to us in the jurisdictions where such subsidiaries or affiliates are
incorporated. Certain credit facilities and investment agreements of our subsidiaries restrict the payment of dividends or distributions in certain special circumstances. For a description of liquidity risks resulting from our company status, please
see Item 3. Key Information  D. Risk factors We depend in part on payments from our subsidiaries and affiliates to meet our payment obligations.

Our estimated capital expenditures for the 2014-2018 period amount to Ch$ 1,921 billion, of which Ch$ 1,025 billion are
considered non-discretionary investments. We include maintenance capital expenditures as non-discretionary. It is important for us to maintain the quality and operation standards required for our facilities, but we do have some flexibility regarding
the timing for these investments. We consider the investment in expansion projects as also non-discretionary expenditure. We consider the remaining Ch$ 896 billion as discretionary capital expenditures. The latter includes expansion
projects that are still under evaluation, in which case we would undertake them only if deemed profitable.

Other than in Argentina, we do
not currently anticipate liquidity shortfalls affecting our ability to satisfy the material obligations described in this Report. We are currently renegotiating the terms of repayment with MC and expect to be able to refinance our indebtedness as it
becomes due, fund our purchase obligations outlined previously with internally generated cash and fund capital expenditures with a mixture of internally generated cash and borrowings.



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Transactions that most significantly affected our foreign subsidiaries liquidity
in 2013 included:



| |  |  | Endesa Costanera: capital increase for Ch$ 48 billion, of which 77% was subscribed by Endesa Chile, to support the capital structure of the company.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Emgesa: local bond issuance for Ch$ 149 billion to finance El Quimbo investment needs.
| | - |  | --------------------------------------------------------------------------------------



| |  |  | El Chocón: syndicated loan with local banks for Ch$ 15 billion to refinance short term debt.
| | - |  | --------------------------------------------------------------------------------------------

Transactions that most significantly affected our foreign subsidiaries liquidity in 2012 included:



| |  |  | Endesa Costanera: refinancing of 2012 indebtedness for approximately Ch$ 52 billion.
| | - |  | ------------------------------------------------------------------------------------



| |  |  | El Chocón: obtained a working capital loan for Ch$ 4 billion, which enabled the company to increase the debts average life.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------



| |  |  | Emgesa: syndicated loan with local banks for Ch$ 83 billion to refinance short-term debt and local bonds issuance for Ch$ 136 billion with 10 and 15 year maturity tranches.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Edegel: Ch$ 5 billion in a five-year term loan to refinance short term maturities in 2012.
| | - |  | ------------------------------------------------------------------------------------------



|C. | Research and Development, Patents and Licenses, etc.
|-- | ----------------------------------------------------

None.



|D. | Trend Information.
|-- | ------------------

We are a company with electricity generation assets, and with
subsidiaries and unconsolidated equity investments engaged primarily in the generation of electricity in Chile, Brazil, Argentina, Colombia and Peru. Therefore, our businesses are subject to a wide range of conditions that may result in variability
in our earnings and cash flows from year to year. In general, our net income is a result of our operating income from our generation business and other factors such as income from unconsolidated related companies, foreign currency exchange rate
effects and tax expense.

Operating income varies in each of the four countries where we consolidate operations due to numerous factors,
including hydrological conditions, the price of fuel used to generate thermal electricity, and the prevailing regulated and spot market prices for electricity. We expect our reasonably good operating performance to continue during the coming years,
given the favorable macroeconomic perspective for all of the countries in which we operate, except for Argentina. Despite current uncertainties concerning the global economy, there are good expectations for this regions growth during the next
five years, including an expected 4.1% growth in gross domestic product, on average, based on World Economic Outlook (October 2013) of the International Monetary Fund (IMF) and a stable electricity demand growth.

On the other hand, development of new generation facilities in South America has always lagged behind demand growth. We anticipate that this
tendency will continue for the foreseeable future. Also, due to growing environmental restrictions, transmission line saturation, obstacles for fuel transportation, and scarcity of places where to locate plants, these new projects involve higher
development costs than in the past. We expect that average electricity prices will adjust to recognize these increased costs. This could increase the value of our assets, especially in the case of hydroelectric power plants, which have lower
production costs, and thus have greater profitability in scenarios of increasing prices to end users. Furthermore, an important part of the new installed capacity under development in the four countries in which we operate corresponds to thermal
power plants, with coal and natural gas as their principal fuels. Fewer hydroelectric projects are being developed. Thus, we expect this situation will also impact long term spot prices positively. Long-term contracts awarded in different bids to
us, directly and through our subsidiaries, have already incorporated these expected price levels. Currently, we have 37% of our expected annual generation is sold under contracts with terms of at least ten years and an additional 39% under
contracts with terms of at least five years.



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However, spot prices are subject to great volatility, affecting our forecasted income. In order
to address this risk, the Company has implemented commercial policies to control relevant variables and provide stability to the profit margins. Our commercial policy seeks to establish a global framework to conduct energy trading operations,
setting responsibilities, guidelines and acceptable risk limits aligned with company objectives. Therefore, the Company defines contractual volumes that minimize the risk of supply in adverse hydrological conditions and includes risk mitigation
clauses, where necessary, with some unregulated customers.

In order to mitigate the risk of increasing fuel costs, we have entered into
supply contracts to cover part of the fuel needed to operate the thermal generation units, which operate with coal, natural gas, diesel, and fuel oil. In Chile, through an equity interest in GNL Quintero and GNL Chile, and a Long Term Gas Supply
Agreement with GNL Chile, we are the only electricity company in Chile with direct access to the LNG terminal at Quintero Bay (the only facility of its kind in the SIC market). This enhances our position to manage fuel supply risks, especially when
facing increasing fuel costs scenarios. This is becoming more important as there is an increasing trend to penalize fuel intensive technologies, such as coal and diesel, which have a larger environmental impact.

In July 2013, Endesa Chile and British Gas renegotiated the LNG Sale and Purchase Agreement, which had been in dispute since
January 2013 due to a change in the reference price. This renegotiation has modified some conditions of the original contract, allowing us to secure our long term LNG supply at very competitive prices, with significant flexibilities and with an
additional supply sufficient for our current power plants and future projects.

In addition, because of the drought in Chile and price
volatility of coal and petroleum, we decided to hedge this risk with commodity instruments available in international markets. During 2013, we entered into swap arrangements for 107,000 barrels of Brent crude and 25,000 tons of coal.
As of December 31, 2013, no swap arrangements were outstanding. We plan to continuously monitor operating conditions and, if necessary, entered into new swap arrangements.

Although having operations in the four countries in which we consolidate and our equity interest in Brazil, allows us to somewhat offset and
counterbalance variations with respect to the main factors that can affect our operating results, we cannot claim that our -portfolio of assets is fully hedged. Furthermore, there can be no assurance that past performance will be indicative of
future performance with respect to our business. Any significant change with respect to hydrological conditions, fuel or electricity prices, among other factors, could affect our operating income in the generation business. More broadly, any
significant change with respect to economic and population growth, as well as changes in the regulatory regimes in the countries in which we operate, among other factors, could affect our operating income. Variability in our earnings and cash flows
can also arise from non-operating factors as well, such as foreign currency exchange rates. For further information regarding our 2013 results compared with those recorded in previous periods, please see  A. Operating Results -
Endesa Chiles Results of Operations for the Years ended December 31, 2013 and December 31, 2012 and  A. Operating Results - Endesa Chiles Results of Operations for the Years ended December 31, 2012 and
December 31, 2011. Investors should not look at our past performance as indicative of future performance.

We do not expect
that our current debt agreements, which impose certain restrictions, would have a negative impact on our capital expenditure plan and we have many sources of proven liquidity in the international and domestic capital markets. As of December 31,
2013, we are able to incur up to Ch$ 2,775 billion in incremental debt, without entering into a breach of the debt covenants, beyond current levels of consolidated indebtedness. We believe that we will continue to have similar comfortable levels of
leverage capacity for the foreseeable future (see  Item 5. Operating and Financial Review and Prospects B. Liquidity and Capital Resources).

Finally, we expect that we will continue generating substantial operating cash, which can be used to finance a significant part of our capital
expenditure plan. If needed, our shareholders can also decrease the dividend payout ratio, subject to certain minimum legal restrictions, in order to finance our investment plan and future growth.



|E. | Off-balance Sheet Arrangements.
|-- | -------------------------------

Endesa Chile is not a party to any off-balance sheet arrangements.



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|F. | Tabular Disclosure of Contractual Obligations.
|-- | ----------------------------------------------

The table below sets forth the
Companys cash payment obligations as of December 31, 2013:



|                                            |  |                      |       |  |      |  |     |           |  |  |           |  |  |            |     |  |  |  |       | 
|------------------------------------------- |  | -------------------- | ----- |  | ---- |  | --- | --------- |  |  | --------- |  |  | ---------- | --- |  |  |  | ----- | 
|Cash payment obligation                     |  | Total                |       |  | 2014 |  |     | 2015-2016 |  |  | 2017-2018 |  |  | After 2018 |    
|                                            |  | (in billions of Ch$) |      
|Bank debt                                   |  |                      | 282   |  |      |  | 138 |           |  |  | 39        |  |  |            | 50  |  |  |  | 55    | 
|Local bonds (1)                             |  |                      | 930   |  |      |  | 37  |           |  |  | 92        |  |  |            | 121 |  |  |  | 680   | 
|Yankee bonds                                |  |                      | 472   |  |      |  |    |           |  |  | 105       |  |  |            |    |  |  |  | 367   | 
|Other debt (2)                              |  |                      | 281   |  |      |  | 274 |           |  |  | 7         |  |  |            |    |  |  |  |      | 
|Interest expense (3)                        |  |                      | 1,037 |  |      |  | 122 |           |  |  | 204       |  |  |            | 178 |  |  |  | 533   | 
|Pension and post-retirement obligations (4) |  |                      | 36    |  |      |  | 6   |           |  |  | 5         |  |  |            | 4   |  |  |  | 21    | 
|Purchase obligations (5)                    |  |                      | 2,889 |  |      |  | 306 |           |  |  | 466       |  |  |            | 402 |  |  |  | 1,715 | 
|Financial leases                            |  |                      | 49    |  |      |  | 7   |           |  |  | 17        |  |  |            | 15  |  |  |  | 11    | 
|                                            |  |                      |       |  |      |  |     |           |  |  |           |  |  |            |     |  |  |  |       | 
|Total contractual obligations               |  |                      | 5,976 |  |      |  | 890 |           |  |  | 935       |  |  |            | 770 |  |  |  | 3,382 | 
|                                            |  |                      |       |  |      |  |     |           |  |  |           |  |  |            |     |  |  |  |       | 



|(1) | Net value, hedging instruments included substantially modify the principal amount of debt.
|--- | ------------------------------------------------------------------------------------------

|(2) | All of our pension and post-retirement plans are unfunded. Cash flows estimated in the table are based on future undiscounted payments necessary to meet all of our pension and post-retirement obligations.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(3) | Interest expenses are the interest payments for all outstanding financial obligations, calculated as principal multiplied by the interest rate, presented according to when the interest payment comes due.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(4) | We have funded and unfunded pension and post-retirement benefit plans. Our funded plans have contractual annual commitments for contributions, which do not change based on funding status. Cash flow estimates in the
table are based on such annual contractual commitments including certain estimable variable factors such as interest. Cash flow estimates in the table relating to our unfunded plans are based on future discounted payments necessary to meet all of
our pension and post-retirement obligations.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(5) | Of the total contractual obligations of Ch$ 2,889 billion, 41% corresponds to miscellaneous services, such as LNG regasification, fuel transport, and coal handling, 28% to tolls, 23% to energy purchases and the
remaining 8% to fuel supply long term contracts.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|G. | Safe Harbor.
|-- | ------------

The information contained in the Items 5.E and 5.F contains
statements that may constitute forward-looking statements. See Forward-Looking Statements in the Introduction of this Report, for safe harbor provisions.

Item 6.     Directors, Senior Management and Employees



|A. | Directors and Senior Management.
|-- | --------------------------------

Our Board of Directors consists of nine members who
are elected for a three-year term at an Ordinary Shareholders Meeting (OSM). If a vacancy occurs in the interim, the Board of Directors will elect a temporary director to fill the vacancy until the next OSM, at which time the
entire Board of Directors will be elected. Our Executive Officers are appointed by the Board of Directors and hold office at the discretion of the Board.



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Set forth below are the members of our Board of Directors as of December 31, 2013.



|                    |  |               |  |                           
|------------------- |  | ------------- |  | --------------------------
|Name                |  | Position      |  | Current PositionHeld Since
|                    |  |              
|Directors           |  |               |  |                           
|                    |  |              
|Jorge Rosenblut R   |  | Chairman      |  | 2009                      
|Paolo Bondi         |  | Vice Chairman |  | 2009                      
|Alfredo Arahuetes G |  | Director      |  | 2012                      
|Jaime Bauzá B       |  | Director      |  | 2010                      
|Francesco Buresti   |  | Director      |  | 2008                      
|Enrique Cibié B     |  | Director      |  | 2012                      
|Vittorio Corbo L    |  | Director      |  | 2010                      
|Felipe Lamarca C    |  | Director      |  | 2010                      
|Manuel Morán C      |  | Director      |  | 2012                      

Set forth below are brief biographical descriptions of our directors, of whom five reside in Chile, three
reside in Spain and one resides in the United States.

Jorge Rosenblut R.

Chairman of the Board of Directors

Mr. Rosenblut has been Chairman of Endesa Chile since December 2009. During the previous 10 years he was Chairman of Chilectra.
Mr. Rosenblut is an advisor for Ripley, a retail and financial services business. He is currently a board member of the Institute of Americas of La Jolla, California. He has been a representative of Sun Life Financial (Canada) and Director of
AFP Cuprum, a Chilean pension fund. Between 1990 and 1996, he held positions in the government of Chile, including the Undersecretary of Telecommunications from 1994 to 1995, and the Undersecretary of the Presidency of Chile
from 1995 to 1996. He is also involved in various educational organizations and business advisory committees, including the Deans Littauer Society, the Kennedy School of Government, Florida International Universitys
Presidents Council of 100, the Steering Committee for TEDx Coconut Grove, the Advisory Board of the Center of International Studies at the Catholic University of Chile, and the Group of Fifty (G -50) with support from the Carnegie
Endowment, based in Washington D.C. Mr. Rosenblut received the Entrepreneur of the Year award from the U.S.- Chile Chamber of Commerce in 2007 and again in 2013. He was named one of the Top 100 Businessmen in Latin
America by the Latin Business Chronicle. Mr. Rosenblut has a degree in industrial engineering from the Universidad de Chile, with a masters in public administration from Harvard Universitys Kennedy School of Government.

Paolo Bondi

Vice
Chairman of the Board of Directors

Mr. Bondi was elected a Director and Vice Chairman in July 2009. Mr. Bondi was an
executive of the Montedison group, an Italian industrial conglomerate, holding diverse positions in Italy, the U.S. and France. In 2002, he joined the Enel group as Head of Strategic and Financial Analysis and then as CFO of the
International Division, becoming a member of the board of its principal subsidiaries. In October 2007, he was appointed as Endesa Spains Deputy Managing Director for Economics and Finance and then Vice Chairman of Chilectra. In March
2009, he became Managing Director for Economics and Finance and member of the Executive Committee at Endesa Spain. Mr. Bondi holds a degree in business administration from Università Commerciale Luigi Bocconi di Milano (Italy).

Alfredo Arahuetes G.

Director

Mr. Arahuetes was elected a Director in April 2012. He is currently a Professor of International Economics and Dean of the School of
Economics and Business (ICADE) of the Pontificia Universidad de Comillas (Spain). He has been published widely in journals and books. He has participated in various organizations and agencies such as the Foundation for Latin American Studies holding
the position of Secretary General, the Trilateral Commission as an



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advisor, and in the Economic and Social Committee of the European Union as an expert advisor. He participated as a collaborator in Direct Investments of the Inter-American Development Bank (IDB).
Mr. Arahuetes has a law degree from the Universidad de Deusto (Spain), and a Ph.D. in economics and business administration from the School of Economics and Business (ICADE) of the Pontificia Universidad de Comillas (Spain).

Jaime Bauzá B.

Director and Member of the Directors Committee

Mr. Bauzá was elected a Director in April 2010. Currently, he is also Director of other companies unrelated to Endesa Chile,
such as Claro Chile and Grupo Costanera. Mr. Bauzá was also Director of the Company between 1999 and 2007. He joined Endesa Chile in 1990 after more than twenty years of work in the electricity sector.
Mr. Bauzá served as Endesa Chiles CEO from 1990 to May 1999.Mr. Bauzá was the CEO of Endesa Chiles subsidiary, Empresa Eléctrica Pehuenche S.A., from 1987 to 1990, and Chairman of AES Gener
S.A. (formerly Chilgener S.A.), an unrelated electricity generation company, from 1987 to 1989. Mr. Bauzá also served as AES Gener S.A.s CEO from 1982 to 1987. He holds a degree in civil engineering from the
Pontificia Universidad Católica de Chile.

Francesco Buresti

Director

Mr. Buresti was elected a Director in April 2008. Mr. Buresti was a consultant for Accenture in the industrial sector and a
consultant for McKinsey in the industrial and utilities sectors. In 2005, Mr. Buresti joined Enel as Purchasing Director for Enel Distribution (Electronic Market).Mr. Buresti was appointed Chief Procurement Officer and member of the
Executive Committee of Endesa Spain in October 2007 and Executive Vice President for Enels Global Procurement in May 2012. He is also a Board member of several Enel subsidiaries. Mr. Buresti holds a degree in electronics
engineering from the Università degli Studi di Bologna (Italy).

Enrique Cibié B.

Director and Member of the Directors Committee

Mr. Cibié was elected a Director in April 2012. Currently, Mr. Cibié is a Board member of several companies
unrelated to us, such as Masisa S.A. and Terramater. He has been a CEO for various companies such as Masisa S.A. from 2005 to 2009, Farmacias Ahumada S.A. from 2001 to 2004, and Coca Cola Embonor Inc. from 2000 to 2001.
He holds a commercial engineer, public accountant and auditor degree from the Pontificia Universidad Católica de Chile, and in 1982 he earned his M.B.A. from Stanford University.

Vittorio Corbo L.

Director

Mr. Corbo
was elected a Director in April 2010. Mr. Corbo is a Senior Research Associate at CEP, a leading Chilean public policy center. Currently, Mr. Corbo is also Chairman of the Board of Seguros de Vida SURA S.A, a Chilean insurance
company, and a member of the Board of Directors of Banco Santander-Chile, Banco Santander-México, Banco Santander-España and Compañía Cervecerías Unidas S.A. Mr. Corbo is a member of the Advisory Council of
the Chief Economist of the World Bank, a member of the Advisory Committee of Monetary and Foreign Exchange Policies of the Capital Markets Department of the International Monetary Fund and a member of the International Advisory Council at the Center
for Social and Economic Research (Warsaw, Poland). Mr. Corbo was a senior executive of the World Bank in Washington, D.C. between 1984 and 1991 and he was Chairman of the Board of the Central Bank of Chile and Chairman of its
committee between 2003 and 2007. He was chosen World Central Banker of the Year in 2006 by the publication Global Finance. He holds a commercial engineering degree from the Universidad de Chile and a Ph.D. in economics from the
Massachusetts Institute of Technology.



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Felipe Lamarca C.

Director and Chairman of the Directors Committee

Mr. Lamarca was elected a Director in April 2010. Currently, Mr. Lamarca is Director of several companies that belong to
different industrial sectors such as Ripley, a retail store, Deutsche Bank Chile, and Fundación Un Techo para Chile, a non-profit organization. He has served as Director of the Servicio de Impuestos Internos, the Chilean tax authority.
From 1986 to 2005, Mr. Lamarca was Chairman of COPEC, a Chilean forestry and fuel conglomerate. Between 1997 and 2001, Mr. Lamarca was Chairman of SOFOFA, Chiles Manufacturers Association. Mr. Lamarca was the
Superintendent of the SVS between 1982 and 1983. He holds a degree in commercial engineering from the Pontificia Universidad Católica de Chile and in 2001 he was awarded the Distinguished Professional of the Year by
the Business and Economics School of that university.

Manuel Morán C.

Director

Mr. Morán was elected a Director in April 2012. Between 1990 and 1998, Mr. Morán served as executive
officer and board member in several airline companies, such as Iberia, Aerolineas Argentinas and Austral Líneas Aéreas. He was also member of the Executive Committee of IATA. Currently, Mr. Morán is General Manager of
Endesa Spain Generation and member of the Executive Committee at Endesa Spain and also Board member of several of Endesa Spain subsidiaries. He earned his aeronautic engineering degree from the E.T.S.I.A. of Universidad Politécnica de Madrid
(Spain), and in 1989 he earned an M.B.A. from IESE Business School, Madrid (Spain).

Executive Officers

Set forth are our Executive Officers as of December 31, 2013, except for a few updates as of the date of this Report, as noted below.



|                          |  |                                                          |  |                            
|------------------------- |  | -------------------------------------------------------- |  | ---------------------------
|Name                      |  | Position                                                 |  | Current Position Held
Since
|                          |  |                                                         
|Executive Officers        |  |                                                          |  |                            
|Joaquín Galindo V         |  | Chief Executive Officer                                  |  | 2009                       
|Ramiro Alfonsín B         |  | Assistant Chief Executive Officer                        |  | 2013                       
|Paulo Jorge Domínguez D   |  | Regional Manager of Electricity Production               |  | 2013                       
|Sebastián Fernández C     |  | Energy Planning Officer                                  |  | 2008                       
|Fernando Gardeweg R       |  | Chief Financial Officer                                  |  | 2012                       
|Juan Fernando La Fuente V |  | Planning & Control Officer                               |  | 2013                       
|María Francisca Moya M    |  | Communications Officer                                   |  | 2011                       
|Federico Polemann         |  | Human Resources Officer                                  |  | 2013                       
|Fernando Prieto P         |  | Engineering, Projects and Research & Development Officer |  | 2013                       
|Luis Ignacio Quiñones S   |  | General Counsel                                          |  | 2013                       
|José Venegas M            |  | Trading & Marketing Officer                              |  | 2001                       

Set forth below are brief biographical descriptions of our Executive Officers, all of whom reside in Chile:

Joaquín Galindo V. became CEO in November 2009. From 1983 to 1996, he held several positions in Sevillana de
Electricidad, an Endesa Spain subsidiary, where he was Director of the Thermal Plants of Bahía de Algeciras. In 1998, he became Director of Systems Production of the Islands outside the Iberian Peninsula and Generation Planning for
Endesa Spain Generation. Between 2001 and 2004, he was Director of Production and Engineering for Endesa Italia S.p.A. and Counselor of the Centro Sperimentale Elettrotecnico Italiano (CESI) S.p.A. From 2004 to 2006, he was
Counselor-General Director of the Société Nationale d ́Électricité et de Thermique S.A, in Paris and Counselor of the Thermal Production Society of Bialystok (Poland). Between 2006 and 2008, he served as
Counselor-General Director of Endesa Italia S.p.A. He was also a member of the board of Endesa Europe between 2004 and 2008. Mr. Galindo holds a degree in electrical industrial engineering from Universidad de Sevilla (Spain), a degree
in economics and business administration and an M.B.A. from the Universidad Comercial de Deusto (Spain).



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Ramiro Alfonsín B. was appointed Assistant Chief Executive Officer in
April 2013. He joined the Endesa Spain group in June 2000 working at Endesa Net Factory as Manager of Investments and Venture Capital and later as Planning and Control Manager. From 2004, he worked at Endesa Italy as Assistant of
Planning and Investment and in Endesa Europe as Assistant Director of Investment and Corporate Relations. From 2007 to March 2013 he held the position of Regional Manager of Planning and Control of Enersis. Before joining the Endesa Spain
group, he worked as a Senior Financial Advisor at Banco Urquijo KBL group, at Alcatel in the Management of Corporate Development and Institutional Relations, and as an Associate in Corporate Banking at ABN AMRO Bank N.V. Currently,
Mr. Alfonsín is Director of several subsidiaries of Endesa Chile in Chile, Argentina, and Brazil. Mr. Alfonsín has a degree in business administration from the Pontificia Universidad Católica Argentina.

Paulo Jorge Domínguez D. was appointed Regional Manager of Electricity Production in November 2013. He has been working in
the power sector for 23 years, with a decade of work in power plants, where he became Head of Maintenance after having held various roles including installation and commissioning. He joined the Enel group in 2000, where he served
successively as Head of Maintenance (2000-2002), Head of Asset Management (2003-2006) and Head of Technical Services of Generation for Spain and Portugal (2007-2013). He was Joint Counselor of an Enel group company (2004-2005) and participated in
several international projects for the acquisition and divestment of assets as well as integration. He has been member of several international organizations. Mr. Domínguez has several papers published in specialty journals; he
co-authored two books and has three international awards. Mr. Domínguez holds a degree in mechanical engineering from the Instituto Superior Técnico (Lisboa) and has a graduate degree from the Harvard Business School
(2012) as well as the degree of specialist in industrial maintenance from the Colegio de Ingenieros de Portugal.

Sebastián
Fernández C. became Energy Planning Officer in January 2008. He joined Enersis in January 1997, beginning his professional career in Development. He has served in different positions in the group, such as Project Manager of
Endesa Europe, Deputy Manager of Planning and Investments in Endesa Italy and Deputy Manager of Generation Projects in Endesa Chile. Mr. Fernández holds a commercial engineering degree from the Universidad de Los Andes (Chile), and
attended the YMP program at Insead (France).

Fernando Gardeweg R. became Chief Financial Officer in September 2012. He joined
the Enersis group in 1992. Mr. Gardeweg has served primarily in development and finance positions in the group. He was Enersis National Finance Director from June 2002 to August 2012. Mr. Gardeweg holds a degree in
economics from the Universidad de Chile.

Juan Fernando La Fuente V. was appointed Planning and Control Manager in June 2013.
In 1997 he worked in Chilectra in the commercial and Service Quality areas, and a year later he joined Endesa Chile, as International Planning Assistant Manager. He was later appointed to the position of Head of Energy Management, after which,
between 2006 and 2008 he worked in Endesa Latin-America, in energy management and environmental regulation positions. In 2010, he took over as Enersis Investment Control Deputy Manager, with a main focus on new generation
projects. Mr. La Fuente holds a degree in electrical civil engineering from the Universidad de Chile.

Francisca Moya M.
became Communications Officer in September 2011. In May 2002, she began her career as a journalist in Enersis Communications Department. After two years she became Head of Internal Communications in Endesa Chile. From 2005
to 2009, she worked in Endesa Spains Internal Communications Area. In 2009, she was appointed to the position of Head of Strategic Planning in Communications in Endesa Chile. In May 2010, she became Communications Deputy
Officer. Mrs. Moya holds a degree in journalism from Universidad de Santiago de Chile and a certificate in management and project evaluation from Universidad de Chile. Mrs. Moya left the Company on February 28, 2014.

Federico Polemann was appointed Human Resources Manager in July 2013. His professional career began with various roles in the
Human Resources area at Citibank N.A., after which he joined the Enersis group in September 2003 as Senior Analyst of Human Resource Development at Endesa Costanera. Then he took the responsibility of Head of Development and Labor Relations in
Argentine Generation and was Managing Director of Personnel for Argentina. Mr. Polemann holds a degree in business administration from the Universidad de Buenos Aires and a masters in strategic human resource planning from the Universidad de
San Andrés (Argentina).



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Fernando Prieto P. became Engineering, Projects and Research & Development
Officer in March 2013. Mr. Prieto joined the Endesa group in 1999, where he worked in Project Development until 2005, mostly in generation projects. From 2006 until 2008, he served as Project Management Deputy Director
in the Engineering and R&D Area. Since 2008, he has served as Project Management and Construction Officer at Endesa Spain. Mr. Prieto holds a degree in industrial engineering energy technologies from Universidad Politécnica de
Madrid (Spain), and in 2009 he attended the general management program from IESE Business School, in Madrid (Spain).

Luis Ignacio
Quiñones S. became General Counsel in November 2013. In 1989, he began his career as in-house lawyer for Chilectra until 1994. Between 1994 and 1996 he was in-house lawyer for Ingeniería y
Construcción Sigdo Koppers S.A. Between 1996 and 2004 he worked as an in-house lawyer for Placer Dome Latin America and then as Legal Advisor for its affiliate company, Compañía Minera Zaldívar.
Between 2004 and 2005 he was Head of the Legal area in Gasoducto del Pacífico S.A. Between 2005 and 2013, he was the General Counsel in Chile for Anglo American Chile Limitada. Mr. Quiñones studied law at
Universidad Diego Portales (Chile) and holds the title of lawyer granted by the Supreme Court of Justice in Chile.

José
Venegas M. has been the Trading & Marketing Officer since June 2001. Mr. Venegas joined the Company in 1992. He was Director of the CDEC-SIC Economic Load Dispatch Center in 1997 and the Commercial Officer from
September 1997 to May 2000. He has also served as Planning and Energy Officer from June 2000 to May 2001. Mr. Venegas holds a degree in industrial civil engineering from the Pontificia Universidad Católica de Chile
and an M.B.A. from Universidad Adolfo Ibáñez (Chile).



|B. | Compensation.
|-- | -------------

At the OSM held on April 15, 2013, our shareholders approved the
current compensation policy for the Board of Directors. Each director receives fixed compensation of UF 101 per month and a fee of UF 66 for attending meetings of the Board. The Vice Chairman will receive fixed compensation of
UF 151.5 per month and a fee of UF 99 for attending meetings of the Board. The Chairman will receive fixed compensation of UF 202 per month and a fee of UF 132 for attending meetings of the Board.

In 2013, the total compensation paid to each of our Directors, including fees for attending Directors Committee meetings, was as
follows:



|                      |  |                              |         |  |                       |  |         |                            |  |  |                           |  |  |       |        |  |  |  |         | 
|--------------------- |  | ---------------------------- | ------- |  | --------------------- |  | ------- | -------------------------- |  |  | ------------------------- |  |  | ----- | ------ |  |  |  | ------- | 
|                      |  | Year ended December 31, 2013 |        
|Director              |  | Fixed  Compensation          |         |  | Ordinary      Session |  |         | Extraordinary      Session |  |  | Directors      Committee |  |  | Total |       
|                      |  | (in thousands of Ch$)        |        
|Jorge Rosenblut R     |  |                              | 55,732  |  |                       |  | 36,419  |                            |  |  | 6,046                     |  |  |       |       |  |  |  | 98,197  | 
|Paolo Bondi (1)       |  |                              |        |  |                       |  |        |                            |  |  |                          |  |  |       |       |  |  |  |        | 
|Francesco Buresti (1) |  |                              |        |  |                       |  |        |                            |  |  |                          |  |  |       |       |  |  |  |        | 
|Manuel Morán C. (1)   |  |                              |        |  |                       |  |        |                            |  |  |                          |  |  |       |       |  |  |  |        | 
|Alfredo Arahuetes G.  |  |                              | 27,866  |  |                       |  | 18,210  |                            |  |  | 3,023                     |  |  |       |       |  |  |  | 49,099  | 
|Jaime Bauzá B.        |  |                              | 27,866  |  |                       |  | 18,210  |                            |  |  | 3,023                     |  |  |       | 15,451 |  |  |  | 64,549  | 
|Vittorio Corbo L.     |  |                              | 27,866  |  |                       |  | 18,210  |                            |  |  | 3,023                     |  |  |       |       |  |  |  | 49,099  | 
|Felipe Lamarca C.     |  |                              | 27,866  |  |                       |  | 18,210  |                            |  |  | 3,023                     |  |  |       | 15,451 |  |  |  | 64,549  | 
|Enrique Cibié B       |  |                              | 27,866  |  |                       |  | 18,210  |                            |  |  | 3,023                     |  |  |       | 15,451 |  |  |  | 64,549  | 
|                      |  |                              |         |  |                       |  |         |                            |  |  |                           |  |  |       |        |  |  |  |         | 
|                      |  |                              |         |  |                       |  |         |                            |  |  |                           |  |  |       |        |  |  |  |         | 
|Total                 |  |                              | 195,063 |  |                       |  | 127,467 |                            |  |  | 21,161                    |  |  |       | 46,352 |  |  |  | 390,042 | 
|                      |  |                              |         |  |                       |  |         |                            |  |  |                           |  |  |       |        |  |  |  |         | 



|(1) | Messrs. Bondi, Buresti and Morán waived compensation for their positions as Directors.
|--- | --------------------------------------------------------------------------------------

We do not disclose, to our shareholders or otherwise, information about an individual Executive Officers compensation. For the year
ended December 31, 2013, the aggregate gross compensation paid or accrued, attributable to fiscal year 2013 (including performance-based bonuses) for our Executive Officers, was



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Ch$ 2,072 million. Executive Officers are eligible for variable compensation under a bonus plan. Endesa Chile provides an annual bonus plan for its Executive Officers for meeting
company-wide objectives and for their individual contribution to the Companys results and objectives. The annual bonus plan provides for a range of bonus amounts according to seniority level. The bonuses paid to executives consist of a certain
number of gross monthly salaries.

The amount accrued by the Company in 2013 to provide severance indemnity to its Executive Officers
totaled Ch$ 514 million, of which Ch$ 81 million was accrued during 2013. There are no other amounts set aside or accrued to provide for pension, retirement, or similar benefits for our Executive Officers.

All of our Executive Officers have severance indemnity agreements with the Company in the event of voluntary resignation, termination by
mutual agreement among the parties, or death. They do not have a right to severance indemnity if their relationship with the Company is terminated due to willful misconduct, prohibited negotiations, unjustified absences, abandonment of duties, among
other causes, as defined in article 160 of the Chilean Labor Code. All of the Companys employees are entitled to legal severance pay if terminated due to the needs of the Company, as defined in article 161 of the Chilean Labor Code.



|C. | Board Practices.
|-- | ----------------

The Board of Directors as of December 31, 2013 was elected at
the OSM of April 26, 2012. For information as to the years in which each director began his service on the board, please see  A. Directors and Senior Management above. The members of the Board of Directors do not have service
contracts with Endesa Chile or any of its subsidiaries that provide benefits upon termination of service.

Corporate
Governance

Endesa Chile is managed by its Board of Directors, which, in accordance with its bylaws, consists of nine
directors who are elected at an OSM. Each director serves for a three-year term and the term of each of the nine directors expires on the same day. The directors can be reelected indefinitely. Staggered terms are not permitted under Chilean law. If
a vacancy occurs on the board during the three-year term, the Board of Directors may appoint a temporary director to fill the vacancy. Any vacancy triggers an election for every seat on the Board of Directors at the next OSM.

Chilean corporate law provides that a companys board of directors is responsible for the management, administration and representation
of a company in all matters concerning its corporate purpose, subject to the provisions of the companys bylaws and the stockholders resolutions. In addition to the bylaws, Endesa Chiles Board of Directors has adopted regulations
and policies that guide our corporate governance principles.

The Charter Governing Executives, approved by our Board in July 2003,
and the Employee Code of Conduct, explain our principles and ethical values, establish the rules governing our contact with customers and suppliers, and establish the principles that should be followed by employees, including ethical conduct,
professionalism and confidentiality. They also impose limitations on the activities that our executives and other employees may undertake outside the scope of their employment with us.

In order to ensure compliance with Securities Market Law 18,045 and SVS regulations, our Board of Directors at its meeting held on
May 29, 2008, approved the Manual for the Management of Information of Interest to the Market (the Manual). This document addresses applicable standards regarding the information in connection with transactions of the
Companys securities or those of its affiliates by directors, management, principal executives, employees and other related parties, the existence of blackout periods for such transactions by directors, principal executives and other related
parties, the existence of mechanisms for the continuous disclosure of information that is of interest to the market and mechanisms that provide protection for confidential information. The Manual was released to the market on May 29, 2008 and
is posted on the Companys website at www.endesa.cl. In February 2010, the Manual was modified in order to comply with the provisions of Law No. 20,382 (Corporate Governance Improvement Law).



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The provisions of this Manual shall be applied to the members of our Board, as well as Endesa
Chiles executives and employees who have access to confidential information, and especially those who work in areas related to the securities markets.

In order to supplement the aforementioned corporate governance regulations, our Board, at its meeting held on June 24, 2010 approved a
Code of Ethics and a Zero Tolerance Anti-Corruption Plan (ZTAC Plan). The Code of Ethics is structured on the basis of general principles such as impartiality, honesty, integrity and other values of similar importance, which are expected
in the behavior criteria detailed in the document. The ZTAC Plan reinforces the principles included in the Code of Ethics, but with special emphasis on avoiding corruption in the form of bribes, preferential treatment, and other similar matters.

At its meeting of March 31, 2011, our Board approved the Penal Risk Prevention Model required by Law 20,393 of December 2,
2009, which imposes criminal responsibility on legal entities for the crimes of asset laundering, financing of terrorism and bribing of public officials. The law encourages companies to adopt this model, whose implementation involves compliance with
duties of management and supervision. The adoption of this model therefore mitigates, and in some cases relieves, the effects of criminal responsibility even when a crime is committed. One of the elements of this model is the Penal Risk Prevention
Officer, who was appointed by the Board at its meeting held on October 27, 2010. As of December 31, 2013 our Penal Risk Prevention Officer was Alain Rosolino, Internal Audit Officer of Enersis, our controlling company.

On October 27, 2010, our Board approved GUIDELINES 231: Guidelines applicable to non-Italian subsidiaries in accordance with
Legislative Decree 231 of June 8, 2001. Application to Endesa Spain and its Group. Given that Endesa Chiles ultimate parent company, Enel S.p.A., has to comply with Legislative Decree 231, which establishes management
responsibility for Italian companies as a consequence of certain crimes committed in Italy or abroad, in the name of or for the benefit of such entities, including those crimes described in Chilean Law 20,393, this document, approved by the
Board, sets a group of measures, with standards of behavior expected from all employees, advisers, auditors, officials, directors as well as consultants, contractors, commercial partners, agents and suppliers. Legislative Decree 231 includes
various activities of a preventive nature that are coherent with and integral to the requirements and compliance with Chilean Law 20,393, which deals with the criminal responsibility of legal entities. All of the above is supplementary to the
behavioral regulations included in the Code of Ethics and ZTAC Plan.

On November 29, 2012, the SVS issued General Regulation No.
341 which established regulations for the disclosure of information with respect to the standards of corporate governance adopted by publicly held limited liability corporations that must be complied with, and sets the procedures, mechanisms and
policies that are indicated in the Appendix to the regulation. The objective of this regulation is to provide credible information to the investing public with respect to good corporate governance policies and practices adopted by publicly held
limited liability corporations, which include Endesa Chile, and permit entities like stock exchanges to produce their own analyses to help the various market participants to know and evaluate the commitment of companies. The Appendix is divided into
the following five sections with respect to which companies must report the corporate practices that have been adopted: (i) the functioning of the board,( ii) relations between the company, shareholders and the general public, (iii) the
replacement and compensation of senior executives, (iv) the definition, implementation and supervision of the companys internal control and risk management policies and procedures, and (v) other practices adopted by the company that
do not refer to the above matters. Publicly held limited liability corporations should send the information with respect to corporate governance practices to the SVS, no later than March 31 of each year, using as parameters the contents of the
Appendix to this regulation. Should the company not have adopted any of them, it must explain its reasons. The information should refer to December 31 of the calendar year prior to its dispatch. At the same time, such information shall also be
made available to the public on the companys web site and the information sent to the stock exchanges. The SVS directed that the first dispatch and publication of the information be made in June 2013 and refer to the period ended
March 31, 2013, and Endesa made the dispatch in compliance with the SVS directions.



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Compliance with the New York Stock Exchange (NYSE) Listing Standards on
Corporate Governance

The following is a summary of the significant differences between our corporate governance practices and
those applicable to U.S. domestic issuers under the corporate governance rules of the NYSE:

Independence and Functions of the
Directors Committee (Audit Committee)

Under the NYSE corporate governance rules, all members of the audit committee must be
independent. We have been subject to this requirement since July 31, 2005. On April 22, 2010, at an Extraordinary Shareholders Meeting (ESM), the Companys bylaws were amended and the Audit Committee was merged with
the Directors Committee. According to the Companys bylaws, all of the members of this Committee must satisfy the requirements of independence, as stipulated by the NYSE. Also, Chilean law requires that the majority of the Directors
Committee (at least two out of three members) be independent directors. According to Chilean law, a member would not be considered independent if, at any time, within the last 18 months he or she: (i) maintained any relationship of a
relevant nature and amount with the company, with other companies of the same group, with its controlling shareholder or with the principal officers of any of them or has been a director, manager, administrator or officer of any of them;
(ii) maintained a family relationship with any of the members described in (i) above; (iii) has been a director, manager, administrator or principal officer of a non-profit organization that has received contributions from
(i) above; (iv) has been a partner or a shareholder that has controlled, directly or indirectly, 10% or more of the capital stock or has been a director, manager, administrator or principal officer of an entity that has provided consulting
or legal services for a relevant consideration or external audit services to the persons listed in (i) above; and (v) has been a partner or a shareholder that has controlled, directly or indirectly, 10% or more of the capital stock or has
been a director, manager, administrator or principal officer of the principal competitors, suppliers or customers. In case there are not sufficient independent directors on the Board to serve on the Directors Committee, Chilean law determines
that the independent director nominates the rest of the members of the Directors Committee among the rest of the Board members that do not meet the Chilean law independence requirements. Chilean law also requires that all publicly held limited
liability stock corporations that have a market capitalization of at least UF 1,500,000 (approximately Ch$ 35 billion as of December 31, 2013) and at least 12.5% of its voting shares are held by shareholders that individually
control or own less than 10% of such shares, must have at least one independent director and a Directors Committee.

Under the
NYSE corporate governance rules, the audit committee of a U.S. company must perform the functions detailed in, and otherwise comply with the requirements of NYSE Listed Company Manual Rules 303A.06 and 303A.07. Non-U.S. companies
have been required to comply with Rule 303A.06 beginning July 31, 2005 but are not required to comply with Rule 303A.07. Since July 31, 2005, we have complied with the independence and the functional requirements of
Rule 303A.06. As required by the Sarbanes-Oxley Act (SOX) and the NYSE corporate governance rules, on June 29, 2005, Endesa Chiles Board of Directors created an Audit Committee, composed of three directors who were
also members of the Board. As previously mentioned, this Audit Committee was merged into the Directors Committee in April 2010. As required by the Companys bylaws, the members of Directors Committee, composed of three members
of the Board, should comply with Chilean law, as well as with the criteria and requirements of independence prescribed by SOX, the SEC and the NYSE. As of December 31, 2013, our Directors Committee was composed of three independent
directors, all of whom met the independence criteria of Chilean law, SOX, the SEC and the NYSE.

Our Directors Committee performs the following
functions:



| |  |  | review of Financial Statements and the Reports of the external auditors prior to their submission to shareholders approval;
| | - |  | ----------------------------------------------------------------------------------------------------------------------------



| |  |  | formulation of proposals to the Board of Directors, which will make its own proposals to shareholders meetings, for the selection of external auditors and private rating agencies;
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | review of information related to transactions of the Company with related parties and report the opinion of the Directors Committee to the Board of Directors;
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | examination of the compensation framework and plans for managers, executive officers and employees;
| | - |  | ---------------------------------------------------------------------------------------------------



| |  |  | preparation of an Annual Management Report, including its main recommendations to shareholders;
| | - |  | -----------------------------------------------------------------------------------------------



| |  |  | information to the Board of Directors about the convenience of recruiting external auditors to provide non-auditing services, when such services are not prohibited by law, depending on whether such services might affect
the external auditors independence;
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | oversight of the work of external auditors;
| | - |  | -------------------------------------------



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| |  |  | review and approval of the annual auditing plan by the external auditors;
| | - |  | -------------------------------------------------------------------------



| |  |  | evaluation of the qualifications, independence and quality of the auditing services;
| | - |  | ------------------------------------------------------------------------------------



| |  |  | elaboration of policies regarding employment of former members of the external auditing firm;
| | - |  | ---------------------------------------------------------------------------------------------



| |  |  | review and discussion of problems or disagreements between management and external auditors regarding the auditing process;
| | - |  | ---------------------------------------------------------------------------------------------------------------------------



| |  |  | establishment of procedures for receiving and dealing with complaints regarding accounting, internal control and auditing matters;
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------



| |  |  | any other function mandated to the committee by the bylaws, the Board of Directors or the shareholders of the Company.
| | - |  | ----------------------------------------------------------------------------------------------------------------------

As of December 31, 2013, Messrs. Jaime Bauzá, Enrique Cibié and Felipe Lamarca (Chairman) were members of this Committee,
all of whom satisfied the independence requirements of the NYSE.

Corporate Governance Guidelines

The NYSEs corporate governance rules require U.S.-listed companies to adopt and disclose corporate governance guidelines. Although
Chilean law does not provide for this practice (except for the Manual), the Company has adopted the codes of conduct described above, and at its ESM held in March 2006, approved the inclusion of articles in its bylaws that govern the creation,
composition, attributions, functions and compensation of the Directors Committee and the Audit Committee.

In order to comply with
the new requirements of Law No. 20,382, which amended the Chilean Companies Act, at the ESM held on April 22, 2010, the shareholders of the Company approved amendments to the Companys bylaws, including amendments providing for the
merger of the Directors and Audit Committees. The Directors Committee is currently composed of three members that comply with the SOX independence requirements and the NYSE corporate governance rules. The Directors Committee
includes among its functions the duties previously performed by the Audit Committee.



|D. | Employees.
|-- | ----------

The following table provides the total number of personnel (both permanent
and temporary employees) of the Company and its consolidated subsidiaries for the last three fiscal years:



|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|------------------------------------------------ |  | ---- | ----- |  | ---- |  | ----- | ---- |  |  | ----- | 
|Company                                          |  | 2013 |       |  | 2012 |  |       | 2011 | 
|Argentina                                        |  |      |       |  |      |  |       |      |  |  |       | 
|Endesa Costanera                                 |  |      | 481   |  |      |  | 452   |      |  |  | 421   | 
|El Chocón                                        |  |      | 48    |  |      |  | 49    |      |  |  | 52    | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Total personnel in Argentina                     |  |      | 529   |  |      |  | 501   |      |  |  | 473   | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Chile                                            |  |      |       |  |      |  |       |      |  |  |       | 
|Endesa Chile                                     |  |      | 1,137 |  |      |  | 1,102 |      |  |  | 1,077 | 
|Pehuenche                                        |  |      | 3     |  |      |  | 3     |      |  |  | 3     | 
|Celta                                            |  |      | 1     |  |      |  | 1     |      |  |  | 1     | 
|Ingendesa (1)                                    |  |      |      |  |      |  | 1     |      |  |  | 3     | 
|Túnel El Melón                                   |  |      | 16    |  |      |  | 16    |      |  |  | 16    | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Total personnel in Chile (2)                     |  |      | 1,157 |  |      |  | 1,123 |      |  |  | 1,100 | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Colombia                                         |  |      |       |  |      |  |       |      |  |  |       | 
|Emgesa                                           |  |      | 563   |  |      |  | 517   |      |  |  | 498   | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Total personnel in Colombia                      |  |      | 563   |  |      |  | 517   |      |  |  | 498   | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Peru                                             |  |      |       |  |      |  |       |      |  |  |       | 
|Edegel                                           |  |      | 260   |  |      |  | 263   |      |  |  | 247   | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Total personnel in Peru                          |  |      | 260   |  |      |  | 263   |      |  |  | 247   | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 
|Total personnel of Endesa Chile and subsidiaries |  |      | 2,509 |  |      |  | 2,404 |      |  |  | 2,318 | 
|                                                 |  |      |       |  |      |  |       |      |  |  |       | 



|(1) | Includes employees of Ingendesas subsidiary in Brazil. During 2011, Ingendesa employees were transferred to Endesa Chile.
|--- | --------------------------------------------------------------------------------------------------------------------------

|(2) | Through December 31, 2012, our jointly controlled companies GasAtacama and HidroAysén were consolidated on a proportional basis, so for those companies we included personnel accordingly. Since
January 1, 2013, jointly controlled companies have been consolidated under the equity method as a result of the application of IFRS 11. For comparative purposes we have subtracted the personnel of those companies from the 2011
and 2012 figures.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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The following table provides the total number of temporary employees of the Company and its
consolidated subsidiaries for the last three fiscal years:



|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|---------------------------------------------------------- |  | ------------ | ----- |  | ---- |  | --- | ---- |  |  | ---- |  |  |  | --- | 
|Company                                                    |  | Average 2013 |       |  | 2013 |  |     | 2012 |  |  | 2011 | 
|Argentina                                                  |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Endesa Costanera                                           |  |              | 9.1   |  |      |  | 20  |      |  |  |     |  |  |  | 55  | 
|El Chocón                                                  |  |              | 0.8   |  |      |  | 3   |      |  |  |     |  |  |  | 3   | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Total temporary personnel in Argentina                     |  |              | 9.9   |  |      |  | 23  |      |  |  |     |  |  |  | 58  | 
|Chile                                                      |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Endesa Chile                                               |  |              | 111.2 |  |      |  | 96  |      |  |  | 75   |  |  |  | 74  | 
|Pehuenche                                                  |  |              |      |  |      |  |    |      |  |  |     |  |  |  |    | 
|Pangue                                                     |  |              |      |  |      |  |    |      |  |  |     |  |  |  |    | 
|San Isidro                                                 |  |              |       |  |      |  |    |      |  |  |     |  |  |  |    | 
|Celta                                                      |  |              |      |  |      |  |    |      |  |  |     |  |  |  |    | 
|Túnel El Melón                                             |  |              |      |  |      |  |    |      |  |  |     |  |  |  |    | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Total temporary personnel in Chile (2)                     |  |              | 111.2 |  |      |  | 96  |      |  |  | 75   |  |  |  | 74  | 
|Colombia                                                   |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Emgesa                                                     |  |              | 84.7  |  |      |  | 87  |      |  |  | 76   |  |  |  | 57  | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Total temporary personnel in Colombia                      |  |              | 84.7  |  |      |  | 87  |      |  |  | 76   |  |  |  | 57  | 
|Peru                                                       |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Edegel                                                     |  |              | 25.9  |  |      |  | 22  |      |  |  | 27   |  |  |  | 17  | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Total temporary personnel in Peru                          |  |              | 25.9  |  |      |  | 22  |      |  |  | 27   |  |  |  | 17  | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 
|Total temporary personnel of Endesa Chile and subsidiaries |  |              | 231.7 |  |      |  | 228 |      |  |  | 178  |  |  |  | 206 | 
|                                                           |  |              |       |  |      |  |     |      |  |  |      |  |  |  |     | 

Chile

All Chilean employees who are dismissed for reasons other than misconduct are entitled by law to a severance payment. According to Chilean
law, permanent employees are entitled to a basic payment of one-months salary for each year (or a six-month portion thereof) worked, subject to a limit of a total payment of no more than 11 months pay for employees hired after
August 14, 1981. Severance payments to employees hired prior to that date consist of one-months salary for each full year worked, not subject to any limitation on the total amount payable. Under Endesa Chiles collective bargaining
agreements, the Company is obligated to make severance payments to all covered employees in cases of voluntary resignation or death in specified amounts that increase according to seniority. Endesa Chile has four collective bargaining
agreements in Chile, which will expire between 2015 and 2017.

Argentina

El Chocón has two collective bargaining agreements, one which expires in December 2016, and another which is still pending. Endesa
Costanera has two collective bargaining agreements, which will expire in March 2014.

Colombia

Emgesa has two collective bargaining agreements with two different unions; which will be in force until October and December 2014,
respectively.

Peru

Edegel has one collective bargaining agreement that expired in 2013 and is currently in the process of renegotiation.

Our management believes that is has a good relationship with its labor unions.



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|E. | Share Ownership.
|-- | ----------------

To the best of Managements knowledge, none of Endesa
Chiles directors or officers own more than 0.1% of the shares of the Company. None of Endesa Chiles directors or officers have any stock options. It is not possible to confirm whether any of our directors or officers has a
beneficial, rather than direct, interest in the shares of Endesa Chile. To the best of our knowledge, any share ownership by all of the directors and officers of Endesa Chile, in the aggregate, amounts to significantly less than 10% of
outstanding shares.

Item 7.     Major Shareholders and Related Party Transactions



|A. | Major Shareholders.
|-- | -------------------

Endesa Chile has only one class of capital stock and Enersis, our
controlling shareholder, has no different voting rights than Endesa Chiles other shareholders. As of February 28, 2014 our 8,201,754,580 shares of common stock outstanding were held by 17,143 stockholders of record. There were
four record holders in the United States of America, as of such date.

It is not practicable for us to determine the number of ADSs or
common shares beneficially owned in the United States, as the depositary only has knowledge of the record holders, including the Depositary Trust Company and its nominees. As such, we are not able to ascertain the domicile of the final beneficial
holders represented by the official ADS record holders in the United States of America. Likewise, we cannot readily determine the domicile of any of our foreign stockholders who hold our common stock, either directly or indirectly.

As of February 28, 2014 Enersis owned 60.0% of the shares of Endesa Chile. Chilean private pension funds, Administradoras de
Fondos de Pensiones, or AFPs, owned 14.9% in the aggregate. Chilean stockbrokers, mutual funds, insurance companies, foreign equity funds, and other Chilean institutional investors collectively owned 14.9% of our equity. ADS holders
owned 3.4% of the equity. The remaining 6.8% was held by 16,966 minority shareholders.

The following table sets forth
information concerning ownership of our common stock as of February 28, 2014, with respect to each stockholder known to us to own more than 5% of the outstanding shares of common stock:



|        |  |                       |               |  |                                |  |       | 
|------- |  | --------------------- | ------------- |  | ------------------------------ |  | ----- | 
|        |  | Number of SharesOwned |               |  | Percentage ofSharesOutstanding | 
|        |  |                      
|Enersis |  |                       | 4,919,488,794 |  |                                |  | 60.0% | 

Enersis is a company primarily engaged, through its subsidiaries and related companies, in the generation and
distribution of electricity in Chile, Argentina, Colombia and Peru, and in the generation, transmission and distribution of electricity in Brazil. Enersis is controlled by Endesa Spain, one of the largest Spanish electricity companies, which
beneficially owns 60.6% of Enersis outstanding capital stock.

Since June 25, 2009, Enel has been the ultimate controlling
shareholder of Endesa Chile by virtue of its 92.1% shareholding in Endesa Spain. Enel publicly trades on the Milan Stock Exchange, is headquartered in Italy and is primarily engaged in the energy sector, with a presence in 40 countries
worldwide, and approximately 99 GW of net installed capacity. It provides service to more than 61 million customers through its electricity and gas businesses.



|B. | Related Party Transactions.
|-- | ---------------------------

Article 146 of Law 18,046 (the Chilean
Companies Act) defines related-party transactions as all operations involving the company and any entity belonging to the corporate group, its parent companies, controlling companies, subsidiaries or related companies, board members, managers,
administrators, senior officers or company liquidators, including their spouses, some of their relatives and all entities controlled by them, in addition to individuals who may appoint at least one member of the companys board of directors or
who control 10% or more of voting capital, or companies in which a board member, manager, administrator, senior officer or company



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liquidator has been serving in the same position within the last 18 months. The law establishes that in the event that these persons fulfill the requirements established by
Article 146, such persons must immediately inform the Board of Directors of their related-party nature, or such other group as the Board may appoint for that purpose. As required by law, related-party transactions must comply with
corporate interests, as well as prices, terms and conditions prevailing in the market at the time of their approval. They must also meet all legal requirements, including acknowledgement and approval of the transaction by the board (excluding the
affected directors), by the ESM (in some cases, with requisite majority approval) and by any applicable regulatory procedures.

The
aforementioned law, which also applies to Endesa Chile affiliates, also provides for some exceptions, stating that in certain cases, Board approval would suffice for related-party transactions, pursuant to certain related-party
transaction thresholds and when such transactions are conducted in compliance with the related-party policies defined by the companys board. At its meetings held on December 17, 2009 and April 23, 2010, Endesa Chiles Board of
Directors approved a related-party policy (política de habitualidad) effective as of January 1, 2010. This policy was amended by Endesa Chiles Board of Directors at the board meeting held on April 25, 2012. This policy
is available on the companys website.

If an operation is not in compliance with Article 146, this would not affect the
operations validity, but the company or shareholders may demand compensation from the individual associated with the infringement as provided under law, and reparation for damages. We believe that we have complied with the requirements of
Article 146 in all transactions with related parties.

Our largest electricity distribution customer is Chilectra, a subsidiary of
Enersis. The terms of our contracts with Chilectra are regulated in accordance with the Chilean Electricity Law.

It is the Endesa
Groups policy that all cash inflows and outflows of Endesa Chile and Endesa Chiles Chilean subsidiaries are managed through a centralized cash management policy in coordination with Enersis. It is a common practice in Chile to transfer
surplus funds from one company to another affiliate that has a cash deficit. These operations are carried out through either short-term loans or through structured inter-company loans. These operations are carried out through either short-term or
structured inter-company loans. Under Chilean laws and regulations, such transactions must be carried out on an arms length basis. Our centralized cash management is efficient for both financial and tax reasons. All of these operations are
subject to the supervision of our Directors Committee. As of December 31, 2013, these operations were priced at TIP (a Chilean variable interest rate) + 0.05% per month.

In other countries in which we do business, these inter-company transactions are permitted, but they have adverse tax consequences.
Accordingly, we do not manage the cash flows of our non-Chilean subsidiaries.

Endesa Chile has made structured loans to its related
parties in Chile, primarily to finance projects. As of December 31, 2013, the outstanding net balance for such loans was US$ 28.2 million, at an interest rate of 3.5% per annum. The largest amounts outstanding during 2013
and 2012 were US$ 28,2 million and US$ 38,5 million, respectively.

During the two-year period ended December 31,
2013, Endesa Chile granted only one loan to a foreign subsidiary, Endesa Costanera, at a spread of 6.0% over LIBOR. This loan ended in November 2013, because it was contributed to Endesa Costanera in connection with its capital increase.
The largest amount outstanding during 2013 and 2012 for such loan was US$ 7.1 million.

During 2013, Endesa Chile
obtained two structured loans from Enersis, primarily to finance projects. As of December 31, 2013, the outstanding net balance for such loans was Ch$ 196 billion composed of a Ch$ 67 billion loan with a fixed interest rate
of 6.36% of which Ch$ 31.5 billion was repaid in January 2014 and Ch$ 35.5 billion was repaid in March 2014, and a second loan for Ch$ 127 billion at fixed interest rate of 5.99%, also repaid in
March 2014.

As of the date of this Report, the abovementioned transactions have not experienced material changes. For more
information regarding transactions with related parties, refer to Note 8 to our Consolidated Financial Statements.



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|C. | Interests of Experts and Counsel.
|-- | ---------------------------------

Not applicable.

Item 8.     Financial Information



|A. | Consolidated Statements and Other Financial Information.
|-- | --------------------------------------------------------

See Item 18 for our
Consolidated Financial Statements.

Legal Proceedings

We and our subsidiaries are parties to legal proceedings arising in the ordinary course of business. We believe it is unlikely that any loss
associated with pending lawsuits will significantly affect the normal development of our business.

For detailed information as of
December 31, 2013 on the status of the material pending lawsuits that have been filed against the Company or its subsidiaries, please refer to Note 32.3 to our Consolidated Financial Statements. In 2009, the Company adopted IFRS, and in
relation to the legal proceedings reported in the Notes to the Consolidated Financial Statements, the Company decided to use the criteria of disclosing lawsuits above a minimum threshold of US$ 15 million of potential impact to Endesa Chile,
and, in some cases, qualitative criteria according to the materiality of the impact in the conduct of our business. The lawsuit status includes a general description, the process status and the estimate of the amount involved in each lawsuit.

Dividend Policy

The Board generally
establishes a definitive dividend payable each year, and attributable to the prior year, which cannot be less than the legal minimum of 30% of annual net income before negative goodwill amortization. As agreed at a meeting held on
February 27, 2014, the Board of Directors will propose to the OSM that is expected to be held on April 22, 2014, the payment of a definitive dividend of Ch$ 17.698562 per share for fiscal year 2013, equal to a payout ratio
of 50% (based on annual net income before negative goodwill amortization). The provisional dividend of Ch$ 3.87772 per share paid on January 31, 2014, will be deducted from the definitive dividend to be paid on May 15, 2014.

The Board of Directors also approved a dividend policy for fiscal year 2014 according to which a provisional dividend will be paid to
stockholders equal to 15% of the net income accumulated through September 30, 2014. The Board of Directors will propose a definitive dividend payout equal to 50% of the annual net income for fiscal year 2014. Actual dividend
payments will be subject to net profits obtained in each period, as well as to expectations of future profit levels and other conditions that may exist at the time of such dividend declaration. The fulfillment of the aforementioned dividend policy
will depend on actual 2014 net income. The proposed dividend policy is subject to the Board of Directors prerogative to change the amount and timing of the dividends under the circumstances at the time of the payment.

Currently, there are no restrictions on the ability of Endesa Chile or any of its subsidiaries to pay dividends, other than certain legal
restriction of limiting the amount of dividends to net income and retained earnings and in the event of specific circumstances under the conditions of certain credit agreements, including that Endesa Costanera and El Chocón may not pay
dividends unless they comply with certain financial covenants. In general terms, companies may not pay dividends in case of default on credit agreements. (See Item 5. Operating and Financial Review and Prospects  B. Liquidity and
capital resources for further detail on Endesa Chile debt instruments).

Stockholders set dividend policies at each subsidiary and
affiliate. There are currently no material currency controls which prohibit Endesa Chile from repatriating the dividend payments from its non-Chilean principal subsidiaries and affiliates.



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The Company pays dividends to shareholders of record as of five business days before the payment
date. Holders of ADS on the applicable record dates will be entitled to participate in all future dividends.

Dividends

The table below sets forth, for each of the years indicated, the per share amounts of dividends distributed by the Company in Chilean pesos
and the amount of dividends distributed per ADS (one ADS = 30 shares of common stock) in U.S. dollars. See Item 10. Additional Information  D. Exchange Controls.



|     |  |  |  |                           |       |  |                |  |      | 
|---- |  |  |  | ------------------------- | ----- |  | -------------- |  | ---- | 
|     |  |  |  | Dividends distributed (1) |      
|Year |  |  |  | Nominal Ch$per Share      |       |  | US$per ADS (2) | 
|2013 |  |  |  |                           | 14.29 |  |                |  | 0.82 | 
|2012 |  |  |  |                           | 27.24 |  |                |  | 1.70 | 
|2011 |  |  |  |                           | 32.53 |  |                |  | 1.88 | 
|2010 |  |  |  |                           | 17.53 |  |                |  | 1.12 | 
|2009 |  |  |  |                           | 25.25 |  |                |  | 1.49 | 



|(1) | This chart details dividends paid in any given year and not the dividends accrued in that year. These dividends may have been accrued during the prior year or the same year in which they were paid. These amounts do not
reflect reduction for any applicable Chilean withholding tax.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | The U.S. dollar per ADS amount has been calculated by applying the exchange rate for December 31 of each year. One ADS = 30 shares of common stock.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------

For a discussion of Chilean withholding taxes and access to the formal currency market in Chile in connection with the payment of dividends
and sales of ADSs and the underlying Common Stock, see Item 10. Additional Information  E. Taxation and Item 10. Additional Information  D. Exchange Controls.



|B. | Significant Changes
|-- | -------------------

None.

Item 9.     The Offer and Listing



|A. | Offer and Listing Details.
|-- | --------------------------

Market Price Information

The shares of our common stock currently trade on Chilean, United States and Spanish exchanges.



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The table below shows, for the periods indicated, high and low prices in Chilean pesos on the
Santiago Stock Exchange and high and low closing prices of the ADSs in U.S. dollars as reported by the NYSE.



|            |  |                            |        |  |                         |  |        |      |  |  |       |  |  |  |       | 
|----------- |  | -------------------------- | ------ |  | ----------------------- |  | ------ | ---- |  |  | ----- |  |  |  | ----- | 
|            |  | Santiago StockExchange (1) |        |  | U.S. StockExchanges (2) | 
|            |  | Ch$ per share              |        |  | US$ per ADS             | 
|            |  | High                       |        |  | Low                     |  |        | High |  |  | Low   | 
|            |  |                            |        | 
|2014        |  |                            | 800.00 |  |                         |  | 698.09 |      |  |  | 44.43 |  |  |  | 37.63 | 
|March       |  |                            | 796.70 |  |                         |  | 738.50 |      |  |  | 43.59 |  |  |  | 38.73 | 
|February    |  |                            | 779.00 |  |                         |  | 700.10 |      |  |  | 42.75 |  |  |  | 37.63 | 
|January     |  |                            | 800.00 |  |                         |  | 698.09 |      |  |  | 44.43 |  |  |  | 37.77 | 
|            |  |                            |        | 
|2013        |  |                            | 854.00 |  |                         |  | 663.04 |      |  |  | 54.02 |  |  |  | 38.26 | 
|December    |  |                            | 798.00 |  |                         |  | 760.00 |      |  |  | 45.11 |  |  |  | 42.50 | 
|November    |  |                            | 795.00 |  |                         |  | 746.85 |      |  |  | 46.14 |  |  |  | 42.79 | 
|October     |  |                            | 785.00 |  |                         |  | 702.70 |      |  |  | 47.67 |  |  |  | 41.64 | 
|September   |  |                            | 759.90 |  |                         |  | 677.84 |      |  |  | 45.58 |  |  |  | 39.73 | 
|4th Quarter |  |                            | 798.00 |  |                         |  | 702.70 |      |  |  | 47.67 |  |  |  | 41.64 | 
|3rd Quarter |  |                            | 775.60 |  |                         |  | 663.04 |      |  |  | 45.58 |  |  |  | 38.26 | 
|2nd Quarter |  |                            | 854.00 |  |                         |  | 685.00 |      |  |  | 54.02 |  |  |  | 40.11 | 
|1st Quarter |  |                            | 839.99 |  |                         |  | 767.25 |      |  |  | 53.43 |  |  |  | 48.76 | 
|            |  |                            |        | 
|2012        |  |                            | 899.00 |  |                         |  | 710.00 |      |  |  | 55.96 |  |  |  | 44.05 | 
|4th Quarter |  |                            | 785.00 |  |                         |  | 710.00 |      |  |  | 49.89 |  |  |  | 44.53 | 
|3rd Quarter |  |                            | 888.90 |  |                         |  | 747.90 |      |  |  | 54.31 |  |  |  | 47.43 | 
|2nd Quarter |  |                            | 899.00 |  |                         |  | 790.90 |      |  |  | 55.96 |  |  |  | 46.50 | 
|1st Quarter |  |                            | 884.90 |  |                         |  | 740.00 |      |  |  | 54.91 |  |  |  | 44.05 | 
|            |  |                            |        | 
|2011        |  |                            | 908.00 |  |                         |  | 700.01 |      |  |  | 58.23 |  |  |  | 39.28 | 
|            |  |                            |        | 
|2010        |  |                            | 948.00 |  |                         |  | 774.00 |      |  |  | 58.42 |  |  |  | 42.47 | 
|            |  |                            |        | 
|2009        |  |                            | 905.00 |  |                         |  | 708.00 |      |  |  | 52.30 |  |  |  | 33.28 | 



|(1) | Source: Santiago Stock Exchange.
|--- | --------------------------------

|(2) | Source: NYSENET. Endesa Chiles ADS composite figures include transactions in all U.S. stock exchanges. One ADS = 30 shares of common stock.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------

On the last trading day in 2013, the common stock closed at Ch$ 782.77 per share on the Santiago Stock Exchange and the ADS closed
at US$ 44.58 on the NYSE.

On March 31, 2014, the common stock closed at Ch$ 792.63 per share on the Santiago Stock Exchange and
the ADS closed at US$ 43.18 on the NYSE.



|B. | Plan of Distribution.
|-- | ---------------------

Not applicable.



|C. | Markets.
|-- | --------

In Chile, the Companys stock is traded on three stock exchanges: the
Santiago Stock Exchange, the Electronic Stock Exchange and the Valparaíso Stock Exchange. The largest exchange in the country, the Santiago Stock Exchange, was established in 1893 as a private company. Its equity consists of 48
shares held by 44 stockholders as of the date of this Report. As of December 31, 2013, 227 companies had shares listed on the Santiago Stock Exchange. For the year ended 2013, the Santiago Stock Exchange accounted for 86.1% of
Endesa Chiles total equity traded in Chile and amounted to 1,246,414,650 shares. In addition, approximately 13.7% of Endesa Chiles equity trading was conducted on the Electronic Stock Exchange, an electronic trading market that
was created by banks and non-member brokerage houses, and 0.2% was traded on the Valparaíso Stock Exchange.



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Equities, closed-end funds, fixed-income securities, short-term and money market securities, gold
and U.S. dollars are traded on the Santiago Stock Exchange. The Santiago Stock Exchange also trades U.S. dollar futures and stock index futures. Securities are traded primarily through an open voice auction system; a firm offers system or
the daily auction. Trading through the open voice system occurs on each business day from 9:30 a.m. to 4:00 p.m., during local standard time, and from 9:30 a.m. to 5:00 p.m. during daylight savings time, which differs from New
York City time by up to two hours, depending on the season. The Santiago Stock Exchange has an electronic trading system called Telepregón, which operates continuously from 9:30 a.m. to 4:00 p.m. during local standard time, and
from 9:00 a.m. to 5:00 p.m. during daylight savings time, on each business day. During local standard time, electronic auctions may be conducted four times a day, at 10:30 a.m., 11:30 a.m., 1:30 p.m., and 3:30 p.m. During
daylight savings time there is an additional electronic auction at 4:30 p.m. More than 99% of the auctions and transactions take place electronically.

There are two share price indexes on the Santiago Stock Exchange: the General Shares Price Index, or IGPA, and the Selected Shares Price
Index, or IPSA. The IGPA is calculated using the prices of shares that are traded at least 5% of the trading days of a year, with a total annual transactions exceeding UF 10,000 (Ch$ 231 million as of December 31, 2013) and a
free float of at least 5%. The IPSA is calculated using the prices of the 40 shares with higher amounts traded, on a quarterly basis, with market capitalization above US$ 200 million. The shares included in the IPSA and IGPA are
weighted according to the weighted value of the shares traded. Endesa Chile has been included in the IPSA since the beginning of its privatization process in 1987.

Shares of our common stock have traded in the United States in the form of ADSs on the New York Stock Exchange (NYSE)
since 1994 under the ticker symbol EOC. Each ADS represents 30 shares of common stock, with the ADSs in turn evidenced by American Depositary Receipts (ADRs). The ADRs are outstanding under the Amended and Restated Deposit
Agreement dated as of September 30, 2010, among us, Citibank, N.A. as Depositary, and the holders and beneficial owners from time to time of ADRs issued thereunder. Only persons in whose names ADRs are registered on the books of the Depositary
are treated by the Depositary as owners of ADRs.

As of March 31, 2014, ADRs evidencing 9,401,747 ADSs (equivalent
to 282,052,410 shares of common stock) were outstanding, representing 3.45% of the total number of outstanding shares. It is not practicable for the Company to determine the proportion of ADSs beneficially owned by U.S. final
beneficial holders. Trading of our shares on the NYSE and other exchanges during 2013 amounted to approximately 770 million ADSs, which in turn was equivalent to US$ 1,189 million.

The NYSE is open for trading Monday through Friday from 9:30 am to 4:00 pm, with the exception of holidays declared by the NYSE in
advance. On the trading floor, the NYSE trades in a continuous auction format, where traders can execute stock transactions on behalf of investors. Specialist brokers act as auctioneers in an open outcry auction market to bring buyers and sellers
together and to manage the actual auction. Customers can also send orders for immediate electronic execution, or route orders to the floor for trade in the auction market. The NYSE works with U.S. regulators like the Securities and Exchange
Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to coordinate risk management measures in the electronic trading environment through the implementation of mechanisms like circuit breakers and
liquidity replenishment points.

Shares of Endesa Chile were first listed and began trading on the Bolsa de Valores Latinoamericanos de
la Bolsa de Madrid (Latibex) as of December 2001, under the ticker symbol XEOC. Until April 2011, a trading unit represented 30 shares of common stock (the same unit conversion of 30:1 as an ADS), but
since May 2011 the equivalence changed to a 1:1 ratio. Santander Investment S.A. acts as the liaison entity, and Banco Santander-Chile as the Depositary Bank in Chile. Trading of our shares on the Latibex during 2013 amounted to
approximately 2.3 million units, which in turn was equivalent to  2.51 million. The stock closed at  1.02 on the last 2013 trading day.



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The following table contains information regarding the amount of total traded shares of common
stock and the corresponding percentage traded per market during 2013:



|                                               |  |                            |               |  |         |  |        | 
|---------------------------------------------- |  | -------------------------- | ------------- |  | ------- |  | ------ | 
|                                               |  | Endesa Chile               |              
|                                               |  | Number of common    shares |               |  | Percent | 
|Market                                         |  |                            |               |  |         |  |        | 
|Chile (1)                                      |  |                            | 1,448,191,935 |  |         |  | 65.2%  | 
|United States (One ADS = 30 common shares) (2) |  |                            | 770,439,360   |  |         |  | 34.7%  | 
|Spain (3)                                      |  |                            | 2,258,629     |  |         |  | 0.1%   | 
|                                               |  |                            |               |  |         |  |        | 
|Total                                          |  |                            | 2,220,889,924 |  |         |  | 100.0% | 
|                                               |  |                            |               |  |         |  |        | 



|(1) | Includes Santiago Stock Exchange, Electronic Stock Exchange and Valparaíso Stock Exchange.
|--- | ------------------------------------------------------------------------------------------

|(2) | Includes the New York Stock Exchange and over-the-counter trading.
|--- | ------------------------------------------------------------------

|(3) | Latibex.
|--- | --------

For further information see Item 9. The Offer and Listing  A. Offer and Listing
Details  Market Price Information.



|D. | Selling Shareholders.
|-- | ---------------------

Not applicable



|E. | Dilution.
|-- | ---------

Not applicable.



|F. | Expense of the Issue.
|-- | ---------------------

Not applicable.



|Item 10.    Additional | Information
|---------------------- | -----------



|A. | Share Capital.
|-- | --------------

Not applicable.



|B. | Memorandum and Articles of Association.
|-- | ---------------------------------------

Description of Share Capital

Set forth below is certain information concerning our share capital and a brief summary of certain significant provisions of our bylaws and
Chilean law.

General

Shareholders rights in Chilean companies are governed by the companys bylaws, which serve the same purpose as the articles or
certificate of incorporation and the bylaws of a company incorporated in the United States, and by Law 18,046 (the Chilean Companies Act). In addition, D.L. 3500, or the Pension Funds System Law, which permits the investment by Chilean
pension funds in stock of qualified companies, indirectly affects corporate governance and prescribes certain rights of shareholders. In accordance with the Chilean Companies Act, legal actions by shareholders to enforce their rights as shareholders
of the company must be brought in Chile in arbitration proceedings or, at the option of the plaintiff, before Chilean courts. Members of the board of directors, managers, officers and principal executives of the company, or shareholders that
individually own shares with book value or stock value higher that UF 5,000 (Ch$ 116 million as of December 31, 2013) do not have the option to bring the procedure to the courts.



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The Chilean securities markets are principally regulated by the Superintendency of Securities and
Insurance, or SVS, under Law 18,045 (the Securities Market Law), and the Chilean Companies Act. These two laws provide for disclosure requirements, restrictions on insider trading and price manipulation, and protection of minority shareholders.
The Securities Market Law sets forth requirements for public offerings, stock exchanges and brokers, and outlines disclosure requirements for companies that issue publicly offered securities. The Chilean Companies Act and the Securities Market Law,
both as amended, provide rules regarding takeovers, tender offers, transactions with related parties, qualified majorities, share repurchases, directors committee, independent directors, stock options and derivative actions.

Public Register

Endesa Chile is a
publicly held stock corporation incorporated under the laws of Chile. Endesa Chile was constituted by public deed issued on December 1, 1943 by the Santiago Notary Public Mr. Luciano Hiriart C. Its existence and bylaws were approved by
Decree No. 97 of the Ministry of Finance on January 3, 1944. An excerpt of the bylaws was registered on page 61, and the Decree was registered on page 65 in the Commercial Registrar (Registro de Comercio del Conservador de
Bienes Raíces y Comercio de Santiago), on January 17, 1944. Endesa Chile is registered with the SVS and its entry number is 0114. Endesa Chile is also registered with the United States Securities and Exchange Commission and its
commission file number is 1-13240.

Reporting Requirements Regarding Acquisition or Sale of Shares

Under Article 12 of the Securities Market Law and General Rule 269 of the SVS, certain information regarding transactions in shares
of a publicly held stock corporation or in contracts or securities whose price or results depend on or are conditioned in whole or in part on the price of such shares must be reported to the SVS and the Chilean stock exchanges. Since American
Depositary Shares (ADS) are deemed to represent the shares of common stock underlying the American Depositary Receipts (ADRs), transactions in ADRs will be subject to these reporting requirements and those established in Circular 1375 of
the SVS. Shareholders of publicly held stock corporations are required to report to the SVS and the Chilean stock exchanges:



| |  |  | any direct or indirect acquisition or sale of shares made by a holder who owns directly or indirectly at least 10% of a publicly held stock corporations subscribed capital;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | any direct or indirect acquisition or sale of contracts or securities whose price or results depend on or are conditioned in whole or in part on the price of shares made by a holder who owns directly or indirectly at
least 10% of a publicly held stock corporations subscribed capital;
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | any direct or indirect acquisition or sale of shares made by a holder who, due to an acquisition of shares of such publicly held stock company, results in the holder acquiring directly or indirectly at least 10% of
a publicly held stock companys subscribed capital; and
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | any direct or indirect acquisition or sale of shares in any amount, made by a director, receiver, principal executive, general manager or manager of a publicly held stock company.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

In addition, majority shareholders of a publicly held stock corporation must inform the SVS and the Chilean stock exchanges if such
transactions are entered into with the intention of acquiring control of the company or if they are making a passive financial investment instead.

Under Article 54 of the Securities Market Law and General Rule 104 enacted by the SVS, any person who directly or indirectly intends
to take control of a publicly held stock corporation must disclose this intent to the market at least ten business days in advance of the proposed change of control and, in any event, as soon as the negotiations for the change of control have taken
place or reserved information of the publicly held stock corporation has been provided.



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Corporate Objectives and Purposes

Article 4 of our bylaws states that our corporate objectives and purposes are, among other things, to exploit the production,
transportation, distribution and supply of electric power, as well as to provide engineering consultant services, directly or through other companies, in Chile and abroad.

Board of Directors

Our Board of
Directors is comprised of nine members who are appointed by shareholders at the OSM of the Company and are elected for a period of three years, at the end of which they will be re-elected or replaced.

The nine directors elected at the OSM are the nine individual nominees who receive the highest majority of the votes. Each shareholder may
vote his shares in favor of one nominee or may apportion his shares among any number of nominees.

The effect of these voting provisions
is to ensure that a shareholder owning more than 10% of our shares is able to elect a member of the Board.

The compensation of the
directors is set annually at the OSM. See Item 6. Directors, Senior Management and Employees  B. Compensation.

Agreements entered into by Endesa Chile with related parties can only be executed when such agreements serve the interest of the Company, and
their price, terms and conditions are consistent with prevailing market conditions at the time of their approval and comply with all the requirements and procedures indicated in Article 147 of the Chilean Companies Act.

Certain Powers of the Board of Directors

Our bylaws provide that every agreement or contract that the Company enters into with its controlling shareholder, its directors or
executives, or with their related parties, must be previously approved by two thirds of the Board of Directors and be included in the Board meetings and must comply with the provisions of the Chilean Companies Act.

Our bylaws do not contain provisions relating to:



| |  |  | the directors power, in the absence of an independent quorum, to vote on compensation for themselves or any members of their body;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------



| |  |  | borrowing powers exercisable by the directors and how such borrowing powers can be varied;
| | - |  | ------------------------------------------------------------------------------------------



| |  |  | retirement or non-retirement of directors under an age limit requirement; or
| | - |  | ----------------------------------------------------------------------------



| |  |  | number of shares, if any, required for directors qualification.
| | - |  | ----------------------------------------------------------------

Certain Provisions Regarding
Shareholder Rights

As of the date of the filing of this Report, Endesa Chiles capital is comprised of only one class of shares,
all of which are ordinary shares and have the same rights.

Our bylaws do not contain any provisions relating to:



| |  |  | redemption provisions;
| | - |  | ----------------------



| |  |  | sinking funds; or
| | - |  | -----------------



| |  |  | liability for capital calls by the Company.
| | - |  | -------------------------------------------



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Under Chilean law, the rights of holders of stock of the Company may only be changed by an
amendment to the bylaws that complies with the requirements explained below under Item 10. Additional Information  B. Memorandum and Articles of Association  Shareholders Meetings and Voting Rights.

Capitalization

Under Chilean law, only
the shareholders of a company acting at an ESM have the power to authorize a capital increase. When an investor subscribes for shares, these are officially issued and registered under his name, and the subscriber is treated as a shareholder for all
purposes, except receipt of dividends and for return of capital in the event that the shares have been subscribed but not paid for. The subscriber becomes eligible to receive dividends only for the shares that he has actually paid for or, if he has
paid for only a portion of such shares, the pro rata portion of the dividends declared with respect to such shares unless the companys bylaws provide otherwise. If a subscriber does not fully pay for shares for which he has subscribed on or
prior to the date agreed upon for payment, notwithstanding the actions intended by the company to collect payment, the company is entitled to auction the shares on the stock exchange where such shares are traded, for the account and risk of the
debtor, the number of shares held by the debtor necessary for the company to pay the outstanding balances and disposal expenses. However, until such shares are sold at auction, the subscriber continues to hold all the rights of a shareholder, except
the right to receive dividends and return of capital. The chief executive officer or the person replacing him will reduce in the shareholders register the number of shares in the name of the debtor shareholder to the number of shares that
remain, deducting the shares sold by the company and settling the debt in the amount necessary to cover the result of such disposal after the corresponding expenses. When there are authorized and issued shares for which full payment has not been
made within the period fixed by shareholders at the same ESM at which the subscription was authorized (which in no case may exceed three years from the date of such meeting), these shall be reduced in the non-subscribed amount until that date. With
respect to the shares subscribed and not paid following the term mentioned above, the Board must proceed to collect payment, unless the shareholders meeting authorizes (by two thirds of the voting shares) a reduction of the companys
capital to the amount effectively collected, in which case the capital shall be reduced by force of law to the amount effectively paid. Once collection actions have been exhausted, the Board should propose to the shareholders meeting the
approval by simple majority of the write-off of the outstanding balance and the reduction of capital to the amount effectively recovered.

As of December 31, 2013, the subscribed and fully paid capital of the Company totaled Ch$ 1,332 billion and consisted
of 8,201,754,580 shares.

Preemptive Rights and Increases of Share Capital

The Chilean Companies Act requires Chilean companies to grant shareholders preemptive rights to purchase a sufficient number of shares to
maintain their existing ownership percentage of such company whenever such company issues new shares.

Under Chilean law, preemptive
rights are exercisable or freely transferable by shareholders during a 30-day period following the day the capital increase is made public. The options to subscribe for shares in capital increases of the company or of any other securities
convertible into shares or that confer future rights over these shares, should be offered, at least once, to the shareholders pro rata to the shares held registered in their name at midnight on the fifth business day prior to the date of the start
of the preemptive rights period. The preemptive rights offering and the start of the 30-day period for exercising them shall be communicated through the publication of a prominent notice, at least once, in the newspaper that should be used for
notifications of shareholders meetings. During such 30-day period, and for an additional period of up to 30-days immediately following the initial 30-day period, publicly held stock corporations are not permitted to offer any
unsubscribed shares to third parties on terms which are more favorable than those offered to their shareholders. At the end of the second 30-day period, a Chilean publicly held stock corporation is authorized to sell non-subscribed shares to
third parties on any terms, provided they are sold on one of the Chilean stock exchanges.

Shareholders Meetings and Voting Rights

An OSM must be held within the first four months following the end of our fiscal year. The last OSM was held on April 15, 2013. An ESM
may be called by the board of directors when deemed appropriate, or when requested by shareholders representing at least 10% of the issued shares with voting rights or by the SVS. To convene an OSM, or an ESM, notice must be given three times
in a newspaper located in our corporate domicile. The newspaper designated by our shareholders is El Mercurio de Santiago. The first notice must be published not less than 15 days and no more than 20 days in advance of the
scheduled meeting. Notice must also be mailed to each shareholder, to the SVS and to the Chilean stock exchanges.





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The OSM shall be held on the day stated in the notice and should remain in session until having
exhausted all the matters stated in the notice. However, once constituted, upon the proposal of the chairman or shareholders representing at least 10% of the shares with voting rights, the majority of the shareholders present may agree to
suspend it and to continue it within the same day and place, no new constitution of the meeting nor qualification of powers being necessary, recorded in one set of minutes. Only those shareholders who were present or represented may attend the
recommencement of the meeting with voting rights.

Under Chilean law, a quorum for a shareholders meeting is established by the
presence, in person or by proxy, of shareholders representing at least a majority of the issued shares with voting rights of a company. If a quorum is not present at the first meeting, a reconvened meeting can take place at which the shareholders
present are deemed to constitute a quorum regardless of the percentage of the shares represented. The second meeting must take place within 45 days following the scheduled date for the first meeting. Shareholders meetings adopt
resolutions by the affirmative vote of a majority of those shares present or represented at the meeting. An ESM must be called to take the following actions:



| |  |  | a transformation of the company into a form other than a publicly held stock corporation under the Chilean Companies Act, a merger or split-up of the company;
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | an amendment to the term of duration or early dissolution of the company;
| | - |  | -------------------------------------------------------------------------



| |  |  | a change in the corporations domicile;
| | - |  | ---------------------------------------



| |  |  | a decrease of corporate capital;
| | - |  | --------------------------------



| |  |  | an approval of capital contributions in kind and non-monetary assessments;
| | - |  | --------------------------------------------------------------------------



| |  |  | a modification of the authority reserved to shareholders or limitations on the board of directors;
| | - |  | --------------------------------------------------------------------------------------------------



| |  |  | a reduction in the number of members of the board of directors;
| | - |  | ---------------------------------------------------------------



| |  |  | a disposition of 50% or more of the assets of the corporation, whether it includes disposition of liabilities or not, as well as the approval or the amendment of the business plan which contemplates the disposition
of assets in an amount greater that such percentage;
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the disposition of 50% or more of the assets of a subsidiary, as long as such subsidiary represents at least 20% of the assets of the corporation, as well as any disposition of its shares that results in the
parent company losing its position as controller;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the form of distributing corporate benefits;
| | - |  | --------------------------------------------



| |  |  | issue of guarantees for third-party liabilities which exceed 50% of the assets, except when the third party is a subsidiary of the company, in which case approval of the board of directors is deemed sufficient;
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the purchase of the corporations own shares;
| | - |  | ---------------------------------------------



| |  |  | others established by the bylaws or the laws;
| | - |  | ---------------------------------------------



| |  |  | certain remedies for the nullification of the corporate bylaws;
| | - |  | ---------------------------------------------------------------



| |  |  | inclusion in the bylaws of the right to purchase shares from minority shareholders, when the controlling shareholders reaches 95% of the companys shares by means of a tender offer for all of the
companys shares, where at least 15% of the shares have been acquired from unrelated shareholders;
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | approval or ratification of acts or contracts with related parties.
| | - |  | -------------------------------------------------------------------



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Regardless of the quorum present, the vote required for any of the actions above is at least
two-thirds of the outstanding shares with voting rights.

Bylaw amendments for the creation of a new class of shares, or an amendment to
or an elimination of those classes of shares that already exist, must be approved by at least two-thirds of the outstanding shares of the affected series.

Chilean law does not require a publicly held stock corporation to provide its shareholders the same level and type of information required by
the securities laws regarding the solicitation of proxies. However, shareholders are entitled to examine the financial statements of a publicly held stock corporation within the 15-day period before its scheduled OSM. Under Chilean law, a
notice of a shareholders meeting listing matters to be addressed at the meeting must be mailed at least 15 days prior to the date of such meeting, and, an indication of the way complete copies of the documents that support the matters
submitted for voting can be obtained, which must also be made available to shareholders on the Companys website. In the case of an OSM, the annual report of the Companys, activities which includes audited financial statements, must also
be made available to shareholders and published on the Companys website at: www.endesa.cl.

The Chilean Companies Act provides that,
upon the request by the Directors Committee or by shareholders representing at least 10% of the issued shares with voting rights, a Chilean companys annual report must include, in addition to the materials provided by the board of
directors to shareholders, such shareholders comments and proposals in relation to the companys affairs. In accordance with article 136 of the Chilean Companies Regulation (Reglamento de Sociedades
Anónimas), the shareholder(s) holding or representing 10% or more of the shares issued with voting rights, may:



| |  |  | make comments and proposals relating to the progress of the corporate businesses in the corresponding year, no shareholder being able to make individually or jointly more than one presentation. These observations should
be presented in writing to the company concisely, responsibly and respectfully, and the respective shareholder(s) should state their willingness for these to be included as an appendix to the annual report. The board shall include in an appendix to
the annual report of the year a faithful summary of the pertinent comments and proposals the interested parties had made, provided they are presented during the year or within 30 days after its ending;
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | make comments and proposals on matters that the board submits for the knowledge or voting of the shareholders. The board shall include a faithful summary of those comments and proposals in all information it sends to
shareholders, provided the shareholders proposal is received at the offices of the company at least 10 days prior to the date of dispatch of the information by the company. The shareholders should present their comments and proposals
to the company, expressing their willingness for these to be included in the appendix to the respective annual report or in information sent to shareholders, as the case may be. The observations referred to in this Article may be made separately by
each shareholder holding 10% or more of the shares issued with voting rights or shareholders who together hold that percentage, who should act as one.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Similarly, the Chilean Companies Act provides that whenever the board of directors of a publicly held stock corporation convenes an OSM and
solicits proxies for the meeting, or circulates information supporting its decisions or other similar material, it is obligated to include the pertinent comments and proposals that may have been made by the Directors Committee or by
shareholders owning 10% or more of the shares with voting rights who request that such comments and proposals be so included.

Only
shareholders registered as such with Endesa Chile as of 11:59 p.m. on the fifth business days prior to the date of a meeting are entitled to attend and vote their shares. A shareholder may appoint another individual, who does not need to be a
shareholder, as his proxy to attend the meeting and vote on his behalf. Proxies for such representation shall be given for all the shares held by the owner. The proxy may contain specific instructions to approve, reject or abstain with respect to
any of the matters submitted for voting at the meeting and which were included in the notice. Every shareholder entitled to attend and vote at a shareholders meeting shall have one vote for every share subscribed.



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There are no limitations imposed by Chilean law or the companys bylaws on the right of
nonresidents or foreigners to hold or vote shares of common stock. However, the registered holder of the shares of common stock represented by ADSs, and evidenced by outstanding ADSs, is the custodian of the Depositary, currently Banco
Santander-Chile, or any successor thereto. Accordingly, holders of ADSs are not entitled to receive notice of meetings of shareholders directly or to vote the underlying shares of common stock represented by ADS directly. The Deposit Agreement
contains provisions pursuant to which the Depositary has agreed to solicit instructions from registered holders of ADSs as to the exercise of the voting rights pertaining to the shares of common stock represented by the ADSs. Subject to compliance
with the requirements of the Deposit Agreement and receipt of such instructions, the Depositary has agreed to endeavor, insofar as practicable and permitted under Chilean law and the provisions of the bylaws, to vote or cause to be voted (or grant a
discretionary proxy to the Chairman of the Board of Directors of the Company or to a person designated by the Chairman of the Board of Directors of the Company to vote) the shares of common stock represented by the ADSs in accordance with any such
instruction. The Depositary shall not itself exercise any voting discretion over any shares of common stock underlying ADSs. If no voting instructions are received by the Depositary from a holder of ADSs with respect to the shares of common stock
represented by the ADSs, on or before the date established by the Depositary for such purpose, the shares of common stock represented by the ADS, may be voted in the manner directed by the Chairman of the Board of the Company, or by a person
designated by the Chairman of the Board of the Company, subject to limitations set forth in the Deposit Agreement.

Dividends and Liquidation Rights

According to the Chilean Companies Act, unless otherwise decided by unanimous vote of its issued shares eligible to vote, all
companies must distribute a cash dividend in an amount equal to at least 30% of their consolidated net income, before amortization and negative goodwill for each year (calculated according to the local accounting rules applicable to the Company
when preparing financial statements to be submitted to the SVS), unless and except to the extent the Company has carried forward losses. The law provides that the board of directors must agree to the dividend policy and inform such policy to the
shareholders at the OSM.

Any dividend in excess of 30% of net income may be paid, at the election of the shareholder, in cash, in
Endesa Chiles shares or in shares of publicly held corporations held by Endesa Chile. Shareholders who do not expressly elect to receive a dividend other than in cash are legally presumed to have decided to receive the dividend in cash.

Dividends which are declared but not paid within the appropriate time period set forth in the Chilean Companies Act (as to minimum dividends,
30 days after declaration; as to additional dividends, the date set for payment at the time of declaration) are adjusted to reflect the change in the value of UF, from the date set for payment to the date such dividends are actually paid. Such
dividends also accrue interest at the then-prevailing rate for UF-denominated deposits during such period. The right to receive a dividend lapses if it is not claimed within five years from the date such dividend is payable. Payments not collected
in such period are transferred to the volunteer Fire Department.

In the event of a liquidation of Endesa Chile, the holders of shares
would participate in the assets available in proportion to the number of paid-in shares held by them, after payment to all creditors.

Approval of
Financial Statements

The Board of Directors is required to submit Endesa Chiles consolidated financial statements to the
shareholders annually for their approval. If the shareholders by a vote of a majority of shares present (in person or by proxy) at the shareholders meeting reject the financial statements, the Board of Directors must submit new financial
statements no later than 60 days from the date of such meeting. If the shareholders reject the new financial statements, the entire Board of Directors is deemed removed from office and a new board is elected at the same meeting. Directors
who individually approved such financial statements are disqualified for reelection for the following period. Our shareholders have never rejected the financial statements presented by the Board of Directors.



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Change of Control

The Capital Markets Law establishes a comprehensive regulation related to tender offers. The law defines a tender offer as the offer to
purchase shares of companies which publicly offer their shares or securities convertibles into shares and which offer is made to shareholders to purchase their shares under conditions which allow the bidder to reach a certain percentage of ownership
of the company within a fixed period of time. These provisions apply to both voluntary and hostile tender offers.

Acquisition of Shares

There are no provisions in our bylaws that discriminate against any existing or prospective holder of shares as a result of such shareholder
owning a substantial number of shares. However, no person may directly or indirectly own more than 65% of the outstanding shares of our stock. The foregoing restriction does not apply to the depositary as record owner of shares represented by
ADRs, but it does apply to each beneficial ADS holder. Additionally, our bylaws prohibit any shareholder from exercising voting power with respect to more than 65% of the common stock owned by such shareholder or on behalf of others
representing more than 65% of the outstanding issued shares with voting rights.

Right of Dissenting Shareholders to Tender Their Shares

The Chilean Companies Act provides that upon the adoption of any of the resolutions enumerated below at a meeting of shareholders, dissenting
shareholders acquire the right to withdraw from the company and to compel the company to repurchase their shares, subject to the fulfillment of certain terms and conditions. In order to exercise such withdrawal rights, holders of ADRs must first
withdraw the shares represented by their ADRs pursuant to the terms of the deposit agreement.

Dissenting shareholders are
defined as those who at a shareholders meeting vote against a resolution that results in the withdrawal right, or who if absent from such meeting, state in writing their opposition to the respective resolution, within the 30 days
following the shareholders meeting. Shareholders present or represented at the meeting and who abstain in exercising their voting rights, shall not be considered as dissenting. The right to withdraw should be exercised for all the shares that
the dissenting shareholder had registered in their name on the date on which the right is determined to participate in the meeting at which the resolution is adopted that motivates the withdrawal and which remains on the date on which their
intention to withdraw is communicated to the company. The price paid to a dissenting shareholder of a publicly held stock corporation whose shares are quoted and actively traded on one of the Chilean stock exchanges, is the greater of (i) the
weighted average of the sales prices for the shares as reported on the Chilean stock exchanges on which the shares are quoted for the two-month period between the ninetieth and the thirtieth day before the shareholders meeting giving rise to
the withdrawal right, and (ii) the market price resulting from the average price of transactions on such day. If, because of the volume, frequency, number and diversity of the buyers and sellers, the SVS determines that the shares are not
actively traded on a stock exchange, the price paid to the dissenting shareholder shall be the book value. Book value for this purpose shall equal paid capital plus reserves and profits, less losses, divided by the total number of subscribed shares,
whether entirely or partially paid. For the purpose of making this calculation, the last consolidated statements of financial position is used, as adjusted to reflect inflation up to the date of the shareholders meeting which gave rise to the
withdrawal right.

Article 126 of the Chilean Companies Regulation establishes that in cases where the right to withdraw arises, the
company shall be obliged to inform the shareholders of this situation, the value per share that will be paid to shareholders exercising their right to withdraw and the term for exercising it. Such information should be given to shareholders at the
same meeting at which the resolutions are adopted giving rise to the right of withdrawal, prior to its voting. A special communication should be given to the shareholders with rights, within two days following the date on which the rights to
withdraw are born. In the case of publicly held companies, such information shall be communicated by a prominent notice in a newspaper with a wide national circulation and on its web site, plus a written communication addressed to the shareholders
with rights at the address they have registered with the company. The notice of the shareholders meeting that should pronounce on a matter that could originate withdrawal rights should mention this circumstance.



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The resolutions that result in a shareholders right to withdraw include, among others, the
following:



| |  |  | the transformation of the company into an entity which is not a publicly held stock corporation governed by Chilean Companies Act;
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------



| |  |  | the merger of the company with another company;
| | - |  | -----------------------------------------------



| |  |  | disposition of 50% or more of the assets of the corporation, whether it includes disposition of liabilities or not, as well as the approval or the amendment of the business plan which contemplates the disposition
of assets in an amount greater than such percentage;
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the disposition of 50% or more of the assets of a subsidiary, as long as such subsidiary represents at least 20% of the assets of the corporation, as well as any disposition of its shares that results in the
parent company losing its position of controller;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | issue of guarantees for third parties liabilities which exceed 50% of the assets (if the third party is a subsidiary of the company, the approval of the board of directors is sufficient);
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the creation of preferential rights for a class of shares or an amendment to the existing ones. In this case the right to withdraw only accrues to the dissenting shareholders of the class or classes of shares adversely
affected;
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | certain remedies for the nullification of the corporate bylaws; and
| | - |  | -------------------------------------------------------------------



| |  |  | such other causes as may be established by the law or by the companys bylaws.
| | - |  | ------------------------------------------------------------------------------

Investments by AFPs

The Pension Funds System Law permits AFPs to invest their funds in companies that are subject to Title XII and, subject to
greater restrictions, in other companies. The determination of which stocks may be purchased by AFPs is made by the Risk Classification Committee. The Risk Classification Committee establishes investment guidelines and is empowered to approve or
disapprove those companies that are eligible for AFP investments. Endesa Chile has been a Title XII Company since 1987 and is approved by the Risk Classification Committee.

Title XII companies are required to have bylaws that limit the ownership of any shareholder to a specified maximum percentage, bylaws
that require that certain actions be taken only at a meeting of the shareholders and bylaws that give the shareholders the right to approve certain investment and financing policies.

Registrations and Transfers

Shares
issued by Endesa Chile are registered with an administrative agent named DCV Registros S.A. This entity is responsible for Endesa Chiles shareholders registry as well. In case of jointly owned shares, an attorney-in-fact must be appointed to
represent the joint owners in dealing with Endesa Chile.



|C. | Material Contracts
|-- | ------------------

None.



|D. | Exchange Controls
|-- | -----------------

The Central Bank of Chile is responsible for, among other things,
monetary policies and exchange controls in Chile. Currently applicable foreign exchange regulations are set forth in the Compendium of Foreign Exchange Regulations (the Compendium) approved by the Central Bank of Chile in 2002.
Appropriate registration of a foreign investment in Chile permits the investor access to the Formal Exchange Market. Foreign investments can be registered with the Foreign Investment Committee under D.L. 600 of 1974 or can be registered with
the Central Bank of Chile under the Central Bank Act, Law 18840 of October 1989.



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|a) | Foreign Investments Contracts and Chapter XXVI
|-- | ----------------------------------------------

In connection with our initial
public offering of ADS in 1994, we entered into a foreign investment contract (the Foreign Investment Contract) with the Central Bank of Chile and the Depositary, pursuant to Article 47 of the Central Bank Act and
Chapter XXVI of the former Compendium of Foreign Exchange Regulations (Chapter XXVI), which governed the issuance of ADS by a Chilean company. Pursuant to the Foreign Investment Contract, the foreign exchange for payments
and distributions with respect to the ADS could be purchased in either the Formal Exchange Market or the Informal Exchange Market, but such payments needed to be remitted through the Formal Exchange Market.

As of April 19, 2001, Chapter XXVI was eliminated and new investments in ADSs by non-residents of Chile are now governed instead by
Chapter XIV of the Compendium. This change was made with the purpose of simplifying and facilitating the flow of capital to and from Chile. As a result of the elimination of Chapter XXVI, access to the Formal Exchange Market is no longer
assured. However, because our Foreign Investment Contract was entered into pursuant to Chapter XXVI, the principles of Chapter XXVI still apply to its terms. Foreign investors who have purchased their shares under a Foreign Investment
Contract pursuant to Chapter XXVI continue to have access to the Formal Exchange Market for the purpose of converting pesos to U.S. dollars and repatriating from Chile amounts received with respect to the deposited shares of common stock
or shares of common stock withdrawn from deposit on surrender of ADRs (including amounts received as cash dividends and proceeds from the sale in Chile of the underlying shares of common stock and any rights with respect thereto). However, foreign
investors who have not deposited the shares of common stock into our ADS facility will not have the benefits of our Foreign Investment Contract with the Central Bank of Chile but instead will be subject to the normal foreign investment rules.

The following is a summary of certain provisions which were contained in Chapter XXVI and the Foreign Investment Contract, and which
therefore remain relevant. This summary does not purport to be complete and is qualified in its entirety by reference to Chapter XXVI and the Foreign Investment Contract.

Under Chapter XXVI and the Foreign Investment Contract, the Central Bank of Chile agreed to grant to the depositary, on behalf of ADR
holders, and to any investor not residing or domiciled in Chile who withdraws common stock upon delivery of ADRs (such shares of common stock being referred to herein as Withdrawn Shares) access to the Formal Exchange Market to convert pesos into
U.S. dollars (and to remit such U.S. dollars outside of Chile), including amounts received as:



| |  |  | cash dividends;
| | - |  | ---------------



| |  |  | proceeds from the sale in Chile of Withdrawn Shares subject to receipt by the Central Bank of Chile of a certificate from the holder of the Withdrawn Shares (or from an institution authorized by the Central Bank of
Chile) that such holders residence and domicile are outside Chile and a certificate from a Chilean stock exchange (or from a brokerage or securities firm established in Chile) that such Withdrawn Shares were sold on a Chilean stock exchange;
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | proceeds from the sale in Chile of rights to subscribe for additional shares of Common Stock;
| | - |  | ---------------------------------------------------------------------------------------------



| |  |  | proceeds from the liquidation, merger or consolidation of our Company; and
| | - |  | --------------------------------------------------------------------------



| |  |  | other distributions, including, without limitation, those resulting from any recapitalization, as a result of holding shares of Common Stock represented by ADS or Withdrawn Shares.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Transferees of Withdrawn Shares were not entitled to any of the foregoing rights under Chapter XXVI. Investors receiving Withdrawn Shares
in exchange for ADRs had the right to redeposit such shares in exchange for ADRs, provided that certain conditions relating to redeposit were satisfied.

Chapter XXVI provided that access to the Formal Exchange Market in connection with dividend payments was conditioned upon certification
by us to the Central Bank of Chile that a dividend payment has been made and any applicable tax has been withheld. Chapter XXVI also provided that the access to the Formal Exchange Market in connection with the sale of Withdrawn Shares or
distributions thereon was conditioned upon receipt by the Central Bank of Chile of certification by the Depositary (or the Custodian on its behalf) that such shares have been withdrawn in exchange for ADRs and receipt of a waiver of the benefit of
the Foreign Investment Contract with respect thereto until such Withdrawn Shares were redeposited.



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The Foreign Investment Contract provides that a person who brings foreign currency into Chile to
purchase shares of common stock with the benefit of the Foreign Investment Contract must convert it into pesos on the same day and has five banking business days within which to invest in shares of common stock in order to receive the benefits of
the Foreign Investment Contract. If such person decides within such period not to acquire shares of common stock, such person can access the Formal Exchange Market to reacquire U.S. dollars, provided that the applicable request is presented to
the Central Bank of Chile within seven banking business days of the initial conversion into pesos. Shares acquired as described above may be deposited for ADRs and receive the benefits of the Foreign Investment Contract, subject to receipt by the
Central Bank of Chile of a certificate from the Depositary (or the Custodian on its behalf) that such deposit has been effected, that the related ADRs have been issued and receipt of a declaration from the person making such deposit waiving the
benefits of the Foreign Investment Contract with respect to the deposited shares of common stock.

Access to the Formal Exchange Market
under any of the circumstances described above is not automatic. Such access requires approval of the Central Bank of Chile based on a request presented through a banking institution established in Chile. The Foreign Investment Contract provides
that if the Central Bank of Chile has not acted on such request within seven banking days, the request will be deemed approved.

The
Compendium and International Bond Issuances

Chilean issuers may offer bonds issued by the Central Bank of Chile internationally under
Chapter XIV, as amended, of the Compendium.



|E. | Taxation.
|-- | ---------

Chilean Tax Considerations

The following discussion summarizes material Chilean income and withholding tax consequences to foreign holders arising from the ownership and
disposition of shares and ADSs and, to the extent any are issued, rights and ADS rights. The summary that follows does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a decision to purchase, own
or dispose of shares or ADSs and rights or ADS rights, if any, and does not purport to deal with the tax consequences applicable to all categories of investors, some of which may be subject to special rules. Holders of shares and ADSs are advised to
consult their own tax advisors concerning the Chilean and other tax consequences of the ownership of shares or ADSs.

The summary that
follows is based on Chilean law, as in effect on the date hereof, and is subject to any changes in these or other laws occurring after such date, possibly with retroactive effect. Under Chilean law, provisions contained in statutes such as tax rates
applicable to foreign investors, the computation of taxable income for Chilean purposes and the manner in which Chilean taxes are imposed and collected may be amended only by another law. In addition, the Chilean tax authorities enact rulings and
regulations of either general or specific application and interpret the provisions of the Chilean Income Tax Law. Chilean tax may not be assessed retroactively against taxpayers who act in good faith relying on such rulings, regulations and
interpretations, but Chilean tax authorities may change their rulings, regulations and interpretations in the future. The discussion that follows is also based, in part, on representations of the depositary, and assumes that each obligation in the
Deposit Agreement and any related agreements will be performed in accordance with its terms. As of this date, there is currently no applicable income tax treaty in effect between the United States and Chile. However, in 2010 the United States
and Chile signed an income tax treaty that will enter into force once the treaty is ratified by both countries. There can be no assurance that the treaty will be ratified by either country. The following summary assumes that there is no applicable
income tax treaty in effect between the United States and Chile.



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As used in this Report, the term foreign holder means either:



| |  |  | in the case of an individual holder, a person who is not a resident of Chile; for purposes of Chilean taxation, an individual is resident of Chile if he or she has resided in Chile for more than six months in one
calendar year, or a total of more than six months in two consecutive fiscal years; or
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | in the case of a legal entity holder, an entity that is not organized under the laws of Chile, unless the shares or ADSs are assigned to a branch, agent, representative or permanent establishment of such entity in
Chile.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Taxation of Shares and ADSs

Taxation of Cash Dividends and Property Distributions

General Rule:Cash dividends paid with respect to the shares or ADSs held by a foreign holder will be subject to
Chilean withholding tax, which is withheld and paid by the company. As described in the example below, the amount of the Chilean withholding tax is determined by applying a 35% rate to a grossed-up distribution amount (such amount
equal to the sum of the actual distribution amount and the correlative Chilean corporate income tax paid by the issuer), and then subtracting as a credit such correlative Chilean corporate income tax paid by the issuer. For years 2004
through 2010, the Chilean corporate income tax rate was 17%; for 2011 and hereafter the rate is 20%. The example below illustrates the effective Chilean withholding tax burden on a cash dividend received by a foreign holder,
assuming a Chilean withholding tax base rate of 35%, an effective Chilean corporate income tax rate of 20% and a distribution of 50% of the net income of the company distributable after payment of the Chilean corporate income tax:



|     |  |                                                                       |  |        |        | 
|---- |  | --------------------------------------------------------------------- |  | ------ | ------ | 
|Line |  | Concept and calculation assumptions                                   |  | Amount |       
|1    |  | Company taxable income (based on Line 1 = 100)                        |  |        | 100.0  | 
|2    |  | Chilean corporate income tax : 20% x Line 1                           |  |        | 20.0   | 
|3    |  | Net distributable income: Line 1  Line 2                             |  |        | 80.0   | 
|4    |  | Dividend distributed (50% of net distributable income): 50% of Line 3 |  |        | 40     | 
|5    |  | Withholding tax: (35% of (the sum of Line 4 and 50% of Line 2))       |  |        | (17.5) | 
|6    |  | Credit for 50% of Chilean corporate income tax : 50% x Line 2         |  |        | 10     | 
|7    |  | Net withholding tax : Line 5 + Line 6                                 |  |        | (7.5)  | 
|8    |  | Net dividend received: Line 4 - Line 7                                |  |        | 32.5   | 
|9    |  | Effective dividend withholding rate : Line 7 / Line 4                 |  |        | 18.75% | 

In general, the effective Chilean dividend withholding tax rate, after giving effect to the credit for the
Chilean corporate income tax paid by the company, can be computed using the following formula:



|                                        |  |   |                                         |                                                             
|--------------------------------------- |  | - | --------------------------------------- | ------------------------------------------------------------
|Effective Dividend Withholding Tax
Rate |  | = |                                         | (Withholding tax rate) - (Chilean corporate income tax rate)
|                                        |  |   | 1 - (Chilean corporate income tax rate)

Using the prevailing rates, the Effective Dividend Withholding Rate is

35%-20%) / (100%-20%) = 18.75%

Dividends are generally assumed to have been paid out of the Companys oldest retained profits for purposes of determining the level of
Chilean corporate income tax that was paid by the Company. For information as to the retained earnings of the Company for tax purposes and the tax credit available on the distribution of such retained earnings, see Note 15 to our Consolidated
Financial Statements included in this Report.

Under Chilean Income Tax Law, dividend distributions made in property are subject to the
same Chilean tax rules as cash dividends. Stock dividends that represent free shares distributed to foreign shareholders as a consequence of a capitalization made on the same corporation are not subject to Chilean taxation.



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Exceptions:Despite the aforementioned general rule, there are
special circumstances under which a different tax treatment would apply depending on the source of the income or due to special circumstances existing at the date of the dividend distribution. The most common special cases are briefly described
below:

1) Circumstances where there is no corporate income tax credit against the Chilean withholding tax:
These cases are when: (i) the financial book profits paid as dividends (following the seniority rule indicated above) exceed the Companys taxable income (such dividend distributions in excess of the companys taxable income
determined as of December 31 of the distributions year will be subject to the Chilean withholding tax rate of 35%, without the corporate income tax credit; in relation to the provisional withholding rule applicable on the date of the
dividend payment, please see number 3 below); or (ii) the income was not subject to corporate income tax due to an exemption of the Chilean corporate income tax, in which case the foreign holder will be also subject to the Chilean
withholding tax rate of 35% without the corporate income tax credit.

2) Circumstances where dividends have been
imputed to income exempted from all the Chilean income taxes: In these cases, dividends distributed by the company to the foreign holder will not be subject to Chilean withholding tax. Income exempted from Chilean income tax is expressly listed in
the Chilean Income Tax Law.

3) Circumstances where dividends are subject to a provisional withholding tax: In the event
that on the date of the dividend distribution there are no earnings on which income tax has been paid and there are no tax-exempt earnings, a 35% Chilean withholding tax with a provisional 20% Chilean corporate income tax credit is
applicable. This provisional 20% Chilean corporate income tax credit granted must be confirmed with the information of Companys taxable income as of December 31 of the year in which the dividend was paid. The company can agree with
the foreign holders to withhold a higher amount in order to avoid under withholding of the Chilean withholding tax.

4)
Circumstances when it is possible to use in Chile certain credits against income taxes paid abroad, or foreign tax credit: This occurs when dividends distributed by the Chilean company have as their source income generated by companies
domiciled in third countries. If that income was subject to withholding tax or corporate income tax in those third countries, such income will have a credit or foreign tax credit against corresponding Chilean taxes, which can be
proportionally transferred to the shareholders of the Chilean company.

Taxation on Sale or Exchange of ADSs, Outside Chile

Gains obtained by a foreign holder from the sale or exchange of ADSs outside Chile will not be subject to Chilean taxation.

Taxation on Sale or Exchange of Shares

The Chilean Income Tax Law includes a tax exemption on capital gains arising from the sale of shares of listed companies traded in the stock
markets. Although there are certain restrictions, in general terms, the amendment provides that in order to qualify for the capital gain exemption: (i) the shares must be of a publicly held stock corporation with a certain minimum level of
trading on a stock exchange; (ii) the sale must be carried out in a Chilean stock exchange, or in a tender offer subject to Chapter XXV of the Chilean Securities Market Law; (iii) the shares which are being sold must have been
acquired on a Chilean stock exchange, or in a tender offer subject to Chapter XXV of the Chilean Securities Market Law, or in an initial public offering (due to the creation of a company or to a capital increase), or due to the exchange of
convertible bonds; and (iv) the shares must have been acquired after April 19, 2001.

If the shares do not qualify for the above
exemption, capital gains on their sale or exchange of shares (as distinguished from sales or exchanges of ADSs representing such shares of common stock) could be subject to two alternative tax regimes: (a) general tax regime, with a 20%
Chilean corporate income tax and a 35% Chilean withholding tax, the former being creditable against the latter; or (b) a 20% Chilean corporate income tax as sole tax regime, when all the following circumstances are met: (i) the
sale is made between unrelated parties, (ii) the sale of shares is not a recurrent or habitual activity for the seller and (iii) at least one year has elapsed between the acquisition and the sale of the shares.



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The date of acquisition of the ADSs is considered to be the date of acquisition of the shares for
which the ADSs are exchanged.

Taxation of Rights and ADS Rights

For Chilean tax purposes and to the extent we have outstanding ADS rights, the receipt of rights or ADS rights by a foreign holder of shares
or ADSs pursuant to a rights offering is a nontaxable event. In addition, there are no Chilean income tax consequences to foreign holders upon the exercise or the lapse of the rights or the ADS rights.

Any gain on the sale, exchange or transfer of any ADS rights by a foreign holder is not subject to taxes in Chile.

Any gain on the sale, exchange or transfer of the rights by a foreign holder is subject to a 35% Chilean withholding tax.

Other Chilean Taxes

There is no gift, inheritance or succession tax applicable to the ownership, transfer or disposition of ADSs by foreign holders, but such
taxes will generally apply to the transfer at death or by gift of the shares by a foreign holder. There is no Chilean stamp, issue, registration or similar taxes or duties payable by holders of shares or ADSs.

Material U.S. Income Tax Considerations

This discussion is based on the Internal Revenue Code of 1986, as amended (the Code), administrative pronouncements, judicial
decisions and final, temporary and proposed Treasury regulations, all as of the date hereof. These authorities are subject to change, possibly with retroactive effect. This discussion assumes that the depositarys activities are clearly and
appropriately defined so as to ensure that the tax treatment of ADSs will be identical to the tax treatment of the underlying shares.

The
following are the material U.S. federal income tax consequences to U.S. Holders (as defined herein) of receiving, owning and disposing of ADS rights, rights, shares or ADSs, but it does not purport to be a comprehensive description of all
of the tax considerations that may be relevant to a particular persons decision to hold such securities and is based on the assumption stated above under Chilean Tax Considerations that there is no applicable income tax treaty in
effect between the United States and Chile. The discussion applies only if the beneficial owner holds shares or ADSs as capital assets for U.S. federal income tax purposes and it does not describe all of the tax consequences that may be
relevant in light of the beneficial owners particular circumstances. For instance, it does not describe all the tax consequences that may be relevant to:



| |  |  | certain financial institutions;
| | - |  | -------------------------------



| |  |  | insurance companies;
| | - |  | --------------------



| |  |  | dealers and traders in securities who use a mark-to-market method of tax accounting;
| | - |  | ------------------------------------------------------------------------------------



| |  |  | persons holding shares or ADSs as part of a straddle, integrated transaction or similar transaction;
| | - |  | ------------------------------------------------------------------------------------------------------



| |  |  | persons whose functional currency for U.S. federal income tax purposes is not the U.S. dollar;
| | - |  | ----------------------------------------------------------------------------------------------



| |  |  | partnerships or other entities classified as partnerships for U.S. federal income tax purposes;
| | - |  | -----------------------------------------------------------------------------------------------



| |  |  | persons liable for the alternative minimum tax;
| | - |  | -----------------------------------------------



| |  |  | tax-exempt organizations;
| | - |  | -------------------------



| |  |  | persons holding shares or ADSs that own or are deemed to own ten percent or more of our stock; or
| | - |  | -------------------------------------------------------------------------------------------------



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| |  |  | persons holding shares or ADSs in connection with a trade or business conducted outside of the United States.
| | - |  | -------------------------------------------------------------------------------------------------------------

If an entity classified as a partnership for U.S. federal income tax purposes holds shares or ADSs, the U.S. federal income tax
treatment of a partner will generally depend on the status of the partner and upon the activities of the partnership. Partnerships holding shares or ADSs and partners in such partnerships should consult their tax advisors as to the particular
U.S. federal income tax consequences of holding and disposing of the shares or ADSs.

You are a U.S. Holder for
purposes of this discussion if you are a beneficial owner of our shares or ADSs and if you are, for U.S. federal income tax purposes:



| |  |  | a citizen or individual resident of the United States; or
| | - |  | ---------------------------------------------------------



| |  |  | a corporation, or other entity taxable as a corporation, created or organized in or under the laws of the United States or any political subdivision thereof; or
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | an estate, the income of which is subject to U.S. federal income taxation regardless of its source; or
| | - |  | ------------------------------------------------------------------------------------------------------



| |  |  | a trust (i) that validly elects to be treated as a U.S. person for U.S. federal income tax purposes or (ii) if (A) a court within the United States is able to exercise primary supervision over
the administration of the trust and (B) one or more U.S. persons have the authority to control all substantial decisions of the trust.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

In general, if a beneficial owner owns ADSs, such owner will be treated as the owner of the shares represented by those ADSs for
U.S. federal income tax purposes. Accordingly, no gain or loss will be recognized if a beneficial owner exchanges ADSs for the underlying shares represented by those ADSs.

The U.S. Treasury has expressed concerns that parties to whom ADSs are released before shares are delivered to the depositary
(pre-release) or intermediaries in the chain of ownership between beneficial owners and the issuer of the security underlying the ADSs may be taking actions that are inconsistent with the claiming of foreign tax credits for beneficial owners of
depositary shares. Such actions would also be inconsistent with the claiming of the reduced tax rate, described below, applicable to dividends received by certain non-corporate beneficial owners. Accordingly, the analysis of the creditability of
Chilean taxes, and the availability of the reduced tax rate for dividends received by certain non-corporate holders, each described below, could be affected by actions taken by such parties or intermediaries.

This discussion assumes, and the Company believes, that it is not, and will not become, a passive foreign investment company, as described
below.

Beneficial owners should consult their tax advisors with respect to their particular tax consequences of owning or disposing of
shares or ADSs, including the applicability and effect of state, local, non-U.S. and other tax laws and the possibility of changes in tax laws.

Taxation of Distributions

Distributions paid on shares or ADSs other than certain pro rata distributions of shares of common stock will be treated as dividends taxable
as ordinary income to the extent paid out of our current or accumulated earnings and profits (as determined under U.S. federal income tax principles). Because we do not maintain calculations of our earnings and profits under U.S. federal
income tax principles, it is expected that distributions generally will be reported as dividends.

If a beneficial owner is a
U.S. Holder, subject to applicable limitations and the discussion above regarding concerns expressed by the U.S. Treasury, dividends paid by qualified foreign corporations to the beneficial owner that is not a corporation are taxable at a
maximum rate of 20%. A foreign company is treated as a qualified foreign corporation with respect to dividends paid on stock that is readily tradable on an established securities market in the United States, such as the New York Stock Exchange
where our ADSs are traded. Beneficial owners should consult their tax advisors to determine whether the favorable rate will apply to dividends they receive and whether they are subject to any special rules that limit their ability to be taxed at
this favorable rate.



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The amount of a dividend will include the net amount withheld by us in respect of Chilean
withholding taxes on the distribution. The amount of the dividend will be treated as foreign-source dividend income to a beneficial owner and will not be eligible for the dividends-received deduction generally allowed to U.S. corporations under
the Code. Dividends will be included in a beneficial owners income on the date of the beneficial owners, or in the case of ADSs, the Depositarys, receipt of the dividend. The amount of any dividend paid in Chilean pesos will be a
U.S. dollar amount calculated by reference to the exchange rate for converting Chilean pesos into U.S. dollars in effect on the date of such receipt regardless of whether the payment is in fact converted into U.S. dollars. If the
dividend is converted into U.S. dollars on the date of receipt, a beneficial owner generally should not be required to recognize foreign currency gain or loss in respect of the dividend income. A beneficial owner may have foreign currency gain
or loss if the dividend is converted into U.S. dollars on a date after the date of receipt.

Subject to applicable limitations that
may vary depending upon a beneficial owners circumstances and subject to the discussion above regarding concerns expressed by the U.S. Treasury, the net amount of Chilean withholding tax (after reduction for the credit for Chilean
corporate income tax, as discussed above under Item 10. Additional Information  E. Taxation  Chilean Tax Considerations  Taxation of Shares and ADSs  Taxation of Cash Dividends and Property Distributions)
withheld from dividends on shares or ADSs will be creditable against a beneficial owners U.S. federal income tax liability. The rules governing foreign tax credits are complex and, therefore, a beneficial owner should consult the
beneficial owners tax advisor regarding the availability of foreign tax credits in the beneficial owners particular circumstances. Instead of claiming a credit, a beneficial owner may, at the beneficial owners election, deduct such
Chilean taxes in computing the beneficial owners taxable income, subject to generally applicable limitations under U.S. law. An election to deduct foreign taxes instead of claiming foreign tax credits applies to all taxes paid or accrued
in the taxable year to foreign countries and possessions of the United States.

Sale or Other Disposition of Shares or ADSs

If a beneficial owner is a U.S. Holder, for U.S. federal income tax purposes, the gain or loss a beneficial owner realizes on the
sale or other disposition of shares or ADSs will be a capital gain or loss, and will be a long-term capital gain or loss if the beneficial holder has held the shares or ADSs for more than one year. The amount of a beneficial owners gain or
loss will equal the difference between the beneficial owners tax basis in the shares or ADSs disposed of and the amount realized on the disposition, in each case as determined in U.S. dollars. Such gain or loss will generally be
U.S.-source gain or loss for foreign tax credit purposes. In addition, certain limitations exist on the deductibility of capital losses by both corporate and individual taxpayers.

In certain circumstances, Chilean taxes may be imposed upon the sale of shares. See Item 10. Additional Information  E.
Taxation  Chilean Tax Considerations  Taxation of Shares and ADSs. If a Chilean tax is imposed on the sale or disposition of shares, and a beneficial owner that is a U.S. Holder does not receive significant foreign source
income from other sources, such beneficial owner may not be able to credit such Chilean tax against the beneficial owners U.S. federal income tax liability.

Passive Foreign Investment Company Rules

We believe that we were not a passive foreign investment company (PFIC) for U.S. federal income tax purposes for
our 2013 taxable year and do not expect to be or become one for our 2014 taxable year or for the foreseeable future. However, because PFIC status depends upon the composition of a companys income and assets and the market value of
its assets from time to time, and because it is unclear whether certain types of our income constitute passive income for PFIC purposes, there can be no assurance that we will not be considered a PFIC for any taxable year. If we were a PFIC
for 2013 or for any prior or future taxable year during which a beneficial owner held shares or ADSs, certain adverse consequences could apply to the beneficial owner, including the imposition of higher amounts of tax than would otherwise
apply, and additional filing requirements. Beneficial owners should consult their tax advisors regarding the consequences to them if we were a PFIC, as well as the availability and advisability of making any election that might mitigate the adverse
consequences of PFIC status.



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Information Reporting and Backup Withholding

Payments of dividends and sales proceeds that are made within the United States or through certain U.S.-related financial intermediaries
generally are subject to information reporting and to backup withholding unless (i) the beneficial owner is an exempt recipient or (ii) in the case of backup withholding, the beneficial owner provides a correct taxpayer identification
number and certifies that the beneficial owner is not subject to backup withholding.

The amount of any backup withholding from a payment
to a beneficial owner will be allowed as a credit against the beneficial owners U.S. federal income tax liability and may entitle the beneficial owner to a refund, provided that the required information is timely furnished to the Internal
Revenue Service.

Medicare Contribution Tax

Legislation enacted in 2010 generally imposes a tax of 3.8% on the net investment income of certain individuals, trusts
and estates. Among other items, net investment income generally includes gross income from dividends and net gain attributable to the disposition of certain property, like the shares or ADSs, less certain deductions. A beneficial owner should
consult such beneficial owners own tax advisor regarding the possible application of this legislation in the beneficial owners particular circumstances.

Beneficial owners should consult their tax advisors with respect to the particular consequences to them of receiving, owning or disposing
of shares or ADSs.



|F. | Dividends and Paying Agents.
|-- | ----------------------------

Not applicable.



|G. | Statement by Experts.
|-- | ---------------------

Not applicable.



|H. | Documents on Display.
|-- | ---------------------

We are subject to the information requirements of the Exchange
Act, except that as a foreign issuer, we are not subject to the proxy rules (other than general anti-fraud rules) or the short-swing profit disclosure rules of the Exchange Act. In accordance with these statutory requirements, we file or
furnish reports and other information with the SEC. Reports and other information filed or furnished by us with the SEC may be inspected and copied at the public reference facilities maintained by the SEC at Room 1024, 100 F Street, N.E.,
Washington, D.C. 20549. Copies of such material may also be inspected at the offices of the New York Stock Exchange, 11 Wall Street, New York, New York 10005, on which our ADSs are listed. In addition, the SEC maintains a website that contains
information filed electronically with the SEC, which can be accessed over the Internet at http://www.sec.gov.



|I. | Subsidiary information.
|-- | -----------------------

Not applicable.

Item 11.   Quantitative and Qualitative Disclosures About Market Risk

The Company is exposed to risks arising from changes in commodity prices, interest rates and foreign exchange rates. These risks are monitored
and managed by the Company in coordination with Enersis, our parent company. The Companys Board of Directors approves risk management policies at all levels.



|Commodity | Price Risk
|--------- | ----------

We are exposed to market risks arising from the price volatility of
electricity, natural gas, diesel oil, and coal. Natural gas is used in some of our power plants in South America. We seek to ensure our supply of this fuel by securing long-term contracts with our suppliers for terms that are expected to match the
lifetime of our generation assets. These contracts generally have provisions that allow us to purchase gas at market prices prevailing at the time the purchase occurs. As of December 31, 2013, 2012 and 2011 and, we did not hold any
contracts classified as either derivative financial instruments, financial instruments, or derivative commodity instruments related to natural gas.





159



---

##### Table of Contents

In the countries where we operate using coal and diesel oil, the dispatch mechanism allows the
thermal power plants to cover their operational costs. However, under certain circumstances, fuel price fluctuations might affect marginal costs. We transfer commodity prices variations to the sale contract prices according to indexing formulas but
only to the degree that this is possible in our different markets. Because of the drought in Chile and price volatility of coal and petroleum, the Company decided to hedge this risk with commodity instruments available in international markets.
During 2013, we entered into contracts classified as derivative commodity instruments related to coal (25,000 tons) and to petroleum (107,000 barrels), both deals for the period between January and December 2013. As of December 31,
2013 and 2012 we did not hold any contracts classified as either derivative financial instruments, financial instruments, or derivative commodity instruments related either to coal or to diesel oil.

Additionally, through adequate commercial risk mitigation policies and a hydro-thermal power plant mix, we seek to naturally protect our
operating income from electricity price volatility. As of December 31, 2013, we did not hold electricity price-sensitive instruments.

The Company is continually analyzing ways to hedge commodity price risk, like adjusting commodity indexed price formulas for new PPAs
according to our exposition and/or analyzing ways to mitigate risk through hydrological insurance in dry years.

Interest Rate and
Foreign Currency Risk

The recorded values of our debt as of December 31, 2013, are detailed below, according to maturity. Total
values do not include the effect of derivatives.



|                               |  |                        |         |  |      |  |         |      |  |  |        |  |  |      |        |  |            |  |        |       |  |  |                 |  |  |  |           |  |  |  |           | 
|------------------------------ |  | ---------------------- | ------- |  | ---- |  | ------- | ---- |  |  | ------ |  |  | ---- | ------ |  | ---------- |  | ------ | ----- |  |  | --------------- |  |  |  | --------- |  |  |  | --------- | 
|                               |  | Expected maturity date |        
|As of December 31,             |  | 2014                   |         |  | 2015 |  |         | 2016 |  |  | 2017   |  |  | 2018 |        |  | Thereafter |  |        | Total |  |  | Fair   Value(1) | 
|                               |  | (in millions of Ch$)   |        
|Fixed Rate                     |  |                        | 194,115 |  |      |  |        |      |  |  |       |  |  |      |       |  |            |  |       |       |  |  |                |  |  |  | 194,115   |  |  |  | 194,115   | 
|Ch$ /UF                        |  |                        |         |  |      |  |         |      |  |  |        |  |  |      |        |  |            |  |        |       |  |  |                 |  |  |  |           |  |  |  |           | 
|Weighted average interest rate |  |                        | 6.2%    |  |      |  |        |      |  |  |       |  |  |      |       |  |            |  |       |       |  |  |                |  |  |  | 6.2%      |  |  |  |          | 
|US$                            |  |                        | 83,080  |  |      |  | 110,386 |      |  |  | 11,846 |  |  |      | 1,442  |  |            |  | 6,782  |       |  |  | 192,049         |  |  |  | 405,585   |  |  |  | 507,935   | 
|Weighted average interest rate |  |                        | 7.3%    |  |      |  | 8.9%    |      |  |  | 6.2%   |  |  |      | 6.5%   |  |            |  | 6.3%   |       |  |  | 7.9%            |  |  |  | 8.0%      |  |  |  |          | 
|Other currencies (2)           |  |                        | 51,568  |  |      |  |        |      |  |  |       |  |  |      |       |  |            |  |       |       |  |  | 209,979         |  |  |  | 261,548   |  |  |  | 355,705   | 
|Weighted average interest rate |  |                        | 11.7%   |  |      |  |        |      |  |  |       |  |  |      |       |  |            |  |       |       |  |  | 10.0%           |  |  |  | 10.3%     |  |  |  |          | 
|Total fixed rate               |  |                        | 328,764 |  |      |  | 110,386 |      |  |  | 11,846 |  |  |      | 1,442  |  |            |  | 6,782  |       |  |  | 402,028         |  |  |  | 861,248   |  |  |  | 1,057,755 | 
|Weighted average interest rate |  |                        | 7.4%    |  |      |  | 8.9%    |      |  |  | 6.2%   |  |  |      | 6.5%   |  |            |  | 6.3%   |       |  |  | 9.0%            |  |  |  | 8.3%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Variable rate                  |  |                        |         |  |      |  |         |      |  |  |        |  |  |      |        |  |            |  |        |       |  |  |                 |  |  |  |           |  |  |  |           | 
|Ch$ /UF                        |  |                        | 7,541   |  |      |  | 7,756   |      |  |  | 6,420  |  |  |      | 4,848  |  |            |  | 4,848  |       |  |  | 282,698         |  |  |  | 314,113   |  |  |  | 390,101   | 
|Weighted average interest rate |  |                        | 10.1%   |  |      |  | 10.2%   |      |  |  | 9.5%   |  |  |      | 8.3%   |  |            |  | 8.3%   |       |  |  | 7.0%            |  |  |  | 7.2%      |  |  |  |          | 
|US$                            |  |                        | 125,620 |  |      |  | 17,281  |      |  |  | 20,913 |  |  |      | 26,060 |  |            |  | 13,173 |       |  |  |                |  |  |  | 203,047   |  |  |  | 202,777   | 
|Weighted average interest rate |  |                        | 2.5%    |  |      |  | 3.3%    |      |  |  | 2.9%   |  |  |      | 2.7%   |  |            |  | 3.9%   |       |  |  |                |  |  |  | 2.7%      |  |  |  |          | 
|Other currencies (2)           |  |                        | 18,892  |  |      |  | 74,847  |      |  |  | 10,067 |  |  |      | 57,357 |  |            |  | 70,481 |       |  |  | 428,403         |  |  |  | 660,047   |  |  |  | 739,563   | 
|Weighted average interest rate |  |                        | 11.6%   |  |      |  | 8.4%    |      |  |  | 16.9%  |  |  |      | 6.4%   |  |            |  | 7.6%   |       |  |  | 6.4%            |  |  |  | 7.1%      |  |  |  |          | 
|Total variable rate            |  |                        | 152,054 |  |      |  | 99,884  |      |  |  | 37,400 |  |  |      | 88,266 |  |            |  | 88,502 |       |  |  | 711,101         |  |  |  | 1,177,206 |  |  |  | 1,332,441 | 
|Weighted average interest rate |  |                        | 4.0%    |  |      |  | 7.6%    |      |  |  | 7.8%   |  |  |      | 5.5%   |  |            |  | 7.1%   |       |  |  | 6.6%            |  |  |  | 6.4%      |  |  |  |          | 
|                               |  |                        | 480,817 |  |      |  | 210,270 |      |  |  | 49,246 |  |  |      | 89,708 |  |            |  | 95,284 |       |  |  | 1,113,130       |  |  |  | 2,038,454 |  |  |  | 2,390,196 | 



|(1) | As of December 31, 2013, fair value was calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Other currencies include the Euro, Brazilian real, Colombian peso, Argentine peso and Peruvian nuevo sol.
|--- | -----------------------------------------------------------------------------------------------------------



160



---

##### Table of Contents

The recorded values of our debt as of December 31, 2012, are detailed below, according to
maturity. Total values do not include the effect of derivatives.



|                               |  |                        |         |  |      |  |         |      |  |  |         |  |  |      |        |  |            |  |        |       |  |  |                   |  |  |  |           |  |  |  |           | 
|------------------------------ |  | ---------------------- | ------- |  | ---- |  | ------- | ---- |  |  | ------- |  |  | ---- | ------ |  | ---------- |  | ------ | ----- |  |  | ----------------- |  |  |  | --------- |  |  |  | --------- | 
|                               |  | Expected Maturity Date |        
|As of December 31,             |  | 2014                   |         |  | 2015 |  |         | 2016 |  |  | 2017    |  |  | 2018 |        |  | Thereafter |  |        | Total |  |  | Fair     Value(1) | 
|                               |  | (in millions of Ch$)   |        
|Fixed Rate                     |  |                        | 0.27    |  |      |  |        |      |  |  |        |  |  |      |       |  |            |  |       |       |  |  |                  |  |  |  | 0.27      |  |  |  |          | 
|Ch$ /UF                        |  |                        |         |  |      |  |         |      |  |  |         |  |  |      |        |  |            |  |        |       |  |  |                   |  |  |  |           |  |  |  |           | 
|Weighted average interest rate |  |                        | 6.7%    |  |      |  |        |      |  |  |        |  |  |      |       |  |            |  |       |       |  |  |                  |  |  |  | 6.7%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|US$                            |  |                        | 267,941 |  |      |  | 6,543   |      |  |  | 100,991 |  |  |      | 10,838 |  |            |  | 1,319  |       |  |  | 181,908           |  |  |  | 569,540   |  |  |  | 721,377   | 
|Weighted average interest rate |  |                        | 8.2%    |  |      |  | 8.3%    |      |  |  | 8.8%    |  |  |      | 6.5%   |  |            |  | 6.3%   |       |  |  | 7.7%              |  |  |  | 8.1%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Other currencies (2)           |  |                        | 36,475  |  |      |  | 39,232  |      |  |  |        |  |  |      |       |  |            |  |       |       |  |  | 2.9,394           |  |  |  | 285,101   |  |  |  | 289,627   | 
|Weighted average interest rate |  |                        | 13.1%   |  |      |  | 8.4%    |      |  |  |        |  |  |      |       |  |            |  |       |       |  |  | 10.0%             |  |  |  | 10.2%     |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Total fixed rate               |  |                        | 3.4,417 |  |      |  | 45,774  |      |  |  | 100,991 |  |  |      | 10,838 |  |            |  | 1,319  |       |  |  | 391,302           |  |  |  | 854,641   |  |  |  | 1,011,005 | 
|Weighted average interest rate |  |                        | 8.8%    |  |      |  | 8.4%    |      |  |  | 8.8%    |  |  |      | 6.5%   |  |            |  | 6.3%   |       |  |  | 8.9%              |  |  |  | 8.8%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Variable rate                  |  |                        |         |  |      |  |         |      |  |  |         |  |  |      |        |  |            |  |        |       |  |  |                   |  |  |  |           |  |  |  |           | 
|Ch$ /UF                        |  |                        | 117,474 |  |      |  | 7,389   |      |  |  | 7,600   |  |  |      | 6,291  |  |            |  | 4,751  |       |  |  | 281,763           |  |  |  | 425,268   |  |  |  | 335,265   | 
|Weighted average interest rate |  |                        | 7.6%    |  |      |  | 9.4%    |      |  |  | 9.4%    |  |  |      | 9.2%   |  |            |  | 8.8%   |       |  |  | 7.5%              |  |  |  | 7.7%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|US$                            |  |                        | 20,581  |  |      |  | 110,440 |      |  |  | 15,810  |  |  |      | 19,133 |  |            |  | 23,842 |       |  |  | 12,052            |  |  |  | 201,859   |  |  |  | 201,859   | 
|Weighted average interest rate |  |                        | 64%     |  |      |  | 2.3%    |      |  |  | 3.6%    |  |  |      | 3.3%   |  |            |  | 3.1%   |       |  |  | 4.4%              |  |  |  | 3.1%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Other currencies (2)           |  |                        | 14,368  |  |      |  | 24,425  |      |  |  | 80,849  |  |  |      | 11,038 |  |            |  | 57,182 |       |  |  | 327,443           |  |  |  | 515,305   |  |  |  | 569,770   | 
|Weighted average interest rate |  |                        | 20.0%   |  |      |  | 12.2%   |      |  |  | 8.3%    |  |  |      | 9.2%   |  |            |  | 8.1%   |       |  |  | 7.9%              |  |  |  | 8.6%      |  |  |  |          | 
|                               |  |                        |         |  |      |  |         |     
|Total variable rate            |  |                        | 152,423 |  |      |  | 142,254 |      |  |  | 104,259 |  |  |      | 36,462 |  |            |  | 85,775 |       |  |  | 621,259           |  |  |  | 1,142,432 |  |  |  | 1,106,893 | 
|Weighted average interest rate |  |                        | 9.5%    |  |      |  | 6.6%    |      |  |  | 7.8%    |  |  |      | 6.9%   |  |            |  | 7.0%   |       |  |  | 7.7%              |  |  |  | 6.9%      |  |  |  |          | 
|                               |  |                        | 456,839 |  |      |  | 188,029 |      |  |  | 205,250 |  |  |      | 47,300 |  |            |  | 87,095 |       |  |  | 1,0212,560        |  |  |  | 1,997,073 |  |  |  | 2,117,898 | 



|(1) | As of December 31, 2012, fair value was calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(2) | Other currencies include the Euro, Brazilian real, Colombian peso, Argentine peso and Peruvian nuevo sol.
|--- | -----------------------------------------------------------------------------------------------------------

Interest Rate Risk

At December 31,
2013 and 2012, 29% and 26%, respectively, of our outstanding net debt obligations were subject to floating interest rates.

We
manage interest rate risk by maintaining a mixture of both variable and fixed rate debt, according to the policy approved by the Board of Directors. Additionally, we manage interest rate risk through the use of interest rate derivatives. The above
percentages include the effect of interest rate derivatives (swaps or collars) that hedge part of our debt.

As of December 31, 2013,
the recorded values for financial accounting purposes and the corresponding fair values of the instruments that hedge our interest rate risk exposure were as follows:



|                        |  |                        |         |  |      |  |   |      |  |  |      |  |  |      |        |  |            |  |   |       |  |  |               |  |  |  |         |  |  |  |       | 
|----------------------- |  | ---------------------- | ------- |  | ---- |  | - | ---- |  |  | ---- |  |  | ---- | ------ |  | ---------- |  | - | ----- |  |  | ------------- |  |  |  | ------- |  |  |  | ----- | 
|                        |  | Expected Maturity Date |        
|As of December 31,      |  | 2014                   |         |  | 2015 |  |   | 2016 |  |  | 2017 |  |  | 2018 |        |  | Thereafter |  |   | Total |  |  | Fair Value(2) | 
|                        |  | (in millions of Ch$)   |        
|Variable to fixed rates |  |                        | 104,922 |  |      |  |  |      |  |  |     |  |  |      | 28,300 |  |            |  |  |       |  |  |              |  |  |  | 133,222 |  |  |  | 2,101 | 
|Fixed to variable rates |  |                        |        |  |      |  |  |      |  |  |     |  |  |      |       |  |            |  |  |       |  |  |              |  |  |  |        |  |  |  |      | 
|                        |  |                        |         |  |      |  |   |      |  |  |      |  |  |      |        |  |            |  |   |       |  |  |               |  |  |  |         |  |  |  |       | 
|Total                   |  |                        | 104,922 |  |      |  |  |      |  |  |     |  |  |      | 28,300 |  |            |  |  |       |  |  |              |  |  |  | 133,222 |  |  |  | 2,101 | 
|                        |  |                        |         |  |      |  |   |      |  |  |      |  |  |      |        |  |            |  |   |       |  |  |               |  |  |  |         |  |  |  |       | 



|(1) | Calculated based on the Observed Exchange Rate for December 31, 2013, which was Ch$ 524.61 for US$ 1.00.
|--- | --------------------------------------------------------------------------------------------------------

|(2) | Fair value was calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



161



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##### Table of Contents

By comparison, as of December 31, 2012, the recorded values for financial accounting
purposes and the corresponding fair values of the instruments that hedge for our interest rate risk exposure were as follows:



|                        |  |                          |       |  |      |  |        |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |       | 
|----------------------- |  | ------------------------ | ----- |  | ---- |  | ------ | ---- |  |  | ---- |  |  | ---- | - |  | ---------- |  | - | ----- |  |  | -------------- |  |  |  | ------- |  |  |  | ----- | 
|                        |  | Expected Maturity Date   |      
|As of December 31,      |  | 2013                     |       |  | 2014 |  |        | 2015 |  |  | 2016 |  |  | 2017 |   |  | Thereafter |  |   | Total |  |  | Fair  Value(2) | 
|                        |  | (in millions of Ch$) (1) |      
|Variable to fixed rates |  |                          | 1,728 |  |      |  | 95,992 |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  | 29,462         |  |  |  | 127,181 |  |  |  | 4,670 | 
|Fixed to variable rates |  |                          |      |  |      |  |       |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  |        |  |  |  |      | 
|                        |  |                          |       |  |      |  |        |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |       | 
|Total                   |  |                          | 1,728 |  |      |  | 95,992 |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  | 29,462         |  |  |  | 127,181 |  |  |  | 4,670 | 
|                        |  |                          |       |  |      |  |        |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |       | 



|(1) | Calculated based on the Observed Exchange Rate for December 31, 2012, which was Ch$ 479.96 per US$ 1.00.
|--- | --------------------------------------------------------------------------------------------------------

|(2) | Fair values were calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Foreign Currency Risk

We are exposed to
foreign currency risk arising from debt denominated in U.S. dollars, Chilean pesos, and in other currencies. Some of our subsidiaries have a natural hedge between their revenues and the currency of their debt. For example, in the case of our
subsidiaries in Colombia, their revenues as well as their debts are linked to the Colombian peso. In other cases, we do not have this natural hedge and therefore we try to manage this exposure with currency derivatives, such as U.S. dollar/UF
exchange and U.S. dollar/local currency derivatives. However, this is not always possible because of market conditions. For example, that is the case of Endesa Costanera in Argentina, with revenues linked to the Argentine peso and a substantial
part of its debt denominated in U.S. dollars, with no reasonable possibility of hedging this debt. Our corporate currency risk policy has been in effect since 2004. This policy takes the level of operating income of each country that is
indexed to the U.S. dollar and seeks to hedge income with liabilities denominated in the same currency.

As of December 31,
2013, the recorded values for financial accounting purposes and the corresponding fair value of the instruments that hedge our foreign exchange risk are as follows:



|                            |  |                          |         |  |      |  |   |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 
|--------------------------- |  | ------------------------ | ------- |  | ---- |  | - | ---- |  |  | ---- |  |  | ---- | - |  | ---------- |  | - | ----- |  |  | -------------- |  |  |  | ------- |  |  |  | ------ | 
|                            |  | Expected Maturity Date   |        
|As of December 31,          |  | 2014                     |         |  | 2015 |  |   | 2016 |  |  | 2017 |  |  | 2018 |   |  | Thereafter |  |   | Total |  |  | Fair  Value(2) | 
|                            |  | (in millions of Ch$) (1) |        
|UF to US$                   |  |                          | 207,560 |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 207,560 |  |  |  | 20,865 | 
|US$ to Ch$/UF               |  |                          |        |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  |        |  |  |  |       | 
|Ch$ to US$                  |  |                          | 25,619  |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 25,619  |  |  |  | 362    | 
|US$ to other currencies (3) |  |                          |        |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  |        |  |  |  |       | 
|Other currencies to US$ (4) |  |                          | 4,605   |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 4,605   |  |  |  | 121    | 
|                            |  |                          |         |  |      |  |   |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 
|Total                       |  |                          | 237,784 |  |      |  |  |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 237,784 |  |  |  | 21,348 | 
|                            |  |                          |         |  |      |  |   |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 



|(1) | Calculated based on the Observed Exchange Rate for December 31, 2013, which was Ch$ 524.61 per US$ 1.00.
|--- | --------------------------------------------------------------------------------------------------------

|(2) | Fair values were calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(3) | Other currencies include Brazilian reais.
|--- | -----------------------------------------

|(4) | Include a Peruvian soles-US$ hedge of Edegel (Chinango).
|--- | --------------------------------------------------------



162



---

##### Table of Contents

By comparison, as of December 31, 2012 the recorded values for financial accounting purposes
and the corresponding fair values of the instruments that hedge for our interest rate risk was as follows:



|                            |  |                          |   |  |      |  |         |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 
|--------------------------- |  | ------------------------ | - |  | ---- |  | ------- | ---- |  |  | ---- |  |  | ---- | - |  | ---------- |  | - | ----- |  |  | -------------- |  |  |  | ------- |  |  |  | ------ | 
|                            |  | Expected Maturity Date   |  
|As of December 31,          |  | 2013                     |   |  | 2014 |  |         | 2015 |  |  | 2016 |  |  | 2017 |   |  | Thereafter |  |   | Total |  |  | Fair  Value(2) | 
|                            |  | (in millions of Ch$) (1) |  
|UF to US$                   |  |                          |  |  |      |  | 189,894 |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 189,894 |  |  |  | 28,634 | 
|US$ to Ch$/UF               |  |                          |  |  |      |  |        |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  |        |  |  |  |       | 
|US$ to other currencies(3)  |  |                          |  |  |      |  |        |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  |        |  |  |  |       | 
|Other currencies to US$ (4) |  |                          |  |  |      |  | 4,213   |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 4,213   |  |  |  | 578    | 
|                            |  |                          |   |  |      |  |         |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 
|Total                       |  |                          |  |  |      |  | 194,107 |      |  |  |     |  |  |      |  |  |            |  |  |       |  |  |               |  |  |  | 194,107 |  |  |  | 29,212 | 
|                            |  |                          |   |  |      |  |         |      |  |  |      |  |  |      |   |  |            |  |   |       |  |  |                |  |  |  |         |  |  |  |        | 



|(1) | Calculated based on the Observed Exchange Rate for December 31, 2012, which was Ch$ 479.96 per US$ 1.00.
|--- | --------------------------------------------------------------------------------------------------------

|(2) | Fair values were calculated based on the discounted value of future cash flows expected to be paid (or received), considering current discount rates that reflect the different risks involved.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(3) | Currencies include Brazilian Reais.
|--- | -----------------------------------

|(4) | Include a Peruvian soles-US$ hedge of Edegel (Chinango).
|--- | --------------------------------------------------------



|(d). | Safe Harbor
|---- | -----------

The information in this Item 11. Quantitative and Qualitative
Disclosures About Market Risk, contains information that may constitute forward-looking statements. See Forward-Looking Statements in the Introduction of this Report for safe harbor provisions.

Item 12.   Description of Securities Other Than Equity Securities



|A. | Debt Securities
|-- | ---------------

Not applicable.



|B. | Warrants and Rights
|-- | -------------------

Not applicable.



|C. | Other Securities
|-- | ----------------

Not applicable.



|D. | American Depositary Shares
|-- | --------------------------

Depositary Fees and Charges

The Companys ADS program is administered by Citibank, N.A., as depositary. Under the terms of the deposit agreement, an ADS holder may
have to pay the following service fees to the depositary:



|                                                                                                                                                 |  |                                                                                                                     
|------------------------------------------------------------------------------------------------------------------------------------------------ |  | --------------------------------------------------------------------------------------------------------------------
|Service Fees                                                                                                                                     |  | Fees                                                                                                                
|(1) Issuance of ADS upon deposit of shares                                                                                                       |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) issued                                                             
|                                                                                                                                                 | 
|(2) Delivery of deposited securities against surrender of ADS                                                                                    |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) surrendered                                                        
|                                                                                                                                                 | 
|(3) Distribution of cash dividends or other cash distributions (i.e., sale of rights and other entitlements)                                     |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) held                                                               
|                                                                                                                                                 | 
|(4) Distribution of ADS pursuant to (i) stock dividends or other free stock distributions, or (ii) exercise of rights to purchase additional ADS |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) held                                                               
|                                                                                                                                                 | 
|(5) Distribution of securities other than ADS or rights to purchase additional ADS (i.e., spinoff of shares)                                    |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) held                                                               
|                                                                                                                                                 | 
|(6) Depositary services                                                                                                                          |  | Up to US$ 5.00 per 100 ADS (or fraction thereof) held on the applicable record date(s) established by the Depositary



163



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##### Table of Contents

Depositary Payments for Fiscal Year 2013

The depositary has agreed to reimburse certain expenses incurred by the Company in connection with the Companys ADS program.
In 2013, the depositary reimbursed expenses related to investor relations activities for a total amount of US$ 251,724 (after applicable US taxes).



164



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##### Table of Contents

PART II

Item 13.   Defaults, Dividend Arrearages and Delinquencies

None.

Item 14.   Material Modifications to the Rights of Security Holders and Use of Proceeds

None.



|E. | Use of Proceeds.
|-- | ----------------

Not applicable.

Item 15.   Controls and Procedures



|(a) | Disclosure Controls and Procedures
|--- | ----------------------------------

The Company carried out an evaluation under the
supervision and with the participation of the Companys management, including the Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Companys disclosure controls and
procedures (as defined in Rules 13 (a) -15 (e) and 15 (d) -15 (e) under the Exchange Act) for the year ended December 31, 2013.

There are inherent limitations to the effectiveness of any system of disclosure controls and procedures, including the possibility of human
error, and the circumvention or overriding of the controls and procedures. Accordingly, the Companys disclosure controls and procedures are designed to provide reasonable assurance of achieving their control objectives.

Based upon the Companys evaluation, the Chief Executive Officer and the Chief Financial Officer concluded that the disclosure controls
and procedures are effective in providing reasonable assurance that information required to be disclosed in the reports the Company files and submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods
specified in the applicable rules and forms, and that it is gathered and communicated to the Companys management, including the Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required
disclosure.

Our disclosure controls and procedures are designed to provide reasonable assurance of achieving their objectives, and our
principal executive officer and principal financial officer have concluded that our disclosure controls and procedures are effective at that reasonable assurance level.



|(b) | Managements Annual Report on Internal Control Over Financial Reporting
|--- | -----------------------------------------------------------------------

As
required by Section 404 of the Sarbanes-Oxley Act of 2002, Endesa Chiles management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13 (a)-15
(f) under the Exchange Act). The Companys internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of the financial statements for external
purposes in accordance with IFRS, as issued by the IASB.

Because of its inherent limitations, internal control over financial reporting
may not necessarily prevent or detect some misstatements. It can only provide reasonable assurance regarding financial statement preparation and presentation. Also, projections of any evaluation of effectiveness for future periods are subject to the
risk that controls may become inadequate because of changes in conditions or because the degree of compliance with the policies or procedures may deteriorate over time.

Management assessed the effectiveness of its internal control over financial reporting for the year ended December 31, 2013. The
assessment was based on criteria established in Internal Control  Integrated Framework



165



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##### Table of Contents

(1992) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Based on the assessment, Endesa Chiles management has concluded that as of
December 31, 2013, the Companys internal control over financial reporting was effective.



|(c) | Attestation Report
|--- | ------------------

KPMG Auditores Consultores Ltda., the independent registered public
accounting firm that has audited our consolidated financial statements and has also issued an attestation report on the Companys internal control over financial reporting as of December 31, 2013. This attestation report appears on page
F-3.



|(d) | Changes in internal control
|--- | ---------------------------

There were no changes in the Companys internal
control over financial reporting that occurred during 2013 that have materially affected, or are reasonably likely to materially affect, the Companys internal control over financial reporting.

Item 16.    Reserved

Item 16A. Audit Committee Financial Expert

As of December 31, 2013, the Directors Committees (which performs the functions of the Audit Committee) financial expert was
Mr. Enrique Cibié, as determined by the Board of Directors. Mr. Cibié is an independent member of the Directors Committee, pursuant to the requirement of both Chilean law and NYSE corporate governance rules.

Item 16B. Code of Ethics

The standards of ethical conduct at Endesa Chile are governed by means of five corporate rulings or policies: the Charter Governing
Executives, the Employee Code of Conduct, the Code of Ethics, the Zero Tolerance Anti-Corruption Plan (the ZTAC Plan) and the Manual for the Management of Information of Interest to the Market (the Manual).

The Charter Governing Executives was adopted by the Board of Directors in July 2003 and is applicable to all executives contractually
related to Endesa Chile or its controlled subsidiaries in which it is the majority shareholder, both in Chile and abroad, including the Chief Executive Officer, the Chief Financial Officer and other senior officers of the Company. The objective of
this set of rules is to establish standards for the governance of our managements actions, the behavior of management with respect to the principles governing their actions and the limitations and incompatibilities involved, all within Endesa
Chiles vision, mission and values. Likewise, the Employee Code of Conduct explains our principles and ethical values, establishes the rules governing our contact with customers and suppliers, and establishes the principles that should be
followed by employees, including ethical conduct, professionalism and confidentiality. Both documents also impose limitations on the activities that our executives and other employees may undertake outside the scope of their employment with us.

The Manual, adopted by Endesa Chiles Board of Directors in May 2008 and amended in February 2010, addresses the following
issues: applicable standards and blackout periods in connection with the transactions of the Companys securities or those of its affiliates by directors, management, principal executives, employees and other related parties; mechanisms for the
continuous release of information that is of interest to the market; and mechanisms that provide protection for confidential information.

In addition to the above mentioned corporate governance rules, the Board of the Company approved the Code of Ethics and the ZTAC Plan in its
meeting held on June 24, 2010. The Code of Ethics is based on general principles such as impartiality, honesty, integrity and other values of similar importance, which are translated into detailed behavioral criteria. The ZTAC Plan reinforces
the principles included in the Code of Ethics, but with a special emphasis in avoiding corruption in the form of bribery, preferential treatment, and other similar acts.



166



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A copy of these documents is available upon request, free of charge, by writing or calling us at:

Empresa Nacional de Electricidad S.A.

Attention: Investor Relations Department

Santa Rosa 76, Piso 15

Santiago, Chile

(562) 2630-9847

During fiscal year 2013, there have been no amendments to any provisions of the abovementioned documents. No waivers from any provisions
of the Charter Governing Executives, the Code of Ethics, the ZTAC Plan or the Manual, were expressly or implicitly granted to the Chief Executive Officer, the Chief Financial Officer or any other senior financial officer of the Company in fiscal
year 2013.

Item 16C. Principal Accountant Fees and Services

The following table provides information on the aggregate fees billed by our principal accountants, KPMG Auditores Consultores Ltda., as well
as the other member firms of KPMG and their respective affiliates, by type of service rendered for the periods indicated.



|                   |  |                       |        |  |      |  |        | 
|------------------ |  | --------------------- | ------ |  | ---- |  | ------ | 
|Services Rendered  |  | 2013                  |        |  | 2012 | 
|                   |  | (in millions of Ch $) |       
|Audit fees (1)     |  |                       | 593.51 |  |      |  | 603.36 | 
|Audit-related fees |  |                       |       |  |      |  |       | 
|Tax fees           |  |                       |       |  |      |  | 7.06   | 
|All other fees     |  |                       |       |  |      |  |       | 
|                   |  |                       |        |  |      |  |        | 
|Total              |  |                       | 593.51 |  |      |  | 610.42 | 
|                   |  |                       |        |  |      |  |        | 



|(1) | Audit fees decreased in 2013, mainly due to a smaller scope of reviews than in 2012, as a result of the mergers of some of our subsidiaries.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------

The amounts included in the table above and the related footnotes have been classified in accordance with SEC guidance.

All of the fees disclosed under audit related fees and all other fees were pre-approved by the Directors Committee.

Directors Committee Pre-Approval Policies and Procedures

Our external auditors are appointed by our shareholders at the OSM. Similarly, the shareholders of our subsidiaries, which are located in
countries where applicable law and regulation so establishes, appoint such subsidiaries external auditors.

The Directors
Committee (which performs the functions of the Audit Committee), acting through the CFO, manages appointment proposals, reviews engagement letters, negotiates fees, ensures quality control in respect of the services provided, reviews and controls
independence issues, and other related matters.

The Directors Committee has a pre-approval policy regarding the contracting of
Endesa Chiles external auditor, or any affiliate of the external auditor, for professional services. The professional services covered by such policy include audit and non-audit services provided to Endesa Chile.

Fees payable in connection with recurring audit services are pre-approved as part of our annual budget. Fees payable in connection with
non-recurring audit services, once they have been analyzed by the CFO, are submitted to the Directors Committee for approval or rejection.



167



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The pre-approval policy established by the Directors Committee for non-audit services and
audit-related fees is as follows:



| |  |  | The business unit that has requested the service and the audit firm expected to perform the service must request that the CFO review the nature of the service to be provided.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | The CFO then analyzes the request and requires the selected audit firm to issue a certificate signed by the partner responsible for the audit of our consolidated financial statements confirming such audit firms
independence.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Finally, the proposal is submitted to the Directors Committee for approval or denial.
| | - |  | --------------------------------------------------------------------------------------

The Directors Committee has designed, approved and implemented the necessary procedures to fulfill the new requirements described in SEC
release number 34-53677, File No. PCAOB-2006-01 (Audit Committee Pre-Approval of Certain Tax Services).

Item 16D.
Exemptions from the Listing Standards for Audit Committees

Not applicable.

Item 16E. Purchases of Equity Securities by the Issuer and Affiliated Purchasers

Neither Endesa Chile nor any affiliated purchaser acquired any shares of Endesa Chile during 2013.

Item 16F. Change in Registrants Certifying Accountant

During the years ended December 31, 2013 and 2012 and through the date of this Report, the principal independent accountant engaged
to audit our financial statements, KPMG Auditores Consultores Ltda., has not resigned, or indicated that it has declined to stand for re-election after the completion of its current audit, or been dismissed.

Item 16G. Corporate Governance

For a summary of the significant differences between our corporate governance practices and those applicable to domestic issuers under the
corporate governance rules of the NYSE, please see Item 
6. Directors, Senior Management and Employees  C. Board Practices.

Item 16H. Mine Safety Disclosure

Not applicable.



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##### Table of Contents

PART III

Item 17.      Financial Statements

None.

