UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the month of December 2006
MASISA S.A. |
(formerly known as Terranova S.A.) |
|
MASISA S.A. |
(formerly known as Terranova S.A.) |
|
Republic of Chile |
(Jurisdiction of incorporation or organization) |
|
Av. Apoquindo 3650, Piso 10, Las Condes |
(Address of principal executive offices) |
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
| Form 20-F | x |
| Form 40-F | o |
|
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2 (b) under the Securities Exchange Act of 1934.
| Yes | o |
| No | x |
|
If yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2 (b): 82
On March 1st, 2006 the registrant filed a report with the Superintendencia de Valores y Seguros de Chile (Chilean Superintendent of Securities and Insurance) which included information of the registrant’s financial statements and results of its operations for the three month period ended on December 31, 2006. Attached is a free translation of the financial statements and results of operations from the original document in Spanish. The financial information included in this report was prepared according to the generally accepted accounting principles in Chile and does not include reconciliation to generally accepted accounting principles in the United States.
2
MASISA S.A.
( Free translation from the original in Spanish)
|
| As of December 31 st , |
| ||||
|
|
| |||||
CONSOLIDATED BALANCE SHEET |
| 2006 |
| 2005 |
| ||
|
|
| |||||
ASSETS |
|
|
|
|
|
|
|
Total current assets |
|
| 475,351 |
|
| 526,650 |
|
Cash and Banks |
|
| 16,705 |
|
| 11,987 |
|
Time deposits |
|
| 29,388 |
|
| 82,906 |
|
Marketable securities (net) |
|
| 956 |
|
| 2,424 |
|
Accounts receivable (net) |
|
| 125,107 |
|
| 100,072 |
|
Notes receivable (net) |
|
| 10,130 |
|
| 13,165 |
|
Sundry debtors |
|
| 18,814 |
|
| 20,371 |
|
Notes and accounts receivable from related companies |
|
| 7,378 |
|
| 5,296 |
|
Inventories (net) |
|
| 185,777 |
|
| 222,465 |
|
Recoverable taxes |
|
| 62,237 |
|
| 52,585 |
|
Prepaid expenses |
|
| 6,504 |
|
| 8,036 |
|
Deferred taxes |
|
| 9,876 |
|
| 2,138 |
|
Other current assets |
|
| 2,479 |
|
| 5,205 |
|
Leasing Contracts (net) |
|
| 0 |
|
| 0 |
|
Assets for Leasing(net) |
|
| 0 |
|
| 0 |
|
Total fixed assets |
|
| 1,557,348 |
|
| 1,455,997 |
|
Lands |
|
| 142,758 |
|
| 132,130 |
|
Buildings and infrastructure |
|
| 220,140 |
|
| 210,582 |
|
Machinery and equipment |
|
| 849,262 |
|
| 839,037 |
|
Other fixed assets |
|
| 757,249 |
|
| 641,686 |
|
Goodwill from technical reappraisal of fixed asset |
|
| 7,390 |
|
| 7,390 |
|
Depreciation (less) |
|
| -419,451 |
|
| -374,828 |
|
Total other assets |
|
| -16,365 |
|
| -16,726 |
|
Investments in related companies |
|
| 4,651 |
|
| 4,060 |
|
Investments in other companies |
|
| 206 |
|
| 207 |
|
Goodwill |
|
| 1,165 |
|
| 1,249 |
|
Negative goodwill (less) |
|
| -58,352 |
|
| -53,460 |
|
Long term debtors |
|
| 4,113 |
|
| 4,901 |
|
Long term notes and accounts receivable from related companies |
|
| 1,406 |
|
| 0 |
|
Long term deferred taxes |
|
| 0 |
|
| 0 |
|
Intangible assets |
|
| 267 |
|
| 122 |
|
Amortization (less) |
|
| -41 |
|
| -22 |
|
Others |
|
| 30,220 |
|
| 26,217 |
|
Leasing Contracts (net) |
|
| 0 |
|
| 0 |
|
|
|
|
| ||||
TOTAL ASSETS |
|
| 2,016,334 |
|
| 1,965,921 |
|
|
|
|
|
The accompanying Notes N° 1 to 32 are a fundamental part of these consolidated financial statements.
3
MASISA S.A.
(Free translation from the original in Spanish)
|
| As of December 31 st , |
| ||||
|
|
| |||||
CONSOLIDATED BALANCE SHEET |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Total current liabilities |
|
| 267,348 |
|
| 475,767 |
|
Short term obligations to banks and financial institutions |
|
| 65,529 |
|
| 115,121 |
|
Short term portion of long term obligations to banks and financial institutions |
|
| 52,787 |
|
| 76,032 |
|
Obligations to the public -short-term portion (promissory note) |
|
| 0 |
|
| 0 |
|
Obligations to the public -short-term portion (bonds) |
|
| 32,937 |
|
| 185,286 |
|
Long term obligations due within one year |
|
| 0 |
|
| 1 |
|
Dividends payable |
|
| 473 |
|
| 323 |
|
Accounts payable |
|
| 52,260 |
|
| 52,441 |
|
Notes payable |
|
| 707 |
|
| 881 |
|
Sundry creditors |
|
| 2,069 |
|
| 1,406 |
|
Notes and accounts payable to related companies |
|
| 5,451 |
|
| 3,450 |
|
Provisions |
|
| 31,742 |
|
| 21,574 |
|
Withholdings |
|
| 14,244 |
|
| 11,324 |
|
Income tax |
|
| 8,823 |
|
| 7,455 |
|
Revenue received in advance |
|
| 279 |
|
| 231 |
|
Deferred Taxes |
|
| 0 |
|
|
|
|
Other current liabilities |
|
| 47 |
|
| 242 |
|
Total long-term liabilities |
|
| 542,069 |
|
| 333,806 |
|
Obligations to banks and financial institutions |
|
| 170,944 |
|
| 135,524 |
|
Long term obligations to the Public (bonds) |
|
| 274,112 |
|
| 137,961 |
|
Notes payable Long Term |
|
| 0 |
|
| 0 |
|
Long term sundry creditors |
|
| 74 |
|
| 244 |
|
Notes and accounts payable to related companies Long Term |
|
| 0 |
|
| 0 |
|
Long term Provisions |
|
| 1,662 |
|
| 1,418 |
|
Long term Deferred taxes |
|
| 77,957 |
|
| 38,694 |
|
Other long term liabilities |
|
| 17,320 |
|
| 19,965 |
|
Minority interest |
|
| 20,562 |
|
| 60,116 |
|
Total shareholders’ equity |
|
| 1,186,355 |
|
| 1,096,232 |
|
Paid/up capital stock |
|
| 812,880 |
|
| 769,834 |
|
Capital revaluation reserve |
|
| 0 |
|
| 0 |
|
Overcharge in company share sales |
|
| 0 |
|
| 0 |
|
Other reserves |
|
| 219,494 |
|
| 188,477 |
|
Retained Earnings |
|
| 153,981 |
|
| 137,921 |
|
Reserves future dividends |
|
| 51,424 |
|
| 51,424 |
|
Accumulated profits |
|
| 73,072 |
|
| 60,128 |
|
Accumulated losses (less) |
|
| 0 |
|
| 0 |
|
Net income (loss) for the period |
|
| 29,485 |
|
| 26,369 |
|
Interim dividends (less) |
|
| 0 |
|
| 0 |
|
Accumulated deficit for development period |
|
| 0 |
|
| 0 |
|
|
|
|
| ||||
Total liabilities |
|
| 2,016,334 |
|
| 1,965,921 |
|
|
|
|
|
4
MASISA S.A.
(Free translation from the original in Spanish)
|
| As of December 31 st , |
| ||||
|
|
| |||||
CONSOLIDATED INCOME STATEMENT |
| 2006 |
| 2005 |
| ||
|
|
| |||||
OPERATING RESULT |
|
| 83,579 |
|
| 81,393 |
|
GROSS MARGIN |
|
| 207,551 |
|
| 193,987 |
|
Operating Income |
|
| 886,507 |
|
| 743,488 |
|
Operating costs (less) |
|
| -678,956 |
|
| -549,501 |
|
Selling and administrative expenses (less) |
|
| -123,972 |
|
| -112,594 |
|
NON /OPERATING RESULT |
|
| -45,997 |
|
| -50,481 |
|
Financial Income |
|
| 8,716 |
|
| 3,939 |
|
Net income on investments in related companies |
|
| 613 |
|
| 720 |
|
Other non operating income |
|
| 6,898 |
|
| 2,799 |
|
Loss on investments in related companies (less) |
|
| 0 |
|
| 0 |
|
Amortization of goodwill (less) |
|
| -85 |
|
| -791 |
|
Financial expenses (less) |
|
| -35,371 |
|
| -38,251 |
|
Other non/operating expenses (less) |
|
| -15,883 |
|
| -8,489 |
|
Price/level restatements |
|
| 628 |
|
| 555 |
|
Exchange Differences |
|
| -11,513 |
|
| -10,963 |
|
Result before income taxes and extraordinary items |
|
| 37,582 |
|
| 30,912 |
|
Income taxes |
|
| -23,344 |
|
| -13,621 |
|
Extraordinary Items |
|
|
|
|
|
|
|
Net income (loss) before minority interests |
|
| 14,238 |
|
| 17,291 |
|
Minority interests |
|
| 10,695 |
|
| 5,690 |
|
Net Income (Loss) |
|
| 24,933 |
|
| 22,981 |
|
Amortization negative goodwill |
|
| 4,552 |
|
| 3,388 |
|
|
|
|
| ||||
NET INCOME (LOSS) FOR THE PERIOD |
|
| 29,485 |
|
| 26,369 |
|
|
|
|
|
The accompanying Notes N° 1 to 32 are a fundamental part of these consolidated financial statements.
5
MASISA S.A.
(Free translation from the original in Spanish)
|
| As of December 31 st , |
| ||||
|
|
| |||||
CONSOLIDATED STATEMENT OF CASH FLOW -DIRECT |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Net cash flow from operating activities |
|
| 132,035 |
|
| 103,762 |
|
Collection of accounts receivable |
|
| 1,230,899 |
|
| 879,940 |
|
Financial income received |
|
| 36,851 |
|
| 2,592 |
|
Dividends and other distributions received |
|
| 0 |
|
| 0 |
|
Other income received |
|
| 29,742 |
|
| 31,001 |
|
Payments of suppliers and personnel (less) |
|
| -1,053,794 |
|
| -748,178 |
|
Interest paid (less) |
|
| -78,138 |
|
| -27,764 |
|
Income tax paid (less) |
|
| -11,346 |
|
| -11,550 |
|
Other expenses paid (less) |
|
| -2,229 |
|
| -4,305 |
|
V.A.T. and similar paid (less) |
|
| -19,950 |
|
| -17,974 |
|
Cash flow from financing activities |
|
| -32,963 |
|
| 36,610 |
|
Placement of shares |
|
| 44,012 |
|
| 75,383 |
|
Loans drawn |
|
| 242,536 |
|
| 125,121 |
|
Bonds |
|
| 162,965 |
|
| 0 |
|
Documented loans from related companies |
|
| 0 |
|
| 0 |
|
Other loans from related companies |
|
| 73 |
|
| 1,396 |
|
Other financing sources |
|
| 0 |
|
| 0 |
|
Dividends paid (less) |
|
| -11,491 |
|
| -52,111 |
|
Distribution of capital (less) |
|
| 0 |
|
| 0 |
|
Loans repaid (less) |
|
| -291,108 |
|
| -82,901 |
|
Bonds paid (less) |
|
| -178,338 |
|
| -26,594 |
|
Repayment of documented loans from related companies (less) |
|
| 0 |
|
| 0 |
|
Repayment of other loan form related companies (less) |
|
| -709 |
|
| -71 |
|
Stock issuance and placement expenses (less) |
|
| -903 |
|
| -3,613 |
|
Bond issuance and placement expenses (less) |
|
| 0 |
|
| 0 |
|
Other financing disbursements (less) |
|
| 0 |
|
| 0 |
|
Net cash flow from investment activities |
|
| -149,868 |
|
| -101,044 |
|
Sales of fixed assets |
|
| 1,565 |
|
| 2,193 |
|
Sales of permanent investments |
|
| 0 |
|
|
|
|
Sales of other investments |
|
| 1,698 |
|
|
|
|
Collection of documented loans to related companies |
|
| 0 |
|
|
|
|
Collection of other loans to related companies |
|
| 0 |
|
|
|
|
Other investment income |
|
| 2,877 |
|
|
|
|
Acquisition of fixed assets (less) |
|
| -121,843 |
|
| -67,289 |
|
Interest capitalized repaid (less) |
|
| -6,936 |
|
| -5,877 |
|
Permanent investments (less) |
|
| -27,229 |
|
| -29,890 |
|
Investments in financial instruments (less) |
|
| 0 |
|
|
|
|
Documented loans to related companies (less) |
|
| 0 |
|
|
|
|
Other loans to related companies (less) |
|
| 0 |
|
|
|
|
Other investment disbursements (less) |
|
| 0 |
|
| -181 |
|
Net total cash flow for the period |
|
| -50,796 |
|
| 39,328 |
|
|
|
|
| ||||
Effect of inflation on cash and cash equivalents |
|
| -13 |
|
|
|
|
|
|
|
| ||||
Net variation in cash and cash equivalents |
|
| -50,809 |
|
| 39,328 |
|
|
|
|
| ||||
Initial balance of cash and cash equivalents |
|
| 97,858 |
|
| 58,530 |
|
|
|
|
| ||||
Final balance of cash and cash equivalents |
|
| 47,049 |
|
| 97,858 |
|
|
|
|
|
The accompanying Notes N° 1 to 32 are a fundamental part of these consolidated financial statements.
6
MASISA S.A.
(Free translation from the original in Spanish)
|
| As of December 31 st , |
| ||||
|
|
| |||||
RECONCILIATION OF NET INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Net income (loss) for the period |
|
| 29,485 |
|
| 26,369 |
|
Results on sales of assets: |
|
| -31 |
|
| -60 |
|
(Profit) loss on sales of fixed assets |
|
| -31 |
|
| -767 |
|
Profit on sales of investments (less) |
|
| 0 |
|
| 0 |
|
Loss on sales of investments |
|
| 0 |
|
| 0 |
|
(Profit) loss on sales of other assets |
|
| 0 |
|
| 707 |
|
Charges (credits) to income not affecting cash flow: |
|
| 82,808 |
|
| 87,599 |
|
Depreciation for the period |
|
| 50,563 |
|
| 50,952 |
|
Amortization of intangible assets |
|
| 439 |
|
| 874 |
|
Write/off and provisions |
|
| 5,995 |
|
| 3,085 |
|
Income from investment in related companies (less) |
|
| -613 |
|
| -720 |
|
Loss on investment in related companies |
|
| 0 |
|
| 0 |
|
Amortization of goodwill |
|
| 85 |
|
| 791 |
|
Amortization of negative goodwill (less) |
|
| -4,552 |
|
| -3,388 |
|
Net price/level restatements |
|
| -628 |
|
| -555 |
|
Net exchange difference |
|
| 11,513 |
|
| 10,963 |
|
Other credit to income not affecting cash flow (less) |
|
| -64 |
|
| -30 |
|
Other charges to income not affecting cash flow |
|
| 20,070 |
|
| 25,627 |
|
Changes in assets affecting cash flow (increases) decreases: |
|
| 26,857 |
|
| -15,139 |
|
Accounts receivable |
|
| -1,825 |
|
| 8,034 |
|
Inventories |
|
| 45,892 |
|
| -25,363 |
|
Other assets |
|
| -17,210 |
|
| 2,190 |
|
Changes in liabilities affecting cash flow (increases) decreases: |
|
| 3,611 |
|
| 10,683 |
|
Accounts payable related to operating income |
|
| -19,545 |
|
| 5,572 |
|
Interest payable |
|
| 2,434 |
|
| -3,160 |
|
Net income taxes payable |
|
| 3,185 |
|
| 5,467 |
|
Other accounts payable related to non/operating income |
|
| 6,715 |
|
| 332 |
|
Net value added tax and similar payable |
|
| 10,822 |
|
| 2,472 |
|
Profit (loss) of minority interest |
|
| -10,695 |
|
| -5,690 |
|
|
|
|
| ||||
Net cash flow from operating activities |
|
| 132,035 |
|
| 103,762 |
|
|
|
|
|
The accompanying Notes N° 1 to 32 are a fundamental part of these consolidated financial statements,
7
MASISA S.A.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31 ST, 2006 AND 2005
(Free translation from the original in Spanish)
NOTE 1: INSCRIPTION IN THE SECURITIES REGISTER
Masisa S.A. is an open corporation whose shares are listed on the stock market, It was inscribed in the Securities Register with the number 0825 on March 24, 2004 and is subject to the regulatory authority of the Chilean Superintendency of Securities and Insurance and the United States Securities and Exchange Commission.
NOTE 2: SIGNIFICANT ACCOUNTING PRINCIPLES APPLIED
a) Accounting period
The consolidated financial statements cover the periods from January 1 to December 31, 2006 and 2005.
b) Preparation
These consolidated financial statements have been prepared in accordance with accounting principles generally accepted in Chile and the instructions of the Superintendency of Securities and Insurance, In the event of differences between the two, the instructions of the Superintendency of Securities and Insurance prevail.
c) Presentation
These financial statements are presented in United States dollars, The figures for the previous year are not therefore restated for comparison purposes.
Certain reclassifications have been made in 2005 for a better interpretation of these financial statements.
d) Basis of Consolidation
These consolidated financial statements include assets, liabilities, results, and cash flows at the closing of each period related to the Parent Company and its subsidiaries, The effects of transactions and unrealized results among the consolidating companies have been eliminated, and the ownership interest of minority investors is shown as Minority Interest.
e) Price-level Restatement
The indirect subsidiaries that carry their accounting figures in Chilean pesos, have adjusted their financial statements in order to recognize the effects on the variation of the price level restatement of that currency in the respective period, For these effects, the current legal dispositions have been applied, which establish that non currency assets and liabilities must be updated with effects on results, The applied index was the official Consumer Price Index, published by the National Statistics Institute (Instituto Nacional de Estadísticas) on a previous month basis, had a variation of 2.1% in 2006 (3.6% in 2005).
f) Currency translation
The Company is authorized to keep its accounts in United States dollars, The dollar is used as the common unit of account so the balances of assets and liabilities in different currencies have been expressed in US dollars at the exchange rates at the end of each period, Exchange differences are charged/credited to income.
8
At December 31, 2006 and 2005, the principal exchange rates against the US dollar were:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Chilean peso |
|
| 532.3900 |
|
| 512.5000 |
|
Real |
|
| 2.1380 |
|
| 2.3364 |
|
Bolivars |
|
| 2,150.0000 |
|
| 2.150,0000 |
|
Argentinean Peso |
|
| 3.0620 |
|
| 3.0250 |
|
Colombian Peso |
|
| 2,238.7900 |
|
| 2,284.2200 |
|
Mexican Peso |
|
| 10.8755 |
|
| 10.6108 |
|
Euro |
|
| 0.7886 |
|
| 0.8470 |
|
Unidad de Fomento |
|
| 0.0290 |
|
| 0.0285 |
|
g) Time deposits and Marketable securities
Time deposits are shown at their investment value plus indexation adjustments and accrued interest to the end of the period, Marketable securities relate to investments in mutual funds units shown at their respective redemption values at the period-end.
h) Inventories
- Products being processed and finished products are shown at their production cost, under the cost-by-absorption method.
- Standing forests are shown at the forestry appraisal value of the plantations that are expected to be harvested during the following year.
- Wood pieces, pulp wood and native wood are shown at average production cost or at cost, as the case may be.
- Materials, spares, supplies, etc at their average cost.
- Imports in transit at cost
The value of the inventories does not exceed their net estimated realization or replacement value, as the case may be.
It is the Company’s policy to make allowances for the obsolescence of materials and spares and for the reduced value of finished products when they show certain aspects like:
- Replacement of old machinery or spares for unused machines
- Little alternative use of materials or spares with a low stock turnover.
- Possible loss of commercial value of finished products due to deterioration in lengthy storage.
as compared to the standards demanded by the market.
9
i) Estimate of doubtful accounts
The Company’s policy is to make allowances for all accounts in judicial recovery and specific allowances for accounts outstanding.
j) Fixed Assets
Forest Plantations
Forest plantations are valued in accordance with the technical appraisal made by forestry engineers, Any incremental value so determined over the book value, that includes the financing cost during the growth period, has been credited to Forest reserve in Shareholders’ equity, The appraisal values have been determined on the basis of a formation cost value for young plantations and the estimated commercial value of standing timber for adult plantations.
Plantations expected to be harvested during the following year, based on a production plan, are shown in Inventories in Current assets.
