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Second Quarter / First Half 2010Financial & Operating Results

6 August 2010

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

2

AGENDA

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

3

AGENDA

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

4

AGENDA

1,598EPS = P0.22ROE = 11%

12,714EPS = P1.73ROE = 64%696%

NET INCOME (in million pesos)

1121%

-8%

5

7,429

5,285

1,217

QUARTERLY BREAKDOWN

29% 334%

Distribution Generation AP Parent

219 369 385

7,542

5,241

937

1Q2010 2Q2010 2Q2009

6

CORE NET INCOME (in million pesos)

1,865EPS = P0.25ROE = 12%

12,871EPS = P1.75ROE = 65%590%

875%

-8%

7,025

5,845

1,375

QUARTERLY BREAKDOWN

17% 325%

Distribution Generation AP Parent

219 369 385

7,146 5,836

1,089

1Q2010 2Q2010 2Q2009

Non-Recurring Items1H2009 1H2010

FX gains - Parent 16 42 FX loss - Generation (98) (198) APRI Acqui-related costs (186) -

(268) (156)

Non-Recurring Items1Q2010 2Q2010 2Q2009

FX gains - Parent 7 35 (6) FX gains - Generation 397 (595) 34 APRI Acqui-related costs - - (186)

404 (560) (159)

7

CORE NET INCOME, Ex Pagbilao Effect (in million pesos)

1,865EPS = P0.25ROE = 12%

15,379EPS = P2.09ROE = 77%

724%

1064%

-8%

8,267

7,112

1,375

QUARTERLY BREAKDOWN

14% 417%

Distribution Generation AP Parent

Pagbilao Finance Lease Effect1H2010

Accreted Interest Expense 2,524 Depreciation 547 PSALM Monthly Payments (563)

2,508

Pagbilao Finance Lease Effect1Q2010 2Q2010

Accreted Interest Expense 1,250 1,274 Depreciation 274 274 PSALM Monthly Payments (282) (281)

1,242 1,266

219 369 385

8,388 7,103

1,089

1Q2010 2Q2010 2Q2009

425 626 653

9,535 8,413

1,866

1Q2010 2Q2010 2Q2009

8

PROFORMA EBITDA (in million pesos)

3,708

18,905410%

574%

-8%

9,914

8,991

2,454

QUARTERLY BREAKDOWN

9% 266%

Distribution Generation AP Parent

OPERATING HIGHLIGHTS - GENERATION

1,093

4,984356%

ENERGY SALES BREAKDOWN (GWh)

Contracted (Capacity) Contracted (Energy) Spot Market

9

636%

102%

336%

WESM PRICES (P/MWh)

Source: WESM, SNAP

Note: Calculated based on raw data downloaded from the WESM website as of June 2010. July 26 – October 25, 2008 prices are reflective of NPC TOU rates.

OPERATING HIGHLIGHTS – 1H2010 WESM HIGHLIGHTS

10

Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10Peak 3,874 5,866 13,415 12,664 9,430 8,298 8,500 Off Peak 968 2,902 7,954 6,578 5,074 4,673 4,392 All Hours 2,541 4,507 10,912 9,874 7,433 6,637 6,617

Peak Off-Peak Ave

AVERAGE CAPACITY ON OUTAGE (in MW)

Source: WESM, SNAP

20092010

1,5691,177 1,107 1,321 1,451

8,028

2,526

1,698 1,7041,355

384

1,128

8,795

1,403

Jan Feb March April May June YTD

61% 44%

10%

54% 3% 71% 22%

11

OPERATING HIGHLIGHTS – 1H2010 WESM HIGHLIGHTS

3,000

3,500

4,000

4,500

5,000

5,500

6,000

6,500

7,000

7,500

8,000

w1 w2 w3 w4 w5 w6 w7 w8 w9 w10 w11 w12 w13 w14 w15 w16 w17 w18 w19 w20 w21 w22 w23 w24 w25 w26