Item 18.      Financial Statements

Endesa Chile and Subsidiaries

Index to the Audited
Consolidated Financial Statements

Reports of Independent Registered Public Accounting Firms:



|                                                                                                                                    |  |     
|----------------------------------------------------------------------------------------------------------------------------------- |  | ----
|Reports of Independent Registered Public Accounting Firms:                                                                          |  |     
|Report of KPMG Auditores Consultores Ltda.  Empresa Nacional de Electricidad S.A. 2013 and 2012                                    |  | F-1 
|Report of KPMG Auditores Consultores Ltda.  Empresa Nacional de Electricidad S.A.  Internal Control over Financial Reporting 2013 |  | F-3 
|Report of Ernst & Young Audit S.A.S  Emgesa S.A. E.S.P. 2013 and 2012                                                              |  | F-5 
|Report of Ernst & Young Audit Ltda.  Emgesa S.A. E.S.P. 2012 and 2011                                                              |  | F-6 
|Report of Pistrelli, Henry Martin y Asociados S.R.L., member Firm of Ernst & Young Global  Endesa Argentina S.A. 2013 and 2012     |  | F-7 
|Report of Pistrelli, Henry Martin y Asociados S.R.L., member Firm of Ernst & Young Global  Endesa Argentina S.A. 2012 and 2011     |  | F-8 
|Report of Ernst & Young Auditores Independentes S.S.  Endesa Brasil S.A. 2013 and 2012                                             |  | F-9 
|Report of Ernst & Young Terco Auditores Independentes S.S.  Endesa Brasil S.A. 2012 and 2011                                       |  | F-10
|                                                                                                                                    | 
|Consolidated Financial Statements:                                                                                                  |  |     
|Consolidated Statements of Financial Position at December 31, 2013, December 31, 2012 and January 1, 2012                           |  | F-11
|Consolidated Statements of Comprehensive Income for the years ended December 31, 2013, 2012 and 2011                                |  | F-13
|Consolidated Statements of Changes in Equity for the years ended December 31, 2013, 2012 and 2011                                   |  | F-15
|Consolidated Statements of Direct Cash Flows for the years ended December 31, 2013, 2012 and 2011                                   |  | F-16
|Notes to the Consolidated Financial Statements                                                                                      |  | F-17
|                                                                                                                                    | 
|Consolidated Financial Statements Endesa Brasil S.A.                                                                                |  | G-1 



169



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##### Table of Contents

Item 19.      Exhibits



|        |  |                                                                                                                            
|------- |  | ---------------------------------------------------------------------------------------------------------------------------
|Exhibit |  | Description                                                                                                                
|        | 
|1.1     |  | Bylaws (Estatutos) of Empresa Nacional de Electricidad S.A., as amended.(*)                                                
|        | 
|8.1     |  | List of Subsidiaries as of December 31, 2013.(**)                                                                          
|        | 
|12.1    |  | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act.(**)                            
|        | 
|12.2    |  | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act.(**)                            
|        | 
|12.3    |  | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act.                                
|        | 
|12.4    |  | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act.                                
|        | 
|13.1    |  | Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley
Act.(**)
|        | 
|13.2    |  | Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act.    



|(*) | Incorporated by reference to Endesa Chiles Form 20-F for the year ended December 31, 2009.
|--- | -------------------------------------------------------------------------------------------

|(**) | Previously filed.
|---- | -----------------

We will furnish to the Securities and Exchange Commission, upon request,
copies of any unfiled instruments that define the rights of stakeholders of Endesa Chile.



170



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SIGNATURES

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and that it has duly caused and authorized
the undersigned to sign this amendment to the annual report on its behalf.



EMPRESA NACIONAL DE ELECTRICIDAD S.A.By:

/s/ Fernando Gardeweg R.Name:

Fernando Gardeweg R.Title:

Chief Financial Officer




Date:    April 2, 2014



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##### Table of Contents

Endesa Chile and Subsidiaries

Audited Consolidated Financial Statements as of December 31, 2013, December 31, 2012 and January 1, 2012 and for each of the three years in
the period ended December 31, 2013 together with the Report of Independent Registered Public Accounting Firms



---

##### Table of Contents

Table of Contents

Index to the Audited Consolidated Financial Statements



|                                                                                                                                    |  |     
|----------------------------------------------------------------------------------------------------------------------------------- |  | ----
|Reports of Independent Registered Public Accounting Firms:                                                                          |  |     
|Report of KPMG Auditores Consultores Ltda.  Empresa Nacional de Electricidad S.A. 2013 and
2012                                    |  | F-1 
|Report of KPMG Auditores Consultores Ltda.  Empresa Nacional de Electricidad S.A.  Internal Control over Financial Reporting 2013 |  | F-3 
|Report of Ernst & Young Audit S.A.S  Emgesa S.A. E.S.P. 2013 and 2012                                                              |  | F-5 
|Report of Ernst & Young Audit Ltda.  Emgesa S.A. E.S.P. 2012 and 2011                                                              |  | F-6 
|Report of Pistrelli, Henry Martin y Asociados S.R.L., member Firm of Ernst & Young Global  Endesa Argentina S.A. 2013 and 2012     |  | F-7 
|Report of Pistrelli, Henry Martin y Asociados S.R.L., member Firm of Ernst & Young Global  Endesa Argentina S.A. 2012 and 2011     |  | F-8 
|Report of Ernst & Young Auditores Independentes S.S.  Endesa Brasil S.A. 2013 and
2012                                             |  | F-9 
|Report of Ernst & Young Terco Auditores Independentes S.S. 
 Endesa Brasil S.A. 2012 and 2011                                      |  | F-10
|                                                                                                                                    | 
|Consolidated Financial Statements:                                                                                                  |  |     
|Consolidated Statements of Financial Position at December 31, 2013, December 
31, 2012 and January 1, 2012                          |  | F-11
|Consolidated Statements of Comprehensive Income for the years ended December 31, 2013, 2012 and
2011                                |  | F-13
|Consolidated Statements of Changes in Equity for the years ended December 31, 2013, 2012 and
2011                                   |  | F-15
|Consolidated Statements of Direct Cash Flows for the years ended December 31, 2013, 2012 and
2011                                   |  | F-16
|Notes to the Consolidated Financial Statements                                                                                      |  | F-17
|                                                                                                                                    | 
|Consolidated Financial Statements Endesa Brasil S.A.                                                                                |  | G-1 



|      |  |                                                                                                                                                 
|----- |  | ------------------------------------------------------------------------------------------------------------------------------------------------
|Ch$   |  | Chilean pesos                                                                                                                                   
|US$   |  | U. S. dollars                                                                                                                                   
|UF    |  | The UF is a Chilean inflation-indexed, peso-denominated monetary unit that is set daily in advance based on the previous months inflation rate.
|ThCh$ |  | Thousand of Chilean pesos                                                                                                                       
|ThUS$ |  | Thousand of U.S. dollars                                                                                                                        



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##### Table of Contents

|     |  |                                                                                                  |  |                                                              |  | 
|---- |  | ------------------------------------------------------------------------------------------------ |  | ------------------------------------------------------------ |  | 
|LOGO |  | KPMG Auditores Consultores Ltda.
Av. Isidora Goyenechea 3520, Piso 2 Las Condes,
Santiago, Chile |  | Teléfono +56
(2) 2798 1000 Fax +56 (2) 2798
1001 www.kpmg.cl |  | 









Report of Independent Registered Public
Accounting Firm









The Board of Directors and Shareholders of

Empresa Nacional de Electricidad S.A. (EndesaChile):





We have audited the accompanying consolidated statements of financial position of
Endesa-Chile and subsidiaries (the Company) as of December 31, 2013, 2012 and January 1, 2012, and the related consolidated statements of comprehensive income, changes in equity, and cash flows for each of the years in the three-year
period ended December 31, 2013. These consolidated financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We did
not audit the financial statements of certain subsidiaries, which statements reflect total assets constituting 36.12 percent, 33.54 percent and 31.22 percent, of the Companys consolidated total asset position as of December 31, 2013, 2012
and January 1, 2012, respectively, and total revenues constituting 36.26 percent, 38.27 percent and 39.3 percent of the Companys consolidated revenues for the years ended December 31, 2013, 2012 and 2011, respectively. In addition,
we did not audit the financial statements of Endesa Brasil S.A. The Companys investment in Endesa Brasil S.A. at December 31, 2013, 2012 and January 1, 2012 was ThCh$ 543,713,349, ThCh$ 574,168,681 and ThCh$ 569,012,759 as of
December 31, 2013,2012 and January 1, 2012, respectively, and its equity earning was ThCh$94,402,624, ThCh$107,503,620 and ThCh$115,355,267 for the years ended December 31, 2013, 2012 and 2011, respectively. Those consolidated
financial statements prepared in accordance with the local statutory accounting basis were audited by other auditors whose reports have been furnished to us and our opinion, insofar as it relates to the amounts included for those entities on such
basis of accounting, is based solely on the reports of the other auditors. Accordingly, we have audited the conversion adjustments to the financial statements of these subsidiaries and nonsubsidiary investees prepared in accordance with the local
statutory accounting basis to conform them to the Companys accounting basis referred to below.

We conducted our audits in accordance with the
standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the consolidated financial statements. An audit also includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation. We believe that our audits and the reports of the other auditors provide a reasonable basis for our opinion.

In our opinion, based on our audits and the reports of the other auditors, the consolidated financial statements referred to above present fairly, in all
material respects, the financial position of Endesa-Chile and subsidiaries as of December 31, 2013, 2012 and January 1, 2012, and the results of their operations and their cash flows for each of the years in the three-year period ended
December 31, 2013, in conformity with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).











© 2014 KPMG Auditores Consultores Ltda, a Chilean limited liability partnership and a member firm of
the KPMG network of independent member firms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. All rights reserved.





---

##### Table of Contents



LOGO









As indicated in Note 2.2 a) to the consolidated financial statements, starting from
January 1, 2013 and due to the application of International Financial Reporting Standards (IFRS) 11 Joint Arrangements, the Company changed its valuation method of investments which business are jointly controlled. As required
by this standard, the consolidated statements of financial position as of December 31, 2012 and January 1, 2012, and the related consolidated statements of comprehensive income, changes in equity, and cash flows for the years ended
December 31, 2012 and 2011, and their related notes to the financial statements, were retrospectively restated.

We also have audited, in accordance
with the standards of the Public Company Accounting Oversight Board (United States), Endesa-Chiles internal control over financial reporting as of December 31, 2013, based on the criteria established in Internal Control  Integrated
Framework (1992) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO), and our report dated March 27, 2014, expressed an unqualified opinion on the effectiveness of the Companys internal control over
financial reporting.







|                                
|--------------------------------
|/s/ KPMG                        
|KPMG Auditores Consultores Ltda.
|Santiago, Chile                 
|March 27, 2014                  











© 2014 KPMG Auditores Consultores Ltda, a Chilean limited liability partnership and a member firm of
the KPMG network of independent member firms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. All rights reserved.



---

##### Table of Contents

|     |  |                                                                                                  |  |                                                              |  | 
|---- |  | ------------------------------------------------------------------------------------------------ |  | ------------------------------------------------------------ |  | 
|LOGO |  | KPMG Auditores Consultores Ltda. Av.
Isidora Goyenechea 3520, Piso 2 Las Condes, Santiago, Chile |  | Teléfono +56
(2) 2798 1000 Fax +56 (2) 2798
1001 www.kpmg.cl |  | 









Report of Independent Registered Public
Accounting Firm









The Board of Directors and Shareholders of

Empresa Nacional de Electricidad S.A. (EndesaChile):





We have audited Endesa-Chiles internal control over financial reporting as of
December 31, 2013, based on criteria established in Internal Control - Integrated Framework (1992) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Endesa-Chiles management is responsible for
maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Managements Annual Report on Internal Control over Financial
Reporting. Our responsibility is to express an opinion on Endesa-Chiles internal control over financial reporting based on our audit.

We conducted
our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over
financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and
operating effectiveness of internal control based on the assessed risk. Our audit also included performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

A companys internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companys internal control over financial reporting includes those policies and procedures that
(1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as
necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors
of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companys assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of
effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.











© 2014 KPMG Auditores Consultores Ltda, a Chilean limited liability partnership and a member firm of
the KPMG network of independent member firms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. All rights reserved.



---

##### Table of Contents



LOGO





In our opinion, Endesa-Chile maintained, in all material respects, effective internal control over financial reporting as of December 31, 2013, based on
criteria established in Internal Control  Integrated Framework (1992) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated statement of
financial position of Endesa-Chile and subsidiaries as of December 31, 2013 and 2012 and January 1, 2012, and the related consolidated statements of comprehensive income, changes in equity, and cash flows for each of years in the
three-year period ended December 31, 2013, and our report dated March 27, 2014 expressed an unqualified opinion on those consolidated financial statements.







|                                
|--------------------------------
|/s/ KPMG                        
|KPMG Auditores Consultores Ltda.
|Santiago, Chile                 
|March 27, 2014                  













© 2014 KPMG Auditores Consultores Ltda, a Chilean limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative
(KPMG International), a Swiss entity. All rights reserved.



---

##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm



The Board of Directors and Shareholders of Emgesa S.A. E.S.P



We have audited the accompanying consolidated balance sheet of Emgesa
S.A. E.S.P. and subsidiaries as of December 31, 2013 and 2012, and the related consolidated statements of income, shareholders equity and cash flows for the years then ended. These financial statements are the responsibility of the
Companys management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted
our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States of America). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements
are free of material misstatement. We were not engaged to perform an audit of the Companys internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also
includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial
statements referred to above present fairly, in all material respects, the consolidated financial position of Emgesa S.A. E.S.P. and subsidiaries at December 31, 2013 and 2012, and the consolidated results of their operations and their cash
flows for the year then ended, in conformity with accounting policies generally accepted in Colombia.







| |  |  |  |                                |  | 
| |  |  |  | ------------------------------ |  | 
| |  |  |  | /S/ ERNST & YOUNG Audit S.A.S. |  | 
| |  |  | 
| |  |  |  | Ernst & Young                  |  | 

Bogotá, Colombia

February 17, 2014



F-5



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##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm



The Board of Directors and Shareholders of Emgesa S.A. E.S.P



We have audited the accompanying consolidated balance sheet of Emgesa
S.A. E.S.P. and subsidiaries as of December 31, 2012 and 2011, and the related consolidated statements of income, shareholders equity and cash flows for the years then ended. These consolidated financial statements are the responsibility
of the Companys management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Companys internal control over financial
reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial
position of Emgesa S.A. E.S.P. and subsidiaries at December 31, 2012 and 2011, and the consolidated results of their operations and their cash flows for the years then ended, in conformity with accounting policies generally accepted in
Colombia.







| |  |  |  |                               |  | 
| |  |  |  | ----------------------------- |  | 
| |  |  |  | /S/ ERNST & YOUNG Audit Ltda. |  | 
| |  |  | 
| |  |  |  | Ernst & Young                 |  | 

Bogotá, Colombia

February 11, 2013



F-6



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##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm



To the Board of Directors of Endesa Argentina S.A.:

We have audited the accompanying consolidated balance sheet of Endesa Argentina S.A. and subsidiaries as of December 31, 2013 and 2012,
and the related consolidated statements of income, shareholders equity, and cash flows for the years then ended. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on
these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting
Oversight Board (United States of America). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit
of the Companys internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for
our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the consolidated
financial position of Endesa Argentina S.A. and subsidiaries at December 31, 2013 and 2012, and the consolidated results of their operations and their cash flows for the years then ended, in conformity with accounting principles generally
accepted in the Buenos Aires City, Argentine Republic.

February 28, 2014

Buenos Aires, Argentina



| |  |                                                |  | 
| |  | ---------------------------------------------- |  | 
| |  | /S/ PISTRELLI, HENRY MARTIN Y ASOCIADOS S.R.L. |  | 
| |  | Member of Ernst & Young
Global                 |  | 



F-7



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##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm



To the Board of Directors of Endesa Argentina S.A.:



We have audited the accompanying consolidated balance sheet of Endesa
Argentina S.A. and subsidiaries as of December 31, 2012 and 2011, and the related consolidated statements of income, shareholders equity, and cash flows for the years then ended. These financial statements are the responsibility of the
Companys management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted
our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States of America). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements
are free of material misstatement. We were not engaged to perform an audit of the Companys internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also
includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to
above present fairly, in all material respects, the consolidated financial position of Endesa Argentina S.A. and subsidiaries at December 31, 2012 and 2011, and the consolidated results of their operations and their cash flows for the years
then ended, in conformity with accounting principles generally accepted in the Buenos Aires City, Argentine Republic.

February 28, 2013

Buenos Aires, Argentina



| |  |                                                |  | 
| |  | ---------------------------------------------- |  | 
| |  | /S/ PISTRELLI, HENRY MARTIN Y ASOCIADOS S.R.L. |  | 
| |  | Member of Ernst & Young
Global                 |  | 



F-8



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##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm



To the Board of Directors and Shareholders of

Endesa Brasil S.A.

We have audited the accompanying
consolidated statements of financial position of Endesa Brasil S.A. and subsidiaries as of December 31, 2013 and 2012, and the related consolidated statements of income, comprehensive income, changes in equity, and cash flows for each of the
three years in the period ended December 31, 2013. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Companys internal control over financial reporting. Our audits
included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Companys
internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles
used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the consolidated financial position of Endesa Brasil S.A.
and subsidiaries at December 31, 2013 and 2012, and the consolidated results of their operations and their cash flows for each of the three years in the period ended December 31, 2013, in conformity with International Financial Reporting
Standards as issued by the International Accounting Standards Board.





|                            
|----------------------------
|ERNST & YOUNG               
|Auditores Independentes S.S.
|                            
|/s/ Márcio F. Ostwald       
|                            
|Márcio F. Ostwald           
|Partner                     
|                            
|Rio de Janeiro, RJ - Brazil 
|March 25, 2014              



F-9



---

##### Table of Contents



LOGO

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Shareholders of

Endesa Brasil
S.A.

Niterói  RJ, Brazil

We have audited the accompanying consolidated financial statements of Endesa Brasil S.A. and subsidiaries (the Company), which
comprise the consolidated statements of financial position as of December 31, 2012 and 2011, and the related consolidated statements of income and comprehensive income, shareholders equity, and cash flows for the years then ended, and the
related notes to the consolidated financial statements.

Managements Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in conformity with International Financial
Reporting Standards; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free of material misstatement, whether due to fraud or error.

Auditors Responsibility

Our
responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.

An
audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors judgment, including the assessment of the risks of material
misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entitys preparation and fair presentation of the financial statements in order to
design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entitys internal control. Accordingly, we express no such opinion. An audit also includes
evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion

Opinion

In our opinion, the
consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of Endesa Brasil S.A. and subsidiaries at December 31, 2012 and 2011, and the consolidated results of their
operations and their cash flows for the years then ended, in conformity with International Financial Reporting Standards.



|                            
|----------------------------
|ERNST & YOUNG TERCO         
|Auditores Independentes S.S.
|                            
|/s/ Márcio F. Ostwald       
|                            
|Márcio F. Ostwald           
|Partner                     
|                            
|Rio de Janeiro, RJ - Brazil 
|March 19, 2013              



F-10



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##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Consolidated Statements of Financial Position, Classified

At December 31, 2013, December 31, 2012, and January 1, 2012

(In Thousands of Chilean pesos)



|                                                  |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|------------------------------------------------- | ---- | -- |  | ---------- | ------------- | -------- | -------------- |  | ------------- | ----------- |  |  | ------------- | 
|                                                  |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|ASSETS                                            |      |    |  | 31-12-2013 |               |          | 12/31/2012 (*) |  |               | 1/12012 (*) | 
|                                                  | Note |    |  |            |               | Restated |                |  | Restated      |            
|                                                  |      |    |  | ThCh$      |               |          | ThCh$          |  |               | ThCh$       | 
|CURRENT ASSETS                                    |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|Cash and cash
equivalents                         |      | 5  |  |            | 323,807,379   |          |                |  | 235,677,733   |             |  |  | 389,768,271   | 
|Other current financial assets                    |      | 6  |  |            | 24,136,478    |          |                |  | 25,119,785    |             |  |  | 914,209       | 
|Other current non-financial assets                |      |    |  |            | 37,265,346    |          |                |  | 17,342,247    |             |  |  | 14,307,830    | 
|Trade and other current receivables               |      | 7  |  |            | 247,762,922   |          |                |  | 217,682,591   |             |  |  | 278,790,141   | 
|Accounts receivable from related
companies        |      | 8  |  |            | 131,909,802   |          |                |  | 75,488,611    |             |  |  | 103,848,707   | 
|Inventories                                       |      | 9  |  |            | 46,155,045    |          |                |  | 59,362,620    |             |  |  | 49,276,026    | 
|Current tax
assets                                |      | 10 |  |            | 154,394,684   |          |                |  | 150,680,329   |             |  |  | 82,053,456    | 
|                                                  |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|TOTAL CURRENT ASSETS                              |      |    |  |            | 965,431,656   |          |                |  | 781,353,916   |             |  |  | 918,958,640   | 
|                                                  |      |    |  |           
|NON-CURRENT ASSETS                                |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|Other non-current financial assets                |      | 6  |  |            | 4,060,289     |          |                |  | 33,304,990    |             |  |  | 13,492,454    | 
|Other non-current non-financial assets            |      |    |  |            | 54,998        |          |                |  | 1,931,475     |             |  |  | 1,175,332     | 
|Non-current receivables                           |      | 7  |  |            | 131,597,410   |          |                |  | 146,964,151   |             |  |  | 151,608,768   | 
|Investments accounted for using the equity
method |      | 11 |  |            | 760,681,333   |          |                |  | 755,133,157   |             |  |  | 732,426,214   | 
|Intangible assets other than goodwill             |      | 12 |  |            | 56,048,545    |          |                |  | 55,752,625    |             |  |  | 45,528,291    | 
|Goodwill                                          |      | 13 |  |            | 100,096,198   |          |                |  | 101,747,086   |             |  |  | 106,385,017   | 
|Property, plant and equipment                     |      | 14 |  |            | 4,692,288,945 |          |                |  | 4,515,242,392 |             |  |  | 4,451,020,122 | 
|Deferred tax
assets                               |      | 15 |  |            | 51,865,462    |          |                |  | 61,801,271    |             |  |  | 86,152,590    | 
|                                                  |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|TOTAL NON-CURRENT ASSETS                          |      |    |  |            | 5.796.693.180 |          |                |  | 5,671,877,147 |             |  |  | 5,587,788,788 | 
|                                                  |      |    |  |            |               |          |                |  |               |             |  |  |               | 
|TOTAL
ASSETS                                      |      |    |  |            | 6,762,124,836 |          |                |  | 6,453,231,063 |             |  |  | 6,506,747,428 | 

(*) See Note 2.2 a)



F-11



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##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Consolidated Statements of Financial Position, Classified

At December 31, 2013, December 31, 2012, and January 1, 2012

(In Thousands of Chilean pesos)





|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|--------------------------------------------- | ---- | -- | ------------- | ---------- | ------------- | -------- | -------------- |  | ------------- | ----------- | ------------- |  | ------------- | 
|LIABILITIES AND EQUITY                        |      |    |               | 31-12-2013 |               |          | 12/31/2012 (*) |  |               | 1/12012 (*) |              
|                                              | Note |    |               |            |               | Restated |                |  | Restated      |            
|                                              |      |    | ThCh$         |            |               | ThCh$    |                |  | ThCh$         |            
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|CURRENT LIABILITIES                           |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|Other current financial liabilities           |      | 16 |               |            | 353.733.521   |          |                |  | 406.455.036   |             |               |  | 294.300.017   | 
|Trade and other current payables              |      | 19 |               |            | 414.751.007   |          |                |  | 320.459.388   |             |               |  | 341.751.089   | 
|Accounts payable to related companies         |      | 8  |               |            | 312.914.164   |          |                |  | 215.916.921   |             |               |  | 137.455.787   | 
|Other current provisions                      |      | 20 |               |            | 44.684.665    |          |                |  | 38.424.832    |             |               |  | 36.347.930    | 
|Current tax liabilities                       |      | 10 |               |            | 104.559.351   |          |                |  | 78.374.028    |             |               |  | 90.465.240    | 
|Other current non-financial liabilities       |      |    |               |            | 7.748.727     |          |                |  | 6.387.423     |             |               |  | 5.700.771     | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|TOTAL CURRENT LIABILITIES                     |      |    |               |            | 1.238.391.435 |          |                |  | 1.066.017.628 |             |               |  | 906.020.834   | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|                                              |      |    |               |           
|NON-CURRENT LIABILITIES                       |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|Other non-current financial liabilities       |      | 16 |               |            | 1.540.762.609 |          |                |  | 1.525.651.818 |             |               |  | 1.728.093.903 | 
|Other long-term provisions                    |      | 20 |               |            | 21.006.807    |          |                |  | 19.593.979    |             |               |  | 12.301.639    | 
|Deferred tax liabilities                      |      | 15 |               |            | 305.689.520   |          |                |  | 320.277.100   |             |               |  | 321.510.926   | 
|Non-current provisions for employee benefits  |      | 21 |               |            | 40.868.802    |          |                |  | 39.672.411    |             |               |  | 36.041.426    | 
|Other non-current non-financial liabilities   |      |    |               |            | 27.591.673    |          |                |  | 47.524.798    |             |               |  | 61.780.693    | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|NON-CURRENT LIABILITIES                       |      |    |               |            | 1.935.919.411 |          |                |  | 1.952.720.106 |             |               |  | 2.159.728.587 | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|TOTAL
LIABILITIES                             |      |    |               |            | 3.174.310.846 |          |                |  | 3.018.737.734 |             |               |  | 3.065.749.421 | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|                                              |      |    |               |           
|EQUITY                                        |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|Issued capital                                |      | 22 |               |            | 1.331.714.085 |          |                |  | 1.331.714.085 |             |               |  | 1.331.714.085 | 
|Retained earnings                             |      |    |               |            | 1.908.211.855 |          |                |  | 1.709.375.632 |             |               |  | 1.636.787.540 | 
|Share premium                                 |      | 22 |               |            | 206.008.557   |          |                |  | 206.008.557   |             |               |  | 206.008.557   | 
|Other reserves                                |      | 22 |               |            | (793.966.650) |          |                |  | (705.855.875) |             |               |  | (615.972.185) | 
|Equity attributable to shareholders of Endesa |      |    | 2.651.967.847 |            |               |          | 2.541.242.399  |  |               |             | 2.558.537.997 | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|Non-controlling interests                     |      |    |               |            | 935.846.143   |          |                |  | 893.250.930   |             |               |  | 882.460.010   | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|TOTAL EQUITY                                  |      |    |               |            | 3.587.813.990 |          |                |  | 3.434.493.329 |             |               |  | 3.440.998.007 | 
|                                              |      |    |               |            |               |          |                |  |               |             |               |  |               | 
|TOTAL LIABILITIES AND EQUITY                  |      |    |               |            | 6.762.124.836 |          |                |  | 6.453.231.063 |             |               |  | 6.506.747.428 | 

(*) See Note 2.2 a)



F-12



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##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Consolidated Statements of Comprehensive Income, by type

for the years ended December 31, 2013, 2012, and 2011

(In
Thousands of Chilean pesos)





|                                                                    |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|------------------------------------------------------------------- |  | ----------- | ----- |  |  | -------- | ------------- |  | -------- |  | --------------- | -------- |  |  | --------------- | 
|STATEMENTS OF COMPREHENSIVE INCOME
Profit (Loss)                    |  | Note        |       |  |  | 2013     |               |  | 2012 (*) |  |                 | 2011 (*) | 
|                                                                    |  |             |       |  |  | Restated |               |  | Restated | 
|                                                                    |  |             | ThCh$ |  |  | ThCh$    |               |  | ThCh$    | 
|Sales                                                               |  | 23          |       |  |  |          | 1,965,903,869 |  |          |  | 2,255,145,360   |          |  |  | 2,267,839,378   | 
|Other operating income                                              |  | 23          |       |  |  |          | 61,528,111    |  |          |  | 65,239,964      |          |  |  | 16,425,409      | 
|Revenues                                                            |  |             |       |  |  |          | 2,027,431,980 |  |          |  | 2,320,385,324   |          |  |  | 2,284,264,787   | 
|                                                                    |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Raw materials and
consumables used                                  |  | 24          |       |  |  |          | (830,873,572) |  |          |  | (1,318,479,928) |          |  |  | (1,139,133,019) | 
|Contribution Margin                                                 |  |             |       |  |  |          | 1,196,558,408 |  |          |  | 1,001,905,396   |          |  |  | 1,145,131,768   | 
|                                                                    |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Other work performed by the entity and capitalized                  |  |             |       |  |  |          | 18,981,922    |  |          |  | 12,763,186      |          |  |  | 10,597,856      | 
|Employee benefits expenses                                          |  | 25          |       |  |  |          | (123,449,758) |  |          |  | (102,456,232)   |          |  |  | (75,915,220)    | 
|Depreciation and amortization expense                               |  | 26          |       |  |  |          | (189,695,339) |  |          |  | (184,567,997)   |          |  |  | (170,505,351)   | 
|Impairment loss recognized in the periods profit or loss           |  | 26          |       |  |  |          | (6,458,953)   |  |          |  | (11,117,362)    |          |  |  | (9,472,766)     | 
|Other expenses                                                      |  | 27          |       |  |  |          | (113,097,401) |  |          |  | (104,111,190)   |          |  |  | (133,146,638)   | 
|Operating Income                                                    |  |             |       |  |  |          | 782,838,879   |  |          |  | 612,415,801     |          |  |  | 766,689,649     | 
|                                                                    |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Other gains                                                         |  | 28          |       |  |  |          | 3,357,139     |  |          |  | 1,422,458       |          |  |  | 2,010,780       | 
|Financial income                                                    |  | 29          |       |  |  |          | 18,292,343    |  |          |  | 14,629,962      |          |  |  | 28,264,192      | 
|Financial costs                                                     |  | 29          |       |  |  |          | (142,666,776) |  |          |  | (148,468,667)   |          |  |  | (135,257,667)   | 
|Share of profit of associates accounted for using the equity method |  | 11          |       |  |  |          | 119,347,183   |  |          |  | 135,012,994     |          |  |  | 138,855,650     | 
|Foreign currency exchange differences                               |  | 29          |       |  |  |          | (13,756,657)  |  |          |  | (12,090,438)    |          |  |  | (6,649,911)     | 
|Profit (loss) from indexed assets and liabilities                   |  | 29          |       |  |  |          | 1,001,573     |  |          |  | (1,066,291)     |          |  |  | (5,447,396)     | 
|                                                                    |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Income before tax                                                   |  |             |       |  |  |          | 768,413,684   |  |          |  | 601,855,819     |          |  |  | 788,465,297     | 
|Income tax                                                          |  | 30          |       |  |  |          | (204,907,447) |  |          |  | (182,832,956)   |          |  |  | (207,329,896)   | 
|Net income from continuing operations                               |  |             |       |  |  |          | 563,506,237   |  |          |  | 419,022,863     |          |  |  | 581,135,401     | 
|Net income from discontinued operations                             |  |             |       |  |  |          | -             |  |          |  | -               |          |  |  | -               | 
|NET INCOME                                                          |  |             |       |  |  |          | 563,506,237   |  |          |  | 419,022,863     |          |  |  | 581,135,401     | 
|                                                                    |  |             |       |  | 
|Net income attributable to                                          |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Shareholders of Endesa                                              |  |             |       |  |  |          | 353,926,779   |  |          |  | 234,335,264     |          |  |  | 446,874,043     | 
|Non-controlling interests                                           |  | 22.6        |       |  |  |          | 209,579,458   |  |          |  | 184,687,599     |          |  |  | 134,261,358     | 
|NET INCOME                                                          |  |             |       |  |  |          | 563,506,237   |  |          |  | 419,022,863     |          |  |  | 581,135,401     | 
|                                                                    |  |             |       |  | 
|Basic earnings per share                                            |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Basic earnings per share from continuing operations                 |  | Ch$ / share |       |  |  |          | 43.15         |  |          |  | 28.57           |          |  |  | 54.49           | 
|Basic earnings per share                                            |  | Ch$ / share |       |  |  |          | 43.15         |  |          |  | 28.57           |          |  |  | 54.49           | 
|                                                                    |  |             |       |  | 
|Diluted earnings per share                                          |  |             |       |  |  |          |               |  |          |  |                 |          |  |  |                 | 
|Diluted earnings per share from continuing operations               |  | Ch$ / share |       |  |  |          | 43.15         |  |          |  | 28.57           |          |  |  | 54.49           | 
|Diluted earnings per share                                          |  | Ch$ / share |       |  |  |          | 43.15         |  |          |  | 28.57           |          |  |  | 54.49           | 

(*) See Note 2.2 a)



F-13



---

##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Consolidated Statements of Comprehensive Income, by type

for the
years ended December 31, 2013, 2012, and 2011

(In Thousands of Chilean pesos)





|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|--------------------------------------------------------------------------------------------------------------------------- |  | ---- | ------------ | ------------- | ------------ |  | ------------------------- |  | ------------- | ------------------------- | ----------- |  | ------------ | 
|STATEMENTS OF COMPREHENSIVE INCOME                                                                                          |  | Note |              | 2013 
 
ThCh$ |              |  | 2012 (*) 
Restated 
ThCh$ |  |               | 2011 (*) 
Restated 
ThCh$ |            
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Net Income                                                                                                                  |  |      |              |               | 563,506,237  |  |                           |  | 419,022,863   |                           |             |  | 581,135,401  | 
|Components of other comprehensive income that will
not be reclassified subsequently to profit or loss, before taxes         |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Actuarial gains (losses) on defined benefit plans                                                                           |  | 21   |              |               | (3,618,423)  |  |                           |  | (4,355,056)   |                           |             |  | (3,275,638)  | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Other comprehensive income that will not be reclassified subsequently to profit or loss                                     |  |      | (3,618,423)  |               |              |  | (4,355,056)               |  |               |                           | (3,275,638) | 
|Components of other comprehensive income that will
be reclassified subsequently to profit or loss, before taxes             |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Foreign currency translation gains (losses)                                                                                 |  |      |              |               | (18,023,501) |  |                           |  | (126,559,182) |                           |             |  | 148,560,224  | 
|Gains (losses) of available-for-sale financial assets                                                                       |  |      |              |               | 109          |  |                           |  | 581           |                           |             |  | (55,554)     | 
|Gains (losses) from cash flow hedge                                                                                         |  |      |              |               | (70,970,740) |  |                           |  | 63,458,260    |                           |             |  | (73,226,736) | 
|Adjustments from reclassification of cash flow hedges, transferred to profit or loss                                        |  |      |              |               | (9,985,207)  |  |                           |  | (11,553,610)  |                           |             |  | (9,763,590)  | 
|Share of other comprehensive income from associates and joint ventures accounted for using the equity method                |  |      |              |               | 10,923,982   |  |                           |  | 158,675       |                           |             |  | (22,722,630) | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Other comprehensive income that will be reclassified subsequently to profit or loss                                         |  |      | (88,055,357) |               |              |  | (74,495,276)              |  |               |                           | 42,791,714  | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Other components of other comprehensive income, before taxes                                                                |  |      | (91,673,780) |               |              |  | (78,850,332)              |  |               |                           | 39,516,076  | 
|Income tax related to components of other
comprehensive income that will not be reclassified subsequently to profit or loss |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Income tax related to defined benefit plans                                                                                 |  |      |              |               | 990,340      |  |                           |  | 801,138       |                           |             |  | 537,200      | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Income tax related to components of other comprehensive income that will not be reclassified
subsequently to profit or loss |  |      |              |               | 990,340      |  |                           |  | 801,138       |                           |             |  | 537,200      | 
|Income tax related to components of other
comprehensive income that will be reclassified subsequently to profit or loss     |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Income tax related to cash flow hedge                                                                                       |  |      |              |               | 14,235,483   |  |                           |  | (19,893,304)  |                           |             |  | 17,363,818   | 
|Income tax related to available-for-sale financial assets                                                                   |  |      |              |               | (22)         |  |                           |  | (235)         |                           |             |  | 9,444        | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Income tax related to components of other comprehensive income that will be
reclassified subsequently to profit or loss     |  |      | 14,235,461   |               |              |  | (19,893,539)              |  |               |                           | 17,373,262  | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Total Other Comprehensive Income                                                                                            |  |      |              |               | (76,447,979) |  |                           |  | (97,942,733)  |                           |             |  | 57,426,538   | 
|                                                                                                                            |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|TOTAL COMPREHENSIVE INCOME                                                                                                  |  |      |              |               | 487,058,258  |  |                           |  | 321,080,130   |                           |             |  | 638,561,939  | 
|Comprehensive income attributable to                                                                                        |  |      |              |               |              |  |                           |  |               |                           |             |  |              | 
|Shareholders of Endesa                                                                                                      |  |      |              |               | 279,020,022  |  |                           |  | 143,125,464   |                           |             |  | 425,287,567  | 
|Non-controlling interests                                                                                                   |  |      |              |               | 208,038,236  |  |                           |  | 177,954,666   |                           |             |  | 213,274,372  | 
|TOTAL COMPREHENSIVE INCOME                                                                                                  |  |      |              |               | 487,058,258  |  |                           |  | 321,080,130   |                           |             |  | 638,561,939  | 

(*) See Note 2.2 a)



F-14



---

##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Statements of Changes in Equity

For the years ended
December 31, 2013, December 31, 2012, and December 31, 2011

(In Thousands of Chilean pesos)





|                                                        |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|------------------------------------------------------- | -------------- |  | ------------- | ------------- |  |  | ----------------------------------------------- | ------------------------- |  | ---------------------------- | ------------- |  | ------------------------------------------------------- |  | ------------ | --------------------------------------------------------------------------------- |  |  | ---------------------------- |  |  | -------------- | -------- |  | ----------------- |  | ------------- | --------------------------------------------- |  |  | -------------------------- |  |  | ------------ | ------------- |  |  |  | ------------- |  |  |  | ------------- |  |  |  | ------------- | 
|Statements of Changes in Equity                         |                |  |               |               |  |  |                                                 | Changes in Other Reserves |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  | 
|                                                        | Issued Capital |  |               | Share Premium |  |  | Reserve for Exchange Differences in Translation |                           |  | Reserve for
Cash Flow Hedges |               |  | Reserves for Gainsand Losses for Defined
Benefit Plans  |  |              | Reserves for Gains
and Losses on Remeasuring Available- for-Sale Financial Assets |  |  | Other Miscellaneous Reserves |  |  | Other
reserves |          |  | Retained
earnings |  |               | Equity
Attributable to
Shareholders of
Endesa |  |  | Non-
Controlling Interests |  |  | Total Equity |              
|Equity at beginning of period
1/1/2013                  |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | (25,411,914)  |  |                                                         |  | 47,991,711   |                                                                                   |  |  | -                            |  |  |                | 3,629    |  |                   |  | (728,439,301) |                                               |  |  | (705,855,875)              |  |  |              | 1,709,375,632 |  |  |  | 2,541,242,399 |  |  |  | 893,250,930   |  |  |  | 3,434,493,329 | 
|Changes in equity                                       |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Net income                                              |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              | 353,926,779   |  |  |  | 353,926,779   |  |  |  | 209.579.458   |  |  |  | 563.506.237   | 
|Other comprehensive income                              |                |  |               |               |  |  |                                                 |                           |  |                              | (20,197,677)  |  |                                                         |  | (63,587,701) |                                                                                   |  |  | (2,045,448)                  |  |  |                | 87       |  |                   |  | 10,923,982    |                                               |  |  | (74,906,757)               |  |  |              |               |  |  |  | (74,906,757)  |  |  |  | (1.541.222)   |  |  |  | (76.447.979)  | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  | 279,020,022   |  |  |  | 208.038.236   |  |  |  | 487.058.258   | 
|Dividends                                               |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              | (153,045,108) |  |  |  | (153,045,108) |  |  |  |               |  |  |  | (153.045.108) | 
|Increase (decrease) through transfers and
other changes |                |  | -             |               |  |  | -                                               |                           |  |                              | -             |  |                                                         |  | -            |                                                                                   |  |  | 2,045,448                    |  |  |                | -        |  |                   |  | (15,249,466)  |                                               |  |  | (13,204,018)               |  |  |              | (2,045,448)   |  |  |  | (15,249,466)  |  |  |  | (165,443,023) |  |  |  | (180.692.489) | 
|Total changes in equity                                 |                |  | -             |               |  |  | -                                               |                           |  |                              | (20,197,677)  |  |                                                         |  | (63,587,701) |                                                                                   |  |  | -                            |  |  |                | 87       |  |                   |  | (4,325,484)   |                                               |  |  | (88,110,775)               |  |  |              | 198,836,223   |  |  |  | 110,725,448   |  |  |  | 42,595,213    |  |  |  | 153.320.661   | 
|Equity at end of period
12/31/2013                      |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | (45,609,591)  |  |                                                         |  | (15,595,990) |                                                                                   |  |  | -                            |  |  |                | 3,716    |  |                   |  | (732,764,785) |                                               |  |  | (793,966,650)              |  |  |              | 1,908,211,855 |  |  |  | 2,651,967,847 |  |  |  | 935,846,143   |  |  |  | 3,587,813,990 | 
|                                                        |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Statements of Changes in Equity                         |                |  |               |               |  |  |                                                 | Changes in Other Reserves |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          | 
|                                                        | Issued Capital |  |               | Share Premium |  |  | Reserve for Exchange Differences in Translation |                           |  | Reserve for Cash Flow Hedge  |               |  | Reservesfor Gains and Lossesfor Defined Benefit
Plans   |  |              | Reserves for Gains and Losses
on Remeasuring Available- for-Sale Financial Assets |  |  | Other Miscellaneous Reserves |  |  | Other Reserves |          |  | Retaomed Earmomgs |  |               | Equity Attributable
to Shareholders of Endesa |  |  | Non/controlling Interests  |  |  | Total Equity |              
|Equity at beginning of period
1/1/2012                  |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | 93,661,622    |  |                                                         |  | 17,610,043   |                                                                                   |  |  | -                            |  |  |                | 3,283    |  |                   |  | (727,247,133) |                                               |  |  | (615,972,185)              |  |  |              | 1,636,787,540 |  |  |  | 2,558,537,997 |  |  |  | 882,460,010   |  |  |  | 3,440,998,007 | 
|Changes in equity                                       |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Net income                                              |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              | 234,335,264   |  |  |  | 234,335,264   |  |  |  | 184.687.599   |  |  |  | 419.022.863   | 
|Other comprehensive income                              |                |  |               |               |  |  |                                                 |                           |  |                              | (119,073,536) |  |                                                         |  | 30,381,668   |                                                                                   |  |  | (2,071,797)                  |  |  |                | 346      |  |                   |  | (446,481)     |                                               |  |  | (91,209,800)               |  |  |              |               |  |  |  | (91,209,800)  |  |  |  | (6.732.933)   |  |  |  | (97.942.733)  | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  | 143,125,464   |  |  |  | 177.954.666   |  |  |  | 321.080.130   | 
|Dividends                                               |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              | (159,675,375) |  |  |  | (159,675,375) |  |  |  |               |  |  |  | (159.675.375) | 
|Increase (decrease) through transfers and
other changes |                |  | -             |               |  |  | -                                               |                           |  |                              | -             |  |                                                         |  | -            |                                                                                   |  |  | 2,071,797                    |  |  |                | -        |  |                   |  | (745,687)     |                                               |  |  | 1,326,110                  |  |  |              | (2,071,797)   |  |  |  | (745,687)     |  |  |  | (167,163,746) |  |  |  | (167.909.433) | 
|Total changes in equity                                 |                |  | -             |               |  |  | -                                               |                           |  |                              | (119,073,536) |  |                                                         |  | 30,381,668   |                                                                                   |  |  | -                            |  |  |                | 346      |  |                   |  | (1,192,168)   |                                               |  |  | (89,883,690)               |  |  |              | 72,588,092    |  |  |  | (17,295,598)  |  |  |  | 10,790,920    |  |  |  | (6.504.678)   | 
|Equity at end of period 12/31/2012 (*)
Restated         |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | (25,411,914)  |  |                                                         |  | 47,991,711   |                                                                                   |  |  | -                            |  |  |                | 3,629    |  |                   |  | (728,439,301) |                                               |  |  | (705,855,875)              |  |  |              | 1,709,375,632 |  |  |  | 2,541,242,399 |  |  |  | 893,250,930   |  |  |  | 3,434,493,329 | 
|                                                        |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Statements of Changes in Equity                         |                |  |               |               |  |  |                                                 | Changes in Other Reserves |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          | 
|                                                        | Issued capital |  |               | Share Premium |  |  | Reserve for Exchange Differences in Translation |                           |  | Reserve for Cash Flow Hedge  |               |  | Reserves for Gains and Losses for Defined Benefit
Plans |  |              | Reserves for Gains and Losses
on Remeasuring Available- for-Sale Financial Assets |  |  | Other Miscellaneous Reserves |  |  | Other Reserves |          |  | Retaomed Earmomgs |  |               | Equity Attributable
to Shareholders of Endesa |  |  | Non/controlling Interests  |  |  | Total Equity |              
|Equity at beginning of period
1/1/2011                  |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | 19,847,960    |  |                                                         |  | 104,200,016  |                                                                                   |  |  | -                            |  |  |                | 49,393   |  |                   |  | (727,647,609) |                                               |  |  | (603,550,240)              |  |  |              | 1,442,314,476 |  |  |  | 2,376,486,878 |  |  |  | 728,340,314   |  |  |  | 3,104,827,192 | 
|Changes in equity                                       |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Net income                                              |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  |                            |  |  |              | 446,874,043   |  |  |  | 446,874,043   |  |  |  | 134.261.358   |  |  |  | 581.135.401   | 
|Other comprehensive income                              |                |  |               |               |  |  |                                                 |                           |  |                              | 73,813,662    |  |                                                         |  | (86,589,973) |                                                                                   |  |  | (8,764,055)                  |  |  |                | (46,110) |  |                   |  | -             |                                               |  |  | (21,586,476)               |  |  |              |               |  |  |  | (21,586,476)  |  |  |  | 79.013.014    |  |  |  | 57.426.538    | 
|Comprehensive income                                    |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  | -                          |  |  |              |               |  |  |  | 425,287,567   |  |  |  | 213.274.372   |  |  |  | 638.561.939   | 
|Dividends                                               |                |  |               |               |  |  |                                                 |                           |  |                              |               |  |                                                         |  |              |                                                                                   |  |  |                              |  |  |                |          |  |                   |  |               |                                               |  |  | -                          |  |  |              | (240,773,372) |  |  |  | (240,773,372) |  |  |  |               |  |  |  | (240.773.372) | 
|Increase (decrease) through transfers and
other changes |                |  | -             |               |  |  | -                                               |                           |  |                              | -             |  |                                                         |  | -            |                                                                                   |  |  | 8,764,055                    |  |  |                | -        |  |                   |  | 400,476       |                                               |  |  | 9,164,531                  |  |  |              | (11,627,607)  |  |  |  | (2,463,076)   |  |  |  | (59,154,676)  |  |  |  | (61.617.752)  | 
|Total changes in equity                                 |                |  | -             |               |  |  | -                                               |                           |  |                              | 73,813,662    |  |                                                         |  | (86,589,973) |                                                                                   |  |  | -                            |  |  |                | (46,110) |  |                   |  | 400,476       |                                               |  |  | (12,421,945)               |  |  |              | 194,473,064   |  |  |  | 182,051,119   |  |  |  | 154,119,696   |  |  |  | 336.170.815   | 
|Equity at end of period 12/31/2011 (*)
Restated         |                |  | 1,331,714,085 |               |  |  | 206,008,557                                     |                           |  |                              | 93,661,622    |  |                                                         |  | 17,610,043   |                                                                                   |  |  | -                            |  |  |                | 3,283    |  |                   |  | (727,247,133) |                                               |  |  | (615,972,185)              |  |  |              | 1,636,787,540 |  |  |  | 2,558,537,997 |  |  |  | 882,460,010   |  |  |  | 3,440,998,007 | 



F-15



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##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

Consolidated Statement of Direct Cash Flows

For the years ended December 31, 2013, 2012, and 2011

(In
Thousands of Chilean pesos)





|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|---------------------------------------------------------------------------------------------- |  | ---- |  | ----- | --------------- | -------- |  |  |  |  | --------------- |  |  |  |  | ---------------
|                                                                                               |  |      |  | 2013  |                 | 2012 (*) |  |  |  |  | 2011 (*)       
|Statements of Direct Cash Flow                                                                 |  | Note |  |       |                 | Restated |  |  |  |  | Restated       
|                                                                                               |  |      |  | ThCh$ |                 | ThCh$    |  |  |  |  | ThCh$          
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Cash flow from (used in) operating activities                                                  |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Types of collections from operating activities                                                 |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Collections from the sale of goods and services                                                |  |      |  |       | 2,301,874,412   |          |  |  |  |  | 2,499,606,379   |  |  |  |  | 2,368,738,929  
|Collections from premiums and services, annual payments, and other
benefits from policies held |  |      |  |       | 74,183,266      |          |  |  |  |  | 5,903,050       |  |  |  |  | 16,628,221     
|Other collections from operating activities                                                    |  |      |  |       | 33,887,194      |          |  |  |  |  | 54,355,078      |  |  |  |  | 2,378,295      
|Types of payments                                                                              |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Payments to suppliers for goods and services                                                   |  |      |  |       | (1,265,530,791) |          |  |  |  |  | (1,523,776,643) |  |  |  |  | (1,321,067,912)
|Payments to and on behalf of employees                                                         |  |      |  |       | (117,293,888)   |          |  |  |  |  | (101,337,905)   |  |  |  |  | (67,270,485)   
|Payments on premiums and services, annual payments, and other
obligations from policies held   |  |      |  |       | (5,574,523)     |          |  |  |  |  | (6,428,460)     |  |  |  |  | (5,064,371)    
|Other payments for operating activities                                                        |  |      |  |       | (33,439,518)    |          |  |  |  |  | (39,729,787)    |  |  |  |  | (25,946,895)   
|Income taxes paid                                                                              |  |      |  |       | (166,026,029)   |          |  |  |  |  | (213,016,120)   |  |  |  |  | (231,950,211)  
|Other outflows of cash                                                                         |  |      |  |       | (114,311,073)   |          |  |  |  |  | (137,591,721)   |  |  |  |  | (71,911,854)   
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Net cash flows from operating activities                                                       |  |      |  |       | 707,769,050     |          |  |  |  |  | 537,983,871     |  |  |  |  | 664,533,717    
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Cash flows from (used in) investment activities                                                |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Cash flows used to obtain control of subsidiaries or other
business                            |  |      |  |       | (5,084,700)     |          |  |  |  |  | (7,140,000)     |  |  |  |  | (4,058,192)    
|Other collections from the sale of equity or debt instruments
belonging to other entities      |  |      |  |       | 24,340,564      |          |  |  |  |  | -               |  |  |  |  | -              
|Other payments to acquire equity or debt instruments from other
entities                       |  |      |  |       | -               |          |  |  |  |  | (25,017,177)    |  |  |  |  | -              
|Loans to related companies                                                                     |  |      |  |       | (29,112,042)    |          |  |  |  |  | (2,000)         |  |  |  |  | (36,828,162)   
|Proceeds from the sale of property, plant, and equipment                                       |  |      |  |       | 5,462,527       |          |  |  |  |  | 755,445         |  |  |  |  | 4,808,823      
|Purchases of property, plant, and equipment                                                    |  |      |  |       | (292,016,898)   |          |  |  |  |  | (257,474,634)   |  |  |  |  | (259,673,138)  
|Purchases of intangible assets                                                                 |  |      |  |       | -               |          |  |  |  |  | (8,535)         |  |  |  |  | (3,935,477)    
|Payments from future, forward, option, and swap contracts                                      |  |      |  |       | (753,082)       |          |  |  |  |  | (2,691,688)     |  |  |  |  | (3,474,792)    
|Collections from future, forward, option, and swap
contracts                                   |  |      |  |       | 14,308,008      |          |  |  |  |  | 2,013,452       |  |  |  |  | 4,108,554      
|Collections from related entities                                                              |  |      |  |       | 29,162,747      |          |  |  |  |  | 2,600,730       |  |  |  |  | -              
|Dividends received                                                                             |  |      |  |       | 51,167,601      |          |  |  |  |  | 10,898,590      |  |  |  |  | 100,121,048    
|Interest received                                                                              |  |      |  |       | 17,176,674      |          |  |  |  |  | 7,053,828       |  |  |  |  | 6,138,870      
|Other inflows (outflows) of
cash                                                               |  |      |  |       | (397,620)       |          |  |  |  |  | 10,693,352      |  |  |  |  | 41,114         
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Net cash flows used in investment activities                                                   |  |      |  |       | (185,746,221)   |          |  |  |  |  | (258,318,637)   |  |  |  |  | (192,751,352)  
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Cash flows from (used in) financing activities                                                 |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Proceeds from share issuance                                                                   |  |      |  |       | 11,468,280      |          |  |  |  |  | -               |  |  |  |  | -              
|Total proceeds from loans                                                                      |  |      |  |       | 173,402,389     |          |  |  |  |  | 233,456,449     |  |  |  |  | 219,433,669    
|Proceeds from long-term loans                                                                  |  |      |  |       | 164,871,359     |          |  |  |  |  | 229,377,002     |  |  |  |  | 219,433,669    
|Proceeds from short-term loans                                                                 |  |      |  |       | 8,531,030       |          |  |  |  |  | 4,079,447       |  |  |  |  | -              
|Loans from related companies                                                                   |  |      |  |       | 692,658,296     |          |  |  |  |  | 210,996,548     |  |  |  |  | 53,289,193     
|Payments on borrowings                                                                         |  |      |  |       | (253,224,175)   |          |  |  |  |  | (253,055,606)   |  |  |  |  | (139,777,444)  
|Payments on financial lease liabilities                                                        |  |      |  |       | (5,071,087)     |          |  |  |  |  | (7,522,468)     |  |  |  |  | (8,811,381)    
|Payments on loans to related companies                                                         |  |      |  |       | (608,822,618)   |          |  |  |  |  | (100,716,674)   |  |  |  |  | (34,110,125)   
|Dividends paid                                                                                 |  |      |  |       | (293,937,897)   |          |  |  |  |  | (380,332,864)   |  |  |  |  | (368,222,978)  
|Interest paid                                                                                  |  |      |  |       | (136,456,892)   |          |  |  |  |  | (124,326,459)   |  |  |  |  | (107,274,772)  
|Other outflows of cash                                                                         |  |      |  |       | (9,603,719)     |          |  |  |  |  | (12,497,098)    |  |  |  |  | (14,786,723)   
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Net cash flows used in financing activities                                                    |  |      |  |       | (429,587,423)   |          |  |  |  |  | (433,998,172)   |  |  |  |  | (400,260,561)  
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Net increase (decrease) in cash and cash equivalents before effect of exchange rate changes    |  |      |  |       | 92,435,406      |          |  |  |  |  | (154,332,938)   |  |  |  |  | 71,521,804     
|                                                                                               |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Effect of exchange rate changes on cash and cash equivalents                                   |  |      |  |       |                 |          |  |  |  |  |                 |  |  |  |  |                
|Effect of exchange rate changes on cash and cash
equivalents                                   |  |      |  |       | (4,305,760)     |          |  |  |  |  | 242,400         |  |  |  |  | 14,486,741     
|Net increase (decrease) in cash and cash
equivalents                                           |  |      |  |       | 88,129,646      |          |  |  |  |  | (154,090,538)   |  |  |  |  | 86,008,545     
|Cash and cash equivalents at beginning of period                                               |  | 5    |  |       | 235,677,733     |          |  |  |  |  | 389,768,271     |  |  |  |  | 303,759,726    
|Cash and
cash equivalents at end of period                                                     |  | 5    |  |       | 323,807,379     |          |  |  |  |  | 235,677,733     |  |  |  |  | 389,768,271    

(*) See Note 2.2 a)



F-16



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##### Table of Contents

ENDESA CHILE AND SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS



|                                                                              |  |     
|----------------------------------------------------------------------------- |  | ----
|Contents                                                                      |  | Page
|                                                                              | 
|1.      
THE GROUPS ACTIVITIES AND FINANCIAL STATEMENTS                      |  | F-21
|                                                                              | 
|2.      
BASIS OF PRESENTATION OF THE CONSOLIDATED FINANCIAL STATEMENTS       |  | F-22
|2.1.    Accounting principles                                                 |  | F-22
|2.2.    New accounting pronouncements                                         |  | F-22
|2.3.    Responsibility for the information given and estimates made           |  | F-26
|2.4.    Subsidiaries                                                          |  | F-27
|2.4.1.  
Changes in the scope of consolidation                                |  | F-27
|2.4.2.  
Consolidated companies with an ownership interest of less than 50%   |  | F-27
|2.4.3.  
Unconsolidated companies with an ownership interest of more than 50% |  | F-27
|2.5.    Associated companies and joint arrangements                           |  | F-27
|2.6.    Basis of consolidation and business combinations                      |  | F-28
|                                                                              | 
|3.      
ACCOUNTING CRITERIA APPLIED                                          |  | F-30
|a)      Property, plant, and equipment                                        |  | F-30
|b)      Goodwill                                                              |  | F-32
|c)      Intangible assets other than goodwill                                 |  | F-32
|c.1)    Concessions                                                           |  | F-32
|c.2)    
Research and development expenses                                    |  | F-33
|c.3)    Other intangible assets                                               |  | F-33
|d)      Asset impairment                                                      |  | F-34
|d.1)    
Non-financial assets (except inventory and deferred tax assets)      |  | F-34
|d.2)    Financial assets                                                      |  | F-35
|e)      Leases                                                                |  | F-35
|f)      Financial instruments                                                 |  | F-35
|f.1)    
Financial assets other than derivatives                              |  | F-36
|f.2)    Cash and cash equivalents                                             |  | F-36
|f.3)    
Financial liabilities other than derivatives                         |  | F-36
|f.4)    
Derivative financial instruments and hedge accounting                |  | F-37
|f.5)    
Fair value measurement and classification of financial instruments   |  | F-38
|f.6)    
Derecognition of financial assets and liabilities                    |  | F-38
|g)      Investments accounted for using the equity method                     |  | F-39
|h)      Inventories                                                           |  | F-39
|i)       Treasury shares                                                      |  | F-39
|j)       Provisions                                                           |  | F-39
|j.1)   Provisions for post-employment benefits and similar obligations        |  | F-39
|k)      Conversion of balances in foreign currency                            |  | F-40
|l)       Current / non-current classification                                 |  | F-40
|m)     Income tax                                                             |  | F-40
|n)      Revenue and expense recognition                                       |  | F-41
|o)      Earnings per share                                                    |  | F-41
|p)      Dividends                                                             |  | F-42
|q)      Cash flow statement                                                   |  | F-42
|                                                                              | 
|4.      
SECTOR REGULATIONS AND ELECTRICITY SYSTEM OPERATIONS                 |  | F-43
|a)    Chile                                                                   |  | F-43
|b)    The rest of Latin America                                               |  | F-44
|                                                                              | 
|5.      CASH AND CASH EQUIVALENTS                                             |  | F-48



F-17



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##### Table of Contents

|                                                                              |  |     
|----------------------------------------------------------------------------- |  | ----
|6.      OTHER FINANCIAL ASSETS                                                |  | F-48
|                                                                              | 
|7.      
TRADE AND OTHER RECEIVABLES                                          |  | F-49
|                                                                              | 
|8.      
BALANCES AND TRANSACTIONS WITH RELATED PARTIES                       |  | F-51
|8.1    Balances and transactions with related companies                       |  | F-51
|8.2    Board of Directors and key management personnel                        |  | F-54
|8.3    Compensation for Endesa Chile executives                               |  | F-56
|8.4    Compensation plans linked to share price                               |  | F-56
|                                                                              | 
|9.      INVENTORIES                                                           |  | F-57
|                                                                              | 
|10.    CURRENT TAX RECEIVABLES AND PAYABLES                                   |  | F-57
|                                                                              | 
|11.    
INVESTMENTS ACCOUNTED FOR WITH THE EQUITY METHOD                      |  | F-58
|11.1. Investments accounted for with the equity method                        |  | F-58
|11.2. Additional financial information on investments in associated companies |  | F-59
|11.3. Additional information on investments in joint ventures                 |  | F-60
|                                                                              | 
|12.    
INTANGIBLE ASSETS OTHER THAN GOODWILL                                 |  | F-61
|                                                                              | 
|13.    GOODWILL                                                               |  | F-63
|                                                                              | 
|14.    PROPERTY, PLANT, AND EQUIPMENT                                         |  | F-64
|a)   Property, plant, and equipment                                           |  | F-64
|b)   The detail of, and changes, in property, plant, and equipment            |  | F-64
|c)   Main investments                                                         |  | F-65
|d)   Finance leases                                                           |  | F-65
|e)   Operating leases                                                         |  | F-65
|f)    Other information                                                       |  | F-66
|                                                                              | 
|15.    DEFERRED TAX                                                           |  | F-67
|                                                                              | 
|16.    OTHER FINANCIAL LIABILITIES                                            |  | F-69
|1.    Detail of short- and long-term interest-bearing borrowings              |  | F-69
|2.    Bank loans by currency and contractual maturity                         |  | F-69
|3.    Detail of Unsecured Liabilities by currency and maturity                |  | F-72
|4.    Detail of Secured Liabilities by currency and maturity                  |  | F-72
|5.    Hedged debt                                                             |  | F-75
|6.    Other information                                                       |  | F-75
|                                                                              | 
|17.    RISK MANAGEMENT POLICY                                                 |  | F-76
|17.1. Interest rate risk                                                      |  | F-76
|17.2. Exchange rate risk                                                      |  | F-77
|17.3. Commodities risk                                                        |  | F-77
|17.4. Liquidity risk                                                          |  | F-77
|17.5. Credit risk                                                             |  | F-78
|17.6. Risk measurement                                                        |  | F-78



F-18



---

##### Table of Contents

|                                                                                                   |  |      
|-------------------------------------------------------------------------------------------------- |  | -----
|                                                                                                   | 
|18.    FINANCIAL INSTRUMENTS                                                                       |  | F-80 
|18.1. Financial instruments, classified by type and category                                       |  | F-80 
|a)   Detail of financial assets                                                                    |  | F-80 
|b)   Detail of financial liabilities                                                               |  | F-81 
|18.2. Derivative instruments                                                                       |  | F-82 
|a) Assets and liabilities for hedge derivative instruments                                         |  | F-82 
|b) Financial derivative instrument assets and liabilities at fair value with changes in net income |  | F-82 
|c) Other information on derivatives                                                                |  | F-83 
|18.3. Fair value hierarchies                                                                       |  | F-84 
|a)   Hierarchies of financial instruments                                                          |  | F-84 
|b)   
Reconciliation between opening and closing balances for financial instruments at Level 3     |  | F-85 
|                                                                                                   | 
|19.    TRADE AND OTHER PAYABLES                                                                    |  | F-85 
|                                                                                                   | 
|20.    OTHER PROVISIONS                                                                            |  | F-86 
|20.1 Provisions                                                                                    |  | F-86 
|a)  Detail of provisions                                                                           |  | F-86 
|b)  Changes in provisions during the 2013 and 2012 fiscal years                                    |  | F-86 
|                                                                                                   | 
|21.    EMPLOYMENT BENEFIT OBLIGATIONS                                                              |  | F-87 
|21.1.  General information                                                                         |  | F-87 
|21.2.  Details, changes, and presentation in financial instruments                                 |  | F-88 
|21.3.  Other disclosures                                                                           |  | F-89 
|                                                                                                   | 
|22.    TOTAL EQUITY                                                                                |  | F-90 
|22.1. Equity attributable to the shareholders of Endesa Chile                                      |  | F-90 
|22.1.1. Subscribed and paid capital and number of shares                                           |  | F-90 
|22.1.2. Dividends                                                                                  |  | F-90 
|22.2. Foreign currency translation reserves                                                        |  | F-91 
|22.3. Capital management                                                                           |  | F-91 
|22.4. Restrictions on subsidiaries transferring funds to the parent                               |  | F-91 
|22.5. Other reserves                                                                               |  | F-92 
|22.6. Non-controlling interests                                                                    |  | F-93 
|                                                                                                   | 
|23.    REVENUES                                                                                    |  | F-94 
|                                                                                                   | 
|24.    RAW MATERIALS AND CONSUMABLES USED                                                          |  | F-94 
|                                                                                                   | 
|25.    EMPLOYEE BENEFITS EXPENSE                                                                   |  | F-95 
|                                                                                                   | 
|26.    
DEPRECIATION, AMORTIZATION, AND IMPAIRMENT LOSSES                                          |  | F-95 
|                                                                                                   | 
|27.    OTHER EXPENSES                                                                              |  | F-96 
|                                                                                                   | 
|28.    OTHER GAINS (LOSSES)                                                                        |  | F-96 
|                                                                                                   | 
|29.    FINANCIAL RESULTS                                                                           |  | F-97 
|                                                                                                   | 
|30.    INCOME TAX                                                                                  |  | F-98 
|                                                                                                   | 
|31.    INFORMATION BY SEGMENT                                                                      |  | F-99 
|31.1. Segmentation criteria                                                                        |  | F-99 
|31.2. Distribution by country                                                                      |  | F-100



F-19



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##### Table of Contents

|                                                                                                |  |      
|----------------------------------------------------------------------------------------------- |  | -----
|32.    
THIRD PARTY GUARANTEES, OTHER CONTINGENT ASSETS AND LIABILITIES, AND OTHER COMMITMENTS. |  | F-102
|32.1. Direct guarantees                                                                         |  | F-102
|32.2. Indirect guarantees                                                                       |  | F-102
|32.3. Lawsuits and Arbitrations Proceedings                                                     |  | F-103
|a)      Pending lawsuits of Endesa Chile and Subsidiaries                                       |  | F-103
|b)      Pending lawsuits in associates and joint ventures                                       |  | F-107
|32.4. Financial restrictions                                                                    |  | F-111
|32.5. Other information                                                                         |  | F-113
|                                                                                                | 
|33.    PERSONNEL FIGURES                                                                        |  | F-114
|                                                                                                | 
|34.    SANCTIONS                                                                                |  | F-115
|                                                                                                | 
|35.    SUBSEQUENT EVENTS                                                                        |  | F-121
|                                                                                                | 
|36.    ENVIRONMENT                                                                              |  | F-122
|                                                                                                | 
|37.    
FINANCIAL INFORMATION ON SUBSIDIARIES                                                   |  | F-123

|             |  |                                                                   |  |      
|------------ |  | ----------------------------------------------------------------- |  | -----
|             |  |                                                                  
|APPENDIX 1   |  | ENDESA CHILE GROUP COMPANIES                                      |  | F-125
|             |  |                                                                  
|APPENDIX 2   |  | CHANGES IN SCOPE OF CONSOLIDATION                                 |  | F-127
|             |  |                                                                  
|APPENDIX 3   |  | ASSOCIATED COMPANIES AND JOINT VENTURES                           |  | F-128
|             |  |                                                                  
|APPENDIX 4   |  | ADDITIONAL INFORMATION ON FINANCIAL DEBT                          |  | F-129
|             |  | a) Bank borrowings                                                |  | F-129
|             |  | b) Secured and unsecured liabilities                              |  | F-131
|             |  | c) Finance lease obligations                                      |  | F-132
|             |  | d) Other liabilities                                              |  | F-132
|             |  |                                                                  
|APPENDIX 5   |  | DETAILS OF ASSETS AND LIABILITIES IN FOREIGN CURRENCY             |  | F-133
|             |  |                                                                  
|APPENDIX 6   |  | ADDITIONAL INFORMATION OFICIO CIRCULARNO. 715 OF FEBRUARY 3, 2012 |  | F-135
|             |  |                                                                  
|APPENDIX 6.1 |  | COMPLEMENTARY INFORMATION ON TRADE RECEIVABLES                    |  | F-138
|             |  |                                                                  
|APPENDIX 7   |  | FINANCIAL STATEMENTS, RESTATED                                    |  | F-141
|             |  | a) Consolidated statements of financial position                  |  | F-141
|             |  | b) Consolidated statement of comprehensive income                 |  | F-143
|             |  | c) Consolidated statement of cash flow                            |  | F-144





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ENDESA S.A. AND SUBSIDIARIES

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2013 AND 2012

(In thousands of Chilean pesos)



1.    THE GROUP ́S ACTIVITIES AND FINANCIAL STATEMENTS

Empresa Nacional de Electricidad S.A. (hereinafter the Parent Company or the Company) and its subsidiaries comprise the Endesa
Chile Group (hereinafter Endesa Chile or the Group).

Endesa Chile is a publicly traded corporation with registered
address and head office located at Avenida Santa Rosa, No. 76, in Santiago, Chile. The Company is registered in the securities register of the Superintendency of Securities and Insurance of Chile (Superintendencia de Valores y Seguros or SVS)
under number 114. In addition, the Company is registered with the Securities and Exchange Commission of the United States of America (hereinafter U.S. SEC) and with Spains Comisión Nacional del Mercado de Valores. The Companys
shares have been listed on the New York Stock Exchange since 1994 and on the Latibex since 2001

Endesa Chile is a
subsidiary of Enersis S.A., a company which, in turn, is a subsidiary of Endesa S.A., a Spanish entity controlled by Enel, S.p.A. (hereinafter Enel).

The Company was initially created by a public deed dated December 1, 1943. The Treasury Departments Supreme Decree
No. 97 of January 3, 1944 authorized the creation of the company and approved its by-laws. For tax purposes, the Company operates under Chilean tax identification number 91,081,000-6.

As of December 31, 2013, the Group had 2,509 employees. During 2013, the Group averaged a total of 2,497 employees. See
Note 33 for additional information regarding employee distribution by category and geographic location.

The
Companys corporate purpose consists of generating, transporting, producing, and distributing electrical energy. Its corporate purpose also includes investing in financial assets, developing projects, carrying out activities in the energy
industry and in other fields in which electrical energy is essential, and participating in public civil or hydraulic infrastructure concessions in which it may participate directly or through subsidiaries or associate companies in Chile or abroad.

The Companys 2012 consolidated financial statements were approved by the Board of Directors at a meeting held on
January 30, 2013. The consolidated financial statements were then submitted to the consideration of a General Shareholders Meeting held on April 15, 2013, which gave its final approval of the consolidated financial statements.

These consolidated financial statements are shown in thousands of Chilean pesos (unless expressly stated otherwise), as the
Chilean peso is the functional currency with which Endesa Chile operates. Foreign operations are reported in accordance with the accounting policies stated in Notes 2.6 and 3.k.



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2.    BASIS OF PRESENTATION OF THE CONSOLIDATED FINANCIAL STATEMENTS

2.1  Accounting principles

The December 31, 2013 consolidated financial statements of Endesa Chile and its subsidiaries have been prepared in
accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Boards (hereinafter IASB), and approved by its Board of Directors at its meeting held on February 7, 2014.

These consolidated financial statements faithfully reflect the financial position of Endesa Chile as of December 31,
2013, December 31, 2012, and January 1, 2012, as well as the results of operations, the changes in equity, and the cash flows for the years ended December 31, 2013, 2012, and 2011.

These consolidated financial statements voluntarily present the figures for the 2011 fiscal year from the consolidated
comprehensive income statement, the consolidated cash flow statement, the statement of changes in consolidated equity, and their notes.

These consolidated financial statements have been prepared using cost method accounting applied to the business in operation
principle except, in accordance with IFRS, those assets and liabilities that are reported at a fair value and those non-current assets and groups that are available for sale, which are recorded at the book value or the fair value minus sales costs,
whichever is lower (see Note 3).

These consolidated financial statements have been prepared from accounting records
maintained by the Company and its subsidiaries. Each entity prepares its financial statements according to the accounting principles and standards in force in each country, so the necessary adjustments and reclassifications have been made in the
consolidation process in order to present the consolidated financial statements in accordance with IFRS and the interpretations of the IFRS Interpretation Committee (hereinafter IFRIC).

2.2  New accounting pronouncements

a)    Accounting pronouncements effective from January 1, 2013:



|                                                                                                                                                                                                                                                                                             |  |  |  |                                                      
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  |  |  | -----------------------------------------------------
|Standards, Interpretations, and Amendments                                                                                                                                                                                                                                                   |  |  |  | Mandatory Application for:                           
|                                                                                                                                                                                                                                                                                             |  | 
|                                                                                                                                                                                                                                                                                             |  |  |  |                                                      
|Amendment to IAS 1: Presentation of financial statements 
Modifies aspects of the presentation of components of Other Comprehensive Income. It requires that these components be grouped under
those that will and those that will not subsequently be reclassified as profits and losses. |  |  |  | Annual periods
beginning on or after July 1, 2012.   
|IFRS
10: Consolidated Financial Statements  Establishes
clarifications and new parameters for defining control and for the principles of preparing consolidated financial statements. It applies to all entities (including special purpose or structured entities).                         |  |  |  | Annual periods beginning on or after January 1,
2013.



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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |  |  |  |                                                      
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  |  |  | -----------------------------------------------------
|IFRS 11: Joint Arrangements 
Redefines the concept of joint arrangement in order to align it with IFRS 10. It requires that the entities that are party to a joint
arrangement determine what type of arrangement is involved (joint operation or joint venture) by assessing their rights and obligations. The standard eliminates the possibility of proportional consolidation for joint ventures.                                                                                                                              |  |  |  | Annual periods beginning on or after January 1, 2013.
|IFRS 12: Disclosures of Interests in Other Companies 
Requires certain disclosures that allow for assessing the nature of stakes in other entities and the risks associated with these stakes, as well
as the effects of these stakes on the entitys financial situation, financial performance, and cash flows.                                                                                                                                                                                                                  |  |  |  | Annual periods beginning on or after January 1, 2013.
|IFRS 13: Fair Value Measurement 
Establishes, in a single standard, a framework for measuring the fair value of assets and liabilities, and incorporates new concepts and
clarifications for such measurement. It also requires information to be disclosed by the entities on the measurements of the fair value of their assets and liabilities.                                                                                                                                                                                 |  |  |  | Annual periods beginning on or after January 1, 2013.
|New IAS 27: Separate Financial Statements 
The issuance of IFRS 10 eliminated all matters regarding consolidated financial statements from IAS 27, restricting its scope to separate
financial statements only.                                                                                                                                                                                                                                                                                                                    |  |  |  | Annual periods beginning on or after January 1, 2013.
|New IAS 28: Investments in Associates and Joint Ventures 
Amended by the issuance of IFRS 10 and IFRS 11 for the purpose of making the definitions and other clarifications contained in these new IFRS
uniform.                                                                                                                                                                                                                                                                                                                   |  |  |  | Annual periods beginning on or after January 1, 2013.
|Amendment to IFRS 7: Financial Instruments - Disclosures 
Clarifies the requirements of disclosures relating to offsetting of financial assets and financial liabilities.                                                                                                                                                                                                                                                                                                                                                          |  |  |  | Annual periods beginning on or after January 1, 2013.
|Amendment to IAS 19: Employee Benefits 
Modifies the recognition and disclosure for changes in obligations for defined benefit plans and the assets involved in the plan, eliminating
the corridor method and accelerating recognition of past service costs.                                                                                                                                                                                                                                                                      |  |  |  | Annual periods beginning on or after January 1, 2013.
|Improvements to the IFRS 
Corresponds to a number of necessary but non-urgent improvements that amend the following standards: IFRS 1, IAS 1, IAS 16, IAS 32, and IAS
34.                                                                                                                                                                                                                                                                                                                                                          |  |  |  | Annual periods beginning on or after January 1, 2013.
|Transition Guide (Amendments to IFRS 10, 11, and 12) 
The amendments clarify IFRS 10 transition guidance. These amendments also simplify the transition for IFRS 10, IFRS 11, and IFRS 12, limiting
the requirements to the provision of adjusted comparative information for the immediately preceding period only. In addition, the amendments eliminate the requirement to present comparative information for disclosures related to unconsolidated
structured entities for periods prior to the first application of IFRS 12. |  |  |  | Annual periods beginning on or after January 1, 2013.

The Group applied of these new pronouncements retrospectively, except for
IFRS 13, Fair Value Measurement, which was applied prospectively.



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##### Table of Contents

NIIF 11 Joint Arrangements

As of 2013, with the application of IFRS 11, Joint Arrangements, companies controlled jointly by the Group that were
consolidated proportionally up to the financial statements presented as of December 31, 2012, must now be recorded using the equity method (see Notes 2.5 and 3.g), as required by the new standard for joint arrangements that qualify as Joint
Ventures.

The companies involved are the following:



| | - |  | Centrales Hidroeléctricas de Aysén S.A. and subsidiaries.
| | - |  | ---------------------------------------------------------

| | - |  | Inversiones Gas Atacama Holding Ltda. and subsidiaries.
| | - |  | -------------------------------------------------------

| | - |  | Transmisora Eléctrica de Quillota Ltda.
| | - |  | ---------------------------------------

Since the application of IFRS 11, Joint Arrangements, is retrospective, these consolidated financial statements include
restatements made to the statements of financial position as of December 31 and January 1, 2012; to the comprehensive income, changes in net equity, and cash flow statements for the years ended December 31, 2012 and 2011; and the
explanatory notes; all previously issued and approved by the Endesa Chile management bodies. These changes do not affect the determination of equity or profit attributable to the shareholders of Endesa. The application of this standard has not
affected basic earnings per share, nor has it given rise to a stock dilution.

The following is a summary of the net
effect of the restatement on the each of the respective financial statement line items:



|                                                             |  |                  |                 |  |                  |  |                 | 
|------------------------------------------------------------ |  | ---------------- | --------------- |  | ---------------- |  | --------------- | 
|                                                             |  | Change           |                
|Consolidated Statements of Financial Position                |  | 12-31-2012
ThCh$ |                 |  | 01-01-2012
ThCh$ | 
|                                                             |  |                 
|                                                             |  |                  |                 |  |                  |  |                 | 
|Current assets                                               |  |                  | (53,631,975)    |  |                  |  | (41,096,680)    | 
|Non-current assets                                           |  |                  | 18,173,114      |  |                  |  | (14,169,008)    | 
|TOTAL ASSETS                                                 |  |                  | (35,458,861)    |  |                  |  | (55,265,688)    | 
|                                                             |  |                  |                 |  |                  | 
|Current liabilities                                          |  |                  | (19,480,600)    |  |                  |  | (31,208,445)    | 
|Non-current liabilities                                      |  |                  | (15,828,145)    |  |                  |  | (23,915,677)    | 
|Equity
attributable to shareholders of Endesa                |  |                  | -               |  |                  |  | -               | 
|Non-controlling interests                                    |  |                  | (150,116)       |  |                  |  | (141,566)       | 
|TOTAL LIABILITY AND EQUITY                                   |  |                  | (35,458,861)    |  |                  |  | (55,265,688)    | 
|                                                             |  |                  |                 |  |                  |  |                 | 
|Consolidated Statements of Comprehensive Income              |  |                  | 12-31-2012ThCh$ |  |                  |  | 12-31-2011ThCh$ | 
|                                                             |  |                 
|                                                             |  |                  |                 |  |                  |  |                 | 
|Revenues                                                     |  |                  | (49,001,050)    |  |                  |  | (120,225,418)   | 
|Raw materials and consumables used                           |  |                  | 10,222,847      |  |                  |  | 78,127,058      | 
|CONTRIBUTION MARGIN                                          |  |                  | (38,778,203)    |  |                  |  | (42,098,360)    | 
|                                                             |  |                 
|                                                             |  |                  |                 |  |                  |  |                 | 
|Depreciation and
amortization expenses                       |  |                  | 5,954,973       |  |                  |  | 5,941,749       | 
|Operating income                                             |  |                  | (19,793,404)    |  |                  |  | (21,280,961)    | 
|Net income before tax                                        |  |                  | (2,657,183)     |  |                  |  | (3,253,918)     | 
|Net income attributable to shareholders of Endesa            |  |                  | -               |  |                  |  | -               | 
|Net income attributable to non-controlling interests         |  |                  | (19,916)        |  |                  |  | (19,309)        | 
|NET INCOME                                                   |  |                  | (19,916)        |  |                  |  | (19,309)        | 
|                                                             |  |                  |                 |  |                  | 
|Consolidated Statements of Cash Flow                         |  | 12-31-2012
ThCh$ |                 |  | 12-31-2011
ThCh$ | 
|                                                             |  |                 
|                                                             |  |                  |                 |  |                  |  |                 | 
|Net cash flow from (used in) operating activities            |  |                  | (16,273,758)    |  |                  |  | (20,572,417)    | 
|Net cash flow from (used in) investment activities           |  |                  | (150,868)       |  |                  |  | 1,640,816       | 
|Net cash flow from (used in) financing activities            |  |                  | 4,520,385       |  |                  |  | 16,927,789      | 
|Effect of exchange rate changes on cash and cash equivalents |  |                  | 2,301,312       |  |                  |  | (68)            | 
|Cash and cash equivalents at beginning of period             |  |                  | (31,514,013)    |  |                  |  | (29,510,133)    | 
|Cash and cash equivalents at end of period                   |  |                  | (41,116,942)    |  |                  |  | (31,514,013)    | 

For more details, see Appendix 7, Restated Financial Statements.

The rest of the standards and amendments adopted, which went into effect on January 1, 2013, have not had a significant
effect on the consolidated financial statements of Endesa Chile and its subsidiaries.



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b)  Accounting pronouncements effective from January 1, 2014 and subsequent
periods:

As of the issuance date of these consolidated financial statements, the following accounting pronouncements
had been issued by the International Accounting Standards Boards (IASB), but they were not yet mandatory:



| |  |                                            |  |  |  |                            |  |  |  | 
| |  | ------------------------------------------ |  |  |  | -------------------------- |  |  |  | 
| |  | Standards, Interpretations, and Amendments |  |  |  | Mandatory Application for: |  |  |  | 



| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |  |  |  |                                                                   |  |  |  | 
| |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  |  |  | ----------------------------------------------------------------- |  |  |  | 
| |  | Amendment to IAS 32: Financial Instruments: Presentation 
Clarifies the requirements for offsetting financial assets and financial liabilities in order to eliminate inconsistencies in applying the
current IAS 32 criteria for offsetting.                                                                                                                                                                                                                                                                                                                                                                                           |  |  |  | Annual periods beginning on or after January 1, 2014.             |  |  |  | 
| |  | Amendments to
IFRS 10, 12, and IAS 27: Investment Entities  Under IFRS
10, reporting entities are required to consolidate all of the companies over which they have control. The amendment establishes an exception to these requirements, allowing Investment Entities to measure their investments at fair value with changes
in income as provided for under IFRS 9 instead of consolidating them.                                                                                                                                                                                                                                  |  |  |  | Annual periods
beginning on or after January 1, 2014.             |  |  |  | 
| |  | IFRS 9: Financial
Instruments: Classification and Measurement  This is the
first stage of the IASB project to replace IAS 39, Financial Instruments: Recognition and Measurement. It modifies the classification and measurement of financial assets and includes the treatment and classification of financial
liabilities.                                                                                                                                                                                                                                                                                                         |  |  |  | No date set.
 Early application of concluded stages is permitted. |  |  |  | 
| |  | IFRIC 21:
Levies  This interpretation of IAS 37, Provisions,
Contingent Assets, and Contingent Liabilities, provides guidance on when an entity must recognize a liability for a levy imposed by a government other than income tax in its financial statements.                                                                                                                                                                                                                                                                                                                                                                     |  |  |  | Annual periods
beginning on or after January 1, 2014.             |  |  |  | 
| |  | Amendment to IAS
36: Impairment of Assets  The amendment clarifies the
extent of disclosures regarding the recoverable value of impaired assets, limiting the information requirements to the recoverable amount, based on the fair value less costs of disposal.                                                                                                                                                                                                                                                                                                                                                                      |  |  |  | Annual periods
beginning on or after January 1, 2014.             |  |  |  | 
| |  | Amendment to IAS
39: Financial Instruments: Recognition and Measurement 
This amendment incorporates into the Standard the criteria that must be met in order not to discontinue hedge accounting if a hedging derivative
is novated.                                                                                                                                                                                                                                                                                                                                                                                                  |  |  |  | Annual periods
beginning on or after January 1, 2014.             |  |  |  | 
| |  | Amendment to IFRS
9: Financial Instruments: Classification and Measurement 
This is the second stage of the IASB project to replace IAS 39, Financial Instruments: Recognition and Measurement. This amendment adds a
special chapter on hedge accounting that establishes a new model aimed at reflecting better alignment between accounting and risk management. Improvements have also been made to the disclosures required.
 This amendment also eliminates the mandatory application date
for IFRS 9 since the third and final stage of the project, which covers impairment of financial assets, has still not been completed. |  |  |  | No date set.
 Early application of concluded stages is permitted. |  |  |  | 



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| |  |                                                                                                                                                                                                                                                                                            |  |  |  |                                                    |  |  |  | 
| |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ |  |  |  | -------------------------------------------------- |  |  |  | 
| |  | Amendment to IAS 19: Employee Benefits 
The purpose of this modification to the scope of IAS 19 is to simplify the accounting for contributions not affected by the employees
years of service, such as employee contributions calculated on the basis of a fixed percentage of a salary. |  |  |  | Annual periods beginning on or after July 1, 2014. |  |  |  | 
| |  | Improvements to
the IFRS (2010-2012 and 2011-2013 Cycles) 
This is a set of improvements that are necessary but not urgent. They make changes to the following standards: IFRS 2, IFRS 3, IFRS 8, IFRS 13,
IAS 16, IAS 24, IAS 38, and IAS 40.                                             |  |  |  | Annual periods
beginning on or after July 1, 2014. |  |  |  | 

The Group is assessing the impact of applying IFRS 9 from the date it goes into effect. In
Managements opinion, the application of other standards, interpretations, and amendments pending application will not have a significant effect on the consolidated financial statements of Endesa Chile.

2.3  Responsibility for the information given and the estimates made

The Companys Board of Directors is responsible for the information contained in these consolidated financial statements
and expressly states that all IFRS principles and standards, as issued by the IASB, have been fully implemented.

In
preparing the consolidated financial statements, certain estimates made by the Companys Management have been used to quantify some of the assets, liabilities, income, expenses, and commitments recorded in the statements.

These estimates basically refer to:



| | - |  | The valuation of assets and goodwill to determine the existence of impairment losses (see Note 3.d).
| | - |  | ----------------------------------------------------------------------------------------------------



| | - |  | The assumptions used to calculate the actuarial liabilities and obligations to employees, such as discount rates, mortality tables, salary raises,
etc. (see Notes 3.j.1 and 21).
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | The useful life of property, plant, and equipment, and intangible assets (see Notes 3.a and 3.c).
| | - |  | -------------------------------------------------------------------------------------------------



| | - |  | The assumptions used to calculate the fair value of financial instruments (see Notes 3.f.5 and 18).
| | - |  | ---------------------------------------------------------------------------------------------------



| | - |  | Energy supplied to customers whose meter readings are pending.
| | - |  | --------------------------------------------------------------



| | - |  | Certain assumptions inherent in the electricity system affecting transactions with other companies, such as production, customer billings, energy
consumption, etc. that allow for estimating electricity system settlements that must occur on the corresponding final settlement dates, but that are pending as of the date of issuance of the consolidated financial statements and could affect the
balances of assets, liabilities, income, and expenses recorded in the statements.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | The probability that uncertain or contingent liabilities will be incurred and their related amounts (see Note 3.j).
| | - |  | -------------------------------------------------------------------------------------------------------------------



| | - |  | Future disbursements for the closure of facilities and restoration of land (see Note 3.a).
| | - |  | ------------------------------------------------------------------------------------------



| | - |  | The tax results of the various subsidiaries of the Endesa Chile that will be reported to the respective tax authorities in the future, and that
have served as the basis for recording different balances related to income taxes in these consolidated financial statements (see Note 3.m).
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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Although these estimates have been based on the best information available on the
issuance date of these consolidated financial statements, future events may occur that would require a change (increase or decrease) to these estimates in subsequent periods. This change would be made prospectively, recognizing the effects of such
an estimation change in the corresponding future consolidated financial statements.

2.4  Subsidiaries

Subsidiaries are defined as entities in which Endesa Chile controls, directly or indirectly, the majority of the substantive
voting rights or, should that not be the case, entities where it has rights granting it the present power to direct the entities relevant activities, including, for these purposes, its potential voting rights or those of third parties that are
exercisable or convertible at the end of each fiscal year.

Endesa Chile is exposed to, or entitled to, these
companies variable results and is able to influence the amount of such results.

Appendix 1 of these consolidated
financial statements, entitled Endesa Chile Group Companies, describes the relationship of Endesa Chile with each of its subsidiaries.



| | 2.4.1 | Changes in the scope of consolidation
| | ----- | -------------------------------------

During
the 2013 and 2012 fiscal years, there were no significant changes in Endesa Chiles scope of consolidation. Other than the retrospective adoption of IAS 11 described in note 2.2 a).

Appendix 2 to these consolidated financial statements, entitled Changes in the Endesa Chile Groups Scope of
Consolidation, lists the companies included within the scope of the Groups consolidation, together with information on the Groups respective ownership interest percentages.



| | 2.4.2 | Consolidated companies with an ownership interest of less than 50%
| | ----- | ------------------------------------------------------------------

Although the Endesa Chile Group holds a 26.87% interest in Empresa Generadora de Energía Eléctrica S.A.
(Emgesa), it is considered to be a subsidiary since Endesa Chile exercises control over the entity, through contracts or agreements with shareholders, or as a consequence of its structure, composition, and shareholder classes. The Groups
holds 56.43% of the voting shares in Emgesa.



| | 2.4.3 | Unconsolidated companies with an ownership interest of more than 50%
| | ----- | --------------------------------------------------------------------

Although the Endesa Chile Group holds more than a 50% interest in Centrales Hidroeléctricas de Aysén,
S.A. (Aysén), it is considered a joint venture since the Group, through contracts and agreements with shareholders, exercises joint control of the company.

2.5  Associated companies and joint arrangements

Associated companies are those in which Endesa Chile, either directly or indirectly, exercises significant influence.

Significant influence is having the power to influence the financial and operational policy decisions of the associated
company without having either sole or joint control of the company. In general, significant influence is assumed to be those cases in which the Group has an ownership interest over 20% (see Note 3.g).

Joint arrangements are defined as those entities in which the Group exercises control given an agreement with other
shareholders and jointly with them, in other words, when decisions on the entities relevant activities require the unanimous consent of the parties sharing control. Joint arrangements are classified as:



| | - |  | Joint venture: an agreement under which the parties exercising joint control have rights to the entitys net assets.
| | - |  | --------------------------------------------------------------------------------------------------------------------



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| | - |  | Joint operation: an agreement under which the parties exercising joint control have rights to the assets and obligations with respect to the
liabilities involved in the arrangement. At this time, Endesa Chile does not have any joint arrangements that qualify as joint operations.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Appendix 3 to these consolidated financial statements, entitled Associated Companies and Joint Ventures, describes
the relationship of Endesa Chile with each of these companies.

2.6 Basis of consolidation and business
combinations

The subsidiaries are consolidated and all their assets, liabilities, income, expenses, and cash flows
are included in the consolidated financial statements once the adjustments and eliminations from intra-Group transactions have been made.

The comprehensive income of subsidiaries is included in the consolidated comprehensive income statement from the date that the
parent company obtains control of the subsidiary until the date on which it loses control of the subsidiary.

The
operations of the parent company and its subsidiaries have been consolidated under the following basic principles:



| | 1. | At the date the parent takes control, the subsidiarys assets acquired and its liabilities assumed are recorded at fair value, except for
certain assets and liabilities that are recorded using valuation principles established in other IFRS standards. If, in the parent companys stake, there is a positive difference between the fair value of the consideration transferred (the
acquisition cost) and the fair value of the assets and liabilities of the subsidiary, including contingent liabilities, this difference is recorded as goodwill. If the difference is negative, the resulting profit is recorded as a credit to income
after reevaluating whether all of the assets acquired and the liabilities assumed have been correctly identified and following a review of the procedures used to measure these amounts.
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

For business combinations carried out in stages, the fair value of the stake previously held in the acquired companys
equity is measured on the date of acquisition and any profit or loss is recognized in the results for that fiscal year or in other comprehensive income, as applicable.



| | 2. | Non-controlling interests in equity and in the comprehensive income of the consolidated subsidiaries are presented, respectively, under the line
items Total Equity: Non-controlling interests in the consolidated statement of financial position and Net Income attributable to non-controlling interests and Comprehensive income attributable to non-controlling
interests in the consolidated statement of comprehensive income.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 3. | The financial statements of foreign companies with functional currencies other than the Chilean peso are translated as follows:
| | -- | -------------------------------------------------------------------------------------------------------------------------------



| | a. | For assets and liabilities, the prevailing exchange rate on the closing date of the financial statements is used.
| | -- | -----------------------------------------------------------------------------------------------------------------



| | b. | For items in the comprehensive income statement, the average exchange rate for the fiscal year is used (unless this average is not a reasonable
approximation of the cumulative effect of the exchange rates in effect on the dates of the transactions, in which case the exchange rate in effect on the date of each transaction is used).
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | c. | Equity remains at the historical exchange rate from the date of acquisition or contribution, and retained earnings at the average exchange rate at
the date of generation.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | d. | Exchange differences arising in the conversion of financial statements are recognized in the item Exchange differences on translation
within the consolidated statement of comprehensive income: Other comprehensive income (see Note 22.2).
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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| | 4. | Translation adjustments that existed at Endesa Chiles transition date to IFRS, on January 1, 2004, were transferred to reserves, using
the exemption for that purpose in IFRS 1 First time Adoption of IFRS (see Note 22.5l).
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 5. | Balances and transactions between consolidated companies were completely eliminated in the consolidation process.
| | -- | -----------------------------------------------------------------------------------------------------------------



| | 6. | Changes in interests in subsidiaries that do not result in taking or losing control are recorded as equity transactions, and the book value of the
controlling and non-controlling interests is adjusted to reflect the change in relative interest in the subsidiary. Any difference that may exist, between the value for which a non-controlling interest is adjusted and the fair value of a
compensation paid or received, is recognized directly in Equity attributable to the shareholders of Endesa Chile.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 7. | Business combinations under common control are recorded using, as a reference, the pooling interest method. Under this method, the
assets and liabilities involved in the transaction remain reflected at the same book value at which they were recorded in the ultimate controlling company, although subsequent accounting adjustments may need to be made to align the accounting
policies of the companies involved.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Any difference between the assets and liabilities contributed to
the consolidation and the compensation given is recorded directly in Net equity as a debit or credit to Other reserves. The Group does not apply retrospective accounting records of business combinations under common control.



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|3. | ACCOUNTING CRITERIA APPLIED
|-- | ---------------------------

The main
accounting policies used in preparing the accompanying consolidated financial statements were the following:



| | a) | Property, plant, and equipment
| | -- | ------------------------------

Property, plant, and equipment are valued at acquisition cost, net of accumulated depreciation and any impairment losses they
may have experienced. In addition to the price paid to acquire each item, the cost also includes, where applicable, the following concepts:



| | - |  | Financing expenses accrued during the construction period that are directly attributable to the acquisition, construction, or production of
qualified assets, which require a substantial period of time before being ready for use such as, for example, electricity generation facilities. The Group defines substantial period as one that exceeds 12 months. The interest rate used
is that of the specific financing or, if none exists, the mean financing rate of the company carrying out the investment. The mean financing rate depends principally on the geographic area and ranges between 7.22% and 7.5%. The amount capitalized
for this concept amounted to ThCh$24,518,935, ThCh$23,915,042, and ThCh$29,922,494 during the years ended December 31, 2013, 2012, and 2011, respectively (see Note 29).
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Employee expenses directly related to construction in progress. The amounts capitalized under this concept for the periods ended December 31,
2013, 2012, and 2011, respectively, were ThCh$18,981,922, ThCh$12,763,186, and ThCh$10,597,856.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Future disbursements that Endesa Chile will have to make to close their facilities are incorporated into the value of the asset at present value,
recording in the accounting the corresponding provision for dismantling or restoration. Endesa Chile reviews its estimate of these future disbursements on a yearly basis, increasing or decreasing the value of the asset based on the results of this
estimate (see Note 20).
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Items acquired before the Endesa Chiles date of transition to IFRS, on January 1, 2004, include in the purchasing cost, where
appropriate, asset reappraisals permitted in the various countries to adjust the value of the Property, plant, and equipment for inflation as of that date (see Note 22.5l).
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Items for construction work in progress are transferred to operating assets once the testing period has been completed and
they are available for use, at which time depreciation begins.

Expansion, modernization, or improvement costs that
represent an increase in productivity, capacity or efficiency, or a longer useful life are capitalized as increasing the cost basis for the corresponding assets.

The replacement or overhaul of entire components that increase the assets useful life, or its economic capacity, are
recorded as an increase in value for the respective assets, derecognizing the replaced or overhauled components.

Expenses
for periodic maintenance, conservation, and repair are recorded directly in income as an expense for the year in which they are incurred.

The Company, based on the outcome of impairment testing explained in Note 3.d, considers that the book value of assets does
not exceed their net recoverable value.

Property, plant, and equipment, net of its residual value, is depreciated by
distributing the cost of the different items that comprise it on a straight-line basis over its estimated useful life, which is the period during which the companies expect to use the assets. Useful life estimates and residual values are
periodically reviewed and, if appropriate, adjusted prospectively.



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The following are the main categories of Property, plant, and equipment with
their respective estimated useful lives:



|                                             |  |                               
|-------------------------------------------- |  | ------------------------------
|Categories of
Property, plant, and equipment |  | Years of estimated useful life
|Buildings                                    |  | 22  100                      
|Plant and equipment                          |  | 3  65                        
|IT equipment                                 |  | 3  15                        
|Fixtures and fittings                        |  | 5  21                        
|Motor vehicles                               |  | 5  10                        
|Other                                        |  | 2  33                        

Additionally, the following provides greater detail on the useful lives of plant and equipment
items:



|                                          |  |                               
|----------------------------------------- |  | ------------------------------
|                                          |  | Years of estimated useful life
|Generating facilities:                    |  |                               
|Hydroelectric plants                      |  |                               
|Civil engineering works                   |  | 35-65                         
|Electromechanical equipment               |  | 10-40                         
|Coal-fired /fuel-oil power plants         |  | 25-40                         
|Combined cycle plants                     |  | 10-25                         
|Renewable energy power plants             |  | 35                            
|Transmission and distribution
facilities: |  |                               
|High-voltage network                      |  | 10-60                         
|Low- and medium-voltage network           |  | 10-60                         
|Measuring and remote control equipment    |  | 3-50                          
|Other
facilities                          |  | 4-25                          

Land is not depreciated since it has an indefinite useful life.

Regarding the administrative concessions held by the Groups electric companies, the following lists the periods
remaining until expiration for the concession that does not have an indefinite term:



|                                           |  |           |  |  |  |                    |  |  |  |                               
|------------------------------------------ |  | --------- |  |  |  | ------------------ |  |  |  | ------------------------------
|Company                                    |  | Country   |  |  |  | Concession    term |  |  |  | Period remaining to
expiration
|                                           |  |           |  |  | 
|Hidroeléctrica El Chocón S.A. (Generation) |  | Argentina |  |  |  | 30 years           |  |  |  | 10 years                      

Endesa Chiles management evaluated the specific contract terms of the aforementioned
concession and concluded that, there are no determining factors indicating that the grantor, a government entity, controls the infrastructure and, at the same time, can continuously set the price to be charged for services. These requirements are
essential for applying IFRIC 12 Service Concession Agreements, an interpretation that establishes how to record and value certain types of concessions (see Note 3.c.1 for concession agreements within the scope of IFRIC 12).

Concession contracts not covered under IFRIC 12 are recognized according to general criteria. To the extent that the Group
recognizes assets as Property, plant, and equipment, they are amortized over their economic life or the concession term, whichever is shorter. Any required investment, improvement, or replacement made by the Group is calculated as an impairment to
Property, plant, and equipment as a future contractual cash outflow that is necessary to obtain future cash inflow.



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Gains or losses that arise from the sale or disposal of items of Property, plant,
and equipment are recognized as Other gains (losses) in the comprehensive income statement and are calculated by deducting the net book value of the asset and any sales expenses from the amount received in the sale.



| | b) | Goodwill
| | -- | --------

Goodwill generated on consolidated acquired business represents the difference between the acquisition cost and the
Groups share of the fair value of assets and liabilities, including identifiable contingent liabilities and the non-controlling stake in a subsidiary at the acquisition date.

Assets acquired and liabilities assumed are temporarily valued as of the date the company takes control and are reviewed
within no more than a year after the acquisition date. Until the fair value of assets and liabilities is ultimately determined, the difference between the acquisition price and the book value of the acquired company is temporarily recorded as
goodwill.

If goodwill is finally determined as existing in the financial statements the year following the acquisition,
the prior years accounts, which are presented for comparison purposes, are modified to include the value of the assets acquired and liabilities assumed and of the definitive goodwill from the acquisition date.

Goodwill generated from acquiring companies with functional currencies other than the Chilean peso is valued in the functional
currency of the acquired company and converted to Chilean pesos using the exchange rate in effect as of the date of the statement of financial position.

Goodwill generated before the date of transition to IFRS, on January 1, 2004, is maintained at its net value recorded as
of that date, while goodwill originated afterwards is valued at acquisition cost (see Notes 13 and 22.5.l).

Goodwill is
not amortized; instead, at each period end the Company estimates whether any impairment has reduced its recoverable value to an amount less than the net recorded cost and, if so, it immediately adjusts for impairment (see Note 3.d).



| | c) | Intangible assets other than goodwill
| | -- | -------------------------------------

Intangible assets are initially recognized at their acquisition cost or production cost, and are subsequently valued at their
cost, net of their accumulated amortization and of the impairment losses they may have experienced.

Intangible assets are
amortized on a straight line basis during their useful life, starting from the time that they are in usable condition, except for those with an indefinite useful life, which are not amortized. As of December 31, 2013, December 31,
2012, and January 1, 2012, there were no significant amounts in intangible assets with an indefinite useful life.

The criteria for recognizing these assets impairment losses and, if applicable, recovery of impairment losses recorded
in previous fiscal years are explained in letter d) of this Note.



| | c.1) | Concessions
| | ---- | -----------

Public-to-private service concession agreements are recorded according to IFRIC 12, Service Concession Agreements.
This accounting interpretation applies if:



| | a) | The grantor controls or regulates which services the operator should provide with the infrastructure, to whom it must provide them, and at
what price; and
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------



| | b) | The grantor controls  through ownership, beneficial entitlement, or otherwise  any significant residual interest in the
infrastructure at the end of the term of the agreement.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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If both of the above conditions are met simultaneously, an intangible asset is
recognized to the extent that the operator receives the right to charge users of the public service, provided that these charges are conditional on the degree to which the service is used.

These intangible assets are initially recognized at cost, which is understood as the fair value of the service provided plus
other direct costs directly attributable to the operation. They are then amortized over the term of the concession.

The
Group operates administrative concession in which its counterpart is a government entity; the El Melón Tunnel concession is the only one that has determining factors leading to the conclusion that the requirements explained above have been
met simultaneously.

In the concession for the El Melón Tunnel, the Chilean Ministry of Public Works (the MOP, its
Spanish acronym) and our subsidiary Sociedad Concesionaria Túnel El Melón S.A. signed a concession agreement establishing the services to be provided by the operator and the prices of these services. The right to the concession expires
in June of 2016, at which time the MOP recovers the right to exploit the El Melón Tunnel assets without having to fulfill any specific condition.

The Group has applied the intangibles method established in IFRIC 12. Since the agreement signed with the MOP does not provide
for guaranteed revenues regardless of the circumstances, no financial assets have been recognized in connection with Túnel El Melón concession.

The following Endesa Chile subsidiary has recognized an intangible asset from its service concession agreements:



|                                                                |  |         |  |  |  |          |  |  |  |                     
|--------------------------------------------------------------- |  | ------- |  |  |  | -------- |  |  |  | --------------------
|Concession Holder                                               |  | Country |  |  |  | Term     |  |  |  | Period    Expiration
|                                                                |  |         |  |  | 
|Soc. Concesionaria Túnel el Melón S.A.
(Highway infrastructure) |  | Chile   |  |  |  | 23 years |  |  |  | 2.5 years           



| | c.2) | Research and development expenses
| | ---- | ---------------------------------

Endesa Chile follows the policy of recording the costs incurred in a projects development phase as intangible assets in
the statement of financial position as long as the projects technical viability and economic returns are reasonably assured.

Expenditures on research activities are recognized as an expense in the period in which they are incurred. These expenses
amounted to ThCh$1,996,818, ThCh$2,298,344, and ThCh$2,104,631, at December 31, 2013, 2012, and 2011, respectively.



| | c.3) | Other intangible assets
| | ---- | -----------------------

These intangible assets correspond primarily to computer software, easements and water rights. They are initially recognized
at acquisition or production cost and are subsequently measured at cost less accumulated amortization and impairment losses, if any.

Computer software programs are amortized, on average, over five years. Certain easements and water rights have indefinite
useful lives and are therefore not amortized, while others have useful lives ranging from 40 to 60 years, depending on their characteristics, and they are amortized over that term.



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| | d) | Asset impairment
| | -- | ----------------

d.1) Non-financial assets (except inventory and deferred tax assets)

During the year, and principally at year-end, the Company evaluates whether there is any indication that an asset has been
impaired. Should any such indication exist, the company estimates the recoverable amount of that asset to determine the amount of impairment in each case. In the case of identifiable assets that do not generate cash flows independently, the company
estimates the recoverability of the Cash Generating Unit (CGU) to which the asset belongs, which is understood to be the smallest identifiable group of assets that generates independent cash inflows.

Notwithstanding the preceding paragraph, in the case of Cash Generating Units to which goodwill or intangible assets with an
indefinite useful life have been allocated, a recoverability analysis is performed routinely at each period end.

The
recoverable amount is the greater amount between the fair value less the cost needed to sell and the value in use, which is defined as the present value of the estimated future cash flows. In order to calculate the recoverable value of Property,
plant, and equipment, as well as of goodwill, and intangible assets, the Group uses value in use criteria in practically all cases.

To estimate the value in use, the Group prepares future cash flow projections, before tax, based on the most recent budgets
available. These budgets incorporate managements best estimates of Cash Generating Units revenue and costs using sector projections, past experience, and future expectations.

In general, these projections cover the next ten years, estimating cash flows for subsequent years by applying reasonable
growth rates which, in no case, are increasing nor exceed the average long-term growth rates for the particular sector and country. At the end of 2013, 2012, and 2011, projections were extrapolated from the following rates:



|          |  |                    |  |             |  |  |  |             |  |  |  |            
|--------- |  | ------------------ |  | ----------- |  |  |  | ----------- |  |  |  | -----------
|          |  |                    |  | 2013        |  |  |  | 2012        |  |  |  | 2011       
|Country   |  | Currency           |  | g Rate      |  |  |  | g Rate      |  |  |  | g Rate     
|          |  |                    |  |             |  |  |  |             |  |  |  |            
|Chile     |  | Chilean peso       |  | 2.2% - 4.1% |  |  |  | 2.3% - 4.1% |  |  |  | 4.2%       
|Argentina |  | Argentine peso     |  | 8.6%        |  |  |  | 8.6%        |  |  |  | 7.0%       
|Brazil    |  | Brazilian real     |  | 5.1% - 6.1% |  |  |  | 5.1% - 6.1% |  |  |  | 5.0% - 6.0%
|Peru      |  | Peruvian nuevo sol |  | 3.6%        |  |  |  | 3.7%        |  |  |  | 3.2%       
|Colombia  |  | Colombian peso     |  | 4.3%        |  |  |  | 4.3%        |  |  |  | 4.4%       

These flows are discounted to calculate their current value at a before-tax rate that covers
the cost of capital for the business activity and the geographic area in which it is being carried out. The current cost of money and the risk premiums generally used among analysts for the business activity and the geographic zone are taken into
account to calculate this value.

The following are the before-tax discount rates applied in 2013, 2012, and 2011,
expressed in nominal terms:



|          |  |                    |  |         |  |       |  |         |  |  |  |         |  |      |  |         |  |  |  |         |  |  |  |        
|--------- |  | ------------------ |  | ------- |  | ----- |  | ------- |  |  |  | ------- |  | ---- |  | ------- |  |  |  | ------- |  |  |  | -------
|          |  |                    |  | 2013    |  | 2012  |  | 2011   
|Country   |  | Currency           |  | Minimum |  |       |  | Maximum |  |  |  | Minimum |  |      |  | Maximum |  |  |  | Minimum |  |  |  | Maximum
|         
|Chile     |  | Chilean peso       |  | 8.6%    |  |       |  | 16.3%   |  |  |  | 8.4%    |  |      |  | 14.6%   |  |  |  | 9.2%    |  |  |  | 10.1%  
|Argentina |  | Argentine peso     |  | 42.0%   |  |       |  | 44.4%   |  |  |  | 26.0%   |  |      |  | 29.0%   |  |  |  | 23.0%   |  |  |  | 26.0%  
|Brazil    |  | Brazilian real     |  | 9.0%    |  |       |  | 18.8%   |  |  |  | 9.5%    |  |      |  | 18.0%   |  |  |  | 9.5%    |  |  |  | 11.6%  
|Peru      |  | Peruvian nuevo sol |  | 11.8%   |  |       |  | 12.3%   |  |  |  | 12.5%   |  | 9.3%
|Colombia  |  | Colombian peso     |  | 14.2%   |  | 14.5% |  | 10.9%  



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If the recoverable amount of the CGU is less than the net carrying amount of the
asset, the corresponding provision for impairment loss is recorded for the difference, and charged to Reversal of impairment loss (impairment loss) recognized in profit or loss in the consolidated statement of comprehensive income. The
provision is first allocated to the CGUs goodwill value, if any, and then to the other assets comprising it, prorated according to the carrying value of each one, limited to its fair value less sales costs, or its value in use; a negative
value may not be obtained.

Impairment losses recognized for an asset in prior periods are reversed when its estimated
recoverable amount changes, increasing the assets value with a credit to earnings, limited to the assets carrying amount if no adjustment had occurred. In the case of goodwill, adjustments that would have been made are not reversible.

d.2) Financial assets

The following procedure is used to determine the need to adjust financial assets for impairment:



| | - |  | In the case of commercial assets, provisions are made for the balances for which there is objective evidence that Endesa Chile will not be able to
recover all of the amounts provided for in the original terms and conditions of the contracts. In general, the Groups policy is to record impairment through an allowance account based on the age of past-due balances, except in those cases
where a specific collectability analysis is recommended, such as in the case of receivables from publically-owned companies (see Note 7).
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | In the case of receivables of a financial nature, impairment is determined on case-by-case basis. As of the date of issuance of these consolidated
financial statements, the Company had no significant past-due non-commercial financial assets (see Notes 6 and 18).
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | e) | Leases
| | -- | ------

Leases that substantially transfer all of the risks and benefits inherent to the property are classified as finance leases.
All others are classified as operating leases.

Finance leases in which the Endesa Chile acts as a lessee are recognized
when the agreement begins. At that time, the Group records an asset based on the nature of the lease and a liability for the same amount, equal to the fair value of the leased asset or the present value of the minimum lease payments, if the latter
is lower. Subsequently, the minimum lease payments are divided between finance expense and principal reduction. The finance expense is recorded in the income statement and distributed over the lease term, so as to obtain a constant interest rate for
each period over the balance of the debt pending amortization. The asset depreciates on the same terms as other similar depreciable assets, as long as there is reasonable certainty that the lessee will acquire ownership of the asset at the end of
the lease. If no such certainty exists, the asset depreciates over the shorter term between the useful life of the asset and the term of the lease.

Operating lease payments are expensed on a straight-line basis over the term of the lease unless another type of systematic
basis of distribution is deemed more representative.



| | f) | Financial instruments
| | -- | ---------------------

Financial instruments are contracts that give rise to both a financial asset in one company and a financial liability or
equity instrument in another company.



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f.1)  Financial assets other than derivatives

Endesa Chile classifies its financial assets other than derivatives, whether permanent or temporary, except for investments
accounted for using the equity method (see Note 11) and those held for sale, into four categories:



| | - |  | Trade and other accounts receivable and Accounts receivable from related companies: These are recorded at amortized cost, which is the
initial fair value less principal repayments made, plus accrued and uncharged interest, calculated using the effective interest method.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The effective interest method is used to calculate the amortized cost of a financial asset or liability (or group of financial
assets or financial liabilities) and is charged to finance income or cost over the relevant period. The effective interest rate is the discount rate that exactly matches the estimated cash flows to be received or paid over the expected life of the
financial instrument (or, when appropriate, over a shorter period) to the net carrying amount of the financial asset or financial liability.



| | - | Held-to-maturity investments: Investments that Endesa Chile intends to hold and is capable of holding until their maturity is accounted for
at amortized cost as defined in the preceding paragraph.
| | - | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - | Financial assets at fair value with changes in net income:This includes the trading portfolio and those financial assets that have been
designated as such upon initial recognition and that are managed and evaluated using fair value criteria. They are valued in the consolidated statement of financial position at fair value, with changes in value recorded directly in income when they
occur.
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - | Available-for-sale financial assets: These are financial assets specifically designated as available for sale or that do not fit within any
of the three preceding categories. They are almost all financial investments in equity instruments (see Note 6).
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

These investments are recorded in the consolidated statement of financial position at fair value when it can be reliably
determined. For interests in unlisted companies or companies with very little liquidity, normally the fair value cannot be reliably determined. When this occurs, those interests are valued at acquisition cost or a lesser amount if evidence of
impairment exists.

Changes in fair value, net of tax, are recorded in the consolidated statement of comprehensive income:
Other comprehensive results, until the investments are disposed of, at which time the amount accumulated in this account for that investment is fully charged to the periods profit or loss.

Should the fair value be less than the acquisition cost, and if there is objective evidence that the asset has been more than
temporarily impaired, the difference is recorded directly in the periods losses.

Purchases and sales of financial
assets are accounted for using their trade date.

f.2)  Cash and cash equivalents

This account within the statement of consolidated financial position includes cash and bank balances, time deposits, and other
highly liquid investments (with a maturity of 90 days or less from the time of investment) that are readily convertible to cash and are subject to insignificant risk of changes in value.

f.3)  Financial liabilities other than derivatives

Financial liabilities are generally recorded based on cash received, net of any costs incurred in the transaction. In
subsequent periods, these obligations are valued at their amortized cost, using the effective interest rate method (see Note 3.f.1).

In the particular case that a liability is the underlying item of a fair value hedge derivative, as an exception, such
liability will be valued at its fair value for the portion of the hedged risk.



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In order to calculate the fair value of debt, both in the cases when it is
recorded in the statement of financial position and for fair value disclosure purposes as seen in Note 16, debt has been divided into fixed interest rate debt (hereinafter fixed-rate debt) and variable interest rate debt (hereinafter
floating-rate debt). Fixed-rate debt is that on which fixed-interest coupons established at the beginning of the transaction are paid explicitly or implicitly over its term. Floating-rate debt is that issued at a variable interest rate,
i.e., each coupon is established at the beginning of each period based on the reference interest rate. All debt has been valued by discounting expected future cash flows with a market-interest rate curve based on the payments currency.

f.4)  Derivative financial instruments and hedge accounting

Derivatives held by Endesa Chile are primarily transactions entered into to hedge interest and/or exchange rate risk, intended
to eliminate or significantly reduce these risks in the underlying transactions being hedged.

Derivatives are recorded at
fair value as of the date of the statement of financial position as follows: if their fair value is positive, they are recorded within Other financial assets; and if their fair value is negative, they are recorded within Other
financial liabilities. For derivatives on commodities, the positive value is recorded in Trade and other current receivables, and negative values are recorded in Trade and other current liabilities.

Changes in fair value are recorded directly in income except when the derivative has been designated for accounting purposes
as a hedge instrument and all of the conditions established under IFRS for applying hedge accounting are met, including that the hedge be highly effective. In this case, changes are recorded as follows:



| | - | Fair value hedges: The underlying portion for which the risk is being hedged is valued at its fair value, as is the hedge instrument, and
any changes in the value of both are recorded in the comprehensive income statement by netting the effects in the same comprehensive income statement account.
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - | Cash flow hedges: Changes in the fair value of the effective portion of derivatives are recorded in an equity reserve known as Reserve
for cash flow hedges. The cumulative loss or gain in this account is transferred to the comprehensive income statement to the extent that the underlying item impacts the comprehensive income statement because of the hedged risk, netting the
effect in the same comprehensive income statement account. Gains or losses from the ineffective portion of the hedge are recorded directly in the comprehensive income statement.
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

A hedge is considered highly effective when changes in the fair value or in the cash flows of the underlying item directly
attributable to the hedged risk are offset by changes in the fair value or the cash flows of the hedging instrument, with effectiveness ranging from 80% to 125%.

The Company does not apply hedge accounting to its investments abroad.

As a general rule, long-term commodity purchase or sale agreements are recorded in the consolidated statement of financial
position at their fair value as of period end, recording any differences in value directly in income, except when all of the following conditions are met:



| | - |  | The sole purpose of the agreement is for the Groups own use.
| | - |  | -------------------------------------------------------------



| | - |  | Endesa Chiles future projections justify the existence of these agreements for its own use.
| | - |  | --------------------------------------------------------------------------------------------



| | - |  | Past experience with agreements shows that they have been utilized for the Groups own use, except in certain isolated cases when they had to
be used for exceptional reasons or reasons associated with logistical issues beyond the control and projection of Endesa Chile.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | The agreement does not stipulate settlement by differences and the parties have not made it a practice to settle similar contracts by differences
in the past.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------



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The long-term commodity purchase or sale agreements maintained by Endesa Chile,
which are mainly for electricity, fuel, and other supplies, meet the conditions described above. Thus, the purpose of fuel purchase agreements is to use them to generate electricity, the electricity purchase contracts are used to make sales to
end-customers, and the electricity sale contracts are used to sell the companys own product.

The Company also
evaluates the existence of derivatives embedded in contracts or financial instruments to determine if their characteristics and risk are closely related to the principal contract, provided that when taken together they are not being accounted for at
fair value. If they are not closely related, they are recorded separately and changes in value are accounted for directly in the comprehensive income statement.

f.5)  Fair value measurement and classification of financial instruments

The fair value of the various derivative financial instruments is calculated as follows:



| | - |  | For derivatives traded on an active market, by its quoted price as of year-end.
| | - |  | -------------------------------------------------------------------------------



| | - |  | Endesa Chile values derivatives not traded on active markets by using the discounted cash flow method and generally accepted options valuation
models, based on current and future market conditions as of year-end.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Based on the hierarchy of the
inputs used these procedures, the Group classifies financial instruments at the following levels:



| |  |          |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | -------- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | Level 1: |  | Quoted price (unadjusted) in active markets for identical assets or liabilities;                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |  | Level 2: |  | Inputs other than quoted prices included within Level 1
that are observable for the assets or liabilities, either directly (i.e. as prices) or indirectly (i.e. derived from prices). The methods and hypotheses used to determine the fair values at level 2 by type of financial assets or financial
liabilities take into consideration estimated future cash flows discounted with the zero coupon interest rate curves for each currency. All of these valuations are carried out using external tools, such as Bloomberg; and
| |  | Level 3: |  | Inputs for assets or liabilities that are not based on observable market
data (unobservable inputs).                                                                                                                                                                                                                                                                                                                                                                                                                               

f.6)  Derecognition of financial assets and liabilities

Financial assets are derecognized when:



| | - |  | The contractual rights to receive cash flows related to the financial asset expire or have been transferred or, if the contractual rights are
retained, the Group has assumed a contractual obligation to pay these cash flows to one or more receivers.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | The Company has substantially transferred the risks and rewards of ownership of the financial asset, or, if it has neither transferred nor retained
substantially all the risks and rewards, when it does not retain control over the asset.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Transactions
in which the Group retains substantially all the inherent risks and rewards of ownership of the transferred asset, it continues recognizing the transferred asset in its entirety and recognizes a financial liability for the consideration received.
Transactions costs are recognized in profit and loss by using the effective interest method (see Note 3.f.1).

Financial
liabilities are derecognized when they are extinguished, that is, when the obligation arising from the liability has been paid or cancelled, or has expired.



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| | g) | Investments accounted for using the equity method
| | -- | -------------------------------------------------

The Groups interests in joint ventures and associates are recorded using the equity method.

Under the equity method, an investment in an associate or joint venture is initially recorded at cost. As of the acquisition
date, the investment is recorded in the statement of financial position based on the share of its equity that Endesa Chiles stake represents in its capital, adjusted for, if appropriate, the effect of transactions with subsidiaries plus any
goodwill generated in acquiring the company. If the resulting amount is negative, zero is recorded for that investment in the statement of financial position, unless Endesa Chile has a present obligation (either legal or implicit) to support the
companys negative equity situation, in which case a provision is recorded.

Dividends received from these companies
are deducted from the value of the investment, and any profit or loss obtained from them to which Endesa Chile is entitled based on its stake is recorded under Share of profit (loss) of associates accounted for using equity method.

Goodwill from the associate or joint venture is included in the book value of the investment. It is not amortized, nor is it
subject to individual impairment testing.

Appendix No. 3, Associated Companies and Joint Ventures,
included in these consolidated financial statements, provides information about the relationship of Endesa Chile with each of these entities.



| | h) | Inventories
| | -- | -----------

Inventories are valued at their weighted average acquisition price or the net realizable value, whichever is lower.



| | i) | Treasury shares
| | -- | ---------------

Treasury shares are deducted from equity in the consolidated statement of financial position and valued at acquisition cost.

The gains and losses from the disposal of treasury shares are recorded directly in Equity  Retained
earnings, without affecting the profit or loss for the fiscal year. As of December 31, 2013, there are no treasury shares, and no transactions with treasury shares were made during the 2013, 2012, or 2011 fiscal years.



| | j) | Provisions
| | -- | ----------

Obligations existing as of the date of the consolidated financial statements resulting from past events which may negatively
impact Endesa Chiles equity, and whose amount and timing of payment are uncertain, are recorded as provisions in the consolidated statement of financial position at the present value of the most likely amount that it is believed that Endesa
Chile will have to disburse to settle the obligation.

Provisions are quantified using the best information available as
of the date of issuance of the consolidated financial statements regarding the consequences of the event causing the provision and are re-estimated at each subsequent accounting close.

j.1)  Provisions for post-employment benefits and similar obligations

Endesa Chile and some of its subsidiaries have pension and similar obligations to their employees. Such obligations, which
combine defined benefits and defined contributions, are basically formalized through pension plans, except for certain non-monetary benefits, mainly electricity supply commitments, which, due to their nature, have not been externalized and are
covered by the related in-house provisions.



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For defined benefit plans, the cost of providing benefits is determined using the
Projected Unit Credit Method, with actuarial valuations being carried out at the end of each reporting period. Past service costs relating to changes in benefits are recognized immediately.

The defined benefit plan obligations in the statement of financial position represent the present value of the accrued
obligations, adjusted, once the fair value of the different plans assets has been deducted, if applicable.

Actuarial gains and losses arising in the measurement of both the plan liabilities and the plan assets are recognized in Other
Comprehensive Income and then reclassified under Equity - Retained earnings.

Contributions to defined
contribution benefit plans are recognized as an expense in the consolidated statement of comprehensive income when the employees have rendered their services.



| | k) | Conversion of balances in foreign currency
| | -- | ------------------------------------------

Transactions carried out by each company in a currency other than its functional currency are recorded using the exchange
rates in effect as of the date of each transaction. During the year, any differences that arise between the exchange rate recorded in accounting and the rate prevailing as of the date of collection or payment are recorded as Foreign currency
exchange differences in the consolidated statements of comprehensive income.

Likewise, at the end of each fiscal
year, balances receivable or payable in a currency other than each companys functional currency are converted using the period-end exchange rate. Any valuation differences are recorded as Foreign currency exchange differences in
the consolidated statements of comprehensive income.

Endesa Chile has established a policy to hedge the portion of
revenue that is directly linked to variations in the US dollar by obtaining financing in this currency. Exchange differences related to this debt, as they are cash flow hedge transactions, are charged, net of taxes, to a reserve account in equity
and recorded in income during the period in which the hedged cash flows are realized. This term has been estimated at ten years.



| | l) | Current/non-current classification
| | -- | ----------------------------------

In these consolidated statements of financial position, assets and liabilities expected to be recovered or settled within
twelve months are presented as current items, except for post-employment and other similar obligations, and those assets and liabilities expected to be recovered or settled in more than twelve months are presented as non-current items.

Should the Company have any obligations that mature in less than twelve months but can be refinanced over the long term at the
Companys discretion, through unconditionally available credit agreements with long-term maturities, such obligations could be classified as long-term liabilities.



| | m) | Income tax
| | -- | ----------

Income tax expense for the fiscal year is determined as the sum of current taxes from Endesa Chiles different
subsidiaries and results from applying the tax rate to the taxable base for the year, after allowable deductions have been made, plus any changes in deferred tax assets and liabilities and tax credits, both for tax losses and deductions. Differences
between the book value and tax basis of assets and liabilities generate deferred tax asset and liability balances, which are calculated using tax rates expected to be in effect when the assets and liabilities are realized or settled. Considered for
this purpose are rates that have been approved by the end of the period reported on, or whose approval process is practically complete.

Current taxes and changes in deferred tax assets and liabilities not arising from business combinations are recorded in income
or in equity in the statement of financial position, based on where the gains or losses originating them were recorded.



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Deferred tax assets and tax credits are recognized only when it is likely that
future tax gains will be sufficient to recover deductions for temporary differences and make use of tax credits.

Deferred
tax liabilities are recognized for all temporary differences, except those derived from the initial recognition of goodwill and those that arose from valuing investments in subsidiaries, associates and joint ventures in which Endesa Chile can
control their reversal and where it is likely that they will not be reversed in the foreseeable future.

Any deductions
that can be applied to current tax liabilities are credited to earnings within the line item Income tax expenses, except when doubts exist about their tax realization, in which case they are not recognized until they are effectively
realized, or when they correspond to specific tax incentives, in which case they are recorded as grants.

At each
accounting period close, the Company reviews the deferred taxes it has recorded, both assets and liabilities, in order to ensure they remain current and otherwise make any necessary corrections based on the results of this analysis.



| | n) | Revenue and expense recognition
| | -- | -------------------------------

Revenues and expenses are recognized on an accrual basis.

Revenue is recognized when the gross inflow of economic benefits arising in the course of the Endesa Chiles ordinary
activities in the period occurs, provided that this inflow of economic benefits results in an increase in total equity that is not related to contributions from equity participants and that these benefits can be measured reliably. Revenue is
measured at the fair value of the consideration received or receivable that gives rise to the revenue.

Revenue associated
with the rendering of services is only recognized if it can be estimated reliably, based on the stage of completion of the service rendered at the date of the statement of financial position.

Endesa Chile excludes from the revenue figure gross inflows of economic benefits it receives when it acts as an agent or
commission agent on behalf of third parties, and only recognizes as revenue economic benefits received for its own account.

When goods or services are exchanged or swapped for goods or services of a similar nature and value, the exchange is not
regarded as a revenue-generating transaction.

Endesa Chile records the net amount of non-financial asset purchase or sale
contracts settled for the net amount of cash or through some other financial instruments. Contracts entered into and maintained for the purpose of receiving or delivering these non-financial assets are recognized on the basis of the contractual
terms of the purchase, sale, or usage requirements expected by the entity.

Interest income (expense) is recognized at the
effective interest rate applicable to the outstanding principal over the repayment period.

The Companys primary
line of business is in the electricity generation segment, and a minor percentage of its revenues comes from other activities related to this main line of business.



| | o) | Earnings per share
| | -- | ------------------

Basic earnings per share are calculated by dividing net income attributable to shareholders of the Parent Company (the
numerator) by the weighted average number of ordinary shares in circulation during the period (the denominator), excluding the average number of shares of the Parent Company held by any subsidiary company, if any.



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During the 2013, 2012, and 2011 fiscal years, the Group did not engage in any
transaction of any kind with potential dilutive effects leading to diluted earnings per share that could differ from basic earnings per share.



| | p) | Dividends
| | -- | ---------

Article 79 of the Chilean Companies Act establishes that, unless unanimously agreed otherwise by the shareholders of all
issued shares, listed corporations must distribute a cash dividend to shareholders on a yearly basis, prorated by the shares owned or the proportion established in the companys by-laws if there are preferred shares, of at least 30% of net
income for each period, except when accumulated losses from prior years must be absorbed.

As it is practically impossible
to achieve a unanimous agreement given Endesa Chiles highly fragmented share capital, as of the end of each year the amount of the dividend obligation to its shareholders is determined, net of interim dividends approved during the fiscal year,
and then accounted for in Trade and other current payables and Accounts payable to related companies, as appropriate, and charged to Equity.

Interim and final dividends are deducted from Equity as soon as they are approved by the competent body, which in the first
case is normally the Companys Board of Directors and in the second case is the Ordinary Shareholders Meeting.



| | q) | Cash flow statement
| | -- | -------------------

The cash flow statement reflects changes in cash that took place during the period, determined with the direct method. It uses
the following expressions and corresponding meanings:



| | - |  | Cash flow: inflows and outflows of cash or cash equivalents, which are defined as highly liquid investments maturing in less than three
months with a low risk of changes in value.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Operating activities: the principal revenue-producing activities of the Group and other activities that cannot be considered investing or
financing activities.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Investment activities: the acquisition and disposal of long-term assets and other investments not included in cash and cash equivalents.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Financing activities: activities that result in changes in the size and composition of the total equity and borrowings of the Group.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------



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|4. | SECTOR REGULATIONS AND ELECTRICITY SYSTEM OPERATIONS
|-- | ----------------------------------------------------



| | a) | Chile
| | -- | -----

In Chile, the electricity sector is
regulated by the General Law of Electrical Services (Chilean Electricity Law), also known as DFL No. 1 of 1982, of the Ministry of Miningwhose compiled and coordinated text was established in DFL No. 4 issued in 2006 by the Ministry
of Economy (the Electricity Law)as well as by an associated Regulation (D.S. No. 327 issued in 1998). Three government bodies are primarily responsible for enforcing this law: the National Energy Commission (CNE), which has the authority
to propose regulated tariffs (node prices) and to draw up indicative plans for the construction of new generating units; the Superintendency of Electricity and Fuels (SEF), which supervises and oversees compliance with the laws, regulations, and
technical standards that govern the generation, transmission, and distribution of electricity, as well as liquid fuels, and gas; and, finally, the recently created Ministry of Energy, which is responsible for proposing and guiding public policies on
energy matters. It also oversees the SEF, the CNE, and the Chilean Commission for Nuclear Energy (ChCNE), thus strengthening coordination and allowing for an integrated view of the energy sector. The Ministry of Energy also includes the Agency for
Energy Efficiency and the Center for Renewable Energy. The Chilean Electricity Law has also established a Panel of Experts whose main task is to resolve potential discrepancies among the players in the electricity market, including electricity
companies, system operators, regulators, etc.

From a physical view point, the Chilean electrical sector is divided into
four electrical grids: the Sistema Interconectado Central (SIC), the Sistema Interconectado del Norte Grande (SING), and two separate medium-size grids located in southern Chile, one in Aysén and the other in Magallanes. The
SIC, the main electrical grid, runs 2,400 km longitudinally and connects the country from Taltal in the north to Quellon, on the island of Chiloe in the south. The SING covers the northern part of the country, from Arica down to Coloso, covering a
length of some 700 km.

The electricity industry is organized into three business segments: generation, transmission, and
distribution, all operating in an interconnected and coordinated manner, and whose main purpose is to supply electrical energy to the market at minimum cost while maintaining the quality and safety service standards required by the electrical
regulations. As essential services, the power transmission and distribution businesses are natural monopolies; these segments are regulated as such by the electricity law, which requires free access to networks and regulates rates.

Under the Chilean Electricity Law, companies engaged in generation and transmission on an interconnected electrical grid must
coordinate their operations through a centralizing operating agent, the Centro de Despacho Económico de Carga (CDEC), in order to operate the system at minimum cost while maintaining reliable service. For this reason, the CDEC plans
and operates the system, including the calculation of the so-called marginal cost, which is the price assigned to CDEC-organized energy transfers occurring among power generating companies.

Therefore, a companys decision to generate electricity is subject to the CDECs operation plan. On the other hand,
each company is free to decide whether to sell its energy to regulated or unregulated customers. Any surplus or deficit between a companys sales to its customers and its energy supply is sold to, or purchased from, other generators at the spot
market price.

A power generating company may have the following types of customers:

(i) Distribution companies that supply power to regulated customers: This distribution is to residential and commercial
consumers and small and medium-size businesses with a connected capacity equal to or less than 500 kW located in the concession area of a distribution company. Customers that consume from 500 kW to 2000 kW may choose to be regulated or unregulated
clients. Until 2009, the transfer prices between generators and distribution companies for supplying power to regulated customers were capped at a maximum value called the node price, which is regulated by the Ministry of Energy. Node prices are set
every six months, in April and October, based on a report prepared by the CNE that takes into account projections of expected marginal costs in the system over the next 48 months for the SIC and 24 months for the SING. Beginning in 2010, and as the
node price contracts begin to expire, the transfer prices between generators and distributors is being replaced by the results of regulated bidding processes, with a price cap set by the authority every six months.



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(ii) Unregulated customers: Those customers, mainly industrial and mining
companies, with a connected capacity of over 2,000 kW. These consumers can freely negotiate prices for electrical supply with generators and/or distributors. Customers with capacity between 500 and 2,000 kW, as indicated in the preceding paragraph,
have the option to contract energy at prices agreed upon with their suppliers or be subject to regulated prices, with a minimum stay of at least four years under each pricing system.

(iii) Spot market: This represents energy and capacity transactions among generating companies that result from the
CDECs coordination to keep the system running as economically as possible, where the surpluses (deficits) between a generators energy supply and the energy it needs to comply with business commitments are transferred through sales
(purchases) to (from) other generators in the CDEC. In the case of energy, transfers are valued at the marginal cost, while node prices for capacity are set every semester by the regulators.

In Chile, the capacity that must be paid to each generator depends on an annual calculation performed by the CDEC to determine
the firm capacity of each power plant, which is not the same as the dispatched capacity.

Beginning in 2010 with the
enactment of Law 20,018, distribution companies must have enough supply permanently available to cover their entire demand projected for a period of three years; to do so, they must carry out long-term public bidding processes.

Regarding renewable energy, in April of 2008 Law 20,257 was enacted, which encourages the use of Non-Conventional Renewable
Energies (NCRE). The principal aspect of this law is that at least 5% of generation companies energy sold to its customers must come from renewable sources between years 2010 and 2014. This requirement progressively increases by 0.5% from year
2015 until 2024, when a 10% renewable energy requirement will be reached. This law was recently amended by Law 20,698, published in the Official Gazette (Diario Oficial) on October 22, 2013 and dubbed the 20/25 law, as it
establishes that by 2025, 20% of power supplied will be generated by NCRE. It does not change plan from the previous law for supplying power under agreements in effect in July 2013.

On December 31, 2012, the Regulations containing the provisions governing complementary services were published in the
Official Gazette. These services are understood to be the technical resources in generation, transmission and distribution, and customer facilities that are not subject to price regulations and that each electrical system must have for the
coordination of its operations as stipulated in Article 137 of the General Law on Electrical Services.

On August 7,
2013, the Superintendency of Electricity and Fuels (SEF), in ORD No. 7230, invoking its powers of interpretation and supervision, decreed that distribution companies consumption in excess of the supply they have contracted with generating
companies that have agreed to supply their power through tenders, must be covered with the surplus power that other distributors have contracted through tenders with other generating companies. For this purpose, distribution companies with surpluses
may transfer their excess power to distribution companies with deficits with no need to obtain the consent of the respective generator.

Law 20,701, the Electricity Concession Law, whose purpose is to streamline the process for obtaining power concessions, was
published in the Official Gazette on October 14, 2013. This new law simplifies the process for obtaining temporary concessions, shortens processing times, identifies possible observations and opposition to projects, modifies the notification
process, establishes summary judicial proceedings, makes it possible to divide concession applications, modifies the procedure for real estate appraisals, and resolves conflicts between different types of concessions.

On January 8, 2014, the Senate, unanimously on its third vote, passed the bill amending the General Electricity Services
Law in order to permit interconnection of the central grid (the SIC) with the northern grid (the SING).



| | b) | The rest of Latin America
| | -- | -------------------------

Brazil, Colombia, and Peru

Legislation in Brazil, Colombia, and Peru allows participation of private capital in the electricity sector, upholds
free competition between companies in electricity generation, and defines criteria to avoid certain levels of economic concentration and/or market practices that may cause a decline in free competition.



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In regards to the main characteristics of the electricity generation business, it
can be said that in general, these are open markets in which private players are free to make their own investment decisions, within government guidelines. The exception is Brazil, a country which, based on the contractual needs of the distribution
companies, the Ministry of Energy actively participates in the expansion of the electricity system by, on the one hand, establishing capacity quotas by type of technology and, on the other, promoting separate bids for thermal, hydraulic, or
renewable energies or participating directly by organizing public bids for specific projects. In addition, operations in these countries are centrally coordinated, with an independent operator coordinating load dispatch. Except for Colombia, where
dispatch is based on prices offered by the players, in the other countries load dispatched is centralized, based on variable production costs in order to ensure the fulfillment of the demand at a minimum cost for the system. From that dispatch, the
marginal cost, which defines the price for spot transactions, is determined. In Brazil, the price at which spot market transactions are settled is called the Difference Settlement Price (PLD, its Portuguese acronym), which takes into account the
risk aversion curve of the players. As for Peru, its spot price fixing system does do not necessarily reflect system costs since it defines an idealized marginal cost which does not take into account the current restrictions of the gas and
electricity transport system, and at the same time defines a ceiling price for the market. This was established in an emergency regulation in 2008 (Emergency Decree 049 of 2008) and is expected to remain in effect until 2015.

In Colombia, Brazil, and Peru, generation players are able to sell energy through contracts in the regulated or unregulated
markets, and to trade their surplus/deficit on the spot market. The unregulated market is focused on the segment of large users, although the limits that define this status vary in each market: Brazil: 3,000 kW or 500 kW for renewable fuels;
Colombia: 100 kW or 55 MWh per month; and Peru: at least 200 kW.

The principal differences among the markets involve how
energy sales are regulated among generators and distributors and how regulated prices are established for the determination of the tariffs charged to end users:



| |  |  | In Brazil, there are two markets for contracting energy. In the unregulated market, suppliers and their clients directly negotiate energy purchase
conditions. In the regulated market, where distribution companies operate, energy purchases must go through a tender process coordinated by ANEEL, the National Electricity Agency. In this way, the regulated purchase price used in the determination
of tariffs to end users is based on average prices of open bids, and there are separate bidding processes for existing and new energy. Bidding processes for new energy contemplate long-term generation contracts in which new generation projects must
cover the growth of demand foreseen by distributors. The open bids for existing energy consider shorter contractual terms and seek to cover the distributors contractual needs arising from the expiry of prior contracts. Each bidding process is
coordinated centrally. Authorities set maximum prices and, as a result, contracts are signed where all distributors participating in the process buy pro rata from each offering generator.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | In order to reduce the final price of electricity tariffs and to re-launch economic activity in Brazil, on September 11, 2012, the government
approved Temporary Measure (Medida Provisoria) 579, which establishes the conditions for renewing the electricity industrys concessions that expire between 2015 and 2017 and reduces the tax burden on electricity tariffs, which will now
be covered with government funds. Law 12,783 converting the Temporary Measure and Development Decree 7891 was published in January of 2013. In compliance with the Law and the Decree, on January 25, 2013 the ANEEL approved an extraordinary
tariff revision that reduced electricity rates by an average of 20% for regulated clients, due in part to lower energy costs as a result of renewed generation and transmission concessions and in part to a reduction in tariff charges.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | In Colombia, distributors are free to decide their supply, being able to define the conditions of public bidding processes where they acquire
energy for the regulated market, and they are able to buy energy on the spot market. Prices paid by end users reflect an average of the purchase price. Since 2004, the CREG (the Colombian Energy and Gas Regulation Commission) has working on a
proposal called the Regulated Organized Market or MOR, its acronym in Spanish, to modify the energy contracting system in the Colombian market. Under the proposal, the existing contracting system will be modified into an electronic contract system.
This mechanism will replace the current bidding processes by energy auctions with standardized commercial conditions, where contractual demand will be treated as a single aggregate demand.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | In Peru, as in Chile, distributors are obligated to enter into contracts for their energy supply, and the legislation was amended so that public
bids would be based on distributor requirements. Currently, there are only a few contracts between generators and distributors that are in force at bar price (the equivalent of the node price in Chile), which is set on the basis of
centralized calculations. However, since 2007 contracts are based on public bids. Authorities approve the terms and conditions for the bidding and set the maximum price for each bid.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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All of these countries have some regulations in force promoting the use of
renewable energy. However, unlike Chile, they have not established a mandatory quota for incorporating this type of technology. In Brazil, the ANEEL holds auctions by technology type, taking into consideration the expansion plan set by the planning
agency in order to reach the goal set for the level of alternative renewable energy capacity. Peru has a 5% maximum goal for the use of NCRE in the countrys energy system, and the regulatory authority, the Energy and Mining Investment
Supervisory Agency (OSINERGIM), holds discriminatory auctions to meet this goal. Colombia currently has an indicative goal of 3.5% for the National Energy System in 2015 and 6.5% in 2020, but the plan is currently under review.

Argentina

Argentina has shown signs of intervention in the electricity market since the crisis of 2002. Under the previous regulations,
generators sold to distributors at prices obtained from centralized calculations of the average spot market price. The distributers purchase price was the average price forecast for the next six months, called the Seasonal Price (Precio
Estacional). Any differences between the Seasonal Price (the purchase price) and the actual spot price (the selling price) was charged to the Seasonal Fund (Fondo Estacional) managed by the Electricity Wholesale Market Administration
Company (CAMMESA).

However, after the 2002 crisis, the authorities changed the price-setting criteria, bringing the
marginal pricing system to an end. First, marginal prices were set as if there were no restrictions on natural gas. In effect, despite the fact that generation is dispatched on the basis of the fuels actually used, Resolution SE 240/2003 establishes
that the marginal price is to be calculated taking into consideration all of the generation units as if there were no restrictions in effect on natural gas supplies. In addition, the expense of water is not included in the calculations if its
opportunity cost is higher than the cost of generating power with natural gas. Second, it established a spot price ceiling of Ar$120/MWh. However, CAMMESA pays the actual variable costs of the liquid fuel-fired thermal plants through the Temporary
Dispatch Cost Overruns program.

In addition, as the dollarized economy was devalued and went back to the peso, payment
for capacity fell from US$10 to Ar$10 per MWh. Capacity payments have subsequently risen slightly, to 12 pesos.

Additionally, the freezing of prices paid by distributors caused a gap between actual generation costs and the payments made
based on demand through the distributors. This resulted in various types of special agreements aimed at recovering costs, in accordance with regulations in force.

It was in this context that the government announced in 2012 its plan to modify the current regulatory framework and to
develop in 2013 and 2014 a payment system based on an average cost scheme.

Resolution 95/13 was published in the Official
Bulletin (Boletín Oficial) on March 26, 2013, significantly changing the system for generators remunerations and other aspects of how the Wholesale Electricity Market, or MEM, operates. This new system applies to previous
generation, provided that past and future claims against Resolution SE 406/03 and the Generation Agreement of 2008-2011 are withdrawn.

On May 30 and 31, 2013, the Groups generating companies (Endesa Costanera and Hidroeléctrica El
Chocón) accepted the terms of Resolution SE 95/2013.

This resolution marked the end of marginal pricing as a
payment system in the Argentine power generation market and established, instead, payment by type of technology and size of plant. For each case, it recognizes fixed costs (determined on the basis of fulfillment of availability) and variable costs,
plus an additional remuneration (the two parts are determined on the basis of the energy generated). Part of the additional remuneration will be placed in a trust for future investments.



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In principle, commercial management and fuel dispatch will be in the hands of CAMMESA; Terminal Market agreements cannot be extended or renewed, and large users, once their respective contracts
are up, must purchase their supply from CAMMESA. However, the Secretary of Energy, in Note SE 1807/13, gives generators the opportunity to express their intention to continue handling collections for their entire contract portfolio, thus ensuring a
certain amount of cash flow and a continuing relationship with the customer.

It is also important to mention that Endesa
Costanera has availability contracts signed in 2012 that are still in effect, as well as combined cycle contracts (until 2015) and steam generation contracts (until 2019) that will enable the company to implement plan for investing in the Costanera
plant generation units in order to optimize the reliability and availability of that plant. The contracts also include payment of the commitments under the Long-Term Service Agreement (LTSA) for the plants combined cycles.

Limits on integration and concentration

In general, all of the countries have legislation in effect that defends free competition and, together with specific
regulations that apply to the electricity market, defines criteria to avoid certain levels of economic concentration and/or abusive market practices.

In principle, the regulators allow the participation of companies in different activities (e.g. generation, distribution, and
commercialization) as long as there is an adequate separation of each activity, for both accounting and company purposes. Nevertheless, most of the restrictions imposed involve the transmission sector mainly due to its nature and to the need to
guarantee adequate access to all agents. In Argentina and Colombia there are specific restrictions if generation or distribution companies want to become majority shareholders in transmission companies.

Regarding concentration in a specific sector, in Argentina, there are no specific limits that affect the vertical or
horizontal integration of a company. In Chile, while there are regulations on free competition, there are no specific quantitative limits on vertical or horizontal integration. However, the General Law on Electrical Services provides that companies
that operate on or have ownership in the Trunk Transmission Systems cannot engage in, either directly or indirectly, activities that are in any way involved in the business of power generation or distribution. In Peru, integrations are subject to
authorization if such integration is 5% vertical and 15% horizontal. In Colombia, no company may have a direct or indirect market share of over 25% in electricity sale activities. In addition, Colombian companies created after 1994 can only engage
in activities that complement generation/sales and distribution/sales. Finally, in Brazil, with the changes taking place in the power industry under Law 10,848/2004 and Decree 5,163/2004, the ANEEL gradually perfected regulations, eliminating
concentration limits as no longer compatible with the prevailing regulatory environment.

With regard to consolidations
and mergers between agents of the same segment, current regulation requires authorization from the local regulator.



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|5. | CASH AND CASH EQUIVALENTS
|-- | -------------------------



| | a) | The detail of cash and cash equivalents as of December 31, 2013, December 31, 2012, and January 1, 2012, is as follows:
| | -- | -----------------------------------------------------------------------------------------------------------------------



|                               |                         |  |             |                         |            |  |                         |  |  |  |             | 
|------------------------------ | ----------------------- |  | ----------- | ----------------------- | ---------- |  | ----------------------- |  |  |  | ----------- | 
|Cash and Cash Equivalents      |                         |  |             |                         | Balance at |  |                         |  | 
|                               | 12-31-2013        ThCh$ |  |             | 12-31-2012        ThCh$ |            |  | 01-01-2012        ThCh$ | 
|                               |                         |  |             |                         |            |  |                         |  |  |  |             | 
|Cash balances                  |                         |  | 170,449     |                         |            |  | 143,980                 |  |  |  | 567,410     | 
|Bank balances                  |                         |  | 92,937,397  |                         |            |  | 192,200,604             |  |  |  | 160,278,488 | 
|Time deposits                  |                         |  | 201,986,590 |                         |            |  | 41,286,491              |  |  |  | 42,979,532  | 
|Other fixed-income instruments |                         |  | 28,712,943  |                         |            |  | 2,046,658               |  |  |  | 185,942,841 | 
|                               |                         |  |             |                         |            |  |                         |  |  |  |             | 
|Total                          |                         |  | 323,807,379 |                         |            |  | 235,677,733             |  |  |  | 389,768,271 | 

Time deposits have a maturity of three months or less from their date of acquisition and
accrue the market interest for this type of investments. Other fixed-income investments are mainly comprised of operations with maturities of 90 days or less from the date of investment. The company has no restrictions on significant amounts of
available cash.



| | b) | The detail of cash and cash equivalents by currency is as follows:
| | -- | ------------------------------------------------------------------



|                   |       |            |             |       |            |  |             |            |  |  |             | 
|------------------ | ----- | ---------- | ----------- | ----- | ---------- |  | ----------- | ---------- |  |  | ----------- | 
|Currency           |       | 12-31-2013 |             |       | 12-31-2012 |  |             | 01-01-2012 | 
|                   | ThCh$ |            |             | ThCh$ |            |  | ThCh$       |           
|Chilean peso       |       |            | 54,192,317  |       |            |  | 6,284,098   |            |  |  | 176,040,401 | 
|Argentine peso     |       |            | 6,248,527   |       |            |  | 5,902,409   |            |  |  | 18,496,001  | 
|Colombian peso     |       |            | 227,767,858 |       |            |  | 187,767,447 |            |  |  | 136,254,802 | 
|Peruvian nuevo sol |       |            | 20,637,363  |       |            |  | 31,593,851  |            |  |  | 29,927,607  | 
|U.S. Dollar        |       |            | 14,961,314  |       |            |  | 4,129,928   |            |  |  | 29,049,460  | 
|                   |       |            |             |       |            |  |             |            |  |  |             | 
|Total              |       |            | 323,807,379 |       |            |  | 235,677,733 |            |  |  | 389,768,271 | 



|6. | OTHER FINANCIAL ASSETS
|-- | ----------------------

The detail of other financial assets as of
December 31, 2013, December 31, 2012, and January 1, 2012 is as follows:



|                                                                                                |  |            |            |  |             |  |            |            |  |  |            |  |  |            |           |  |            |  |            |  |  |  |            | 
|----------------------------------------------------------------------------------------------- |  | ---------- | ---------- |  | ----------- |  | ---------- | ---------- |  |  | ---------- |  |  | ---------- | --------- |  | ---------- |  | ---------- |  |  |  | ---------- | 
|                                                                                                |  | Current    |            |  | Non-current | 
|Other Financial Assets                                                                          |  | 12-31-2013 |            |  | 12-31-2012  |  |            | 01-01-2012 |  |  | 12-31-2013 |  |  | 12-31-2012 |           |  | 01-01-2012 | 
|                                                                                                |  | ThCh$      |            |  | ThCh$       |  |            | ThCh$      |  |  | ThCh$      |  |  | ThCh$      |           |  | ThCh$      | 
|                                                                                                |  |            |            |  |             |  |            |            |  |  |            |  |  |            |           |  |            |  |            |  |  |  |            | 
|Available-for-sale financial investments - quoted equity securities                             |  |            | -          |  |             |  | -          |            |  |  | -          |  |  |            | 6,468     |  |            |  | 6,358      |  |  |  | 61,676     | 
|Available-for-sale financial investments - unquoted equity securities or with limited
liquidity |  |            | -          |  |             |  | -          |            |  |  | -          |  |  |            | 4,037,314 |  |            |  | 3,995,919  |  |  |  | 3,883,731  | 
|Hedging derivatives (*)                                                                         |  |            | 21,128,524 |  |             |  | 51,876     |            |  |  | 723,067    |  |  |            | 16,507    |  |            |  | 29,200,554 |  |  |  | 9,385,907  | 
|Non-hedging derivatives (*)                                                                     |  |            | 2,063,414  |  |             |  | -          |            |  |  | 47,504     |  |  |            | -         |  |            |  | -          |  |  |  | -          | 
|Financial assets at fair value with change in profit or loss (*)                                |  |            |            |  |             |  | 25,067,909 |            |  |  | -          |  |  |            | -         |  |            |  | -          |  |  |  | -          | 
|Financial assets held to maturity (*)                                                           |  |            | 944,540    |  |             |  | -          |            |  |  | -          |  |  |            | -         |  |            |  | -          |  |  |  | -          | 
|Other                                                                                           |  |            | -          |  |             |  | -          |            |  |  | 143,638    |  |  |            | -         |  |            |  | 102,159    |  |  |  | 161,140    | 
|                                                                                                |  |            |            |  |             |  |            |            |  |  |            |  |  |            |           |  |            |  |            |  |  |  |            | 
|Total                                                                                           |  |            | 24,136,478 |  |             |  | 25,119,785 |            |  |  | 914,209    |  |  |            | 4,060,289 |  |            |  | 33,304,990 |  |  |  | 13,492,454 | 

( *) See Note 18.2.a.

(**) See Note 18.2.b.



F-48



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##### Table of Contents

|7. | TRADE AND OTHER RECEIVABLES
|-- | ---------------------------



| | a) | The detail of trade and other receivables as of December 31, 2013, December 31, 2012, and January 1, 2012 is as follows:
| | -- | ------------------------------------------------------------------------------------------------------------------------



|                                   |                |            |             |                    |  |  |                |  |  |                    |             |  |                |  |             |                    |  |  |             |  |  |  |             | 
|---------------------------------- | -------------- | ---------- | ----------- | ------------------ |  |  | -------------- |  |  | ------------------ | ----------- |  | -------------- |  | ----------- | ------------------ |  |  | ----------- |  |  |  | ----------- | 
|Trade and Other Receivables, Gross |                | Balance at |            
|                                   | 12-31-2013     |            |             | 12-31-2012         |  |  | 01-01-2012     | 
|                                   | Current 
ThCh$ |            |             | Non-current 
ThCh$ |  |  | Current 
ThCh$ |  |  | Non-current 
ThCh$ |             |  | Current 
ThCh$ |  |             | Non-current 
ThCh$ | 
|                                   |                |            |             |                    |  |  |                |  |  |                    |             |  |                |  |             |                    |  |  |             |  |  |  |             | 
|Trade and other receivables, gross |                |            | 251,755,148 |                    |  |  | 131,597,410    |  |  |                    | 222,270,043 |  |                |  | 146,964,151 |                    |  |  | 285,265,470 |  |  |  | 151,608,768 | 
|Trade receivables, gross           |                |            | 229,143,110 |                    |  |  | 125,349,056    |  |  |                    | 139,929,739 |  |                |  | 140,323,852 |                    |  |  | 250,759,639 |  |  |  | 148,367,033 | 
|Other receivables, gross           |                |            | 22,612,038  |                    |  |  | 6,248,354      |  |  |                    | 82,340,304  |  |                |  | 6,640,299   |                    |  |  | 34,505,831  |  |  |  | 3,241,735   | 
|                                   |                |            |             |                    |  |  |                |  |  |                    |             |  |                |  |             |                    |  |  |             |  |  |  |             | 
|Trade and Other Receivables, Net   |                | Balance at |            
|                                   | 12-31-2013     |            |             | 12-31-2012         |  |  | 01-01-2012     | 
|                                   | Current 
ThCh$ |            |             | Non-current 
ThCh$ |  |  | Current 
ThCh$ |  |  | Non-current 
ThCh$ |             |  | Current 
ThCh$ |  |             | Non-current 
ThCh$ | 
|                                   |                |            |             |                    |  |  |                |  |  |                    |             |  |                |  |             |                    |  |  |             |  |  |  |             | 
|Trade and other receivables, net   |                |            | 247,762,922 |                    |  |  | 131,597,410    |  |  |                    | 217,682,591 |  |                |  | 146,964,151 |                    |  |  | 278,790,141 |  |  |  | 151,608,768 | 
|Trade receivables, net (*)         |                |            | 226,448,136 |                    |  |  | 125,349,056    |  |  |                    | 136,604,395 |  |                |  | 140,323,852 |                    |  |  | 245,610,400 |  |  |  | 148,367,033 | 
|Other receivables, net (**)        |                |            | 21,314,786  |                    |  |  | 6,248,354      |  |  |                    | 81,078,196  |  |                |  | 6,640,299   |                    |  |  | 33,179,741  |  |  |  | 3,241,735   | 

(*) As of December 31, 2013 and 2012, includes ThCh$1,468,908 and ThCh$12,307,382,
respectively, from agreements corresponding to reconciliation, termination of arbitration, and settling of prices between Endesa Chile and Compañía de Papeles y Cartones (CMPC).

(**) As of December 31, 2013, December 31, 2012, and January 1, 2012, includes ThCh$0, ThCh$74,873,533, and
ThCh$24,261,059, respectively, in Accounts receivable from insurance (Bocamina I and II plants).

The balances in this
account do not generally accrue interest.

The Group does not have clients to which it has sales representing 10% or more
of its operating income in the fiscal years ended December 31, 2013 and 2012.

Refer to Note 8.1 for detailed
information on amounts, terms, and conditions associated with accounts receivable from related companies



| | b) | As of December 31, 2013, December 31, 2012, and January 1, 2012, the balance of unimpaired past due trade receivables is as
follows:
| | -- | ------------------------------------------------------------------------------------------------------------------------------------



|                                            |                      |            |            |                      |  |  |                      |  |  |  |           | 
|------------------------------------------- | -------------------- | ---------- | ---------- | -------------------- |  |  | -------------------- |  |  |  | --------- | 
|Trade Receivables Past Due but Not Impaired |                      | Balance at |           
|                                            | 12-31-2013     ThCh$ |            |            | 12-31-2012     ThCh$ |  |  | 01-01-2012     ThCh$ | 
|Less than three months                      |                      |            | 978,179    |                      |  |  | 851,999              |  |  |  | 1,419,316 | 
|Between three and six months                |                      |            | 21,242,045 |                      |  |  | 587,652              |  |  |  | 302       | 
|Between six and twelve months               |                      |            | 670,204    |                      |  |  | 1,394,740            |  |  |  | 350,334   | 
|Total                                       |                      |            | 22,890,429 |                      |  |  | 2,834,391            |  |  |  | 1,769,952 | 



F-49



---

##### Table of Contents

| | c) | The reconciliation of changes in the allowance for impairment of trade receivables is as follows:
| | -- | -------------------------------------------------------------------------------------------------



|                                         |  |                                 |             | 
|---------------------------------------- |  | ------------------------------- | ----------- | 
|Trade Receivables Past Due and Impaired  |  | Current and

Non-current

ThCh$ |            
|Balance at January 1, 2012               |  |                                 | 6,475,329   | 
|Increases (decreases) for the year       |  |                                 | (1,460,736) | 
|Amounts written off                      |  |                                 | (271,908)   | 
|Foreign currency translation differences |  |                                 | (30,262)    | 
|Other                                    |  |                                 | (124,971)   | 
|Balance at December 31, 2012             |  |                                 | 4,587,452   | 
|Increases (decreases) for the year (*)   |  |                                 | (140,365)   | 
|Amounts written off                      |  |                                 | (411,830)   | 
|Foreign currency translation differences |  |                                 | (43,031)    | 
|Balance at December 31, 2013             |  |                                 | 3,992,226   | 

(*)See Note 26 for Depreciation, amortization, and impairment losses.

Write-offs for bad debt

Past-due debt is written off once all collection measures and legal proceedings have been exhausted and the debtors
insolvency has been demonstrated. In our power generation business, this process normally takes at least one year of procedures for the few cases that arise in each country.



| | d) | Additional information:
| | -- | -----------------------



| | - |  | Additional statistical information required under Official Bulletin 715 of the SVS, Chile, of February 3, 2012, XBRL Taxonomy: see Appendix 6.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Complementary information on trade receivables, see Appendix 6.1.
| | - |  | -----------------------------------------------------------------



F-50



---

##### Table of Contents

|8. | BALANCES AND TRANSACTIONS WITH RELATED PARTIES
|-- | ----------------------------------------------

Related party
transactions are performed at current market conditions.

Transactions between the Company and its subsidiaries have been
eliminated on consolidation and are not itemized in this note.

As of the date of these financial statements, no
guarantees have been given or received nor has any allowance for bad or doubtful accounts been recorded with respect to receivable balances for related company transactions.