Fixed assets, excluding plantations
Fixed assets are shown at their cost of acquisition or construction, or at their technical appraisal value, as the case may be, which includes financing costs during the construction period and the principal renovations or improvements, Maintenance and repair costs are charged to income in the period in which they are incurred.
Relatively expensive spares are depreciated over the expected useful lives of the associated principal assets, while those that are consumed periodically are charged to production costs as soon as they are utilized.
Fixed assets that are temporally not in use at the period-end have been shown in Other fixed assets.
Technical appraisal
The technical appraisals were made in the form and periods set out in Circulars 1529, 1571 and 428 of the Superintendency of Securities and Insurance and are current at the date of these financial statements, No other technical appraisals have been booked.
k) Depreciation of fixed assets
Fixed assets, excluding the plantations, are depreciated under the straight-line method over the estimated useful lives of the assets.
l) Intangible assets
The Company’s intangible assets, mainly water rights, are shown at their cost and are being amortized over a period of 40 years, as established in Technical Bulletin 55 of the Chilean Institute of Accountants.
m) Investments in related companies
Investments in related companies are shown at their proportional equity value, determined on the basis of their respective financial statements at the end of each period.
Foreign investments are adjusted to accounting principles generally accepted in Chile and translated to the company’s functional currency, as required by Technical Bulletin 64 of the Chilean Institute of Accountants.
10
The investments in national branches that take their accounting in Chileans pesos, are controlled in this currency and expressed in US dollars at the closing of each period. The appraisement differences due to conversion to dollars, that are not originated by the results of the Company, are adjusted in the equity account Conversion differences reserve, inside the item Other reserves.
n) Goodwill and negative goodwill
This represents the difference between the acquisition cost and proportional equity value of the investment at the time of purchase, These differences are amortized over the terms indicated in the Note - Goodwill and negative goodwill.
ñ) Financial transactions under resale agreements
Purchases of securities under resale agreements are shown at their present value calculated using the discount rate used for determining the price of each instrument at the time of its acquisition, and are shown in Current assets under Other assets.
o) Bonds payable
These relate to the placement of bearer bonds in Chile, valued at their initial face value plus indexation and interest accrued to the end of each period, The difference between the initial face value and the placement value is shown as a deferred asset which is being amortized on a straight-line basis over the term of the obligation.
p) Income tax and deferred taxes
The Company records its tax liabilities in accordance with current tax legislation
The effects of deferred taxes resulting from timing differences between the financial and tax balance sheet are shown taking into account the tax rate current at the estimated time of reversal, as established in Technical Bulletin 60 of the Chilean Institute of Accountants, The effects of deferred taxes at the time of the implementation of that bulletin (January 2000) and not previously recognized, have been deferred and are being amortized against income over the estimated term for the reversal of the item originating the timing difference.
q) Severance payments
At December 31 the 2006 the Company has constituted provisions in order to cover the existent obligations with some unions that have a compensation benefit guaranteed by retirement.
Provisions are made for the severance payments that the Company has to pay in any event under individual or group work contracts, according to the present value of the benefit using the accrued cost method, with an annual discount rate of 7% and a permanence ratio in line with years of service with the Company.
r) Sales
Sales are recorded at the time of the transfer of the goods or provision of services and relate to sales of products made by the Company and third parties, Sales prices are determined by conditions in the destination markets and are shown net of related taxes, price discounts and other things that directly affect their determination.
11
s) Derivative contracts
The Company has interest rate and currency swap contracts with financial institutions, These were defined as hedging of forecasted transactions and are shown as established in Technical Bulletin 57 of the Chilean Institute of Accountants.
The fair value of these instruments has been shown in Other assets or Other liabilities depending on whether they are receivable from or payable to the respective financial institution.
Unrealized gains corresponding to outstanding contracts of existing items have been shown in Other liabilities and the results realized have been taken to Financial expenses or Exchange differences, depending on the nature of the swap hedge.
In those cases where it is confirmed that the hedge taken was ineffective, the contracts have been treated as investment instruments.
t) Computer software
The software currently used by the Company was acquired from SAP Chile S.A. and consists of the SAP R/3 system, version 4,6 C, which is being amortized over 4 years.
u) Research and Development expenses
Research and development expenses are charged to the results of the year in which they are incurred, No significant disbursements have been made by the Company for this purpose, since the creation of the Company.
v) Statement of cash flows
Cash and cash equivalents are considered to be its low-risk, short-term investments made as part of its normal cash management and which can be quickly converted into known amounts of cash, with the intention to make such conversion within 90 days.
Cash flows from operating activities include all such cash flows related to the Company’s business, including interest paid and received, dividends received and in general all those flows that are not otherwise defined as related to investment or financing, The operating concept used in this statement is broader than that used in the Statement of income.
w) Share issue costs
In accordance with the instructions given in Circular 1370 of the Superintendency of Securities and Insurance and its later modification (Circular 1736), share issue and placement costs were shown in an account called “Share issue and placement costs”, deducted from Reserves in Shareholders’ equity.
12
The following is a list of the consolidated subsidiaries:
|
|
|
|
| Ownership as of |
| ||||||||||
|
|
|
|
|
| |||||||||||
|
|
|
|
|
| 12/31/2006 |
| 12/31/2005 |
| |||||||
|
|
|
|
|
|
|
| |||||||||
RUT |
|
| Company |
| Direct |
| Indirect |
| Total |
| Total |
| ||||
|
|
|
|
|
|
| ||||||||||
99537270-3 |
|
| INVERSIONES INTERNACIONALES TERRANOVA S.A. |
|
| 60.0000 |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
81507700-8 |
|
| FORESTAL TORNAGALEONES S.A. |
|
| 94.9061 |
|
| 0.0000 |
|
| 94.9061 |
|
| 94.9061 |
|
79959070-0 |
|
| MASISA INVERSIONES LIMITADA |
|
| 0.0000 |
|
| 0.0000 |
|
| 0.0000 |
|
| 100.0000 |
|
79616940-0 |
|
| MASISA CONCEPCIÓN LIMITADA |
|
| 0.0000 |
|
| 0.0000 |
|
| 0.0000 |
|
| 100.0000 |
|
79554560-3 |
|
| INVERSIONES CORONEL LIMITADA |
|
| 0.0000 |
|
| 0.0000 |
|
| 0.0000 |
|
| 100.0000 |
|
77790860-K |
|
| MASISA PARTES Y PIEZAS LIMITADA |
|
| 99.8000 |
|
| 0.2000 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| MASISA OVERSEAS LIMITED |
|
| 100.0000 |
|
| 0.0000 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| MADERAS Y SINTÉTICOS DEL PERÚ S.A.C. |
|
| 99.0114 |
|
| 0.8897 |
|
| 99.9011 |
|
| 99.9011 |
|
Foreign |
|
| MASISA USA, INC. |
|
| 25.1200 |
|
| 44.9280 |
|
| 70.0480 |
|
| 70.0480 |
|
Foreign |
|
| MADERAS Y SINTÉTICOS SERVICIOS S.A. DE C.V. |
|
| 99.0000 |
|
| 1.0000 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| MASISA ECUADOR S.A. |
|
| 99.9000 |
|
| 0.1000 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| MASISA DO BRASIL LTDA. |
|
| 98.3907 |
|
| 1.6093 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| MADERAS Y SINTÉTICOS MÉXICO S.A. DE C.V. |
|
| 99.9999 |
|
| 0.0001 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| TERRANOVA PANAMÁ S.A. |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
Foreign |
|
| TERRANOVA DE VENEZUELA S.A. |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
Foreign |
|
| COFORVEN S.A. |
|
| 0.0000 |
|
| 59.9700 |
|
| 59.9700 |
|
| 59.9700 |
|
Foreign |
|
| FORESTAL TERRANOVA MEXICO S.A. DE C.V. |
|
| 0.0000 |
|
| 59.9940 |
|
| 59.9940 |
|
| 59.9940 |
|
Foreign |
|
| CORPORACIÓN FORESTAL GUAYAMURE C.A. |
|
| 0.0000 |
|
| 51.0000 |
|
| 51.0000 |
|
| 51.0000 |
|
Foreign |
|
| MASISA MADEIRAS LTDA. |
|
| 0.0000 |
|
| 59.9940 |
|
| 59.9940 |
|
| 59.9940 |
|
Foreign |
|
| MASISA COLOMBIA S.A. |
|
| 0.0000 |
|
| 59.9940 |
|
| 59.9940 |
|
| 59.9940 |
|
Foreign |
|
| CORPORACIÓN FORESTAL IMATACA C.A. |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
Foreign |
|
| ANDINOS C.A. |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
Foreign |
|
| FORESTAL ARGENTINA S.A. |
|
| 0.0000 |
|
| 93.6530 |
|
| 93.6530 |
|
| 30.2874 |
|
Foreign |
|
| MASISA ARGENTINA S.A. |
|
| 98.0000 |
|
| 2.0000 |
|
| 100.0000 |
|
| 100.0000 |
|
Foreign |
|
| FIBRANOVA C.A. |
|
| 0.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
| 60.0000 |
|
Foreign |
|
| MASNOVA DE MEXICO S.A. DE C.V. |
|
| 0.0000 |
|
| 80.0000 |
|
| 80.0000 |
|
| 80.0000 |
|
Foreign |
|
| CC MAS S.A DE C.V. |
|
| 0.0000 |
|
| 100.0000 |
|
| 100.0000 |
|
| 0.0000 |
|
13
NOTE 03 - CHANGES IN ACCOUNTING PRINCIPLES
During the period ended on December 31st, 2006, there have been no changes in the use of accounting principles, relevant changes in any accounting estimate or changes related to the reporting entity with regard to the previous year that may significantly affect the interpretation of these consolidated financial statements.
14
NOTE 04 – SHORT AND LONG TERM ACCOUNTS RECEIVABLE
The detail of debtors for sales, detailed by the country of the corporation that has the account to be collected is:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
- Chile |
|
| 32,194 |
|
| 25,628 |
|
- Venezuela |
|
| 12,287 |
|
| 7,578 |
|
- Brasil |
|
| 23,586 |
|
| 15,924 |
|
- Argentina |
|
| 5,744 |
|
| 4,419 |
|
- México |
|
| 28,289 |
|
| 24,706 |
|
- Colombia |
|
| 2,889 |
|
| 3,441 |
|
- Estados Unidos |
|
| 16,419 |
|
| 15,601 |
|
- Ecuador |
|
| 1,465 |
|
| 1,698 |
|
- Perú |
|
| 2,234 |
|
| 1,077 |
|
|
|
|
| ||||
Total |
|
| 125,107 |
|
| 100,072 |
|
|
|
|
|
|
| Current |
| |||||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
| Less than 90 days |
| More than 90 and less than 1 year |
| Sub-Total |
| Current Total (net ) |
| Long Term |
| |||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| |||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Account receivable |
|
| 115,764 |
|
| 92,231 |
|
| 14,955 |
|
| 12,136 |
|
| 130,719 |
|
| 125,107 |
|
| 100,072 |
|
| 1,971 |
|
| 1,101 |
|
Uncollectible receivables estimate |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 5,612 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes receivable |
|
| 10,085 |
|
| 11,717 |
|
| 595 |
|
| 2,440 |
|
| 10,680 |
|
| 10,130 |
|
| 13,165 |
|
| 751 |
|
|
|
|
Uncollectible receivables estimate |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 550 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Sundry debtors |
|
| 15,986 |
|
| 14,328 |
|
| 3,136 |
|
| 6,349 |
|
| 19,122 |
|
| 18,814 |
|
| 20,371 |
|
| 1,391 |
|
| 3,800 |
|
Uncollectible receivables estimate |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 308 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total Long |
|
| 4,113 |
|
| 4,901 |
|
15
NOTE 05 – BALANCES AND TRANSACTIONS WITH RELATED COMPANIES
The accounts receivable with related companies, correspond mainly to sales of products. These sales are expressed in US dollars.
Payment conditions are subject to cash flows from the respective companies.
Commercial accounts receivable are subject to normal market conditions and terms.
a) Notes and Accounts Receivable
|
|
|
|
| Corto Plazo |
| Largo Plazo |
| ||||||||
|
|
|
|
|
|
| ||||||||||
RUT |
|
| Sociedad |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||
|
|
|
|
|
|
| ||||||||||
0-E |
|
| OXINOVA C.A |
|
| 6,151 |
|
| 4,862 |
|
| 0 |
|
| 0 |
|
0-E |
|
| AMANCO TUBOSISTEMAS HONDURAS |
|
| 279 |
|
| 112 |
|
| 0 |
|
| 0 |
|
0-E |
|
| AMANCO BRASIL LIMITADA |
|
| 221 |
|
| 0 |
|
| 1,406 |
|
| 0 |
|
0-E |
|
| PLYCEM CONSTRUSISTEMAS COSTA RICA S.A. |
|
| 517 |
|
| 140 |
|
| 0 |
|
| 0 |
|
0-E |
|
| PLYCEM CONSTRUSISTEMAS EL SALVADOR |
|
| 51 |
|
| 55 |
|
| 0 |
|
| 0 |
|
0-E |
|
| PLYCEM CONSTRUSISTEMAS GUATEMALA S.A. |
|
| 77 |
|
| 117 |
|
| 0 |
|
| 0 |
|
0-E |
|
| PLYCEM CONSTRUSISTEMAS NICARAGUA |
|
| 82 |
|
| 10 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
| ||||||||
TOTALES |
|
|
|
|
| 7,378 |
|
| 5,296 |
|
| 1,406 |
|
| 0 |
|
|
|
|
|
|
|
|
|
|
b) Notes and accounts payables from related companies:
|
|
|
| Short-Term |
| Long-Term |
| |||||||||
|
|
|
|
|
| |||||||||||
RUT |
| Company |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| |||||
|
|
|
|
|
|
| ||||||||||
Foreign |
|
| OXINOVA C.A |
|
| 4,628 |
|
| 3,033 |
|
| 0 |
|
| 0 |
|
Foreign |
|
| TEK BOARD OVERSEAS, INC |
|
| 823 |
|
| 417 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
| ||||||||
TOTALES |
|
|
|
|
| 5,451 |
|
| 3,450 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
|
16
c) Related Party Transactions and balance:
|
|
|
|
|
|
|
|
|
|
| 31-12-2006 |
| 31-12-2005 |
| ||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||
Company |
| RUT |
| Relationship Nature |
| Description of Transaction |
| Amount |
| Effect on Income, Charge (credit) |
| Amount |
| Effect on Income, Charge (credit) |
| |||||||
|
|
|
|
|
|
|
| |||||||||||||||
OXINOVA C.A |
|
| Foreign |
|
| Merged |
|
| Services rendered |
|
| 72 |
|
| 72 |
|
| 82 |
|
| 82 |
|
OXINOVA C.A |
|
| Foreign |
|
| Merged |
|
| Buys of products |
|
| 20,448 |
|
| -20,448 |
|
| 18,230 |
|
| -18,230 |
|
OXINOVA C.A |
|
| Foreign |
|
| Merged |
|
| Land rent |
|
| 12 |
|
| 12 |
|
| 14 |
|
| 14 |
|
OXINOVA C.A |
|
| Foreign |
|
| Merged |
|
| Sales of products |
|
| 1,427 |
|
| 433 |
|
| 0 |
|
| 0 |
|
PLYCEM CONSTRUSISTEMAS GUATEMALA S.A. |
|
| Foreign |
|
| Common Parent |
|
| Sales of products |
|
| 544 |
|
| 212 |
|
| 278 |
|
| 106 |
|
PLYCEM CONSTRUSISTEMAS COSTA RICA S.A. |
|
| Foreign |
|
| Common Parent |
|
| Sales of products |
|
| 1,062 |
|
| 340 |
|
| 798 |
|
| 279 |
|
PLYCEM CONSTRUSISTEMAS HONDURAS S.A. |
|
| Foreign |
|
| Common Parent |
|
| Sales of products |
|
| 51 |
|
| 6 |
|
| 0 |
|
| 0 |
|
PLYCEM CONSTRUSISTEMAS NICARAGUA S.A. |
|
| Foreign |
|
| Common Parent |
|
| Sales of products |
|
| 361 |
|
| 119 |
|
| 82 |
|
| 29 |
|
PLYCEM CONSTRUSISTEMAS EL SALVADOR S.A. |
|
| Foreign |
|
| Common Parent |
|
| Sales of products |
|
| 424 |
|
| 153 |
|
| 95 |
|
| 35 |
|
17
NOTE 06 – INVENTORIES
Inventories as of December 31, 2006 and 2005 include the following:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Finished and process products |
|
| 107,395 |
|
| 141,528 |
|
Standing Timber |
|
| 33,526 |
|
| 30,857 |
|
Materials, spares, supplies & others |
|
| 44,856 |
|
| 50,080 |
|
|
|
|
| ||||
TOTAL |
|
| 185,777 |
|
| 222,465 |
|
|
|
|
|
Inventories are shown net of allowance for ThUS$ 6,366(ThUS$ 5,376 in 2005).
NOTE 07 – DEFERRED TAXES AND INCOME TAXES
a) Income tax
At December 31, 2006 the Company made no provision for income tax as it has total accumulated tax losses of ThUS$196,959 (ThUS$292,235 at December 31, 2005).
b) Deferred taxes
As required by Technical Bulletins 60, 68, 69 and 71 of the Chilean Institute of Accountants and Circular 1,466 of the Superintendency of Securities and Insurance, the Company showed deferred taxes arising from timing differences, tax losses and other events that create differences between the accounting and tax treatment of assets and liabilities, shown in the following table.
c) The result of income tax, generated by each country, is as follows:
Country |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Chile |
|
| (3,790 | ) |
| 5,652 |
|
Argentina |
|
| (8,295 | ) |
| (6,261 | ) |
Brazil (1) |
|
| (8,344 | ) |
| (9,246 | ) |
USA |
|
| (1,465 | ) |
| (775 | ) |
Peru |
|
| (796 | ) |
| (671 | ) |
Colombia |
|
| (1,313 | ) |
| (885 | ) |
Others |
|
| 659 |
|
| (1,435 | ) |
|
|
|
| ||||
Total |
|
| (23,344 | ) |
| (13,621 | ) |
(1) | The income tax in the Brazilian companies is strongly influenced by the variation between the Real currency and the US dollar, which generates exchange difference in the local accounting, when reevaluating the liabilities in US dollars (nearly THUS$150,000). The variation registered in the real in this period is 8.66% (11.82% in 2005). |
18
Deferred Taxes.