WEEKLY SYSTEM PEAK DEMAND (in MW) For the Period January 1 – June 30

Source: WESM

20092010

2009 Peak 6,830 MW 2010 Peak 7,529 MW2009-2010 Growth 10%

12

OPERATING HIGHLIGHTS – 1H2010 WESM HIGHLIGHTS

54%

ATTRIBUTABLE ENERGY SALES

(GWh)

1H20091H2010

OPERATING HIGHLIGHTS - HYDRO

CONTRACTED ENERGY (GWh), at 100%

SPOT MARKET (GWh), at 100%

NET CAPACITY FACTOR

13

437

202

1H2009 1H2010

113

64

113141

553525

Hedcor Sibulan HEDCOR LHC SNAP Magat

376

144

5730

SNAP Magat SNAP Benguet

39% 37%31% 33%

18%

5%

39%

21%13%

Hedcor Sibulan HEDCOR LHC SNAP Magat SNAP Benguet

MAGAT’S WATER LEVEL VS. RULE CURVE, Jan-June 2010 (in MASL)

Source: SNAP1Q 2Q 4Q3Q

140

150

160

170

180

190

200

Magat Rule Curve (meter)2008 Water Level2009 Water Level2010 Water LevelCritical

14

OPERATING HIGHLIGHTS - HYDRO

AVERAGE SELLING PRICE (in P/kWh)

1H20091H2010

CONTRACTED ENERGY SPOT MARKET

15

OPERATING HIGHLIGHTS - HYDRO

OPERATING HIGHLIGHTS - HYDRO

16

SNAP MAGAT ANCILLARY SERVICES

Ancillary Revenues(in million pesos)

Accepted Capacity(in MW/hr)

957

374

1,331

1Q2010 2Q2010 Total

168

63

231

1Q2010 2Q2010 Total

211

1,395

42

365

1H2009 1H2010

OPERATING HIGHLIGHTS – GEOTHERMAL

17

Energy Sales(in GWh)

Average Selling Prices (P/kWh)

Steam Vented (GWh)

AP RENEWABLES (Tiwi-Makban)

596%

253

1,760BCQ

WESM

Steam Cost @ P1.20/kWhSteam Cost @ P1.23/kWh

ENERGY SALES (GWh)

NET CAPACITY FACTOR

1H20091H2010

907%

652

222

833

1,918

118

2,232

STEAG TLI CEDC TotalAttributable Energy Sales

18

OPERATING HIGHLIGHTS – COAL

71%

91%

63%

39%

STEAG TLI CEDC

THERMA LUZON

1H2010 Energy Sales Total = 1,918 GWh

Average Selling PriceP/kWh

19

OPERATING HIGHLIGHTS – COAL

Coal Cost + Energy Fee = P1.81/kWhCoal Cost = P1.66/kWh

905 1,012

336%ENERGY SALES (GWh)

AttributableEnergy Sales

NET CAPACITY FACTOR

1H20091H2010

20

OPERATING HIGHLIGHTS – OIL

Therma Marine Ancillary Services NGCP and Therma Marine (for the Mindanao Grid)

– For a period of 1 year starting March 2010 (date of grant of provisional authority by the ERC), renewable with both parties’ consent

– To be terminated when spot market for ancillary services is established– Fixed capital recovery, O&M and energy fees with fuel cost a pass through

Contracted Capacity

100 MW100 MWFirm Basis (Capacity)

Non-firm Basis (Energy)

1H2010 Ancillary Services Revenue (P/kWh)

P7.81

P1.89

P5.92

Capital recovery, fixed O&M, energy fee

Fuel cost, pass through

21

OPERATING HIGHLIGHTS – OIL

698

699

699

700

700

701

701

702

702

1 11 21 31 41 51 61 71 81 91 101 111 121 131 141 151 161 171 181 191 201 211 221 231 241 251 261 271 281 291 301 311 321 331 341 351 361

2008 2009 2010 critical level shutdown

LAKE LANAO WATER LEVEL (in MASL)

22

OPERATING HIGHLIGHTS – OIL

Amounts in Million Pesos

RENEWABLE PLANTS 296%

OPERATING HIGHLIGHTS – GENERATION

PF BENEFIClAL EBITDA

23

1,015%

THERMAL PLANTS

574%

BENEFICIAL POWER SALES (Gwhr)