8.1  Balances and transactions with related companies

The balances of accounts receivable and payable between the Company and its non-consolidated related companies are as follows:



| | a) | Receivables from related companies
| | -- | ----------------------------------



|                         |  |                                                           |  |                               |  |                    |  |                         |  |          |  |            |  |                   |             |  |                   |  |            |                   |  |  |                   |  |  |                   |   |  |                   |  |   |  |  |  |   | 
|------------------------ |  | --------------------------------------------------------- |  | ----------------------------- |  | ------------------ |  | ----------------------- |  | -------- |  | ---------- |  | ----------------- | ----------- |  | ----------------- |  | ---------- | ----------------- |  |  | ----------------- |  |  | ----------------- | - |  | ----------------- |  | - |  |  |  | - | 
|                         |  |                                                           |  |                               |  |                    |  |                         |  |          |  |            |  | Current           |             |  | Non-current       | 
|Taxpayer ID    No. (RUT) |  | Company                                                   |  | Description of Transaction    |  | Term ofTransaction |  | Relationship            |  | Currency |  | Country    |  | 12-31-2013 
ThCh$ |             |  | 12-31-2012 
ThCh$ |  |            | 01-01-2012 
ThCh$ |  |  | 12-31-2013 
ThCh$ |  |  | 12-31-2012 
ThCh$ |   |  | 01-01-2012 
ThCh$ | 
|                         |  |                                                           |  |                               |  |                    |  |                         |  |          |  |            |  |                   |             |  |                   |  |            |                   |  |  |                   |  |  |                   |   |  |                   |  |   |  |  |  |   | 
|Foreign                  |  | Comercializadora de Energía del Mercosur S.A.             |  | Energy sales                  |  | Less than 90 days  |  | Associate               |  | Ar$      |  | Argentina  |  |                   | 1,202,518   |  |                   |  | 3,259,940  |                   |  |  | 2,135,015         |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Comercializadora de Energía del Mercosur S.A.             |  | Other services                |  | Less than 90 days  |  | Associate               |  | Ar$      |  | Argentina  |  |                   | -           |  |                   |  | 5,788,317  |                   |  |  | 483,179           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,800,570-7             |  | Chilectra S.A.                                            |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 21,575,728  |  |                   |  | 15,575,922 |                   |  |  | 12,737,733        |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,800,570-7             |  | Chilectra S.A.                                            |  | Toll                          |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | -           |  |                   |  | -          |                   |  |  | 1,805,810         |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,800,570-7             |  | Chilectra S.A.                                            |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 1,578,572   |  |                   |  | 855,814    |                   |  |  | 975,867           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Companhía Interconexao Energética S.A.                    |  | Toll                          |  | Less than 90 days  |  | Common immediate parent |  | Ar$      |  | Brazil     |  |                   | 7,467,073   |  |                   |  | 7,903,684  |                   |  |  | 8,412,834         |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CP       |  | Colombia   |  |                   | 12,572,443  |  |                   |  | 14,882,711 |                   |  |  | 34,796,603        |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CP       |  | Colombia   |  |                   | 20,674      |  |                   |  | 84,496     |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Energía de Piura S.A.                          |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | Sol      |  | Peru       |  |                   | 139,579     |  |                   |  | -          |                   |  |  | 208,118           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Energía de Piura S.A.                          |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 15,899      |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Distribución Eléctrica de Lima Norte S.A.A.    |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | Sol      |  | Peru       |  |                   | 7,085,960   |  |                   |  | 9,221,914  |                   |  |  | 10,301,087        |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Distribución Eléctrica de Lima Norte S.A.A.    |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | Sol      |  | Peru       |  |                   | 10,191      |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa Distribuidora Sur S.A.                            |  | Mercantile current account    |  | Less than 90 days  |  | Common immediate parent |  | Ar$      |  | Argentina  |  |                   | 29,718      |  |                   |  | 9,428      |                   |  |  | 3,500             |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,783,910-8             |  | Empresa Eléctrica de Colina Ltda.                         |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 8,318       |  |                   |  | 2,768      |                   |  |  | 12,375            |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Energía de Cundinamarca S.A.                   |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CP       |  | Colombia   |  |                   | 934,281     |  |                   |  | 243,906    |                   |  |  | 307,638           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Other services                |  | Less than 90 days  |  | Parent                  |  | CH$      |  | Chile      |  |                   | 575,075     |  |                   |  | 999,042    |                   |  |  | 365,090           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Mercantile current account    |  | Less than 90 days  |  | Parent                  |  | CH$      |  | Chile      |  |                   | 20,913      |  |                   |  | -          |                   |  |  | -                 |  |  |                   |   |  |                   |  |   |  |  |  |   | 
|Foreign                  |  | Generalima S.A.                                           |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Peru       |  |                   | 50,298      |  |                   |  | 23,890     |                   |  |  | 311,013           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,418,940-K             |  | GNL Chile S.A.                                            |  | Other services                |  | Less than 90 days  |  | Associate               |  | US$      |  | Chile      |  |                   | 1,717,013   |  |                   |  | 546,833    |                   |  |  | 591,541           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,418,940-K             |  | GNL Chile S.A.                                            |  | Advance natural gas purchases |  | Less than 90 days  |  | Associate               |  | US$      |  | Chile      |  |                   | 11,382,879  |  |                   |  | -          |                   |  |  | -                 |  |  |                   |   |  |                   |  |   |  |  |  |   | 
|76,418,940-K             |  | GNL Chile S.A.                                            |  | Loans                         |  | Less than 90 days  |  | Associate               |  | US$      |  | Chile      |  |                   | 445,022     |  |                   |  | 379,802    |                   |  |  | 379,862           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,788,080-4             |  | GNL Quinteros S.A.                                        |  | Energy sales                  |  | Less than 90 days  |  | Associate               |  | CH$      |  | Chile      |  |                   | 366,882     |  |                   |  | 771,985    |                   |  |  | 8,926,072         |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,107,186-6             |  | ICT Servicios Informáticos Ltda.                          |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 11,918      |  |                   |  | 56,689     |                   |  |  | 18,979            |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|79,913,810-7             |  | Inmobiliaria Manso de Velasco S.A.                        |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 1,602       |  |                   |  | 1,667      |                   |  |  | 651               |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,800,460-3             |  | Luz Andes Ltda.                                           |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 1,953       |  |                   |  | 546        |                   |  |  | 3                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,806,130-5             |  | Electrogas S.A.                                           |  | Dividends                     |  | Less than 90 days  |  | Associate               |  | CH$      |  | Chile      |  |                   | 1,375,492   |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,524,140-K             |  | Empresa Eléctrica Panguipulli S.A.                        |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 66,541      |  |                   |  | 22,457     |                   |  |  | 12                |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|96,880,800-1             |  | Empresa Eléctrica Puyehue S.A.                            |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 11,636      |  |                   |  | 95,399     |                   |  |  | 7                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Distrilec Inversora S.A.                                  |  | Dividends                     |  | Less than 90 days  |  | Associate               |  | US$      |  | Argentina  |  |                   | 6,960       |  |                   |  | 8,443      |                   |  |  | 10,492            |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Brasil S.A.                                        |  | Dividends                     |  | Less than 90 days  |  | Associate               |  | CH$      |  | Brazil     |  |                   | 42,603,758  |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Brasil S.A.                                        |  | Dividends                     |  | Less than 90 days  |  | Associate               |  | Sol      |  | Brazil     |  |                   | 4,918,900   |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | PH Chucas Costa Rica                                      |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Costa Rica |  |                   | 147,234     |  |                   |  | 42,019     |                   |  |  | 317,563           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Generación S.A.                                    |  | Commodity derivatives (*)     |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Spain      |  |                   | 129,780     |  |                   |  | 784,741    |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Central Dock Sud                                          |  | Other services                |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Spain      |  |                   | -           |  |                   |  | 17,256     |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Loans                         |  | Less than 90 days  |  | Joint venture           |  | US$      |  | Chile      |  |                   | 14,839,233  |  |                   |  | 13,336,206 |                   |  |  | 20,201,586        |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Energy sales                  |  | Less than 90 days  |  | Joint venture           |  | US$      |  | Chile      |  |                   | -           |  |                   |  | 98,150     |                   |  |  | 98,118            |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Other services                |  | Less than 90 days  |  | Joint venture           |  | CH$      |  | Chile      |  |                   | 544,015     |  |                   |  | 213        |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,652,400-1             |  | Centrales Hidroeléctricas De Aysén S.A.                   |  | Other services                |  | Less than 90 days  |  | Joint venture           |  | CH$      |  | Chile      |  |                   | -           |  |                   |  | 292,518    |                   |  |  | 270,458           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|77,017,930-0             |  | Transmisora Eléctrica de Quillota Ltda.                   |  | Other services                |  | Less than 90 days  |  | Joint venture           |  | CH$      |  | Chile      |  |                   | -           |  |                   |  | 181,855    |                   |  |  | 177,501           |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Energía S.A.                                       |  | Natural gas sales             |  | Less than 90 days  |  | Associate               |  | CH$      |  | Chile      |  |                   | 51,722      |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|76,126,507-5             |  | Parque Eolico Talinay Oriente SA                          |  | Energy sales                  |  | Less than 90 days  |  | Common immediate parent |  | CH$      |  | Chile      |  |                   | 22          |  |                   |  | -          |                   |  |  | -                 |  |  |                   | - |  |                   |  | - |  |  |  | - | 
|                         |  |                                                           |  |                               |  |                    |  |                         |  |          |  |            |  |                   |             |  |                   |  |            |                   |  |  |                   |  |  |                   |   |  |                   |  |   |  |  |  |   | 
|                         |  | Total                                                     |  |                               |  |                    |  |                         |  |          |  |            |  |                   | 131,909,802 |  |                   |  | 75,488,611 |                   |  |  | 103,848,707       |  |  |                   | - |  |                   |  | - |  |  |  | - | 

(*) See Note 18.3.a.



F-51



---

##### Table of Contents

| | b) | Accounts payable to related companies
| | -- | -------------------------------------



|                         |  |                                                           |  |                            |  |                     |  |                         |  |          |  |           |  |                 |             |  |                 |  |             |                 |  |  |                 |  |  |                 |   |  |                 |  |   |  |  |  |   | 
|------------------------ |  | --------------------------------------------------------- |  | -------------------------- |  | ------------------- |  | ----------------------- |  | -------- |  | --------- |  | --------------- | ----------- |  | --------------- |  | ----------- | --------------- |  |  | --------------- |  |  | --------------- | - |  | --------------- |  | - |  |  |  | - | 
|                         |  |                                                           |  |                            |  |                     |  |                         |  |          |  |           |  | Current         |             |  | Non-current     | 
|Taxpayer ID    No. (RUT) |  | Company                                                   |  | Description of Transaction |  | Term
of Transaction |  | Relationship            |  | Currency |  | Country   |  | 12-31-2013ThCh$ |             |  | 12-31-2012ThCh$ |  |             | 01-01-2012ThCh$ |  |  | 12-31-2013ThCh$ |  |  | 12-31-2012ThCh$ |   |  | 01-01-2012ThCh$ | 
|                         |  |                                                           |  |                            |  |                     |  |                         |  |          |  |           |  |                 |             |  |                 |  |             |                 |  |  |                 |  |  |                 |   |  |                 | 
|Foreign                  |  | Carboex S.A.                                              |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | -           |  |                 |  | -           |                 |  |  | 5,586,847       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Comercializadora de Energía del Mercosur S.A.             |  | Fuel purchases             |  | Less than 90 days   |  | Associate               |  | Ar$      |  | Argentina |  |                 | 1,739,120   |  |                 |  | 7,202,746   |                 |  |  | 19,615,744      |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Comercializadora de Energía del Mercosur S.A.             |  | Other services             |  | Less than 90 days   |  | Associate               |  | Ar$      |  | Argentina |  |                 | 2,319       |  |                 |  | 752         |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|96,800,570-7             |  | Chilectra S.A.                                            |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | 35,609      |  |                 |  | 208,612     |                 |  |  | 1,510,401       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Energy purchases           |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Colombia  |  |                 | 2,231,822   |  |                 |  | 1,881,909   |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Mercantile current account |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Colombia  |  |                 | -           |  |                 |  | -           |                 |  |  | 4,155,760       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Colombia  |  |                 | 44,023      |  |                 |  | 58,905      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Compañía de Transmisión del Mercosur S.A.                 |  | Toll                       |  | Less than 90 days   |  | Common immediate parent |  | Ar$      |  | Argentina |  |                 | 7,467,073   |  |                 |  | 7,903,684   |                 |  |  | 8,412,834       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Energía de Piura S.A.                          |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | Sol      |  | Peru      |  |                 | 165,479     |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Distribución Eléctrica de Lima Norte S.A.A.    |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | Sol      |  | Peru      |  |                 | 15,799      |  |                 |  | 19,405      |                 |  |  | 13,875          |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Empresa Distribuidora Sur S.A.                            |  | Mercantile current account |  | Less than 90 days   |  | Common immediate parent |  | Ar$      |  | Argentina |  |                 | 85,350      |  |                 |  | 74,533      |                 |  |  | 60,111          |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|96,806,130-5             |  | Electrogas S.A.                                           |  | Other services             |  | Less than 90 days   |  | Associate               |  | CH$      |  | Chile     |  |                 | 200,821     |  |                 |  | 54,607      |                 |  |  | 538,373         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Empresa de Energía de Cundinamarca S.A.                   |  | Toll                       |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Colombia  |  |                 | 108,829     |  |                 |  | 95,007      |                 |  |  | 124,779         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Inversiones Sudamerica Ltda.                              |  | Dividends                  |  | More than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | -           |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Inversiones Sudamerica Ltda.                              |  | Dividends                  |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Spain     |  |                 | -           |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Latinoamérica S.A.                                 |  | Dividends                  |  | More than 90 days   |  | Common immediate parent |  | CH$      |  | Colombia  |  |                 | -           |  |                 |  | 725,029     |                 |  |  | 957,059         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Latinoamérica S.A.                                 |  | Dividends                  |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Colombia  |  |                 | -           |  |                 |  | 9,726,465   |                 |  |  | 4,457,125       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Other services             |  | Less than 90 days   |  | Parent                  |  | CH$      |  | Chile     |  |                 | 1,373,162   |  |                 |  | 819,438     |                 |  |  | 480,824         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Dividends                  |  | Less than 90 days   |  | Parent                  |  | CH$      |  | Chile     |  |                 | 63,685,881  |  |                 |  | 42,166,288  |                 |  |  | 80,410,515      |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Dividends                  |  | Less than 90 days   |  | Parent                  |  | CP       |  | Chile     |  |                 | 11,513,845  |  |                 |  | -           |                 |  |  | -               |  |  |                 |   |  |                 |  |   |  |  |  |   | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Mercantile current account |  | Less than 90 days   |  | Parent                  |  | CH$      |  | Chile     |  |                 | 553         |  |                 |  | 111,270,569 |                 |  |  | 2,800           |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|94,271,000-3             |  | Enersis S.A.                                              |  | Loans                      |  | Less than 90 days   |  | Parent                  |  | CH$      |  | Chile     |  |                 | 196,671,232 |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,418,940-K             |  | GNL Chile S.A.                                            |  | Natural gas purchases      |  | Less than 90 days   |  | Associate               |  | CH$      |  | Chile     |  |                 | 13,864,085  |  |                 |  | 25,884,955  |                 |  |  | 8,517,317       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,107,186-6             |  | ICT Servicios Informáticos Ltda.                          |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | 283,695     |  |                 |  | 310,228     |                 |  |  | 270,262         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,107,186-6             |  | ICT Servicios Informáticos Ltda.                          |  | Mercantile current account |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | -           |  |                 |  | -           |                 |  |  | 8,234           |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|96,524,140-K             |  | Empresa Eléctrica Panguipulli S.A.                        |  | Energy purchases           |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | 684,882     |  |                 |  | 216,029     |                 |  |  | 182,599         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|96,880,800-1             |  | Empresa Eléctrica Puyehue S.A.                            |  | Energy purchases           |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | 2,865       |  |                 |  | 15,896      |                 |  |  | 41,017          |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Generación S.A.                                    |  | Fuel purchases             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | 4,947,081   |  |                 |  | 4,556,927   |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Generación S.A.                                    |  | Commodity derivatives (*)  |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | -           |  |                 |  | 32,200      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Central Termica Manuel Belgrano                           |  | Mercantile current account |  | Less than 90 days   |  | Associate               |  | Ar$      |  | Argentina |  |                 | -           |  |                 |  | -           |                 |  |  | 846             |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Energy Europe S.L.                                   |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CP       |  | Spain     |  |                 | -           |  |                 |  | 34,487      |                 |  |  | 39,167          |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Energy Europe S.L.                                   |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | Ar$      |  | Spain     |  |                 | 66,996      |  |                 |  | 45,107      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Energy Europe S.L.                                   |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | Sol      |  | Spain     |  |                 | 45,523      |  |                 |  | 48,086      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Energy Europe S.L.                                   |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | 73          |  |                 |  | 166,923     |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Produzione                                           |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Italia    |  |                 | 80,928      |  |                 |  | 80,928      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Enel Ingegneria e Innovazione                             |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | US$      |  | Italia    |  |                 | 2,036,678   |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Central Dock Sud                                          |  | Other services             |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Spain     |  |                 | -           |  |                 |  | 407         |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Natural gas purchases      |  | Less than 90 days   |  | Joint venture           |  | US$      |  | Chile     |  |                 | 4,846,992   |  |                 |  | 1,629,774   |                 |  |  | 1,866,685       |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Energy purchases           |  | Less than 90 days   |  | Joint venture           |  | US$      |  | Chile     |  |                 | -           |  |                 |  | 371,650     |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,014,570-K             |  | Inversiones Gas Atacama Holding Ltda.                     |  | Other services             |  | Less than 90 days   |  | Joint venture           |  | US$      |  | Chile     |  |                 | -           |  |                 |  | 90,625      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|77,017,930-0             |  | Transmisora Eléctrica de Quillota Ltda.                   |  | Toll                       |  | Less than 90 days   |  | Joint venture           |  | CH$      |  | Chile     |  |                 | -           |  |                 |  | 66,037      |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|77,017,930-0             |  | Transmisora Eléctrica de Quillota Ltda.                   |  | Other services             |  | Less than 90 days   |  | Joint venture           |  | CH$      |  | Chile     |  |                 | 219,863     |  |                 |  | 158,713     |                 |  |  | 202,613         |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|76,126,507-5             |  | Parque Eolico Talinay Oriente SA                          |  | Energy purchases           |  | Less than 90 days   |  | Common immediate parent |  | CH$      |  | Chile     |  |                 | 400,587     |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|Foreign                  |  | Endesa Brasil S.A.                                        |  | Other services             |  | Less than 90 days   |  | Associate               |  | CH$      |  | Brazil    |  |                 | 92,999      |  |                 |  | -           |                 |  |  | -               |  |  |                 | - |  |                 |  | - |  |  |  | - | 
|                         |  |                                                           |  |                            |  |                     |  |                         |  |          |  |           |  |                 |             |  |                 |  |             |                 |  |  |                 |  |  |                 |   |  |                 |  |   |  |  |  |   | 
|                         |  | Total                                                     |  |                            |  |                     |  |                         |  |          |  |           |  |                 | 312,914,164 |  |                 |  | 215,916,921 |                 |  |  | 137,455,787     |  |  |                 | - |  |                 |  | - |  |  |  | - | 

(*) See Note 18.3.a.



F-52



---

##### Table of Contents

| | c) | Significant transactions and effects on income/expenses
| | -- | -------------------------------------------------------

Transactions with related companies that are not consolidated and their effects on profit or loss are as follows:



|                      |  |                                                           |  |                         |  |                                |  |            |  |                 |              |  |                 |  |               |                 |  |  |               | 
|--------------------- |  | --------------------------------------------------------- |  | ----------------------- |  | ------------------------------ |  | ---------- |  | --------------- | ------------ |  | --------------- |  | ------------- | --------------- |  |  | ------------- | 
|                      |  |                                                           |  |                         |  |                                |  |            |  | Balance at      |             
|Taxpayer ID
No. (RUT) |  | Company                                                   |  | Relationship            |  | Description of Transaction     |  | Country    |  | 12-31-2013ThCh$ |              |  | 12-31-2012ThCh$ |  |               | 12-31-2011ThCh$ | 
|96,800,570-7          |  | Chilectra S.A.                                            |  | Common immediate parent |  | Energy sales                   |  | Chile      |  |                 | 182,946,267  |  |                 |  | 177,486,847   |                 |  |  | 185,387,242   | 
|                      |  |                                                           |  | Common immediate parent |  | Energy purchases               |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | (1,190,687)   | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | 1,558,697    |  |                 |  | 2,564,327     |                 |  |  | 857,384       | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | (7,596)      |  |                 |  | (10,796)      |                 |  |  | (1,586)       | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Chile      |  |                 | (2,433,950)  |  |                 |  | (711,218)     |                 |  |  | (1,836,817)   | 
|Foreign               |  | Cia A. Multiser. Perú Ltda.                               |  | Common immediate parent |  | Services received              |  | Peru       |  |                 | -            |  |                 |  | -             |                 |  |  | (10,349)      | 
|96,783,910-8          |  | Empresa Eléctrica de Colina Ltda.                         |  | Common immediate parent |  | Energy sales                   |  | Chile      |  |                 | -            |  |                 |  | 9,124         |                 |  |  | 200,712       | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Chile      |  |                 | 9,267        |  |                 |  | 14,055        |                 |  |  | 17,295        | 
|                      |  |                                                           |  | Parent                  |  | Services rendered              |  | Chile      |  |                 | 15           |  |                 |  | 42            |                 |  |  | 7,963         | 
|94,271,000-3          |  | Enersis S.A.                                              |  | Parent                  |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 1,103,543     | 
|                      |  |                                                           |  | Parent                  |  | Loans                          |  | Chile      |  |                 | (17,722,188) |  |                 |  | (8,893,011)   |                 |  |  | (1,631,521)   | 
|                      |  |                                                           |  | Parent                  |  | Services received              |  | Chile      |  |                 | (1,093,820)  |  |                 |  | (1,205,502)   |                 |  |  | (2,108,577)   | 
|96,543,670-1          |  | Cia A. Multiser. Ltda.                                    |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 3,659         | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | (187,913)     | 
|Foreign               |  | Cia A. Multiser Colombia Ltda.                            |  | Common immediate parent |  | Services received              |  | Colombia   |  |                 | -            |  |                 |  | -             |                 |  |  | (76,127)      | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Colombia   |  |                 | -            |  |                 |  | -             |                 |  |  | 2,500         | 
|96,529,420-1          |  | Synapsis Soluciones y Servicios IT Ltda.                  |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 27,780        | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | (126,593)     | 
|Foreign               |  | Synapsis Perú Ltda.                                       |  | Common immediate parent |  | Services received              |  | Peru       |  |                 | -            |  |                 |  | -             |                 |  |  | (29,294)      | 
|Foreign               |  | Synapsis Colombia Ltda.                                   |  | Common immediate parent |  | Services received              |  | Colombia   |  |                 | -            |  |                 |  | -             |                 |  |  | (11,199)      | 
|Foreign               |  | Empresa Distribuidora Sur S.A.                            |  | Common immediate parent |  | Services rendered              |  | Argentina  |  |                 | (35,012)     |  |                 |  | -             |                 |  |  | -             | 
|                      |  |                                                           |  | Common immediate parent |  | Energy sales                   |  | Argentina  |  |                 | 20,319       |  |                 |  | 24,023        |                 |  |  | 26,337        | 
|96,800,460-3          |  | Luz Andes Ltda.                                           |  | Common immediate parent |  | Energy sales                   |  | Chile      |  |                 | -            |  |                 |  | 732           |                 |  |  | 19,917        | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Chile      |  |                 | 1,696        |  |                 |  | 1,486         |                 |  |  | 2,548         | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 1,294         | 
|Foreign               |  | Compañía Distribuidora y Comercializadora de Energía S.A. |  | Common immediate parent |  | Energy sales                   |  | Colombia   |  |                 | 155,432,080  |  |                 |  | 177,490,874   |                 |  |  | 177,111,431   | 
|                      |  |                                                           |  | Common immediate parent |  | Energy purchases               |  | Colombia   |  |                 | (25,482)     |  |                 |  | (341,378)     |                 |  |  | -             | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Colombia   |  |                 | 102,046      |  |                 |  | 128,511       |                 |  |  | 216,572       | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Colombia   |  |                 | (156,355)    |  |                 |  | (285,771)     |                 |  |  | (544,956)     | 
|                      |  |                                                           |  | Common immediate parent |  | Loans                          |  | Colombia   |  |                 | -            |  |                 |  | (658,607)     |                 |  |  | (568,669)     | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Colombia   |  |                 | (24,036,652) |  |                 |  | (23,676,437)  |                 |  |  | (22,164,546)  | 
|Foreign               |  | Comercializadora de Energía del Mercosur S.A.             |  | Associate               |  | Electricity tolls              |  | Argentina  |  |                 | -            |  |                 |  | (5,850)       |                 |  |  | -             | 
|                      |  |                                                           |  | Associate               |  | Services received              |  | Argentina  |  |                 | (586,483)    |  |                 |  | (517,069)     |                 |  |  | -             | 
|Foreign               |  | Empresa de Distribución Eléctrica de Lima Norte S.A.A.    |  | Common immediate parent |  | Energy sales                   |  | Peru       |  |                 | 82,950,522   |  |                 |  | 98,807,132    |                 |  |  | 113,677,669   | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Peru       |  |                 | (122,031)    |  |                 |  | (137,978)     |                 |  |  | (179,444)     | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Peru       |  |                 | -            |  |                 |  | -             |                 |  |  | (57,535)      | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Peru       |  |                 | 141,190      |  |                 |  | 100,105       |                 |  |  | 9,648         | 
|Foreign               |  | Endesa Latinoamericana S.A.                               |  | Common immediate parent |  | Services received              |  | Spain      |  |                 | -            |  |                 |  | -             |                 |  |  | (2,891)       | 
|Foreign               |  | Endesa Brasil S.A.                                        |  | Associate               |  | Services rendered              |  | Brazil     |  |                 | -            |  |                 |  | -             |                 |  |  | 427,898       | 
|                      |  |                                                           |  | Associate               |  | Loans                          |  | Brazil     |  |                 | -            |  |                 |  | -             |                 |  |  | (3,866,183)   | 
|Foreign               |  | Endesa Generación                                         |  | Common immediate parent |  | Fuel consumption               |  | Spain      |  |                 | (47,540,061) |  |                 |  | (41,522,504)  |                 |  |  | -             | 
|Foreign               |  | Endesa Trading.                                           |  | Common immediate parent |  | Fuel consumption               |  | Spain      |  |                 | -            |  |                 |  | (705,859)     |                 |  |  | -             | 
|Foreign               |  | Empresa de Energía de Piura S.A.                          |  | Common immediate parent |  | Energy sales                   |  | Peru       |  |                 | 856,559      |  |                 |  | 267,642       |                 |  |  | 97,878        | 
|                      |  |                                                           |  | Common immediate parent |  | Energy purchases               |  | Peru       |  |                 | (141,984)    |  |                 |  | (2,374,756)   |                 |  |  | (2,404,335)   | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Peru       |  |                 | (726,425)    |  |                 |  | -             |                 |  |  | -             | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Peru       |  |                 | 137,866      |  |                 |  | 128,134       |                 |  |  | 206,808       | 
|Foreign               |  | Generalima S.A.                                           |  | Common immediate parent |  | Services rendered              |  | Peru       |  |                 | 1,826,218    |  |                 |  | 23,890        |                 |  |  | 598,179       | 
|Foreign               |  | Empresa de Energía de Cundinamarca S.A.                   |  | Common immediate parent |  | Electricity tolls              |  | Colombia   |  |                 | (883,691)    |  |                 |  | (505,024)     |                 |  |  | (409,477)     | 
|                      |  |                                                           |  | Common immediate parent |  | Energy sales                   |  | Colombia   |  |                 | 9,145,949    |  |                 |  | 8,171,445     |                 |  |  | 8,534,042     | 
|76,788,080-4          |  | GNL Quinteros S.A.                                        |  | Associate               |  | Energy sales                   |  | Chile      |  |                 | 2,808,698    |  |                 |  | 638,187       |                 |  |  | 5,839,244     | 
|                      |  |                                                           |  | Associate               |  | Services rendered              |  | Chile      |  |                 | 835,543      |  |                 |  | 661,296       |                 |  |  | 600           | 
|                      |  |                                                           |  | Associate               |  | Electricity tolls              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 984,760       | 
|Foreign               |  | Compañía de Transmisión del Mercosur S.A.                 |  | Common immediate parent |  | Electricity tolls              |  | Argentina  |  |                 | (1,036,437)  |  |                 |  | (1,225,319)   |                 |  |  | -             | 
|96,806,130-5          |  | Electrogas S.A.                                           |  | Associate               |  | Natural gas tolls              |  | Chile      |  |                 | (2,734,877)  |  |                 |  | (2,175,039)   |                 |  |  | (2,677,343)   | 
|                      |  |                                                           |  | Associate               |  | Fuel consumption               |  | Chile      |  |                 | (428,555)    |  |                 |  | (697,653)     |                 |  |  | (237,593)     | 
|96,806,130-5          |  | Electrogas S.A.                                           |  | Associate               |  | Loans                          |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 10,783        | 
|76,418,940-K          |  | GNL Chile S.A.                                            |  | Associate               |  | Natural gas consumption        |  | Chile      |  |                 | (60,095,868) |  |                 |  | (168,238,842) |                 |  |  | (132,888,115) | 
|                      |  |                                                           |  | Associate               |  | Loans                          |  | Chile      |  |                 | 40,124       |  |                 |  | 21,995        |                 |  |  | 111,779       | 
|                      |  |                                                           |  | Associate               |  | Natural gas transportation     |  | Chile      |  |                 | (34,796,720) |  |                 |  | (34,209,731)  |                 |  |  | (28,679,684)  | 
|                      |  |                                                           |  | Associate               |  | Services rendered              |  | Chile      |  |                 | 769,402      |  |                 |  | 220,493       |                 |  |  | -             | 
|96,976,600-0          |  | Gestión Social S.A. (*)                                   |  | Related to Director     |  | Other services rendered        |  | Chile      |  |                 | -            |  |                 |  | (49,133)      |                 |  |  | (71,711)      | 
|78,488,290-k          |  | Tironi y Asociados S.A. (*)                               |  | Related to Director     |  | Other services rendered        |  | Chile      |  |                 | -            |  |                 |  | (2,475)       |                 |  |  | (33,703)      | 
|76,107,186-6          |  | ICT Servicios informáticos Ltda.                          |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | (1,090,847)  |  |                 |  | (1,072,506)   |                 |  |  | (1,061,463)   | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | 14,936       |  |                 |  | 80,799        |                 |  |  | 97,993        | 
|79,913,810-7          |  | Inmobiliaria Manso de Velasco S.A.                        |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | 2,939        |  |                 |  | 3,403         |                 |  |  | 8,504         | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | (12,831)      | 
|96,524,140-K          |  | Empresa Eléctrica Panguipulli S.A.                        |  | Common immediate parent |  | Energy sales                   |  | Chile      |  |                 | 356,056      |  |                 |  | 98,441        |                 |  |  | 128,210       | 
|                      |  |                                                           |  | Common immediate parent |  | Energy purchases               |  | Chile      |  |                 | (6,119,652)  |  |                 |  | (1,987,512)   |                 |  |  | (3,811,001)   | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 1,599         | 
|96,880,800-1          |  | Empresa Eléctrica Puyehue S.A.                            |  | Common immediate parent |  | Energy sales                   |  | Chile      |  |                 | 225,833      |  |                 |  | 133,270       |                 |  |  | 26,659        | 
|                      |  |                                                           |  | Common immediate parent |  | Energy purchases               |  | Chile      |  |                 | (65,184)     |  |                 |  | (757,930)     |                 |  |  | 3,085         | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | (25,269)      | 
|                      |  |                                                           |  | Common immediate parent |  | Electricity tolls              |  | Chile      |  |                 | (44,504)     |  |                 |  | (29,745)      |                 |  |  | (1,935,166)   | 
|Foreign               |  | Companhía Interconexao Energética S.A.                    |  | Common immediate parent |  | Electricity tolls              |  | Brazil     |  |                 | 1,036,437    |  |                 |  | 1,225,319     |                 |  |  | -             | 
|                      |  |                                                           |  | Common immediate parent |  | Loans                          |  | Brazil     |  |                 | -            |  |                 |  | -             |                 |  |  | (76,201)      | 
|Foreign               |  | Carboex S.A.                                              |  | Common immediate parent |  | Fuel consumption               |  | Spain      |  |                 | -            |  |                 |  | (5,042,960)   |                 |  |  | (39,042,866)  | 
|                      |  |                                                           |  | Common immediate parent |  | Services received              |  | Spain      |  |                 | -            |  |                 |  | -             |                 |  |  | (265,334)     | 
|Foreign               |  | Enel Green Power Mexico                                   |  | Common immediate parent |  | Services rendered              |  | Mexico     |  |                 | -            |  |                 |  | -             |                 |  |  | 19,216        | 
|Foreign               |  | Enel Energy Europe                                        |  | Common immediate parent |  | Services received              |  | Spain      |  |                 | (396,540)    |  |                 |  | (297,784)     |                 |  |  | -             | 
|Foreign               |  | Central Térmica Manuel Belgrano S.A.                      |  | Associate               |  | Loans                          |  | Argentina  |  |                 | -            |  |                 |  | -             |                 |  |  | 287,347       | 
|Foreign               |  | Central Térmica San Martin S.A.                           |  | Associate               |  | Loans                          |  | Argentina  |  |                 | -            |  |                 |  | -             |                 |  |  | 211,530       | 
|76,652,400-1          |  | Centrales Hidroeléctricas De Aysén S.A.                   |  | Associate               |  | Loans                          |  | Chile      |  |                 | 46,444       |  |                 |  | -             |                 |  |  | 73,518        | 
|                      |  |                                                           |  | Associate               |  | Services rendered              |  | Chile      |  |                 | 10,281       |  |                 |  | -             |                 |  |  | 1,346,719     | 
|77,017,930-0          |  | Transmisora Eléctrica de Quillota Ltda.                   |  | Associate               |  | Electricity tolls              |  | Chile      |  |                 | (1,243,417)  |  |                 |  | (1,219,958)   |                 |  |  | (1,292,602)   | 
|                      |  |                                                           |  | Associate               |  | Other financial income         |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 46,163        | 
|                      |  |                                                           |  | Associate               |  | Other fixed operating expenses |  | Chile      |  |                 | -            |  |                 |  | -             |                 |  |  | 199,133       | 
|76,014,570-K          |  | Inversiones Gas Atacama Holding Ltda.                     |  | Associate               |  | Energy purchases               |  | Chile      |  |                 | (9,295,172)  |  |                 |  | (6,589,964)   |                 |  |  | -             | 
|                      |  |                                                           |  | Associate               |  | Natural gas transportation     |  | Chile      |  |                 | (20,937,075) |  |                 |  | (20,131,152)  |                 |  |  | (19,332,811)  | 
|                      |  |                                                           |  | Associate               |  | Loans                          |  | Chile      |  |                 | 489,864      |  |                 |  | 765,504       |                 |  |  | 2,577,375     | 
|                      |  |                                                           |  | Associate               |  | Energy sales                   |  | Chile      |  |                 | 95,845       |  |                 |  | 64,914        |                 |  |  | 4,216,934     | 
|                      |  |                                                           |  | Associate               |  | Services received              |  | Chile      |  |                 | (219,671)    |  |                 |  | (417,892)     |                 |  |  | (255,407)     | 
|Foreign               |  | PH Chucas Costa Rica                                      |  | Common immediate parent |  | Services rendered              |  | Costa Rica |  |                 | 236,173      |  |                 |  | 481,177       |                 |  |  | 419,356       | 
|Foreign               |  | CENTRAL DOCK SUD                                          |  | Common immediate parent |  | Services rendered              |  | Argentina  |  |                 | 3,091        |  |                 |  | -             |                 |  |  | -             | 
|Foreign               |  | Endesa Energía S.A.                                       |  | Common immediate parent |  | Natural gas sales              |  | Spain      |  |                 | 21,397,171   |  |                 |  | -             |                 |  |  | -             | 
|                      |  |                                                           |  | Common immediate parent |  | Services rendered              |  | Spain      |  |                 | 51,722       |  |                 |  | -             |                 |  |  | -             | 
|76,126,507-5          |  | Parque Eolico Talinay Oriente SA                          |  | Common immediate parent |  | Energy purchases               |  | Chile      |  |                 | (1,148,051)  |  |                 |  | -             |                 |  |  | -             | 
|Foreign               |  | Enel Ingegneria e Innovazione                             |  | Common immediate parent |  | Services received              |  | Chile      |  |                 | (573,929)    |  |                 |  | -             |                 |  |  | -             | 
|                      |  |                                                           |  |                         |  |                                |  |            |  |                 |              |  |                 |  |               |                 |  |  |               | 
|                      |  |                                                           |  |                         |  | Total                          |  |            |  |                 | 227,811,021  |  |                 |  | 143,915,812   |                 |  |  | 236,041,007   | 

(* ) Company related to former Enersis Director Eugenio Tironi Barrios.



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Transfers of short-term funds between related companies are treated as current
accounts changes, with variable interest rates based on market conditions used for the monthly balance. The resulting amounts receivable or payable are usually at 30 days term, with automatic rollover for the same periods and amortization in line
with cash flows.

8.2  Board of Directors and key management personnel

Endesa Chile is managed by Board of Directors which consists of nine members. Each director serves for a three-year term after
which they can be reelected

The Board of Directors was elected at the Ordinary Shareholders Meeting held on
April 26, 2012. The Chairman, Vice Chairman, and Secretary were designated at the Board meeting also held on April 26, 2012. The new Secretary was designated at the Board meeting held on October 29, 2013.



| | a) | Accounts receivable and payable and other transactions
| | -- | ------------------------------------------------------



| |  |  | Accounts receivable and payable
| | - |  | -------------------------------

There are no outstanding amounts
receivable or payable between the Company and the members of the Board of Directors and key management personnel



| |  |  | Other transactions
| | - |  | ------------------

No other transactions have taken place between the
Company and the members of the Board of Directors and key management personnel.



| | b) | Compensation for Directors
| | -- | --------------------------

In accordance with Article 33 of Law No. 18,046 governing stock corporations, the compensation of Directors is
established each year at the Ordinary Shareholders Meeting of Endesa Chile. The same methodology has been used since 2001 to determine the compensation described below.

The remuneration breaks down as follows:



| | a. | 101.00 UF as a fixed monthly fee, and
| | -- | -------------------------------------



| | b. | 66.00 UF per diem for each Board meeting attended.
| | -- | --------------------------------------------------

Both fees are 100% higher for the Chariman and 50% higher for the Vice Chairman.

If any Director of Endesa Chile is a member of more than one Board in any Chilean or foreign subsidiaries and/or associates,
or holds the position of director or advisor in other Chilean or foreign companies or legal entities in which Endesa Chile has a direct or indirect ownership interest, that Director can be compensated for his/her participation in only one of those
Boards or Management Committees.

The Executive Officers of Endesa Chile and/or any of its Chilean or foreign subsidiaries
or associates will not receive any compensation or per diem if they hold the position of director in any of the Chilean or foreign subsidiaries or associates of Endesa Chile.

Directors Committee

Each Directors Committee member receives 56.00 UF for each meeting attended, up to a maximum of 12 remunerated meetings
per year.



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##### Table of Contents

The enactment of Law 20,382 on improved Corporate Governance resulted in the
merger of the Directors Committee and the Audit Committee.

The following tables show details of the compensation
paid to the members of the Board of Directors as of December 31, 2013, 2012, and 2011:



|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        |  |  |  |        | 
|----------------------------------------- |  | ------------------ | ------- | -------------------- |  |  | -------------------------- |  |  | ------------------------- | ------ |  |  |  | ------ | 
|Name                                      |  | Position           |         | 12-31-2013           | 
|                                          |  | Period in Position |         | Endesa Board
ThCh$   |  |  | Board ofSubsidiaries
ThCh$ |  |  | DirectorsCommittee
ThCh$ |       
|                                          |  |                    |         |                     
|Jorge Rosenblut Ratinoff                  |  | Chairman           |         | 1/1/13 to 12/31/13   |  |  | 98,197                     |  |  |                           | -      |  |  |  | -      | 
|Paolo Bondi
(1)                           |  | Vice Chairman      |         | 1/1/13 to 12/31/13   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|Francesco
Buresti (1)                     |  | Director           |         | 1/1/13 to 12/31/13   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|Vittorio
Corbo                            |  | Director           |         | 1/1/13 to 12/31/13   |  |  | 49,099                     |  |  |                           | -      |  |  |  | -      | 
|Jaime Bauza
Bauza                         |  | Director           |         | 1/1/13 to 12/31/13   |  |  | 49,099                     |  |  |                           | -      |  |  |  | 15,451 | 
|Felipe Lamarca
Claro                      |  | Director           |         | 1/1/13 to 12/31/13   |  |  | 49,099                     |  |  |                           | -      |  |  |  | 15,451 | 
|Alfredo
Arahuetes Garcia (3)              |  | Director           |         | 1/1/13 to 12/31/13   |  |  | 49,099                     |  |  |                           | -      |  |  |  | -      | 
|Enrique
Cibié Bluth (3)                   |  | Director           |         | 1/1/13 to 12/31/13   |  |  | 49,099                     |  |  |                           | -      |  |  |  | 15,451 | 
|Manuel
Morán Casero (1) ; (3)             |  | Director           |         | 1/1/13 to 12/31/13   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        |  |  |  |        | 
|TOTAL                                     |  |                    | 343,691 |                      |  |  | -                          |  |  |                           | 46,352 | 
|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        | 
|Name                                      |  | Position           |         | 12-31-2012           | 
|                                          |  | Period in Position |         | Endesa Board
ThCh$   |  |  | Board ofSubsidiaries
ThCh$ |  |  | DirectorsCommittee
ThCh$ |       
|                                          |  |                    |         |                     
|Jorge Rosenblut Ratinoff                  |  | Chairman           |         | 1/1/12 to 12/12/31   |  |  | 99,635                     |  |  |                           | -      |  |  |  | -      | 
|Paolo Bondi
(1)                           |  | Vice Chairman      |         | 1/1/12 to 12/12/31   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|Jaime
Estévez Valencia (2)                |  | Director           |         | 1/1/12 to 12/12/31   |  |  | 15,027                     |  |  |                           | -      |  |  |  | 5,039  | 
|Francesco
Buresti (1)                     |  | Director           |         | 1/1/12 to 12/12/31   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|José
María Calvo-Sotelo Ibañez-Martín (2) |  | Director           |         | 1/1/12 to 4/26/12    |  |  | 15,027                     |  |  |                           | -      |  |  |  | -      | 
|Vittorio
Corbo                            |  | Director           |         | 1/1/12 to 12/12/31   |  |  | 49,817                     |  |  |                           | -      |  |  |  | -      | 
|Jaime Bauza
Bauza                         |  | Director           |         | 1/1/12 to 12/12/31   |  |  | 49,818                     |  |  |                           | -      |  |  |  | 15,201 | 
|Felipe Lamarca
Claro                      |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 49,818                     |  |  |                           | -      |  |  |  | 15,201 | 
|Alfredo
Arahuetes Garcia (3)              |  | Director           |         | 04/26/12 to 12/12/31 |  |  | 35,171                     |  |  |                           | -      |  |  |  | -      | 
|Enrique
Cibié Bluth (3)                   |  | Director           |         | 04/26/12 to 12/12/31 |  |  | 35,171                     |  |  |                           | -      |  |  |  | 10,162 | 
|Manuel
Morán Casero (1) ; (3)             |  | Director           |         | 04/26/12 to 12/12/31 |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        |  |  |  |        | 
|TOTAL                                     |  |                    | 349,484 |                      |  |  | -                          |  |  |                           | 45,603 | 
|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        | 
|Name                                      |  | Position           |         | 12-31-2011           | 
|                                          |  | Period in Position |         | Endesa Board
ThCh$   |  |  | Board ofSubsidiaries
ThCh$ |  |  | DirectorsCommittee
ThCh$ |       
|                                          |  |                    |         |                     
|Jorge Rosenblut Ratinoff                  |  | Chairman           |         | 1/1/11 to 12/31/11   |  |  | 77,843                     |  |  |                           | -      |  |  |  | -      | 
|Paolo Bondi
(1)                           |  | Vice Chairman      |         | 1/1/11 to 12/31/11   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|Jaime
Estévez Valencia                    |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | 18,916 | 
|Francesco
Buresti (1)                     |  | Director           |         | 1/1/11 to 12/31/11   |  |  | -                          |  |  |                           | -      |  |  |  | -      | 
|José
María Calvo-Sotelo Ibañez-Martín     |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | -      | 
|Luis de Guindos
Jurado                    |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | -      | 
|Vittorio
Corbo                            |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | -      | 
|Jaime Bauza
Bauza                         |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | 18,916 | 
|Felipe Lamarca
Claro                      |  | Director           |         | 1/1/11 to 12/31/11   |  |  | 38,921                     |  |  |                           | -      |  |  |  | 18,916 | 
|                                          |  |                    |         |                      |  |  |                            |  |  |                           |        |  |  |  |        | 
|TOTAL                                     |  |                    | 311,369 |                      |  |  | -                          |  |  |                           | 56,748 | 

(1) Paolo Bondi, Francesco Buresti, and Manuel Morán waived the fees and allowances due
them as Endesa Chile Directors.

(2) Jaime Estévez Valencia and José Maria Calvo-Sotelo served as Directors
until the Ordinary Shareholders Meeting held on April 26, 2012.

(3) Alfredo Arahuetes, Enrique Cibié, and
Manuel Morán were designated Endesa Chile Directors at the Ordinary Shareholders Meeting held on April 26, 2012.



| | c) | Guarantees established by the Company in favor of the Directors
| | -- | ---------------------------------------------------------------

No
guarantees have been given to the Directors.



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##### Table of Contents

8.3  Compensation for Endesa Chile executives



| | a) | Remuneration received by key management personnel
| | -- | -------------------------------------------------



|                     |      |                                      |          |                                                               
|-------------------- | ---- | ------------------------------------ | -------- | --------------------------------------------------------------
|Taxpayer ID No.(RUT) |      | Company Executives                  
|                     | Name |                                      | Position
|23,295,610-0         |      | Joaquín Galindo Vélez                |          | Chief Executive Officer                                       
|22,357,225-1         |      | Ramiro Alfonsin Balza                |          | Deputy Chief Executive Officer                                
|24,430,233-5         |      | Paulo Jorge Domingues Dos Santos (6) |          | Regional Electricity Production Officer                       
|24,240,132-8         |      | Fernando Prieto Plaza (2)            |          | Regional Engineering, Projects, and R&D and Innovation Officer
|7,893,919-2          |      | José Venegas Maluenda                |          | Regional Energy Management and Sales Officer                  
|7,044,467-4          |      | Fernando Gardeweg Ried (1)           |          | Chief Finance Officer                                         
|12,403,710-7         |      | Juan La Fuente Vila (3)              |          | Planning and Control Officer                                  
|24,332,937-K         |      | Federico Polemann (4)                |          | Human Resources Officer                                       
|12,690,736-2         |      | María Francisca Moya Moreno          |          | Communications Officer                                        
|10,673,365-1         |      | Sebastián Fernández Cox              |          | Energy Projects and Planning Officer                          
|7,776,718-5          |      | Luis Ignacio Quiñones Sotomayor (5)  |          | General Counsel                                               



| | (1) | Mr. Fernando Gardeweg Ried took over as Chief Finance Officer on September 1, 2012, replacing Mr. Eduardo Escaffi Johnson, who
resigned on August 27, 2012.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------

| | (2) | Mr. Fernando Prieto Plaza took over as Regional Engineering, Projects, and R&D and Innovation Officer on March 1, 2013, replacing
Mr. Juan Benabarre Benaiges, who resigned on January 31, 2013.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (3) | Mr. Juan La Fuente Vila took over as Planning and Control Officer on June 1, 2013, replacing Mr. Luis Larumbe Aragón.
| | --- | ---------------------------------------------------------------------------------------------------------------------

| | (4) | Mr. Federico Polemann took over as Human Resources Officer on July 24, 2013, replacing Ms. Luz María Torm Silva.
| | --- | ----------------------------------------------------------------------------------------------------------------

| | (5) | Mr. Luis Ignacio Quiñones took over as General Counsel on November 1, 2013, replacing Mr. Carlos Martin.
| | --- | --------------------------------------------------------------------------------------------------------

| | (6) | Mr. Paulo Jorge Domingues Dos Santos took over as Regional Electrical Production Officer on November 1, 2013, replacing Mr. Claudio
Iglesis Guillard.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------

The accrued remuneration of key management personnel is the following:



|                                  |  |            |           |  |            |  |           |            |  |  |           | 
|--------------------------------- |  | ---------- | --------- |  | ---------- |  | --------- | ---------- |  |  | --------- | 
|                                  |  | Balance at |          
|                                  |  | 12-31-2013 |           |  | 12-31-2012 |  |           | 12-31-2011 | 
|                                  |  | ThCh$      |           |  | ThCh$      |  |           | ThCh$      | 
|Cash compensation                 |  |            | 2,072,023 |  |            |  | 1,989,781 |            |  |  | 2,000,299 | 
|Short-term benefits for employees |  |            | 629,114   |  |            |  | 882,323   |            |  |  | 995,734   | 
|Other long-term benefits          |  |            | 1,000,792 |  |            |  | 627,678   |            |  |  | 215,192   | 
|                                  |  |            |           |  |            |  |           |            |  |  |           | 
|TOTAL                             |  |            | 3,701,929 |  |            |  | 3,499,782 |            |  |  | 3,211,225 | 

Incentive plans for main officers and managers

Endesa Chile has implemented an annual bonus plan for its executives based on meeting company-wide objectives and on the level
of their individual contribution in achieving the overall goals of the Company. The plan provides for a range of bonus amounts according to seniority level. The bonuses paid to the executives consist of a certain number of monthly gross
remunerations.



| | b) | Guarantees established by the Company in favor of Endesa Chile executives
| | -- | -------------------------------------------------------------------------

No guarantees have been given to Endesa Chile executives.

8.4  Compensation plans linked to share price

There are no Board compensation plans linked to the share price.



F-56



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##### Table of Contents

9.   INVENTORIES

The detail of inventories as of December 31, 2013, December 31, 2012, and January 1, 2012 is as follows:



|                                      |          |            |            |          |  |  |            |  |  |  |            | 
|------------------------------------- | -------- | ---------- | ---------- | -------- |  |  | ---------- |  |  |  | ---------- | 
|Classes of Inventories                |          | Balance at |           
|                                      | 12-31-13 |            |            | 12-31-12 |  |  | 01-01-12   | 
|                                      | ThCh$    |            |            | ThCh$    |  |  | ThCh$      | 
|                                      |          |            |            |          |  |  |            |  |  |  |            | 
|Supplies for production               |          |            | 27,632,087 |          |  |  | 41,909,089 |  |  |  | 31,215,141 | 
|Supplies for projects and spare parts |          |            | 18,522,958 |          |  |  | 17,453,531 |  |  |  | 18,060,885 | 
|                                      |          |            |            |          |  |  |            |  |  |  |            | 
|Total                                 |          |            | 46,155,045 |          |  |  | 59,362,620 |  |  |  | 49,276,026 | 

There are no inventories pledged as security for liabilities.

For the period ended December 31, 2013, the figure for raw materials and consumables recognized as expenses were
ThCh$307,849,013 (ThCh$732,310,177 and ThCh$676,035,672 as of December 31, 2012 and January 1, 2012, respectively). See Note 24.

As of December 31, 2013, December 31, 2012, and January 1, 2012, no inventories have been written down.

10.  CURRENT TAX RECEIVABLES AND PAYABLES

The detail of current tax receivables as of December 31, 2013, December 31, 2012, and January 1, 2012 is
as follows:



|                                           |  |                  |             |  |                  |  |             |                  |  |  |            | 
|------------------------------------------ |  | ---------------- | ----------- |  | ---------------- |  | ----------- | ---------------- |  |  | ---------- | 
|                                           |  | Balance at       |            
|                                           |  | 12-31-2013
ThCh$ |             |  | 12-31-2012
ThCh$ |  |             | 01-01-2012
ThCh$ | 
|                                           |  |                  |             |  |                  |  |             |                  |  |  |            | 
|                                           |  |                  |            
|Monthly
provisional tax payments           |  |                  | 50,221,458  |  |                  |  | 39,095,650  |                  |  |  | 62,900,289 | 
|                                           |  |                  |            
|VAT tax
credit                             |  |                  | 59,412,638  |  |                  |  | 67,101,005  |                  |  |  | 17,153,939 | 
|                                           |  |                  |            
|Tax credit for
absorbed profits            |  |                  | 13,940,841  |  |                  |  | 41,528,840  |                  |  |  | -          | 
|                                           |  |                  |            
|Tax credit for
training expenses           |  |                  | 218,000     |  |                  |  | 180,000     |                  |  |  | 2,040      | 
|                                           |  |                  |            
|Tax credits
from dividends received abroad |  |                  | 28,896,906  |  |                  |  | -           |                  |  |  | -          | 
|                                           |  |                  |            
|Other                                      |  |                  | 1,704,841   |  |                  |  | 2,774,834   |                  |  |  | 1,997,188  | 
|                                           |  |                  |             |  |                  |  |             |                  |  |  |            | 
|                                           |  |                  |            
|Total                                      |  |                  | 154,394,684 |  |                  |  | 150,680,329 |                  |  |  | 82,053,456 | 

The detail of current tax payables as of December 31, 2013, December 31, 2012,
and January 1, 2012 is as follows:



|               |  |                  |             |  |                  |  |            |                  |  |  |            | 
|-------------- |  | ---------------- | ----------- |  | ---------------- |  | ---------- | ---------------- |  |  | ---------- | 
|               |  | Balance at       |            
|               |  | 12-31-2013
ThCh$ |             |  | 12-31-2012
ThCh$ |  |            | 01-01-2012
ThCh$ | 
|               |  |                  |             |  |                  |  |            |                  |  |  |            | 
|               |  |                  |            
|Income
tax     |  |                  | 76,264,733  |  |                  |  | 51,717,091 |                  |  |  | 51,997,329 | 
|               |  |                  |            
|VAT tax
charge |  |                  | 8,485,903   |  |                  |  | 8,492,677  |                  |  |  | 11,846,140 | 
|               |  |                  |            
|Net worth
tax  |  |                  | 12,791,531  |  |                  |  | 12,748,320 |                  |  |  | 14,593,219 | 
|               |  |                  |            
|Other          |  |                  | 7,017,184   |  |                  |  | 5,415,940  |                  |  |  | 12,028,552 | 
|               |  |                  |             |  |                  |  |            |                  |  |  |            | 
|               |  |                  |            
|Total          |  |                  | 104,559,351 |  |                  |  | 78,374,028 |                  |  |  | 90,465,240 | 



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##### Table of Contents

11.  INVESTMENTS ACCOUNTED FOR WITH THE EQUITY METHOD

11.1  Investments accounted for with the equity method



| | a) | The following tables present the changes in investments in associated companies and joint ventures accounted for with the equity method at December
31, 2013 and 2012:
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------



|                                        |  |               |  |           |  |                |  |                   |          |  |                    |  |             |           |  |  |                       |  |  |                   |             |  |                            |  |               |                         |  |  |                      |  |  |                         |             |  |                      |  |             |  |  |  |             |  |  |            
|--------------------------------------- |  | ------------- |  | --------- |  | -------------- |  | ----------------- | -------- |  | ------------------ |  | ----------- | --------- |  |  | --------------------- |  |  | ----------------- | ----------- |  | -------------------------- |  | ------------- | ----------------------- |  |  | -------------------- |  |  | ----------------------- | ----------- |  | -------------------- |  | ----------- |  |  |  | ----------- |  |  | -----------
|Changes in Investments inAssociates     |  | Relationship  |  | Country   |  | Currency       |  | OwnershipInterest |          |  | Balance at1/1/2013 |  |             | Additions |  |  | Share ofProfit (Loss) |  |  | DividendsDeclared |             |  | ForeignCurrencyTranslation |  |               | OtherIncrease(Decrease) |  |  | Balance at12/31/2013 |  |  | NegativeEquityProvision |             |  | Balance at12/31/2013
|                                        |  |               |  |           |  |                |  |                   |          |  | ThCh$              |  |             | ThCh$     |  |  | ThCh$                 |  |  | ThCh$             |             |  | ThCh$                      |  |               | ThCh$                   |  |  | ThCh$                |  |  | ThCh$                   |             |  | ThCh$               
|                                       
|                                       
|Electrogas S.A.                         |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 42.5000% |  |                    |  | 9,030,441   |           |  |  | -                     |  |  |                   | 4,186,294   |  |                            |  | (5,080,897)   |                         |  |  | 769,156              |  |  |                         | 777,330     |  |                      |  | 9,682,324   |  |  |  | -           |  |  | 9,682,324  
|Endesa Brasil S.A.                      |  | Associate     |  | Brazil    |  | Brazilian real |  |                   | 38.6367% |  |                    |  | 574,168,681 |           |  |  | -                     |  |  |                   | 94,402,624  |  |                            |  | (101,388,548) |                         |  |  | (21,447,127)         |  |  |                         | (2,022,281) |  |                      |  | 543,713,349 |  |  |  | -           |  |  | 543,713,349
|GNL Quinteros S.A. (1)                  |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 20.0000% |  |                    |  | -           |           |  |  | -                     |  |  |                   | 4,914,871   |  |                            |  | (3,088,495)   |                         |  |  | 36,052               |  |  |                         | 7,922,262   |  |                      |  | 9,784,690   |  |  |  | (4,987,182) |  |  | 4,797,508  
|GNL Chile S.A.                          |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 33.3300% |  |                    |  | 376,835     |           |  |  | -                     |  |  |                   | 137,691     |  |                            |  | -             |                         |  |  | 45,089               |  |  |                         | -           |  |                      |  | 559,615     |  |  |  | -           |  |  | 559,615    
|Endesa Cemsa S.A.                       |  | Associate     |  | Argentina |  | Argentine peso |  |                   | 45.0000% |  |                    |  | 2,743,725   |           |  |  | -                     |  |  |                   | 144,312     |  |                            |  | -             |                         |  |  | (487,934)            |  |  |                         | -           |  |                      |  | 2,400,103   |  |  |  | -           |  |  | 2,400,103  
|Distrilec Inversora S.A. (1) y (2)      |  | Associate     |  | Argentina |  | Argentine peso |  |                   | 0.8875%  |  |                    |  | -           |           |  |  | -                     |  |  |                   | 490,902     |  |                            |  | -             |                         |  |  | 7,572                |  |  |                         | (7,363)     |  |                      |  | 491,111     |  |  |  | (349,405)   |  |  | 141,706    
|Centrales Hidroeléctricas de Aysén S.A. |  | Joint venture |  | Chile     |  | Chilean peso   |  |                   | 51.0000% |  |                    |  | 66,894,760  |           |  |  | 5,084,698             |  |  |                   | (2,294,594) |  |                            |  | -             |                         |  |  | -                    |  |  |                         | -           |  |                      |  | 69,684,864  |  |  |  | -           |  |  | 69,684,864 
|Transmisora Eléctrica de Quillota Ltda. |  | Joint venture |  | Chile     |  | Chilean peso   |  |                   | 50.0000% |  |                    |  | 5,710,960   |           |  |  | -                     |  |  |                   | 362,937     |  |                            |  | -             |                         |  |  | -                    |  |  |                         | -           |  |                      |  | 6,073,897   |  |  |  | -           |  |  | 6,073,897  
|Inversiones Gas Atacama Holding Ltda.   |  | Joint venture |  | Chile     |  | U.S. dollar    |  |                   | 50.0000% |  |                    |  | 96,207,755  |           |  |  | -                     |  |  |                   | 17,002,146  |  |                            |  | -             |                         |  |  | 10,418,066           |  |  |                         | -           |  |                      |  | 123,627,967 |  |  |  | -           |  |  | 123,627,967
|                                       
|                                       
|                                        |  |               |  |           |  |                |  |                   | TOTAL    |  |                    |  | 755,133,157 |           |  |  | 5,084,698             |  |  |                   | 119,347,183 |  |                            |  | (109,557,940) |                         |  |  | (10,659,126)         |  |  |                         | 6,669,948   |  |                      |  | 766,017,920 |  |  |  | (5,336,587) |  |  | 760,681,333
|                                        |  |               |  |           |  |                |  |                   |          |  |                    |  |            
|                                        |  |               |  |           |  |                |  |                   |          |  |                    |  |             |           |  |  |                       |  |  |                   |             |  |                            |  |               |                         |  |  |                      |  |  |                         |             |  |                      |  |             |  |  |  |             |  |  |            
|Changes in Investments inAssociates     |  | Relationship  |  | Country   |  | Currency       |  | OwnershipInterest |          |  | Balance at1/1/2012 |  |             | Additions |  |  | Share ofProfit (Loss) |  |  | DividendsDeclared |             |  | ForeignCurrencyTranslation |  |               | OtherIncrease(Decrease) |  |  | Balance at12/31/2012 |  |  | NegativeEquityProvision |             |  | Balance at12/31/2012
|                                        |  |               |  |           |  |                |  |                   |          |  | ThCh$              |  |             | ThCh$     |  |  | ThCh$                 |  |  | ThCh$             |             |  | ThCh$                      |  |               | ThCh$                   |  |  | ThCh$                |  |  | ThCh$                   |             |  | ThCh$               
|                                       
|                                       
|Electrogas S.A.                         |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 42.5000% |  |                    |  | 9,733,400   |           |  |  | -                     |  |  |                   | 4,283,023   |  |                            |  | (4,186,063)   |                         |  |  | (761,847)            |  |  |                         | (38,072)    |  |                      |  | 9,030,441   |  |  |  | -           |  |  | 9,030,441  
|Endesa Brasil S.A.                      |  | Associate     |  | Brazil    |  | Brazilian real |  |                   | 40.4529% |  |                    |  | 569,012,759 |           |  |  | -                     |  |  |                   | 107,503,620 |  |                            |  | (4,249,443)   |                         |  |  | (97,520,065)         |  |  |                         | (578,190)   |  |                      |  | 574,168,681 |  |  |  | -           |  |  | 574,168,681
|GNL Quinteros S.A. (1)                  |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 20.0000% |  |                    |  | -           |           |  |  | -                     |  |  |                   | 5,198,419   |  |                            |  | (2,738,825)   |                         |  |  | 644,605              |  |  |                         | 782,465     |  |                      |  | 3,886,664   |  |  |  | (3,886,664) |  |  | -          
|GNL Chile S.A.                          |  | Associate     |  | Chile     |  | U.S. dollar    |  |                   | 33.3300% |  |                    |  | -           |           |  |  | -                     |  |  |                   | 388,865     |  |                            |  | -             |                         |  |  | (5,373)              |  |  |                         | (6,657)     |  |                      |  | 376,835     |  |  |  | -           |  |  | 376,835    
|Endesa Cemsa S.A.                       |  | Associate     |  | Argentina |  | Argentine peso |  |                   | 45.0000% |  |                    |  | 3,428,480   |           |  |  | -                     |  |  |                   | (24,718)    |  |                            |  | -             |                         |  |  | (660,005)            |  |  |                         | (32)        |  |                      |  | 2,743,725   |  |  |  | -           |  |  | 2,743,725  
|Distrilec Inversora S.A. (2)            |  | Associate     |  | Argentina |  | Argentine peso |  |                   | 0.8875%  |  |                    |  | 24,209      |           |  |  | -                     |  |  |                   | (404,308)   |  |                            |  | -             |                         |  |  | 31,531               |  |  |                         | (839)       |  |                      |  | (349,407)   |  |  |  | 349,407     |  |  | -          
|Centrales Hidroeléctricas de Aysén S.A. |  | Joint venture |  | Chile     |  | Chilean peso   |  |                   | 51.0000% |  |                    |  | 60,050,165  |           |  |  | 7,140,000             |  |  |                   | (581,423)   |  |                            |  | -             |                         |  |  | -                    |  |  |                         | 286,018     |  |                      |  | 66,894,760  |  |  |  | -           |  |  | 66,894,760 
|Transmisora Eléctrica de Quillota Ltda. |  | Joint venture |  | Chile     |  | Chilean peso   |  |                   | 50.0000% |  |                    |  | 5,366,245   |           |  |  | -                     |  |  |                   | 344,715     |  |                            |  | -             |                         |  |  | -                    |  |  |                         | -           |  |                      |  | 5,710,960   |  |  |  | -           |  |  | 5,710,960  
|Inversiones Gas Atacama Holding Ltda.   |  | Joint venture |  | Chile     |  | U.S. dollar    |  |                   | 50.0000% |  |                    |  | 84,810,956  |           |  |  | -                     |  |  |                   | 18,304,801  |  |                            |  | -             |                         |  |  | (6,908,002)          |  |  |                         | -           |  |                      |  | 96,207,755  |  |  |  | -           |  |  | 96,207,755 
|                                       
|                                       
|                                        |  |               |  |           |  |                |  |                   | TOTAL    |  |                    |  | 732,426,214 |           |  |  | 7,140,000             |  |  |                   | 135,012,994 |  |                            |  | (11,174,331)  |                         |  |  | (105,179,156)        |  |  |                         | 444,693     |  |                      |  | 758,670,414 |  |  |  | (3,537,257) |  |  | 755,133,157

(1) Balances of negative equity reserves are presented in Other non-current financial liabilities.

(2) Significant influence is exercised through the Enersis (Endesa Chiles parent) 51.5% ownership of Distrilec.



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##### Table of Contents

| | b) | As of December 31, 2013, December 31, 2012, and January 1, 2012, no changes in ownership interest in our investment associates
had occurred.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------

11.2 Additional financial information on investments in associated
companies

The following tables show financial information as of December 31, 2013, December 31, 2012,
and January 1, 2012 from the Financial Statements of the investments in associates where the Group has significant influence:



|                                      |  |                       |        |  |                         |  |             |                         |  |  |                              |  |  |                                 |             |  |                   |  |             |                   |  |  |                        |  |  |  |                 |  |  |  |              | 
|------------------------------------- |  | --------------------- | ------ |  | ----------------------- |  | ----------- | ----------------------- |  |  | ---------------------------- |  |  | ------------------------------- | ----------- |  | ----------------- |  | ----------- | ----------------- |  |  | ---------------------- |  |  |  | --------------- |  |  |  | ------------ | 
|                                      |  | December 31, 2013     |       
|Investments with SignificantInfluence |  | % OwnershipInterest   |        |  | Current AssetsThCh$     |  |             | Non-current AssetsThCh$ |  |  | Current LiabilitiesThCh$     |  |  | Non-currentLiabilitiesThCh$     |             |  | RevenuesThCh$     |  |             | ExpensesThCh$     |  |  | Profit (Loss)ThCh$     | 
|Endesa Cemsa S.A.                     |  |                       | 45.00% |  |                         |  | 31,020,655  |                         |  |  | 838,347                      |  |  |                                 | 26,525,440  |  |                   |  | -           |                   |  |  | 2,162,235              |  |  |  | (1,841,541)     |  |  |  | 320,694      | 
|Endesa Brasil S.A.                    |  |                       | 38.64% |  |                         |  | 828,001,927 |                         |  |  | 2,190,312,917                |  |  |                                 | 507,172,891 |  |                   |  | 806,219,181 |                   |  |  | 1,871,470,844          |  |  |  | (1,548,922,343) |  |  |  | 322,548,501  | 
|Distrilec Inversora S.A.              |  |                       | 0.89%  |  |                         |  | 812,462     |                         |  |  | 16,019,631                   |  |  |                                 | 864,657     |  |                   |  | -           |                   |  |  | 55,329,841             |  |  |  | (14,799)        |  |  |  | 55,315,042   | 
|GNL Quintero S.A.                     |  |                       | 20.00% |  |                         |  | 88,131,062  |                         |  |  | 566,951,431                  |  |  |                                 | 34,063,764  |  |                   |  | 597,031,096 |                   |  |  | 100,431,648            |  |  |  | (75,857,214)    |  |  |  | 24,574,434   | 
|Electrogas S.A.                       |  |                       | 42.50% |  |                         |  | 4,624,089   |                         |  |  | 39,891,362                   |  |  |                                 | 9,624,463   |  |                   |  | 12,109,047  |                   |  |  | 17,591,544             |  |  |  | (7,741,439)     |  |  |  | 9,850,104    | 
|GNL Chile S.A.                        |  |                       | 33.33% |  |                         |  | 82,737,334  |                         |  |  | 79,263                       |  |  |                                 | 78,005,985  |  |                   |  | 3,131,599   |                   |  |  | 538,715,428            |  |  |  | (538,302,314)   |  |  |  | 413,114      | 
|                                     
|                                      | 
|                                      |  | December 31, 2012     |       
|Investments with SignificantInfluence |  | % Ownership  Interest |        |  | Current Assets    ThCh$ |  |             | Non-current AssetsThCh$ |  |  | Current Liabilities    ThCh$ |  |  | Non-current    LiabilitiesThCh$ |             |  | Revenues    ThCh$ |  |             | Expenses    ThCh$ |  |  | Profit (Loss)    ThCh$ | 
|Endesa Cemsa S.A.                     |  |                       | 45.00% |  |                         |  | 46,897,389  |                         |  |  | 873,409                      |  |  |                                 | 41,673,631  |  |                   |  | -           |                   |  |  | 3,255,026              |  |  |  | (3,309,953)     |  |  |  | (54,929)     | 
|Endesa Brasil S.A.                    |  |                       | 40.45% |  |                         |  | 760,292,147 |                         |  |  | 2,272,323,291                |  |  |                                 | 444,024,393 |  |                   |  | 861,339,706 |                   |  |  | 2,132,750,328          |  |  |  | (1,754,354,455) |  |  |  | 378,395,873  | 
|Distrilec Inversora S.A.              |  |                       | 0.89%  |  |                         |  | 965,234     |                         |  |  | -                            |  |  |                                 | 1,013,028   |  |                   |  | 39,323,517  |                   |  |  | -                      |  |  |  | (45,557,576)    |  |  |  | (45,557,576) | 
|GNL Quintero S.A.                     |  |                       | 20.00% |  |                         |  | 72,284,363  |                         |  |  | 541,694,388                  |  |  |                                 | 27,968,039  |  |                   |  | 610,947,052 |                   |  |  | 101,634,665            |  |  |  | (75,642,607)    |  |  |  | 25,992,058   | 
|Electrogas S.A.                       |  |                       | 42.50% |  |                         |  | 2,488,996   |                         |  |  | 38,787,769                   |  |  |                                 | 7,935,168   |  |                   |  | 12,093,501  |                   |  |  | 18,509,416             |  |  |  | (8,431,715)     |  |  |  | 10,077,701   | 
|GNL Chile S.A.                        |  |                       | 33.33% |  |                         |  | 82,659,263  |                         |  |  | 117,782                      |  |  |                                 | 78,867,051  |  |                   |  | 2,779,376   |                   |  |  | 863,830,524            |  |  |  | (862,663,812)   |  |  |  | 1,166,712    | 
|                                     
|                                      | 
|                                      |  | January 1, 2012       |       
|Investments with SignificantInfluence |  | % OwnershipInterest   |        |  | Current AssetsThCh$     |  |             | Non-current AssetsThCh$ |  |  | Current LiabilitiesThCh$     |  |  | Non-currentLiabilitiesThCh$     |             |  | RevenuesThCh$     |  |             | ExpensesThCh$     |  |  | Profit (Loss)ThCh$     | 
|Endesa Cemsa S.A.                     |  |                       | 45.00% |  |                         |  | 49,705,466  |                         |  |  | 820,787                      |  |  |                                 | 42,907,410  |  |                   |  | -           |                   |  |  | 3,423,785              |  |  |  | (2,868,957)     |  |  |  | 554,828      | 
|Endesa Brasil S.A.                    |  |                       | 40.45% |  |                         |  | 711,159,450 |                         |  |  | 2,554,157,698                |  |  |                                 | 649,588,123 |  |                   |  | 929,712,165 |                   |  |  | 1,973,427,447          |  |  |  | (1,585,844,382) |  |  |  | 387,583,065  | 
|Distrilec Inversora S.A.              |  |                       | 0.89%  |  |                         |  | 1,198,471   |                         |  |  | 2,767,981                    |  |  |                                 | 1,238,424   |  |                   |  | -           |                   |  |  | -                      |  |  |  | (88,727,910)    |  |  |  | (88,727,910) | 
|GNL Quintero S.A.                     |  |                       | 20.00% |  |                         |  | 112,362,755 |                         |  |  | 600,607,534                  |  |  |                                 | 76,192,955  |  |                   |  | 681,146,225 |                   |  |  | 95,676,650             |  |  |  | (75,397,751)    |  |  |  | 20,278,899   | 
|Electrogas S.A.                       |  |                       | 42.50% |  |                         |  | 2,688,608   |                         |  |  | 44,772,738                   |  |  |                                 | 9,510,888   |  |                   |  | 15,048,487  |                   |  |  | 17,218,630             |  |  |  | (7,430,408)     |  |  |  | 9,788,222    | 
|GNL Chile S.A.                        |  |                       | 33.33% |  |                         |  | 89,649,829  |                         |  |  | 420,708                      |  |  |                                 | 87,166,091  |  |                   |  | 2,924,702   |                   |  |  | 850,177,561            |  |  |  | (848,810,789)   |  |  |  | 1,366,772    | 

None of our associates have published price quotations.

Appendix 3 to these consolidated financial statements provides information on the main activities of our associated companies
and the ownership interest the Group holds in them.

- Additional information



| | i) | Companhia de Interconexão Energética  CIEN
| | -- | -------------------------------------------

Companhia de Interconexão Energética (CIEN), a subsidiary of our associated company Endesa Brasil,
was initially in the business of selling electricity in Argentina and Brazil. However, because of the reduction in the availability of power generation and physical guarantee of energy and its associated capacity, the Company has focused its
business on a different compensation structure that is not based on the purchase and sale of energy between the countries. Given the strategic importance of the Companys assets in the relations between Brazil and Argentina, the Company and the
Brazilian Government have jointly drawn up a new business plan model changing its selling activity to an electricity transmission activity with payment of a fixed compensation. This new plan involves integrating its transmission lines with the
Brazilian transmission grid operated by the Brazilian government.

In previous periods, the Argentine and Uruguayan
Governments formalized toll payments with the Company to transport energy between the two countries. Management considers that this situation further emphasizes the importance of the application made to the Brazilian government to approve the new
business plan and considers that it will probably be approved. In addition, on June 4, 2010 the Company signed a new transmission contract for a six-month period for a total of US$155 million (app. ThCh$ 81,314,550) to cover the energy
transmission required by the Argentine government.



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##### Table of Contents

Finally, on April 5, 2011, the Diario Oficial(The Official Gazette)
published Portarías Ministeriales (Ministerial Decrees) 210/2011 and 211/2011 that equipped Companhia de Interconexao Energética, S.A. (CIEN) with a regulated interconnection line involving payment of a regulated toll. The
Receita Anual Permitida (RAP), or income permitted annually, corresponded to 248 million Brazilian reals, to be adjusted according to the Broad National Consumer Price Index (IPCA) every year in June and with the rate to be reviewed
every four years. The Line 1 concession lasts until June 2020 and the Line 2 concession until July 2022, with compensation provisions for non-amortized investments. This successfully concludes the change in CIENs business model that we had
previously reported.



| | ii) | Ampla and Coelce
| | --- | ----------------

On September 11, 2012, the Brazilian government issued Temporary Law 579, which became permanent on January 13, 2013
and directly affects companies holding electric power generation, transmission, and distribution concessions, including Ampla and Coelce (subsidiaries of our associated company Endesa Brasil). Among its provisions, this legislation establishes that
the government, as concession grantor, will use the Valor Nuevo de Reemplazo (VNR, New Replacement Value) to make the corresponding indemnity payments to the concessionaires for those assets that have not been amortized at the end of the
concession period.

As a result of this new development, our associates subsidiaries have changed how they value and
classify the amounts they expect to recover in compensation when the concession period ends. The previous approach was based on the historic cost of the investments, and the rights to compensation were recorded as an account receivable. Now,
however, they are valued on the basis of the VNR, and the compensation rights are classified as financial assets available for sale. Therefore, at the end of the last fiscal year, a new estimate was made of the amounts Ampla and Coelce expect to
receive at the end of the concession period, and ThCh$112,274,835 was recorded as an increase to assets and financial income (ThCh$14,182,820 for Endesa Chile, recorded as participation in the earnings of associates accounted for using the equity
method).

-       Restrictions on funds transfers from associated companies

Endesa Brasil must comply with certain financial ratios or covenants, which require a minimum level of equity, that restrict
the transferring of assets to its owners. The Companys ownership interest in Endesa Brasils restricted net assets as of December 31, 2013 totaled ThCh$108,669,927.

11.3  Additional information on investments in joint ventures

The following tables present information from the financial statements of the main companies with which Endesa Chile has joint
ventures as of December 31, 2013, December 31, 2012, and January 1, 2012:



|                                        |                       |                   |                     |  |             |                        |  |  |                         |  |  |                             |            |  |               |  |            |               |  |  |                    |  |  |  |               |  |  |            
|--------------------------------------- | --------------------- | ----------------- | ------------------- |  | ----------- | ---------------------- |  |  | ----------------------- |  |  | --------------------------- | ---------- |  | ------------- |  | ---------- | ------------- |  |  | ------------------ |  |  |  | ------------- |  |  | -----------
|                                        |                       | December 31, 2013
|                                        | % Ownership  Interest |                   | Current AssetsThCh$ |  |             | Non-currentAssetsThCh$ |  |  | CurrentLiabilitiesThCh$ |  |  | Non-currentLiabilitiesThCh$ |            |  | RevenuesThCh$ |  |            | ExpensesThCh$ |  |  | Profit (Loss)ThCh$
|Centrales
Hidroeléctricas de Aysén S.A. |                       | 51.00%            |                     |  | 9,596,488   |                        |  |  | 131,270,190             |  |  |                             | 4,049,634  |  |               |  | 180,059    |               |  |  | -                  |  |  |  | (4,499,204)   |  |  | (4,499,204)
|Transmisora Eléctrica de Quillota
Ltda. |                       | 50.00%            |                     |  | 3,950,498   |                        |  |  | 10,237,702              |  |  |                             | 670,215    |  |               |  | 1,370,193  |               |  |  | 2,394,408          |  |  |  | (1,668,535)   |  |  | 725,873    
|Inversiones Gas Atacama Holding Ltda.   |                       | 50.00%            |                     |  | 176,292,080 |                        |  |  | 295,704,711             |  |  |                             | 63,483,879 |  |               |  | 44,840,436 |               |  |  | 176,517,866        |  |  |  | (142,513,575) |  |  | 34,004,291 
|                                        |                       |                   |                     |  |             |                        |  |  |                         |  |  |                             |            |  |               |  |            |               |  |  |                    |  |  |  |               |  |  |            
|                                        |                       | December 31, 2012
|                                        | % Ownership  Interest |                   | Current AssetsThCh$ |  |             | Non-currentAssetsThCh$ |  |  | CurrentLiabilitiesThCh$ |  |  | Non-currentLiabilitiesThCh$ |            |  | RevenuesThCh$ |  |            | ExpensesThCh$ |  |  | Profit (Loss)ThCh$
|Centrales
Hidroeléctricas de Aysén S.A. |                       | 51.00%            |                     |  | 10,081,574  |                        |  |  | 127,061,491             |  |  |                             | 5,728,373  |  |               |  | 248,465    |               |  |  | -                  |  |  |  | (1,140,074)   |  |  | (1,140,074)
|Transmisora Eléctrica de Quillota
Ltda. |                       | 50.00%            |                     |  | 3,273,653   |                        |  |  | 9,921,635               |  |  |                             | 503,949    |  |               |  | 1,269,420  |               |  |  | 2,265,866          |  |  |  | (1,576,437)   |  |  | 689,429    
|Inversiones Gas Atacama Holding Ltda.   |                       | 50.00%            |                     |  | 109,901,311 |                        |  |  | 280,273,935             |  |  |                             | 48,808,533 |  |               |  | 42,927,589 |               |  |  | 119,376,455        |  |  |  | (82,726,987)  |  |  | 36,649,468 
|                                        |                       |                   |                     |  |             |                        |  |  |                         |  |  |                             |            |  |               |  |            |               |  |  |                    |  |  |  |               |  |  |            
|                                        |                       | January 1, 2012  
|                                        | % Ownership  Interest |                   | Current AssetsThCh$ |  |             | Non-currentAssetsThCh$ |  |  | CurrentLiabilitiesThCh$ |  |  | Non-currentLiabilitiesThCh$ |            |  | RevenuesThCh$ |  |            | ExpensesThCh$ |  |  | Profit (Loss)ThCh$
|Centrales
Hidroeléctricas de Aysén S.A. |                       | 51.00%            |                     |  | 10,250,367  |                        |  |  | 115,878,802             |  |  |                             | 7,348,428  |  |               |  | 1,035,256  |               |  |  | -                  |  |  |  | (4,664,851)   |  |  | (4,664,851)
|Transmisora Eléctrica de Quillota
Ltda. |                       | 50.00%            |                     |  | 1,463,786   |                        |  |  | 10,533,846              |  |  |                             | 298,164    |  |               |  | 966,978    |               |  |  | 2,310,668          |  |  |  | (1,632,824)   |  |  | 677,844    
|Inversiones Gas Atacama Holding Ltda.   |                       | 50.00%            |                     |  | 93,103,848  |                        |  |  | 314,752,350             |  |  |                             | 77,452,973 |  |               |  | 45,808,413 |               |  |  | 260,889,567        |  |  |  | (225,125,891) |  |  | 35,763,676 



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##### Table of Contents

- Additional information



| | i) | Gas Atacama:
| | -- | ------------

Among the assets of Gas Atacama, a company in which Endesa Chile holds a 50% interest, is a combined cycle power generation plant in the north
of Chile. Since it has been impossible to import natural gas from neighboring countries, Gas Atacama has been forced to generate electricity using other fuels, whose cost increased sharply in the last few months of 2007 due to higher oil prices.
Consequently, the Company filed lawsuits in order to get early termination of the agreement it has with the distributing company Emel. On January 25, 2008, the arbitration ruling denied early termination of the agreement. This situation
significantly decreased the recoverable value of that plant, and a loss provision for impairment for US$110 million was recognized as of December 31, 2007.



12.  INTANGIBLE ASSETS OTHER THAN GOODWILL

Intangible assets as of December 31, 2013, December 31, 2012, and January 1, 2012 are detailed as follows:



|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|------------------------------------------------ |  | ---------------- | ------------ |  | ---------------- |  | ------------ | ---------------- |  | ------------
|Intangible Assets, Net                           |  | 12-31-2013
ThCh$ |              |  | 12-31-2012
ThCh$ |  |              | 01-01-2012
ThCh$
|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|Identifiable Intangible Assets, Net              |  |                  | 56,048,545   |  |                  |  | 55,752,625   |                  |  | 45,528,291  
|Development
costs                                |  |                  | 7,365,667    |  |                  |  | 6,254,623    |                  |  | 5,376,265   
|Easements and
water rights                       |  |                  | 28,962,374   |  |                  |  | 29,572,872   |                  |  | 19,925,736  
|Concessions
(1)                                  |  |                  | 7,247,556    |  |                  |  | 9,728,025    |                  |  | 12,152,979  
|Patents,
registered trademarks, and other rights |  |                  | 1,824,734    |  |                  |  | 1,482,187    |                  |  | 221,420     
|Computer
software                                |  |                  | 7,876,555    |  |                  |  | 5,943,571    |                  |  | 4,772,198   
|Other
identifiable intangible assets             |  |                  | 2,771,659    |  |                  |  | 2,771,347    |                  |  | 3,079,693   
|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|Intangible Assets, Gross                         |  | 12-31-2013
ThCh$ |              |  | 12-31-2012ThCh$  |  |              | 01-01-2012ThCh$ 
|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|Identifiable Intangible Assets, Gross            |  |                  | 111,708,387  |  |                  |  | 107,765,140  |                  |  | 91,977,523  
|Development
costs                                |  |                  | 7,427,040    |  |                  |  | 6,299,973    |                  |  | 5,659,810   
|Easements and
water rights                       |  |                  | 34,833,865   |  |                  |  | 34,759,360   |                  |  | 24,700,484  
|Concessions
(1)                                  |  |                  | 40,203,523   |  |                  |  | 40,142,065   |                  |  | 40,156,864  
|Patents,
registered trademarks, and other rights |  |                  | 2,578,733    |  |                  |  | 1,798,218    |                  |  | 486,497     
|Computer
software                                |  |                  | 18,596,553   |  |                  |  | 16,329,438   |                  |  | 14,889,444  
|Other
identifiable intangible assets             |  |                  | 8,068,673    |  |                  |  | 8,436,086    |                  |  | 6,084,424   
|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|Accumulated Amortization and Impairment          |  | 12-31-2013ThCh$  |              |  | 12-31-2012ThCh$  |  |              | 01-01-2012ThCh$ 
|                                                 |  |                  |              |  |                  |  |              |                  |  |             
|Accumulated Amortization and Impairment          |  |                  | (55,659,842) |  |                  |  | (52,012,515) |                  |  | (46,449,232)
|Development
costs                                |  |                  | (61,373)     |  |                  |  | (45,350)     |                  |  | (283,545)   
|Easements and
water rights                       |  |                  | (5,871,491)  |  |                  |  | (5,186,488)  |                  |  | (4,774,748) 
|Concessions
(1)                                  |  |                  | (32,955,967) |  |                  |  | (30,414,040) |                  |  | (28,003,885)
|Patents,
registered trademarks, and other rights |  |                  | (753,999)    |  |                  |  | (316,031)    |                  |  | (265,077)   
|Computer
software                                |  |                  | (10,719,998) |  |                  |  | (10,385,867) |                  |  | (10,117,246)
|Other
identifiable intangible assets             |  |                  | (5,297,014)  |  |                  |  | (5,664,739)  |                  |  | (3,004,731) 



F-61



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##### Table of Contents

(1)  The detail of net concessions is the following:



|                                                                  |  |         |  |                     |  |                       |  |                   |           |  |                   |  |           |                   |  |  |            | 
|----------------------------------------------------------------- |  | ------- |  | ------------------- |  | --------------------- |  | ----------------- | --------- |  | ----------------- |  | --------- | ----------------- |  |  | ---------- | 
|Concession Holder                                                 |  | Country |  | Term of  Concession |  | Period to  Expiration |  | 12-31-2013  ThCh$ |           |  | 12-31-2012  ThCh$ |  |           | 01-01-2012  ThCh$ | 
|                                                                  |  |         |  |                     |  |                       |  |                   |           |  |                   |  |           |                   |  |  |            | 
|Soc. Concesionaria Túnel El Melón S.A. (Infraestructura Vial)
(*) |  | Chile   |  | 23 years            |  | 2.5 years             |  |                   | 7,247,556 |  |                   |  | 9,728,025 |                   |  |  | 12,152,979 | 

(*) See Note 3.c.1.

The reconciliation of the carrying amounts of intangible assets during the 2013 and 2012 fiscal years is as follows:



|                                                     |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|---------------------------------------------------- | ----- | ---------------- | ----------- | ----- | ------------------------ |  | ---------- | ----------- |  | ----- | -------------------------------------------- |  | ----- | ---------------- | --------- | ----- | -------------------------------------- |  | ----------- | --------------------- |  |  | --------- |  |  |  | ----------- | 
|Changes in Intangible Assets                         |       | DevelopmentCosts |             |       | Easementsand WaterRights |  |            | Concessions |  |       | Patents,RegisteredTrademarks,and OtherRights |  |       | ComputerSoftware |           |       | OtherIdentifiableIntangibleAssets, Net |  |             | IntangibleAssets, Net | 
|                                                     | ThCh$ |                  |             | ThCh$ |                          |  | ThCh$      |             |  | ThCh$ |                                              |  | ThCh$ |                  |           | ThCh$ |                                        |  | ThCh$       |                      
|                                                     |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Opening balance at January 1, 2013                   |       |                  | 6,254,623   |       |                          |  | 29,572,872 |             |  |       | 9,728,025                                    |  |       |                  | 1,482,187 |       |                                        |  | 5,943,571   |                       |  |  | 2,771,347 |  |  |  | 55,752,625  | 
|Changes in
identifiable intangible assets            |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Additions                                            |       |                  | 1,365,305   |       |                          |  | (1,547)    |             |  |       | -                                            |  |       |                  | 335,933   |       |                                        |  | 2,583,972   |                       |  |  | -         |  |  |  | 4,283,663   | 
|Disposals                                            |       |                  | (173,662)   |       |                          |  | -          |             |  |       | -                                            |  |       |                  | -         |       |                                        |  | (609)       |                       |  |  | -         |  |  |  | (174,271)   | 
|Amortization
(*)                                     |       |                  | (15,449)    |       |                          |  | (651,701)  |             |  |       | (2,540,627)                                  |  |       |                  | (425,669) |       |                                        |  | (317,199)   |                       |  |  | (9,364)   |  |  |  | (3,960,009) | 
|Increase
(decrease) from foreign exchange difference |       |                  | 51,063      |       |                          |  | 42,387     |             |  |       | 1,927                                        |  |       |                  | 14,118    |       |                                        |  | 3,033       |                       |  |  | 10,039    |  |  |  | 122,567     | 
|Other increases
(decreases)                          |       |                  | (116,213)   |       |                          |  | 363        |             |  |       | 58,231                                       |  |       |                  | 418,165   |       |                                        |  | (336,213)   |                       |  |  | (363)     |  |  |  | 23,970      | 
|Total
changes in identifiable intangible assets      |       |                  | 1,111,044   |       |                          |  | (610,498)  |             |  |       | (2,480,469)                                  |  |       |                  | 342,547   |       |                                        |  | 1,932,984   |                       |  |  | 312       |  |  |  | 295,920     | 
|                                                     |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Closing balance in intangible assets at 12/31/2013   |       |                  | 7,365,667   |       |                          |  | 28,962,374 |             |  |       | 7,247,556                                    |  |       |                  | 1,824,734 |       |                                        |  | 7,876,555   |                       |  |  | 2,771,659 |  |  |  | 56,048,545  | 
|(*) See Note 26, Depreciation and
Amortization.      |       |                  |             |       |                          |  |            |             |  |       |                                              |  |      
|Changes in Intangible Assets                         |       | DevelopmentCosts |             |       | Easementsand WaterRights |  |            | Concessions |  |       | Patents,RegisteredTrademarks,and OtherRights |  |       | ComputerSoftware |           |       | OtherIdentifiableIntangibleAssets, Net |  |             | IntangibleAssets, Net | 
|                                                     | ThCh$ |                  |             | ThCh$ |                          |  | ThCh$      |             |  | ThCh$ |                                              |  | ThCh$ |                  |           | ThCh$ |                                        |  | ThCh$       |                      
|                                                     |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Opening balance at 1/1/2012                          |       |                  | 5,376,265   |       |                          |  | 19,925,736 |             |  |       | 12,152,979                                   |  |       |                  | 221,420   |       |                                        |  | 4,772,198   |                       |  |  | 3,079,693 |  |  |  | 45,528,291  | 
|Changes in
identifiable intangible assets            |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Additions                                            |       |                  | 3,117,101   |       |                          |  | 727,244    |             |  |       | -                                            |  |       |                  | 458,044   |       |                                        |  | 10,522,845  |                       |  |  | 25,162    |  |  |  | 14,850,396  | 
|Disposals                                            |       |                  | (1,081,543) |       |                          |  | -          |             |  |       | -                                            |  |       |                  | -         |       |                                        |  | (2,322)     |                       |  |  | -         |  |  |  | (1,083,865) | 
|Amortization
(*)                                     |       |                  | (39,527)    |       |                          |  | (378,740)  |             |  |       | (2,426,638)                                  |  |       |                  | (47,358)  |       |                                        |  | (306,896)   |                       |  |  | (438,025) |  |  |  | (3,637,184) | 
|Increase
(decrease) from foreign exchange difference |       |                  | 72,086      |       |                          |  | 329,180    |             |  |       | 1,683                                        |  |       |                  | 5,811     |       |                                        |  | 403         |                       |  |  | 40,279    |  |  |  | 449,442     | 
|Other increases
(decreases)                          |       |                  | (1,189,759) |       |                          |  | 8,969,452  |             |  |       | 1                                            |  |       |                  | 844,270   |       |                                        |  | (9,042,657) |                       |  |  | 64,238    |  |  |  | (354,455)   | 
|Total
changes in identifiable intangible assets      |       |                  | 878,358     |       |                          |  | 9,647,136  |             |  |       | (2,424,954)                                  |  |       |                  | 1,260,767 |       |                                        |  | 1,171,373   |                       |  |  | (308,346) |  |  |  | 10,224,334  | 
|                                                     |       |                  |             |       |                          |  |            |             |  |       |                                              |  |       |                  |           |       |                                        |  |             |                       |  |  |           |  |  |  |             | 
|Closing balance in intangible assets at 12/31/2012   |       |                  | 6,254,623   |       |                          |  | 29,572,872 |             |  |       | 9,728,025                                    |  |       |                  | 1,482,187 |       |                                        |  | 5,943,571   |                       |  |  | 2,771,347 |  |  |  | 55,752,625  | 

(*) See Note 26, Depreciation and Amortization.

According to the Group managements estimates and projections, the expected future cash flows attributable to intangible
assets allow recovery of the carrying amount of these assets recorded as of December 31, 2013 (see Note 3.d).

As of
December 31, 2013, December 31, 2012, and January 1, 2012, the Company does not have significant intangible assets with an indefinite useful life.



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##### Table of Contents

13.  GOODWILL

The following table shows goodwill by the Cash-Generating Unit or group of Cash-Generating Units to which it belongs and
changes as of December 31, 2013, December 31, 2012, and January 1, 2012:



|                                        |  |                             |             |  |         |  |             |                                 |  |  |                               |  |  |  |             | 
|--------------------------------------- |  | --------------------------- | ----------- |  | ------- |  | ----------- | ------------------------------- |  |  | ----------------------------- |  |  |  | ----------- | 
|Company                                 |  | Opening Balance    1/1/2013 |             |  | Mergers |  |             | Foreign Currency    Translation |  |  | Closing Balance    12/31/2013 | 
|                                        |  | ThCh$                       |             |  | ThCh$   |  |             | ThCh$                           |  |  | ThCh$                         | 
|Hidroeléctrica El Chocón S.A.           |  |                             | 10,345,927  |  |         |  | -           |                                 |  |  | (1,780,725)                   |  |  |  | 8,565,202   | 
|Compañía Eléctrica San Isidro S.A. (**) |  |                             | 4,656,105   |  |         |  | (4,656,105) |                                 |  |  | -                             |  |  |  | -           | 
|Cía.
Eléctrica Tarapacá S.A. (**)       |  |                             | -           |  |         |  | 4,656,105   |                                 |  |  | -                             |  |  |  | 4,656,105   | 
|Edegel
S.A.A.                           |  |                             | 81,550,712  |  |         |  | -           |                                 |  |  | 110,423                       |  |  |  | 81,661,135  | 
|Emgesa
S.A.E.S.P.                       |  |                             | 5,194,342   |  |         |  | -           |                                 |  |  | 19,414                        |  |  |  | 5,213,756   | 
|                                        |  |                             |             |  |         |  |             |                                 |  |  |                               |  |  |  |             | 
|Total                                   |  |                             | 101,747,086 |  |         |  | -           |                                 |  |  | (1,650,888)                   |  |  |  | 100,096,198 | 
|                                        |  |                             |             | 
|                                        |  |                             |             |  |         |  |             |                                 |  |  |                               |  |  |  |             | 
|Company                                 |  | Opening Balance1/1/2012     |             |  | Mergers |  |             | Foreign CurrencyTranslation     |  |  | Closing Balance12/31/2012     | 
|                                        |  | ThCh$                       |             |  | ThCh$   |  |             | ThCh$                           |  |  | ThCh$                         | 
|Empresa
Eléctrica Pangue S.A. (*)       |  |                             | 3,139,337   |  |         |  | (3,139,337) |                                 |  |  | -                             |  |  |  | -           | 
|Hidroeléctrica El Chocón S.A.           |  |                             | 12,822,659  |  |         |  | -           |                                 |  |  | (2,476,732)                   |  |  |  | 10,345,927  | 
|Compañía Eléctrica San Isidro S.A. (*)  |  |                             | 1,516,768   |  |         |  | 3,139,337   |                                 |  |  | -                             |  |  |  | 4,656,105   | 
|Edegel
S.A.A.                           |  |                             | 83,779,596  |  |         |  | -           |                                 |  |  | (2,228,884)                   |  |  |  | 81,550,712  | 
|Emgesa
S.A.E.S.P.                       |  |                             | 5,126,657   |  |         |  | -           |                                 |  |  | 67,685                        |  |  |  | 5,194,342   | 
|                                        |  |                             |             |  |         |  |             |                                 |  |  |                               |  |  |  |             | 
|Total                                   |  |                             | 106,385,017 |  |         |  | -           |                                 |  |  | (4,637,931)                   |  |  |  | 101,747,086 | 

(*) Empresa Eléctrica Pangue S.A. was merged with Compañía Eléctrica
San Isidro S.A. on May 1, 2012; it is the latter company that legally continues to exist.

(**) Compañía
Eléctrica San Isidro S.A. was merged with Endesa Eco S.A. on September 1, 2013; it is the latter company that legally continues to exist. Endesa Eco S.A. was merged with Compañía Eléctrica Tarapacá S.A. on
November 1, 2013; it is the latter company that legally continues to exist.

The origin of the goodwill is detailed
below:



| | 1. | Empresa Eléctrica Pangue S.A.
| | -- | -----------------------------

On July 12, 2002, Endesa Chile
acquired 2.51% of the shares of Empresa Eléctrica Pangue S.A. through a put option held by the minority shareholder Internacional Finance Corporation (IFC).



| | 2. | Hidroeléctrica el Chocón S.A.
| | -- | -----------------------------

On August 31, 1993, Endesa
Chile acquired 59% of Hidroeléctrica El Chocón in an international public bidding process held by the Argentine government.



| | 3. | Compañía Eléctrica San Isidro S.A.
| | -- | ----------------------------------

On August 11,
2005, Endesa Chile bought the shares of the company Inversiones Lo Venecia Ltda., whose only asset was a 25% interest in the company San Isidro S.A.



| | 4. | Edegel S.A.A.
| | -- | -------------

On October 9, 2009, in a transaction on the Lima Stock
Exchange in Peru, Endesa Chile acquired an additional 29.3974% interest in Edegel S.A.



| | 5. | Emgesa S.A.E.S.P.
| | -- | -----------------

On October 23, 1997, Endesa Chile, together with
Endesa España., bought 48.5% of Generadora de Electricidad Emgesa de Santa Fé de Bogotá in Colombia. The purchase was made in an international public bidding process held by the Colombian government.

According to the Endesa Chile managements estimates and projections, the expected future cash flows projections
attributable to the Cash-Generating Units or groups of Cash-Generating Units, to which the acquired goodwill has been allocated, allow recovery of its carrying value as of December 31, 2013 and December 31, 2012 (see Note 3.b).



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##### Table of Contents

14.  PROPERTY, PLANT, AND EQUIPMENT



| | a) | Property, plant, and equipment as of December 31, 2013, December 31, 2012, and January 1, 2012:
| | -- | -----------------------------------------------------------------------------------------------



|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|------------------------------------------------------------------------------------ |  | ---------------- | --------------- |  | ---------------- |  | --------------- | ---------------- |  |  | --------------- |  |  | 
|Classes of Property, Plant, and Equipment, Net                                       |  | 12-31-2013
ThCh$ |                 |  | 12-31-2012
ThCh$ |  |                 | 01-01-2012
ThCh$ |  |  |                
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|Property, Plant, and Equipment, Net                                                  |  |                  | 4,692,288,945   |  |                  |  | 4,515,242,392   |                  |  |  | 4,451,020,122   |  |  | 
|Construction in progress                                                             |  |                  | 870,787,402     |  |                  |  | 577,918,459     |                  |  |  | 804,735,394     |  |  | 
|Land                                                                                 |  |                  | 56,927,135      |  |                  |  | 57,740,580      |                  |  |  | 51,596,797      |  |  | 
|Buildings                                                                            |  |                  | 20,737,186      |  |                  |  | 20,349,421      |                  |  |  | 21,207,831      |  |  | 
|Plant and equipment                                                                  |  |                  | 3,706,325,553   |  |                  |  | 3,820,223,098   |                  |  |  | 3,538,116,315   |  |  | 
|Fixtures and fittings                                                                |  |                  | 15,585,705      |  |                  |  | 16,230,612      |                  |  |  | 11,540,105      |  |  | 
|Other                                                                                |  |                  | 21,925,964      |  |                  |  | 22,780,222      |                  |  |  | 23,823,680      |  |  | 
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|Classes of Property, Plant, and Equipment, Gross                                     |  | 12-31-2013
ThCh$ |                 |  | 12-31-2012
ThCh$ |  |                 | 01-01-2012
ThCh$ |  |  |                
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|Property, Plant, and Equipment, Gross                                                |  |                  | 8,102,848,577   |  |                  |  | 7,851,878,297   |                  |  |  | 7,708,750,074   |  |  | 
|Construction in progress                                                             |  |                  | 870,787,402     |  |                  |  | 577,918,459     |                  |  |  | 804,735,394     |  |  | 
|Land                                                                                 |  |                  | 56,927,135      |  |                  |  | 57,740,580      |                  |  |  | 51,596,797      |  |  | 
|Buildings                                                                            |  |                  | 36,365,813      |  |                  |  | 35,374,273      |                  |  |  | 34,553,797      |  |  | 
|Plant and equipment                                                                  |  |                  | 7,054,711,195   |  |                  |  | 7,101,159,979   |                  |  |  | 6,738,150,311   |  |  | 
|Fixtures and fittings                                                                |  |                  | 55,297,001      |  |                  |  | 50,924,975      |                  |  |  | 50,232,946      |  |  | 
|Other                                                                                |  |                  | 28,760,031      |  |                  |  | 28,760,031      |                  |  |  | 29,480,829      |  |  | 
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|Classes of Accumulated Depreciation and Impairment
in Property, Plant, and Equipment |  | 12-31-2013
ThCh$ |                 |  | 12-31-2012
ThCh$ |  |                 | 01-01-2012
ThCh$ |  |  |                
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|                                                                                     |  |                  |                 |  |                  |  |                 |                  |  |  |                 |  |  | 
|Total accumulated depreciation and impairment in property, plant, and
equipment      |  |                  | (3,410,559,632) |  |                  |  | (3,336,635,905) |                  |  |  | (3,257,729,952) |  |  | 
|Buildings                                                                            |  |                  | (15,628,627)    |  |                  |  | (15,024,852)    |                  |  |  | (13,345,966)    |  |  | 
|Plant and equipment                                                                  |  |                  | (3,348,385,642) |  |                  |  | (3,280,936,881) |                  |  |  | (3,200,033,996) |  |  | 
|Fixtures and fittings                                                                |  |                  | (39,711,296)    |  |                  |  | (34,694,363)    |                  |  |  | (38,692,841)    |  |  | 
|Other                                                                                |  |                  | (6,834,067)     |  |                  |  | (5,979,809)     |                  |  |  | (5,657,149)     |  |  | 



| | b) | The detail of, and changes in, property, plant, and equipment during the 2013 and the 2012 fiscal years are as follows:
| | -- | -----------------------------------------------------------------------------------------------------------------------



|                                     |                                                    |                                  |             |               |             |  |            |                       |   |  |                                |             |        |                                  |               |               |                                              |  |            |                                           |           |  |            |             |   |               |               |            
|------------------------------------ | -------------------------------------------------- | -------------------------------- | ----------- | ------------- | ----------- |  | ---------- | --------------------- | - |  | ------------------------------ | ----------- | ------ | -------------------------------- | ------------- | ------------- | -------------------------------------------- |  | ---------- | ----------------------------------------- | --------- |  | ---------- | ----------- | - | ------------- | ------------- | -----------
|Changes in 2013                      |                                                    | Construction in  Progress
 ThCh$ |             |               | Land
 ThCh$ |  |            | Buildings, Net 
ThCh$ |   |  | Plant
andEquipment, Net  ThCh$ |             |        | Fixtures andFittings, Net 
ThCh$ |               |               | Other Property,Plant, andEquipment, NetThCh$ |  |            | Property, Plant, andEquipment, Net 
ThCh$
|Opening Balance at January 1, 2013   |                                                    |                                  | 577,918,459 |               |             |  | 57,740,580 |                       |   |  | 20,349,421                     |             |        |                                  | 3,820,223,098 |               |                                              |  | 16,230,612 |                                           |           |  | 22,780,222 |             |   | 4,515,242,392
|LOGO                                 |                                                    | Additions                        |             |               | 386,015,474 |  |            |                       | - |  |                                |             | 22,103 |                                  |               |               | 1,058,912                                    |  |            |                                           | 575,244   |  |            |             | - |               |               | 387,671,733
|                                     | Disposals                                          |                                  |             | (547,205)     |             |  |            | (751,843)             |   |  |                                | -           |        |                                  |               | (3,765,956)   |                                              |  |            | (16,072)                                  |           |  |            | -           |   |               | (5,081,076)  
|                                     | Depreciation
Expense                               |                                  |             | -             |             |  |            | -                     |   |  |                                | (1,276,214) |        |                                  |               | (180,762,512) |                                              |  |            | (2,842,346)                               |           |  |            | (854,258)   |   |               | (185,735,330)
|                                     | Impairment
losses recognized in profit or loss (*) |                                  |             | -             |             |  |            | -                     |   |  |                                | -           |        |                                  |               | (6,599,318)   |                                              |  |            | -                                         |           |  |            | -           |   |               | (6,599,318)  
|                                     | Foreign currency
translation differences           |                                  |             | 1,013,731     |             |  |            | 57,138                |   |  |                                | 65,224      |        |                                  |               | (14,132,562)  |                                              |  |            | (153,197)                                 |           |  |            | -           |   |               | (13,149,666) 
|                                     | Other increases
(decreases)                        |                                  |             | (93,613,057)  |             |  |            | (118,740)             |   |  |                                | 1,576,652   |        |                                  |               | 90,303,891    |                                              |  |            | 1,791,464                                 |           |  |            | -           |   |               | (59,790)     
|                                     | Total
changes                                      |                                  |             | 292,868,943   |             |  |            | (813,445)             |   |  |                                | 387,765     |        |                                  |               | (113,897,545) |                                              |  |            | (644,907)                                 |           |  |            | (854,258)   |   |               | 177,046,553  
|Closing balance at December 31, 2013 |                                                    |                                  | 870,787,402 |               |             |  | 56,927,135 |                       |   |  | 20,737,186                     |             |        |                                  | 3,706,325,553 |               |                                              |  | 15,585,705 |                                           |           |  | 21,925,964 |             |   | 4,692,288,945
|                                     |                                                    |                                  |             |               |             |  |            |                       |   |  |                                |             |        |                                  |               |               |                                              |  |            |                                           |           |  |            |             |   |               |               |            
|                                     |                                                    |                                  |             |               |             |  |            |                       |   |  |                                |             |        |                                  |               |               |                                              |  |            |                                           |           |  |            |             |   |               |               |            
|Changes in 2012                      |                                                    | Construction in  Progress
 ThCh$ |             |               | Land
 ThCh$ |  |            | Buildings, Net 
ThCh$ |   |  | Plant
andEquipment, Net  ThCh$ |             |        | Fixtures
andFittings, Net  ThCh$ |               |               | Other Property,Plant, andEquipment, NetThCh$ |  |            | Property, Plant, andEquipment, Net 
ThCh$
|Opening Balance at January 1, 2012   |                                                    |                                  | 804,735,394 |               |             |  | 51,596,797 |                       |   |  | 21,207,831                     |             |        |                                  | 3,538,116,315 |               |                                              |  | 11,540,105 |                                           |           |  | 23,823,680 |             |   | 4,451,020,122
|LOGO                                 |                                                    | Additions                        |             |               | 267,598,180 |  |            |                       | - |  |                                |             | -      |                                  |               |               | 16,170,937                                   |  |            |                                           | 1,108,956 |  |            |             | - |               |               | 284,878,073
|                                     | Disposals                                          |                                  |             | (7,976)       |             |  |            | (213,187)             |   |  |                                | -           |        |                                  |               | (115,797)     |                                              |  |            | (90,100)                                  |           |  |            | -           |   |               | (427,060)    
|                                     | Depreciation expense                               |                                  |             | -             |             |  |            | -                     |   |  |                                | (1,124,692) |        |                                  |               | (176,676,009) |                                              |  |            | (2,275,853)                               |           |  |            | (854,259)   |   |               | (180,930,813)
|                                     | Impairment losses recognized in
profit or loss (*) |                                  |             | -             |             |  |            | -                     |   |  |                                | -           |        |                                  |               | (12,578,098)  |                                              |  |            | -                                         |           |  |            | -           |   |               | (12,578,098) 
|                                     | Foreign currency translation
differences           |                                  |             | (1,201,357)   |             |  |            | 66,619                |   |  |                                | 93,634      |        |                                  |               | (30,884,746)  |                                              |  |            | (125,817)                                 |           |  |            | -           |   |               | (32,051,667) 
|                                     | Other increases
(decreases)                        |                                  |             | (493,205,782) |             |  |            | 6,290,351             |   |  |                                | 172,648     |        |                                  |               | 486,190,496   |                                              |  |            | 6,073,321                                 |           |  |            | (189,199)   |   |               | 5,331,835    
|                                     | Total changes                                      |                                  |             | (226,816,935) |             |  |            | 6,143,783             |   |  |                                | (858,410)   |        |                                  |               | 282,106,783   |                                              |  |            | 4,690,507                                 |           |  |            | (1,043,458) |   |               | 64,222,270   
|Closing balance at December 31, 2012 |                                                    |                                  | 577,918,459 |               |             |  | 57,740,580 |                       |   |  | 20,349,421                     |             |        |                                  | 3,820,223,098 |               |                                              |  | 16,230,612 |                                           |           |  | 22,780,222 |             |   | 4,515,242,392

(*) See Note 26, Depreciation and Amortization.



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##### Table of Contents

Major additions to property, plant and equipment are investments in operating
plants and new projects by ThCh$353,533,733 in 2013 (ThCh$ 281,703,466 in 2012). Highlights the progress in the construction of the Central Hydraulics El Quimbo in Colombia (400 MW), involving additions in 2013 by ThCh$ 150,262,546 (ThCh$
174,261,499 in 2012).



| | c) | Main investments
| | -- | ----------------

Material investments in the electricity generation
business include developments in the program to create new capacity.

In Colombia, the Central Hidráulica El
Quimbo, a hydroelectric dam with 400W of installed capacity and an average annual generation of some 2,216 GWh, is currently under construction.



| | d) | Finance leases
| | -- | --------------

As of December 31, 2013, December 31,
2012, and January 1, 2012, property, plant, and equipment includes ThCh$57,721,214, ThCh$118,407,864, and ThCh$130,228,889, respectively, in leased assets classified as finance leases.

The present value of future lease payments derived from these finance leases is as follows:



|                       |            |            |            |               |            |  |                   |            |  |             |            |  |               |  |            |                    |  |  |             |  |  |               |            |  |                   |  |            |  |  |  |            |  |  |           
|---------------------- | ---------- | ---------- | ---------- | ------------- | ---------- |  | ----------------- | ---------- |  | ----------- | ---------- |  | ------------- |  | ---------- | ------------------ |  |  | ----------- |  |  | ------------- | ---------- |  | ----------------- |  | ---------- |  |  |  | ---------- |  |  | ----------
|                       |            | 12-31-2013 |            |               | 12-31-2012 |  |                   | 01-01-2012
|                       | GrossThCh$ |            |            | InterestThCh$ |            |  | PresentValueThCh$ |            |  | Gross ThCh$ |            |  | InterestThCh$ |  |            | PresentValue
ThCh$ |  |  | Gross ThCh$ |  |  | InterestThCh$ |            |  | PresentValueThCh$
|Less than one year     |            |            | 8,070,754  |               |            |  | 1,542,836         |            |  |             | 6,527,918  |  |               |  | 7,446,617  |                    |  |  | 1,578,558   |  |  |               | 5,868,059  |  |                   |  | 11,212,425 |  |  |  | 2,033,642  |  |  | 9,178,783 
|From one to five years |            |            | 35,600,427 |               |            |  | 3,914,413         |            |  |             | 31,686,013 |  |               |  | 37,900,651 |                    |  |  | 3,880,045   |  |  |               | 34,020,606 |  |                   |  | 35,645,470 |  |  |  | 5,821,408  |  |  | 29,824,062
|More than five years   |            |            | 12,129,432 |               |            |  | 1,198,490         |            |  |             | 10,930,942 |  |               |  | 13,016,926 |                    |  |  | 2,211,594   |  |  |               | 10,805,332 |  |                   |  | 27,619,488 |  |  |  | 2,457,926  |  |  | 25,161,562
|Total                  |            |            | 55,800,613 |               |            |  | 6,655,739         |            |  |             | 49,144,873 |  |               |  | 58,364,194 |                    |  |  | 7,670,197   |  |  |               | 50,693,997 |  |                   |  | 74,477,383 |  |  |  | 10,312,976 |  |  | 64,164,407

Leasing assets primarily relate to:



| | 1. | Endesa Chile S.A.: a lease agreement for Electric Transmission Lines and Installations (Ralco-Charrúa 2X220 KV) entered into between Endesa
Chile and Abengoa Chile S.A. The lease agreement has a 20-year maturity and bears interest at an annual rate of 6.5%.
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2. | Edegel S.A.: lease agreements to finance the project of converting the Ventanilla thermoelectric plant to a combined cycle plant. The agreements
were signed between Edegel S.A.A. and the financial institutions BBVA - Banco Continental, Banco de Crédito del Perú, Citibank del Peru, and Banco Internacional del Peru - Interbank. These agreements have an average term of 8 years and
bear interest at an annual rate of Libor + 1.75%, Libor + 2.5%, and Libor + 2.5% as of December 31, 2013, December 31, 2012, and January 1, 2012, respectively.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The company also has an agreement with Scotiabank, which financed the construction of a new open cycle plant at the Santa Rosa
Plant. This agreement has a term of 9 years and bears interest an annual rate of Libor + 1.75%.



| | e) | Operating leases
| | -- | ----------------

As of December 31, 2013, December 31,
2012, and January 1, 2012, the total future lease payments under those contracts are as follows:



|                       |  |                             |            |  |                              |  |            |                              |  |  |            |  |  | 
|---------------------- |  | --------------------------- | ---------- |  | ---------------------------- |  | ---------- | ---------------------------- |  |  | ---------- |  |  | 
|                       |  | 12-31-2013            ThCh$ |            |  | 12-31-2012            
ThCh$ |  |            | 01-01-2012            
ThCh$ |  |  |           
|Less than one year     |  |                             | 1,881,393  |  |                              |  | 1,842,470  |                              |  |  | 273,826    |  |  | 
|From one to five years |  |                             | 7,863,950  |  |                              |  | 7,747,262  |                              |  |  | 1,084,081  |  |  | 
|More than five years   |  |                             | 9,381,984  |  |                              |  | 9,193,709  |                              |  |  | 16,307,666 |  |  | 
|Total                  |  |                             | 19,127,327 |  |                              |  | 18,783,441 |                              |  |  | 17,665,573 |  |  | 



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| | f) | Other information
| | -- | -----------------



| | 1. | As of December 31, 2013, December 31, 2012, and January 1, 2012, Endesa Chile had contractual commitments for the acquisition
of property, plant, and equipment amounting to ThCh$2,947,284, ThCh$11,775,412, and ThCh$104,286,787, respectively.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2. | As of December 31, 2013, December 31, 2012, and January 1, 2012, the Group had property, plant, and equipment pledged as
security for liabilities in the amount of ThCh$35,100,296, ThCh$57,129,918, and ThCh$154,141,593, respectively (see Note 32).
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 3. | The Company and its national and foreign subsidiaries have insurance policies for all risks, earthquake, machinery breakdown and damages for
business interruption with a US$500 million limit. The premiums associated with these policies are presented proportionally for each company under the line item Other non-financial current assets.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 4. | The situation of certain assets has changed, primarily works and infrastructure for facilities built to support power generation in the SIC grid in
1998, due primarily to the installation in the SIC of new thermoelectric plants, the arrival of LNG, and new projects that will be starting up soon. This has resulted in a new supply configuration for the coming years, in which it is expected that
these facilities will not need to be used. Therefore, in the 2009 fiscal year, the Company recorded an impairment provision of ThCh$43,999,600 for these assets, which continues in effect.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 5. | As a result of the February 27, 2010 earthquake in Chile, some of our Companys plant and equipment were partially or totally impaired.
The impact on our total assets, however, is minor as the only facilities that suffered some damage in infrastructure were the Bocamina I and Bocamina II plants.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Due to these impairments, ThCh$369,643 in assets were written down in the 2010 fiscal year. Additionally, the Company had to
incur expenditures related to repair and capital improvements totaling ThCh$9,733,426, primarily at the Bocamina I plant. All of the disbursements incurred were covered by insurance.

Endesa Chile has the necessary insurance coverage for these types of exceptional claims, covering material damage as well as
business interruption.



| | 6. | On October 16, 2012, Endesa Chile began the collection process on all of the bank performance bonds guaranteeing compliance with the works and
correct, timely execution of these works as specified in the agreement Bocamina Thermal Plant Expansion Project, contract ACP-003.06. This is a turnkey project for a 350 MW coal-fired thermal generation plant (the contract)
signed on July 25, 2007 between Empresa Nacional de Electricidad S.A. (the owner) and the consortium consisting of (i) the Chilean company Ingeniería y Construcción Tecnimont Chile y Compañía
Limitada; (ii) the Italian company Tecnimont SpA; (iii) the Brazilian company Tecnimont do Brasil Construcao e Administracao de Projetos Ltda; (iv) the Slovakian company Slovenske Energeticke Strojarne a.s. (SES); and
(v) the Chilean company Ingeniería y Construcción SES Chile Limitada; (all referred to collectively as the Contractor or the Consortium).
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

These performance bonds total US$74,795,164.44 and UF796,594.29 (approximately US$38,200,000). The amount actually collected
on the bonds as of December 31, 2012 was US$93,996,585.73 (app. ThCh$ 49,311,549), with a pending balance still to be collected of US$18,940,294.84 (app. ThCh$ 9,936,268).

Collection made on these bank performance bonds reduced the cost overruns incurred by the company due to breach of contract;
they were capitalized into the Project.

Together collecting on the bonds, Endesa Chile has reserved all of the rights
conferred upon it under the Contract and applicable national legislation to demand complete, timely compliance with the obligations agreed to by the Contractor.

On October 17, 2012, Endesa Chile filed an arbitration request with the International Chamber of Arbitration of Paris in
order to enforce the rights conferred upon it under the Contract.



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##### Table of Contents

| | 7. | At the end of the 2012 fiscal year, our subsidiary Compañía Eléctrica Tarapacá S.A. recorded an impairment loss for
ThCh$12,578,098 to adjust the book value of its Properties, plants, and equipment to their recoverable value (see Note 3.d).
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

15.  DEFERRED TAXES

a)  The origin and changes in deferred tax assets and liabilities at
December 31, 2013, December 31, 2012, and January 1, 2012 are as follows:



|                                     |                                             |                                       |            |              |                    |  |                                   |             |             |                                    |         |           |            |  |   |          |   |  |           |           |             |  |            |              |             |            |              |             
|------------------------------------ | ------------------------------------------- | ------------------------------------- | ---------- | ------------ | ------------------ |  | --------------------------------- | ----------- | ----------- | ---------------------------------- | ------- | --------- | ---------- |  | - | -------- | - |  | --------- | --------- | ----------- |  | ---------- | ------------ | ----------- | ---------- | ------------ | ------------
|Deferred Tax Assets                  |                                             | Deferred Tax Assets Relating to       |            |              | Deferred TaxAssets
|                                     | Depreciation                                |                                       |            | Provisions   |                    |  | Post-EmploymentBenefitObligations |             |             | Revaluationof FinancialInstruments |         |           | Tax Losses |  |   | Other    |   | 
|Opening Balance at January 1, 2013   |                                             |                                       | 47,982,561 |              |                    |  | 3,868,511                         |             |             |                                    | 471,979 |           |            |  | - |          |   |  | 8,368,959 |           |             |  | 1,109,261  |              |             | 61,801,271
|LOGO                                 |                                             | Increase (decrease) in profit
or loss |            |              | (1,213,098)        |  |                                   |             | 597,078     |                                    |         |           | (515,971)  |  |   |          | - |  |           |           | (9,824,726) |  |            |              | (1,398,992) |            |              | (12,355,709)
|                                     | Increase (decrease) in
comprehensive income |                                       |            | (418,615)    |                    |  |                                   | -           |             |                                    |         | 708,258   |            |  |   |          |   |  |           | -         |             |  |            | -            |             |            | 289,643     
|                                     | Foreign currency
translation                |                                       |            | 128,591      |                    |  |                                   | 12,459      |             |                                    |         | (954)     |            |  |   | 559      |   |  |           | -         |             |  |            | (96,200)     |             |            | 44,455      
|                                     | Other increase
(decrease)                   |                                       |            | (2,140,957)  |                    |  |                                   | (448,487)   |             |                                    |         | (296,335) |            |  |   | (559)    |   |  |           | 2,906,228 |             |  |            | 2,065,912    |             |            | 2,085,802   
|Closing balance at December 31, 2013 |                                             |                                       | 44,338,482 |              |                    |  | 4,029,561                         |             |             |                                    | 366,977 |           |            |  | - |          |   |  | 1,450,461 |           |             |  | 1,679,981  |              |             | 51,865,462
|                                     |                                             |                                       |            |              |                    |  |                                   |             |             |                                    |         |           |            |  |   |          |   |  |           |           |             |  |            |              |             |            |              |             
|Deferred Tax Assets                  |                                             | Deferred Tax Assets Relating to       |            |              | Deferred TaxAssets
|                                     | Depreciation                                |                                       |            | Provisions   |                    |  | Post-EmploymentBenefitObligations |             |             | Revaluationof FinancialInstruments |         |           | Tax Losses |  |   | Other    |   | 
|Opening Balance at January 1, 2012   |                                             |                                       | 57,236,950 |              |                    |  | 14,131,103                        |             |             |                                    | 761,989 |           |            |  | - |          |   |  | -         |           |             |  | 14,022,548 |              |             | 86,152,590
|LOGO                                 |                                             | Increase (decrease) in profit
or loss |            |              | 557,565            |  |                                   |             | (2,696,788) |                                    |         |           | (512,482)  |  |   |          | - |  |           |           | 557,746     |  |            |              | 6,427,649   |            |              | 4,333,690   
|                                     | Increase (decrease) in
comprehensive income |                                       |            | -            |                    |  |                                   | -           |             |                                    |         | 39,792    |            |  |   | (65,408) |   |  |           | -         |             |  |            | 158,459      |             |            | 132,843     
|                                     | Foreign currency
translation                |                                       |            | 1,484,899    |                    |  |                                   | (162,132)   |             |                                    |         | (26,059)  |            |  |   | (64,360) |   |  |           | -         |             |  |            | (749,689)    |             |            | 482,659     
|                                     | Other increase
(decrease)                   |                                       |            | (11,296,853) |                    |  |                                   | (7,403,672) |             |                                    |         | 208,739   |            |  |   | 129,768  |   |  |           | 7,811,213 |             |  |            | (18,749,706) |             |            | (29,300,511)
|Closing balance at December 31, 2012 |                                             |                                       | 47,982,561 |              |                    |  | 3,868,511                         |             |             |                                    | 471,979 |           |            |  | - |          |   |  | 8,368,959 |           |             |  | 1,109,261  |              |             | 61,801,271



|                                     |                                             |                                       |             |              |                          |  |                                      |       |        |                                     |   |          |          |  |           |             |           |  |            |             |           |             |              |             
|------------------------------------ | ------------------------------------------- | ------------------------------------- | ----------- | ------------ | ------------------------ |  | ------------------------------------ | ----- | ------ | ----------------------------------- | - | -------- | -------- |  | --------- | ----------- | --------- |  | ---------- | ----------- | --------- | ----------- | ------------ | ------------
|Deferred Tax Liabilities             |                                             | Deferred Tax Liabilities Relating to  |             |              | Deferred Tax Liabilities
|                                     | Depreciation                                |                                       |             | Provisions   |                          |  | Post-EmploymentBenefit   Obligations |       |        | Revaluation of FinancialInstruments |   |          | Other    |  |          
|Opening Balance at January 1, 2013   |                                             |                                       | 304,780,129 |              |                          |  | -                                    |       |        |                                     | - |          |          |  | 5,380,041 |             |           |  | 10,116,930 |             |           | 320,277,100
|LOGO                                 |                                             | Increase (decrease) in profit
or loss |             |              | (16,864,406)             |  |                                      |       | 20,099 |                                     |   |          | (10,491) |  |           |             | 937,186   |  |            |             | 963,333   |             |              | (14,954,279)
|                                     | Increase (decrease) in
comprehensive income |                                       |             | -            |                          |  |                                      | -     |        |                                     |   | 2,359    |          |  |           | (2,213,576) |           |  |            | (61,684)    |           |             | (2,272,901) 
|                                     | Foreign currency
translation                |                                       |             | (455,085)    |                          |  |                                      | 498   |        |                                     |   | -        |          |  |           | 575         |           |  |            | (1,817,043) |           |             | (2,271,055) 
|                                     | Other increase
(decrease)                   |                                       |             | 3,195,588    |                          |  |                                      | (375) |        |                                     |   | 8,132    |          |  |           | (97)        |           |  |            | 1,707,407   |           |             | 4,910,655   
|Closing balance at December 31, 2013 |                                             |                                       | 290,656,226 |              |                          |  | 20,222                               |       |        |                                     | - |          |          |  | 4,104,129 |             |           |  | 10,908,943 |             |           | 305,689,520
|                                     |                                             |                                       |             |              |                          |  |                                      |       |        |                                     |   |          |          |  |           |             |           |  |            |             |           |             |              |             
|Deferred Tax Liabilities             |                                             | Deferred Tax Liabilities Relating to  |             |              | Deferred Tax Liabilities
|                                     | Depreciation                                |                                       |             | Provisions   |                          |  | Post-EmploymentBenefit   Obligations |       |        | Revaluation of FinancialInstruments |   |          | Other    |  |          
|Opening Balance at January 1, 2012   |                                             |                                       | 304,886,153 |              |                          |  | -                                    |       |        |                                     | - |          |          |  | 880,379   |             |           |  | 15,744,394 |             |           | 321,510,926
|LOGO                                 |                                             | Increase (decrease) in profit
or loss |             |              | 30,876,871               |  |                                      |       | -      |                                     |   |          | 10,917   |  |           |             | 1,352,762 |  |            |             | (792,125) |             |              | 31,448,425  
|                                     | Increase (decrease) in
comprehensive income |                                       |             | -            |                          |  |                                      | -     |        |                                     |   | -        |          |  |           | 3,146,856   |           |  |            | 234         |           |             | 3,147,090   
|                                     | Foreign currency
translation                |                                       |             | (4,525,633)  |                          |  |                                      | -     |        |                                     |   | -        |          |  |           | 2,760       |           |  |            | (1,903,678) |           |             | (6,426,551) 
|                                     | Other increase
(decrease)                   |                                       |             | (26,457,262) |                          |  |                                      | -     |        |                                     |   | (10,917) |          |  |           | (2,716)     |           |  |            | (2,931,895) |           |             | (29,402,790)
|Closing balance at December 31, 2012 |                                             |                                       | 304,780,129 |              |                          |  | -                                    |       |        |                                     | - |          |          |  | 5,380,041 |             |           |  | 10,116,930 |             |           | 320,277,100

Recovery of deferred tax assets will depend on whether sufficient tax profits are obtained in
the future. The Company believes that the future profit projections for its numerous subsidiaries will allow these assets to be recovered.

b)  As of December 31, 2013, December 31, 2012, and January 1, 2012, the Group has not
recognized deferred tax assets related to tax losses totaling ThCh$20,174,721, ThCh$25,935,861, and ThCh$5,466,208, respectively (see Note 3.m).



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##### Table of Contents

Endesa Chile has not recognized deferred tax liabilities for taxable temporary
differences associated with investment in subsidiaries and joint ventures, as it is able to control the timing of the reversal of the temporary differences and considers that it is probable that such temporary differences will not reverse in the
foreseeable future. The aggregate amount of taxable temporary differences associated with investments in subsidiaries and joint ventures for which deferred tax liabilities have not been recognized totaled ThCh$410,670,845 as of December 31,
2013 (ThCh$517,045,248 and ThCh$210,035,161 at December 31, 2012 and January 1, 2012, respectively).

The Group
companies are potentially subject to income tax audits by the tax authorities of each country in which the Group operates. Such tax audits are limited to a number of annual tax periods and once these have expired audits of these periods can no
longer be performed. Tax audits by nature are often complex and can require several years to complete. The following table presents a summary of tax periods potentially subject to examination:



|          |  |          
|--------- |  | ---------
|Country   |  | Period   
|Chile     |  | 2008-2013
|Argentina |  | 2008-2013
|Brazil    |  | 2008-2013
|Colombia  |  | 2011-2013
|Peru      |  | 2009-2013

Given the range of possible interpretations of tax standards, the results of any future
inspections carried out by tax authorities for the years subject to audit can give rise to tax liabilities that cannot currently be quantified objectively. Nevertheless, Endesa Chile Management estimates that the liabilities, if any, that may arise
from such audits, would not significantly impact the companies future results.

The effects of deferred tax on the
components of Other comprehensive income are as follows:



|                                                                                            |                           |                   |              |                                    |                   |  |                          |                   |  |                           |              |  |                                    |  |               |                          |  |  |                           |  |  |                                    |               |  |                              |  |              |  |  |  |            |  |  |             
|------------------------------------------------------------------------------------------- | ------------------------- | ----------------- | ------------ | ---------------------------------- | ----------------- |  | ------------------------ | ----------------- |  | ------------------------- | ------------ |  | ---------------------------------- |  | ------------- | ------------------------ |  |  | ------------------------- |  |  | ---------------------------------- | ------------- |  | ---------------------------- |  | ------------ |  |  |  | ---------- |  |  | ------------
|Effects of Deferred Tax on the Components of Other Comprehensive Income                     |                           | December 31, 2013 |              |                                    | December 31, 2012 |  |                          | December 31, 2011
|                                                                                            | Amount Before  Tax 
ThCh$ |                   |              | Income Tax  
Expense(Benefit)ThCh$ |                   |  | Amount After  Tax 
ThCh$ |                   |  | Amount Before  Tax 
ThCh$ |              |  | Income Tax  
Expense(Benefit)ThCh$ |  |               | Amount After  Tax 
ThCh$ |  |  | Amount  Before Tax 
ThCh$ |  |  | Income Tax  
Expense(Benefit)ThCh$ |               |  | Amount After      Tax
 ThCh$
|                                                                                            |                           |                   |              |                                    |                   |  |                          |                   |  |                           |              |  |                                    |  |               |                          |  |  |                           |  |  |                                    |               |  |                              |  |              |  |  |  |            |  |  |             
|                                                                                            |                           |                   |              |                                    |                   |  |                          |                   |  |                           |              |  |                                    |  |               |                          |  |  |                           |  |  |                                    |               |  |                              |  |              |  |  |  |            |  |  |             
|Available-for-sale financial assets                                                         |                           |                   | 109          |                                    |                   |  | (22)                     |                   |  |                           | 87           |  |                                    |  | 581           |                          |  |  | (235)                     |  |  |                                    | 346           |  |                              |  | (55,554)     |  |  |  | 9,444      |  |  | (46,110)    
|Cash flow hedge                                                                             |                           |                   | (80,955,947) |                                    |                   |  | 14,235,483               |                   |  |                           | (66,720,464) |  |                                    |  | 51,904,650    |                          |  |  | (19,893,304)              |  |  |                                    | 32,011,346    |  |                              |  | (82,990,326) |  |  |  | 17,363,818 |  |  | (65,626,508)
|Foreign currency translation                                                                |                           |                   | (18,023,501) |                                    |                   |  | -                        |                   |  |                           | (18,023,501) |  |                                    |  | (126,559,183) |                          |  |  | -                         |  |  |                                    | (126,559,183) |  |                              |  | 148,560,224  |  |  |  | -          |  |  | 148,560,224 
|Adjustments from associated companies and joint ventures                                    |                           |                   | 10,923,982   |                                    |                   |  | -                        |                   |  |                           | 10,923,982   |  |                                    |  | 158,675       |                          |  |  | -                         |  |  |                                    | 158,675       |  |                              |  | (22,722,630) |  |  |  | -          |  |  | (22,722,630)
|Actuarial income on defined-benefit pension plans                                           |                           |                   | (3,618,423)  |                                    |                   |  | 990,340                  |                   |  |                           | (2,628,083)  |  |                                    |  | (4,355,055)   |                          |  |  | 801,138                   |  |  |                                    | (3,553,917)   |  |                              |  | (3,275,638)  |  |  |  | 537,200    |  |  | (2,738,438) 
|                                                                                            |                           |                   |              |                                    |                   |  |                          |                   |  |                           |              |  |                                    |  |               |                          |  |  |                           |  |  |                                    |               |  |                              |  |              |  |  |  |            |  |  |             
|                                                                                            |                           |                   |              |                                    |                   |  |                          |                   |  |                           |              |  |                                    |  |               |                          |  |  |                           |  |  |                                    |               |  |                              |  |              |  |  |  |            |  |  |             
|Income tax related to components of other
income and expenses debited or credited to Equity |                           |                   | (91,673,780) |                                    |                   |  | 15,225,801               |                   |  |                           | (76,447,979) |  |                                    |  | (78,850,332)  |                          |  |  | (19,092,401)              |  |  |                                    | (97,942,733)  |  |                              |  | 39,516,076   |  |  |  | 17,910,462 |  |  | 57,426,538  



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16.  OTHER FINANCIAL LIABILITIES

The balance of other financial liabilities as of December 31, 2013, December 31, 2012, and January 1, 2012
is as follows:



|                             |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|---------------------------- | ------------- | ----------------- | ----------- | ----------------- | ----------------- |  | ------------- | --------------- |  | ----------------- | ----------- |  | ------------- |  | ------------- | ----------------- |  |  | ----------- |  |  |  | ------------- | 
|Other Financial Liabilities  |               | December 31, 2013 |             |                   | December 31, 2012 |  |               | January 1, 2012 | 
|                             | Current ThCh$ |                   |             | Non-current
ThCh$ |                   |  | Current ThCh$ |                 |  | Non-current
ThCh$ |             |  | Current ThCh$ |  |               | Non-current
ThCh$ | 
|                             |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|                             |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|Interest-bearing loans       |               |                   | 349,285,334 |                   |                   |  | 1,535,382,432 |                 |  |                   | 403,037,101 |  |               |  | 1,513,616,717 |                   |  |  | 290,808,945 |  |  |  | 1,712,294,737 | 
|Hedging derivatives (*)      |               |                   | 1,590,779   |                   |                   |  | 900,927       |                 |  |                   | 975,089     |  |               |  | 5,007,665     |                   |  |  | 184,042     |  |  |  | 6,555,571     | 
|Non-hedging derivatives (**) |               |                   | 164,983     |                   |                   |  | -             |                 |  |                   | -           |  |               |  | -             |                   |  |  | -           |  |  |  | -             | 
|Other financial liabilities  |               |                   | 2,692,425   |                   |                   |  | 4,479,250     |                 |  |                   | 2,442,846   |  |               |  | 7,027,436     |                   |  |  | 3,307,030   |  |  |  | 9,243,595     | 
|                             |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|                             |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|Total                        |               |                   | 353,733,521 |                   |                   |  | 1,540,762,609 |                 |  |                   | 406,455,036 |  |               |  | 1,525,651,818 |                   |  |  | 294,300,017 |  |  |  | 1,728,093,903 | 

(*) See Note 18.2a.

(**) See Note 18.2b.

Interest-bearing borrowings



| | 1. | The detail of short- and long-term interest-bearing borrowings as of December 31, 2013, December 31, 2012, and January 1, 2012
is as follows:
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------



|                                      |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|------------------------------------- | ------------- | ----------------- | ----------- | ----------------- | ----------------- |  | ------------- | --------------- |  | ----------------- | ----------- |  | ------------- |  | ------------- | ----------------- |  |  | ----------- |  |  |  | ------------- | 
|Classes of Loans that Accrue Interest |               | December 31, 2013 |             |                   | December 31, 2012 |  |               | January 1, 2012 | 
|                                      | Current ThCh$ |                   |             | Non-current
ThCh$ |                   |  | Current ThCh$ |                 |  | Non-current
ThCh$ |             |  | Current ThCh$ |  |               | Non-current
ThCh$ | 
|                                      |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|                                      |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|Bank loans                            |               |                   | 139,167,439 |                   |                   |  | 144,138,738   |                 |  |                   | 44,905,191  |  |               |  | 244,038,846   |                   |  |  | 145,464,457 |  |  |  | 194,087,333   | 
|Unsecured obligations                 |               |                   | 96,158,257  |                   |                   |  | 1,346,203,508 |                 |  |                   | 255,588,166 |  |               |  | 1,214,433,002 |                   |  |  | 83,118,154  |  |  |  | 1,403,000,187 | 
|Secured obligations                   |               |                   | 4,828,233   |                   |                   |  | -             |                 |  |                   | 4,880,687   |  |               |  | 4,689,387     |                   |  |  | 10,660,476  |  |  |  | 9,635,108     | 
|Finance leases                        |               |                   | 6,527,918   |                   |                   |  | 42,616,954    |                 |  |                   | 5,868,059   |  |               |  | 44,825,938    |                   |  |  | 9,178,783   |  |  |  | 54,985,624    | 
|Other loans                           |               |                   | 102,603,487 |                   |                   |  | 2,423,232     |                 |  |                   | 91,794,998  |  |               |  | 5,629,544     |                   |  |  | 42,387,075  |  |  |  | 50,586,485    | 
|                                      |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|                                      |               |                   |             |                   |                   |  |               |                 |  |                   |             |  |               |  |               |                   |  |  |             |  |  |  |               | 
|Total                                 |               |                   | 349,285,334 |                   |                   |  | 1,535,382,432 |                 |  |                   | 403,037,101 |  |               |  | 1,513,616,717 |                   |  |  | 290,808,945 |  |  |  | 1,712,294,737 | 



| | 2. | Bank loans by currency and contractual maturity as of December 31, 2013, December 31, 2012, and January 1, 2012 are as follows:
| | -- | -------------------------------------------------------------------------------------------------------------------------------

-    Summary of bank loans by currency and contractual maturity

The fair value of current and non-current bank borrowings as of December 31, 2013 totaled ThCh$257,150,881
(ThCh$284,110,737 and ThCh$332,248,376 as of December 31, 2012 and January 1, 2012, respectively).



|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|--------- |  | -------- |  | ------------- |  | -------------------------- | ------ |  | --------------------------------- |  | ------ | ------------------- | ------------------------ | --------- | ------------------------------------ | ------------------------- | ----------- |  | --------------------------- |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ---------- |  |  | -----------
|Country   |  | Currency |  | Amortization  |  | Effective  Interest  Rate  |        |  | Nominal  InterestRate             |  |        | Secured/  Unsecured |                          | Current   |                                      |                           | Non-current
|          |  |          |  |               |  | Maturity                   |        |  | Total current at 12/31/2013       |  |        | Maturity            |                          |           | Total Non-current at12/31/2013
ThCh$
|          |  |          |  |               |  | One to three  months
ThCh$ |        |  | Three to twelve  months
ThCh$     |  |        |                     | One to three years
ThCh$ |           |                                      | Three to five
years ThCh$ |             |  | More than  five years
ThCh$ |  |            
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|Chile     |  | US$      |  | Semi-annually |  |                            | 2.33%  |  |                                   |  | 1.77%  |                     |                          | Unsecured |                                      |                           | 403,872     |  |                             |  | 106,087,194 |  |  |  | 106,491,066 |  |  |  | 858,299     |  |  |  | -           |  |  |  | -          |  |  | 858,299    
|Chile     |  | CH$      |  | Semi-annually |  |                            | 6.00%  |  |                                   |  | 6.00%  |                     |                          | Unsecured |                                      |                           | -           |  |                             |  | 176         |  |  |  | 176         |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  | -          
|Peru      |  | US$      |  | Quarterly     |  |                            | 2.81%  |  |                                   |  | 2.78%  |                     |                          | Unsecured |                                      |                           | 2,676,462   |  |                             |  | 2,785,037   |  |  |  | 5,461,499   |  |  |  | 22,038,803  |  |  |  | 27,745,371  |  |  |  | -          |  |  | 49,784,174 
|Argentina |  | US$      |  | Semi-annually |  |                            | 9.59%  |  |                                   |  | 9.31%  |                     |                          | Unsecured |                                      |                           | 6,425,910   |  |                             |  | 4,853,256   |  |  |  | 11,279,166  |  |  |  | 1,617,752   |  |  |  | -           |  |  |  | -          |  |  | 1,617,752  
|Argentina |  | Ar$      |  | Semi-annually |  |                            | 31.73% |  |                                   |  | 28.22% |                     |                          | Unsecured |                                      |                           | 13,579,212  |  |                             |  | 2,168,081   |  |  |  | 15,747,293  |  |  |  | 8,913,225   |  |  |  | -           |  |  |  | -          |  |  | 8,913,225  
|Colombia  |  | CP       |  | Semi-annually |  |                            | 6.95%  |  |                                   |  | 6.84%  |                     |                          | Unsecured |                                      |                           | -           |  |                             |  | 188,239     |  |  |  | 188,239     |  |  |  | -           |  |  |  | -           |  |  |  | 82,965,288 |  |  | 82,965,288 
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          | Total     |                                      |                           | 23,085,456  |  |                             |  | 116,081,983 |  |  |  | 139,167,439 |  |  |  | 33,428,079  |  |  |  | 27,745,371  |  |  |  | 82,965,288 |  |  | 144,138,738
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|Country   |  | Currency |  | Amortization  |  | EffectiveInterestRate      |        |  | NominalInterestRate               |  |        | Secured/Unsecured   |                          | Current   |                                      |                           | Non-current
|          |  |          |  |               |  | Maturity                   |        |  | Total current at12/31/2012 
ThCh$ |  |        | Maturity            |                          |           | Total Non-current at12/31/2012
ThCh$
|          |  |          |  |               |  | One to threemonths
ThCh$   |        |  | Three to twelvemonths
ThCh$       |  |        |                     | One to three years
ThCh$ |           |                                      | Three to fiveyears
ThCh$  |             |  | More thanfive years
ThCh$   |  |            
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|Chile     |  | US$      |  | Semi-annually |  |                            |        |  |                                   |  | 1.76%  |                     |                          | Unsecured |                                      |                           | 354,739     |  |                             |  | 1,191,983   |  |  |  | 1,546,722   |  |  |  | 97,967,390  |  |  |  | -           |  |  |  | -          |  |  | 97,967,390 
|Chile     |  | CH$      |  | Semi-annually |  |                            |        |  |                                   |  | 6.00%  |                     |                          | Unsecured |                                      |                           | 277         |  |                             |  | -           |  |  |  | 277         |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  | -          
|Peru      |  | US$      |  | Quarterly     |  |                            |        |  |                                   |  | 3.49%  |                     |                          | Unsecured |                                      |                           | 1,806,758   |  |                             |  | 444,835     |  |  |  | 2,251,593   |  |  |  | 10,632,998  |  |  |  | 25,699,999  |  |  |  | 12,010,552 |  |  | 48,343,549 
|Argentina |  | US$      |  | Semi-annually |  |                            |        |  |                                   |  | 8.91%  |                     |                          | Unsecured |                                      |                           | 7,214,852   |  |                             |  | 4,421,192   |  |  |  | 11,636,044  |  |  |  | 7,368,666   |  |  |  | -           |  |  |  | -          |  |  | 7,368,666  
|Argentina |  | Ar$      |  | Semi-annually |  |                            |        |  |                                   |  | 21.63% |                     |                          | Unsecured |                                      |                           | 18,788,048  |  |                             |  | 8,972,376   |  |  |  | 27,760,424  |  |  |  | 7,702,892   |  |  |  | -           |  |  |  | -          |  |  | 7,702,892  
|Colombia  |  | CP       |  | Semi-annually |  |                            |        |  |                                   |  | 9.20%  |                     |                          | Unsecured |                                      |                           | 1,710,131   |  |                             |  | -           |  |  |  | 1,710,131   |  |  |  | -           |  |  |  | 82,656,349  |  |  |  | -          |  |  | 82,656,349 
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          |           |                                      |                           |             |  |                             |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |            
|          |  |          |  |               |  |                            |        |  |                                   |  |        |                     |                          | Total     |                                      |                           | 29,874,805  |  |                             |  | 15,030,386  |  |  |  | 44,905,191  |  |  |  | 123,671,946 |  |  |  | 108,356,348 |  |  |  | 12,010,552 |  |  | 244,038,846



F-69



---

##### Table of Contents

|          |  |          |  |               |  |                         |  |                             |        |  |                   |           |                         |  |            |                               |  |  |                                    |  |  |                          |             |  |                              |  |             |                             |  |  |                                       |  |  |  |            |  |  |  |             | 
|--------- |  | -------- |  | ------------- |  | ----------------------- |  | --------------------------- | ------ |  | ----------------- | --------- | ----------------------- |  | ---------- | ----------------------------- |  |  | ---------------------------------- |  |  | ------------------------ | ----------- |  | ---------------------------- |  | ----------- | --------------------------- |  |  | ------------------------------------- |  |  |  | ---------- |  |  |  | ----------- | 
|          |  |          |  |               |  |                         |  |                             |        |  |                   |           | Current                 |  |            | Non-current                   | 
|          |  |          |  |               |  |                         |  |                             |        |  |                   |           | Maturity                |  |            |                               |  |  | Maturity                           |  |  |                          |            
|Country   |  | Currency |  | Amortization  |  | Effective
Interest
Rate |  | Nominal    Interest    Rate |        |  | Secured/Unsecured |           | One to
threemonthsThCh$ |  |            | Three to twelve  months
ThCh$ |  |  | Total current at   1/1/2012
 ThCh$ |  |  | One to three
years ThCh$ |             |  | Three to five    years
ThCh$ |  |             | More than five  years
ThCh$ |  |  | Total Non-
current at
1/1/2012

ThCh$ | 
|          |  |          |  |               |  |                         |  |                             |        |  |                   |           |                         |  |            |                               |  |  |                                    |  |  |                          |             |  |                              |  |             |                             |  |  |                                       |  |  |  |            |  |  |  |             | 
|Chile     |  | US$      |  | Semi-annually |  |                         |  |                             | 2.83%  |  |                   | Unsecured |                         |  | 84,500     |                               |  |  | 1,607,710                          |  |  |                          | 1,692,210   |  |                              |  | 106,555,130 |                             |  |  | 849,449                               |  |  |  | -          |  |  |  | 107,404,579 | 
|Peru      |  | US$      |  | Quarterly     |  |                         |  |                             | 3.44%  |  |                   | Unsecured |                         |  | 2,354,628  |                               |  |  | 8,838,878                          |  |  |                          | 11,193,506  |  |                              |  | 4,296,544   |                             |  |  | 19,212,039                            |  |  |  | 26,158,087 |  |  |  | 49,666,670  | 
|Peru      |  | Sol      |  | Quarterly     |  |                         |  |                             | 3.85%  |  |                   | Unsecured |                         |  | 3,068      |                               |  |  | 1,541,618                          |  |  |                          | 1,544,686   |  |                              |  | -           |                             |  |  | -                                     |  |  |  | -          |  |  |  | -           | 
|Argentina |  | US$      |  | Semi-annually |  |                         |  |                             | 5.10%  |  |                   | Unsecured |                         |  | 494,597    |                               |  |  | 6,393,975                          |  |  |                          | 6,888,572   |  |                              |  | 17,983,101  |                             |  |  | 1,598,484                             |  |  |  | -          |  |  |  | 19,581,585  | 
|Argentina |  | Ar$      |  | Semi-annually |  |                         |  |                             | 17.66% |  |                   | Unsecured |                         |  | 28,051,669 |                               |  |  | 9,299,019                          |  |  |                          | 37,350,688  |  |                              |  | 15,020,415  |                             |  |  | 2,414,084                             |  |  |  | -          |  |  |  | 17,434,499  | 
|Colombia  |  | CP       |  | Semi-annually |  |                         |  |                             | 6.48%  |  |                   | Unsecured |                         |  | -          |                               |  |  | 86,794,795                         |  |  |                          | 86,794,795  |  |                              |  | -           |                             |  |  | -                                     |  |  |  | -          |  |  |  | -           | 
|          |  |          |  |               |  |                         |  |                             |        |  |                   |           |                         |  |            |                               |  |  |                                    |  |  |                          |             |  |                              |  |             |                             |  |  |                                       |  |  |  |            |  |  |  |             | 
|          |  |          |  |               |  |                         |  |                             |        |  |                   | Total     |                         |  | 30,988,462 |                               |  |  | 114,475,995                        |  |  |                          | 145,464,457 |  |                              |  | 143,855,190 |                             |  |  | 24,074,056                            |  |  |  | 26,158,087 |  |  |  | 194,087,333 | 



F-70



---

##### Table of Contents

-     Identification of Bank Borrowings by Company



|                       |  |                                       |  |           |  |                            |  |                                                   |  |                  |  |             |                  |                       |  |                     |  |               |                  |         |           |                    |  |  |                  |  |  |                    |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  
|---------------------- |  | ------------------------------------- |  | --------- |  | -------------------------- |  | ------------------------------------------------- |  | ---------------- |  | ----------- | ---------------- | --------------------- |  | ------------------- |  | ------------- | ---------------- | ------- | --------- | ------------------ |  |  | ---------------- |  |  | ------------------ | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  | -
|Taxpayer ID  No. (RUT) |  | Company                               |  | Country   |  | ID No.FinancialInstitution |  | Financial Institution                             |  | Country          |  | Currency    |                  | EffectiveInterestRate |  | NominalInterestRate |  | Amortization  |                  | 12-2013
|                       |  |                                       |  |           |  |                            |  |                                                   |  | Current          |  |             | Non-current     
|                       |  |                                       |  |           |  |                            |  |                                                   |  | Less than90 days |  |             | More than90 days |                       |  | TotalCurrent        |  |               | One tothreeyears |         |           | Three tofive years |  |  | Five to tenyears |  |  | More thanten years
|Foreign                |  | Chinango S.A.C.                       |  | Peru      |  | Foreign                    |  | Banco Continental                                 |  | Peru             |  | Sol         |                  | 3.85%                 |  | 3.80%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Chinango S.A.C.                       |  | Peru      |  | Foreign                    |  | Banco Scotiabank                                  |  | Peru             |  | US$         |                  | 4.02%                 |  | 3.96%               |  | Quarterly     |                  |         | 228,354   |                    |  |  | 488,235          |  |  |                    | 716,589    |  |  |  | 1,301,959  |  |  |  | 13,833,314 |  |  |  | -          |  |  | -
|Foreign                |  | Chinango S.A.C.                       |  | Peru      |  | Foreign                    |  | Bank Of Nova Scotia                               |  | Peru             |  | US$         |                  | 3.05%                 |  | 3.01%               |  | Quarterly     |                  |         | 348,176   |                    |  |  | 984,344          |  |  |                    | 1,332,520  |  |  |  | 2,624,917  |  |  |  | 1,312,456  |  |  |  | -          |  |  | -
|Foreign                |  | Chinango S.A.C.                       |  | Peru      |  | Foreign                    |  | Banco Scotiabank                                  |  | Peru             |  | US$         |                  | 0.76%                 |  | 0.78%               |  | At maturity   |                  |         | 2,099,932 |                    |  |  |                  |  |  |                    | 2,099,932  |  |  |  |            |  |  |  |            |  |  |  | -          |  |  | -
|Foreign                |  | Edegel S.A.A                          |  | Peru      |  | Foreign                    |  | Banco Continental                                 |  | Peru             |  | US$         |                  | 3.42%                 |  | 3.38%               |  | Quarterly     |                  |         | -         |                    |  |  | 1,312,458        |  |  |                    | 1,312,458  |  |  |  | 18,111,927 |  |  |  | 12,599,601 |  |  |  | -          |  |  | -
|Foreign                |  | Edegel S.A.A                          |  | Peru      |  | Foreign                    |  | Banco Scotiabank                                  |  | Peru             |  | US$         |                  | 3.45%                 |  | 3.41%               |  | Quarterly     |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Edegel S.A.A                          |  | Peru      |  | Foreign                    |  | Banco Continental                                 |  | Peru             |  | US$         |                  | 2.99%                 |  | 2.96%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Edegel S.A.A                          |  | Peru      |  | Foreign                    |  | Banco de Crédito                                  |  | Peru             |  | US$         |                  | 1.65%                 |  | 1.65%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | AV VILLAS                                         |  | Colombia         |  | CP          |                  | 8.44%                 |  | 8.27%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | Banco Davivienda                                  |  | Colombia         |  | CP          |                  | 8.15%                 |  | 7.91%               |  | Yearly        |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | Banco Santander                                   |  | Colombia         |  | CP          |                  | 8.15%                 |  | 7.91%               |  | Yearly        |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | Bancolombia                                       |  | Colombia         |  | CP          |                  | 8.44%                 |  | 8.27%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | Bancolombia                                       |  | Colombia         |  | CP          |                  | 8.44%                 |  | 8.27%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | BBVA Colombia                                     |  | Colombia         |  | CP          |                  | 6.89%                 |  | 6.78%               |  | At maturity   |                  |         | -         |                    |  |  | 138,223          |  |  |                    | 138,223    |  |  |  | -          |  |  |  | -          |  |  |  | 61,203,901 |  |  | -
|Foreign                |  | Emgesa S.A. E.S.P.                    |  | Colombia  |  | Foreign                    |  | Banco Corpbanca                                   |  | Colombia         |  | CP          |                  | 7.01%                 |  | 6.90%               |  | At maturity   |                  |         | -         |                    |  |  | 50,016           |  |  |                    | 50,016     |  |  |  | -          |  |  |  | -          |  |  |  | 21,761,387 |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | B.N.P. Paribas                                    |  | USA              |  | US$         |                  | 6.32%                 |  | 5.98%               |  | Semi-annually |                  |         | -         |                    |  |  | 883,679          |  |  |                    | 883,679    |  |  |  | 858,299    |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | 97,004,000-5               |  | Banco Santander Chile                             |  | Chile            |  | US$         |                  | 1.69%                 |  | 1.01%               |  | At maturity   |                  |         | -         |                    |  |  | 17,296,605       |  |  |                    | 17,296,605 |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | 97,004,000-5               |  | Banco Santander Chile (Credit Line)               |  | Chile            |  | Ch$         |                  | 6.00%                 |  | 6.00%               |  | At maturity   |                  |         | -         |                    |  |  | 176              |  |  |                    | 176        |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Export Development Corpotation Loan               |  | USA              |  | US$         |                  | 1.57%                 |  | 1.40%               |  | Semi-annually |                  |         | 380,556   |                    |  |  | 375,606          |  |  |                    | 756,162    |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | The Bank of Tokyo-Mitsubishi, Ltd.                |  | USA              |  | US$         |                  | 1.68%                 |  | 1.00%               |  | At maturity   |                  |         | -         |                    |  |  | 17,296,605       |  |  |                    | 17,296,605 |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Scotiabank & Trust Cayman Ltd                     |  | CaymanIslands    |  | US$         |                  | 1.68%                 |  | 1.00%               |  | At maturity   |                  |         | 23,316    |                    |  |  | 26,206,977       |  |  |                    | 26,230,293 |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Bank of America                                   |  | USA              |  | US$         |                  | 1.66%                 |  | 1.03%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Mercantil Commercebank                            |  | USA              |  | US$         |                  | 1.68%                 |  | 1.00%               |  | At maturity   |                  |         | -         |                    |  |  | 10,482,791       |  |  |                    | 10,482,791 |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | 97,030,000-7               |  | Banco del Estado de Chile                         |  | Chile            |  | US$         |                  | 1.69%                 |  | 1.01%               |  | At maturity   |                  |         | -         |                    |  |  | 33,544,931       |  |  |                    | 33,544,931 |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Banco Bilbao Vizcaya Argentaria S.A.NY            |  | USA              |  | US$         |                  | 1.72%                 |  | 1.12%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Banco Español de Crédito S.A. N.Y.B.              |  | USA              |  | US$         |                  | 1.72%                 |  | 1.12%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|91,081,000-6           |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | Foreign                    |  | Caja Madrid, Caja Madrid Miami Agency             |  | USA              |  | US$         |                  | 1.83%                 |  | 1.83%               |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Argentina S.A.                 |  | Argentina |  | Foreign                    |  | Citibank                                          |  | Argentina        |  | Ar$         |                  | 21.50%                |  | 21.50%              |  | At maturity   |                  |         | 798,209   |                    |  |  | -                |  |  |                    | 798,209    |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Ciudad                                      |  | Argentina        |  | Ar$         |                  | 25.59%                |  | 23.00%              |  | At maturity   |                  |         | 99,258    |                    |  |  | -                |  |  |                    | 99,258     |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Galicia                                     |  | Argentina        |  | Ar$         |                  | 32.54%                |  | 28.50%              |  | At maturity   |                  |         | 2,530,765 |                    |  |  | -                |  |  |                    | 2,530,765  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Itau                                        |  | Argentina        |  | Ar$         |                  | 35.15%                |  | 30.50%              |  | At maturity   |                  |         | 1,075,305 |                    |  |  | -                |  |  |                    | 1,075,305  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Macro                                       |  | Argentina        |  | Ar$         |                  | 14.00%                |  | 16.00%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Nación Argentina                            |  | Argentina        |  | Ar$         |                  | 20.57%                |  | 18.85%              |  | At maturity   |                  |         | 531,359   |                    |  |  | -                |  |  |                    | 531,359    |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Provincia de Buenos Aires                   |  | Argentina        |  | Ar$         |                  | 20.20%                |  | 18.09%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Santander Río                               |  | Argentina        |  | Ar$         |                  | 34.49%                |  | 30.00%              |  | At maturity   |                  |         | 658,713   |                    |  |  | -                |  |  |                    | 658,713    |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Standard Bank                                     |  | Argentina        |  | Ar$         |                  | 30.61%                |  | 27.00%              |  | At maturity   |                  |         | 1,154,665 |                    |  |  | -                |  |  |                    | 1,154,665  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Banco Supervielle                                 |  | Argentina        |  | Ar$         |                  | 31.89%                |  | 28.00%              |  | At maturity   |                  |         | 1,031,807 |                    |  |  | -                |  |  |                    | 1,031,807  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Citibank                                          |  | Argentina        |  | Ar$         |                  | 39.84%                |  | 34.00%              |  | At maturity   |                  |         | 3,450,479 |                    |  |  | -                |  |  |                    | 3,450,479  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Credit Suisse International                       |  | Argentina        |  | US$         |                  | 13.67%                |  | 13.25%              |  | Quarterly     |                  |         | 3,155,920 |                    |  |  | -                |  |  |                    | 3,155,920  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Ciudad -Syndicated II                       |  | Argentina        |  | Ar$         |                  | 26.62%                |  | 23.84%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Galicia - Syndicated II                     |  | Argentina        |  | Ar$         |                  | 26.62%                |  | 23.84%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Galicia - Syndicated III                    |  | Argentina        |  | Ar$         |                  | 26.44%                |  | 23.69%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Hipotecario                                 |  | Argentina        |  | Ar$         |                  | 26.68%                |  | 23.89%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Hipotecario - Syndicated II                 |  | Argentina        |  | Ar$         |                  | 26.96%                |  | 24.11%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau                                        |  | Argentina        |  | US$         |                  | 8.24%                 |  | 7.99%               |  | Quarterly     |                  |         | 817,499   |                    |  |  | 1,213,314        |  |  |                    | 2,030,813  |  |  |  | 404,438    |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau - Syndicated II                        |  | Argentina        |  | Ar$         |                  | 26.62%                |  | 23.84%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau - Syndicated III                       |  | Argentina        |  | Ar$         |                  | 26.44%                |  | 23.69%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Macro                                       |  | Argentina        |  | Ar$         |                  | 30.42%                |  | 27.75%              |  | Semi-annually |                  |         | 1,651,420 |                    |  |  | -                |  |  |                    | 1,651,420  |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Santander - Syndicated III                  |  | Argentina        |  | Ar$         |                  | 26.44%                |  | 23.69%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Santander Río                               |  | Argentina        |  | Ar$         |                  | 25.59%                |  | 23.00%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Santander -Syndicated II                    |  | Argentina        |  | Ar$         |                  | 26.62%                |  | 23.84%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Deutsche Bank                                     |  | Argentina        |  | US$         |                  | 8.24%                 |  | 7.99%               |  | Quarterly     |                  |         | 1,634,992 |                    |  |  | 2,426,628        |  |  |                    | 4,061,620  |  |  |  | 808,876    |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Standard Bank                                     |  | Argentina        |  | US$         |                  | 8.24%                 |  | 7.99%               |  | Quarterly     |                  |         | 817,499   |                    |  |  | 1,213,314        |  |  |                    | 2,030,813  |  |  |  | 404,438    |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Standard Bank - Syndicated III                    |  | Argentina        |  | Ar$         |                  | 26.44%                |  | 23.69%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Standard Bank -Syndicated II                      |  | Argentina        |  | Ar$         |                  | 26.62%                |  | 23.84%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Standard Bank                                     |  | Argentina        |  | Ar$         |                  | 25.59%                |  | 23.00%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau                                        |  | Argentina        |  | Ar$         |                  | 33.70%                |  | 29.25%              |  | At maturity   |                  |         | 161,254   |                    |  |  | -                |  |  |                    | 161,254    |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Macro I                                     |  | Argentina        |  | Ar$         |                  | 21.94%                |  | 20.00%              |  | At maturity   |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Hipotecario - Syndicated I                  |  | Argentina        |  | Ar$         |                  | 25.42%                |  | 23.31%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau- Syndicated I                          |  | Argentina        |  | Ar$         |                  | 25.42%                |  | 23.31%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Santander - Syndicated I                    |  | Argentina        |  | Ar$         |                  | 25.42%                |  | 23.31%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Standard Bank - Syndicated I                      |  | Argentina        |  | Ar$         |                  | 25.42%                |  | 23.31%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Galicia - Syndicated I                      |  | Argentina        |  | Ar$         |                  | 25.42%                |  | 23.31%              |  | Semi-annually |                  |         | -         |                    |  |  | -                |  |  |                    | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Santander - Syndicated IV                   |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Semi-annually |                  |         | 100,275   |                    |  |  | 498,659          |  |  |                    | 598,934    |  |  |  | 2,050,042  |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Itau- Syndicated IV                         |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Semi-annually |                  |         | 91,555    |                    |  |  | 455,297          |  |  |                    | 546,852    |  |  |  | 1,871,777  |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Galicia - Syndicated IV                     |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Semi-annually |                  |         | 87,195    |                    |  |  | 433,616          |  |  |                    | 520,811    |  |  |  | 1,782,645  |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Hipotecario - Syndicated IV                 |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Semi-annually |                  |         | 30,519    |                    |  |  | 151,766          |  |  |                    | 182,285    |  |  |  | 623,926    |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Banco Ciudad -Syndicated IV                       |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Semi-annually |                  |         | 13,080    |                    |  |  | 65,042           |  |  |                    | 78,122     |  |  |  | 267,397    |  |  |  | -          |  |  |  | -          |  |  | -
|Foreign                |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Industrial and Commercial Bank of China Argentina |  | Argentina        |  | Ar$         |                  | 33.84%                |  | 30.22%              |  | Quarterly     |                  |         | 113,354   |                    |  |  | 563,701          |  |  |                    | 677,055    |  |  |  | 2,317,438  |  |  |  | -          |  |  |  | -          |  |  | -
|                       |  |                                       |  |           |  |                            |  |                                                   |  |                  |  |             |                  |                       |  |                     |  |               |                  |         |           |                    |  |  |                  |  |  |                    |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  
|                       |  |                                       |  |           |  |                            |  |                                                   |  |                  |  |             |                  |                       |  |                     |  |               |                  |         |           |                    |  |  |                  |  |  |                    |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  
|                       |  |                                       |  |           |  |                            |  | Total ThCh$                                       |  |                  |  | 139,167,439 |                  |                       |  |                     |  |               |                  |         |           |                    |  |  |                  |  | 



|                  |             |  |                  |  |           |                  |  |  |              |  |  |                  |            |  |                    |  |            |                  |  |  |                   |  |  |                  |            |  |                  |  |             |               |  |  |                   |  |  |                    |            |  |                     |  |             |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |             | 
|----------------- | ----------- |  | ---------------- |  | --------- | ---------------- |  |  | ------------ |  |  | ---------------- | ---------- |  | ------------------ |  | ---------- | ---------------- |  |  | ----------------- |  |  | ---------------- | ---------- |  | ---------------- |  | ----------- | ------------- |  |  | ----------------- |  |  | ------------------ | ---------- |  | ------------------- |  | ----------- | ---------------- |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ----------- | 
|12-2013           |             |  | 12-2012          |  |           | 01-2012          | 
|Non-current       |             |  | Current          |  |           | Non-current      |  |  | Current      |  |  | Non-current      |           
|Total Non-current |             |  | Less than90 days |  |           | More than90 days |  |  | TotalCurrent |  |  | One tothreeyears |            |  | Three tofive years |  |            | Five to tenyears |  |  | Total Non-current |  |  | Less than90 days |            |  | More than90 days |  |             | Total Current |  |  | One tothree years |  |  | Three tofive years |            |  | More thanfive years |  |             | TotalNon-current | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 3,068             |  |  |                    | 1,541,618  |  |                     |  | 1,544,686   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 15,135,273  |  |                  |  | 62,786    |                  |  |  | 444,835      |  |  |                  | 507,621    |  |                    |  | 1,186,227  |                  |  |  | 1,186,227         |  |  |                  | 12,010,552 |  |                  |  | 14,383,006  |               |  |  | 71,315            |  |  |                    | -          |  |                     |  | 71,315      |                  |  |  | 1,127,370  |  |  |  | 1,288,422  |  |  |  | 13,689,484 |  |  |  | 16,105,276  | 
|                  | 3,937,373   |  |                  |  | 18,702    |                  |  |  | -            |  |  |                  | 18,702     |  |                    |  | 2,391,588  |                  |  |  | 2,391,588         |  |  |                  | -          |  |                  |  | 4,783,176   |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 31,691,033  | 
|                  | 30,711,528  |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 7,055,183  |                  |  |  | 22,122,184        |  |  |                  |            |  |                  |  | 29,177,367  |               |  |  | -                 |  |  |                    | -          |  |                     |  | 1,870,716   |                  |  |  | 1,298,813  |  |  |  | 17,923,617 |  |  |  | 12,468,603 |  |  |  | -           | 
|                  | -           |  |                  |  | 1,725,270 |                  |  |  | -            |  |  |                  | 1,725,270  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | 1,870,716  |  |                     |  | 1,750,050   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 392,849           |  |  |                    | 1,357,201  |  |                     |  | 7,501,425   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 1,870,361   | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 1,890,464         |  |  |                    | 5,610,961  |  |                     |  | -           |                  |  |  | 1,870,361  |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 162,350   |                  |  |  | -            |  |  |                  | 162,350    |  |                    |  |            |                  |  |  | 7,846,933         |  |  |                  |            |  |                  |  | 7,846,933   |               |  |  |                   |  |  |                    | -          |  |                     |  | 8,977,569   |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | 8,977,569  |  |                     |  | 26,730,428  |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | 26,730,428 |  |                     |  | 21,177,566  |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 383,776   |                  |  |  | -            |  |  |                  | 383,776    |  |                    |  | -          |                  |  |  | 18,549,169        |  |  |                  |            |  |                  |  | 18,549,169  |               |  |  | -                 |  |  |                    | 21,177,566 |  |                     |  | 6,430,876   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 126,712   |                  |  |  | -            |  |  |                  | 126,712    |  |                    |  | -          |                  |  |  | 6,124,429         |  |  |                  |            |  |                  |  | 6,124,429   |               |  |  | -                 |  |  |                    | 6,430,876  |  |                     |  | 23,478,356  |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 61,203,901  |  |                  |  | 1,037,293 |                  |  |  | -            |  |  |                  | 1,037,293  |  |                    |  | -          |                  |  |  | 50,135,818        |  |  |                  |            |  |                  |  | 50,135,818  |               |  |  | -                 |  |  |                    | 23,478,356 |  |                     |  | 899,681     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 2,548,345   | 
|                  | 21,761,387  |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 17,055,976  | 
|                  | 858,299     |  |                  |  | -         |                  |  |  | 820,076      |  |  |                  | 820,076    |  |                    |  | 1,570,498  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,570,498   |               |  |  | 50,233            |  |  |                    | 849,448    |  |                     |  | -           |                  |  |  | 1,698,896  |  |  |  | 849,449    |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 15,792,106 |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 15,792,106  |               |  |  | -                 |  |  |                    | -          |  |                     |  | 758,262     |                  |  |  | 17,055,976 |  |  |  | -          |  |  |  | -          |  |  |  | 1,486,682   | 
|                  | -           |  |                  |  | 277       |                  |  |  | -            |  |  |                  | 277        |  |                    |  |            |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  |                   |  |  |                    |            |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 17,055,976  | 
|                  | -           |  |                  |  | 354,739   |                  |  |  | 343,643      |  |  |                  | 698,382    |  |                    |  | 687,160    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 687,160     |               |  |  | -                 |  |  |                    | 758,262    |  |                     |  | -           |                  |  |  | 1,486,682  |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 15,792,106 |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 15,792,106  |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | 17,055,976 |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | 28,264       |  |  |                  | 28,264     |  |                    |  | 23,927,433 |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 23,927,433  |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 11,963,716 |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 11,963,716  |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 9,570,973  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 9,570,973   |               |  |  | -                 |  |  |                    | -          |  |                     |  | 34,267      |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 30,494,018  | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | 18,663,398 |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 18,663,398  |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 12,921,194  | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 34,267            |  |  |                    | -          |  |                     |  | -           |                  |  |  | 30,494,018 |  |  |  | -          |  |  |  | -          |  |  |  | 25,842,388  | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | 12,921,194 |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | 978,500     |                  |  |  | 25,842,388 |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | 5,167,489   |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  | -           | 
|                  | -           |  |                  |  | 395,963   |                  |  |  | -            |  |  |                  | 395,963    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 978,500           |  |  |                    | -          |  |                     |  | 3,529,419   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 3,395,077 |                  |  |  | -            |  |  |                  | 3,395,077  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 5,167,489         |  |  |                    | -          |  |                     |  | 368,142     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 1,341,282 |                  |  |  | -            |  |  |                  | 1,341,282  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 3,529,419         |  |  |                    | -          |  |                     |  | 3,555,128   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  |              |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 368,142           |  |  |                    | -          |  |                     |  | 368,366     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 659,346   |                  |  |  | 1,881,095    |  |  |                  | 2,540,441  |  |                    |  | 402,562    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 402,562     |               |  |  | 3,555,128         |  |  |                    | -          |  |                     |  | 1,898,686   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 209,414   |                  |  |  | -            |  |  |                  | 209,414    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 368,366           |  |  |                    | -          |  |                     |  | 2,509,954   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 878,233   |                  |  |  |              |  |  |                  | 878,233    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 1,898,686         |  |  |                    | -          |  |                     |  | 2,566,218   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 1,390,448 |                  |  |  | -            |  |  |                  | 1,390,448  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 2,509,954         |  |  |                    | -          |  |                     |  | 6,393,434   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 1,239,740 |                  |  |  | -            |  |  |                  | 1,239,740  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 2,566,218         |  |  |                    | -          |  |                     |  | 44,820      |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 5,195,104   | 
|                  | -           |  |                  |  | 4,347,020 |                  |  |  | -            |  |  |                  | 4,347,020  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 6,393,434         |  |  |                    | -          |  |                     |  | 371,720     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 487,596     | 
|                  | -           |  |                  |  | 5,696,590 |                  |  |  | -            |  |  |                  | 5,696,590  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 44,820            |  |  |                    | -          |  |                     |  | -           |                  |  |  | 5,195,104  |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 159,475   |                  |  |  | 261,271      |  |  |                  | 420,746    |  |                    |  | 132,576    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 132,576     |               |  |  | 53,063            |  |  |                    | 318,657    |  |                     |  | 565,544     |                  |  |  | 487,596    |  |  |  | -          |  |  |  | -          |  |  |  | 3,627,133   | 
|                  | -           |  |                  |  | 199,084   |                  |  |  | 326,151      |  |  |                  | 525,235    |  |                    |  | 165,510    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 165,510     |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 555,645   |                  |  |  | 486,949      |  |  |                  | 1,042,594  |  |                    |  | 1,460,847  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,460,847   |               |  |  | 167,311           |  |  |                    | 398,233    |  |                     |  | 464,548     |                  |  |  | 3,023,612  |  |  |  | 603,521    |  |  |  | -          |  |  |  | 609,361     | 
|                  | -           |  |                  |  | 339,482   |                  |  |  | 324,633      |  |  |                  | 664,115    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  |                   |  |  |                    |            |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 199,084   |                  |  |  | 326,151      |  |  |                  | 525,235    |  |                    |  | 165,510    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 165,510     |               |  |  | 66,315            |  |  |                    | 398,233    |  |                     |  | 580,745     |                  |  |  | 609,361    |  |  |  | -          |  |  |  | -          |  |  |  | 761,701     | 
|                  | 404,438     |  |                  |  | 379,564   |                  |  |  | 1,105,298    |  |  |                  | 1,484,862  |  |                    |  | 1,842,165  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,842,165   |               |  |  | -                 |  |  |                    | -          |  |                     |  | 100,996     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 3,017,724   | 
|                  | -           |  |                  |  | 248,855   |                  |  |  | 407,689      |  |  |                  | 656,544    |  |                    |  | 206,887    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 206,887     |               |  |  | 82,953            |  |  |                    | 497,792    |  |                     |  | -           |                  |  |  | 761,701    |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 555,645   |                  |  |  | 486,949      |  |  |                  | 1,042,594  |  |                    |  | 1,460,847  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,460,847   |               |  |  | 100,996           |  |  |                    | -          |  |                     |  | 100,996     |                  |  |  | 2,414,203  |  |  |  | 603,521    |  |  |  | -          |  |  |  | 3,017,724   | 
|                  | -           |  |                  |  | 29,777    |                  |  |  | 1,947,796    |  |  |                  | 1,977,573  |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    |            |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 555,645   |                  |  |  | 486,949      |  |  |                  | 1,042,594  |  |                    |  | 1,460,847  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,460,847   |               |  |  | 100,996           |  |  |                    | -          |  |                     |  | 929,505     |                  |  |  | 2,414,203  |  |  |  | 603,521    |  |  |  | -          |  |  |  | 1,219,258   | 
|                  | -           |  |                  |  | 98,269    |                  |  |  | -            |  |  |                  | 98,269     |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    |            |  |                     |  | 3,237,740   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | 7,193,241   | 
|                  | -           |  |                  |  | 398,343   |                  |  |  | 652,590      |  |  |                  | 1,050,933  |  |                    |  | 331,165    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 331,165     |               |  |  | 132,688           |  |  |                    | 796,817    |  |                     |  | 3,237,647   |                  |  |  | 1,219,258  |  |  |  | -          |  |  |  | -          |  |  |  | 7,193,241   | 
|                  | 808,876     |  |                  |  | 759,134   |                  |  |  | 2,210,596    |  |  |                  | 2,969,730  |  |                    |  | 3,684,336  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 3,684,336   |               |  |  | 40,734            |  |  |                    | 3,197,006  |  |                     |  | -           |                  |  |  | 6,393,999  |  |  |  | 799,242    |  |  |  | -          |  |  |  | -           | 
|                  | 404,438     |  |                  |  | 379,564   |                  |  |  | 1,105,298    |  |  |                  | 1,484,862  |  |                    |  | 1,842,165  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,842,165   |               |  |  | 40,677            |  |  |                    | 3,196,970  |  |                     |  | 1,378,911   |                  |  |  | 6,393,999  |  |  |  | 799,242    |  |  |  | -          |  |  |  | 4,694,002   | 
|                  | -           |  |                  |  | 555,645   |                  |  |  | 486,949      |  |  |                  | 1,042,594  |  |                    |  | 1,460,847  |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 1,460,847   |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 547,656   |                  |  |  | 897,204      |  |  |                  | 1,444,860  |  |                    |  | 455,294    |                  |  |  | -                 |  |  |                  | -          |  |                  |  | 455,294     |               |  |  | 283,419           |  |  |                    | 1,095,492  |  |                     |  | -           |                  |  |  | 4,090,481  |  |  |  | 603,521    |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 195,452   |                  |  |  | -            |  |  |                  | 195,452    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | 293,468   |                  |  |  | -            |  |  |                  | 293,468    |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | 1,030,882   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 16,968            |  |  |                    | 1,013,914  |  |                     |  | 1,570,870   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 25,858            |  |  |                    | 1,545,012  |  |                     |  | 1,570,871   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 25,859            |  |  |                    | 1,545,012  |  |                     |  | 1,227,237   |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 20,196            |  |  |                    | 1,207,041  |  |                     |  | 490,893     |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | -           |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | 8,077             |  |  |                    | 482,816    |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 2,050,042   |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 1,871,777   |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 1,782,645   |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 623,926     |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 267,397     |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  | 2,317,438   |  |                  |  | -         |                  |  |  | -            |  |  |                  | -          |  |                    |  | -          |                  |  |  | -                 |  |  |                  | -          |  |                  |  | -           |               |  |  | -                 |  |  |                    | -          |  |                     |  | -           |                  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                  |             |  |                  |  |           |                  |  |  |              |  |  |                  |            |  |                    |  |            |                  |  |  |                   |  |  |                  |            |  |                  |  |             |               |  |  |                   |  |  |                    |            |  |                     |  |             |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |             | 
|                  |             |  |                  |  |           |                  |  |  |              |  |  |                  |            |  |                    |  |            |                  |  |  |                   |  |  |                  |            |  |                  |  |             |               |  |  |                   |  |  |                    |            |  |                     |  |             |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |             | 
|                  | 144,138,738 |  |                  |  |           |                  |  |  |              |  |  |                  | 44,905,191 |  |                    |  |            |                  |  |  |                   |  |  |                  |            |  |                  |  | 244,038,846 |               |  |  |                   |  |  |                    |            |  |                     |  | 145,464,457 |                  |  |  |            |  |  |  |            |  |  |  |            |  |  |  | 194,087,333 | 

Appendix No.4, letter a), presents details of estimated future cash flows (undiscounted) that the Group will have to disburse
to settle the bank loans detailed above.