|
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||||||||||||
|
|
|
| ||||||||||||||||||||||
|
| Assets deferred taxes |
| Liabilities deferred taxes |
| Assets deferred taxes |
| Liabilities deferred taxes |
| ||||||||||||||||
|
|
|
|
|
| ||||||||||||||||||||
|
| Short Term |
| Long Term |
| Short Term |
| Long Term |
| Short Term |
| Long Term |
| Short Term |
| Long Term |
| ||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
Temporary Differences |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for uncollectible accounts |
|
| 1,544 |
|
| 0 |
|
| 0 |
|
| 42 |
|
| 1,173 |
|
|
|
|
|
|
|
|
|
|
Anticipated income |
|
| 48 |
|
| 0 |
|
| 0 |
|
| 0 |
|
|
|
|
| 130 |
|
|
|
|
|
|
|
Vacation provisions |
|
| 835 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 656 |
|
|
|
|
|
|
|
|
|
|
Amortization of intangible assets |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Leasing assets |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Manufacturing expenses |
|
| 0 |
|
| 0 |
|
| 980 |
|
| 0 |
|
|
|
|
|
|
|
| 1,115 |
|
|
|
|
Fixed assets depreciation |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 34,374 |
|
|
|
|
|
|
|
|
|
|
| 31,769 |
|
Severance payment |
|
| 7 |
|
| 48 |
|
| 0 |
|
| 0 |
|
| 18 |
|
|
|
|
|
|
|
| 6 |
|
Others events |
|
| 2,467 |
|
| 1,882 |
|
| 0 |
|
| 2,214 |
|
| 1,231 |
|
| 2,444 |
|
| 18 |
|
| 451 |
|
Expenses paid in advance |
|
| 0 |
|
| 0 |
|
| 68 |
|
| 103 |
|
|
|
|
|
|
|
| 130 |
|
| 60 |
|
Fixed assets provision |
|
| 0 |
|
| 1,451 |
|
| 0 |
|
| 0 |
|
|
|
|
| 1,049 |
|
|
|
|
|
|
|
Obsolescence provision |
|
| 660 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 340 |
|
|
|
|
|
|
|
|
|
|
Other provisions |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 16,715 |
|
|
|
|
|
|
|
|
|
|
| 10,251 |
|
Forestry Reserve |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 59,590 |
|
| 0 |
|
|
|
|
|
|
|
| 48,682 |
|
Tax losses |
|
| 7,555 |
|
| 80,733 |
|
| 0 |
|
| 0 |
|
| 504 |
|
| 99,044 |
|
|
|
|
|
|
|
Cost of activated funding |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 6,149 |
|
|
|
|
|
|
|
|
|
|
| 7,021 |
|
Non realized profits provision |
|
| 675 |
|
| 205 |
|
| 0 |
|
| 0 |
|
|
|
|
| 346 |
|
| 422 |
|
|
|
|
Activated expenses, plantations |
|
| 0 |
|
| 0 |
|
| 1,005 |
|
| 15,445 |
|
|
|
|
|
|
|
| 64 |
|
| 17,730 |
|
Others |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance for Complementary assets net of amortization |
|
| 0 |
|
| 1,110 |
|
| 0 |
|
| 27,093 |
|
| 35 |
|
| 1,469 |
|
|
|
|
| 28,584 |
|
Valuation provisions |
|
| 1,862 |
|
| 53,627 |
|
|
|
|
|
|
|
| 0 |
|
| 52,852 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
Total |
|
| 11,929 |
|
| 29,582 |
|
| 2,053 |
|
| 107,539 |
|
| 3,887 |
|
| 48,692 |
|
| 1,749 |
|
| 87,386 |
|
|
|
|
|
|
|
|
|
|
|
19
Income Taxes:
Items |
| 31-12-2006 |
| 31-12-2005 |
| ||
|
|
| |||||
Regular tax expense (tax provision) |
|
| -13,154 |
|
| -11,240 |
|
Tax expenses adjustment (previous period) |
|
| -213 |
|
| -954 |
|
Effect for assets and liabilities for deferred taxes of the period |
|
| -5,623 |
|
| -4,371 |
|
Tax credit due to tax loss |
|
| -434 |
|
| -16,545 |
|
Effect for amortization of deferred assets and liabilities complementary accounts |
|
| -950 |
|
| -1,442 |
|
Effect on assets and liabilities of deferred taxes for the changes in the valuating provisions |
|
| -2,637 |
|
| 19,192 |
|
Other charges and credits in the account |
|
| -333 |
|
| 1,739 |
|
|
|
|
| ||||
Total |
|
| -23,344 |
|
| -13,621 |
|
|
|
|
|
20
NOTE 08 - FIXED ASSETS
Goods related to fixed assets are valued as described in note 2 and are summarized as follows:
|
| 2006 |
| 2005 |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Book value |
| Cumulative |
| Net Fixed |
| Book value |
| Cumulative |
| Net Fixed |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
Fixed assets |
| THUS$ |
| THUS$ |
| THUS$ |
| THUS$ |
| THUS$ |
| THUS$ |
| ||||||
|
|
|
|
|
|
| |||||||||||||
Lands |
|
| 142,758 |
|
| — |
|
| 142,758 |
|
| 132,130 |
|
| — |
|
| 132,130 |
|
Building and infrastructure |
|
| 220,140 |
|
| (74,650 | ) |
| 145,490 |
|
| 210,582 |
|
| (67,469 | ) |
| 143,113 |
|
Machinery and equipment |
|
| 849,262 |
|
| (299,521 | ) |
| 549,741 |
|
| 839,037 |
|
| (262,286 | ) |
| 576,751 |
|
Other fixed assets |
|
| 757,249 |
|
| (40,973 | ) |
| 716,276 |
|
| 641,686 |
|
| (40,795 | ) |
| 600,891 |
|
-Plantations |
|
| 630,042 |
|
| — |
|
| 630,042 |
|
| 564,236 |
|
| — |
|
| 564,236 |
|
-Other fixed assets |
|
| 127,207 |
|
| (40,973 | ) |
| 86,234 |
|
| 77,450 |
|
| (40,795 | ) |
| 36,655 |
|
Negative Goodwill Technical Reappraisal: |
|
| 7,390 |
|
| (4,307 | ) |
| 3,083 |
|
| 7,390 |
|
| (4,278 | ) |
| 3,112 |
|
- Land |
|
| 2,672 |
|
| — |
|
| 2,672 |
|
| 2,672 |
|
| — |
|
| 2,672 |
|
- Building and infrastructure |
|
| 4,718 |
|
| (4,307 | ) |
| 411 |
|
| 4,718 |
|
| (4,278 | ) |
| 440 |
|
|
|
|
|
|
|
|
| ||||||||||||
Total |
|
| 1,976,799 |
|
| (419,451 | ) |
| 1,557,348 |
|
| 1,830,825 |
|
| (374,828 | ) |
| 1,455,997 |
|
|
|
|
|
|
|
|
|
Depreciation for the year |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Effect on Income |
|
|
|
|
|
|
|
From Operations |
|
| 45,578 |
|
| 46,065 |
|
Administrative Expenses |
|
| 3,928 |
|
| 3,974 |
|
Non-operating |
|
| 797 |
|
| 652 |
|
Activated |
|
|
|
|
|
|
|
Negative Goodwill Plantations |
|
| 260 |
|
| 261 |
|
|
|
|
| ||||
Total |
|
| 50,563 |
|
| 50,952 |
|
|
|
|
|
Plantations:
In the case of plantations, the book value includes forest appraisals conducted by forestry engineers, This value is distributed among plantations under fixed assets and forests in exploitation classified as inventories.
The Company and its subsidiaries in its forestry line of business, have recognized as of closing of their business periods a greater value of their forests and plantations, which is included in the forest plantation with payoff in the forest reserve presented under the Net Assets and has been determined though a comparison of the valorization described in Note 2.
21
Greater value of fixed assets due to real financial costs regarding plantations’ financing according to what is indicated in note 2 reached the amount of THUS$6,936 as of December 31st, 2006,(THUS $5,182 in 2005) in addition, there was a activation by currency exchange difference of THUS$402 (THUS$1,275 in 2005).
Forestry subsidies:
The forestry subsidies received by Masisa S.A. are credited to the forestry subsidies account which is shown deducted from Plantations, and amounts to ThUS$5,305 at December 31, 2006 (ThUS$5,686 at December 31, 2005).
Accounting values provisions and inactive assets:
The Company has constituted a provision in order to adjust the countable value of one of its agglomerate lines, this because the projections of its operations, reveal that the net flows that this line would generate in the future would not cover the respective charges due to depreciations. This provision was re-evaluated and adjusted during the present exercise, whose effect in results was of THUS$3,038 and its presented net of the assets that gave it origin.
Additionally, the company has temporarily inactive goods in some of its plants, For these assets the company maintains a provision, depreciation is shown under other non-operating expenses.
In this sense, during the 2006 exercise, provisions were constituted in order to reflect the market value of a molding plant in Venezuela, whose effect in results was THUS $ 2,150 that show up in Other expenditures outside the operation in the Income Statement.
22
NOTE 09 - INVESTMENTS IN RELATED COMPANIES
In order to establish the book value of investments, unrealized profits from operations with related companies have been eliminated.
In 2003, the Company included in its investments, liabilities in UF’s equivalent to UF1,108,969, according to what is established in Technical Bulletin No, 64 of the Chilean Institute of Accountants, resulting in an accumulated restatement as of December 31, 2006 of THUS$11,853 (THUS$12,553 in 2005).
Investment sales
- | Dated June 10th, 2005, the subsidiary Masisa Inversiones Ltda. sells, gives, and transfers to Puerto’s del Pacific S.A. the totality of shares that it held in Inversiones Industrials S.A. for an amount of US$10,000. |
|
|
- | Dated June 10th, 2005, the subsidiary Inversiones Coronel Ltda. sells, gives, and transfers to Puerto’s del Pacific S.A. the totality of shares that it held in the company Forestal Calle Calle S.A. for the amount of US$1. |
|
|
These companies discontinued its proportional value method due to the fact that their net worth were negative and, by which, their results were recognized until they covered the investment, Therefore, the value of this sale was entirely recorded in the result. |
|
|
|
|
|
|
|
| Investment Control Currency |
|
|
|
| Participation % |
| Shareholder’s Equity |
| |||||||||
|
|
|
|
|
|
|
|
| Number of shares |
|
|
| |||||||||||||
|
| Company |
| Country |
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
Foreign |
|
| OXINOVA S.A. |
|
| VENEZUELA |
|
| DÓLARES |
|
| 1,963,564 |
|
| 49.00 |
|
| 49.00 |
|
| 9,492 |
|
| 8,285 |
|
|
|
|
|
|
|
|
| Investment Control Currency |
| Net Income for the period |
| Shareholder’s Equity to just value |
| Net Income to just value |
| |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||||
|
| Company |
| Country |
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Foreign |
|
| OXINOVA S.A. |
|
| VENEZUELA |
|
| DÓLARES |
|
| 1,250 |
|
| 1,493 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
| Investment Control Currency |
| Net Income Accrued |
| VP/VPP |
| Unrealized Result |
| Book value of investment |
| |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||
|
| Company |
| Country |
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||
Foreign |
|
| OXINOVA S.A. |
|
| VENEZUELA |
|
| DÓLARES |
|
| 613 |
|
| 720 |
|
| 4,651 |
|
| 4,060 |
|
| 0 |
|
| 0 |
|
| 4,651 |
|
| 4,060 |
|
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 4,651 |
|
| 4,060 |
|
| 0 |
|
| 0 |
|
| 4,651 |
|
| 4,060 |
|
23
NOTE 10. INVESTMENT IN OTHER COMPANIES.
It corresponds to shares in other companies and they are valorized at cost value:
LOCALS |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Unión El Golf S.A. |
|
| 92 |
|
| 92 |
|
C.Plagas Forestales |
|
| 26 |
|
| 26 |
|
Copelec Ltda. |
|
| 20 |
|
| 20 |
|
Cooperativa Forestal |
|
| 4 |
|
| 4 |
|
OTHER INVESTMENTS |
|
| 21 |
|
| 22 |
|
|
|
| 165 |
|
| 166 |
|
FOREIGNERS |
|
|
|
|
|
|
|
CLUB ITALO |
|
| 38 |
|
| 38 |
|
Club Portuguez |
|
| 3 |
|
| 3 |
|
|
|
| 41 |
|
| 41 |
|
|
|
|
| ||||
TOTAL |
|
| 206 |
|
| 207 |
|
|
|
|
|
24
NOTE 11 – GOODWILL AND NEGATIVE GOODWILL
Goodwill
The purchase of the subsidiary Masisa Cabrero S.A., formerly Fibranova S.A., by the former Masisa S.A., generated goodwill for the Company which it is expected to amortize over 20 years in view of the expected returns from that subsidiary.
Negative goodwill
The purchase of 43.16% of the former Masisa S.A. by Forestal Terranova S.A. (company merged with the former Terranova S.A.) in July 2002 and of 0.544% in June 2003, generated a negative goodwill for the Company which it is intended to amortize over 15 years, taking into account that the assets of that company are mainly industrial and have an average useful life similar to that period.
The purchase by Forestal Terranova S.A. (company merged with the former Terranova S.A.) in October 2003 of 40.00% of Terranova S.A. generated negative goodwill which it is intended to amortize over 20 years.
The participation of the former Masisa S.A. in the capital increase of June 27, 2002 of Forestal Tornagaleones S.A., generated negative goodwill which it is intended to amortize over 20 years.
On November 15, 2005, Masisa S.A. bought 9,987,400 shares, equivalent to 34.35% of Forestal Tornagaleones S.A., generating negative goodwill that it is being amortized over the remaining period of the original term, that is 20 years.
In January 2006 Forestal Tornagaleones S.A. purchased 22,406,455 shares, equivalent to 48.6% of Forestal Argentina, generating a Negative goodwill that it is being amortized in 20 years.
Goodwill
|
|
|
|
| 31-12-2006 |
| 31-12-2005 |
| ||||||||
|
|
|
|
|
|
| ||||||||||
RUT |
| Company |
| Amortization Amount for the Period |
| Goodwill |
| Amortization Amount for the Period |
| Goodwill |
| |||||
|
|
|
|
|
| |||||||||||
96623490-3 |
|
| MASISA CABRERO S.A. |
|
| 85 |
|
| 1,165 |
|
| 85 |
|
| 1,249 |
|
Foreign |
|
| MASISA USA, INC |
|
| 0 |
|
| 0 |
|
| 706 |
|
| 0 |
|
|
|
| TOTAL |
|
| 85 |
|
| 1,165 |
|
| 791 |
|
| 1,249 |
|
Negative Goodwill
|
|
|
|
| 31-12-2006 |
| 31-12-2005 |
| ||||||||
|
|
|
|
|
|
| ||||||||||
RUT |
| Company |
| Amortization Amount for the Period |
| Negative Goodwill |
| Amortization Amount for the Period |
| Negative Goodwill |
| |||||
|
|
|
|
|
| |||||||||||
81507700-8 |
|
| FORESTAL TORNAGALEONES S.A. |
|
| 855 |
|
| 12,622 |
|
| 163 |
|
| 13,480 |
|
92257000-0 |
|
| MASISA S.A. (ANTIGUA) |
|
| 2,766 |
|
| 29,301 |
|
| 2,766 |
|
| 32,067 |
|
96802690-9 |
|
| TERRANOVA S.A. |
|
| 335 |
|
| 5,703 |
|
| 335 |
|
| 6,039 |
|
Foreign |
|
| CORPORACIÓN FORESTAL GUAYAMURE C.A. |
|
| 124 |
|
| 1,751 |
|
| 124 |
|
| 1,874 |
|
Foreign |
|
| FORESTAL ARGENTINA S.A. |
|
| 472 |
|
| 8,975 |
|
| 0 |
|
| 0 |
|
|
|
| TOTAL |
|
| 4,552 |
|
| 58,352 |
|
| 3,388 |
|
| 53,460 |
|
25
NOTE 12 – INTANGIBLES
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
SAP License |
|
| 160 |
|
| — |
|
Renovation of Masisa Brand abroad. |
|
| 24 |
|
|
|
|
Water Rights |
|
| 53 |
|
| 122 |
|
Other |
|
| 30 |
|
| — |
|
Total |
|
| 267 |
|
| 122 |
|
Amortization |
|
| -41 |
|
| -22 |
|
Net Total Intangibles |
|
| 226 |
|
| 100 |
|
26
NOTE 13 - OTHER (ASSETS)
As of December 31ST, 2006 and 2005, respectively, the following are the balances of Other Assets:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Market value of swaps |
|
| 5,842 |
|
| 2,370 |
|
Goodwill and expenses for placing bonds (1) |
|
| 5,080 |
|
| 7,443 |
|
Bond issue & placement costs (1) |
|
| 5,918 |
|
| 2,416 |
|
Goods for Sale |
|
| 1,047 |
|
| 657 |
|
Inactive Goods |
|
| 273 |
|
| — |
|
Exploitation rights (2) (3) |
|
| 10,321 |
|
| 10,759 |
|
Others |
|
| 1,739 |
|
| 2,572 |
|
|
|
|
| ||||
Total |
|
| 30,220 |
|
| 26,217 |
|
|
|
|
|
(1) | Net of Amortization |
|
|
(2) | In May 1997, subsidiary Terranova de Venezuela S.A. pre-paid the lease of a CVG-Proforca sawmill amounting to US$10 millions to enter the forestry business in Venezuela. Since the lease of the above sawmill was critical for negotiating purchase agreements for 59,000 hectares of Caribbean wood plantations and thus enter the forestry business in Venezuela, the Company’s Management classified the pre-paid lease as a forest exploitation right, since it considered it as part of the exploitation rights, The items described will be amortized based on the cubic meters (m3) obtained from the forest product that will be produced by the Terranova de Venezuela S.A.’s forest over a period of 20 years (starting from 1997), estimated in 13,168,000 m3. |
|
|
(3) | In fiscal year ended December 31, 2000, Terranova de Venezuela S.A. acquired from its subsidiary Coforven S.A., exploitation rights for 236,000 m3/year of wood and a sawmill for THUS$3,324. Exploitation rights will be amortized based on the volume of m3 of forest products that will be produced by the forest for supplying the plants. Goodwill balance from the investment in Coforven recorded in the accounting books amounted to THUS$987 as of the sale date, which was included as part of the cost of exploitation rights, since Terranova de Venezuela S.A. is acquiring a significant share of Coforven S.A.’s productive assets. The asset value and exploitation rights were sold at reasonable market values and unrealized results were eliminated. |
27
NOTE 14 – BANK AND FINANCIAL INSTITUTIONS SHORT-TERM OBLIGATIONS
Short Term (code 5.21.10.10)
|
| Bank or financial institution |
|
|
|
|
| Tipes of currency and index reaudjustment |
|
|
|
|
|
|
|
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
RUT |
|
| US Dollar |
| Euro |
| Yen |
| Other foreign currency |
| UF |
| ThCh$ no adjustment |
| TOTAL | |||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||
|
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
97041000-7 |
| BANKBOSTON N.A. |
| 0 |
| 23,143 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 23,143 |
97023000-9 |
| BANCO CORPBANCA |
| 0 |
| 9,064 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 9,064 |
97004000-5 |
| BANCO DE CHILE |
| 0 |
| 5,030 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 5,030 |
97051000-1 |
| BANCO DEL DESARROLLO |
| 0 |
| 3,042 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,042 |
97008000-7 |
| CITIBANK N.A. |
| 0 |
| 13,372 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 13,372 |
97919000-K |
| ABN AMRO BANK |
| 3,701 |
| 8,046 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 5,102 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,701 |
| 13,148 |
Foreign |
| BANCO BBVA |
| 0 |
| 3,022 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,022 |
Foreign |
| BANCO ITAU BBA S.A. |
| 615 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 615 |
| 0 |
Foreign |
| HSBC BANK USA |
| 0 |
| 4,668 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 4,668 |
Foreign |
| BANCO MERCANTIL |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 26,835 |
| 16,339 |
| 0 |
| 0 |
| 0 |
| 0 |
| 26,835 |
| 16,339 |
Foreign |
| BANCO PROVINCIAL |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 8,423 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 8,423 |
| 0 |
Foreign |
| BANCO DE VENEZUELA |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 19,370 |
| 24,293 |
| 0 |
| 0 |
| 0 |
| 0 |
| 19,370 |
| 24,293 |
Foreign |
| CITIBANK VENEZUELA |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 6,585 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 6,585 |
| 0 |
|
| Others |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
| Total |
| 4,316 |
| 69,387 |
| 0 |
| 0 |
| 0 |
| 0 |
| 61,213 |
| 45,734 |
| 0 |
| 0 |
| 0 |
| 0 |
| 65,529 |
| 115,121 |
|
| Principal owed |
| 3,729 |
| 68,800 |
| 0 |
| 0 |
| 0 |
| 0 |
| 59,472 |
| 45,456 |
| 0 |
| 0 |
| 0 |
| 0 |
| 63,201 |
| 114,256 |
|
| Rate |
| 2.63 | % | 4.64 | % |
|
|
|
|
|
|
|
| 10.86 | % | 14.28 | % |
|
|
|
|
|
|
|
|
|
|
|
Long Term - Short Term (code 5.21.10.20)
28
Porcentaje obligaciones moneda extranjera (%) |
|
| 48.26% |
|
Porcentaje obligaciones moneda nacional (%) |
|
| 51.74% |
|
|
| Bank or financial institution |
|
|
|
|
| Tipes of currency and index reaudjustment |
|
|
|
|
|
|
|
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
RUT |
|
| US Dollar |
| Euro |
| Yen |
| Other foreign currency |
| UF |
| ThCh$ no adjustment |
| TOTAL | |||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||
|
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
97006000-6 |
| BANCO DE CREDITO E INVERSIONES |
| 8,383 |
| 6,938 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,056 |
| 0 |
| 0 |
| 8,383 |
| 9,994 |
97030000-7 |
| BANCO DEL ESTADO DE CHILE |
| 6,662 |
| 4,456 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 6,662 |
| 4,456 |
97053000-2 |
| BANCO SECURITY |
| 2,584 |
| 1,905 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 2,584 |
| 1,905 |
97023000-9 |
| BANCO CORPBANCA |
| 16,546 |
| 9,771 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 16,546 |
| 9,771 |
97039000-6 |
| BANCO SANTANDER |
| 5,044 |
| 5,900 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 5,044 |
| 5,900 |
96658480-7 |
| RABOINVESTMENTS CHILE S.A. |
| 2,166 |
| 833 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 2,166 |
| 833 |
97032000-8 |
| BANCO BBVA |
| 2,235 |
| 1,521 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 2,235 |
| 1,521 |
Foreign |
| CORPBANCA VENEZUELA |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,889 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,889 |
Foreign |
| ABN AMRO BANK |
| 37 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 37 |
| 0 |
Foreign |
| WESTDEUTSCHE LANDESBANK |
| 1,827 |
| 2,960 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 1,827 |
| 2,960 |
Foreign |
| CITIBANK N.A. |
| 84 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 84 |
| 0 |
Foreign |
| COMERICA BANK |
| 0 |
| 4,357 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 4,357 |
Foreign |
| BANCO CHILE NEW YORK |
| 0 |
| 4,410 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 4,410 |
Foreign |
| THE BANK OF NOVA SCOTIA |
| 84 |
| 7,996 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 84 |
| 7,996 |
Foreign |
| RABOBANK NEDERLAND |
| 3,076 |
| 2,571 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,076 |
| 2,571 |
Foreign |
| KREDITANSTALT FUR WIEDERA |
| 4,059 |
| 13,458 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 4,059 |
| 13,458 |
Foreign |
| BANCO ITAU BBA |
| 0 |
| 2,011 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 2,011 |
|
| Others |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
| TOTAL |
| 52,787 |
| 69,087 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,889 |
| 0 |
| 3,056 |
| 0 |
| 0 |
| 52,787 |
| 76,032 |
|
| Equity Amount in debt |
| 50,886 |
| 66,320 |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
| 3,844 |
| 0 |
| 2,990 |
| 0 |
| 0 |
| 50,886 |
| 73,154 |
|
| Rate |
| 6.21 | % | 4.02 | % |
|
|
|
|
|
|
|
|
|
| 15.01 | % |
|
| 6.70 | % |
|
|
|
|
|
|
|
29
NOTE 15 – BANK AND FINANCIAL INSTITUTIONS LONG-TERM
The loans granted by Masisa Inversiones Limitada (Company absorbed my Masisa S.A. in June 2006) to the subsidiary Masisa do Brasil Limitada through Banco Itaú BBA S.A., that rise to the amount of US$104,523,218,88, as shown in “Notes” issued by Banco Itaú BBA S.A., of which are holders Masisa Inversiones Limitada and that are record, besides, and in ¨Cédulas de Crédito Bancário - Res,2770¨ which beneficiary is Banco Itaú BBA S.A., are presented reducing the corresponding debts for the same amount that the subsidiary Masisa do Brasil Limitada maintains with Banco Itaú BBA S.A., in consideration that the documents in which this operations are established allowed to settle them with only the notification to the bank with the anticipation established in the respective documents.