9%

BENEFICIAL GWHR SALES GROWTH(BY CUSTOMER TYPE)

9%

PEAK DEMAND (MW)

8%

6%

11%

OPERATING HIGHLIGHTS – DISTRIBUTION

24

*

1H2010 SYSTEMS LOSSGROSS MARGIN / KWHR SALE

OPERATING HIGHLIGHTS – DISTRIBUTION

* Adjusted for timing of transmission charge recovery ** 12 month average

*

**

25

San Fernando

Subic EnerZone

Davao Light

Visayan Electric

Cotabato Light

2010 Gov’t Cap – 8.50%

Mactan EnerZone

Balamban EnerZone

8%

PF Beneficial EBITDA

OPERATING HIGHLIGHTS – DISTRIBUTION

Amounts in Million Pesos

1H20091H2010

26

FINANCIAL CONDITION

27

BALANCE SHEET(In million Pesos)

Cash and Equivalents

YE2009

Total Assets

Total Interest Bearing Debt

Total Liabilities

Net Debt

Total Equity

Current Ratio

Net Debt to Equity

75

43,195

16,565

17,824

16,490

25,371

3.89

0.65

Investments and Advances 42,786

1H2010

2,066

38,916

11,775

15,440

8,555

23,476

5.28

0.36

36,489

PARENT

YE2009

3,815

111,341

67,755

76,294

63,940

35,047

0.68

1.82

24,800

1H2010

6,244

121,971

64,747

76,427

57,348

45,544

1.24

1.26

25,975

CONSOLIDATED

DEBT PROFILE – AP PARENT

Maturity Profile - PhPM(As of June 2010)

Breakdown by Tenor(As of June 2010)

Breakdown by Currency(As of June 2010)

28

Breakdown by Interest Rate(As of June 2010)

Long Term99.9%

Short Term0.1%

Peso100%

Fixed100%

PROJECT UPDATE: 42.5 MW SIBULAN HYDRO Target date for start of operations

− March 2010 for 26 MW plant (Plant B)− July 2010 for 16.5 MW plant (Plant A)

Capex spent as of end-1H2010 at P5.4 billion

PROJECT UPDATEPROJECT UPDATE: Generation Business

29

PROJECT UPDATE: 246 MW CEBU COAL

• Broke ground in January 2008. Completion dates as follows:

− Unit 1 in March 2010

− Unit 2 in May 2010

− Unit 3 in December 2010

• Contracted capacity at 120 MW

− 105 MW with VECO

− 15 MW with MECO

• Estimated capex as of end-1H2010 at P15.7 billion

PROJECT UPDATEPROJECT UPDATE: Generation Business

30

PROJECT UPDATE

31

PROJECT UPDATE: AMBUKLAO-BINGA

Total combined project cost of $280 million- $189 million for 75 MW Ambuklao + $10 million for new

headrace tunnel

- $81 million for 100 MW Binga

Target completion dates for Ambuklao- All three units by 4Q2011

- To increase capacity to 105 MW

Target completion dates for Binga - Unit 1: 2011

- Unit 2: 2012

- Unit 3: 2013

- Unit 4: 2014

- To increase capacity to 120 MW

Capex spent as of end-1H2010 at $185 million

PROJECT UPDATE: Generation Business

31

32

OUTLOOK: Generation Business

LUZON GRID Binga Hydro 20 MW

Subic Coal 300 MW

Pagbilao Coal 350 MW

MINDANAO GRID Tamugan Hydro 15 MW

Upper/Downstream Sibulan 15 MW

Mindanao Coal Expansion

− Davao 150 MW

− STEAG 150 MW (MOU signed)