F-71



---

##### Table of Contents

| | 3. | The detail of Unsecured Liabilities by currency and maturity as of December 31, 2013, December 31, 2012, and January 1, 2012 is
as follows:
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------

-    Summary of unsecured liabilities by currency and maturity



|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|-------- |  | -------- |  | ------------- |  | ----------------------------- | ----- |  | ----------------------------- |  | ----- | ----------------- |  | ------------------------------- |  |  | ------------------------------- |  |  | ------------------------------------- | ----------- |  | ------------------------------ |  | ----------- | ------------------------------- |  |  | -------------------------------- |  |  | ---------------------------- | ----------- |  | -------------------------------------------- |  | ----------- |  |  |  | ----------- |  |  |  | ------------- | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Current                         |  |  |                                 |  |  |                                       |             |  | Non-current                    |  |             |                                 |  |  |                                  | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Maturity                        |  |  |                                 |  |  | Maturity                              |             |  |                                | 
|Country  |  | Currency |  | Amortization  |  | Effective    Interest    Rate |       |  | Nominal    Interest      Rate |  |       | Secured/Unsecured |  | One to three    months
ThCh$    |  |  | Three to twelve
months
ThCh$    |  |  | Total Current    at
12/31/2013 
ThCh$ |             |  | One to three    years
ThCh$    |  |             | Three to five    years
ThCh$    |  |  | More than five    years    ThCh$ |  |  | More than ten    years
ThCh$ |             |  | Total Non-
current at    12/31/2013    ThCh$ | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|Chile    |  | US$      |  | Semi-annually |  |                               | 8.11% |  |                               |  | 7.99% |                   |  | Unsecured                       |  |  | 9,165,715                       |  |  |                                       | -           |  |                                |  | 9,165,715   |                                 |  |  | 104,458,309                      |  |  |                              | -           |  |                                              |  | -           |  |  |  | 159,088,295 |  |  |  | 263,546,604   | 
|Chile    |  | Ch$      |  | Quarterly     |  |                               | 6.00% |  |                               |  | 5.48% |                   |  | Unsecured                       |  |  | -                               |  |  |                                       | 6,273,391   |  |                                |  | 6,273,391   |                                 |  |  | 9,696,776                        |  |  |                              | 9,696,776   |  |                                              |  | 130,194,490 |  |  |  | 144,396,823 |  |  |  | 293,984,865   | 
|Peru     |  | US$      |  | Semi-annually |  |                               | 7.01% |  |                               |  | 6.89% |                   |  | Unsecured                       |  |  | 862,593                         |  |  |                                       | 5,164,073   |  |                                |  | 6,026,666   |                                 |  |  | 13,835,937                       |  |  |                              | 5,249,833   |  |                                              |  | 9,536,848   |  |  |  | 5,249,834   |  |  |  | 33,872,452    | 
|Peru     |  | Sol      |  | Quarterly     |  |                               | 6.59% |  |                               |  | 6.48% |                   |  | Unsecured                       |  |  | 5,655,132                       |  |  |                                       | 3,763,999   |  |                                |  | 9,419,131   |                                 |  |  | -                                |  |  |                              | -           |  |                                              |  | 9,391,474   |  |  |  | -           |  |  |  | 9,391,474     | 
|Colombia |  | CP       |  | Semi-annually |  |                               | 7.32% |  |                               |  | 7.19% |                   |  | Unsecured                       |  |  | 39,022,019                      |  |  |                                       | 26,251,335  |  |                                |  | 65,273,354  |                                 |  |  | 68,210,526                       |  |  |                              | 105,561,815 |  |                                              |  | 403,534,976 |  |  |  | 168,100,796 |  |  |  | 745,408,113   | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Total                           |  |  | 54,705,459                      |  |  |                                       | 41,452,798  |  |                                |  | 96,158,257  |                                 |  |  | 196,201,548                      |  |  |                              | 120,508,424 |  |                                              |  | 552,657,788 |  |  |  | 476,835,748 |  |  |  | 1,346,203,508 | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Current                         |  |  | Non-current                     | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Maturity                        |  |  |                                 |  |  | Maturity                              |             |  |                                | 
|Country  |  | Currency |  | Amortization  |  | Effective    Interest    Rate |       |  | Nominal    Interest    Rate   |  |       | Secured/Unsecured |  | One to three    months    ThCh$ |  |  | Three to twelve    months
ThCh$ |  |  | Total current    at
12/31/2012 
ThCh$ |             |  | One to three    years
ThCh$    |  |             | Three to five    years
ThCh$    |  |  | More than five    years
ThCh$    |  |  | More than ten    years
ThCh$ |             |  | Total Non-
current at    12/31/2012    ThCh$ | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|Chile    |  | US$      |  | Semi-annually |  |                               |       |  |                               |  | 8.06% |                   |  | Unsecured                       |  |  | 15,065,057                      |  |  |                                       | 191,984,000 |  |                                |  | 207,049,057 |                                 |  |  | 94,914,421                       |  |  |                              | -           |  |                                              |  | -           |  |  |  | 144,892,812 |  |  |  | 239,807,233   | 
|Chile    |  | Ch$      |  | Quarterly     |  |                               |       |  |                               |  | 5.48% |                   |  | Unsecured                       |  |  | -                               |  |  |                                       | 6,178,710   |  |                                |  | 6,178,710   |                                 |  |  | 9,501,752                        |  |  |                              | 9,501,752   |  |                                              |  | 106,811,653 |  |  |  | 166,629,904 |  |  |  | 292,445,061   | 
|Peru     |  | US$      |  | Semi-annually |  |                               |       |  |                               |  | 6.89% |                   |  | Unsecured                       |  |  | 785,915                         |  |  |                                       | 55,795      |  |                                |  | 841,710     |                                 |  |  | 7,688,954                        |  |  |                              | 9,566,350   |  |                                              |  | 13,472,288  |  |  |  | 4,783,175   |  |  |  | 35,510,767    | 
|Peru     |  | Sol      |  | Quarterly     |  |                               |       |  |                               |  | 6.50% |                   |  | Unsecured                       |  |  | 5,114,847                       |  |  |                                       | 9,434,412   |  |                                |  | 14,549,259  |                                 |  |  | 9,059,897                        |  |  |                              | -           |  |                                              |  | 9,378,776   |  |  |  | -           |  |  |  | 18,438,673    | 
|Colombia |  | CP       |  | Semi-annually |  |                               |       |  |                               |  | 8.25% |                   |  | Unsecured                       |  |  | 26,969,430                      |  |  |                                       | -           |  |                                |  | 26,969,430  |                                 |  |  | 105,165,633                      |  |  |                              | 46,070,752  |  |                                              |  | 326,451,927 |  |  |  | 150,542,956 |  |  |  | 628,231,268   | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Total                           |  |  | 47,935,249                      |  |  |                                       | 207,652,917 |  |                                |  | 255,588,166 |                                 |  |  | 226,330,657                      |  |  |                              | 65,138,854  |  |                                              |  | 456,114,644 |  |  |  | 466,848,847 |  |  |  | 1,214,433,002 | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Current                         |  |  | Non-current                     | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Maturity                        |  |  |                                 |  |  | Maturity                              |             |  |                                | 
|Country  |  | Currency |  | Amortization  |  | Effective    Interest    Rate |       |  | Nominal    Interest    Rate   |  |       | Secured/Unsecured |  | One to three    months    ThCh$ |  |  | Three to twelve    months
ThCh$ |  |  | Total current    at
1/1/2012 
ThCh$   |             |  | One to three    years    ThCh$ |  |             | Three to five    years    ThCh$ |  |  | More than five    years
ThCh$    |  |  | More than ten    years
ThCh$ |             |  | Total Non-
current at    1/1/2012    ThCh$   | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|Chile    |  | US$      |  | Semi-annually |  |                               |       |  |                               |  | 8.36% |                   |  | Unsecured                       |  |  | 16,296,727                      |  |  |                                       | -           |  |                                |  | 16,296,727  |                                 |  |  | 206,726,825                      |  |  |                              | 102,843,263 |  |                                              |  | -           |  |  |  | 157,356,125 |  |  |  | 466,926,213   | 
|Chile    |  | Ch$      |  | Quarterly     |  |                               |       |  |                               |  | 5.17% |                   |  | Unsecured                       |  |  | 31,548,592                      |  |  |                                       | 6,789,214   |  |                                |  | 38,337,806  |                                 |  |  | 9,274,316                        |  |  |                              | 9,274,316   |  |                                              |  | 83,987,692  |  |  |  | 275,252,070 |  |  |  | 377,788,394   | 
|Peru     |  | US$      |  | Semi-annually |  |                               |       |  |                               |  | 6.98% |                   |  | Unsecured                       |  |  | 853,625                         |  |  |                                       | 60,597      |  |                                |  | 914,222     |                                 |  |  | 5,049,784                        |  |  |                              | 13,692,084  |  |                                              |  | 14,632,944  |  |  |  | 5,195,251   |  |  |  | 38,570,063    | 
|Peru     |  | Sol      |  | Quarterly     |  |                               |       |  |                               |  | 6.60% |                   |  | Unsecured                       |  |  | 437,080                         |  |  |                                       | 57,158      |  |                                |  | 494,238     |                                 |  |  | 23,760,221                       |  |  |                              | -           |  |                                              |  | 4,817,555   |  |  |  | 4,817,555   |  |  |  | 33,395,331    | 
|Colombia |  | CP       |  | Semi-annually |  |                               |       |  |                               |  | 9.11% |                   |  | Unsecured                       |  |  | -                               |  |  |                                       | 27,075,161  |  |                                |  | 27,075,161  |                                 |  |  | -                                |  |  |                              | 37,890,242  |  |                                              |  | 212,561,450 |  |  |  | 235,868,494 |  |  |  | 486,320,186   | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  |                                 |  |  |                                 |  |  |                                       |             |  |                                |  |             |                                 |  |  |                                  |  |  |                              |             |  |                                              |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |  |               |  |                               |       |  |                               |  |       |                   |  | Total                           |  |  | 49,136,024                      |  |  |                                       | 33,982,130  |  |                                |  | 83,118,154  |                                 |  |  | 244,811,146                      |  |  |                              | 163,699,905 |  |                                              |  | 315,999,641 |  |  |  | 678,489,495 |  |  |  | 1,403,000,187 | 



| | 4. | The detail of Secured Liabilities by currency and maturity as of December 31, 2013, December 31, 2012, and January 1, 2012 is
as follows:
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------

-    Summary of secured liabilities by currency and maturity



|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       |                                 |  |         |                                 |  |           |                                       |  |  |                             |  |  |                              |           |  |                            |  |   |                                              |  |  |   |  |  |  |   |  |  |  |   | 
|------- |  | -------- | --- |  | ------------ |  | ------------- | ----------------------------- |  |  | --------------------------- |  |  | ----------------- | ----- | ------------------------------- |  | ------- | ------------------------------- |  | --------- | ------------------------------------- |  |  | --------------------------- |  |  | ---------------------------- | --------- |  | -------------------------- |  | - | -------------------------------------------- |  |  | - |  |  |  | - |  |  |  | - | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       | Current                         |  |         | Non-current                     | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       | Maturity                        |  |         |                                 |  |           | Maturity                              |  |  |                             | 
|Country |  | Currency |     |  | Amortization |  |               | Effective    Interest    Rate |  |  | Nominal    Interest    Rate |  |  | Secured/Unsecured |       | One to three    months    ThCh$ |  |         | Three to twelve    months
ThCh$ |  |           | Total Current at    12/31/2013
 ThCh$ |  |  | One to three years    ThCh$ |  |  | Three to five years    ThCh$ |           |  | More than five
years
ThCh$ |  |   | Total Non-
current at    12/31/2013    ThCh$ | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       |                                 |  |         |                                 |  |           |                                       |  |  |                             |  |  |                              |           |  |                            |  |   |                                              |  |  |   |  |  |  |   |  |  |  |   | 
|Peru    |  |          | Sol |  |              |  | Semi-annually |                               |  |  | 6.25%                       |  |  |                   | 6.16% |                                 |  | Secured |                                 |  | 4,828,233 |                                       |  |  | -                           |  |  |                              | 4,828,233 |  |                            |  | - |                                              |  |  | - |  |  |  | - |  |  |  | - | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       |                                 |  |         |                                 |  |           |                                       |  |  |                             |  |  |                              |           |  |                            |  |   |                                              |  |  |   |  |  |  |   |  |  |  |   | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       |                                 |  | Total   |                                 |  | 4,828,233 |                                       |  |  | -                           |  |  |                              | 4,828,233 |  |                            |  | - |                                              |  |  | - |  |  |  | - |  |  |  | - | 
|        |  |          |     |  |              |  |               |                               |  |  |                             |  |  |                   |       |                                 |  |         |                                 |  |           |                                       |  |  |                             |  |  |                              |           |  |                            |  |   |                                              |  |  |   |  |  |  |   |  |  |  |   | 



|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|------- |  | -------- | --- |  | ------------ |  | ------------- | --------------------------- |  |  | ----------------- |  | ------------------------------- | ------- |  | ------------------------------- | ------- |  | ------------------------------------- |  | ---------- | --------------------------- |  |  | ------------------------------- |  |  | -------------------------- | --------- |  | -------------------------------------- |  | - |  |  |  | - |  |  |  | --------- | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  | Current                         |         |  | Non-current                     |        
|        |  |          |     |  |              |  |               |                             |  |  |                   |  | Maturity                        |         |  |                                 |         |  | Maturity                              |  |            |                             | 
|Country |  | Currency |     |  | Amortization |  |               | Nominal    Interest    Rate |  |  | Secured/Unsecured |  | One to three    months
ThCh$    |         |  | Three to twelve    months
ThCh$ |         |  | Total current at    12/31/2012
 ThCh$ |  |            | One to three years
ThCh$    |  |  | Three to five    years    ThCh$ |  |  | More than five years
ThCh$ |           |  | Total Non- current at12/31/2012  ThCh$ | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|Peru    |  |          | Sol |  |              |  | Semi-annually |                             |  |  | 6.35%             |  |                                 | Secured |  |                                 | 132,316 |  |                                       |  | 4,748,371  |                             |  |  | 4,880,687                       |  |  |                            | 4,689,387 |  |                                        |  | - |  |  |  | - |  |  |  | 4,689,387 | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 | Total   |  |                                 | 132,316 |  |                                       |  | 4,748,371  |                             |  |  | 4,880,687                       |  |  |                            | 4,689,387 |  |                                        |  | - |  |  |  | - |  |  |  | 4,689,387 | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  | Current                         |         |  | Non-current                     |        
|        |  |          |     |  |              |  |               |                             |  |  |                   |  | Maturity                        |         |  |                                 |         |  | Maturity                              |  |            |                             | 
|Country |  | Currency |     |  | Amortization |  |               | Nominal    Interest    Rate |  |  | Secured/Unsecured |  | One to three    months    ThCh$ |         |  | Three to twelve    months
ThCh$ |         |  | Total current at    1/1/2012
 ThCh$   |  |            | One to three years    ThCh$ |  |  | Three to five    years    ThCh$ |  |  | More than five years
ThCh$ |           |  | Total Non- current at1/1/2012  ThCh$   | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|Peru    |  |          | US$ |  |              |  | Semi-annually |                             |  |  | 6.15%             |  |                                 | Secured |  |                                 | -       |  |                                       |  | 10,463,994 |                             |  |  | 10,463,994                      |  |  |                            | -         |  |                                        |  | - |  |  |  | - |  |  |  | -         | 
|Peru    |  |          | Sol |  |              |  | Semi-annually |                             |  |  | 6.26%             |  |                                 | Secured |  |                                 | 135,886 |  |                                       |  | 60,596     |                             |  |  | 196,482                         |  |  |                            | 9,635,108 |  |                                        |  | - |  |  |  | - |  |  |  | 9,635,108 | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 |         |  |                                 |         |  |                                       |  |            |                             |  |  |                                 |  |  |                            |           |  |                                        |  |   |  |  |  |   |  |  |  |           | 
|        |  |          |     |  |              |  |               |                             |  |  |                   |  |                                 | Total   |  |                                 | 135,886 |  |                                       |  | 10,524,590 |                             |  |  | 10,660,476                      |  |  |                            | 9,635,108 |  |                                        |  | - |  |  |  | - |  |  |  | 9,635,108 | 

The fair value of current and non-current secured and unsecured liabilities with the public as
of December 31, 2013 totaled ThCh$1,784,141,097 (ThCh$1,665,722,865 and ThCh$1,884,977,657 as of December 31. 2012 and January 1, 2012, respectively.



F-72



---

##### Table of Contents

| | - |  | Secured and Unsecured Liabilities by Company
| | - |  | --------------------------------------------



|                     |  |                                    |  |          |  |                            |  |                                          |  |                  |  |          |                 |                       |        |              |                     |  |                   |                       |  |                    |  |  |                  |  |  |                    |            |  |                   |  |             |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |               | 
|-------------------- |  | ---------------------------------- |  | -------- |  | -------------------------- |  | ---------------------------------------- |  | ---------------- |  | -------- | --------------- | --------------------- | ------ | ------------ | ------------------- |  | ----------------- | --------------------- |  | ------------------ |  |  | ---------------- |  |  | ------------------ | ---------- |  | ----------------- |  | ----------- |  |  |  | ----------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ------------- | 
|Taxpayer ID No.(RUT) |  | Company                            |  | Country  |  | ID No.FinancialInstitution |  | FinancialInstitution                     |  | Country          |  | Currency |                 | EffectiveInterestRate |        |              | NominalInterestRate |  |                   | Secured/    Unsecured |  | 12-2013            | 
|                     |  |                                    |  |          |  |                            |  |                                          |  | Current          |  |          | Non-current     |                      
|                     |  |                                    |  |          |  |                            |  |                                          |  | Less than90 days |  |          | Morethan 90days |                       |        | TotalCurrent |                     |  | One tothree years |                       |  | Three tofive years |  |  | Five to tenyears |  |  | More thanten years |            |  | Total Non-current | 
|Foreign              |  | ChinangoS.A.C.                     |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 6.15%  |              |                     |  | 6.06%             |                       |  | Secured            |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | ChinangoS.A.C.                     |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.57%  |              |                     |  | 6.47%             |                       |  | Secured            |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | ChinangoS.A.C.                     |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.25%  |              |                     |  | 6.16%             |                       |  | Secured            |  |  | 4,828,233        |  |  |                    | -          |  |                   |  | 4,828,233   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 6.57%  |              |                     |  | 6.47%             |                       |  | Unsecured          |  |  | 143,386          |  |  |                    | -          |  |                   |  | 143,386     |  |  |  | -           |  |  |  | 5,249,833  |  |  |  | -           |  |  |  | -           |  |  |  | 5,249,833     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.41%  |              |                     |  | 6.31%             |                       |  | Unsecured          |  |  | -                |  |  |                    | 7,410      |  |                   |  | 7,410       |  |  |  | -           |  |  |  | -          |  |  |  | 4,695,737   |  |  |  | -           |  |  |  | 4,695,737     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.38%  |              |                     |  | 6.28%             |                       |  | Unsecured          |  |  | 145,018          |  |  |                    |            |  |                   |  | 145,018     |  |  |  | -           |  |  |  | -          |  |  |  | 4,695,737   |  |  |  | -           |  |  |  | 4,695,737     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.86%  |              |                     |  | 6.75%             |                       |  | Unsecured          |  |  | 84,523           |  |  |                    | 3,756,589  |  |                   |  | 3,841,112   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.61%  |              |                     |  | 6.50%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.54%  |              |                     |  | 6.44%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.74%  |              |                     |  | 6.63%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | Sol      |                 |                       | 6.70%  |              |                     |  | 6.59%             |                       |  | Unsecured          |  |  | 5,425,591        |  |  |                    | -          |  |                   |  | 5,425,591   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 6.44%  |              |                     |  | 6.34%             |                       |  | Unsecured          |  |  | 143,391          |  |  |                    | -          |  |                   |  | 143,391     |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 5,249,834   |  |  |  | 5,249,834     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 9.20%  |              |                     |  | 9.00%             |                       |  | Unsecured          |  |  | -                |  |  |                    | 5,164,073  |  |                   |  | 5,164,073   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 7.93%  |              |                     |  | 7.78%             |                       |  | Unsecured          |  |  | 148,259          |  |  |                    | -          |  |                   |  | 148,259     |  |  |  | -           |  |  |  | -          |  |  |  | 4,287,014   |  |  |  | -           |  |  |  | 4,287,014     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoContinental                         |  | Peru             |  | US$      |                 |                       | 7.25%  |              |                     |  | 7.13%             |                       |  | Unsecured          |  |  | 105,649          |  |  |                    | -          |  |                   |  | 105,649     |  |  |  | 3,336,269   |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | 3,336,269     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoScotiabank                          |  | Peru             |  | US$      |                 |                       | 6.74%  |              |                     |  | 6.63%             |                       |  | Unsecured          |  |  | 159,409          |  |  |                    | -          |  |                   |  | 159,409     |  |  |  | 5,249,834   |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | 5,249,834     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoScotiabank                          |  | Peru             |  | US$      |                 |                       | 6.09%  |              |                     |  | 6.00%             |                       |  | Unsecured          |  |  | 86,622           |  |  |                    | -          |  |                   |  | 86,622      |  |  |  | 5,249,834   |  |  |  |            |  |  |  |             |  |  |  | -           |  |  |  | 5,249,834     | 
|Foreign              |  | EdegelS.A.A                        |  | Peru     |  | Foreign                    |  | BancoScotiabank                          |  | Peru             |  | US$      |                 |                       | 5.87%  |              |                     |  | 5.78%             |                       |  | Unsecured          |  |  | 75,877           |  |  |                    | -          |  |                   |  | 75,877      |  |  |  |             |  |  |  |            |  |  |  | 5,249,834   |  |  |  | -           |  |  |  | 5,249,834     | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | A-10bonds                                |  | Colombia         |  | CP       |                 |                       | 6.89%  |              |                     |  | 6.72%             |                       |  | Unsecured          |  |  | 410,041          |  |  |                    | -          |  |                   |  | 410,041     |  |  |  | 57,333,471  |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | 57,333,471    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | A102bonds                                |  | Colombia         |  | CP       |                 |                       | 6.89%  |              |                     |  | 6.72%             |                       |  | Unsecured          |  |  | 78,103           |  |  |                    | -          |  |                   |  | 78,103      |  |  |  | 10,877,055  |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | 10,877,055    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B-103bonds                               |  | Colombia         |  | CP       |                 |                       | 7.00%  |              |                     |  | 7.00%             |                       |  | Unsecured          |  |  | 2,793,820        |  |  |                    | -          |  |                   |  | 2,793,820   |  |  |  | -           |  |  |  | 46,227,482 |  |  |  | -           |  |  |  | -           |  |  |  | 46,227,482    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | A5 bonds                                 |  | Colombia         |  | CP       |                 |                       | 5.54%  |              |                     |  | 5.43%             |                       |  | Unsecured          |  |  | 13,546,078       |  |  |                    | -          |  |                   |  | 13,546,078  |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B10 bonds                                |  | Colombia         |  | CP       |                 |                       | 7.64%  |              |                     |  | 7.43%             |                       |  | Unsecured          |  |  | 452,160          |  |  |                    | -          |  |                   |  | 452,160     |  |  |  | -           |  |  |  | -          |  |  |  | 43,524,534  |  |  |  | -           |  |  |  | 43,524,534    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B15 bonds                                |  | Colombia         |  | CP       |                 |                       | 7.96%  |              |                     |  | 7.73%             |                       |  | Unsecured          |  |  | 163,078          |  |  |                    | -          |  |                   |  | 163,078     |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 15,091,913  |  |  |  | 15,091,913    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | E5-09bonds                               |  | Colombia         |  | CP       |                 |                       | 9.27%  |              |                     |  | 9.27%             |                       |  | Unsecured          |  |  | -                |  |  |                    | 26,251,335 |  |                   |  | 26,251,335  |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B09-09bonds                              |  | Colombia         |  | CP       |                 |                       | 7.76%  |              |                     |  | 7.55%             |                       |  | Unsecured          |  |  | 1,116,939        |  |  |                    | -          |  |                   |  | 1,116,939   |  |  |  | -           |  |  |  | 59,334,333 |  |  |  | -           |  |  |  | -           |  |  |  | 59,334,333    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B12 bonds                                |  | Colombia         |  | CP       |                 |                       | 7.97%  |              |                     |  | 7.74%             |                       |  | Unsecured          |  |  | 470,239          |  |  |                    | -          |  |                   |  | 470,239     |  |  |  | -           |  |  |  | -          |  |  |  | 24,359,164  |  |  |  | -           |  |  |  | 24,359,164    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | Foreignbonds                             |  | Colombia         |  | CP       |                 |                       | 10.17% |              |                     |  | 10.17%            |                       |  | Unsecured          |  |  | 2,327,070        |  |  |                    | -          |  |                   |  | 2,327,070   |  |  |  | -           |  |  |  | -          |  |  |  | 24,481,561  |  |  |  | -           |  |  |  | 24,481,561    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | Quimbobonds                              |  | Colombia         |  | CP       |                 |                       | 10.17% |              |                     |  | 10.17%            |                       |  | Unsecured          |  |  | 16,722,841       |  |  |                    | -          |  |                   |  | 16,722,841  |  |  |  | -           |  |  |  | -          |  |  |  | 174,754,259 |  |  |  | -           |  |  |  | 174,754,259   | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | QuimboB10 bonds                          |  | Colombia         |  | CP       |                 |                       | 5.34%  |              |                     |  | 5.24%             |                       |  | Unsecured          |  |  | 222,497          |  |  |                    | -          |  |                   |  | 222,497     |  |  |  | -           |  |  |  | -          |  |  |  | 81,524,318  |  |  |  | -           |  |  |  | 81,524,318    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | QuimboB15 bonds                          |  | Colombia         |  | CP       |                 |                       | 5.46%  |              |                     |  | 5.36%             |                       |  | Unsecured          |  |  | 151,650          |  |  |                    | -          |  |                   |  | 151,650     |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 54,347,606  |  |  |  | 54,347,606    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | QuimboB12-13bonds                        |  | Colombia         |  | CP       |                 |                       | 6.85%  |              |                     |  | 6.68%             |                       |  | Unsecured          |  |  | 379,429          |  |  |                    | -          |  |                   |  | 379,429     |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 98,661,277  |  |  |  | 98,661,277    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | QuimboB6-13bonds                         |  | Colombia         |  | CP       |                 |                       | 6.08%  |              |                     |  | 5.95%             |                       |  | Unsecured          |  |  | 142,037          |  |  |                    | -          |  |                   |  | 142,037     |  |  |  | -           |  |  |  | -          |  |  |  | 41,454,410  |  |  |  | -           |  |  |  | 41,454,410    | 
|Foreign              |  | EmgesaS.A. E.S.P.                  |  | Colombia |  | Foreign                    |  | B6-13bonds                               |  | Colombia         |  | CP       |                 |                       | 6.08%  |              |                     |  | 5.95%             |                       |  | Unsecured          |  |  | 46,037           |  |  |                    | -          |  |                   |  | 46,037      |  |  |  | -           |  |  |  | -          |  |  |  | 13,436,730  |  |  |  | -           |  |  |  | 13,436,730    | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | 97,004,000-5               |  | BancoSantanderChile - 317Series H        |  | Chile            |  | U.F.     |                 |                       | 7.17%  |              |                     |  | 6.20%             |                       |  | Unsecured          |  |  | -                |  |  |                    | 5,792,134  |  |                   |  | 5,792,134   |  |  |  | 9,696,776   |  |  |  | 9,696,776  |  |  |  | 24,241,945  |  |  |  | 20,890,288  |  |  |  | 64,525,785    | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | 97,004,000-5               |  | BancoSantanderChile - 522Series M        |  | Chile            |  | U.F.     |                 |                       | 4.82%  |              |                     |  | 4.75%             |                       |  | Unsecured          |  |  | -                |  |  |                    | 481,257    |  |                   |  | 481,257     |  |  |  | -           |  |  |  | -          |  |  |  | 105,952,545 |  |  |  | 123,506,535 |  |  |  | 229,459,080   | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | Foreign                    |  | The Bankof NewYorkMellon -144 - A        |  | USA              |  | US$      |                 |                       | 8.50%  |              |                     |  | 8.35%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  |             |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | Foreign                    |  | The Bankof NewYorkMellon -144 - A        |  | USA              |  | US$      |                 |                       | 8.83%  |              |                     |  | 8.63%             |                       |  | Unsecured          |  |  | 3,770,634        |  |  |                    | -          |  |                   |  | 3,770,634   |  |  |  | 104,458,309 |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | 104,458,309   | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | Foreign                    |  | The Bankof NewYorkMellon -First IssueS-1 |  | USA              |  | US$      |                 |                       | 7.96%  |              |                     |  | 7.88%             |                       |  | Unsecured          |  |  | 3,543,987        |  |  |                    | -          |  |                   |  | 3,543,987   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 106,741,471 |  |  |  | 106,741,471   | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | Foreign                    |  | The Bankof NewYorkMellon -First IssueS-2 |  | USA              |  | US$      |                 |                       | 7.40%  |              |                     |  | 7.33%             |                       |  | Unsecured          |  |  | 1,133,296        |  |  |                    | -          |  |                   |  | 1,133,296   |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 36,596,392  |  |  |  | 36,596,392    | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | Foreign                    |  | The Bankof NewYorkMellon -First IssueS-3 |  | USA              |  | US$      |                 |                       | 8.26%  |              |                     |  | 8.13%             |                       |  | Unsecured          |  |  | 717,798          |  |  |                    | -          |  |                   |  | 717,798     |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 15,750,432  |  |  |  | 15,750,432    | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | 97,004,000-5               |  | BancoSantanderChile - 264Series F        |  | Chile            |  | U.F.     |                 |                       | 6.44%  |              |                     |  | 6.44%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|91,081,000-6         |  | EmpresaNacional deElectricidadS.A. |  | Chile    |  | 97,004,000-5               |  | BancoSantanderChile - 318Series K        |  | Chile            |  | U.F.     |                 |                       | 3.86%  |              |                     |  | 3.86%             |                       |  | Unsecured          |  |  | -                |  |  |                    | -          |  |                   |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|                     |  |                                    |  |          |  |                            |  |                                          |  |                  |  |          |                 |                       |        |              |                     |  |                   |                       |  |                    |  |  |                  |  |  |                    |            |  |                   |  |             |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |               | 
|                     |  |                                    |  |          |  |                            |  | Total                                    |  | ThCh$            |  |          |                 |                       |        |              |                     |  |                   |                       |  |                    |  |  |                  |  |  |                    |            |  |                   |  | 100,986,490 |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  | 1,346,203,508 | 



|                 |            |  |                  |  |             |              |  |  |                   |  |  |                    |            |  |                  |  |            |                    |  |  |                   |  |  |                  |             |  |                  |  |               |              |  |  |                   |  |  |                    |            |  |                  |  |            |                    |  |  |                   |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  |               | 
|---------------- | ---------- |  | ---------------- |  | ----------- | ------------ |  |  | ----------------- |  |  | ------------------ | ---------- |  | ---------------- |  | ---------- | ------------------ |  |  | ----------------- |  |  | ---------------- | ----------- |  | ---------------- |  | ------------- | ------------ |  |  | ----------------- |  |  | ------------------ | ---------- |  | ---------------- |  | ---------- | ------------------ |  |  | ----------------- |  |  |  | ----------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ------------- | 
|12-2012          |            |  | 01-2012          | 
|Current          |            |  | Non-current      |  |             | Current      |  |  | Non-current       | 
|Less than90 days |            |  | More than 90days |  |             | TotalCurrent |  |  | One tothree years |  |  | Three tofive years |            |  | Five to tenyears |  |            | More thanten years |  |  | Total Non-current |  |  | Less than90 days |             |  | More than90 days |  |               | TotalCurrent |  |  | One to threeyears |  |  | Three to fiveyears |            |  | Five to tenyears |  |            | More thanten years |  |  | Total Non-current | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | 10,463,994 |  |                  |  | 10,463,994 |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | 4,748,371   |              |  |  | 4,748,371         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | 60,596     |  |                  |  | 60,596     |                    |  |  | 4,817,554         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 4,817,554     | 
|                 | 132,316    |  |                  |  | -           |              |  |  | 132,316           |  |  |                    | 4,689,387  |  |                  |  |            |                    |  |  |                   |  |  |                  | -           |  |                  |  | 4,689,387     |              |  |  | 135,886           |  |  |                    | -          |  |                  |  | 135,886    |                    |  |  | 4,817,554         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 4,817,554     | 
|                 | 130,640    |  |                  |  | -           |              |  |  | 130,640           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 4,783,175         |  |  |                  | -           |  |                  |  | 4,783,175     |              |  |  | 141,895           |  |  |                    | -          |  |                  |  | 141,895    |                    |  |  | -                 |  |  |  | -           |  |  |  | 5,195,251  |  |  |  | -           |  |  |  | 5,195,251     | 
|                 | -          |  |                  |  | 7,400       |              |  |  | 7,400             |  |  |                    | -          |  |                  |  | -          |                    |  |  | 4,689,388         |  |  |                  | -           |  |                  |  | 4,689,388     |              |  |  | -                 |  |  |                    | 7,603      |  |                  |  | 7,603      |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 4,817,555   |  |  |  | 4,817,555     | 
|                 | 144,821    |  |                  |  | -           |              |  |  | 144,821           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 4,689,388         |  |  |                  | -           |  |                  |  | 4,689,388     |              |  |  | 148,780           |  |  |                    | -          |  |                  |  | 148,780    |                    |  |  | -                 |  |  |  | -           |  |  |  | 4,817,555  |  |  |  | -           |  |  |  | 4,817,555     | 
|                 | 84,409     |  |                  |  | -           |              |  |  | 84,409            |  |  |                    | 3,751,510  |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 3,751,510     |              |  |  | 86,706            |  |  |                    | -          |  |                  |  | 86,706     |                    |  |  | 3,854,084         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 3,854,084     | 
|                 | 4,775,750  |  |                  |  | -           |              |  |  | 4,775,750         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | 33,597     |  |                  |  | 33,597     |                    |  |  | 4,817,555         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 4,817,555     | 
|                 | -          |  |                  |  | 4,722,091   |              |  |  | 4,722,091         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | 15,958     |  |                  |  | 15,958     |                    |  |  | 4,817,555         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 4,817,555     | 
|                 | -          |  |                  |  | 4,704,921   |              |  |  | 4,704,921         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | 88,723            |  |  |                    | -          |  |                  |  | 88,723     |                    |  |  | 4,817,555         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 4,817,555     | 
|                 | 109,867    |  |                  |  | -           |              |  |  | 109,867           |  |  |                    | 5,308,387  |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 5,308,387     |              |  |  | 112,871           |  |  |                    | -          |  |                  |  | 112,871    |                    |  |  | 5,453,472         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 5,453,472     | 
|                 | 130,645    |  |                  |  | -           |              |  |  | 130,645           |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | 141,900           |  |  |                    | -          |  |                  |  | 141,900    |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 5,195,251   |  |  |  | 5,195,251     | 
|                 | -          |  |                  |  | 55,795      |              |  |  | 55,795            |  |  |                    | 4,649,246  |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 4,783,175   |  |                  |  | 9,432,421     |              |  |  | -                 |  |  |                    | 60,597     |  |                  |  | 60,597     |                    |  |  | 5,049,784         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 5,049,784     | 
|                 | 135,080    |  |                  |  | -           |              |  |  | 135,080           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 3,905,938         |  |  |                  | -           |  |                  |  | 3,905,938     |              |  |  | 146,718           |  |  |                    | -          |  |                  |  | 146,718    |                    |  |  | -                 |  |  |  | 4,242,442   |  |  |  | -          |  |  |  | -           |  |  |  | 4,242,442     | 
|                 | 96,257     |  |                  |  | -           |              |  |  | 96,257            |  |  |                    | 3,039,708  |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 3,039,708     |              |  |  | 104,550           |  |  |                    | -          |  |                  |  | 104,550    |                    |  |  | -                 |  |  |  | 3,301,582   |  |  |  | -          |  |  |  | -           |  |  |  | 3,301,582     | 
|                 | 145,239    |  |                  |  | -           |              |  |  | 145,239           |  |  |                    | -          |  |                  |  | 4,783,175  |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 4,783,175     |              |  |  | 157,752           |  |  |                    | -          |  |                  |  | 157,752    |                    |  |  | 5,195,251         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 5,195,251     | 
|                 | 78,922     |  |                  |  | -           |              |  |  | 78,922            |  |  |                    | -          |  |                  |  | 4,783,175  |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 4,783,175     |              |  |  | 85,722            |  |  |                    | -          |  |                  |  | 85,722     |                    |  |  | 5,195,251         |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 5,195,251     | 
|                 | 69,132     |  |                  |  | -           |              |  |  | 69,132            |  |  |                    | -          |  |                  |  | -          |                    |  |  | 4,783,175         |  |  |                  | -           |  |                  |  | 4,783,175     |              |  |  | 75,088            |  |  |                    | -          |  |                  |  | 75,088     |                    |  |  | -                 |  |  |  | 5,195,251   |  |  |  | -          |  |  |  | -           |  |  |  | 5,195,251     | 
|                 | 469,671    |  |                  |  | -           |              |  |  | 469,671           |  |  |                    | 56,910,929 |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 56,910,929    |              |  |  | -                 |  |  |                    | 534,079    |  |                  |  | 534,079    |                    |  |  | -                 |  |  |  | -           |  |  |  | 56,169,355 |  |  |  | -           |  |  |  | 56,169,355    | 
|                 | 89,461     |  |                  |  | -           |              |  |  | 89,461            |  |  |                    | 9,864,217  |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 9,864,217     |              |  |  | -                 |  |  |                    | 101,729    |  |                  |  | 101,729    |                    |  |  | -                 |  |  |  | -           |  |  |  | 9,747,283  |  |  |  | -           |  |  |  | 9,747,283     | 
|                 | 183,657    |  |                  |  | -           |              |  |  | 183,657           |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 15,040,745  |  |                  |  | 15,040,745    |              |  |  | -                 |  |  |                    | 3,654,924  |  |                  |  | 3,654,924  |                    |  |  | -                 |  |  |  | -           |  |  |  | 45,470,431 |  |  |  | -           |  |  |  | 45,470,431    | 
|                 | 3,205,705  |  |                  |  | -           |              |  |  | 3,205,705         |  |  |                    | -          |  |                  |  | 46,070,752 |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 46,070,752    |              |  |  | -                 |  |  |                    | 116,036    |  |                  |  | 116,036    |                    |  |  | -                 |  |  |  | 13,223,871  |  |  |  | -          |  |  |  | -           |  |  |  | 13,223,871    | 
|                 | 511,529    |  |                  |  | -           |              |  |  | 511,529           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 43,376,968        |  |  |                  | -           |  |                  |  | 43,376,968    |              |  |  | -                 |  |  |                    | 575,302    |  |                  |  | 575,302    |                    |  |  | -                 |  |  |  | -           |  |  |  | 42,811,747 |  |  |  | -           |  |  |  | 42,811,747    | 
|                 | 1,261,346  |  |                  |  | -           |              |  |  | 1,261,346         |  |  |                    | -          |  |                  |  | -          |                    |  |  | 59,133,165        |  |  |                  | -           |  |                  |  | 59,133,165    |              |  |  | -                 |  |  |                    | 205,704    |  |                  |  | 205,704    |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 14,844,758  |  |  |  | 14,844,758    | 
|                 | 529,504    |  |                  |  | -           |              |  |  | 529,504           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 24,276,576        |  |  |                  | -           |  |                  |  | 24,276,576    |              |  |  | -                 |  |  |                    | 1,146,419  |  |                  |  | 1,146,419  |                    |  |  | -                 |  |  |  | 24,666,371  |  |  |  | -          |  |  |  | -           |  |  |  | 24,666,371    | 
|                 | 134,607    |  |                  |  | -           |              |  |  | 134,607           |  |  |                    | 13,398,459 |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 13,398,459    |              |  |  | -                 |  |  |                    | 1,416,305  |  |                  |  | 1,416,305  |                    |  |  | -                 |  |  |  | -           |  |  |  | 58,362,634 |  |  |  | -           |  |  |  | 58,362,634    | 
|                 | 1,161,554  |  |                  |  | -           |              |  |  | 1,161,554         |  |  |                    | 24,992,028 |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 24,992,028    |              |  |  | -                 |  |  |                    | 592,993    |  |                  |  | 592,993    |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 23,960,242  |  |  |  | 23,960,242    | 
|                 | 2,318,404  |  |                  |  | -           |              |  |  | 2,318,404         |  |  |                    | -          |  |                  |  | -          |                    |  |  | 24,390,398        |  |  |                  | -           |  |                  |  | 24,390,398    |              |  |  | -                 |  |  |                    | 2,288,195  |  |                  |  | 2,288,195  |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 24,072,581  |  |  |  | 24,072,581    | 
|                 | 16,660,570 |  |                  |  | -           |              |  |  | 16,660,570        |  |  |                    | -          |  |                  |  | -          |                    |  |  | 175,274,820       |  |  |                  | -           |  |                  |  | 175,274,820   |              |  |  | -                 |  |  |                    | 16,443,475 |  |                  |  | 16,443,475 |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 172,990,913 |  |  |  | 172,990,913   | 
|                 | 264,062    |  |                  |  | -           |              |  |  | 264,062           |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 81,301,327  |  |                  |  | 81,301,327    |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | 179,360    |  |                  |  | -           |              |  |  | 179,360           |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 54,200,884  |  |                  |  | 54,200,884    |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | 5,731,907   |              |  |  | 5,731,907         |  |  |                    | 9,501,752  |  |                  |  | 9,501,752  |                    |  |  | 23,754,380        |  |  |                  | 25,021,345  |  |                  |  | 67,779,229    |              |  |  | -                 |  |  |                    | 5,653,703  |  |                  |  | 5,653,703  |                    |  |  | 9,274,316         |  |  |  | 9,274,316   |  |  |  | 23,185,792 |  |  |  | 28,612,795  |  |  |  | 70,347,219    | 
|                 | -          |  |                  |  | 446,803     |              |  |  | 446,803           |  |  |                    | -          |  |                  |  | -          |                    |  |  | 83,057,273        |  |  |                  | 141,608,559 |  |                  |  | 224,665,832   |              |  |  | -                 |  |  |                    | 436,109    |  |                  |  | 436,109    |                    |  |  | -                 |  |  |  | -           |  |  |  | 60,801,900 |  |  |  | 157,707,946 |  |  |  | 218,509,846   | 
|                 | 6,679,443  |  |                  |  | 191,984,000 |              |  |  | 198,663,443       |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | 7,225,533         |  |  |                    | -          |  |                  |  | 7,225,533  |                    |  |  | 206,726,825       |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | 206,726,825   | 
|                 | 3,449,713  |  |                  |  | -           |              |  |  | 3,449,713         |  |  |                    | 94,914,421 |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | 94,914,421    |              |  |  | 3,731,750         |  |  |                    | -          |  |                  |  | 3,731,750  |                    |  |  | -                 |  |  |  | 102,843,263 |  |  |  | -          |  |  |  | -           |  |  |  | 102,843,263   | 
|                 | 3,242,355  |  |                  |  | -           |              |  |  | 3,242,355         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 97,491,553  |  |                  |  | 97,491,553    |              |  |  | 3,507,440         |  |  |                    | -          |  |                  |  | 3,507,440  |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 105,516,202 |  |  |  | 105,516,202   | 
|                 | 1,036,841  |  |                  |  | -           |              |  |  | 1,036,841         |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 33,456,554  |  |                  |  | 33,456,554    |              |  |  | 1,121,609         |  |  |                    | -          |  |                  |  | 1,121,609  |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 36,254,989  |  |  |  | 36,254,989    | 
|                 | 656,705    |  |                  |  | -           |              |  |  | 656,705           |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | 13,944,705  |  |                  |  | 13,944,705    |              |  |  | 710,395           |  |  |                    | -          |  |                  |  | 710,395    |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 15,584,934  |  |  |  | 15,584,934    | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | 31,548,592        |  |  |                    | -          |  |                  |  | 31,548,592 |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | -           |  |  |  | -             | 
|                 | -          |  |                  |  | -           |              |  |  | -                 |  |  |                    | -          |  |                  |  | -          |                    |  |  | -                 |  |  |                  | -           |  |                  |  | -             |              |  |  | -                 |  |  |                    | 699,402    |  |                  |  | 699,402    |                    |  |  | -                 |  |  |  | -           |  |  |  | -          |  |  |  | 88,931,329  |  |  |  | 88,931,329    | 
|                 |            |  |                  |  |             |              |  |  |                   |  |  |                    |            |  |                  |  |            |                    |  |  |                   |  |  |                  |             |  |                  |  |               |              |  |  |                   |  |  |                    |            |  |                  |  |            |                    |  |  |                   |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  |               | 
|                 |            |  |                  |  |             |              |  |  | 260,468,853       |  |  |                    |            |  |                  |  |            |                    |  |  |                   |  |  |                  |             |  |                  |  | 1,219,122,389 |              |  |  |                   |  |  |                    |            |  |                  |  | 93,778,630 |                    |  |  |                   |  |  |  |             |  |  |  |            |  |  |  |             |  |  |  | 1,412,635,295 | 

Appendix No. 4, letter b) presents details of estimated future cash flows (undiscounted)
that the Group will have to disburse to settle the secured and unsecured obligations detailed above.



| | - |  | Detail of Finance Lease Obligations
| | - |  | -----------------------------------



|                |  |                                   |  |         |  |                            |  |                      |  |         |                  |          |  |                     |       |  |                   |  |           |                    |  |  |                     |  |  |                  |           |  |                   |  |            |  |  |  |            |  |  |  |            |  |  |  |   |  |  |  |            | 
|--------------- |  | --------------------------------- |  | ------- |  | -------------------------- |  | -------------------- |  | ------- | ---------------- | -------- |  | ------------------- | ----- |  | ----------------- |  | --------- | ------------------ |  |  | ------------------- |  |  | ---------------- | --------- |  | ----------------- |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | - |  |  |  | ---------- | 
|Taxpayer ID No. |  | Company                           |  | Country |  | ID No.FinancialInstitution |  | FinancialInstitution |  | Country |                  | Currency |  | NominalInterestRate |       |  | 12-2013           | 
|                |  |                                   |  |         |  |                            |  | Current              |  |         | Non-current      |         
|                |  |                                   |  |         |  |                            |  | Less than90 days     |  |         | More than90 days |          |  | TotalCurrent        |       |  | One tothree years |  |           | Three tofive years |  |  | More thanfive years |  |  | Morethantenyears |           |  | Total Non-current | 
|91,081,000-6    |  | EmpresaNacional deElectricidadS.A |  | Chile   |  | 87,509,100-K               |  | AbengoaChile         |  | Chile   |                  | US$      |  |                     | 6.50% |  |                   |  | -         |                    |  |  | 1,193,881           |  |  |                  | 1,193,881 |  |                   |  | 2,625,612  |  |  |  | 2,978,035  |  |  |  | 10,930,941 |  |  |  | - |  |  |  | 16,534,588 | 
|Foreign         |  | EdegelS.A.A.                      |  | Peru    |  | Foreign                    |  | BancoScotiabank      |  | Peru    |                  | US$      |  |                     | 2.00% |  |                   |  | 1,347,864 |                    |  |  | 3,986,173           |  |  |                  | 5,334,037 |  |                   |  | 14,566,758 |  |  |  | 11,515,608 |  |  |  | -          |  |  |  | - |  |  |  | 26,082,366 | 
|                |  |                                   |  |         |  |                            |  |                      |  |         |                  |          |  |                     |       |  |                   |  |           |                    |  |  |                     |  |  |                  |           |  |                   |  |            |  |  |  |            |  |  |  |            |  |  |  |   |  |  |  |            | 
|                |  |                                   |  |         |  |                            |  | Total                |  | ThCh$   |                  |          |  |                     |       |  |                   |  |           |                    |  |  |                     |  |  |                  | 6,527,918 |  |                   |  |            |  |  |  |            |  |  |  |            |  |  |  |   |  |  |  | 42,616,954 | 



|                |           |  |                  |  |           |              |  |  |                   |  |  |                    |            |  |                     |  |            |                    |  |  |                   |  |  |                  |           |  |                  |  |            |              |  |  |                   |  |  |                    |           |  |                     |  |           |                    |  |  |                   |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  |            | 
|--------------- | --------- |  | ---------------- |  | --------- | ------------ |  |  | ----------------- |  |  | ------------------ | ---------- |  | ------------------- |  | ---------- | ------------------ |  |  | ----------------- |  |  | ---------------- | --------- |  | ---------------- |  | ---------- | ------------ |  |  | ----------------- |  |  | ------------------ | --------- |  | ------------------- |  | --------- | ------------------ |  |  | ----------------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | --------- |  |  |  | ---------- | 
|12-2012         |           |  | 01-2012          | 
|Current         |           |  | Non-current      |  |           | Current      |  |  | Non-current       | 
|Lessthan 90days |           |  | More than90 days |  |           | TotalCurrent |  |  | One tothree years |  |  | Three tofive years |            |  | More thanfive years |  |            | More thanten years |  |  | Total Non-current |  |  | Less than90 days |           |  | More than90 days |  |            | TotalCurrent |  |  | One tothree years |  |  | Three tofive years |           |  | More thanfive years |  |           | More thanten years |  |  | Total Non-current | 
|                | -         |  |                  |  | 1,025,604 |              |  |  | 1,025,604         |  |  |                    | 2,255,535  |  |                     |  | 2,558,284  |                    |  |  | 8,000,515         |  |  |                  | 3,405,252 |  |                  |  | 16,219,586 |              |  |  | 1,041,741         |  |  |                    | -         |  |                     |  | 1,041,741 |                    |  |  | 2,291,023         |  |  |  | 2,598,536  |  |  |  | 8,126,396  |  |  |  | 5,639,145 |  |  |  | 18,655,100 | 
|                | 1,231,661 |  |                  |  | 3,610,794 |              |  |  | 4,842,455         |  |  |                    | 11,478,411 |  |                     |  | 17,127,941 |                    |  |  | -                 |  |  |                  | -         |  |                  |  | 28,606,352 |              |  |  | 1,918,477         |  |  |                    | 6,218,565 |  |                     |  | 8,137,042 |                    |  |  | 10,519,276        |  |  |  | 14,415,305 |  |  |  | 11,395,943 |  |  |  | -         |  |  |  | 36,330,524 | 
|                |           |  |                  |  |           |              |  |  |                   |  |  |                    |            |  |                     |  |            |                    |  |  |                   |  |  |                  |           |  |                  |  |            |              |  |  |                   |  |  |                    |           |  |                     |  |           |                    |  |  |                   |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  |            | 
|                |           |  |                  |  |           |              |  |  | 5,868,059         |  |  |                    |            |  |                     |  |            |                    |  |  |                   |  |  |                  |           |  |                  |  | 44,825,938 |              |  |  |                   |  |  |                    |           |  |                     |  | 9,178,783 |                    |  |  |                   |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  | 54,985,624 | 

Appendix No. 4 letter c) presents details of estimated future cash flows (undiscounted)
that the Group will have to disburse to settle the finance lease obligations detailed above.



F-73



---

##### Table of Contents

-    Other Obligations



|                     |  |                                       |  |           |  |                            |  |                                     |  |           |                  |          |  |                           |  |         |                   |  |  |                     |           |  |                     |  |             |                   |  |  |           |  |  |  |         |  |  |  |   |  |  |  |           | 
|-------------------- |  | ------------------------------------- |  | --------- |  | -------------------------- |  | ----------------------------------- |  | --------- | ---------------- | -------- |  | ------------------------- |  | ------- | ----------------- |  |  | ------------------- | --------- |  | ------------------- |  | ----------- | ----------------- |  |  | --------- |  |  |  | ------- |  |  |  | - |  |  |  | --------- | 
|Taxpayer ID No.(RUT) |  | Company                               |  | Country   |  | ID No.FinancialInstitution |  | Financial Institution               |  | Country   |                  | Currency |  | Nominal    Interest  Rate |  | 12-2013 |                  
|                     |  |                                       |  |           |  |                            |  | Current                             |  |           | Non-current      |         
|                     |  |                                       |  |           |  |                            |  | Less than 90days                    |  |           | More than 90days |          |  | Total Current             |  |         | One to threeyears |  |  | Three to
five years |           |  | More than
fiveyears |  |             | Total Non-current | 
|Foreign              |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Mitsubishi (secured debt)           |  | Argentina |                  | US$      |  | 7.42%                     |  |         | 73,993,677        |  |  |                     | -         |  |                     |  | 73,993,677  |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|Foreign              |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Mitsubishi (unsecured debt)         |  | Argentina |                  | US$      |  | 7.42%                     |  |         | 22,907,475        |  |  |                     | -         |  |                     |  | 22,907,475  |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|Foreign              |  | Endesa Costanera S.A.                 |  | Argentina |  | Foreign                    |  | Other                               |  | Argentina |                  | Ar$      |  | 17.29%                    |  |         | 3,249,165         |  |  |                     | 2,171,469 |  |                     |  | 5,420,634   |                   |  |  | 1,447,643 |  |  |  | -       |  |  |  | - |  |  |  | 1,447,643 | 
|96,827,970-K         |  | Endesa Eco S.A.                       |  | Chile     |  | 96,601,250-1               |  | Inversiones Centinela S.A.          |  | Chile     |                  | US$      |  | 6.10%                     |  |         | -                 |  |  |                     | -         |  |                     |  | -           |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|Foreign              |  | Hidroinvest S.A.                      |  | Argentina |  | Foreign                    |  | Other                               |  | Argentina |                  | US$      |  | 2.67%                     |  |         | -                 |  |  |                     | 281,066   |  |                     |  | 281,066     |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|Foreign              |  | Hidroeléctrica El Chocón S.A.         |  | Argentina |  | Foreign                    |  | Other                               |  | Argentina |                  | Ar$      |  | 19.79%                    |  |         | -                 |  |  |                     | -         |  |                     |  | -           |                   |  |  | -         |  |  |  | 975,589 |  |  |  | - |  |  |  | 975,589   | 
|Foreign              |  | Chinango S.A.C.                       |  | Peru      |  | Foreign                    |  | Banco Scotiabank                    |  | Peru      |                  | US$      |  | 0.78%                     |  |         | 635               |  |  |                     | -         |  |                     |  | 635         |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|96,589,170-6         |  | Empresa Eléctrica Pangue              |  | Chile     |  | N/A                        |  | Other                               |  | Chile     |                  | Ch$      |  | N/A                       |  |         | -                 |  |  |                     | -         |  |                     |  | -           |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  | -         | 
|91,081,000-6         |  | Empresa Nacional de Electricidad S.A. |  | Chile     |  | N/A                        |  | Other                               |  | Chile     |                  | Ch$      |  | N/A                       |  |         | -                 |  |  |                     | -         |  |                     |  |             |                   |  |  | -         |  |  |  | -       |  |  |  | - |  |  |  |           | 
|                     |  |                                       |  |           |  |                            |  |                                     |  |           |                  |          |  |                           |  |         |                   |  |  |                     |           |  |                     |  |             |                   |  |  |           |  |  |  |         |  |  |  |   |  |  |  |           | 
|                     |  |                                       |  |           |  |                            |  | Total                    
    ThCh$ |  |           |                  |          |  |                           |  |         |                   |  |  |                     |           |  |                     |  | 102,603,487 |                   |  |  |           |  |  |  |         |  |  |  |   |  |  |  | 2,423,232 | 



|                 |            |  |                  |  |           |               |  |  |                   |  |  |                    |           |  |                     |  |   |                   |  |  |                  |  |  |                  |           |  |               |  |           |                   |  |  |                    |  |  |                     |            |  |                   |  |            |  |  |  |            |  |  |  |   |  |  |  |            | 
|---------------- | ---------- |  | ---------------- |  | --------- | ------------- |  |  | ----------------- |  |  | ------------------ | --------- |  | ------------------- |  | - | ----------------- |  |  | ---------------- |  |  | ---------------- | --------- |  | ------------- |  | --------- | ----------------- |  |  | ------------------ |  |  | ------------------- | ---------- |  | ----------------- |  | ---------- |  |  |  | ---------- |  |  |  | - |  |  |  | ---------- | 
|                 |            |  |                  |  |           | 12-2012       |  |  |                   |  |  |                    |           |  |                     |  |   | 01-2012           | 
|Current          |            |  | Non-current      |  |           | Current       |  |  | Non-current       | 
|Less than 90days |            |  | More than 90days |  |           | Total Current |  |  | One to threeyears |  |  | Three
to fiveyears |           |  | More than
fiveyears |  |   | Total Non-current |  |  | Less than 90days |  |  | More than 90days |           |  | Total Current |  |           | One to threeyears |  |  | Three to fiveyears |  |  | More than
fiveyears |            |  | Total Non-current | 
|                 | 70,025,348 |  |                  |  | -         |               |  |  | 70,025,348        |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | 7,749,998 |                   |  |  | 14,969,290         |  |  |                     | 22,719,288 |  |                   |  | 12,851,153 |  |  |  | 37,735,332 |  |  |  | - |  |  |  | 50,586,485 | 
|                 | 14,355,259 |  |                  |  | -         |               |  |  | 14,355,259        |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | -         |                   |  |  | 13,925,511         |  |  |                     | 13,925,511 |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | 1,791,317  |  |                  |  | 3,600,814 |               |  |  | 5,392,131         |  |  |                    | 5,629,544 |  |                     |  | - |                   |  |  | -                |  |  |                  | 5,629,544 |  |               |  | 679,866   |                   |  |  | 1,133,110          |  |  |                     | 1,812,976  |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | 2,022,260  |  |                  |  | -         |               |  |  | 2,022,260         |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | 3,929,271 |                   |  |  | -                  |  |  |                     | 3,929,271  |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | -          |  |                  |  | -         |               |  |  | -                 |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | -         |                   |  |  | -                  |  |  |                     | -          |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | -          |  |                  |  | -         |               |  |  | -                 |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | -         |                   |  |  | -                  |  |  |                     | -          |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | -          |  |                  |  | -         |               |  |  | -                 |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | -         |                   |  |  | -                  |  |  |                     | -          |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | -          |  |                  |  | -         |               |  |  | -                 |  |  |                    | -         |  |                     |  | - |                   |  |  | -                |  |  |                  | -         |  |               |  | 2         |                   |  |  | -                  |  |  |                     | 2          |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 | -          |  |                  |  | -         |               |  |  |                   |  |  |                    |           |  |                     |  |   |                   |  |  |                  |  |  |                  |           |  |               |  | 27        |                   |  |  | -                  |  |  |                     | 27         |  |                   |  | -          |  |  |  | -          |  |  |  | - |  |  |  | -          | 
|                 |            |  |                  |  |           |               |  |  |                   |  |  |                    |           |  |                     |  |   |                   |  |  |                  |  |  |                  |           |  |               |  |           |                   |  |  |                    |  |  |                     |            |  |                   |  |            |  |  |  |            |  |  |  |   |  |  |  |            | 
|                 |            |  |                  |  |           |               |  |  | 91,794,998        |  |  |                    |           |  |                     |  |   |                   |  |  |                  |  |  |                  | 5,629,544 |  |               |  |           |                   |  |  |                    |  |  |                     | 42,387,075 |  |                   |  |            |  |  |  |            |  |  |  |   |  |  |  | 50,586,485 | 

Appendix No. 4 letter d) presents details of estimated future cash flows (undiscounted)
that the Group will have to disburse to settle these Other Obligations.



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| | 5. | Hedged debt
| | -- | -----------

Of the U.S. dollar denominated debt held by Endesa Chile, as of December 31, 2013, ThCh$754,177,869 is related to future
cash flow hedges for the Groups U.S. dollar-linked operating income (see Note 3.k). As of December 31, 2012 and January 1, 2012, these amounts were ThCh$663,941,868 and ThCh$739,686,386 respectively.

The following table details changes in Reserve for cash flow hedges as of December 31,
2013, December 31, 2012, and January 1, 2012 due to exchange differences of this debt:



|                                                                      |  |                  |              |  |                  |  |              |                  |  |  |              | 
|--------------------------------------------------------------------- |  | ---------------- | ------------ |  | ---------------- |  | ------------ | ---------------- |  |  | ------------ | 
|HEDGING RESERVE                                                       |  | 12-31-2013
ThCh$ |              |  | 12-31-2012
ThCh$ |  |              | 01-01-2012
ThCh$ | 
|Balance in hedging reserves (hedging income) at beginning of year     |  |                  | 57,592,447   |  |                  |  | 42,149,742   |                  |  |  | 101,149,888  | 
|Foreign currency exchange differences recorded in net equity          |  |                  | (41,334,780) |  |                  |  | 30,348,917   |                  |  |  | (47,549,956) | 
|Recognition of foreign currency exchange differences in profit (loss) |  |                  | (13,763,582) |  |                  |  | (14,713,619) |                  |  |  | (12,505,769) | 
|Foreign currency translation differences                              |  |                  | (128,301)    |  |                  |  | (192,593)    |                  |  |  | 1,055,579    | 
|                                                                      |  |                  |              |  |                  |  |              |                  |  |  |              | 
|Balance in hedging reserves (hedging income) at year end              |  |                  | 2,365,784    |  |                  |  | 57,592,447   |                  |  |  | 42,149,742   | 



| | 6. | Other information
| | -- | -----------------

As of December 31, 2013, the Endesa Chile has long-term lines of credit available for use amounting to ThCh$153,458,192
(ThCh$193,708,000 and ThCh$199,892,000 as of December 31, 2012 and January 1, 2012, respectively).



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##### Table of Contents

17. RISK MANAGEMENT POLICY

The Groups companies are exposed to certain risks that are managed by systems that identify, measure, limit
concentration of, and monitor these risks.

The main principles in the Groups risk management policy include the
following:



| | - |  | Compliance with good corporate governance standards.
| | - |  | ----------------------------------------------------



| | - |  | Strict compliance with all the Groups internal policies.
| | - |  | ---------------------------------------------------------



| | - |  | Each business and corporate area determines:
| | - |  | --------------------------------------------



| | I. | The markets in which it can operate based on its knowledge and ability to ensure effective risk management.
| | -- | -----------------------------------------------------------------------------------------------------------



| | II. | Criteria regarding counterparts.
| | --- | --------------------------------



| | III. | Authorized operators.
| | ---- | ---------------------



| | - |  | Business and corporate areas establish their risk tolerance in a manner consistent with the defined strategy for each market in which they operate.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | All of the operations of the businesses and corporate areas are conducted within the limits approved for each case.
| | - |  | -------------------------------------------------------------------------------------------------------------------



| | - |  | Businesses, corporate areas, lines of business and companies design the risk management controls necessary to ensure that transactions in the
markets are conducted in accordance with the Endesa Chile policies, standards, and procedures.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

17.1. Interest rate risk

Changes in interest rates affect the fair value of assets and liabilities bearing fixed
interest rates, as well as the expected future cash flows of assets and liabilities subject to floating interest rates.

The objective of managing interest rate risk exposure is to achieve a balance in the debt structure to minimize the cost of
debt with reduced volatility in profit or loss.

In compliance with the current interest rate hedging policy, the
proportion of fixed debt and/or hedged debt over the net total debt was 71% as of December 31, 2013.

Depending on
the Groups estimates and on the objectives of the debt structure, hedging transactions are performed by entering into derivatives contracts that mitigate interest rate risk. Derivative instruments currently used to comply with the risk
management policy are interest rate swaps to set floating rate at fixed rate.

The financial debt structure of the Endesa
Chile Group detailed by fixed and/or hedged and floating interest rate, net of hedging derivative instruments, is as follows:

Net position:



|                       |  |            |  |            |  |           
|---------------------- |  | ---------- |  | ---------- |  | ----------
|                       |  | 12-31-2013 |  | 12-31-2012 |  | 01-01-2012
|                       |  | %          |  | %          |  | %         
|Fixed interest rate    |  | 71%        |  | 74%        |  | 81%       
|Floating interest rate |  | 29%        |  | 26%        |  | 19%       
|Total                  |  | 100%       |  | 100%       |  | 100%      



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##### Table of Contents

17.2. Exchange rate risk

Exchange rate risks involve basically the following transactions:



| | - |  | Debt taken on by the Groups companies that is denominated in a currency other than that in which its cash flows are indexed.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------



| | - |  | Payments to be made for the acquisition of project-related materials in a currency other than that in which its cash flows are indexed.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Income in Group companies directly linked to changes in the dollar.
| | - |  | -------------------------------------------------------------------



| | - |  | Cash flows from foreign subsidiaries to Chilean parent companies which are exposed to exchange rate fluctuations.
| | - |  | -----------------------------------------------------------------------------------------------------------------

In order to mitigate foreign currency risk, the Endesa Chile Groups foreign currency risk management policy is based on
cash flows and includes maintaining a balance between U.S. dollar flows and the levels of assets and liabilities denominated in this currency. The objective is to minimize the exposure to variability in cash flows that are attributable to foreign
exchange risk.

The hedging instruments currently being used to comply with the policy are currency swaps and forward
exchange contracts. In addition, the policy seeks to refinance debt in the functional currency of each of the Groups companies.

17.3. Commodities risk

The Endesa Chile Group has a risk exposure to price changes in certain commodities,
basically due to:



| | - |  | Purchases of fuel used to generate electricity.
| | - |  | -----------------------------------------------



| | - |  | Energy purchase/sale transactions that take place in local markets.
| | - |  | -------------------------------------------------------------------

In order to reduce the risk in situations of extreme drought, the Company has designed a commercial policy that defines the
levels of sales commitments in line with the capacity of its generating power plants in a dry year. It also includes risk mitigation terms in certain contracts with unregulated customers.

Considering the operating conditions faced by the power generation market in Chile, with drought and highly volatile commodity
prices on international markets, the Company is constantly verifying the advisability of using hedging to lessen the impacts that these price swings have on its results. As of December 31, 2013, the Group has no derivative operations in effect
for commodities. As of December 31, 2012, the Group had swap operations for 462,000 barrels of Brent crude oil for January 2013, and 365,000 tons of coal for February through June of 2013. (As of January 1, 2012, there were no hedging
instruments in effect.)

Depending on operating conditions, which are constantly being updated, these hedges may be
modified or may cover other commodities (see Note 18.3.a).

17.4. Liquidity risk

The Group maintains a liquidity risk management policy that consists of entering into long-term committed banking facilities
and temporary financial investments for amounts that cover the projected needs over a period of time that is determined based on the situation and expectations for debt and capital markets.

The projected needs mentioned above include maturities of financial debt, net of financial derivatives. For further details
regarding the features and conditions of financial obligations and financial derivatives, see Notes 16 and 18, and Appendix No. 4, respectively.



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##### Table of Contents

As of December 31, 2013, the Endesa Chile Group has cash and cash equivalent
totaling ThCh$323,807,379 and unconditionally available lines of long-term credit totaling ThCh$153,458,192. As of December 31, 2012, the Endesa Chile Group had ThCh$235,677,733 in cash and cash equivalents and ThCh$193,708,000 in
unconditionally available lines of long-term credit (ThCh$389,768,271 and ThCh$199,892,000 respectively, as of January 
1, 2012).

17.5. Credit risk

The Endesa Chile Group closely monitors its credit risk.

Trade receivables:

The credit risk for receivables from the Groups commercial activity has historically been very low, due to the short
term period of collections from customers, resulting in non-significant cumulative receivables amounts.

In some
countries, regulations allow the suspension of energy service to customers with outstanding payments, and most contracts have termination clauses for payment default. The Company monitors its credit risk on an ongoing basis and measures its maximum
exposure to payment default risk, which, as stated above, is very low.

Financial assets:

Cash surpluses are invested in the highest-rated local and foreign financial entities (with risk rating equivalent to
investment grade) with thresholds established for each entity.

Banks that have received investment grade ratings from the
three major international rating agencies (Moodys, S&P, and Fitch) are selected for making investments.

Investments may be backed with treasury bonds from the countries in which the company operates and/or with commercial papers
issued by the highest rated banks; the latter are preferred, as they offer higher returns (always in line with current investment policies).

Derivative instruments are entered into with entities with solid creditworthiness; all derivative transactions are performed
with entities with investment grade ratings.

17.6. Risk measurement:

The Endesa Chile Group measures the Value at Risk (VaR) of its debt positions and financial derivatives in order to monitor
the risk assumed by the Company, thereby reducing volatility in the income statement.

The portfolio of positions included
in calculating the current Value at Risk consists of the following:



| | - |  | Financial debt.
| | - |  | ---------------



| | - |  | Hedge derivatives for debt, dividends, and projects.
| | - |  | ----------------------------------------------------

The VaR determined represents the potential loss in value of the portfolio of positions described above in one day with a 95%
confidence level. To determine the VaR, we take into account the volatility of the risk variables affecting the value of the portfolio of positions including:



| | - |  | U.S. dollar Libor interest rate.
| | - |  | --------------------------------



| | - |  | The different currencies with which our companies operate and the customary local indices used in the banking industry.
| | - |  | -----------------------------------------------------------------------------------------------------------------------



| | - |  | The exchange rates of the various currencies used in the calculation.
| | - |  | ---------------------------------------------------------------------



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The calculation of VaR is based on generating possible future scenarios (at one
day) of market values (both spot and term) for the risk variables, using Bootstrapping simulations. The number of scenarios generated ensures compliance with the simulation convergence criteria. The table of volatilities and correlations between the
various risk variables calculated based on the historical values of the logarithmic price returns has been applied to simulate the future price scenario.

Once the price scenarios have been obtained, the fair value of the portfolio is calculated using such scenarios, thereby
obtaining a distribution of possible values at one day. The one-day 95%-confidence VaR number is calculated as the 5% percentile of the potential increases in the fair value of the portfolio in one day.

The various debt positions and financial derivatives included in the calculation have been valued consistently using the
financial capital calculation methodology reported to Management.

Taking into account the assumptions described above,
the VaR of the previously discussed positions, broken down by type of position, is shown in the following table:



|                    |                  |            |             |                  |  |  |             |  |  | 
|------------------- | ---------------- | ---------- | ----------- | ---------------- |  |  | ----------- |  |  | 
|Financial Positions |                  | Balance at |             |                  | 
|                    | 12-31-2013
ThCh$ |            |             | 12-31-2012
ThCh$ |  |  |            
|                    |                  |            |             |                  |  |  |             |  |  | 
|                    |                  |            |             |                  |  |  |             |  |  | 
|Interest rate       |                  |            | 8,035,082   |                  |  |  | 7,882,191   |  |  | 
|Exchange
rate       |                  |            | 2,205,128   |                  |  |  | 1,517,921   |  |  | 
|Correlation         |                  |            | (3,291,060) |                  |  |  | (2,552,715) |  |  | 
|                    |                  |            |             |                  |  |  |             |  |  | 
|                    |                  |            |             |                  |  |  |             |  |  | 
|Total               |                  |            | 6,949,150   |                  |  |  | 6,847,397   |  |  | 

The VaR positions have varied during the 2013 and 2012 fiscal years depending on the
start/maturity of operations throughout each year.



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##### Table of Contents

18.  FINANCIAL INSTRUMENTS

18.1 Financial instruments, classified by type and category



| | a) | The detail of financial assets, classified by type and category, as of December 31, 2013, December 31, 2012, and January 1,
2012 is as follows:
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------



December 31, 2013Financial assets heldfor trading
ThCh$


Financial assets at fairvalue with change in
profit or loss
ThCh$


Held-to-maturityinvestmentsThCh$


Loans andreceivablesThCh$


Available-for-salefinancial assetsThCh$


Financialderivatives forhedgingThCh$Equity
instruments


-



-



-



-



-



-Derivative
instruments


2,063,414



-



-



-



-



21,128,524Other financial assets


-



-



944,540



379,672,724



-



-Total Current


2,063,414



-



944,540



379,672,724



-



21,128,524Equity
instruments


-



-



-



-



4,043,782



-Derivative
instruments


-



-



-



-



-



16,507Other financial assets


-



-



-



131,597,410



-



-Total Non-current


-



-



-



131,597,410



4,043,782



16,507Total


2,063,414



-



944,540



511,270,134



4,043,782



21,145,031December 31, 2012Financial assets
held for trading
ThCh$


Financial assets at fairvalue with change in profitor loss
ThCh$


Held-to-maturityinvestmentsThCh$


Loans andreceivablesThCh$


Available-for-salefinancial assetsThCh$


Financialderivatives forhedgingThCh$Equity
instruments


-



-



-



-



-



-Derivative
instruments


-



-



-



-



-



51,876Other financial assets


-



25,067,909



-



293,171,202



-



-Total Current


-



25,067,909



-



293,171,202



-



51,876Equity
instruments


-



-



-



-



4,002,277



-Derivative
instruments


-



-



-



-



-



29,200,554Other financial assets


-



-



-



147,066,310



-



-Total Non-current


-



-



-



147,066,310



4,002,277



29,200,554Total


-



25,067,909



-



440,237,512



4,002,277



29,252,430January 1, 2012Financial assets
held for trading
ThCh$


Financial assets at fairvalue with change in profitor loss
ThCh$


Held-to-maturityinvestmentsThCh$


Loans andreceivablesThCh$


Available-for-salefinancial assetsThCh$


Financialderivatives forhedgingThCh$Equity
instruments


-



-



-



-



-



-Derivative
instruments


47,504



-



-



-



-



723,067Other financial assets


-



-



-



382,782,486



-



-Total Current


47,504



-



-



382,782,486



-



723,067Equity
instruments


-



-



-



-



3,945,407



-Derivative
instruments


-



-



-



-



-



9,385,907Other financial assets


-



-



-



151,769,908



-



-Total Non-current


-



-



-



151,769,908



3,945,407



9,385,907Total


47,504



-



-



534,552,394



3,945,407



10,108,974






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##### Table of Contents

| | b) | The detail of financial liabilities, classified by type and category, as of December 31, 2013, December 31, 2012, and
January 1, 2012 is as follows:
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------



|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|--------------------------- |  | --------------------------------------------- |  | ------------------------------------------------------------------------- |  | ------------------------- |  | ---------------------------------------
|                            |  | December 31, 2013                            
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|                            |  | Financial liabilities held  for trading
ThCh$ |  | Financial liabilities at fair  value with change in profit  or
loss ThCh$ |  | Loans and payables 
ThCh$ |  | Financial derivativesfor hedging
ThCh$ 
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | -                                                                         |  | 351,977,759               |  | -                                      
|Derivative instruments      |  | 164,983                                       |  | -                                                                         |  | -                         |  | 1,590,779                              
|Other financial liabilities |  | -                                             |  | -                                                                         |  | 727,665,171               |  | -                                      
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Current               |  | 164,983                                       |  | -                                                                         |  | 1,079,642,930             |  | 1,590,779                              
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | -                                                                         |  | 1,539,861,682             |  | -                                      
|Derivative instruments      |  | -                                             |  | -                                                                         |  | -                         |  | 900,927                                
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Non-current           |  | -                                             |  | -                                                                         |  | 1,539,861,682             |  | 900,927                                
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total                       |  | 164,983                                       |  | -                                                                         |  | 2,619,504,612             |  | 2,491,706                              
|                            |  |                                               |  |                                                                          
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|                            |  | December 31, 2012                            
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|                            |  | Financial liabilities held  for trading
ThCh$ |  | Financial liabilities at fair  value with change in profit
or loss
ThCh$  |  | Loans and payables
ThCh$  |  | Financial derivatives
for hedging
ThCh$
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | 2,022,260                                                                 |  | 403,457,687               |  | -                                      
|Derivative instruments      |  | -                                             |  | -                                                                         |  | -                         |  | 975,089                                
|Other financial liabilities |  | -                                             |  | -                                                                         |  | 536,376,308               |  | -                                      
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Current               |  | -                                             |  | 2,022,260                                                                 |  | 939,833,996               |  | 975,089                                
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | -                                                                         |  | 1,520,644,153             |  | -                                      
|Derivative instruments      |  | -                                             |  | -                                                                         |  | -                         |  | 5,007,665                              
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Non-current           |  | -                                             |  | -                                                                         |  | 1,520,644,153             |  | 5,007,665                              
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total                       |  | -                                             |  | 2,022,260                                                                 |  | 2,460,478,149             |  | 5,982,754                              
|                            |  |                                               |  |                                                                          
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|                            |  | January 1, 2012                              
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|                            |  | Financial liabilities held
for trading
ThCh$  |  | Financial liabilities at fair
value with change in profit
or loss
ThCh$   |  | Loans and payables
ThCh$  |  | Financial derivatives
for hedging
ThCh$
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | 3,929,271                                                                 |  | 286,879,674               |  | -                                      
|Derivative instruments      |  | 807,105                                       |  | -                                                                         |  | -                         |  | 184,042                                
|Other financial liabilities |  | -                                             |  | -                                                                         |  | 481,706,801               |  | -                                      
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Current               |  | 807,105                                       |  | 3,929,271                                                                 |  | 768,586,475               |  | 184,042                                
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Interest-bearing loans      |  | -                                             |  | -                                                                         |  | 1,712,294,737             |  | -                                      
|Derivative instruments      |  | -                                             |  | -                                                                         |  | -                         |  | 6,555,571                              
|Other financial liabilities |  | -                                             |  | -                                                                         |  | 9,243,595                 |  | -                                      
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total Non-current           |  | -                                             |  | -                                                                         |  | 1,721,538,332             |  | 6,555,571                              
|                            |  |                                               |  |                                                                           |  |                           |  |                                        
|Total                       |  | 807,105                                       |  | 3,929,271                                                                 |  | 2,490,124,807             |  | 6,739,613                              



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##### Table of Contents

18.2 Derivative instruments

The risk management policy of the Endesa Group uses primarily interest rate and foreign exchange rate derivatives to hedge its exposure to
interest rate and foreign currency risks.

The Company classifies its hedges as follows:



| | - |  | Cash flow hedges: Those that hedge the cash flows of the underlying hedged item.
| | - |  | --------------------------------------------------------------------------------



| | - |  | Fair value hedges: Those that hedge the fair value of the underlying hedged item.
| | - |  | ---------------------------------------------------------------------------------



| | - |  | Non-hedge derivatives: Financial derivatives that do not meet the requirements established by IFRS to be designated as hedge instruments are
recorded at fair value with changes in net income (assets held for trading).
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | a) | Assets and liabilities for hedge derivative instruments
| | -- | -------------------------------------------------------

As of
December 31, 2013, December 31, 2012, and January 1, 2012, financial derivative transactions qualifying as hedge instruments resulted in recognition of the following assets and liabilities in the statement of financial position:



|                     |  |                   |            |  |                    |  |        |                 |  |  |                   |  |  |               |         |  |                   |  |        |               |  |  |                   |  |  |               |         |  |                   |  |           |               |  |  |                    |  |  |  |           |  |  |  |         |  |  |          
|-------------------- |  | ----------------- | ---------- |  | ------------------ |  | ------ | --------------- |  |  | ----------------- |  |  | ------------- | ------- |  | ----------------- |  | ------ | ------------- |  |  | ----------------- |  |  | ------------- | ------- |  | ----------------- |  | --------- | ------------- |  |  | ------------------ |  |  |  | --------- |  |  |  | ------- |  |  | ---------
|                     |  | December 31, 2013 |            |  | December 31, 2012  |  |        | January 1, 2012
|                     |  | Asset             |            |  | Liability          |  |        | Asset           |  |  | Liability         |  |  | Asset         |         |  | Liability         |  |        |              
|                     |  | Current ThCh$     |            |  | Non- current
ThCh$ |  |        | Current ThCh$   |  |  | Non-current
ThCh$ |  |  | Current ThCh$ |         |  | Non-current
ThCh$ |  |        | Current ThCh$ |  |  | Non-current
ThCh$ |  |  | Current ThCh$ |         |  | Non-current
ThCh$ |  |           | Current ThCh$ |  |  | Non-
current
ThCh$
|Interest rate hedge: |  |                   | -          |  |                    |  | 6,692  |                 |  |  | 1,215,744         |  |  |               | 892,361 |  |                   |  | -      |               |  |  | -                 |  |  |               | 78,464  |  |                   |  | 4,586,456 |               |  |  | -                  |  |  |  | -         |  |  |  | 91,829  |  |  | 6,454,964
|Cash flow hedge      |  |                   | -          |  |                    |  | 6,692  |                 |  |  | 1,215,744         |  |  |               | 892,361 |  |                   |  | -      |               |  |  | -                 |  |  |               | 78,464  |  |                   |  | 4,586,456 |               |  |  | -                  |  |  |  | -         |  |  |  | 91,829  |  |  | 6,454,964
|Exchange rate hedge: |  |                   | 21,128,524 |  |                    |  | 9,815  |                 |  |  | 375,035           |  |  |               | 8,566   |  |                   |  | 51,876 |               |  |  | 29,200,554        |  |  |               | 896,625 |  |                   |  | 421,209   |               |  |  | 723,067            |  |  |  | 9,385,907 |  |  |  | 92,213  |  |  | 100,607  
|Cash flow hedge      |  |                   | 21,128,524 |  |                    |  | 9,815  |                 |  |  | 375,035           |  |  |               | 8,566   |  |                   |  | 51,876 |               |  |  | 29,200,554        |  |  |               | 896,625 |  |                   |  | 421,209   |               |  |  | 723,067            |  |  |  | 9,385,907 |  |  |  | 92,213  |  |  | 100,607  
|                     |  |                   |            |  |                    |  |        |                 |  |  |                   |  |  |               |         |  |                   |  |        |               |  |  |                   |  |  |               |         |  |                   |  |           |               |  |  |                    |  |  |  |           |  |  |  |         |  |  |          
|Total                |  |                   | 21,128,524 |  |                    |  | 16,507 |                 |  |  | 1,590,779         |  |  |               | 900,927 |  |                   |  | 51,876 |               |  |  | 29,200,554        |  |  |               | 975,089 |  |                   |  | 5,007,665 |               |  |  | 723,067            |  |  |  | 9,385,907 |  |  |  | 184,042 |  |  | 6,555,571





| | - |  | General information on hedge derivative instruments
| | - |  | ---------------------------------------------------

Hedge derivative instruments and their corresponding hedged instruments are shown in the following table:



|                            |  |                                 |  |                                  |  |                                         |             |  |                                      |  |             |                                      |  |  |                      |  |  |          
|--------------------------- |  | ------------------------------- |  | -------------------------------- |  | --------------------------------------- | ----------- |  | ------------------------------------ |  | ----------- | ------------------------------------ |  |  | -------------------- |  |  | ---------
|Detail of Hedge
Instruments |  | Description of Hedge
Instrument |  | Description of Hedged Instrument |  | Fair Value of    Hedged    
Instruments |             |  | Fair Value of   Hedged   Instruments |  |             | Fair Value of   Hedged   Instruments |  |  | Type of Risks Hedged
|                            |  |                                 |  |                                  |  | 12-31-2013
ThCh$                        |             |  | 12-31-2012   ThCh$                   |  |             | 01-01-2012   ThCh$                   |  |  |                     
|                            |  |                                 |  |                                  |  |                                         |             |  |                                      |  |             |                                      |  |  |                      |  |  |          
|SWAP                        |  | Interest rate                   |  | Bank borrowings                  |  |                                         | (2,108,105) |  |                                      |  | (4,664,920) |                                      |  |  | (6,546,793)          |  |  | Cash flow
|SWAP                        |  | Exchange rate                   |  | Unsecured obligations (bonds)    |  |                                         | 20,761,430  |  |                                      |  | 27,934,596  |                                      |  |  | 9,916,154            |  |  | Cash flow

For the years ended December 31, 2013, 2012, and 2011, the Group has not recognized
significant gains or losses for ineffective cash flow hedges.



| | b) | Financial derivative instrument assets and liabilities at fair value with changes in net income
| | -- | -----------------------------------------------------------------------------------------------

As of December 31, 2013, December 31, 2012, and January 1, 2012, financial derivative transactions
recorded at fair value with changes in net income, resulted in the recognition of the following assets and liabilities in the statement of financial position:



|                                   |  |                   |           |  |                   |  |         |                   |  |  |                   |  |  |               |   |  |               |  |   |                   |  |  |                   |  |  |               |   |  |               |  |   |                   |  |  |                    |  |  |  |         |  |  |  |   |  |  |  |   | 
|---------------------------------- |  | ----------------- | --------- |  | ----------------- |  | ------- | ----------------- |  |  | ----------------- |  |  | ------------- | - |  | ------------- |  | - | ----------------- |  |  | ----------------- |  |  | ------------- | - |  | ------------- |  | - | ----------------- |  |  | ------------------ |  |  |  | ------- |  |  |  | - |  |  |  | - | 
|                                   |  | December 31, 2013 |           |  | December 31, 2012 |  |         | January 1, 2012   | 
|                                   |  | Assets            |           |  | Liabilities       |  |         | Assets            |  |  | Liabilities       |  |  | Assets        |   |  | Liabilities   |  |   | Assets            |  |  | Liabilities       |  |  | Assets        |   |  | Liabilities   |  |   | Assets            |  |  | Liabilities        | 
|                                   |  | Current
ThCh$     |           |  | Current
ThCh$     |  |         | Non-current
ThCh$ |  |  | Non-current
ThCh$ |  |  | Current
ThCh$ |   |  | Current
ThCh$ |  |   | Non-current
ThCh$ |  |  | Non-current
ThCh$ |  |  | Current
ThCh$ |   |  | Current
ThCh$ |  |   | Non-current
ThCh$ |  |  | Non- current
ThCh$ | 
|                                   |  |                   |           |  |                   |  |         |                   |  |  |                   |  |  |               |   |  |               |  |   |                   |  |  |                   |  |  |               |   |  |               |  |   |                   |  |  |                    |  |  |  |         |  |  |  |   |  |  |  |   | 
|Non-hedging derivative instruments |  |                   | 2,063,414 |  |                   |  | 164,983 |                   |  |  | -                 |  |  |               | - |  |               |  | - |                   |  |  | -                 |  |  |               | - |  |               |  | - |                   |  |  | 47,504             |  |  |  | 807,105 |  |  |  | - |  |  |  | - | 



F-82



---

##### Table of Contents

| | c) | Other information on derivatives
| | -- | --------------------------------

The following tables present the fair
value of hedging and non-hedging derivatives entered into by the Group as well as the remaining contractual maturities as of December 31, 2013, December 31, 2012, and January 1, 2012:



|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|----------------------------------------------- | ---------------- | ----------------- | ------------------------- | ------------------------ | ----------- | --------------- | --------------- | --------------- | --------------- |  | ---------------- | --------------- | ---------------- | --------------- | ----------------------- | ------------------------- |  | ----------- | ----------- |  |  | -----------
|                                                |                  | December 31, 2013
|                                                |                  |                   |                           | Notional value          
|Financial Derivatives                           |                  | Fair value
ThCh$  |                           | Less than one
year
ThCh$ |             |                 | 1-2 years
ThCh$ |                 | 2-3 years
ThCh$ |  |                  | 3-4 years
ThCh$ |                  | 4-5 years
ThCh$ |                         | More than 5   years
ThCh$ |  |             | Total
ThCh$
|Interest rate hedge:                            |                  | (2,101,413)       |                           |                          | 110,136,027 |                 |                 | 6,659,398       |                 |  | 6,659,398        |                 |                  | 9,766,945       |                         | -                         |  |             | -           |  |  | 133,221,768
|Cash flow hedge                                 |                  | (2,101,413)       |                           |                          | 110,136,027 |                 |                 | 6,659,398       |                 |  | 6,659,398        |                 |                  | 9,766,945       |                         | -                         |  |             | -           |  |  | 133,221,768
|Exchange rate hedge:                            |                  | 20,754,738        |                           |                          | 229,800,552 |                 |                 | 1,041,243       |                 |  | -                |                 |                  | -               |                         | -                         |  |             | -           |  |  | 230,841,795
|Cash flow hedge                                 |                  | 20,754,738        |                           |                          | 229,800,552 |                 |                 | 1,041,243       |                 |  | -                |                 |                  | -               |                         | -                         |  |             | -           |  |  | 230,841,795
|Derivatives not designated for hedge accounting |                  | 1,898,431         |                           |                          | 128,427,671 |                 |                 | -               |                 |  | -                |                 |                  | -               |                         | -                         |  |             | -           |  |  | 128,427,671
|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|Total                                           |                  | 20,551,756        |                           |                          | 468,364,250 |                 |                 | 7,700,641       |                 |  | 6,659,398        |                 |                  | 9,766,945       |                         | -                         |  |             | -           |  |  | 492,491,234
|                                                |                  |                   |                           |                          |             |                 |                 |                
|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|Financial Derivatives                           |                  | December 31, 2012
|                                                |                  |                   | Notional value           
|                                                | Fair value
ThCh$ |                   | Less
than one  year ThCh$ |                          |             | 1-2 years
ThCh$ |                 | 2-3
years ThCh$ |                 |  | 3-4 years  ThCh$ |                 | 4-5 years  ThCh$ |                 | More than 5
years
ThCh$ |                           |  | Total
ThCh$
|Interest rate hedge:                            |                  | (4,664,920)       |                           |                          | 5,298,212   |                 |                 | 100,762,256     |                 |  | 6,092,611        |                 |                  | 6,092,611       |                         | 8,935,672                 |  |             | -           |  |  | 127,181,363
|Cash flow hedge                                 |                  | (4,664,920)       |                           |                          | 5,298,212   |                 |                 | 100,762,256     |                 |  | 6,092,611        |                 |                  | 6,092,611       |                         | 8,935,672                 |  |             | -           |  |  | 127,181,363
|Exchange rate hedge:                            |                  | 27,934,596        |                           |                          | 9,407,392   |                 |                 | 198,183,568     |                 |  | 65,598           |                 |                  | -               |                         | -                         |  |             | -           |  |  | 207,656,557
|Cash flow hedge                                 |                  | 27,934,596        |                           |                          | 9,407,392   |                 |                 | 198,183,568     |                 |  | 65,598           |                 |                  | -               |                         | -                         |  |             | -           |  |  | 207,656,557
|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|Total                                           |                  | 23,269,676        |                           |                          | 14,705,604  |                 |                 | 298,945,824     |                 |  | 6,158,209        |                 |                  | 6,092,611       |                         | 8,935,672                 |  |             | -           |  |  | 334,837,920
|                                                |                  |                   |                           |                          |             |                 |                 |                
|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|Financial Derivatives                           |                  | January 1, 2012  
|                                                |                  |                   | Notional value           
|                                                | Fair value       |                   | Less than one  year       |                          |             | 1-2 years       |                 | 2-3 years       |                 |  | 3-4 years        |                 | 4-5 years        |                 | More than 5   years     |                           |  | Total      
|                                                | ThCh$            |                   | ThCh$                     |                          |             | ThCh$           |                 | ThCh$           |                 |  | ThCh$            |                 | ThCh$            |                 | ThCh$                   |                           |  | ThCh$      
|Interest rate hedge:                            |                  | (6,546,793)       |                           |                          | 9,479,132   |                 |                 | 5,731,377       |                 |  | 107,702,257      |                 |                  | 5,292,723       |                         | 5,292,723                 |  |             | 8,368,224   |  |  | 141,866,438
|Cash flow hedge                                 |                  | (6,546,793)       |                           |                          | 9,479,132   |                 |                 | 5,731,377       |                 |  | 107,702,257      |                 |                  | 5,292,723       |                         | 5,292,723                 |  |             | 8,368,224   |  |  | 141,866,438
|Exchange rate hedge:                            |                  | 9,916,154         |                           |                          | -           |                 |                 | -               |                 |  | 209,977,060      |                 |                  | -               |                         | -                         |  |             | -           |  |  | 209,977,060
|Cash flow hedge                                 |                  | 9,916,154         |                           |                          | -           |                 |                 | -               |                 |  | 209,977,060      |                 |                  | -               |                         | -                         |  |             | -           |  |  | 209,977,060
|Derivatives not designated for hedge accounting |                  | (759,601)         |                           |                          | 17,569,294  |                 |                 | -               |                 |  | -                |                 |                  | -               |                         | -                         |  |             | -           |  |  | 17,569,294 
|                                                |                  |                   |                           |                          |             |                 |                 |                 |                 |  |                  |                 |                  |                 |                         |                           |  |             |             |  |  |            
|Total                                           |                  | 2,609,760         |                           |                          | 27,048,426  |                 |                 | 5,731,377       |                 |  | 317,679,317      |                 |                  | 5,292,723       |                         | 5,292,723                 |  |             | 8,368,224   |  |  | 369,412,792

The hedging and non-hedging derivatives contractual maturities do not represent the
Groups total risk exposure, as the amounts presented in the above tables have been drawn up based on undiscounted contractual cash inflows and outflows for their settlement.



F-83



---

##### Table of Contents

18.3 Fair value hierarchies



| | a) | Financial instruments recognized at fair value in the consolidated statement of financial position are classified based on the hierarchies
described in Note 3.f.5.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------

The following table presents financial assets and liabilities measured at fair
value as of December 31, 2013, December 31, 2012, and January 1, 2012:



|                                                             |  |                                                        |  |               |  |               |  |              
|------------------------------------------------------------ |  | ------------------------------------------------------ |  | ------------- |  | ------------- |  | -------------
|Financial Instruments Measured at Fair Value                 |  | Fair Value Measured at End of Reporting Period 
Using:
|                                                             |  |                                                        |  |               |  |               |  |              
|                                                             |  | 12-31-2013
ThCh$                                       |  | Level 1
ThCh$ |  | Level 2
ThCh$ |  | Level 3
ThCh$
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Assets                                             |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 21,145,031                                             |  | -             |  | 21,145,031    |  | -            
|Financial derivatives not designated for hedge
accounting    |  | 2,063,414                                              |  | -             |  | 2,063,414     |  | -            
|Commodity derivatives designated as cash flow
hedge          |  | 129,780                                                |  | -             |  | 129,780       |  | -            
|Financial assets at fair value with change in
profit or loss |  | -                                                      |  | -             |  | -             |  | -            
|Available-for-sale financial assets, non-current             |  | 6,468                                                  |  | 6,468         |  | -             |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 23,344,693                                             |  | 6,468         |  | 23,338,225    |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Liabilities                                        |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 2,491,706                                              |  | -             |  | 2,491,706     |  | -            
|Financial derivatives not designated for hedge
accounting    |  | 164,983                                                |  | -             |  | 164,983       |  | -            
|Other short-term financial liabilities                       |  | -                                                      |  | -             |  | -             |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 2,656,689                                              |  | -             |  | 2,656,689     |  | -            



|                                                             |  |                                                        |  |               |  |               |  |              
|------------------------------------------------------------ |  | ------------------------------------------------------ |  | ------------- |  | ------------- |  | -------------
|Financial Instruments Measured at Fair Value                 |  | Fair Value Measured at End of Reporting Period 
Using:
|                                                             |  |                                                        |  |               |  |               |  |              
|                                                             |  |                                                        |  |               |  |               |  |              
|                                                             |  | 12-31-2012
ThCh$                                       |  | Level 1
ThCh$ |  | Level
2 ThCh$ |  | Level 3
ThCh$
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Assets                                             |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 29,252,430                                             |  | -             |  | 29,252,430    |  | -            
|Commodity derivatives designated as cash flow
hedge          |  | 784,741                                                |  | -             |  | 784,741       |  | -            
|Financial assets at fair value with change in
profit or loss |  | 25,067,909                                             |  | 25,067,909    |  | -             |  | -            
|Available-for-sale financial assets,
non-current             |  | 6,358                                                  |  | 6,358         |  | -             |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 55,111,438                                             |  | 25,074,267    |  | 30,037,171    |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Liabilities                                        |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 5,982,754                                              |  | -             |  | 5,982,754     |  | -            
|Commodity derivatives designated as cash flow
hedge          |  | 32,200                                                 |  | -             |  | 32,200        |  | -            
|Other short-term financial liabilities                       |  | 2,022,260                                              |  | -             |  | -             |  | 2,022,260    
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 8,037,214                                              |  | -             |  | 6,014,954     |  | 2,022,260    
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Instruments Measured at Fair Value                 |  | Fair Value Measured at End of Reporting Period 
Using:
|                                                             |  |                                                        |  |               |  |               |  |              
|                                                             |  |                                                        |  |               |  |               |  |              
|                                                             |  | 01-01-2012
ThCh$                                       |  | Level 1
ThCh$ |  | Level
2 ThCh$ |  | Level 3
ThCh$
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Assets                                             |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 10,108,974                                             |  | -             |  | 10,108,974    |  | -            
|Financial derivatives not designated for hedge
accounting    |  | 47,504                                                 |  | -             |  | 47,504        |  | -            
|Commodity derivatives designated as cash flow
hedge          |  | 3,338                                                  |  | -             |  | 3,338         |  | -            
|Financial assets at fair value with change in
profit or loss |  | 61,676                                                 |  | 61,676        |  | -             |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 10,221,492                                             |  | 61,676        |  | 10,159,816    |  | -            
|                                                             |  |                                                        |  |               |  |               |  |              
|Financial Liabilities                                        |  |                                                        |  |               |  |               |  |              
|Financial derivatives designated as cash flow
hedge          |  | 6,739,613                                              |  | -             |  | 6,739,613     |  | -            
|Financial derivatives not designated for hedge
accounting    |  | 807,105                                                |  | -             |  | 807,105       |  | -            
|Other short-term financial liabilities                       |  | 3,929,271                                              |  | -             |  | -             |  | 3,929,271    
|                                                             |  |                                                        |  |               |  |               |  |              
|Total                                                        |  | 11,475,989                                             |  | -             |  | 7,546,718     |  | 3,929,271    



F-84



---

##### Table of Contents

| | b) | The following is the reconciliation between opening and closing balances for financial instruments whose fair value is classified at level 3:
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------



|                                                    |  |       |             | 
|--------------------------------------------------- |  | ----- | ----------- | 
|Non-current Interest-bearing borrowings             |  | ThCh$ |            
|                                                   
|                                                    | 
|Balance at
January 1, 2012                          |  |       | 3,929,271   | 
|Total profit
recognized in financial profit or loss |  |       | (1,907,011) | 
|                                                   
|                                                    | 
|Balance at
December 31, 2012                        |  |       | 2,022,260   | 
|Total profit
recognized in financial profit or loss |  |       | (2,022,260) | 
|                                                   
|                                                    | 
|Balance at
December 31, 2013                        |  |       | -           | 

The fair value of Level 3 has been calculated by applying a traditional discounted cash flow
method. These projected cash flows include assumptions from within the company that are primarily based on estimates for prices and levels of energy production and firm capacity, as well as the costs of operating and maintaining some of our plants.

None of the possible reasonable scenarios foreseeable in the assumptions mentioned in the above paragraph would result in
a significant change in the fair value of the financial instruments included at this level.



19. TRADE AND OTHER PAYABLES

The detail of trade and other payables as of December 31, 2013, December 31, 2012, and January 1, 2012 is
as follows:



|                         |  |                     |             |  |                     |  |             |                     |  |  |                     |  |  |                     |   |  |                   |  |   |  |  |  |   | 
|------------------------ |  | ------------------- | ----------- |  | ------------------- |  | ----------- | ------------------- |  |  | ------------------- |  |  | ------------------- | - |  | ----------------- |  | - |  |  |  | - | 
|                         |  | Current             |             |  | Non-current         | 
|Trade and Other Payables |  | 12-31-2013    ThCh$ |             |  | 12-31-2012    ThCh$ |  |             | 01-01-2012    ThCh$ |  |  | 12-31-2013    ThCh$ |  |  | 12-31-2012    ThCh$ |   |  | 01-01-2012  ThCh$ | 
|                        
|                         | 
|Trade payables           |  |                     | 97,750,747  |  |                     |  | 116,926,554 |                     |  |  | 105,485,376         |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Other payables           |  |                     | 317,000,260 |  |                     |  | 203,532,834 |                     |  |  | 236,265,713         |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|                        
|                         | 
|Total                    |  |                     | 414,751,007 |  |                     |  | 320,459,388 |                     |  |  | 341,751,089         |  |  |                     | - |  |                   |  | - |  |  |  | - | 

The detail of trade accounts and other payables as of December 31,
2013, December 31, 2012, and January 1, 2012 is as follows:



|                                               |  |                     |             |  |                     |  |             |                     |  |  |                     |  |  |                     |   |  |                   |  |   |  |  |  |   | 
|---------------------------------------------- |  | ------------------- | ----------- |  | ------------------- |  | ----------- | ------------------- |  |  | ------------------- |  |  | ------------------- | - |  | ----------------- |  | - |  |  |  | - | 
|                                               |  | Current             |             |  | Non-current         | 
|Trade and Other Payables                       |  | 12-31-2013    ThCh$ |             |  | 12-31-2012    ThCh$ |  |             | 01-01-2012    ThCh$ |  |  | 12-31-2013    ThCh$ |  |  | 12-31-2012    ThCh$ |   |  | 01-01-2012  ThCh$ | 
|                                              
|                                               | 
|Energy suppliers                               |  |                     | 74,733,982  |  |                     |  | 80,843,934  |                     |  |  | 71,605,183          |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Fuel and gas suppliers                         |  |                     | 23,016,765  |  |                     |  | 36,082,620  |                     |  |  | 33,880,193          |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Payables for goods and services                |  |                     | 188,337,203 |  |                     |  | 115,291,665 |                     |  |  | 154,619,693         |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Dividends payable to non-controlling interests |  |                     | 73,127,481  |  |                     |  | 54,969,011  |                     |  |  | 39,053,184          |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Mitsubishi contract (LTSA)                     |  |                     | 24,837,227  |  |                     |  | 16,988,406  |                     |  |  | 11,514,861          |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|Other payables                                 |  |                     | 30,698,349  |  |                     |  | 16,283,752  |                     |  |  | 31,077,975          |  |  |                     | - |  |                   |  | - |  |  |  | - | 
|                                              
|                                               | 
|Total                                          |  |                     | 414,751,007 |  |                     |  | 320,459,388 |                     |  |  | 341,751,089         |  |  |                     | - |  |                   |  | - |  |  |  | - | 

See Note 17.4 for the description of the liquidity risk management policy.



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20.  OTHER PROVISIONS

20.1 Provisions



| | a) | The detail of provisions as of December 31, 2013, December 31, 2012, and January 1, 2012 is as follows:
| | -- | -------------------------------------------------------------------------------------------------------



|                                                          |                 |         |            |                 |             |  |                 |  |  |                 |            |  |                 |  |            |                 |  |  |            |  |  |           
|--------------------------------------------------------- | --------------- | ------- | ---------- | --------------- | ----------- |  | --------------- |  |  | --------------- | ---------- |  | --------------- |  | ---------- | --------------- |  |  | ---------- |  |  | ----------
|Provisions                                                |                 | Current |            |                 | Non-current
|                                                          | 12-31-2013ThCh$ |         |            | 12-31-2012ThCh$ |             |  | 01-01-2012ThCh$ |  |  | 12-31-2013ThCh$ |            |  | 12-31-2012ThCh$ |  |            | 01-01-2012ThCh$
|                                                          |                 |         |            |                 |             |  |                 |  |  |                 |            |  |                 |  |            |                 |  |  |            |  |  |           
|                                                          |                 |         |            |                 |             |  |                 |  |  |                 |            |  |                 |  |            |                 |  |  |            |  |  |           
|Provision for legal proceedings                           |                 |         | 9,025,839  |                 |             |  | 5,260,129       |  |  |                 | 11,249,455 |  |                 |  | 738,840    |                 |  |  | 316,755    |  |  | 316,576   
|Decommissioning, restoration and rehabilitation costs (*) |                 |         | -          |                 |             |  | -               |  |  |                 | -          |  |                 |  | 20,267,967 |                 |  |  | 19,176,517 |  |  | 11,677,786
|Provision for suppliers and services                      |                 |         | 1,798,849  |                 |             |  | 1,103,908       |  |  |                 | 1,897,986  |  |                 |  | -          |                 |  |  | -          |  |  | -         
|Provision for employee benefits                           |                 |         | 15,637,256 |                 |             |  | 11,696,458      |  |  |                 | 8,830,366  |  |                 |  | -          |                 |  |  | 100,707    |  |  | 65,221    
|Other                                                     |                 |         | 18,222,721 |                 |             |  | 20,364,337      |  |  |                 | 14,370,123 |  |                 |  | -          |                 |  |  | -          |  |  | 242,056   
|                                                          |                 |         |            |                 |             |  |                 |  |  |                 |            |  |                 |  |            |                 |  |  |            |  |  |           
|                                                          |                 |         |            |                 |             |  |                 |  |  |                 |            |  |                 |  |            |                 |  |  |            |  |  |           
|Total                                                     |                 |         | 44,684,665 |                 |             |  | 38,424,832      |  |  |                 | 36,347,930 |  |                 |  | 21,006,807 |                 |  |  | 19,593,979 |  |  | 12,301,639

(*) See Note 3a.



| | b) | Changes in provisions as of December 31, 2013, December 31, 2012, and January 1, 2012 are as follows:
| | -- | -----------------------------------------------------------------------------------------------------



|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|------------------------------------------ | ----- | ---------------- | ------------ | ----- | --------------------------------------------------- |  | ---------- | ---------------- |  | ----- | ------------ |  |  | ------------
|Changes in Provisions                      |       | LegalProceedings |              |       | Decommissioning,Restoration andRehabilitation Costs |  |            | Other Provisions |  |       | Total       
|                                           | ThCh$ |                  |              | ThCh$ |                                                     |  | ThCh$      |                  |  | ThCh$
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Opening balance at January 1, 2013         |       |                  | 5,576,884    |       |                                                     |  | 19,176,517 |                  |  |       | 33,265,410   |  |  | 58,018,811  
|Increase (decrease) in existing provisions |       |                  | 5,455,657    |       |                                                     |  | -          |                  |  |       | 9,297,563    |  |  | 14,753,220  
|Provision used                             |       |                  | (168,092)    |       |                                                     |  | -          |                  |  |       | (7,000,661)  |  |  | (7,168,753) 
|Adjustment for inflation                   |       |                  | -            |       |                                                     |  | 1,085,205  |                  |  |       | 54,712       |  |  | 1,139,917   
|Foreign currency translation               |       |                  | (425,371)    |       |                                                     |  | 6,245      |                  |  |       | 99,135       |  |  | (319,991)   
|Other increase (decrease)                  |       |                  | (674,399)    |       |                                                     |  | -          |                  |  |       | (57,333)     |  |  | (731,732)   
|Total Changes in Provisions                |       |                  | 4,187,795    |       |                                                     |  | 1,091,450  |                  |  |       | 2,393,416    |  |  | 7,672,661   
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Closing Balance al December 31, 2013       |       |                  | 9,764,679    |       |                                                     |  | 20,267,967 |                  |  |       | 35,658,826   |  |  | 65,691,472  
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Changes in Provisions                      |       | LegalProceedings |              |       | Decommissioning,Resoration andRehabilitation costs  |  |            | Other Provisions |  |       | Total       
|                                           | ThCh$ |                  |              | ThCh$ |                                                     |  | ThCh$      |                  |  | ThCh$
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Opening balance at January 1, 2012         |       |                  | 11,566,031   |       |                                                     |  | 11,677,786 |                  |  |       | 25,405,752   |  |  | 48,649,569  
|Changes in provisions                      |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Additional provisions                      |       |                  | -            |       |                                                     |  | 6,885,645  |                  |  |       | -            |  |  | 6,885,645   
|Increase (decrease) in existing provisions |       |                  | 3,524,703    |       |                                                     |  | -          |                  |  |       | 4,383,278    |  |  | 7,907,981   
|Provision used                             |       |                  | (10,754,424) |       |                                                     |  | -          |                  |  |       | (10,376,890) |  |  | (21,131,314)
|Adjustment for inflation                   |       |                  | 8,479,603    |       |                                                     |  | 422,542    |                  |  |       | 54,949       |  |  | 8,957,094   
|Foreign currency translation               |       |                  | (517,535)    |       |                                                     |  | 190,544    |                  |  |       | (359,475)    |  |  | (686,466)   
|Other increase (decrease)                  |       |                  | (6,721,494)  |       |                                                     |  | -          |                  |  |       | 14,157,796   |  |  | 7,436,302   
|Total Changes in Provisions                |       |                  | (5,989,147)  |       |                                                     |  | 7,498,731  |                  |  |       | 7,859,658    |  |  | 9,369,242   
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|                                           |       |                  |              |       |                                                     |  |            |                  |  |       |              |  |  |             
|Closing Balance al December 31, 2012       |       |                  | 5,576,884    |       |                                                     |  | 19,176,517 |                  |  |       | 33,265,410   |  |  | 58,018,811  



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21.  EMPLOYEE BENEFIT OBLIGATIONS

21.1 General information

Endesa Chile and certain of its subsidiaries in Chile, Colombia, and Argentina provide various post-employment benefits for
all or some of its active or retired employees. These benefits are calculated and recorded in the financial statements according to the criteria described in Note 3.j.1, and include primarily the following:



| | - |  | Defined benefit plans
| | - |  | ---------------------

Complementary pension: The beneficiary is entitled to receive a monthly amount that supplements the pension obtained
from the respective social security system.

Employee severance indemnities: The beneficiary receives a certain
number of contractual salaries upon retirement. Such benefit is subject to a vesting minimum service requirement period, which depending on the company, varies within a range from 5 to 15 years.

Electricity: The beneficiary receives a monthly bonus to cover a portion of his/her billed residential electricity
consumption.

Health benefit: The beneficiary receives health coverage in addition to that to which s/he is
entitled under his/her social security regime.



| | - |  | Other benefits:
| | - |  | ---------------

Five-year benefits: A benefit certain employees receive after 5 years; begins to accrue from the second year onwards.

Unemployment: A benefit paid regardless of whether the employee is fired or leaves voluntarily. This benefit
accrues on a daily basis and is paid at the time of contract termination (although the law allows for partial withdrawals for housing and education).

Seniority bonuses in Peru: There is an agreement to give workers (subject to the collective agreement) an
extraordinary bonus for years of service upon completion of the equivalent of five years of actual work. This benefit is given according to the following scale:



|                               |  |   |  |                             
|------------------------------ |  | - |  | ----------------------------
|After 5, 10, and 15 years      |  |  |  | 1 basic monthly salary      
|After 20 years                 |  |  |  | 1 1⁄2 basic monthly salaries
|After 25, 30, 35, and 40 years |  |  |  | 2 1⁄2 basic monthly salaries



| | - |  | Defined contribution benefits:
| | - |  | ------------------------------

The Group makes contributions to a retirement benefit plan where the beneficiary receives additional pension supplements upon
his/her retirement, disability, or death.



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21.2 Details, changes, and presentation in financial statements



| | a) | The post-employment obligations associated with the defined benefits plan as of December 31, 2013, December 31, 2012, and
January 1, 2012 are detailed as follows:
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------



|                            |  |                   |            |  |                   |  |            |                   |  |  |            |  |  | 
|--------------------------- |  | ----------------- | ---------- |  | ----------------- |  | ---------- | ----------------- |  |  | ---------- |  |  | 
|                            |  | 12-31-2013 
ThCh$ |            |  | 12-31-2012 
ThCh$ |  |            | 01-01-2012 
ThCh$ |  |  |           
|                            |  |                   |            |  |                   |  |            |                   |  |  |            |  |  | 
|                            |  |                   |            |  |                   |  |            |                   |  |  |            |  |  | 
|Post-employment obligations |  |                   | 40,868,802 |  |                   |  | 39,672,411 |                   |  |  | 36,041,426 |  |  | 
|Total                       |  |                   | 40,868,802 |  |                   |  | 39,672,411 |                   |  |  | 36,041,426 |  |  | 
|                            |  |                   |            |  |                   |  |            |                   |  |  |            |  |  | 
|                            |  |                   |            |  |                   |  |            |                   |  |  |            |  |  | 
|Non-current portion         |  |                   | 40,868,802 |  |                   |  | 39,672,411 |                   |  |  | 36,041,426 |  |  | 



| | b) | The balance and changes in post-employment defined benefit obligations during the 2013 and 2012 fiscal years are as follows:
| | -- | ----------------------------------------------------------------------------------------------------------------------------



|                                                               |  |            
|-------------------------------------------------------------- |  | -----------
|Net Actuarial Liabilities                                      |  | ThCh$      
|                                                               |  |            
|                                                               |  |            
|Opening Balance at January 1, 2012                             |  | 36,041,426 
|Service cost during the period                                 |  | 1,158,442  
|Net interest cost                                              |  | 2,675,565  
|Actuarial (gains) losses from changes in financial assumptions |  | 1,442,421  
|Actuarial (gains) losses from changes in seniority adjustments |  | 2,912,635  
|Foreign currency translation differences                       |  | (224,096)  
|Contributions paid during the period                           |  | (4,334,212)
|Personnel transfer                                             |  | 230        
|                                                               |  |            
|Balance at December 31, 2012                                   |  | 39,672,411 
|                                                               |  |            
|                                                               |  |            
|Service cost during the period                                 |  | 1,252,990  
|Net interest cost                                              |  | 2,546,022  
|Actuarial (gains) losses from changes in financial assumptions |  | 995,219    
|Actuarial (gains) losses from changes in seniority adjustments |  | 2,623,204  
|Foreign currency translation differences                       |  | (502,403)  
|Contributions paid during the period                           |  | (5,471,428)
|Personnel transfer                                             |  | (247,213)  
|                                                               |  |            
|                                                               |  |            
|Balance at December 31, 2013                                   |  | 40,868,802 

As of December 31, 2013, of the total amount of post-employment benefit obligations,
37.77% is from defined benefit plans in Chilean companies (36.70% at December 31, 2012); 52.65% is from defined benefit plans provided by our subsidiary Emgesa in Colombia (55.60% at December 31, 2012), 8.02% is from defined benefit plans
in the EASA Group in Argentina (6.06% at December 31, 2012), and 1.56% from defined benefit plans granted by Edegel in Peru (1.70% at December 31, 2012).

Group companies make no contributions to funds for financing the payment of these benefits (unfunded).



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| | c) | The following amounts were recognized in the consolidated statement of comprehensive income as of December 31, 2013, 2012, and 2011:
| | -- | ------------------------------------------------------------------------------------------------------------------------------------



|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|------------------------------------------------ |  | ----------------- | --------- |  | ----------------- |  | --------- | ----------------- |  |  | --------- |  |  | 
|Expense Recognized in Profit or Loss             |  | 12-31-2013 
ThCh$ |           |  | 12-31-2012 
ThCh$ |  |           | 12-31-2011 
ThCh$ |  |  |          
|Current service cost for defined benefits plan   |  |                   | 1,252,990 |  |                   |  | 1,158,442 |                   |  |  | 2,195,700 |  |  | 
|Interest cost for defined benefits plan          |  |                   | 2,546,022 |  |                   |  | 2,675,565 |                   |  |  | 2,544,632 |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|Expenses recognized in Profit or Loss            |  |                   | 3,799,012 |  |                   |  | 3,834,007 |                   |  |  | 4,740,332 |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|Net actuarial (gains) losses                     |  |                   | 3,618,423 |  |                   |  | 4,355,056 |                   |  |  | 3,275,638 |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|                                                 |  |                   |           |  |                   |  |           |                   |  |  |           |  |  | 
|Total expense recognized in Comprehensive Income |  |                   | 7,417,435 |  |                   |  | 8,189,063 |                   |  |  | 8,015,970 |  |  | 

21.3 Other disclosures

Actuarial assumptions:

As of December 31, 2013 and 2012 the following assumptions were used in the actuarial calculation of defined benefits:



|                                  |  |            |  |            |  |                                               |  |                                               |  |            |  |            |  |            |  |           
|--------------------------------- |  | ---------- |  | ---------- |  | --------------------------------------------- |  | --------------------------------------------- |  | ---------- |  | ---------- |  | ---------- |  | ----------
|                                  |  | Chile      |  | Colombia   |  | Argentina                                     |  | Peru                                         
|                                  |  | 31-12-2013 |  | 31-12-2012 |  | 31-12-2013                                    |  | 31-12-2012                                    |  | 31-12-2013 |  | 31-12-2012 |  | 31-12-2013 |  | 31-12-2012
|                                  |  |            |  |            |  |                                               |  |                                               |  |            |  |            |  |            |  |           
|                                  |  |            |  |            |  |                                               |  |                                               |  |            |  |            |  |            |  |           
|Discount rates used               |  | 5.4%       |  | 6.0%       |  | 7.25%                                         |  | 8.00%                                         |  | 5.50%      |  | 5.50%      |  | 6.80%      |  | 5.55%     
|Expected rate of salary increases |  | 3.0%       |  | 3.0%       |  | 4.00%                                         |  | 3.5% - 4.0% - 
4.5%                           |  | 0.00%      |  | 0.00%      |  | 3.00%      |  | 3.00%     
|Mortality tables                  |  | RV 2004    |  | RV 2004    |  | Tabla Colombiana  de MortalidadRentistas RV08 |  | Tabla Colombiana de  Mortalidad RentistasRV08 |  | RV 2004    |  | RV 2004    |  | RV 2004    |  | RV 2004   

Sensitivity:

As of December 31, 2013, the sensitivity of the value of the actuarial liability for post-employment benefits to
variations of 100 basis points in the discount rate assumes a decrease of ThCh$2,961,820 (ThCh$3,052,186 and ThCh$2,478,385 as of December 31, 2012 and December 31, 2011) if the rate rises and an increase of ThCh$3,508,902 (ThCh$3,608,126
and ThCh$2,918,346 as of December 31, 2012 and December 31, 2011) if the rate falls.

Defined contributions:

The total expense recognized in the consolidated statement of comprehensive income within line item Employee
expenses represents contributions payables to the defined contribution plans by the Group. For the year ended December 31, 2013, the amounts recognized in Edegel as expenses were ThCh$425,242 (ThCh$369,442 and ThCh$325,015 for the years
ended December 31, 2012 and 2011, respectively).

Future disbursements:

The estimates available indicate that ThCh$6,829,614 will be disbursed for defined benefit plans in the coming year.



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Length of commitments:

The Endesa Groups obligations have a weighted average length of 14.7 years, and the flow for benefits for the next 5
years and more is expected to be as follows:



|            |  |           
|----------- |  | ----------
|Years       |  | ThCh$     
|            |  |           
|1           |  | 6,829,614 
|2           |  | 5,189,672 
|3           |  | 5,446,147 
|4           |  | 4,988,618 
|5           |  | 5,005,763 
|More than 5 |  | 31,192,615



|22.  TOTAL | EQUITY
|---------- | ------

22.1 Equity attributable to the
shareholders of Endesa Chile

22.1.1    Subscribed and paid capital
and number of shares

Endesa Chiles share capital as of December 31, 2013 and 2012 is ThCh$1,331,714,085,
divided into 8,201,754,580 fully subscribed and paid no par value shares listed at the Bolsa de Comercio de Santiago de Chile, Bolsa Electrónica de Chile, Bolsa de Valores de Valparaíso, New York Stock Exchange (NYSE), and Bolsa de
Valores Latinoamericanos de la Bolsa de Madrid (LATIBEX), There has been no change in the number of shares during the years 2013 and 2012.

Capital contributions made in 1986 and 1994 resulted in share premiums amounting to ThCh$206,008,557.

22.1.2    Dividends

Endesa Chiles Ordinary Shareholders Meeting held on April 26, 2012 approved a dividend policy of distributing
50% of 2012 net income in final dividends; the Board expects to comply with this policy during 2012. Furthermore, it intends to distribute an interim dividend, to be charged against 2012 net income, of up to 15% of net income as of
September 30, 2012, as shown in the financial statements at that date. This interim dividend will be paid in January 2013.

In accordance with the above, the Ordinary Shareholders Meeting held on April 15, 2013 agreed to distribute a final
dividend of Ch$14.28567 per share, for a total distribution of Ch$117,167,652,127, minus the interim dividend of Ch$3.04265 per share paid in January 2013. As a result, the amount left to be distributed to the Companys shareholders was
Ch$11.24302 per share, which was paid on May 9, 2013.

Endesa Chiles Ordinary Shareholders Meeting held
on April 25, 2013 approved a dividend policy of distributing 50% of 2013 net income in final dividends; the Board expects to comply with this policy during 2013. Furthermore, it intends to distribute an interim dividend, to be charged against
2013 net income, of up to 15% of net income as of September 30, 2013, as shown in the financial statements at that date. This interim dividend will be paid in January 2014.

The final dividend will be determined by the Ordinary Shareholders Meeting to be held in the first four months of 2014.

Fulfillment of the aforementioned dividend plan is subject to the actual net income earned by the Company during the
current year, and to the results of the Companys periodic income projections or to the existence of certain conditions, as applicable.



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The following table details the dividends paid by the Company in recent years:



|             |  |                  |  |              |  |                 |  |           
|------------ |  | ---------------- |  | ------------ |  | --------------- |  | ----------
|Dividend No. |  | Type of
Dividend |  | Payment Date |  | Pesos per
Share |  | Charged to
|49           |  | Interim          |  | 26-01-2011   |  | 6.42895         |  | 2010      
|50           |  | Final            |  | 11-05-2011   |  | 26.09798        |  | 2010      
|51           |  | Interim          |  | 19-01-2012   |  | 5.08439         |  | 2011      
|52           |  | Final            |  | 17-05-2012   |  | 22.15820        |  | 2011      
|53           |  | Interim          |  | 24-01-2013   |  | 3.04265         |  | 2012      
|54           |  | Final            |  | 09-05-2013   |  | 11.24302        |  | 2012      
|55           |  | Interim          |  | 31-01-2014   |  | 3.87772         |  | 2013      

22.2 Foreign currency translation reserves

The following table details currency translation adjustments attributable to the shareholders of Enersis, in the consolidated
statement of financial position as of December 31, 2013, 2012, and 2011:



|                                                          |  |                          |               |  |                          |  |               |                          |  |  |              | 
|--------------------------------------------------------- |  | ------------------------ | ------------- |  | ------------------------ |  | ------------- | ------------------------ |  |  | ------------ | 
|Reserves for Accumulated Currency
Translation Differences |  | December 31, 2013
 ThCh$ |               |  | December 31, 2012
 ThCh$ |  |               | December 31, 2011
 ThCh$ | 
|Emgesa S.A.                                               |  |                          | 90,504,354    |  |                          |  | 88,701,327    |                          |  |  | 85,262,487   | 
|Generandes Perú S.A.                                      |  |                          | 53,817,903    |  |                          |  | 53,286,339    |                          |  |  | 62,331,378   | 
|Gasatacama S.A.                                           |  |                          | (5,246,916)   |  |                          |  | (16,793,138)  |                          |  |  | (9,080,092)  | 
|Hidroinvest S.A.                                          |  |                          | (5,804,721)   |  |                          |  | (5,773,653)   |                          |  |  | (5,648,808)  | 
|Endesa Argentina S.A.                                     |  |                          | (4,438,374)   |  |                          |  | (7,694,500)   |                          |  |  | (10,784,833) | 
|Hidroelectrica El Chocón S.A.                             |  |                          | (41,365,588)  |  |                          |  | (29,075,486)  |                          |  |  | (14,204,278) | 
|Endesa Brasil S.A.                                        |  |                          | (133,472,462) |  |                          |  | (107,694,718) |                          |  |  | (13,722,525) | 
|Others                                                    |  |                          | 396,213       |  |                          |  | (368,085)     |                          |  |  | (491,707)    | 
|                                                          |  |                          |               |  |                          |  |               |                          |  |  |              | 
|TOTAL                                                     |  |                          | (45,609,591)  |  |                          |  | (25,411,914)  |                          |  |  | 93,661,622   | 

22.3 Capital management

The Companys objective is to maintain an adequate level of capitalization in order to be able to secure its access to
the financial markets, so as to fulfill its medium- and long-term goals while maximizing the return to its shareholders and maintaining a sound financial position.

22.4 Restrictions on subsidiaries transferring funds to the parent

Certain of the Groups subsidiaries must comply with financial ratio covenants which require them to have a minimum level
of equity or other requirements that restrict the transfer of assets to the parent company. The Groups restricted net assets as of December 31, 2013 from its subsidiaries Edegel and Chocón are ThCh$115,763,295 and ThCh$47,610,895,
respectively.



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22.5 Other reserves

Other reserves within Equity attributable to shareholders of Endesa Chile as of December 31, 2013, 2012, and 2011 are as
follows:



|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|---------------------------------------------------- | ----- | ------------------------------ | ------------- | ----- | ------------ |  | ------------- | ------------------------------- |  |  | ------------- | 
|                                                     |       | Balance at
January 1, 2013     |               |       | 2013 Changes |  |               | Balance
at December 31, 2013    | 
|                                                     | ThCh$ |                                |               | ThCh$ |              |  | ThCh$         |                                
|Exchange differences on translation                  |       |                                | (25,411,914)  |       |              |  | (20,197,677)  |                                 |  |  | (45,609,591)  | 
|Cash flow hedges                                     |       |                                | 47,991,711    |       |              |  | (63,587,701)  |                                 |  |  | (15,595,990)  | 
|Remeasurement of available-for-sale financial assets |       |                                | 3,629         |       |              |  | 87            |                                 |  |  | 3,716         | 
|Other miscellaneous reserves                         |       |                                | (728,439,301) |       |              |  | (4,325,484)   |                                 |  |  | (732,764,785) | 
|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|TOTAL                                                |       |                                | (705,855,875) |       |              |  | (88,110,775)  |                                 |  |  | (793,966,650) | 
|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|                                                     |       | Balance at     January 1, 2012 |               |       | 2012 Changes |  |               | Balance at    December 31, 2012 | 
|                                                     | ThCh$ |                                |               | ThCh$ |              |  | ThCh$         |                                
|Exchange differences on translation                  |       |                                | 93,661,622    |       |              |  | (119,073,536) |                                 |  |  | (25,411,914)  | 
|Cash flow hedges                                     |       |                                | 17,610,043    |       |              |  | 30,381,668    |                                 |  |  | 47,991,711    | 
|Remeasurement of available-for-sale financial assets |       |                                | 3,283         |       |              |  | 346           |                                 |  |  | 3,629         | 
|Other miscellaneous reserves                         |       |                                | (727,247,133) |       |              |  | (1,192,168)   |                                 |  |  | (728,439,301) | 
|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|TOTAL                                                |       |                                | (615,972,185) |       |              |  | (89,883,690)  |                                 |  |  | (705,855,875) | 
|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|                                                     |       | Balance at     January 1, 2011 |               |       | 2011 Changes |  |               | Balance at    December 31, 2011 | 
|                                                     | ThCh$ |                                |               | ThCh$ |              |  | ThCh$         |                                
|Exchange differences on translation                  |       |                                | 19,847,960    |       |              |  | 73,813,662    |                                 |  |  | 93,661,622    | 
|Cash flow hedges                                     |       |                                | 104,200,016   |       |              |  | (86,589,973)  |                                 |  |  | 17,610,043    | 
|Remeasurement of available-for-sale financial assets |       |                                | 49,393        |       |              |  | (46,110)      |                                 |  |  | 3,283         | 
|Other miscellaneous reserves                         |       |                                | (727,647,609) |       |              |  | 400,476       |                                 |  |  | (727,247,133) | 
|                                                     |       |                                |               |       |              |  |               |                                 |  |  |               | 
|TOTAL                                                |       |                                | (603,550,240) |       |              |  | (12,421,945)  |                                 |  |  | (615,972,185) | 



| |  |  | Reserves for foreign currency translation differences: These arise primarily from exchange differences relating to:
| | - |  | -------------------------------------------------------------------------------------------------------------------



| | - |  | Translation of the financial statements of our foreign operations from their functional currencies to our presentation currency (i.e. Chilean peso)
(see Note 2.6.3); and
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - |  | Translation of goodwill arising from the acquisition of foreign operations with a functional currency other than the Chilean peso (see Note 3.b).
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Cash flow hedging reserves: These represent the cumulative portion of gains and losses on hedging instruments deemed effective in cash flow
hedges (Note 3.f.4).
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Remeasurement of available-for-sale financial assets: These represent variations in fair value, net of their fiscal effect on the available-for-sale investments (see Note 3.f.1).
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Other reserves:
| | - |  | ---------------

Other miscellaneous reserves include the following:



| | I. | In accordance with (Official Bulletin) No. 456 from the Superintendencia de Valores y Seguros de Chile (SVS), included in this line item is
the monetary correction corresponding to the accumulated paid-up capital from the date of our transition to IFRS, June 1, 2004, to December 31, 2008.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Please note that, while the Company adopted the IFRS as its statutory accounting standards on January 1, 2009, the date
of transition to that international standard used was the same as that used by its parent company, Endesa S.A., January 1, 2004. This results from applying the exemption for that purpose in IFRS 1, First Time Adoption.



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| | II. | Foreign currency translation differences existing at the time of transition to IFRS (IFRS 1 exemption, First Time Adoption).
| | --- | ----------------------------------------------------------------------------------------------------------------------------



| | III. | The effects of business combinations under common control, arising primarily from the creation of the holding company Endesa Brasil in 2005 and the
merger of our Colombian subsidiaries Emgesa and Betania in 2007.
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

22.6
Non-controlling interests



| | i) | The detail of non-controlling interests is as follows:
| | -- | ------------------------------------------------------



|                                          |  |        |  |                                                  |             |  |               |       |              |            |       |  |             |       |  |            |             |  |            |  |              |  |  |  |             | 
|----------------------------------------- |  | ------ |  | ------------------------------------------------ | ----------- |  | ------------- | ----- | ------------ | ---------- | ----- |  | ----------- | ----- |  | ---------- | ----------- |  | ---------- |  | ------------ |  |  |  | ----------- | 
|                                          |  |        |  | Non-controlling
Interests (% financial interest) |            
|                                          |  |        |  | Equity                                           |             |  | Profit (Loss) |      
|Companies                                 |  | %      |  | 12-31-2013                                       |             |  | 12-31-2012    |       |              | 01-01-2012 |       |  | 12-31-2013  |       |  | 12-31-2012 |             |  | 12-31-2011 | 
|                                          |  | ThCh$  |  |                                                  | ThCh$       |  |               | ThCh$ |              |            | ThCh$ |  |             | ThCh$ |  |            | ThCh$       | 
|Emgesa S.A. E.S.P.                        |  | 73.13% |  |                                                  | 686,990,638 |  |               |       | 666,924,919  |            |       |  | 644,233,119 |       |  |            | 168,793,015 |  |            |  | 147,151,839  |  |  |  | 93,951,292  | 
|Edegel S.A.A                              |  | 37.54% |  |                                                  | 168,000,603 |  |               |       | 164,892,775  |            |       |  | 163,308,251 |       |  |            | 27,455,393  |  |            |  | 19,690,327   |  |  |  | 26,465,515  | 
|Chinango S.A.C.                           |  | 50.03% |  |                                                  | 32,047,387  |  |               |       | 32,238,489   |            |       |  | 29,152,676  |       |  |            | 5,086,656   |  |            |  | 6,057,516    |  |  |  | 4,088,804   | 
|Endesa Costanera S.A.                     |  | 30.24% |  |                                                  | (6,824,508) |  |               |       | (18,741,352) |            |       |  | (6,904,392) |       |  |            | (7,540,189) |  |            |  | (14,333,116) |  |  |  | (6,831,166) | 
|Hidroelectrica El Chocon S.A.             |  | 34.63% |  |                                                  | 28,037,024  |  |               |       | 29,800,992   |            |       |  | 33,124,809  |       |  |            | 3,811,588   |  |            |  | 4,986,375    |  |  |  | 4,210,400   | 
|Empresa Eléctrica Pehuenche S.A.          |  | 7.35%  |  |                                                  | 12,756,939  |  |               |       | 12,351,472   |            |       |  | 12,852,583  |       |  |            | 8,415,147   |  |            |  | 18,934,978   |  |  |  | 8,550,930   | 
|Compañía Eléctrica Tarapacá S.A.   (1)    |  | 3.79%  |  |                                                  | 14,685,635  |  |               |       | -            |            |       |  | -           |       |  |            | 767,739     |  |            |  | -            |  |  |  | -           | 
|Endesa Eco S.A.    (1)                    |  | -      |  |                                                  | -           |  |               |       | -            |            |       |  | -           |       |  |            | 496,749     |  |            |  | -            |  |  |  | -           | 
|Compañía Eléctrica San Isidro
S.A.    (1) |  | -      |  |                                                  | -           |  |               |       | 5,630,530    |            |       |  | -           |       |  |            | 2,344,323   |  |            |  | 1,676,998    |  |  |  | -           | 
|Empresa Eléctrica Pangue S.A.    (1)      |  | -      |  |                                                  | -           |  |               |       | -            |            |       |  | 6,529,630   |       |  |            | -           |  |            |  | 583,424      |  |  |  | 3,926,670   | 
|Others                                    |  | -      |  |                                                  | 152,425     |  |               |       | 153,105      |            |       |  | 163,334     |       |  |            | (50,963)    |  |            |  | (60,742)     |  |  |  | (101,087)   | 
|                                          | 
|TOTAL                                     |  |        |  |                                                  | 935,846,143 |  |               |       | 893,250,930  |            |       |  | 882,460,010 |       |  |            | 209,579,458 |  |            |  | 184,687,599  |  |  |  | 134,261,358 | 

(1) On May 1, 2012, Empresa Eléctrica Pangue S.A. was merged with Compañía
Eléctrica San Isidro S.A. On September 1, 2013, Compañía Eléctrica San Isidro S.A. was merged with Endesa Eco S.A., and on November 1, 2013, Endesa Eco was merged with Compañía Eléctrica
Tarapacá S.A. It is the latter company that legally continues to exist.



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23.  REVENUES

The detail of revenues presented in the Consolidated Statement of Comprehensive Income as of December 31, 2013, 2012, and
2011 is as follows:



|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|------------------------------ |  | ---------------- | ------------- |  | ---------------- |  | ------------- | ---------------- |  |  | ------------- | 
|                               |  | Balance at       |              
|Revenues                       |  | 12-31-2013
ThCh$ |               |  | 12-31-2012
ThCh$ |  |               | 12-31-2011
ThCh$ | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Energy sales (1)               |  |                  | 1,845,461,249 |  |                  |  | 2,188,395,130 |                  |  |  | 2,225,063,605 | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Other sales                    |  |                  | 25,273,582    |  |                  |  | 30,346        |                  |  |  | 35,104        | 
|Natural gas sales              |  |                  | 25,261,022    |  |                  |  | -             |                  |  |  | -             | 
|Sales of products and services |  |                  | 12,560        |  |                  |  | 30,346        |                  |  |  | 35,104        | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Other services rendered        |  |                  | 95,169,038    |  |                  |  | 66,719,884    |                  |  |  | 42,740,669    | 
|Tolls and transmission         |  |                  | 69,856,378    |  |                  |  | 42,372,881    |                  |  |  | 14,607,416    | 
|Metering equipment leases      |  |                  | 75,660        |  |                  |  | 91,510        |                  |  |  | 83,827        | 
|Engineering services           |  |                  | 5,054,266     |  |                  |  | 3,800,188     |                  |  |  | 11,896,382    | 
|Other services                 |  |                  | 20,182,734    |  |                  |  | 20,455,305    |                  |  |  | 16,153,044    | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Total operating revenue        |  |                  | 1,965,903,869 |  |                  |  | 2,255,145,360 |                  |  |  | 2,267,839,378 | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|                               |  | Balance at       |              
|Other Operating Income         |  | 12-31-2013       |               |  | 12-31-2012       |  |               | 12-31-2011       | 
|                               |  | ThCh$            |               |  | ThCh$            |  |               | ThCh$            | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Other revenues (2)             |  |                  | 61,528,111    |  |                  |  | 65,239,964    |                  |  |  | 16,425,409    | 
|                               |  |                  |               |  |                  |  |               |                  |  |  |               | 
|Total other income             |  |                  | 61,528,111    |  |                  |  | 65,239,964    |                  |  |  | 16,425,409    | 

(1) Includes ThCh$29,217,154 at December 31, 2012 from agreements
corresponding to reconciliation, termination of arbitration, and settling of energy sale prices between Endesa Chile and Compañía de Papeles y Cartones (CMPC).

(2) At December 31, 2013, includes ThCh$33,846,438 (ThCh$0 at December 31, 2012) from new
availability agreements in effect starting in December 2012 between our subsidiary Central Costanera S.A. and CAMMESA. In addition, in 2012 the Company recognized ThCh$2,239,336 (ThCh$7,273,992 in 2011) relating to claims under insurance policies
covering the Bocamina I power plant business interruption and lost earnings with respect to the Bocamina II plant due to the plant not being operative, amounting to ThCh$ 52,817,785, both activated as a result of the February 27, 2010
earthquake that damaged these plants (see Note 14.f.5).