Additionally and as consequence of the previously mentioned, the interests generated by the “Notes” and “Cédulas de Crédito Bancário – Res,2770” are presented net in the statement of income.
30
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Date close actual period |
| Date close past period | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total |
|
|
| Total Long Term to close The financial Statements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
| More 1 |
| More 2 |
| More 3 year Up to 5 year |
| More 5 |
| More than 10 years |
|
|
|
| ||||
RUT |
| Bank or financial institution |
| Currency |
|
|
|
|
|
|
| Rate |
| |||||||||
|
|
|
|
|
|
| amount |
| term |
|
|
| ||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
97006000-6 |
| BANCO DE CREDITO E INVERSIONES |
| Dollar |
| 5,278 |
| 2,778 |
| 1,388 |
| 0 |
| 0 |
|
|
| 9,444 |
| 6.56 |
| 14,723 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
|
|
| 0 |
| 0 |
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
| 0 |
| 0 |
96658480-7 |
| RABOINVESTMENTS CHILE S.A. |
| Dollar |
| 1,500 |
| 1,500 |
| 3,500 |
| 4,000 |
| 0 |
|
|
| 10,500 |
| 6.3 |
| 12,500 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
97030000-7 |
| BANCO DEL ESTADO DE CHILE |
| Dollar |
| 4,233 |
| 0 |
| 0 |
| 0 |
| 0 |
| 4,233 |
|
|
| 6.5 |
| 8,464 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
97036000-K |
| BANCO SANTANDER |
| Dollar |
| 2,923 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 2,923 |
| 6.49 |
| 3,479 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Date close actual period |
| Date close past period | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total |
|
|
| Total Long Term to close The financial Statements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
| More 1 |
| More 2 |
| More 3 year Up to 5 year |
| More 5 |
| More than 10 years |
|
|
|
| ||||
RUT |
| Bank or financial institution |
| Currency |
|
|
|
|
|
|
| Rate |
| |||||||||
|
|
|
|
|
|
| amount |
| term |
|
|
| ||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
97023000-9 |
| BANCO CORPBANCA |
| Dollar |
| 8,011 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 8,011 |
| 6.48 |
| 18,386 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
97053000-2 |
| BANCO SECURITY |
| Dollar |
| 1,166 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 1,166 |
| 6.48 |
| 2,331 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
97032000-8 |
| BANCO BBVA |
| Dollar |
| 1,252 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 1,252 |
| 6.5 |
| 2,890 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| COMERICA BANK |
| Dollar |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 2,143 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Date close actual period |
| Date close past period | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total |
|
|
| Total Long Term to close The financial Statements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
| More 1 |
| More 2 |
| More 3 year Up to 5 year |
| More 5 |
| More than 10 years |
|
|
|
| ||||
RUT |
| Bank or financial institution |
| Currency |
|
|
|
|
|
|
| Rate |
| |||||||||
|
|
|
|
|
|
| amount |
| term |
|
|
| ||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
Foreign |
| BANCO CHILE NEW YORK |
| Dollar |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 4,250 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| THE BANK OF NOVA SCOTIA |
| Dollar |
| 0 |
| 4,950 |
| 19,800 |
| 0 |
| 0 |
|
|
| 24,750 |
| 5.8 |
| 13,750 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| CORP BANCA VENEZUELA |
| Dollar |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 4,155 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| CITIBANK N.A. |
| Dollar |
| 0 |
| 4.950 |
| 19.800 |
| 0 |
| 0 |
|
|
| 24.750 |
| 5.8 |
| 0 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
33
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Date close actual period |
| Date close past period | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total |
|
|
| Total Long Term to close The financial Statements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
| More 1 |
| More 2 |
| More 3 year Up to 5 year |
| More 5 |
| More than 10 years |
|
|
|
| ||||
RUT |
| Bank or financial institution |
| Currency |
|
|
|
|
|
|
| Rate |
| |||||||||
|
|
|
|
|
|
| amount |
| term |
|
|
| ||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
Foreign |
| RABOBANK NEDERLAND |
| Dollar |
| 3,040 |
| 7,810 |
| 23,390 |
| 1,620 |
| 0 |
|
|
| 35,860 |
| 6 |
| 13,969 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| KREDITANSTALT FUR WIEDERAUFBAU |
| Dollar |
| 3,800 |
| 3,800 |
| 1,900 |
| 0 |
| 0 |
|
|
| 9,500 |
| 7.58 |
| 26,620 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| WESTDEUTSCHE LANDESBANK |
| Dollar |
| 1,741 |
| 5,821 |
| 7,425 |
| 12,375 |
| 0 |
|
|
| 27,362 |
| 7.57 |
| 7,864 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| BANCO BBVA |
| Dollar |
| 193 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 193 |
| 6.52 |
| 0 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Foreign |
| ABN AMRO BANK |
| Dollar |
| 0 |
| 2,200 |
| 8,800 |
| 0 |
| 0 |
|
|
| 11,000 |
| 5.67 |
| 0 |
|
|
|
| Euros |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Yens |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| UF |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| non adjustable $ |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
|
|
|
| Other currencies |
| 0 |
| 0 |
| 0 |
| 0 |
| 0 |
|
|
| 0 |
|
|
| 0 |
Total |
|
|
|
|
| 33,137 |
| 33,809 |
| 86,003 |
| 17,995 |
| 0 |
|
|
| 170,944 |
|
|
| 135,524 |
Total amount of liabilities in foreign currency: |
|
| 0 | % |
| — |
|
Total amount of liabilities in local currency: |
|
|
|
|
| 100 | % |
34
NOTE 16 – SHORT AND LONG TERM OBLIGATIONS WITH THE PUBLIC (PROMISSORY NOTES AND BONDS)
The bond obligations are:
Series C1 bonds
- Relate to 1,000 certificates of US$10,000 and Series C2 bonds of 200 certificates of US$100,000, Repayment of principal is due on June 15, 2008, They accrue compound interest in arrears at 5.00% annually, calculated on the basis of equal semi-annual 180-day periods starting on December 15, 2003.
Series A bonds
- Consist of 5,000 certificates of UF500 each for a 7-year term and a two-year grace period for the repayment of principal, They accrue compound interest in arrears at 5.00% annually, calculated on the basis of equal semi-annual 180-day periods starting on December 15, 2003, with payments due on June 15 and December 15 each year, Repayments of principal are due in ten semi-annual payments starting on June 15, 2006.
Series B bonds
- Consist of 1,404 certificates of UF500 each for a 21-year term and a seven-year grace period for the repayment of principal, They accrue compound interest in arrears at 6.25% annually, calculated on the basis of equal semi-annual 180-day periods starting on December 15, 2003, with payments due on June 15 and December 15 each year, Repayments of principal are due in twenty-eight semi-annual payments starting on June 15, 2011.
On January 12, 2006, the company issued two new lines of bonds which are inscribed in the Securities Register of the Superintendency of Securities and Insurance with the numbers 439 and 440, on November 14 and 15, 2005 respectively, detailed as follows:
Series E bonds
- UF 2,750,000 was placed against the line No,439, with a 21-year term and 1 year’s grace and an interest rate of 4.79%.
Series D bonds
- UF 2,000,000 was placed against the line No,440, with a 7-year term and 2 year’s grace and an interest rate of 4.59%.
- The Series A and D bonds are partially covered against the dollar exchange rate exposure against the Unidad de Fomento by swap contracts with Citibank N,A,, Agency in Chile, Morgan Stanley Capital Services Inc, and Banco Santander Santiago (see Note 25) and have therefore been valued as required by paragraph 11 of Technical Bulletin 57 of the Chilean Institute of Accountants.
The subsidiary Masisa Overseas has outstanding bonds for THUS$18,000 plus interests, they were acquired by Insurance and Fund Companies in the United States, The amortization is THUS$9,000 per year, and the payment day is May 15, of each year, ending the year 2008, The interest rate is paid semi annually, in May and November.
35
NOTE 16 – SHORT AND LONG TERM OBLIGATIONS WITH THE PUBLIC (PROMISSORY NOTES AND BONDS)
Registration Number or Instrument Identification |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Nominal |
| Currency |
|
|
|
|
| Periodicity |
| Par Value |
| Place of the transaction Chile or Foreign | |||||
Short term |
|
|
|
|
| Interest |
| Final |
|
|
| |||||||||
| Series |
|
|
|
|
| Interest Payment |
| Amortization |
| 31-12-2006 |
| 31-12-2005 |
| ||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
336 |
| A |
| 3,500 |
| U.F. |
| 5.00 |
| 15/06/2009 |
| Semi annual |
| 2005 |
| 0 |
| 123,007 |
| Local |
336 |
| B |
| 1,000 |
| U.F. |
| 6.00 |
| 15/06/2024 |
| Semi annual |
| 2009 |
| 0 |
| 35,160 |
| Local |
336 |
| C |
| 0 |
| USD |
| 4.92 |
| 15/06/2008 |
| Semi annual |
| 2008 |
| 62 |
| 62 |
| Local |
356 |
| A |
| 500 |
| U.F. |
| 4.94 |
| 15/12/2010 |
| Semi annual |
| 2006 |
| 17,362 |
| 17,716 |
| Local |
355 |
| B |
| 0 |
| U.F. |
| 6.16 |
| 15/12/2024 |
| Semi annual |
| 2011 |
| 62 |
| 63 |
| Local |
440 |
| D |
| 0 |
| U.F. |
| 4.21 |
| 15/10/2012 |
| Semi annual |
| 2008 |
| 604 |
| 0 |
| Local |
439 |
| E |
| 137 |
| U.F. |
| 4.7 |
| 15/10/2026 |
| Semi annual |
| 2007 |
| 5,662 |
| 0 |
| Local |
PRIVATE PLACEMENT |
| B |
| 9,000 |
| USD |
| 8.06 |
| 14/05/2008 |
| Semi annual |
| 2005 |
| 9,185 |
| 9,278 |
| Foreign |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Total Short Term Portion |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 32,937 |
| 185,286 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long Term Bond |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
336 |
| C |
| 30,000 |
| USD |
| 4.94 |
| 15/06/2008 |
| Semi annual |
| 2008 |
| 30,000 |
| 30,000 |
| Local |
356 |
| A |
| 1,500 |
| U.F. |
| 4.94 |
| 15/12/2010 |
| Semi annual |
| 2006 |
| 52,666 |
| 65,340 |
| Local |
355 |
| B |
| 702 |
| U.F. |
| 6.16 |
| 15/12/2024 |
| Semi annual |
| 2011 |
| 24,178 |
| 24,621 |
| Local |
440 |
| D |
| 2,000 |
| U.F. |
| 4.21 |
| 15/10/2012 |
| Semi annual |
| 2008 |
| 67,957 |
| 0 |
| Local |
439 |
| E |
| 2,612 |
| U.F. |
| 4.70 |
| 15/10/2026 |
| Semi annual |
| 2007 |
| 90,311 |
| 0 |
| Local |
PRIVATE PLACEMENT |
| B |
| 9,000 |
| USD |
| 8.06 |
| 15/05/2008 |
| Semi annual |
| 2008 |
| 9,000 |
| 18,000 |
| Foreign |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Total Long Term |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 274,112 |
| 137,961 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
36
NOTE 17 - PROVISIONS AND WRITE-OFFS
Short-term Provisions |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Related to the Personnel: |
|
|
|
|
|
|
|
Vacations |
|
| 6,356 |
|
| 5,254 |
|
Gratifications |
|
| 804 |
|
| 709 |
|
Sundry compensations |
|
| 341 |
|
| 10 |
|
Incentive bonds to the personnel |
|
| 4,406 |
|
| 1,578 |
|
Other benefits |
|
| 2,666 |
|
| 369 |
|
Other Provisions: |
|
|
|
|
|
|
|
Participation of the Board |
|
| 672 |
|
| 1,010 |
|
Consultancies and services |
|
| 763 |
|
| 458 |
|
Other consultancies and services |
|
| 1,460 |
|
| 485 |
|
Major repairs and plant shutdowns |
|
| 98 |
|
| 1,356 |
|
Imports and exports expenses |
|
| 588 |
|
| 1,168 |
|
Commissions |
|
| 1,664 |
|
| 1,508 |
|
Goods and services receivable |
|
| 2,617 |
|
| 1,813 |
|
Contingent liabilities |
|
| 1,624 |
|
| 1,835 |
|
Loss due to liquidation of fixed assets (*) |
|
| 635 |
|
| — |
|
Other Taxes |
|
| 6,219 |
|
| 3,358 |
|
Other Provisions |
|
| 829 |
|
| 663 |
|
|
|
|
| ||||
Total |
|
| 31,742 |
|
| 21,574 |
|
|
|
|
|
Long-term Provisions |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Judicial deposit provision |
|
| — |
|
| 397 |
|
Proforca provision (**) |
|
| 1,123 |
|
| 1,000 |
|
Antiquity Bonds provision |
|
| 259 |
|
| — |
|
Severance Payment Provision |
|
| 280 |
|
| 21 |
|
|
|
|
| ||||
Total |
|
| 1,662 |
|
| 1,418 |
|
|
|
|
|
Provisions presented net from assets that originate them: |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Provision for irretrievable debtors |
|
| 6,470 |
|
| 5,593 |
|
Provision for inventory |
|
| 6,366 |
|
| 5,376 |
|
Provision for fix assets |
|
| 12,086 |
|
| 14,353 |
|
(*) | Estimated loss over the fixed assets in Masisa Partes and Piezas Ltda., since these assets are being liquidated. |
|
|
(**) | Estimated cost of having to reforest 7,500 hectares that must be delivered to CVG Proforca C.A. by the end of the actual usufruct contract that Masisa S.A. has with that company, which ends in the year 2027. |
37
NOTE 18 – SEVERANCE PAYMENT
Severance payments are as follows:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Balances as of January 1st |
|
| 21 |
|
| 13 |
|
Provision for the period |
|
| 280 |
|
| 8 |
|
Payments for the period |
|
| (21 | ) |
| — |
|
Balances as of December 31 th |
|
| 280 |
|
| 21 |
|
Charges to income for the year amounted to THUS$280 (THUS$8 in 2005).
38
NOTE 19 – OTHER LONG TERM LIABILITIES
Balance as of December 31th is set forth in detail (THUS$):
|
|
| Expire |
| Values |
| ||||||||||
|
|
|
|
| ||||||||||||
|
| 2008 |
| 2009 |
| 2010 |
| 2006 |
| 2005 |
| |||||
|
|
|
|
|
|
| ||||||||||
ICMS Tax payable on long term |
|
| 5,494 |
|
| 3,197 |
|
| 2,699 |
|
| 11,390 |
|
| 13,734 |
|
Unrealized profit cover operations of existing entries |
|
| 3,776 |
|
| — |
|
| — |
|
| 3,776 |
|
| 3,588 |
|
Swap Currency market value currencies |
|
| 2,154 |
|
| — |
|
| — |
|
| 2,154 |
|
| 2,643 |
|
|
|
|
|
|
|
| ||||||||||
Total |
|
| 11,424 |
|
| 3,197 |
|
| 2,699 |
|
| 17,320 |
|
| 19,965 |
|
|
|
|
|
|
|
|
39
NOTE 20 – MINORITY INTEREST
The breakdown of the minority interest recorded by the Company, both in liabilities and net income is as follows:
|
| Liabilities |
| Net income for the period |
| ||||||||
|
|
|
| ||||||||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
| ||||
|
|
|
|
|
| ||||||||
Forestal Tornagaleones S.A. |
|
| 7,044 |
|
| 6,602 |
|
| (155 | ) |
| (1,165 | ) |
Forestal Argentina S.A. |
|
| 1,031 |
|
| 35,373 |
|
| (32 | ) |
| (1,769 | ) |
Maderas y Sintéticos de Perú S.A.C |
|
| 5 |
|
| 3 |
|
| — |
|
| (2 | ) |
Corporación Forestal Guayamure C.A. |
|
| 1,963 |
|
| 1,946 |
|
| 109 |
|
| 13 |
|
Inversiones Internacionales Terranova S.A. |
|
| 10,511 |
|
| 16,186 |
|
| 10,773 |
|
| 8,613 |
|
Masisa Madeiras Ltda. |
|
| 8 |
|
| 6 |
|
| — |
|
| — |
|
Corporación Forestal de Venezuela |
|
| — |
|
| — |
|
| — |
|
| — |
|
|
|
|
|
|
| ||||||||
Total |
|
| 20,562 |
|
| 60,116 |
|
| 10,695 |
|
| 5,690 |
|
|
|
|
|
|
|
40
NOTE 21 - SHAREHOLDERS’ EQUITY VARIATIONS
a) Paid capital
The subscribed and paid capital at December 31, 2006 amounts to US$812,879,756 divided into 5,667,750,881 shares of no nominal value.
Extraordinary shareholders’ meetings of the former Masisa S.A. and the former Terranova S.A. held on April 12 and 13, 2005 respectively approved the merger by absorption of the former Masisa S.A. into the former Terranova S.A.
The extraordinary shareholders’ meeting of the former Terranova S.A. approved to increase the capital of the company from ThUS$583,739, divided into 3,918,427,856 shares of no par value, of the one and same series and without any privileges, to ThUS$696,481, divided into 5,049,060,017 shares of no par value, of the one and same series and without any privileges, through the issue of 1,130,632,161 new shares of no par value, of the one and same series and without any privileges, to be issued fully to shareholders of the former Masisa S.A. in the appropriate proportion according to the agreed share exchange.
The extraordinary shareholders’ meeting held on August 29, 2005 resolved to increase the Company’s capital by US$ 150,000,000 through the issue, subscription and payment of 650,000,000 shares of no par value, of the one and same series and with no privileges, As of December 31, 2006, 622,503,068 shares have been subscribed and paid, amounting US$117,364,938.
b) Distribution of earnings
The dividend policy established by Masisa S.A. is to distribute annually to shareholders a sum, to be defined at the ordinary shareholders’ meeting, of no less than 30% and no more than 50% of the consolidated net income for each year, without the payment of interim dividends.