IPP Administrator (IPPA) Contracts Unified Leyte Geothermal plants

(EDC) 550 MW, Visayas Grid

BROWN/GREENFIELD PRIVATIZATION

Earliest by July 2011 IPPA: Caliraya-Botokan-Kalayaan

(J Power) 728 MW, Luzon Grid

Asset sale: Agus Hydro 727 MW & Pulangi Hydro 255 MW, Mindanao Grid

− Restricted capacity per EPIRA

Annex A: 1H2010 EARNINGS BREAKDOWN

33

YEAR - TO - DATE FOR THE QUARTER%

INVESTEE OWNED ACTUAL ACTUAL ACTUAL ACTUALJUN 30/2010 2010 2009 2010 2009

Parent & Others (656.78) (86.68) (324.58) (105.77)Power Generation Group: HEDCOR, INC. 100.0% (132.83) 47.73 (57.03) 96.83 HEDCOR SIBULAN 100.0% 39.38 (0.14) 19.11 (0.09) LUZON HYDRO 50.0% 24.78 94.60 9.63 81.78 SNAP - MAGAT 50.0% 68.02 177.76 (152.29) 222.01 SNAP - BENGUET 50.0% 67.21 (77.19) 9.36 56.28 SOUTHERN PHILS. POWER 20.0% 23.05 16.43 9.50 8.30 WESTERN. MINDANAO POWER 20.0% 106.93 50.28 63.62 28.36 CEBU PRIVATE POWER CORP. 60.0% 100.86 123.57 48.04 63.52 EAST ASIA UTILITIES CORP. 50.0% 83.20 54.93 46.17 24.49

THERMA MARINE 100.0% 453.99 0.00 342.09 0.00 STEAG 34.0% 410.44 567.38 259.20 287.55 ABOVANT 60.0% 15.62 1.98 24.82 (0.41) THERMA LUZON 100.0% 6,504.15 0.00 2,203.73 0.00 AP RENEWABLES, INC. 100.0% 4,996.73 6.79 2,410.02 44.50 OTHERS 22.16 (16.81) 5.29 24.03

Sub-Total Power Generation 12,783.69 1,047.31 5,241.27 937.15Power Distribution Group: COTABATO LIGHT & POWER 99.93% 31.38 27.01 38.90 20.33 DAVAO LIGHT & POWER 99.93% 208.06 398.10 111.77 237.50 VISAYAN ELECTRIC CO. 55.19% 179.24 69.32 116.45 49.30 SFELAPCO 43.78% 21.41 12.92 24.24 15.16 SUBIC ENERZONE 99.97% 73.31 84.03 38.31 38.43 MACTAN ENERZONE 100.00% 46.43 31.68 24.21 17.59 BALAMBAN ENERZONE 100.00% 27.60 13.98 14.68 7.14

Sub-Total Power Distribution 587.43 637.03 368.55 385.45TOTAL NET INCOME 12,714.35 1,597.66 5,285.24 1,216.83

NET INCOME TO COMMON 12,714.35 1,597.66 5,285.24 1,216.83% increase (decrease) 696% 334%

CORE NET INCOME 12,870.51 1,865.44 5,845.40 1,375.38

% increase (decrease) 590% 325%

CORE NET INCOME, bef Finance Lease Accounting 15,378.68 1,865.44 7,111.76 1,375.38

724% 417%

CONTRACTED (ENERGY) CONTRACTED (CAPACITY)

SPOT MARKET

636%2,857

102%

336%

Geothermal

Hydro

Coal

Oil

403

814

302

1,314

388

Annex B: OPERATING HIGHLIGHTS - GENERATION

34

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

35

AGENDA

FOCUS 2020The Beginning

36

2,2202,196

1,3651,631

2Q09 2Q10 6M09 6M10

Net income(in million pesos)

Net income matched record performance last year,amid decline in asset yields

16%

1%

37

Net Interest Margin

Average Yield – Average Cost

4.2%

3.5% 3.5% 3.6%

2008 2009 6M09 6M10

7.4%6.4% 6.7%

6.0%

3.3% 2.9% 3.2%2.3%

2008 2009 6M09 6M10

Yield Cost

Margin inched up as lower average cost offset decline in yield

38

Earning assets expansion & lower funding cost, countered by lesser securities trading gains

Net Interest income(in million pesos)

Non-Interest Income(in million pesos)