24.  RAW MATERIALS AND CONSUMABLES USED

The detail of raw materials and consumables used presented in profit or loss for the periods ended December 31, 2013,
2012, and 2011 is as follows:



|                                    |  |            |               |  |            |  |                 |            |  |  |                 | 
|----------------------------------- |  | ---------- | ------------- |  | ---------- |  | --------------- | ---------- |  |  | --------------- | 
|                                    |  | Balance at |              
|Raw Materials and Consumables Used  |  | 12-31-2013 |               |  | 12-31-2012 |  |                 | 12-31-2011 | 
|                                    |  | ThCh$      |               |  | ThCh$      |  |                 | ThCh$      | 
|                                    |  |            |               |  |            |  |                 |            |  |  |                 | 
|Energy purchases                    |  |            | (237,676,926) |  |            |  | (310,584,865)   |            |  |  | (213,593,880)   | 
|Fuel consumption                    |  |            | (307,849,013) |  |            |  | (732,310,177)   |            |  |  | (676,035,672)   | 
|Transportation costs                |  |            | (233,607,121) |  |            |  | (235,207,189)   |            |  |  | (197,755,417)   | 
|Other raw materials and consumables |  |            | (51,740,512)  |  |            |  | (40,377,697)    |            |  |  | (51,748,050)    | 
|                                    |  |            |               |  |            |  |                 |            |  |  |                 | 
|Total                               |  |            | (830,873,572) |  |            |  | (1,318,479,928) |            |  |  | (1,139,133,019) | 



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25.  EMPLOYEE BENEFITS EXPENSE

Employee expenses recognized in profit or loss as of December 31, 2013, 2012, and 2011 are as follows:



|                                            |                 |            |               |                   |  |  |                   |  |  |  |              | 
|------------------------------------------- | --------------- | ---------- | ------------- | ----------------- |  |  | ----------------- |  |  |  | ------------ | 
|Employee Benefits Expense                   |                 | Balance at |              
|                                            | 12-31-2013ThCh$ |            |               | 12-31-2012  ThCh$ |  |  | 12-31-2011  ThCh$ | 
|                                            |                 |            |               |                   |  |  |                   |  |  |  |              | 
|Wages and
salaries                          |                 |            | (102,926,806) |                   |  |  | (85,279,732)      |  |  |  | (67,996,496) | 
|Post-employment
benefit obligations expense |                 |            | (1,678,232)   |                   |  |  | (1,504,362)       |  |  |  | (2,523,715)  | 
|Social security
and other contributions     |                 |            | (18,619,863)  |                   |  |  | (15,453,692)      |  |  |  | (5,246,235)  | 
|Other employee expenses                     |                 |            | (224,857)     |                   |  |  | (218,446)         |  |  |  | (148,774)    | 
|                                            |                 |            |               |                   |  |  |                   |  |  |  |              | 
|Total                                       |                 |            | (123,449,758) |                   |  |  | (102,456,232)     |  |  |  | (75,915,220) | 

26.  DEPRECIATION, AMORTIZATION, AND IMPAIRMENT LOSSES

The detail of depreciation, amortization, and impairment losses recognized in profit or loss as of December 31, 2013,
2012, and 2011 is as follows:



|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|---------------------------------------------------------------- | --------------- | ---------------- | ------------- | ----------------- | ---------------- |  | ----------------- | ---------------- |  |  | ------------- | 
|                                                                 |                 | Balance at       |              
|                                                                 |                 | 12-31-2013
ThCh$ |               |                   | 12-31-2012
ThCh$ |  |                   | 12-31-2011
ThCh$ | 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|Depreciation                                                     |                 |                  | (185,735,330) |                   |                  |  | (180,930,813)     |                  |  |  | (167,026,299) | 
|Amortization                                                     |                 |                  | (3,960,009)   |                   |                  |  | (3,637,184)       |                  |  |  | (3,479,052)   | 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|Subtotal                                                         |                 |                  | (189,695,339) |                   |                  |  | (184,567,997)     |                  |  |  | (170,505,351) | 
|Reversal (losses) from impairment (*)                            |                 |                  | (6,458,953)   |                   |                  |  | (11,117,362)      |                  |  |  | (9,472,766)   | 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|Total                                                            |                 |                  | (196,154,292) |                   |                  |  | (195,685,359)     |                  |  |  | (179,978,117) | 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|(*) Impairment Losses                                            |                 | Balance at       |              
|                                                                 | 12-31-2013ThCh$ |                  |               | 12-31-2012  ThCh$ |                  |  | 12-31-2011  ThCh$ |                 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|Reversal (loss)
from impairment of financial assets (see Note 7) |                 |                  | 140,365       |                   |                  |  | 1,460,736         |                  |  |  | (4,024,394)   | 
|(Loss) from
impairment of goodwill (see Note 13)                 |                 |                  | -             |                   |                  |  | -                 |                  |  |  | (5,448,372)   | 
|(Loss) from impairment of fixed assets (see Note 14.b)           |                 |                  | (6,599,318)   |                   |                  |  | (12,578,098)      |                  |  |  | -             | 
|                                                                 |                 |                  |               |                   |                  |  |                   |                  |  |  |               | 
|Total                                                            |                 |                  | (6,458,953)   |                   |                  |  | (11,117,362)      |                  |  |  | (9,472,766)   | 



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27.  OTHER EXPENSES

Other miscellaneous operating expenses as of December 31, 2013, 2012, and 2011 are as follows:



|                                             |  |            |               |  |            |  |               |            |  |  |               | 
|-------------------------------------------- |  | ---------- | ------------- |  | ---------- |  | ------------- | ---------- |  |  | ------------- | 
|                                             |  | Balance at |              
|Other Expenses                               |  | 12-31-2013 |               |  | 12-31-2012 |  |               | 12-31-2011 | 
|                                             |  | ThCh$      |               |  | ThCh$      |  |               | ThCh$      | 
|                                             |  |            |               |  |            |  |               |            |  |  |               | 
|Professional, outsourced, and other services |  |            | (28,816,401)  |  |            |  | (31,290,097)  |            |  |  | (27,745,919)  | 
|Other supplies and services                  |  |            | (17,239,304)  |  |            |  | (15,298,444)  |            |  |  | (16,583,784)  | 
|Insurance premiums                           |  |            | (19,417,837)  |  |            |  | (16,311,933)  |            |  |  | (14,481,652)  | 
|Taxes and charges                            |  |            | (16,490,799)  |  |            |  | (16,320,126)  |            |  |  | (54,252,983)  | 
|Repairs and maintenance                      |  |            | (13,504,679)  |  |            |  | (12,020,436)  |            |  |  | (9,169,020)   | 
|Marketing, public relations, and advertising |  |            | (602,805)     |  |            |  | (718,600)     |            |  |  | (1,547,944)   | 
|Leases and rental costs                      |  |            | (2,581,257)   |  |            |  | (2,519,810)   |            |  |  | (2,630,599)   | 
|Environmental expenses                       |  |            | (2,414,784)   |  |            |  | (3,213,669)   |            |  |  | (2,652,610)   | 
|Other supplies                               |  |            | (3,883,844)   |  |            |  | (3,285,377)   |            |  |  | (1,971,253)   | 
|Travel expenses                              |  |            | (2,168,389)   |  |            |  | (2,492,354)   |            |  |  | (1,861,617)   | 
|Indemnities and fines                        |  |            | (5,977,302)   |  |            |  | (640,344)     |            |  |  | (249,257)     | 
|                                             |  |            |               |  |            |  |               |            |  |  |               | 
|Total                                        |  |            | (113,097,401) |  |            |  | (104,111,190) |            |  |  | (133,146,638) | 

28.  OTHER GAINS (LOSSES)

Other gains (losses) as of December 31, 2013, 2012, and 2011 are as follows:



|                                   |                  |            |           |                  |  |  |                  |  |  |  |           | 
|---------------------------------- | ---------------- | ---------- | --------- | ---------------- |  |  | ---------------- |  |  |  | --------- | 
|Other Gains (Losses)               |                  | Balance at |          
|                                   | 12-31-2013
ThCh$ |            |           | 12-31-2012
ThCh$ |  |  | 12-31-2011
ThCh$ | 
|                                   |                  |            |           |                  |  |  |                  |  |  |  |           | 
|Sale of Charrua transmission lines |                  |            | 2,532,438 |                  |  |  | -                |  |  |  | -         | 
|Other assets                       |                  |            | 824,701   |                  |  |  | 1,422,458        |  |  |  | 2,010,780 | 
|                                   |                 
|Total                              |                  |            | 3,357,139 |                  |  |  | 1,422,458        |  |  |  | 2,010,780 | 



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29.  FINANCIAL RESULTS

Financial income and costs as of December 31, 2013, 2012, and 2011 are as follows:



|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|--------------------------------------------------- | ---------------- | ---------- | ------------- | ---------------- |  |  | ---------------- |  |  |  | ------------- | 
|Financial Income                                    |                  | Balance at |              
|                                                    | 12-31-2013
ThCh$ |            |               | 12-31-2012
ThCh$ |  |  | 12-31-2011
ThCh$ | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Income from cash and cash equivalents               |                  |            | 12,174,247    |                  |  |  | 11,981,690       |  |  |  | 22,658,596    | 
|Other financial income                              |                  |            | 6,118,096     |                  |  |  | 2,648,272        |  |  |  | 5,605,596     | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Total                                               |                  |            | 18,292,343    |                  |  |  | 14,629,962       |  |  |  | 28,264,192    | 
|                                                    |                  |            |              
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Financial Costs                                     |                  | Balance at |              
|                                                    | 12-31-2013ThCh$  |            |               | 12-31-2012ThCh$  |  |  | 12-31-2011ThCh$  | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Financial Costs                                     |                  |            | (142,666,776) |                  |  |  | (148,468,667)    |  |  |  | (135,257,667) | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Bank loans                                          |                  |            | (18,750,691)  |                  |  |  | (22,568,037)     |  |  |  | (25,828,606)  | 
|Secured and unsecured obligations                   |                  |            | (103,384,143) |                  |  |  | (105,411,446)    |  |  |  | (109,225,126) | 
|Valuation of financial derivatives                  |                  |            | (4,854,066)   |                  |  |  | (4,877,219)      |  |  |  | (5,941,616)   | 
|Post-employment benefit obligations                 |                  |            | (2,546,022)   |                  |  |  | (2,660,042)      |  |  |  | (2,544,632)   | 
|Capitalized borrowing costs                         |                  |            | 24,518,935    |                  |  |  | 23,915,042       |  |  |  | 29,922,494    | 
|Other financial costs                               |                  |            | (37,650,789)  |                  |  |  | (36,866,965)     |  |  |  | (21,640,181)  | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Gain (loss) from indexed assets and
liabilities (*) |                  |            | 1,001,573     |                  |  |  | (1,066,291)      |  |  |  | (5,447,396)   | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Foreign currency exchange differences
(**)          |                  |            | (13,756,657)  |                  |  |  | (12,090,438)     |  |  |  | (6,649,911)   | 
|Positive                                            |                  |            | 39,657,325    |                  |  |  | 15,770,201       |  |  |  | 15,446,837    | 
|Negative                                            |                  |            | (53,413,982)  |                  |  |  | (27,860,639)     |  |  |  | (22,096,748)  | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Total Financial Costs                               |                  |            | (155,421,860) |                  |  |  | (161,625,396)    |  |  |  | (147,354,974) | 
|                                                    |                  |            |               |                  |  |  |                  |  |  |  |               | 
|Total Financial Results                             |                  |            | (137,129,517) |                  |  |  | (146,995,434)    |  |  |  | (119,090,782) | 

The effects on financial results from exchange differences and the application of indexed
assets and liabilities originated from the following:



|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|----------------------------------------------------------------------- | ---------------- | ---------- | ------------ | ---------------- |  |  | ---------------- |  |  |  | ------------ | 
|Results from Indexed Assets and Liabilities (*)                         |                  | Balance at |             
|                                                                        | 12-31-2013
ThCh$ |            |              | 12-31-2012
ThCh$ |  |  | 12-31-2011
ThCh$ | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|Other financial assets (derivative
instruments)                         |                  |            | 4,758,858    |                  |  |  | 5,550,723        |  |  |  | 8,655,896    | 
|Other non-financial assets                                              |                  |            | 9,064        |                  |  |  | -                |  |  |  | -            | 
|Trade and other accounts receivable                                     |                  |            | 33,883       |                  |  |  | 7,754            |  |  |  | 39,420       | 
|Current tax assets and liabilities                                      |                  |            | 2,640,499    |                  |  |  | 2,383,296        |  |  |  | 2,100,153    | 
|Other financial liabilities (financial debt and
derivative instruments) |                  |            | (6,428,167)  |                  |  |  | (8,931,305)      |  |  |  | (15,980,262) | 
|Other provisions                                                        |                  |            | (12,564)     |                  |  |  | (74,945)         |  |  |  | (281,472)    | 
|Other current non-financial
liabilities                                 |                  |            | -            |                  |  |  | (1,814)          |  |  |  | 18,869       | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|Total                                                                   |                  |            | 1,001,573    |                  |  |  | (1,066,291)      |  |  |  | (5,447,396)  | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|Exchange Differences (**)                                               |                  | Balance at |             
|                                                                        | 12-31-2013
ThCh$ |            |              | 12-31-2012
ThCh$ |  |  | 12-31-2011
ThCh$ | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|Cash and cash equivalents                                               |                  |            | 2,429,118    |                  |  |  | (1,401,939)      |  |  |  | 2,647,753    | 
|Other financial assets (derivative
instruments)                         |                  |            | 27,279,969   |                  |  |  | 6,276,291        |  |  |  | 2,333,430    | 
|Other non-financial assets                                              |                  |            | 37,636       |                  |  |  | 53,373           |  |  |  | 818,472      | 
|Trade and other accounts receivable                                     |                  |            | (3,518,849)  |                  |  |  | (420,094)        |  |  |  | 4,561,537    | 
|Current tax assets and liabilities                                      |                  |            | (3,678)      |                  |  |  | 27               |  |  |  | (519)        | 
|Other financial liabilities (financial debt and
derivative instruments) |                  |            | (34,837,976) |                  |  |  | (14,401,345)     |  |  |  | (10,086,072) | 
|Trade and other accounts payable                                        |                  |            | (2,105,672)  |                  |  |  | (779,903)        |  |  |  | (5,584,114)  | 
|Other non-financial liabilities                                         |                  |            | (3,037,205)  |                  |  |  | (1,416,848)      |  |  |  | (1,340,398)  | 
|                                                                        |                  |            |              |                  |  |  |                  |  |  |  |              | 
|Total                                                                   |                  |            | (13,756,657) |                  |  |  | (12,090,438)     |  |  |  | (6,649,911)  | 



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##### Table of Contents

30.  INCOME TAX

The following table reconciles income taxes resulting from applying the general current tax rate to Net income before
taxes and the income tax expense recorded in the accompanying Consolidated Statement of Comprehensive Income at December 31, 2013, 2012, and 2011:



|                                                                                               |            |            |               |            |  |  |               |  |  |              
|---------------------------------------------------------------------------------------------- | ---------- | ---------- | ------------- | ---------- |  |  | ------------- |  |  | -------------
|Income Tax                                                                                     |            | Balance at
|                                                                                               | 12-31-2013 |            |               | 12-31-2012 |  |  | 12-31-2011   
|                                                                                               | ThCh$      |            |               | ThCh$      |  |  | ThCh$        
|                                                                                              
|Current tax expense                                                                            |            |            | (224,469,325) |            |  |  | (210,787,060) |  |  | (213,263,163)
|Tax benefit from
tax assets not previously recognized (credits and/or benefits on current tax) |            |            | 30,595,472    |            |  |  | 39,920,277    |  |  | 20,511,576   
|Adjustments to current tax from the previous period                                            |            |            | (549,020)     |            |  |  | (1,181,146)   |  |  | (301,392)    
|Other current tax
expense                                                                      |            |            | (641,266)     |            |  |  | (409,335)     |  |  | (290,463)    
|                                                                                              
|Current tax
expense, net                                                                       |            |            | (195,064,139) |            |  |  | (172,457,264) |  |  | (193,343,442)
|                                                                                              
|Deferred tax
income (expense) from origination and reversal of temporary differences           |            |            | (9,853,759)   |            |  |  | 5,410,705     |  |  | (13,986,454) 
|Deferred tax (income) or expense from tax rate changes or new taxes (*)                        |            |            | 10,451        |            |  |  | (15,786,397)  |  |  | -            
|                                                                                              
|Deferred tax income (expense), net                                                             |            |            | (9,843,308)   |            |  |  | (10,375,692)  |  |  | (13,986,454) 
|                                                                                              
|Income tax income (expense)                                                                    |            |            | (204,907,447) |            |  |  | (182,832,956) |  |  | (207,329,896)

The principal temporary differences are detailed in Note 15.a.



|                                                                       |  |  |          |  |                 |  |               |  |  |  |                 |  |  |  |               |  |                 |  |          |  |  |              
|---------------------------------------------------------------------- |  |  | -------- |  | --------------- |  | ------------- |  |  |  | --------------- |  |  |  | ------------- |  | --------------- |  | -------- |  |  | -------------
|Reconciliation of Tax Expense                                          |  |  |          |  | 31-12-2013ThCh$ |  |               |  |  |  | 31-12-2012ThCh$ |  |  |  |               |  | 31-12-2011ThCh$
|                                                                      
|INCOME BEFORE TAX                                                      |  |  |          |  |                 |  | 768,413,684   |  |  |  |                 |  |  |  | 601,855,819   |  |                 |  |          |  |  | 788,465,297  
|                                                                      
|Tax expense using statutory rate                                       |  |  | (20.00%) |  |                 |  | (153,682,737) |  |  |  | (20.00%)        |  |  |  | (120,371,164) |  |                 |  | (20.00%) |  |  | (157,693,059)
|Tax effect of rates in other jurisdictions                             |  |  | (7.61%)  |  |                 |  | (58,441,486)  |  |  |  | (7.44%)         |  |  |  | (44,774,217)  |  |                 |  | (5.03%)  |  |  | (39,681,126) 
|Tax effect of non-taxable revenues                                     |  |  | 8.59%    |  |                 |  | 66,004,129    |  |  |  | 6.56%           |  |  |  | 39,485,711    |  |                 |  | 3.74%    |  |  | 29,473,765   
|Tax effect of non-tax-deductible expenses                              |  |  | (6.31%)  |  |                 |  | (48,467,799)  |  |  |  | (10.06%)        |  |  |  | (60,560,721)  |  |                 |  | (3.77%)  |  |  | (29,715,812) 
|Tax effect from change in tax rate   (*) (**)                          |  |  | -        |  |                 |  | 10,451        |  |  |  | (2.62%)         |  |  |  | (15,786,397)  |  |                 |  | -        |  |  | -            
|Tax effect of over-provided tax in previous periods                    |  |  | (0.07%)  |  |                 |  | (549,020)     |  |  |  | (0.20%)         |  |  |  | (1,181,146)   |  |                 |  | (0.04%)  |  |  | (301,392)    
|Current tax effects arising from investments                           |  |  | (1.27%)  |  |                 |  | (9,780,985)   |  |  |  | 3.38%           |  |  |  | 20,354,978    |  |                 |  | (1.19%)  |  |  | (9,412,272)  
|Total adjustments to the tax rate and tax expense using statutory
rate |  |  | (6.66%)  |  |                 |  | (51,224,710)  |  |  |  | (10.38%)        |  |  |  | (62,461,792)  |  |                 |  | (6.30%)  |  |  | (49,636,837) 
|                                                                      
|Total income tax expense using effective rate                          |  |  | (26.66%) |  |                 |  | (204,907,447) |  |  |  | (30.38%)        |  |  |  | (182,832,956) |  |                 |  | (26.30%) |  |  | (207,329,896)

(*)  On July 29, 2010, Law No. 20,455 was passed in Chile, Modifying different laws
to obtain funds to finance the reconstruction of the country. This law, which was published in the Diario Oficial (Official Gazette) on July 31, 2010, included a temporary First Category tax increase for the 2011 and 2012 business
years (to 20% and 18.5%, respectively), with a return to the 17% tax rate for 2013.

Then, on September 27, 2012, Law No. 20,630,
which modifies Chilean tax law to finance education reform, was published in the Diario Oficial (Official Gazette). Among other changes, this law increased the First Category tax rate from 18.5% to 20% starting in the 2012 business year.

(**)  Law No. 1607/12 on tax reform was passed in Colombia on December 26, 2012, lowering the income tax rate to 25%
(except for foreign companies, whose rate remains at 33%). It also creates a new 8% tax (9% from 2013 to 2015) whose tax base is the same as that used to calculate income tax, but without the inclusion of tax benefits or special deductions.



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##### Table of Contents

31.  INFORMATION BY SEGMENT

31.1  Segmentation criteria

Endesa Chiles activities are organized primarily around its core business, electric energy generation.

In addition, segment information has been organized by the geographical areas in which the Group operates:

  Chile

  Argentina

  Peru

  Colombia

Given that Endesa Chiles corporate organization basically matches its business organization and, therefore, the segments
organization, the following segment information is based on the financial information of the companies forming each segment.



F-99



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##### Table of Contents

The following tables present the segment information as of December 31,
2013, December 31, 2012, and January 1, 2012.

31.2 Distribution by country



|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|------------------------------------------------------ |  | ---------------- | ------------- |  | ---------------- |  | ------------- | ---------------- |  |  | ---------------- |  |  | ---------------- | ------------ |  | ---------------- |  | ------------ | ---------------- |  |  | ---------------- |  |  | ---------------- | ------------- |  | ---------------- |  | ------------- | ---------------- |  |  | ---------------- |  |  | ---------------- | ----------- |  | ---------------- |  | ----------- | ---------------- |  |  | ---------------- |  |  | ---------------- | --------------- |  | ---------------- |  | ------------- |  |  |  | ------------- |  |  |  | ------------- |  |  |  | ------------- |  |  |  | ------------- | 
|Country                                                |  | Chile            |               |  | Argentina        |  |               | Colombia         |  |  | Peru             |  |  | Eliminations     |              |  | Total            | 
|ASSETS                                                 |  | 12-31-2013
ThCh$ |               |  | 12-31-2012
ThCh$ |  |               | 01-01-201 2ThCh$ |  |  | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |              |  | 01-01-2012
ThCh$ |  |              | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |  |  | 01-01-2012
ThCh$ |               |  | 12-31-2013
ThCh$ |  |               | 12-31-2012
ThCh$ |  |  | 01-01-2012
ThCh$ |  |  | 12-31-2013
ThCh$ |             |  | 12-31-2012
ThCh$ |  |             | 01-01-2012
ThCh$ |  |  | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |                 |  | 01-01-2012
ThCh$ | 
|CURRENT ASSETS                                         |  |                  | 512,434,448   |  |                  |  | 384,608,631   |                  |  |  | 530,346,053      |  |  |                  | 46,128,070   |  |                  |  | 42,454,666   |                  |  |  | 90,696,940       |  |  |                  | 321,118,496   |  |                  |  | 285,719,119   |                  |  |  | 239,044,005      |  |  |                  | 104,859,261 |  |                  |  | 80,363,360  |                  |  |  | 75,650,050       |  |  |                  | (19,108,619)    |  |                  |  | (11,791,860)  |  |  |  | (16,778,408)  |  |  |  | 965,431,656   |  |  |  | 781,353,916   |  |  |  | 918,958,640   | 
|Cash and cash
equivalents                              |  |                  | 56,819,763    |  |                  |  | 6,284,099     |                  |  |  | 199,085,264      |  |  |                  | 6,729,682    |  |                  |  | 6,336,505    |                  |  |  | 21,658,298       |  |  |                  | 227,781,003   |  |                  |  | 187,772,861   |                  |  |  | 136,260,140      |  |  |                  | 32,476,931  |  |                  |  | 35,284,268  |                  |  |  | 32,764,569       |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 323,807,379   |  |  |  | 235,677,733   |  |  |  | 389,768,271   | 
|Other current financial assets                         |  |                  | 23,956,079    |  |                  |  | -             |                  |  |  | 47,504           |  |  |                  | -            |  |                  |  | -            |                  |  |  | 143,638          |  |  |                  | 59,042        |  |                  |  | 25,067,909    |                  |  |  | 674,506          |  |  |                  | 121,357     |  |                  |  | 51,876      |                  |  |  | 48,561           |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 24,136,478    |  |  |  | 25,119,785    |  |  |  | 914,209       | 
|Other current non-financial assets                     |  |                  | 2,132,598     |  |                  |  | 5,367,448     |                  |  |  | 2,695,682        |  |  |                  | 2,760,874    |  |                  |  | 217,513      |                  |  |  | 1,189,419        |  |  |                  | 7,825,842     |  |                  |  | 7,515,740     |                  |  |  | 7,964,428        |  |  |                  | 24,546,032  |  |                  |  | 4,241,546   |                  |  |  | 2,458,301        |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 37,265,346    |  |  |  | 17,342,247    |  |  |  | 14,307,830    | 
|Trade and other current receivables                    |  |                  | 145,727,616   |  |                  |  | 143,129,548   |                  |  |  | 161,715,297      |  |  |                  | 24,856,149   |  |                  |  | 19,901,491   |                  |  |  | 54,090,162       |  |  |                  | 54,561,960    |  |                  |  | 35,378,529    |                  |  |  | 45,507,596       |  |  |                  | 22,584,515  |  |                  |  | 18,439,139  |                  |  |  | 16,985,155       |  |  |                  | 32,682          |  |                  |  | 833,884       |  |  |  | 491,931       |  |  |  | 247,762,922   |  |  |  | 217,682,591   |  |  |  | 278,790,141   | 
|Accounts receivable from related
companies             |  |                  | 116,669,764   |  |                  |  | 52,491,021    |                  |  |  | 64,471,072       |  |  |                  | 8,699,310    |  |                  |  | 11,190,308   |                  |  |  | 11,034,528       |  |  |                  | 13,527,398    |  |                  |  | 15,211,112    |                  |  |  | 35,104,241       |  |  |                  | 12,154,631  |  |                  |  | 9,221,914   |                  |  |  | 10,509,205       |  |  |                  | (19,141,301)    |  |                  |  | (12,625,744)  |  |  |  | (17,270,339)  |  |  |  | 131,909,802   |  |  |  | 75,488,611    |  |  |  | 103,848,707   | 
|Inventories                                            |  |                  | 14,662,964    |  |                  |  | 30,054,548    |                  |  |  | 22,853,273       |  |  |                  | 2,907,560    |  |                  |  | 3,158,460    |                  |  |  | 1,783,282        |  |  |                  | 15,841,374    |  |                  |  | 13,257,329    |                  |  |  | 11,993,970       |  |  |                  | 12,743,147  |  |                  |  | 12,892,283  |                  |  |  | 12,645,501       |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 46,155,045    |  |  |  | 59,362,620    |  |  |  | 49,276,026    | 
|Current tax
assets                                     |  |                  | 152,465,664   |  |                  |  | 147,281,967   |                  |  |  | 79,477,961       |  |  |                  | 174,495      |  |                  |  | 1,650,389    |                  |  |  | 797,613          |  |  |                  | 1,521,877     |  |                  |  | 1,515,639     |                  |  |  | 1,539,124        |  |  |                  | 232,648     |  |                  |  | 232,334     |                  |  |  | 238,758          |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 154,394,684   |  |  |  | 150,680,329   |  |  |  | 82,053,456    | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  | 
|NON-CURRENT ASSETS                                     |  |                  | 4,020,157,839 |  |                  |  | 3,820,876,662 |                  |  |  | 3,875,998,850    |  |  |                  | 252,145,379  |  |                  |  | 274,123,433  |                  |  |  | 309,917,555      |  |  |                  | 1,712,544,281 |  |                  |  | 1,563,308,503 |                  |  |  | 1,393,219,292    |  |  |                  | 773,833,383 |  |                  |  | 786,613,842 |                  |  |  | 812,558,136      |  |  |                  | (961,987,702)   |  |                  |  | (773,045,293) |  |  |  | (803,905,045) |  |  |  | 5,796,693,180 |  |  |  | 5,671,877,147 |  |  |  | 5,587,788,788 | 
|Other
non-current financial assets                     |  |                  | 2,759,880     |  |                  |  | 31,436,192    |                  |  |  | 11,908,939       |  |  |                  | 33,548       |  |                  |  | 108,154      |                  |  |  | 161,140          |  |  |                  | 1,260,169     |  |                  |  | 1,236,511     |                  |  |  | 1,205,585        |  |  |                  | 6,692       |  |                  |  | 524,133     |                  |  |  | 216,790          |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 4,060,289     |  |  |  | 33,304,990    |  |  |  | 13,492,454    | 
|Other non-current non-financial assets                 |  |                  | 41,505        |  |                  |  | 41,505        |                  |  |  | 76,321           |  |  |                  | 12,151       |  |                  |  | 1,252,852    |                  |  |  | 1,099,011        |  |  |                  | -             |  |                  |  | 635,776       |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | 1,342           |  |                  |  | 1,342         |  |  |  | -             |  |  |  | 54,998        |  |  |  | 1,931,475     |  |  |  | 1,175,332     | 
|Non-current
receivables                                |  |                  | -             |  |                  |  | -             |                  |  |  | 162,797          |  |  |                  | 128,087,762  |  |                  |  | 143,949,453  |                  |  |  | 148,204,236      |  |  |                  | 3,509,648     |  |                  |  | 3,014,698     |                  |  |  | 3,241,735        |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 131,597,410   |  |  |  | 146,964,151   |  |  |  | 151,608,768   | 
|Non-current accounts receivable from related companies |  |                  | -             |  |                  |  | 5,712,830     |                  |  |  | 6,179,892        |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | (5,712,830)   |  |  |  | (6,179,892)   |  |  |  | -             |  |  |  | -             |  |  |  | -             | 
|Investments
accounted for using the equity method      |  |                  | 1,739,823,985 |  |                  |  | 1,523,339,947 |                  |  |  | 1,564,106,793    |  |  |                  | 3,246,688    |  |                  |  | 3,766,317    |                  |  |  | 4,695,872        |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | 49,498,978  |  |                  |  | 51,856,848  |                  |  |  | 49,887,780       |  |  |                  | (1,031,888,318) |  |                  |  | (823,829,955) |  |  |  | (886,264,231) |  |  |  | 760,681,333   |  |  |  | 755,133,157   |  |  |  | 732,426,214   | 
|Intangible assets other than goodwill                  |  |                  | 21,502,573    |  |                  |  | 22,095,522    |                  |  |  | 22,788,439       |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | 24,751,366    |  |                  |  | 23,938,624    |                  |  |  | 22,281,991       |  |  |                  | 9,794,606   |  |                  |  | 9,718,479   |                  |  |  | 457,861          |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 56,048,545    |  |  |  | 55,752,625    |  |  |  | 45,528,291    | 
|Goodwill                                               |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | 1,574,810    |  |                  |  | 1,902,217    |                  |  |  | 2,357,592        |  |  |                  | 5,213,756     |  |                  |  | 5,194,342     |                  |  |  | 5,126,657        |  |  |                  | 8,287,322   |  |                  |  | 8,703,399   |                  |  |  | 10,361,690       |  |  |                  | 85,020,310      |  |                  |  | 85,947,128    |  |  |  | 88,539,078    |  |  |  | 100,096,198   |  |  |  | 101,747,086   |  |  |  | 106,385,017   | 
|Property, plant, and equipment                         |  |                  | 2,249,977,196 |  |                  |  | 2,209,655,771 |                  |  |  | 2,245,565,003    |  |  |                  | 117,875,481  |  |                  |  | 121,684,051  |                  |  |  | 152,419,707      |  |  |                  | 1,618,190,483 |  |                  |  | 1,469,930,901 |                  |  |  | 1,302,924,129    |  |  |                  | 706,245,785 |  |                  |  | 713,971,669 |                  |  |  | 750,111,283      |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 4,692,288,945 |  |  |  | 4,515,242,392 |  |  |  | 4,451,020,122 | 
|Investment
property                                    |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | -             |  |  |  | -             |  |  |  | -             | 
|Deferred tax assets                                    |  |                  | 6,052,700     |  |                  |  | 28,594,895    |                  |  |  | 25,210,666       |  |  |                  | 1,314,939    |  |                  |  | 1,460,389    |                  |  |  | 979,997          |  |  |                  | 59,618,859    |  |                  |  | 59,357,651    |                  |  |  | 58,439,195       |  |  |                  | -           |  |                  |  | 1,839,314   |                  |  |  | 1,522,732        |  |  |                  | (15,121,036)    |  |                  |  | (29,450,978)  |  |  |  | -             |  |  |  | 51,865,462    |  |  |  | 61,801,271    |  |  |  | 86,152,590    | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|TOTAL ASSETS                                           |  |                  | 4,532,592,287 |  |                  |  | 4,205,485,293 |                  |  |  | 4,406,344,903    |  |  |                  | 298,273,449  |  |                  |  | 316,578,099  |                  |  |  | 400,614,495      |  |  |                  | 2,033,662,777 |  |                  |  | 1,849,027,622 |                  |  |  | 1,632,263,297    |  |  |                  | 878,692,644 |  |                  |  | 866,977,202 |                  |  |  | 888,208,186      |  |  |                  | (981,096,321)   |  |                  |  | (784,837,153) |  |  |  | (820,683,453) |  |  |  | 6,762,124,836 |  |  |  | 6,453,231,063 |  |  |  | 6,506,747,428 | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Country                                                |  | Chile            |               |  | Argentina        |  |               | Colombia         |  |  | Peru             |  |  | Eliminations     |              |  | Total            | 
|LIABILITIES AND EQUITY                                 |  | 12-31-2013
ThCh$ |               |  | 12-31-2012
ThCh$ |  |               | 01-01-2012
ThCh$ |  |  | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |              |  | 01-01-2012
ThCh$ |  |              | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |  |  | 01-01-2012
ThCh$ |               |  | 12-31-2013
ThCh$ |  |               | 12-31-2012
ThCh$ |  |  | 01-01-2012
ThCh$ |  |  | 12-31-2013
ThCh$ |             |  | 12-31-2012
ThCh$ |  |             | 01-01-2012
ThCh$ |  |  | 12-31-2013
ThCh$ |  |  | 12-31-2012
ThCh$ |                 |  | 01-01-2012
ThCh$ | 
|CURRENT LIABILITIES                                    |  |                  | 660,163,628   |  |                  |  | 598,505,091   |                  |  |  | 351,025,320      |  |  |                  | 183,233,754  |  |                  |  | 211,961,695  |                  |  |  | 181,542,104      |  |  |                  | 229,570,429   |  |                  |  | 179,614,548   |                  |  |  | 220,413,976      |  |  |                  | 110,158,339 |  |                  |  | 80,997,179  |                  |  |  | 77,444,300       |  |  |                  | 55,265,285      |  |                  |  | (5,060,885)   |  |  |  | 75,595,134    |  |  |  | 1,238,391,435 |  |  |  | 1,066,017,628 |  |  |  | 906,020,834   | 
|Other current
financial liabilities                    |  |                  | 127,262,132   |  |                  |  | 220,356,753   |                  |  |  | 64,466,046       |  |  |                  | 129,629,312  |  |                  |  | 129,148,163  |                  |  |  | 82,987,086       |  |  |                  | 65,753,442    |  |                  |  | 29,534,134    |                  |  |  | 113,869,956      |  |  |                  | 31,088,635  |  |                  |  | 27,415,986  |                  |  |  | 32,976,929       |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 353,733,521   |  |  |  | 406,455,036   |  |  |  | 294,300,017   | 
|Trade and other current payables                       |  |                  | 218,291,076   |  |                  |  | 149,991,909   |                  |  |  | 199,156,447      |  |  |                  | 32,015,166   |  |                  |  | 44,981,230   |                  |  |  | 47,669,549       |  |  |                  | 71,066,493    |  |                  |  | 71,999,845    |                  |  |  | 50,897,328       |  |  |                  | 63,613,836  |  |                  |  | 41,946,210  |                  |  |  | 23,834,560       |  |  |                  | 29,764,436      |  |                  |  | 11,540,194    |  |  |  | 20,193,205    |  |  |  | 414,751,007   |  |  |  | 320,459,388   |  |  |  | 341,751,089   | 
|Accounts payable to related
companies                  |  |                  | 244,708,240   |  |                  |  | 180,556,424   |                  |  |  | 26,362,834       |  |  |                  | 13,530,857   |  |                  |  | 27,129,873   |                  |  |  | 41,348,639       |  |  |                  | 28,331,191    |  |                  |  | 23,917,636    |                  |  |  | 14,328,510       |  |  |                  | 843,027     |  |                  |  | 914,067     |                  |  |  | 13,875           |  |  |                  | 25,500,849      |  |                  |  | (16,601,079)  |  |  |  | 55,401,929    |  |  |  | 312,914,164   |  |  |  | 215,916,921   |  |  |  | 137,455,787   | 
|Other current provisions                               |  |                  | 27,762,617    |  |                  |  | 23,580,577    |                  |  |  | 29,595,434       |  |  |                  | 1,301,192    |  |                  |  | 1,564,413    |                  |  |  | 3,901,399        |  |  |                  | 12,139,002    |  |                  |  | 9,808,093     |                  |  |  | 10,860           |  |  |                  | 3,481,854   |  |                  |  | 3,471,749   |                  |  |  | 2,840,237        |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 44,684,665    |  |  |  | 38,424,832    |  |  |  | 36,347,930    | 
|Current tax
liabilities                                |  |                  | 41,604,289    |  |                  |  | 23,477,747    |                  |  |  | 29,897,084       |  |  |                  | 5,259,200    |  |                  |  | 7,755,869    |                  |  |  | 5,040,483        |  |  |                  | 50,014,588    |  |                  |  | 42,623,796    |                  |  |  | 40,779,406       |  |  |                  | 7,681,274   |  |                  |  | 4,516,616   |                  |  |  | 14,748,267       |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 104,559,351   |  |  |  | 78,374,028    |  |  |  | 90,465,240    | 
|Current provisions for employee benefits               |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | -             |  |  |  | -             |  |  |  | -             | 
|Other current
non-financial liabilities                |  |                  | 535,274       |  |                  |  | 541,681       |                  |  |  | 1,547,475        |  |  |                  | 1,498,027    |  |                  |  | 1,382,147    |                  |  |  | 594,948          |  |  |                  | 2,265,713     |  |                  |  | 1,731,044     |                  |  |  | 527,916          |  |  |                  | 3,449,713   |  |                  |  | 2,732,551   |                  |  |  | 3,030,432        |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 7,748,727     |  |  |  | 6,387,423     |  |  |  | 5,700,771     | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  | 
|NON-CURRENT LIABILITIES                                |  |                  | 775,944,560   |  |                  |  | 880,599,510   |                  |  |  | 1,180,833,098    |  |  |                  | 54,121,669   |  |                  |  | 62,998,738   |                  |  |  | 130,697,313      |  |  |                  | 864,631,943   |  |                  |  | 757,392,281   |                  |  |  | 530,859,723      |  |  |                  | 256,342,275 |  |                  |  | 282,137,010 |                  |  |  | 317,338,453      |  |  |                  | (15,121,036)    |  |                  |  | (30,407,433)  |  |  |  | -             |  |  |  | 1,935,919,411 |  |  |  | 1,952,720,106 |  |  |  | 2,159,728,587 | 
|Other
non-current financial liabilities                |  |                  | 579,403,606   |  |                  |  | 656,681,229   |                  |  |  | 984,831,601      |  |  |                  | 12,954,207   |  |                  |  | 20,701,104   |                  |  |  | 87,602,569       |  |  |                  | 828,381,968   |  |                  |  | 711,308,825   |                  |  |  | 486,420,793      |  |  |                  | 120,022,828 |  |                  |  | 136,960,660 |                  |  |  | 169,238,940      |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 1,540,762,609 |  |  |  | 1,525,651,818 |  |  |  | 1,728,093,903 | 
|Non-current accounts payable to related companies      |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -            |  |                  |  | 4,479,929    |                  |  |  | -                |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | (4,479,929)   |  |  |  | -             |  |  |  | -             |  |  |  | -             |  |  |  | -             | 
|Other
long-term provisions                             |  |                  | 17,426,844    |  |                  |  | 16,545,029    |                  |  |  | 10,317,033       |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | 738,840       |  |                  |  | 316,755       |                  |  |  | 316,576          |  |  |                  | 2,841,123   |  |                  |  | 2,732,195   |                  |  |  | 1,668,030        |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 21,006,807    |  |  |  | 19,593,979    |  |  |  | 12,301,639    | 
|Deferred tax liabilities                               |  |                  | 159,958,130   |  |                  |  | 185,347,510   |                  |  |  | 161,913,523      |  |  |                  | 14,019,574   |  |                  |  | 10,607,958   |                  |  |  | 13,165,920       |  |  |                  | 13,991,943    |  |                  |  | 12,001,108    |                  |  |  | -                |  |  |                  | 132,840,909 |  |                  |  | 141,771,503 |                  |  |  | 146,431,483      |  |  |                  | (15,121,036)    |  |                  |  | (29,450,979)  |  |  |  | -             |  |  |  | 305,689,520   |  |  |  | 320,277,100   |  |  |  | 321,510,926   | 
|Non-current
provisions for employee benefits           |  |                  | 15,435,886    |  |                  |  | 14,560,716    |                  |  |  | 11,871,005       |  |  |                  | 3,276,309    |  |                  |  | 2,382,287    |                  |  |  | 2,216,852        |  |  |                  | 21,519,192    |  |                  |  | 22,056,756    |                  |  |  | 21,953,569       |  |  |                  | 637,415     |  |                  |  | 672,652     |                  |  |  | -                |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 40,868,802    |  |  |  | 39,672,411    |  |  |  | 36,041,426    | 
|Other
non-current non-financial liabilities            |  |                  | 3,720,094     |  |                  |  | 7,465,026     |                  |  |  | 11,899,936       |  |  |                  | 23,871,579   |  |                  |  | 24,827,460   |                  |  |  | 27,711,972       |  |  |                  | -             |  |                  |  | 11,708,837    |                  |  |  | 22,168,785       |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | 3,523,475     |  |  |  | -             |  |  |  | 27,591,673    |  |  |  | 47,524,798    |  |  |  | 61,780,693    | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|EQUITY                                                 |  |                  | 3,096,484,099 |  |                  |  | 2,726,380,692 |                  |  |  | 2,874,486,485    |  |  |                  | 60,918,026   |  |                  |  | 41,617,666   |                  |  |  | 88,375,078       |  |  |                  | 939,460,405   |  |                  |  | 912,020,793   |                  |  |  | 880,989,598      |  |  |                  | 512,192,030 |  |                  |  | 503,843,013 |                  |  |  | 493,425,433      |  |  |                  | (1,021,240,570) |  |                  |  | (749,368,835) |  |  |  | (896,278,587) |  |  |  | 3,587,813,990 |  |  |  | 3,434,493,329 |  |  |  | 3,440,998,007 | 
|Equity attributable to shareholders of Endesa Chile    |  |                  | 3,096,484,099 |  |                  |  | 2,726,380,692 |                  |  |  | 2,874,486,485    |  |  |                  | 60,918,026   |  |                  |  | 41,617,666   |                  |  |  | 88,375,078       |  |  |                  | 939,460,405   |  |                  |  | 912,020,793   |                  |  |  | 880,989,598      |  |  |                  | 512,192,030 |  |                  |  | 503,843,013 |                  |  |  | 493,425,433      |  |  |                  | (1,021,240,570) |  |                  |  | (749,368,835) |  |  |  | (896,278,587) |  |  |  | 2,651,967,847 |  |  |  | 2,541,242,399 |  |  |  | 2,558,537,997 | 
|Issued
capital                                         |  |                  | 1,882,832,128 |  |                  |  | 1,800,828,112 |                  |  |  | 1,929,388,051    |  |  |                  | 56,349,375   |  |                  |  | 54,192,633   |                  |  |  | 84,324,737       |  |  |                  | 165,215,801   |  |                  |  | 164,600,583   |                  |  |  | 142,906,410      |  |  |                  | 186,325,266 |  |                  |  | 186,073,314 |                  |  |  | 164,297,758      |  |  |                  | (959,008,485)   |  |                  |  | (873,980,557) |  |  |  | (989,202,871) |  |  |  | 1,331,714,085 |  |  |  | 1,331,714,085 |  |  |  | 1,331,714,085 | 
|Retained earnings                                      |  |                  | 1,445,149,625 |  |                  |  | 1,085,463,341 |                  |  |  | 1,068,812,525    |  |  |                  | (15,857,261) |  |                  |  | (11,005,738) |                  |  |  | (6,550,908)      |  |  |                  | 543,834,488   |  |                  |  | 524,280,383   |                  |  |  | 128,464,532      |  |  |                  | 103,895,288 |  |                  |  | 75,744,989  |                  |  |  | 70,760,796       |  |  |                  | (168,810,285)   |  |                  |  | 34,892,657    |  |  |  | 375,300,595   |  |  |  | 1,908,211,855 |  |  |  | 1,709,375,632 |  |  |  | 1,636,787,540 | 
|Share
premium                                          |  |                  | 206,008,557   |  |                  |  | 206,008,557   |                  |  |  | 206,008,557      |  |  |                  | -            |  |                  |  | -            |                  |  |  | -                |  |  |                  | -             |  |                  |  | -             |                  |  |  | -                |  |  |                  | -           |  |                  |  | -           |                  |  |  | -                |  |  |                  | -               |  |                  |  | -             |  |  |  | -             |  |  |  | 206,008,557   |  |  |  | 206,008,557   |  |  |  | 206,008,557   | 
|Other reserves                                         |  |                  | (437,506,211) |  |                  |  | (365,919,318) |                  |  |  | (329,722,648)    |  |  |                  | 20,425,912   |  |                  |  | (1,569,229)  |                  |  |  | 10,601,249       |  |  |                  | 230,410,116   |  |                  |  | 223,139,827   |                  |  |  | 609,618,656      |  |  |                  | 221,971,476 |  |                  |  | 242,024,710 |                  |  |  | 258,366,879      |  |  |                  | 106,578,200     |  |                  |  | 89,719,065    |  |  |  | (282,376,311) |  |  |  | (793,966,650) |  |  |  | (705,855,875) |  |  |  | (615,972,185) | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|Non-controlling interests                              |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  | 935,846,143   |  |  |  | 893,250,930   |  |  |  | 882,460,010   | 
|                                                       |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |              |  |                  |  |              |                  |  |  |                  |  |  |                  |               |  |                  |  |               |                  |  |  |                  |  |  |                  |             |  |                  |  |             |                  |  |  |                  |  |  |                  |                 |  |                  |  |               |  |  |  |               |  |  |  |               |  |  |  |               |  |  |  |               | 
|TOTAL LIABILITIES AND EQUITY                           |  |                  | 4,532,592,287 |  |                  |  | 4,205,485,293 |                  |  |  | 4,406,344,903    |  |  |                  | 298,273,449  |  |                  |  | 316,578,099  |                  |  |  | 400,614,495      |  |  |                  | 2,033,662,777 |  |                  |  | 1,849,027,622 |                  |  |  | 1,632,263,297    |  |  |                  | 878,692,644 |  |                  |  | 866,977,202 |                  |  |  | 888,208,186      |  |  |                  | (981,096,321)   |  |                  |  | (784,837,153) |  |  |  | (820,683,453) |  |  |  | 6,762,124,836 |  |  |  | 6,453,231,063 |  |  |  | 6,506,747,428 | 



F-100



---

##### Table of Contents

The following table presents the segment information for the 2013, 2012, and 2011
fiscal years.



|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|---------------------------------------------------------------------------- |  | --------------- | ------------- |  | --------------- |  | ------------- | --------------- |  |  | --------------- |  |  | --------------- | ------------ |  | --------------- |  | ------------- | --------------- |  |  | --------------- |  |  | --------------- | ------------- |  | --------------- |  | ------------- | --------------- |  |  | --------------- |  |  | --------------- | ------------ |  | --------------- |  | ------------- | --------------- |  |  | --------------- |  |  | --------------- | ----------- |  | --------------- |  | --------- |  |  |  | ----------- |  |  |  | ------------- |  |  |  | --------------- |  |  |  | --------------- | 
|Country                                                                      |  | Chile           |               |  | Argentina       |  |               | Colombia        |  |  | Peru            |  |  | Eliminations    |              |  | Total           | 
|STATEMENT OF COMPREHENSIVE INCOME                                            |  | 12-31-2013ThCh$ |               |  | 12-31-2012ThCh$ |  |               | 12-31-2011ThCh$ |  |  | 12-31-2013ThCh$ |  |  | 12-31-2012ThCh$ |              |  | 12-31-2011ThCh$ |  |               | 12-31-2013ThCh$ |  |  | 12-31-2012ThCh$ |  |  | 12-31-2011ThCh$ |               |  | 12-31-2013ThCh$ |  |               | 12-31-2012ThCh$ |  |  | 12-31-2011ThCh$ |  |  | 12-31-2013ThCh$ |              |  | 12-31-2012ThCh$ |  |               | 12-31-2011ThCh$ |  |  | 12-31-2013ThCh$ |  |  | 12-31-2012ThCh$ |             |  | 12-31-2011ThCh$ | 
|REVENUES                                                                     |  |                 | 973,139,394   |  |                 |  | 1,114,619,933 |                 |  |  | 1,156,468,987   |  |  |                 | 131,443,285  |  |                 |  | 344,177,955   |                 |  |  | 390,135,504     |  |  |                 | 639,503,536   |  |                 |  | 580,125,143   |                 |  |  | 498,543,761     |  |  |                 | 283,806,401  |  |                 |  | 282,124,274   |                 |  |  | 239,841,441     |  |  |                 | (460,636)   |  |                 |  | (661,981) |  |  |  | (724,906)   |  |  |  | 2,027,431,980 |  |  |  | 2,320,385,324   |  |  |  | 2,284,264,787   | 
|Sales                                                                        |  |                 | 971,373,808   |  |                 |  | 1,054,379,612 |                 |  |  | 1,143,089,045   |  |  |                 | 97,596,846   |  |                 |  | 341,123,404   |                 |  |  | 389,963,331     |  |  |                 | 634,847,624   |  |                 |  | 579,490,649   |                 |  |  | 496,479,981     |  |  |                 | 262,546,227  |  |                 |  | 280,813,676   |                 |  |  | 239,031,927     |  |  |                 | (460,636)   |  |                 |  | (661,981) |  |  |  | (724,906)   |  |  |  | 1,965,903,869 |  |  |  | 2,255,145,360   |  |  |  | 2,267,839,378   | 
|Energy sales                                                                 |  |                 | 860,581,278   |  |                 |  | 995,304,341   |                 |  |  | 1,105,983,558   |  |  |                 | 95,315,523   |  |                 |  | 341,123,404   |                 |  |  | 389,963,331     |  |  |                 | 634,181,459   |  |                 |  | 578,673,437   |                 |  |  | 495,453,014     |  |  |                 | 255,382,989  |  |                 |  | 273,293,947   |                 |  |  | 233,663,702     |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 1,845,461,249 |  |  |  | 2,188,395,129   |  |  |  | 2,225,063,605   | 
|Other sales                                                                  |  |                 | 25,273,582    |  |                 |  | 30,347        |                 |  |  | 35,104          |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 25,273,582    |  |  |  | 30,347          |  |  |  | 35,104          | 
|Other services rendered                                                      |  |                 | 85,518,948    |  |                 |  | 59,044,924    |                 |  |  | 37,070,383      |  |  |                 | 2,281,323    |  |                 |  | -             |                 |  |  | -               |  |  |                 | 666,165       |  |                 |  | 817,212       |                 |  |  | 1,026,967       |  |  |                 | 7,163,238    |  |                 |  | 7,519,729     |                 |  |  | 5,368,225       |  |  |                 | (460,636)   |  |                 |  | (661,981) |  |  |  | (724,906)   |  |  |  | 95,169,038    |  |  |  | 66,719,884      |  |  |  | 42,740,669      | 
|Other operating income                                                       |  |                 | 1,765,586     |  |                 |  | 60,240,321    |                 |  |  | 13,379,942      |  |  |                 | 33,846,439   |  |                 |  | 3,054,551     |                 |  |  | 172,173         |  |  |                 | 4,655,912     |  |                 |  | 634,494       |                 |  |  | 2,063,780       |  |  |                 | 21,260,174   |  |                 |  | 1,310,598     |                 |  |  | 809,514         |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 61,528,111    |  |  |  | 65,239,964      |  |  |  | 16,425,409      | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|SUPPLIES AND SERVICES                                                        |  |                 | (494,895,933) |  |                 |  | (754,005,495) |                 |  |  | (601,679,840)   |  |  |                 | (36,478,648) |  |                 |  | (282,316,017) |                 |  |  | (315,717,397)   |  |  |                 | (204,419,042) |  |                 |  | (171,063,486) |                 |  |  | (134,851,692)   |  |  |                 | (95,079,949) |  |                 |  | (111,094,930) |                 |  |  | (86,884,090)    |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | (830,873,572) |  |  |  | (1,318,479,928) |  |  |  | (1,139,133,019) | 
|Energy purchases                                                             |  |                 | (124,419,095) |  |                 |  | (219,329,603) |                 |  |  | (156,532,305)   |  |  |                 | (15,687,976) |  |                 |  | (13,485,770)  |                 |  |  | (13,740,208)    |  |  |                 | (87,695,910)  |  |                 |  | (49,214,202)  |                 |  |  | (29,508,762)    |  |  |                 | (9,873,945)  |  |                 |  | (28,555,290)  |                 |  |  | (13,812,605)    |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | (237,676,926) |  |  |  | (310,584,865)   |  |  |  | (213,593,880)   | 
|Fuel consumption                                                             |  |                 | (211,612,174) |  |                 |  | (385,360,528) |                 |  |  | (319,628,442)   |  |  |                 | (9,173,816)  |  |                 |  | (255,215,278) |                 |  |  | (283,048,981)   |  |  |                 | (34,870,502)  |  |                 |  | (36,215,949)  |                 |  |  | (23,946,682)    |  |  |                 | (52,192,521) |  |                 |  | (55,518,422)  |                 |  |  | (49,411,567)    |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | (307,849,013) |  |  |  | (732,310,177)   |  |  |  | (676,035,672)   | 
|Transportation expenses                                                      |  |                 | (149,447,929) |  |                 |  | (153,277,779) |                 |  |  | (118,743,579)   |  |  |                 | (4,541,378)  |  |                 |  | (4,899,429)   |                 |  |  | (8,165,583)     |  |  |                 | (59,719,073)  |  |                 |  | (57,311,261)  |                 |  |  | (54,452,560)    |  |  |                 | (19,898,741) |  |                 |  | (19,718,720)  |                 |  |  | (16,393,695)    |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | (233,607,121) |  |  |  | (235,207,189)   |  |  |  | (197,755,417)   | 
|Other miscellaneous supplies and services                                    |  |                 | (9,416,735)   |  |                 |  | 3,962,415     |                 |  |  | (6,775,514)     |  |  |                 | (7,075,478)  |  |                 |  | (8,715,540)   |                 |  |  | (10,762,625)    |  |  |                 | (22,133,557)  |  |                 |  | (28,322,074)  |                 |  |  | (26,943,688)    |  |  |                 | (13,114,742) |  |                 |  | (7,302,498)   |                 |  |  | (7,266,223)     |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | (51,740,512)  |  |  |  | (40,377,697)    |  |  |  | (51,748,050)    | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|CONTRIBUTION MARGIN                                                          |  |                 | 478,243,461   |  |                 |  | 360,614,438   |                 |  |  | 554,789,147     |  |  |                 | 94,964,637   |  |                 |  | 61,861,938    |                 |  |  | 74,418,107      |  |  |                 | 435,084,494   |  |                 |  | 409,061,657   |                 |  |  | 363,692,069     |  |  |                 | 188,726,452  |  |                 |  | 171,029,344   |                 |  |  | 152,957,351     |  |  |                 | (460,636)   |  |                 |  | (661,981) |  |  |  | (724,906)   |  |  |  | 1,196,558,408 |  |  |  | 1,001,905,396   |  |  |  | 1,145,131,768   | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|Infrastructure work                                                          |  |                 | 10,625,755    |  |                 |  | 8,472,680     |                 |  |  | 8,391,363       |  |  |                 | 2,994,025    |  |                 |  | -             |                 |  |  | -               |  |  |                 | 5,001,430     |  |                 |  | 4,133,486     |                 |  |  | 2,187,900       |  |  |                 | 360,712      |  |                 |  | 157,020       |                 |  |  | 18,593          |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 18,981,922    |  |  |  | 12,763,186      |  |  |  | 10,597,856      | 
|Employee expenses                                                            |  |                 | (63,696,383)  |  |                 |  | (51,668,845)  |                 |  |  | (46,837,103)    |  |  |                 | (28,253,598) |  |                 |  | (22,122,227)  |                 |  |  | (18,726,175)    |  |  |                 | (18,284,458)  |  |                 |  | (15,935,879)  |                 |  |  | (13,009,393)    |  |  |                 | (13,215,319) |  |                 |  | (12,729,281)  |                 |  |  | 2,657,451       |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | (123,449,758) |  |  |  | (102,456,232)   |  |  |  | (75,915,220)    | 
|Other fixed operating expenses                                               |  |                 | (60,870,533)  |  |                 |  | (50,464,597)  |                 |  |  | (47,939,112)    |  |  |                 | (13,905,970) |  |                 |  | (14,573,635)  |                 |  |  | (9,461,693)     |  |  |                 | (20,227,858)  |  |                 |  | (21,114,679)  |                 |  |  | (62,046,375)    |  |  |                 | (18,553,676) |  |                 |  | (18,620,260)  |                 |  |  | (14,424,364)    |  |  |                 | 460,636     |  |                 |  | 661,981   |  |  |  | 724,906     |  |  |  | (113,097,401) |  |  |  | (104,111,190)   |  |  |  | (133,146,638)   | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|GROSS OPERATING RESULT                                                       |  |                 | 364,302,300   |  |                 |  | 266,953,676   |                 |  |  | 468,404,295     |  |  |                 | 55,799,094   |  |                 |  | 25,166,076    |                 |  |  | 46,230,239      |  |  |                 | 401,573,608   |  |                 |  | 376,144,585   |                 |  |  | 290,824,201     |  |  |                 | 157,318,169  |  |                 |  | 139,836,823   |                 |  |  | 141,209,031     |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 978,993,171   |  |  |  | 808,101,160     |  |  |  | 946,667,766     | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|Depreciation and amortization                                                |  |                 | (92,641,004)  |  |                 |  | (84,531,488)  |                 |  |  | (80,330,233)    |  |  |                 | (20,870,696) |  |                 |  | (22,693,512)  |                 |  |  | (16,076,458)    |  |  |                 | (37,656,687)  |  |                 |  | (38,448,802)  |                 |  |  | (37,374,270)    |  |  |                 | (38,526,952) |  |                 |  | (38,894,195)  |                 |  |  | (36,724,390)    |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | (189,695,339) |  |  |  | (184,567,997)   |  |  |  | (170,505,351)   | 
|Impairment reversals (impairment losses)                                     |  |                 | 64,138        |  |                 |  | (11,027,857)  |                 |  |  | (4,119,978)     |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | 76,227        |  |                 |  | (44,846)      |                 |  |  | 95,584          |  |  |                 | (6,599,318)  |  |                 |  | (44,659)      |                 |  |  | -               |  |  |                 | -           |  |                 |  | -         |  |  |  | (5,448,372) |  |  |  | (6,458,953)   |  |  |  | (11,117,362)    |  |  |  | (9,472,766)     | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|OPERATING INCOME                                                             |  |                 | 271,725,434   |  |                 |  | 171,394,331   |                 |  |  | 383,954,084     |  |  |                 | 34,928,398   |  |                 |  | 2,472,564     |                 |  |  | 30,153,781      |  |  |                 | 363,993,148   |  |                 |  | 337,650,937   |                 |  |  | 253,545,515     |  |  |                 | 112,191,899  |  |                 |  | 100,897,969   |                 |  |  | 104,484,641     |  |  |                 | -           |  |                 |  | -         |  |  |  | (5,448,372) |  |  |  | 782,838,879   |  |  |  | 612,415,801     |  |  |  | 766,689,649     | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|FINANCIAL RESULT                                                             |  |                 | (62,908,296)  |  |                 |  | (63,481,231)  |                 |  |  | (45,458,360)    |  |  |                 | (36,683,640) |  |                 |  | (27,319,008)  |                 |  |  | (18,331,475)    |  |  |                 | (26,968,562)  |  |                 |  | (38,994,215)  |                 |  |  | (44,419,835)    |  |  |                 | (8,116,368)  |  |                 |  | (16,900,095)  |                 |  |  | (10,606,999)    |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (274,113)   |  |  |  | (137,129,517) |  |  |  | (146,995,434)   |  |  |  | (119,090,782)   | 
|Financial income                                                             |  |                 | 3,544,993     |  |                 |  | 5,440,056     |                 |  |  | 14,398,117      |  |  |                 | 2,824,892    |  |                 |  | 2,981,596     |                 |  |  | 6,772,658       |  |  |                 | 11,243,116    |  |                 |  | 5,192,631     |                 |  |  | 6,432,904       |  |  |                 | 909,512      |  |                 |  | 1,235,495     |                 |  |  | 863,365         |  |  |                 | (230,170)   |  |                 |  | (219,816) |  |  |  | (202,852)   |  |  |  | 18,292,343    |  |  |  | 14,629,962      |  |  |  | 28,264,192      | 
|Financial expenses                                                           |  |                 | (77,522,891)  |  |                 |  | (66,781,258)  |                 |  |  | (55,150,074)    |  |  |                 | (18,723,405) |  |                 |  | (19,897,247)  |                 |  |  | (18,893,327)    |  |  |                 | (38,653,807)  |  |                 |  | (43,919,634)  |                 |  |  | (50,611,555)    |  |  |                 | (7,996,843)  |  |                 |  | (18,090,344)  |                 |  |  | (10,805,563)    |  |  |                 | 230,170     |  |                 |  | 219,816   |  |  |  | 202,852     |  |  |  | (142,666,776) |  |  |  | (148,468,667)   |  |  |  | (135,257,667)   | 
|Gain (loss) from indexed assets and liabilities                              |  |                 | 1,001,573     |  |                 |  | (1,066,291)   |                 |  |  | (5,447,396)     |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -           |  |                 |  | -         |  |  |  | -           |  |  |  | 1,001,573     |  |  |  | (1,066,291)     |  |  |  | (5,447,396)     | 
|Foreign currency exchange differences                                        |  |                 | 10,068,029    |  |                 |  | (1,073,738)   |                 |  |  | 740,993         |  |  |                 | (20,785,127) |  |                 |  | (10,403,357)  |                 |  |  | (6,210,806)     |  |  |                 | 442,129       |  |                 |  | (267,212)     |                 |  |  | (241,184)       |  |  |                 | (1,029,037)  |  |                 |  | (45,246)      |                 |  |  | (664,801)       |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (274,113)   |  |  |  | (13,756,657)  |  |  |  | (12,090,438)    |  |  |  | (6,649,911)     | 
|Positive                                                                     |  |                 | 26,215,267    |  |                 |  | 7,585,430     |                 |  |  | 14,069,358      |  |  |                 | 15,593,040   |  |                 |  | 8,137,994     |                 |  |  | 4,840,354       |  |  |                 | 740,030       |  |                 |  | 407,595       |                 |  |  | 389,810         |  |  |                 | 618          |  |                 |  | 3,196         |                 |  |  | 19,821          |  |  |                 | (2,891,630) |  |                 |  | (364,014) |  |  |  | (397,714)   |  |  |  | 39,657,325    |  |  |  | 15,770,201      |  |  |  | 18,921,629      | 
|Negative                                                                     |  |                 | (16,147,238)  |  |                 |  | (8,659,168)   |                 |  |  | (13,328,365)    |  |  |                 | (36,378,167) |  |                 |  | (18,541,351)  |                 |  |  | (11,051,160)    |  |  |                 | (297,901)     |  |                 |  | (674,807)     |                 |  |  | (630,994)       |  |  |                 | (1,029,655)  |  |                 |  | (48,442)      |                 |  |  | (684,622)       |  |  |                 | 438,979     |  |                 |  | 63,129    |  |  |  | 123,601     |  |  |  | (53,413,982)  |  |  |  | (27,860,639)    |  |  |  | (25,571,540)    | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|Share of profit (loss) from associates accounted for using the equity
method |  |                 | 109,165,914   |  |                 |  | 123,917,501   |                 |  |  | 126,673,587     |  |  |                 | 144,312      |  |                 |  | (24,718)      |                 |  |  | 249,673         |  |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | 10,036,957   |  |                 |  | 11,120,211    |                 |  |  | 11,932,390      |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | 119,347,183   |  |  |  | 135,012,994     |  |  |  | 138,855,650     | 
|Negative consolidation difference                                            |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | -             |  |  |  | -               |  |  |  | -               | 
|Gain (loss) from other investments                                           |  |                 | 67,385        |  |                 |  | 78,184        |                 |  |  | 539,283         |  |  |                 | 725,672      |  |                 |  | 579,029       |                 |  |  | 498,877         |  |  |                 | -             |  |                 |  | -             |                 |  |  | -               |  |  |                 | -            |  |                 |  | -             |                 |  |  | -               |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | 793,057       |  |  |  | 657,213         |  |  |  | 1,038,160       | 
|Gain (loss) from the sale of property, plant, and equipment                  |  |                 | 2,446,539     |  |                 |  | 13,828        |                 |  |  | 475,662         |  |  |                 | -            |  |                 |  | 2,032         |                 |  |  | -               |  |  |                 | 310,238       |  |                 |  | 187,055       |                 |  |  | 70,187          |  |  |                 | (192,695)    |  |                 |  | 562,330       |                 |  |  | 426,771         |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | 2,564,082     |  |  |  | 765,245         |  |  |  | 972,620         | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|NET INCOME BEFORE TAX                                                        |  |                 | 320,496,976   |  |                 |  | 231,922,613   |                 |  |  | 466,184,256     |  |  |                 | (885,258)    |  |                 |  | (24,290,101)  |                 |  |  | 12,570,856      |  |  |                 | 337,334,824   |  |                 |  | 298,843,777   |                 |  |  | 209,195,867     |  |  |                 | 113,919,793  |  |                 |  | 95,680,415    |                 |  |  | 106,236,803     |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (5,722,485) |  |  |  | 768,413,684   |  |  |  | 601,855,819     |  |  |  | 788,465,297     | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|Income tax                                                                   |  |                 | (58,646,152)  |  |                 |  | (46,417,608)  |                 |  |  | (76,527,928)    |  |  |                 | (8,988,962)  |  |                 |  | (7,526,935)   |                 |  |  | (22,295,809)    |  |  |                 | (106,510,265) |  |                 |  | (97,613,166)  |                 |  |  | (80,757,113)    |  |  |                 | (30,762,068) |  |                 |  | (31,275,247)  |                 |  |  | (27,749,046)    |  |  |                 | -           |  |                 |  | -         |  |  |  |             |  |  |  | (204,907,447) |  |  |  | (182,832,956)   |  |  |  | (207,329,896)   | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|NET INCOME AFTER TAX FROM CONTINUING OPERATIONS                              |  |                 | 261,850,824   |  |                 |  | 185,505,005   |                 |  |  | 389,656,328     |  |  |                 | (9,874,220)  |  |                 |  | (31,817,036)  |                 |  |  | (9,724,953)     |  |  |                 | 230,824,559   |  |                 |  | 201,230,611   |                 |  |  | 128,438,754     |  |  |                 | 83,157,725   |  |                 |  | 64,405,168    |                 |  |  | 78,487,757      |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (5,722,485) |  |  |  | 563,506,237   |  |  |  | 419,022,863     |  |  |  | 581,135,401     | 
|Net income from discontinued operations                                      |  |                 | -             |  |                 |  | -             |                 |  |  |                 |  |  |                 | -            |  |                 |  | -             |                 |  |  |                 |  |  |                 | -             |  |                 |  | -             |                 |  |  |                 |  |  |                 | -            |  |                 |  | -             |                 |  |  |                 |  |  |                 |             |  |                 |  | -         |  |  |  |             |  |  |  |               |  |  |  | -               |  |  |  | -               | 
|NET INCOME                                                                   |  |                 | 261,850,824   |  |                 |  | 185,505,005   |                 |  |  | 389,656,328     |  |  |                 | (9,874,220)  |  |                 |  | (31,817,036)  |                 |  |  | (9,724,953)     |  |  |                 | 230,824,559   |  |                 |  | 201,230,611   |                 |  |  | 128,438,754     |  |  |                 | 83,157,725   |  |                 |  | 64,405,168    |                 |  |  | 78,487,757      |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (5,722,485) |  |  |  | 563,506,237   |  |  |  | 419,022,863     |  |  |  | 581,135,401     | 
|                                                                             |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  |               |  |  |  |                 |  |  |  |                 | 
|NET INCOME ATTRIBUTABLE TO                                                   |  |                 | 261,850,824   |  |                 |  | 185,505,005   |                 |  |  | 389,656,328     |  |  |                 | (9,874,220)  |  |                 |  | (31,817,036)  |                 |  |  | (9,724,953)     |  |  |                 | 230,824,559   |  |                 |  | 201,230,611   |                 |  |  | 128,438,754     |  |  |                 | 83,157,725   |  |                 |  | 64,405,168    |                 |  |  | 78,487,757      |  |  |                 | (2,452,651) |  |                 |  | (300,885) |  |  |  | (5,722,485) |  |  |  | 563,506,237   |  |  |  | 419,022,863     |  |  |  | 581,135,401     | 
|Shareholders of Endesa Chile                                                 |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  | 353,926,779   |  |  |  | 234,335,264     |  |  |  | 446,874,043     | 
|Non-controlling interests                                                    |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |               |  |                 |  |               |                 |  |  |                 |  |  |                 |              |  |                 |  |               |                 |  |  |                 |  |  |                 |             |  |                 |  |           |  |  |  |             |  |  |  | 209,579,458   |  |  |  | 184,687,599     |  |  |  | 134,261,358     | 



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##### Table of Contents

32.   THIRD PARTY GUARANTEES, OTHER CONTINGENT ASSETS AND LIABILITIES,
AND OTHER COMMITMENTS

32.1 Direct guarantees



|                                 |      |                  |              |           |                   |                                 |      |                             |                    |       |                  |                     |            |          |  |            |  |  |             |  |  |            |            |  |      |  |             |        |  |  |      |  |  |        |   |  |      |  |   |        |  |  |   |  |  |  |   |  |  |  |   | 
|-------------------------------- | ---- | ---------------- | ------------ | --------- | ----------------- | ------------------------------- | ---- | --------------------------- | ------------------ | ----- | ---------------- | ------------------- | ---------- | -------- |  | ---------- |  |  | ----------- |  |  | ---------- | ---------- |  | ---- |  | ----------- | ------ |  |  | ---- |  |  | ------ | - |  | ---- |  | - | ------ |  |  | - |  |  |  | - |  |  |  | - | 
|Creditor of Guarantee            |      | Debtor           |              |           |                   | Assets Committed                |      |                             | Balance Pending at |       |                  | Guarantees Released |           
|                                 | Name |                  | Relationship |           | Type of Guarantee |                                 | Type |                             | Currency           |       | Accounting Value |                     |            | Currency |  | 12-31-2013 |  |  | 12-31-2012  |  |  | 01-01-2012 |            |  | 2013 |  |             | Assets |  |  | 2014 |  |  | Assets |   |  | 2015 |  |   | Assets | 
|Mitsubishi                       |      | Endesa Costanera |              | Creditor  |                   | Pledge                          |      | Combined cycle              |                    | ThCh$ |                  |                     | 24,374,559 |          |  | ThCh$      |  |  | 73,830,430  |  |  |            | 67,546,660 |  |      |  | 73,262,031  |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Credit Suisse First Boston       |      | Endesa Costanera |              | Creditor  |                   | Pledge                          |      | Combined cycle              |                    | ThCh$ |                  |                     | 10,725,737 |          |  | ThCh$      |  |  | 3,147,660   |  |  |            | 4,799,600  |  |      |  | 5,192,000   |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Banco de la Nación Argentina     |      | Endesa Costanera |              | Creditor  |                   | Pledge on collection and others |      | Collection CAMMESA accounts |                    | ThCh$ |                  |                     | 521,832    |          |  | ThCh$      |  |  | 521,832     |  |  |            | 2,902,660  |  |      |  | -           |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Citibank N.A.                    |      | Endesa Chile     |              | Creditor  |                   | Pledge                          |      | Current acct. deposit       |                    | ThCh$ |                  |                     | 1,049,220  |          |  | ThCh$      |  |  | 796,448     |  |  |            | -          |  |      |  | -           |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Various creditors                |      | Edegel           |              | Creditor  |                   | Pledge                          |      | Real estate and equipment   |                    | ThCh$ |                  |                     | -          |          |  | ThCh$      |  |  | -           |  |  |            | -          |  |      |  | 7,127,904   |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Scotiabank                       |      | Chinango         |              | Creditor  |                   | Pledge                          |      | Collections                 |                    | ThCh$ |                  |                     | -          |          |  | ThCh$      |  |  | -           |  |  |            | -          |  |      |  | 16,095,200  |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 
|Banco Santander (security agent) |      | G.N.L. Quintero  |              | Associate |                   | Pledge                          |      | Shares                      |                    | ThCh$ |                  |                     | 4,789,060  |          |  | ThCh$      |  |  | 102,302,517 |  |  |            | 97,034,059 |  |      |  | 109,265,974 |        |  |  | -    |  |  |        | - |  |      |  | - |        |  |  | - |  |  |  | - |  |  |  | - | 

As of December 31, 2013, December 31, 2012, and January 1, 2012, the amount of the
Groups property, plant, and equipment pledged as collateral for liabilities amounted to ThCh$35,100,296, ThCh$ 57,129,918, and ThCh$154,141,593, respectively.

As of December 31, 2013, Endesa Chile had future energy purchase commitments totaling ThCh$657,570,340 (there were none at
December 31, 2012).

32.2 Indirect guarantees



|                      |  |          |  |                  |  |                    |  |          |                     |                  |  |          |  |            |           |  |            |  |            |            |  |  |            |  |  |        |   |  |      |  |   |        |  |  |      |  |  |      |   |  |  |  |   |  |  |  |   | 
|--------------------- |  | -------- |  | ---------------- |  | ------------------ |  | -------- | ------------------- | ---------------- |  | -------- |  | ---------- | --------- |  | ---------- |  | ---------- | ---------- |  |  | ---------- |  |  | ------ | - |  | ---- |  | - | ------ |  |  | ---- |  |  | ---- | - |  |  |  | - |  |  |  | - | 
|                      |  | Debtor   |  | Assets Committed |  | Balance Pending at |  |          | Guarantees Released |                 
|Creditor of Guarantee |  | Name     |  | Relationship     |  | Type of
Guarantee  |  | Currency |                     | Accounting Value |  | Currency |  | 12-31-2013 |           |  | 12-31-2012 |  |            | 01-01-2012 |  |  | 2013       |  |  | Assets |   |  | 2014 |  |   | Assets |  |  | 2015 |  |  | 2016 |  
|                      |  |          |  |                  |  |                    |  |          |                     |                  |  |          |  |            |           |  |            |  |            |            |  |  |            |  |  |        |   |  |      |  |   |        |  |  |      |  |  |      |   |  |  |  |   |  |  |  |   | 
|Bonds and bank loans  |  | Chinango |  | Subsidiary       |  | Guarantee          |  | ThCh$    |                     | 9,061,826        |  | ThCh$    |  |            | 4,692,397 |  |            |  | 15,245,788 |            |  |  | 21,533,733 |  |  |        | - |  |      |  | - |        |  |  | -    |  |  |      | - |  |  |  | - |  |  |  | - | 



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##### Table of Contents

32.3 Lawsuits and Arbitrations Proceedings.

As of the date of these consolidated financial statements, the most relevant litigation involving the Group companies
are as follows:

a) Pending lawsuits of Endesa Chile and Subsidiaries



| | 1. | In 2005, three lawsuits were filed against Endesa Chile, the Government of Chile and the Chilean General Water Affairs Bureau (the
DGA), currently being treated as a single proceeding, requesting that DGA Resolution 134, which established non-consumptive water rights in favor of Endesa Chile to build the Neltume hydroelectric station project be declared null as a
matter of public policy, with compensation for damages. Alternatively, damages were sought for the detriment allegedly sustained by the plaintiffs due to the loss of their status as riparian owners along Pirehueico Lake, as well as due to the
devaluation of their properties. The defendants have rejected these allegations, contending that the resolution complies with all legal requirements, and that the exercise of this right does not cause any detriment to the plaintiffs, among other
arguments. The sums involved in these suits are undetermined. This case was joined with two other cases: the first one is captioned Arrieta v. the State and Others in the 9th Civil Court, docket 15279-2005 and the second is captioned
Jordán v. the State and Others, in the 10th Civil Court, docket 1608-2005. With regard to these cases, an injunction has been ordered against entering into any acts and contracts concerning Endesa Chiles water rights related
to the Neltume project. In terms of the status of this proceeding, the regular evidence period has ended and the parties have been summoned to hear the judgment. The resolution that summons the parties to hear the judgment is currently challenged by
the State Defense Council, which seeks to leave without effect and in turn resolve the incident of accumulation of proceedings, which is pending to date.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2. | During 2010, three lawsuits for damages were filed against Endesa Chile by plaintiffs alleging that they were affected by the flooding of the
Bio-Bio River in Region VIII. The plaintiffs sued Endesa Chile for losses caused by its deficient operation of the Ralco hydroelectric station during the flood. These three cases were joined, and a first instance ruling has been issued which denies
the claim filed in all its parts. The ruling was appealed and such appeal has not yet been reviewed by the court. The plaintiffs are required to produce legal evidence proving the causal link between the operation of the Ralco hydroelectric station
during the floods and the damages that the plaintiffs claim they sustained as a result of deficient facility operation. Regarding the status of the proceedings, on March 27, 2012, there was a first instance judgment filed, which rejects the
claim filed in all its parts. The plaintiff filed an appeal on March 12, 2013, where the Court of Appeals ordered proceedings to supplement the judgment, since there were exceptions and defenses that were not resolved in the first instance
judgment. On May 2, 2013, the first instance Court of Law filed a supplementary judgment, referring to the exceptions and defenses that were not resolved in the first initial judgment. To date the proceeding is once again in the Court of
Appeals of Concepción to be heard and in order to rule on the appeals filed.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The amount involved
in the three lawsuits currently pending against Endesa Chile is Ch$ 14,610 million. It is worth noting that the total risk of these proceedings is covered by an insurance policy.



| | 3. | In July and September of 2010, Ingeniería y Construcción Madrid S.A. and Transportes Silva y Silva Limitada, respectively, filed
separate lawsuits against Endesa Chile and the Chilean General Water Affairs Bureau (the DGA), seeking to declare the annulment of DGAs administrative resolution 134 that granted Endesa Chiles water rights for the Neltume
hydroelectric station. Similarly, Ingeniería y Construcción Madrid S.A. and Transportes Silva y Silva Limitada, respectively, each filed suits against DGAs administrative resolution 732 that authorized the relocation of the
collection point of such rights null as a matter of public policy. Ultimately, the plaintiffs attempted to demand payment for their water rights located in the area of influence of the hydraulic works for the future Neltume station. Endesa Chile has
rejected these claims, contending that the plaintiffs are engaging in wrongful prosecution to prevent the construction of the station in order to obtain monetary compensation. As to the status of the two lawsuits, it is worth noting that in the
complaint filed by Ingeniería y Construcción Madrid S.A. (Case No. 7036-2010), the discovery period has expired, and the parties have been summoned to hear judgment. Regarding the other lawsuit (Case No. 6705-2010),
requesting the annulment of DGA resolution 732, on March 12, 2012 a ruling was issued that declared the proceeding as abandoned. Afterwards, on June 27, 2012, Ingeniería y Construcción Madrid, filed a similar claim before
another Court of Law (Role C-15156-2012), proceeding in which the discussion period and the regular evidence period have ended. To date, the testimony obstruction alleged by Endesa Chile is still pending resolution, in order to obtain an
extraordinary evidence stage, that allows rendering evidence of the witnesses that are still pending.
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

On the other hand, in the legal suit filed by Transportes Silva y Silva Ltda,
(Case No. 16025-2012), which contests DGA resolution 134, the proceeding was declared as abandoned. In another suit filed (Case No. 17916-2010), a similar request was made for the action to be declared as abandoned, however this request
was denied. The plaintiff has filed an appeal against such sentence, which was accepted on May 10, 2013, declaring the proceeding as abandoned. The resolution is firm and executed. The amount of this proceeding is indeterminate.



| | 4. | On May 24, 2011, Endesa Chile was served with a lawsuit filed by 19 riparian owners along the Pirihueico Lake, seeking to declare null DGA
Resolution 732, which authorized the relocation of water catchment rights for the Neltume station, from the Pirihueico Lake 900 meters downstream along Fui River. The plaintiffs seek to have this annulment annotated at the margin of the notarized
instrument that memorialized DGA Resolution 732, which approved the transfer of the catchment. The plaintiffs also seek to have the recordation of said instrument struck from the waters registry, if entered, and to require the Chilean Government,
the DGA and Endesa Chile to pay damages to the plaintiffs as a result of the challenged DGA resolution, seeking to reserve their right to indicate the type and amount of damages in subsequent legal proceeding. The claim is for an undetermined amount
since the plaintiffs have requested that damages be determined in another suit, once the DGAs administrative resolution is declared null and void. To date, the discussion period has ended and the evidence writ has been issued, which when
received by the parties was the object of a replacement appeal filed by the plaintiff and an annulment petition filed by Endesa Chile, which were both rejected. The proceeding was suspended by mutual agreement until March 9, 2013, after which
the proceeding began again. On August 20, 2013 the conciliation hearing that was pending happened, without arriving to a conciliation. To date, the regular evidence period has expired. The expert examination process is still pending.
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| | 5. | On October 24, 2012, Endesa Chile filed suit against Minera Lumina Copper Chile (hereinafter MLCC) before an arbitration court of law so that
it can declare electric power and energy purchase - sale contract entered into by and between Endesa Chile and MLCC, on June 22, 2010 terminated, grounded on the fact that complying with the supplying and selling electric power and energy to
MLCC had become highly onerous for Endesa Chile breaking the economic balance of economic services for both parties. In subsidy, the arbitration court of law is requested to review and/or adjust MLCCs supply service, in subsidy of the latter,
to declare the MLCCs obligation to pay for Endesa Chiles energy and electric power supply at the cost that the latter bears for serving the contract. Finally, it is requested that the court order the defendant to pay for all of Endesa
Chiles detriment on executing the contract. The arbitration proceeding is seen before the Arbitrating Judge Arturo Yrarrázabal. Regarding the proceeding status, on August 13, 2013, the case enters into the evidence period. The
parties by mutual agreement decided to suspend the proceeding from August 23 to September 27, 2013, both dates inclusive. The evidence term expired on November 29, 2013, pending performing the expert review that the arbitrator judge
decreed.
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| | 6. | The arbitration proceeding will be heard by the International Chamber of Commerce (ICC), hereinafter the Chamber, under the framework of the
Bocamina Thermal Power Plant Extension Project Contract for the turnkey supply of a coal thermal generation plant, located in Coronel, Eighth Region of Chile, signed in July 2007 between Endesa Chile and the Consortium formed by Ingeniería y
Construcción Tecnimont Chile Compañía Limitada, Tecnimont SpA, Tecnimont do Brasil Construcao e Administracao de Projetos Ltda., Slovenske Energeticke Strojarne a.s. (SES) and Ingeniería y Construcción SES Chile
Limitada.
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As a result of material breaches of the Consortium, for not finishing the works according to
the terms and conditions agreed and within the time period stipulated in the Contract and its supplementary documents, on October 16, 2012 Endesa Chile went on, strictly complying with the conditions authorized in the Contract for such purpose,
to collect the performance bonds, and in particular, those issued by Banco Santander Chile for US$ 93,992,554 (approximately Ch$ 49,309 million) and the one from Credit Agricole for US$ 18,940,294.84 (approximately Ch$ 9,936 million). To date
Endesa Chile has only been able to collect the performance bonds issued by Banco Santander Chile.

Upon collection of the
aforementioned performance bonds, Endesa Chile filed before the Chamber (Role 19015/CA) a request for arbitration to obtain the forced compliance of the Contract plus compensation for damages, and, as a subsidiary request, termination of the
Contract with compensation for damages. In both cases, Endesa Chile reserved the right to file litigation regarding the amount and sum of the damages at a later stage. Endesa Chile based its claim on the serious non-compliance of the Consortium,
among which are the following: Material breach of the contractual



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date of the end of the works, the lack of payment to subcontractors and suppliers, which has forced Endesa Chile to take on part of their commitments, all of the above in order to avoid a
situation of total stoppage of the works; material breach of the schedule of intermediate control stages agreed to; breach of the Open Book delivery time period of the works; as well as a lack of compliance with safety and environmental
standards agreed to and the administrative standards proscribed for managing the Contract, among other material breaches by the Consortium.

In turn, SES filed legal actions before the Chamber (Role 1924/CA) requesting that the collection of the performance bonds
that Endesa Chile carried out be declared illegal.

On January 4, 2013, Endesa Chile notified the Consortium of the
anticipatory termination of the Contract due to material breach of its obligations, all of the above according to the norms prescribed in the Contract.

In terms of the status of the proceedings, in January 2013, the members of the Consortium SES- TECNIMONT, separately, have
contested the request for arbitration filed by Endesa Chile and along with that, have filed a suit against Endesa Chile for US$ 1,294 million (approximately Ch$ 678,845 million), in Tecnimonts case, and for US$ 15 million
(approximately Ch$ 7,869 million), in SESs case. On March 26, 2013, Endesa Chile answered the counterclaims filed against the company, requesting their rejection since they are inadmissible and inappropriate.

The proceeding filed by SES (Role 1924/CA) was consolidated with the arbitration proceeding described herein above. On
June 21, 2013, upon request of the arbitration court, the bases of the procedural proposals or simultaneous procedure were filed in a clear and precise manner as well as their respective proposed schedules. On July 2, 2013, the procedural
order that established the procedural rules whereby the proceeding will be conducted was approved. Dated December 2, 2013 the parties exchanged legal suit briefs. In turn, Endesa Chile requested in its Suit Brief that the arbitrational court
declare the contractual non-compliance of the defendants, attributable to serious fraud or negligence by them or, subsidiary, to culpa grave, and that the contract term be recognized due to the cause of the Contractors
Non-Compliance. Grounded on the above, it requests that the presentation of collecting the bond performance bonds given by Endesa Chile is according to the law and requests sentencing the defendants to fines and detriment, amounting in total
to US$ 373,269,376 (approximately Ch$ 195,821 million). After filing their claim briefs, the parties will be able to file their contest records. Taking into consideration the extension requested by Tecnimont the term to object the documents is
pending to date.



| | 7. | On August 22, 2013, the companies Endesa Chile, Pehuenche and San Isidro filed before the Court of Appeals of Santiago an electrical
illegality claim against the Chilean Superintendency of Electricity and Fuels(SEF), due to the decree of legal writ ORD No. 7230, dated August 7, 2013, which, relying on its interpretative and supervisory faculties, decreed that the
consumption surpluses over the contracted supply that the distributing companies incur, in regards to the generators that are forced by means of a bid to carry out supply, must be covered with the surpluses in the bids of the other generating
companies in reference to its distributors, for whose effect the distributors with surpluses can assign their surpluses to the distributors which have deficits, irrespective of the will of the respective generator, which is contrary to the Law and
exceeds SEFs faculties and authorities, resulting in an illegal resolution.
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In terms of the
status of this proceeding, in the three illegality claims it was requested that an injunction be declared, which was denied in the San Isidro and Pehuenche suits and instead was granted in the Endesa Chile suit. With the aforementioned, the
aggravated effects are suspended of the challenged SEF order. Finally, it was resolved in an effort to achieve the objective, that the effects of the injunction are communicated to all the companies. To date, it has been heard and is in agreement
for sentencing.



| | 8. | In August 2013 the Superintendence of the Environment filed charges against Endesa Chile, due to a serious of violations to Exempt Resolution
No. 206, dated August 2, 2007 and its supplementary and clarifying resolutions that environmentally qualify the Bocamina Thermal Power Plant Extension Project (Proyecto Ampliación Central Térmica Bocamina).
These violations are related to the cooling system discharge channel, not having operational the Bocamina I Desulphurizer, the non-forwarding of information, surpassing the CO limit for Bocamina I imposed for Bocamina II during January 2013,
failures in the perimeter acoustic closing of Bocamina I, emitting noise, and not having technological barriers that impede massive entrance of Bio-mass in the power plant intake. Endesa Chile submitted a compliance program that was rejected. On
November 27, 2013, the Superintendence of the Environment reformulated the charges filed adding two new ones to those already filed. Endesa Chile has presented its defense in December 2013, which partially recognizes some of these violations
(in order to reduce the fine 25%, in case they are recognized) and contesting the rest. Endesa is waiting to hear the decision of the Superintendence of the Environment.
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| | On the other hand, in December 2013, fishermens and algae collectors trade unions and related activities of Coronel, among others, filed two protection recourses against Endesa Chile
before the Court of Appeals of Concepcion. The first is grounded on the fact that Endesa Chile would be operating Unit II of the Bocamina Thermal Power Plant, without having, in the opinion of the parties filing the claim, the environmental
qualification for its operation, and second, that it would not have the Desulphurizing Plant operational for the operation of Unit I of the Bocamina Power Plant, according to what is demanded by the Environmental Qualification Resolution. The
parties filing the claim attached a copy of the penalizing procedure pursued before the Superintendence of the Environment. The plaintiffs obtained in the first of these recourses a cautionary measure (temporary injunction against further process),
which orders stopping the operation of the Generating Unit II of the Bocamina Power Plant. Endesa Chile, in turn, requested releasing this temporary injunction against further process, petition that was rejected by the Court. Similarly, it filed its
response to both recourses, contributing background information for their rejection. Both recourses to date are accumulated pending their processing and pending there being heard by the Court of Appeals of Concepción and, therefore, Unit II
continues to be detained.
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| | 9. | In January and February, 2013, the Municipality of Huasco, and others, filed 4 protection recourses, against Agreement No. 17/2012, of the
Honorable Ministers Committee that is referred to in Article No. 20 of Law 19,300, of the Terms and Conditions of the Environment, which based on a claim filed by Endesa Chile, against the Service Resolution of the Environmental Assessment that
rejects the environmental authorization of the Punta Alcalde Thermal Project, accepts the claim ordering the projects favorable environmental qualification. Such agreement was published on January 17, 2013, and in the opinion of the
claimants violates the constitutional guarantee of living in an environment free from pollution. The four protection recourses correspond to Roles 59-2013, 7947-2013, 8413-2013 and 8795-2013, in terms of which their joint view was ordered one after
the other. Once their view has been done, dated August 1, 2013 a resolution was sentenced that accepts the protection recourses and orders the Ministers Committee to hold a new hearing, in order to ground according to law, which is why
the functioning of the Central Pta. Alcalde (Alcalde Power Plant) is authorized. Against such resolution, both the Government of Chile as well as Endesa Chile filed an appeal recourse, which to date is still pending sentencing before the Supreme
Court. The amount of these prudential procedures is undetermined.
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| | 10. | In 2001, a lawsuit was filed against the Colombian generation subsidiary Emgesa S.A. E.S.P., Empresa de Energía de Bogotá S.A. E.S.P.
(EEB) and Corporación Autónoma Regional, by the inhabitants of Sibaté, Department of Cundinamarca. The lawsuit seeks to make the defendants jointly and severally liable for the damages arising from the pollution of
the El Muñá reservoir, as a result of Emgesas pumping of polluted waters from the Bogotá River. Emgesa has challenged these allegations, establishing that it is not liable for these damages, arguing, among other things,
that it receives already polluted waters, among other arguments. The initial demand of the plaintiffs was for approximately 3 trillion Colombian pesos, which is equal to approximately Ch$ 816,798 million. Emgesa petitioned for the joinder of
numerous public and private entities that dump into the waters of the Bogotá River or that in any way or another have responsibility for the environmental management of this rivers basin, with respect to which petition the Third Section
of the State Council resolved to have some of these companies joined as defendants. In January 2013 answers that were filed by several of the defendants against the complaint and in June 2013 the petition for annulment of what was done in the
proceeding was resolved to be denied as out-of-order. Currently the prior exceptions resolution and call to the conciliation hearing are still pending in the proceedings.
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| | 11. | The fiscal authority in Peru SUNAT questioned a EDEGEL in 2001, through Taxes and Fine Resolutions, on the way of depreciating assets valuation.
SUNAT did not take into account the depreciation deduction corresponding to a greater part of the superior value allocated to assets in the voluntary re-evaluation performed in 1996, as an expense in the calculation of the companys income tax.
The amount of the appraisal rejected by SUNAT is related with financial interests paid by the company during the energy plants construction phase. The position of the taxing administration is that Edegel has not shown the following in a concluding
manner: ( i ) that it is necessary to obtain financing for building power plants that were later re-evaluated or ( ii ) that such financing has effectively been incurred upon. The companys position is that SUNAT cannot demand such evidence in
order to question the company re-evaluation performed, and that it corresponds to when such re-evaluation has been performed and not the historical value of goods. In this case, the valuation method considers that power plants of such magnitude are
built with financing. If SUNAT did not agree with the valuation, it should have opposed its own appraisal, which it did not do. In February 2012, the Fiscal Court of Law (TF, as per its acronym in Spanish) sentenced in the case of the of the 1999
Income Tax accounting period, in favor of the company regarding two of its power plants and against the company in regards to four of them, based on the argument that only in the case of the first two, it was verified that there was financing. Thus
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| | the TF ordered SUNAT to calculate debt again according to the established criteria. In June 2012, Edegel paid the debt calculated by SUNAT (11 mm ); the amount will be recovered if there
are favorable sentences in the following litigations Edegel has filed: (i) Administrative Contentious Claim to the Judicial Power against TFs sentence, filed in May 2012 (it would correspond to a total return) ii) Partial appeal against
the calculation that SUNAT has performed in order to comply with TFs sentence, based on the fact that the recalculation that SUNAT has performed is incorrect, filed in July 2012 (it would correspond to a partial return). In reference to the
Administrative Contentious Claim: In August 2013, the Judicial Power notified Edegel on the correction of procedure errors (Procedural Remediation Resolution). In this Resolution, the Judicial Power denied some of Edegels petitions regarding
the grounds of its legal inadmissibility. Edegel filed an appeal to annul this Resolution, for being inappropriate (there is a lack of adequate motivation) and because it was issued out of time. In conclusion, the proceedings status is the
following: For the 1999 accounting period, the annulment recourse that Edegel filed is pending resolution by the TF. For the 2000-2001 accounting periods, the company will file new evidence found in order to reduce the part that would be
lost from 6 mm  to 1.3 mm . The TF can declare that the evidence is inadmissible since it is out of time. The sum of these claims amounts to S/. 116,388,902 (approx. M$ 21,845,718).
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| | 12. | A Class Action has been filed by the people of the Municipality of Garzón, based on the fact that due to the construction of the
hydroelectric project El Quimbo, their income from handicraft or entrepreneurial activities have been decreased by an average of 30%, which decrease was not considered when the projects social-economic impact report was drafted. Currently, the
number of plaintiffs amounts to 1,900 persons. Emgesa rejects these allegations based on: its allegation that the social-economic impact report complied with all the methodological criteria, including giving all interested parties the opportunity to
comment on the report; the fact that the plaintiffs are not residents and for this type of people, compensation are only allowed for those whose income are mainly derived from their activity in the El Quimbo projects direct area of influence;
and that compensation must not be beyond the first link of the production chain and must be based on the status of the income indicators of each affected person. In terms of the proceeding status, the conciliation hearing has been held,
ending in failure. Afterwards, a resolution was sentenced decreeing the evidences requested by the parties, against which reconsideration recourses were filed, currently pending. It is equally worth mentioning that on August 24, 2013 a document
was signed by the Colombian State, Emgesa and the population of the area for the creation of a Governance Structure, a forum for dialogue and coordination that has the purpose of dealing in an efficient manner with the social and environmental
conflicts generated in the development of the El Quimbo hydroelectric project and preventing any others that could arise. The amount involved in this proceeding is estimated to be approximately 93 thousand million Colombian pesos (approximately
Ch$ 25,321 million).
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b) Pending lawsuits in associates and joint
ventures

Endesa Brasil and Subsidiaries:



| | 1. | In Brazil, Basilus S/A Serviços, Empreendimentos e Participações (successor of Meridional S/A Serviços, Empreendimentos
e Participações starting 2008) is the title holder of the rights it acquired from the construction companies Mistral and CIVEL, which had a civil works contract with Centrais Elétricas Fluminense S.A. (CELF). This contract was
terminated before CELFs privatization process. Since CELFs assets were transferred to Ampla during the privatization process, Basilus (previously Meridional) sued Ampla in 1998, contending that the referred to assets had been transferred
in detriment of its rights. Ampla only acquired assets from CELF, but is not its successor-in-interest since CELF, a state-owned company, still exits and maintains its legal capacity. The plaintiff demanded payment of pending invoices and
contractual penalties for termination of the civil works contract. In March 2009, the court decided in favor of Meridional, and Ampla and the State of Rio de Janeiro filed the corresponding appeals. On December 15, 2009, the State Court
accepted the appeal and overturned the lower courts decision obtained by the plaintiff, in Amplas favor. Basilus filed an appeal against the resolution, which was denied. In July 2010, the plaintiff filed a new Appeal under Specific
Court Regulations (Agravo Regimental) with the Superior Court of Justice of Brazil, which the court also denied in late August 2010, ruling it was groundless. In order to overturn such decision, Meridional filed a Petition for Writ of
Mandamus (Mandado de Seguranca), which was also denied. In June 2011, Meridional filed an Appeal to Petition Clarification of the Decision (Embargos de Declaração) in order to clarify an omission by the Superior Court of Justice in the
decision on the Petition of Writ of Mandamus, which was not accepted by the court. Against this decision, Meridional filed a Regular Appeal (Recurso Ordinario) before the Superior Court of Justice (in Brasilia). On March 28, 2012 the Reporting
Justice decided the Regular Appeal in favor of Meridional.
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| | Ampla and the State of Rio de Janeiro filed an Appeal under Specific Court Regulations against the Reporting Justices decision, which was accepted by the First Court Room of the Superior
Court of Justice on August 28, 2012, determining that the Regular Appeal of the Petition of Writ of Mandamus must be submitted to the full Court and not only by one single Justice. The plaintiff (Meridional) challenged the decision. The
sentence of August 28, 2012 was published on December 10, 2012, once the Amendment of Judgment (Embargos Declaração) had been filed by Ampla and the State of Rio de Janeiro to remedy the existing error in its publication, in
order to avoid future divergence. The plaintiff filed its response to the embargoes and on May 27, 2013 the Embargos de Declaração filed by Ampla and the State of Rio de Janeiro were accepted and the error corrected. Consequently,
the proceeding is in its second legal instance with a sentence favorable to Ampla and there are pending proceedings before the Superior Court of Law. The amount involved in this trial is estimated to be approximately R$ 1,052 million
(approximately Ch$ 235,589 million).
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| | 2. | In 1996, 45 workers filed a suit requesting reinstatement to their employment positions with Enersiss Brazilian distribution company, Ampla.
Ampla obtained a favorable ruling in 2003. The Higher Labor Court of Law acknowledged that the early retirement terminated the work contracts. Later based on some rulings that recognized that inclusion in voluntary advanced retirement programs do
not terminate the associated work contract, the workers filed a rescissory suit before the Higher Labor Court of Law grounded on the aforementioned rulings. The plaintiffs dismissed from Ampla are attempting to be reinstated by the
company and that the stability guarantee based on the regulatory resolution of the old Energy Secretary of the State of Rio de Janeiro be applied. Amplas defense, in the course of this proceeding, is attempting to uphold the
unconstitutionality of the legislative resolution and the consequent non-existence of the stability right, regardless of whether the voluntary early retirement cancels the work contract or not. In terms of the proceedings Ampla alleged that the
right of the plaintiffs to file a rescissory suit had expired, which allegation was accepted and the resolution that had caused the reinstatement of the plaintiffs in Ampla was revoked.
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Against the aforementioned allegations, the plaintiffs filed an extraordinary appeal before the Supreme Federal Court, which
was rejected. Such rejection was appealed by the plaintiffs in August 2013 and the decision of these appeals is currently pending. The amount involved in this proceeding is estimated to be R$ 125 million (approximately Ch$ 27,993 million).



| | 3. | Companhia Brasileira de Antibióticos (Cibran) filed suit against Enersiss Brazilian distribution subsidiary, Ampla, for
damages for the loss of products and raw materials, machinery breakdown, among other things, which allegedly occurred as a result of poor service provided by Ampla between 1987 and May 1994. Cibran is also seeking payment of punitive damages. This
litigation is in the trial stage and has been joined with various other claims filed by Cibran against Ampla, including five other actions for smaller amounts based on power outages allegedly caused by Ampla, in the period from 1987 to 1994, 1994 to
1999 and part of 2002. These proceedings are in the first instance. The judge decided to conduct a single expert assessment for these various claims, which was in part adverse to Ampla. Ampla challenged such assessment, and requested a new expert
assessment. On September 5, 2013 the judge rejected the prior petition, against which Ampla filed Appeals to Petition Clarification of the Decision, which are pending review by the court. The amount involved for all these cases is estimated to
be approximately R$ 150 million (approximately Ch$ 33,591 million).
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| | 4. | In December 2001, the article of the Brazilian Federal Constitution used by Ampla to claim an exemption from the COFINS (Contribuicao para o
Financiamento da Seguridade Social, a tax levied on revenues) tax was amended. Ampla only started to pay the COFINS tax beginning in April 2002 because it believed that the changes in law are effective 90 days after they are published. However, the
Federal Revenue (Receita Federal) argued that this constitutional norm applies only to amendments at the level of statutes, but not to those made to the Federal Constitution itself, which would apply immediately. In November 2007, the appeal was
decided at the administrative appeals level (Consejo de Contribuyentes, Taxpayers Council), against Ampla. In October 2008, Ampla filed a special appeal that was denied. On December 30, 2013, Ampla was notified on the decision that Amplas
argument that the COFINS payment was undue in the December 2001 to March 2002 period was not accepted since there is a provision in the Constitution that legislation changes are effective 90 days after they are published. Ampla will continue to
recur before the courts of law, which is why it will have to previously guarantee the taxing debt (depending on the formula adopted, the guarantee will increase to 30%, totaling 45.5 thousand). The sum amounts to R$114 million (approximately
Ch$ 25,529 million).
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| | 5. | After the definite sentence in favor of Enersis was decreed in 2010 regarding COFINS immunity, in which the Public Treasury tried to revoke through
a rescission action a firm and executed sentence in August 1996 in favor of Ampla protecting it from paying COFINS (until 2001 when the constitution was amended to expressly levy electric power operations with this tax), Ampla has
resumed a proceeding filed in 1996 that had been suspended while the first litigation was processed, requesting refund of COFINS payments from April 1992 to June 1996, based on the firm sentence in its favor regarding that immunity is
applicable to prior accounting periods and therefore that they have the right to get refund of what was paid in an undue manner. In June 2013, there was a first sentence in Amplas favor declaring the right to receive refund of the amounts
COFINS paid for all the accounting periods requested. The Public Treasury filed an appeal against the sentence before the Court of Río de Janeiro. The sum Ampla requests refund amounts to R$ 157 million (approximately Ch$ 35,159
million).
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| | 6. | In order to fund its investment in Coelce in 1998, Ampla issued long-term debt abroad through securities called Fixed Rate Notes (FRNs) which were
governed by a special tax regime whereby interest payments received by non-resident holders were exempt from taxation in Brazil, so long as the debt was issued with a minimum maturity of 8 years. In 2005 the Brazilian Taxing Administration notified
Ampla through a tax resolution that it had declared the non-applicability of the special tax regime based on its understanding that it had implicitly caused advanced amortization payments before the required maturity, because Ampla had received
financing in Brazil which it allocated to the FRN holders. In Amplas opinion, they are two independent legally valid transactions. The non-applicability of the regime assumes that Ampla would have failed to comply with its obligation to retain
the tax and deposit it in respect of interest payments made to non-resident holders. The tax resolution was appealed and in 2007 the Consejo de Contribuyentes (Taxpayers Council) annulled it. However, the Brazilian Taxing Administration contested
this decision before the Superior Chamber of Fiscal Resources (Cámara Superior de Recursos Fiscales), the final administrative tribunal, and on November 6, 2012 it issued a judgment against Ampla. The decision was notified to Ampla on
December 21 and on December 28, 2012; Ampla filed an Appeal to Petition Clarification of the Decision before the Chamber in order to clarify a final resolution regarding contradictory points of the judgment and that the relevant defense
arguments that were omitted be incorporated. On October 15, 2013 Ampla was summoned to hear the decision that rejected the clarification recourse (Embargo de Declaración) filed on December 28, 2012. With the above, Ampla
filed a cautionary legal action in order to assure obtaining certification of fiscal regularity allowing Ampla to continue receiving public funds, which is why the taxing debt had to be previously guaranteed (guarantee insurance, where the guarantee
is increased 30%, totaling 338 million).
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The judge rejected Amplas provisional decision
request to accept the guarantee insurance. Ampla will file recourse before the Court of Law of Río de Janeiro to try to change the decision. It is important to state that the final negative resolution of the Superior Court will imply opening
a criminal proceeding against certain Ampla employees and administrators (since the Council ratified the existence of simulation). The sum amounts to R$847 million (approximately Ch$ 189,680 million).



| | 7. | In 2002, the State of Rio de Janeiro issued a decree establishing that the ICMS (an equivalent of the Chilean Value Added Tax) should be paid on
the 10th, 20th and 30th days of the same month of the accrual. Ampla continued paying ICMS in accordance with the previous system (on the 5th day of the month following its accrual) and did not adopt this system between September 2002 and February
2005 due to cash flow problems. Additionally, Ampla filed a legal suit to dispute the constitutionality of the demand of the anticipatory tax payments. Ampla was not successful in this legal suit in any of the proceeding phases, now pending sentence
of the recourse filed before STF (Brasilia Court of Law, which judges constitutional issues). Ampla, starting from March 2005, has paid the ICMS according to the new system. In September 2005 the State of Rio de Janeiro issued a resolution against
Ampla to collect the fine and interest on late payments set in the aforementioned Decree of 2002. Ampla appealed the resolution before the Administrative Courts of Law, based on the tax Amnesty Laws of the State of Río de Janeiro published in
2004 and 2005 (forgiving interest and penalties if the taxpayer paid the pending taxes). Ampla alleges that if the aforementioned tax amnesties for Ampla do not turn out to be applicable, the law would mistreat taxpayers that are delayed only a few
days in the payment of taxes (Amplas case) in a worse manner in comparison to those who, formally, later relied on the various tax amnesties to regulate their tax situation through paying taxes that were not paid in the past.
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The En Banc Council (a special body within the Taxpayers Council, representing the last
administrative instance) on May 9, 2012 issued judgment against Ampla. The sentence was notified on August 29, 2012. Ampla requested the State Public Treasury (Hacienda Pública Estadual) to review the decision through a special
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the equity principle, before the Governor of the Estado de Río de Janeiro. The recourse has still not been solved, which is why the taxing debt should be suspended. However, the Estado de
Rio de Janeiro has registered the debt in the public registry as if it is demandable, which has forced contributing a guarantee of 101 million (R$293 ) on November 12, 2012, in order to suspend the legal action and continue receiving
public funds. On June 4, 2013, a sentence in second instance accepted the recourse filed by the Public Treasury of the State of Río de Janeiro against the guarantee Ampla filed. In September 2013, Ampla filed a letter of guarantee to
substitute the guarantee insurance rejected by the court of law. However, Ampla reiterated to the attorney of the State, the petition for review is still pending a decision. The amount involved in this proceeding is R$ 232 million
(approximately Ch$ 51,954 million).



| | 8. | In October 2009, Tractebel Energía S.A. sued CIEN claiming an alleged breach of the Purchase & Sale Agreement for 300 MW of
Firm Capacity with related energy originating from Argentina entered into in 1999 by and between CIEN and Centrais Geradoras do Sul do Brasil S.A (Gerasul  presently Tractebel Energía). Tractebel asked the court to order that CIEN
pay a rescission penalty of R$ 117,666,976 (approximately Ch$ 26,350 million) plus other fines due to the non-availability of firm capacity and related energy, and asked the court to determine those other fines in its ruling.
The breach allegedly occurred due to a failure by CIEN to assure the availability of capacity contractually agreed with Tractebel over the 20-year period, which allegedly took place beginning in March 2005. In May 2010, Tractebel notified CIEN via a
written statement, but not judicially, that it intended to exercise its step-in rights in Line I (30%). The proceeding is currently at the trial stage. CIEN petitioned to join this proceeding with the lawsuit filed by CIEN against Tractebel in 2001,
in which the collection of values relative to the rate of exchange and taxing issues is under dispute, which petition for joinder was rejected by the court of law. In May 2013, CIEN requested the suspension of the proceeding for 180 days in order to
avoid divergent decisions, which petition was transferred to Tractebel to file its briefs regarding the matter.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 9. | In 2010 Furnas Centrais Eletricas S.A. filed a suit against CIEN, based on CIENs alleged breach of Firm Capacity Purchase Agreement for the
purchase of 700 MW of firm capacity with related energy originating from Argentina, which was signed in 1998 with a term of 20 years starting from June 2000. In its claim, Furnas requests that CIEN be ordered to pay R$ 520,800,659
(approximately Ch$ 116,630 million), as a rescission penalty according to what is provided for in the agreement, as adjusted according to the terms of such agreement, plus interest from the date of filing of the claim until actual payment, as
well as other penalties based on the lack of availability of the firm power and associated energy (contracted capacity), and other damages to be determined upon the final decision. The proceeding is in its first instance, and the passing
of the first trial judgment is pending. In respect of the foreign language documents presented by CIEN, the trial judge of first instance determined that those documents would be excluded from the lawsuit, which decision was affirmed by the 12th
Civil Section of the State Court. CIEN has filed a Regular Appeal (Recurso Especial) against this decision, which will be decided by the Superior Court of Justice. In addition, CIEN received a communication from Furnas, not at the judicial seat,
indicating that in case of termination due to CIENs non-compliance, it has the right to acquire 70% of Line I.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 10. | At the end of 2002 Endesa Fortaleza filed a legal action against the Federal Union, in order to get recognition that imported goods for the
turbo-generating units corresponded to the item Other Power Generating Units to thus get access to 0% rate for the Import Tax (II) and the Tax on Industrialized Products (IPI, Impuesto de Productos Industrializados, as per its acronym in
Spanish). Endesa Fortaleza got an incidental sentence in its favor in the main legal action that allows importing goods at customs with a 0% rate, but prior to a judicial support of the sum of taxes. Endesa Fortaleza has obtained favorable sentences
in the administrative legal instance and in the Superior Court of Law of Justice (Brasilia) (in the main legal suit). In 2002 Endesa Fortaleza filed a judicial action (incidental) that treats the type of import tax applicable to the power generating
unit (from 0% to 14%). In this legal action CGTF was also successful in the first and second instances. The Public Treasury has filed a new recourse. The parties are waiting for the recourse sentencing. The judicial deposit must be kept as guarantee
of the proceedings until its final sentencing. The sum amounts to R$81 million (Ch$ 18,139 million).
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 11. | In February 2007, the Brazilian Tax Authorities drew up a minute to Endesa Fortaleza for PIS/COFINS for the accounting periods of December 2003 and
from February 2004 to November 2004, referring to the alleged differences produced between the amounts declared in the annual declaration (where the PIS/COFINS amounts were reported under the new non-accrued regime) and the amounts declared in the
monthly declaration (where the amounts due were reported under the old accrual system). The company filed an appeal before the Taxpayers Council and is currently awaiting decision. The sum is of approximately R$68 million (Ch$ 15,228 million).
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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The Endesa Chile management considers that the provisions registered in the
Consolidated Financial Statements, attached hereto, adequately cover the risks resulting from litigation and other operations described in this Note, which is why it does not consider that there are additional liabilities than those specified
herein.

Given the characteristics of the risks covered by these provisions, it is impossible to determine a reasonable
schedule of payment dates, in case there are any.

32.4  Financial restrictions

Various of the companys loan agreements, and those of some of its subsidiaries, include the obligation to
comply with certain financial covenants, which is normal in contracts of this nature. There are also affirmative and negative covenants requiring the monitoring of these commitments. In addition, there are restrictions in the agreements
events-of-default clauses.



| | 1. | Cross Default
| | -- | -------------

Some of the financial debt contracts of Endesa Chile
contain cross default clauses. The syndicated loan of Endesa Chile under New York law signed in 2008 and which expires in 2014, with an amount disbursed of US$200 million at the present time, makes no reference to its subsidiaries, so a cross
default can only arise with respect to another own debt. In order to accelerate payment of the debt of this loan due to cross default with respect to another debt, the amount overdue of a debt must exceed US$50 million, or the equivalent in other
currencies, and other additional conditions should be met including the expiry of grace periods (if any) and formal notification of the intention to accelerate the debt by creditors representing over 50% of the amount due under the agreement. In
addition, in February 2013 Endesa Chile signed credit line agreements under Chilean law that stipulate that cross default is triggered only upon default by the Debtor itself, that is, Endesa Chile, on amounts of over US$50 million or its equivalent
in other currencies. Amounts drawn against these credit lines have not yet been disbursed, and they mature in February 2016.

Regarding the bond issues of Endesa Chile registered with the United States Securities and Exchange Commission (the SEC),
commonly called Yankee Bonds, a cross default can be triggered by another of Endesa Chiles debt amount or by that of any of its Chilean subsidiaries, for any amount overdue provided that the principal of the debt giving rise to the
cross default exceeds US$30 million or its equivalent in other currencies. Debt acceleration due to cross default does not occur automatically but has to be demanded by the holders of at least 25% of the bonds of a certain series of Yankee Bonds. In
addition, events of bankruptcy or insolvency of foreign subsidiaries have no contractual effects on Endesa Chiles Yankee Bonds, which mature in February 2097.

The domestic bonds of Endesa Chile state that cross default can be triggered only by the default of the issuer in cases where
the amount overdue exceeds US$ 50 million or its equivalent in other currencies. Debt acceleration requires the agreement of at least 50% of the holders of the bonds of a certain series at a bond-holders meeting



| | 2. | Financial Covenants
| | -- | -------------------

Financial covenants are contractual commitments
with respect to minimum or maximum financial ratios that the company is obliged to meet at certain periods of time (quarterly, annually, etc.). Most of the Endesa Chile Groups financial covenants limit the level of indebtedness and evaluate
the ability to generate cash flows in order to service the companies debts. Various companies are also required to certify these covenants periodically. The types of covenants and their respective limits vary according to the type of debt.



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The Endesa Chile bonds issued in Chile include the following financial covenants
whose definitions and calculation formulas are established in the respective indentures:

Series H

- Consolidated Debt Ratio: The consolidated debt ratio, which is Financial debt to Capitalization, must be no more than 0.64.
Financial debt is the sum of Interest-bearing loans, current; Interest-bearing loans, non-current; Other financial liabilities, current; Other financial liabilities, non-current; and Other obligations guaranteed by the issuer or its subsidiaries;
while Capitalization is the sum of Financial liabilities, Equity attributable to the shareholders of Endesa Chile, and Non-controlling interests. As of December 31, 2013, the ratio was 0.36.

- Equity: A minimum Equity of Ch$760,468 million must be maintained; this limit is adjusted at the end of each year as
established in the indenture. Equity corresponds to Equity attributable to the shareholders of Endesa. As of December 31, 2013, the equity of Endesa Chile was Ch$2,651,968 million.

- Financial Expense Coverage: A financial expense coverage ratio of at least 1.85 must be maintained. Financial expense
coverage is the quotient between i) the Gross margin plus Financial income and Dividends received from associated companies, and ii) Financial expenses; both items refer to the period of four consecutive quarters ending on the quarter being
reported. In the period ended December 31, 2013, this ratio was 7.35.

- Net Asset Position with Related Companies: A
Net asset position must be maintained with related companies of no more than a hundred million dollars. The Net asset position with related companies is the difference between i) the sum of Accounts receivable from related entities, current,
Accounts receivable from related entities, non-current, less transactions in the ordinary course of business at less than 180 days term, short-term transactions of associates of Endesa Chile in which Enersis S.A. has no participation, and long-term
transactions of associates of Endesa Chile in which Enersis S.A. has no participation, and ii) the sum of Accounts payable to related entities, current, Accounts payable to related entities, non-current, less transactions in the ordinary course of
business at less than 180 days term, short-term transactions of associates of Endesa Chile in which Enersis S.A. has no participation, and long-term transactions of associates of Endesa Chile in which Enersis S.A. has no participation. As of
December 31, 2013, using the exchange rate prevailing on that date, the Net asset position with related companies was a negative US$444.0 million, indicating that Enersis S.A. is a net creditor of Endesa Chile rather than a net debtor.

Series M

- The consolidated debt ratio, which is Financial debt to Capitalization, must be no more than 0.64. Financial debt is the sum
of Interest-bearing loans, current; Interest-bearing loans, non-current; Other financial liabilities, current; and Other financial liabilities, non-current; while Capitalization is the sum of Financial liabilities and Equity. As of December 31,
2013, the debt ratio was 0.35.

- Equity: Same as for Series H.

- Financial Expense Coverage Ratio: Same as for Series H.

The rest of Endesa Chiles debt and the undisbursed credit lines include other covenants such as leverage and debt
coverage ratios (Debt Ratio/EBITDA ratio), while the Yankee Bonds are not subject to financial covenants.

In the case of
Endesa Chile, the most restrictive financial covenant as of December 31, 2013 was the debt ratio requirement in the syndicated loan under New York law, which expires in June 2014.

In Peru, the debt of Edegel includes the following covenants: debt ratio, leverage ratio, and debt to equity and debt coverage
(Debt Ratio/EBITDA) ratios. As of December 31, 2013, the most restrictive financial covenant for Edegel was the level of indebtedness corresponding to the second program of locally issued bonds, expiring in January 2014.

In Argentina, Endesa Costanera has just one covenant, the maximum debt, corresponding to a loan from Credit Suisse First
Boston International which matures in May 2014. The debt of El Chocón includes covenants related to maximum debt, net consolidated equity, interest coverage, debt coverage (Debt Ratio/EBITDA) and a leverage ratio. In the case of El
Chocón, as of December 31, 2013, the most restrictive financial covenant was the Debt/EBITDA ratio, corresponding to the syndicated loan which matures in September 2016.



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In Colombia, the debt of Emgesa is not subject to compliance with financial
covenants, a situation that also applies to the debt of the rest of the Groups companies not mentioned in this Note.

Lastly, in most of the contracts, debt acceleration for non-compliance with these covenants does not occur automatically but
is subject to certain conditions, such as a cure period.

As of December 31, 2013, December 31, 2012, and
January 1, 2012, neither Endesa Chile nor any of its subsidiaries were in default under their financial obligations summarized here or other financial obligations whose defaults might trigger the acceleration of their financial commitments,
with the exception of our Argentine subsidiary Endesa Costanera at December 31, 2013, December 31, 2012, and January 1, 2012.

To date, Endesa Costanera has not made the last four payments on a supplier loan with Mitsubishi Corporation, which has a
grace period of 180 days for each installment. The past-due payments fell due on March 30, 2012, September 30, 2012, March 31, 2013, and September 30, 2013 for a total of US$68 million, including principal and interest.
Under the terms of the agreement, should Mitsubishi Corporation wish to accelerate the debt from this loan for a principal amount of US$141 million, it would have to give formal notification ten days prior to such acceleration. To date, Endesa
Costanera has not received such notification from Mitsubishi Corporation. If Mitsubishi Corporation were to issue an official acceleration announcement, a total repayment of US$174 million from the loan would be enforceable under cross default and
bankruptcy clauses, including the debt with Mitsubishi Corporation. It is important to note that negotiations on the terms of this loan have been ongoing throughout this time.

As of December 31, 2013, El Chocón would have been in breach of its covenant on the EBITDA/Financial expenses
ratio for its US$19 million loan with Standard Bank/Deutsche/Itaú if it had not obtained a waiver in November 2013 allowing it to reduce the limit of the covenant from 3.5 to 2.5 for September and December 2013. A waiver was also signed on
December 16, 2013 postponing the US$3 million payment due Standard Bank/Deutsche/Itaú on December 15, 2013 to January 14, 2014. At that time, another waiver was obtained postponing the obligation until February 15, 2014
when the terms of the loan are expected to be renegotiated.

None of this represents a risk of cross default or of another
breach for Endesa Chile.

32.5  Other information

Resolution 95/13 from the Argentine Energy Secretariat was published on March 26, 2013 making significant changes to the
remunerations system for generating companies and other aspects of operations in the wholesale electricity market. Nevertheless, our Argentine subsidiary Endesa Costanera insisted on the need to consider in the short term adjustments in the values
of tariffs. These tariffs reflect 2011 costs and need to be adjusted for 2013, and a methodology for updates that will allow for cost variations needs to be defined. Our Company shows a deficit in working capital until a response to these requests
has been obtained, leading to problems in its short-term financial equilibrium. Endesa Costanera expects to correct the present situation depending on a favorable resolution of requests made to the Argentine government.



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|33.  PERSONNEL | FIGURES
|-------------- | -------

Endesa Chile personnel, including that of subsidiaries and
jointly-controlled companies in the five Latin American countries where the Group is present, is distributed as follows as of December 31, 2013, December 31, 2012, and January 1, 2012:



|          |                              |            |    |                                |  |  |                      |  |  |       |     |  |  |  |       |  |  |  |  |      
|--------- | ---------------------------- | ---------- | -- | ------------------------------ |  |  | -------------------- |  |  | ----- | --- |  |  |  | ----- |  |  |  |  | -----
|Country   |                              | 12-31-2013 |    |                                |  |  | Average for the Year
|          | Managers and Main Executives |            |    | Professionals and  Technicians |  |  | Workers and Others   |  |  | Total |     |  |  | 
|Chile     |                              |            | 38 |                                |  |  | 1,033                |  |  |       | 86  |  |  |  | 1,157 |  |  |  |  | 1,171
|Argentina |                              |            | 5  |                                |  |  | 505                  |  |  |       | 19  |  |  |  | 529   |  |  |  |  | 513  
|Brazil    |                              |            | -  |                                |  |  | -                    |  |  |       | -   |  |  |  | -     |  |  |  |  | -    
|Peru      |                              |            | 7  |                                |  |  | 237                  |  |  |       | 16  |  |  |  | 260   |  |  |  |  | 262  
|Colombia  |                              |            | 6  |                                |  |  | 543                  |  |  |       | 14  |  |  |  | 563   |  |  |  |  | 551  
|Total     |                              |            | 56 |                                |  |  | 2,318                |  |  |       | 135 |  |  |  | 2,509 |  |  |  |  | 2,497
|          |                              |            |    |                                |  |  |                      |  |  |       |     |  |  |  |       |  |  |  |  |      
|Country   |                              | 12-31-2012 |    |                                |  |  | Average for the Year
|          | Managers and Main Executives |            |    | Professionals and  Technicians |  |  | Workers and Others   |  |  | Total |     |  |  | 
|Chile     |                              |            | 31 |                                |  |  | 1,010                |  |  |       | 81  |  |  |  | 1,122 |  |  |  |  | 1,122
|Argentina |                              |            | 5  |                                |  |  | 479                  |  |  |       | 17  |  |  |  | 501   |  |  |  |  | 497  
|Brazil    |                              |            | -  |                                |  |  | 1                    |  |  |       | -   |  |  |  | 1     |  |  |  |  | 2    
|Peru      |                              |            | 9  |                                |  |  | 238                  |  |  |       | 16  |  |  |  | 263   |  |  |  |  | 257  
|Colombia  |                              |            | 6  |                                |  |  | 496                  |  |  |       | 15  |  |  |  | 517   |  |  |  |  | 510  
|Total     |                              |            | 51 |                                |  |  | 2,224                |  |  |       | 129 |  |  |  | 2,404 |  |  |  |  | 2,388
|          |                              |            |    |                                |  |  |                      |  |  |       |     |  |  |  |       |  |  |  |  |      
|Country   |                              | 01-01-2012 |    |                                |  |  | Average for the Year
|          | Managers and Main Executives |            |    | Professionals and  Technicians |  |  | Workers and Others   |  |  | Total |     |  |  | 
|Chile     |                              |            | 31 |                                |  |  | 971                  |  |  |       | 95  |  |  |  | 1,097 |  |  |  |  | 1,109
|Argentina |                              |            | 6  |                                |  |  | 449                  |  |  |       | 18  |  |  |  | 473   |  |  |  |  | 438  
|Brazil    |                              |            | -  |                                |  |  | 2                    |  |  |       | 1   |  |  |  | 3     |  |  |  |  | 4    
|Peru      |                              |            | 7  |                                |  |  | 223                  |  |  |       | 17  |  |  |  | 247   |  |  |  |  | 245  
|Colombia  |                              |            | 6  |                                |  |  | 477                  |  |  |       | 15  |  |  |  | 498   |  |  |  |  | 472  
|Total     |                              |            | 50 |                                |  |  | 2,122                |  |  |       | 146 |  |  |  | 2,318 |  |  |  |  | 2,268



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|34. | SANCTIONS
|--- | ---------

The following companies belonging to the Group have received sanctions from
the administrative authorities:



| | a)    Endesa | Chile and subsidiaries
| | ------------ | ----------------------

Endesa Chile



|- | During the 2011 fiscal year, the Company was fined 1,380 UTA (Annual Tax Units), equivalent to ThCh$675,184 by the Superintendency of Electricity
and Fuels (SEF) for the blackout that occurred on March 14, 2010. Endesa Chile filed an appeal against the measure with the Santiago Court of Appeals, which rejected the appeal on January 18, 2013 and upheld the fine. Endesa Chile then
filed an appeal against this ruling with the Supreme Court who, on November 20, 2013, rejected the second appeal and once again upheld the fine, but reduced its amount to 1,246 UTA, equivalent to ThCh$609,623.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Closed.



|- | In the 2012 fiscal year, the Company was issued a fine, plus interest, totaling ThCh$13,151 by the Chilean Tax Service (SII) for the excessive use
of tax credits for the 2010 tax year. The amount was paid on March 28, 2013.
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Closed.



|- | During the 2012 fiscal year, the Company was fined 1,200 UTA (Annual Tax Units), the equivalent of ThCh$587,117 by the Electricity and Fuels
Superintendency (SEF) for the blackout that occurred on September 24, 2011. Endesa Chile filed a request for reconsideration with the SEF, which was denied in Exempt Resolution 703 of March 25, 2013, which also upheld the fine. The Company
later filed an appeal challenging the ruling with the Santiago Court of Appeals, which has not yet viewed the appeal.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In January 2013, Endesa Chile was notified of SEF Exempt Resolution 2496 fining the Company 10 UTA for violating Article 123 of Decree Law (DFL)
4/20,018 of 2006 due to its failure to report to the SEF the commissioning of its electricity facilities by the deadline provided for in that law. To clear the charges, Endesa Chile paid the fine in full.
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Closed.



|- | In the first quarter of 2013, Endesa Chile was notified of three resolutions issued by the Health SEREMI (Regional Ministerial Office) of the Maule
Region, Resolutions 1057, 085, and 970, which ruled on health summary proceedings RIT Nos. 355/2011, 354/2011, and 256/2011, respectively, imposing a 20 UTM fine for each of the proceedings. The fines were imposed for the following violations:
Resolution 1057 penalizes a health violation of Decree 594 of 1999, Regulations on Basic Health and Environmental Conditions in the Workplace, specifically, at the Cipreses Plant facilities; this fine has been paid in full. Resolution 085 penalizes
a violation of Executive Decree 90/2011, which requires a statement of the emissions made in 2009 and 2010 by a 20.8-kW-capacity Siemens-Schukertwerke A6 power generator located at the Bocatoma Maule Isla facility. This resolution is currently being
challenged. Resolution 970 penalizes a violation of Executive Decree 90/2011, which requires a statement of the emissions made in 2009 and 2010 by a 34 kW Conex generator located at the Bocatoma Maule Isla facility. This resolution is currently
being challenged. Total 60 UTM, equivalent to ThCh$2,446.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | Endesa received notification in September 2013 of ORD No. 603 issued by the Superintendency of the Environment (SMA) initiating sanction
proceedings and filing charges against Endesa as Holder of the Expansion Project for Unit Two of the Bocamina Plant for a number of violations against environmental regulations and the RCA environmental regulation instrument. The sanction
proceedings are the result of inspections conducted by SMA personnel on February 13 and 14 and on March 19, 26, and 27, 2013, at the Bocamina thermoelectric facilities. The inspections found a number of violations of Exempt Resolution 206
of August 2, 2007 (RCA 206/2007), which was clarified by Exempt Resolutions 229 of August 21, 2007 (RCA 229/2007) and 285 of October 8, 2007 (RCA 285/2007) giving environmental approval to this expansion project. The infractions
consist primarily of (i) not having a discharge channel for the cooling system that extends 30 meters into the ocean from the edge of the beach; (ii) not having the Bocamina I Desulfurization unit in operation; (iii) not submitting
the information requested by the Superintendencys official on past records of on-line emissions reports (CEM reports) since the startup of operations until the present time; (iv) exceeding the CO limit for Bocamina I set in the RCA for
Bocamina II in January 2013; (v) the defects and gaps between panels in the Bocamina I permiter acoustic enclosure; (vi) noise emissions that exceed regulatory limits; and (vii) not having technological barriers that prevent biomass
from pouring into the plants intake.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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|- | Endesa, within the time frame allotted, submitted a compliance schedule that was rejected. On November 27, 2013, the SMA reformulated the
charges filed, adding two new charges (failure to comply with RCA 206/2007, considered a grave violation, and failure to comply with the information requirement issued in Ord. UIPS 603, which files charges, also considered a grave violation).
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Resolution of this sanction process is pending at this time.

Pehuenche S.A.



|- | On October 6, 2011, the Securities and Insurance Superintendency (SVS) issued Exempt Resolution 545 fining the Pehuenche Directors that were
involved in approving the Energy and Capacity agreement signed between the company and its parent Empresa Nacional de Electricidad S.A. (Endesa) on November 19, 2007.
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | The following fines were applied:
|- | ---------------------------------

i) The Directors who were not members of
the Directors Committee were fined for not having verified, according to the SVS resolution, that the Energy and Capacity sales agreement signed between Empresa Eléctrica Pehuenche S.A. and its parent Endesa on November 19, 2007
was signed under fair conditions normally prevailing on the market, and for having approved the Minutes of the Board Meeting stating that the Directors Committee Report had been read, when actually only the Minutes of that meeting had been
read. Each Director received a fine of 300 UF (approximately ThCh$6,993).

ii) Directors who were members of the
companys Directors Committee at the time the aforementioned agreement was signed were fined for not having prepared, according to the SVS resolution, the Report required under the regulation. Each Director received a fine of 400 UF
(approximately ThCh$9,324).

The Directors have filed an appeal with the competent civil court after depositing 25% of the
total amount of the fine with the General Treasury of the Republic. Therefore, the allegations and the fines are being studied by the ordinary courts of law, which have been informed of the Directors appeal and request for absolution in a
summary proceeding.



|- | On August 22, 2012, Endesa, as the first party, and Inversiones Tricahue and other minority shareholders as the second party, entered into a
transactional agreement by which the minority shareholders withdrew all of their arbitrational, administrative, and criminal actions filed against Endesa and Pehuenche and their Directors on November 19, 2007. In return, Endesa agreed to
rescind the November 19, 2007 capacity and energy agreement and to execute a new one under the same conditions, but with a price at marginal cost. The new agreement would be in effect from the date of its signing until December 31, 2021.
Both parties also agreed to vote at the Pehuenche Extraordinary Shareholders Meeting to approve the rescinding of the former and the execution of the new agreement. Endesa agreed to pay Pehuenche the resulting price difference between the
November 19, 2007 agreement price, which was in effect from January 1, 2008 to July 31, 2012, and the price difference between that paid from August 1, 2012, until the signing date of the new energy and capacity agreement, in
accordance with the calculation methods and conditions set forth in the new agreement. On October 4, 2012, the Pehuenche Extraordinary Shareholders Meeting unanimously voted to rescind the former and execute a new agreement. On
October 19, the Pehuenche Board of Directors voted to pay an interim dividend for the amount of the price differences it would receive from Endesa, which would take place on November 5, 2012. Nevertheless, the Directors had to pay the fine
imposed by the SVS. The respective insurance policy covered these fines, and the sanctions were declared and paid into the Treasury.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | During the 2011 fiscal year, the Company was fined 602 UTA (Annual Tax Units), or approximately ThCh$294,537 by the Electricity and Fuels
Superintendency (SEF) for the blackout that occurred on March 14, 2010. Pehuenche filed an appeal against the measure with the Santiago Court of Appeals, which rejected the appeal on January 18, 2013 and upheld the fine. Pehuenche filed an
appeal against this ruling with the Supreme Court, which, on November 20, 2013, rejected the appeal and upheld the fine but reducing the amount to 421 UTA, equivalent to ThCh$205,890.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Closed.



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|- | On October 2, 2013, the Securities and Insurance Superintendency (SVS) fined Empresa Eléctrica Pehuenche S.A. and its CEO UF 150
(approximately ThCh$3,496) for alleged violations of Article 54 of Law 18,046 over the right of all shareholders to examine the annual report, balance sheet, inventory, minutes, ledgers, and external auditors reports during the 15 days
prior to a companys ordinary shareholders meeting.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | The company and its CEO filed an appeal with the courts against the resolution imposing the fine; a ruling on the appeal is pending.
| | ------------------------------------------------------------------------------------------------------------------------------------

Hidroeléctrica El Chocón S.A.



|- | For the year ended December 31, 2012, Hidroeléctrica El Chocón (HECSA) was fined Th$3,069 Argentine pesos (approximately
ThCh$246,899) by the Jurisdictional Authority of the Limay, Neuquén, and Negro River Basins (Autoridad Jurisdiccional de las Cuencas de los Ríos Limay, NeuquénNegro, AIC) for failure to comply with certain obligations
contained in the Concession Agreement. The company has filed the respective appeal, so the ruling is not yet final.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | The above agency also imposed a fine of Th$43 Argentine pesos (approximately ThCh$3,459) on HECSA for violation of a duty to report.
|- | ------------------------------------------------------------------------------------------------------------------------------------



|- | Finally, the Energy Regulatory Body (ENRE) imposed a fine of Th$20 Argentine pesos (approximately ThCh$1,609) on the company. HECSA has filed an
appeal.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------

Endesa Costanera S.A.



|- | During the 2012 fiscal year and until June 30, 2013, the company was issued two fines for a total amount of Th$47,949 Argentine pesos
(approximately ThCh$3,857,464) by the General Customs Authority (Dirección General de Aduanas). Possible liability on the part of Mitsubishi is being assessed, in which case that amount could be claimed from this supplier. The ENRE also
imposed two fines totaling Th$51 Argentine pesos (approximately ThCh$4,103). The company has filed a protest.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Edegel S.A.A.



|- | In April 2011, Edegel S.A.A. was fined by the SUNAT (the Peruvian Tax Administration) for issues with the determination of its 2006 income tax. The
amount of the fines, restated at December 31, 2013, was S/. 9,502,978 (approximately ThCh$1,783,670). The company has filed an appeal, which is pending resolution by the Tax Court.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In February 2012, the SUNAT ordered Edegel S.A.A. to pay S/. 38,433,190.24 (ThCh$7,213,752) for omitted taxes plus interest and penalties in
connection with an audit of its 1999 income tax that began in January of 2006. Edegel S.A.A. paid the penalty imposed by the SUNAT and filed an administrative claim disputing the assessment; a decision on the claim is pending.
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In August 2012, Edegel S.A.A. received a fine for a total of S/. 18,250 (5 Tax Units, UIT, or approximately ThCh$3,425) from the Agency for the
Supervision of Investment in Energy and Mining (OSINERGMIN) for the following violations: (i) CCIT violations: incorrectly calculating indicators and the compensation amount for voltage quality in the first half of 2011; (ii) not having
met the deadline for submitting information on product quality for the same fiscal year; and (iii) having submitted empty RDI and RIN extension files.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In April 2013, Edegel S.A.A. received the following fines by the OSINERGMIN (the Supervisory Agency for Investments in Energy and Mines:
(i) S/. 7,604.57 (approximately ThCh$1,427) for failure to perform maintenance in a timely fashion on its thermal generation units for the last quarter of 2008; (ii) S/. 200,941.48 (approximately ThCh$37,716) for failure to perform
maintenance in a timely fashion on its hydraulic generation units for the last quarter of 2008; (iii) S/. 40,700 (approximately ThCh$7,639) (11 Tax Units, UIT) for failure to submit technical justification in a timely fashion for the
second quarter of 2008; and (iv) S/. 106,073.17 (approximately ThCh$19,909) for failure to have its generation unit available after having been notified that it was required by the SEIN for the fourth quarter of 2008. Edegel S.A.A. has not
protested fines (i) and (iv), and it will pay them to take advantage of early payment benefits. It has, however, appealed sanctions (ii) and (iii), and a ruling by OSINERGMIN is pending.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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|- | In May 2013, Edegel S.A.A. was fined by the SUNAT for issues with the determination of its 2007 tax payments. The amount of the fine, restated at
December 31, 2013, was S/. 8,751,959 (approximately ThCh$1,642,707). An appeal filed with the Tax Court is pending.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In June 2013, Edegel S.A.A. was notified by Electroperú S.A. of a penalty applied under contract no. 132991, Additional Generation
Capacity Service through Conversion of Equipment to the Dual Generation System. The penalty, amounting to S/. 481,104.53 (ThCh$90,301), was applied for breach of the conditions for executing the service offered under that contract.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|- | In July 2013, Edegel S.A.A. was fined S/. 453.86 (approximately ThCh$85) by the Supervisory Agency for Investments in Energy and Mines (OSINERGMIN)
for failure to perform maintenance on its hydraulic generation units in a timely fashion as required under number 6, Procedure for Overseeing Availability and the Operating Conditions of SEIN Generating Units. As the company paid the
fine prior to the 15-day deadline, the fine was reduced to S/. 340.40 (approximately ThCh$64).
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In July 2013, Edegel S.A.A. was fined S/. 4,070 (approximately ThCh$764) by the Supervisory Agency for Investments in Energy and Mines (OSINERGMIN)
for failure to submit the pertinent technical justification in a timely fashion as required under number 6 of the Procedures for Overseeing Availability and the Operating Conditions of SEIN Generating Units. As the company paid the fine
prior to the 15-day deadline, the fine was reduced to S/. 3,052.50 (approximately ThCh$573).
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In November 2013, Edegel S.A.A. was fined S/. 37,000 (approximately ThCh$6,945 or 10 Tax Units  UIT) by the Callahuanca District Municipality
(MDC) in Municipal Resolution 060-2013. The MDC imposed the sanction for failure to submit the technical inspection report on multidisciplinary civil defense safety as required under Law 29664 and its regulations.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In November 2013, Edegel S.A.A. was fined by the SUNAT for issues with the determination of its 2008 tax payments. The amount of the fine, restated
at December 31, 2013, was S/. 1,573,170 (approximately ThCh$295,278). The appeal filed is pending resolution by the SUNAT.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In December 2013, Scotiabank Perú S.A.A., which whom Edegel S.A.A. has signed a lease agreement for the Santa Rosa Project, was fined by the
SUNAT for duties allegedly unpaid in an import operation. The amount of the fine, restated at December 31, 2013, was S/. 12,701,508 (approximately ThCh$2,384). Scotiabank Perú S.A.A. will file the respective appeal in January 2014.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Chinango S.A.C.



|- | In October 2010, Chinango was fined by the District Municipality of San Ramón regarding the Alcabala tax imposed on the transfer of certain
assets in the Simple Reorganization that took place between Edegel S.A.A. and Chinango S.A.C. and which went into effect on May 31, 2009. The amount of the fine, restated at December 31, 2013, was S/. 1,643,868 (approximately
ThCh$308,547). The appeal filed is pending resolution.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In May 2012, Chinango S.A.C. received a fine totaling S/. 40,150 (approximately ThCh$7,536 or 11 Tax Units, UIT) from the Supervisory Agency for
Investments in Energy and Mining (OSINERGMIN) for the following violations: (i) failure to meet the deadline for submitting information on product quality in NTCSE source files; and (ii) having submitted RIN and CI1 files with errors
(incorrect information) in accordance with the Electricity Concessions Law. The fine was paid.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In August 2012, Chinango S.A.C. received a fine totaling S/. 18,250 (approximately ThCh$3,425 or five Tax Units, UIT) from the Supervisory Agency
for Investments in Energy and Mining (OSINERGMIN) for the following violations: (i) CCIT indicator violations; (ii) failure to submit information in a timely fashion; and (iii) having submitted two empty RIN and RD files. The fine was
paid.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In August 2012, Chinango S.A.C. received a fine totaling S/. 29,200 (approximately ThCh$5,481 or eight Tax Units, UIT) from the Appeals and
Sanctions Court of the Agency for the Supervision of Investment in Energy and Mining (OSINERGMIN) when it ruled as groundless the appeal filed by Chinango S.A.C. against Executive Management
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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| | Resolution No. 014801 penalizing the failure to comply with the Procedure for Overseeing the Technical Quality Standard for Electricity Services and its Base Methodology (NTCSE)
in the first half of 2010 and confirmed the Resolution in all of its details. The fine was paid.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In January 2013, Chinango S.A.C. received a fine totaling S/. 367,915 (approximately ThCh$69,056) from the SUNAT for issues with the determination
of its 2010 income tax. The company challenged the measure despite paying a reduced fine in February 2013. The appeal filed is pending resolution by the Tax Court.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In June 2013, Chinango S.A.C. was notified through Coactive Execution Resolution 0398-2012 of a fine of S/. 3,800 (approximately ThCh$713) imposed
by the Supervisory Agency for Investments in Energy and Mines (OSINERGMIN) for the following infractions: (i) failure to comply with the CCII indicator in the first half of 2010 as required under paragraph A of number 5.2.2 of the
Procedure for Overseeing the Technical Quality Standard for Electrical Services and its Base Methodology; (ii) failure to comply with the CPCI indicator in the first half of 2010 as required under paragraph C) of number 5.2.2 of the
Procedure for Overseeing the Technical Quality Standard for Electrical Services and its Base Methodology; and (iii) submitting empty service interruption reports (RIN and RDI files) for the first half of 2010 despite the
interruptions affecting its customers, as required under Article 31 of the Electricity Concession Law.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In September 2013, Chinango S.A.C. was notified through Managerial Electrical Oversight Resolution No. 19693 issued by the Supervisory Agency
for Investments in Energy and Mining (OSINERGMIN) of a fine of S/. 1,850 (approximately ThCh$347 or 0.50 Tax Units  UIT) for: (i) failure to submit voltage quality information in a timely fashion in the first half of 2012. As the fine was
paid within fifteen (15) days of notification, it was reduced by 25%.
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Emgesa



|- | In Resolution 110 of August 2012, the Colombian Institute of Anthropology and HistoryICANHimposed a fine of approximately US$55,000
(approximately ThCh$28,854) on the company for not complying with standards and established procedures in cases of archaeological findings, as occurred between April 3 and April 6, 2011 in the area of the El Quimbo Hydroelectric Project.
Emgesa filed an appeal against the resolution, but ICANH confirmed the fine in Resolution 149 of October 22, 2012.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

b)    Associated companies and joint ventures

Transquillota



|- | During the 2012 fiscal year, the company Transquillota, in which Endesa Chile and Colbún each hold a 50% stake, was audited by the Chilean
tax service (SII) under an expense verification program, as the SII considers that certain entries such as depreciation of fixed assets were not properly handled. An administrative reconsideration for the Supervisory Review (RAF) was submitted
explaining the differences. The SII accepted the companys explanations and reduced the interest and fines payable to ThCh$19,208, which the company paid on March 27, 2013. Endesa paid only 50% of the amount, or Thch$9,604.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Closed.
| | -------

Endesa Brasil and subsidiaries

Ampla Energía S.A.



|- | For the period ended December 31, 2012, the company received one fine for Th$2,863 Brazilian reals (approximately ThCh$641,150) from the
National Electrical Energy Agency (Agencia Nacional de Energía Eléctrica, ANEEL) for power consumption metering. In 2011, it received three fines totaling Th$7,079 Brazilian reals (approximately ThCh$1,585,296) for violation of
telemarketing and energy sale tariff indicators. For the period ended December 31, 2012, Ampla was also fined Th$7,478 Brazilian reals (approximately ThCh$1,674,649) by the Federal Revenue Office (Secretaria de Receita Federal) for failure to
meet tax obligations. The company has filed the respective appeals.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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|  |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|- |  | The company received seven fines in 2013 totaling $29,810,687 Brazilian reals (approximately ThCh$6,675,979) from the National Electrical Energy Agency (ANEEL)
due to problems with technical quality, erroneous evidence presented in inspections, and for other reasons. The company appealed, and four fines are still awaiting final rulings. The other fines were either revoked or paid, for a total of $143,601
Brazilian reals. Only two fines were received in 2012 totaling $3,557,786 Brazilian reals (approximately ThCh$796,743), for which we have paid $2,112,600 Brazilian reals.



|- | In 2013, the company received 19 fines totaling $120,204 Brazilian reals* (approximately ThCh$26,919) from the environmental agencies (IBAMA,
Instituto Brasileiro do Meio Ambiente e dos Recursos Naturais Renováveis, ICM-Bio - Instituto Chico Mendes de Conservação da Biodiversidade, INEA  Instituto Estadual de Ambiente and others) for unauthorized removal of
vegetation, the death of animals through contact with our energy network, and construction in prohibited areas or without permission. The company filed appeals against almost all of the fines assessed, but no ruling has yet been given. Ampla paid
three fines for $66,310 Brazilian reals. (* Clarification: The amount of some of the fines has not yet been determined; the amounts will be set after Ampla submits certain data.) The company had received 14 fines in 2012 for a total of $76,426
Brazilian reals (approximately ThCh$17,115).
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In 2013, the company received four fines totaling $24,234 Brazilian reals (approximately ThCh$5,427) from the Consumer Defense and Protection
Agency (PROCON/RJ) due to problems in reimbursing improper charges and other irregularities. The company has filed appeals against all of the fines, and rulings are pending. Ampla had received three fines in 2012 for a total of $20,840 Brazilian
reals (approximately ThCh$4,667); rulings on the appeals filed against these sanctions are also pending.
|- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | The company received one fine in 2013 from the employee defense agencies (SRTE) due to problems with formalities. The company filed an appeal, and
the ruling is pending. The labor agencies have not specified the amount of the fine, which it does only after analyzing the appeal. Ampla had received five fines in 2012, for which rulings are also pending after appeals filed by the company.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Coelce



|- | The Company received three fines in 2011 totaling Th$1,397 Brazilian reals (approximately ThCh$312,849) from the National Electrical Energy Agency
(ANEEL) for the same reasons it was fined in 2012.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | For the period ended December 31, 2012, the company received two fines totaling Th$689 Brazilian reals (approximately ThCh$154,297) from the
National Electrical Energy Agency (ANEEL) for failure to comply with technical regulations.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In 2013, the company received 32 fines totaling $34,877,282 Brazilian reals (approximately ThCh$7,810,540) from the National Electrical Energy
Agency (ANEEL) or its local representative (ARCE) for accidents with third parties (there were seven), problems with technical quality, erroneous evidence submitted in inspections, irregularities with the Coelce Plus project, and other reasons. The
company has filed appeals, and final decisions are pending on 26 sanctions. The other fines were either revoked or paid, for a total of $395,125 Brazilian reals. Coelce had received 24 fines totaling $53,810,352 in 2012 (approximately
ThCh$12,050,478), for which we have paid $707,423 Brazilian reals; we are awaiting the final decision on 16 of the sanctions.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | The company was not fined by the environmental agencies in 2012 and 2013 (IBAMA, the Brazilian Institute for the Environment and Renewable
Resources, and ICMBio, the Chico Mendes Institute for Conservation of Biodiversity).
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | Coelce received four fines in 2013 totaling $21,837 Brazilian reals (approximately ThCh$4,890) from the Consumer Defense and Protection Agency
(PROCON/CE) for alleged violations of consumer rights. The company filed appeals against the fines, and one has yet to be resolved. The other appeals were rejected, and Coelce paid $15,901 Brazilian reals in fines. Two fines for a total of $12,953
Brazilian reals were received in 2012, which we have paid.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | The company received two fines in 2013 from the employee defense agencies (SRTE) due to problems with formalities. The appeal filed by the company
was unsuccessful, and we paid the amount of $9,694 reals. The company was not fined by these agencies in 2012.
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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Cien



|- | The company received one fine in 2013 for $32,136 Brazilian reals (approximately ThCh$7,197) from the National Electrical Energy Agency (ANEEL) for
a formality (a failure to submit documentation). The company appealed, and the decision is pending. The company was not fined by this agency in 2012.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|- | In 2012 and 2013, Cien was not fined for other matters (environmental, consumer, or labor).
|- | -------------------------------------------------------------------------------------------

The company and its Board of Directors have not been subject to other sanctions from the SVS or from other administrative authorities.



|35.  SUBSEQUENT | EVENTS
|--------------- | ------

Endesa Chile



| | - | On January 29, 2014, as stipulated in Articles 9 and 10, Paragraph 2 of Law 18,045 and the provisions of General Regulation 30 of the
Securities and Insurance Superintendency, the company reported as an essential fact that the Environmental Superintendency, in Exempt Resolution 39 of January 28, 2014, ordered Empresa Nacional de Electricidad S.A., among other provisional
measures indicated in that resolution, to shut down, totally and temporarily, the Bocamina Thermoelectric Plant Unit One project for 15 consecutive days. This provisional measure could be renewed or lifted before the completion of the 15 days should
new information so warrant, as authorized by the Third Environmental Court on that date and as stipulated in Letter c) of Article 48 of the Organic Law of the Environmental Superintendency.
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | The financial effects of the shutdown of the Bocamina I Thermal Plant will depend on how long the measure is in effect. The extent of the effects
is currently being assessed by the company.
| |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - | On January 31, 2014, the company reported the following essential fact:
| | - | -----------------------------------------------------------------------

| |  | Regarding the essential fact reported on December 17, 2013, in which, in addition to reporting the shutdown of the Bocamina II Thermal Plant
due to the reasons stated in the report, we announced that the financial effects of the shutdown would be assessed by the company, we hereby report as an essential fact that the effects of the beginning of the shutdown period, from December 17,
2013 to January 30, 2014, are assessed as a total loss of US$31 million in the companys contribution margin.
| |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | In addition, the company will continue to evaluate and report on the financial effects of the shutdown of the Bocamina II Thermal Plant throughout
its duration.
| |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| | - | On February 6, 2014, the company reported the following essential event:
| | - | ------------------------------------------------------------------------

| |  | Regarding the essential event of January 29, 2014, the Environmental Superintendency, in Exempt Resolution 59 of February 6, 2014, has
lifted the provisional measures ordered in Exempt Resolution 39 of January 28, 2014, including both the total temporary shutdown of the Bocamina Thermoelectric Plant Unit One project and the other corrective, safety, and control measures
decreed, as stipulated in Letter c) of Article 48 of the Organic Law of the Environmental Superintendency.
| |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | The company will proceed to implement the provisional measures ordered by the authorities and will restart operations at Unit One of the Bocamina
Thermoelectric Plant as soon as possible, in coordination with the CDEC.
| |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

No other subsequent events of
significance have occurred between January 1, 2014 and the date these financial statements were issued.



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|36.  ENVIRONMENT | 
|---------------- | 

Environmental expenses as of December 31, 2013, 2012, and 2011
are as follows:



|                           |  |                                                                                                                                                              |  |  |  |                 |           |  |                 |  |           |                 |  |          
|-------------------------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------ |  |  |  | --------------- | --------- |  | --------------- |  | --------- | --------------- |  | ---------
|                           |  |                                                                                                                                                              |  |  |  |                 |           |  | Balance at      |  |           |                
|Company Incurring
the Cost |  | Project                                                                                                                                                      |  |  |  | 12-31-2013ThCh$ |           |  | 12-31-2012ThCh$ |  |           | 12-31-2011ThCh$
|Endesa Chile S.A.          |  | Studies, monitoring, laboratory analysis, removal and final disposal of solid waste at hydroelectric power stations (HPS) and
thermoelectric power stations. |  |  |  |                 | 1,996,818 |  |                 |  | 2,298,344 |                 |  | 2,104,631
|Edegel S.A.                |  | Environmental monitoring, waste management, mitigation,
research and development, protection from radiation, vibration reduction, and restoration            |  |  |  |                 | 417,966   |  |                 |  | 915,325   |                 |  | 547,979  
|                          
|Total                      |  |                                                                                                                                                              |  |  |  |                 | 2,414,784 |  |                 |  | 3,213,669 |                 |  | 2,652,610



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|37. | FINANCIAL INFORMATION ON SUBSIDIARIES, SUMMARIZED
|--- | -------------------------------------------------

As of
December 31, 2013 and 2012, the summarized financial information of our principal subsidiaries under IFRS is as follows:





|                                                         |  |                      |             |  |                             |  |               |                     |  |  |                              |  |  |                                 |               |  |                          |  |               |                 |  |  |                 |  |  |                      |             |  |  |  |               |  |  |  |              | 
|-------------------------------------------------------- |  | -------------------- | ----------- |  | --------------------------- |  | ------------- | ------------------- |  |  | ---------------------------- |  |  | ------------------------------- | ------------- |  | ------------------------ |  | ------------- | --------------- |  |  | --------------- |  |  | -------------------- | ----------- |  |  |  | ------------- |  |  |  | ------------ | 
|SUMMARY OF THE ENDESA GROUP CONSOLIDATION, BY SUBSIDIARY | 
|                                                         |  |                      |             |  |                             |  |               |                     |  |  |                              |  |  |                                 |               |  |                          |  |               |                 |  |  |                 |  |  |                      |            
|                                                         |  | December 31, 2013    |            
|                                                         |  | Current
Assets ThCh$ |             |  | Non-current    Assets
ThCh$ |  |               | Total Assets
 ThCh$ |  |  | Current    Liabilities
ThCh$ |  |  | Non-current    LiabilitiesThCh$ |               |  | Total Liabilities
 ThCh$ |  |               | Revenues
 ThCh$ |  |  | Costs

ThCh$    |  |  | Profit (Loss)
 ThCh$ |            
|Endesa Eco S.A.                                          |  |                      | -           |  |                             |  | -             |                     |  |  | -                            |  |  |                                 | -             |  |                          |  | -             |                 |  |  | -               |  |  |                      | 48,938,968  |  |  |  | (24,522,864)  |  |  |  | 24,416,104   | 
|Empresa Eléctrica Pehuenche S.A.                         |  |                      | 33,988,505  |  |                             |  | 217,379,509   |                     |  |  | 251,368,014                  |  |  |                                 | (35,867,416)  |  |                          |  | (41,936,800)  |                 |  |  | (77,804,216)    |  |  |                      | 192,839,780 |  |  |  | (78,347,987)  |  |  |  | 114,491,793  | 
|Compañía Eléctrica San Isidro S.A.                       |  |                      | -           |  |                             |  | -             |                     |  |  | -                            |  |  |                                 | -             |  |                          |  | -             |                 |  |  | -               |  |  |                      | 211,140,517 |  |  |  | (157,918,033) |  |  |  | 53,222,484   | 
|Compañía Eléctrica Tarapacá S.A.                         |  |                      | 74,282,837  |  |                             |  | 428,366,270   |                     |  |  | 502,649,107                  |  |  |                                 | (173,508,052) |  |                          |  | (25,716,898)  |                 |  |  | (199,224,950)   |  |  |                      | 74,083,557  |  |  |  | (66,581,674)  |  |  |  | 7,501,883    | 
|Soc. Concesionaria Túnel El Melón S.A.                   |  |                      | 12,248,481  |  |                             |  | 10,007,003    |                     |  |  | 22,255,484                   |  |  |                                 | (3,182,462)   |  |                          |  | (4,599,826)   |                 |  |  | (7,782,288)     |  |  |                      | 10,301,994  |  |  |  | (4,155,242)   |  |  |  | 6,146,752    | 
|Endesa Argentina S.A.                                    |  |                      | 1,796,454   |  |                             |  | 47,229,472    |                     |  |  | 49,025,926                   |  |  |                                 | (811,271)     |  |                          |  | -             |                 |  |  | (811,271)       |  |  |                      | 2,541,610   |  |  |  | -             |  |  |  | 2,541,610    | 
|Endesa Costanera S.A.                                    |  |                      | 30,153,983  |  |                             |  | 112,614,109   |                     |  |  | 142,768,092                  |  |  |                                 | (162,244,700) |  |                          |  | (9,452,339)   |                 |  |  | (171,697,039)   |  |  |                      | 94,887,720  |  |  |  | (118,255,734) |  |  |  | (23,368,014) | 
|Hidroinvest S.A.                                         |  |                      | 528,995     |  |                             |  | 16,812,785    |                     |  |  | 17,341,780                   |  |  |                                 | (369,837)     |  |                          |  | -             |                 |  |  | (369,837)       |  |  |                      | 20,354      |  |  |  | -             |  |  |  | 20,354       | 
|Hidroeléctrica El Chocón S.A.                            |  |                      | 14,903,801  |  |                             |  | 132,833,440   |                     |  |  | 147,737,241                  |  |  |                                 | (21,069,801)  |  |                          |  | (45,717,551)  |                 |  |  | (66,787,352)    |  |  |                      | 36,686,734  |  |  |  | (25,681,727)  |  |  |  | 11,005,007   | 
|Southern Cone Power Argentina S.A.                       |  |                      | 7,901       |  |                             |  | 846,585       |                     |  |  | 854,486                      |  |  |                                 | (1,209)       |  |                          |  | -             |                 |  |  | (1,209)         |  |  |                      | -           |  |  |  | (14,112)      |  |  |  | (14,112)     | 
|Emgesa S.A. E.S.P.                                       |  |                      | 321,051,970 |  |                             |  | 1,707,315,179 |                     |  |  | 2,028,367,149                |  |  |                                 | (229,533,581) |  |                          |  | (864,631,943) |                 |  |  | (1,094,165,524) |  |  |                      | 639,770,439 |  |  |  | (408,981,567) |  |  |  | 230,788,872  | 
|Generandes Perú S.A.                                     |  |                      | 214,375     |  |                             |  | 202,971,423   |                     |  |  | 203,185,798                  |  |  |                                 | (10,853)      |  |                          |  | -             |                 |  |  | (10,853)        |  |  |                      | 33,470,743  |  |  |  | -             |  |  |  | 33,470,743   | 
|Edegel S.A.A.                                            |  |                      | 97,736,569  |  |                             |  | 678,847,872   |                     |  |  | 776,584,441                  |  |  |                                 | (98,497,242)  |  |                          |  | (220,222,435) |                 |  |  | (318,719,677)   |  |  |                      | 256,345,889 |  |  |  | (175,933,003) |  |  |  | 80,412,886   | 
|Chinango S.A.C.                                          |  |                      | 7,048,693   |  |                             |  | 104,913,829   |                     |  |  | 111,962,522                  |  |  |                                 | (11,790,622)  |  |                          |  | (36,119,840)  |                 |  |  | (47,910,462)    |  |  |                      | 27,707,823  |  |  |  | (17,541,290)  |  |  |  | 10,166,533   | 



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|                                                         |  |                       |             |  |                        |  |               |                     |  |  |                         |  |  |                             |               |  |                          |  |               |                 |  |  |               |  |  |                      |             |  |  |  |               |  |  |  |              | 
|-------------------------------------------------------- |  | --------------------- | ----------- |  | ---------------------- |  | ------------- | ------------------- |  |  | ----------------------- |  |  | --------------------------- | ------------- |  | ------------------------ |  | ------------- | --------------- |  |  | ------------- |  |  | -------------------- | ----------- |  |  |  | ------------- |  |  |  | ------------ | 
|SUMMARY OF THE ENDESA GROUP CONSOLIDATION, BY SUBSIDIARY | 
|                                                         | 
|                                                         |  | December 31, 2012     |            
|                                                         |  | Current Assets 
ThCh$ |             |  | Non-currentAssetsThCh$ |  |               | Total Assets
 ThCh$ |  |  | CurrentLiabilitiesThCh$ |  |  | Non-currentLiabilitiesThCh$ |               |  | Total Liabilities 
ThCh$ |  |               | Revenues
 ThCh$ |  |  | Costs
 ThCh$  |  |  | Profit (Loss) 
ThCh$ |            
|Endesa Eco S.A.                                          |  |                       | 96,858,959  |  |                        |  | 69,458,787    |                     |  |  | 166,317,746             |  |  |                             | (146,333,479) |  |                          |  | (2,483,081)   |                 |  |  | (148,816,560) |  |  |                      | 8,847,825   |  |  |  | (15,201,240)  |  |  |  | (6,353,415)  | 
|Empresa Eléctrica Pehuenche S.A.                         |  |                       | 53,256,062  |  |                        |  | 226,690,237   |                     |  |  | 279,946,299             |  |  |                             | (67,804,287)  |  |                          |  | (44,094,780)  |                 |  |  | (111,899,067) |  |  |                      | 374,992,088 |  |  |  | (117,294,279) |  |  |  | 257,697,809  | 
|Compañía Eléctrica San Isidro S.A.                       |  |                       | 51,106,086  |  |                        |  | 201,289,793   |                     |  |  | 252,395,879             |  |  |                             | (106,039,552) |  |                          |  | (21,730,290)  |                 |  |  | (127,769,842) |  |  |                      | 279,024,743 |  |  |  | (223,910,404) |  |  |  | 55,114,339   | 
|Empresa Eléctrica Pangue S.A.                            |  |                       | -           |  |                        |  | -             |                     |  |  | -                       |  |  |                             | -             |  |                          |  | -             |                 |  |  | -             |  |  |                      | 21,743,845  |  |  |  | (10,100,977)  |  |  |  | 11,642,868   | 
|Compañía Eléctrica Tarapacá S.A.                         |  |                       | 18,675,677  |  |                        |  | 72,323,119    |                     |  |  | 90,998,796              |  |  |                             | (10,274,500)  |  |                          |  | (4,390,710)   |                 |  |  | (14,665,210)  |  |  |                      | 38,465,781  |  |  |  | (53,695,291)  |  |  |  | (15,229,510) | 
|Endesa Inversiones Generales S.A.                        |  |                       | -           |  |                        |  | -             |                     |  |  | -                       |  |  |                             | -             |  |                          |  | -             |                 |  |  | -             |  |  |                      | 2,255,987   |  |  |  | (1,415,630)   |  |  |  | 840,357      | 
|Empresa de Ingeniería Ingendesa S.A.                     |  |                       | -           |  |                        |  | -             |                     |  |  | -                       |  |  |                             | -             |  |                          |  | -             |                 |  |  | -             |  |  |                      | 390,336     |  |  |  | (719,190)     |  |  |  | (328,854)    | 
|Inversiones Endesa Norte S.A.                            |  |                       | -           |  |                        |  | -             |                     |  |  | -                       |  |  |                             | -             |  |                          |  | -             |                 |  |  | -             |  |  |                      | 755,617     |  |  |  | (543,185)     |  |  |  | 212,432      | 
|Soc. Concesionaria Túnel El Melón S.A.                   |  |                       | 5,671,843   |  |                        |  | 14,638,326    |                     |  |  | 20,310,169              |  |  |                             | (2,924,404)   |  |                          |  | (9,068,755)   |                 |  |  | (11,993,159)  |  |  |                      | 9,553,607   |  |  |  | (1,237,412)   |  |  |  | 8,316,195    | 
|Endesa Argentina S.A.                                    |  |                       | 13,909,791  |  |                        |  | 30,612,330    |                     |  |  | 44,522,121              |  |  |                             | (456,855)     |  |                          |  | (4,479,929)   |                 |  |  | (4,936,784)   |  |  |                      | 3,123,830   |  |  |  | -             |  |  |  | 3,123,830    | 
|Endesa Costanera S.A.                                    |  |                       | 26,248,574  |  |                        |  | 116,505,733   |                     |  |  | 142,754,307             |  |  |                             | (195,463,171) |  |                          |  | (10,460,347)  |                 |  |  | (205,923,518) |  |  |                      | 295,139,838 |  |  |  | (343,984,979) |  |  |  | (48,845,141) | 
|Hidroinvest S.A.                                         |  |                       | 527,463     |  |                        |  | 20,308,201    |                     |  |  | 20,835,664              |  |  |                             | (357,128)     |  |                          |  | -             |                 |  |  | (357,128)     |  |  |                      | 2,689,410   |  |  |  | -             |  |  |  | 2,689,410    | 
|Hidroeléctrica El Chocón S.A.                            |  |                       | 15,500,507  |  |                        |  | 148,052,530   |                     |  |  | 163,553,037             |  |  |                             | (29,439,486)  |  |                          |  | (48,058,461)  |                 |  |  | (77,497,947)  |  |  |                      | 49,195,031  |  |  |  | (34,796,083)  |  |  |  | 14,398,948   | 
|Southern Cone Power Argentina S.A.                       |  |                       | 24,347      |  |                        |  | 1,022,593     |                     |  |  | 1,046,940               |  |  |                             | (1,071)       |  |                          |  | -             |                 |  |  | (1,071)       |  |  |                      | -           |  |  |  | (8,556)       |  |  |  | (8,556)      | 
|Emgesa S.A. E.S.P.                                       |  |                       | 285,737,507 |  |                        |  | 1,558,061,492 |                     |  |  | 1,843,798,999           |  |  |                             | (179,589,763) |  |                          |  | (757,392,282) |                 |  |  | (936,982,045) |  |  |                      | 580,343,060 |  |  |  | (379,082,030) |  |  |  | 201,261,030  | 
|Generandes Perú S.A.                                     |  |                       | 190,469     |  |                        |  | 202,696,962   |                     |  |  | 202,887,431             |  |  |                             | (8,235)       |  |                          |  | -             |                 |  |  | (8,235)       |  |  |                      | 18,720,477  |  |  |  | -             |  |  |  | 18,720,477   | 
|Edegel S.A.A.                                            |  |                       | 73,195,465  |  |                        |  | 686,321,901   |                     |  |  | 759,517,366             |  |  |                             | (71,852,384)  |  |                          |  | (241,375,405) |                 |  |  | (313,227,789) |  |  |                      | 250,100,131 |  |  |  | (204,017,304) |  |  |  | 46,082,827   | 
|Chinango S.A.C.                                          |  |                       | 6,997,326   |  |                        |  | 107,354,750   |                     |  |  | 114,352,076             |  |  |                             | (9,156,459)   |  |                          |  | (40,761,605)  |                 |  |  | (49,918,064)  |  |  |                      | 30,172,752  |  |  |  | (18,065,793)  |  |  |  | 12,106,959   | 



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APPENDIX 1 ENDESA CHILE GROUP COMPANIES

This appendix is part of Note 2.4, Subsidiaries.

