Cimpor Subsidiary Reports Financial Reports I. Corporation Noroeste, S.A. and Dependent Companies - 2010 II. Corporation Noroeste, S.A. and Dependent Companies - 2011 III. Cimpor Inversiones, S.A.U - 2010 IV. Cimpor Inversiones, S.A. - 2011 V. Cimpor Financial Operations B.V. Amestredam, The Netherlands - 2010 VI. Cimpor Financial Operations B.V. Amestredam, The Netherlands - 2011 Corporacion Noroeste, S.A. and Dependent Companies 2010 Consolidated Financial Statements for the year ended on 31 december 2010 Corporacion Noroeste, S.A. and Dependent Companies CORPORACIÓN NOROESTE GROUP 2 CONSOLIDATED BALANCE SHEET AT 31 DECEMBER 2010 (Notes 1, 2, 3 , 4 and 5) (Euros) ASSETS Notes 2010 2009 NON CURRENT ASSETS 606.140.485,74 652.737.658,53 Intangible assets. Note 6 130.668.142,03 143.090.093,78 Goodwill on consolidation 54.492.155,96 56.546.417,25 Other intangible assets 76.175.986,07 86.543.676,53 Tangible assets. Note 7 432.485.910,54 445.962.261,90 Land and buildings 234.923.248,82 229.089.693,13 Plant and other fixed assets 187.501.828,68 210.381.309,33 Construction in progress and advances 10.060.833,04 6.491.259,44 Long term investments in Group companies and associates. Note 8 17.991.197,26 38.264.192,10 Equity instruments 13.596,54 13.596,31 Investments accounted for using the equity method 16.734.654,72 28.019.027,44 Loans to Group companies - 9.778.622,35 Loans to companies accounted for using the equity method. 1.242.946,00 452.946,00 Long term investments. 862.060,40 855.797,22 Loans to third parties 2.733,43 2.703,38 Other financial assets 859.326,97 853.093,84 Deferred tax assets. Note 13 4.984.450,40 4.718.146,78 Long term accruals. Note 8 19.148.725,11 19.847.166,75 CURRENT ASSETS 150.166.179,54 149.116.671,78 Non current assets held for sale. Note 8 11.859.958,51 - Inventories. Note 9 45.793.509,37 45.660.456,79 Trade and other receivables. 69.948.238,52 90.352.117,16 Trade receivables for sales and services. 60.710.233,19 81.596.673,77 Group companies. Note 16 206.788,86 427.876,86 Companies accounted for using the equity method. Note 16 1.986.708,39 2.167.291,01 Receivable from public authorities Note 13 4.882.579,58 997.050,24 Other accounts receivable. 2.161.928,50 5.163.225,28 Short term investments in Group companies and associates. Note 16 5.330.297,82 1.594.966,68 Loans to group companies. 5.330.297,82 1.594.966,68 Short term investments 4.975,71 4.342,11 Short term accruals 268.608,11 245.276,53 Cash and cash equivalents 16.960.591,50 11.259.512,51 TOTAL ASSETS 756.306.665,28 801.854.330,31 The accompanying Notes 1 to 18 are an integral part of the consolidated balance sheet at 31 December 2010. 3 CONSOLIDATED BALANCE SHEET AT 31 DECEMBER 2010 (Notes 1, 2, 3 , 4 and 5) (Euros) EQUITY AND LIABILITIES Notes 2010 2009 EQUITY Note 10 155.746.046,01 167.541.676,25 Shareholders' equity. 141.683.674,16 153.577.097,77 Assets. 26.162.160,00 26.162.160,00 Issue premium. 12.031,56 12.031,56 Reserves. 127.908.992,03 126.453.537,94 Profit for the year attributable to parent company. (12.399.509,43) 949.368,27 Consolidated income statement. (12.355.834,61) 673.445,99 (Profit and loss external partners). (43.674,82) 275.922,28 Grants, donations or gifts and legacies received. 4.476.271,11 3.390.925,13 Consolidated companies. 4.476.271,11 3.390.925,13 External partners. 9.586.100,74 10.573.653,35 NON CURRENT LIABILITIES 431.618.773,85 476.855.946,07 Long term provisions. Note 11 14.718.926,48 14.875.128,82 Non current payables. Note 12 47.013,06 149.981.998,10 Bank borrowings and other financial liabilities. - 149.928.567,83 Other financial liabilities. 47.013,06 53.430,27 Long term payables to Group companies and associates. 374.211.017,45 276.412.874,29 Payables to Group companies. Note 16 374.211.017,45 276.412.874,29 Deferred tax liabilities. Note 13 42.641.816,86 35.585.944,86 CURRENT LIABILITIES 168.941.845,42 157.456.707,99 Short term provisions. Note 11 21.305.270,43 25.973.100,10 Current payables. Note 12 5.678.910,64 64.134.799,25 Bank borrowings and other financial liabilities. 