3,5383,198

1,8181,752

2Q09 2Q10 6M09 6M10

4%

2,1612,400

1,3271,539

2Q09 2Q10 6M09 6M10

14%

11% 10%

39

167 173188

210213

86% 85%87% 86%

88%

100

150

200

250

300

2007 2008 2009 1H09 1H1060%

65%

70%

75%

80%

85%

90%

Earning assets (in billion pesos ) % to Total assets

Increasing share in earning assets

12%

Earning AssetsCAGR ‘00–‘09

21%

40

488625

882533

1,019747

169

169355

321

1,0261,093

2Q09 2Q10 6M09 6M10

Trading gain - net Service charges, fees & commissions Miscellaneous

Non-interest income(in million pesos)

2,1612,400

Pressure to maintain trading gains and service fees

1,5391,327

41

Operational expenses increase from business expansion

Operating expenses(in million pesos)

2,9372,781

1,3501,496

2Q09 2Q10 6M09 6M10

11%

6%

42

106.8

161.4

194.5173.6

193.6

2007 2008 2009 1H09 1H10

Outstanding deposits(in billion pesos)

CAGR‘00–‘09

26%

Onward to realization of FOCUS 2010 program

12%

43

42.8

60.066.2

57.870.2

2007 2008 2009 1H09 1H10

Growing credit portfolioLoans + Preferreds

(in billion pesos)

22%CAGR

‘00–‘0916%

44

13.9%15.7%

6M09 6M10

2.1%1.8%

6M09 6M10

Return on average assets

Return on average equity

2.0 1.9

6M09 6M10

Revenue to expense

Moderate key financial ratios

45

Capital adequacy ratio remains healthy, supportive of growth

11.4%

16.1%

12.9%

16.4% 15.7%

2007 2008 2009 1H09 1H10

Capital adequacy ratio (%)

46

RE-BASED STOCK PRICE PERFORMANCE (06/30/09 - 06/30/10)

75

100

125

150

175

200

PSEi Financial Index UnionBank

Outperformed stock market and financial sector indices price gain

Source: Bloomberg06/30/09= 100

47

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

48

AGENDA

3,130 3,295

1,699 1,458

789 1,248

536

66672

63

1H09 1H10Freight Passage AODI & SOI Service Fees Other Revenue

Higher international ship chartering businessHigher overall value-added business

REVENUES

P6.2BP6.7B

49

8%

1,653 1,712

961 871

315628

413

3443035

2Q09 2Q10

P3.4BP3.6B

6%

Amounts in Million Pesos

2,677 2,505

1,699

1,458

1H09 1H10

Freight Passage

REVENUES

P4.4BP4.0B

50

Amounts in Million Pesos

-9% reduction from lower operating capacity

-3 SuperFerry and 2 freighter vessels on drydock

-55 less voyages (compared to full operation)

43 42

6 11

2Q09 2Q10

FREIGHT

1H10

-Higher freighter volume

-Lower rate per teu

Freighter Volume in 000 TEUsRopax Volume in 000 TEUs

P21,486 / TEUP17,155 / TEU

8575

11 30

1H09 1H10

P20,808 / TEU

P17,020 / TEU

51

CAPACITIES

SuperFerry Operating Capacity

-Lower freight and passenger capacity because of lesser number of vessels

Unutilized Capacity in TEUsSuperFerry Volume in TEUs

1H09 1H10

89%

99%

1H09 1H10

89%

93%

Unutilized Capacity in PAXSuperFerry Volume in PAX

FREIGHT PASSAGE

52

PASSENGERROPAX

- 18% lower volume

- 8% lower rate

Pax volume in Ropax Pax volume in Fast craft 53

FASTCRAFT

- 65% higher volume

- 12% lower rate due to entrance of new ports, Bacolod and Bataan

Amounts in Thousand

1,228

1,012

1H09 1H10

P1,009/pax

P1,097/pax

1,118

676

1H09 1H10

P274/pax

P312/pax

'DEC09 'JUN10

Under constructionPallet Position

54

Value Added

- 38k pallet positions and expanding to 56k by Sep 2011- 100% utilization

24,000

56,000

36,000

757

329

2Q09 2Q10

EBITDA

55

P428M57%

Amounts in Million Pesos

1,213

423

1H09 1H10

P790M65%

15

20

25

30

35

40

Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec

FUEL 2008 FUEL 2009 FUEL 2010

VESSEL FUEL COSTS

• Total vessel fuel cost is P1.2B, 29% higher vs 1H09

• 40% higher average fuel price per litre

Price/litre

56

1H09 Avg rate P19/liter

1H10 Avg rate P26/liter

364

(11)