It presents the Groups ownership interest in each company.



|                      |  |  |  |                                            |        |                    |  |  |          |                                  |  |                                  |       |              |  |  |        |         |  |  |          |          |  |  |       |        |  |  |  |         |  |  |  |            |  |  |  |           |  |  |  |                                                       
|--------------------- |  |  |  | ------------------------------------------ | ------ | ------------------ |  |  | -------- | -------------------------------- |  | -------------------------------- | ----- | ------------ |  |  | ------ | ------- |  |  | -------- | -------- |  |  | ----- | ------ |  |  |  | ------- |  |  |  | ---------- |  |  |  | --------- |  |  |  | ------------------------------------------------------
|Taxpayer ID No.
(RUT) |  |  |  | Company 
( in alphabetical order)          |        | Currency           |  |  |          | Ownership Interest at
12/31/2013 |  | Ownership Interest at
12/31/2012 |       | Relationship |  |  |        | Country |  |  |          | Activity
|                      |  |  |  |                                            | Direct |                    |  |  | Indirect |                                  |  |                                  | Total |              |  |  | Direct |         |  |  | Indirect |          |  |  | Total |        |  |  |  |         |  |  |  |           
|                      |  |  |  |                                            |        |                    |  |  |          |                                  |  |                                  |       |              |  |  |        |         |  |  |          |          |  |  |       |        |  |  |  |         |  |  |  |            |  |  |  |           |  |  |  |                                                       
|76,003,204-2          |  |  |  | Central Eólica Canela S.A.                 |        | Chilean
peso       |  |  |          | 0.00%                            |  |                                  |       | 75.00%       |  |  |        | 75.00%  |  |  |          | 0.00%    |  |  |       | 75.00% |  |  |  | 75.00%  |  |  |  | Subsidiary |  |  |  | Chile     |  |  |  | Promotion and development of renewable energy projects
|Foreign               |  |  |  | Chinango S.A.C.                            |        | Peruvian
nuevo sol |  |  |          | 0.00%                            |  |                                  |       | 80.00%       |  |  |        | 80.00%  |  |  |          | 0.00%    |  |  |       | 80.00% |  |  |  | 80.00%  |  |  |  | Subsidiary |  |  |  | Peru      |  |  |  | Electric energy generation, sales, and distribution   
|96,783,220-0          |  |  |  | Compañía Eléctrica San Isidro S.A. (1) (3) |        | Chilean
peso       |  |  |          | 0.00%                            |  |                                  |       | 0.00%        |  |  |        | 0.00%   |  |  |          | 95.61%   |  |  |       | 0.00%  |  |  |  | 95.61%  |  |  |  | Subsidiary |  |  |  | Chile     |  |  |  | Complete electric energy cycle                        
|96,770,940-9          |  |  |  | Compañía Eléctrica Tarapacá S.A. (4)       |        | Chilean
peso       |  |  |          | 96.21%                           |  |                                  |       | 0.00%        |  |  |        | 96.21%  |  |  |          | 99.94%   |  |  |       | 0.06%  |  |  |  | 100.00% |  |  |  | Subsidiary |  |  |  | Chile     |  |  |  | Complete electric energy cycle                        
|Foreign               |  |  |  | Distrilec Inversora S.A.                   |        | Argentine
peso     |  |  |          | 0.89%                            |  |                                  |       | 0.00%        |  |  |        | 0.89%   |  |  |          | 0.89%    |  |  |       | 0.00%  |  |  |  | 0.89%   |  |  |  | Subsidiary |  |  |  | Argentina |  |  |  | Portfolio company                                     
|Foreign               |  |  |  | Edegel S.A.A                               |        | Peruvian
nuevo sol |  |  |          | 29.40%                           |  |                                  |       | 54.20%       |  |  |        | 83.60%  |  |  |          | 29.40%   |  |  |       | 54.20% |  |  |  | 83.60%  |  |  |  | Subsidiary |  |  |  | Peru      |  |  |  | Electric energy generation, sales, and distribution   
|Foreign               |  |  |  | Emgesa S.A. E.S.P.                         |        | Colombian peso     |  |  |          | 26.87%                           |  |                                  |       | 0.00%        |  |  |        | 26.87%  |  |  |          | 26.87%   |  |  |       | 0.00%  |  |  |  | 26.87%  |  |  |  | Subsidiary |  |  |  | Colombia  |  |  |  | Electric energy generation                            
|Foreign               |  |  |  | Emgesa Panama S.A.                         |        | U.S.
dollar        |  |  |          | 0.00%                            |  |                                  |       | 26.87%       |  |  |        | 26.87%  |  |  |          | 0.00%    |  |  |       | 26.87% |  |  |  | 26.87%  |  |  |  | Subsidiary |  |  |  | Colombia  |  |  |  | Purchase/sale of electric energy                      
|96,504,980-0          |  |  |  | Empresa Eléctrica Pehuenche S.A.           |        | Chilean
peso       |  |  |          | 92.65%                           |  |                                  |       | 0.00%        |  |  |        | 92.65%  |  |  |          | 92.65%   |  |  |       | 0.00%  |  |  |  | 92.65%  |  |  |  | Subsidiary |  |  |  | Chile     |  |  |  | Complete electric energy cycle                        
|Foreign               |  |  |  | Endesa Argentina S.A.                      |        | Argentine
peso     |  |  |          | 99.66%                           |  |                                  |       | 0.34%        |  |  |        | 100.00% |  |  |          | 99.66%   |  |  |       | 0.34%  |  |  |  | 100.00% |  |  |  | Subsidiary |  |  |  | Argentina |  |  |  | Portfolio company                                     
|Foreign               |  |  |  | Endesa Costanera S.A.                      |        | Argentine
peso     |  |  |          | 24.85%                           |  |                                  |       | 50.82%       |  |  |        | 75.67%  |  |  |          | 12.33%   |  |  |       | 57.43% |  |  |  | 69.76%  |  |  |  | Subsidiary |  |  |  | Argentina |  |  |  | Electric energy generation and sales                  
|96,827,970-K          |  |  |  | Endesa Eco S.A. (2) (3) (4)                |        | Chilean
peso       |  |  |          | 0.00%                            |  |                                  |       | 0.00%        |  |  |        | 0.00%   |  |  |          | 99.99%   |  |  |       | 0.01%  |  |  |  | 100.00% |  |  |  | Subsidiary |  |  |  | Chile     |  |  |  | Renewable energy projects                             
|Foreign               |  |  |  | Generandes Perú S.A.                       |        | Peruvian
nuevo sol |  |  |          | 61.00%                           |  |                                  |       | 0.00%        |  |  |        | 61.00%  |  |  |          | 61.00%   |  |  |       | 0.00%  |  |  |  | 61.00%  |  |  |  | Subsidiary |  |  |  | Peru      |  |  |  | Portfolio company                                     



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|             |                          |                                            |  |                |  |                                  |  |                                  |  |              |  |          |  |          |  |         |  |            |  |           |  |                                                              
|------------ | ------------------------ | ------------------------------------------ |  | -------------- |  | -------------------------------- |  | -------------------------------- |  | ------------ |  | -------- |  | -------- |  | ------- |  | ---------- |  | --------- |  | -------------------------------------------------------------
|Rut          |                          | Company                                    |  | Currency       |  | Ownership Interest at
12/31/2013 |  | Ownership Interest at 12/31/2012 |  | Relationship |  | Country  |  | Activity
|             | ( in alphabetical order) |                                            |  | Direct         |  | Indirect                         |  | Total                            |  | Direct       |  | Indirect |  | Total    |  |         | 
|            
|Foreign      |                          | Hidroeléctrica El Chocón S.A.              |  | Argentine
peso |  | 2.48%                            |  | 65.19%                           |  | 67.67%       |  | 2.48%    |  | 65.19%   |  | 67.67%  |  | Subsidiary |  | Argentina |  | Electric energy production and sales                         
|Foreign      |                          | Hidroinvest S.A.                           |  | Argentine
peso |  | 41.94%                           |  | 54.15%                           |  | 96.09%       |  | 41.94%   |  | 54.15%   |  | 96.09%  |  | Subsidiary |  | Argentina |  | Portfolio company                                            
|Foreign      |                          | Ingendesa do Brasil Ltda.                  |  | Brazilian
real |  | 1.00%                            |  | 99.00%                           |  | 100.00%      |  | 1.00%    |  | 99.00%   |  | 100.00% |  | Subsidiary |  | Brazil    |  | Project engineering consulting                               
|96,887,060-2 |                          | Inversiones Endesa Norte S.A. (2)          |  | Chilean
peso   |  | 0.00%                            |  | 0.00%                            |  | 0.00%        |  | 99.99%   |  | 0.01%    |  | 100.00% |  | Subsidiary |  | Chile     |  | Investment in energy projects in northern Chile              
|96,671,360-7 |                          | Sociedad Concesionaria Túnel El Melón S.A. |  | Chilean
peso   |  | 99.99%                           |  | 0.01%                            |  | 100.00%      |  | 99.99%   |  | 0.01%    |  | 100.00% |  | Subsidiary |  | Chile     |  | Execution, construction, and operation of the El Melón tunnel
|Foreign      |                          | Sociedad Portuaria Central Cartagena S.A.  |  | Colombian
peso |  | 0.00%                            |  | 94.95%                           |  | 94.95%       |  | 0.00%    |  | 94.95%   |  | 94.95%  |  | Subsidiary |  | Colombia  |  | Port administration                                          
|Foreign      |                          | Southern Cone Power Argentina S.A.         |  | Argentine
peso |  | 98.00%                           |  | 2.00%                            |  | 100.00%      |  | 98.00%   |  | 2.00%    |  | 100.00% |  | Subsidiary |  | Argentina |  | Portfolio company                                            
|Foreign      |                          | Termoeléctrica José de San Martín S.A.     |  | Argentine
peso |  | 0.00%                            |  | 20.86%                           |  | 20.86%       |  | 0.00%    |  | 20.86%   |  | 20.86%  |  | Subsidiary |  | Argentina |  | Construction and operation of combined cycle plant           
|Foreign      |                          | Termoeléctrica Manuel Belgrano S.A.        |  | Argentine
peso |  | 0.00%                            |  | 20.86%                           |  | 20.86%       |  | 0.00%    |  | 20.86%   |  | 20.86%  |  | Subsidiary |  | Argentina |  | Electric energy production, transportation, and distribution 



| | (1) | On May 1, 2012, Empresa Eléctrica Pangue S.A. was merged with Compañía Eléctrica San Isidro S.A.; the latter is the company which legally continues to exist.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (2) | On May 1, 2012, Empresa de Ingeniería Ingendesa S.A. and Endesa Inversiones Generales S.A. were merged with Inversiones Endesa Norte S.A., and on July 1, 2012, Endesa Norte S.A. was merged with
Endesa Eco S.A.; the latter is the company which legally continues to exist.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (3) | On September 1, 2013, Compañía Eléctrica San Isidro S.A. was merged with Endesa Eco S.A.; the latter is the company which legally continues to exist.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------

| | (4) | On November 1, 2013, Endesa Eco S.A. was merged with Compañía Eléctrica de Tarapacá; the latter is the company which legally continues to exist.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------



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APPENDIX 2 CHANGES IN THE SCOPE OF CONSOLIDATION

This appendix is part of Note 2.4.1 Changes in the scope of consolidation.

Incorporation into the scope of consolidation during the 2013 and 2012 fiscal years:



|                            |                          |                    |  |             |  |                                  |  |                                  |  |              |  |          |  |          |  |        |  |            |  |        |  |                                 
|--------------------------- | ------------------------ | ------------------ |  | ----------- |  | -------------------------------- |  | -------------------------------- |  | ------------ |  | -------- |  | -------- |  | ------ |  | ---------- |  | ------ |  | --------------------------------
|Taxpayer    ID No.    (RUT) |                          | Company            |  | Currency    |  | Ownership Interest at 12/31/2013 |  | Ownership Interest at 12/31/2012 |  | Relationship |  | Country  |  | Activity
|                            | ( in alphabetical order) |                    |  | Direct      |  | Indirect                         |  | Total                            |  | Direct       |  | Indirect |  | Total    |  |        | 
|Foreign                     |                          | Emgesa Panama S.A. |  | U.S. dollar |  | 0.00%                            |  | 26.87%                           |  | 26.87%       |  | 0.00%    |  | 26.87%   |  | 26.87% |  | Subsidiary |  | Panama |  | Purchase/sale of electric energy



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APPENDIX 3 ASSOCIATED COMPANIES AND JOINT VENTURES

This appendix is part of Note 3.g, Investments accounted for using the equity method.



|                      |  |                                         |        |                |          |                                  |       |                                  |        |                                |          |              |       |         |        |          |          |        |       |        |  |        |  |               |  |           |  |                                                                           
|--------------------- |  | --------------------------------------- | ------ | -------------- | -------- | -------------------------------- | ----- | -------------------------------- | ------ | ------------------------------ | -------- | ------------ | ----- | ------- | ------ | -------- | -------- | ------ | ----- | ------ |  | ------ |  | ------------- |  | --------- |  | --------------------------------------------------------------------------
|Taxpayer ID
No. (RUT) |  | Company
( in alphabetical order)        |        | Currency       |          | Ownership Interest at
12/31/2013 |       | Ownership Interest at
12/31/2012 |        | Ownership Interest at
1/1/2012 |          | Relationship |       | Country |        | Activity
|                      |  |                                         | Direct |                | Indirect |                                  | Total |                                  | Direct |                                | Indirect |              | Total |         | Direct |          | Indirect |        | Total |        |  |       
|Foreign               |  | Distrilec Inversora S.A.                |        | Argentine
peso |          | 0.89%                            |       | 0.00%                            |        | 0.89%                          |          | 0.89%        |       | 0.00%   |        | 0.89%    |          | 0.89%  |       | 0.00%  |  | 0.89%  |  | Associate     |  | Argentina |  | Portfolio company                                                         
|96,806,130-5          |  | Electrogas S.A                          |        | U.S. dollar    |          | 42.50%                           |       | 0.00%                            |        | 42.50%                         |          | 42.50%       |       | 0.00%   |        | 42.50%   |          | 42.50% |       | 0.00%  |  | 42.50% |  | Associate     |  | Chile     |  | Portfolio company                                                         
|Foreign               |  | Endesa Brasil S.A.                      |        | Brazilian
real |          | 34.64%                           |       | 4.00%                            |        | 38.64%                         |          | 36.27%       |       | 4.18%   |        | 40.45%   |          | 36.27% |       | 4.18%  |  | 40.45% |  | Associate     |  | Brazil    |  | Portfolio company                                                         
|Foreign               |  | Endesa Cemsa S.A.                       |        | Argentine
peso |          | 0.00%                            |       | 45.00%                           |        | 45.00%                         |          | 0.00%        |       | 45.00%  |        | 45.00%   |          | 0.00%  |       | 45.00% |  | 45.00% |  | Associate     |  | Argentina |  | Wholesale purchase and sale of electric energy                            
|76,418,940-K          |  | GNL Chile.S.A.                          |        | U.S. dollar    |          | 33.33%                           |       | 0.00%                            |        | 33.33%                         |          | 33.33%       |       | 0.00%   |        | 33.33%   |          | 33.33% |       | 0.00%  |  | 33.33% |  | Associate     |  | Chile     |  | Promotion of liquefied natural gas supply project                         
|76,788,080-4          |  | GNL Quintero S.A.                       |        | U.S. dollar    |          | 20.00%                           |       | 0.00%                            |        | 20.00%                         |          | 20.00%       |       | 0.00%   |        | 20.00%   |          | 20.00% |       | 0.00%  |  | 20.00% |  | Associate     |  | Chile     |  | Development, design, and supply of liquid natural gas regasifying terminal
|76,652,400-1          |  | Centrales Hidroeléctricas De Aysén S.A. |        | Chilean
peso   |          | 51.00%                           |       | 0.00%                            |        | 51.00%                         |          | 51.00%       |       | 0.00%   |        | 51.00%   |          | 51.00% |       | 0.00%  |  | 51.00% |  | Joint venture |  | Chile     |  | Development and operation of a hydroelectric project                      
|76,014,570-K          |  | Inversiones Gas Atacama Holding Ltda.   |        | U.S. dollar    |          | 0.00%                            |       | 50.00%                           |        | 50.00%                         |          | 0.00%        |       | 50.00%  |        | 50.00%   |          | 0.00%  |       | 50.00% |  | 50.00% |  | Joint venture |  | Chile     |  | Natural gas transportation                                                
|77,017,930-0          |  | Transmisora Eléctrica de Quillota Ltda. |        | Chilean
peso   |          | 0.00%                            |       | 50.00%                           |        | 50.00%                         |          | 0.00%        |       | 50.00%  |        | 50.00%   |          | 0.00%  |       | 50.00% |  | 50.00% |  | Joint venture |  | Chile     |  | Electric energy transportation and distribution                           



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##### Table of Contents

APPENDIX 4 ADDITIONAL INFORMATION ON FINANCIAL
DEBT

This appendix is part of Note 16, Other financial liabilities.

The following tables present the contractual undiscounted cash flows by type of financial debt:

a) Bank borrowings



| | - |  | Summary of bank borrowing by currency and maturity:
| | - |  | ---------------------------------------------------



|          |  |          |  |                       |                         |   |                     |                            |       |                     |                                  |           |  |                        |             |  |                          |         |             |                        |             |  |                        |         |  |                                          |             |  |                         |  |            |                            |  |  |                                  |  |  |                         |   |  |                          |  |             |                        |  |  |                        |  |  |                                          |            |  |                         |  |            |                            |  |  |                                |  |  |                         |            |  |                          |  |            |                        |  |  |                        |  |  |                                     |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |  |            |  |  |  |   |  |  |            
|--------- |  | -------- |  | --------------------- | ----------------------- | - | ------------------- | -------------------------- | ----- | ------------------- | -------------------------------- | --------- |  | ---------------------- | ----------- |  | ------------------------ | ------- | ----------- | ---------------------- | ----------- |  | ---------------------- | ------- |  | ---------------------------------------- | ----------- |  | ----------------------- |  | ---------- | -------------------------- |  |  | -------------------------------- |  |  | ----------------------- | - |  | ------------------------ |  | ----------- | ---------------------- |  |  | ---------------------- |  |  | ---------------------------------------- | ---------- |  | ----------------------- |  | ---------- | -------------------------- |  |  | ------------------------------ |  |  | ----------------------- | ---------- |  | ------------------------ |  | ---------- | ---------------------- |  |  | ---------------------- |  |  | ----------------------------------- | ----------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | - |  |  | -----------
|Country   |  | Currency |  | EffectiveInterestRate |                         |   | NominalInterestRate |                            |       | Secured/  Unsecured |                                  | Current   |  |                        | Non-current |  |                          | Current |             |                        | Non-current |  |                        | Current |  |                                          | Non-current
|          |  |          |  |                       | Maturity                |   |                     |                            |       |                     | Maturity                         |           |  |                        |             |  |                          |         |             |                        |             |  | Maturity               |         |  |                                          |             |  |                         |  |            |                            |  |  | Maturity                         |  |  |                        
|          |  |          |  |                       | One tothreemonths
ThCh$ |   |                     | Three totwelvemonths
ThCh$ |       |                     | Totalcurrent at12/31/2013

ThCh$ |           |  | One tothreeyears
ThCh$ |             |  | Three tofive years
ThCh$ |         |             | Five to tenyears
ThCh$ |             |  | Morethantenyears
ThCh$ |         |  | Total Non-
current at  12/31/2013

ThCh$ |             |  | One tothreemonths
ThCh$ |  |            | Three totwelvemonths
ThCh$ |  |  | Totalcurrent at12/31/2012

ThCh$ |  |  | One tothree years
ThCh$ |   |  | Three tofive years
ThCh$ |  |             | Five to tenyears
ThCh$ |  |  | Morethantenyears
ThCh$ |  |  | Total Non-
current at  12/31/2012

ThCh$ |            |  | One tothreemonths
ThCh$ |  |            | Three totwelvemonths
ThCh$ |  |  | Totalcurrent at1/1/2012

ThCh$ |  |  | One tothree years
ThCh$ |            |  | Three tofive years
ThCh$ |  |            | Five to tenyears
ThCh$ |  |  | Morethantenyears
ThCh$ |  |  | Total Non-current at1/1/2012

ThCh$
|          |  |          |  |                       |                         |   |                     |                            |       |                     |                                  |           |  |                        |             |  |                          |         |             |                        |             |  |                        |         |  |                                          |            
|          |  |          |  |                       |                         |   |                     |                            |       |                     |                                  |           |  |                        |             |  |                          |         |             |                        |             |  |                        |         |  |                                          |             |  |                         |  |            |                            |  |  |                                  |  |  |                         |   |  |                          |  |             |                        |  |  |                        |  |  |                                          |            |  |                         |  |            |                            |  |  |                                |  |  |                         |            |  |                          |  |            |                        |  |  |                        |  |  |                                     |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |  |            |  |  |  |   |  |  |            
|Chile     |  | US$      |  |                       | 2.33                    | % |                     |                            | 1.77  | %                   |                                  | Unsecured |  |                        | 842,850     |  |                          |         | 106,843,174 |                        |             |  | 107,686,024            |         |  |                                          | 892,825     |  |                         |  | -          |                            |  |  | -                                |  |  |                         | - |  |                          |  | 892,825     |                        |  |  | 818,386                |  |  |                                          | 2,531,449  |  |                         |  | 3,349,835  |                            |  |  | 98,982,459                     |  |  |                         | -          |  |                          |  | -          |                        |  |  | -                      |  |  |                                     | 98,982,459  |  |  |  | 906,389    |  |  |  | 3,359,497   |  |  |  | 4,265,886   |  |  |  | 109,631,899 |  |  |  | 876,746    |  |  |  | -          |  |  |  | - |  |  | 110,508,645
|Chile     |  | Ch$      |  |                       | 6.00                    | % |                     |                            | 6.00  | %                   |                                  | Unsecured |  |                        | 7           |  |                          |         | -           |                        |             |  | 7                      |         |  |                                          | -           |  |                         |  | -          |                            |  |  | -                                |  |  |                         | - |  |                          |  | -           |                        |  |  | 272                    |  |  |                                          | -          |  |                         |  | 272        |                            |  |  | -                              |  |  |                         | -          |  |                          |  | -          |                        |  |  | -                      |  |  |                                     | -           |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | - |  |  | -          
|Peru      |  | US$      |  |                       | 2.81                    | % |                     |                            | 2.78  | %                   |                                  | Unsecured |  |                        | 3,055,656   |  |                          |         | 4,146,020   |                        |             |  | 7,201,676              |         |  |                                          | 25,010,727  |  |                         |  | 28,623,011 |                            |  |  |                                  |  |  |                         | - |  |                          |  | 53,633,738  |                        |  |  | 2,214,895              |  |  |                                          | 1,865,048  |  |                         |  | 4,079,943  |                            |  |  | 14,173,501                     |  |  |                         | 27,830,814 |  |                          |  | 12,109,598 |                        |  |  | -                      |  |  |                                     | 54,113,913  |  |  |  | 2,810,297  |  |  |  | 10,519,166  |  |  |  | 13,329,463  |  |  |  | 7,864,024   |  |  |  | 25,087,748 |  |  |  | 26,158,087 |  |  |  | - |  |  | 59,109,859 
|Peru      |  | Sol      |  |                       |                         |   |                     |                            |       |                     |                                  | Unsecured |  |                        | -           |  |                          |         | -           |                        |             |  | -                      |         |  |                                          | -           |  |                         |  | -          |                            |  |  | -                                |  |  |                         | - |  |                          |  | -           |                        |  |  | -                      |  |  |                                          | -          |  |                         |  | -          |                            |  |  | -                              |  |  |                         | -          |  |                          |  | -          |                        |  |  | -                      |  |  |                                     | -           |  |  |  | 14,857     |  |  |  | 1,585,500   |  |  |  | 1,600,357   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | - |  |  | -          
|Argentina |  | US$      |  |                       | 9.59                    | % |                     |                            | 9.31  | %                   |                                  | Unsecured |  |                        | 3,542,419   |  |                          |         | 8,408,627   |                        |             |  | 11,951,046             |         |  |                                          | 1,641,372   |  |                         |  | -          |                            |  |  | -                                |  |  |                         | - |  |                          |  | 1,641,372   |                        |  |  | 6,645,902              |  |  |                                          | 5,093,612  |  |                         |  | 11,739,514 |                            |  |  | 7,836,715                      |  |  |                         | -          |  |                          |  | -          |                        |  |  | -                      |  |  |                                     | 7,836,715   |  |  |  | 2,662,019  |  |  |  | 9,436,481   |  |  |  | 12,098,500  |  |  |  | 17,142,594  |  |  |  | 1,612,063  |  |  |  | -          |  |  |  | - |  |  | 18,754,657 
|Argentina |  | Ar$      |  |                       | 31.73                   | % |                     |                            | 28.22 | %                   |                                  | Unsecured |  |                        | 14,276,066  |  |                          |         | 4,487,398   |                        |             |  | 18,763,464             |         |  |                                          | 11,751,169  |  |                         |  | -          |                            |  |  | -                                |  |  |                         | - |  |                          |  | 11,751,169  |                        |  |  | 19,209,089             |  |  |                                          | 10,912,241 |  |                         |  | 30,121,330 |                            |  |  | 8,750,625                      |  |  |                         | -          |  |                          |  | -          |                        |  |  | -                      |  |  |                                     | 8,750,625   |  |  |  | 27,019,763 |  |  |  | 15,322,805  |  |  |  | 42,342,568  |  |  |  | 18,975,861  |  |  |  | 2,458,440  |  |  |  | -          |  |  |  | - |  |  | 21,434,301 
|Colombia  |  | CP       |  |                       | 6.95                    | % |                     |                            | 6.84  | %                   |                                  | Unsecured |  |                        | 1,431,306   |  |                          |         | 4,293,917   |                        |             |  | 5,725,223              |         |  |                                          | 16,996,306  |  |                         |  | 31,725,477 |                            |  |  | 65,954,840                       |  |  |                         | - |  |                          |  | 114,676,623 |                        |  |  | 1,900,127              |  |  |                                          | 5,700,379  |  |                         |  | 7,600,506  |                            |  |  | 25,790,155                     |  |  |                         | 33,339,101 |  |                          |  | 60,191,993 |                        |  |  | -                      |  |  |                                     | 119,321,249 |  |  |  | 1,338,154  |  |  |  | 82,134,906  |  |  |  | 83,473,060  |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | - |  |  | -          
|          |  |          |  |                       |                         |   |                     |                            |       |                     |                                  |           |  |                        |             |  |                          |         |             |                        |             |  |                        |         |  |                                          |             |  |                         |  |            |                            |  |  |                                  |  |  |                         |   |  |                          |  |             |                        |  |  |                        |  |  |                                          |            |  |                         |  |            |                            |  |  |                                |  |  |                         |            |  |                          |  |            |                        |  |  |                        |  |  |                                     |             |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |            |  |  |  |            |  |  |  |   |  |  |            
|          |  |          |  |                       |                         |   |                     |                            |       |                     |                                  | Total     |  |                        | 23,148,304  |  |                          |         | 128,179,136 |                        |             |  | 151,327,440            |         |  |                                          | 56,292,399  |  |                         |  | 60,348,488 |                            |  |  | 65,954,840                       |  |  |                         | - |  |                          |  | 182,595,727 |                        |  |  | 30,788,671             |  |  |                                          | 26,102,729 |  |                         |  | 56,891,400 |                            |  |  | 155,533,455                    |  |  |                         | 61,169,915 |  |                          |  | 72,301,591 |                        |  |  | -                      |  |  |                                     | 289,004,961 |  |  |  | 34,751,479 |  |  |  | 122,358,355 |  |  |  | 157,109,834 |  |  |  | 153,614,378 |  |  |  | 30,034,997 |  |  |  | 26,158,087 |  |  |  | - |  |  | 209,807,462



F-129



---

##### Table of Contents

| | - |  | Identification of bank borrowings by company
| | - |  | --------------------------------------------



|                       |  |                               |  |           |  |                                       |  |                                                  |                    |           |  |                    |  |                        |               |                       |  |                    |           |  |                     |  |             |                      |  |  |                    |  |  |                   |            |  |                   |  |            |               |  |  |                    |  |  |                     |             |  |                      |  |           |                    |  |  |                    |  |  |                    |            |  |               |  |            |                    |  |  |                     |  |  |                      |            |  |                    |  |             |  |  |  |            |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |            |  |  |  |            |  |  |  |             | 
|---------------------- |  | ----------------------------- |  | --------- |  | ------------------------------------- |  | ------------------------------------------------ | ------------------ | --------- |  | ------------------ |  | ---------------------- | ------------- | --------------------- |  | ------------------ | --------- |  | ------------------- |  | ----------- | -------------------- |  |  | ------------------ |  |  | ----------------- | ---------- |  | ----------------- |  | ---------- | ------------- |  |  | ------------------ |  |  | ------------------- | ----------- |  | -------------------- |  | --------- | ------------------ |  |  | ------------------ |  |  | ------------------ | ---------- |  | ------------- |  | ---------- | ------------------ |  |  | ------------------- |  |  | -------------------- | ---------- |  | ------------------ |  | ----------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ----------- | 
|Taxpayer ID No.  (RUT) |  | Company                       |  | Country   |  | Taxpayer ID No.  FinancialInstitution |  | Financial Institution                            |                    | Country   |  | Currency           |  | Effective
InterestRate |               | Nominal  InterestRate |  | 12-2013            |           |  | 12-2012             |  |             | 01-2012              | 
|                       |  |                               |  |           |  |                                       |  |                                                  | Current            |           |  | Non-current        |  |                        | Current       |                       |  | Non-current        |           |  | Current             |  |             | Non-current          | 
|                       |  |                               |  |           |  |                                       |  |                                                  | Less than  90 days |           |  | More than  90 days |  |                        | Total Current |                       |  | One to three
years |           |  | Three to
five years |  |             | More than
five years |  |  | Total Non- current |  |  | Less than
90 days |            |  | More than
90 days |  |            | Total Current |  |  | One to three
years |  |  | Three to five
years |             |  | More than
five years |  |           | Total Non- current |  |  | Less than  90 days |  |  | More than  90 days |            |  | Total Current |  |            | One to three
years |  |  | Three to five
years |  |  | More than
five years |            |  | Total Non- current | 
|Foreign                |  | Chinango S.A.C.               |  | Peru      |  | Foreign                               |  | Banco Continental                                |                    | Peru      |  | Sol                |  | 3.85%                  |               | 3.80%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 14,597     |  |  |  | 1,585,500  |  |  |  | 1,600,097   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Chinango S.A.C.               |  | Peru      |  | Foreign                               |  | Banco Scotiabank                                 |                    | Peru      |  | US$                |  | 4.02%                  |               | 3.96%                 |  |                    | 316,892   |  |                     |  | 941,120     |                      |  |  | 1,258,012          |  |  |                   | 2,439,568  |  |                   |  | 14,463,816 |               |  |  | -                  |  |  |                     | 16,903,384  |  |                      |  | 161,573   |                    |  |  | 923,528            |  |  |                    | 1,085,101  |  |               |  | 2,391,649  |                    |  |  | 2,288,243           |  |  |                      | 12,109,598 |  |                    |  | 16,789,490  |  |  |  | 166,062    |  |  |  | 558,407    |  |  |  | 724,469     |  |  |  | 2,423,556   |  |  |  | 17,774,668 |  |  |  |            |  |  |  | 20,198,224  | 
|Foreign                |  | Chinango S.A.C.               |  | Peru      |  | Foreign                               |  | Bank of Nova Scotia                              |                    | Peru      |  | US$                |  | 3.05%                  |               | 3.01%                 |  |                    | 366,751   |  |                     |  | 1,085,588   |                      |  |  | 1,452,339          |  |  |                   | 2,787,364  |  |                   |  | 1,335,025  |               |  |  | -                  |  |  |                     | 4,122,389   |  |                      |  | 37,359    |                    |  |  | 112,077            |  |  |                    | 149,436    |  |               |  | 2,621,204  |                    |  |  | 2,471,768           |  |  |                      | -          |  |                    |  | 5,092,972   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Chinango S.A.C.               |  | Peru      |  | Foreign                               |  | Banco Scotiabank                                 |                    | Peru      |  | US$                |  | 0.76%                  |               | 0.78%                 |  |                    | 2,103,523 |  |                     |  | -           |                      |  |  | 2,103,523          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Edegel                        |  | Peru      |  | Foreign                               |  | Banco de Crédito                                 |                    | Peru      |  | US$                |  | 1.65%                  |               | 1.65%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 1,739,482 |                    |  |  | -                  |  |  |                    | 1,739,482  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 1,949,762  |  |  |  | 5,760,203  |  |  |  | 7,709,965   |  |  |  | 1,880,534   |  |  |  | -          |  |  |  | -          |  |  |  | 1,880,534   | 
|Foreign                |  | Edegel                        |  | Peru      |  | Foreign                               |  | Banco Continental                                |                    | Peru      |  | US$                |  | 3.42%                  |               | 3.38%                 |  |                    | 268,490   |  |                     |  | 2,119,312   |                      |  |  | 2,387,802          |  |  |                   | 19,783,795 |  |                   |  | 12,824,170 |               |  |  | -                  |  |  |                     | 32,607,965  |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 405,477    |  |  |  | 1,378,129  |  |  |  | 1,783,606   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Edegel                        |  | Peru      |  | Foreign                               |  | Banco Continental                                |                    | Peru      |  | US$                |  | 3.46%                  |               | 3.41%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 276,481   |                    |  |  | 829,443            |  |  |                    | 1,105,924  |  |               |  | 9,160,648  |                    |  |  | 23,070,803          |  |  |                      |            |  |                    |  | 32,231,451  |  |  |  | 280,841    |  |  |  | 944,367    |  |  |  | 1,225,208   |  |  |  | 3,559,934   |  |  |  | 7,313,080  |  |  |  | 26,158,087 |  |  |  | 37,031,101  | 
|Foreign                |  | Edegel                        |  | Peru      |  | Foreign                               |  | Banco Scotiabank                                 |                    | Peru      |  | US$                |  | 3.45%                  |               | 3.41%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 8,155      |  |  |  | 1,878,060  |  |  |  | 1,886,215   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Edegel                        |  | Peru      |  | Foreign                               |  | Banco Continental                                |                    | Peru      |  | US$                |  | 3.00%                  |               | 3.00%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 260        |  |  |  | -          |  |  |  | 260         |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | Bancolombia                                      |                    | Colombia  |  | CP                 |  | 8.44%                  |               | 8.27%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 428,684   |                    |  |  | 1,286,051          |  |  |                    | 1,714,735  |  |               |  | 5,805,307  |                    |  |  | 7,495,253           |  |  |                      | 13,520,587 |  |                    |  | 26,821,147  |  |  |  | 326,504    |  |  |  | 20,008,140 |  |  |  | 20,334,644  |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | Bancolombia                                      |                    | Colombia  |  | CP                 |  | 8.44%                  |               | 8.27%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 131,424   |                    |  |  | 394,271            |  |  |                    | 525,695    |  |               |  | 1,838,073  |                    |  |  | 2,414,481           |  |  |                      | 4,407,478  |  |                    |  | 8,660,032   |  |  |  | 99,148     |  |  |  | 6,208,686  |  |  |  | 6,307,834   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | BBVA Colombia                                    |                    | Colombia  |  | CP                 |  | 6.89%                  |               | 6.78%                 |  |                    | 1,051,003 |  |                     |  | 3,153,008   |                      |  |  | 4,204,011          |  |  |                   | 12,499,230 |  |                   |  | 23,371,517 |               |  |  | 48,619,434         |  |  |                     | 84,490,181  |  |                      |  | 1,158,673 |                    |  |  | 3,476,018          |  |  |                    | 4,634,691  |  |               |  | 15,690,942 |                    |  |  | 20,258,627          |  |  |                      | 36,544,265 |  |                    |  | 72,493,834  |  |  |  | 361,976    |  |  |  | 22,181,880 |  |  |  | 22,543,856  |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | AV VILLAS                                        |                    | Colombia  |  | CP                 |  | 8.44%                  |               | 8.27%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 181,346   |                    |  |  | 544,039            |  |  |                    | 725,385    |  |               |  | 2,455,833  |                    |  |  | 3,170,740           |  |  |                      | 5,719,663  |  |                    |  | 11,346,236  |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | Banco Santander                                  |                    | Colombia  |  | CP                 |  | 8.15%                  |               | 7.91%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 412,115    |  |  |  | 25,254,372 |  |  |  | 25,666,487  |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | Banco Davivienda                                 |                    | Colombia  |  | CP                 |  | 8.15%                  |               | 7.91%                 |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 138,411    |  |  |  | 8,481,828  |  |  |  | 8,620,239   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Emgesa                        |  | Colombia  |  | Foreign                               |  | Banco Corpbanca                                  |                    | Colombia  |  | CP                 |  | 7.01%                  |               | 6.90%                 |  |                    | 380,303   |  |                     |  | 1,140,909   |                      |  |  | 1,521,212          |  |  |                   | 4,497,076  |  |                   |  | 8,353,960  |               |  |  | 17,335,406         |  |  |                     | 30,186,442  |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Supervielle                                |                    | Argentina |  | Ar$                |  | 31.89%                 |               | 28.00%                |  |                    | 1,028,903 |  |                     |  | -           |                      |  |  | 1,028,903          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 1,483,661 |                    |  |  | -                  |  |  |                    | 1,483,661  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 123,454    |  |  |  | -          |  |  |  | 123,454     |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Santander Río                              |                    | Argentina |  | Ar$                |  | 34.49%                 |               | 30.00%                |  |                    | 656,552   |  |                     |  | -           |                      |  |  | 656,552            |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 879,133   |                    |  |  | -                  |  |  |                    | 879,133    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 10,746,076 |  |  |  | 1,949,571  |  |  |  | 12,695,647  |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Nación Argentina                           |                    | Argentina |  | Ar$                |  | 20.57%                 |               | 18.85%                |  |                    | 533,563   |  |                     |  | -           |                      |  |  | 533,563            |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 946,327   |                    |  |  | 1,855,665          |  |  |                    | 2,801,992  |  |               |  | 411,921    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 411,921     |  |  |  | 1,382,931  |  |  |  | 1,533,096  |  |  |  | 2,916,027   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Citibank                                         |                    | Argentina |  | Ar$                |  | 39.84%                 |               | 34.00%                |  |                    | 3,391,799 |  |                     |  | -           |                      |  |  | 3,391,799          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 4,349,740 |                    |  |  | -                  |  |  |                    | 4,349,740  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 1,844,142  |  |  |  | -          |  |  |  | 1,844,142   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Ciudad                                     |                    | Argentina |  | Ar$                |  | 25.59%                 |               | 23.00%                |  |                    | 98,467    |  |                     |  | -           |                      |  |  | 98,467             |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 395,870   |                    |  |  | -                  |  |  |                    | 395,870    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 4,670,705  |  |  |  | -          |  |  |  | 4,670,705   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Standard Bank                                    |                    | Argentina |  | Ar$                |  | 30.61%                 |               | 27.00%                |  |                    | 1,150,992 |  |                     |  | -           |                      |  |  | 1,150,992          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 1,388,486 |                    |  |  | -                  |  |  |                    | 1,388,486  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 832,611    |  |  |  | -          |  |  |  | 832,611     |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Itau                                       |                    | Argentina |  | Ar$                |  | 35.15%                 |               | 30.50%                |  |                    | 1,071,559 |  |                     |  | -           |                      |  |  | 1,071,559          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 2,459,388 |                    |  |  | -                  |  |  |                    | 2,459,388  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 3,503,302  |  |  |  | -          |  |  |  | 3,503,302   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Galicia                                    |                    | Argentina |  | Ar$                |  | 32.54%                 |               | 28.50%                |  |                    | 2,514,705 |  |                     |  | -           |                      |  |  | 2,514,705          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 2,031,944 |                    |  |  | -                  |  |  |                    | 2,031,944  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 1,105,942  |  |  |  | -          |  |  |  | 1,105,942   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Banco Provincia de Buenos Aires                  |                    | Argentina |  | Ar$                |  | 20.20%                 |               | 18.09%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 96,871    |                    |  |  | 122,911            |  |  |                    | 219,782    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Endesa Costanera S.A.         |  | Argentina |  | Foreign                               |  | Credit Suisse International                      |                    | Argentina |  | US$                |  | 13.67%                 |               | 13.25%                |  |                    | 113,672   |  |                     |  | 3,229,006   |                      |  |  | 3,342,678          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 4,883,837 |                    |  |  | -                  |  |  |                    | 4,883,837  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 166,419    |  |  |  | 3,156,573  |  |  |  | 3,322,992   |  |  |  | 2,652,744   |  |  |  | -          |  |  |  | -          |  |  |  | 2,652,744   | 
|Foreign                |  | Endesa Argentina S.A.         |  | Argentina |  | Foreign                               |  | Citibank                                         |                    | Argentina |  | Ar$                |  | 21.50%                 |               | 21.50%                |  |                    | 809,763   |  |                     |  | -           |                      |  |  | 809,763            |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|91,081,000-6           |  | Endesa S.A. (Chile)           |  | Chile     |  | Foreign                               |  | B.N.P. Paribas                                   |                    | USA       |  | US$                |  | 1.72%                  |               | 1.12%                 |  |                    | 28,293    |  |                     |  | 921,118     |                      |  |  | 949,411            |  |  |                   | 892,825    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 892,825     |  |                      |  | 31,301    |                    |  |  | 859,843            |  |  |                    | 891,144    |  |               |  | 1,657,085  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,657,085   |  |  |  | 53,521     |  |  |  | 1,002,756  |  |  |  | 1,056,277   |  |  |  | 1,915,379   |  |  |  | 876,746    |  |  |  | -          |  |  |  | 2,792,125   | 
|91,081,000-6           |  | Endesa S.A. (Chile)           |  | Chile     |  | Foreign                               |  | Export Development CorporationLoan               |                    | USA       |  | US$                |  | 1.57%                  |               | 1.40%                 |  |                    | 378,291   |  |                     |  | 378,290     |                      |  |  | 756,581            |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 347,952   |                    |  |  | 354,206            |  |  |                    | 702,158    |  |               |  | 689,651    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 689,651     |  |  |  | 379,501    |  |  |  | 764,980    |  |  |  | 1,144,481   |  |  |  | 1,132,904   |  |  |  | -          |  |  |  | -          |  |  |  | 1,132,904   | 
|91,081,000-6           |  | Endesa S.A. (Chile)           |  | Chile     |  | Foreign                               |  | Banco Bilbao Vizcaya ArgentariaS.A.NY            |                    | USA       |  | US$                |  | 1.72%                  |               | 1.12%                 |  |                    | 436,266   |  |                     |  | 105,543,766 |                      |  |  | 105,980,032        |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 439,133   |                    |  |  | 1,317,400          |  |  |                    | 1,756,533  |  |               |  | 96,635,723 |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 96,635,723  |  |  |  | 473,367    |  |  |  | 1,591,761  |  |  |  | 2,065,128   |  |  |  | 106,583,616 |  |  |  | -          |  |  |  | -          |  |  |  | 106,583,616 | 
|91,081,000-6           |  | Endesa S.A. (Chile)           |  | Chile     |  | 97,004,000-5                          |  | Banco Santander Chile (credit line)              |                    | Chile     |  | Ch$                |  | 6.00%                  |               | 6.00%                 |  |                    | 7         |  |                     |  | -           |                      |  |  | 7                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 272       |                    |  |  | -                  |  |  |                    | 272        |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Deutsche Bank                                    |                    | Argentina |  | US$                |  | 8.24%                  |               | 7.99%                 |  |                    | 1,712,808 |  |                     |  | 2,587,169   |                      |  |  | 4,299,977          |  |  |                   | 820,490    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 820,490     |  |                      |  | 881,121   |                    |  |  | 2,547,013          |  |  |                    | 3,428,134  |  |               |  | 3,918,502  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 3,918,502   |  |  |  | 518,208    |  |  |  | 1,530,246  |  |  |  | 2,048,454   |  |  |  | 3,576,867   |  |  |  | 402,643    |  |  |  | -          |  |  |  | 3,979,510   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Standard Bank                                    |                    | Argentina |  | US$                |  | 8.24%                  |               | 7.99%                 |  |                    | 857,292   |  |                     |  | 1,295,083   |                      |  |  | 2,152,375          |  |  |                   | 410,356    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 410,356     |  |                      |  | 440,417   |                    |  |  | 1,273,172          |  |  |                    | 1,713,589  |  |               |  | 1,959,017  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,959,017   |  |  |  | 1,611,491  |  |  |  | 4,749,662  |  |  |  | 6,361,153   |  |  |  | 10,912,983  |  |  |  | 1,209,420  |  |  |  | -          |  |  |  | 12,122,403  | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Itau                                       |                    | Argentina |  | US$                |  | 8.24%                  |               | 7.99%                 |  |                    | 858,647   |  |                     |  | 1,297,369   |                      |  |  | 2,156,016          |  |  |                   | 410,526    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 410,526     |  |                      |  | 440,527   |                    |  |  | 1,273,427          |  |  |                    | 1,713,954  |  |               |  | 1,959,196  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,959,196   |  |  |  | 1,791,907  |  |  |  | -          |  |  |  | 1,791,907   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Itau                                       |                    | Argentina |  | Ar$                |  | 33.70%                 |               | 29.25%                |  |                    | 163,618   |  |                     |  | -           |                      |  |  | 163,618            |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Standard Bank - Syndicated I                     |                    | Argentina |  | Ar$                |  | 25.42%                 |               | 23.31%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 64,001     |  |  |  | 1,336,177  |  |  |  | 1,400,178   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Santander - Syndicated I                   |                    | Argentina |  | Ar$                |  | 25.42%                 |               | 23.31%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 80,629     |  |  |  | 1,707,695  |  |  |  | 1,788,324   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Hipotecario - Syndicated I                 |                    | Argentina |  | Ar$                |  | 26.68%                 |               | 23.89%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 354,694   |                    |  |  | 340,398            |  |  |                    | 695,092    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 55,506     |  |  |  | 1,125,918  |  |  |  | 1,181,424   |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Galicia - Syndicated I                     |                    | Argentina |  | Ar$                |  | 25.42%                 |               | 23.31%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 26,301     |  |  |  | 535,888    |  |  |  | 562,189     |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Itau - Syndicated II                       |                    | Argentina |  | Ar$                |  | 26.62%                 |               | 23.84%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 239,076   |                    |  |  | 488,681            |  |  |                    | 727,757    |  |               |  | 230,121    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 230,121     |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Standard Bank - Syndicated II                    |                    | Argentina |  | Ar$                |  | 26.62%                 |               | 23.84%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 527,542   |                    |  |  | 1,078,428          |  |  |                    | 1,605,970  |  |               |  | 507,222    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 507,222     |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Santander - Syndicated II                  |                    | Argentina |  | Ar$                |  | 26.62%                 |               | 23.84%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 383,587   |                    |  |  | 784,144            |  |  |                    | 1,167,731  |  |               |  | 368,840    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 368,840     |  |  |  | 329,514    |  |  |  | 1,108,036  |  |  |  | 1,437,550   |  |  |  | 6,245,072   |  |  |  | 1,229,220  |  |  |  | -          |  |  |  | 7,474,292   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Hipotecario - Syndicated II                |                    | Argentina |  | Ar$                |  | 26.96%                 |               | 24.11%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 190,602   |                    |  |  | 389,550            |  |  |                    | 580,152    |  |               |  | 183,696    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 183,696     |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Galicia - Syndicated II                    |                    | Argentina |  | Ar$                |  | 26.62%                 |               | 23.84%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 190,906   |                    |  |  | 390,193            |  |  |                    | 581,099    |  |               |  | 183,881    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 183,881     |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Ciudad - Syndicated II                     |                    | Argentina |  | Ar$                |  | 26.62%                 |               | 23.84%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 152,374   |                    |  |  | 311,411            |  |  |                    | 463,785    |  |               |  | 146,892    |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 146,892     |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Galicia - Syndicated III                   |                    | Argentina |  | Ar$                |  | 26.44%                 |               | 23.69%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 614,638   |                    |  |  | 779,040            |  |  |                    | 1,393,678  |  |               |  | 1,679,513  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,679,513   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Itau - Syndicated III                      |                    | Argentina |  | Ar$                |  | 26.44%                 |               | 23.69%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 614,638   |                    |  |  | 779,040            |  |  |                    | 1,393,678  |  |               |  | 1,679,513  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,679,513   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Standard Bank - Syndicated III                   |                    | Argentina |  | Ar$                |  | 26.44%                 |               | 23.69%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 614,638   |                    |  |  | 779,040            |  |  |                    | 1,393,678  |  |               |  | 1,679,513  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,679,513   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Santander - Syndicated III                 |                    | Argentina |  | Ar$                |  | 26.44%                 |               | 23.69%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 614,638   |                    |  |  | 779,040            |  |  |                    | 1,393,678  |  |               |  | 1,679,513  |                    |  |  | -                   |  |  |                      | -          |  |                    |  | 1,679,513   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Macro                                      |                    | Argentina |  | Ar$                |  | 30.42%                 |               | 27.75%                |  |                    | 1,511,204 |  |                     |  | -           |                      |  |  | 1,511,204          |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 87,619    |                    |  |  | 2,034,700          |  |  |                    | 2,122,319  |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 233,981    |  |  |  | 2,275,667  |  |  |  | 2,509,648   |  |  |  | 2,994,506   |  |  |  |            |  |  |  | -          |  |  |  | 2,994,506   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Macro I                                    |                    | Argentina |  | Ar$                |  | 23.14%                 |               | 21.00%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 295,652   |                    |  |  | -                  |  |  |                    | 295,652    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Standard Bank                                    |                    | Argentina |  | Ar$                |  | 25.59%                 |               | 23.00%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 198,116   |                    |  |  | -                  |  |  |                    | 198,116    |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Santander Río                              |                    | Argentina |  | Ar$                |  | 25.59%                 |               | 23.00%                |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | 98,949    |                    |  |  | -                  |  |  |                    | 98,949     |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Citibank                                         |                    | Argentina |  | Ar$                |  | 19.84%                 |               | BPC +5,10%            |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 112,503    |  |  |  | 1,115,167  |  |  |  | 1,227,670   |  |  |  | 1,471,923   |  |  |  | -          |  |  |  | -          |  |  |  | 1,471,923   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | BBVA                                             |                    | Argentina |  | Ar$                |  | 19.84%                 |               | BPC +5,10%            |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 152,645    |  |  |  | 1,527,554  |  |  |  | 1,680,199   |  |  |  | 2,019,288   |  |  |  | -          |  |  |  | -          |  |  |  | 2,019,288   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Industrial de Azul                         |                    | Argentina |  | Ar$                |  | 19.84%                 |               | BPC +5,10%            |  |                    | -         |  |                     |  | -           |                      |  |  | -                  |  |  |                   | -          |  |                   |  | -          |               |  |  | -                  |  |  |                     | -           |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | 329,514    |  |  |  | 1,108,036  |  |  |  | 1,437,550   |  |  |  | 6,245,072   |  |  |  | 1,229,220  |  |  |  |            |  |  |  | 7,474,292   | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Santander - Syndicated IV                  |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 316,184   |  |                     |  | 1,054,829   |                      |  |  | 1,371,013          |  |  |                   | 2,761,603  |  |                   |  | -          |               |  |  | -                  |  |  |                     | 2,761,603   |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Itau - Syndicated IV                       |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 282,011   |  |                     |  | 940,860     |                      |  |  | 1,222,871          |  |  |                   | 2,463,429  |  |                   |  | -          |               |  |  | -                  |  |  |                     | 2,463,429   |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Galicia - Syndicated IV                    |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 270,612   |  |                     |  | 902,848     |                      |  |  | 1,173,460          |  |  |                   | 2,364,010  |  |                   |  | -          |               |  |  | -                  |  |  |                     | 2,364,010   |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Hipotecario - Syndicated IV                |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 89,772    |  |                     |  | 299,691     |                      |  |  | 389,463            |  |  |                   | 785,764    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 785,764     |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Banco Ciudad - Syndicated IV                     |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 36,008    |  |                     |  | 120,377     |                      |  |  | 156,385            |  |  |                   | 316,594    |  |                   |  | -          |               |  |  | -                  |  |  |                     | 316,594     |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|Foreign                |  | Hidroeléctrica El Chocón S.A. |  | Argentina |  | Foreign                               |  | Industrial and Commercial Bank ofChina Argentina |                    | Argentina |  | Ar$                |  | 33.84%                 |               | 30.22%                |  |                    | 350,354   |  |                     |  | 1,168,793   |                      |  |  | 1,519,147          |  |  |                   | 3,059,769  |  |                   |  | -          |               |  |  | -                  |  |  |                     | 3,059,769   |  |                      |  | -         |                    |  |  | -                  |  |  |                    | -          |  |               |  | -          |                    |  |  | -                   |  |  |                      | -          |  |                    |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -          |  |  |  | -          |  |  |  | -           | 
|                       | 
|                       |  |                               |  |           |  |                                       |  | TotalThCh$                                       |                    |           |  |                    |  |                        |               |                       |  |                    |           |  |                     |  |             |                      |  |  | 151,327,440        |  |  |                   |            |  |                   |  |            |               |  |  |                    |  |  |                     | 182,595,727 |  |                      |  |           |                    |  |  |                    |  |  |                    | 56,891,400 |  |               |  |            |                    |  |  |                     |  |  |                      |            |  |                    |  | 289,004,961 |  |  |  |            |  |  |  |            |  |  |  | 157,109,834 |  |  |  |             |  |  |  |            |  |  |  |            |  |  |  | 209,807,462 | 



F-130



---

##### Table of Contents

b) Secured and unsecured liabilities



| | - |  | Summary of secured and unsecured liabilities by currency and maturity
| | - |  | ---------------------------------------------------------------------



|         |  |          |      |  |                         |  |       |                                  |  |  |                    |                         |  |                                       |                          |  |             |                        |            |                                  |                          |  |             |  |                         |                                       |             |                            |             |  |             |                                |  |  |                          |  |  |                                     |             |  |                          |  |             |  |                          |  |               |                            |  |  |            |                         |  |  |                          |  |  |                        |             |  |                          |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               | 
|-------- |  | -------- | ---- |  | ----------------------- |  | ----- | -------------------------------- |  |  | ------------------ | ----------------------- |  | ------------------------------------- | ------------------------ |  | ----------- | ---------------------- | ---------- | -------------------------------- | ------------------------ |  | ----------- |  | ----------------------- | ------------------------------------- | ----------- | -------------------------- | ----------- |  | ----------- | ------------------------------ |  |  | ------------------------ |  |  | ----------------------------------- | ----------- |  | ------------------------ |  | ----------- |  | ------------------------ |  | ------------- | -------------------------- |  |  | ---------- | ----------------------- |  |  | ------------------------ |  |  | ---------------------- | ----------- |  | ------------------------ |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ------------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ------------- | 
|Country  |  | Currency |      |  | EffectiveInterestRate   |  |       | NominalInterestRate              |  |  | Secured/
Unsecured |                         |  | Current                               |                          |  | Non-current |                        |            | Current                          |                          |  | Non-current |  |                         | Current                               |             |                            | Non-current | 
|         |  |          |      |  | Maturity                |  |       | Totalcurrent at12/31/2013
 ThCh$ |  |  | Maturity           |                         |  | Total Non-current
at12/31/2013  ThCh$ |                          |  |             |                        |            | Totalcurrent at12/31/2012
 ThCh$ |                          |  | Maturity    |  |                         | Total Non-current
at12/31/2012  ThCh$ |             |                            |             |  |             | Totalcurrent at1/1/2012
 ThCh$ |  |  | Maturity                 |  |  | Total Non-current
at1/1/2012  ThCh$ |            
|         |  |          |      |  | One
tothreemonths ThCh$ |  |       | Three
totwelvemonths ThCh$       |  |  |                    | One tothree
years ThCh$ |  |                                       | Three tofive
years ThCh$ |  |             | Five to
tenyears ThCh$ |            |                                  | More thanten
years ThCh$ |  |             |  | One
tothreemonths ThCh$ |                                       |             | Three
totwelvemonths ThCh$ |             |  |             | One tothree
years ThCh$        |  |  | Three tofive
years ThCh$ |  |  | Five to
tenyears ThCh$              |             |  | More thanten
years ThCh$ |  |             |  | One to
threemonths
ThCh$ |  |               | Three
totwelvemonths ThCh$ |  |  |            | One tothree
years ThCh$ |  |  | Three tofive
years ThCh$ |  |  | Five to
tenyears ThCh$ |             |  | More thanten
years ThCh$ |  |            
|         |  |          |      |  |                         |  |       |                                  |  |  |                    |                         |  |                                       |                          |  |             |                        |            |                                  |                          |  |             |  |                         |                                       |            
|         |  |          |      |  |                         |  |       |                                  |  |  |                    |                         |  |                                       |                          |  |             |                        |            |                                  |                          |  |             |  |                         |                                       |             |                            |             |  |             |                                |  |  |                          |  |  |                                     |             |  |                          |  |             |  |                          |  |               |                            |  |  |            |                         |  |  |                          |  |  |                        |             |  |                          |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               | 
|Chile    |  |          | US$  |  |                         |  | 8.11% |                                  |  |  | 7.99%              |                         |  |                                       | Unsecured                |  |             |                        | 5,738,678  |                                  |                          |  | 17,216,036  |  |                         |                                       | 22,954,714  |                            |             |  | 138,418,071 |                                |  |  | 27,011,140               |  |  |                                     | 67,527,851  |  |                          |  | 331,997,188 |  |                          |  | 564,954,250   |                            |  |  | 9,265,672  |                         |  |  | 213,808,862              |  |  |                        | 223,074,534 |  |                          |  | 134,030,171 |  |  |  | 24,101,459  |  |  |  | 60,253,647  |  |  |  | 336,736,535 |  |  |  | 555,121,812   |  |  |  | 10,386,391 |  |  |  | 34,925,663  |  |  |  | 45,312,054  |  |  |  | 265,042,005 |  |  |  | 188,302,949 |  |  |  | 67,498,650  |  |  |  | 357,717,439 |  |  |  | 878,561,043   | 
|Chile    |  |          | U.F. |  |                         |  | 6.00% |                                  |  |  | 5.48%              |                         |  |                                       | Unsecured                |  |             |                        | 5,444,098  |                                  |                          |  | 21,021,997  |  |                         |                                       | 26,466,095  |                            |             |  | 51,727,943  |                                |  |  | 50,122,280               |  |  |                                     | 208,402,305 |  |                          |  | 186,171,543 |  |                          |  | 496,424,071   |                            |  |  | 5,802,114  |                         |  |  | 21,972,628               |  |  |                        | 27,774,742  |  |                          |  | 54,304,006  |  |  |  | 52,643,369  |  |  |  | 196,716,496 |  |  |  | 222,067,338 |  |  |  | 525,731,209   |  |  |  | 40,166,229 |  |  |  | 34,130,394  |  |  |  | 74,296,623  |  |  |  | 78,626,456  |  |  |  | 236,315,457 |  |  |  | 241,310,283 |  |  |  | 275,252,070 |  |  |  | 831,504,266   | 
|Peru     |  |          | US$  |  |                         |  | 7.01% |                                  |  |  | 6.89%              |                         |  |                                       | Unsecured                |  |             |                        | 649,265    |                                  |                          |  | 7,018,782   |  |                         |                                       | 7,668,047   |                            |             |  | 17,490,149  |                                |  |  | 7,500,859                |  |  |                                     | 11,710,646  |  |                          |  | 6,578,353   |  |                          |  | 43,280,007    |                            |  |  | 628,048    |                         |  |  | 1,884,143                |  |  |                        | 2,512,191   |  |                          |  | 12,047,614  |  |  |  | 12,454,106  |  |  |  | 16,204,773  |  |  |  | 6,381,057   |  |  |  | 47,087,550    |  |  |  | 853,625    |  |  |  | 2,238,831   |  |  |  | 3,092,456   |  |  |  | 15,656,525  |  |  |  | 27,138,567  |  |  |  | 18,001,433  |  |  |  | 6,539,229   |  |  |  | 67,335,754    | 
|Peru     |  |          | Sol  |  |                         |  | 6.42% |                                  |  |  | 6.32%              |                         |  |                                       | Unsecured                |  |             |                        | 10,345,168 |                                  |                          |  | 4,310,315   |  |                         |                                       | 14,655,483  |                            |             |  | 1,183,988   |                                |  |  | 1,183,988                |  |  |                                     | 10,612,183  |  |                          |  |            |  |                          |  | 12,980,159    |                            |  |  | 5,368,613  |                         |  |  | 15,496,309               |  |  |                        | 20,864,922  |  |                          |  | 15,221,745  |  |  |  | 1,179,069   |  |  |  | 11,183,287  |  |  |  |            |  |  |  | 27,584,101    |  |  |  | 692,196    |  |  |  | 2,327,605   |  |  |  | 3,019,801   |  |  |  | 36,264,691  |  |  |  | 8,357,628   |  |  |  | 5,728,426   |  |  |  |            |  |  |  | 50,350,745    | 
|Colombia |  |          | CP   |  |                         |  | 7.32% |                                  |  |  | 7.19%              |                         |  |                                       | Unsecured                |  |             |                        | 28,242,856 |                                  |                          |  | 68,060,813  |  |                         |                                       | 96,303,669  |                            |             |  | 172,336,521 |                                |  |  | 201,975,233              |  |  |                                     | 528,141,019 |  |                          |  | 192,489,114 |  |                          |  | 1,094,941,887 |                            |  |  | 13,359,451 |                         |  |  | 40,078,353               |  |  |                        | 53,437,804  |  |                          |  | 203,640,941 |  |  |  | 133,021,092 |  |  |  | 534,557,527 |  |  |  | 87,955,925  |  |  |  | 959,175,485   |  |  |  | 11,471,491 |  |  |  | 38,574,471  |  |  |  | 50,045,962  |  |  |  | 128,594,829 |  |  |  | 116,220,452 |  |  |  | 353,392,075 |  |  |  | 236,385,644 |  |  |  | 834,593,000   | 
|         |  |          |      |  |                         |  |       |                                  |  |  |                    |                         |  |                                       |                          |  |             |                        |            |                                  |                          |  |             |  |                         |                                       |             |                            |             |  |             |                                |  |  |                          |  |  |                                     |             |  |                          |  |             |  |                          |  |               |                            |  |  |            |                         |  |  |                          |  |  |                        |             |  |                          |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               | 
|         |  |          |      |  |                         |  |       |                                  |  |  |                    |                         |  |                                       | Total                    |  |             |                        | 50,420,065 |                                  |                          |  | 117,627,943 |  |                         |                                       | 168,048,008 |                            |             |  | 381,156,672 |                                |  |  | 287,793,500              |  |  |                                     | 826,394,004 |  |                          |  | 717,236,198 |  |                          |  | 2,212,580,374 |                            |  |  | 34,423,898 |                         |  |  | 293,240,295              |  |  |                        | 327,664,193 |  |                          |  | 419,244,477 |  |  |  | 223,399,095 |  |  |  | 818,915,730 |  |  |  | 653,140,855 |  |  |  | 2,114,700,157 |  |  |  | 63,569,932 |  |  |  | 112,196,964 |  |  |  | 175,766,896 |  |  |  | 524,184,506 |  |  |  | 576,335,053 |  |  |  | 685,930,867 |  |  |  | 875,894,382 |  |  |  | 2,662,344,808 | 



| | - |  | Secured and unsecured liabilities by company
| | - |  | --------------------------------------------



|                      |  |                                      |  |          |  |                                     |  |                                               |  |                    |  |          |                    |                         |  |                       |  |                     |                     |         |            |                      |         |  |                       |         |  |                      |             |  |                   |  |             |                   |  |  |                      |  |  |               |             |  |                     |  |             |                      |  |  |                       |  |  |                      |           |  |                   |  |             |                    |  |  |                    |  |  |               |             |  |                     |  |            |                      |  |  |                       |  |  |                      |             |  |                   |  |               |  |  |  |            |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               | 
|--------------------- |  | ------------------------------------ |  | -------- |  | ----------------------------------- |  | --------------------------------------------- |  | ------------------ |  | -------- | ------------------ | ----------------------- |  | --------------------- |  | ------------------- | ------------------- | ------- | ---------- | -------------------- | ------- |  | --------------------- | ------- |  | -------------------- | ----------- |  | ----------------- |  | ----------- | ----------------- |  |  | -------------------- |  |  | ------------- | ----------- |  | ------------------- |  | ----------- | -------------------- |  |  | --------------------- |  |  | -------------------- | --------- |  | ----------------- |  | ----------- | ------------------ |  |  | ------------------ |  |  | ------------- | ----------- |  | ------------------- |  | ---------- | -------------------- |  |  | --------------------- |  |  | -------------------- | ----------- |  | ----------------- |  | ------------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ------------- | 
|Taxpayer ID No.
(RUT) |  | Company                              |  | Country  |  | Taxpayer ID No.FinancialInstitution |  | Financial Institution                         |  | Country            |  | Currency |                    | Effective  InterestRate |  | Nominal  InterestRate |  | Secured/  Unsecured |                     | 12-2013 |            |                      | 12-2012 |  |                       | 01-2012 | 
|                      |  |                                      |  |          |  |                                     |  |                                               |  | Current            |  |          | Non-current        |                         |  | Current               |  |                     | Non-current         |         |            | Current              |         |  | Non-current           |        
|                      |  |                                      |  |          |  |                                     |  |                                               |  | Less than 90  days |  |          | More than 90  days |                         |  | Total Current         |  |                     | One to three  years |         |            | Three to five  years |         |  | More than five  years |         |  | More than ten  years |             |  | Total Non-current |  |             | Lessthan   90days |  |  | More than 90    days |  |  | Total Current |             |  | One to three  years |  |             | Three to five  years |  |  | More than five  years |  |  | More than ten  years |           |  | Total Non-current |  |             | Less than 90  days |  |  | More than 90  days |  |  | Total Current |             |  | One tothree   years |  |            | Three to five  years |  |  | More than five  years |  |  | More than ten  years |             |  | Total Non-current | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | Foreign                             |  | The Bank of New York Mellon - First issue S-1 |  | USA                |  | US$      |                    | 7.96%                   |  | 7.88%                 |  | Unsecured           |                     |         | 2,217,451  |                      |         |  | 6,652,353             |         |  |                      | 8,869,804   |  |                   |  | 17,739,609  |                   |  |  | 17,739,609           |  |  |               | 44,349,022  |  |                     |  | 136,285,900 |                      |  |  | 216,114,140           |  |  |                      | 1,975,290 |  |                   |  | 5,925,870   |                    |  |  | 7,901,160          |  |  |               | 15,802,321  |  |                     |  | 15,802,321 |                      |  |  | 39,505,801            |  |  |                      | 132,153,136 |  |                   |  | 203,263,579   |  |  |  | 703,310    |  |  |  | 2,364,976  |  |  |  | 3,068,286   |  |  |  | 5,672,852   |  |  |  | 16,469,819  |  |  |  | 14,104,843  |  |  |  | 70,869,328  |  |  |  | 107,116,842   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | Foreign                             |  | The Bank of New York Mellon - First issue S-2 |  | USA                |  | US$      |                    | 7.40%                   |  | 7.33%                 |  | Unsecured           |                     |         | 708,960    |                      |         |  | 2,126,881             |         |  |                      | 2,835,841   |  |                   |  | 5,671,683   |                   |  |  | 5,671,683            |  |  |               | 14,179,208  |  |                     |  | 54,236,226  |                      |  |  | 79,758,800            |  |  |                      | 630,588   |  |                   |  | 1,891,764   |                    |  |  | 2,522,352          |  |  |               | 5,044,703   |  |                     |  | 5,044,703  |                      |  |  | 12,611,757            |  |  |                      | 65,754,271  |  |                   |  | 88,455,434    |  |  |  | 2,204,773  |  |  |  | 7,413,852  |  |  |  | 9,618,625   |  |  |  | 17,783,553  |  |  |  | 51,630,453  |  |  |  | 44,216,601  |  |  |  | 133,463,176 |  |  |  | 247,093,783   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | Foreign                             |  | The Bank of New York Mellon - First issue S-3 |  | USA                |  | US$      |                    | 8.26%                   |  | 8.13%                 |  | Unsecured           |                     |         | 449,981    |                      |         |  | 1,349,943             |         |  |                      | 1,799,924   |  |                   |  | 3,599,848   |                   |  |  | 3,599,848            |  |  |               | 8,999,621   |  |                     |  | 141,475,062 |                      |  |  | 157,674,379           |  |  |                      | 406,804   |  |                   |  | 1,220,413   |                    |  |  | 1,627,217          |  |  |               | 3,254,435   |  |                     |  | 3,254,435  |                      |  |  | 8,136,089             |  |  |                      | 138,829,128 |  |                   |  | 153,474,087   |  |  |  | 2,384,734  |  |  |  | 8,018,994  |  |  |  | 10,403,728  |  |  |  | 19,235,104  |  |  |  | 109,486,718 |  |  |  | -           |  |  |  | -           |  |  |  | 128,721,822   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | Foreign                             |  | The Bank of New York Mellon - 144
- A         |  | USA                |  | US$      |                    | 8.50%                   |  | 8.35%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 4,127,302 |  |                   |  | 198,393,750 |                    |  |  | 202,521,052        |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 4,635,971  |  |  |  | 15,589,088 |  |  |  | 20,225,059  |  |  |  | 218,659,499 |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 218,659,499   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | Foreign                             |  | The Bank of New York Mellon - 144 - A         |  | USA                |  | US$      |                    | 8.83%                   |  | 8.63%                 |  | Unsecured           |                     |         | 2,362,286  |                      |         |  | 7,086,859             |         |  |                      | 9,449,145   |  |                   |  | 111,406,931 |                   |  |  |                      |  |  |               |             |  |                     |  |             |                      |  |  | 111,406,931           |  |  |                      | 2,125,688 |  |                   |  | 6,377,065   |                    |  |  | 8,502,753          |  |  |               | 109,928,712 |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 109,928,712   |  |  |  | 457,603    |  |  |  | 1,538,753  |  |  |  | 1,996,356   |  |  |  | 3,690,997   |  |  |  | 10,715,959  |  |  |  | 9,177,206   |  |  |  | 153,384,935 |  |  |  | 176,969,097   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | 97,004,000-5                        |  | Banco Santander Chile - 317 Series-H          |  | Chile              |  | U.F.     |                    | 7.17%                   |  | 6.20%                 |  | Unsecured           |                     |         | 1,528,468  |                      |         |  | 9,275,107             |         |  |                      | 10,803,575  |  |                   |  | 20,402,902  |                   |  |  | 18,797,239           |  |  |               | 39,968,321  |  |                     |  | 31,038,325  |                      |  |  | 110,206,787           |  |  |                      | 1,684,588 |  |                   |  | 9,620,049   |                    |  |  | 11,304,637         |  |  |               | 21,363,797  |  |                     |  | 19,703,160 |                      |  |  | 41,992,615            |  |  |                      | 37,768,596  |  |                   |  | 120,828,168   |  |  |  | 2,124,125  |  |  |  | 11,532,964 |  |  |  | 13,657,089  |  |  |  | 24,422,163  |  |  |  | 58,670,925  |  |  |  | 41,070,877  |  |  |  | 25,027,022  |  |  |  | 149,190,987   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | 97,004,000-5                        |  | Banco Santander Chile - 522 Series-M          |  | Chile              |  | U.F.     |                    | 4.82%                   |  | 4.75%                 |  | Unsecured           |                     |         | 3,915,630  |                      |         |  | 11,746,890            |         |  |                      | 15,662,520  |  |                   |  | 31,325,041  |                   |  |  | 31,325,041           |  |  |               | 168,433,984 |  |                     |  | 155,133,218 |                      |  |  | 386,217,284           |  |  |                      | 4,117,526 |  |                   |  | 12,352,579  |                    |  |  | 16,470,105         |  |  |               | 32,940,209  |  |                     |  | 32,940,209 |                      |  |  | 154,723,881           |  |  |                      | 184,298,742 |  |                   |  | 404,903,041   |  |  |  | 4,973,783  |  |  |  | 16,725,028 |  |  |  | 21,698,811  |  |  |  | 40,118,205  |  |  |  | 136,748,818 |  |  |  | 165,216,094 |  |  |  | 140,001,737 |  |  |  | 482,084,854   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | 97,004,000-5                        |  | Banco Santander Chile - 318 Series-K          |  | Chile              |  | U.F.     |                    | 3.86%                   |  | 3.86%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 1,746,368  |  |  |  | 5,872,402  |  |  |  | 7,618,770   |  |  |  | 14,086,088  |  |  |  | 40,895,714  |  |  |  | 35,023,312  |  |  |  | 110,223,311 |  |  |  | 200,228,425   | 
|91,081,000-6          |  | Empresa Nacional deElectricidad S.A. |  | Chile    |  | 97,004,000-5                        |  | Banco Santander Chile - 264 Series-F          |  | Chile              |  | U.F.     |                    | 6.44%                   |  | 6.44%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 31,321,953 |  |  |  |            |  |  |  | 31,321,953  |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | A-10 Bonds                                    |  | Colombia           |  | CP       |                    | 6.89%                   |  | 6.72%                 |  | Unsecured           |                     |         | 939,183    |                      |         |  | 2,817,550             |         |  |                      | 3,756,733   |  |                   |  | 57,903,035  |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | 57,903,035            |  |  |                      | 1,102,280 |  |                   |  | 3,306,839   |                    |  |  | 4,409,119          |  |  |               | 62,006,104  |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 62,006,104    |  |  |  | 1,150,327  |  |  |  | 3,868,134  |  |  |  | 5,018,461   |  |  |  | 9,278,465   |  |  |  | -           |  |  |  | -           |  |  |  | 56,536,718  |  |  |  | 65,815,183    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | A102 Bonds                                    |  | Colombia           |  | CP       |                    | 6.89%                   |  | 6.72%                 |  | Unsecured           |                     |         | 178,890    |                      |         |  | 536,671               |         |  |                      | 715,561     |  |                   |  | 11,029,149  |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | 11,029,149            |  |  |                      | 209,956   |  |                   |  | 629,869     |                    |  |  | 839,825            |  |  |               | 11,810,678  |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 11,810,678    |  |  |  | 216,825    |  |  |  | 729,104    |  |  |  | 945,929     |  |  |  | 1,748,896   |  |  |  | 10,768,120  |  |  |  | -           |  |  |  | -           |  |  |  | 12,517,016    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B-103 Bonds                                   |  | Colombia           |  | CP       |                    | 7.00%                   |  | 7.00%                 |  | Unsecured           |                     |         | 734,499    |                      |         |  | 2,203,498             |         |  |                      | 2,937,997   |  |                   |  | 5,875,994   |                   |  |  | 46,856,691           |  |  |               | -           |  |                     |  | -           |                      |  |  | 52,732,685            |  |  |                      | 894,296   |  |                   |  | 2,682,888   |                    |  |  | 3,577,184          |  |  |               | 7,154,367   |  |                     |  | 50,204,631 |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 57,358,998    |  |  |  | 1,129,556  |  |  |  | 3,798,288  |  |  |  | 4,927,844   |  |  |  | 9,110,927   |  |  |  | -           |  |  |  | -           |  |  |  | 62,840,794  |  |  |  | 71,951,721    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | A5 Bonds                                      |  | Colombia           |  | CP       |                    | 5.54%                   |  | 5.43%                 |  | Unsecured           |                     |         | 13,616,326 |                      |         |  | -                     |         |  |                      | 13,616,326  |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 223,748   |  |                   |  | 671,245     |                    |  |  | 894,993            |  |  |               | 13,536,136  |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 13,536,136    |  |  |  | 179,093    |  |  |  | 602,226    |  |  |  | 781,319     |  |  |  | 14,001,389  |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 14,001,389    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B10 Bonds                                     |  | Colombia           |  | CP       |                    | 7.64%                   |  | 7.43%                 |  | Unsecured           |                     |         | 824,131    |                      |         |  | 2,472,393             |         |  |                      | 3,296,524   |  |                   |  | 6,593,049   |                   |  |  | 6,593,049            |  |  |               | 44,205,339  |  |                     |  |             |                      |  |  | 57,391,437            |  |  |                      | 946,998   |  |                   |  | 2,840,995   |                    |  |  | 3,787,993          |  |  |               | 7,575,987   |  |                     |  | 7,575,987  |                      |  |  | 47,759,102            |  |  |                      |             |  |                   |  | 62,911,076    |  |  |  | 989,794    |  |  |  | 3,328,320  |  |  |  | 4,318,114   |  |  |  | 7,983,617   |  |  |  | -           |  |  |  | 65,971,663  |  |  |  | -           |  |  |  | 73,955,280    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B15 Bonds                                     |  | Colombia           |  | CP       |                    | 7.96%                   |  | 7.73%                 |  | Unsecured           |                     |         | 297,055    |                      |         |  | 891,166               |         |  |                      | 1,188,221   |  |                   |  | 2,376,444   |                   |  |  | 2,376,444            |  |  |               | 5,941,109   |  |                     |  | 15,335,507  |                      |  |  | 26,029,504            |  |  |                      | 339,573   |  |                   |  | 1,018,719   |                    |  |  | 1,358,292          |  |  |               | 2,716,583   |  |                     |  | 2,716,583  |                      |  |  | 6,791,458             |  |  |                      | 16,612,523  |  |                   |  | 28,837,147    |  |  |  | 354,285    |  |  |  | 1,191,331  |  |  |  | 1,545,616   |  |  |  | 2,857,637   |  |  |  | 8,296,492   |  |  |  | 21,943,442  |  |  |  |             |  |  |  | 33,097,571    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | E5-09 Bonds                                   |  | Colombia           |  | CP       |                    | 9.27%                   |  | 9.27%                 |  | Unsecured           |                     |         | 582,915    |                      |         |  | 25,929,967            |         |  |                      | 26,512,882  |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 577,113   |  |                   |  | 1,731,338   |                    |  |  | 2,308,451          |  |  |               | 26,317,195  |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 26,317,195    |  |  |  | 569,828    |  |  |  | 1,916,126  |  |  |  | 2,485,954   |  |  |  | 28,105,888  |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 28,105,888    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B09-09 Bonds                                  |  | Colombia           |  | CP       |                    | 7.76%                   |  | 7.55%                 |  | Unsecured           |                     |         | 1,153,945  |                      |         |  | 3,461,835             |         |  |                      | 4,615,780   |  |                   |  | 9,231,559   |                   |  |  | 66,821,758           |  |  |               | -           |  |                     |  | -           |                      |  |  | 76,053,317            |  |  |                      | 1,325,639 |  |                   |  | 3,976,917   |                    |  |  | 5,302,556          |  |  |               | 10,605,111  |  |                     |  | 10,605,111 |                      |  |  | 62,175,621            |  |  |                      | -           |  |                   |  | 83,385,843    |  |  |  | 1,328,332  |  |  |  | 4,466,698  |  |  |  | 5,795,030   |  |  |  | 10,714,236  |  |  |  | 84,115,563  |  |  |  | -           |  |  |  | -           |  |  |  | 94,829,799    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B12 Bonds                                     |  | Colombia           |  | CP       |                    | 7.97%                   |  | 7.74%                 |  | Unsecured           |                     |         | 485,500    |                      |         |  | 1,456,499             |         |  |                      | 1,941,999   |  |                   |  | 3,883,998   |                   |  |  | 3,883,998            |  |  |               | 29,449,526  |  |                     |  | -           |                      |  |  | 37,217,522            |  |  |                      | 555,900   |  |                   |  | 1,667,701   |                    |  |  | 2,223,601          |  |  |               | 4,447,203   |  |                     |  | 4,447,203  |                      |  |  | 32,223,666            |  |  |                      | -           |  |                   |  | 41,118,072    |  |  |  | 556,858    |  |  |  | 1,872,513  |  |  |  | 2,429,371   |  |  |  | 4,491,583   |  |  |  | 13,040,277  |  |  |  | 28,416,894  |  |  |  | -           |  |  |  | 45,948,754    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Foreign bonds                                 |  | Colombia           |  | CP       |                    | 10.17%                  |  | 10.17%                |  | Unsecured           |                     |         | 4,486,961  |                      |         |  | 13,460,883            |         |  |                      | 17,947,844  |  |                   |  | 35,895,687  |                   |  |  | 35,895,687           |  |  |               | 213,793,324 |  |                     |  | -           |                      |  |  | 285,584,698           |  |  |                      | 618,169   |  |                   |  | 1,854,506   |                    |  |  | 2,472,675          |  |  |               | 4,945,349   |  |                     |  | 4,945,349  |                      |  |  | 31,993,565            |  |  |                      | -           |  |                   |  | 41,884,263    |  |  |  | 610,366    |  |  |  | 2,052,440  |  |  |  | 2,662,806   |  |  |  | 4,923,173   |  |  |  | -           |  |  |  | 28,958,422  |  |  |  | 14,293,300  |  |  |  | 48,174,895    | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Quimbo bonds                                  |  | Colombia           |  | CP       |                    | 10.17%                  |  | 10.17%                |  | Unsecured           |                     |         | 624,384    |                      |         |  | 1,873,151             |         |  |                      | 2,497,535   |  |                   |  | 4,995,071   |                   |  |  | 4,995,071            |  |  |               | 29,750,447  |  |                     |  | -           |                      |  |  | 39,740,589            |  |  |                      | 4,442,297 |  |                   |  | 13,326,891  |                    |  |  | 17,769,188         |  |  |               | 35,538,377  |  |                     |  | 35,538,377 |                      |  |  | 229,912,869           |  |  |                      | -           |  |                   |  | 300,989,623   |  |  |  | 4,386,227  |  |  |  | 14,749,291 |  |  |  | 19,135,518  |  |  |  | 35,379,018  |  |  |  | -           |  |  |  | 208,101,654 |  |  |  | 102,714,832 |  |  |  | 346,195,504   | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Quimbo B10 bonds                              |  | Colombia           |  | CP       |                    | 5.34%                   |  | 5.24%                 |  | Unsecured           |                     |         | 1,100,769  |                      |         |  | 3,302,308             |         |  |                      | 4,403,077   |  |                   |  | 8,806,155   |                   |  |  | 8,806,155            |  |  |               | 99,436,473  |  |                     |  | -           |                      |  |  | 117,048,783           |  |  |                      | 1,264,032 |  |                   |  | 3,792,096   |                    |  |  | 5,056,128          |  |  |               | 10,112,255  |  |                     |  | 10,112,255 |                      |  |  | 106,512,256           |  |  |                      | -           |  |                   |  | 126,736,766   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Quimbo B15 bonds                              |  | Colombia           |  | CP       |                    | 5.46%                   |  | 5.36%                 |  | Unsecured           |                     |         | 753,246    |                      |         |  | 2,259,737             |         |  |                      | 3,012,983   |  |                   |  | 6,025,966   |                   |  |  | 6,025,966            |  |  |               | 15,064,915  |  |                     |  | 66,601,374  |                      |  |  | 93,718,221            |  |  |                      | 859,450   |  |                   |  | 2,578,349   |                    |  |  | 3,437,799          |  |  |               | 6,875,596   |  |                     |  | 6,875,596  |                      |  |  | 17,188,990            |  |  |                      | 71,343,402  |  |                   |  | 102,283,584   |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Quimbo B12-13 bonds                           |  | Colombia           |  | CP       |                    | 6.85%                   |  | 6.68%                 |  | Unsecured           |                     |         | 1,648,116  |                      |         |  | 4,944,349             |         |  |                      | 6,592,465   |  |                   |  | 13,184,931  |                   |  |  | 13,184,931           |  |  |               | 32,962,327  |  |                     |  | 110,552,233 |                      |  |  | 169,884,422           |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | Quimbo B6-13 bonds                            |  | Colombia           |  | CP       |                    | 6.08%                   |  | 5.95%                 |  | Unsecured           |                     |         | 616,960    |                      |         |  | 1,850,879             |         |  |                      | 2,467,839   |  |                   |  | 4,935,677   |                   |  |  | 4,935,677            |  |  |               | 43,453,010  |  |                     |  | -           |                      |  |  | 53,324,364            |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Emgesa S.A. E.S.P.                   |  | Colombia |  | Foreign                             |  | B6-13 bonds                                   |  | Colombia           |  | CP       |                    | 6.08%                   |  | 5.95%                 |  | Unsecured           |                     |         | 199,976    |                      |         |  | 599,927               |         |  |                      | 799,903     |  |                   |  | 1,599,806   |                   |  |  | 1,599,806            |  |  |               | 14,084,549  |  |                     |  | -           |                      |  |  | 17,284,161            |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | -          |  |  |  | -          |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | -             | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 6.57%                   |  | 6.47%                 |  | Unsecured           |                     |         | 82,595     |                      |         |  | 247,784               |         |  |                      | 330,379     |  |                   |  | 660,757     |                   |  |  | 5,613,285            |  |  |               | -           |  |                     |  | -           |                      |  |  | 6,274,042             |  |  |                      | 79,897    |  |                   |  | 239,692     |                    |  |  | 319,589            |  |  |               | 639,178     |  |                     |  | 639,178    |                      |  |  | 4,814,505             |  |  |                      | -           |  |                   |  | 6,092,861     |  |  |  | 97,652     |  |  |  | 235,722    |  |  |  | 333,374     |  |  |  | 616,363     |  |  |  | 1,789,469   |  |  |  | 5,500,435   |  |  |  | -           |  |  |  | 7,906,267     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.41%                   |  | 6.31%                 |  | Unsecured           |                     |         | 74,183     |                      |         |  | 222,548               |         |  |                      | 296,731     |  |                   |  | 593,463     |                   |  |  | 593,463              |  |  |               | 5,739,253   |  |                     |  | -           |                      |  |  | 6,926,179             |  |  |                      | 73,875    |  |                   |  | 221,624     |                    |  |  | 295,499            |  |  |               | 590,997     |  |                     |  | 590,997    |                      |  |  | 6,023,737             |  |  |                      | -           |  |                   |  | 7,205,731     |  |  |  | 160,276    |  |  |  |            |  |  |  | 160,276     |  |  |  | -           |  |  |  | -           |  |  |  | 10,819,378  |  |  |  | -           |  |  |  | 10,819,378    | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.38%                   |  | 6.28%                 |  | Unsecured           |                     |         | 73,816     |                      |         |  | 221,447               |         |  |                      | 295,263     |  |                   |  | 590,525     |                   |  |  | 590,525              |  |  |               | 4,872,930   |  |                     |  | -           |                      |  |  | 6,053,980             |  |  |                      | 73,509    |  |                   |  | 220,527     |                    |  |  | 294,036            |  |  |               | 588,072     |  |                     |  | 588,072    |                      |  |  | 5,159,550             |  |  |                      | -           |  |                   |  | 6,335,694     |  |  |  | 79,552     |  |  |  | 267,504    |  |  |  | 347,056     |  |  |  | 4,950,085   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 4,950,085     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.86%                   |  | 6.75%                 |  | Unsecured           |                     |         | 63,459     |                      |         |  | 3,866,320             |         |  |                      | 3,929,779   |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 63,196    |  |                   |  | 189,587     |                    |  |  | 252,783            |  |  |               | 3,923,716   |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 3,923,716     |  |  |  | 78,051     |  |  |  | 262,457    |  |  |  | 340,508     |  |  |  | 4,868,653   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 4,868,653     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.61%                   |  | 6.50%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 4,770,062 |  |                   |  | -           |                    |  |  | 4,770,062          |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 77,676     |  |  |  | 261,195    |  |  |  | 338,871     |  |  |  | 5,051,067   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 5,051,067     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.54%                   |  | 6.44%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 75,338    |  |                   |  | 4,744,218   |                    |  |  | 4,819,556          |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 73,923     |  |  |  | 248,577    |  |  |  | 322,500     |  |  |  | 5,114,463   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 5,114,463     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.74%                   |  | 6.63%                 |  | Unsecured           |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 77,532    |  |                   |  | 4,771,525   |                    |  |  | 4,849,057          |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 89,628     |  |  |  | 301,387    |  |  |  | 391,015     |  |  |  | 5,873,636   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 5,873,636     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.70%                   |  | 6.59%                 |  | Unsecured           |                     |         | 5,408,901  |                      |         |  | -                     |         |  |                      | 5,408,901   |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 87,352    |  |                   |  | 262,056     |                    |  |  | 349,408            |  |  |               | 5,400,952   |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 5,400,952     |  |  |  | 77,300     |  |  |  | 259,934    |  |  |  | 337,234     |  |  |  | 4,919,966   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 4,919,966     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 6.44%                   |  | 6.34%                 |  | Unsecured           |                     |         | 80,999     |                      |         |  | 242,996               |         |  |                      | 323,995     |  |                   |  | 647,989     |                   |  |  | 647,989              |  |  |               | 1,619,973   |  |                     |  | 6,578,353   |                      |  |  | 9,494,304             |  |  |                      | 78,353    |  |                   |  | 235,060     |                    |  |  | 313,413            |  |  |               | 626,827     |  |                     |  | 626,827    |                      |  |  | 1,567,066             |  |  |                      | 6,381,057   |  |                   |  | 9,201,777     |  |  |  | 83,851     |  |  |  | 281,959    |  |  |  | 365,810     |  |  |  | 2,639,913   |  |  |  | -           |  |  |  | 1,681,620   |  |  |  | 6,539,229   |  |  |  | 10,860,762    | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 9.20%                   |  | 9.00%                 |  | Unsecured           |                     |         | 111,697    |                      |         |  | 5,406,082             |         |  |                      | 5,517,779   |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 108,049   |  |                   |  | 324,147     |                    |  |  | 432,196            |  |  |               | 5,049,991   |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 5,049,991     |  |  |  | 115,630    |  |  |  | 388,820    |  |  |  | 504,450     |  |  |  | 5,903,654   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 5,903,654     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 7.93%                   |  | 7.78%                 |  | Unsecured           |                     |         | 81,132     |                      |         |  | 243,395               |         |  |                      | 324,527     |  |                   |  | 649,053     |                   |  |  | 649,053              |  |  |               | 4,318,583   |  |                     |  | -           |                      |  |  | 5,616,689             |  |  |                      | 78,482    |  |                   |  | 235,446     |                    |  |  | 313,928            |  |  |               | 627,856     |  |                     |  | 627,856    |                      |  |  | 4,249,866             |  |  |                      | -           |  |                   |  | 5,505,578     |  |  |  | 83,988     |  |  |  | 282,422    |  |  |  | 366,410     |  |  |  | 677,444     |  |  |  | 6,208,170   |  |  |  | -           |  |  |  | -           |  |  |  | 6,885,614     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 7.25%                   |  | 7.13%                 |  | Unsecured           |                     |         | 57,826     |                      |         |  | 173,478               |         |  |                      | 231,304     |  |                   |  | 3,359,066   |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | 3,359,066             |  |  |                      | 55,926    |  |                   |  | 167,777     |                    |  |  | 223,703            |  |  |               | 3,285,038   |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 3,285,038     |  |  |  | 59,850     |  |  |  | 201,252    |  |  |  | 261,102     |  |  |  | 3,783,487   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 3,783,487     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Scotiabank                              |  | Peru               |  | US$      |                    | 6.74%                   |  | 6.63%                 |  | Unsecured           |                     |         | 84,590     |                      |         |  | 253,769               |         |  |                      | 338,359     |  |                   |  | 5,791,110   |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | 5,791,110             |  |  |                      | 81,827    |  |                   |  | 245,481     |                    |  |  | 327,308            |  |  |               | 654,617     |  |                     |  | 4,978,803  |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 5,633,420     |  |  |  | 87,568     |  |  |  | 294,460    |  |  |  | 382,028     |  |  |  | 706,319     |  |  |  | 6,190,863   |  |  |  | -           |  |  |  | -           |  |  |  | 6,897,182     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Scotiabank                              |  | Peru               |  | US$      |                    | 6.09%                   |  | 6.00%                 |  | Unsecured           |                     |         | 76,610     |                      |         |  | 229,829               |         |  |                      | 306,439     |  |                   |  | 5,791,642   |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | 5,791,642             |  |  |                      | 74,108    |  |                   |  | 222,323     |                    |  |  | 296,431            |  |  |               | 592,861     |  |                     |  | 5,010,196  |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 5,603,057     |  |  |  | 79,307     |  |  |  | 266,681    |  |  |  | 345,988     |  |  |  | 639,685     |  |  |  | 6,096,813   |  |  |  | -           |  |  |  | -           |  |  |  | 6,736,498     | 
|Foreign               |  | Edegel S.A.A                         |  | Peru     |  | Foreign                             |  | Banco Scotiabank                              |  | Peru               |  | US$      |                    | 5.87%                   |  | 5.78%                 |  | Unsecured           |                     |         | 73,816     |                      |         |  | 221,449               |         |  |                      | 295,265     |  |                   |  | 590,532     |                   |  |  | 590,532              |  |  |               | 5,772,090   |  |                     |  | -           |                      |  |  | 6,953,154             |  |  |                      | 71,406    |  |                   |  | 214,217     |                    |  |  | 285,623            |  |  |               | 571,246     |  |                     |  | 571,246    |                      |  |  | 5,573,336             |  |  |                      | -           |  |                   |  | 6,715,828     |  |  |  | 85,503     |  |  |  | 287,515    |  |  |  | 373,018     |  |  |  | 689,660     |  |  |  | 6,853,252   |  |  |  | -           |  |  |  | -           |  |  |  | 7,542,912     | 
|Foreign               |  | Chinango S.A.C.                      |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | US$      |                    | 6.15%                   |  | 6.06%                 |  | Secured             |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | -         |  |                   |  | -           |                    |  |  | -                  |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 75,800     |  |  |  | 254,886    |  |  |  | 330,686     |  |  |  | 611,394     |  |  |  | 1,775,041   |  |  |  | 5,728,426   |  |  |  | -           |  |  |  | 8,114,861     | 
|Foreign               |  | Chinango S.A.C.                      |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.57%                   |  | 6.47%                 |  | Secured             |                     |         | -          |                      |         |  | -                     |         |  |                      | -           |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 75,703    |  |                   |  | 4,870,634   |                    |  |  | 4,946,337          |  |  |               | -           |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | -             |  |  |  | 75,424     |  |  |  | 253,624    |  |  |  | 329,048     |  |  |  | 608,367     |  |  |  | 6,582,587   |  |  |  | -           |  |  |  | -           |  |  |  | 7,190,954     | 
|Foreign               |  | Chinango S.A.C.                      |  | Peru     |  | Foreign                             |  | Banco Continental                             |  | Peru               |  | Sol      |                    | 6.25%                   |  | 6.16%                 |  | Secured             |                     |         | 4,724,809  |                      |         |  | -                     |         |  |                      | 4,724,809   |  |                   |  | -           |                   |  |  | -                    |  |  |               | -           |  |                     |  | -           |                      |  |  | -                     |  |  |                      | 72,046    |  |                   |  | 216,138     |                    |  |  | 288,184            |  |  |               | 4,718,008   |  |                     |  | -          |                      |  |  | -                     |  |  |                      | -           |  |                   |  | 4,718,008     |  |  |  | 64,842     |  |  |  | 218,041    |  |  |  | 282,883     |  |  |  | 4,267,060   |  |  |  | -           |  |  |  | -           |  |  |  | -           |  |  |  | 4,267,060     | 
|                      |  |                                      |  |          |  |                                     |  |                                               |  |                    |  |          |                    |                         |  |                       |  |                     |                     |         |            |                      |         |  |                       |         |  |                      |             |  |                   |  |             |                   |  |  |                      |  |  |               |             |  |                     |  |             |                      |  |  |                       |  |  |                      |           |  |                   |  |             |                    |  |  |                    |  |  |               |             |  |                     |  |            |                      |  |  |                       |  |  |                      |             |  |                   |  |               |  |  |  |            |  |  |  |            |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |               | 
|                      |  |                                      |  |          |  |                                     |  | Total                                         |  | ThCh$              |  |          |                    |                         |  |                       |  |                     |                     |         |            |                      |         |  |                       |         |  |                      | 168,048,008 |  |                   |  |             |                   |  |  |                      |  |  |               |             |  |                     |  |             |                      |  |  | 2,212,580,374         |  |  |                      |           |  |                   |  |             |                    |  |  | 327,664,193        |  |  |               |             |  |                     |  |            |                      |  |  |                       |  |  |                      |             |  |                   |  | 2,114,700,157 |  |  |  |            |  |  |  |            |  |  |  | 175,766,896 |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  | 2,662,344,808 | 



F-131



---

##### Table of Contents

c) Finance lease obligations



| | - |  | Finance lease obligations by company
| | - |  | ------------------------------------



|                      |  |                                      |  |         |  |                                      |  |                       |  |         |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                      |  |           |                     |  |  |                    |  |  |                   |            |  |                   |  |            |               |  |  |                    |  |  |                     |            |  |                      |  |           |                     |  |  |                    |  |  |                   |           |  |                   |  |            |               |  |  |                    |  |  |                     |            |  |                      |  |           |                     |  |  |                    |  |  |  |           |  |  |  |           |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  |            | 
|--------------------- |  | ------------------------------------ |  | ------- |  | ------------------------------------ |  | --------------------- |  | ------- | ----------------- | -------- |  | ----------------------- |  | ------- | ------------------ |  | ------- | ------------------- | --------- | ------- | -------------------- |  | --------- | ------------------- |  |  | ------------------ |  |  | ----------------- | ---------- |  | ----------------- |  | ---------- | ------------- |  |  | ------------------ |  |  | ------------------- | ---------- |  | -------------------- |  | --------- | ------------------- |  |  | ------------------ |  |  | ----------------- | --------- |  | ----------------- |  | ---------- | ------------- |  |  | ------------------ |  |  | ------------------- | ---------- |  | -------------------- |  | --------- | ------------------- |  |  | ------------------ |  |  |  | --------- |  |  |  | --------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | --------- |  |  |  | ---------- | 
|Taxpayer ID No.
(RUT) |  | Company                              |  | Country |  | Taxpayer ID No.
FinancialInstitution |  | Financial Institution |  | Country |                   | Currency |  | Effective
Interest Rate |  | 12-2013 |                    |  | 12-2012 |                     |           | 01-2012 |                     
|                      |  |                                      |  |         |  |                                      |  | Current               |  |         | Non-current       |          |  | Current                 |  |         | Non-current        |  |         | Current             |           |         | Non-current          | 
|                      |  |                                      |  |         |  |                                      |  | Less than
90 days     |  |         | More than
90 days |          |  | Total
Current           |  |         | One to three
years |  |         | Three to five
years |           |         | More than
five years |  |           | More
than ten
years |  |  | Total Non-
current |  |  | Less than
90 days |            |  | More than
90 days |  |            | Total
Current |  |  | One to three
years |  |  | Three to five
years |            |  | More than
five years |  |           | More than
ten years |  |  | Total Non-
current |  |  | Less than
90 days |           |  | More than
90 days |  |            | Total Current |  |  | One to three
years |  |  | Three to five
years |            |  | More than
five years |  |           | More than
ten years |  |  | Total Non-
current | 
|91,081,000-6          |  | Empresa Nacionalde Electricidad S.A. |  | Chile   |  | 87,509,100-K                         |  | Leasing Abengoa Chile |  | Chile   |                   | US$      |  | 6.50%                   |  |         | 581,073            |  |         |                     | 1,742,183 |         |                      |  | 2,323,256 |                     |  |  | 4,637,718          |  |  |                   | 4,624,689  |  |                   |  | 13,024,032 |               |  |  | -                  |  |  |                     | 22,286,439 |  |                      |  | 517,486   |                     |  |  | 1,552,682          |  |  |                   | 2,070,168 |  |                   |  | 4,142,238  |               |  |  | 4,145,057          |  |  |                     | 10,377,586 |  |                      |  | 3,477,319 |                     |  |  | 22,142,200         |  |  |  | 567,586   |  |  |  | 1,900,568 |  |  |  | 2,468,154  |  |  |  | 4,556,135  |  |  |  | 6,273,409  |  |  |  | 10,867,880 |  |  |  | 5,946,866 |  |  |  | 27,644,290 | 
|Foreign               |  | Edegel S.A.A.                        |  | Peru    |  | 0-E                                  |  | Scotiabank            |  | Peru    |                   | US$      |  | 2.00%                   |  |         | 1,486,952          |  |         |                     | 4,421,036 |         |                      |  | 5,907,988 |                     |  |  | 15,369,699         |  |  |                   | 11,585,284 |  |                   |  | -          |               |  |  | -                  |  |  |                     | 26,954,983 |  |                      |  | 1,406,430 |                     |  |  | 4,177,025          |  |  |                   | 5,583,455 |  |                   |  | 12,608,401 |               |  |  | 17,546,542         |  |  |                     | -          |  |                      |  | -         |                     |  |  | 30,154,943         |  |  |  | 2,137,134 |  |  |  | 6,953,795 |  |  |  | 9,090,929  |  |  |  | 11,858,222 |  |  |  | 14,046,200 |  |  |  | 13,246,071 |  |  |  | -         |  |  |  | 39,150,493 | 
|                      |  |                                      |  |         |  |                                      |  |                       |  |         |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                      |  |           |                     |  |  |                    |  |  |                   |            |  |                   |  |            |               |  |  |                    |  |  |                     |            |  |                      |  |           |                     |  |  |                    |  |  |                   |           |  |                   |  |            |               |  |  |                    |  |  |                     |            |  |                      |  |           |                     |  |  |                    |  |  |  |           |  |  |  |           |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  |            | 
|                      |  |                                      |  |         |  |                                      |  | TotalThCh$            |  |         |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                      |  | 8,231,244 |                     |  |  |                    |  |  |                   |            |  |                   |  |            |               |  |  |                    |  |  |                     | 49,241,422 |  |                      |  |           |                     |  |  |                    |  |  |                   | 7,653,623 |  |                   |  |            |               |  |  |                    |  |  |                     |            |  |                      |  |           |                     |  |  | 52,297,143         |  |  |  |           |  |  |  |           |  |  |  | 11,559,083 |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |           |  |  |  | 66,794,783 | 

d) Other liabilities



| | - |  | Other liabilities by company
| | - |  | ----------------------------



|                      |  |                              |  |           |  |                                       |  |                             |  |           |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                    |  |            |                   |  |  |                   |  |  |               |   |  |                    |  |           |                     |  |  |                    |  |  |                   |           |  |                   |  |            |               |  |  |                   |  |  |                     |   |  |                    |  |           |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            | 
|--------------------- |  | ---------------------------- |  | --------- |  | ------------------------------------- |  | --------------------------- |  | --------- | ----------------- | -------- |  | ----------------------- |  | ------- | ------------------ |  | ------- | ------------------- | --------- | ------- | ------------------ |  | ---------- | ----------------- |  |  | ----------------- |  |  | ------------- | - |  | ------------------ |  | --------- | ------------------- |  |  | ------------------ |  |  | ----------------- | --------- |  | ----------------- |  | ---------- | ------------- |  |  | ----------------- |  |  | ------------------- | - |  | ------------------ |  | --------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- |  |  |  | ---------- | 
|Taxpayer ID
No. (RUT) |  | Company                      |  | Country   |  | Taxpayer ID No.
Financial
Institution |  | Financial Institution       |  | Country   |                   | Currency |  | Effective
Interest
Rate |  | 12-2013 |                    |  | 12-2012 |                     |           | 01-2012 |                   
|                      |  |                              |  |           |  |                                       |  | Current                     |  |           | Non-current       |          |  | Current                 |  |         | Non-current        |  |         | Current             |           |         | Non-current        | 
|                      |  |                              |  |           |  |                                       |  | Less than 90
days           |  |           | More than
90 days |          |  | Total Current           |  |         | One to
three years |  |         | Three
to five
years |           |         | Total Non-
current |  |            | Less than 90
days |  |  | More than
90 days |  |  | Total Current |   |  | One to
three years |  |           | Three
to five
years |  |  | Total Non-
current |  |  | Less than
90 days |           |  | More than
90 days |  |            | Total Current |  |  | One to threeyears |  |  | Three to five
years |   |  | Total Non-
current | 
|Foreign               |  | Endesa Costanera S.A.        |  | Argentina |  | Foreign                               |  | Mitsubishi (secured debt)   |  | Argentina |                   | US$      |  | 7.42%                   |  |         | 70,430,612         |  |         |                     | -         |         |                    |  | 70,430,612 |                   |  |  | -                 |  |  |               | - |  |                    |  | -         |                     |  |  | 56,264,078         |  |  |                   | -         |  |                   |  | 56,264,078 |               |  |  | -                 |  |  |                     | - |  |                    |  | -         |  |  |  | 14,958,554 |  |  |  | 10,030,787 |  |  |  | 24,989,341 |  |  |  | 32,747,272 |  |  |  | 24,243,194 |  |  |  | 56,990,466 | 
|Foreign               |  | Endesa Costanera S.A.        |  | Argentina |  | Foreign                               |  | Mitsubishi (unsecured debt) |  | Argentina |                   | US$      |  | 7.42%                   |  |         | 1,092,665          |  |         |                     | -         |         |                    |  | 1,092,665  |                   |  |  | -                 |  |  |               | - |  |                    |  | -         |                     |  |  | 11,534,186         |  |  |                   | -         |  |                   |  | 11,534,186 |               |  |  | -                 |  |  |                     | - |  |                    |  | -         |  |  |  | 2,296,618  |  |  |  | 67,527     |  |  |  | 2,364,145  |  |  |  | 161,976    |  |  |  | 1,139,597  |  |  |  | 1,301,573  | 
|Foreign               |  | Endesa Costanera S.A.        |  | Argentina |  | Foreign                               |  | Other                       |  | Argentina |                   | Ar$      |  | 17.29%                  |  |         | 605,116            |  |         |                     | 3,546,685 |         |                    |  | 4,151,801  |                   |  |  | 2,802,590         |  |  |               | - |  |                    |  | 2,802,590 |                     |  |  | 799,346            |  |  |                   | 5,846,518 |  |                   |  | 6,645,864  |               |  |  | 6,019,282         |  |  |                     | - |  |                    |  | 6,019,282 |  |  |  | 547,198    |  |  |  | 884,765    |  |  |  | 1,431,963  |  |  |  | -          |  |  |  | -          |  |  |  | -          | 
|Foreign               |  | Hidroinvest S.A.             |  | Argentina |  | Foreign                               |  | Other                       |  | Argentina |                   | US$      |  | 2.67%                   |  |         | -                  |  |         |                     | 138,707   |         |                    |  | 138,707    |                   |  |  | -                 |  |  |               | - |  |                    |  | -         |                     |  |  | -                  |  |  |                   | -         |  |                   |  | -          |               |  |  | -                 |  |  |                     | - |  |                    |  | -         |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          | 
|Foreign               |  | Hidroeléctrica ElChocón S.A. |  | Argentina |  | Foreign                               |  | Other                       |  | Argentina |                   | Ar$      |  | 19.79%                  |  |         | 48,246             |  |         |                     | 144,738   |         |                    |  | 192,984    |                   |  |  | 1,127,937         |  |  |               | - |  |                    |  | 1,127,937 |                     |  |  | -                  |  |  |                   | -         |  |                   |  | -          |               |  |  | -                 |  |  |                     | - |  |                    |  | -         |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          |  |  |  | -          | 
|96,827,970-K          |  | Endesa Eco S.A.              |  | Chile     |  | 96,601,250-1                          |  | Inversiones Centinela S.A.  |  | Chile     |                   | US$      |  | 6.10%                   |  |         | 2,025,842          |  |         |                     | -         |         |                    |  | 2,025,842  |                   |  |  | -                 |  |  |               | - |  |                    |  | -         |                     |  |  | 2,017,319          |  |  |                   | -         |  |                   |  | 2,017,319  |               |  |  | -                 |  |  |                     | - |  |                    |  | -         |  |  |  | -          |  |  |  | 3,930,734  |  |  |  | 3,930,734  |  |  |  | -          |  |  |  | -          |  |  |  | -          | 
|                      |  |                              |  |           |  |                                       |  |                             |  |           |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                    |  |            |                   |  |  |                   |  |  |               |   |  |                    |  |           |                     |  |  |                    |  |  |                   |           |  |                   |  |            |               |  |  |                   |  |  |                     |   |  |                    |  |           |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            |  |  |  |            | 
|                      |  |                              |  |           |  |                                       |  | TotalThCh$                  |  |           |                   |          |  |                         |  |         |                    |  |         |                     |           |         |                    |  | 78,032,611 |                   |  |  |                   |  |  |               |   |  |                    |  | 3,930,527 |                     |  |  |                    |  |  |                   |           |  |                   |  | 76,461,447 |               |  |  |                   |  |  |                     |   |  |                    |  | 6,019,282 |  |  |  |            |  |  |  |            |  |  |  | 32,716,183 |  |  |  |            |  |  |  |            |  |  |  | 58,292,039 | 



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APPENDIX 5 DETAILS OF ASSETS AND LIABILITIES IN FOREIGN CURRENCY

This appendix forms an integral part of the Endesa Chile financial statements.

The detail of assets denominated in foreign currencies is the following:



|                                                  |  |                    |  |                     |  |                   |  |                   |  |                
|------------------------------------------------- |  | ------------------ |  | ------------------- |  | ----------------- |  | ----------------- |  | ---------------
|ASSETS                                            |  | Foreign Currency   |  | Functional
Currency |  | 12-31-2013  ThCh$ |  | 12-31-2012  ThCh$ |  | 01-01-2012ThCh$
|CURRENT ASSETS                                    |  |                    |  |                     |  |                   |  |                   |  |                
|Cash and cash equivalents                         |  |                    |  |                     |  | 14,961,313        |  | 4,129,928         |  | 6,054,467      
|                                                  |  | U.S. dollar        |  | Colombian peso      |  | 13,145            |  | 5,413             |  | 5,634          
|                                                  |  | U.S. dollar        |  | Chilean peso        |  | 2,627,445         |  | -                 |  | -              
|                                                  |  | U.S. dollar        |  | Peruvian nuevo sol  |  | 11,839,569        |  | 3,690,418         |  | 2,886,536      
|                                                  |  | U.S. dollar        |  | Argentine peso      |  | 481,154           |  | 434,097           |  | 3,162,297      
|Accounts
receivable from related companies        |  |                    |  |                     |  | 28,384,147        |  | 14,361,204        |  | 20,299,704     
|                                                  |  | U.S. dollar        |  | Chilean peso        |  | 28,384,147        |  | 14,361,204        |  | 20,299,704     
|                                                 
|TOTAL CURRENT ASSETS                              |  |                    |  | 43,345,460          |  | 18,491,132        |  | 26,354,171       
|NON-CURRENT ASSETS                                |  |                    |  |                     |  |                   |  |                   |  |                
|Investments accounted for using the equity method |  |                    |  |                     |  | 684,153,175       |  | 682,114,350       |  | 666,985,595    
|                                                  |  | U.S. dollar        |  | Chilean peso        |  | 133,869,906       |  | 105,238,196       |  | 94,544,356     
|                                                  |  | Argentine peso     |  | Chilean peso        |  | 2,400,103         |  | 2,743,725         |  | 3,428,480      
|                                                  |  | Brazilian real     |  | Peruvian nuevo sol  |  | 57,778,968        |  | 60,504,917        |  | 60,249,470     
|                                                  |  | Brazilian real     |  | Chilean peso        |  | 490,104,198       |  | 513,627,512       |  | 508,763,289    
|                                                  |  |                    |  |                     |  |                   |  |                   |  |                
|Goodwill                                          |  |                    |  |                     |  | 88,651,527        |  | 89,481,949        |  | 86,830,663     
|                                                  |  | Peruvian nuevo sol |  | Chilean peso        |  | 81,661,135        |  | 81,038,239        |  | 76,365,596     
|                                                  |  | Argentine peso     |  | Chilean peso        |  | 6,990,392         |  | 8,443,710         |  | 10,465,067     
|                                                 
|TOTAL NON-CURRENT ASSETS                          |  |                    |  | 772,804,702         |  | 771,596,299       |  | 753,816,258      
|                                                  |  |                    |  |                     |  |                   |  |                  
|TOTAL ASSETS                                      |  |                    |  | 816,150,162         |  | 790,087,431       |  | 780,170,429      



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The detail of liabilities denominated in foreign currencies is the following:



|                            |  |                  |            |                        |  |                     |             |  |                         |  |             |                     |  |  |                                |  |  |                                  |             |  |                                  |  |            |                     |  |  |             |  |  |                 |             |  |                     |  |             |             |  |  |                                |  |  |                                  |             |  |                    |  |             |                     |  |  |             |  |  |                  |            |  |                      |  |             |             |  |  |                                 |  |  |                                 |             |  |                    |  |            |                     |  |  |               |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |               |             |  |  |              
|--------------------------- |  | ---------------- | ---------- | ---------------------- |  | ------------------- | ----------- |  | ----------------------- |  | ----------- | ------------------- |  |  | ------------------------------ |  |  | -------------------------------- | ----------- |  | -------------------------------- |  | ---------- | ------------------- |  |  | ----------- |  |  | --------------- | ----------- |  | ------------------- |  | ----------- | ----------- |  |  | ------------------------------ |  |  | -------------------------------- | ----------- |  | ------------------ |  | ----------- | ------------------- |  |  | ----------- |  |  | ---------------- | ---------- |  | -------------------- |  | ----------- | ----------- |  |  | ------------------------------- |  |  | ------------------------------- | ----------- |  | ------------------ |  | ---------- | ------------------- |  |  | ------------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- |  |  | ------------- | ----------- |  |  | -------------
|                            |  |                  |            |                        |  | 12-31-2013          |             |  | 12-31-2012              |  |             | 01-01-2012         
|                            |  |                  |            |                        |  | Current Liabilities |             |  | Non-current Liabilities |  |             | Current Liabilities |  |  | Non-current Liabilities        |  |  | Current Liabilities              |             |  | Non-current Liabilities         
|                            |  |                  |            |                        |  | 90 days or  less    |             |  | 91 days to  one year    |  |             | Total               |  |  | More than 1  year upto 3
years |  |  | More than  3 years up
to 5 years |             |  | More than  5 years
upto 10 years |  |            | More than  10 years |  |  | Total       |  |  | 90 days or
less |             |  | 91 days to
one year |  |             | Total       |  |  | More than 1  year up to 3years |  |  | More than  3 years up
to 5 years |             |  | More than  5 years |  |             | More than  10 years |  |  | Total       |  |  | 90 days or  less |            |  | 91 days to  one year |  |             | Total       |  |  | More than 1  year up to 3
years |  |  | More than 3  years up to 5years |             |  | More than 5  years |  |            | More than  10 years |  |  | Total        
|                            |  | Foreign Currency |            | Functional    Currency |  | ThCh$               |             |  | ThCh$                   |  |             | Current             |  |  | ThCh$                          |  |  | ThCh$                            |             |  | ThCh$                            |  |            | ThCh$               |  |  | Non-current |  |  | ThCh$           |             |  | ThCh$               |  |             | Current     |  |  | ThCh$                          |  |  | ThCh$                            |             |  | ThCh$              |  |             | ThCh$               |  |  | Non-current |  |  | ThCh$            |            |  | ThCh$                |  |             | Current     |  |  | ThCh$                           |  |  | ThCh$                           |             |  | ThCh$              |  |            | ThCh$               |  |  | Non-current  
|LIABILITIES                 |  |                  |            |                        |  |                     |             |  |                         |  |             |                     |  |  |                                |  |  |                                  |             |  |                                  |  |            |                     |  |  |             |  |  |                 |             |  |                     |  |             |             |  |  |                                |  |  |                                  |             |  |                    |  |             |                     |  |  |             |  |  |                  |            |  |                      |  |             |             |  |  |                                 |  |  |                                 |             |  |                    |  |            |                     |  |  |               |  |  |  |             |  |  |  |             |  |  |  |             |  |  |  |             |  |  |               |             |  |  |              
|Other financial liabilities |  | U.S. dollar      |            |                        |  | 88,212,425          |             |  | 149,941,202             |  |             | 238,153,627         |  |  | 203,460,561                    |  |  | 79,344,983                       |             |  | 92,262,529                       |  |            | 338,575,541         |  |  | 713,643,614 |  |  | 91,312,402      |             |  | 231,044,304         |  |             | 322,356,706 |  |  | 283,821,099                    |  |  | 86,077,978                       |             |  | 98,945,604         |  |             | 346,594,911         |  |  | 815,439,592 |  |  | 33,973,247       |            |  | 86,968,415           |  |             | 120,941,662 |  |  | 464,660,652                     |  |  | 288,720,473                     |             |  | 135,772,121        |  |            | 370,203,534         |  |  | 1,259,356,780
|                            |  | U.S. dollar      |            | Chileanpeso            |  |                     | 7,162,601   |  |                         |  | 125,801,393 |                     |  |  | 132,963,994                    |  |  |                                  | 143,948,614 |  |                                  |  | 31,635,829 |                     |  |  | 80,551,883  |  |  |                 | 331,997,188 |  |                     |  | 588,133,514 |             |  |  | 12,618,863                     |  |  |                                  | 217,892,993 |  |                    |  | 230,511,856 |                     |  |  | 237,154,868 |  |  |                  | 28,246,516 |  |                      |  | 70,631,233  |             |  |  | 340,213,854                     |  |  |                                 | 676,246,471 |  |                    |  | 11,860,366 |                     |  |  | 44,116,462    |  |  |  | 55,976,828  |  |  |  | 379,230,039 |  |  |  | 195,453,104 |  |  |  | 78,366,530  |  |  |               | 363,664,305 |  |  | 1,016,713,978
|                            |  | U.S. dollar      |            | Peruviannuevo sol      |  |                     | 3,088,350   |  |                         |  | 15,585,838  |                     |  |  | 18,674,188                     |  |  |                                  | 57,870,575  |  |                                  |  | 47,709,154 |                     |  |  | 11,710,646  |  |  |                 | 6,578,353   |  |                     |  | 123,868,728 |             |  |  | 4,249,373                      |  |  |                                  | 7,926,216   |  |                    |  | 12,175,589  |                     |  |  | 38,829,516  |  |  |                  | 57,831,462 |  |                      |  | 28,314,371  |             |  |  | 6,381,057                       |  |  |                                 | 131,356,406 |  |                    |  | 5,801,056  |                     |  |  | 19,711,792    |  |  |  | 25,512,848  |  |  |  | 35,378,771  |  |  |  | 66,272,515  |  |  |  | 57,405,591  |  |  |               | 6,539,229   |  |  | 165,596,106  
|                            |  | U.S. dollar      |            | Argentinepeso          |  |                     | 77,961,474  |  |                         |  | 8,553,971   |                     |  |  | 86,515,445                     |  |  |                                  | 1,641,372   |  |                                  |  | -          |                     |  |  | -           |  |  |                 | -           |  |                     |  | 1,641,372   |             |  |  | 74,444,166                     |  |  |                                  | 5,225,095   |  |                    |  | 79,669,261  |                     |  |  | 7,836,715   |  |  |                  | -          |  |                      |  | -           |             |  |  | -                               |  |  |                                 | 7,836,715   |  |                    |  | 16,311,825 |                     |  |  | 23,140,161    |  |  |  | 39,451,986  |  |  |  | 50,051,842  |  |  |  | 26,994,854  |  |  |  | -           |  |  |               | -           |  |  | 77,046,696   
|                           
|TOTAL LIABILITIES           |  |                  | 88,212,425 |                        |  |                     | 149,941,202 |  |                         |  | 238,153,627 |                     |  |  | 203,460,561                    |  |  |                                  | 79,344,983  |  |                                  |  | 92,262,529 |                     |  |  | 338,575,541 |  |  |                 | 713,643,614 |  |                     |  | 91,312,402  |             |  |  | 231,044,304                    |  |  |                                  | 322,356,706 |  |                    |  | 283,821,099 |                     |  |  | 86,077,978  |  |  |                  | 98,945,604 |  |                      |  | 346,594,911 |             |  |  | 815,439,592                     |  |  |                                 | 33,973,247  |  |                    |  | 86,968,415 |                     |  |  | 120,941,662   |  |  |  | 464,660,652 |  |  |  | 288,720,473 |  |  |  | 135,772,121 |  |  |  | 370,203,534 |  |  | 1,259,356,780



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##### Table of Contents

APPENDIX 6 ADDITIONAL INFORMATIONOFICIO CIRCULAR(OFFICIAL
BULLETIN) No. 715 OF FEBRUARY 3, 2012

This appendix forms an integral part of the Endesa Chile financial statements.

a) Portfolio stratification



| | - |  | Trade and other accounts receivable by time in arrears:
| | - |  | -------------------------------------------------------



|                                   |                          |            |             |                          |  |  |                           |  |  |                            |         |  |                             |  |             |                             |  |  |                                     |  |  |                                  |            |  |                                  |  |       |                                      |  |  |                           |  |  |                            |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|---------------------------------- | ------------------------ | ---------- | ----------- | ------------------------ |  |  | ------------------------- |  |  | -------------------------- | ------- |  | --------------------------- |  | ----------- | --------------------------- |  |  | ----------------------------------- |  |  | -------------------------------- | ---------- |  | -------------------------------- |  | ----- | ------------------------------------ |  |  | ------------------------- |  |  | -------------------------- | --- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- | 
|Trade and Other AccountsReceivable |                          | Balance at |             |                          |  | 
|                                   | 12-31-2013               |            |             |                          | 
|                                   | Up-to-dateportfolioThCh$ |            |             | 1-30 days inarrearsThCh$ |  |  | 31-60 daysin arrearsThCh$ |  |  | 61-90 days inarrears ThCh$ |         |  | 91-120
days in
arrearsThCh$ |  |             | 121-150 daysin
arrearsThCh$ |  |  | 151-180days in    arrears  
  ThCh$ |  |  | 181-210 days in
arrears    ThCh$ |            |  | 211-250 days in
arrears    ThCh$ |  |       | More than  251 days in  arrearsThCh$ |  |  | Total    Current    ThCh$ |  |  | Total Non-  current  ThCh$ |    
|                                   |                         
|Trade receivables, gross           |                          |            | 203,773,215 |                          |  |  | 751,245                   |  |  |                            | 157,913 |  |                             |  | 69,022      |                             |  |  | 70,393                              |  |  |                                  | 21,226,096 |  |                                  |  | 1,050 |                                      |  |  | 118                       |  |  |                            | 845 |  |  |  | 3,093,213   |  |  |  | 229,143,110 |  |  |  | 125,349,056 | 
|Impairment provision               |                          |            | (215,507)   |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | (55,494)   |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | (2,423,973) |  |  |  | (2,694,974) |  |  |  | -           | 
|Other accounts receivable, gross   |                          |            | 22,612,038  |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | 22,612,038  |  |  |  | 6,248,354   | 
|Impairment provision               |                          |            | (1,297,252) |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | (1,297,252) |  |  |  | -           | 
|                                   |                         
|Total                              |                          |            | 224,872,494 |                          |  |  | 751,245                   |  |  |                            | 157,913 |  |                             |  | 69,022      |                             |  |  | 70,393                              |  |  |                                  | 21,170,602 |  |                                  |  | 1,050 |                                      |  |  | 118                       |  |  |                            | 845 |  |  |  | 669,240     |  |  |  | 247,762,922 |  |  |  | 131,597,410 | 
|                                   |                         
|Trade and Other AccountsReceivable |                          | Balance at |             |                          |  | 
|                                   | 12-31-2012               |            |             |                          | 
|                                   | Up-to-dateportfolioThCh$ |            |             | 1-30 days inarrearsThCh$ |  |  | 31-60 daysin arrearsThCh$ |  |  | 61-90
days inarrears ThCh$ |         |  | 91-120 days
inarrearsThCh$  |  |             | 121-150 daysin arrearsThCh$ |  |  | 151-180days inarrearsThCh$          |  |  | 181-210days inarrearsThCh$       |            |  | 211-250days inarrearsThCh$       |  |       | More than251 days inarrearsThCh$     |  |  | TotalCurrentThCh$         |  |  | Total Non-currentThCh$     |    
|                                   |                         
|Trade receivables, gross           |                          |            | 134,030,314 |                          |  |  | 742,503                   |  |  |                            | 47,700  |  |                             |  | 61,797      |                             |  |  | 308,432                             |  |  |                                  | 274,643    |  |                                  |  | 4,577 |                                      |  |  | -                         |  |  |                            | 311 |  |  |  | 4,459,462   |  |  |  | 139,929,739 |  |  |  | 140,323,852 | 
|Impairment provision               |                          |            | (260,311)   |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | (3,065,033) |  |  |  | (3,325,344) |  |  |  | -           | 
|Other accounts receivable, gross   |                          |            | 82,340,304  |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | 82,340,304  |  |  |  | 6,640,299   | 
|Impairment provision               |                          |            | (1,262,108) |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | (1,262,108) |  |  |  | -           | 
|                                   |                         
|Total                              |                          |            | 214,848,199 |                          |  |  | 742,503                   |  |  |                            | 47,700  |  |                             |  | 61,797      |                             |  |  | 308,432                             |  |  |                                  | 274,643    |  |                                  |  | 4,577 |                                      |  |  | -                         |  |  |                            | 311 |  |  |  | 1,394,429   |  |  |  | 217,682,591 |  |  |  | 146,964,151 | 
|                                   |                         
|Trade and Other AccountsReceivable |                          | Balance at |             |                          |  | 
|                                   | 01-01-2012               |            |             |                          | 
|                                   | Up-to-dateportfolioThCh$ |            |             | 1-30 days inarrearsThCh$ |  |  | 31-60 daysin arrearsThCh$ |  |  | 61-90
days inarrears ThCh$ |         |  | 91-120 days
inarrearsThCh$  |  |             | 121-150 daysin arrearsThCh$ |  |  | 151-180days inarrearsThCh$          |  |  | 181-210days inarrearsThCh$       |            |  | 211-250days inarrearsThCh$       |  |       | More than251 days inarrearsThCh$     |  |  | TotalCurrentThCh$         |  |  | Total Non-currentThCh$     |    
|                                   |                         
|Trade receivables, gross           |                          |            | 241,535,134 |                          |  |  | 1,794,517                 |  |  |                            | 84,972  |  |                             |  | 6,637,238   |                             |  |  | 493,005                             |  |  |                                  | 138,523    |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | 76,250      |  |  |  | 250,759,639 |  |  |  | 148,367,033 | 
|Impairment provision               |                          |            | (983,105)   |                          |  |  | -                         |  |  |                            | -       |  |                             |  | (4,110,640) |                             |  |  | (55,494)                            |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | (5,149,239) |  |  |  | -           | 
|Other accounts receivable, gross   |                          |            | 34,463,899  |                          |  |  | -                         |  |  |                            | -       |  |                             |  | 39,056      |                             |  |  | 2,791                               |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | 85          |  |  |  | 34,505,831  |  |  |  | 3,241,735   | 
|Impairment provision               |                          |            | (1,326,090) |                          |  |  | -                         |  |  |                            | -       |  |                             |  | -           |                             |  |  | -                                   |  |  |                                  | -          |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | -           |  |  |  | (1,326,090) |  |  |  | -           | 
|                                   |                         
|Total                              |                          |            | 273,689,838 |                          |  |  | 1,794,517                 |  |  |                            | 84,972  |  |                             |  | 2,565,654   |                             |  |  | 440,302                             |  |  |                                  | 138,523    |  |                                  |  | -     |                                      |  |  | -                         |  |  |                            | -   |  |  |  | 76,335      |  |  |  | 278,790,141 |  |  |  | 151,608,768 | 



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##### Table of Contents

| | - |  | By type of portfolio:
| | - |  | ---------------------



|                   |                           |            |     |                        |            |                       |                    |            |                           |   |                  |                        |  |                       |     |  |                           |  |             |                        |  |                       |                   |  |                      |  |                   |  |  |                  |  |   |                  |  |     |                  |  |  |                    |  |                      |  |                  |  |  |                  |             |  |  |   |  |   |  |  |     |  |  |            
|------------------ | ------------------------- | ---------- | --- | ---------------------- | ---------- | --------------------- | ------------------ | ---------- | ------------------------- | - | ---------------- | ---------------------- |  | --------------------- | --- |  | ------------------------- |  | ----------- | ---------------------- |  | --------------------- | ----------------- |  | -------------------- |  | ----------------- |  |  | ---------------- |  | - | ---------------- |  | --- | ---------------- |  |  | ------------------ |  | -------------------- |  | ---------------- |  |  | ---------------- | ----------- |  |  | - |  | - |  |  | --- |  |  | -----------
|Time in Arrears    |                           | Balance at |     |                        | Balance at |                       |                    | Balance at
|                   | 12-31-2013                |            |     | 12-31-2012             |            |                       | 01-01-2012        
|                   | Non-renegotiatedportfolio |            |     | Renegotiated portfolio |            | Total gross portfolio |                    |            | Non-renegotiatedportfolio |   |                  | Renegotiated portfolio |  | Total gross portfolio |     |  | Non-renegotiatedportfolio |  |             | Renegotiated portfolio |  | Total gross portfolio
|                   | Numberof clients          |            |     | GrossamountThCh$       |            |                       | Number  of clients |            | Gross  amount  ThCh$      |   | Number ofclients |                        |  | Gross amount ThCh$    |     |  | Numberof clients          |  |             | GrossamountThCh$       |  |                       | Number
of clients |  | Gross  amount  ThCh$ |  | Number of
clients |  |  | GrossamountThCh$ |  |   | Numberof clients |  |     | GrossamountThCh$ |  |  | Number  of clients |  | Gross  amount  ThCh$ |  | Numberof clients |  |  | GrossamountThCh$
|                   |                           |            |     |                        |            |                       |                    |            |                           |   |                  |                        |  |                       |     |  |                           |  |             |                        |  |                       |                   |  |                      |  |                   |  |  |                  |  |   |                  |  |     |                  |  |  |                    |  |                      |  |                  |  |  |                  |             |  |  |   |  |   |  |  |     |  |  |            
|Up-to-date         |                           |            | 310 |                        |            |                       | 203,773,215        |            |                           | - |                  | -                      |  |                       | 310 |  |                           |  | 203,773,215 |                        |  |                       | 307               |  |                      |  | 134,030,314       |  |  | -                |  | - |                  |  | 307 |                  |  |  | 134,030,314        |  |                      |  | 93               |  |  |                  | 241,535,134 |  |  | - |  | - |  |  | 93  |  |  | 241,535,134
|1 to 30 days       |                           |            | 50  |                        |            |                       | 751,245            |            |                           | - |                  | -                      |  |                       | 50  |  |                           |  | 751,245     |                        |  |                       | 37                |  |                      |  | 742,503           |  |  | -                |  | - |                  |  | 37  |                  |  |  | 742,503            |  |                      |  | 10               |  |  |                  | 1,794,517   |  |  | - |  | - |  |  | 10  |  |  | 1,794,517  
|31 to 60 days      |                           |            | 16  |                        |            |                       | 157,913            |            |                           | - |                  | -                      |  |                       | 16  |  |                           |  | 157,913     |                        |  |                       | 15                |  |                      |  | 47,700            |  |  | -                |  | - |                  |  | 15  |                  |  |  | 47,700             |  |                      |  | 16               |  |  |                  | 84,972      |  |  | - |  | - |  |  | 16  |  |  | 84,972     
|61 to 90 days      |                           |            | 14  |                        |            |                       | 69,022             |            |                           | - |                  | -                      |  |                       | 14  |  |                           |  | 69,022      |                        |  |                       | 18                |  |                      |  | 61,797            |  |  | -                |  | - |                  |  | 18  |                  |  |  | 61,797             |  |                      |  | 1                |  |  |                  | 6,637,238   |  |  | - |  | - |  |  | 1   |  |  | 6,637,238  
|91 to 120 days     |                           |            | 9   |                        |            |                       | 70,393             |            |                           | - |                  | -                      |  |                       | 9   |  |                           |  | 70,393      |                        |  |                       | 16                |  |                      |  | 308,432           |  |  | -                |  | - |                  |  | 16  |                  |  |  | 308,432            |  |                      |  | 12               |  |  |                  | 493,005     |  |  | - |  | - |  |  | 12  |  |  | 493,005    
|121 to 150 days    |                           |            | 12  |                        |            |                       | 21,226,096         |            |                           | - |                  | -                      |  |                       | 12  |  |                           |  | 21,226,096  |                        |  |                       | 17                |  |                      |  | 274,643           |  |  | -                |  | - |                  |  | 17  |                  |  |  | 274,643            |  |                      |  | -                |  |  |                  | 138,523     |  |  | - |  | - |  |  | -   |  |  | 138,523    
|151 to 180 days    |                           |            | 4   |                        |            |                       | 1,050              |            |                           | - |                  | -                      |  |                       | 4   |  |                           |  | 1,050       |                        |  |                       | 16                |  |                      |  | 4,577             |  |  | -                |  | - |                  |  | 16  |                  |  |  | 4,577              |  |                      |  | -                |  |  |                  | -           |  |  | - |  | - |  |  | -   |  |  | -          
|181 to 210 days    |                           |            | 5   |                        |            |                       | 118                |            |                           | - |                  | -                      |  |                       | 5   |  |                           |  | 118         |                        |  |                       | 1                 |  |                      |  | -                 |  |  | -                |  | - |                  |  | 1   |                  |  |  | -                  |  |                      |  | -                |  |  |                  | -           |  |  | - |  | - |  |  | -   |  |  | -          
|211 to 250 days    |                           |            | 4   |                        |            |                       | 845                |            |                           | - |                  | -                      |  |                       | 4   |  |                           |  | 845         |                        |  |                       | 4                 |  |                      |  | 311               |  |  | -                |  | - |                  |  | 4   |                  |  |  | 311                |  |                      |  | -                |  |  |                  | -           |  |  | - |  | - |  |  | -   |  |  | -          
|More than 251 days |                           |            | 52  |                        |            |                       | 3,093,213          |            |                           | - |                  | -                      |  |                       | 52  |  |                           |  | 3,093,213   |                        |  |                       | 37                |  |                      |  | 4,459,462         |  |  | -                |  | - |                  |  | 37  |                  |  |  | 4,459,462          |  |                      |  | 5                |  |  |                  | 76,250      |  |  | - |  | - |  |  | 5   |  |  | 76,250     
|                   |                           |            |     |                        |            |                       |                    |            |                           |   |                  |                        |  |                       |     |  |                           |  |             |                        |  |                       |                   |  |                      |  |                   |  |  |                  |  |   |                  |  |     |                  |  |  |                    |  |                      |  |                  |  |  |                  |             |  |  |   |  |   |  |  |     |  |  |            
|Total              |                           |            | 476 |                        |            |                       | 229,143,110        |            |                           | - |                  | -                      |  |                       | 476 |  |                           |  | 229,143,110 |                        |  |                       | 468               |  |                      |  | 139,929,739       |  |  | -                |  | - |                  |  | 468 |                  |  |  | 139,929,739        |  |                      |  | 137              |  |  |                  | 250,759,639 |  |  | - |  | - |  |  | 137 |  |  | 250,759,639



b) Portfolio in default and in legal collection
process.



|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|---------------------------------------------------- | ----------------- | ---------- | ------------- | ---------- | ----------------- | ---------- | ------------- |  | ------- | ----------------- |  | ------------- |  | -
|Portfolio in Default and in Legal Collection Process |                   | Balance at |               | Balance at |                   |            | Balance at   
|                                                     | 12-31-2013        |            | 12-31-2012    |            |                   | 01-01-2012
|                                                     | Number of
clients |            | Amount

ThCh$ |            | Number of
clients |            | Amount

ThCh$ |  |         | Number of
clients |  | Amount
 ThCh$
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|Notes receivable in legal collection process (*)     |                   | 5          |               | 223,563    |                   | 6          |               |  | 298,950 |                   |  | -             |  | -
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|                                                     |                   |            |               |            |                   |            |               |  |         |                   |  |               |  |  
|Total                                                |                   | 5          |               | 223,563    |                   | 6          |               |  | 298,950 |                   |  | -             |  | -

(*) Legal collections are included in the portfolio in arrears.



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c) Provisions and write-offs



|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|---------------------------------------- | --------------- | ---------- | --------- | --------------- |  |  | --------------- |  |  |  | --------- | 
|Provisions and Write-offs                |                 | Balance at |          
|                                         | 12-31-2013ThCh$ |            |           | 12-31-2012ThCh$ |  |  | 12-31-2011ThCh$ | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|Provision for non-renegotiated portfolio |                 |            | (140,365) |                 |  |  | (1,460,736)     |  |  |  | 4,024,394 | 
|Write-offs during the period             |                 |            | (411,830) |                 |  |  | (271,908)       |  |  |  | (74,259)  | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|                                         |                 |            |           |                 |  |  |                 |  |  |  |           | 
|Total                                    |                 |            | (552,195) |                 |  |  | (1,732,644)     |  |  |  | 3,950,135 | 

d) Number and amount of operations



|                                    |                                                      |            |           |                                                             |  |  |                                                      |  |  |                                                             |           |  |                                                      |  |             |                                                             |  |  |           |  |  |  |           | 
|----------------------------------- | ---------------------------------------------------- | ---------- | --------- | ----------------------------------------------------------- |  |  | ---------------------------------------------------- |  |  | ----------------------------------------------------------- | --------- |  | ---------------------------------------------------- |  | ----------- | ----------------------------------------------------------- |  |  | --------- |  |  |  | --------- | 
|Number and Amount of Operations     |                                                      | Balance at |          
|                                    | 12-31-2013                                           |            |           | 12-31-2012                                                  |  |  | 12-31-2011                                           | 
|                                    | Total detail by   type
of   operation Last   Quarter |            |           | Total detail by   type of operation   Annual   Accumulation |  |  | Total detail by   type of   operation Last   Quarter |  |  | Total detail by   type of operation   Annual   Accumulation |           |  | Total detail   by type of   operation   Last Quarter |  |             | Total detail by   type of operation   Annual   Accumulation | 
|                                    | ThCh$                                                |            |           | ThCh$                                                       |  |  | ThCh$                                                |  |  | ThCh$                                                       |           |  | ThCh$                                                |  |             | ThCh$                                                       | 
|                                    |                                                      |            |           |                                                             |  |  |                                                      |  |  |                                                             |           |  |                                                      |  |             |                                                             |  |  |           |  |  |  |           | 
|                                    |                                                      |            |           |                                                             |  |  |                                                      |  |  |                                                             |           |  |                                                      |  |             |                                                             |  |  |           |  |  |  |           | 
|                                    |                                                      |            |           |                                                             |  |  |                                                      |  |  |                                                             |           |  |                                                      |  |             |                                                             |  |  |           |  |  |  |           | 
|Impairment provision and recoveries |                                                      |            |           |                                                             |  |  |                                                      |  |  |                                                             |           |  |                                                      |  |             |                                                             |  |  |           |  |  |  |           | 
|Number of operations                |                                                      |            | 24        |                                                             |  |  | 124                                                  |  |  |                                                             | 10        |  |                                                      |  | 26          |                                                             |  |  | 12        |  |  |  | 12        | 
|Amount of operations, in ThCh$      |                                                      |            | (159,544) |                                                             |  |  | (140,365)                                            |  |  |                                                             | (815,265) |  |                                                      |  | (1,460,736) |                                                             |  |  | 4,236,635 |  |  |  | 4,024,394 | 



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##### Table of Contents

APPENDIX 6.1 COMPLEMENTARY INFORMATION ON TRADE RECEIVABLES:

This appendix forms an integral part of the Endesa Chile financial statements.

a) Portfolio stratification



| | - | Trade receivables by time in arrears:
| | - | -------------------------------------



|                                        |                 |            |             |                          |  |  |                           |  |  |                           |         |  |                            |  |        |                              |  |  |                             |  |  |                             |            |  |                             |  |       |                                    |  |  |                     |  |  |                           |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|--------------------------------------- | --------------- | ---------- | ----------- | ------------------------ |  |  | ------------------------- |  |  | ------------------------- | ------- |  | -------------------------- |  | ------ | ---------------------------- |  |  | --------------------------- |  |  | --------------------------- | ---------- |  | --------------------------- |  | ----- | ---------------------------------- |  |  | ------------------- |  |  | ------------------------- | --- |  |  |  | ----------- |  |  |  | ----------- |  |  |  | ----------- | 
|Trade Receivables                       |                 | Balance at |            
|                                        | 12-31-2013      |           
|                                        | Up to dateThCh$ |            |             | 1-30 days inarrearsThCh$ |  |  | 31-60 daysin arrearsThCh$ |  |  | 61-90 days inarrearsThCh$ |         |  | 91-120 daysin arrearsThCh$ |  |        | 121-150 days inarrears
ThCh$ |  |  | 151-180 days inarrearsThCh$ |  |  | 181-210 days inarrearsThCh$ |            |  | 211-250 days inarrearsThCh$ |  |       | More than 251
daysin arrears ThCh$ |  |  | Total Current
ThCh$ |  |  | Total Non-  current
ThCh$ |    
|                                        |                 |            |             |                          |  |  |                           |  |  |                           |         |  |                            |  |        |                              |  |  |                             |  |  |                             |            |  |                             |  |       |                                    |  |  |                     |  |  |                           |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|                                        |                 |            |             |                          |  |  |                           |  |  |                           |         |  |                            |  |        |                              |  |  |                             |  |  |                             |            |  |                             |  |       |                                    |  |  |                     |  |  |                           |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|Generation and transmission receivables |                 |            | 203,773,215 |                          |  |  | 751,245                   |  |  |                           | 157,913 |  |                            |  | 69,022 |                              |  |  | 70,393                      |  |  |                             | 21,226,096 |  |                             |  | 1,050 |                                    |  |  | 118                 |  |  |                           | 845 |  |  |  | 3,093,213   |  |  |  | 229,143,110 |  |  |  | 125,349,056 | 
|-Large clients                          |                 |            | 178,104,188 |                          |  |  | 751,245                   |  |  |                           | 157,913 |  |                            |  | 69,022 |                              |  |  | 70,393                      |  |  |                             | 21,226,096 |  |                             |  | 1,050 |                                    |  |  | 118                 |  |  |                           | 845 |  |  |  | 3,093,213   |  |  |  | 203,474,083 |  |  |  | -           | 
|-Institutional clients                  |                 |            | 22,542,434  |                          |  |  | -                         |  |  |                           | -       |  |                            |  | -      |                              |  |  | -                           |  |  |                             | -          |  |                             |  | -     |                                    |  |  | -                   |  |  |                           | -   |  |  |  | -           |  |  |  | 22,542,434  |  |  |  | 125,349,056 | 
|-Others                                 |                 |            | 3,126,593   |                          |  |  | -                         |  |  |                           | -       |  |                            |  | -      |                              |  |  | -                           |  |  |                             | -          |  |                             |  | -     |                                    |  |  | -                   |  |  |                           | -   |  |  |  | -           |  |  |  | 3,126,593   |  |  |  | -           | 
|Impairment provision                    |                 |            | (215,507)   |                          |  |  | -                         |  |  |                           | -       |  |                            |  | -      |                              |  |  | -                           |  |  |                             | (55,494)   |  |                             |  | -     |                                    |  |  | -                   |  |  |                           | -   |  |  |  | (2,423,973) |  |  |  | (2,694,974) |  |  |  | -           | 
|                                        |                 |            |             |                          |  |  |                           |  |  |                           |         |  |                            |  |        |                              |  |  |                             |  |  |                             |            |  |                             |  |       |                                    |  |  |                     |  |  |                           |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|Non-invoiced services                   |                 |            | 146,445,453 |                          |  |  | -                         |  |  |                           | -       |  |                            |  | -      |                              |  |  | -                           |  |  |                             | -          |  |                             |  | -     |                                    |  |  | -                   |  |  |                           | -   |  |  |  | -           |  |  |  | 146,445,453 |  |  |  | 1,510,879   | 
|Invoiced services                       |                 |            | 57,327,762  |                          |  |  | 751,245                   |  |  |                           | 157,913 |  |                            |  | 69,022 |                              |  |  | 70,393                      |  |  |                             | 21,226,096 |  |                             |  | 1,050 |                                    |  |  | 118                 |  |  |                           | 845 |  |  |  | 3,093,213   |  |  |  | 82,697,657  |  |  |  | 123,838,177 | 
|                                        |                 |            |             |                          |  |  |                           |  |  |                           |         |  |                            |  |        |                              |  |  |                             |  |  |                             |            |  |                             |  |       |                                    |  |  |                     |  |  |                           |     |  |  |  |             |  |  |  |             |  |  |  |             | 
|Total Trade Receivables, Gross          |                 |            | 203,773,215 |                          |  |  | 751,245                   |  |  |                           | 157,913 |  |                            |  | 69,022 |                              |  |  | 70,393                      |  |  |                             | 21,226,096 |  |                             |  | 1,050 |                                    |  |  | 118                 |  |  |                           | 845 |  |  |  | 3,093,213   |  |  |  | 229,143,110 |  |  |  | 125,349,056 | 
|Total Impairment Provision              |                 |            | (215,507)   |                          |  |  | -                         |  |  |                           | -       |  |                            |  | -      |                              |  |  | -                           |  |  |                             | (55,494)   |  |                             |  | -     |                                    |  |  | -                   |  |  |                           | -   |  |  |  | (2,423,973) |  |  |  | (2,694,974) |  |  |  | -           | 
|Total Trade Receivables, Net            |                 |            | 203,557,708 |                          |  |  | 751,245                   |  |  |                           | 157,913 |  |                            |  | 69,022 |                              |  |  | 70,393                      |  |  |                             | 21,170,602 |  |                             |  | 1,050 |                                    |  |  | 118                 |  |  |                           | 845 |  |  |  | 669,240     |  |  |  | 226,448,136 |  |  |  | 125,349,056 | 



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##### Table of Contents

|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|--------------------------------------- | ----------------- | ---------- | ----------- | -------------------------- |  |  | --------------------------- |  |  | ---------------------------- | ------ |  | ---------------------------- |  | ----------- | ------------------------------ |  |  | ------------------------------ |  |  | ------------------------------ | ------- |  | ------------------------------ |  | ----- | ------------------------------------ |  |  | ------------------------- |  |  | ---------------------- | --- |  |  |  | ----------- |  |  |  | ----------- |  |  | -----------
|Trade Receivables                       |                   | Balance at |             |                            |  |  |                             | 
|                                        | 12-31-2012        |            |             |                            |  |  |                            
|                                        | Up to date  ThCh$ |            |             | 1-30 days in  arrearsThCh$ |  |  | 31-60 days  in arrearsThCh$ |  |  | 61-90 days in  arrears
ThCh$ |        |  | 91-120 days  in arrearsThCh$ |  |             | 121-150    days inarrearsThCh$ |  |  | 151-180    days inarrearsThCh$ |  |  | 181-210    days inarrearsThCh$ |         |  | 211-250    days inarrearsThCh$ |  |       | More than  251 days in  arrearsThCh$ |  |  | Total    Current    ThCh$ |  |  | Total Non-currentThCh$
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        | 
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Generation and transmission receivables |                   |            | 134,030,314 |                            |  |  | 742,503                     |  |  |                              | 47,700 |  |                              |  | 61,797      |                                |  |  | 308,432                        |  |  |                                | 274,643 |  |                                |  | 4,577 |                                      |  |  | -                         |  |  |                        | 311 |  |  |  | 4,459,462   |  |  |  | 139,929,739 |  |  | 140,323,852
|-Large clients                          |                   |            | 108,571,367 |                            |  |  | 129,281                     |  |  |                              | 635    |  |                              |  | 6,290       |                                |  |  | 82,886                         |  |  |                                | 272,789 |  |                                |  | 2     |                                      |  |  | -                         |  |  |                        | 311 |  |  |  | 4,457,801   |  |  |  | 113,521,362 |  |  |            
|-Institutional clients                  |                   |            | 18,748,525  |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | 18,748,525  |  |  | 140,323,852
|-Others                                 |                   |            | 6,710,422   |                            |  |  | 613,222                     |  |  |                              | 47,065 |  |                              |  | 55,507      |                                |  |  | 225,546                        |  |  |                                | 1,854   |  |                                |  | 4,575 |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 1,661       |  |  |  | 7,659,852   |  |  | -          
|Impairment provision                    |                   |            | (260,311)   |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | (3,065,033) |  |  |  | (3,325,344) |  |  | -          
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Non-invoiced services                   |                   |            | 65,705,343  |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | 65,705,343  |  |  | -          
|Invoiced services                       |                   |            | 68,324,972  |                            |  |  | 742,502                     |  |  |                              | 47,700 |  |                              |  | 61,797      |                                |  |  | 308,432                        |  |  |                                | 274,643 |  |                                |  | 4,577 |                                      |  |  | -                         |  |  |                        | 311 |  |  |  | 4,459,461   |  |  |  | 74,224,395  |  |  | 140,323,852
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        | 
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Total Trade Receivables, Gross          |                   |            | 134,030,314 |                            |  |  | 742,503                     |  |  |                              | 47,700 |  |                              |  | 61,797      |                                |  |  | 308,432                        |  |  |                                | 274,643 |  |                                |  | 4,577 |                                      |  |  | -                         |  |  |                        | 311 |  |  |  | 4,459,462   |  |  |  | 139,929,739 |  |  | 140,323,852
|Total Impairment Provision              |                   |            | (260,311)   |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | (3,065,033) |  |  |  | (3,325,344) |  |  | -          
|Total Trade Receivables, Net            |                   |            | 133,770,003 |                            |  |  | 742,503                     |  |  |                              | 47,700 |  |                              |  | 61,797      |                                |  |  | 308,432                        |  |  |                                | 274,643 |  |                                |  | 4,577 |                                      |  |  | -                         |  |  |                        | 311 |  |  |  | 1,394,429   |  |  |  | 136,604,395 |  |  | 140,323,852
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        | 
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Trade Receivables                       |                   | Balance at |             |                            |  |  |                             | 
|                                        | 01-01-2012        |            |             |                            |  |  |                            
|                                        | Up to date  ThCh$ |            |             | 1-30 days in  arrearsThCh$ |  |  | 31-60 days  in arrearsThCh$ |  |  | 61-90 days in  arrears
ThCh$ |        |  | 91-120 days  in arrearsThCh$ |  |             | 121-150    days inarrearsThCh$ |  |  | 151-180    days inarrearsThCh$ |  |  | 181-210    days inarrearsThCh$ |         |  | 211-250    days inarrearsThCh$ |  |       | More than  251 days in  arrearsThCh$ |  |  | Total    Current    ThCh$ |  |  | Total Non-currentThCh$
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        | 
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Generation and transmission receivables |                   |            | 241,535,134 |                            |  |  | 1,794,517                   |  |  |                              | 84,972 |  |                              |  | 6,637,238   |                                |  |  | 493,005                        |  |  |                                | 138,523 |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 76,250      |  |  |  | 250,759,639 |  |  | 148,367,033
|-Large clients                          |                   |            | 185,245,453 |                            |  |  | 1,794,517                   |  |  |                              | 84,972 |  |                              |  | 6,637,238   |                                |  |  | 493,005                        |  |  |                                | 138,523 |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 76,250      |  |  |  | 194,469,958 |  |  |            
|-Institutional clients                  |                   |            | 56,289,681  |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | 56,289,681  |  |  | 148,367,033
|Impairment provision                    |                   |            | (983,105)   |                            |  |  | -                           |  |  |                              | -      |  |                              |  | (4,110,640) |                                |  |  | (55,494)                       |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | (5,149,239) |  |  | -          
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Non-invoiced services                   |                   |            | 154,040,301 |                            |  |  | -                           |  |  |                              | -      |  |                              |  | -           |                                |  |  | -                              |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | 154,040,301 |  |  | -          
|Invoiced services                       |                   |            | 87,494,833  |                            |  |  | 1,794,517                   |  |  |                              | 84,972 |  |                              |  | 6,637,238   |                                |  |  | 493,005                        |  |  |                                | 138,523 |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 76,250      |  |  |  | 96,719,338  |  |  | 148,367,033
|                                        |                   |            |             |                            |  |  |                             |  |  |                              |        |  |                              |  |             |                                |  |  |                                |  |  |                                |         |  |                                |  |       |                                      |  |  |                           |  |  |                        |     |  |  |  |             |  |  |  |             |  |  |            
|Total Trade Receivables, Gross          |                   |            | 241,535,134 |                            |  |  | 1,794,517                   |  |  |                              | 84,972 |  |                              |  | 6,637,238   |                                |  |  | 493,005                        |  |  |                                | 138,523 |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 76,250      |  |  |  | 250,759,639 |  |  | 148,367,033
|Total Impairment Provision              |                   |            | (983,105)   |                            |  |  | -                           |  |  |                              | -      |  |                              |  | (4,110,640) |                                |  |  | (55,494)                       |  |  |                                | -       |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | -           |  |  |  | (5,149,239) |  |  | -          
|Total Trade Receivables, Net            |                   |            | 240,552,029 |                            |  |  | 1,794,517                   |  |  |                              | 84,972 |  |                              |  | 2,526,598   |                                |  |  | 437,511                        |  |  |                                | 138,523 |  |                                |  | -     |                                      |  |  | -                         |  |  |                        | -   |  |  |  | 76,250      |  |  |  | 245,610,400 |  |  | 148,367,033



F-139



---

##### Table of Contents

| | - | By type of portfolio:
| | - | ---------------------



|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|--------------------------- | ----------------- | ---------- | ----------- | -------------------------- |  |  | ---------------------------- |  |  | ---------------------------- | ------- |  | ---------------------------- |  | --------- | ----------------------------- |  |  | ----------------------------- |  |  | ----------------------------- | ---------- |  | ----------------------------- |  | ----- | ----------------------------------------- |  |  | ------------------------------ |  |  |  | --- |  |  |  | --------- |  |  | -----------
|Trade Receivables           |                   | Balance at |             |                            |  |  |                              | 
|                            | 12-31-2013        |            |             |                            |  |  |                             
|                            | Up to date  ThCh$ |            |             | 1-30 days in  arrearsThCh$ |  |  | 31-60 days  in arrears
ThCh$ |  |  | 61-90 days in  arrears
ThCh$ |         |  | 91-120 days  in arrearsThCh$ |  |           | 121-150 days  in arrearsThCh$ |  |  | 151-180 days  in arrearsThCh$ |  |  | 181-210 days  in arrearsThCh$ |            |  | 211-250 days  in arrearsThCh$ |  |       | More than    251 days in    arrears
ThCh$ |  |  | Total gross  portfolio
ThCh$  
|GENERATION AND
TRANSMISSION |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Non-renegotiated portfolio  |                   |            | 203,773,215 |                            |  |  | 751,245                      |  |  |                              | 157,913 |  |                              |  | 69,022    |                               |  |  | 70,393                        |  |  |                               | 21,226,096 |  |                               |  | 1,050 |                                           |  |  | 118                            |  |  |  | 845 |  |  |  | 3,093,213 |  |  | 229,143,110
|-Large clients              |                   |            | 178,104,188 |                            |  |  | 751,245                      |  |  |                              | 157,913 |  |                              |  | 69,022    |                               |  |  | 70,393                        |  |  |                               | 21,226,096 |  |                               |  | 1,050 |                                           |  |  | 118                            |  |  |  | 845 |  |  |  | 3,093,213 |  |  | 203,474,083
|-Institutional clients      |                   |            | 22,542,434  |                            |  |  | -                            |  |  |                              | -       |  |                              |  | -         |                               |  |  | -                             |  |  |                               | -          |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | -         |  |  | 22,542,434 
|-Others                     |                   |            | 3,126,593   |                            |  |  | -                            |  |  |                              | -       |  |                              |  | -         |                               |  |  | -                             |  |  |                               | -          |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | -         |  |  | 3,126,593  
|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Total gross portfolio       |                   |            | 203,773,215 |                            |  |  | 751,245                      |  |  |                              | 157,913 |  |                              |  | 69,022    |                               |  |  | 70,393                        |  |  |                               | 21,226,096 |  |                               |  | 1,050 |                                           |  |  | 118                            |  |  |  | 845 |  |  |  | 3,093,213 |  |  | 229,143,110
|                            |                   |            |             |                            |  |  |                              |  |  |                              |        
|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Trade Receivables           |                   | Balance at |             |                            |  |  |                              | 
|                            | 12-31-2012        |            |             |                            |  |  |                             
|                            | Up to date  ThCh$ |            |             | 1-30 days in  arrearsThCh$ |  |  | 31-60 days  in arrears
ThCh$ |  |  | 61-90 days in  arrears
ThCh$ |         |  | 91-120 days  in arrearsThCh$ |  |           | 121-150 days  in arrearsThCh$ |  |  | 151-180 days  in arrearsThCh$ |  |  | 181-210 days  in arrearsThCh$ |            |  | 211-250 days  in arrearsThCh$ |  |       | More than    251 days in    arrears
ThCh$ |  |  | Total gross  portfolio 
 ThCh$
|GENERATION AND
TRANSMISSION |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Non-renegotiated portfolio  |                   |            | 134,030,314 |                            |  |  | 742,503                      |  |  |                              | 47,700  |  |                              |  | 61,797    |                               |  |  | 308,432                       |  |  |                               | 274,643    |  |                               |  | 4,577 |                                           |  |  | -                              |  |  |  | 311 |  |  |  | 4,459,462 |  |  | 139,929,739
|-Large clients              |                   |            | 108,571,367 |                            |  |  | 129,281                      |  |  |                              | 635     |  |                              |  | 6,290     |                               |  |  | 82,886                        |  |  |                               | 272,789    |  |                               |  | 2     |                                           |  |  | -                              |  |  |  | 311 |  |  |  | 4,457,801 |  |  | 113,521,362
|-Institutional clients      |                   |            | 18,748,525  |                            |  |  | -                            |  |  |                              | -       |  |                              |  | -         |                               |  |  | -                             |  |  |                               | -          |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | -         |  |  | 18,748,525 
|-Others                     |                   |            | 6,710,422   |                            |  |  | 613,222                      |  |  |                              | 47,065  |  |                              |  | 55,507    |                               |  |  | 225,546                       |  |  |                               | 1,854      |  |                               |  | 4,575 |                                           |  |  | -                              |  |  |  | -   |  |  |  | 1,661     |  |  | 7,659,852  
|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Total gross portfolio       |                   |            | 134,030,314 |                            |  |  | 742,503                      |  |  |                              | 47,700  |  |                              |  | 61,797    |                               |  |  | 308,432                       |  |  |                               | 274,643    |  |                               |  | 4,577 |                                           |  |  | -                              |  |  |  | 311 |  |  |  | 4,459,462 |  |  | 139,929,739
|                            |                   |            |             |                            |  |  |                              |  |  |                              |        
|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Trade Receivables           |                   | Balance at |             |                            |  |  |                              | 
|                            | 01-01-2012        |            |             |                            |  |  |                             
|                            | Up to date  ThCh$ |            |             | 1-30 days in  arrearsThCh$ |  |  | 31-60 days  in arrears
ThCh$ |  |  | 61-90 days in  arrears
ThCh$ |         |  | 91-120 days  in arrearsThCh$ |  |           | 121-150 days  in arrearsThCh$ |  |  | 151-180 days  in arrearsThCh$ |  |  | 181-210 days  in arrearsThCh$ |            |  | 211-250 days  in arrearsThCh$ |  |       | More than    251 days in    arrears
ThCh$ |  |  | Total gross  portfolio 
 ThCh$
|GENERATION AND
TRANSMISSION |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Non-renegotiated portfolio  |                   |            | 241,535,134 |                            |  |  | 1,794,517                    |  |  |                              | 84,972  |  |                              |  | 6,637,238 |                               |  |  | 493,005                       |  |  |                               | 138,523    |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | 76,250    |  |  | 250,759,639
|-Large clients              |                   |            | 192,140,087 |                            |  |  | 1,794,517                    |  |  |                              | 84,972  |  |                              |  | 6,637,238 |                               |  |  | 493,005                       |  |  |                               | 138,523    |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | 76,250    |  |  | 201,364,592
|-Institutional clients      |                   |            | 49,395,047  |                            |  |  | -                            |  |  |                              | -       |  |                              |  | -         |                               |  |  | -                             |  |  |                               | -          |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | -         |  |  | 49,395,047 
|                            |                   |            |             |                            |  |  |                              |  |  |                              |         |  |                              |  |           |                               |  |  |                               |  |  |                               |            |  |                               |  |       |                                           |  |  |                                |  |  |  |     |  |  |  |           |  |  |            
|Total gross portfolio       |                   |            | 241,535,134 |                            |  |  | 1,794,517                    |  |  |                              | 84,972  |  |                              |  | 6,637,238 |                               |  |  | 493,005                       |  |  |                               | 138,523    |  |                               |  | -     |                                           |  |  | -                              |  |  |  | -   |  |  |  | 76,250    |  |  | 250,759,639



F-140



---

##### Table of Contents

APPENDIX 7 FINANCIAL STATEMENTS, RESTATED

This appendix forms an integral part of the Endesa Chile financial statements.

a) Consolidated statements of financial position



Assets

12/31/2012(Restated)ThCh$


12/31/2012(Issued)ThCh$


Variation at 12/31/2012ThCh$




1/1/2012(Restated)ThCh$


1/1/2012(Issued)
ThCh$


Variation at 1/1/2012ThCh$CURRENT ASSETSCash and cash equivalents


235,677,733



276,794,675



(41,116,942)





389,768,271



421,282,284


(31,514,013)Other current financial assets


25,119,785



25,119,785



-





914,209



914,209


-Other current non-financial assets


17,342,247



20,066,719



(2,724,472)





14,307,830



17,191,861


(2,884,031)Trade and other current receivables


217,682,591



230,397,862



(12,715,271)





278,790,141



296,146,589


(17,356,448)Accounts receivable from related companies


75,488,611



61,579,669



13,908,942





103,848,707



83,101,044


20,747,663Inventories


59,362,620



65,658,433



(6,295,813)





49,276,026



55,904,264


(6,628,238)Current tax assets


150,680,329



155,368,748



(4,688,419)





82,053,456



85,515,069


(3,461,613)TOTAL CURRENT ASSETS


781,353,916



834,985,891



(53,631,975)





918,958,640



960,055,320


(41,096,680)NON-CURRENT ASSETSOther non-current financial assets


33,304,990



33,402,902



(97,912)





13,492,454



13,598,670


(106,216)Other non-current non-financial assets


1,931,475



1,965,247



(33,772)





1,175,332



1,463,429


(288,097)Non-current receivables


146,964,151



146,964,151



-





151,608,768



151,608,768


-Investments accounted for using the equity method


755,133,157



586,319,682



168,813,475





732,426,214



582,198,848


150,227,366Intangible assets other than goodwill


55,752,625



55,918,748



(166,123)





45,528,291



45,679,853


(151,562)Goodwill


101,747,086



101,760,013



(12,927)





106,385,017



106,399,041


(14,024)Property, plant, and equipment


4,515,242,392



4,659,460,624



(144,218,232)





4,451,020,122



4,603,902,502


(152,882,380)Deferred tax assets


61,801,271



67,912,666



(6,111,395)





86,152,590



97,106,685


(10,954,095)TOTAL NON-CURRENT ASSETS


5,671,877,147



5,653,704,033



18,173,114





5,587,788,788



5,601,957,796


(14,169,008)TOTAL
ASSETS


6,453,231,063



6,488,689,924



(35,458,861)





6,506,747,428



6,562,013,116


(55,265,688)




F-141



---

##### Table of Contents

|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|--------------------------------------------------- |  | ------------------------- | ------------- |  | ------------------------ |  | ------------- | ---------------------------- | ------------- |  | ------------ |  | ----------------------- |  |  | ----------------------- | ------------- |  | -------------------------- |  | ------------- |  | ------------- | ------------ |  | ---------
|LIABILITIES AND EQUITY                              |  | 12/31/2012(Restated)ThCh$ |               |  | 12/31/2012(Issued)
ThCh$ |  |               | Variation at 12/31/2012ThCh$ |               |  |              |  | 1/1/2012(Restated)ThCh$ |  |  | 1/1/2012 (Issued)
ThCh$ |               |  | Variation at 1/1/2012ThCh$
|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|CURRENT LIABILITIES                                 |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |             
|Other current financial liabilities                 |  |                           | 406,455,036   |  |                          |  | 413,106,828   |                              |               |  | (6,651,792)  |  |                         |  |  |                         | 294,300,017   |  |                            |  | 305,557,690   |  |               | (11,257,673)
|Trade and other current payables                    |  |                           | 320,459,388   |  |                          |  | 330,839,969   |                              |               |  | (10,380,581) |  |                         |  |  |                         | 341,751,089   |  |                            |  | 357,781,381   |  |               | (16,030,292)
|Accounts payable to related companies               |  |                           | 215,916,921   |  |                          |  | 213,600,122   |                              |               |  | 2,316,799    |  |                         |  |  |                         | 137,455,787   |  |                            |  | 135,386,489   |  |               | 2,069,298   
|Other current provisions                            |  |                           | 38,424,832    |  |                          |  | 39,824,825    |                              |               |  | (1,399,993)  |  |                         |  |  |                         | 36,347,930    |  |                            |  | 36,861,198    |  |               | (513,268)   
|Current tax liabilities                             |  |                           | 78,374,028    |  |                          |  | 79,764,107    |                              |               |  | (1,390,079)  |  |                         |  |  |                         | 90,465,240    |  |                            |  | 92,175,628    |  |               | (1,710,388) 
|Other current non-financial liabilities             |  |                           | 6,387,423     |  |                          |  | 8,362,377     |                              |               |  | (1,974,954)  |  |                         |  |  |                         | 5,700,771     |  |                            |  | 9,466,893     |  |               | (3,766,122) 
|                                                   
|TOTAL CURRENT LIABILITIES                           |  |                           | 1,066,017,628 |  |                          |  | 1,085,498,228 |                              |               |  | (19,480,600) |  |                         |  |  |                         | 906,020,834   |  |                            |  | 937,229,279   |  |               | (31,208,445)
|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|NON-CURRENT LIABILITIES                             |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |             
|Other non-current financial liabilities             |  |                           | 1,525,651,818 |  |                          |  | 1,525,651,818 |                              |               |  | -            |  |                         |  |  |                         | 1,728,093,903 |  |                            |  | 1,728,093,903 |  |               | -           
|Other long-term provisions                          |  |                           | 19,593,979    |  |                          |  | 19,593,979    |                              |               |  | -            |  |                         |  |  |                         | 12,301,639    |  |                            |  | 12,301,639    |  |               | -           
|Deferred tax liabilities                            |  |                           | 320,277,100   |  |                          |  | 331,894,233   |                              |               |  | (11,617,133) |  |                         |  |  |                         | 321,510,926   |  |                            |  | 338,888,981   |  |               | (17,378,055)
|Non-current provisions for employee benefits        |  |                           | 39,672,411    |  |                          |  | 39,799,128    |                              |               |  | (126,717)    |  |                         |  |  |                         | 36,041,426    |  |                            |  | 36,569,407    |  |               | (527,981)   
|Other non-current non-financial liabilities         |  |                           | 47,524,798    |  |                          |  | 51,609,093    |                              |               |  | (4,084,295)  |  |                         |  |  |                         | 61,780,693    |  |                            |  | 67,790,334    |  |               | (6,009,641) 
|                                                   
|NON-CURRENT LIABILITIES                             |  |                           | 1,952,720,106 |  |                          |  | 1,968,548,251 |                              |               |  | (15,828,145) |  |                         |  |  |                         | 2,159,728,587 |  |                            |  | 2,183,644,264 |  |               | (23,915,677)
|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|TOTAL LIABILITIES                                   |  |                           | 3,018,737,734 |  |                          |  | 3,054,046,479 |                              |               |  | (35,308,745) |  |                         |  |  |                         | 3,065,749,421 |  |                            |  | 3,120,873,543 |  |               | (55,124,122)
|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|EQUITY                                              |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|Issued capital                                      |  |                           | 1,331,714,085 |  |                          |  | 1,331,714,085 |                              |               |  | -            |  |                         |  |  |                         | 1,331,714,085 |  |                            |  | 1,331,714,085 |  |               | -           
|Retained earnings                                   |  |                           | 1,709,375,632 |  |                          |  | 1,709,375,632 |                              |               |  | -            |  |                         |  |  |                         | 1,636,787,540 |  |                            |  | 1,636,787,540 |  |               | -           
|Share premium                                       |  |                           | 206,008,557   |  |                          |  | 206,008,557   |                              |               |  | -            |  |                         |  |  |                         | 206,008,557   |  |                            |  | 206,008,557   |  |               | -           
|Other reserves                                      |  |                           | (705,855,875) |  |                          |  | (705,855,875) |                              |               |  | -            |  |                         |  |  |                         | (615,972,185) |  |                            |  | (615,972,185) |  |               | -           
|Equity attributable to shareholders of Endesa Chile |  |                           | 2,541,242,399 |  |                          |  | 2,541,242,399 |                              |               |  | -            |  |                         |  |  |                         | 2,558,537,997 |  |                            |  | 2,558,537,997 |  |               | -           
|                                                   
|Non-controlling interests                           |  |                           | 893,250,930   |  |                          |  | 893,401,046   |                              |               |  | (150,116)    |  |                         |  |  |                         | 882,460,010   |  |                            |  | 882,601,576   |  |               | (141,566)   
|                                                   
|                                                    |  | TOTAL EQUITY              |               |  | 3,434,493,329            |  |               |                              | 3,434,643,445 |  |              |  | (150,116)               |  |  |                         |               |  | 3,440,998,007              |  |               |  | 3,441,139,573 |              |  | (141,566)
|                                                    |  |                           |               |  |                          |  |               |                              |               |  |              |  |                         |  |  |                         |               |  |                            |  |               |  |               |              |  |          
|TOTAL LIABILITIES AND EQUITY                        |  |                           | 6,453,231,063 |  |                          |  | 6,488,689,924 |                              |               |  | (35,458,861) |  |                         |  |  |                         | 6,506,747,428 |  |                            |  | 6,562,013,116 |  |               | (55,265,688)



F-142



---

##### Table of Contents

|b) | Consolidated statement of comprehensive income
|-- | ----------------------------------------------



|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|--------------------------------------------------------------------------------------- |  | -------------------- | --------------- |  | ------------------- |  | --------------- | ------------------ |  |  | ------------ |  | -------------------- |  |  | ------------------- | --------------- |  | ------------------- |  | --------------- |  |  | -------------
|STATEMENT OF COMPREHENSIVE INCOME
Profit (Loss)                                         |  | 2012
(Restated)ThCh$ |                 |  | 2012
(Issued) ThCh$ |  |                 | 2012VariationThCh$ |  |  |              |  | 2011
(Restated)ThCh$ |  |  | 2011
(Issued) ThCh$ |                 |  | 2011 VariationThCh$
|Sales                                                                                   |  |                      | 2,255,145,360   |  |                     |  | 2,301,821,443   |                    |  |  | (46,676,083) |  |                      |  |  |                     | 2,267,839,378   |  |                     |  | 2,387,451,263   |  |  | (119,611,885)
|Other operating income                                                                  |  |                      | 65,239,964      |  |                     |  | 67,564,931      |                    |  |  | (2,324,967)  |  |                      |  |  |                     | 16,425,409      |  |                     |  | 17,038,942      |  |  | (613,533)    
|Revenues                                                                                |  |                      | 2,320,385,324   |  |                     |  | 2,369,386,374   |                    |  |  | (49,001,050) |  |                      |  |  |                     | 2,284,264,787   |  |                     |  | 2,404,490,205   |  |  | (120,225,418)
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Raw materials and consumables used                                                      |  |                      | (1,318,479,928) |  |                     |  | (1,328,702,775) |                    |  |  | 10,222,847   |  |                      |  |  |                     | (1,139,133,019) |  |                     |  | (1,217,260,077) |  |  | 78,127,058   
|Contribution Margin                                                                     |  |                      | 1,001,905,396   |  |                     |  | 1,040,683,599   |                    |  |  | (38,778,203) |  |                      |  |  |                     | 1,145,131,768   |  |                     |  | 1,187,230,128   |  |  | (42,098,360) 
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Other work performed by the entity and capitalized                                      |  |                      | 12,763,186      |  |                     |  | 12,763,186      |                    |  |  | -            |  |                      |  |  |                     | 10,597,856      |  |                     |  | 10,597,856      |  |  | -            
|Employee benefits expenses                                                              |  |                      | (102,456,232)   |  |                     |  | (106,975,269)   |                    |  |  | 4,519,037    |  |                      |  |  |                     | (75,915,220)    |  |                     |  | (80,389,456)    |  |  | 4,474,236    
|Depreciation and amortization expense                                                   |  |                      | (184,567,997)   |  |                     |  | (190,522,970)   |                    |  |  | 5,954,973    |  |                      |  |  |                     | (170,505,351)   |  |                     |  | (176,447,100)   |  |  | 5,941,749    
|Reversal of impairment loss (impairment loss) recognized in the periods profit
or loss |  |                      | (11,117,362)    |  |                     |  | (11,117,362)    |                    |  |  | -            |  |                      |  |  |                     | (9,472,766)     |  |                     |  | (9,472,766)     |  |  | -            
|Other expenses                                                                          |  |                      | (104,111,191)   |  |                     |  | (112,621,980)   |                    |  |  | 8,510,789    |  |                      |  |  |                     | (133,146,638)   |  |                     |  | (143,548,052)   |  |  | 10,401,414   
|Operating Income                                                                        |  |                      | 612,415,800     |  |                     |  | 632,209,204     |                    |  |  | (19,793,404) |  |                      |  |  |                     | 766,689,649     |  |                     |  | 787,970,610     |  |  | (21,280,961) 
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Other gains (losses)                                                                    |  |                      | 1,422,458       |  |                     |  | 1,392,470       |                    |  |  | 29,988       |  |                      |  |  |                     | 2,010,780       |  |                     |  | 2,010,780       |  |  | -            
|Financial income                                                                        |  |                      | 14,629,962      |  |                     |  | 14,922,301      |                    |  |  | (292,339)    |  |                      |  |  |                     | 28,264,192      |  |                     |  | 28,039,261      |  |  | 224,931      
|Financial costs                                                                         |  |                      | (148,468,667)   |  |                     |  | (149,224,963)   |                    |  |  | 756,296      |  |                      |  |  |                     | (135,257,667)   |  |                     |  | (137,535,382)   |  |  | 2,277,715    
|Share of profit (loss) of associates accounted for using the equity method              |  |                      | 135,012,994     |  |                     |  | 116,944,901     |                    |  |  | 18,068,093   |  |                      |  |  |                     | 138,855,650     |  |                     |  | 123,033,273     |  |  | 15,822,377   
|Foreign currency exchange differences                                                   |  |                      | (12,090,438)    |  |                     |  | (10,739,861)    |                    |  |  | (1,350,577)  |  |                      |  |  |                     | (6,649,911)     |  |                     |  | (6,466,655)     |  |  | (183,256)    
|Profit (loss) from indexed assets and liabilities                                       |  |                      | (1,066,291)     |  |                     |  | (991,050)       |                    |  |  | (75,241)     |  |                      |  |  |                     | (5,447,396)     |  |                     |  | (5,332,672)     |  |  | (114,724)    
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Net income before tax                                                                   |  |                      | 601,855,818     |  |                     |  | 604,513,002     |                    |  |  | (2,657,184)  |  |                      |  |  |                     | 788,465,297     |  |                     |  | 791,719,215     |  |  | (3,253,918)  
|Income tax                                                                              |  |                      | (182,832,956)   |  |                     |  | (185,470,223)   |                    |  |  | 2,637,267    |  |                      |  |  |                     | (207,329,896)   |  |                     |  | (210,564,505)   |  |  | 3,234,609    
|Net income from continuing operations                                                   |  |                      | 419,022,862     |  |                     |  | 419,042,779     |                    |  |  | (19,917)     |  |                      |  |  |                     | 581,135,401     |  |                     |  | 581,154,710     |  |  | (19,309)     
|Net income from discontinued operations                                                 |  |                      | -               |  |                     |  | -               |                    |  |  | -            |  |                      |  |  |                     | -               |  |                     |  | -               |  |  | -            
|NET INCOME                                                                              |  |                      | 419,022,862     |  |                     |  | 419,042,779     |                    |  |  | (19,917)     |  |                      |  |  |                     | 581,135,401     |  |                     |  | 581,154,710     |  |  | (19,309)     
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Net income attributable to                                                              |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Shareholders of Endesa Chile                                                            |  |                      | 234,335,264     |  |                     |  | 234,335,264     |                    |  |  | -            |  |                      |  |  |                     | 446,874,043     |  |                     |  | 446,874,043     |  |  | -            
|Non-controlling interests                                                               |  |                      | 184,687,599     |  |                     |  | 184,707,515     |                    |  |  | (19,916)     |  |                      |  |  |                     | 134,261,358     |  |                     |  | 134,280,667     |  |  | (19,309)     
|NET INCOME                                                                              |  |                      | 419,022,863     |  |                     |  | 419,042,779     |                    |  |  | (19,916)     |  |                      |  |  |                     | 581,135,401     |  |                     |  | 581,154,710     |  |  | (19,309)     
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Basic earnings per share                                                                |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Basic earnings per share from continuing operations                                     |  |                      | 28.57           |  |                     |  | 28.57           |                    |  |  | 28.57        |  |                      |  |  |                     | 54.49           |  |                     |  | 54.49           |  |  | 54.49        
|Basic earnings per share                                                                |  |                      | 28.57           |  |                     |  | 28.57           |                    |  |  | 28.57        |  |                      |  |  |                     | 54.49           |  |                     |  | 54.49           |  |  | 54.49        
|                                                                                        |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Diluted earnings per share                                                              |  |                      |                 |  |                     |  |                 |                    |  |  |              |  |                      |  |  |                     |                 |  |                     |  |                 |  |  |              
|Diluted earnings per share from continuing operations                                   |  |                      | 28.57           |  |                     |  | 28.57           |                    |  |  | 28.57        |  |                      |  |  |                     | 54.49           |  |                     |  | 54.49           |  |  | 54.49        
|Diluted earnings per share                                                              |  |                      | 28.57           |  |                     |  | 28.57           |                    |  |  | 28.57        |  |                      |  |  |                     | 54.49           |  |                     |  | 54.49           |  |  | 54.49        



F-143



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##### Table of Contents

c) Consolidated statement of cash flow



Statement of Direct Cash Flow

2012
(Restated) ThCh$


2012(Issued)
ThCh$


2012 Variation
ThCh$




2011
(Restated) ThCh$


2011(Issued)
ThCh$


2011 Variation
ThCh$Cash flow from (used in) operating activitiesTypes of collections from operating activitiesCollections from the sale of goods and
services


2,499,606,379



2,557,471,193



(57,864,814)





2,368,738,929



2,504,061,586



(135,322,657)Collections from premiums and services,
annual payments, and other benefits from policies held


5,903,050



5,903,050



-





16,628,221



16,628,221



-Other collections from operating
activities


54,355,078



56,299,609



(1,944,531)





2,378,295



7,361,320



(4,983,025)Types of paymentsPayments to suppliers for goods and
services


(1,523,776,643)



(1,553,989,987)



30,213,344





(1,321,067,912)



(1,434,235,803)



113,167,891Payments to and on behalf of
employees


(101,337,905)



(106,519,088)



5,181,183





(67,270,485)



(72,061,666)



4,791,181Payments on premiums and services, annual
payments, and other obligations from policies held


(6,428,460)



(7,660,814)



1,232,354





(5,064,371)



(5,126,423)



62,052Other payments for operating
activities


(39,729,787)



(40,479,993)



750,206





(25,946,895)



(27,518,236)



1,571,341Income taxes reimbursed (paid)


(213,016,120)



(213,483,352)



467,232





(231,950,211)



(232,151,601)



201,390Other inflows (outflows) of cash


(137,591,721)



(143,282,989)



5,691,268





(71,911,854)



(71,851,264)



(60,590)Net cash flows from (used in) operating activities


537,983,871



554,257,629



(16,273,758)





664,533,717



685,106,134



(20,572,417)Cash flows from (used in) investment activitiesCash flows used to obtain control of subsidiaries or other business


(7,140,000)



-



(7,140,000)





(4,058,192)







(4,058,192)Other payments to acquire equity or debt instruments from other entities


(25,017,177)



(25,017,177)



-





-







-Loans to related companies


(2,000)



(2,000)



-





(36,828,162)



(35,527,662)



(1,300,500)Proceeds from the sale of property, plant, and equipment


755,445



755,445



-





4,808,823



4,808,823



-Purchases of property, plant, and equipment


(257,474,634)



(261,759,378)



4,284,744





(259,673,138)



(266,667,712)



6,994,574Purchases of intangible assets


(8,535)



(112,193)



103,658





(3,935,477)



(3,940,411)



4,934Payments from future, forward, option, and swap contracts


(2,691,688)



(2,691,688)



-





(3,474,792)



(3,474,792)



-Collections from future, forward, option, and swap contracts


2,013,452



2,013,452



-





4,108,554



4,108,554



-Collections from related entities


2,600,730



-



2,600,730





-







-Dividends received


10,898,590



10,898,590



-





100,121,048



100,121,048



-Interest received


7,053,828



7,053,828



-





6,138,870



6,138,870



-Other inflows (outflows) of cash


10,693,352



10,693,352



-





41,114



41,114



-Net cash flows from (used in) investment activities


(258,318,637)



(258,167,769)



(150,868)





(192,751,352)



(194,392,168)



1,640,816Cash flows from (used in) financing activitiesTotal proceeds from loans


233,456,449



233,456,449



-





219,433,669



219,433,669



-Proceeds from long-term loans


229,377,002



229,377,002



-





219,433,669



219,433,669



-Proceeds from short-term loans


4,079,447



4,079,447



-





-



-



-Loans from related companies


210,996,548



210,996,548



-





53,289,193



44,160,543



9,128,650Payments on borrowings


(253,055,606)



(255,656,336)



2,600,730





(139,777,444)



(149,315,986)



9,538,542Payments on finance lease liabilities


(7,522,468)



(7,522,468)



-





(8,811,381)



(8,811,381)



-Payments on loans to related companies


(100,716,674)



(100,716,674)



-





(34,110,125)



(34,110,125)



-Dividends paid


(380,332,864)



(380,332,864)



-





(368,222,978)



(368,222,978)



-Interest paid


(124,326,459)



(125,167,043)



840,584





(107,274,772)



(109,669,012)



2,394,240Other inflows (outflows) of cash


(12,497,098)



(13,576,169)



1,079,071





(14,786,723)



(10,653,080)



(4,133,643)Net cash flows from (used in) financing activities


(433,998,172)



(438,518,557)



4,520,385





(400,260,561)



(417,188,350)



16,927,789Net increase (decrease) in cash and cash equivalents before effect of
exchange rate changes


(154,332,938)



(142,428,697)



(11,904,241)





71,521,804



73,525,616



(2,003,812)Effect of exchange rate changes on cash and cash equivalentsEffect of exchange rate changes on cash and cash equivalents


242,400



(2,058,912)



2,301,312





14,486,741



14,486,809



(68)Net increase (decrease) in cash and cash equivalents


(154,090,538)



(144,487,609)



(9,602,929)





86,008,545



88,012,425



(2,003,880)Cash and cash equivalents at beginning of period


389,768,271



421,282,284



(31,514,013)





303,759,726



333,269,859



(29,510,133)Cash and cash equivalents at end of period


235,677,733



276,794,675



(41,116,942)





389,768,271



421,282,284



(31,514,013)




F-144



---

##### Table of Contents

Pursuant to Rule 3-09 and Rule 1-02(w) of Regulation S-X, Endesa Chile is required to present separately the
financial statements of Endesa Brasil S.A. and subsidiaries as of December 31, 2013 and 2012, prepared in accordance with International Financial Reporting Standards.