2.856.797,19 46.710.271,72 Other financial liabilities. 2.821.614,28 17.424.527,53 Short term payables to Group companies and associates. Note 16 84.518.286,98 2.783.506,13 Other liabilities. 84.518.286,98 2.783.506,13 Trade and other payables. 57.357.674,25 64.396.961,42 Payable to suppliers. 49.613.325,90 54.704.239,46 Payable to suppliers, Group companies. Note 16 2.159.909,59 3.057.379,23 Payable to suppliers, companies accounted for using the equity method. Note 16 - 233.767,52 Payable to public authorities. Note 13 2.455.238,15 2.477.500,67 Other payables. 3.129.200,61 3.924.074,54 Short term accruals. 81.703,12 168.341,09 TOTAL EQUITY AND LIABILITIES 756.306.665,28 801.854.330,31 The accompanying Notes 1 to 18 are an integral part of the consolidated balance sheet at 31 December 2010. CORPORACIÓN NOROESTE GROUP CONSOLIDATED INCOME STATEMENT 4 FOR THE YEAR ENDED 31 DECEMBER 2010 (Notes 1, 2, 3, 4 and 5) (Euros) CONTINUING OPERATIONS Notes 2010 2009 Revenue. Notes 14 and 16 272.700.231,63 328.923.653,06 Sales. 269.837.809,63 323.600.163,62 Services. 2.862.422,00 5.323.489,44 Variation in inventories of finished products and work in progress. 1.427.847,75 (2.578.758,78) In-house work on non current assets. 40.444,97 99.209,94 Procurements. Note 14 (95.169.514,99) (104.449.930,23) Consumption of goods. (15.557.695,24) (22.115.674,13) Cost of raw materials and other consumables used. (64.716.931,20) (70.803.758,50) Work performed by other companies (14.791.805,96) (11.530.497,60) Deterioration of goods, raw materials and other supplies (103.082,59) - Other operating income. 4.922.192,30 1.081.989,32 Non core and other current operating income. 2.726.609,89 1.040.160,57 Income-related grants transferred to profit or loss. 2.195.582,41 41.828,75 Personnel expenses. Note 15 (55.796.469,55) (63.499.373,62) Wages, salaries and similar expenses. (43.592.323,01) (49.828.322,50) Employee benefit costs. (12.204.146,54) (13.671.051,12) Other operating expenses. Note 14 (119.312.478,89) (142.886.508,58) Losses on, impairment of and change in allowances for trade receivables. (385.597,11) (3.506.223,08) Other current operating expenses. (118.926.881,78) (139.380.285,50) Depreciation and amortization charge. Notes 6 and 7 (40.053.388,11) (42.256.232,80) Allocation to profit or loss of grants related to non-financial assets and other grants. 21.574.226,83 27.124.425,31 Oversupply. - (22.037,10) Impairment and gains or losses on disposals of non-current assets. 1.333.318,27 4.267.948,32 Damage and loss. Note 6 (737.038,71) - Income from disposals or other components Note 17 2.070.356,98 4.267.948,32 OPERATING INCOME (8.333.589,79) 5.804.384,84 Financial revenue. 3.028.959,66 4.665.897,63 From investments in equity instruments. 17.139,67 31.405,79 From marketable securities and other financial instruments of Group Companies and Associates Note 16 686.588,50 891.482,76 From marketable securities and other financial instruments of third parties Note 17 2.325.231,49 3.743.009,08 Finance cost. (11.777.782,58) (11.565.916,53) Of Group companies and associates Note 16 (7.246.355,52) (7.822.079,48) Of third parties Note 12 (4.531.427,06) (3.743.837,05) Exchange differences. (215,09) 98.824,63 Impairment and gains or losses on disposals of financial instruments. 64.030,97 379.067,37 Impairments and losses. 64.030,97 379.067,37 FINANCIAL LOSS (8.685.007,04) (6.422.126,90) Share of the profit or loss of equity method investments. Note 8 (324.744,14) (766.026,17) RESULTS BEFORE TAX (17.343.340,97) (1.383.768,23) Income tax Note 13 4.987.506,36 2.057.214,22 CONSOLIDATED NET INCOME (12.355.834,61) 673.445,99 Income attributed to parent company (12.399.509,43) 949.368,27 Income attributed to minority interests Note 10 43.674,82 (275.922,28) The accompanying Notes 1 to 18 are an integral part of the consolidated income statement for the year 2010. CORPORACIÓN NOROESTE GROUP 5 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2010 (NOTES 1, 2, 3, 4 and 5) A) CONSOLIDATED STATEMENT OF RECOGNIZED INCOME AND EXPENSE FOR THE YEAR ENDED 31 DECEMBER 2010.