2Q09 2Q10

NET INCOME

57

(152)

496

1H09 1H10

P374M103%

P649M131%

Amounts in Million Pesos

Issued a 5-year corporate fixed rate notes facility

Acquisition and improvement of 3 Ropax vessels (P1.8B)

Vessel drydockings & renovations.

Interest Bearing Debt

Amounts in Million Pesos

1,392 1,320

2,023

52

'DEC09 'JUN10

Long term loansShort term Loans

P 1.4B

P 3.3B

P1.9B132%

58

• Total Assets increased 16% to P12.4B

• Cash & Cash Equivalents of P897.4M

• D/E ratio of 1.5:1.00 (Int. Bearing Debt / Equity of 0.66:1.00)

• Capital expenditures of P2.0B (P1.8B Vessel acquisition and improvements).

10,622

12,373

5,462

7,324

5,160 5,049

'DEC09 'JUN10

Assets Liabilities Equity

BALANCE SHEET

59

Amounts in Million Pesos

2GO Integration

60

Merging Zoom In Packages (ZIP) and Reefer Van Specialists (RVSI) with ATS

ZIP business focus is on full container load (FCL) and loose container load (LCL) cargo

RVSI business focuses on the cold chain business which involves the transport of frozen and perishable goods

Merging the companies will result in cost efficiencies and better synergies and ultimately serving customers better.

OUTLOOK

61

Vessel fleet of 22 from 13

Fully operating fleet for the next 30 months

More frequencies, more reliability, better service

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

62

AGENDA

3,140 3,202

1,945 2,399

444552

1H2009 1H2010

FINANCIAL HIGHLIGHTS

9M 2006REVENUE (in million pesos)

Flour Feeds Swine

63

6,1545,530 11%

1,584 1,618 1,611

1,077 1,323 1,039

266286

230

1Q10 2Q10 2Q09

2,9273,227

2,880

10% 12%

QUARTERLY BREAKDOWN

115

402224

337

46

127

1H2009 1H2010

FINANCIAL HIGHLIGHTS

NET INCOME (in million pesos)

Flour Feeds Swine

64

867

385

125%

124

279

98

185

152

128

64

64

22

1Q10 2Q10 2Q09

372

495

248

33% 99%

QUARTERLY BREAKDOWN

212

643299

425

86

189

1H2009 1H2010

FINANCIAL HIGHLIGHTS

EBITDA (in million pesos)

Flour Feeds Swine

65

1,267

597

110%

214

428

165

229

195

171

95

94

38

1Q10 2Q10 2Q09

539

718

374

33% 92%

QUARTERLY BREAKDOWN

OUTLOOK

66

Iligan: Feedmill 2• Construction completed in July 2010• Commissioning and start of commercial operation by August 2010• This additional production line has an estimated annual capacity of 115,000 metric

tons

Tarlac & Iligan Feedmill: • Launching of the newest game fowl line, Salto, in January 2010. • Documentation works for ISO certification of the two feed mill plants commence in

April 2010.

Bio-digester: • Nucleus and Farm 3 started operating in February 2010 while Farm 1 in May 2010.