Contents

Audited financial statements



|                                                      |  |    
|----------------------------------------------------- |  | ---
|Consolidated statements of financial position         |  | G-1
|Consolidated income statements                        |  | G-3
|Consolidated statements of other comprehensive income |  | G-4
|Consolidated statements of changes in equity          |  | G-5
|Consolidated statements of cash flows                 |  | G-6
|Notes to the consolidated financial statements        |  | G-7



---

##### Table of Contents

Endesa Brasil S.A.

Consolidated statements of financial position

At December 31, 2013 and 2012

(In thousands of Reais)



|                                                  |  |       |  |            |            |  |            |  |            | 
|------------------------------------------------- |  | ----- |  | ---------- | ---------- |  | ---------- |  | ---------- | 
|                                                  |  | Notes |  | 12/31/2013 |            |  | 12/31/2012 | 
|                                                  |  |       |  |            |            | 
|                                                  |  |       | 
|Assets                                            |  |       |  |            |            |  |            |  |            | 
|Current assets                                    |  |       |  |            |            |  |            |  |            | 
|Cash and cash equivalents                         |  | 5     |  |            | 1,096,850  |  |            |  | 814,805    | 
|Marketable securities                             |  | 6     |  |            | 735,678    |  |            |  | 615,150    | 
|Accounts receivable                               |  |       |  |            |            |  |            |  |            | 
|Consumers, concessionaires and permittees, net    |  | 7     |  |            | 1,032,458  |  |            |  | 1,195,904  | 
|Low income consumers                              |  | 8     |  |            | 67,929     |  |            |  | 65,043     | 
|CDE Subventions - Tariff discount                 |  | 9     |  |            | 20,385     |  |            |  | -          | 
|CDE Subventions resources - Decree No. 7,945/2013 |  | 4     |  |            | 13,429     |  |            |  | -          | 
|Taxes recoverable                                 |  | 10    |  |            | 322,072    |  |            |  | 175,322    | 
|Tax credit from merger                            |  | 14    |  |            | 8,793      |  |            |  | 9,609      | 
|Guarantees and judicial deposits                  |  | 11    |  |            | 52,939     |  |            |  | 49,656     | 
|Free energy                                       |  |       |  |            | 2,775      |  |            |  | 2,796      | 
|Derivative financial instruments  gain on swap   |  |       |  |            | 322        |  |            |  | -          | 
|Other receivables                                 |  | 15    |  |            | 339,240    |  |            |  | 259,374    | 
|                                                  |  |       |  |            |            | 
|Total current assets                              |  |       |  |            | 3,692,870  |  |            |  | 3,187,659  | 
|                                                  |  |       |  |            |            | 
|                                                  |  |       | 
|Non-current assets                                |  |       |  |            |            |  |            |  |            | 
|Accounts receivable                               |  |       |  |            |            |  |            |  |            | 
|Consumers, concessionaires and permittees, net    |  | 7     |  |            | 147,079    |  |            |  | 170,983    | 
|Taxes recoverable                                 |  | 10    |  |            | 157,762    |  |            |  | 163,107    | 
|Escrow deposits                                   |  | 12    |  |            | 332,256    |  |            |  | 300,475    | 
|Guarantees and deposits                           |  | 11    |  |            | 64,054     |  |            |  | 65,497     | 
|Deferred taxes                                    |  | 13    |  |            | 387,531    |  |            |  | 716,032    | 
|Tax credit from merger                            |  | 14    |  |            | 64,656     |  |            |  | 73,449     | 
|Derivative financial instruments  gain on swap   |  |       |  |            | 19,719     |  |            |  |            | 
|Indemnification assets (concession)               |  | 16    |  |            | 2,014,096  |  |            |  | 1,638,619  | 
|Other receivables                                 |  | 15    |  |            | 2,124      |  |            |  | 1,863      | 
|Investments                                       |  |       |  |            | 6,578      |  |            |  | 100        | 
|Property, plant and equipment                     |  | 17    |  |            | 1,990,252  |  |            |  | 2,006,697  | 
|Intangible assets                                 |  | 18    |  |            | 4,606,872  |  |            |  | 4,599,221  | 
|                                                  |  |       |  |            |            | 
|Total non-current assets                          |  |       |  |            | 9,792,979  |  |            |  | 9,736,043  | 
|                                                  |  |       | 
|Total assets                                      |  |       |  |            | 13,485,849 |  |            |  | 12,923,702 | 
|                                                  |  |       |  |            |            | 

See accompanying notes.



G-1



---

##### Table of Contents

|                                                       |  |       |  |            |            |   |            |  |            | 
|------------------------------------------------------ |  | ----- |  | ---------- | ---------- | - | ---------- |  | ---------- | 
|                                                       |  | Notes |  | 12/31/2013 |            |   | 12/31/2012 | 
|                                                       |  |       |  |            |            |  
|                                                       |  |       | 
|Liabilities and equity                                 |  |       |  |            |            |   |            |  |            | 
|Current liabilities                                    |  |       |  |            |            |   |            |  |            | 
|Trade accounts payable                                 |  | 19    |  |            | 847,571    |   |            |  | 796,962    | 
|Loans and financing                                    |  | 20    |  |            | 261,651    |   |            |  | 319,687    | 
|Debentures                                             |  | 21    |  |            | 25,737     |   |            |  | 143,282    | 
|Payroll                                                |  |       |  |            | 85,517     |   |            |  | 67,621     | 
|Taxes payable                                          |  | 23    |  |            | 251,293    |   |            |  | 215,647    | 
|Regulatory charges                                     |  | 24    |  |            | 21,518     |   |            |  | 76,717     | 
|Dividends payable                                      |  |       |  |            | 859,410    |   |            |  | 375,873    | 
|Public lighting contribution collected                 |  |       |  |            | 25,874     |   |            |  | 23,820     | 
|Post-employment benefit obligations                    |  | 31    |  |            | 12,824     |   |            |  | 12,098     | 
|Installment tax program                                |  | 26    |  |            | 14,478     |   |            |  | 40,792     | 
|Provision - Luz para Todos program                   |  |       |  |            | 27,367     |   |            |  | 12,452     | 
|Free energy                                            |  |       |  |            | 29,869     |   |            |  | 27,490     | 
|Research, development and energy efficiency programs   |  | 25    |  |            | 95,238     |   |            |  | 101,310    | 
|Other obligations                                      |  |       |  |            | 49,486     |   |            |  | 44,194     | 
|                                                       |  |       |  |            |            |  
|Total current liabilities                              |  |       |  |            | 2,607,833  |   |            |  | 2,257,945  | 
|                                                       |  |       |  |            |            |  
|                                                       |  |       | 
|Non-current liabilities                                |  |       |  |            |            |   |            |  |            | 
|Trade accounts payable                                 |  | 19    |  |            | 146,336    |   |            |  | 126,753    | 
|Loans and financing                                    |  | 20    |  |            | 1,113,456  |   |            |  | 677,333    | 
|Debentures                                             |  | 21    |  |            | 1,188,484  |   |            |  | 1,310,051  | 
|Installment tax program                                |  | 26    |  |            | 19,130     |   |            |  | 29,893     | 
|Deferred taxes                                         |  | 13    |  |            | 73,077     |   |            |  | 398,912    | 
|Post-employment benefit obligations                    |  | 31    |  |            | 477,845    |   |            |  | 551,794    | 
|Research, development and energy efficiency programs   |  | 25    |  |            | 75,386     |   |            |  | 32,291     | 
|Free energy                                            |  |       |  |            | 4,572      |   |            |  | 4,217      | 
|Provision for tax, civil and labor risks               |  | 28    |  |            | 568,199    |   |            |  | 537,095    | 
|Other obligations                                      |  |       |  |            | 73,571     |   |            |  | 52,172     | 
|                                                       |  |       |  |            |            |  
|Total non-current liabilities                          |  |       |  |            | 3,740,056  |   |            |  | 3,720,511  | 
|                                                       |  |       | 
|Equity                                                 |  | 29    |  |            |            |   |            |  |            | 
|Attributed to controlling shareholder                  |  |       |  |            |            |   |            |  |            | 
|Capital                                                |  |       |  |            | 1,056,049  |   |            |  | 916,879    | 
|Treasury shares                                        |  |       |  |            | (111,025   | ) |            |  | (111,025)  | 
|Capital reserve                                        |  |       |  |            | 2,504,370  |   |            |  | 2,504,370  | 
|Income reserve                                         |  |       |  |            | 894,086    |   |            |  | 780,426    | 
|Other comprehensive income                             |  |       |  |            | 8,170      |   |            |  | (1,684)    | 
|Equity valuation adjustments                           |  |       |  |            | 205,398    |   |            |  | 243,074    | 
|Proposal for payment of additional dividends           |  |       |  |            | 616,152    |   |            |  | 741,665    | 
|                                                       |  |       |  |            |            |  
|                                                       |  |       |  |            | 5,173,200  |   |            |  | 5,073,705  | 
|Attributed to non-controlling shareholders             |  |       |  |            |            |   |            |  |            | 
|Attributed to other entities in the Enersis S.A. Group |  |       |  |            | 1,289,440  |   |            |  | 1,041,964  | 
|Attributed to other non-controlling shareholders       |  |       |  |            | 675,320    |   |            |  | 829,577    | 
|                                                       |  |       |  |            |            |  
|                                                       |  |       |  |            | 1,964,760  |   |            |  | 1,871,541  | 
|                                                       |  |       |  |            |            |  
|Total equity                                           |  |       |  |            | 7,137,960  |   |            |  | 6,945,246  | 
|                                                       |  |       |  |            |            |  
|                                                       |  |       | 
|Total liabilities and equity                           |  |       |  |            | 13,485,849 |   |            |  | 12,923,702 | 
|                                                       |  |       |  |            |            |  

See accompanying notes.



G-2



---

##### Table of Contents

Endesa Brasil S.A.

Consolidated income statements

For
the years ended 31 December 2013, 2012 and 2011

(In thousands of Reais)



|                                                       |  |           |  |            |             |  |            |  |             |            |  |  |             | 
|------------------------------------------------------ |  | --------- |  | ---------- | ----------- |  | ---------- |  | ----------- | ---------- |  |  | ----------- | 
|                                                       |  | Notes     |  | 12/31/2013 |             |  | 12/31/2012 |  |             | 12/31/2011 | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Net revenue                                            |  | 33        |  |            | 7,635,755   |  |            |  | 7,485,085   |            |  |  | 6,579,272   | 
|                                                       |  |           |  |           
|Cost of services                                       |  | 34        |  |            | (5,420,350) |  |            |  | (5,073,454) |            |  |  | (4,357,864) | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Gross profit                                           |  |           |  |            | 2,215,405   |  |            |  | 2,411,631   |            |  |  | 2,221,408   | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Operating expenses                                     |  |           |  |            |             |  |            |  |             |            |  |  |             | 
|Selling expenses                                       |  | 34        |  |            | (128,789)   |  |            |  | (124,766)   |            |  |  | (54,096)    | 
|General and administrative expenses                    |  | 34        |  |            | (374,110)   |  |            |  | (372,151)   |            |  |  | (369,471)   | 
|Amortization and reversal of goodwill from merger      |  | 34        |  |            | (24,720)    |  |            |  | (27,013)    |            |  |  | (29,518)    | 
|Other operating expenses                               |  | 34        |  |            | (65,822)    |  |            |  | (13,570)    |            |  |  | (13,515)    | 
|                                                       |  |           |  |            |             | 
|Total operating expenses                               |  |           |  |            | (593,441)   |  |            |  | (537,500)   |            |  |  | (466,600)   | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Operating income                                       |  |           |  |            | 1,621,964   |  |            |  | 1,874,131   |            |  |  | 1,754,808   | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Financial income (expenses)                            |  |           |  |            |             |  |            |  |             |            |  |  |             | 
|Financial income                                       |  | 35        |  |            | 611,593     |  |            |  | 767,779     |            |  |  | 451,739     | 
|Financial expenses                                     |  | 35        |  |            | (549,586)   |  |            |  | (607,380)   |            |  |  | (575,348)   | 
|Foreign exchange variation, net                        |  | 35        |  |            | (17,760)    |  |            |  | (1,075)     |            |  |  | (18,904)    | 
|                                                       |  |          
|                                                       |  |           |  |            |             | 
|Income before taxes                                    |  |           |  |            | 1,666,211   |  |            |  | 2,035,605   |            |  |  | 1,612,295   | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Current income and social contribution taxes           |  | 32        |  |            | (496,337)   |  |            |  | (383,909)   |            |  |  | (412,424)   | 
|Deferred income and social contribution taxes          |  | 13 and 32 |  |            | 32,856      |  |            |  | (204,196)   |            |  |  | (62,679)    | 
|Tax incentives                                         |  | 32        |  |            | 50,911      |  |            |  | 23,136      |            |  |  | 66,329      | 
|                                                       |  |          
|                                                       |  |           |  |            |             | 
|Net income for the year                                |  |           |  |            | 1,253,641   |  |            |  | 1,470,636   |            |  |  | 1,203,521   | 
|                                                       |  |           |  |            |             | 
|                                                       |  |           |  |           
|Attributable to controlling shareholder                |  |           |  |            | 910,247     |  |            |  | 1,003,817   |            |  |  | 871,135     | 
|                                                       |  |           |  |           
|Attributed to other entities in the Enersis S.A. Group |  |           |  |            | 275,232     |  |            |  | 248,899     |            |  |  | 117,743     | 
|Other non-controlling shareholders                     |  |           |  |            | 68,162      |  |            |  | 217,920     |            |  |  | 214,643     | 

See accompanying notes.



G-3



---

##### Table of Contents

Endesa Brasil S.A.

Consolidated statements of other comprehensive income

For the years ended 31 December 2013, 2012 and 2011

(In
thousands of Reais)



|                                                                                                  |  |            |           |  |            |  |           |            |  |  |           | 
|------------------------------------------------------------------------------------------------- |  | ---------- | --------- |  | ---------- |  | --------- | ---------- |  |  | --------- | 
|                                                                                                  |  | 12/31/2013 |           |  | 12/31/2012 |  |           | 12/31/2011 | 
|                                                                                                  |  |            |           | 
|                                                                                                  |  |            |          
|Net income for the year                                                                           |  |            | 1,253,641 |  |            |  | 1,470,636 |            |  |  | 1,203,521 | 
|                                                                                                  |  |            |          
|Other comprehensive income                                                                        |  |            |           |  |            |  |           |            |  |  |           | 
|Other comprehensive income to be reclassified to income statements
In subsequent periods:         |  |            |           |  |            |  |           |            |  |  |           | 
|Loss on derivative financial instruments                                                          |  |            | 23,635    |  |            |  | (2,435)   |            |  |  | (2,176)   | 
|Deferred tax on loss on derivative financial instruments                                          |  |            | (8,085)   |  |            |  | 828       |            |  |  | 740       | 
|Cumulative translation adjustment                                                                 |  |            | 1,824     |  |            |  | 80        |            |  |  | 118       | 
|                                                                                                  |  |            |          
|Net other comprehensive income to be reclassified to income statements
in subsequent periods:     |  |            | 17,374    |  |            |  | (1,527)   |            |  |  | (1,318)   | 
|                                                                                                  |  |            |          
|Other comprehensive income not to be reclassified to income statements
In subsequent periods:     |  |            |           |  |            |  |           |            |  |  |           | 
|Actuarial loss in subsidiarys pension fund                                                       |  |            | 75,734    |  |            |  | (11,476)  |            |  |  | (205,740) | 
|Deferred tax on actuarial loss in pension fund                                                    |  |            | (25,750)  |  |            |  | 3,902     |            |  |  | 69,952    | 
|                                                                                                  |  |            |          
|Net other comprehensive income not to be reclassified to income statements
in subsequent periods: |  |            | 49,984    |  |            |  | (7,574)   |            |  |  | (135,788) | 
|                                                                                                  |  |            |          
|Net other comprehensive income, net of tax                                                        |  |            | 67,358    |  |            |  | (9,101)   |            |  |  | (137,106) | 
|                                                                                                  | 
|                                                                                                  |  |            |           | 
|Comprehensive income for the year, net of tax                                                     |  |            | 1,320,999 |  |            |  | 1,461,535 |            |  |  | 1,066,415 | 
|                                                                                                  |  |            |           | 
|                                                                                                  |  |            |          
|Attributable to controlling shareholder                                                           |  |            | 941,863   |  |            |  | 999,299   |            |  |  | 805,900   | 
|Attributable to other entities in the Enersis S.A. Group                                          |  |            | 314,471   |  |            |  | 262,542   |            |  |  | 65,187    | 
|Attributable to other non-controlling shareholders                                                |  |            | 64,665    |  |            |  | 199,694   |            |  |  | 195,328   | 

See accompanying notes.



G-4



---

##### Table of Contents

Endesa Brasil S.A.

Consolidated statements of changes in equity

For the years ended 31 December 2013, 2012 and 2011

(In
thousands of Reais)



|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    |           |  |                             |  |           |       |  |  |           |  |  |  |           |  |  |  |           |  |  |  |           | 
|-------------------------------------------------- |  | ------- | --------- |  | ----------------------------- |  | --------- | -------------- |  |  | -------------------------------------------- |  |  | --------------- | --------- |  | ------------- |  | ------- | ---------------------------------- |  |  | ------------------------ |  |  | ------------------------- | ------- |  | ---------------- |  | -------- | -------------------------------------- |  |  | ------------------------ |  |  | ---------------------------------- | --------- |  | --------------------------- |  | --------- | ----- |  |  | --------- |  |  |  | --------- |  |  |  | --------- |  |  |  | --------- | 
|                                                   |  |         |           |  |                               |  |           |                |  |  | CapitalReserve                               |  |  | Income reserves |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  | 
|                                                   |  | Capital |           |  | Sharesredeemablein the future |  |           | Treasuryshares |  |  | Remunerationof goodwill inthe issue ofshares |  |  | Legalreserve    |           |  | Otherreserves |  |         | Statutoryreserve forworkingcapital |  |  | Othercomprehensiveincome |  |  | Equityvaluationadjustment |         |  | Retainedearnings |  |          | Additionaldividenddistributionproposal |  |  | ShareholdersEndesaBrasil |  |  | OthershareholdersEnersis S.A.Group |           |  | Non-controllingshareholders |  |           | Total | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Balances at December 31, 2010                      |  |         | 916,879   |  |                               |  | (111,025) |                |  |  | -                                            |  |  |                 | 2,504,370 |  |               |  | 91,818  |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 90       |                                        |  |  | 333,491                  |  |  |                                    | -         |  |                             |  | 507,183   |       |  |  | 4,242,806 |  |  |  | 799,330   |  |  |  | 705,466   |  |  |  | 5,747,602 | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Write-off of repurchasable shares                  |  |         |           |  |                               |  | 111,025   |                |  |  | (111,025)                                    |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Depreciation of PP&E (deemed cost)                 |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | (34,713)                 |  |  |                                    | 34,713    |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Approval of proposed dividends                     |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | (507,183) |       |  |  | (507,183) |  |  |  | (10,475)  |  |  |  | (101,153) |  |  |  | (618,811) | 
|Net income for the year                            |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | 871,135   |  |                             |  | -         |       |  |  | 871,135   |  |  |  | 117,743   |  |  |  | 214,643   |  |  |  | 1,203,521 | 
|Loss on subsidiarys investment                    |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (1,676)   |  |                             |  | -         |       |  |  | (1,676)   |  |  |  | -         |  |  |  | -         |  |  |  | (1,676)   | 
|Actuarial gain (loss) on subsidiarys pension fund |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | (63,917) |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | ; -       |       |  |  | (63,917)  |  |  |  | (52,556)  |  |  |  | (19,315)  |  |  |  | (135,788) | 
|Transfer to retained earnings                      |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 63,917   |                                        |  |  | -                        |  |  |                                    | (63,917)  |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Reversal of dividends prescribed in subsidiaries   |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | 162       |  |                             |  | -         |       |  |  | 162       |  |  |  | 49        |  |  |  | 129       |  |  |  | 340       | 
|Loss on derivative financial instrument            |  |         | -         |  |                               |  |           |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | (1,436)  |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | (1,436)   |  |  |  | -         |  |  |  | -         |  |  |  | (1,436)   | 
|Legal reserve                                      |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | 42,021  |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (42,021)  |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Managements proposal for net income allocation    |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    |           |  |                             |  |           |       |  |  |           |  |  |  |           |  |  |  |           |  |  |  |           | 
|Interim dividends                                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (163,258) |  |                             |  | -         |       |  |  | (163,258) |  |  |  | (300)     |  |  |  | (536)     |  |  |  | (164,094) | 
|Mandatory dividends                                |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (36,341)  |  |                             |  | -         |       |  |  | (36,341)  |  |  |  | (15,151)  |  |  |  | (40,730)  |  |  |  | (92,222)  | 
|Statutory reserve for working capital              |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | 598,797 |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (598,797) |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Cumulative translation adjustment                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 118      |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 118       |  |  |  | -         |  |  |  | -         |  |  |  | 118       | 
|                                                   |  |         |           | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Balances at December 31, 2011                      |  |         | 916,879   |  |                               |  | -         |                |  |  | (111,025)                                    |  |  |                 | 2,504,370 |  |               |  | 133,839 |                                    |  |  | -                        |  |  |                           | 598,797 |  |                  |  | (1,228)  |                                        |  |  | 298,778                  |  |  |                                    | -         |  |                             |  | -         |       |  |  | 4,340,410 |  |  |  | 838,640   |  |  |  | 758,504   |  |  |  | 5,937,554 | 
|                                                   |  |         |           | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Depreciation of PP&E (deemed cost)                 |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | (55,704)                 |  |  |                                    | 55,704    |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Approval of proposed dividends                     |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | (251)     |  |  |  | (75,986)  |  |  |  | (76,237)  | 
|Net income for the year                            |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | 1,003,817 |  |                             |  | -         |       |  |  | 1,003,817 |  |  |  | 248,899   |  |  |  | 217,920   |  |  |  | 1,470,636 | 
|Actuarial gain (loss) on subsidiarys pension fund |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | (4,062)  |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | (4,062)   |  |  |  | 14,366    |  |  |  | (17,878)  |  |  |  | (7,574)   | 
|Transfer to retained earnings                      |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 4,062    |                                        |  |  | -                        |  |  |                                    | (4,062)   |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Loss on derivative financial instrument            |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | (536)    |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | (536)     |  |  |  | (723)     |  |  |  | (348)     |  |  |  | (1,607)   | 
|Effect of subsidiarys change                      |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | (1,124)                  |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | (1,124)   |  |  |  | (1,089)   |  |  |  | -         |  |  |  | (2,213)   | 
|Managements proposal for net income allocation    |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    |           |  |                             |  |           |       |  |  |           |  |  |  |           |  |  |  |           |  |  |  |           | 
|Interim dividends                                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | (403)     |  |  |  | (772)     |  |  |  | (1,175)   | 
|Mandatory dividends                                |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (264,880) |  |                             |  |           |       |  |  | (264,880) |  |  |  | (57,475)  |  |  |  | (51,863)  |  |  |  | (374,218) | 
|Additional proposed                                |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    | (741,665) |  |                             |  | 741,665   |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Statutory reserve for working capital              |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | 48,914  |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (48,914)  |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Cumulative translation adjustment                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 80       |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 80        |  |  |  | -         |  |  |  | -         |  |  |  | 80        | 
|                                                   |  |         |           | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Balances at December 31, 2012                      |  |         | 916,879   |  |                               |  | -         |                |  |  | (111,025)                                    |  |  |                 | 2,504,370 |  |               |  | 133,839 |                                    |  |  | (1,124)                  |  |  |                           | 647,711 |  |                  |  | (1,684)  |                                        |  |  | 243,074                  |  |  |                                    | -         |  |                             |  | 741,665   |       |  |  | 5,073,705 |  |  |  | 1,041,964 |  |  |  | 829,577   |  |  |  | 6,945,246 | 
|                                                   |  |         |           | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Capital increase (merger)                          |  |         | 139,170   |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 139,170   |  |  |  | (139,170) |  |  |  | -         |  |  |  | -         | 
|Capital reduction of subsidiary                    |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | (315)     |  |  |  | (563)     |  |  |  | (878)     | 
|Depreciation of PP&E (deemed cost)                 |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | (37,676)                 |  |  |                                    | 37,676    |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Approval of proposed dividends                     |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | (741,665) |       |  |  | (741,665) |  |  |  | (216)     |  |  |  | (48,648)  |  |  |  | (790,529) | 
|Net income for the year                            |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | 910,247   |  |                             |  | -         |       |  |  | 910,247   |  |  |  | 275,232   |  |  |  | 68,162    |  |  |  | 1,253,641 | 
|Actuarial gain (loss) on subsidiarys pension fund |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 21,762   |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 21,762    |  |  |  | 33,745    |  |  |  | (5,523)   |  |  |  | 49,984    | 
|Transfer to retained earnings                      |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | (21,762) |                                        |  |  | -                        |  |  |                                    | 21,762    |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Gain on derivative financial instrument            |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 8,030    |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 8,030     |  |  |  | 5,494     |  |  |  | 2,026     |  |  |  | 15,550    | 
|Effect of merger                                   |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | (2,892)                  |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | (2,892)   |  |  |  | -         |  |  |  | -         |  |  |  | (2,892)   | 
|Transfer of participations                         |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | 158,068   |  |  |  | (158,068) |  |  |  | -         | 
|Managements proposal for net income allocation    |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    |           |  |                             |  |           |       |  |  |           |  |  |  |           |  |  |  |           |  |  |  |           | 
|Interim dividends                                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | -         |  |  |  | (336)     |  |  |  | (600)     |  |  |  | (936)     | 
|Mandatory dividends                                |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (236,981) |  |                             |  |           |       |  |  | (236,981) |  |  |  | (85,026)  |  |  |  | (11,043)  |  |  |  | (333,050) | 
|Additional proposed                                |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |           |  |               |  |         |                                    |  |  |                          |  |  |                           |         |  |                  |  |          |                                        |  |  |                          |  |  |                                    | (616,152) |  |                             |  | 616,152   |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Statutory reserve for working capital              |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | 116,552 |  |                  |  | -        |                                        |  |  | -                        |  |  |                                    | (116,552) |  |                             |  | -         |       |  |  | -         |  |  |  | -         |  |  |  | -         |  |  |  | -         | 
|Cumulative translation adjustment                  |  |         | -         |  |                               |  | -         |                |  |  | -                                            |  |  |                 | -         |  |               |  | -       |                                    |  |  | -                        |  |  |                           | -       |  |                  |  | 1,824    |                                        |  |  | -                        |  |  |                                    | -         |  |                             |  | -         |       |  |  | 1,824     |  |  |  | -         |  |  |  | -         |  |  |  | 1,824     | 
|                                                   |  |         |           | 
|                                                   |  |         |           |  |                               |  |           |                |  |  |                                              |  |  |                 |          
|Balances at December 31, 2013                      |  |         | 1,056,049 |  |                               |  | -         |                |  |  | (111,025)                                    |  |  |                 | 2,504,370 |  |               |  | 133,839 |                                    |  |  | (4,016)                  |  |  |                           | 764,263 |  |                  |  | 8,170    |                                        |  |  | 205,398                  |  |  |                                    | -         |  |                             |  | 616,152   |       |  |  | 5,173,200 |  |  |  | 1,289,440 |  |  |  | 675,320   |  |  |  | 7,137,960 | 
|                                                   |  |         |           | 

See accompanying notes



G-5



---

##### Table of Contents

Endesa Brasil S.A.

Consolidated statements of cash flows

For the years ended 31 December 2013, 2012 and 2011

(In
thousands of Reais)



|                                                                                  |  |            |           |  |            |  |           |            |  |  |             | 
|--------------------------------------------------------------------------------- |  | ---------- | --------- |  | ---------- |  | --------- | ---------- |  |  | ----------- | 
|                                                                                  |  | 12/31/2013 |           |  | 12/31/2012 |  |           | 12/31/2011 | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Operating activities                                                              |  |            |           |  |            |  |           |            |  |  |             | 
|Income before taxes for the year                                                  |  |            | 1,666,211 |  |            |  | 2,035,605 |            |  |  | 1,612,295   | 
|Adjustments to reconcile income before tax to cash from operating activities:     |  |            |           |  |            |  |           |            |  |  |             | 
|Allowance for doubtful accounts                                                   |  |            | 98,419    |  |            |  | 98,970    |            |  |  | 141,419     | 
|Depreciation and amortization                                                     |  |            | 517,941   |  |            |  | 455,917   |            |  |  | 450,286     | 
|Amortization and reversal of goodwill from merger                                 |  |            | 24,720    |  |            |  | 27,013    |            |  |  | 29,518      | 
|Impairment                                                                        |  |            | 10,919    |  |            |  | -         |            |  |  | -           | 
|Provisions (reversal) of tax, civil and labor risks                               |  |            | 113,167   |  |            |  | 107,433   |            |  |  | (9,142)     | 
|Tax credit from merger                                                            |  |            | 9,609     |  |            |  | 10,501    |            |  |  | 11,474      | 
|Monetary restatements and interest                                                |  |            | 243,687   |  |            |  | 300,947   |            |  |  | 344,400     | 
|Indemnification assets revenues                                                   |  |            | (205,165) |  |            |  | (487,517) |            |  |  | (23,728)    | 
|Net book value of written off intangible assets and property, plant and equipment |  |            | 119,704   |  |            |  | 13,667    |            |  |  | 13,457      | 
|Research, development and energy efficiency programs                              |  |            | 75,890    |  |            |  | 71,888    |            |  |  | 24,194      | 
|Post-employment benefit obligations                                               |  |            | 50,214    |  |            |  | 52,754    |            |  |  | 13,564      | 
|Provision for inventory losses                                                    |  |            | 7,750     |  |            |  | (166)     |            |  |  | 485         | 
|Financial instruments through profit and loss                                     |  |            | (6,704)   |  |            |  | (2,384)   |            |  |  | (4,243)     | 
|Other revenues                                                                    |  |            | -         |  |            |  | -         |            |  |  | 2,796       | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            | 2,726,362 |  |            |  | 2,684,628 |            |  |  | 2,606,775   | 
|                                                                                  |  |            |          
|(Increase) decrease in operating assets                                           |  |            |           |  |            |  |           |            |  |  |             | 
|Consumers, concessionaires and permittees                                         |  |            | 91,098    |  |            |  | (131,517) |            |  |  | (136,360)   | 
|Low income consumers                                                              |  |            | (2,886)   |  |            |  | (16,335)  |            |  |  | 13,457      | 
|CDE Subventions - Tariff discount                                                 |  |            | (20,385)  |  |            |  | -         |            |  |  | -           | 
|CDE Subventions resources - Decree No. 7,945/2013                                 |  |            | (13,429)  |  |            |  | -         |            |  |  | -           | 
|Guarantees and judicial deposits                                                  |  |            | (1,840)   |  |            |  | 31,786    |            |  |  | (22,430)    | 
|Escrow deposits                                                                   |  |            | (290)     |  |            |  | (2,733)   |            |  |  | (11,721)    | 
|Other                                                                             |  |            | (84,311)  |  |            |  | (85,738)  |            |  |  | 25,118      | 
|Increase (decrease) in operating liabilities:                                     |  |            |           |  |            |  |           |            |  |  |             | 
|Trade accounts payable                                                            |  |            | 74,429    |  |            |  | 187,447   |            |  |  | (46,795)    | 
|Payroll                                                                           |  |            | 17,896    |  |            |  | 13,553    |            |  |  | (1,477)     | 
|Regulatory charges                                                                |  |            | (55,199)  |  |            |  | 4,972     |            |  |  | 10,308      | 
|Research, development and energy efficiency programs                              |  |            | (38,867)  |  |            |  | (31,741)  |            |  |  | (93,813)    | 
|Post-employment benefit obligations                                               |  |            | (42,380)  |  |            |  | (53,681)  |            |  |  | (38,542)    | 
|Payment of tax, civil and labor claims                                            |  |            | (82,063)  |  |            |  | (206,415) |            |  |  | (120,795)   | 
|Other liabilities                                                                 |  |            | 46,394    |  |            |  | 41,770    |            |  |  | (10,257)    | 
|Taxes payable / recoverable, net                                                  |  |            | (551,185) |  |            |  | (424,457) |            |  |  | (297,582)   | 
|                                                                                  |  |            |           | 
|Net cash flows from operating activities                                          |  |            | 2,063,344 |  |            |  | 2,011,539 |            |  |  | 1,875,886   | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Investing activities                                                              |  |            |           |  |            |  |           |            |  |  |             | 
|Marketable securities                                                             |  |            | (120,528) |  |            |  | 5,934     |            |  |  | 82,198      | 
|Result of merger                                                                  |  |            | (2,892)   |  |            |  | -         |            |  |  | -           | 
|Investments                                                                       |  |            | (2,324)   |  |            |  | -         |            |  |  | (100)       | 
|Investments in intangible assets and property, plant and equipment                |  |            | (843,125) |  |            |  | (641,700) |            |  |  | (686,771)   | 
|                                                                                  |  |            |           | 
|Net cash flows used in investing activities                                       |  |            | (968,869) |  |            |  | (635,766) |            |  |  | (604,673)   | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Financing activities                                                              |  |            |           |  |            |  |           |            |  |  |             | 
|Debentures funding                                                                |  |            | -         |  |            |  | 400,000   |            |  |  | 700,000     | 
|Payment of debentures                                                             |  |            | (296,251) |  |            |  | (360,779) |            |  |  | (275,500)   | 
|Loans and financing                                                               |  |            | 717,557   |  |            |  | 124,956   |            |  |  | 427,421     | 
|Payment of loans and financing                                                    |  |            | (351,978) |  |            |  | (625,710) |            |  |  | (688,706)   | 
|Payment of interest on loans and financing                                        |  |            | (78,934)  |  |            |  | (125,117) |            |  |  | (101,657)   | 
|Payment of interest on debentures                                                 |  |            | (109,106) |  |            |  | (120,822) |            |  |  | (169,440)   | 
|Payment of intercompany loans                                                     |  |            | -         |  |            |  | (4,342)   |            |  |  | (28,347)    | 
|Payment of debt agreement with Faelce                                             |  |            | (6,934)   |  |            |  | (14,262)  |            |  |  | (13,841)    | 
|Dividends payment                                                                 |  |            | (640,955) |  |            |  | (168,139) |            |  |  | (918,607)   | 
|Capital reduction                                                                 |  |            | (901)     |  |            |  | -         |            |  |  | -           | 
|Installment tax program payment                                                   |  |            | (46,752)  |  |            |  | (47,741)  |            |  |  | (37,250)    | 
|IFC payments                                                                      |  |            | -         |  |            |  | -         |            |  |  | (184,065)   | 
|                                                                                  |  |            |           | 
|Net cash flows used in financing activities                                       |  |            | (814,254) |  |            |  | (941,956) |            |  |  | (1,289,992) | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Cumulative translation adjustment                                                 |  |            | 1,824     |  |            |  | 80        |            |  |  | 118         | 
|                                                                                  | 
|                                                                                  |  |            |           | 
|Increase (decrease) in net cash and cash equivalents                              |  |            | 282,045   |  |            |  | 433,897   |            |  |  | (18,661)    | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Cash and cash equivalents at the beginning of year                                |  |            | 814,805   |  |            |  | 380,908   |            |  |  | 399,569     | 
|Cash and cash equivalents at the end of year                                      |  |            | 1,096,850 |  |            |  | 814,805   |            |  |  | 380,908     | 
|                                                                                  |  |            |           | 
|                                                                                  |  |            |          
|Increase (decrease) in net cash and cash equivalents                              |  |            | 282,045   |  |            |  | 433,897   |            |  |  | (18,661)    | 
|                                                                                  |  |            |           | 

See accompanying notes.



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##### Table of Contents

Endesa Brasil S.A.

Notes to the consolidated financial statements

December 31, 2013 and 2012

(In thousands of Reais, unless
otherwise stated)



|1. | CORPORATE INFORMATION
|-- | ---------------------

Operations

The business purpose of Endesa Brasil S.A. (Endesa Brasil or Company), with registered office located at Praça
Leoni Ramos, No.01, Niterói, Rio de Janeiro, Brazil, is to hold interests in other entities that directly or indirectly operate or come to operate in any electric energy industry segment or as a provider of electric energy transmission,
distribution, generation or trade services and related activities.

Endesa Brasil S.A. is a subsidiary of Enersis S.A., a Chilean company
controlled by Endesa S.A. which is a Spanish company controlled by Enel S.p.A. (Enel).

The Company holds interest in the
following operational subsidiaries by segment, which together with the Company, form Endesa Brasil Group (Endesa Group or Group):



| | a) | Electric energy distribution
| | -- | ----------------------------

Ampla Energia e Serviços S.A.

Ampla Energia e Serviços S.A. (Ampla Energia), is a publicly-held company, registered at BM&FBOVESPA S.A. - Bolsa de Valores, Mercadorias e Futuros, with registered office located at Praça Leoni Ramos, No.01, municipality of Niterói, State of Rio de Janeiro, electric energy utility
concessionaire, designed to explore the distribution and marketing of electricity systems and participate in research related to the energy sector, such activities being regulated by the National Electric Energy Agency - ANEEL, which is under the
Ministry of Mines and Energy.

Ampla Energias concession area includes 66 cities, 65 of which are in the State of Rio de Janeiro and
one in the State of Minas Gerais. The concession of public distribution of electricity was arranged by the Concession Contract No. 005/1996 of December 9, 1996 from ANEEL, with maturity in December 2026.

Endesa Brasil holds direct interest of 46.89% of Ampla Energias capital.



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##### Table of Contents

|1. | CORPORATE INFORMATION--Continued
|-- | --------------------------------



Operations--Continued



| | a) | Electric energy distribution--Continued
| | -- | ---------------------------------------



Companhia Energética do Ceará - COELCE

Companhia Energética do Ceará - COELCE (COELCE), is a publicly-held company, registered at BM&FBOVESPA S.A. -
Bolsa de Valores, Mercadorias e Futuros, at Rua Padre Valdevino, No.150, Fortaleza, Ceará, electric energy utility concessionaire, designed to research, study, plan and explore the distribution of electricity, such activities being regulated
by the National Electric Energy Agency - ANEEL, which is under the Ministry of Mines and Energy.

COELCEs concession area covers the
whole State of Ceará. The concession of public distribution of electricity was arranged by the Concession Contract No. 001/1998 of May 13, 1998 from ANEEL, with maturity in May 2028.

Endesa Brasil holds direct interest of 58.87% of COELCEs capital.



| | b) | Electric energy generation
| | -- | --------------------------

Centrais Elétricas Cachoeira Dourada S.A. -
CDSA

Centrais Elétricas Cachoeira Dourada S.A. - CDSA (CDSA), is a privately-held company with registered office
located at Rodovia GO 206, KM0, Cachoeira Dourada, Goiás, primarily engaged in conducting studies and projections, and in building, installing and operating electric generation power plants, as well as performing commercial acts deriving from
such activities, which are regulated by the National Agency of Electric Energy - ANEEL under the Ministry of Mines and Energy.

On
September 5, 1997, a public auction was carried out for acquisition of representative shareholding in the CDSA capital by private entities. This transaction was recognized by the granting authorities by means of the Concession Agreement
No. 011/97, of September 12, 1997, which establishes that the concession term is of 30 years, expiring in September 2027. The subsidiarys fixed assets consist substantially of the power plant assets mentioned above, located in Rio
Paranaíba, with installed capacity of 658 MW, subdivided into 10 generating units.

Endesa Brasil holds direct interest of 99.61%
of CDSAs capital.



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##### Table of Contents

|1. | CORPORATE INFORMATION--Continued
|-- | --------------------------------



Operations--Continued



| | b) | Electric energy generation--Continued
| | -- | -------------------------------------



Central Geradora Termelétrica Fortaleza S.A. - CGTF

Central Geradora Termelétrica Fortaleza S.A. - CGTF (CGTF), is a privately-held company, with registered office located at
Rodovia CE422, Km 01, Complexo Industrial e Portuária do Pecém, Caucaia, Ceará, organized on August 20, 2001 and authorized by the National Agency of Electric Energy -ANEEL to operate as an independent energy producer, by
means of ANEEL Resolution No. 433, of October 19, 2001, formed by a combined cycle of two gas turbines and a vapor turbine, pursuant to ANEEL Decision No. 73/2002. Start-up of operations occurred on December 27, 2003.

As defined in the articles of incorporation, CGTF is engaged in the study, project, construction and exploration of energy production,
transmission, distribution and sale systems that may be granted, permitted or authorized by any law, in addition to exercising other related activities and providing services of any nature referring to mentioned activities.

Central Geradora Termelétrica Fortaleza S.A. - CGTF--Continued

CGTF is part of the Federal Governments Thermoelectric Priority Program (PPT) to expand the supply of electric energy throughout Brazil,
and CGTF contracted on August 31, 2001 the sale of 2,690 GWh/year (equivalent to an average 307 MW) to the subsidiary COELCE, also belonging to Endesa Group, over 20 years, as from the beginning of the energy supply in January 2004, at the
price established by ANEEL, subject to annual adjustment based on a basket of indicators that includes IGPM, US dollar and contracted natural gas variations.

CGTF is a wholly-owned subsidiary of Endesa Brasil.

Eólica Fazenda Nova - Geração e Comercialização de Energia Ltda.

Eólica Fazenda Nova - Geração e Comercialização de Energia Ltda. (Fazenda Nova) is a limited
liability entity, headquartered at Rua Felipe Camarão, No.507, sala 201, Cidade Alta - Natal/Rio grande do Norte, engaged in the generation, transmission, distribution and sale of electric energy and related activities.

On September 30, 2009, Endesa Brasil completed the acquisition of a 99.95% equity stake in Eólica Fazenda Nova for R$ 3,942.
This investee is in a pre- operational stage and was incorporated to take part in wind power auctions.



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##### Table of Contents

|1. | CORPORATE INFORMATION--Continued
|-- | --------------------------------



Operations--Continued



| | c) | Electric energy transmission
| | -- | ----------------------------

CIEN - Companhia de Interconexão
Energética

CIEN - Companhia de Interconexão Energética (CIEN), is a privately-held company with
registered office located at Praça Leoni Ramos, No.01, Niterói, Rio de Janeiro, primarily engaged in production, processing, distribution and sale of electricity, including related import and export activities, implementing the
services required to achieve this business purpose. In this regard, CIEN will work on the study, planning and construction of facilities related to electricity production, transmission, conversion and distribution systems. CIEN may foster the
implementation of associated projects, carry out activities related, incidental or supplementary to such services and work it may provide, and may also hold interest in other companies.

On April 4, 2011, by means of Administrative Rulings Nos. 210 and 211, Garabi I and Garabi II lines, respectively, started being treated
as equivalent to transmission concessions. Such equivalence treatment subjects both transmission lines of the subsidiary to the methodology whereby revenue is recognized through annual ratification of the Allowed Annual Revenue  RAP by ANEEL.

The commercial and technical equivalence of that subsidiary to an electric power transmission concession, comprising the two lines, has a
finite 9-year term to Garabi I, effective through June 20, 2020, and an 11-year term for Garabi II, effective through July 31, 2022.

Endesa Brasil holds direct interest of 100.00% in CIEN.



| | d) | Holding companies
| | -- | -----------------

Ampla Investimentos e Serviços S.A. (Ampla
Investimentos) and Investluz S.A. (Investluz)

The Holding Companies Ampla Investimentos and Investluz are mainly
engaged to participate in other companies, either as shareholder or member (holding companies). On November 21, 2013, were merged into Endesa Brasil, as mentioned below in greater detail.



| | e) | Service rendering
| | -- | -----------------

En-Brasil Comércio e Serviços S.A.

En-Brasil Comércio e Serviços S.A. (Prátil) is a privately-held company, headquartered at Praça Leoni
Ramos, No.01, municipality of Niterói, State of Rio de Janeiro, established on August 18, 2009, for the purpose of holding interest in the capital of other companies and/or entities, associations, consortiums and other forms of
associations in Brazil and abroad, in addition to rendering of general services, directly or indirectly related to its activities, to the electric energy industry and other economy and general consumption sectors.

Endesa Brasil owns a 99.99% direct interest in Prátil.



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##### Table of Contents

|1. | CORPORATE INFORMATION--Continued
|-- | --------------------------------



Operations--Continued



Corporate restructuring

In 2013, the Group went through a corporate restructuring process, in order to optimize the operations and expand the operating structure, as
follows:

Merger of Investluz into Endesa Brasil

On November 21, 2013, as decided by the Extraordinary Shareholders Meeting, the merger of Investluz into its controlling entity
Endesa Brasil was approved under the Protocol and Terms of the Merger. As a result of this merger, Investluz was extinct and Endesa Brasil became its successor.

Investluzs equity was valuated as of March 31, 2013, considering the book value in R$ 1,164,939, according to the Appraisal
Report for Merger Purposes issued by a specialist independent appraisal. This merger was registered based on the book values, considering that it was carried out between entities under common control. Net assets are as follows:



|                                        |  |  |           | 
|--------------------------------------- |  |  | --------- | 
|Assets:                                 |  |  |           | 
|Cash and cash equivalents               |  |  | 14,671    | 
|Marketable securities                   |  |  | 7,177     | 
|Dividends receivable                    |  |  | 14,653    | 
|Taxes recoverable                       |  |  | 54,665    | 
|Judicial deposits                       |  |  | 803       | 
|Investments in subsidiary COELCE        |  |  | 919,177   | 
|Intangible assets                       |  |  | 241,440   | 
|                                        |  |  |           | 
|Total merged assets                     |  |  | 1,252,586 | 
|                                        |  |  |           | 
|                                        | 
|Taxes, fees and contributions payable   |  |  | 5,483     | 
|Dividends payable                       |  |  | 49,396    | 
|Taxes payable                           |  |  | 6,024     | 
|Provision for tax, civil and labor risk |  |  | 26,744    | 
|                                        |  |  |           | 
|Total merged liabilities                |  |  | 87,647    | 
|                                        |  |  |           | 
|                                        |  |  |           | 
|                                        |  |  |           | 
|Net assets                              |  |  | 1,164,939 | 
|                                        |  |  |           | 

The amount invested in COELCE (subsidiary) was eliminated on the merger process.



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---

##### Table of Contents

|1. | CORPORATE INFORMATION--Continued
|-- | --------------------------------



Operations--Continued



Corporate restructuring-- Continued



Merger of Ampla Investimentos into Endesa Brasil

On November 21, 2013, as decided by the Extraordinary Shareholders Meeting, the merger of Ampla Investimentos into its controlling
entity Endesa Brasil was approved under the Protocol and Terms of the Merger. As a result of this merger, Ampla Investimentos was extinct and Endesa Brasil became its successor.

Ampla Investimentoss equity was valuated as of March 31, 2013, considering the book value in R$ 262,862, according to the
Appraisal Report for Merger Purposes issued by a specialist independent appraisal. This merger was registered based on the book values, considering that it was carried out between entities under common control. Net assets are as follows:



|                                    |  |  |         | 
|----------------------------------- |  |  | ------- | 
|Assets:                             |  |  |         | 
|Cash and cash equivalents           |  |  | 1,924   | 
|Marketable securities               |  |  | 2,600   | 
|Dividends receivable                |  |  | 17,995  | 
|Taxes recoverable                   |  |  | 665     | 
|Investments in subsidiary Investluz |  |  | 424,387 | 
|                                    |  |  |         | 
|Total merged assets                 |  |  | 447,571 | 
|                                    |  |  |         | 
|                                    | 
|Payables to related parties         |  |  | 170,145 | 
|Dividends payable                   |  |  | 13,687  | 
|Other accounts payable              |  |  | 877     | 
|                                    |  |  |         | 
|Total merged liabilities            |  |  | 184,709 | 
|                                    |  |  |         | 
|                                    | 
|                                    |  |  |         | 
|Net assets                          |  |  | 262,862 | 
|                                    |  |  |         | 

The amount invested in Investluz (subsidiary) was eliminated on the merger process.



G-12



---

##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|-- | ------------------------------------------



| | 2.1. | Statement of compliance
| | ---- | -----------------------

The consolidated financial statements were prepared
considering different assessment bases used in accounting estimates. The accounting estimates involved in the preparation of the financial statements were based on objective and subjective factors, considering managements judgment to determine
the appropriate amounts to be recorded in the financial statements. Significant items subject to such estimates and assumptions include the valuation of financial assets at fair value and present value, analysis of credit risks to determine the
allowance for doubtful accounts, as well as analysis of other risks to determine other provisions, including the provision for contingencies.

Settlement of transactions involving these estimates may result in amounts significantly different from those recorded in the financial
statements due to the probabilistic treatment inherent in the estimation process. The Group reviews its estimates and assumptions at least annually.

The consolidated financial statements of the Group have been prepared in accordance with International Financial Reporting Standards (IFRS) as
issued by the International Accounting Standards Board (IASB).

The authorization for completion of preparation of these financial
statements was granted at a board of officers meeting held on March 25, 2014.



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---

##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.2. | Basis of consolidation
| | ---- | ----------------------

The consolidated financial statements comprise the financial
statements of the Group and its subsidiaries at December 31, 2013 and include Endesa Brasils operations, and those of its direct and indirect subsidiaries, with ownership interest at the balance sheet date being summarized as follows:



|                                                                                                                   |  |                            |  |        |  |          |  |  |        |  |  |  |  |        | 
|------------------------------------------------------------------------------------------------------------------ |  | -------------------------- |  | ------ |  | -------- |  |  | ------ |  |  |  |  | ------ | 
|Subsidiary                                                                                                         |  | Shareholding  interest (%) |  | Direct |  | Indirect
|                                                                                                                   |  |                            | 
|Central Geradora Termelétrica Fortaleza S.A. - CGTF                                                                |  |                            |  | 100.00 |  |          |  |  | 100.00 |  |  |  |  | -      | 
|Centrais Elétricas Cachoeira Dourada S.A. - CDSA                                                                   |  |                            |  | 99.61  |  |          |  |  | 99.61  |  |  |  |  | -      | 
|Ampla Energia e Serviços S.A. (iii)                                                                                |  |                            |  | 46.89  |  |          |  |  | 46.89  |  |  |  |  | -      | 
|CIEN - Companhia de Interconexão Energética                                                                        |  |                            |  | 100.00 |  |          |  |  | 100.00 |  |  |  |  | -      | 
|Compañia de Transmisión del Mercosur S.A.  CTM (CTM) (ii)                                                       |  |                            |  | 99.99  |  |          |  |  | -      |  |  |  |  | 99.99  | 
|Transportadora de Energia S.A.  TESA (TESA) (ii)                                                                |  |                            |  | 100.00 |  |          |  |  | -      |  |  |  |  | 100.00 | 
|Companhia Energética do Ceará - COELCE                                                                             |  |                            |  | 58.87  |  |          |  |  | 58.87  |  |  |  |  | -      | 
|EN-Brasil Comércio e Serviço S.A.  Prátil                                                                         |  |                            |  | 99.99  |  |          |  |  | 99.99  |  |  |  |  | -      | 
|Eólica Fazenda Nova Geração e Comercialização de Energia Ltda                                                      |  |                            |  | 99.95  |  |          |  |  | 99.95  |  |  |  |  | -      | 
|Trento Renda Fixa Crédito Privado Fundo de Investimento em Cotas de Fundos de Investimento (Trento) (i)          |  |                            |  | 100.00 |  |          |  |  | 18.91  |  |  |  |  | 81.09  | 
|Bradesco Fundo de Investimento em Cotas de Fundos de Investimento RF Crédito Privado Compostela (Compostela)
(i) |  |                            |  | 100.00 |  |          |  |  | 1.25   |  |  |  |  | 98.75  | 
|Fundo de Investimento Vicenza Renda Fixa - Crédito Privado (Vicenza) (i)                                         |  |                            |  | 100.00 |  |          |  |  | 100.00 |  |  |  |  | -      | 



| | (i) | Exclusive investment funds Trento, Compostela and Vicenza are managed, respectively, by Banco Itaucard S.A., Banco Bradesco S.A. and Votorantim Asset Management Distribuidora de Títulos e Valores
Mobiliários Ltda.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (ii) | Indirect subsidiaries located abroad.
| | ---- | -------------------------------------

| | (iii) | Eventhough the interest on Ampla Energia is below 50.1%, Endesa Brasil has the control of this entity, considering it has the power to govern the financial and operating policies of them so as to obtain benefits from
their activities.
| | ----- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The reporting period in the financial statements of consolidated subsidiaries is the same as that of the
Company, and accounting policies have been consistently applied by the consolidated companies. The main consolidation procedures include:



| | (a) | Derecognizes the assets and liabilities balances among consolidated companies;
| | --- | ------------------------------------------------------------------------------



| | (b) | Derecognizes the share held in the capital, reserves and retained earnings of consolidated companies;
| | --- | -----------------------------------------------------------------------------------------------------



| | (c) | Derecognizes income and expense balances and unrealized income arising from intercompany transactions; and
| | --- | ----------------------------------------------------------------------------------------------------------



| | (d) | Segregation of non-controlling interests in the consolidated financial statements.
| | --- | ----------------------------------------------------------------------------------



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|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.3. | Basis of preparation
| | ---- | --------------------

The consolidated financial statements have been prepared on a
historical cost basis, except for certain balances that have been measured at fair value when required by applicable regulations.



| | 2.4. | Foreign currency translation
| | ---- | ----------------------------

The Groups consolidated financial statements are
presented in Brazilian Reais (R$), which is also the parent companys functional currency. For each entity the Group determines the functional currency, and for those entities whose functional currency differs from the Brazilian Real, the
financial statements were translated into Brazilian Real at the closing date.

In the preparation of the financial statements, foreign
currency transactions, i.e., in any currency other than the functional currency, are recorded based on the exchange rate in force on the date of each transaction. At the end of each reporting period, the monetary items in foreign currency are
retranslated at the rates in force at the end of the year. Gains and losses arising from the updates of these assets and liabilities noted between the exchange rate in force on the transaction date and the financial statements date are recognized as
financial income or expense, in the income statements.

The financial statements of the indirect subsidiaries CTM and TESA were originally
prepared in Argentinean pesos (ARS$ - functional currency). Assets and liabilities were translated into Brazilian Reais, at the exchange rate at December 31, 2013  ARS 1.00 - R$ 0.3592, disclosed by the Central Bank of
Brazil (December 31, 2012  ARS 1.00 - 0.4156), whereas profit or loss accounts were translated at the average monthly rate.

Assets and liabilities of the foreign indirect subsidiaries are translated into Brazilian Reais at the exchange rate in force at the balance
sheet date, and the corresponding income statements are translated at the average exchange rate for the month of the transaction date. Exchange rate differences arising from the referred to translation are recorded separately in equity. On disposal
of a foreign operation, the component of other comprehensive income relating to that particular foreign operation is recognized in income statements.



| | 2.5. | Revenue recognition
| | ---- | -------------------

Revenue is recognized to the extent that it is probable that the
economic benefits will flow to the Endesa Group and the revenue can be reliably measured, regardless of when the payment is being made. Revenue is measured at the fair value of the consideration received or receivable, taking into account
contractually defined terms of payment and, excluding discounts, rebates and taxes or charges on sales.



| | 2.5.1. | Distribution revenue
| | ------ | --------------------

Electric energy distribution services are measured by reference to
electric energy amounts delivered within a given period. This measurement takes place based on the electricity meter reading schedule defined by subsidiaries COELCE and Ampla Energia. Electric energy distribution services are billed considering this
reading schedule, and service revenue is recorded as bills are issued. In order to adjust readings to the related accounting periods, the services rendered between the reading date and the end of each month are recorded on an estimated basis.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.5. | Revenue recognition--Continued
| | ---- | ------------------------------



| | 2.5.2. | Transmission revenue
| | ------ | --------------------

Transmission revenue is recognized based on a specific document
(Ratifying Resolution) issued annually by the National Electric Energy Agency (ANEEL) for a 1-year period from July 1 to June 30 each year. Monthly revenue is recognized by reference to amounts reported by the National System Operator
(ONS) and refers to revenue from the transmission system availability.



| | 2.5.3. | Unbilled revenue
| | ------ | ----------------

This corresponds to revenue from electric energy supplied to customers but
not billed, and to revenue from the use of the distribution network but not yet billed. Unbilled revenue is estimated for the period between the last monthly reading and the last day of the month.



| | 2.5.4. | Construction revenue
| | ------ | --------------------

IFRIC 12  Service Concession Arrangements (IFRIC 12)
requires electric energy concessionaires to record and measure service revenue in accordance with IAS 11 - Construction Contracts (IAS 11) (construction or improvement services) and IAS 18 - Revenue (IAS 18) (operation -
electric energy supply services), even if subject to one single concession arrangement.

The Endesa Group accounts for revenue and costs
relating to construction work or improvements to infrastructure facilities used for rendering electric energy distribution services. The construction margin adopted is defined as zero, considering that: (i) the core activity of the subsidiaries
is the distribution of electric energy; (ii) all construction revenue refers to construction of infrastructure facilities in order to attain their business purpose, namely distribution of electric energy; and (iii) Endesa Group outsources
the construction of infrastructure facilities to unrelated parties. Each month, all additions to intangible assets in progress are transferred to the statement of income as construction costs, after deduction of amounts received in the form of
special obligations.



| | 2.5.5. | Interest income
| | ------ | ---------------

Interest income is recognized on a time-proportion basis using the effective
interest rate on the principal amount outstanding. The effective interest rate is the rate that exactly discounts the estimated future cash payment on receipts over the expected life of the financial instrument to the original net carrying amount of
the financial asset.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.6. | Financial instruments - Initial recognition and subsequent measurement
| | ---- | ----------------------------------------------------------------------



| | 2.6.1. | Financial assets
| | ------ | ----------------

Initial recognition and measurement

Financial assets within the scope of IAS 39 - Financial Instruments: Recognition and Measurement - are classified as financial assets at fair
value through profit or loss, loans and receivables, held-to-maturity investments, available-for-sale financial assets, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. Endesa Group determines the
classification of its financial assets at initial recognition, as they become part of the instruments contractual provisions.

Financial assets are recognized initially at fair value plus, in the case of investments not at fair value through profit or loss,
transaction costs directly attributable to the acquisition of that financial asset.

Endesa Groups financial assets include cash
and cash equivalents, marketables securities, accounts receivable from customers, concessionaires and licensees, accounts receivable from resellers, public utility concession (indemnification assets), collaterals, and derivative financial
instruments.

Subsequent measurement

The subsequent measurement of financial assets depends on their classification as described below:

Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated in the
initial recognition at fair value through profit or loss. Financial assets are classified as held for trading if they are acquired for the purpose of selling in the near term. This category includes derivative financial instruments entered into by
Endesa Group that do not qualify for hedge accounting, as set forth by IAS 39. Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with the related gains or losses recognized in
the income statement.

Held-to-maturity investments

Non-derivative financial assets with fixed or determinable payments and fixed maturities are classified as held-to-maturity when the Endesa
Group has the positive intention and ability to hold them to maturity. After initial measurement, held-to-maturity investments are measured at amortized cost using the effective interest method, less impairment. Amortized cost is calculated by
taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. The amortization of the effective interest rate is included in the income statement as financial income.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.6. | Financial instruments - Initial recognition and subsequent measurement--Continued
| | ---- | ---------------------------------------------------------------------------------



| | 2.6.1. | Financial assets--Continued
| | ------ | ---------------------------



Subsequent measurement--Continued



Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. After
initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate method, less impairment. Amortized cost is calculated by taking into account any discount or premium on acquisition and incurred
fees or costs that are an integral part of the effective interest rate. The effective interest rate amortization is included in finance income in the income statement. The losses arising from impairment are recognized in the income statement as
financial cost.

Interest income is recognized at the effective interest rate, except for short-term receivables when the recognition of
interest is immaterial.

Available-for-sale financial assets

Available-for-sale financial assets are those non-derivative financial assets not classified as:



| | (a) | Loans and receivables;
| | --- | ----------------------

| | (b) | Held-to-maturity investments; or
| | --- | --------------------------------

| | (c) | Financial assets at fair value through profit or loss.
| | --- | ------------------------------------------------------

After initial measurement,
available-for-sale financial assets are measured at fair value, with unrealized gains or losses recognized as other comprehensive income until the investment is derecognized, except for impairment losses, interest calculated using the effective
interest rate method and exchange gains or losses on monetary assets, which are recognized in the profit or loss of the period.

When the
investment is derecognized or determined to be impaired, cumulative gains or losses previously recognized in other comprehensive income must be recognized in the income statement.

Derecognition (write-off) of financial assets

A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial assets) is derecognized when:



| |  |  | The rights to receive cash flows from the asset have expired;
| | - |  | -------------------------------------------------------------



| |  |  | Endesa Group has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass- through
arrangement; and either; and (i) the Group has transferred substantially all the risks and rewards of the asset, or (ii) the Group has neither transferred nor retained substantially all the risks and rewards of the asset, but has
transferred control of the asset
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.6. | Financial instruments - Initial recognition and subsequent measurement--Continued
| | ---- | ---------------------------------------------------------------------------------



| | 2.6.1. | Financial assets--Continued
| | ------ | ---------------------------



Subsequent measurement--Continued



Derecognition (write-off) of financial assets--Continued



When the Group has transferred its rights to receive cash flows from an asset or has entered
into a pass-through arrangement, and has neither transferred nor retained substantially all of the risks and rewards of the asset nor transferred control of the asset, the asset is recognized to the extent of the Groups continuing involvement
in the asset.

In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are
measured on a basis that reflects the rights and obligations that the Group has retained.

Continuing involvement that takes the form of
a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Group could be required to repay.



| | 2.6.1.1. | Cash and cash equivalents and marketable securities
| | -------- | ---------------------------------------------------

Cash equivalents are held for the
purpose of meeting short-term cash commitments rather than for investing or any other purposes. The Group considers cash equivalents to be short- term investments that are readily convertible to known amounts of cash and which are subject to an
insignificant risk of changes in value. Thus, an investment normally qualifies as a cash equivalent if it has a short-term maturity, e.g. three months or less, from the date of acquisition, while an investment with maturities greater than three
months are usually classified as marketable securities.



| | 2.6.1.2. | Accounts receivable from consumers, concessionaires and permittees
| | -------- | ------------------------------------------------------------------

This covers accounts
receivable from (i) energy supply and use of network, billed and not billed, the latter of which is estimated, (ii) services rendered, late-payment increases, among others; (iii) sale of energy to concessionaires, permittees and free
consumers; (iv) energy traded through the Electric Energy Commercialization Chamber - CCEE; and (v) availability of the electric energy transmission network, until the balance sheet closing date, recorded on an accrual basis. These are
considered financial assets classified as loans and receivables.



| | 2.6.1.3. | Allowance for doubtful accounts
| | -------- | -------------------------------

The allowance for doubtful accounts is established,
substantially, considering receivables from residential consumers in default for more than 90 days, commercial consumers in default for more than 180 days, and industrial, rural, public sector, public lighting and public services in default for more
than 360 days, based on a detailed analysis in connection with significant defaulters. This is recognized in an amount considered sufficient by the Groups management to cover probable losses on credits recorded by the Groups
subsidiaries.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.6. | Financial instruments - Initial recognition and subsequent measurement--Continued
| | ---- | ---------------------------------------------------------------------------------



Subsequent measurement--Continued



| | 2.6.2. | Impairment of financial assets
| | ------ | ------------------------------

The Group assesses, at each reporting date, whether there is
any objective evidence that a financial asset or a group of financial assets is impaired. A financial asset or a group of financial assets is deemed to be impaired if, and only if, there is objective evidence of impairment as a result of one or more
events that has occurred after the initial recognition of the asset (an incurred loss event) and that loss event has an impact on the estimated future cash flows of the financial asset or the group of financial assets that can be
reliably estimated.



| | 2.6.3. | Financial liabilities
| | ------ | ---------------------

Initial recognition and measurement

Financial liabilities within the scope of IAS 39 are classified as financial liabilities at fair value through profit or loss, loans and
borrowings, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. The Group determines the classification of its financial liabilities at initial recognition.

Financial liabilities are initially recognized at fair value and in the case of loans and borrowings, net of directly attributable
transaction costs.

The Groups financial liabilities include trade and other payables, bank overdrafts, loans and borrowings,
debentures and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification as follows:

Financial assets at fair value through income statement

Financial assets at fair value through income statement include financial assets held for trading and financial assets designated upon
initial recognition at fair value through income statement. The Group does not present any financial liability at fair value through income statement.

Held for trading

Financial liabilities are classified as held for trading if they are acquired for the purpose of selling in the near term. This category
includes derivative financial instruments entered into by the Group that do not qualify for hedge accounting as defined by IAS 39, unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are
recognized in the income statement.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.6. | Financial instruments - Initial recognition and subsequent measurement--Continued
| | ---- | ---------------------------------------------------------------------------------



| | 2.6.3. | Financial liabilities--Continued
| | ------ | --------------------------------



Subsequent measurement--Continued



Loans, borrowings and debentures

After initial recognition, interest bearing loans and borrowings and debentures are subsequently measured at amortized cost using the
effective interest rate method. Gains and losses are recognized in the income statement when the liabilities are derecognized as well as through the effective interest rate method during the amortization process.

Derecognition (write-off) of financial liabilities

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing
financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original
liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognized in the income statement.



| | 2.6.4. | Offsetting of financial instruments
| | ------ | -----------------------------------

Financial assets and financial liabilities are offset
and the net amount is reported in the consolidated statement of financial position if, and only if, there is a currently enforceable legal right to set off the recognized amounts and there is an intention to settle on a net basis, or to realize the
assets and settle the liabilities simultaneously.



| | 2.6.5. | Fair value of financial instruments
| | ------ | -----------------------------------

The fair value of financial instruments that are traded
in active markets at each reporting date is determined by reference to quoted market prices, without any deduction for transaction costs.

For financial instruments not traded in an active market, the fair value is determined using appropriate valuation techniques. Such
techniques may include using recent arms length market transactions; reference to the current fair value of another instrument that is substantially the same; a discounted cash flow analysis or other valuation models.



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|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.7. | Derivative financial instruments
| | ---- | --------------------------------

Endesa Group has derivative financial instruments
represented by swap contracts, aiming at partially protecting its exposure to the CDI rate arising from debentures issued by Ampla Energia and COELCE, and to exchange rate variation on CGTFs loans and financing pegged to the US dollar.
Derivative financial instruments are classified as cash flow hedge and are recognized at fair value. Gains or losses on the effective portion of these swaps are recognized directly in equity, under other comprehensive income. Note 22 include more
detailed information on the derivative financial instruments entered into by the Companys subsidiaries.

Endesa Group does not have
derivative contracts for commercial and speculative purposes.



| | 2.8. | Indemnification assets (Concession)
| | ---- | -----------------------------------

The Distribution Concession Agreement
No. 05/96  ANEEL, of December 9, 1996, celebrated between the Federal Government (Granting Authority) and Ampla Energia e Serviços S.A. (Concessionaire), and the Distribution Concession Agreement No. 01/98  ANEEL,
of May 13, 1998 and further amendments, celebrated between the Federal Government (Granting Authority) and COELCE (Concessionaire), regulate the operation of the public services of electricity distribution by the Companys subsidiaries,
considering that:



| | a) | The agreements determine which services the operator has to provide and for whom (consumers);
| | -- | ---------------------------------------------------------------------------------------------



| | b) | These agreements determine the standard performance for the provision of public services, in relation to maintenance and improvement of customer service quality, and the operator has the obligation to, upon the end of
the concession, return the infrastructure under the same conditions as received when these agreements were executed. To comply with these obligations, constant investments over the concession term are made. Therefore, the concession assets can be
sometimes replaced until the end of the concession;
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | c) | At the end of the concession, the assets linked to the infrastructure must be reversed to the granting authority upon payment of the indemnification; and
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------



| | d) | The price is regulated through a fee mechanism established in the concession agreements based on parametric formulas (Portion A and B), the fee review modalities are also defined, and they must be sufficient enough to
cover the costs, the amortization of investments and remuneration of invested capital.
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Based on the characteristics defined
in the electricity distribution concession agreement of the Companys subsidiaries, the Management understands that the conditions for application of IFRIC 12  Service Concession Agreements, which provides instructions on accounting for
concession of public services to private operators, in order to reflect the electricity distribution business, including:



| | 1. | Estimate portion of investments made and not amortized or depreciated until the end of the concession term determined based on the New Replacement Value (VNR) classified as financial asset as it is an
unconditional right to receive cash or other financial asset directly from the granting authority; and
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2. | Remaining portion of financial asset (net book value) determined in accordance with VNR classified as intangible asset once its recovery is conditioned to the use of the public service, i.e. the consumption of
electricity.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.8. | Indemnification assets (Concession)--Continued
| | ---- | ----------------------------------------------



The infrastructure received or built for distribution activities, which was originally
represented by the fixed and intangible assets of the Companys subsidiaries, is recovered through two cash flows, as follows: (i) a portion through consumption of electricity by consumers (issue of monthly bill according to measurement of
electricity consumed/sold) during the concession term; and (ii) a portion through indemnification of reversible assets at the end of the concession, to be received directly by the granting authority or whomever thereby appointed.

This indemnification is based on portions of the investments linked to reversible assets, still not amortized or depreciated, which had been
made in order to ensure that the granted services are continuous.

Pursuant to Law No. 12783/2013 (Law
No. 12783/13), of January 11, 2013, the calculation of investments linked to reversible assets not yet amortized or depreciated for indemnification purposes must use the new replacement value method, according to the criteria defined
by the granting authority. This method was adopted for the first time in financial statements for year ended December 31, 2012, not affecting prior-year results.

The Companys subsidiaries recognize financial assets from concession agreements when there is an unconditional contractual right to
receive cash or other equivalent financial asset from the granting authority referring to construction or improvement services provided. These financial assets are measured at fair value upon initial recognition; after initial recognition these
financial assets are measured at their VNR.

This financial asset, represented by the indemnification value of the Companys
subsidiaries, is classified as available for sale.



| | 2.9. | Property, plant and equipment
| | ---- | -----------------------------

Endesa Group property, plant and equipment is stated at
cost, net of accumulated depreciation and accumulated impairment losses, if any. When significant parts of property, plant and equipment are required to be replaced at intervals, the Group recognizes such parts as individual assets with specific
useful lives and depreciates them accordingly. All other repair and maintenance costs are recognized in profit or loss as incurred. The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each
financial year end and adjusted prospectively, if appropriate.

Depreciation is calculated on a straight-line basis over the estimated
useful lives of the assets.

An item of property, plant and equipment and any significant part initially recognized is derecognized upon
disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is
included in the income statement when the asset is derecognized.

The net book value and useful lives of assets and depreciation methods
are reviewed at the end of each year, and adjusted prospectively, if applicable.



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|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.10. | Intangible assets
| | ----- | -----------------

Concession right-of-use

This includes the right to use the infrastructure built or acquired by the operator, or provided by the granting authority to be used as part
of the electric energy service concession arrangement (right to charge consumers for the utility service provided thereby), in accordance with IAS 38 - Intangible Assets (IAS 38) and IFRIC 12.

Intangible assets are amortized on a non-straight-line basis and limited to the remaining concession term of the Companys subsidiaries
or useful life of the related asset, whichever is lowers. These are valued at acquisition cost, less accumulated amortization and impairment losses, where applicable.

Concession right from acquisition

The fiscal benefit originated by the concession right from acquisition recorded in the balance sheet of Endesa Brasil S.A. economically
grounded on expected statements of operations over the concession exploration period of subsidiary COELCE, and stems from the acquisition of the concession right granted by the Government.

The fiscal benefit is amortized based on the concession arrangement, monthly proportional to its profitability projected through
December 31, 2027.



| | 2.11. | Impairment of non-financial assets
| | ----- | ----------------------------------

The Endesa Groups management annually reviews
net book value of its assets so as to assess events or changes in economic, operating or technological circumstances which may indicate deterioration or impairment. When such evidence is identified and net book value exceeds recoverable amount, a
provision for impairment is set up by adjusting net book value to recoverable value.

Recoverable amount of an asset item or of a
cash-generating unit (CGU) is defined as the higher of value in use and fair value less cost to sell.

In estimating value in use of an
asset item or CGU, estimated future cash flows are discounted to present value at a pre-tax discount rate reflecting the weighted average capital cost for the industry in which the asset or CGU operates.



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|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



2.12. Tax incentive

Government grants are recognized where there is reasonable assurance that the grant will be received and all attached conditions will be
complied with. When the grant relates to an expense item, it is recognized as income on a systematic basis over the periods that the related costs, for which it is intended to compensate, are expensed. When the grant relates to an asset, it is
recognized as income in equal amounts over the expected useful life of the related asset.

When the Group receives grants of non-monetary
assets, the asset and the grant are recorded at nominal amounts and released to profit or loss over the expected useful life in a pattern of consumption of the benefit of the underlying asset by equal annual instalments.

The subsidiaries COELCE and CGTF have tax incentives (ADENE benefit), such as a 75% decrease in income tax and non-refundable additions,
calculated on the operation profit, referring to distribution activities until 2016 (based year). The amounts corresponding to decrease in income tax are recorded as reduction of the corresponding tax expenses in income statement for the year and
then transferred to equity in account Tax Incentive Reserve.



| | 2.13. | Provisions
| | ----- | ----------

General

Provisions are recognized when the Group has present (legal or not formalized) obligations as result of a past event, and it is likely that
economic benefits are required to settle said obligations, and they can be reliably estimated. When the Group expects that the amount of one provision will be reimbursed, whether totally or partially, due to, for instance, an insurance contract,
this reimbursement is separately recognized as an asset, but only when this reimbursement is virtually certain.

Expenses related to any
provisions are presented in income statement, net of any reimbursements.

Provisions for tax, civil and labor risks

The Group is part to various legal and administrative proceedings. Provisions are set up for all contingencies referring to legal proceedings,
the settlement of which is likely to require an outflow of funds, and that can be reliably estimated. Assessment of the likelihood of loss includes the evaluation of evidence available, hierarchy of laws and jurisdiction, the latest court decisions
and their relevance in the legal realm, as well as evaluation of the Groups legal counsel. Provisions are reviewed and adjusted to consider changes in circumstances such as applicable limitation period, conclusion of tax inspections or
additional exposures found based in new legal issues or court decisions.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.14. | Taxation
| | ----- | --------



| | 2.14.1. | Income and social contribution taxes - Current
| | ------- | ----------------------------------------------

Current tax assets and liabilities of the
previous years are measure at the expected recoverable value or amount payable to tax authorities. The tax rates and laws used to calculate the respective amount are those in effect or substantially in effect at balance sheet date.

Current income and social contribution taxes relating to items recognized directly in equity are recognized under equity. Management
periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate.



| | 2.14.2. | Deferred taxes
| | ------- | --------------

Deferred taxes are generated by temporary differences at the end of the
reporting period between tax bases of assets and liabilities and their book value. Deferred tax liabilities are recognized for all temporary tax differences, except:



| |  |  | When the deferred tax liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the
accounting profit nor taxable profit or loss, and
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | In respect of taxable temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, when the timing of the reversal of the temporary differences can be controlled and it
is probable that the temporary differences will not reverse in the foreseeable future.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Deferred tax assets are recognized
for all deductible temporary differences, the carry forward of unused tax credits and any unused tax losses. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible
temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilized, except:



| |  |  | When the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the
transaction, affects neither the accounting profit nor taxable profit or loss; and
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | In respect of deductible temporary differences associated with investments in subsidiaries, deferred tax assets are recognized only to the extent that it is probable that the temporary differences will reverse in the
foreseeable future and taxable profit will be available against which the temporary differences can be utilized.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.14. | Taxation--Continued
| | ----- | -------------------



| | 2.14.2. | Deferred taxes--Continued
| | ------- | -------------------------



The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to
the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to
the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax
assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting
date.

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets
against current income tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.



| | 2.14.3. | Sales taxation
| | ------- | --------------

Income, expenses and assets are recognized net of taxes on sales, except
when:



| |  |  | When the sales tax incurred on the purchase of goods or services is not recoverable from the tax authorities, in which case the sales tax is recognized as part of the acquisition cost of the asset or expense item, as
the case may be;
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | When the amounts receivable or payable are presented together with the amount of tax on sales; and
| | - |  | --------------------------------------------------------------------------------------------------



| |  |  | When the net amount of sales tax recoverable or payable is included as a component of the amounts receivable or payable in the balance sheets.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------



| | 2.15. | Regulatory charges
| | ----- | ------------------

Since Ampla Energia, CDSA, CIEN, CGTF and COELCE, subsidiaries of
Endesa Brasil, operate in regulated segments, they are charged amounts as payment of regulatory charges, as follows:



| | 2.15.1. | Global Reversion Reserve (RGR)
| | ------- | ------------------------------

This refers to provision of amounts to be paid to Centrais
Elétricas Brasileiras S.A. - Eletrobras, calculated based on 2.5% on Property Plant Equipment, limited to 3% of gross operating revenue from electric energy. The amounts are regulated on an annual basis, by means of decisions handed down by
ANEELs Financial Supervisory Authority (SFF). Since January 1o, 2013, the Law No.12,783/13 extinguish the collection of the RGR for distribution companies.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.15. | Regulatory charges--Continued
| | ----- | -----------------------------



| | 2.15.2. | Fuel Consumption Account (CCC)
| | ------- | ------------------------------

The portion of the tariff revenue paid by distribution
companies in the interconnected system, for two purposes: payment of expenses with fuel used in thermal plants that are powered to cover hydrologic uncertainties; and subsidy of part of expenses with fuel in isolated systems to enable that electric
tariffs in such locations have levels similar to those adopted in interconnected systems. Since January 1o, 2013, the Law No.12,783/13 extinguish the collection of the CCC for energy companies.



| | 2.15.3. | Energy Development Account (CDE)
| | ------- | --------------------------------

The objective is to foster the energy development in the
Brazilian States and competitiveness of the energy produced from alternative sources, in areas covered by interconnected systems, enabling the universal use of the electric energy services. The amounts payable are also defined by ANEEL. Since
January 1o, 2013, the Law No.12,783/13 reduced in 75% the collection of the CDE.



| | 2.15.4. | Energy Efficiency Programs (PEE) - Research and Development (P&D) - National Scientific and Technological Development Fund (FNDCT) and Energy Efficiency Company (EPE).
| | ------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------

These refer to reinvestment programs required by ANEEL for electric energy distribution companies, whereby 1% of net regulatory operating
revenue (Regulatory ROL) must be annually allocated to such funds.



| | 2.15.5. | Public Electric Energy Service Inspection Fee (TFSEE)
| | ------- | -----------------------------------------------------

The inspection fees charged on
distribution of electric energy are differentiated and proportional to the services offered, calculated annually by ANEEL, considering the economic value added by the concession operator.



| | 2.15.6. | System Service Charges (ESS)
| | ------- | ----------------------------

This represents the cost incurred to maintain the reliability
and stability of the National Interconnected System to meet energy consumption demand in Brazil. This cost is calculated by CCEE on a monthly basis, and paid by agents of the consumption category to generating agents.



| | 2.15.7. | Financial compensation for use of water resources (CFURH)
| | ------- | ---------------------------------------------------------

This corresponds to a percentage
that concessionaires and companies authorized to produce energy for hydroelectric generation pay for the use of water resources, calculated by the value of energy produced.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.16. | Other current and non-current assets and liabilities
| | ----- | ----------------------------------------------------

These are stated at realization
values (assets) and at known or determinable amounts increased, where applicable, by the corresponding charges and monetary restatements incurred (liabilities).



| | 2.17. | Profit sharing
| | ----- | --------------

The Endesa Group recognizes a liability and a profit sharing expense
from a formula that considers attainment of operating goals and specific objectives, established and approved at the beginning of each year. This amount is paid at the end of March following the year-end.



| | 2.18. | Payment of dividends
| | ----- | --------------------

The dividend recognition policy is in line with IAS 37 -
Provisions, Contingent Liabilities and Contingent Assets (IAS 37), which determine that proposed dividends be paid and be grounded on statutory obligations, recorded as current liabilities.

The Groups articles of incorporation establish that at least 25% of annual net income (except for the subsidiary CGTF - 2%) be paid for purposes of dividends, after allocation of the legal reserve.

As such,
at the closing of the year and after the proper legal allocations have been made, the Group records the provision corresponding to the minimum mandatory dividends not yet paid in the year, whereas proposed dividends exceeding the minimum mandatory
dividends are stated as Proposal for payment of additional dividends in equity.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.19. | Retirement and other post-employment benefits
| | ----- | ---------------------------------------------

The Endesa Group sponsors defined
benefit pension plans to certain employees, in addition to post-employment health care and gratification in retirement, which require that contributions be made to funds administered separately from the subsidiaries own funds.

Obligations relating post-employment benefits are accrued for based on actuarial calculation prepared annually by an independent actuary,
using the projected unit credit method, net of collateral plan assets, where applicable, and corresponding costs are recognized over the employees. The projected unit credit method considers each service period as being a taxable event of an
additional benefit unit, accumulated for calculation of the total obligation. Other actuarial assumptions are also used, such as biological and economic hypotheses, historical data on expenses incurred and employee contributions.

Actuarial gains and losses generated by adjustments and changes in actuarial assumptions of pension and other retirement benefit plans are
posted to other comprehensive income, based on actuarial calculations prepared by the independent actuary, as detailed in Note 31.

Retrospective application of IAS 19 (Revised)  Employee benefits

This standard is applicable for annual periods beginning on or after 1 January 2013, with retrospective application, in accordance with
IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors.

The main impacts caused by the application of this standard are
(i) elimination of the corridor method (not applicable to Companys subsidiaries), (ii) computation of the estimate return of assets using the same discount rate used to calculate the actuarial obligation and (iii) allocation of
interest on the limiting effect for recognition of asset from benefit defined in plans with surplus which are not subject to recognition in accordance with local rules (which had no material retrospective impact).

In accordance with paragraph 22 of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors, when a change in the accounting
practices is retrospectively applied, the Group has to adjust the opening balance of each equity component affected for the oldest period presented and the other comparative amounts disclosed for each prior period presented, as if the new accounting
practice had been applied.

Provided that the adoption of IAS 19 R had no material impact on financial statements for year ended
December 31, 2013, Endesa Group is not presenting the corresponding retrospective effects.



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.20. | Statement of cash flows
| | ----- | -----------------------

The statements of cash flows were prepared and are presented
in accordance with IAS 7  Statement of Cash Flows (IAS 7).



| | 2.21. | New pronouncements/amendment applied for the first time in 2013
| | ----- | ---------------------------------------------------------------

Certain standards and
interpretations were reviewed and their adoption is mandatory for years beginning on January 1, 2013. Given the nature of changes made and the Companys and its subsidiarys operations, the adoption of these standards and
interpretations, mentioned below, did not have any significant impact on consolidated financial statements of Endesa Group.



| |  |  | New IAS 27 - Separate Financial Statements. The issuance of IFRS 10 eliminated all matters regarding consolidated financial statements from IAS 27, restricting its scope to separate financial statements only.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | New IAS 28 - Investments in Associates and Joint Ventures. Amended by the issuance of IFRS 10 and IFRS 11 for the purpose of making the definitions and other clarifications contained in these new IFRS uniform.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IFRS 10 - Consolidated Financial Statements, IAS 27 - Separate Financial Statements. IFRS 10 replaces the portion of IAS 27 Consolidated and Separate Financial Statements that addresses the accounting for consolidated
financial statements. IFRS 10 establishes a single control model that applies to all entities including special purpose entities. The changes introduced by IFRS 10 required management to exercise significant judgment to determine which entities are
controlled and therefore are required to be consolidated by a parent, compared with the requirements that were in IAS 27.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IFRS 11 - Joint Arrangements. IFRS 11 replaces IAS 31 - Interests in Joint Ventures and SIC-13 - Jointly-controlled Entities - Non-monetary Contributions by Venturers. IFRS 11 removes the option to account for jointly
controlled entities (JCEs) using proportionate consolidation. Instead, JCEs that meet the definition of a joint venture must be accounted for using the equity method.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IFRS 12 - Disclosure of Interests in Other Entities. The purpose of this pronouncement is providing guidance on disclosure of information referring to equity held in other entities. Therefore, the users of the financial
statements can evaluate the risks inherent in this interest and the effects of the equity and financial position, financial performance and respective cash flows.
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IFRS 13 - Fair Value Measurement. IFRS 13 establishes a single source of guidance under IFRS for all fair value measurements. IFRS 13 does not change when an entity is required to use fair value, but rather provides
guidance on how to measure fair value under IFRS when fair value is required or permitted.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IAS 19 (Revised) - Employee benefits. The purpose of this pronouncement is guiding the accounting and disclosure of benefits granted to employees. Therefore, the pronouncement requires the recognition of the following
by the Group: (a) a liability when the employee provided service in exchange of benefits payable in the future; and (b) an expense when the entity uses economic benefits from services received from the employee in exchange of benefits to
this employee. For further details, see Note 2.19.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.21. | New pronouncements/amendment applied for the first time in 2013--Continued
| | ----- | --------------------------------------------------------------------------



| |  |  | Amendment to IFRS 7 - Financial Instruments: Disclosures. Clarifies the requirements of disclosures relating to offsetting of financial assets and financial liabilities.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Improvements to the IFRS - Corresponds to a number of necessary but non-urgent improvements that amend the following standards: IFRS 1, IAS 1, IAS 16, IAS 32, and IAS 34.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Transition Guide (Amendments to IFRS 10, 11, and 12) - The amendments clarify IFRS 10 transition guidance. These amendments also simplify the transition for IFRS 10, IFRS 11, and IFRS 12, limiting the requirements to
the provision of adjusted comparative information for the immediately preceding period only. In addition, the amendments eliminate the requirement to present comparative information for disclosures related to unconsolidated structured entities for
periods prior to the first application of IFRS 12.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.22. | New pronouncements/amendment not yet in effect on December 31, 2013
| | ----- | -------------------------------------------------------------------

The
International Accounting Standard Board (IASB) issued and reviewed the following key standards which were still not in effect at the Groups financial statements date:



| |  |  | IFRS 9 - Financial Instruments: Classification and Measurement. IFRS 9 introduces new requirements for classification, measurement and write-off of financial assets and liabilities (in force for years beginning on or
after January 1, 2015). Endesa Group will assess the impact that IFRS 9 will have on its financial statements when the standard is complete.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | IFRIC 21 - Levies. This provides guidance on when the Group has to recognize liabilities for a levy (i.e. Regulatory charges) when the triggering event occurs (effective for years beginning on or after January 1,
2015). Based on the preliminary analyses performed, IFRIC 21 is not expecting to have any material impact on the Groups financial statements.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Amendment to IFRS 9 - Financial Instruments: Classification and Measurement. This is the second stage of the IASB project to replace IAS 39 - Financial Instruments: Recognition and Measurement. This amendment adds a
special chapter on hedge accounting that establishes a new model aimed at reflecting better alignment between accounting and risk management. Improvements have also been made to the disclosures required. This amendment also eliminates the mandatory
application date for IFRS 9 since the third and final stage of the project, which covers impairment of financial assets, has still not been completed. Endesa Group will assess the impact that IFRS 9 will have on its financial statements when the
standard is complete.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Amendments to IFRS 10, 12, and IAS 27- Investment Entities. Under IFRS 10, reporting entities are required to consolidate all of the companies over which they have control. The amendment establishes an exception to
these requirements, allowing Investment Entities to measure their investments at fair value with changes in income as provided for under IFRS 9 instead of consolidating them. Endesa Group does not expect that this amendment will have significant
impacts on its financial statements.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Amendment to IAS 19 - Employee Benefits. The purpose of this modification to the scope of IAS 19 is to simplify the accounting for contributions not affected by the employees years of service, such as employee
contributions calculated on the basis of a fixed percentage of a salary. Endesa Group does not expect that this amendment will have significant impacts on its financial statements.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES--Continued
|-- | -----------------------------------------------------



| | 2.22. | New pronouncements/amendment not yet in effect on December 31, 2013--Continued
| | ----- | ------------------------------------------------------------------------------



| |  |  | Amendment to IAS 32 - Offsetting of financial assets and liabilities. The amendments clarifies the meaning of currently having a legal right to offset recognized amounts and the criteria making the
non-simultaneous settlement mechanisms of offsetting chambers qualify for offsetting (effective for years beginning on or after January 1, 2015). Endesa Group does not expect that this amendment will have significant impacts on its financial
statements.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Amendment to IAS 36 - Impairment of Assets. The amendment clarifies the extent of disclosures regarding the recoverable value of impaired assets, limiting the information requirements to the recoverable amount, based on
the fair value less costs of disposal. Endesa Group does not expect that this amendment will have significant impacts on its financial statements.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Amendment to IAS 39 - Renewal of Derivatives and Continuation of Hedge Accounting - The changes relief the discontinuation of hedge accounting when the renewal of a derivative designed with hedge meets certain criteria
(effective for years beginning on or after January 1, 2015). Endesa Group does not expect that this amendment will have significant impacts on its financial statements.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Improvements to the IFRS (2010-2012 and 2011-2013 Cycles) - This is a set of improvements that are necessary but not urgent. They make changes to the following standards: IFRS 2, IFRS 3, IFRS 8, IFRS 13, IAS 16, IAS 24,
IAS 38, and IAS 40.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

There are no other standards and interpretations issued and not yet adopted that, in managements
opinion, could significantly impact statements of operations or equity disclosed by the Group.



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##### Table of Contents

|3. | SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS
|-- | -----------------------------------------------------------

Judgments

The preparation of the Groups financial statements requires management to make judgments, estimates and assumptions that affect the
reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities, as of the financial statements date.

Estimates and assumptions

Significant assumptions regarding the sources of uncertainty of future estimates and other significant estimate-related sources of uncertainty
as of the consolidated statement of financial position date, involving significant risk of future adjustments in the book value of assets and liabilities for the following financial year are discussed below.

Impairment of financial assets

Impairment occurs when the book value of an asset or cash-generating unit exceeds its recoverable amount, which is the higher of the fair
value less sale costs and the value in use. The calculation of fair value less costs of sales is based on the information available of sales transactions of similar assets or market prices less additional costs to sell the asset. The calculation of
the value in use considers the discounted cash flow model. Cash flows derive from a budget prepared for the following five years and do not include reorganization activities not yet engaged by the Group or significant future investments that will
improve the base of assets of the cash generating unit subject to testing. The recoverable amount is sensitive to the discount rate used in the discounted cash flow method, to receipts of expected future cash and to the growth rate adopted for
extrapolation purposes.

Provisions for tax, civil and labor risks

The Group recognizes provision for tax, civil and labor contingencies. Assessment of the likelihood of loss includes an evaluation of
available evidence, hierarchy of laws, available case laws, most recent court rulings and their relevance in the legal system, as well as the legal counsels opinion. The provisions are reviewed and adjusted to take into consideration changes
in circumstances, such as applicable statute of limitations, conclusions of tax audits or additional exposures identified based on new matters or court rulings.

Allowance for doubtful accounts

An allowance for doubtful accounts is set up in an amount considered sufficient by Management to cover any losses on realization of
receivables, considering historical losses and an individual assessment of accounts receivable subject to realization risks.

The
allowance is set up based, substantially, on receivables from residential consumers overdue for more than 90 days, commercial consumers overdue for more than 180 days, industrial, rural, government entities, public lighting and utilities overdue for
more than 360 days, also considering in-depth analyses for customers with significant debts.



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##### Table of Contents

|3. | SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS--Continued
|-- | ----------------------------------------------------------------------



Estimates and assumptions--Continued



Taxes

There are uncertainties regarding the interpretation of complex tax regulation as well as the amount and period of future taxable profit.
Given the long-term nature and complexity of existing contractual arrangements, differences between actual results and assumptions adopted, or future changes to such assumptions could require future adjustments to the previously recorded tax income
and expenses. The Group sets up provisions based on applicable estimates for possible consequences of audits by tax authorities of the jurisdictions in which it operates. The provision amounts are based on various factors, such as experience from
prior tax audits and divergent interpretations of tax regulations by the taxable entity and the tax authority in charge. Such divergent interpretations could arise from a wide range of issues, depending on the conditions prevailing in the domicile
of the Company and its subsidiaries.

Deferred tax asset is recognized to the extent that it is probable that taxable profit will be
available to enable use of the referred to tax losses.

Management is required to make significant judgment to determine the deferred
income tax amount to be recognized, based on the probable term and level of future taxable profit, together with future tax planning strategies.

Post-employment benefits

The cost of pension plans with defined benefit and other retirement benefits, and the present value of pension obligations are determined
using actuarial valuation methods. The actuarial valuation involves use of assumptions about discount rates, future salary increases, mortality rates and future increases in retirement and pension benefits.

The defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each financial statement
date. For more details on the assumptions used, see Note 31.

Unbilled revenue

The calculation of unbilled revenue is based on the number of days not billed in the month, the estimated amount of energy delivered during
those days and the estimated average price per customer class for that month. Differences between actual and estimated unbilled revenue are usually immaterial.



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##### Table of Contents

4.  ANEEL DECREE NO. 7,945/13 (CDE SUBVENTIONS RESOURCES)

In function of the unfavorable hydroelectric conditions at the end of 2012 and beginning of 2013, including the low levels of hydroelectric
plants reservoirs  the lowest since 2001 -, thermoelectric plants are working at maximum capacity. Therefore, the cost of electricity from distributors had a significant increase in 2012 and beginning of 2013.

Due to this scenario and considering that the distribution concessionaires are not responsible for managing these issues, the Brazilian
government issues the Decree No. 7,945/13, determining the transfer of funds from CDE (Energy Development Account) in order to neutralize a portion of the cash issues and performance faced by distributors in this period

The funds covered by this transfer from CDE totalized R$ 541,350 in the year ended December 31, 2013, and are related to
(i) System Service Charges (ESS) (decision apart from adjudging merits for energy safety purposes), amounting to R$ 176,432; (ii) hydrological risk (Mechanism for Energy Relocation  MRE of quotas), amounting to R$ 20,939;
(iii) involuntary exposure (Exposure to Differences Settlement Price - PLD) limited to the amount not covered by the allocation of quotas, amounting to R$ 199,171; and (iv) CVA ESS and Energy (full or partial value of system service
charge and energy purchased for resale), amounting to R$ 144,808. Of these total funds, R$ 527,921 were received until December 31, 2013. According to IAS 20  Accounting for Government Grants and Disclosure of Government
Assistance, this amount was recognized as offsetting of incurred costs, and accounted for under CDE Funds  Decree No. 7,945/2013 in current assets, matching against Energy purchased for resale.

Of the total amount receivable of R$ 13,429 at December 31, 2013, the amount of R$ 5,637 corresponds to supplementary
differences from April to November 2013, disclosed in Technical Note No. 537 of December 30, 2013, and the amount of R$ 7,792 refers to provision for December, determined by Management based on its best estimate, information and rules
disclosed for computation of funds covered by CDE transfer, which were still not approved by ANEEL.



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##### Table of Contents

|5. | CASH AND CASH EQUIVALENTS
|-- | -------------------------



|                                |  |            |           |  |            |  |         | 
|------------------------------- |  | ---------- | --------- |  | ---------- |  | ------- | 
|                                |  | 12/31/2013 |           |  | 12/31/2012 | 
|Cash and checking accounts      |  |            | 16,976    |  |            |  | 124,035 | 
|Short-term investments          |  |            | 1,079,874 |  |            |  | 690,770 | 
|                                |  |            |           |  |            |  |         | 
|Total cash and cash equivalents |  |            | 1,096.850 |  |            |  | 814,805 | 
|                                |  |            |           |  |            |  |         | 

The excess cash of the Company and its subsidiaries is invested on a conservative basis in low-risk financial
assets, and the main financial instruments are represented by CDBs (Bank Deposit Certificates) and purchase and sales commitments. They are highly liquid investments, immediately convertible into available funds, in accordance with the cash needs of
the Company and its subsidiaries. Short-term investments of the Company and its subsidiaries earn interest compatible with the CDI variations.

At December 31, 2013 and 2012, financial instruments classified as short-term investment are as follows:



|                               |  |            |           |  |            |  |         | 
|------------------------------ |  | ---------- | --------- |  | ---------- |  | ------- | 
|                               |  | 12/31/2013 |           |  | 12/31/2012 | 
|                               |  |           
|Direct investments             |  |            |           |  |            |  |         | 
|Bank Deposit Certificate  CDB |  |            | 92,252    |  |            |  | 131,874 | 
|Purchase and sales commitments |  |            | 56,723    |  |            |  | 83,602  | 
|                               |  |            |           |  |            |  |         | 
|Total direct investments       |  |            | 148,975   |  |            |  | 215,476 | 
|                               |  |            |           |  |            |  |         | 
|Exclusive funds                |  |            |           |  |            |  |         | 
|Bank Deposit Certificate  CDB |  |            | 432,843   |  |            |  | 299,367 | 
|Purchase and sales commitments |  |            | 498,056   |  |            |  | 175,927 | 
|                               |  |            |           |  |            |  |         | 
|Total exclusive funds          |  |            | 930,899   |  |            |  | 475,294 | 
|                               |  |            |           |  |            |  |         | 
|Total short-term investments   |  |            | 1,079,874 |  |            |  | 690,770 | 
|                               |  |            |           |  |            |  |         | 

Short-term investments may be redeemed at any time, with possibility of immediate conversion into a known cash
amount with an insignificant risk of change in value. Given the nature and characteristics of short-term investments, they are recognized at fair value against profit and loss.



|6. | MARKETABLE SECURITIES
|-- | ---------------------

At December 31, 2013 and 2012, financial instruments
classified as marketable securities are as follows:



|                                 |  |            |         |  |            |  |         | 
|-------------------------------- |  | ---------- | ------- |  | ---------- |  | ------- | 
|                                 |  | 12/31/2013 |         |  | 12/31/2012 | 
|                                 |  |           
|Investment funds                 |  |            | 22,827  |  |            |  | 24,894  | 
|                                 |  |            |         |  |            |  |         | 
|Total investment funds           |  |            | 22,827  |  |            |  | 24,894  | 
|                                 |  |            |         |  |            |  |         | 
|Exclusive funds                  |  |            |         |  |            |  |         | 
|Public securities                |  |            | 550,490 |  |            |  | 379,654 | 
|Investment fund quotas           |  |            | 134,178 |  |            |  | 165,829 | 
|Other                            |  |            | 26,436  |  |            |  | 43,557  | 
|                                 |  |            |         |  |            |  |         | 
|Total exclusive investment funds |  |            | 711,104 |  |            |  | 589,040 | 
|                                 |  |            |         |  |            |  |         | 
|Argentine Republic Bonds         |  |            | 1,747   |  |            |  | 1,216   | 
|                                 |  |            |         |  |            |  |         | 
|Total marketable securities      |  |            | 735,678 |  |            |  | 615,150 | 
|                                 |  |            |         |  |            |  |         | 

Through the exclusive funds, the Company and its subsidiaries invest their excess cash in post-fixed and
pre-fixed government bonds, in addition to other traditional fixed-income securities with low credit risk and high liquidity



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##### Table of Contents

|7. | CONSUMERS, CONCESSIONAIRES AND PERMITTEES, NET
|-- | ----------------------------------------------



| | a) | Analysis of accounts receivable and statement of the allowance for doubtful accounts balance
| | -- | --------------------------------------------------------------------------------------------



|                                                 |  |          |         |  |               |  |         |                       |  |  |            |  |  |            |           |   |  |  |           | 
|------------------------------------------------ |  | -------- | ------- |  | ------------- |  | ------- | --------------------- |  |  | ---------- |  |  | ---------- | --------- | - |  |  | --------- | 
|                                                 |  |          |         |  | Overdue until |  |         | Overdue for more than |  |  | Total      | 
|                                                 |  | Maturing |         |  | 90 days       |  |         | 90 days               |  |  | 12/31/2013 |  |  | 12/31/2012 |          
|                                                 |  |          |         |  |               |  |         |                      
|Current                                          |  |          |         |  |               |  |         |                       |  |  |            |  |  |            |           |   |  |  |           | 
|Consumer class:                                  |  |          |         |  |               |  |         |                       |  |  |            |  |  |            |           |   |  |  |           | 
|Residential                                      |  |          | 185,641 |  |               |  | 123,702 |                       |  |  | 42,068     |  |  |            | 351,411   |   |  |  | 387,492   | 
|Industrial                                       |  |          | 43,473  |  |               |  | 10,711  |                       |  |  | 21,935     |  |  |            | 76,119    |   |  |  | 80,250    | 
|Commercial                                       |  |          | 75,402  |  |               |  | 31,291  |                       |  |  | 31,443     |  |  |            | 138,136   |   |  |  | 140,675   | 
|Rural                                            |  |          | 26,903  |  |               |  | 9,250   |                       |  |  | 9,389      |  |  |            | 45,542    |   |  |  | 43,315    | 
|Government                                       |  |          | 59,980  |  |               |  | 24,259  |                       |  |  | 19,465     |  |  |            | 103,704   |   |  |  | 121,590   | 
|Public lighting                                  |  |          | 4,001   |  |               |  | 809     |                       |  |  | 92         |  |  |            | 4,902     |   |  |  | -         | 
|Public service                                   |  |          | 11,792  |  |               |  | 1,098   |                       |  |  | 138        |  |  |            | 13,028    |   |  |  | 14,159    | 
|Resale                                           |  |          | 5,461   |  |               |  | -       |                       |  |  | -          |  |  |            | 5,461     |   |  |  | 4,966     | 
|                                                 |  |          |         |  |               |  |         |                      
|Subtotal                                         |  |          | 412,653 |  |               |  | 201,120 |                       |  |  | 124,530    |  |  |            | 738,303   |   |  |  | 792,447   | 
|                                                 |  |          |         |  |               |  |         |                      
|Unbilled revenue (d)                             |  |          | 271,853 |  |               |  | -       |                       |  |  | -          |  |  |            | 271,853   |   |  |  | 308,424   | 
|Free consumers                                   |  |          | 48,656  |  |               |  | 252     |                       |  |  | 5,070      |  |  |            | 53,978    |   |  |  | 43,930    | 
|Electric Energy Trade Chamber - CCEE             |  |          | 22,114  |  |               |  | 20,355  |                       |  |  | 4,136      |  |  |            | 46,605    |   |  |  | 88,028    | 
|Installment payment of debts (c)                 |  |          | 15,764  |  |               |  | -       |                       |  |  | -          |  |  |            | 15,764    |   |  |  | 17,059    | 
|Energy auction -CCEAR                            |  |          | 9,790   |  |               |  | -       |                       |  |  | 2,048      |  |  |            | 11,838    |   |  |  | 14,871    | 
|Emergency charges                                |  |          | -       |  |               |  | -       |                       |  |  | 2,487      |  |  |            | 2,487     |   |  |  | 2,473     | 
|Companhia Energética de Goiás - CELG             |  |          | 174     |  |               |  | -       |                       |  |  | -          |  |  |            | 174       |   |  |  | 136       | 
|Receivables from clients questioned in court (b) |  |          | -       |  |               |  | -       |                       |  |  | 64,948     |  |  |            | 64,948    |   |  |  | 63,303    | 
|Furnas Centrais Elétricas S.A. (e)               |  |          | 1,443   |  |               |  | -       |                       |  |  | 2,685      |  |  |            | 4,128     |   |  |  | 2,505     | 
|Tractebel Energia S.A. (e)                       |  |          | 872     |  |               |  | -       |                       |  |  | -          |  |  |            | 872       |   |  |  | 2,025     | 
|Other                                            |  |          | 19,456  |  |               |  | 559     |                       |  |  | 810        |  |  |            | 20,825    |   |  |  | 60,287    | 
|                                                 |  |          |         |  |               |  |         |                      
|Subtotal                                         |  |          | 802,775 |  |               |  | 222,286 |                       |  |  | 206,714    |  |  |            | 1,231,775 |   |  |  | 1,395,488 | 
|                                                 |  |          |         |  |               |  |         |                      
|                                                 |  |          |         |  |              
|Allowance for doubtful accounts (a)              |  |          | -       |  |               |  | -       |                       |  |  | -          |  |  |            | (199,317  | ) |  |  | (199,584) | 
|                                                 |  |          |         |  |               |  |         |                      
|Total current assets                             |  |          | 802,775 |  |               |  | 222,286 |                       |  |  | 206,714    |  |  |            | 1,032,458 |   |  |  | 1,195,904 | 
|                                                 |  |          |         |  |               |  |         |                      
|Non-current assets                               |  |          |         |  |               |  |         |                       |  |  |            |  |  |            |           |   |  |  |           | 
|Furnas Centrais Elétricas S.A. (e)               |  |          | -       |  |               |  | -       |                       |  |  | 125,612    |  |  |            | 125,612   |   |  |  | 126,955   | 
|Tractebel Energia S.A. (e)                       |  |          | -       |  |               |  | -       |                       |  |  | 70,772     |  |  |            | 70,772    |   |  |  | 69,429    | 
|Sale within Electric Energy Trade Chamber -CCEE  |  |          | -       |  |               |  | -       |                       |  |  | 15,289     |  |  |            | 15,289    |   |  |  | 15,289    | 
|Installment payment of debts (c)                 |  |          | 80,762  |  |               |  | -       |                       |  |  | -          |  |  |            | 80,762    |   |  |  | 86,100    | 
|Contas a receber com partes relacionadas (f)     |  |          | -       |  |               |  | -       |                       |  |  | 119,826    |  |  |            | 119,826   |   |  |  | 120,475   | 
|                                                 |  |          |         |  |               |  |         |                      
|                                                 |  |          |         |  |              
|Subtotal                                         |  |          | 80,762  |  |               |  | -       |                       |  |  | 331,499    |  |  |            | 412,261   |   |  |  | 418,248   | 
|                                                 |  |          |         |  |               |  |         |                      
|                                                 |  |          |         |  |              
|Allowance for doubtful accounts (a)              |  |          | -       |  |               |  | -       |                       |  |  | -          |  |  |            | (265,182  | ) |  |  | (247,265) | 
|                                                 |  |          |         |  |               |  |         |                      
|                                                 |  |          |         |  |              
|Total non-current assets                         |  |          | 80,762  |  |               |  | -       |                       |  |  | 331,499    |  |  |            | 147,079   |   |  |  | 170,983   | 
|                                                 |  |          |         |  |               |  |         |                      



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##### Table of Contents

|7. | CONSUMERS, CONCESSIONAIRES AND PERMITTEES, NET--Continued
|-- | ---------------------------------------------------------



| | a) | Analysis of accounts receivable and statement of the allowance for doubtful accounts balance--Continued
| | -- | -------------------------------------------------------------------------------------------------------



Changes in allowance for doubtful accounts are as follows:



|                             |  |  |           | 
|---------------------------- |  |  | --------- | 
|Balance at December 31, 2011 |  |  | (447,184) | 
|                             |  |  |           | 
|                             | 
|(Additions)                  |  |  | (104,137) | 
|Write-offs                   |  |  | 104,472   | 
|                             |  |  |           | 
|Balance at December 31, 2012 |  |  | (446,849) | 
|                             | 
|                             |  |  |           | 
|(Additions)                  |  |  | (96,252)  | 
|Write-offs                   |  |  | 78,602    | 
|                             | 
|                             |  |  |           | 
|Balance at December 31, 2013 |  |  | (464,499) | 
|                             |  |  |           | 
|Current                      |  |  | (199,317) | 
|Non-current                  |  |  | (265,182) | 

An allowance for doubtful accounts was set up based on criteria established by regulatory legislation and
analysis of specific risks of losing the overdue amounts, legal matters and application of a percentage on installment payment of debts. The amount is considered sufficient by the subsidiaries management to cover any losses on realization of
the receivables.



| | b) | Receivables from clients questioned in court
| | -- | --------------------------------------------

The amount of R$ 64,948 at
December 31, 2013 (R$ 63,303 in 2012) related to receivables from clients questioned in court. This amount includes R$ 27,590 at December 31, 2013 (R$ 26,774 in 2012) regarding receivables from various consumers who question
the legality and claim refund of amounts arising from electric energy rate increases that took place during effectiveness of the Cruzado Economic Plan.

These consumers were granted the right to offset the claimed credits against electricity bills, by means of lawsuits, but the merits of the
case are not considered unappealable. The Group records an allowance for doubtful accounts of R$ 53,858 at December 31, 2013 (R$ 52,812 in 2012), deemed sufficient to cover any losses in connection with such lawsuits.



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##### Table of Contents

|7. | CONSUMERS, CONCESSIONAIRES AND PERMITTEES, NET--Continued
|-- | ---------------------------------------------------------



| | c) | Installment payment of debts
| | -- | ----------------------------

Installment payment of debts corresponds to agreements
signed between the Group and their clients referring to renegotiation of electricity bills in arrears. These amounts are included in electricity bills, increased by fine and 1% interest per month, calculated on a pro rata daily basis and monetarily
restated based on the General Market Price Index (IGPM) variation. After the amount payable in installments is restated, the first installment, if applicable, is deducted, and the interest agreed in the negotiation is applied, not exceeding
1.8% per month.



| | d) | Unbilled revenue
| | -- | ----------------

The Unbilled revenue corresponds to the income from electricity
supply, delivered but not billed to consumer, computed on an estimated basis, referring to the monthly measurement period and until the last day of the month. At December 31, 2013 the Group has recorded in Accounts receivable a total balance of
unbilled revenue of R$ 271,853 (R$ 308,424 in 2012).



| | e) | Furnas Centrais Elétricas S.A. (Furnas) and Tractebel Energia S.A. (Tractebel)
| | -- | ----------------------------------------------------------------------------------

At December 31, 2013, the subsidiary CIEN records accounts receivable from Furnas and Tractebel, respectively in the amounts of
R$ 129,740 and R$ 71,644 (R$ 129,460 and R$ 71,454, respectively, in 2012) corresponding to the billing of firm capacity and associated energy charges, which were not paid in previous years. Based on the best estimate of
receiving the amounts involved, the Group records an allowance for doubtful accounts in the total amount of R$ 196,384 at December 31, 2013 and 2012. The remaining accounts receivable balance from Furnas and Tractebel recorded in the
current asset in the total amount of R$ 5,000 at December 31, 2013 (R$4,530 in 2012), refers to billing arising from Subsidiarys new activity, when treated as a transmission company.



| | f) | Accounts receivable from related parties
| | -- | ----------------------------------------

Terms and conditions involving related
parties are presented in Note 27.



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##### Table of Contents

|8. | LOW INCOME CONSUMERS
|-- | --------------------

Law No. 10,438, of April 26, 2002, established
guidelines for classification into the low income residential category of the consumer unit with monthly consumption lower than 80kWh. Decree No. 4336, of August 15, 2002 broadened these classification rules for consumer units with monthly
consumption between 80 and 220 KWh, also according to provisions established by Law No. 10,438/02.

With the enactment of Law
No. 12,212/2010, regulated by ANEEL Rulings No. 407/2010 and No. 414/2010, the new criteria for receipt of the Social Electric Energy Tariff by low income consumers were established. According to the new regulations, there are no
other classification criteria by consumption, and the low income subsidy may only be granted to consumers registered with Federal Government Social Programs, including Indian andquilombola (African slave descendant) communities, which are
entitled to 100% discount for the first 50 kWh used, or consumers who receive the Continued Provision Benefit (BPC).

Based on ANEEL
Rulings No. 407/2010 and No. 414/2010, Centrais Elétricas Brasileiras S.A. - Eletrobras will transfer to distribution companies the subsidy amount on a monthly basis, to adjust the discounts granted to low income consumers
classified under the criteria of the former Rulings No. 246/2002 and 485/2004, arising from the Energy Development Account (CDE).

Considering the criteria set out by the mentioned rulings and the schedule for registration of clients entitled to the benefit, the
consolidated balance receivable at December 31, 2013 totals R$ 67,929 (R$ 65,043 in 2012).

This subsidy is calculated on a
monthly basis by the distribution company and submitted to ANEEL for approval and validation through Decision, after which the transfer occurs.



|9. | CDE SUBVENTIONS  TARIFF DISCOUNT
|-- | ---------------------------------

Amount to be transferred by Centrais
Elétricas Brasileiras - Eletrobras referring to refund of discounts on fees applicable to public electricity distribution services to end users as provided for in article 13, item VII of Law No. 10,438, of April 26, 2002, whose
wording was defined by the Provisional Executive Order No. 605 of January 23, 2013, according to article 3 of Decree No. 7,891 of January 23, 2013. These funds are from CDE and approved by ANEEL in the process for
distributors annual adjustment. The balance receivable at December 31, 2013 is R$ 20,385 (nil in 2012).



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##### Table of Contents

|10. | TAXES RECOVERABLE
|--- | -----------------



12/31/2013


12/31/2012Income and social contribution tax recoverable (a)


80,780



90,645Value-Added Tax  ICMS (ICMS) (b)


172,600



171,196Social Integration Program - PIS (PIS) and social investment program - COFINS (COFINS) ( c )


216,490



65,789Other taxes


9,964



10,799479,834



338,429Current


322,072



175,322Non-current


157,762



163,107




| | a) | The income tax recoverable balance refers to withholding income tax (IRRF) on short-term investments, government agency retentions (Law No. 9,430/96) and prepaid income tax balance referring to calendar years 2006
to 2012.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The social contribution tax recoverable balance refers to prepaid social contribution tax on net income referring
to calendar years 2006 and 2012, in addition to government agency retentions, pursuant to Law No. 9,430/96.



| | b) | This refers to credits arising from capital expenditures (according to concept established by tax legislation), which are subject to monthly offset against ICMS collected from customers at the rate of 1/48ths.
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | c) | The amounts classified under PIS and COFINS recoverable from subsidiary Ampla Energia in the total amount of R$ 162,835 (R$ 31,845 in 2012) refer to PIS and COFINS computed on the previous sixth-month
billings, supported by a court decision in rem judicatam, whereby Decree-Laws Nos. 2.445/88 and 2,449/88 were declared unconstitutional and the right to refund corresponding to the difference between the amounts paid grounded on said Decrees
and those due in accordance with Supplementary Law No. 7/70 was recognized. Additionally, Ampla Energia has PIS and COFINS withholdings from government agencies. PIS and COFINS amounts recoverable refer to subsidiary CIEN, totaling
R$ 26,444 at December 31, 2013 (R$ 25,511 in 2012), and they are related particularly to PIS and COFINS overpayments made in previous years in relation to the amounts effectively due in the ordinary course of its operations. As a
consequence, CIEN filed a claim for offsetting taxes overpaid and currently awaits approval thereof by the Brazilian IRS in order to set these amounts off.
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The other amounts of PIS and COFINS recoverable refer to the subsidiaries COELCE, CGTF, CDSA and Prátil, respectively of R$ 2,390,
R$ 6,379, R$ 17,965 and R$ 477.



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##### Table of Contents

|11. | GUARANTEES DEPOSITS
|--- | -------------------



12/31/2013


12/31/2012Institution

Type of investment

Current


Non-
current


Current


Non-
currentBradesco

Investment fund


-



-



-



8,027Itaú-Unibanco

Investment fund


52,619



-



49,336



-Bradesco

CDB


-



436



-



104Itaú

CDB


-



602



-



575Banco do Brasil

CDB


-



9,729



-



9,004BNB

CDB


-



20,302



-



18,804Banco do Brasil

US Treasury Security


-



4,582



-



4,442Banco Itaú BBA

Time Deposit


-



28,383



-



24,521Caixa Econômica Federal

Guarantee


320



-



320



-Other




-



20



-



20Total




52,939



64,054



49,656



65,497


At December 31, 2013 the balances of guarantees and judicial deposits recorded in subsidiaries
Ampla Energia and COELCE, of R$ 27,628 and R$ 60,730 (R$ 36,049 and R$ 54,583, respectively, in 2012) are basically related to the investment of amounts linked to electric energy purchase agreements, contractual retentions from
service providers and financing agreement collateral.

Additionally, subsidiary CGTF, as set forth by the financing agreement entered into
with IFC (see Note 20), undertakes to maintain part of its cash for amortization of the debt in half-yearly periods. This investment is linked to a time deposit transaction in Banco Itaú BBA, pegged to the US dollar, which amounts to
R$ 28,383 at December 31, 2013 (R$ 24,521 in 2012).



|12. | ESCROW DEPOSITS
|--- | ---------------



12/31/2013


12/31/2012Labor


164,169



132,901Civil


53,551



51,614Tax


114,536



115,960Total


332,256



300,475


See note 28 for further discussion of related provisions.



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##### Table of Contents

|13. | DEFERRED TAXES
|--- | --------------

Endesa Group records deferred tax credits and assets and liabilities on
temporary differences, as follows:



Ampla Energia


CDSA


CGTF


CIEN (Consolidated)


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012AssetsProvision for tax, civil and labor risks


140,122



132,694



-



-



615



569



7,392



7,170



31,120



28,602



179,249



169,035Allowance for doubtful accounts


59,830



62,394



-



-



-



-



66,771



66,771



37,388



31,862



163,989



161,027Provision for inventory obsolescence


385



61



-



-



-



-



-



-



2,803



230



3,188



291Derecognition of regulatory asset


46,620



29,468



-



-



-



-



-



-



-



-



46,620



29,468Post-employment benefit obligations


125,497



158,455



-



-



-



-



-



-



45,393



38,188



170,890



196,643Provision for ARCE fine


-



-



-



-



-



-



-



-



24,452



17,333



24,452



17,333Interest on construction in progress


-



-



9,633



9,633



-



-



-



-



-



-



9,633



9,633Reversal of exchange variation on property, plant and equipment


-



-



-



-



-



-



58,337



65,317



-



-



58,337



65,317Swap operations


-



-



-



-



4,228



5,406



-



-



-



-



4,228



5,406Unrealized exchange variation


-



-



-



-



3,812



1,005



-



-



-



-



3,812



1,005Provision for third-party service


-



-



-



-



1,247



612



-



-



-



-



1,247



612Other


8,417



6,165



-



-



858



909



59,303



52,882



4,613



306



73,191



60,262Total


380,871



389,237



9,633



9,633



10,760



8,501



191,803



192,140



145,769



116,521



738,836



716,032LiabilitiesSpecial (CME) and supplementary (CMC) monetary restatement


-



-



-



-



-



-



-



-



(2,359)



(2,598)



(2,359)



(2,598)Derecognition of regulatory liability


-



(9,452)



-



-



-



-



-



(1,908)



(46,980)



(118,092)



(46,980)



(129,452)Indemnification assets (concession)


(181,387)



(109,659)



-



-



-



-



-



-



(74,590)



(64,160)



(255,977)



(173,819)Unrealised foreign exchange variation


-



-



-



-



-



-



(24,915)



(9,948)



-



-



(24,915)



(9,948)Deferred tax liability- swap


(7,734)



-



-



-



(562)



(385)



-



-



(3,145)



-



(11,441)



(385)Deemed cost


-



-



(82,710)



(82,710)



-



-



-



-



-



-



(82,710)



(82,710)Total


(189,121)



(119,111)



(82,710)



(82,710)



(562)



(385)



(24,915)



(11,856)



(127,074)



(184,850)



(424,382)



(398,912)Ampla Energia


CDSA


CGTF


CIEN (Consolidated)


COELCE


ConsolidatedDeferred taxes

12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Deferred assets


191,750



270,126



-



-



10,198



8,116



166,888



180,284



18,695



-



387,531



458,526Deferred liabilities


-



-



(73,077)



(73,077)



-



-



-



-



-



(68,329)



(73,077)



(141.406)




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##### Table of Contents

|13. | DEFERRED TAXES--Continued
|--- | -------------------------



Changes in the deferred tax balances are shown below:



Assets


LiabilitiesBalances at December 31, 2011


686,151



169,238Addition - profit or loss for the year - IR/CSLL


79,535



245,500(Reduction) - profit or loss for the year


(54,057)



(15,826)Additions - comprehensive income


4,729



-Effects of changes in foreign exchange rates


(326)



-Balances at December 31, 2012


716,032



398,912Addition - profit or loss for the year - IR/CSLL


442,461



161,179(Reduction) - profit or loss for the year


(395,191)



(146,765)Additions - comprehensive income


(22,779)



11,056Effects of changes in foreign exchange rates


(1,687)



-Balances at December 31, 2013


738,836



424,382


Technical feasibility studies indicate the recovery of deferred income and social contribution tax
assets in accordance to the parameters defined by the standard IAS 12  Income Taxes (IAS 12), which correspond to Managements best estimate regarding the recovery of such assets. Managements expectancy of recovery of
the deferred tax assets is shown below:



Amount to be realizedYear of realization

12/31/2013


12/31/20122013


-



93,4892014


73,890



95,2642015


90,581



69,8012016


56,637



95,1062017


57,066



79,2552018 to 2020


171,274



130,7882021 to 2023


289,388



152,329Total


738,836



716,032




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##### Table of Contents

|13. | DEFERRED TAXES--Continued
|--- | -------------------------



Since the income and social contribution taxable base originates not only from income that
could be generated but also from the existence of non-taxable revenue, non- deductible expenses, tax incentives and other variables, there is no direct correlation between net income and the income and social contribution tax income or expenses. As
such, expected use of tax credits should not be the only indication of the Endesa Groups future income.

As from 2001, with
establishment of the Tax Recovery Program (REFIS), the subsidiary CDSA now determines income and social contribution taxes whereby taxable profit is computed as a percentage of gross revenue.

The deferred tax assets in the subsidiary CDSA in the amount of R$ 9,633 are recorded on remuneration of third party capital applied in
construction in progress, which was deferred pursuant to Administrative Rule DNAEE No. 250/85, transferred from CELG upon the split-off that gave origin to the subsidiary CDSA.

The deferred income tax balance was maintained in assets based on future positive income projections prepared by CDSA management, which could,
as from the end of the REFIS, estimated for 2015, be deducted from the taxable profit calculation in future years, by amounts sufficient to ensure realization of such assets.

The deferred tax liabilities in the subsidiary CDSA was recorded on the value of the effect of the deemed cost of fixed assets in CDSA, in the
amount of R$ 82,710. The liabilities balance will be settled as from 2015, when the taxable profit of the subsidiary CDSA will be calculated based on accounting records with the end of the REFIS program.



|14. | TAX CREDIT FROM MERGER
|--- | ----------------------

Tax credit arises from the merger operation conducted by COELCE
with its parent company Distriluz Energia Elétrica S.A. (at that time), approved at the Special General Meeting of September 27, 1999, grounded on future income during the concession period, and is realized over the period between the
merger and December 31, 2027, on a monthly basis, proportionally to projected profitability, as per ANEEL Resolution No. 269, of September 15, 1999.

The accumulated balance will be amortized as follows:



Year

Amortizationfactor

Year

Amortizationfactor

Year

Amortizationfactor2014

0,03333

2019

0,02140

2024

0,013742015

0,03051

2020

0,01958

2025

0,012572016

0,02792

2021

0,01792

2026

0,011512017

0,02555

2022

0,01640

2027

0,010532018

0,02338

2023

0,01501

-

-


On April 26, 2004, ANEELs Financial Supervisory Authority issued an Inspection Monitoring
Report stating that the capital reserve set up upon merger of Distriluz would not have assets with economic basis as a contra entry and, as such, pursuant to CVM Instruction No. 349/01 (CVM is Securities and Exchange Commission of Brazil),
determined that only the portion corresponding to the tax credit resulting from goodwill amortization should be recorded in equity of COELCE, as it understood that only this portion has economic basis.



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##### Table of Contents

|14. | TAX CREDIT FROM MERGER--Continued
|--- | ---------------------------------



Given the conclusion of the understanding with ANEEL, at the Special General Meeting of
April 28, 2005, the subsidiary COELCE approved the Boards proposal of observing the regulatory agencys recommendations, replacing the share split and redemption mechanism, after the risk of tax and corporate questioning and non-
compliance with financial covenants with Financial Institutions have been ruled out, and after approval of the proper accounting adjustments by ANEEL, issued by means of Official Letter No. 584/05, of April 14, 2005. These adjustments were
also in compliance with the provisions set out in CVM Instruction No. 319/99, as amended by CVM Instruction No. 349/01.

Accordingly, the share split and redemption operations of subsidiary COELCE to remunerate shareholders for decrease in profit caused by
goodwill amortization from merger of Distriluz, suspended in 2003, were replaced by provisions of CVM Rule No. 319/99, amended by CVM Rule No. 349/01, which provides for set up of provision on goodwill to be amortized matching against
goodwill reserve (capital reserve), in amount which is not a tax benefit for subsidiary COELCE. To recalculate the impact on income of each year, the provision will be reversed to the same extent of amortization of the portion of goodwill for the
respective year.

As a result of the aforementioned adjustments, in April 2005, a provision on unamortized goodwill was set up against
capital reserve, in an amount that does not represent a tax credit for the subsidiary COELCE.



Tax credit from the
incorporated goodwill

12/31/2013


12/31/2012Goodwill on acquisition


775,960



775,960Goodwill amortization


(559,198)



(530,938)Provision on goodwill


(429,365)



(429,365)Reversal of provision on goodwill


286,052



267,401Tax credit


73,449



83,058Current


8,793



9,609Non-current


64,656



73,449Capital reserve

12/31/2013


12/31/2012Merged Goodwill


775,960



775,960(-) Share split and redemption


(125,407)



(125,407)Provision on goodwill


(429,365)



(429,365)Balance


221,188



221,188


With the new procedure adopted on April 30, 2005, the goodwill reserve recorded in the
COELCEs equity was decreased by R$ 429,365, with the effect of R$ 242,976.



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##### Table of Contents

|15. | OTHER RECEIVABLES
|--- | -----------------



12/31/2013


12/31/2012Disposal of assets and rights


1,509



1,656Health care plan to retirees


6,422



5,990Collection covenants


35,433



32,267Consumers  services rendered


69,923



61,379Expenses to be reimbursed  consumers


3,496



3,403Expenses to be reimbursed  public lighting


2,795



2,796Union


5,658



5,658Services to third parties


4,475



5,220Services in progress


145,829



100,902Bounced checks


845



768Supplier credits


5,844



6,039Advances to employees


6,798



6,399Advances to suppliers


6,428



12,182Resale of material


-



3,787New business expenses


10,492



4,814Inventories


3,627



2,714Prepaid expenses


15,246



7,054Other


37,395



24,972Provision for losses on realization of other credits


(20,851)



(26,763)Total


341,364



261,237Current


339,240



259,374Non-current


2,124



1,863


Changes in the allowance for doubtful accounts are as follows:



Balance at December 31, 2011


(31,930)Reversal


5,167Balance at December 31, 2012


(26,763)Addition


(2,167)Write off


8,079Balance at December 31, 2013


(20,851)




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##### Table of Contents

|16. | INDEMNIFICATION ASSETS (CONCESSION)
|--- | -----------------------------------

Refers to a portion of investments made and not
amortized by the subsidiaries Ampla Energia and COELCE until the end of the, respective concessions, classified as financial asset since this is an unconditional right to receive cash or other financial asset directly from the granting authority
pursuant to IFRIC 12 - Service Concession Arrangements and SIC 19 - Service Concession Arrangements: Disclosures.

The indemnification
will be made based on the portion of the investments linked to reversible assets, still not amortized or depreciated, which had been made in order to ensure that the granted services are continuous and current.

The change in balances related to indemnification assets (concession) is as follows:



Balance at December 31, 2011


765,516Transfers of intangible assets


385,586Financial income  indemnification assets


487,517Balance at December 31, 2012


1,638,619Transfers of intangible assets


170,312Financial income  indemnification assets


205,165Balance at December 31, 2013


2,014,096


The Distributions concession of the subsidiaries Ampla Energia and COELCE is not onerous.
Accordingly, there are no fixed financial liabilities and payments to be made to the granting authority.

New Replacement Value
 Law No. 12,783/13

On January 11, 2013, Law No. 12,783 (Law No. 12,783/13) was enacted and
made the Provision Executive Order (MP) No. 579, of September 11, 2012 (MP No. 579/12) definitive. This MP provides for the postponing and bidding processes for concession of generation, transmission and distribution of
electricity, decrease in sectorial charges, low fees and other matters.

New Replacement Value  Law No. 12,783/13

In accordance with this legal provision, the calculation of the value of investments linked to reversible assets, still not
amortized or depreciated, for indemnification purposes, must use the VNR, pursuant to the criteria defined in a regulation of the granting authority.



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##### Table of Contents

|17. | PROPERTY, PLANT AND EQUIPMENT
|--- | -----------------------------



12/31/2013


12/31/2012Annualdepreciation     rates

Historicalcost


Accumulated    depreciation


Net value


Net valueIn useTransmission

24.69%Land




1,076



-



1,076



1,076Buildings




84,651



(47,435)



37,216



40,351Machinery and equipment




1,204,945



(632,439)



572,506



628,560Vehicles




1,927



(1,390)



537



679Furniture and fixtures




557



(196)



361



384Distribution

4.70%Machinery and equipment




48,628



(33,775)



14,853



14,149Furniture and fixtures




22,901



(13,993)



8,908



7,290Other goods




10,640



(8,038)



2,602



2,783Generation

24.67%Land




2,194



-



2,194



2,194Reservoirs




241,472



(153,426)



88,046



92,947Buildings




113,620



(81,745)



31,875



34,437Machinery and equipment




2,837,911



(1,886,427)



951,484



1,005,806Vehicles




1,358



(1,139)



219



270Furniture and fixtures




11,764



(10,466)



1,298



2,010Commercialization

10.00%Machinery and equipment




8,184



(5,988)



2,196



5,621Furniture and fixtures




7,760



(3,490)



4,270



4,360Administration

10.70%Land




374



-



374



374Buildings




4,128



(1,556)



2,572



2,752Machinery and equipment




65,455



(50,971)



14,484



8,129Vehicles




1,935



(1,593)



342



589Furniture and fixtures




28,185



(24,575)



3,610



4,565Total PPE in use




4,699,665



(2,958,642)



1,741,023



1,859,326In progressGeneration




132,872



-



132,872



72,428Transmission




65,794



-



65,794



35,640Distribution




9,880



-



9,880



10,532Commercialization




5,484



-



5,484



5,638Administration




35,199



-



35,199



23,133Total PPE in progress




249,229



-



249,229



147,371Total property, plant and equipment




4,948,894



(2,958,642)



1,990,252



2,006,697




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##### Table of Contents

|17. | PROPERTY, PLANT AND EQUIPMENT--Continued
|--- | ----------------------------------------



Changes in property, plant and equipment in the year are as follows:



In use


In progress


TotalCost


Accumulated      depreciation


Net balance


CostBalances at December 31, 2011


4,672,991



(2,639,528)



2,033,463



106,022



2,139,485Transfers


7,693



-



7,693



(7,693)



-Additions


44



-



44



49,042



49,086Write-offs


(10,417)



1,736



(8,681)



-



(8,681)Depreciation


-



(171,544)



(171,544)



-



(171,544)Effects of changes in foreign exchange rates


(3,359)



1,710



(1,649)



-



(1,649)Balances at December 31, 2012


4,666,952



(2,807,626)



1,859,326



147,371



2,006,697Transfers


40,805



-



40,805



(40,805)



-Additions


1,356



-



1,356



143,071



144,427Write-offs


(167)



73



(94)



(408)



(502)Depreciation


-



(156,274)



(156,274)



-



(156,274)Effects of changes in foreign exchange rates


(9,281)



5,185



(4,096)



-



(4,096)Balances at December 31, 2013


4,699,665



(2,958,642)



1,741,023



249,229



1,990,252


Property, plant and equipment of Endesa Group are comprised by the balances in subsidiaries CGTF, CDSA
and CIEN, in accordance with the characteristics of each one of them.

CGTF

The period over which the subsidiary CGTF is authorized to explore the activities described in its articles of incorporation is thirty years,
as mentioned in article 5 of ANEEL Resolution no 433, of October 19, 2001, as from the date thereof. Under this same article, this period may be extended at ANEELs discretion and by request of the authorized entity. CGTFs
property and equipment items are not considered reversible assets and, as such, they are not returned to the Federal Government at the end of the concession period.

These items are stated at acquisition or construction cost, less accumulated depreciation, calculated on a straight-line basis, at the rates
defined by ANEEL.



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##### Table of Contents

|17. | PROPERTY, PLANT AND EQUIPMENT--Continued
|--- | ----------------------------------------



| | CGTF--Continued
| | ---------------



The main annual depreciation rates by macro activity, pursuant to ANEEL Resolution ANEEL
no 474/2012 are as follows:



Annual    depreciation rate(%)GenerationBoiler

4.00%Chimney

4.00%Thermal cycle equipment

4.55%Equipment support structure

3.13%Generator

3.33%Panel and control desk

3.57%Unit substation

3.57%Power transformer

2.86%Auxiliary transformer

3.33%Turbo-generator

4.00%AdministrationGeneral equipment

6.25%General computer equipment

16.67%Vehicles

14.29%


CDSA

CDSAs property, plant and equipment items are stated at deemed cost, less accumulated depreciation, calculated on a straight-line basis,
at the rates defined by ANEEL.

The Endesa Groups management understands that as the subsidiary CDSA is a public service concession
operator, at the end of the concession period, non-depreciated assets will be indemnified for the minimum amount at the net book value, by the concession provider, should it not be renewed. Pursuant to articles 63 and 64 of Decree No. 41,019,
of February 26, 1957, assets and facilities used for electric energy production, transmission and distribution, including sale, are tied to these services, and may not be disassembled, sold or assigned without prior express authorization from
the regulating authorities.

Pursuant to sub-clauses two and three of clause eleven of the Concession Agreement No.11/1997, entered into
between CDSA and ANEEL on September 12, 1997, upon termination of the final term of the Concession Agreement, assets and facilities related to independent production of electric energy used in hydroelectric plants, will be included as Federal
Governments assets, with indemnity of investments made and not yet amortized, provided that they are authorized and calculated by means of ANEEL audit.



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##### Table of Contents

|17. | PROPERTY, PLANT AND EQUIPMENT--Continued
|--- | ----------------------------------------



| | CDSA--Continued
| | ---------------



The main annual depreciation rates by macro activity, pursuant to ANEEL Resolution no
474/2012 are shown below:



Annual    depreciation rate(%)GenerationThermal cycle equipment

4.55%Equipment support structure

3.13%Generator

3.33%Panel and control desk

3.57%Reservoir, dam and pipeline

2.00%Unit substation

3.57%Power transformer

2.86%Auxiliary transformer

3.33%Turbo-generator

4.00%AdministrationGeneral equipment

6.25%General computer equipment

16.67%Vehicles

14.29%




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##### Table of Contents

|17. | PROPERTY, PLANT AND EQUIPMENT--Continued
|--- | ----------------------------------------



CIEN

Property and equipment items are stated at acquisition or construction cost, less accumulated depreciation, calculated at the rates defined by
ANEEL.

According to the Ordinances No. 210 and No. 211, issued by ANEEL on April, 2011, upon termination of the final term of
the Agreement, assets and facilities related to independent production of electric energy used in hydroelectric plants, will be included as Federal Governments assets, with indemnity of investments made and not yet amortized, provided they are
authorized and calculated by means of ANEEL audit.

The main annual depreciation rates by macro activity, pursuant to ANEEL Resolution
no 474/2012 are shown below:



Annual  depreciation rate(%)TransmissionCapacitor bank

5.00%Barring

2.50%Switch

3.33%Conductor

2.70%Circuit breaker

3.03%Frequency changer

6.67%Structure (Pole, tower)

2.70%Panel, Control desk and Cubicle

3.57%Reactor (Resistor)

2.78%Power transformer

2.86%Auxiliary transformer

3.33%AdministrationGeneral equipment

6.25%Vehicles

14.29%




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##### Table of Contents

|18. | INTANGIBLE ASSETS
|--- | -----------------

Intangible assets are broken down by nature as follows:



12/31/2013


12/31/2012Useful life    Years

Cost


Accumulated     amortization


Special obligations


Net value


Net valueIn operation

6%Concession right-of-use




7,742,272



(3,422,977)



(835,958)



3,483,337



3,506,760Software




228,587



(166,731)



-



61,856



25,171(-) Impairment




(21,930)



11,011



-



(10,919)Concession right from acquisition




435,755



(212,855)



-



222,900



247,620Goodwill




2,104



-



-



2,104



2,104Trademarks and patents




401



(264)



-



137



203In progressConcession right-of-use




1,046,756



-



(269,834)



776,922



758,678Software




66,183



-



-



66,183



49,434Other




4,352



-



-



4,352



9,251Total




9,504,480



(3,791,816)



(1,105,792)



4,606,872



4,599,221


Intangible assets in progress refer substantially to expansion works in the electricity distribution
system.

Changes in intangible assets are shown below:



In operation


In progressCost


Accumulatedamortization


Specialobligations


Net value


Cost


Specialobligations


Net value


TotalBalances at December 31, 2011


8,205,690



(3,184,943)



(898,822)



4,121,925



746,149



(159,480)



586,669



4,708,594Additions


10,173



(1,495)



-



8,678



674,756



(90,820)



583,936



592,614Write-offs


(19,318)



14,332



-



(4,986)



-



-



-



(4,986)Amortization


-



(354,910)



43,524



(311,386)



-



-



-



(311,386)Transfers


368,066



-



(14,824)



353,242



(368,066)



14,824



(353,242)



-Effects of changes in foreign exchange rates


(201)



172



-



(29)



-



-



-



(29)Transfers to indemnification assets


(385,586)



-



-



(385,586)



-



-



-



(385,586)Balances at December 31, 2012


8,178,824



(3,526,844)



(870,122)



3,781,858



1,052,839



(235,476)



817,363



4,599,221Additions


-



-



-



-



738,016



(39,318)



698,698



698,698Write-offs


(267,395)



149,042



-



(118,353)



(849)



-



(849)



(119,202)Amortization


-



(425,511)



39,124



(386,387)



-



-



-



(386,387)Reclassification


-



-



-



-



(4,154)



-



(4,154)



(4,154)Transfers


668,561



-



(4,960)



663,601



(668,561)



4,960



(663,601)



-Transfers to indemnification assets


(170,312)



-



-



(170,312)



-



-



-



(170,312)Effects of changes in foreign exchange rates


(559)



486



-



(73)



-



-



-



(73)(-) Impairment


(21,930)



11,011



-



(10,919)



-



-



-



(10,919)Balances at December 31, 2013


8,387,189



(3,791,816)



(835,958)



3,759,415



1,117,291



(269,834)



847,457



4,606,872




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##### Table of Contents

|18. | INTANGIBLE ASSETS--Continued
|--- | ----------------------------



ANEEL is responsible for establishing the estimated economic useful life of each
distribution-related infrastructure asset, in order to determine the tariff and calculate the indemnity of reversible assets upon termination of the concession period. This estimate is periodically reviewed and accepted by the market as a
reasonable/adequate estimate for accounting and regulatory purposes, representing the best estimate of useful life of assets.

Endesa
Groups management understands that amortization of intangible assets must observe the estimated useful life of each asset comprising the set of tangible assets of the distribution infrastructure. As such, these assets must undergo individual
amortization, with observance of the useful life of each item, limited to the end of the concession period. As a result of use of this amortization criterion, total intangible assets will always be amortized on a non-linear basis.

Special obligations linked to the concession of public electric energy services

Obligations linked to the concession of public electric energy services represent amounts from the Federal Government, States, municipalities
and consumers, as well as donations not conditional upon any return in favor of the donor and subsidies intended for investments in the distribution activity. According to Circular Letter No. 1,314/2007-SFF/ANEEL, of June 27, 2007, which
determines that this registration begins only after the Companys second tariff review, the amortization started to be recorded in April 2009, considering that this review occurred in March 2009.

The obligations linked to concessions, undergoes amortization as from the second tariff review cycle, at the same amortization rates as
infrastructure assets of each distribution company, and the average rates of 4.43% p.a. and 3.98% p.a. are adopted for subsidiaries Ampla Energia and COELCE, respectively.

At the end of the concession period, the net replacement value of obligations linked to the concession of public electric energy services will
be deducted from the indemnification asset and removed from assets, in order to evidence the recording of assets belonging to the Federal Government that were under the concession operators management during the concession period.