The following shows the dividends per share that the shareholders’ meeting agreed to during 2006 and 2005, shown in dollars as of the date of payment:
In 2006:
Dividend |
|
|
| Month paid |
| Dividend per share US$ |
| No, of third party shares |
| ||||
|
|
|
|
|
|
| |||||||
Obligatory |
|
| Year 2005 No,11 |
|
| May-2006 |
|
| 0.001216508 |
|
| 5,667,750,881 |
|
Additional |
|
| Year 2005 No,11 |
|
| May-2006 |
|
| 0.000811005 |
|
| 5,667,750,881 |
|
41
In 2005 paid by:
Former Masisa S.A.:
Dividend |
|
|
| Month paid |
| Dividend per share US$ |
| No, of third party shares |
| ||||
|
|
|
|
|
|
| |||||||
Eventual |
|
| Year 2004 No,36 |
|
| May-2005 |
|
| 0.026894326 |
|
| 441,653,188 |
|
Additional |
|
| Year 2004 No,35 |
|
| May-2005 |
|
| 0.031263070 |
|
| 441,653,188 |
|
Final |
|
| Year 2004 No,34 |
|
| Apr-2005 |
|
| 0.013398459 |
|
| 441,653,188 |
|
Former Terranova S,A:
Dividend |
|
|
| Month paid |
| Dividend per share US$ |
| Number of third party shares |
| ||||
|
|
|
|
|
|
| |||||||
Additional |
|
| Year 2004 No,10 |
|
| Apr-2005 |
|
| 0.001141276 |
|
| 3,918,427,856 |
|
Final |
|
| Year 2004 No,10 |
|
| Apr-2005 |
|
| 0.004092497 |
|
| 3,918,427,856 |
|
c) Other reserves comprise the following:
Forest Reserve:
The forest reserve amounts to ThUS$208,292 (ThUS$174,962 in 2005), corresponding to the difference between the plantations’ appraisal value and their respective historic cost which includes the real cost of financing, This reserve is booked net of deferred tax in accordance with Technical Bulletins 60 and 69 of the Chilean Institute of Accountants.
Other Reserves:
Other reserves arose from the conversion to US dollars of the equity of some subsidiary and associate companies that maintained or maintain their accounts in Chilean pesos, amounting to ThUS$15,618 (ThUS$17,028 in 2005), for the constitution of a legal reserve in foreign subsidiaries of ThUS$100 (ThUS$100 in 2005) and, shown deducted from Shareholders’ equity, the costs of the issue and placement of shares related to the last capital increase THUS$ 4,516 (THUS$3,613 in 2005).
d) Own-issued shares
The following was taken into account in quantifying the number of shares in the table 21 “Acquisition and holding of own shares”:
For rights to withdraw: the 2,121,766 shares of the former Masisa S.A. bought from shareholders who exercised their right to withdraw was multiplied by the exchange factor of 2,56, resulting in the sum of 5,431,721 shares.
From the total shares of own emission that the company once possessed, product of the merger with old Masisa S.A., part of them were placed in new shareholders and the rest was used in a decrease of capital, according to the Law 18.046 of Anonymous Companies, as it is shown in the annexed squares of this Note. To the date, the Company does not possess any shares of own emission.
e) Previous Net Income for the period adjustment
The Company detected an inventory missing which affects the amount of the Packaging Materials account which happened as a result of parametrizing error in the tariffs used to value this materials consumption in the Company´s costs system, This error which, has its origin, mainly, in the 2005 exercise, was registered against accumulated results in the company´s shareholder´s equity for an amount of ThUS$1,935.-
42
|
| 31-12-2006 |
| |||||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
| Paid-in capital |
| Reserve for Capital Revaluation |
| Overpricing on sales of shares |
| Other Reserves |
| Reserve for future dividends |
| Accumulated income |
| Interim Dividends |
| Deficit during development period |
| Period Income |
| |||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Initial Balance |
|
| 769,834 |
|
| 0 |
|
| 0 |
|
| 188,477 |
|
| 51,424 |
|
| 60,128 |
|
| 0 |
|
| 0 |
|
| 26,369 |
|
Previous period income distribution |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 26,369 |
|
| 0 |
|
| 0 |
|
| -26,369 |
|
Definitive dividend of previous period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -11,490 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital Increase with shares issue |
|
| 44,012 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capitalization of reserves and/or profits |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Deficit accumulated during development period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Dividends Payment |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -1,410 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital effects due to merger |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 33,330 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Adjustment For Conversion difference |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Forestry reserve |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Emision and placement costs |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -903 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Previous period income Adjustments |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -1,935 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital reduction due to end of legal period |
|
| -966 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Equity capital revaluation |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Net income for the period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 29,485 |
|
Interim dividends |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Final Balance |
|
| 812,880 |
|
| 0 |
|
| 0 |
|
| 219,494 |
|
| 51,424 |
|
| 73,072 |
|
| 0 |
|
| 0 |
|
| 29,485 |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Actualized Balance |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 31-12-2005 |
| |||||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
| Paid-in capital |
| Reserve for Capital Revaluation |
| Overpricing on sales of shares |
| Other Reserves |
| Reserve for future dividends |
| Accumulated income |
| Interim Dividends |
| Deficit during development period |
| Period Income |
| |||||||||
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Initial Balance |
|
| 583,739 |
|
| 0 |
|
| 0 |
|
| 122,643 |
|
| 0 |
|
| 14,979 |
|
| 0 |
|
| 0 |
|
| 56,778 |
|
Previous period income distribution |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 26,425 |
|
| 30,353 |
|
| 0 |
|
| 0 |
|
| -56,778 |
|
Definitive dividend of previous period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -38,304 |
|
| -13,807 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital Increase with shares issue |
|
| 73,353 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capitalization of reserves and/or profits |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Deficit accumulated during development period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Dividends Payment |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 3,202 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Forestry reserve |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 32,842 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Adjustment For Conversion difference |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital effects due to merger |
|
| 112,742 |
|
| 0 |
|
| 0 |
|
| 33,403 |
|
| 63,303 |
|
| 28,603 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Emision and placement costs |
|
| 0 |
|
| 0 |
|
| 0 |
|
| -3,613 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Previous period income Adjustments |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Capital reduction due to end of legal period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Equity capital revaluation |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Net income for the period |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 26,369 |
|
Interim dividends |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Final Balance |
|
| 769,834 |
|
| 0 |
|
| 0 |
|
| 188,477 |
|
| 51,424 |
|
| 60,128 |
|
| 0 |
|
| 0 |
|
| 26,369 |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Actualized Balance |
|
| 769,834 |
|
| 0 |
|
| 0 |
|
| 188,477 |
|
| 51,424 |
|
| 60,128 |
|
| 0 |
|
| 0 |
|
| 26,369 |
|
|
|
|
|
|
|
|
|
|
|
|
43
a) Numbers of shares
Series |
| Numbers shares |
| Numbers paid |
| Outstanding |
| |||
|
|
|
| |||||||
Unique |
|
| 5,667,750,881 |
|
| 5,667,750,881 |
|
| 5,667,750,881 |
|
b) Capital (Amount THUS$)
Series |
| Subscribed Capital |
| Paid Capital |
| ||
|
|
| |||||
Unique |
|
| 812,880 |
|
| 812,880 |
|
|
|
|
|
c) Acquisition and ownership of company shares
|
|
|
|
|
|
|
| Share repurchase |
| ||||
|
|
|
|
|
|
|
|
| |||||
Share repurchase reason |
| Share repurchase date |
| N° of Shares |
| Series |
| Amount |
| ||||
|
|
|
|
| |||||||||
Merger |
|
| 01-07-2003 |
|
| 87,871,054 |
|
| Unique |
|
| 16,828 |
|
Withdrawal right |
|
| 26-12-2003 |
|
| 13,538,394 |
|
| Unique |
|
| 1,550 |
|
Withdrawal right old Terranova S.A. |
|
| 27-05-2005 |
|
| 12,647,263 |
|
| Unique |
|
| 3,202 |
|
Withdrawal right old Masisa S.A. |
|
| 27-05-2005 |
|
| 5,431,721 |
|
| Unique |
|
| 1,379 |
|
d) Disposals or reductions in own share portfolio
|
|
|
|
| Portfolio decrease |
| ||||
|
|
|
|
|
| |||||
Reason |
| Date |
| N° of Shares |
| Amount |
| |||
|
|
|
| |||||||
Capital Decrease |
|
| 31-10-2004 |
|
| 87,871,054 |
|
| 16,828 |
|
Capital Decrease |
|
| 26-12-2004 |
|
| 13,538,394 |
|
| 1,550 |
|
Preferent Offer |
|
| 12-12-2005 |
|
| 10,806,939 |
|
| 2,738 |
|
Preferent Offer |
|
| 06-01-2006 |
|
| 3,459,841 |
|
| 877 |
|
Capital Decrease |
|
| 27-05-2006 |
|
| 3,812,204 |
|
| 966 |
|
44
NOTE 22 – OTHER NON OPERATING INCOME AND EXPENSES
Other income and non-operating income as of December 31th, 2006 and 2005 is as follows:
Other non-operating income |
| 2006 |
| 2005 |
| ||
|
|
| |||||
Gain on sale of goods & services |
|
| 1,280 |
|
| 2,149 |
|
Fixed impairment asset re-evaluation (1) |
|
| 3,038 |
|
| — |
|
Tax devolution |
|
| 884 |
|
| — |
|
Provisions reverse associated to fixed assets |
|
| 433 |
|
| — |
|
Others |
|
| 1,263 |
|
| 650 |
|
|
|
|
| ||||
Total |
|
| 6,898 |
|
| 2,799 |
|
|
|
|
|
Other non-operating expenses:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Depreciation and Amortization |
|
| 969 |
|
| 1,181 |
|
Provision molding plant in Venezuela |
|
| 2,150 |
|
| — |
|
Retributions and Others |
|
| 1,405 |
|
| — |
|
Expenses temporary plant shut down |
|
| 570 |
|
| 1,019 |
|
Severance and sawmill reparation (2) |
|
| 4,804 |
|
| — |
|
Readjusted and contingent interests |
|
| 446 |
|
| — |
|
Goods and Services losses |
|
| 821 |
|
| 996 |
|
Liquidation fixed assets provision looses |
|
| 635 |
|
| — |
|
Own shares sale looses |
|
| 227 |
|
| 707 |
|
Patents, taxes and commissions |
|
| 542 |
|
| 962 |
|
Forestry fire provisions |
|
| 1,356 |
|
| 288 |
|
Donations |
|
| 445 |
|
| 118 |
|
Bonds and extraordinary severances |
|
| 539 |
|
| 449 |
|
Others |
|
| 974 |
|
| 2,769 |
|
|
|
|
| ||||
Total |
|
| 15,883 |
|
| 8,489 |
|
|
|
|
|
(1) | The Company during 2006 re-evaluated the future flows that will generate the agglomerates plant that operates in Valdivia, determining consequentially, a decrease in the provision originally constituted. |
(2) | In Venezuela it was accorded with Proforca the reparation and refund of a sawmill that was being rented and the wood supply contract was ended. This contract ending meant a compensation payment of THUS$1,096 and reparation expenses on the sawmill for THUS$3,078 that are stated in Other expenses outside the operation in the Income Statement. |
45
NOTE 23 – PRICE LEVEL
ASSETS (DEBITS) / CREDITS |
| READJUSTMENT |
| 31-12-2006 |
| 31-12-2005 |
| |||
|
|
|
| |||||||
INVENTORIES |
|
| — |
|
| — |
|
| — |
|
FIXED ASSET |
|
| IPC |
|
| 2,115 |
|
| 2,574 |
|
INVESTMENT IN RELATED COMPANIES |
|
| IPC |
|
| 1,414 |
|
| 1,094 |
|
OTHER NON MONETARY ASSETS |
|
| IPC |
|
| -362 |
|
| 845 |
|
EXPENSES AND COSTS ACCOUNT |
|
| — |
|
| 0 |
|
| — |
|
TOTAL (POSITIONS) PAYMENTS |
|
| — |
|
| 3,167 |
|
| 4,513 |
|
LIABILITIES (DEBITS) CREDITS |
|
|
|
|
|
|
|
|
|
|
EQUITY |
|
| IPC |
|
| -2,539 |
|
| -3,958 |
|
NON MONETTARY LIABILITIES |
|
| — |
|
| — |
|
|
|
|
INCOME ACCOUNT |
|
| — |
|
| — |
|
|
|
|
TOTAL (DEBITS) CREDITS |
|
| — |
|
| -2,539 |
|
| -3,958 |
|
(LOSS) PROFIT FROM PRICE LEVEL |
|
|
|
|
| 628 |
|
| 555 |
|
46
NOTE 24: Exchange Differences – Foreign Currency
The breakdown of all foreign currency accounts is as follows:
|
| Currency |
| Amount |
| |||||
Account |
|
|
| |||||||
Assets (Debits) / Credit |
|
| 31-12-2006 |
| 31-12-2005 |
| ||||
|
|
|
| |||||||
Cash |
|
| Argentinean Peso |
|
| -88 |
|
| 6 |
|
Cash |
|
| Chilean Peso |
|
| -1,159 |
|
| 421 |
|
Cash |
|
| Mexican Peso |
|
| -90 |
|
| 108 |
|
Cash |
|
| Brazilian Real |
|
| 219 |
|
| 760 |
|
Cash |
|
| Bolivars |
|
| -192 |
|
| -196 |
|
Cash |
|
| Other Currencies |
|
| -364 |
|
| -53 |
|
Time deposits |
|
| Other Currencies |
|
| 45 |
|
| 0 |
|
Time deposits |
|
| Chilean Peso |
|
| -4,892 |
|
| 0 |
|
Marketable securities |
|
| Bolivars |
|
| 0 |
|
| -44 |
|
Marketable securities |
|
| Chilean Peso |
|
| 348 |
|
| -6 |
|
Marketable securities |
|
| Brazilian Real |
|
| 1,267 |
|
| 0 |
|
Accounts receivable |
|
| Argentinean Peso |
|
| 22 |
|
| 8 |
|
Accounts receivable |
|
| Chilean Peso |
|
| 59 |
|
| -158 |
|
Accounts receivable |
|
| Mexican Peso |
|
| 10 |
|
| 2 |
|
Accounts receivable |
|
| Brazilian Real |
|
| 1,742 |
|
| 1,547 |
|
Accounts receivable |
|
| Bolivars |
|
| 0 |
|
| -11 |
|
Accounts receivable |
|
| Other Currencies |
|
| 285 |
|
| 266 |
|
Notes receivable |
|
| Chilean Peso |
|
| 110 |
|
| 2,403 |
|
Notes receivable |
|
| Argentinean Peso |
|
| -41 |
|
| 2 |
|
Notes receivable |
|
| Brazilian Real |
|
| 0 |
|
| 53 |
|
Notes receivable |
|
| Mexican Peso |
|
| -229 |
|
| 1,519 |
|
Notes receivable |
|
| Bolivars |
|
| -2 |
|
| -618 |
|
Sundry debtors |
|
| Chilean Peso |
|
| -66 |
|
| 486 |
|
Sundry debtors |
|
| Bolivars |
|
| 23 |
|
| -366 |
|
Sundry debtors |
|
| Argentinean Peso |
|
| -19 |
|
| 0 |
|
Sundry debtors |
|
| Mexican Peso |
|
| 10 |
|
| 0 |
|
Sundry debtors |
|
| Other Currencies |
|
| 104 |
|
| 15 |
|
Sundry debtors |
|
| Brazilian Real |
|
| 178 |
|
| 770 |
|
Inventories |
|
| Mexican Peso |
|
| 10 |
|
| 4 |
|
Inventories |
|
| Brazilian Real |
|
| -254 |
|
| -175 |
|
Inventories |
|
| Other Currencies |
|
| -3 |
|
| -1 |
|
Recoverable taxes |
|
| Argentinean Peso |
|
| -61 |
|
| 11 |
|
Recoverable taxes |
|
| Chilean Peso |
|
| -637 |
|
| 1,225 |
|
Recoverable taxes |
|
| Mexican Peso |
|
| -200 |
|
| 23 |
|
Recoverable taxes |
|
| Brazilian Real |
|
| 1,249 |
|
| 281 |
|
Recoverable taxes |
|
| Bolivars |
|
| -4 |
|
| -1,713 |
|
Recoverable taxes |
|
| Other Currencies |
|
| 26 |
|
| 44 |
|
Prepaid expenses |
|
| Chilean Peso |
|
| -105 |
|
| 34 |
|
Prepaid expenses |
|
| Argentinean Peso |
|
| -1 |
|
| 0 |
|
Prepaid expenses |
|
| Bolivars |
|
| 0 |
|
| -2 |
|
Prepaid expenses |
|
| Brazilian Real |
|
| 30 |
|
| 27 |
|
Prepaid expenses |
|
| Other Currencies |
|
| -1 |
|
| 0 |
|
Others current assets |
|
| Chilean Peso |
|
| -10 |
|
| 32 |
|
Others current assets |
|
| Mexican Peso |
|
| -9 |
|
| -1 |
|
Others current assets |
|
| Brazilian Real |
|
| -12 |
|
| 77 |
|
Others current assets |
|
| Other Currencies |
|
| 0 |
|
| 2 |
|
Long term debtors |
|
| Chilean Peso |
|
| 144 |
|
| 11 |
|
Long term debtors |
|
| Brazilian Real |
|
| 180 |
|
| 245 |
|
Intangible |
|
| Brazilian Real |
|
| 17 |
|
| 0 |
|
Others assets |
|
| Mexican Peso |
|
| -2 |
|
| 0 |
|
Others assets |
|
| Argentinean Peso |
|
| 1 |
|
| 1 |
|
Others assets |
|
| Chilean Peso |
|
| -628 |
|
| 415 |
|
Others assets |
|
| Brazilian Real |
|
| 72 |
|
| 0 |
|
Others assets |
|
| Other Currencies |
|
| 97 |
|
| 0 |
|
Total (Debits) Credits |
|
|
|
|
| -2,821 |
|
| 7,454 |
|
47
|
| Currency |
| Amount |
| |||||
|
|
|
| |||||||
Account |
|
| 31-12-2006 |
| 31-12-2005 |
| ||||
|
|
|
| |||||||
LIABILITIES (DEBIT)/CREDIT |
|
|
|
|
|
|
|
|
|
|
Short-term financial liabilities |
|
| Chilean Peso |
|
| -30 |
|
| -2,746 |
|
Short-term financial liabilities |
|
| Other Currencies |
|
| -4 |
|
| -5 |
|
Short-term financial liabilities |
|
| Bolivars |
|
| -10,249 |
|
| 1,646 |
|
Long-term financial liabilities |
|
| Chilean Peso |
|
| -411 |
|
| -2,092 |
|
Long-term financial liabilities |
|
| Bolivars |
|
| 0 |
|
| 271 |
|
Obligations with the public |
|
| U.F. |
|
| 6,207 |
|
| -116 |
|
Accounts payable |
|
| Argentinean Peso |
|
| 55 |
|
| -4 |
|
Accounts payable |
|
| Mexican Peso |
|
| -23 |
|
| -491 |
|
Accounts payable |
|
| Chilean Peso |
|
| 55 |
|
| -74 |
|
Accounts payable |
|
| Brazilian Real |
|
| -449 |
|
| -1,545 |
|
Accounts payable |
|
| Bolivars |
|
| -359 |
|
| 137 |
|
Accounts payable |
|
| Euro |
|
| 0 |
|
| -80 |
|
Accounts payable |
|
| Other Currencies |
|
| -45 |
|
| -2 |
|
Notes payable |
|
| Brazilian Real |
|
| -15 |
|
| 20 |
|
Sundry creditors |
|
| Chilean Peso |
|
| -10 |
|
| -20 |
|
Sundry creditors |
|
| Argentinean Peso |
|
| -5 |
|
| 0 |
|
Sundry creditors |
|
| Brazilian Real |
|
| -6 |
|
| -6 |
|
Sundry creditors |
|
| Bolivars |
|
| 0 |
|
| 141 |
|
Sundry creditors |
|
| Other Currencies |
|
| 15 |
|
| 119 |
|
Provisions |
|
| Chilean Peso |
|
| 155 |
|
| 96 |
|
Provisions |
|
| Bolivars |
|
| -1 |
|
| 115 |
|
Provisions |
|
| Argentinean Peso |
|
| 32 |
|
| 0 |
|
Provisions |
|
| Brazilian Real |
|
| -367 |
|
| -765 |
|
Provisions |
|
| Mexican Peso |
|
| -66 |
|
| -7 |
|
Withholdings |
|
| Bolivars |
|
| 5 |
|
| 363 |
|
Withholdings |
|
| Chilean Peso |
|
| 0 |
|
| 121 |
|
Withholdings |
|
| Argentinean Peso |
|
| -28 |
|
| 0 |
|
Income taxes (Income tax) |
|
| Chilean Peso |
|
| 94 |
|
| -211 |
|
Income taxes (Income tax) |
|
| Brazilian Real |
|
| -1,040 |
|
| -37 |
|
Income taxes (Income tax) |
|
| Other Currencies |
|
| -33 |
|
| 0 |
|
Income taxes (Taxes to be paid) |
|
| Chilean Peso |
|
| 0 |
|
| 122 |
|
Income taxes (Taxes to be paid) |
|
| Argentinean Peso |
|
| 76 |
|
| 0 |
|
Income taxes (Taxes to be paid) |
|
| Mexican Peso |
|
| 37 |
|
| 275 |
|
Income taxes (Taxes to be paid) |
|
| Other Currencies |
|
| -20 |
|
| -59 |
|
Other current liabilities |
|
| Chilean Peso |
|
| -88 |
|
| 1,724 |
|
Other current liabilities |
|
| Brazilian Real |
|
| -1,641 |
|
| 203 |
|
Other long-term liabilities |
|
| Other Currencies |
|
| 0 |
|
| -3 |
|
Other current liabilities |
|
| Mexican Peso |
|
| 0 |
|
| -2 |
|
Other current liabilities |
|
| Argentinean Peso |
|
| -55 |
|
| 0 |
|
Obligations with the public |
|
| U.F. |
|
| -577 |
|
| -9,309 |
|
Other long-term liabilities |
|
| Bolivars |
|
| 0 |
|
| -4,065 |
|
Other long-term liabilities |
|
| Chilean Peso |
|
| 50 |
|
| 465 |
|
Other long-term liabilities |
|
| Mexican Peso |
|
| 24 |
|
| 0 |
|
Other long-term liabilities |
|
| Argentinean Peso |
|
| 43 |
|
| 0 |
|
Other long-term liabilities |
|
| Brazilian Real |
|
| -18 |
|
| -2,596 |
|
Total (debit) / credit |
|
|
|
|
| -8,692 |
|
| -18,417 |
|
(Loss) Profits from exchange difference |
|
|
|
|
| -11,513 |
|
| -10,963 |
|
48
NOTE 25 – DEBT AND EQUITY ISSUANCE AND PLACEMENT EXPENSES
Bonds placement
The costs incurred in bond issues are being amortized on a straight-line basis over the term of the obligation and consist of the following items:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Stamp taxes |
|
| 7,560 |
|
| 4,145 |
|
Placement & auction commissions |
|
| 598 |
|
| 112 |
|
Bond auction commission |
|
| 285 |
|
| 322 |
|
Credit rating advice |
|
| 231 |
|
| 116 |
|
Registration & inscription fees |
|
| 42 |
|
| 22 |
|
Legal advice |
|
| 28 |
|
| 14 |
|
Printing costs |
|
| 19 |
|
| 13 |
|
Other costs |
|
| 421 |
|
| 88 |
|
|
|
|
| ||||
Total costs |
|
| 9,184 |
|
| 4,832 |
|
Accumulated amortization |
|
| (2,356 | ) |
| (1,744 | ) |
|
|
|
| ||||
Balance to be amortized |
|
| 6,828 |
|
| 3,088 |
|
These expenses are shown in Current assets as Prepaid expenses for the short-term portion of ThUS$910 (ThUS$672 in 2005) and in Long-term assets as Others for the long-term portion of ThUS$5,918 (ThUS$2,416 in 2005).