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

67

AGENDA

CONSOLIDATED PROFIT & LOSS (In Million Pesos)

68

Revenues

Equity Earnings

EBITDA

Net Income

Core Net Income

2Q2009 2Q2010

10,896 24,436

1,442 1,021

3,828 10,054

2,023 5,035

% Ch

124%

-29%

163%

149%

2,143 5,463 155%

1H2009 1H2010

19,345 47,180

1,865 1,973

5,579 20,579

3,438 11,281

% Ch

144%

6%

269%

228%

3,008 11,401 279%

Core Net Income(Ex Pagbilao Effect)

2,143 6,430 200% 3,008 13,317 343%

NET INCOME (In Million Pesos)

Power Banking Transport Food Parent & Others

69

6,247

5,035

2,023

19% 149%

2Q RESULTS

NET INCOME (In Million Pesos)

70

11,281EPS = P2.04ROE = 53%

228%

1H RESULTS

3,438EPS = P0.62ROE = 19%

Power Banking Transport Food Parent & Others

CORE NET INCOME (In Million Pesos)

71

2Q RESULTS

8% 155%

Power Banking Transport Food Parent & Others

2,143

5,9385,463

Non-recurring loss of P428 mn

Parent:•P0.2 mn FX loss

Power•P428 mn FX loss

CORE NET INCOME (In Million Pesos)

72

Power Banking Transport Food Parent & Others

279%

3,008EPS = P0.54ROE = 16%

1H RESULTS

11,401EPS = P2.06ROE = 53%

Non-recurring loss of P120 mn

Parent:•P0.5 mn FX loss

Power•P119 mn FX loss

73

Power Banking Transport Food Parent & Others

CORE NET INCOME , Ex Pagbilao Effect (In Million Pesos)

2Q RESULTS

6,887

2,143

7% 200%6,430

AEV’s Share of Pagbilao Finance Lease Effect at P968 mn

+ P973 mn in accreted interest expense + P209 mn in depreciation expense- P215 mn PSALM payments

74

Power Banking Transport Food Parent & Others

CORE NET INCOME , Ex Pagbilao Effect (In Million Pesos)

343%

3,008EPS = P0.54ROE = 16%

1H RESULTS13,317EPS = P2.41ROE = 62%

AEV’s Share of Pagbilao Finance Lease Effect at P1,916 mn

+ P1,928 mn in accreted interest expense + P418 mn in depreciation expense- P430 mn PSALM payments

EARNINGS CONTRIBUTION (In Million Pesos)

75

Aboitiz Power Corp.

City Savings Bank

Union Bank

ATSC

Pilmico

2Q2009 2Q2010

925 4,038

16 35

641 550

281 (10)

% Ch

336%

112%

-14%

-104%

Net Income

Parent & Others

2,143 5,463 155%Core Net Income

2,023 5,035 149%

(89) (73) --

248 495 100%

1H2009 1H2010

1,215 9,714

30 61

869 903

384 (120)

% Ch

700%

105%

4%

-131%

3,008 11,401 279%

3,438 11,281 228%

554 (143) --

386 867 125%

2,143 6,430 200%Core Net Income(Ex Pagbilao Effect)

3,008 13,317 343%

5,579 5,679

20,579

17,334

EBITDA (Consolidated) EBITDA (Proforma)

1H2009 1H2010

EBITDA (In Million Pesos)

76

269% 205%

2,7072,728

DIVIDENDS RECEIVED (In Million Pesos)

77

Power Banking Transport Food Others

PARENT NET DEBT (In Million Pesos)

Parent net debt increased by 19% from end-2009 level

Cash & Equivalents

Long-term Debt

78

409%

61%

(In Million Pesos, except ratios)

Cash and Cash Equivalents

YE2009 1H2010 % Change

Total AssetsTotal Liabilities

Total Equity

Book Value Per ShareCurrent RatioDebt to EquityNet Debt to Equity

5,582

143,28188,639

54,642

8.090.791.621.28

8,327

157,34091,557

65,783

9.661.241.391.02

49%

10%3%

20%

CONSOLIDATED BALANCE SHEET / KEY RATIOS

79

• Overview

• Review of Business Units

• Aboitiz Power Corporation

• Union Bank of the Philippines

• Aboitiz Transport System

• Pilmico Foods Corporation

• AEV Financials

• Q&A

80

AGENDA

Second Quarter / First Half 2010Financial & Operating Results

6 August 2010

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