Endesa Group evaluated the impairment of intangible assets using IAS 36 - Impairment of assets (IAS 36).

ANEEL Regulatory Decision No. 367/09

In August 2013, COELCE implemented ANEEL Regulatory Decision No. 367/09 (Decision No. 367/09), of June 2, 2009,
whose main objective is determining certain items of the fixed assets in order to reflect ANEEL requirements.

As a consequence of the
Regulatory Decision, subsidiary COELCE, during year ended December 31, 2013, recorded the amount of R$ 33,918 referring to losses for deactivation of goods from physical inventory counting performed according to Decision No. 367/09,
setting up a provision for impairment losses amounting to R$ 10,919, corresponding to certain fixed asset items for which no new replacement value was assigned, and therefore they were not considered in the remuneration base calculation.

Decision No. 367/09 was not implemented by subsidiary Ampla Energia for year ended December 31, 2013 as required by Circular Letter
No. 43/2013-SFF/ANEEL. Management expects that this decision is effectively implemented in the quarter ending March 31, 2014. Based on its best evaluation, Management understands that the non-implementation of Decision No. 367/09
represents a well remote risk for any delinquency notice from ANEEL, considering the provisions of ANEEL Regulatory Decision No. 63 of May 12, 2004.



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##### Table of Contents

|19. | TRADE ACCOUNTS PAYABLE
|--- | ----------------------



12/31/2013


12/31/2012Energy supply and transportationElectric Energy Sale Chamber  CCEE


120,053



41.703Companhia de Gás do Ceará  CEGÁS


24,172



20,239Geração e Transmissão S.A  CEMIG


6,243



5,042Centrais Elétricas do Norte do Brasil S.A- ELETRONORTE


7,987



9,127Cia Hidroelétrica do São Francisco  Chesf


-



23,114Companhia Energética de São Paulo  CESP


12,766



15.633Agreement of Energy Sale in Regulated Environment (CEAR)


93,412



134.167Distribution System Use Agreement (LIGHT)


8,460



17.442Potency physic guarantee quotas


14,573



-Decree no 7.945/13  CDE Subventions resources (a)


26,424



-Eletrobras Termonuclear S/A  Eletronuclear


10,218



-Eletronuclear  account payable


39,458



-Charge for network use


20,314



52.316Enertrade Comercializadora de Energia S.A.


4,100



39,756Furnas Centrais Elétricas S/A


17,135



35,969Generators  Free energy


5,602



5,177Itaipu (Eletrobras)


60,727



52,105Surplus and Deficit Offsetting Mechanism (MCSD)


6,748



19,300Petrobras


17,456



16,099Related parties (b)


136,578



127.882Other


39,853



47.082Materials and services


321,628



261,562Total


993,907



923.715Current


847,571



796.962Non-current


146,336



126.753




| | (a) | The amount of R$26,424 corresponds to recoverable costs through the CDE funds, related to (i) ESS; (ii) hydrological risk; and (iii) limited involuntary exposure to the amount not covered by the
allocation of quotas, and refers to adjustments of period from April to August and November to December 2013. The recovery of these amounts is provided in Decree No. 7,945/13 as commented in Note 4 (ANEEL Decree No. 7,945/13).
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | Terms and conditions involving related parties are presented in Note 27.
| | --- | ------------------------------------------------------------------------



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##### Table of Contents

|20. | LOANS AND FINANCING
|--- | -------------------

Loans and financing in local and foreign currencies are as
follows:



Debt charges


PrincipalCurrent


Current


Non-current12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Foreign currency:Federal Government - Capitalization bonus (a)


3



7



163



284



-



142Federal Government - Discount bonus (a)


8



8



-



-



2,673



2,332Federal Government - Participant bonus (a)


49



44



-



-



3,831



3,342IFC - A (b)


185



182



12,570



10,208



43,589



48,989IFC - B (b)


(29)



-



19,745



16,075



21,157



35,680IFC - C (b)


82



67



-



-



16,399



14,305Total foreign currency:


298



308



32,478



26,567



87,649



104,790Local currency:Eletrobras (c)


13



15



11,177



13,338



68,315



74,858Federal Government  Law No. 8,727 (Caixa Econômica Federal) (d)


1



3



76



287



-



76Federal Government  Law No. 8,727 (Eletrobras) (d)


25



114



3,092



11,008



-



2,931Banco do Brasil (BB Fat Fomentar)


2



10



936



5,343



-



891Banco do Nordeste - Proinfa (e)


412



455



61,315



33,667



90,259



151,574BNDES Finem 2007 (Syndicate loan) (f)


171



337



49,106



49,106



-



49,106BNDES FINAME 2012-2013 (g)


46



-



2,061



-



35,031



-BNDES FINEM 2012-2013 A (g)


244



-



6,480



-



71,278



-BNDES FINEM 2012-2013 B (g)


273



-



6,480



-



71,278



-BNDES PEC (h)


-



9



-



2,328



-



-BNDES (Finame) (j)


3



7



1,884



2,214



-



1,884BNDES (Capex 2011) (k)


265



280



10,139



10,210



65,904



75,942BNDES (Capex 2011) (k)


278



341



19,305



19,324



67,568



86,846BNDES (Capex 2011) (k)


311



379



19,305



19,324



67,568



86,846BNDES (Capex 2012-2013) (l)


91



-



4,149



-



69,836



-BNDES (Capex 2012-2013) (l)


440



-



11,706



-



128,768



-BNDES (Capex 2012-2013) (l)


495



-



11,706



-



128,768



-Eletrobras (m)


3



3



2,940



2,940



13,865



16,804Eletrobras (n)


2



2



2,650



536



9,917



10,169Bradesco S.A. 4th, 5th and 6th agreements (o)


-



795



-



20,000



-



-Banco do Brasil S.A (p)


-



612



-



100,000



-



-Banco do Brasil S.A (p)


1,142



-



-



-



100,000



-Banco do Brasil S.A (p)


251



-



-



-



30,000



-Total local currency


4,468



3,362



224,507



289,625



1,018,355



557,927Transaction costs


-



-



(193)



(285)



-



(193)Total local currency, net of transaction costs


4,468



3,362



224,314



289,340



1,018,355



557,734Total with no effect of swap transactions


4,766



3,670



256,792



315,907



1,106,004



662,524Swap transaction gain/losses


93



110



-



-



7,452



14,809Total loans and financing


4,859



3,780



256,792



315,907



1,113,456



677,333




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##### Table of Contents

|20. | LOANS AND FINANCING--Continued
|--- | ------------------------------



Banks

Start date

Maturity

Type of    amortization

Guarantees

Financial chargesFederal Government - Capitalization bonus (a)

8/15/1997

4/10/2014

Semiannual

Receivables and secured account

USD + 8.2% p.a.Federal Government - Discount bonus (a)

8/15/1997

4/11/2024

At the end

Receivables and secured account

USD + Libor + 1.0125% p.a.Federal Government - Participant bonus (a)

8/15/1997

4/11/2024

At the end

Receivables and secured account

USD + 6,2% p.a.IFC  A (b)

2/22/2005

12/15/2017

Semiannual

Secured account and fixed assets

USD + 7.89% p.a.IFC  B (b)

2/22/2005

12/15/2015

Semiannual

Secured account and Fixed assets

USD + Libor + 2,25% p.a.IFC  C (b)

4/11/2006

12/15/2019

Semiannual

Secured account and Fixed assets

USD + 11.96% p.a.Eletrobras (c)

3/3/2000

9/30/2023

Monthly

Receivables and promissory note

6.95% p.a.Federal Government  Law 8,727 (Caixa Econômica Federal) (d)

6/30/1994

3/1/2014

Monthly

Receivables

TR + 10,028% p.a.Federal Government  Law 8,727 (Eletrobras) (d)

6/30/1994

3/1/2014

Monthly

Receivables

IGPM + 10,028% p.a.Banco do Brasil (BB Fat Fomentar)

1/23/2007

2/18/2014

Monthly

Guarantee

TJLP + 4.5% p.a.Banco do Nordeste  FNE (e)

12/29/2004

3/15/2019

Monthly

Guarantee and secured account

10% p.a.BNDES Finem 2007 (Syndicate loan) (f)

4/28/2008

12/15/2014

Monthly

Receivables and secured account

TJLP + 3.7% p.a.BNDES FINAME 2012-2013 (g)

8/28/2013

06/15/2023

Monthly

Receivables and secured account

3.00% p.aBNDES FINEM 2012-2013 A (g)

8/28/2013

06/15/2020

Monthly

Receivables and secured account

TJLP + 2.8% p.a.BNDES FINEM 2012-2013 B (g)

8/28/2013

06/15/2020

Monthly

Receivables and secured account

TJLP + 3.8% p.a.Working Capital Santander (i)

09/30/2013

06/27/2014

Monthly

Receivables

CDI + 1.8% p.a.BNDES (Finame) (j)

10/15/2010

10/15/2014

Monthly

Guarantee

4.5%BNDES (Capex 2011) (k)

8/15/2011

06/15/2021

Monthly

Receivables

-BNDES (Capex 2011) (k)

8/15/2011

06/15/2018

Monthly

Receivables

TJLP + 2.96% p.a.BNDES (Capex 2011) (k)

8/15/2011

06/15/2018

Monthly

Receivables

TJLP + 3.96% p.a.BNDES (Capex 2012-2013) (l)

8/16/2013

05/15/2023

Monthly

Receivables

3.0%BNDES (Capex 2012-2013) (l)

8/16/2013

06/15/2020

Monthly

Receivables

TJLP + 2.80%BNDES (Capex 2012-2013) (l)

8/16/2013

06/15/2020

Monthly

Receivables

TJLP + 3.80%Eletrobras (m)

11/23/2006

06/30/2021

Monthly

Receivables and promissory note

6.0%Eletrobras (n)

09/20/2011

09/30/2018

Monthly

Receivables and promissory note

7.0%Bradesco S.A. 4th, 5th and 6th agreements (o)

02/01/2008

01/07/2013

Semiannual

-

CDI + 1.05%Banco do Brasil S.A. (p)

11/19/2013

11/14/2019

Annual

-

107% CDIBanco do Brasil S.A. (p)

11/29/2013

11/25/2019

Annual

-

107% CDIConta Garantida Santander (o)

05/19/2011

05/16/2014

Variable

-

CDI + 1.80%Conta Garantida Banco Itaú S.A (o)

12/21/2011

12/23/2014

Monthly

-

-Conta Garantida Banco Bradesco (o)

11/09/2013

07/04/2014

Monthly

-

CDI + 2.30%




| | (a) | Federal Government (Financial agent: Banco do Brasil) - mid and long-term debt (DMLPs) - Acknowledgment of debt to the Federal Government on August 15, 1997. The agreement is divided into 7 (seven) sub loans (three
of which have already been settled), bearing interest based on the foreign exchange variation (US dollars).
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | IFC - International Finance Corporation: The subsidiary CGTF has only one long-term financing agreement, entered into in 2006 in the amount of US$130,000 thousand. This project finance agreement is divided into 3
tranches (IFC-A, IFC-B and IFC-C, maturing in December 2017, 2015 and 2019, respectively).
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | Eletrobras - Loan raised for financial coverage of direct costs of construction of the rural electrification program, which is part of the universal access and use of electric energy program Luz Para Todos,
of the Ministry of Mines and Energy (MME), with funds from RGR and CDE.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|20. | LOANS AND FINANCING--Continued
|--- | ------------------------------



| | (d) | Federal Government - Law No. 8,727: Credit assignment made by Eletrobras and the Caixa Econômica Federal (Federal Savings and Loans Bank) to the Federal Government.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (e) | Banco do Nordeste do Brasil - Program to Foster Alternative Electric Energy Sources (Proinfra): The subsidiary COELCE entered into an agreement with Banco do Nordeste do Brasil to finance fixed assets investments, with
funds from the Constitutional Fund to Finance the Northeastern Region (FNE)/Proinfa.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (f) | BNDES FINEM: Financing for the 2007/2009 investment plan of COELCE on April 28, 2008, in the amount of R$ 330,000, raised through loan syndication led by Unibanco, with onlending from the Brazilian Development
Bank (BNDES).
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (g) | BNDES FINAME/FINEM: Financing for investment plan 2013 of the Group contracted on June 28, 2013, amounting to R$ 217,185, through union approved by Itaú with transfer of funds from BNDES. Until
December 31, 2013, BNDES had transferred 89% of the total amount, i.e. R$ 192,698.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (h) | BNDES PEC: Loan taken out considering the need for working capital of subsidiary COELCE. This contract was settled in January 2013.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------



| | (i) | Loans taken out due to the need for working capital of subsidiary COELCE..
| | --- | --------------------------------------------------------------------------



| | (j) | BNDES Finame  Financing taken out by subsidiary Ampla Energia from SAFRA with transfer of funds from BNDES for acquisition of national equipment..
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------



| | (k) | BNDES Capex 2011: Financing amounting to R$ 331,397 for investment plan 2010/2011 of subsidiary Ampla Energia, contract with union approved by Itaú, with funds transferred from BNDES. The Group took out 79%
of the contracted amount.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (l) | BNDES Capex: 2012/2013: Financing amounting to R$ 450,171, for 2012/2013 investment plan of subsidiary Ampla Energia, contracted with union and approved by Itaú, with funds transferred from BNDES. Until
September 30, 2013, subsidiary Ampla Energia had used 79% of the amount taken out.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (m) | Eletrobras: Loan raised for financial coverage of direct costs of construction of the rural electrification program, which is part of the universal access and use of electric energy program Luz Para Todos,
of the Ministry of Mines and Energy (MME), with funds from RGR and CDE.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (n) | Eletrobras: Loan raised for financial coverage of costs of construction of the distribution and sub transmission network of the mountainous region of Rio de Janeiro, which were impacted by the heavy rains in the first
quarter of 2011. Funds for this transaction originated from RGR.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (o) | Loans raised for purposes of working capital of subsidiary Ampla Energia.
| | --- | -------------------------------------------------------------------------



| | (p) | Bank Credit Notes - Bank of Brazil: Loan maturing in November 2019, in the form of Agrarian Credit for the financial support of the controlled Ampla Energia use in amortization of previous debts.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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##### Table of Contents

|20. | LOANS AND FINANCING--Continued
|--- | ------------------------------



As mentioned in Note 11, at December 31, 2013, the subsidiary CGTF held investments in
the amount of R$ 28,383 (R$ 24,521 in 2012) linked to the short-term portion of the IFC agreement. The subsidiary CGTF has also fixed assets pledged as guarantee and holds a letter of guarantee in the amount of R$ 488,358 and
R$ 36,000, respectively.

In connection with the loans taken out with the Brazilian Development Bank (BNDES) and working capital
operations, subsidiaries COELCE and Ampla Energia undertook to comply with the following obligations during effectiveness of the agreements, which were adequately complied with at December 31, 2013:



Banco

Financial obligations

RateBNDES/FINEM

Net financial debt/EBITDA (maximum)

3.50BNDES/FINEM

Net financial debt / Net financial debt + Equity (maximum)

0.60BNDES

Net financial debt / EBITDA (maximum)

3.50BNDES

Net financial debt / (Equity + Net financial equity) (maximum)

0.60Capital de giro

Net financial debt / EBITDA (maximum)

3.50Capital de giro

EBITDA / Net financial expenses (minimum)

2.00


EBITDA - Earnings Before Interest, Taxes, Depreciation and Amortization.

The amortization curve of the principal amounts of long-term loans and financing, without the effects of swap transactions engaged and funding
costs, is as follows:



Year

12/31/2013


12/31/20122014


-



209,2192015


206,578



116,1672016


189,481



101,2022017


233,081



101,2792018


196,661



66,689After 2018


280,203



68,161Total


1,106,004



662,717


As determined in the financing agreement, subsidiary CGTF should keep swap contracts in order to protect
part of the debt from exchange effects and interest rate, and to protect against the risk of changes in foreign exchange rates on loans and financing indexed to the US dollar. The swap contracts are presented in Note 22.



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##### Table of Contents

|20. | LOANS AND FINANCING--Continued
|--- | ------------------------------



Variation of currencies/index of debt accumulated in the year until the position at
December 31, 2013 and 2012 is as follows:



Currency / Index

12/31/2013


12/31/2012Dólar norte-americano


14.64%



8.94%INPC


5.56%



6.20%IPCA


5.91%



5.84%IGP-M


5.51%



7.82%TJLP


5.00%



5.75%CDI


8.06%



8.40%TR


0.19%



0.29%Libor


0.43%



0.69%


The changes in loans and financing without the effects of funding costs are as follows:



Local currency


Foreign currencyCurrent


Non-current


Current


Non-current


TotalAt December 31, 2011


587,996



725,126



50,365



137,622



1,501,109Additions


-



124,956



-



-



124,956Provisions for charges


98,984



-



9,139



-



108,123Interest accrued paid


(106,056)



-



(19,061)



-



(125,117)Monetary and exchange variation


-



1,714



2,781



12,659



17,154Transfers


293,869



(293,869)



28,446



(28,446)



-Swap transaction gain/losses


-



-



(781)



(2,236)



(3,017)Amortization


(581,806)



-



(43,904)



-



(625,710)At December 31, 2012


292,987



557,927



26,985



119,599



997,498Additions


-



717,557



-



-



717,557Provisions for charges


71,489



-



8,167



-



79,656Interest accued paid


(70,384)



-



(8,550)



-



(78,934)Monetary and exchange variation


-



636



4,951



13,288



18,875Transfers


257,765



(257,765)



30,429



(30,429)



-Swap transaction gain/losses


-



-



(17)



(7,357)



(7,374)Amortization


(322,882)



-



(29,096)



-



(351,978)At December 31, 2013


228,975



1,018,355



32,869



95,101



1,375,300




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##### Table of Contents

|21. | DEBENTURES
|--- | ----------



12/31/2013


12/31/2012Principal


PrincipalDescription

Companies

Charges


Current


Non-current


Charges


Current


Non-current1st Serie 3rd Issue

COELCE


2,219



-



104,000



1,679



-



104.0001st Serie 6th Issue

Ampla Energia


490



-



117,000



328



-



117.0001st Serie 7th Issue

Ampla Energia


411



-



100,000



274



-



100.0002nd Serie 2nd Issue

COELCE


-



-



-



4,175



62.214



62.2142nd Serie 3rd Issue

COELCE


4,698



-



334,764



4,353



-



316.2802nd Serie 5th Issue

Ampla Energia


-



-



-



459



53.519



107.0382nd Serie 6th Issue

Ampla Energia


8,972



-



209,480



8,290



-



197.9132nd Serie 7th Issue

Ampla Energia


10,683



-



327,093



9,872



-



309.031(-) Cost to be amortized




-



(1,736)



(3,853)



-



(2.191)



(6.183)Total with no effect of swap operations


27.473



(1.736)



1,188,484



29,430



113,542



1,307,293Swap transaction gain/losses


-



(322)



(19,719)



-



310



2,758Total debentures


27.473



(2.058)



1,168,765



29,430



113,852



1,310,051


Change in debentures:



Current


Non-current


TotalAt December 31, 2011


388,529



973,221



1,361,750Funds raised


-



400,000



400,000Provisions for charges


118,635



-



118,635Interest accrued paid


(120,822)



-



(120,822)Transfer of terms


117,245



(117,245)



-Monetary variation


-



52,702



52,702Repayment of principal


(360,779)



-



(360,779)Transfer - transaction cost


(2,191)



2,191



-Allocation of transaction cost


2,356



304



2,660Transaction cost


-



(3,880)



(2,880)Swap transaction gain/losses


309



2,758



3,067At December 31, 2012


143,282



1,310,051



1,453,333Provisions for charges


107,148



-



107,148Interest accrued paid


(109,106)



-



(109,106)Transfer of terms


180,520



(180,520)



-Monetary variation


-



59,380



59,380Repayment of principal


(296,251)



-



(296,251)Transfer - transaction cost


(2,010)



2,010



-Allocation of transaction cost


2,465



320



2,785Swap transaction gain/losses


(633)



(22,476)



(23,109)At December 31, 2013


25,415



1,168,765



1,194,180




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##### Table of Contents

|21. | DEBENTURES--Continued
|--- | ---------------------



Characteristics of debenture issues:

COELCE



Characteristics

3rd Issue 1st Serie

3nd Issue 2nd SerieConvertibility

Simple debentures non-convertible into shares

Simple debentures non-convertible into sharesType

Unprivileged

UnprivilegedType and form

Registered book-entry debentures, with no issue of certificates

Registered book-entry debentures, with no issue of certificatesNumber of securities

10,400 simple debentures

29,600 simple debenturesPar value

R$ 10

R$ 10Issue date

October 15, 2011

October 15, 2011Initial maturity

October 15, 2015

October 15, 2016Maturity

October 15, 2016

October 15, 2018Monetary restatement

No restatement

IPCARescheduling

No rescheduling

No reschedulingRemuneration

CDI+0.97%pa

6.85%paInterest payment

Semiannual

AnnualRepayment

Two annual installments

Three annual installmentsRepayment date

2015 and 2016

2016, 2017 and 2018


3rd Issue

The third issue of debentures took place on October 15, 2011, with 40,000 (forty thousand) simple, registered, book-entry unsecured
debentures, not convertible into shares, in two series, with unit value of R$ 10 as of issue date, in the total amount of R$ 400,000, placed through a public offering. The first series was issued with 10,400 (ten thousand and four hundred)
debentures, without restatement, earning CDI plus 0.97% p.a., payable semi-annually and amortized in two (02) annual installments on October 15, 2015 and 2016. The second series was issued with 29,600 (twenty-nine thousand and six hundred)
debentures, with restatement by the IPCA, earning 6.85% p.a., payable annually and amortized in three (03) annual installments on October 15, 2016, 2017 and 2018.



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##### Table of Contents

|21. | DEBENTURES--Continued
|--- | ---------------------



| | Characteristics of debenture issues--Continued
| | ----------------------------------------------



Ampla Energia



Characteristics

2ndSerie -5th IssueConvertibility

Simple debentures non-convertible into sharesType

UnprivilegedType and form

Registered book-entry debentures, with no issue of certificatesNumber of securities

13.467 simple debenturesPar value

R$ 10Issue date

December 15, 2009Initial maturity

December 15, 2013Maturity

December 15, 2015Monetary restatement

IPCARescheduling

No reschedulingRemuneration

IPCA + 8.30% p.a.Interest payment

AnnualRepayment

Three annual installmentsRepayment date

2013, 2014 and 2015Characteristics

1stSerie -6th Issue

2ndSerie -6th IssueConvertibility

Simple debentures non-convertible into shares

Simple debentures non-convertible into sharesType

Unprivileged

UnprivilegedType and form

Registered book-entry debentures, with no issue of certificates

Registered book-entry debentures, with no issue of certificatesNumber of securities

11,700 simple debentures

18,300 simple debenturesPar value

R$ 10

R$ 10Issue date

June 15, 2011

June 15, 2011Initial maturity

June 15, 2015

June 15, 2016Maturity

June 15, 2016

June 15, 2018Monetary restatement

No restatement

IPCARescheduling

No rescheduling

No reschedulingRemuneration

CDI + 1.20% p.a.

IPCA + 7.90% p.a.Interest payment

Semiannual

AnnualRepayment

Two annual installments

Three annual installmentsRepayment date

2015 and 2016

2016, 2017 and 2018




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##### Table of Contents

|21. | DEBENTURES--Continued
|--- | ---------------------



Characteristics of debenture issues--Continued



Ampla Energia--Continued





Characteristics

1st Serie - 7th
Issue

2nd Serie -
7th IssueConvertibility

Simple debentures non-convertible into shares

Simple debentures non-convertible into sharesType

Unprivileged

UnprivilegedType and form

Registered book-entry debentures, with no issue of certificates

Registered book-entry debentures, withno issue of certificatesNumber of securities

10,000 simple debentures

30,000 simple debenturesPar value

R$ 10

R$ 10Issue date

June 15, 2012

June 15, 2012Initial maturity

June 15, 2016

June 15, 2017Maturity

June 15, 2017

June 15, 2019Monetary restatement

No restatement

IPCARescheduling

No rescheduling

No reschedulingRemuneration

CDI + 1.02% p.a.

IPCA + 6.00% p.a.Interest payment

Semiannual

AnnualRepayment

Two annual installments

Three annual installmentsRepayment date

2016 and 2017

2017, 2018 and 2019


5th Issue

The Extraordinary General Meeting held on October 21, 2009 approved the 5thissue of
debentures, which aims to payment and/or amortization of debt falling due of subsidiary Ampla Energia. Debentures are simple, non-privileged, not convertible into shares, nominative and registered, in two series, with total amount of R$ 250.00.
The second series was early redeemed on September 25, 2013, thus completing this issuance.

6th Issue

The Extraordinary General Meeting held on May 12, 2011 approved the 6th issue of debentures, which aims to payment and/or amortization of debt falling due of Ampla Energia.



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##### Table of Contents

|21. | DEBENTURES--Continued
|--- | ---------------------



Characteristics of debenture issues:--Continued



Ampla Energia--Continued



7th Issue

The Extraordinary General Meeting held on April 27, 2012 approved the 7th issue of
debentures, which aims to payment and/or amortization of debt falling due. The operation has swap for 100% of the tranche in CDI.

In
accordance with the indenture of debentures, the subsidiaries COELCE and Ampla Energia are subject to maintaining certain financial ratios, calculated quarterly, based on its financial statements. At December 31, 2013, the subsidiaries Ampla
Energia and COELCE are complying with these ratios in the evaluation of its Management.



Issue

Financial obligations

Rate3nd issue - COELCE

Net financial debt / EBITDA (maximum)


2.503rd issue - COELCE

EBITDA/ Net financial debt (minimum)


2.755th issue -Ampla Energia

Net financial debt / EBITDA (maximum)


2.705th issue -Ampla Energia

EBITDA / Net financial expenses (minimum)


2.506th issue -Ampla Energia

Net financial debt / EBITDA (maximum)


2.706th issue -Ampla Energia

EBITDA / Net financial expenses (minimum)


2.507th issue -Ampla Energia

Net financial debt / EBITDA (maximum)


2.707th issue -Ampla Energia

EBITDA / Net financial expenses (minimum)


2.50


Amortization curve of long-term debentures:



2015


2016


2017


2018


After 2018


Total1th Serie - 3th Issue -
COELCE


52,000



52,000



-



-



-



104,0002th Serie - 3th Issue -
COELCE


-



111,578



111,578



111,608



-



334,7641th Serie - 6th Issue - Ampla
Energia


58,500



58,500



-



-



-



117,0002th Serie - 6th Issue - Ampla
Energia


-



69,827



69,827



69,826



-



209,4801th Serie - 7th Issue - Ampla
Energia


-



50,000



50,000



-



-



100,0002nd Serie - 7th Issue - Ampla
Energia


-



-



109,030



109,030



109,033



327,093(-) Transaction costs


(1,418)



(1,190)



(858)



(387)



-



(3,853)Total to be amortised


109,082



340,715



339,577



290,077



109,033



1,188,484




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##### Table of Contents

|22. |  | FINANCIAL INSTRUMENTS AND OPERATING RISKS
|--- |  | -----------------------------------------

General considerations

The Endesa Group has policies to mitigate financial risks and adopt operating and financial strategies to ensure liquidity, security and
profitability of its assets. For this purpose, it maintains managerial systems for controlling and monitoring its financial transactions and corresponding amounts, in order to monitor the risks and rates charged by the market.

Risk factors



| | a) | Foreign exchange rate risk
| | -- | --------------------------

This risk arises from the possibility of the Endesa Group
to incur losses due to fluctuations in foreign exchange rates, which increase financial expenses and liability balances of loans and financing in foreign currency taken out in the market.

The following table presents the carrying amount of foreign currency liabilities that are not hedged by currency swap instruments:



Liabilities12/31/2013


12/31/2012US dollars


90,067



92,983


We set out below a sensitivity analysis chart related to the impacts on net income of the Endesa Group
if the variation of the exchange rate in 2013 were equal to that expected for 2014, according to projections based on the dollar forward curve of the BM&F (Brazilian Mercantile & Futures Exchange):



Effects12/31/2013



Increase

On income    statement

On equityUS dollars



9.27%

(8,351)

(8,351)




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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



Risk factors--Continued



| | b) | Interest rate risk
| | -- | ------------------

This risk arises from the possibility of the Endesa Group to incur
losses due to fluctuations in interest rates or other debt indices, such as inflation rates, which would increase the financial expenses related to loans and financing taken out in the market. In order to minimize this risk, the Group prioritizes
loans taken out at fixed rates (BNB and Eletrobras) and linked to other indices less volatile to financial market fluctuations, such as the Long-Term Interest Rate - TJLP (BNDES).

In order to avoid risks with changes in market indexes, the loans indexed to floating rate had its rates fixed through swap contracts, to
hedge against the risk of rate fluctuation. The adjustment to the debit and credit of this operation is recorded in the income statement.

The table below shows the sensitivity analysis related to the impact on the Groups net income if variations in interest rates and
inflation rates for 2013 were equal to those expected for 2014, according to projections based on the forward curve of the BM&F:



|                      |  |                    |  |                        |         |  |           |  |         | 
|--------------------- |  | ------------------ |  | ---------------------- | ------- |  | --------- |  | ------- | 
|                      |  |                    |  | Effects                |        
|12/31/2013            |  | Increase/reduction |  | On income    statement |         |  | On equity | 
|                      |  |                    |  |                        |         | 
|                      |  |                    | 
|Financial liabilities |  |                    |  |                        |         |  |           |  |         | 
|CDI                   |  | (0.80%)            |  |                        | (1,386) |  |           |  | (1,386) | 
|Libor (6 months)      |  | 0.17%              |  |                        | (1)     |  |           |  | (1)     | 
|IPCA                  |  | 0.36%              |  |                        | 469     |  |           |  | 469     | 
|IGPM                  |  | 0.73%              |  |                        | 9       |  |           |  | 9       | 
|                      |  |                    |  |                        |         | 
|Total                 |  |                    |  |                        | (909)   |  |           |  | (909)   | 
|                      |  |                    |  |                        |         | 



| | c) | Credit risk
| | -- | -----------

The risk arises from the possibility of its subsidiaries to incur losses
due to the difficulty in collecting amounts billed to its customers. This risk is assessed as low by the subsidiaries due to the diversification in the number of customers and the collection policy and cutting of electricity supply to customers in
default. The allowance for doubtful accounts is established in an amount deemed sufficient by management of the Endesa Group to cover possible risks of realization of accounts receivable.



| | d) | Lack of energy
| | -- | --------------

The risk is related to an exceeding increase in demand, which may lead
to losses due to increase in costs and decrease in revenue with the adoption of a new rationing program, as occurred in 2001. However, considering simulations performed, the National Operator of the Electricity System (ONS) does not expect a
rationing program for the next few years



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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



Risk factors--Continued



| | e) | Accelerated debt maturity risk
| | -- | ------------------------------

Some subsidiaries have loans and financing agreements
and debentures with covenants that, in general, require the maintenance of economic and financial ratios at certain levels (financial covenants). Failure to comply with these covenants may result in acceleration of debt maturity. These restrictions
are adequately monitored and do not restrict the subsidiaries capacity to carry out their normal business. Currently, the Endesa Groups debt ratio is at levels below the limit established by the financial covenants.



| | f) | Capital risk management
| | -- | -----------------------

The Endesa Group manages its capital to ensure continuity of
its normal activities, while maximizing the return to all parties interested or involved in its operations by optimizing the debt and equity balances.

The capital structure of the Endesa Group is formed by net indebtedness (loans detailed in Notes 20 and 21, deducting cash and cash
equivalents and temporary cash investments detailed in Notes 5 and 6), as well as by equity of the Group.



12/31/2013


12/31/2012Debt


2,569,287



2,450,353Cash and cash equivalents + Marketable securities


(1,832,528)



(1,429,955)Net debt (a)


736,759



1,020,398Equity (b)


7,137,960



6,945,246Net indebtedness ratio (a/[a+b])


9%



13%




| | (a) | Net debt is represented by total outstanding loans, financing and debentures, including portions of current and noncurrent liabilities, net of balances of cash and cash equivalents and marketable securities. See more
details in Notes 5, 6, 20 and 21.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (b) | Equity includes all capital and reserves of the Group.
| | --- | ------------------------------------------------------

Subsidiary COELCE, over the year ended
December 31, 2013, engaged in interest future agreements. These were solely used for management of fixed revenue funds, in order to hedge cash securities, carry out interest rate positioning transactions and change indexes of cash securities.
Strategies in future market are considered for all portfolio assets, i.e. individual results aim at contributing to the global result of fixed income portion, determined in the investment policy



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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



Risk factors--Continued



| | g) | Liquidity risk
| | -- | --------------

The Endesa Groups liquidity is managed through the monitoring of
forecast and actual cash flows in order to meet possible cash needs in the short-term. So as to ensure the capacity of paying its obligations in a conservative manner, the management of temporary cash investments has focused on very short-term
instruments, primarily with daily maturities in order to provide maximum liquidity.

The tables below present information on future
maturities of loans, financing, debentures and related party operations in foreign currency of the Endesa Group that are being considered in the projected cash flows (including interest and principal):



Less thanone month


From one tothree months


From threemonths to oneyear


From one to fiveyears


Over five years


TotalDecember 31, 2013Fixed interest loans and financing


8,873



20,451



111,342



364,722



138,188



643,576Variable interest loans and financing


10,363



29,021



161,126



690,579



196,642



1,087,731Debentures


-



-



96,284



1,356,495



117,689



1,570,468Loans and financings with related parties in local currency


-



-



-



-



-



-19,236



49,472



368,752



2,411,796



452,519



3,301,775December 31, 2012Fixed interest loans and financing


6,307



14,476



86,085



362,775



124,016



593,659Variable interest loans and financing


34,092



21,715



220,885



280,990



27,704



585,386Debentures


-



-



225,525



1,270,146



418,153



1,913,824Loans and financings with related parties in foreign currency


-



-



362,090



-



-



362,09040,399



36,191



894,585



1,913,911



569,873



3,454,959


The tables below present the amounts forecast for the next maturity of hedging instruments:



|                   |  |                    |  |                        |  |                             |         |  |                       |  |         |                |  |       |  |  |         | 
|------------------ |  | ------------------ |  | ---------------------- |  | --------------------------- | ------- |  | --------------------- |  | ------- | -------------- |  | ----- |  |  | ------- | 
|                   |  | Less thanone month |  | From one tothreemonths |  | From threemonths to oneyear |         |  | From one to fiveyears |  |         | Over fiveyears |  | Total | 
|December 31, 2013  |  |                    |  |                        |  |                             |         |  |                       |  |         |                |  |       |  |  |         | 
|Currency swap      |  |                    |  |                        |  |                             | 4,172   |  |                       |  | 3,599   |                |  |       |  |  | 7,771   | 
|Interest rate swap |  |                    |  |                        |  |                             | (2,365) |  |                       |  | (5,015) |                |  |       |  |  | (7,380) | 
|                   |  |                    | 
|                   |  |                    |  |                        |  |                             | 1,807   |  |                       |  | (1,416) |                |  |       |  |  | 391     | 
|                   |  |                    | 
|                   |  |                    |  |                        |  |                            
|December 31, 2012  |  |                    |  |                        |  |                             |         |  |                       |  |         |                |  |       |  |  |         | 
|Currency swap      |  |                    |  |                        |  |                             | 5,085   |  |                       |  | 8,647   |                |  |       |  |  | 13,732  | 
|Interest rate swap |  |                    |  |                        |  |                             | 8,206   |  |                       |  | 14,364  |                |  |       |  |  | 22,570  | 
|                   |  |                    | 
|                   |  |                    |  |                        |  |                             | 13,291  |  |                       |  | 23,011  |                |  |       |  |  | 36,302  | 
|                   |  |                    | 

In order to avoid any emergency cash need, the Group uses overdraft facilities that it has taken out as a
short-term cash source. We set out below the table on the final position of the 2012 and 2013 fiscal years regarding the use of this facility:



Secured account

12/31/2013

12/31/2012Agreed

350,000

325,000




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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



Valuation of financial instruments

In order to determine the fair value of loans and financing, the Endesa Groups management used discounted future cash flows at rates
deemed as fair to carry out new operations in the market. Regarding the fair value of debentures the quotations traded on the secondary market were adopted.

Hierarchical fair value

There are three levels for the classification of fair value relating to financial instruments and hierarchical level is considered to define
priority for unadjusted quoted prices in an active market for financial assets or liabilities. The classification of hierarchical levels may be presented as outlined below:



| |  |  | Level 1 - Data from an active market (unadjusted quoted price) allowing daily access including on the date of fair value measurement.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Level 2 - Data different from that from the active market (unadjusted quoted price) included in Level 1, extracted from the pricing model based on observable market data.
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Level 3 - Data from a pricing model based on unobservable market data.
| | - |  | ----------------------------------------------------------------------



|                                        |  |                        |  |       |  |            |           |   |            |  |           |            |  |  |            |  |  |  |           | 
|--------------------------------------- |  | ---------------------- |  | ----- |  | ---------- | --------- | - | ---------- |  | --------- | ---------- |  |  | ---------- |  |  |  | --------- | 
|                                        |  |                        |  |       |  |            |          
|                                        |  |                        |  |       |  | 12/31/2013 |           |   | 12/31/2012 | 
|                                        |  |                        |  |       |  |            |           |   |            |  |           |           
|                                        |  | Category               |  | Level |  | Book value |           |   | Fair value |  |           | Book value |  |  | Fair value | 
|                                        |  |                        |  |       |  |            |           |   |            |  |           |           
|Assets                                  |  |                        |  |       |  |            |           |   |            |  |           |            |  |  |            |  |  |  |           | 
|Cash and cash equivalents               |  | Fair value through P&L |  | 2     |  |            | 1,096,850 |   |            |  | 1,096,850 |            |  |  | 814,805    |  |  |  | 814,805   | 
|Marketable securities                   |  | Fair value through P&L |  | 2     |  |            | 735,678   |   |            |  | 735,678   |            |  |  | 615,150    |  |  |  | 615,150   | 
|Guarantees and restricted deposits      |  | Loans and receivables  |  | 2     |  |            | 116,993   |   |            |  | 116,993   |            |  |  | 115,153    |  |  |  | 115,153   | 
|Trade accounts receivable               |  | Loans and receivables  |  | 2     |  |            | 1,179,537 |   |            |  | 1,263,657 |            |  |  | 1,246,412  |  |  |  | 1,246,412 | 
|Indemnification assets (Concession)     |  | Available for sale     |  | 3     |  |            | 2,014,096 |   |            |  | 2,014,096 |            |  |  | 1,638,619  |  |  |  | 1,638,619 | 
|Liabilities                             |  |                        |  |       |  |            |           |   |            |  |           |            |  |  |            |  |  |  |           | 
|Loans and financing in local currency   |  | Loans and receivables  |  | 2     |  |            | 1,247,137 |   |            |  | 1,233,193 |            |  |  | 850,436    |  |  |  | 849,629   | 
|Debentures in local currency            |  | Loans and receivables  |  | 2     |  |            | 1,214,221 |   |            |  | 1,214,221 |            |  |  | 1,450,265  |  |  |  | 1,405,416 | 
|Loans and financing in foreign currency |  | Loans and receivables  |  | 2     |  |            | 120,425   |   |            |  | 135,132   |            |  |  | 131,665    |  |  |  | 149,805   | 
|Derivative financial instruments        |  | Loans and receivables  |  | 2     |  |            | (12.496   | ) |            |  | (12.496   | )          |  |  | 17,987     |  |  |  | 17,987    | 
|Trade accounts payable                  |  | Loans and receivables  |  | 2     |  |            | 993,907   |   |            |  | 1,166,391 |            |  |  | 795,833    |  |  |  | 795,833   | 

The change in the balance of the financial asset classified as Level 3 observed in the years ended
December 31, 2013 and 2012 is shown in Note 16.



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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



Valuation of financial instruments--Continued



Hierarchical fair value--Continued



The estimated market value of swap transactions was prepared based on the discounted present
value of future cash flows (DPV) model, discounted at market rates presented by the BM&F as of December 31, 2013.

At
December 31, 2013 and 2012, the Group had swap operations, as shown below:

COELCE



|                      |  |                |  |               |  |                        |  |  |  |                  |        |   |            |  |     | 
|--------------------- |  | -------------- |  | ------------- |  | ---------------------- |  |  |  | ---------------- | ------ | - | ---------- |  | --- | 
|                      |  |                |  |               |  |                        |  |  |  | Reference values |       
|Counterparty          |  | Agreement date |  | Maturity date |  | Position               |  |  |  | 12/31/2013       |        |   | 12/31/2012 | 
|                      |  |                |  |               |  |                       
|HSBC Bank Brasil S.A. |  | 11/8/2012      |  | 10/17/2016    |  | CDI + 0.97% p.a
9.43%p |  |  |  |                  | (6,548 | ) |            |  | 637 | 



|                      |  |                 |  |  |  |            |         |  |            |  |                                     |  |                                    |                       |  |  |                   |  |  |  |   |                       |  |  |                |  |   |  |  |  |      |  
|--------------------- |  | --------------- |  |  |  | ---------- | ------- |  | ---------- |  | ----------------------------------- |  | ---------------------------------- | --------------------- |  |  | ----------------- |  |  |  | - | --------------------- |  |  | -------------- |  | - |  |  |  | ---- | -
|                      |  |                 |  |  |  | Fair value |         |  |            |  | Accumulated effect up to 12/31/2013 |  | Accumulated effect up to12/31/2012 |                      
|                      |  |                 |  |  |  |            |         |  |            | 
|Counterparty          |  | Description     |  |  |  | 12/31/2013 |         |  | 12/31/2012 |  |                                     |  |                                    | Receivables/
Received |  |  | Payables/    Paid |  |  |  |   | Receivables/
Received |  |  | Payables/ Paid | 
|                      |  |                 |  |  |  |            |         |  |            | 
|HSBC Bank Brasil S.A. |  | (+) Assets      |  |  |  |            | 103,870 |  |            |  | 108,167                             |  |                                    |                       |  |  | -                 |  |  |  | - |                       |  |  |                |  | - |  |  |  | -    |  
|                      |  | (-) Liabilities |  |  |  |            | 97,322  |  |            |  | 108,804                             |  |                                    |                       |  |  | -                 |  |  |  | - |                       |  |  |                |  | - |  |  |  | -    |  
|                      |  | (=) Adjustment  |  |  |  |            | 6,548   |  |            |  | (637)                               |  |                                    |                       |  |  | 6,548             |  |  |  | - |                       |  |  |                |  | - |  |  |  | (637 | )

Ampla Energia



|                      |  |  |  |                |  |               |  |                              |  |  |  |                  |        |   |            |  |       | 
|--------------------- |  |  |  | -------------- |  | ------------- |  | ---------------------------- |  |  |  | ---------------- | ------ | - | ---------- |  | ----- | 
|                      |  |  |  |                |  |               |  |                              |  |  |  | Reference values |       
|                      |  |  |  |                |  |               |  |                              |  |  |  | Local currency   |       
|Counterparty          |  |  |  | Agreement date |  | Maturity date |  | Position                     |  |  |  | 12/31/2013       |        |   | 12/21/2012 | 
|HSBC Bank Brasil S.A. |  |  |  | 09/03/2012     |  | 6/16/2017     |  | CDI + 1.02% p.a.
10.05% p.a. |  |  |  |                  | (7,224 | ) |            |  | 1,891 | 
|                      |  |  |  |                |  |               | 
|HSBC Bank Brasil S.A. |  |  |  | 11/18/2012     |  | 06/16/2016    |  | CDI + 1.20% p.a.
9.59% p.a.  |  |  |  |                  | (6,125 | ) |            |  | 540   | 



|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              |  |  |          |   |  |      |  |   |  |  |  |         | 
|--------------------- |  | ---------------- |  | ---------- | ------- |  | ----------------------------------- |  | ------- | ----------------------------------- |  |  | ------------ |  |  | -------- | - |  | ---- |  | - |  |  |  | ------- | 
|                      |  |                  |  |            |         |  | Accumulated effect up to 12/31/2013 |  |         | Accumulated effect up to 12/31/2012 | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              |  |  |          |   | 
|                      |  |                  |  | Fair value |         |  | Receivables/                        |  |         | Payables/                           |  |  | Receivables/ |  |  | Payables |  
|Counterparty          |  | Description      |  | 12/31/2013 |         |  | 12/31/2012                          |  |         | Received                            |  |  | Paid         |  |  | Received |   |  | Paid | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              | 
|                      |  |                  |  |            |         |  |                                    
|                      |  | Swap agreements: |  |            |         |  |                                     |  |         |                                     |  |  |              |  |  |          |   |  |      |  |   |  |  |  |         | 
|HSBC Bank Brasil S.A. |  | (+) Assets       |  |            | 98,994  |  |                                     |  | 103,991 |                                     |  |  | -            |  |  |          | - |  |      |  | - |  |  |  | -       | 
|                      |  | (-) Liabilities  |  |            | 91,770  |  |                                     |  | 105,882 |                                     |  |  | -            |  |  |          | - |  |      |  | - |  |  |  | -       | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              | 
|                      |  | (=) Adjustment   |  |            | 7,224   |  |                                     |  | (1,891) |                                     |  |  | 7,224        |  |  |          | - |  |      |  | - |  |  |  | (1,891) | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              | 
|HSBC Bank Brasil S.A. |  | (+) Assets       |  |            | 115,201 |  |                                     |  | 121,243 |                                     |  |  | -            |  |  |          | - |  |      |  | - |  |  |  | -       | 
|                      |  | (-) Liabilities  |  |            | 109,076 |  |                                     |  | 121,784 |                                     |  |  | -            |  |  |          | - |  |      |  | - |  |  |  | -       | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              | 
|                      |  | (=) Adjustment   |  |            | 6,125   |  |                                     |  | (541)   |                                     |  |  | 6,125        |  |  |          | - |  |      |  | - |  |  |  | (541)   | 
|                      |  |                  |  |            |         |  |                                     |  |         |                                     |  |  |              | 



G-73



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##### Table of Contents

|22. | FINANCIAL INSTRUMENTS AND OPERATING RISKS--Continued
|--- | ----------------------------------------------------



| | Hierarchical | fair value--Continued
| | ------------ | ---------------------



CGTF



|                            |  |                |            |  |               |  |            |          |  |                             |  |  |                |  |  |            |        |  |            |  |        |  |  |  |        | 
|--------------------------- |  | -------------- | ---------- |  | ------------- |  | ---------- | -------- |  | --------------------------- |  |  | -------------- |  |  | ---------- | ------ |  | ---------- |  | ------ |  |  |  | ------ | 
|                            |  |                |            |  |               |  |            |          |  | Reference values            | 
|                            |  |                |            |  |               |  |            |          |  |                             |  |  |                | 
|                            |  |                |            |  |               |  |            |          |  | Foreign currency            |  |  | Local currency | 
|                            |  |                |            |  |               |  |            |          |  |                             |  |  |                |  |  |            |        | 
|Counterparty                |  | Agreement date |            |  | Maturity date |  |            | Position |  | 12/31/2013                  |  |  | 12/31/2012     |  |  | 12/31/2013 |        |  | 12/21/2012 | 
|                            |  |                |            |  |               |  |            |          |  |                             | 
|                            |  |                |            |  |               |  |           
|Banco Santander Brasil S.A. |  |                | 06/15/2006 |  |               |  | 12/15/2015 |          |  | Libor
5.4% (a/360) a.a      |  |  | 5,961          |  |  |            | 8,647  |  |            |  | 13,965 |  |  |  | 17,670 | 
|                            |  |                |            |  |               |  |           
|Banco Citibank              |  |                | 03/20/2007 |  |               |  | 12/15/2015 |          |  | Libor + 2.25%
IGPM + 9.77%. |  |  | 6,807          |  |  |            | 9,874  |  |            |  | 15,946 |  |  |  | 20,177 | 
|                            |  |                |            |  |               |  |            |          |  |                             |  |  |                |  |  |            |        | 
|                            |  |                |            |  |               |  |            |          |  |                             |  |  | 12,768         |  |  |            | 18,521 |  |            |  | 29,911 |  |  |  | 37,847 | 
|                            |  |                |            |  |               |  |            |          |  |                             |  |  |                |  |  |            |        | 



|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              |  |  |           |         |  |      |  |   |  |  |  |          | 
|--------------------------- |  | ---------------- |  | ---------- | ------- |  | ---------------------------------- |  | -------- | ---------------------------------- |  |  | ------------ |  |  | --------- | ------- |  | ---- |  | - |  |  |  | -------- | 
|                            |  |                  |  |            |         |  | Accumulated effect up to12/31/2013 |  |          | Accumulated effect up to12/31/2012 | 
|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              |  |  |           |         | 
|                            |  |                  |  | Fair value |         |  | Receivables/                       |  |          | Payables/                          |  |  | Receivables/ |  |  | Payables/ |        
|Counterparty                |  | Description      |  | 12/31/2013 |         |  | 12/31/2012                         |  |          | Received                           |  |  | Paid         |  |  | Received  |         |  | Paid | 
|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              | 
|                            |  |                  |  |            |         |  |                                   
|                            |  | Swap agreements: |  |            |         |  |                                    |  |          |                                    |  |  |              |  |  |           |         |  |      |  |   |  |  |  |          | 
|Banco Santander Brasil S.A. |  | (+) Assets       |  |            | 14,036  |  |                                    |  | 17,835   |                                    |  |  | -            |  |  |           | -       |  |      |  | - |  |  |  | -        | 
|                            |  | (-) Liabilities  |  |            | 14,909  |  |                                    |  | 19,378   |                                    |  |  | -            |  |  |           | -       |  |      |  | - |  |  |  | -        | 
|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              | 
|                            |  | (=) Adjustment   |  |            | (873)   |  |                                    |  | (1,543)  |                                    |  |  | -            |  |  |           | (873)   |  |      |  | - |  |  |  | (1,543)  | 
|Banco Citibank              |  | (+) Assets       |  |            | 16,322  |  |                                    |  | 20,846   |                                    |  |  | -            |  |  |           | -       |  |      |  | - |  |  |  | -        | 
|                            |  | (-) Liabilities  |  |            | 22,994  |  |                                    |  | 34,222   |                                    |  |  | -            |  |  |           | -       |  |      |  | - |  |  |  | -        | 
|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              | 
|                            |  | (=) Adjustment   |  |            | (6,672) |  |                                    |  | (13,376) |                                    |  |  | -            |  |  |           | (6,672) |  |      |  | - |  |  |  | (13,376) | 
|                            |  |                  |  |            | (7,545) |  |                                    |  | (14,919) |                                    |  |  | -            |  |  |           | (7,545) |  |      |  | - |  |  |  | (14,919) | 
|                            |  |                  |  |            |         |  |                                    |  |          |                                    |  |  |              | 



|23. | TAXES PAYABLE
|--- | -------------



|                                         |  |            |         |  |            |  |         | 
|---------------------------------------- |  | ---------- | ------- |  | ---------- |  | ------- | 
|                                         |  | 12/31/2013 |         |  | 12/31/2012 | 
|                                         |  |            |         | 
|Value-Added Tax - ICMS                   |  |            | 72,540  |  |            |  | 80,383  | 
|Income tax and social contribution       |  |            | 112,558 |  |            |  | 57,639  | 
|Services Tax - ISS                       |  |            | 3,268   |  |            |  | 3,178   | 
|Social Integration Program - PIS         |  |            | 8,260   |  |            |  | 10,264  | 
|Social investment program - COFINS       |  |            | 36,146  |  |            |  | 44,826  | 
|PIS/COFINS/IRRF/CSRF (Withheld at source |  |            | 1,852   |  |            |  | 2,045   | 
|Social contributions                     |  |            | 6,160   |  |            |  | 6,280   | 
|Other taxes and contributions            |  |            | 10,509  |  |            |  | 11,032  | 
|                                         |  |            |         | 
|Total                                    |  |            | 251,293 |  |            |  | 215,647 | 
|                                         |  |            |         | 



G-74



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##### Table of Contents

|24. | REGULATORY CHARGES
|--- | ------------------



12/31/2013


12/31/2012Fuel consumption bill (CCC)


-



10,389Energy development account (CDE)


2,945



14,338Global reversion reserve (RGR) and others


11,475



38,596Reserve energy charges (EER)


-



1,999Financial offset for use of water resources (CFURH)


2,507



3,836Ex-isolated charges


57



3,028Inspection fee


2,067



2,066Emergency charges


2,467



2,465Total


21,518



76,717


The balance of the global reversal reserve refers to the provision of the amounts to be paid to Centrais
Elétricas Brasileiras S.A. - Eletrobras, calculated based on 2.5% of property, plant and equipment, limited to 3% of gross revenues from electric energy operations. These amounts are regulated on an annual basis through orders issued by the
Economic and Financial Inspection Department (SFF) of ANEEL.



|25. | RESEARCH, DEVELOPMENT AND ENERGY EFFICIENCY PROGRAMS
|--- | ----------------------------------------------------



12/31/2013


12/31/2012Current


Non-current


Current


Non-currentElectricity Efficiency Program (PEE)


36,058



48,342



42,475



18,321Research & Development Program (P&D)


58,756



27,044



57,976



13,970Brazilian National Fund for Scientific and Technological Development (FNDCT)


559



-



820



-Energy Research Company (EPE)


(55
)


-



-



-Ministry of Mines and Energy (MME)


(80
)


-



39



-Total


95,238



75,386



101,310



32,291


Under Law No. 9,991 of July 24, 2000, concessionaires and permittees of public electric energy
distribution services must allocate each year, one percent (1%) of their net operating revenue to Research, Development and Energy Efficiency Program, distributed according to the percentages determined by ANEEL.

ANEEL Decision No. 504, of August 14, 2012, and No. 556, of July 2, 2013, approves the Manual of the Research and
Development Program and the Procedures of the Energetic Efficiency Program (PROPEE), which determine the guidelines and rules for preparation of R&D and Property Plant and Equipment projects, respectively. The main changes of this new manual and
procedure are: Approval of PROPEE, containing the procedures for preparation, forwarding, initial and final evaluation and completion of the respective projects; the possibility of submission of projects at any time of the year, making the process
continuous; the submission, through the Management System, of final, measurement and monitoring, and financial accounting audit reports; the emphasis on the financial evaluation of projects, thus increasing the responsibility of the concessionaire
on using of the investment.

The subsidiaries COELCE, Ampla Energia, CGTF and CDSA account for expenditures relating to the Research,
Development and Energy Efficiency Program on the accrual basis, also amounts are restated by Selic rate through to effective realization.



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##### Table of Contents

26. INSTALLMENT TAX PROGRAM



REFIS IV


REFIS


REFIS





Auto





REFISPAES


Federal


ICMS


INSS


REFERJ


IRPJ/CSLL


ICMS


IR


TotalBalances at December 31, 2011


15,148



21,180



6,304



12,657



2,279



8,422



30,191



15,480



111,661(-) Payments


(4,507)



(3,649)



(4,712)



(6,676)



(664)



(4,157)



(16,086)



(7,290)



(47,741)(+) Update


1,183



1,265



1,002



264



102



598



1,980



371



6,765Balances at December 31, 2012


11,824



18,796



2,594



6,245



1,717



4,863



16,085



8,561



70,685Current


4,730



1,588



2,594



6,245



711



3,504



16,085



5,335



40,792Non-current


7,094



17,208



-



-



1,006



1,359



-



3,226



29,893REFIS IV


REFIS


REFIS





Auto





REFISPAES


Federal


ICMS


INSS


REFERJ


IRPJ/CSLL


ICMS


IR


TotalBalances at December 31, 2011


11,824



18,796



2,594



6,245



1,717



4,863



16,085



8,561



70,685(+) Additions


-



-



4,237



-



-



-



-



-



4,237(-) Payments


(4,786)



(2,799)



(3,441)



(6,890)



(752)



(4,750)



(17,014)



(6,320)



(46,752)(+) Update


756



1,802



424



1,134



163



101



929



129



5,438Balances at December 31, 2012


7,794



17,799



3,814



489



1,128



214



-



2,370



33,608Current


5,196



1,643



3,814



489



752



214



-



2,370



14,478Non-current


2,598



16,156



-



-



376



-



-



-



19,130




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##### Table of Contents

|27. | RELATED PARTIES
|--- | ---------------

The Endesa Group carry out operations with related parties that belong
to the same economic group, and the balances, nature and total of transactions and effects on the consolidated financial statements are as follows:



|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |   |  |                   |          |   |                      |  |         |                     |  |  |                    |  |  |                        |         |  |                   |  |         |                      |  |  |          |   |  |  |         |   |  |  |     | 
|------------------------------------------- |  | ------- |  | ------------------- | ---------------------- |  | ------------------- |  | ------- | ------------------ |  |  | ---------------------- | - |  | ----------------- | -------- | - | -------------------- |  | ------- | ------------------- |  |  | ------------------ |  |  | ---------------------- | ------- |  | ----------------- |  | ------- | -------------------- |  |  | -------- | - |  |  | ------- | - |  |  | --- | 
|                                            |  |         |  |                     |                        |  | 12/31/2013          |  |         | 12/31/2012         | 
|Companies                                   |  | Ref,    |  | Type of transaction |                        |  | Non-current  assets |  |         | Currentliabilities |  |  | Non-currentliabilities |   |  | Revenues(expenses |          |   | Intangible  assets l |  |         | Non-current  assets |  |  | Currentliabilities |  |  | Non-currentliabilities |         |  | Revenues(expenses |  |         | Intangible  assets l | 
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |  
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  | 
|Enersis S,A,                                |  | (a)     |  |                     | Other                  |  |                     |  | -       |                    |  |  | -                      |   |  |                   | -        |   |                      |  | -       |                     |  |  | -                  |  |  |                        | 235     |  |                   |  | 2       |                      |  |  | 99       |   |  |  | -       |   |  |  | -   | 
|Fundação COELCE de                          |  | (b,1) e |  |                     | Pension plan           |  |                     |  |         |                    |  |  |                        |   |  |                   | 84,506   |   |                      |  | (7,406  | )                   |  |  | 606                |  |  |                        |         |  |                   |  |         |                      |  |  | 64,849   |   |  |  | (5,684  | ) |  |  | 574 | 
|Seguridade Social  FAELCE                  |  | (b,2)   |  |                     | Acknowledgment of debt |  |                     |  | -       |                    |  |  | 12,824                 |   |  |                   | -        |   |                      |  | -       |                     |  |  | -                  |  |  |                        | -       |  |                   |  | 12,098  |                      |  |  | 6,049    |   |  |  |         |   |  |  | -   | 
|Fundação Brasiletros                        |  | (b,3)   |  |                     | Pension plan           |  |                     |  | -       |                    |  |  | -                      |   |  |                   | 393,339  |   |                      |  | (46,715 | )                   |  |  | -                  |  |  |                        | -       |  |                   |  | -       |                      |  |  | 480,896  |   |  |  | (50,069 | ) |  |  | -   | 
|CEMSA - Comercializadora del Mercosulr S,A, |  | (c)     |  |                     | Energy transportation  |  |                     |  | 86,541  |                    |  |  | -                      |   |  |                   | 87,737   |   |                      |  | 24,675  |                     |  |  | -                  |  |  |                        | 86,539  |  |                   |  | -       |                      |  |  | 87,757   |   |  |  | 9,824   |   |  |  | -   | 
|Endesa Costanera S,A,                       |  | (c)     |  |                     | Energy transportation  |  |                     |  | 33,285  |                    |  |  | -                      |   |  |                   | 33,267   |   |                      |  | 9,072   |                     |  |  | -                  |  |  |                        | 33,701  |  |                   |  | -       |                      |  |  | 33,720   |   |  |  | 3,336   |   |  |  | -   | 
|Enel Energy Europe                          |  | (e)     |  |                     | Services rendered      |  |                     |  | -       |                    |  |  | 3,382                  |   |  |                   | -        |   |                      |  | (3,208  | )                   |  |  | -                  |  |  |                        | -       |  |                   |  | -       |                      |  |  | -        |   |  |  | -       |   |  |  | -   | 
|Enel Ingegneria e Innovazione               |  | (f)     |  |                     | Services rendered      |  |                     |  | -       |                    |  |  | 1,789                  |   |  |                   | -        |   |                      |  | (1,789  | )                   |  |  | -                  |  |  |                        | -       |  |                   |  | -       |                      |  |  | -        |   |  |  | -       |   |  |  | -   | 
|Enel Green Power Desenvolvimento Ltda       |  |         |  |                     | Services rendered      |  |                     |  | -       |                    |  |  | 1,597                  |   |  |                   | -        |   |                      |  | -       |                     |  |  | -                  |  |  |                        | -       |  |                   |  | -       |                      |  |  | -        |   |  |  | -       |   |  |  | -   | 
|ICT - Serviciós Informáticos Ltda,          |  | (d)     |  |                     | Services rendered      |  |                     |  | -       |                    |  |  | 8,806                  |   |  |                   | -        |   |                      |  | (2,494  | )                   |  |  | -                  |  |  |                        | -       |  |                   |  | 6,304   |                      |  |  | -        |   |  |  | (3,414  | ) |  |  | -   | 
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |  
|                                            |  |         |  |                     |                        |  |                     |  | 119,826 |                    |  |  | 28,398                 |   |  |                   | 598,849  |   |                      |  | (27,865 | )                   |  |  | 606                |  |  |                        | 120,475 |  |                   |  | 18,404  |                      |  |  | 673,370  |   |  |  | (46,007 | ) |  |  | 574 | 
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |  
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  | 
|(-) Pension plan                            |  |         |  |                     |                        |  |                     |  | -       |                    |  |  | (12,824                | ) |  |                   | (477,845 | ) |                      |  | -       |                     |  |  | -                  |  |  |                        | -       |  |                   |  | (12,098 | )                    |  |  | (551,794 | ) |  |  | -       |   |  |  | -   | 
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |  
|Total related parties                       |  |         |  |                     |                        |  |                     |  | 119,826 |                    |  |  | 15,574                 |   |  |                   | 121,004  |   |                      |  | (27,865 | )                   |  |  | 606                |  |  |                        | 120,475 |  |                   |  | 6,306   |                      |  |  | 121,576  |   |  |  | (46,007 | ) |  |  | 574 | 
|                                            |  |         |  |                     |                        |  |                     |  |         |                    |  |  |                        |  



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##### Table of Contents

|27. | RELATED PARTIES--Continued
|--- | --------------------------



The main conditions related to transactions between related parties are described below:



| | a) | Enersis Agência
| | -- | ---------------

Subsidiary Ampla Energia has no accounts payable to Enersis at
December 31, 2013 (R$ 99 in 2012).



| | b) | Private pension obligations
| | -- | ---------------------------



| | b.1) | Debt Agreement - FAELCE
| | ---- | -----------------------

Subsidiary COELCE sponsors the pension fund administered by
Fundação COELCE de Seguridade Social - FAELCE.

On June 30, 1999, the subsidiary COELCE entered into a contract for
consolidation of debts in the amount of R$ 46,600, corresponding to the debt balances of the commitment records entered into on December 31, 1992, in May 23, 1996 and January 31, 1997.

On June 30, 2007, a third amendment was entered into with the updated debt amount of R$ 62,200, according to Resolution CGPC
No. 17/96 of the Ministry of Social Security, with a deadline for total payment of 14 successive semiannual installments, starting on December 31, 2007 and ending on June 30, 2014. Until December 31, 2012, subsidiary COELCE paid
nine installments, with a remaining debt balance of R$ 12,824 (R$ 18,147 until December 31, 2012).

As guarantee for the
operation, subsidiary COELCE assigned to FAELCE the credit rights that is has or comes to have, represented by the collection of electricity bills. FAELCE may withdraw from the bank account of subsidiary COELCE until the amount of debt installments
due and unpaid after 45 days of verification of COELCEs default, at its discretion.



| | b.2) | Private Pension - FAELCE
| | ---- | ------------------------

Subsidiary COELCE, as the sponsor of FAELCE, performs monthly
transfers for the financial maintenance of FAELCE and makes contributions to the actuarial reserve for private pension plans of employees of subsidiary COELCE, classified as for Defined Benefits and Defined Contribution.

The total expenditure in 2013 was R$ 8,012 (R$ 6,258 in 2012), comprising R$ 7,406 (R$ 5,684 in 2012) as operating
expense of subsidiary COELCE and R$ 606 (R$ 574 in 2012) capitalized to intangible assets.

The balance as of December 31,
2013 was R$ 84,506 (R$ 64,849 in 2012), which represents the amount of contribution of subsidiary COELCE (sponsor) to pension plans, see Note 31.



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##### Table of Contents

|27. | RELATED PARTIES--Continued
|--- | --------------------------



| | b) | Private pension obligations--Continued
| | -- | --------------------------------------



| | b.3) | Fundação Ampla de Seguridade Social - BRASILETROS
| | ---- | -------------------------------------------------

Subsidiary Ampla Energia, as
the sponsor of Fundação Ampla de Seguridade Social - BRASILETROS, performs monthly transfers for the maintenance of that entity and financial contributions to the actuarial reserve of the private pension plans of employees of the
subsidiary classified as PCA (Supplementary Private Pension Plan) and PACV (Private Pension Plan with Variable Contribution).

As a
guarantee for the operation, subsidiary Ampla Energia offers the credit rights that it has or comes to have, represented by the collection of electricity bills, until the amount of debt due, also collection of amounts from the payment of credit
rights will be made through authorized banking network, transferring funds to the bank account indicated by Brasiletros. The total expenditure for the year ended December 31, 2013 was R$ 46,715 (R$ 50,069 in 2012).



| | c) | CEMSA - Comercializadora del Mercosur S.A. and Endesa Costanera S.A.
| | -- | --------------------------------------------------------------------

The accounts
payable with CEMSA and Costanera in the amounts of R$ 121,005 as at December 31, 2013 (R$ 121,477 in 2012) are due to the purchase of electricity for resale in the Brazilian market held in previous years. The balances are financially
updated on a monthly basis, incurring also the currency fluctuations, as the contract was settled on US dollars.



| | d) | ICT  Serviciós Informáticos Ltda.
| | -- | ----------------------------------

The Company has a contract with
ICT referring to professional advisory services and IT management.

This agreement totaled R$ 2,494 as services cost the year
twelve-month period ended December 31, 2013 (R$ 3,414 at December 31, 2012), and the corresponding liability of R$ 8,806 at December 31, 2013 (R$ 6,304 at December 31, 2012).



| | e) | Enel Energy
| | -- | -----------

The Company has a contract with Enel Energy referring to software
licensing, implementation and maintenance services.

This contract totaled R$ 28 in service cost for the twelve-month period ended
December 31, 2013, corresponding to a liability of R$ 41 at December 31, 2013.

Endesa Group totaled R$ 3,208 in
service cost for the twelve-month period ended December 31, 2013, corresponding to a liability of R$ 3.382 at December 31, 2013.



| | f) | Enel Ingegneria e Innovazione
| | -- | -----------------------------

The Company has a contract with Enel Ingegneria e
Innovazzione, referring to the performance of technological innovation, and R&D projects.

This contract totaled R$ 1,789 service
cost for the twelve-month period ended December 31, 2013, corresponding to a liability of R$ 1,789 at December 31, 2013.



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##### Table of Contents

|27. | RELATED PARTIES--Continued
|--- | --------------------------



Management Compensation

The Groups compensation paid to the key personnel for the year ended December 31, 2013 totaled R$ 10,397 (R$ 12,217 in
2012), which are short-term benefits. Management compensation paid by the Company and its subsidiaries in 2013 aggregated are R$ 34,411 (R$ 31,745 in 2012).



|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS
|--- | ----------------------------------------

Management believes that all provisions set
up are sufficient to cover any losses from the proceedings pending trial. Based on the opinion of legal counsel, a provision was set up for all legal proceedings of which the chances of loss were estimated as probable for the Group.

Provisions for probable contingent liabilities

Below is a statement showing the changes in provisions for contingencies for the years ended December 31, 2013 and 2012:



Description

12/31/2011


Additions/    reversals


Monetary
restatement


Payment


Transfers


12/31/2012Labor (a)


173,664



4,759



12,423



(9,893)



-



180,953Civil (b)


382,374



32,868



45,695



(74,536)



(101,851)



284,550Tax (c)


77,039



1,771



9,917



(20,135)



-



68,592Environmental (d)


3,000



-



-



-



-



3,000Total


636,077



39,398



68,035



(104,564)



(101,851)



537,095




Description

12/31/2012


Additions


Monetary
restatement


Payment


12/31/2013Labor (a)


180,953



4,545



12,624



(12,513)



185,609Civil (b)


284,550



45,119



48,827



(68,144)



310,352Tax (c)


68,592



(1,562)



3,614



(1,406)



69,238Environmental (d)


3,000



-



-



-



3,000Total


537,095



48,102



65,065



(82,063)



568,199




| | a) | Labor risks
| | -- | -----------

They refer to various labor suits claiming, among others, indemnification
for pain and suffering, reinstatement to work, overtime pay, risk exposure additional, severance pay and salary pay differences. In addition, there are suits relating to employees of subcontractors who claim employment relationship with the
subsidiaries and equalization with rights of employees of such subsidiaries.



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##### Table of Contents

|28. | Provision for tax, civil and labor risks--Continued
|--- | ---------------------------------------------------



Provisions for probable contingent liabilities--Continued



| | b) | Civil risks
| | -- | -----------

These encompass civil lawsuits, including consumer-related matters, in
which the subsidiaries are defendants, and a significant portion of the provision is linked to proceedings claiming indemnification for accidents with electricity, compensation for tariff adjustment allegedly illegal and less complex proceedings
pending trial by small claims courts.

The remaining provision balance is divided into lawsuits claiming indemnification for damages due
to voltage fluctuation in electricity supply, disruption of supply, improper collection of amounts and others in connection with consumer-related matters.

Subsidiary COELCE is a defendant in lawsuits questioning amounts paid by consumers resulting from the increase in electricity tariffs based on
DNAEE Administrative Ruling No. 38 and 45 of January 27 and March 4, 1986, respectively during the term of the Cruzado Plan. The provision for losses on these proceedings is included in the balance of the allowance for doubtful
accounts.

Over the 2012 fiscal year, the pending lawsuit in which subsidiary Ampla Energia was a party to against Enertrade was settled
on a final and unappealable basis, which resulted in the full reversal of the provisions recognized, thus impacting the Companys consolidated result by R$ 101,851.



| | c) | Tax risks
| | -- | ---------

Subsidiary Investluz

PIS/Cofins Violation Notices

On December 21, 2006, the Brazilian IRS issued two violation notices for the collection of PIS and COFINS on interest on equity and other
financial income, earned in the 2001-2005 period. At the first administrative level, the violation notices were held partially valid (not valid only in respect to financial interest earned while Law No. 9,718/98 was in force).

Subsidiary Investluz filed an appeal and awaits a decision at the second administrative level. Given the facts and the administrative case
law, Investluz recognized a provision for the portion of the violation notices considered as involving probable loss (PIS and COFINS on interest on equity received after the effective date of Laws No. 10,637/2002 and No. 10,833/2003,
respectively). The amount of the provision recognized as at December 31, 2013 corresponds to R$ 18,409 for COFINS and R$ 8,204 for PIS.

The remaining portion of the violation notices considered as involving possible loss corresponds to R$ 18,479 for COFINS and
R$ 2,614 for PIS (financial income earned during the period of effect of Law No. 9,718/98 and after the effective date of Decree 5,164/2004).



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##### Table of Contents

|28. | Provision for tax, civil and labor risks--Continued
|--- | ---------------------------------------------------



Provisions for probable contingent liabilities--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE

Subsidiary COELCE concluded the payment of a COFINS installment payment to the IRS in 2000; however the installment payment was originally in
80 installments and the subsidiary made overpayment of six installments. Considering this overpayment, subsidiary COELCE offset this alleged credit against COFINS liabilities. Analysis of the case evidenced that there was a correction of the amount
originally stated in the application for tax offset, thus the total amount paid by COELCE (in the 86 installments) corresponded to the rectified debt. Accordingly, IRS understood that the offset made did not apply. The administrative proceeding is
still pending trial, in which subsidiary COELCE is basically alleging lack of knowledge of rectification of the declared amount and statute barring of the excess amount resulting from the rectification. However, in view of the facts, subsidiary
COELCE considered that it should change the chances of loss to probable and recognize a provision. At December 31, 2013 the amount involved is R$ 2,562.

Subsidiary Ampla Energia

ICMS - Underpayment

The State
of Rio de Janeiro filed a tax foreclosure proceeding to collect tax debit due to alleged tax underpayment for the period from February 1999 to September/2000, in the updated amount at December 31, 2013 of R$ 10,154 (R$ 9,241 in 2012).
Ampla Energia filed a defense (motion to stay execution) and awaits lower trial courts judgment.

Subsidiary Ampla
Energia--Continued

ICMS  Credit arising from acquisition of fixed assets

The subsidiary was issued a violation notice levied by the Government to collect debts related to the period from December 1996 to November
1998 and November 1998 to March 1999, on the grounds that the assets acquired as fixed assets were not related to the subsidiarys end activity. After diligence carried out in 2012, Management decided to recognize a provision equal to 40% and
20% of the tax notice, that is, in the updated amount of R$ 5,744 (total notice amount of R$ 14,361) and of R$ 371 (total notice amount of R$ 1,857) at December 31, 2013. See additional information related to this claim on section of
provision for possible contingent liabilities.

Subsidiary CDSA

Offset of CSLL and IRPJ debits

In 2005, CDSA offset CSLL and IRPJ debits due to annual adjustment for 2000. According to the IRS, the credit right is not sufficient to pay
the due amount, since CDSA has failed to accurately calculate interest on the payment made in 2001 and to include interest and fines in the offset carried out in 2005.

In its defense, CDSA alleged that its credit is sufficient. However, in view of formal errors in the offset procedure, CDSA opted for
recognizing a provision in the updated amount of R$ 2,660.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Provisions for probable contingent liabilities--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary CDSA--Continued



Offset of CSLL and IRPJ debits--Continued



CDSA filed an objection at first administrative level, which was denied on November 30,
2011. After this decision, it filed a Voluntary Appeal, which, on October 4, 2012 was held against CDSA. On April 30, 2013, CDSA presented amendment of judgment, which was declined. On November 22, 2013, the reports were forwarded to
Brazils IRS Regional Office in Goiânia for review.



| | d) | Environmental Contingencies
| | -- | ---------------------------

The provision made in the amount of R$ 3,000 refers
to the environmental lawsuit filed in 2001 by the Goiás State Office of the Public Prosecutor against CDSA, pending trial in the judicial district of Cachoeira Dourada, for alleged damages caused by the installation of the dam where the
hydroelectric Power plant of Cachoeira Dourada was built.

Lower trial courts judgment was rendered in favor of CDSA, which was
reversed by the Appellate Court, determining conduction of an expert inspection to determine any possible damages. CDSA filed a special appeal against the judgment.

Legal advisors, conservatively, recommended recognizing a provision, in view of the case nature and taking into account professional
experience in similar cases involving environmental damage with resolution negotiated with the Office of the Public Prosecutor.

Contingencies involving possible loss

There are proceedings against the Endesa Group of tax, civil and labor nature, for which a provision has not been recognized, since they
involve risk of loss classified by management and its legal counsel as possible, which total approximately R$ 8,603,000 at December 31, 2013 (R$ 7,440,000 in 2012).



| | a) | Labor risks
| | -- | -----------

The main labor cases are related to overtime payment, job reinstatement,
secondary and joint liability, salary differences, severance pay, indemnification for pain and suffering and material damage, accidents at work, etc.



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##### Table of Contents

|28. | Provision for tax, civil and labor risks--Continued
|--- | ---------------------------------------------------



| | b) | Civil risks
| | -- | -----------

The legal position of subsidiaries includes civil lawsuits mostly claiming
from defendant indemnification for pain and suffering and material damages.

Subsidiary CIEN

Tractebel Energia S.A. (Tractebel)

Tractebel filed an ordinary action claiming alleged noncompliance, by CIEN, of the Sale Agreement of 300MW of Firm Power and Associated
Energy from Argentina executed on October 20, 1999, by and between CIEN and Centrais Geradoras do Sul do Brasil S.A. (Gerasul), and Tractebel is its successor. According to this action, Tractebel requests that CIEN be condemned to pay the
termination fine in the estimated amount of R$ 117,667, in addition to penalties alleged applicable for non-availability of firm power and associated energy, which amounts would be calculated at the stage of liquidation of the award
and cannot be currently estimated. Also according to this action, Tractebel ignored the widely acknowledged current crisis in Argentina, which started in 2005, and its effects on said agreement and the ongoing statements made by the applicable
Brazilian authorities who released CIEN, and its clients, including Tractebel itself, from any regulatory penalties, since they have recognized that the crisis in Argentina was a factor alien to CIENs willingness and beyond its control. CIEN
has challenged the action and alleged force majeure event preventing the performance of contractual obligations. After successive statements made by the parties, the lawsuit was forwarded to be reviewed by the judge. We wait the start of
the stage of production of evidence.

Furnas  Centrais Elétricas S.A. (Furnas)

Furnas filed an ordinary action claiming alleged noncompliance by CIEN of the Agreement for Firm Power with Associated Energy,
executed on May 5, 1998, to acquire 700 MW from Argentina. According to the action, Furnas requests that CIEN be condemned to pay the termination fine in the estimated amount of R$ 520,801 and refunds and penalties which amounts would be
calculated in the stage of liquidation of the award and these cannot be currently determined. Also, according to the action, Furnas ignored the widely acknowledged current crisis in Argentina, which started in 2005, and its effects on said agreement
and the ongoing statements made by the applicable Brazilian authorities who released CIEN, and its clients, including Furnas itself, from any regulatory penalties, since they have recognized that the crisis in Argentina was a factor alien to
CIENs willingness and beyond its control. CIEN has challenged the action and alleged force majeure event preventing the performance of contractual obligations. After successive statements made by the parties and production of
relevant evidence, we await trial.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE

ICMS - Agreement 035/91

Subsidiary COELCE entered into Agreement No. 035/91 with the Ceará State Finance Office, which formalized the existence of special
ICMS payment regime, which would be effected based on the amount received (revenue received) in ten day intervals. This Agreement ruled until March 31, 1998, being revoked by Declaratory Statute No. 02/98.

Nevertheless, the Ceará State Treasury Office issued four violation notices for 1995, 1996, 1997 and 1998 (period during which the
mentioned agreement was in force) to collect unpaid ICMS debits, in the updated amount of R$ 18,555. Subsidiary COELCE filed an appeal (motion for clarification) to the Tax Appeals Council, against the judgment that partially held the violation
notices valid, determining the payment of due ICMS at the nominal values, excluding any penalties and interest in arrears. On July 9, 2012 the appeal was denied, but it was ordered that the records be taken for the procedural remedy of applying
the payments made up to that moment and for subsidiary COELCE to be notified to pay any existing residual amount.

ICMS - Master records
of exempt, immune and non-taxable consumers

The Ceará State Finance Office issued a violation notice on December 29, 2004, in
the updated amount of R$ 12,634, in order to claim ICMS debits from errors in master records of consumers who are tax exempt and tax immune (commercial, industrial, street lighting and public service classes) for the period April to August
1999. Subsidiary COELCE challenged the notice and awaits first administrative level decision.

On February 16, 2007, a violation
notice was issued related to the same subject matter, in the updated amount of R$ 4,371, for 2002, which is pending first administrative level decision.

ICMS - Credit from acquisition of fixed assets

The Ceará State Finance Office issued a violation notice to collect ICMS debits for 2003 and 2004, in the updated amount of
R$ 4,196 for overtaking of ICMS credits arising from the acquisition of fixed assets. Subsidiary COELCE challenged the notice, but a first administrative level ruling was handed down considering the notice valid on November 5, 2008.
Subsidiary filed an appeal and awaits an administrative decision at second level.

Additionally, in 2011 and 2012 subsidiary COELCE
received a violation notices for the 2006 and 2007 fiscal years, respectively, in the updated amount of R$ 21,100. On July 19, 2011 COELCE filed its defense for the 2006 fiscal year and awaits a decision at first administrative level. The
subsidiary will file a defense for the 2007 fiscal year on January 24, 2013 and awaits judgment.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE--Continued



ICMS - Transfer of credits

On August 1, 2005, the State Finance Office filed a tax foreclosure proceeding to collect ICMS debits relating to credit transfer
operations occurred in 1999 and 2000 in the updated amount of R$ 1,719. On March 9, 2007 judgment was rendered in favor of the subsidiary. The State Finance Office filed an appeal, which is pending trial.

On May 6, 2005, subsidiary COELCE filed an action for annulment of ICMS debits relating to the operation of credit transfer occurred in
2001, totaling the amount of R$ 2,044. It awaits a lower trial courts judgment.

ICMS - Cancellation of invoices

On November 29, 2006, subsidiary COELCE was issued a violation notice in the updated amount of R$ 24,838, due to the cancellation of
previously issued invoices with errors without proof that the operations were previously taxed. The notice was upheld at the 1st administrative level, thus it filed an appeal, which is pending trial.

On February 16, 2007, subsidiary COELCE was issued a violation notice in the updated amount of R$ 29,608 related to the same subject
matter as to 2002. The notice was upheld at the first administrative level, thus the subsidiary filed an appeal, which is pending trial.

On February 18, 2013, subsidiary COELCE was issued a violation notice in the updated amount of R$ 18,889 related to the same subject
matter as to 2008. The notice was upheld at the first administrative level, thus the subsidiary filed an appeal, which is pending trial.

On February 18, 2013, the subsidiary COELCE received another tax notice in the updated amount of R$ 18,989 for the year 2008. The subsidiary
COELCE will present defense.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE--Continued



ISS - Municipality of Fortaleza

On August 8, 2007, subsidiary COELCE filed an action for annulment of ISS debits on: (i) provision of accessory services essential
for power supply, (ii) chattel lease services and (iii) lack of withholding of ISS at source, for the period from July 1998 to January 2000, totaling R$ 5,061. The subsidiary awaits lower trial courts judgment.

Although the subsidiary has filed an annulment action, on October 10, 2007 the municipality of Fortaleza filed two tax foreclosure
proceedings for the collection of the referred to tax debits, for which subsidiary COELCE filed a defense (motion to dismiss the execution) and awaits lower trial courts judgment.

On July 19, 2007, subsidiary COELCE was issued a violation notice in the updated amount of R$ 1,453, related to the same subject
matter. It filed an objection and, following the unfavorable judgment, a voluntary appeal. It awaits the appellate courts judgment.

The municipality of Fortaleza filed three tax foreclosure proceedings, which total R$ 26,281 to collect ISS debits on the provision of
accessory services indispensable for energy supply. Subsidiary COELCE awaits appellate court decision in the two cases. In 2012 a judgment was rendered to one of the tax foreclosures, denying the appeal filed by the Tax Authority and, accordingly,
the latter filed a Special Appeal to the Superior Court of Justice, which awaits trial.

ISS - Municipality of Fortaleza--Continued

On July 19, 2007, subsidiary COELCE was issued a violation notice in the updated amount of R$ 3,104, related to services provided in
other municipalities, which tax was paid in the respective location it was provided. Subsidiary COELCE filed an objection and, following an unfavorable judgment, a voluntary appeal. An expert evidence was produced and awaits the second
administrative level decision

On May 7, 2010, subsidiary COELCE was issued a violation notice in the updated amount of R$ 1,127
related to 2007. It filed an administrative defense and awaits a first administrative level decision.

Subsidiary COELCE was issued four
violation notices on September 26, 2012 in the updated amount of R$ 9,871 related to 2008. It filed an administrative defense and awaits the first administrative level decision.

ISS - Municipality of Iguatu

The municipality of Iguatu filed a tax foreclosure proceeding, in the updated amount of R$ 2,852, for ISS debits for the period 2004 to
2008, charged due to existence of differences between the tax returns filed by subsidiary COELCE. COELCE filed a motion to stay execution, which awaits trial.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE--Continued



ICMS - Credit reversal - low income consumers

The municipality of Fortaleza issued a violation notice on October 2, 2009, in the updated amount of R$ 24,345, to collect ICMS in
2005 due to insufficient reversal of ICMS credits for non-taxable sales to consumers classified as low income. Subsidiary COELCE filed a defense. An unfavorable administrative decision was rendered and on October 7, 2010 subsidiary
COELCE filed an appeal. On June 27, 2011 a second administrative level decision was rendered which upheld the first level decision, which considered the violation notice valid. Subsidiary COELCE filed a Special Appeal. On July 11, 2012,
subsidiary COELCE was handed down an unfavorable decision, denying the provision of special appeal because COELCE presented an injunction for anticipation of the guarantee in order to obtain a Certificate Attesting to Regular Payment of Tax Debts.
The injunction was granted on August 28, 2012. On September 13, 2012, the state of Ceará requested for amendment of judgment. Subsidiary COELCE presented an answer to this and awaits decision.

Additionally, on June 17, 2011, subsidiary COELCE was issued a violation notice in relation to 2006, in the updated amount of
R$ 20,020. On July 19, 2011, it filed a defense, which judgment was unfavorable to COELCE. On May 25, 2012, COELCE presented a voluntary appeal, which was denied. Subsidiary COELCE was summoned about the decision and, consequently,
presented a provisional measure for anticipation of guarantee in order to obtain Certificate Attesting to Regular Payment of Tax Debts, which awaits decision.

On December 21, 2012, subsidiary COELCE was issued a violation notice related to the same subject matter, for the 2007 fiscal year, in
the updated amount of R$ 22,259. It will file a defense at the first administrative level on January 24, 2013 and awaits trial.

On December 18, 2012, subsidiary COELCE was issued a violation notice related to the same subject matter, for the 2008 fiscal year, in
the updated amount of R$ 12,92The subsidiary COELCE presented a defense in first instance on January 24, 2013 and is awaiting decision.

PIS/IRPJ - Violation Notices

These are two violation notices for the collection of PIS and IRPJ for the first, second and third quarters of 1998 due to lack of payment
detected by the internal audit of the Brazilian Finance Office, in reviewing tax returns filed. Subsidiary COELCE filed a defense, which was rendered partially valid. On October 16, 2008, subsidiary COELCE filed an appeal. On June 28,
2012, it was notified of the judgment related to the collection of PIS that held the appeal valid and settled the collection. The subsidiary awaits the trial of the appeal related to the violation notice for IRPJ. The updated amount involved is
R$ 1,925.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE--Continued



CSLL/IRPJ - Tax foreclosure proceeding

On January 19, 2009, the Federal Government filed a tax foreclosure proceeding to collect CSLL and IRPJ debits. On April 15, 2009,
COELCE filed a motion to stay execution. On June 2, 2011, a ruling was handed down partially upholding it, and declaring terminated the proceedings for two Certificates of Overdue Tax Liability (CDA), with no resolution on the merits, but
keeping the collection of one CDA. The Federal Government filed an appeal, as well as the subsidiary (motion for clarification) which were not accepted, and an appeal was filed on November 14, 2012. On February 27, 2013, a favorable
decision was handed down to COELCE, determining that the Federal Government must issue a Certificate Attesting to Regular Payment of Tax Debts, and suspend the debt record in CADIN.

Subsequently, the Federal Government shall present a position on the appeal presented by COELCE. The second level decision was favorable for
the appeal of the Federal Government, however exclusively to annul the sentence and determine the return of the order to the first level, where it should await final judgment. The restated amount is R$ 18,481.

ICMS in certain operations

On
June 17, 2011 COELCE was issued a violation notice claiming ICMS debits from operations in the COELCE Plus modality without issue of fiscal documentation in 2006. The subsidiary filed its defense on July 19, 2011and on
July 10, 2012 it was notified of the judgment that held the violation notice valid. On August 16, 2012 the subsidiary filed an appeal and awaits the second administrative level decision. The updated amount is R$ 1,720.

On May 30, 2012, the subsidiary COELCE was issued a violation notice related to the same subject matter for the 2007 fiscal year. The
subsidiary filed its defense on June 29, 2012 and awaits first administrative levels decision. The updated amount is R$ 5,738.

On August 1, 2012, subsidiary COELCE was issued a violation notice related to the same subject matter, in connection with the operation
carried out in April 2007. The defense was filed on August 31, 2012 and the subsidiary awaits first administrative levels decision. The updated amount is R$ 384.

Additionally, on October 1, 2012, subsidiary COELCE was issued a violation notice for the 2008 fiscal year, in the updated amount of
R$ 4,672. The defense was filed and awaits first administrative levels decision.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary COELCE--Continued



ICMS - Energy acquired for own consumption

On June 17, 2011, subsidiary COELCE was issued notice of violation claiming ICMS debits related to electricity consumed by COELCE in
2006. The subsidiary filed its defense on July 19, 2011 and awaits a first administrative level decision. On October 10, 2011, a decision was rendered upholding the notice of violation. The judgment was held valid at the second
administrative level and the subsidiary waits to be notified to proceed with its defense. The updated amount is R$ 1,443.

On
August 1, 2012, the subsidiary COELCE was issued a violation notice related to the same subject matter, related to 2007 fiscal year. On August 31, 2012, the subsidiary filed its defense and awaits first administrative levels
decision. Unfavorable lower court decision. Subsidiary COELCE will file an appeal. The updated amount is R$ 2,362.

On
December 18, 2013, subsidiary COELCE received a tax delinquency notice for year 2008. Subsidiary COELCE will present defense. The updated amount is R$ 2,651.

ICMS - Difference between recorded carrying amounts and the related amounts per the tax returns

On June 17, 2011, subsidiary COELCE was issued notice of violation claiming ICMS debits relating to alleged differences between the
recorded carrying amounts and the related amounts reported in the tax returns. The subsidiary filed its defense on July 19, 2011, but the violation notice was held invalid at first administrative level. The subsidiary filed a Voluntary Appeal
and awaits a decision at the 2nd administrative level. The updated amount is R$ 1,926. On December 18, 2013, COELCE received a tax delinquency notice referring to year 2008. COELCE will present defense. The restated amount is
R$ 5,133.

COFINS - Action for annulment

On September 17, 2009, the subsidiary filed an Action for annulment to suspend the payment of credit collected by the Tax Authority as
COFINS, since it understands that such credits are settled due to offset, and the right to collect it would be barred by preemption. At a lower trial courts judgment, the suspensive effect was granted. The updated amount is R$ 1,026.

In addition to the aforementioned lawsuits, subsidiary COELCE is also a party to other minor lawsuits, which involve CSLL, PIS, COFINS, ICMS,
IPTU and ISS, in the total amount of R$ 7,019.

Income tax (IR)  Differences between income tax returns

COELCE was served notice for formal errors on completion of income tax returns. After an unfavorable lower court decision, COELCE filed appeal
and awaits judgment. The rested value at December 31, 2013 is R$ 5,782.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary Ampla Energia

Withholding income tax - Fixed Rate Notes (FRN) issue

On July 1, 2005, the Brazilian IRS issued a notice of violation against Ampla Energia for considering that subsidiary Ampla Energia was
not entitled to the tax benefit of reducing to zero the rate of withholding income tax- IRRF levied on interest and other earnings remitted abroad, as a result of Fixed Rate Notes (FRN) issued by the subsidiary in 1998. A second administrative level
decision in favor of subsidiary Ampla was rendered not upholding the notice of violation. In January 2010, Ampla Energia was notified of the decision and the Special Appeal filed by IRS, which is pending trial. On December 21, 2012, subsidiary
Ampla Energia was notified of the decision by the Higher Board of Tax Appeals that held the violation notice valid. On December 28, 2012 were presented an appeal. The appeals filed by Ampla Energia were not accepted. Consequently, Ampla Energia
presented an injunction for anticipation of guarantee to obtain a Certificate Attesting to Regular Payment of Tax Debts, and will continue this issue by means of a lawsuit.

The updated amount involved on the process as of December 31, 2013 is R$846,944 (R$819,886 in 2012).

COFINS - Notice of violation - period after tax immunity

The Brazilian IRS issued a notice of violation to collect COFINS debits resulting from alleged underpayments in the period from December 2001
to June 2002. Subsidiary Ampla Energia filed an objection against the notice, which was granted at the first administrative level. The subsidiary filed a voluntary appeal, which was ruled in November 2007 to be partially valid: valid for purposes of
repealing COFINS levy on financial income but not valid in relation to the non-taxation of income from sales of energy in the period from the end of December to March 2002, corresponding to a 90-day period for application of the rule that changes
social contribution, as set forth in the Federal Constitution. Both the IRS and the subsidiary filed appeals to the Higher Board of Tax Appeals.

COFINS - Notice of violation - period after tax immunity--Continued

On August 24, 2009, the subsidiary filed an interlocutory appeal to the President of the Higher Board of Tax Appeals for admission of the
special appeal filed. The interlocutory appeal was dismissed and, on May 5, 2010, the subsidiary was notified accordingly. The Special Claim presented by the Federal Government was found groundless, and the second level decision was maintains,
refraining from COFINS levied on financial income (R$ 70 thousand). Consequently, the decision against Ampla Energia about the non-taxation of income from electricity sale at the end of the period from December 2001 to March 2002 was
maintained. Ampla Energia will continue this issue by means of a lawsuit.

The amount involved, updated at December 31, 2013, is
R$ 113,591 (R$ 179,434 in 2012)



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary Ampla Energia--Continued



ICMS - Deadline for Payment

On September 26, 2005, the subsidiary was issued a violation notice by the Rio de Janeiro Finance Office, due to voluntary payment,
outside the legal term prescribed by Decree No. 31,632/02, of ICMS and additional ICMS destined to the State Fund to Combat Poverty without the payment of legal increases. At the first administrative level decision the violation notice was
upheld by the Board of Tax Review. Subsidiary Ampla filed an appeal. On August 26, 2010, it was issued a notification stating that the Board of Tax Appeals decided against Ampla. On September 1, 2010, Ampla filed an appeal to the full
Board of Tax Appeals, which was denied on May 9, 2012. On August 30, 2012, Ampla learned about the decision of the Board and filed an appeal to the Tax Authority Office, which awaits trial. Notwithstanding the appeal filed to the Tax
Authority Office, the violation notices were registered as overdue tax liabilities on November 1, 2012. Subsequently, Ampla Energia presented an appeal. The state of Rio de Janeiro filed an appeal challenging the guarantee presented, and it was
upheld. Ampla appealed. In view of the unfavorable decision which did not accept the guarantee insurance, the subsidiary replaced the guarantee by a bank guarantee.

The amount involved, updated at December 31, 2013, is R$ 232,348 (R$ 210,400 in 2012).

ICMS - Credit arising from acquisition of fixed assets

Subsidiary Ampla has four tax delinquency notices to charge debts for periods from December 1996 to November 1998, November 1998 to March
1999, July 1997 to October 1998, and January 2007 to December 2011, as it states that there is no evidence of ICMS credits from acquisition of fixed assets and/or because the fixed asset items acquired were not related to the core business of
Ampla Energia. In relation to the first tax delinquency notice, Ampla obtained a partially favorable second-level decision. On April 5, 2013, Ampla filed an appeal to the Plenary Board. As for the second tax delinquency notice, the subsidiary
obtained a favorable second-level decision, and filed an appeal to the Plenary Board by the Public Treasury, which awaits decision. The third tax delinquency notice is awaiting enrollment with the Rio de Janeiro state enforceable debt to continue
with the discussion within the legal sphere. As for the fourth tax delinquency notice, the Subsidiary file an objection in September 2012, and awaits judgment; a decision of February 2013, turned the judgment into duty of care to reassessment of the
amounts referring to the tax delinquency notice excluding the credits unduly disallowed. The Subsidiary awaits the judgment after the duty of care.

The restated amounts of the four tax delinquency notices at December 31, 2013 are, respectively, R$ 8,617 (tax delinquency notice
total amount R$ 14,361), R$ 1,485 (tax delinquency notice total amount R$ 1,857), R$ 24,695 and R$ 50,138 (R$ 6,946, R$ 1,776, R$ 22,124 and R$ 47,390, respectively in 2012). As for the first two tax
delinquency notices, Management, based on the legal opinion of its legal counsel, decided to set up a provision at the restated amount, as of December 31, 2013, of, respectively, R$ 5,744 and R$ 371, equivalent to 40% and 20% as it
understands that likelihood of loss of these percentages is probable, according to the information of probable risks. The remaining portion (equivalent to 60% and 80%, respectively) was assessed as possible.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary Ampla Energia--Continued



ICMS - Credit arising from acquisition of fixed assets--Continued



Additionally, subsidiary Ampla Energia filed an action for annulment of ICMS debit arising
from the notice of violation for the period from November 1998 to march 1999, issued under the allegation that the subsidiary had not evidenced the amounts of ICMS credits arising from the acquisition of fixed assets, in the updated amount at
December 31, 2013 of R$ 17,498 (R$ 15,931 in 2012). On August 22, 2011, a lower trial courts judgment was rendered and dismissed the claim made by Ampla. It awaits trial of the Motions for clarification filed.

ICMS - Offset of credits without supporting documentation

The Rio de Janeiro State Finance Office issued a notice of violation under the allegation that the subsidiary unduly recorded ICMS credits (in
1998) without supporting documentation. Subsidiary Ampla Energia awaits a second administrative level decision. The amount involved, updated at December 31, 2013, is R$ 17,387 (R$ 16,236 in 2012).

ICMS - Shipment of goods for repair

The subsidiary filed two actions for annulment of ICMS debits in the updated amount, at December 31, 2013, of R$ 12,939 and
R$ 14,024 (R$ 11,774 and R$ 12,785 in 2012), upon shipments of goods for repair without ICMS levy, with no evidence of return to the establishment of origin within the statutory period of 180 days, from February 1998 to August 2000.
Related to both process, Ampla Energia awaits judgment of the appeal after an unfavorable decision.

ICMS  Comparisons between
managerial reports and fiscal books

Subsidiary Ampla Energia filed an Action for annulment to render invalid the violation notice to
collect alleged ICMS debits in the period from December 2000 to October 2001, arising from differences observed after the comparison between managerial reports and fiscal books. After an accounting inspection is carried out, it awaits a lower trial
courts judgment. The amount involved in this lawsuit, updated at December 31, 2013, is R$ 5,034 (R$4,592 in 2012).

ICMS
 Cancellation for prior months

Subsidiary Ampla Energia was issued a violation notice in August 2012 to collect alleged ICMS debits
arising from differences observed between the ICMS Shipment Book and Agreement 30. These differences result from an error made while completing the Shipment Book related to invoices cancelled within the month it was incurred and prior months.
Subsidiary Ampla Energia filed an objection in September 2012, alleging that such error has not given rise to underpayment of taxes, and awaits trial. The amount involved in this lawsuit, updated at December 31, 2013, is R$ 26,059 (R$
23.931 in 2012).



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary Ampla Energia--Continued



ICMS and ICMS-FECP  Exempt and not-taxable

Subsidiary Ampla Energia was issued a violation notice in August 2012 to collect alleged ICMS debits arising from non-taxation of customers
that should not have, according to inspection, be classified as exempt or non-taxable. Most invoices that allegedly were not ICMS levied have already been taxed in the prior months, since they were reinvoiced from prior months. Ampla Energia filed
an objection in September 2012. A duty of care was conducted in March 2013 and April 2013, and Ampla Energia presented an answer to this duty of care. In June 2013, the lower court decided for the annulment of this tax delinquency notice. An appeal
is being judged. The amount involved, updated at December 31, 2013, is R$ 6,105 (R$ 5,771 in 2012).

Charge for land use

There are eight proceedings against subsidiary Ampla Energia to collect charge for land use for permanence of fixed installations in
public ways and public sites filed by the Municipalities of Niterói, Itaboraí, Rio Bonito and Rio das Ostras, for the period 2002 to 2009, which aggregate the updated amount at December 31, 2013 of R$ 28,015 (R$ 74,043
in 2012). In the proceeding for 2002, the subsidiary awaits a first administrative level decision on the notice of violation. With regard to the proceedings for 2003 to 2009, subsidiary Ampla Energia is discussing the charges in the judicial level,
by way of a Writ of Mandamus and six tax foreclosure proceedings.

In the tax enforcement proposed by the city of Niterói for year
2009 after first- and second-level favorable decisions to Ampla Energia, the city of Niterói filed an appeal to the higher courts, which awaits judgment.

Service Tax - ISS

On
May 30, 2003, the municipality of Cabo Frio issued a notice of violation against subsidiary Ampla Energia attempting to collect a tax debit in the updated amount at December 31, 2013 of R$ 9,854 (R$ 9,522 in 2012), for the period
January 1997 to May 2002. Subsidiary Ampla Energia filed an opposition against the violation notice, which has been pending trial since May 2003.

On September 2, 2009, the municipality of Niterói filed a tax foreclosure proceeding against subsidiary Ampla Energia attempting
to collect a tax debit in the updated amount at December 31, 2013 of R$ 1,616 (R$ 1,524 in, 2012), for the period January 1999 to July 2003. In March 2010, subsidiary Ampla Energia filed its defense (motion to stay the tax
foreclosure) and awaits lower trial courts judgment.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary Ampla Energia--Continued



Public site occupation charge

On June 1, 2009, subsidiary Ampla Energia filed a Writ of Mandamus against the municipality of Niterói, seeking to suspend
collection of the public site occupation charge and the requirement of prior municipal license for it to perform services and maintenance, repair and intervention works in the electricity distribution network in public ways and places in the
municipality. The updated amount at December 31, 2013 is R$ 6,250 (R$ 6,250 in 2012). In May 2010, subsidiary Ampla Energia filed an appeal against the judgment rendered that only partially favored it. The case is pending appellate
courts trial.

In August 2012, the preliminary appeal filed by the city of Niterói was accepted for annulment of the decision
due to the lack of summoning to object the appeal requesting clarification of decision challenged by Ampla. Decision published in January 2013. On January 24, 2013, an appeal requesting for clarification of decision was filed and awaits
judgment. There are other proceedings against subsidiary Ampla Energia, in addition to those described above, involving IR, PIS, COFINS, ICMS, IPTU and ISS totaling R$ 6,213 at December 31, 2013 (R$ 4,820 in 2012).

Subsidiary CDSA

Social
contribution tax on net profit - offset of CSLL tax loss balance

The Brazilian IRS assessed the subsidiary CDSA in relation to offset of
CSLL tax loss balance for 1998 and 1999. The subsidiary CDSA received a portion of the CSLL tax loss balance at the time of its incorporation through the partial spin-off of CELG, in proportion to the assets transferred in that spin-off, when it
obtained the right to offset the tax losses against CSLL liabilities of subsequent years (1998 and 1999).

Subsidiary CDSA filed a
declaratory action with request for deposit of the full amount of the debit to discuss the matter in court. On September 11, 2004, a decision was rendered dismissing the application. An appeal was filed and, on April 24, 2012, it was
denied. Subsidiary CDSA filed an appeal requesting for clarification of decision, which was also denied on June 11, 2013. On October 29, 2013, CDSA filed a special appeal, which awaits judgment.

The updated amount of the case is R$ 16,609 (R$ 16,094 in December, 2012).

There are other minor proceedings against the subsidiary CDSA, in addition to those aforementioned, involving tax matters aggregating
R$ 734 at December 31, 2013.



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|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary CGTF

II and IPI - Eletrogêneo Group

Subsidiary CGTF filed two lawsuits (declaratory and incidental) in February 2002 and January 2003, to ensure its right to classify as
Eletrogêneo Group imported machinery and equipment for the construction of the Thermoelectric Power Plant, which is composed of gas and steam turbo-generating units, subject to II and IPI levy at a zero % rate.

Subsidiary CGTF obtained a preliminary injunction, by way of providing guarantee to the court through judicial deposit, booked, which
corresponds to the amount of R$ 80,704 (R$ 78,049 in 2012). In the main action, a lower trial courts judgment favorable to CGTF was rendered on September 29, 2008. Consequently, the Brazilian Finance Office filed an appeal and
in May 2010 there was publication of a ruling dismissing it. Said decision became definitive in July 2010, making the judgment in favor of CGTF final and unappealable.

In the incidental action, subsidiary CGTF was notified, in September 2004, of the lower trial court judgment which upheld the application of
CGTF. In light of this decision, the Federal Government filed an appeal and in September 2009 the appellate courts judgment was rendered confirming the lower trial courts judgment in favor of subsidiary CGTF. In November 2009, the
Brazilian Finance Office appealed (motions for clarification) and in January 2010 there was publication of decision that dismissed such appeal. The Finance Office filed a special appeal, which was dismissed by the decision published on June 22,
2011. The Finance Office filed an appeal against such decision (interlocutory appeal). On December 13, 2012 the judgment published held the appeal filed by the Tax Authority invalid. On December 20, 2012 the Brazilian Tax Authority filed
an interlocutory appeal against this judgment, which awaits trial.

PIS and COFINS

Subsidiary CGTF was assessed by the Brazilian IRS for differences between the amounts of PIS and COFINS declared and those carried in the
periods November 2003 and February to November 2004. Subsidiary CGTF appealed (motions for clarification) against the decision of the Board of Tax Appeals, which is currently pending trial. The updated amount of the tax assessment is R$67,926
(R$ 64,983 in 2012).



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Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary CIEN

PIS/COFINS

The Brazilian
Finance Office has filed two tax foreclosure proceedings for the collection of PIS and COFINS debits, subject matter of tax offset processes performed by subsidiary CIEN, in the updated amounts of R$ 1,008 and R$ 3,932.

In relation to the first tax foreclosure proceeding, the subsidiary CIEN filed its defense (motion to stay execution). The Brazilian Finance
Office canceled one of the debits collected, reason why the contingency amount was reduced. On October 3, 2011, a ruling was rendered dismissing the motions to stay execution filed by subsidiary CIEN. On October 18, 2011, subsidiary CIEN
filed an appeal, which is pending appellate courts trial.

In relation to the second tax foreclosure proceeding, the subsidiary CIEN
filed its defense (motion to stay execution). The lower trial courts judgment, published on December 14, 2012, recognized the nullity of some of the Certificates of Overdue Tax Liability (CDAs) involved in the tax foreclosure proceedings,
which reduced the amount from R$ 5,941 to R$ 3,790. CIEN will file an appeal to the appellate court in relation to the remaining CDAs.

IRPJ/CSLL

The Brazilian IRS
issued a notice of violation on December 29, 2008 to collect IRPJ and CSLL debits relating to tax underpayments in 2003, totaling R$ 26,188, adjusted by Selic rate. Subsidiary CIEN joined the installment payment program to pay the partial
amount of the tax notice and filed an opposition against the portion relating to the collection of fine in December 2003, amounting to R$ 6,040. With respect to the contested portion, on March 31, 2011, subsidiary CIEN was notified of the
first administrative level decision which dismissed the appeal filed. On May 2, 2011, CIEN filed a voluntary appeal, which is pending second administrative level decision. The updated contested amount is R$ 8,527.

ICMS - Rate differential

In
January 2008, the State of Rio Grande do Sul filed a tax foreclosure proceeding in the amount of R$ 15,734, to collect the rate differential levied, in February, March and April 2001, on goods imported by the head office of subsidiary CIEN,
located in Rio de Janeiro, and transferred by it to the branch located in the State of Rio Grande do Sul, for the manufacture and assembly of the power converter station in the municipality of Garruchos. In June 2010 a first level decision was
rendered against subsidiary CIEN, dismissing the motion to stay execution. Subsidiary CIEN filed an appeal, which in December 2010 was upheld. On January 17, 2011, the Finance Office filed an appeal (motions for clarification) that was
dismissed. On April 15, 2011, the Finance Office filed a special appeal. On August 30, 2011, a decision was rendered which dismissed the special appeal. The Finance Office filed a new appeal (interlocutory appeal), which is pending trial.



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##### Table of Contents

|28. | PROVISION FOR TAX, CIVIL AND LABOR RISKS--Continued
|--- | ---------------------------------------------------



Contingencies involving possible loss--Continued



| | c) | Tax risks--Continued
| | -- | --------------------



Subsidiary CIEN--Continued



ICMS - Rate differential--Continued



CIEN filed a Writ of Mandamus aimed at recognizing CIENs right to non-payment of the
difference of ICMS rates levied on the acquisition of equipment intended to CIENs fixed assets. The updated amount involved, R$ 1,456, related to this lawsuit is deposited in court.

In view of CIENs adherence to the Ajustar (adjusting) program (refinancing and payment in installments of debts to
the Government), the discussion is currently restricted to the release of the judicial deposit made related to 2001 and 2002.

On
June 6, 2011, CIEN filed a request for release of the judicial deposit, which awaits trial.

ICMS  Interstate energy sale

In March 2011 subsidiary CIEN was issued a violation notice assessed by the Tax Authority Office of the State of Ceará to collect ICMS
levied on interstate energy sales to industrial consumers. The subsidiary filed a defense at the administrative level and the unenforceability of CIEN liabilities was acknowledged, and the tax delinquency notice was annulled. Therefore, there is no
other contingency to be reported on this case.



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##### Table of Contents

|29. | EQUITY
|--- | ------



| | a) | Capital
| | -- | -------

At December 31, 2013, fully subscribed and paid-in capital is represented
by 178,692,925 voting common shares with no par value (170,877,378 in 2012)

At December 31, 2013 and 2012, the Companys equity
holding breaks down as follows:



12/31/2013


12/31/2012Number of
common shares


% equity
participation


Number of
common shares


% equity
participationEmpresa Nacional de Electricidad S.A.


60,299,607



33.75



60,299,607



35.29Cono Sur Participaciones S.A.


-



-



47,354,669



27.71Enersis S.A.


87,200,363



48.80



36,677,243



21.47Chilectra S.A.


9,275,291



5.19



7,742,714



4.53Chilectra Inversud S.A.


10,342,306



5.79



7,227,787



4.23Edegel S.A.


6,957,053



3.89



6,957,053



4.07Grupo Endesa


174,074,620



97.42



166,259,073



97.30Treasury shares


4,618,298



2.58



4,618,298



2.70Board of directors members


7



-



7



-Other


4,618,305



2.58



4,618,305



2.70Total


178,692,925



100.00



170,877,378



100.00


Capital increase

The capital increase of R$ 139,170, correspondent to 7,815,547 common shares issued by the Company in 2013 is the result of the merger of
Ampla Investimentos, as mentioned in the Note 1, when the remaining common shares held by other non-controlling interest were acquired by the Company.

Before the merger, Ampla Investimentos had as shareholders Chilectra Inversud S.A., Chilectra S.A. and Enersis S.A. with a total
percentage of 52.94% and 47.06% belonged to the Company.

At the transaction date, the Ampla Investimentos equity was R$ 262,862.
The Company settled the transaction issuing a total of 7,815,547 corresponding to R$ 139,170, which were converted into the increased participation of Chilectra Inversud S.A., Chilectra S.A. and Enersis S.A.



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##### Table of Contents

|29. | EQUITY--Continued
|--- | -----------------



| | b) | Legal reserve
| | -- | -------------

The Companys Articles of Incorporation sets forth that 5% of the
annual net income will be used to set up legal reserve, which shall not exceed 20% of the Companys capital.

From 2012 on, the
Company no longer recognizes a legal reserve, in compliance with the provisions of Article 193, paragraph 1, of Law No. 6,404/76, since the sum-up of its capital reserve and legal reserve exceeded 30% of capital.



| | c) | Statutory reserve for working capital
| | -- | -------------------------------------

As provided for by the Companys Articles
of Incorporation, the remaining income for the year, after dividend distribution, will be allocated to a statutory reserve for working capital, except for an adverse resolution at the General Shareholders Meeting, as proposed by the Board of
Directors. The total of the statutory reserve working capital amount should not exceed the amount of the subscribed capital.

As shown in
the Note below, at December 31, 2013 the Company allocated the amount of R$ 116,552 (R$ 48,914 in 2012) to recognize the statutory reserve for working capital.



| | d) | Dividends
| | -- | ---------

In accordance with the Companys Articles of Incorporation, the
mandatory minimum dividend is 25% on adjusted net income, as set forth by Article 202 of Law No. 6,404/76.



12/31/2013Net income for the year


910,247(+) Depreciation of PP&E (deemed cost)


37,676Adjusted profit


947,923Mandatory minimum dividends


236,981Additional proposed dividends


616,15294,790Actuarial gain on subsidiaries pension fund


21,762Income reserve  statutory reserve for working capital


116,552


The General Shareholders Meeting held on April 3, 2013 approved payment of dividends amounting to
R$ 1,006,545, referring to net income for the year ended December 31, 2012. Of the total paid at that date, R$ 481,997 was paid on December 30, 2013, with the remaining amount of R$ 524,541 at December 31, 2013, fully
settled on January 2, 2014.



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##### Table of Contents

|29. | EQUITY--Continued
|--- | -----------------



| | e) | Capital reserve
| | -- | ---------------

In 2005, shareholders increased the Companys capital through
investments in its current subsidiaries. This capital increase was divided into paid-up capital and capital reserve - Goodwill at the amount exceeding the value attributed to capital.



| | f) | Other comprehensive income
| | -- | --------------------------



| | f.1) | Other comprehensive income - actuarial gains and losses
| | ---- | -------------------------------------------------------

Pursuant to the standard IAS 19 -
Employee Benefits (IAS 19), actuarial gains and losses are generated by adjustments and changes in actuarial assumptions of pension and retirement benefit plans and actuarial commitments referring to the health plan must be recognized
under other comprehensive income. At December 31, 2013, the Company recognized the net balance of actuarial losses, under other comprehensive income, in the amount of R$ 49,984 (R$ 7,574 in 2012).



| | f.2) | Other comprehensive income - cumulative translation adjustment
| | ---- | --------------------------------------------------------------

Pursuant to IAS 21, which
determines that the effects of exchange variation on foreign investments be recognized under other comprehensive income, at December 31, 2013 the Company recognized the amount of R$ 1,824 (R$ 80 in 2012) from the conversion of
financial statements of foreign subsidiaries, Compañia de Transmisión Del Mercosul S.A. - CTM and Transportadora de Energia S.A.  TESA.



| | f.3) | Other comprehensive income  gains and losses from cash flow hedge
| | ---- | ------------------------------------------------------------------

Pursuant to IAS 39,
which determines that the effective portion of gains or losses from derivative financial instruments classified as cash flow hedge be directly recognized in equity under other comprehensive income (OCI), at December 31, 2013 the Company
recognized the net amount of R$ 15,550 (R$ 1,607 in 2012) in other comprehensive income. There were no reclassifications to the income statements in 2013, 2012 and 2011.



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##### Table of Contents

|30. | COMMITMENTS
|--- | -----------

The Groups main long-term-contract-related commitments are as
follows:

COELCE



Effective up to


2014


2015


2016


2017


After 2017


TotalEndesa Fortaleza-CGTF


2023



554,093



576,256



599,307



623,279



4,286,826



6,639,761Proinfa


2025



55,425



57,642



59,948



62,346



597,447



832,808Energy Works


2013



-



-



-



-



-



-Eólica - Wobben


2018



6,041



4,079



1,108



1,155



603



12,9861°LEE - Produto 2005


2012



-



-



-



-



-



-1°LEE - Produto 2006


2013



155,217



161,426



168,343



174,598



771,621



1,431,2051°LEE - Produto 2007


2014



44,096



45,860



47,825



49,602



279,559



466,9422°LEE - Produto 2008


2015



36,111



37,555



39,164



40,620



280,331



433,7814°LEE - Produto 2009


2016



17,787



18,498



19,291



20,008



164,483



240,0671°LEN - Produto 2008


2037



35,541



36,821



38,196



39,440



300,056



450,0541°LEN - Produto 2009


2038



42,449



43,955



45,596



47,081



374,358



553,4391°LEN - Produto 2010


2039



126,460



131,143



136,041



140,470



2,821,445



3,355,5592°LEN - Produto 2009


2038



64,250



66,470



68,952



71,197



1,582,214



1,853,0833°LEN - Produto 2011


2040



97,211



100,568



104,324



107,720



2,325,214



2,735,0375°LEE - Produto 2007


2014



918



950



985



1,017



5,296



9,1664°LEN - Produto 2010


2024



14,536



15,039



15,601



16,109



122,299



183,5845°LEN - Produto 2012


2041



130,092



134,550



139,575



144,119



2,718,189



3,266,525Leilão Santo Antônio -Produto 2012


2041



30,193



47,093



50,884



52,775



2,146,592



2,327,537Leilão Jirau - Produto 2013


2042



9,634



14,024



17,377



18,023



781,122



840,1806°LEN - Produto 2011


2025



5,226



5,435



5,668



5,879



56,372



78,5807°LEN - Produto 2013


2042



24,574



25,557



28,616



29,680



433,620



542,047Leilão Belo Monte


2044



-



3,116



54,092



150,078



7,661,690



7,868,97610° Leilão de Energia Nova


2045



-



18,766



19,570



20,297



994,620



1,053,25311° Len - Produto 2015


2044



-



35,864



37,400



38,790



1,900,866



2,012,92012o LEN Produto 2014


2043



93,391



108,068



112,699



116,887



3,028,080



3,459,125Angra 1 e 2






54,220



56,389



58,805



60,990



198,191



428,595Cota






70,426



73,243



76,383



79,220



257,429



556,701Total






1,667,891



1,818,367



1,945,750



2,111,380



34,088,523



41,631,911


EE - Leilão de Energia Existente.

LEN - Leilão de Energia Nova



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##### Table of Contents

|30. | COMMITMENTS--Continued
|--- | ----------------------



Ampla Energia



Effective up to


2014


2015


2016


2017


After 2017


TotalAngra


2032



57,966



60,918



63,391



65,952



1,382,262



1,630,489Bilateral


2022



50,980



53,839



56,488



58,920



337,918



558,145CCGF


2032



98,740



103,769



108,322



112,344



2,356,634



2,779,809ITAIPU


2023



254,608



261,858



258,504



254,134



1,561,853



2,590,957Proinfa


2030



63,979



67,237



69,967



72,794



1,265,720



1,539,697CCEAR 2006


2013



-



-



-



-



-



-CCEAR 2007


2014



42,676



-



-



-



-



42,676CCEAR 2008 - Energia Existente


2015



50,810



53,324



-



-



-



104,134CCEAR 2008 - Energia Nova


2037



2,168



2,274



2,377



2,465



77,079



86,363CCEAR 2008 - Energia Nova


2022



19,163



20,100



20,999



21,791



123,089



205,142CCEAR 2009 - Energia Existente


2016



47,196



49,603



51,875



-



-



148,674CCEAR 2009 - Energia Nova


2038



27,226



28,561



29,854



30,968



1,039,858



1,156,467CCEAR 2009 - Energia Nova (A-3)


2023



38,240



40,110



41,903



43,484



300,875



464,612CCEAR 2010 - Energia Nova


2039



48,473



50,849



53,152



55,135



1,984,189



2,191,798CCEAR 2010 - Energia Nova


2024



59,417



62,322



65,108



67,565



557,086



811,498CCEAR 2011 - Energia Nova


2040



25,666



26,924



28,143



29,193



1,124,026



1,233,952CCEAR 2011 - Energia Nova


2025



30,783



32,288



33,731



35,004



336,794



468,600CCEAR 2012 - Energia Nova


2041



61,291



60,437



46,465



48,199



1,981,579



2,197,971CCEAR 2012 - Energia Nova


2026



87,133



91,393



95,478



99,081



1,095,256



1,468,341CCEAR 2013 - Energia Nova


2042



29,919



27,025



18,612



19,308



846,228



941,092CCEAR 2013 - Energia Nova


2027



137,050



143,750



150,173



155,843



1,955,049



2,541,865CCEAR 2016 - Energia Nova (A-5)


2045



-



-



2,739



2,841



149,645



155,225CCEAR 2016 - Energia Nova (A-5)


2035



-



-



18,263



18,952



509,687



546,902CCEAR 2017 - Energia Nova (A-5)


2036



-



-



-



9,321



270,641



279,9621,233,484



1,236,581



1,215,544



1,203,294



19,255,468



24,144,371


The amounts related to contracts for purchase of electricity represent the total amount contract by the
current price at the end of 2013, approved by ANEEL.

The subsidiary CDSA maintains commitments of electricity supply entered into with
free customers and distributors through Contracts of Purchase and Sale of Electricity under Regulated Environment (CCAR).



2014


2015


2016


2017


After 2017


TotalSupplies energy


459,660



473,515



481,581



503,441



3,464,323



5,382,520


CGTF maintains commitments of electricity supply entered into with the related party COELCE, with which
they have an exclusive long-term electricity supply contract.



2014


2015


2016


2017


After 2017


TotalSupplies energy


543,302



566,756



588,142



610,307



4,222,251



6,530,758




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##### Table of Contents

|31. | POST-EMPLOYMENT BENEFITS
|--- | ------------------------

Subsidiary Ampla Energia

The subsidiary Ampla Energia sponsors a pension fund managed by Ampla Social Security Foundation (BRASILETROS), a non-profit closely-held
entity of private Law for supplementary private pension plan. This Foundation manages two benefit plans: one is a defined benefit plan (Supplementary Retirement Plan - PCA), the main purpose of which is supplementing the benefits to which it is
entitled, such as social security insured parties and the subsidiarys employees; and a defined contribution plan (Variable Contribution Retirement Plan - PACV), the main purpose of which is granting benefits from accumulated reserves on behalf
of the participants.

The retirement and pension benefit plans are actuarially evaluated in order to measure the sponsors
commitments with benefit plans offered to its employees and former employees. The balance recorded at December 31, 2013, in the amount of R$ 393,339 (R$ 480,896 in 2012), corresponds to the total liabilities of the sponsor in relation
to the plan of benefits.

The plans managed by subsidiary have the following key characteristics:



| | a) | Supplementary Retirement Plan - PCA (Defined Benefit)
| | -- | -----------------------------------------------------



| |  | Sponsor
| |  | -------

Contributes with 5.56% of the payroll, out of which 1.59% is destined
to cover benefits and 3.97% to administrative expenses.



| |  | Active participants
| |  | -------------------

The contribution corresponds to cumulative percentages in
accordance with salary range, and based on the social security maximum limit, ranging from 1.75% to 10% of the salary.



| |  | Assisted participants
| |  | ---------------------

This contribution is set on an annual basis, based on the
funding plan, which currently corresponds to the same cumulative percentages effective to the active participants.

At December 31,
2001, the subsidiary Ampla Energia recorded actuarial deficit amounting to R$ 118,221, presented in the Supplementary Retirement Plan (PCA), in accordance with CVM Rule No. 371 of December 13, 2000. This deficit was supported by the
contracted executed on January 1, 2002 with BRASILETROS, setting forth that the this deficit would be amortized within 20 years with a grace period of 2 and a half years at a 6% interest rate per annum, plus INPV variations.



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##### Table of Contents

|31. | POST-EMPLOYMENT BENEFITS--Continued
|--- | -----------------------------------



Subsidiary Ampla Energia--Continued



| | b) | Variable Contribution Retirement Plan - PACV (Defined Contribution)
| | -- | -------------------------------------------------------------------



| |  | Sponsor
| |  | -------

It contributes with 4.16% of the active participants payroll, of
which 0.19% is destined to cover benefits and 3.97% to administrative expenses.



| |  | Active participants
| |  | -------------------

PACV active participants shall make the contribution
described in the Plan Rules, given that the average percentage calculated based on the PACV active population at the evaluation base date is equivalent to 5.08% of the PACV active participants payroll.



| | c) | Retirees health care plan (PAMA)
| | -- | ---------------------------------

Ampla Energia is obliged to grant health care
benefits only to former employees who were dismissed up to December 31, 1997 and who evidenced their absence through the public pension system. These benefits are optional and covered by Ampla Energia and the users on a pre-paid basis.

The plan is managed by Unimed Leste Fluminense by way of agreements with a periodic contribution adjustment clause in view of the groups
loss ratio. The costing is calculated per capita according to a table broken down into 10 age ranges, in accordance with the criteria allowed by ANS.

The plan may be divided into 3 different groups, which share the same policy:

- Assets  the plan is granted to employees and dependants. The cost collected from employees is determined by Ampla Energia according to
the table broken down into three age ranges, collected by family group or family members. Since the contribution is made by employees, it generates life benefits after 10 years of contribution, pursuant to Law No. 9,656.

- Retirees Law No. 9,656  the group that exercised the right to remain in the plan, provided that they make contributions at their
own expenses, pursuant to Law No. 9,656. The cost is directly collected by Unimed, the plans manager, and contributions per capita are structured by age range.

- Retirees PDI  the group of retirees and dependants who enjoy the benefit to remain in the plan, and the costing are determined
according to the same rules applied to that of employees, that is, contribution tables with three age ranges, collected by family group or family member in the plan.



| | d) | Benefit of payment of FGTS fine upon retirement
| | -- | -----------------------------------------------

Subsidiary Ampla Energia has a
Retirement Program ensuring the payment of at least 40% of the FGTS balance plus the employees 30-day resignation notice, observing the employment agreement, solely to those who are resigning for retirement.

Only employees who achieved at least 70% of the length of service at Ampla Energia will be entitled to this benefit.



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##### Table of Contents

|31. | POST-EMPLOYMENT BENEFITS--Continued
|--- | -----------------------------------



Subsidiary COELCE

Subsidiary COELCE sponsors a pension fund managed by COELCE Social Security Foundation (FAELCE), a non-profit closely-held entity of private
law for supplementary private pension plan. This Foundation manages two benefit plans: one is a defined benefit plan (BD Plan), the main purpose of which is supplementing the benefits to which it is entitled, such as social security insured parties
and COELCE employees; and a defined contribution plan (CD Plan), the main purpose of which is granting benefits from accumulated reserves on behalf of the participants.

The plans managed by subsidiary COELCE have the following key characteristics:



| | a) | Defined Contribution Plan (CD)
| | -- | ------------------------------

The subsidiary makes monthly contributions for CD Plan
in the same amount as the participants contributions. The contribution amount varies according to the remunerations, given that its calculation is based on the rates of 2.5%, 4.0% and 9.0% applied on a cascade basis. Additionally,
the plan offers risk benefits, such as disability and death, paid by Faelce under the cost-sharing regime. To meet IAS 19 (Revised), this portion is considered a defined benefit.



| | b) | Defined Benefit Plan (BD)
| | -- | -------------------------

The BD plan is under the capitalization financial regime for
retirement, pension and aid benefits.

The benefit plan is covered by contributions from participants and the sponsor. COELCE makes
monthly contributions to BD Plan at a 4.45% payroll rate of all its employees and participant managing officers to cover the ordinary cost and at a 2.84% rate on the ratio (not below the unit) between the number of FAELCE employees and participant
managing officers at July 31, 1997, and the number of participant employees on the reporting month of amortizing supplementary contribution, being this supplementary contribution in effect for 22 years and 6 months as from July 1997. In
addition to this percentage, the sponsor is responsible for paying the administrative expenses of said entitys social security activities.

Plan benefits include:



| |  |  | Supplement to disability retirement;
| | - |  | ------------------------------------

| |  |  | Supplement to retirement for contribution time;
| | - |  | -----------------------------------------------

| |  |  | Supplement to retirement by age;
| | - |  | --------------------------------

| |  |  | Supplement to special retirement;
| | - |  | ---------------------------------

| |  |  | Supplement to reclusion support;
| | - |  | --------------------------------

| |  |  | Supplement to pension for death;
| | - |  | --------------------------------

| |  |  | Supplement to annual bonus.
| | - |  | ---------------------------

The mathematical calculation referring to supplementary
retirement and pension benefits of BD plan adopts the projected unit credit.



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##### Table of Contents

|31. | POST-EMPLOYMENT BENEFITS--Continued
|--- | -----------------------------------



Subsidiary COELCE--Continued



| | c) | Defined Benefit Plan (BD)Continued
| | -- | -----------------------------------



On June 30, 1999, a debt contract was executed, thus consolidating all debts from
retentions and delays on transfer of obligations and financial charges by the subsidiary. On June 30, 2007, a third amendment was executed, according to CGPC Resolution No. 17/96 of the Ministry of Social Security, under the following
conditions:



| |  |  | Deadline for full payment: 14 half-yearly successive installments starting at December 31, 2007 and ending at June 30, 2014. Up to December 31, 2013, the subsidiary paid 13 amortization payments, leaving
an outstanding balance of R$ 12,824 (R$ 18,147 in 2012).
| | - |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Interest is paid on a monthly and successive basis, restated at INPC rate.
| | - |  | --------------------------------------------------------------------------



| |  |  | The principal amount is amortized on a half-yearly basis, calculated based on the debt balance of each month, following the restatement at INPC rate.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------



| | c) | Health Care Plan
| | -- | ----------------

The health care plan, managed by Unimed Fortaleza, is rule by way of
agreements with a periodic contribution adjustment clause in view of the groups loss ratio. The costing is calculated per capita according to a table broken down into 10 age ranges, in accordance with the criteria allowed by ANS.

The plan may be divided into 3 different groups which share the same policy:

- Assets  the plan is granted to employees and dependants. The cost collected by the plans manager is partially covered by COELCE,
subject to the contribution proportion determined based on the related salary range. Since the contribution is made by employees, it generates life benefits after 10 years of contribution, pursuant to Law No. 9,656.

- Retirees Law No. 9,656  the group that exercised the right to remain in the plan, provided that they make contributions at their
own expenses, pursuant to Law No. 9,656. The cost is directly collected by Unimed, the plans manager, according to the plan rules.

- Special retirees  a closed group of retirees and dependants, partially borne by COELCE (60%), as a result of negotiations ratified by
way of a collective agreement.



| | d) | Benefit of payment of FGTS fine upon retirement
| | -- | -----------------------------------------------

Pursuant to the collective agreement
in force, for retirement cases in any categories, in the event of termination of the employee agreement, the employee will be entitled to receive the fine equal to 40% of the FGTS balance for termination purposes, as set forth in the Act of
Temporary Constitutional Provisions (ADCT).

The subsidiaries opted for recognizing actuarial gains and losses immediately in the year
they incurred in other comprehensive income.



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##### Table of Contents

|31. | POST-EMPLOYMENT BENEFITS--Continued
|--- | -----------------------------------



Reconciliation of opening and ending balances of the present value of the obligation



Ampla Energia


COELCE


Consolida12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Present value of actuarial obligations at the beginning of the year


(1,169,274
)


(1,064,274)



(964,017
)


(716,283)



(2,133,291
)


(1,780,557)Cost of current services


(1,515
)


(85)



(7,848
)


(5,718)



(9,363
)


(5,803)Cost of interest


(110,392
)


(107,623)



(91,449
)


(72,631)



(201,841
)


(180,254)Participants contribution


(27
)


(29)



-



-



(27
)


(29)Benefits paid


80,561



76,773



63,320



49,709



143,881



126,482Actuarial gain/(loss)


267,162



(74,037)



182,132



(219,094)



449,294



(293,131)Total present value of actuarial obligation


(933,485
)


(1,169,275)



(817,862
)


(964,017)



(1,751,347
)


(2,133,292)Reconciliation of opening and ending balances of the
fair value of plan assetsAmpla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Fair value of plan assets at the beginning of the year


688,378



539,810



1,006,903



740,786



1,695,281



1,280,596Participants contribution


27



29



4,956



4,522



4,983



4,551Sponsors contribution


40,963



34,013



21,715



21,634



62,678



55,647Benefits paid in the year


(15,369
)


(22,251)



33,673



26,372



18,304



4,121Actuarial return


(173,853
)


136,778



(156,376
)


213,590



(330,229
)


350,368Fair value of plan assets at the end of the year


540,146



688,379



910,871



1,006,904



1,451,017



1,695,283Reconciliation of present value of the obligation and
the plan assets value, with assets and liabilities recorded in the balance sheetAmpla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Present value of actuarial obligations


(933,485
)


(1,169,275)



(817,862
)


(964,017)



(1,751,347
)


(2,133,292)Fair value of assets


540,146



688,379



910,871



1,006,904



1,451,017



1,695,283Present value of obligations exceeding Fair value of assets


(393,339
)


(480,896)



93,009



42,887



(300,330
)


(438,009)Effect of limit for asset recognition






-



(177,515
)


(107,736)



(177,515
)


(107,736)Net actuarial assets/(liabilities) (*)


(393,339
)


(480,896)



(84,506
)


(64,849)



(477,845
)


(545,745)Debt raised






-



(12,824
)


(18,147)



(12,824
)


(18,147)Net actuarial assets/(liabilities) calculated


(393,339
)


(480,896)



(97,330
)


(82,996)



(490,669
)


(563,892)


(*)The amount for the Ampla Energia comprises the balance of the contracted debt

Expenses recorded in income statements



Ampla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012current service cost


1,542



114



7,848



5,718



9,390



5,832Participants contribution


(27
)


(29)



(4,956
)


(4,522)



(4,983
)


(4,551)Service cost


1,515



85



2,892



1,196



4,407



1,281Net interest on the net defined benefit liability/(asset)


48,817



49,984



11,965



(7,798)



60,782



42,186Total expenses/ (revenues)


50,332



50,069



14,857



(6,602)



65,189



43,467




G-108



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##### Table of Contents

|31. | Post-employment benefits--Continued
|--- | -----------------------------------



Percentage that each main category of plan assets represents in relation to the total fair
value of plan assets



Ampla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Debt securities


356,306



496,613



690,238



770,068



1,046,544



1,266,681Equity securities


119,613



108,321



118,159



117,769



237,772



226,090Real estate


47,025



53,367



63,586



73,455



110,611



126,822Others


17,202



30,078



38,888



45,612



56,090



75,689Fair value of plan assets


540,146



688,379



910,871



1,006,904



1,451,017



1,695,282Total amounts recorded in other comprehensive
incomeAmpla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Actuarial gain/ (loss)


(267,162
)


74,037



(182,132
)


219,094



(449,294
)


293,131Actuarial gain/(loss)


173,853



(136,779)



156,376



(213,590)



330,229



(350,369)Change in recognized restrictions of assets


-



(5,261)



59,222



80,333



59,222



75,072Change in adjustment for debt recognition


-



-



(5,323
)


(16,926)



(5,323
)


(16,926)Effect of adoption - IAS 19 (R1)


(3,617
)


3,617



(6,951
)


6,951



(10,568
)


10,568Total other comprehensive income in the year


(96,926
)


(64,386)



21,192



75,862



(75,734
)


11,476Actual return on plan assetsAmpla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Expected return on plan assets


65,192



54,522



96,993



76,081



162,185



130,603Actuarial gain (loss) on plan assets


(173,853
)


136,778



(156,376
)


213,590



(330,229
)


350,368Actual return on plan assets


(108,661
)


191,300



(59,383
)


289,671



(168,044
)


480,971Actuarial amounts for current and prior yearsAmpla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Defined benefit obligation


(933,485
)


(1,169,275)



(817,862
)


(964,017)



(1,751,347
)


(2,133,292)Plan assets


540,146



688,379



910,871



1,006,904



1,451,017



1,695,283Surplus (deficit)


(393,339
)


(480,896)



93,009



42,887



(300,330
)


(438,009)Adjustments of experiences on plan liabilities


267,162



(74,037)



182,132



(219,094)



449,294



(293,131)Adjustments of experiences on plan assets


(173,853
)


136,778



(156,376
)


213,590



(330,229
)


350,368




G-109



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##### Table of Contents

|31. | Post-employment benefits--Continued
|--- | -----------------------------------



Reconciliation of opening and closing balances of defined benefit asset ceiling effect



Ampla Energia


COELCE


Consolidated12/31/2013


12/31/2012


12/31/2013


12/31/2012


12/31/2013


12/31/2012Unrecognized asset at the start of the year


-



4,761



107,735



24,798



107,735



29,559Interest on unrecognized asset recognized in P&L


-



500



10,558



2,604



10,558



3,104Other changes in unrecognized asset due to the asset ceiling


-



(5,261)



59,222



80,333



59,222



75,072Unrecognized asset at end of year


-



-



177,515



107,735



177,515



107,735


The Group recognized expenses with the defined contributions plan in the amount of R$ 6,301 in 2013 (R$
3,187 in 2012 and R$ 2,593 in 2011).

Main assumptions adopted

The main assumptions adopted by the independent actuary for calculation were as follows, by its nominal amount:



Ampla Energia


COELCEMain actuarial assumptions

PCA


PACV


PAMA


FGTS


BD


CD


Plano desaúde


FGTSDiscount rate


12.35%



12.39%



12.44%



11.95%



9.80%



9.80%



9.80%



9.80%Salary growth rate


7.61%



7.61%



N/A



7.61%



7.61%



7.61%



N/A



7.61%Expected inflation rate


5.50%



5.50%



5.50%



5.50%



5.50%



5.50%



5.50%



5.50%Adjustment of benefits granted


5.50%



5.50%



N/A



N/A



5.50%



5.50%



N/A



N/AOverall mortality table


AT-2000



AT-2000



AT-2000



AT-2000



AT-2000



AT-2000



AT-2000



AT-2000Disability table


Light-Média



Light-Média



N/A



N/A



Light-Média



Light-Média



Light-Média



Light-MédiaDisability mortality table


AT-49(+6)



AT-49(+6)



AT-49(+6)



N/A



AT-49(+6)



AT-49(+6)



AT-49(+6)



N/A


In order to carry out the actuarial evaluation for year 2013, the assumption that medical costs will
increase (medical inflation) by 8.66% p.a. (3.00% p.a. in actual terms) was adopted. In the previous year, this assumption had a decreasing characteristic, varying from 11.57% p.a. (5.75% p.a. in actual terms) in the first projection year, reaching
6.51% p.a. (0.95% p.a. in actual terms) for 2023 onwards.

For cost projection, COELCE adopted the assumption of growth of costs according
to age, of 3.00% p.a. (3.00% p.a. in 2012)It also adopted the assumption of actual growth of contributions to the health care plan by 1.50% p.a. (3.00% p.a. in 2012).

All participants will have to opt for remaining in the plan upon retirement.

COELCE adopted the assumption of zero return for the FGTS accumulated balances.



G-110



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##### Table of Contents

|32. | INCOME TAX AND SOCIAL CONTRIBUTION
|--- | ----------------------------------

The reconciliation of provision for income and
social contribution taxes, calculated at tax rate, with the amounts in the income statements, is as follows:



|                                                                       |  |            |           |  |            |  |           |            |  |  |           | 
|---------------------------------------------------------------------- |  | ---------- | --------- |  | ---------- |  | --------- | ---------- |  |  | --------- | 
|Description                                                            |  | 12/31/2013 |           |  | 12/31/2012 |  |           | 12/31/2011 | 
|                                                                       |  |            |           | 
|                                                                       |  |            |          
|Income before income taxes                                             |  |            | 1,666,211 |  |            |  | 2,035,605 |            |  |  | 1,612,295 | 
|Nominal rate (34%)*                                                    |  |            | 566,512   |  |            |  | 692,106   |            |  |  | 548,180   | 
|                                                                       |  |            |          
|Permanent additions                                                    |  |            |           |  |            |  |           |            |  |  |           | 
|Profit sharing (Management)                                            |  |            | 5,260     |  |            |  | 2,573     |            |  |  | 2,032     | 
|Managements bonus                                                     |  |            | 280       |  |            |  | -         |            |  |  | 348       | 
|Goodwill amortization of investment using equity method                |  |            | 2,101     |  |            |  | -         |            |  |  | -         | 
|CTM and TESA rates                                                     |  |            | 13,748    |  |            |  | 9,186     |            |  |  | 56        | 
|Donations                                                              |  |            | 1,266     |  |            |  | 783       |            |  |  | 310       | 
|Indirect benefits                                                      |  |            | -         |  |            |  | 30        |            |  |  | 124       | 
|Nondeductible fines                                                    |  |            | 1,682     |  |            |  | 7,041     |            |  |  | 734       | 
|Monetary restatement on provisions for tax, civil and labor risks      |  |            | -         |  |            |  | 953       |            |  |  | 72        | 
|Depreciation in accordance with Law 8,200                              |  |            | 381       |  |            |  | 196       |            |  |  | 205       | 
|No deductible depreciation expense                                     |  |            | 11,532    |  |            |  | -         |            |  |  | -         | 
|Losses                                                                 |  |            | 1,745     |  |            |  | 8,715     |            |  |  | 9,107     | 
|Losses on accounts receivable - reversal of provision for bad debt     |  |            | -         |  |            |  | 4,738     |            |  |  | 19,043    | 
|Nondeductible Donations                                                |  |            | 675       |  |            |  | 838       |            |  |  | 13        | 
|Other additions                                                        |  |            | 4,986     |  |            |  | -         |            |  |  | 29,252    | 
|                                                                       |  |            |           | 
|                                                                       |  |            | 43,656    |  |            |  | 35,053    |            |  |  | 61,296    | 
|                                                                       |  |            |          
|Permanent exclusions                                                   |  |            |           |  |            |  |           |            |  |  |           | 
|Tax notice 104/2009 - COELCE Plus                                      |  |            | -         |  |            |  | -         |            |  |  | (2,329)   | 
|Amortization of goodwill and reversal of provision                     |  |            | 5,368     |  |            |  | (3,570)   |            |  |  | (7,573)   | 
|Net effect of subsidiaries taxed by presumed profit (Income tax)       |  |            | (94,446)  |  |            |  | (104,835) |            |  |  | (78,582)  | 
|Actuarial surplus                                                      |  |            | -         |  |            |  | -         |            |  |  | (8,897)   | 
|                                                                       |  |            |           | 
|                                                                       |  |            | (89,078)  |  |            |  | (108,405) |            |  |  | (97,381)  | 
|                                                                       |  |            |          
|Permanent deductions                                                   |  |            |           |  |            |  |           |            |  |  |           | 
|Operation profit                                                       |  |            | (100,091) |  |            |  | (65,147)  |            |  |  | (108,166) | 
|PAT tax benefit                                                        |  |            | (2,463)   |  |            |  | (1,778)   |            |  |  | (1,955)   | 
|Cultural tax incentive                                                 |  |            | (3,989)   |  |            |  | -         |            |  |  | -         | 
|Sportive tax incentive                                                 |  |            | (569)     |  |            |  | -         |            |  |  | -         | 
|Additional IRPJ                                                        |  |            | (336)     |  |            |  | -         |            |  |  | (96)      | 
|Prior periods adjustments                                              |  |            | (218)     |  |            |  | (312)     |            |  |  | -         | 
|                                                                       |  |            |           | 
|                                                                       |  |            | (107,666) |  |            |  | (67,237)  |            |  |  | (110,217) | 
|                                                                       |  |            |          
|Other                                                                  |  |            |           |  |            |  |           |            |  |  |           | 
|Provision for tax, civil and labor risks  ICMS                        |  |            | -         |  |            |  | -         |            |  |  | (4,961)   | 
|Adjustment on provision for tax, civil and labor risks  IRPJ and CSLL |  |            | -         |  |            |  | -         |            |  |  | 5,559     | 
|Differences in foreign subsidiaries                                    |  |            | (5,405)   |  |            |  | (4,204)   |            |  |  | (1,227)   | 
|Other                                                                  |  |            | 4,550     |  |            |  | 18,324    |            |  |  | 7,525     | 
|                                                                       |  |            |           | 
|                                                                       |  |            | (855)     |  |            |  | 14,120    |            |  |  | 6,896     | 
|                                                                       |  |            |          
|Current income and social contribution taxes                           |  |            | 496,337   |  |            |  | 383,909   |            |  |  | 412,424   | 
|Deferred income and social contribution taxes                          |  |            | (32,856)  |  |            |  | 204,196   |            |  |  | 62,679    | 
|Tax incentives                                                         |  |            | (50,911)  |  |            |  | (23,136)  |            |  |  | (66,329)  | 
|                                                                       |  |            |           | 
|Effective rate                                                         |  |            | 412,570   |  |            |  | 564,969   |            |  |  | 408,774   | 
|                                                                       |  |            |           | 

* Income tax was calculated at a 15% rate, plus 10% surtax and social contribution tax of 9%.

Income and social contribution calculation bases of subsidiary CDSA were determined upon application of 8% and 12% rates, respectively, on
gross income (presumed profits method), according to the determination rules under taxable profit as a percentage of gross sales, adopted by this subsidiary CDSA, according to liberality provided by Law No. 9,964 of April 10,
2000, for those taxpayers entering into the Tax Recovery Program (REFIS).



G-111



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##### Table of Contents

|33. | NET REVENUE
|--- | -----------

Electricity supply breakdown by class of consumers is as follows:



Number of consumers


MWh


R$(Unaudited)


(Unaudited)12/31/2013


12/31/2012


12/31/2011


12/31/2013


12/31/2012


12/31/2011


12/31/2013


12/31/2012


12/31/2011Invoiced supply-Residential


3,533,559



3,392,641



3,362,496



6,815,980



6,397,620



5,699,826



3,396,112



3,535,034



3,045,198Residential - low income


1,235,736



1,211,463



1,122,859



1,421,776



1,286,522



1,487,933



327,980



329,415



387,228Industrial


10,687



10,639



10,682



2,170,713



2,253,541



2,651,145



751,589



872,263



915,505Commercial, services and others


321,887



316,011



311,052



4,034,480



3,912,323



3,605,389



1,789,662



1,953,408



1,788,224Rural


513,003



487,940



457,745



1,449,190



1,353,037



1,057,623



282,092



295,526



246,023Government


46,331



45,162



43,697



1,095,538



1,023,873



914,469



464,434



488,161



448,813Public lighting


3,503



3,395



3,283



808,202



780,139



732,899



221,574



239,000



218,820Public services


10,751



10,350



9,980



770,263



742,515



707,883



196,863



211,933



204,940Revenues from over demand and reactive excess


-



-



-



-



-



-



(18,722)



(19,444)



(12,934)5,675,457



5,477,601



5,321,794



18,566,142



17,749,570



16,857,167



7,411,584



7,905,296



7,241,817Unbilled supply


-



-



-



-



-



-



(36,572)



59,042



(24,802)Consumers, concessionaires and authorized parties


























7,375,012



7,964,338



7,217,015Electricity supply


-



-



-



-



-



-



695,619



878,232



484,308Low-income


-



-



-



-



-



-



252,997



328,903



266,106Short-term electricity


-



-



-



-



-



-



1,891



100,624



13,125Revenue from use of electricity grid  free consumers - resale


68



43



37



-



-



-



82,040



118,557



131,970Revenue from over demand and reactive excess - Free customers


-



-



-



-



-



-



(89)



(2)



(289)CDE Subventions - Tariff discount


-



-



-



-



-



-



217,730



-



-Availability of the electricity network


13



13



14



432,427



418,978



404,663



182,657



252,127



235,997RAP


-



-



-



-



-



-



270,485



264,404



178,927Availability of the transmission network to related parties


-



-



-



-



-



-



15,794



18,260



20.641Revenue from construction


-



-



-



-



-



-



698,047



572,735



619,135Other revenue


-



-



-



-



-



-



206,795



170,488



158,532Gross operating revenue


























9,998,978



10,668,666



9,325,467(-) Revenue deductionsState VAT (ICMS


-



-



-



-



-



-



(1,827,592)



(2,136,963)



(1,855,960)Contribution Tax on Gross Revenue for Social Integration Program (PIS)


-



-



-



-



-



-



(84,168)



(97,093)



(63,276)Contribution Tax on Gross Revenue for Social Security Financing (COFINS)


-



-



-



-



-



-



(327,781)



(440,955)



(295,519)Service tax (ISS)


-



-



-



-



-



-



(3,996)



(2,979)



(3,141)Quota for Global Reversion Reserve (RGR)


-



-



-



-



-



-



1,973



(125,956)



(116,268)CCC/CDE Subventions


-



-



-



-



-



-



(39,480)



(270,988)



(333,426)P&D and energy effectiveness


-



-



-



-



-



-



(74,281)



(69,511)



(42,607)Ex-Isolated charges


-



-



-



-



-



-



(188)



(9,636)



(8,249)Other taxes and contributions on revenue


-



-



-



-



-



-



(7,710)



(29,500)



(27,749)Total revenue deductions


-



-



-



-



-



-



(2,363,223)



(3,183,581)



(2,746,195)Total


5,675,538



5,477,657



5,321,845



18,998,569



18,168,548



17,261,830



7,635,755



7,485,085



6,579,272




G-112



---

##### Table of Contents

|34. | OPERATING COSTS AND EXPENSES
|--- | ----------------------------

Operating expenses breakdown according to their nature is
as follows:



12/31/2013


12/31/2012


12/31/2011Cost of
services


Selling
expenses


General and
administrative
expenses


Others


Total


Total


TotalPersonnel (including private pension plan)


(241,409)



(3,585)



(134,544)



-



(379,538)



(366,776)



(321,577)Material


(21,668)



(5,854)



(3,832)



-



(31,354)



(29,942)



(26,803)Raw material and inputs for electricity production


(233,648)



-



-



-



(233,648)



(127,420)



(120,512)Third-party services


(394,878)



(20,543)



(130,342)



-



(545,763)



(525,003)



(490,810)Electricity purchased for resale


(2,837,970)



-



-



-



(2,837,970)



(2,599,878)



(2,065,756)Transmission system charges


(321,758)



-



-



-



(321,758)



(610,898)



(383,374)System service charges


(25,858)



-



-



-



(25,858)



(53,328)



(57,411)Asset retirement costs


(82,393)



-



(11,694)



-



(94,087)



(75,482)



(8,774)Impairment


-



-



-



(10,919)



(10,919)



-



-Write-off  Decision No 367


-



-



-



(33,918)



(33,918)



-



-Provision for inventory losses


-



-



-



(7,570)



(7,570)



-



-Depreciation and amortization


(505,055)



-



(12,886)



-



(517,941)



(455,916)



(452,841)Financial offsetting or use of water resources


(11,336)



-



-



-



(11,336)



(18,305)



(15,959)Accrual for doubtful accounts


-



(98,419)



-



-



(98,419)



(98,970)



(128,528)ANEEL inspection fee


(10,115)



-



-



(4,770)



(14,885)



(15,602)



(28,162)Construction cost


(698,047)



-



-



-



(698,047)



(572,735)



(13,460)Provision for contingencies


-



-



(48,102)



-



(48,102)



62,453



(619,135)Amortization and reversal of incorporation goodwill


-



-



-



(24,720)



(24,720)



(27,013)



(29,518)Other operating costs/expenses


(36,215)



(388)



(32,710)



(8,645)



(77,958)



(96,139)



(62,024)(5,420,350)



(128,789)



(374,110)



(90,542)



(6,013,791)



(5,610,954)



(4,824,464)




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|34. | OPERATING COSTS AND EXPENSES--Continued
|--- | ---------------------------------------



The breakdown of the electricity purchased for resale is as follows:



Description



12/31/2013


12/31/2012


12/31/2011Centrais Elétricas S.A. - Furnas




(106,011)



(148,120)



(144,050)Itaipu Binacional




(261,628)



(234,519)



(207,432)Enertrade Comercializadora de Energia S.A.




(71,627)



(39,706)



(42,276)EDP Energias do Brasil S.A.




(2,789)



-



-Tradenergy Emp. Com. Energia




(2,330)



-



-Energest




(5,052)



-



-Eletronuclear  account payable




(46,445)



-



-Eletrobrás termonuclear S.A. - Eletronuclear




(109,178)



-



-Companhia Hidroelétrica do São Francisco - CHESF




(53,269)



(98,926)



(81,665)Petróleo Brasileiro S.A. - Petrobras




(61,451)



(70,937)



-Companhia Energética de São Paulo - CESP




(264,863)



(64,131)



(66,510)Centrais Elétricas do Norte do Brasil S.A. - ELETRONORTE




(40,736)



(46,601)



(46,564)Copel Geração S.A. - COPEL




(30,485)



(45,562)



(40,251)CEMIG - Geração e Transmissão S.A.




(51,020)



(43,586)



(41,643)Electric Energy Sale Chamber  CCEE




(249,085)



(160,232)



(23,851)CCEARs - Electricity Commercialization Arrangements on Regulated Environment




(684,892)



(693,277)



(661,390)Program to Foster Alternative Electric Energy Sources -PROINFA




(114,614)



(95,580)



(75,887)QUATIARA




(3,478)



-



-SAFIRA




(5,888)



-



-Tractebel Energia S.A. (*)




(17,051)



(34,517)



(33,426)Contracts as per availability




(362,526)



(282,660)



(153,455)Potency physic guarantee quotas




(171,152)



-



-(-) Recuperation energy buying expense




83,341



-



-Hydrology Risk




(20,939)



-



-(-) Recuperation hydrology risk expense




20,939



-



-Involuntary exposition




(296,109)



-



-(-) Recuperation involuntary exposition expense




199,171



-



-MCSD - Leftovers and Deficits Offsetting Mechanism




(75,246)



(215,697)



(201,682)Other




(33,557)



(325,827)



(245.494)(2,837,970)



(2,599,878)



(2,065,576)


(*)   Availability of the generator of electricity is contracted when necessary.



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##### Table of Contents

|35. | FINANCIAL INCOME (EXPENSES)
|--- | ---------------------------



Description

12/31/2013


12/31/2012


12/31/2011Financial incomeIncome from financial ,investments


151,565



120,075



121,429Interest income from debentures


-



-



4,168Penalties and arrears surcharges


89,915



96,447



84,901Financial income - Indemnifiable assets


205,165



487,517



23,728Restatement of legal deposits


31,491



4,585



2,583Pension fund charges


-



7,798



13,166Credit updated for PIS and COFINS


100,671



-



-Monetary restatement - CELG


2,891



11,530



117,655Other finance income


29,895



39,827



84,109Total financial income


611,593



767,779



451,739Financial expensesMonetary variation


(16,043)



(16,459)



(48,339)Debt charges


(79,656)



(108,123)



(165,955)Restatement of taxes and penalties


(8,216)



(9,044)



(19,570)Monetary restatement on provisions for tax, civil and labor risks


(65,065)



(68,035)



(62,177)Pension plan charges


(50,214)



(49,984)



(25,383)Interest expenses on debentures


(107,148)



(118,635)



(104,408)Monetary variation on debentures


(59,380)



(52,702)



(13,691)DIC / FIC indemnifications


(33,875)



(23,112)



(28,169)Swap losses


(3,936)



(5,656)



-Energy Effectiveness Correction and R&D Program


(1,609)



(2,377)



(3,400)IOF and IOC


(6,076)



(3,505)



(1,011)Fines


(42,859)



(65,157)



-Financial restatement


-



(24,197)



(8,649)Updated Eletronuclear - account payable


(8,495)



-



-Updated IAS 19 (Revised)


(10,568)



-



-Other financial expenses


(56,446)



(60,394)



(94,596)Total financial expenses


(549,586)



(607,380)



(575,348)Exchange variation  assets


105,620



76,621



121,380Exchange variation - liabilities


(123,380)



(75,546)



(140,284)Total exchange variation


(17,760)



1,075



(18,904)Total


44,247



161,474



(142,513)




|36. | PROFIT SHARING
|--- | --------------

The Company and its subsidiaries implemented a profit sharing program
based on operating and financial goals previously defined, given that these goals come from the Groups strategic planning up to each professionals respective area, in addition to a behavioral assessment of each employee. In 2013, profit
sharing amounted to R$ 3,811 (R$ 3,619 in 2012). The Groups profit sharing amount summed up to the profit sharing amount of its subsidiaries totaled R$ 34,419 in 2013 (R$ 31,228 in 2012).



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##### Table of Contents

|37. | INSURANCE COVERAGE
|--- | ------------------

The Companys subsidiaries main assets in service are covered
by an operating risk policy of Endesa Group, with amount in risk for material damages totaling R$ 5,131,246 , with a limit coverage for loss of profit of R$ 7,530,355 and a general indemnification limit, per loss, of R$112,925 for
distribution companies, and R$ 1,129,250 for other companies. The Group also takes out civil liability insurance included in Endesa Corporate insurance program amounting to R$ 451,700 per loss or annual aggregate for the first risk, and
amounting to R$ 1,129,250 per loss or annual aggregate for the second risk, specifically for CDSA. Both programs are valid for the period from November 01, 2013 to October 31, 2014.

At December 31, 2013, Endesa Brasils subsidiaries had the following insurance coverage:

Operating risk



Subsidiaries

Effective
date

Insured amount

Maximum guarantee per lossAmpla Energia

1/11/2013 to 10/31/2014

1,013,914

112,925CDSA

1/11/2013 to 10/31/2014

1,447,652

1,129,250CIEN

1/11/2013 to 10/31/2014

1,226,380

1,129,250CGTF

1/11/2013 to 10/31/2014

691,730

1,129,250COELCE

1/11/2013 to 10/31/2014

751,570

112,925Civil liabilitySubsidiaries

Effective
date

Insured amount

Maximum guaranteeper lossAmpla Energia

1/11/2013 to 10/31/2014

n/a

451,700CDSA

1/11/2013 to 10/31/2014

n/a

451,700CIEN

1/11/2013 to 10/31/2014

n/a

451,700CGTF

1/11/2013 to 10/31/2014

n/a

451,700COELCE

1/11/2013 to 10/31/2014

n/a

451,700




|38. | OTHER INFORMATION
|--- | -----------------

Provisional Executive Order No. 627/2013

On September 17, 2013, Brazilian IRS Revenue Procedure (IN) No. 1,397 was disclosed and, on November 12, 2013, the Provisional
Executive Order No. 627 (MP 627) was enacted, thus revoking the Transition Tax Regime (RTT) as from 2015, with the introduction of the new tax regime; (ii) amends Decree-Law No. 1,598/77 for computation of the corporate
income tax, and legislation on social contribution tax (CSLL). The new tax regime provided for in MP 627 enters in force as from 2014, if so elected by the entity. Among the provisions of MP 627, we point out those approaching profit sharing and
payment of dividends, interest on equity calculation basis and the equity pickup calculation during RTT term.

The Group prepared an
analysis of the possible effects of MP 627 and IN 1397, and concluded that they have no significant effect on its operations and financial statements for year ended December 31, 2013, based on our best interpretation of the current wording of
MP 627. The possible conversion of MP 627 into Law may lead to a different conclusion. The Group awaits definition of amendments to MP 627 to elect or not early adoption for year 2014.



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##### Table of Contents

|39. | SUBSEQUENT EVENTS
|--- | -----------------

On January 14, 2014, subsidiary COELCE disclosed a material
fact with the Brazilian Securities and Exchange Commission (CVM), informing that, at that date, its indirect controlling shareholders, Enersis S.A., a publicly-held company with head office in Santiago, Chile, at Calle Santa Rosa, No. 76,
registered with Chiles under the no. 175 (Offeror), in a Board of Directors meeting, held at said date, approved, together with Banco Itaú BBA S.A., as the intermediary entity (Intermediary Entity), the
Voluntary Initial Public Offering for Acquisition of Shares (OPA) under the terms of CVM Rule No. 361 of March 5, 2002, as amended (CVM Rule No. 361/02).

Offeror, as informed to subsidiary COELCE, is inclined to acquire, during the OPA, up to all Common Shares (Common Shares),
A-Class Preferred Shares (A-Class Preferred Shares), and B-Class Preferred Shares (B-Class Preferred Shares) issued by COELCE and traded in the market (together: Common shares, A-Class Preferred Shares and B-Class Preferred
Shares, OPA Shares), corresponding, at the date of this material fact, to: (i) 3,086,975 (three million, eighty-six thousand, nine hundred and seventy-five) common shares, representing approximately 6.422% of the total common shares
whose issuance is controlled by subsidiary COELCE and 3.965% of total equity capital of subsidiary COELCE; (ii) 26,454,018 (twenty-six million, four hundred and fifty-four thousand, and eighteen) A-Class preferred shares, representing
approximately 93.634% of total A-Class preferred shares whose issuance is controlled by COELCE and 33.978% of total capital of subsidiary COELCE; and (iii) 1,534,662 (one million, five hundred and thirty-four thousand, six hundred and
sixty-two) B-Class preferred shares, representing 100% of the total B-Class preferred shares whose issuance is controlled by COELCE and 1.971% of total equity capital of subsidiary COELCE.

The price requested by Offeror to holders of OPA shares is R$ 49.00 (forty-nine Brazilian reais) per OPA share, cash-only, in Brazilian
currency (Acquisition Price). The acquisition price represents, according to the information provided by the Offeror, a premium of 20.1% on the weighted average price of A-Class preferred shares traded with BM&FBOVESPA at the end of
30 trade sessions until January 13, 2014.

The Voluntary OPA Auction took place on February 17, 2014, beginning at 16h00
(GMT-3).

According to the results, its indirect controlling shareholders, Enersis S.A. was able to add the 15.13% of COELCEs equity,
which now holds indirectly a 74% of the shares.

According to Brazilian regulations, the offer will be extended within 90 days only for
holders of common shares, due to this series reached the two-thirds of the shares. This, as the regulations in the country stipulates that if an OPA achieved more than two-thirds of the shares, the OPA will be automatically extended by 90 days,
whereas if achieved just one-third, but under two-thirds will be purchased pro-rata equivalent to one-third titles. Under this figure, it must purchase all the titles offered.

However, the series of common shares represent only 3.965% of the total capital of COELCE, which Enersis S.A. already has 3.81%. Therefore,
under this new process, the indirect controlling shareholders, Enersis S.A., can increase its participation only in 0.15%.

The process is
expected to be completed in 90 days, from February 17, 2014, pursuant to the terms of the notice and standards were purchased CVM.



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