Share placement
The expenses incurred in the issue and placement of shares consist of the following items:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Financial advice |
|
| 3,027 |
|
| 2,860 |
|
Placement commission |
|
| 352 |
|
| 352 |
|
Publications |
|
| 641 |
|
| 184 |
|
Legal advice |
|
| 426 |
|
| 149 |
|
Printing & other costs |
|
| 70 |
|
| 68 |
|
|
|
|
| ||||
Total costs |
|
| 4,516 |
|
| 3,613 |
|
This amount is shown deducted from Reserves in the Shareholders’ equity.
49
NOTE 26 – CASH FLOW STATEMENT
Fecu Code 5,50,30,55 Other charges to results that do not represent cash flow are:
Detail |
| Country |
| 2006 |
| 2005 |
| |||
|
|
|
| |||||||
Depletion |
|
| Argentina |
|
| 1,288 |
|
| 2,837 |
|
Depletion |
|
| Brazil |
|
| 5,562 |
|
| 7,278 |
|
Depletion |
|
| Chile |
|
| 9,011 |
|
| 10,335 |
|
Depletion |
|
| Venezuela |
|
| 3,307 |
|
| 4,157 |
|
Others |
|
|
|
|
| 902 |
|
| 1,020 |
|
|
|
|
|
|
|
| ||||
TOTAL |
|
|
|
|
| 20,070 |
|
| 25,627 |
|
|
|
|
|
|
|
|
50
NOTE 27 DERIVATIVE CONTRACTS
The company and it subsidiaries maintain the following Swap Agreements:
a) Currency Swap Agreements:
|
| Receivable |
| Payable |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Currency |
| Amount |
| Rate |
| Currency |
| Amount |
| Rate |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
Citibank N,A, |
|
| UF |
|
| 561,295 |
|
| 4.940 | % |
| THUS$ |
|
| 18,621 |
|
| 7.06 | % |
Morgan Stanley Capital Services |
|
| UF |
|
| 1,122,589 |
|
| 4.939 | % |
| THUS$ |
|
| 37,243 |
|
| 7.09 | % |
Citibank N,A, |
|
| UF |
|
| 1,000,000 |
|
| 4.2058 | % |
| THUS$ |
|
| 33,523 |
|
| 5.75 | % |
Santander Santiago |
|
| UF |
|
| 1,000,000 |
|
| 4.2058 | % |
| THUS$ |
|
| 33,523 |
|
| 5.60 | % |
J,P, Morgan |
|
| UF |
|
| 441,612 |
|
| 4.6948 | % |
| THUS$ |
|
| 15,000 |
|
| 6.59 | % |
b) Investment Agreement:
|
| Receivable |
| Payable |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Currency |
| Amount |
| Rate |
| Currency |
| Amount |
| Rate |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
Morgan Stanley Capital Services |
|
| THU$ |
|
| 16,000 |
|
| 6.20 | % |
| MXN |
|
| 183,200 |
|
| 11.75 | % |
The Company utilizes its derivative contracts in order to reduce the effects of currency fluctuation and to fix interest rates, In Sept, 2005 the Company sold various currency contracts for a nominal value of approximately US$ 130 millions, which generated ThUS$5,135 in profit. This profit was accounted as non operating result, thus reducing the exchange rate fluctuation losses.
51
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Affected Account |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
|
|
|
|
|
|
|
| Description of the contract |
|
|
| Assets / Liabilities |
| Effect On |
|
|
| ||||||||
|
|
|
|
|
|
|
|
| Protected |
|
|
|
|
| |||||||||||
Type |
| Contract |
| Value |
| Maturity |
| Class |
| Buy/Sale |
| Name |
| Amount |
|
| Name |
| Amount |
| Realized |
| Unrealized |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
S |
| CCPE |
| 23,277 |
| IV-2010 |
| Currency exchange |
| C |
| U.F. Bonds |
| 18,621 |
| 19,331 |
| Other long-term assets |
| 780 |
| - 437 |
| 413 |
|
S |
| CCPE |
| 46,553 |
| IV-2010 |
| Currency exchange |
| C |
| U.F. Bonds |
| 37,243 |
| 38,663 |
| Other long-term assets |
| 1,493 |
| -891 |
| 509 |
|
S |
| CCPE |
| 33,523 |
| IV-2012 |
| Currency exchange |
| C |
| U.F. Bonds |
| 33,523 |
| 34,441 |
| Other long-term assets |
| 1,498 |
| - 455 |
| 1,367 |
|
S |
| CCPE |
| 33,523 |
| IV-2012 |
| Currency exchange |
| C |
| U.F. Bonds |
| 33,523 |
| 34,441 |
| Other long-term assets |
| 1,531 |
| - 405 |
| 1,413 |
|
S |
| CCPE |
| 15,000 |
| IV-2026 |
| Currency exchange |
| C |
| U.F. Bonds |
| 15,000 |
| 15,209 |
| Other long-term assets |
| 540 |
| - 194 |
| 74 |
|
S |
| CI |
| 20,000 |
| IV-2010 |
| Currency exchange |
| C |
| Future Flows |
| 16,000 |
| 16,965 |
| Other long-term liabilities |
| 2,155 |
| -2,155 |
|
|
|
52
NOTE 28 CONTINGENCIES AND RESTRICTIONS
The following are the contingencies and commitments outstanding at the end of the period:
a) Covenants.
All the Company’s covenants are being met at the date of these financial statements.
Masisa S.A.
- Domestic issue and placement of bonds
The issue and placement indenture for the bonds made in December 2003 by the former Masisa S.A. on the domestic market, for ThUF 2,500 at 7 years with 2 year’s grace, and for ThUF 702 at 21 years with 7 year’s grace, sets out certain obligations (today assumed by Masisa S A,) and/or its subsidiaries that are normal in this kind of transaction, These include the following:
- Maintenance of insurance cover over the principal assets in line with industry standards;
- Provide the Bond-Holders’ Representative with quarterly and annual unconsolidated and consolidated financial statements of the issuer and its subsidiaries, subject to the standards applicable to open corporations, and copies of credit-rating agency reports;
- Maintenance to date of the accounting books of the parent and its subsidiaries;
- Carry out transactions with subsidiaries on market conditions;
- Prohibition on providing financing to any entity in the business group that is neither the issuer nor any of its subsidiary or associate companies;
- Maintain in its quarterly financial statements, effective from December 31, 2005, a debt ratio (defined as total liabilities to shareholders’ equity) of no higher than 0.9:1, measured on the figures in its unconsolidated and consolidated financial statements.
- On August 13, 2003, Masisa S.A. (formerly Terranova S.A.) placed bonds for ThUS$ 30,000 for 5 years with a bullet repayment, This placement commits the company to:
- Maintain the inscription in the Securities Register of the SVS continuously and uninterruptedly, Maintain insurance cover that reasonably protects the operating assets in line with normal practices for companies of the Company’s nature and business.
- Carry out transactions between related parties on market conditions.
- Maintain minimum forest reserves of 60,000 hectares of radiata pine forest planted in Chile with an average age of over 8 years.
- Maintain a ratio of debt to shareholders’ equity also known as the leverage, at a consolidated and unconsolidated level of no more than 0.85.
- On January 12, 2006, Masisa S.A. placed bonds for ThUF 2,000 at 7 year’s term with 2 year’s grace, and ThUF 2,750 at 21 years with 1 year’s grace. This placement obliges the Company to comply with the following covenants:
- Maintain the inscription in the Securities Register of the SVS continuously and uninterruptedly, Maintain insurance cover that reasonably protects the operating assets in line with normal practices for companies of the Company’s nature and business.
- Carry out transactions between related parties on market conditions.
- Maintain minimum forest reserves of 30,000 hectares of radiata pine forest planted in Chile with an average age of over 8 years
- Maintain a ratio of debt to shareholders’ equity, also known as the leverage, at a consolidated and unconsolidated level of no more than:
i, 0.90 times between March 31, 2006 and the maturity of the bonds.
53
Masisa Overseas Ltd.
The Parent company and the subsidiaries Masisa Argentina S.A. and Maderas y Sintéticos de México S.A. de C.V. have guaranteed loans granted to the subsidiary Masisa Overseas Ltd, These include compliance with certain obligations that are normal for this kind of transaction, which are set out below, The financial ratios have to be calculated on the basis of the consolidated financial statements of Masisa S.A..
- Private Placement
Resulting from private loans obtained abroad through the subsidiary Masisa Overseas Ltd,, Masisa S.A. is subject to compliance with certain obligations that are normal for this kind of transaction, including the following, as set out in the respective loan agreements: compliance with current legislation; maintenance of insurance cover; maintenance of its properties; compliance with certain financial ratios, including a maximum debt ratio (leverage) of 1:1, a consolidated net tangible equity of no less than ThUS$193,236 and a financial expense ratio of no lower than 1,5:1 (income for the year before financial expenses and taxes to financial expenses); maintenance of a 100% holding in the capital of Masisa Overseas Ltd, and 66,6% holding in Masisa Argentina S.A.; prohibition on certain transactions with related parties; extend to the bond-holders any new collateral that Masisa S.A. and/or its subsidiaries grant in favor of third parties to cover new debts or debts existing at the date of the contract, with certain exceptions including those that have to be granted in the normal course of their business to cover the payment terms for new acquisitions and those related to letters of credits, among others.
- Rabobank Syndicated Loan
The syndicated loan agreement signed on December 20, 2005 with Rabobank Curacao N,V,, West LB AG, New York branch, The Bank of Nova Scotia, Citibank N,A,, Nassau, Bahamas branch and ABN Amro Bank N,V,, commits Masisa S.A., as the guarantor, to comply with certain covenants, mainly referring to compliance with legislation, maintenance of insurance cover, maintenance of its properties, and compliance with certain financial covenants based on its consolidated financial statements, like:
| Minimum board installed production capacity: 1,200,000 anual cubic meters. |
| Interest cover greater than 3.0 |
| Net shareholders’ equity greater than US$980 million. |
| Net debt to equity ratio no higher than 0.9:1 |
Masisa Argentina S.A.
The Parent company has guaranteed loans obtained by the subsidiary Masisa Argentina S.A. These contemplate compliance with certain obligations normal in this type of transaction, as per the terms and conditions of the respective loan agreements, Those related to financial ratios should be calculated on the basis of the consolidated financial statements.
- Rabobank Nederland
The loan granted by Cooperative Centrale Raiffeisen-Boerenleenbank B,A, (Rabobank Nederland) to Masisa Argentina S.A. states that the parent and/or its subsidiaries are subject to certain obligations that are normal for this kind of transaction, including the following, as per the terms and conditions of the respective loan agreement: maintain the company’s present business and legal existence; maintain the fixed assets necessary for the company’s ordinary business; comply with applicable laws and regulations; send financial information on the company without delay; contract and maintain insurance to suitably cover the risks common to the industry; maintain a debt level no higher than 0.9:1; maintain a financial expense coverage ratio of no less than 3:1; maintain a consolidated equity of no less than US$345 million; prohibition on charging assets, except on the terms set out in the agreement; carry out transactions with related parties at market prices; prohibition on providing financing to any entity in the business group that is neither the borrower nor any of its subsidiary or associate companies.
54
- Banco de Crédito e Inversiones
The loan granted by Banco de Crédito e Inversiones to Masisa Argentina S.A. states that the parent and/or its subsidiaries are subject to certain obligations that are normal for this kind of transaction, including the following, as per the terms and conditions of the respective loan agreement: maintain the company’s present business and legal existence; send financial information on the company without delay; contract and maintain insurance to suitably cover the risks common to the industry; maintain a debt level no higher than 0.9:1; maintain a financial expense coverage ratio of no less than 3:1; maintain a consolidated equity of no less than US$345 million; prohibition on charging assets, except on the terms set out in the agreement.
Inversiones Internacionales Terranova S.A.
- The loan agreements signed by Inversiones Internacionales Terranova S.A. with the German bank WestLB commit Masisa S.A., as guarantor, to comply with certain obligations referring mainly to not significantly changing its business, providing financial information periodically, maintaining current its obligation to third parties, obtaining the prior consent of those banks for disposing of, transferring or selling a substantial part of its assets or granting security over them.
Fibranova C.A., Andinos C.A. and Masisa Madeiras Ltda.
- The syndicated loan agreement signed on February 2, 2001 by the foreign subsidiaries Andinos C.A., Fibranova C.A. and Masisa Madeiras Ltda. (formerly Terranova Brasil Ltda.) with the Chilean banks Banco Santander-Chile, Banco del Estado and Banco BBVA, for a total sum of ThUS$ 85,000, provides that Masisa S.A., as guarantor, must comply with certain obligations referring mainly to not significantly changing its business, providing financial information periodically, maintaining current its obligation to third parties, obtaining the prior consent of those banks for disposing of, transferring or selling a substantial part of its assets or granting security over them, The loan agreement also commits the Company to compliance with certain financial ratios, on the basis of its consolidated financial statements:
Debt ratio, maximum: 0.85:1 |
Maximum financial debt to cash generation ratio: 5.5:1 (2004); 5.0:1 (2005); 4.5:1 (2006); 4.0:1 (2007), |
Minimum cash generation to financial expense ratio: 2.5:1 (2004); 2.65:1 (2005); 3.0:1 (2006); 3.25:1 (2007) |
Minimum tangible net equity: ThUS$700,000 |
Fibranova C.A. and Andinos C.A.
- The loan agreement signed on February 26, 2004 by the foreign subsidiaries Fibranova C.A. and Andinos C.A., of Venezuela, with the German bank KfW, commits Masisa S.A., as guarantor, to comply with certain obligations referring mainly to not significantly changing its business, maintaining indirect control over both debtors, providing financial information periodically, maintaining current its obligation to third parties, obtaining the prior consent of those banks for disposing of, transferring or selling a substantial part of its assets or granting security over them.
55
Fibranova C.A.
The syndicated loan agreement signed on April 15, 2002 by the foreign subsidiary Fibranova C.A., in Venezuela, with the Chilean banks Banco Santander-Chile, Banco de Crédito e Inversiones, Banco Corpbanca and Banco Security commits Masisa S.A., as guarantor, to comply with certain obligations referring mainly to not significantly changing its business, providing financial information periodically, maintaining current its obligation to third parties, obtaining the prior consent of those banks for disposing of, transferring or selling a substantial part of its assets or granting security over them, The loan agreement also commits the Company to comply with certain financial ratios, on the basis of its consolidated financial statements:
Debt ratio, maximum: 0.85:1 |
Maximum financial debt to cash generation ratio: 5.5:1 (2004); 5.0:1 (2005); 4.5:1 (2006); 4.0:1 (2007). |
Minimum cash generation to financial expense ratio: 2.5:1 (2004); 2.65:1 (2005); 3.0:1 (2006); 3.25:1 (2007) |
Minimum tangible net equity: ThUS$700,000 |
Forestal Argentina S.A.
- On September 2, 2005, Masisa S.A. became a joint and several guarantor in favor of Banco Cooperative Centrale Raiffeisen-Boerenleenbank B,A, (Rabobank Nederland) for the loan granted by that bank the same year to the subsidiary Forestal Argentina S.A. This loan was to be used to restructure its financial debt. The loan agreement states that Masisa S.A., as guarantor, should comply with certain obligations normal to this type of transaction, The loan agreement also obliges Masisa,S.A. to comply with the certain financial ratios, on the basis of its consolidated financial statements:
Minimum installed board production capacity: 1,200,000 annual cubic meters |
Maximum debt level: 0.9:1 |
Minimum interest coverage: 3:1 |
Minimum forestry asset coverage: 1.5:1 |
Minimum net tangible equity: ThUS$700,000 |
Forestal Tornagaleones S.A.
- On October 15, 1998, Forestal Tornagaleones S.A. signed a loan agreement with Rabobank Investments Chile S.A. and granted security in the form of a mortgage over land and plantations for the term of the loan, The loan was renewed on August 9, 2005. The value of this goods by the close of this financial statements aomounts to THUS$ 35,372, divided into Plantations, THUS$28,689 and Lands THUS$ 6,683.
b) Deferred customs duties
At December 31, 2006, the Company owed deferred customs duties of ThUS$18 (ThUS$117 in 2005),
Expiry |
| ThUS$ |
| |
|
| |||
2007 |
|
| 18 |
|
|
|
| ||
Total |
|
| 18 |
|
56
c) Insurance
As of December 31, 2006, the main insurance taken out by the Parent Company and its subsidiaries is as follows:
- Insurance for plantations of local subsidiaries THUS$374,609,
- Insurance on physical assets and inventories from local subsidiaries amount to approximately THUS$199,626 and THUS$ 130,974 for fixed costs in case of shutdown of the plants.
- Corporate civil liability insurance, including coverage for personal accidents and third-party damages for THUS$10,000.
- With regard to its subsidiaries in Brazil, insurance for plantations amount to THUS$102,289; for physical assets and inventories to THUS$193,009 and to THUS$83,566 for fixed costs in case of shutdown of plants.
- The companies in Venezuela have taken out insurance for physical assets and inventories amounting to THUS$235,204 and THUS$46,138 for fixed costs in case of shutdown of plants, There is no insurance for plantations, since there is no market for this kind of insurance in Venezuela.
- The subsidiaries in Mexico have taken out insurance for physical assets and inventories amounting to THUS$39,521 and THUS$19,362 for fixed costs in case of shutdown of plants.
- The companies in Argentina have taken out the following insurance: for forest plantations THUS$54,228, for physical assets and inventories THUS$180,677 and THUS$39,322 for fixed costs in case of shutdown of plants.
- The US subsidiary has insurance for physical assets and inventories for THUS$24,970 and THUS$3,000, for fixed costs en case of plant shutdown.
d) Other Contingencies
Through Resolution No,203, dated August 29th, 2003, the Internal Revenue Service notified the company that it is not applicable to record in Chile (and for the purpose of establishing its first-category taxable income), the income of some of its foreign agencies, According to the background information that the company has, Resolution No, 203 would have an effect on the losses recorded by the company which amount to US$ 39,2 million as a result of deferred taxes, recoverable taxes and tax losses already used.
The Company refuted Resolution No, 203 pursuant to the procedure established in articles 123 and following of the Tax Code, Based on the background information that the company has, as well as the opinion of its legal advisors and the administrative law of the “Servicio de Impuestos Internos” (Internal Revenue Service) which has a bearing on the judgment of Resolution No, 203, it seems unlikely that the final judgment of the claim process will have an unfavorable effect on deferred taxes, recoverable taxes and tax losses for US$ 39.2 million recorded by the company.
e) Bargain and Sale of shares and Shareholders Agreement
- | By the incorporation of Oxinova C.A. an affiliate in the Republic of Venezuela, the affiliate Inversiones Internacionales Terranova S.A. signed a shareholders agreement with the company Oxiquim S.A., mainly for the purpose of restricting the sale of shares, in order not to establish a pledge, levy or any share that is of its property and to maintain the control of Fibranova C.A., whether through Masisa S.A. or directly. |
57
- | Chilean affiliate Inversiones Internacionales Terranova S.A. signed on the 23rd of may, 2002, a shareholders agreement with Corporación Venezolana de Guayana (CVG) a self governing state owned organization in order to regulate the principles, the rights and obligations of the Parties in and Venezuelan corporation that they would incorporate for the construction, administration and operation of a fluvial port in the northern riverbank of Orinoco River, Macapaima, Venezuela. |
To the closing date of these financial statements, due to diverse considerations, the previously mentioned corporation has not yet been incorporated.
f) Contract for Wood Purchasing.
As of the end of the fiscal year, the affiliate company Terranova de Venezuela S.A.(“TDVSA”) maintains a contract for the purchase of Caribbean Pine wood which was signed on May, 1997, The plantation that is the object of the contract covers a total of 59,000 hectares in the State of Monagas in Venezuela, which is made up of two sites of 30,000 and 29,000 hectares, The exploitation term for such man made plantations is 30 years and the resources that are not used shall be returned to CVG Proforca C.A.
The signed contract takes the following conditions into account:
1. | The land sites where the plantations are located are the property of the company CVG Proforca C.A., and they are not part of the sale. |
|
|
2. | The processing of the documents and obtaining future permits that may be required and its costs, shall be on the account for TDVSSA. |
|
|
3. | CVG,Proforca C.A. shall compensate TDVSA in the event that the latter incurred expenses and costs due to the non compliance of CVG Proforca C.A. as owner, holder and operator of the mentioned goods. |
|
|
4. | TDVSA is bound to comply with environmental protection regulations in order to prevent fires, industrial hygiene and safety, current lumbering and maintenance of feasibility and infrastructure, as well as how to carry out the risk analysis in order to prevent fires and the creation of an operational plan for fighting fires. |
|
|
5. | TDVSA shall have the required insurance policies in order to cover third party expenditures, while the beneficiary shall be CVG Proforca C.A. |
|
|
| On March 20, 2006, Terranova Venezuela agreed to provide THUS$740 to CVG Proforca to prevent fires that could affect the plantations. |
g) Rental contract of Sawmill Uverito
In May 1997, the affiliate company Terranova de Venezuela S.A.(“TDVSA”) signed a contract for the rental of a sawmill with CVG Proforca C.A., with the single payment of THUS$ 10,000 during a 15 year term as of 1997.
On March 20, 2006, Terranova Venezuela and CVG Proforca agreed the following:
- Terminate in advance the rent contract of Uverito sawmill, without having CVG Proforca to do any payment for the termination of the contract.
58
- Terranova Venezuela commits to do a series of tasks described in a chronogram which is part of the agreement, with the purpose of placing the sawmill in similar operational conditions to the valid ones at the moment of its reception in 1997.
- At the end the reconditioning, Terranova Venezuela will have to consign a guarantee for the equipments functioning for 4 months, which will not include the bad use nor out ware of the equipments, nor implicate the un fulfillment of the reconditioning tasks by Terranova de Venezuela.
h) Beneficial interest contract of 30,000 hectares
In May 1997, the affiliate company Terranova de Venezuela S.A.(“TDVSA”) signed a contract with CVG Proforca C.A. a contract whereby the latter company assigns the rights of use of a site of land of 30,000 hectares, which corresponds to one of the two sites that the contract for the purchase of wood mentions.
This contract shall be in force for 30 years, nevertheless, the rights of use shall cease after TDVSA has exploited all forestry resources as of the twentieth year, In consideration, TDVSA shall transfer to CVG Proforca C.A. the property over such forestry resources that have been planted on their account, which shall have less than 10 years, in a surface that is not less than 7,500 hectares and no less than 400 plants by hectare of Caribbean Pine.
TDVSA committed itself among other things, to the following:
- | To reforest on its account for its benefit (except for the previously mentioned consideration to CVG Proforca C.A.) the parts that have been planted by TDVSA during the first twenty years this contract is valid. |
|
|
- | To establish a bond for the true compliance of obligations assumed under this contract in favor of CVG Proforca C.A. for the total amount of THUS$300. |
59
|
| Debtor |
| Guaranty |
| Compromised Assets |
| Outstanding |
| Liberation of guarantees | ||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||
Institution |
| Name |
| Relation |
|
| Type |
| Account value |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2007 |
| Assets |
| 31-12-2008 |
| Assets |
| 31-12-2009 |
| Assets | |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BANCO BBVA |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 758 |
| 758 |
| 2,617 |
| 469 |
|
|
| 289 |
|
|
| 0 |
|
|
BANCO DEL ESTADO DE CHILE |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 1,458 |
| 1,458 |
| 2,005 |
| 903 |
|
|
| 556 |
|
|
| 0 |
|
|
BANCO SANTANDER |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 2,742 |
| 2,742 |
| 2,088 |
| 1,697 |
|
|
| 1,044 |
|
|
| 0 |
|
|
BANCO SANTIAGO |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 0 |
| 0 |
| 1,672 |
|
|
|
|
|
|
|
|
|
|
|
|
ABN AMRO BANK |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 0 |
| 0 |
| 1,444 |
|
|
|
|
|
|
|
|
|
|
|
|
BANQUE EUROPEENNE POUR AMERICAN |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 2,673 |
|
|
|
|
|
|
|
|
|
|
|
|
CITIBANK VENEZUELA |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 2,234 |
| 2,234 |
| 1,732 |
| 2,234 |
|
|
| 0 |
|
|
| 0 |
|
|
WESTDEUTSCHE LANDESBANK |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 1,059 |
| 1,059 |
|
|
| 1,059 |
|
|
|
|
|
|
|
|
|
|
KREDITANSTALT FUR WIEDERAUFBAU |
| ANDINOS C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 1,356 |
| 1,356 |
| 1,710 |
| 406 |
|
|
| 380 |
|
|
| 380 |
|
|
RABOBANK NEDERLAND |
| FORESTAL ARGENTINA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 5,289 |
| 5,289 |
| 5,419 |
| 429 |
|
|
| 540 |
|
|
| 360 |
|
|
ABN AMRO BANK |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 7,976 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO PROVINCIAL |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 8,423 |
| 8,423 |
|
|
| 8,423 |
|
|
|
|
|
|
|
|
|
|
BANCO BBVA |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 2,528 |
| 2,528 |
| 2,901 |
| 1,565 |
|
|
| 963 |
|
|
| 0 |
|
|
BANCO CORPBANCA |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 24,556 |
| 24,556 |
| 21,218 |
| 16,546 |
|
|
| 8,011 |
|
|
|
|
|
|
BANCO DE CRÉDITO E INVERSIONES |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 8,037 |
| 8,037 |
| 8,922 |
| 5,537 |
|
|
| 2,500 |
|
|
|
|
|
|
BANCO DE VENEZUELA S.A. |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 19,370 |
| 19,370 |
| 23,178 |
| 19,370 |
|
|
|
|
|
|
|
|
|
|
BANCO DEL ESTADO DE CHILE |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 8,678 |
| 8,678 |
| 9,955 |
| 5,372 |
|
|
| 3,306 |
|
|
|
|
|
|
BANCO MERCANTIL |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 26,835 |
| 26,835 |
| 16,420 |
| 26,835 |
|
|
|
|
|
|
|
|
|
|
BANCO SANTANDER |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 3,804 |
| 3,804 |
| 10,454 |
| 2,621 |
|
|
| 1,183 |
|
|
|
|
|
|
BANQUE EUROPEENNE POUR AMERICAN |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 6,527 |
|
|
|
|
|
|
|
|
|
|
|
|
SECURITY BANK |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 2,917 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO SECURITY |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 3,750 |
| 3,750 |
| 1,240 |
| 2,584 |
|
|
| 1,167 |
|
|
|
|
|
|
CITIBANK VENEZUELA |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 579 |
| 579 |
|
|
| 579 |
|
|
| 0 |
|
|
| 0 |
|
|
WESTDEUTSCHE LANDESBANK |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 16,517 |
| 16,517 |
|
|
| 13,440 |
|
|
| 3,077 |
|
|
| 0 |
|
|
60
|
| Debtor |
| Guaranty |
| Compromised Assets |
| Outstanding amount as of the end of the period |
| Liberation of guarantees | ||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||
Institutionl |
| Name |
| Relation |
|
| Type |
| Account |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2007 |
| Assets |
| 31-12-2008 |
| Assets |
| 31-12-2009 |
| Assets | |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BNP PARIBAS |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 7,539 |
| 7,539 |
| 7,350 |
| 7,539 |
|
|
|
|
|
|
|
|
|
|
CORPBANCA VENEZUELA |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 0 |
| 0 |
| 1,440 |
|
|
|
|
|
|
|
|
|
|
|
|
KREDITANSTALT FUR WIEDERAUFBAU |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 12,204 |
| 12,204 |
| 15,390 |
| 3,654 |
|
|
| 3,420 |
|
|
| 3,420 |
|
|
BANCO CORPBANCA |
| FIBRANOVA C.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 2,738 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO DE CRÉDITO E INVERSIONES |
| MASISA ARGENTINA S.A. |
| Subsidiary |
|
|
|
|
| 9,790 |
| 9,790 |
| 12,722 |
| 2,846 |
|
|
| 2,778 |
|
|
| 2,778 |
|
|
RABOBANK NEDERLAND |
| MASISA ARGENTINA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 8,813 |
| 8,813 |
| 12,708 |
| 2,563 |
|
|
| 2,500 |
|
|
| 2,500 |
|
|
ABN AMRO BANK |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 11,037 |
| 11,037 |
|
|
| 37 |
|
|
|
|
|
|
| 2,200 |
|
|
CITIBANK N.A. |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 24,834 |
| 24,834 |
| 118 |
| 84 |
|
|
|
|
|
|
| 4,950 |
|
|
RABOBANK NEDERLAND |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 24,834 |
| 24,834 |
|
|
| 84 |
|
|
|
|
|
|
| 4,950 |
|
|
THE BANK OF NOVA SCOTIA |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 24,834 |
| 24,834 |
| 21,476 |
| 84 |
|
|
|
|
|
|
| 4,950 |
|
|
BANCO CHILE NEW YORK BRANK |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 0 |
| 0 |
| 10,942 |
|
|
|
|
|
|
|
|
|
|
|
|
WESTDEUTSCHE LANDESBANK |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 24,834 |
| 24,834 |
|
|
| 84 |
|
|
|
|
|
|
| 4,950 |
|
|
PRIVATE PLACEMENT |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 18,185 |
| 18,185 |
| 27,840 |
| 9,185 |
|
|
| 9,000 |
|
|
| 0 |
|
|
COMERICA BANK |
| MASISA OVERSEAS LIMITED |
| Subsidiary |
| Suretyship |
| Net Worth |
| 0 |
| 0 |
| 8,751 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO BBVA |
| MASISA MADEIRAS LIMITADA |
| Subsidiary |
| Suretyship |
| Net Worth |
| 394 |
| 394 |
| 578 |
| 201 |
|
|
| 193 |
|
|
| 0 |
|
|
BANCO DEL ESTADO DE CHILE |
| MASISA MADEIRAS LIMITADA |
| Subsidiary |
| Suretyship |
| Net Worth |
| 757 |
| 757 |
| 1,111 |
| 386 |
|
|
| 370 |
|
|
| 0 |
|
|
BANCO ITAU BBA |
| MASISA MADEIRAS LIMITADA |
| Subsidiary |
|
|
|
|
|
|
|
|
| 4,000 |
|
|
|
|
|
|
|
|
|
|
|
|
61
|
| Debtor |
| Guaranty Type |
| Compromised Assets |
| Outstanding |
| Liberation of guarantees | ||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||
Institution |
| Name |
| Relation |
|
| Type |
| Account value |
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2007 |
| Assets |
| 31-12-2008 |
| Assets |
| 31-12-2009 |
| Assets | |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BANCO SANTANDER |
| MASISA MADEIRAS LIMITADA |
| Subsidiary |
| Suretyship |
| Net Worth |
| 1,423 |
| 1,423 |
| 2,088 |
| 727 |
|
|
| 696 |
|
|
| 0 |
|
|
WESTDEUTSCHE LANDESBANK |
| INV.S INT. TERRANOVA |
| Subsidiary |
| Suretyship |
| Net Worth |
| 4,355 |
| 4,355 |
| 7,044 |
| 1,743 |
|
|
| 1,741 |
|
|
| 871 |
|
|
KREDITANSTALT FUR WIEDERAUFBAU |
| INV.S INT. TERRANOVA |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 27,664 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO BBVA |
| INV.S INT. TERRANOVA |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 1,407 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO DEL DESARROLLO |
| INV.S INT. TERRANOVA |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 3,035 |
|
|
|
|
|
|
|
|
|
|
|
|
CITIBANK VENEZUELA |
| TERRANOVA VENEZUELA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 3,773 |
| 3,773 |
|
|
| 3,733 |
|
|
| 0 |
|
|
| 0 |
|
|
WESTDEUTSCHE LANDESBANK |
| TERRANOVA VENEZUELA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
| 10,282 |
| 10,282 |
|
|
| 8,367 |
|
|
| 1,915 |
|
|
| 0 |
|
|
BANQUE EUROPEENNE POUR AMERICAN |
| TERRANOVA VENEZUELA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 498 |
|
|
|
|
|
|
|
|
|
|
|
|
CORPBANCA VENEZUELA |
| TERRANOVA VENEZUELA S.A. |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 426 |
|
|
|
|
|
|
|
|
|
|
|
|
BANCO DE CHILE |
| OXINOVA C.A. |
| Joined |
| Suretyship |
| Net Worth |
| 4,900 |
| 4,900 |
|
|
| 4,900 |
|
|
|
|
|
|
| 0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
HSBC |
| MASISA USA INC |
| Subsidiary |
| Suretyship |
| Net Worth |
|
|
|
|
| 4,527 |
|
|
|
|
|
|
|
|
|
|
|
|
62
NOTE 29: GUARANTEES RECEIVED FROM THIRD PARTIES
At the closing of these financial statements and to guarantee the payment and fulfillment of client obligations related to business operations, guarantees for THU$9,132 (THUS$3,054 in 2005) have been received, consisting of pledges, mortgages, endorsement of loan insurance policies, special commands, guarantees and joint debts.
63
NOTE 30 – NATIONAL AND FOREIGN CURRENCY
a) Assets
The breakdown of all foreign currency accounts is as follows:
|
| Amount |
| |||||||
|
|
| ||||||||
Account |
| Currency |
| 31-12-2006 |
| 31-12-2005 |
| |||
|
|
|
| |||||||
Cash |
|
| Chilena Peso |
|
| 970 |
|
| 654 |
|
Cash |
|
| Dollars |
|
| 3,786 |
|
| 2,232 |
|
Cash |
|
| Argentinean Peso |
|
| 381 |
|
| 182 |
|
Cash |
|
| Brazilian Real |
|
| 4,116 |
|
| 2,945 |
|
Cash |
|
| Mexican Peso |
|
| 6,612 |
|
| 1,947 |
|
Cash |
|
| Bolivars |
|
| 397 |
|
| 3,752 |
|
Cash |
|
| Other Currencies |
|
| 437 |
|
| 249 |
|
Cash |
|
| Euro |
|
| 6 |
|
| 26 |
|
Time deposit |
|
| Dollars |
|
| 20,312 |
|
| 69,694 |
|
Time deposit |
|
| Euro |
|
| 71 |
|
|
|
|
Time deposit |
|
| Bolivars |
|
| 931 |
|
| 2,073 |
|
Time deposit |
|
| Brazilian Real |
|
| 6,198 |
|
| 11,139 |
|
Time deposit |
|
| Other Currencies |
|
| 1,876 |
|
|
|
|
Marketable securities |
|
| Chilena Peso |
|
| 956 |
|
| 2,229 |
|
Marketable securities |
|
| Other Currencies |
|
| 0 |
|
| 195 |
|
Accounts receivable |
|
| Chilena Peso |
|
| 25,960 |
|
| 23,561 |
|
Accounts receivable |
|
| Euro |
|
| 245 |
|
| 46 |
|
Accounts receivable |
|
| Dollars |
|
| 62,165 |
|
| 32,529 |
|
Accounts receivable |
|
| Argentinean Peso |
|
| 3,593 |
|
| 2,689 |
|
Accounts receivable |
|
| Brazilian Real |
|
| 473 |
|
| 16,818 |
|
Accounts receivable |
|
| Bolivars |
|
| 11,978 |
|
| 5,534 |
|
Accounts receivable |
|
| Other Currencies |
|
| 2,889 |
|
| 3,441 |
|
Accounts receivable |
|
| Mexican Peso |
|
| 17,804 |
|
| 15,454 |
|
Notes receivable |
|
| Chilena Peso |
|
| 3,236 |
|
| 5,166 |
|
Notes receivable |
|
| Dollars |
|
| 2,077 |
|
| 2,856 |
|
Notes receivable |
|
| Argentinean Peso |
|
| 2,594 |
|
| 2,934 |
|
Notes receivable |
|
| Other Currencies |
|
| 0 |
|
| 4 |
|
Notes receivable |
|
| Brazilian Real |
|
| 0 |
|
| 7 |
|
Notes receivable |
|
| Mexican Peso |
|
| 2,223 |
|
| 2,198 |
|
Sundry debtors |
|
| Chilena Peso |
|
| 4,918 |
|
| 4,594 |
|
Sundry debtors |
|
| Dollars |
|
| 5,018 |
|
| 4,938 |
|
Sundry debtors |
|
| Bolivars |
|
| 2,929 |
|
| 3,082 |
|
Sundry debtors |
|
| Euro |
|
| 0 |
|
| 288 |
|
Sundry debtors |
|
| Argentinean Peso |
|
| 871 |
|
| 1,070 |
|
Sundry debtors |
|
| Brazilian Real |
|
| 2,880 |
|
| 2,452 |
|
Sundry debtors |
|
| Mexican Peso |
|
| 1,279 |
|
| 3,429 |
|
Sundry debtors |
|
| Other Currencies |
|
| 919 |
|
| 518 |
|
64
|
| Amount |
| |||||||
|
|
| ||||||||
Account |
| Currency |
| 31-12-2006 |
| 31-12-2005 |
| |||
|
|
|
| |||||||
Notes receivable from related companies |
|
| Dollars |
|
| 7,378 |
|
| 5,296 |
|
Inventories |
|
| Dollars |
|
| 185,777 |
|
| 222,465 |
|
Recoverable taxes |
|
| Chilena Peso |
|
| 34,849 |
|
| 19,908 |
|
Recoverable taxes |
|
| Dollars |
|
| 2,387 |
|
| 3,220 |
|
Recoverable taxes |
|
| Argentinean Peso |
|
| 3,630 |
|
| 5,117 |
|
Recoverable taxes |
|
| Brazilian Real |
|
| 6,061 |
|
| 7,355 |
|
Recoverable taxes |
|
| Mexican Peso |
|
| 461 |
|
| 3,269 |
|
Recoverable taxes |
|
| Bolivars |
|
| 12,486 |
|
| 12,909 |
|
Recoverable taxes |
|
| Other Currencies |
|
| 2,363 |
|
| 807 |
|
Prepaid expenses |
|
| Chilena Peso |
|
| 1,027 |
|
| 2,885 |
|
Prepaid expenses |
|
| Dollars |
|
| 2,696 |
|
| 2,554 |
|
Prepaid expenses |
|
| Argentinean Peso |
|
| 155 |
|
| 188 |
|
Prepaid expenses |
|
| Bolivars |
|
| 670 |
|
| 279 |
|
Prepaid expenses |
|
| Brazilian Real |
|
| 1,066 |
|
| 1,582 |
|
Prepaid expenses |
|
| Mexican Peso |
|
| 226 |
|
| 55 |
|
Prepaid expenses |
|
| U.F. |
|
| 336 |
|
| 0 |
|
Prepaid expenses |
|
| Other Currencies |
|
| 328 |
|
| 493 |
|
Deferred taxes |
|
| Dollars |
|
| 9,876 |
|
| 2,138 |
|
Others currents assets |
|
| Other Currencies |
|
| 13 |
|
| 105 |
|
Others currents assets |
|
| Chilena Peso |
|
| 0 |
|
| 707 |
|
Others currents assets |
|
| Dollars |
|
| 26 |
|
| 2,086 |
|
Others currents assets |
|
| Argentinean Peso |
|
| 23 |
|
|
|
|
Others currents assets |
|
| Mexican Peso |
|
| 129 |
|
| 2 |
|
Others currents assets |
|
| U.F. |
|
| 2,288 |
|
| 2,305 |
|
Fixed Assets |
|
|
|
|
|
|
|
|
|
|
Fixed Assets |
|
| Dollars |
|
| 1,557,348 |
|
| 1,455,997 |
|
65
|
| Amount |
| |||||||
|
|
| ||||||||
Account |
| Currency |
| 31-12-2006 |
| 31-12-2005 |
| |||
|
|
|
| |||||||
Others assets |
|
|
|
|
|
|
|
|
|
|
Investments in related companies |
|
| Dollars |
|
| 4,651 |
|
| 4,060 |
|
Investments in other companies |
|
| Chilena Peso |
|
| 0 |
|
| 7 |
|
Investments in other companies |
|
| Dollars |
|
| 173 |
|
| 160 |
|
Investments in other companies |
|
| Other Currencies |
|
| 33 |
|
| 40 |
|
Goodwill |
|
| Dollars |
|
| 1,165 |
|
| 1,249 |
|
Negative goodwill |
|
| Dollars |
|
| -58,352 |
|
| -53,460 |
|
Long term receivables |
|
| Dollars |
|
| 2,109 |
|
| 1,017 |
|
Long term receivables |
|
| Chilena Peso |
|
| 0 |
|
| 2,783 |
|
Long term receivables |
|
| Argentinean Peso |
|
| 33 |
|
|
|
|
Long term receivables |
|
| Brazilian Real |
|
| 1,971 |
|
| 1,101 |
|
Notes and accounts receivable from related companies |
|
| Brazilian Real |
|
| 1,406 |
|
|
|
|
Intangible |
|
| Dollars |
|
| 267 |
|
| 122 |
|
Amortization |
|
| Dollars |
|
| -41 |
|
| -22 |
|
Others |
|
| Chilena Peso |
|
| 396 |
|
| 2,183 |
|
Others |
|
| U.F. |
|
| 10,708 |
|
| 6,824 |
|
Others |
|
| Argentinean Peso |
|
| 84 |
|
| 45 |
|
Others |
|
| Dollars |
|
| 17,562 |
|
| 16,044 |
|
Others |
|
| Brazilian Real |
|
| 1,183 |
|
| 1,008 |
|
Others |
|
| Other Currencies |
|
| 161 |
|
|
|
|
Others |
|
| Mexican Peso |
|
| 126 |
|
| 113 |
|
Total Assets |
|
|
|
|
|
|
|
|
|
|
|
|
| Chilena Peso |
|
| 72,312 |
|
| 64,677 |
|
|
|
| Dollars |
|
| 1,826,380 |
|
| 1,775,175 |
|
|
|
| Argentinean Peso |
|
| 11,364 |
|
| 12,225 |
|
|
|
| Brazilian Real |
|
| 25,354 |
|
| 44,407 |
|
|
|
| Mexican Peso |
|
| 28,860 |
|
| 26,467 |
|
|
|
| Bolivars |
|
| 29,391 |
|
| 27,629 |
|
|
|
| Other Currencies |
|
| 9,019 |
|
| 5,852 |
|
|
|
| Euro |
|
| 322 |
|
| 360 |
|
|
|
| U.F. |
|
| 13,332 |
|
| 9,129 |
|
66
b) Short Term Liabilities
|
| Currency |
| Until 90 days |
| 90 days to 1 year |
| |||||||||||||||||||||
|
|
|
|
| ||||||||||||||||||||||||
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
Account |
|
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
Obligations to banks and financial institutions short/term |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 16 |
|
| 0 |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Obligations to banks and financial institutions short/term |
|
| Dollar |
|
| 3,702 |
|
| — |
|
| 58,655 |
|
| 0.0402 |
|
| 613 |
|
| — |
|
| 10,732 |
|
| 0.0402 |
|
Obligations to banks and financial institutions short/term |
|
| Bolivars |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 61,214 |
|
| — |
|
| 45,718 |
|
| 0.145 |
|
Short/term portion of long/term liabilities to banks and financial institutions |
|
| U.F. |
|
| 0 |
|
| — |
|
| 1,562 |
|
| 0.067 |
|
| 0 |
|
| — |
|
| 1,494 |
|
| 0.067 |
|
Short/term portion of long/term liabilities to banks and financial institutions |
|
| Dollar |
|
| 1,747 |
|
| — |
|
| 9,372 |
|
| 0.0383 |
|
| 51,040 |
|
| — |
|
| 59,715 |
|
| 0.0383 |
|
Short/term portion of long/term liabilities to banks and financial institutions |
|
| Bolivars |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| 3,889 |
|
| 0.1725 |
|
Obligations with the publi short/term portion |
|
| U.F. |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 23,690 |
|
| — |
|
| 175,946 |
|
| 0.0502 |
|
Obligations with the publi short/term portion |
|
| Dollar |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 9,247 |
|
| — |
|
| 9,340 |
|
| 0.0805 |
|
Long/term liabilities due within one year |
|
| Dollar |
|
| 0 |
|
| — |
|
| 1 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Dividends payable |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 323 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Dividends payable |
|
| Dollar |
|
| 473 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| U.F. |
|
| 83 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 21,461 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Dollar |
|
| 16,722 |
|
| — |
|
| 17,337 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Argentinean peso |
|
| 2,931 |
|
| — |
|
| 1,300 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Brazilian Real |
|
| 8,293 |
|
| — |
|
| 5,965 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Bolivars |
|
| 912 |
|
| — |
|
| 1,595 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Mexican peso |
|
| 1,035 |
|
| — |
|
| 3,193 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| EURO |
|
| 701 |
|
| — |
|
| 167 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Accounts payable |
|
| Other Currencies |
|
| 21,583 |
|
| — |
|
| 1,423 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Notes payable |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 6 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Notes payable |
|
| Argentinean peso |
|
| 707 |
|
| — |
|
| 875 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 36 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Dollar |
|
| 1,618 |
|
| — |
|
| 1,250 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Argentinean peso |
|
| 0 |
|
| — |
|
| 57 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Mexican peso |
|
| 7 |
|
| — |
|
| 19 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Bolivars |
|
| 62 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| EURO |
|
| 360 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Sundry creditors |
|
| Other Currencies |
|
| 22 |
|
| — |
|
| 44 |
|
|
|
|
| 0 |
|
| — |
|
| — |
|
| — |
|
67
|
| Currency |
| Until 90 days |
| 90 days to 1 year |
| |||||||||||||||||||||
|
|
|
|
| ||||||||||||||||||||||||
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
Account |
|
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
Notes and accounts payable to related companies |
|
| Dollar |
|
| 0 |
|
| — |
|
| 417 |
|
| — |
|
| 5,451 |
|
| — |
|
| 3,033 |
|
| — |
|
Provisions |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 4,726 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Provisions |
|
| Dollar |
|
| 8,090 |
|
| — |
|
| 5,341 |
|
| — |
|
| 1,068 |
|
| — |
|
| 1,068 |
|
| — |
|
Provisions |
|
| Argentinean peso |
|
| 5,835 |
|
| — |
|
| 4,102 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Provisions |
|
| Bolivars |
|
| 4,829 |
|
| — |
|
| 1,634 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Provisions |
|
| Brazilian Real |
|
| 4,094 |
|
| — |
|
| 3,011 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Provisions |
|
| Mexican peso |
|
| 809 |
|
| — |
|
| 1,589 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Provisions |
|
| Other Currencies |
|
| 6,720 |
|
| — |
|
| 103 |
|
| — |
|
| 297 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 2,412 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Dollar |
|
| 3,336 |
|
| — |
|
| 816 |
|
| — |
|
| 18 |
|
| — |
|
| 21 |
|
| — |
|
Withholdings |
|
| Bolivars |
|
| 1,086 |
|
| — |
|
| 1,148 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Argentinean peso |
|
| 996 |
|
| — |
|
| 748 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Brazilian Real |
|
| 6,047 |
|
| — |
|
| 5,029 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Mexican peso |
|
| 2,656 |
|
| — |
|
| 1,104 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Withholdings |
|
| Other Currencies |
|
| 105 |
|
| — |
|
| 46 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income tax |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| 1,227 |
|
| — |
|
Income tax |
|
| Dollar |
|
| 1,556 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| 461 |
|
| — |
|
Income tax |
|
| Argentinean peso |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| 5,495 |
|
| — |
|
| 3,493 |
|
| — |
|
Income tax |
|
| Bolivars |
|
| 106 |
|
| — |
|
| 148 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income tax |
|
| Brazilian Real |
|
| 192 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income tax |
|
| Mexican peso |
|
| 37 |
|
| — |
|
| 286 |
|
| — |
|
| 6 |
|
| — |
|
| 946 |
|
| — |
|
Income tax |
|
| Other Currencies |
|
| 1,431 |
|
| — |
|
| 894 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Income received in advance |
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 16 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income received in advance |
|
| Dollar |
|
| 255 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income received in advance |
|
| Bolivars |
|
| 8 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income received in advance |
|
| Argentinean peso |
|
| 0 |
|
| — |
|
| 175 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income received in advance |
|
| Mexican peso |
|
| 0 |
|
| — |
|
| 40 |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Income received in advance |
|
| Other Currencies |
|
| 16 |
|
| — |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Other current liabilities |
|
| Dollar |
|
| 47 |
|
| — |
|
| — |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
| — |
|
Other current liabilities |
|
| Argentinean peso |
|
| 0 |
|
| — |
|
| 97 |
|
| 0 |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
Other current liabilities |
|
| Mexican peso |
|
| 0 |
|
| — |
|
| 145 |
|
| 0 |
|
| 0 |
|
| — |
|
| — |
|
| — |
|
68
|
| Currency |
| Until 90 days |
| 90 days to 1 year |
| |||||||||||||||||||||
|
|
|
|
| ||||||||||||||||||||||||
|
|
| 31-12-2006 |
| 31-12-2005 |
| 31-12-2006 |
| 31-12-2005 |
| ||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
Account |
|
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| Amount |
| Annual Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
TOTAL CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Chilean peso |
|
| 0 |
|
| — |
|
| 28,996 |
|
| — |
|
| 0 |
|
| — |
|
| 1,227 |
|
| — |
|
|
|
| Dollar |
|
| 37,546 |
|
| — |
|
| 93,189 |
|
| — |
|
| 67,437 |
|
| — |
|
| 84,370 |
|
| — |
|
|
|
| Bolivars |
|
| 7,003 |
|
| — |
|
| 4,525 |
|
| — |
|
| 61,214 |
|
| — |
|
| 49,607 |
|
| — |
|
|
|
| U.F. |
|
| 83 |
|
| — |
|
| 1,562 |
|
| — |
|
| 23,690 |
|
| — |
|
| 177,440 |
|
| — |
|
|
|
| Argentinean peso |
|
| 10,469 |
|
| — |
|
| 7,354 |
|
| — |
|
| 5,495 |
|
| — |
|
| 3,493 |
|
| — |
|
|
|
| Brazilian Real |
|
| 18,626 |
|
| — |
|
| 14,005 |
|
| — |
|
| 0 |
|
| — |
|
| 0 |
|
| — |
|
|
|
| Mexican peso |
|
| 3,728 |
|
| — |
|
| 4,728 |
|
| — |
|
| 6 |
|
| — |
|
| 946 |
|
| — |
|
|
|
| EURO |
|
| 1,061 |
|
| — |
|
| 167 |
|
| — |
|
| 0 |
|
| — |
|
| 0 |
|
| — |
|
|
|
| Other Currencies |
|
| 29,877 |
|
| — |
|
| 2,510 |
|
| — |
|
| 297 |
|
| — |
|
| 0 |
|
| — |
|
|
|
| Mexican peso |
|
| 816 |
|
| — |
|
| 1,648 |
|
| — |
|
| 0 |
|
| — |
|
| 0 |
|
| — |
|
69
long-term Liabilities as of December 31th, 2006
Present period 12-31-2006
The breakdown of all foreign currency accounts is as follows:
|
| Currency |
| 1 to 3 year |
| 3 to 5 year |
| 5 to 10 year |
| More of 10 year |
| |||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
Account |
|
| Amount |
| Rate |
| Amount |
| Rate |
| Amount |
| Rate |
| Amount |
| Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
Obligations to banks and financial institutions |
|
| Dollar |
|
| 66,946 |
|
| .602 |
|
| 86,003 |
|
| . 602 |
|
| 17,995 |
|
| .602 |
|
| 0 |
|
| 0 |
|
Bonds |
|
| U.F. |
|
| 107,693 |
|
| .528 |
|
| 40,112 |
|
| .517 |
|
| 32,443 |
|
| .515 |
|
| 54,864 |
|
| .508 |
|
Bonds |
|
| Dollar |
|
| 39,000 |
|
| .653 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Sundry creditors |
|
| Dollar |
|
| 74 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Provisions |
|
| Dollar |
|
| 259 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 280 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Provisions |
|
| Bolivar |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 1,123 |
|
| 0 |
|
Deferred taxes |
|
| Dollar |
|
| 41,000 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 27,853 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Deferred taxes |
|
| Argentinean peso |
|
| 1,165 |
|
| 0 |
|
| 2,456 |
|
| 0 |
|
| 1,989 |
|
| 0 |
|
| 1,942 |
|
| 0 |
|
Deferred taxes |
|
| Mexican peso |
|
| 67 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Deferred taxes |
|
| Bolivar |
|
| 1,350 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Deferred taxes |
|
| Brazilean Real |
|
| 135 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Other long-term liabilities |
|
| Dollar |
|
| 5,930 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Other long-term liabilities |
|
| Brazilean Real |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 0 |
|
| 11,390 |
|
| 0 |
|
| 0 |
|
| 0 |
|
Total long-term liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Dollar |
|
| 153,209 |
|
|
|
|
| 86,003 |
|
|
|
|
| 46,128 |
|
|
|
|
| 0 |
|
|
|
|
|
|
| U.F. |
|
| 107,693 |
|
|
|
|
| 40,112 |
|
|
|
|
| 32,443 |
|
|
|
|
| 54,864 |
|
|
|
|
|
|
| Bolivars |
|
| 1,350 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
| 1,123 |
|
|
|
|
|
|
| Argentinean peso |
|
| 1,165 |
|
|
|
|
| 2,456 |
|
|
|
|
| 1,989 |
|
|
|
|
| 1,942 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
| Mexican peso |
|
| 67 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
|
|
| Brazilean Real |
|
| 135 |
|
|
|
|
| 0 |
|
|
|
|
| 11,390 |
|
|
|
|
| 0 |
|
|
|
|
70
Past period 12-31-2005
The breakdown of all foreign currency accounts is as follows:
|
| Currency |
| 1 to 3 year |
| 3 to 5 year |
| 5 to 10 year |
| More of 10 year |
| |||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
Account |
|
| Amount |
| Rate |
| Amount |
| Rate |
| Amount |
| Rate |
| Amount |
| Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
Obligations to banks and financial institutions |
|
| Dollar |
|
| 95,934 |
|
| .0383 |
|
| 26,378 |
|
| .0383 |
|
| 9,060 |
|
| .0383 |
|
|
|
|
|
|
|
Obligations to banks and financial institutions |
|
| Bolivar |
|
| 4,152 |
|
| .1725 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bonds |
|
| U.F. |
|
| 32,668 |
|
| .0524 |
|
| 32,672 |
|
| .0524 |
|
| 8,793 |
|
| .0524 |
|
| 15,828 |
|
| .0524 |
|
Bonds |
|
| Dollar |
|
| 48,000 |
|
| .05 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sundry creditors |
|
| Chilean pesos |
|
| 28 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sundry creditors |
|
| Dollar |
|
| 216 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provisions |
|
| Chilean pesos |
|
| 4 |
|
|
|
|
|
|
|
|
|
|
| 21 |
|
|
|
|
|
|
|
|
|
|
Provisions |
|
| Dollar |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 1,000 |
|
|
|
|
Provisions |
|
| Brazilean Real |
|
| 393 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred taxes |
|
| Dollar |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 457 |
|
|
|
|
| 38,237 |
|
|
|
|
Other long-term liabilities |
|
| Chilean pesos |
|
| 1,682 |
|
|
|
|
| 633 |
|
|
|
|
| 316 |
|
|
|
|
|
|
|
|
|
|
Other long-term liabilities |
|
| Brazilean Real |
|
| 10,097 |
|
|
|
|
| 3,637 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other long-term liabilities |
|
| Dollar |
|
| 3,600 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total long-term liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Dollar |
|
| 147,750 |
|
|
|
|
| 26,378 |
|
|
|
|
| 9,517 |
|
|
|
|
| 39,237 |
|
|
|
|
|
|
| Bolivar |
|
| 4,152 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
|
|
| U.F. |
|
| 32,668 |
|
|
|
|
| 32,672 |
|
|
|
|
| 8,793 |
|
|
|
|
| 15,828 |
|
|
|
|
|
|
| Chilean pesos |
|
| 1,714 |
|
|
|
|
| 633 |
|
|
|
|
| 337 |
|
|
|
|
| 0 |
|
|
|
|
|
|
| Brazilean Real |
|
| 10,490 |
|
|
|
|
| 3,637 |
|
|
|
|
| 0 |
|
|
|
|
| 0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
71
NOTE 31: SANCTIONS
Neither the Company nor its directors or managers have received sanctions during the period covered by these financial statements from the Superintendency of Securities and Insurance or other administrative authorities.
72
NOTE 32: SUBSEQUENT EVENTS
During the month of January of 2007, a total of 1,171 hectares of planted forests belonging to the Companies Masisa S.A.(1,065 hectares) and Forestal Tornagaleones S.A. (106 hectares), both located in the eighth region of Chile, were affected by forest fires. The affected properties of both societies are covered by policies of insurance that are in liquidation processes to the date.
During January of 2007, the Company Board of Directors made the decision of closing the operations of their productive plant in United States of America. This was materialized at the beginning of February and it implied the separation of approximately 35 workers of the company. Also, the Administration estimates that a part of the productive assets will be able to be reallocate in others countries that have a productive activity and that the assets that will finally be liquidated, won’t imply a material effect in the future results of the company. The net book value of the producitva plant at December 31 2006, ascends to THUS$2,386.
Between December 31st and the emission date of the current financial statements, we had no knowledge of any other subsequent events.
73
NOTE 33 – ENVIRONMENTAL
The company’s environmental management is focused on the following 2 aspects:
1. - Legal Aspect:
This aspect gathers all that relates to permit applications, authorizations, and environment related certifications, as well as the regularization of any pending aspects.
2. – Environmental management and Eco-efficiency:
Under the concept that each process can be improved through responsible and adequate environmental management, the company is concerned to evaluate and develop projects which allow cost savings, reduction of loss in processes to achieve efficient use of recourses, and finally, the implementation of the Environmental Management Certificate System under international standards.
The company is committed and has made investments in operative areas related to the environmental management system, the invested amounts expressed in THUS$, in the company and its subsidiaries are:
Company |
| Budget |
| Invested |
| Invested |
| |||
|
|
|
| |||||||
Masisa S.A. Chile |
|
| 4,155 |
|
| 6,303 |
|
| 2,609 |
|
Masisa Argentina |
|
| 1,776 |
|
| 1,688 |
|
| 831 |
|
Masisa Brazil |
|
| 2,254 |
|
| 1,871 |
|
| 327 |
|
Maderas y Sintéticos |
|
|
|
|
|
|
|
|
|
|
Masisa Mexico |
|
| 996 |
|
| 1,033 |
|
| 47 |
|
Forestal Argentina |
|
| 90 |
|
| 208 |
|
| 53 |
|
Forestal Tornagaleones |
|
| 638 |
|
| 907 |
|
| 109 |
|
Masisa Madeiras |
|
| 286 |
|
| 138 |
|
| — |
|
Terranova Venezuela |
|
| 290 |
|
| 3,081 |
|
| 1,086 |
|
|
|
|
|
| ||||||
Consolidated Total |
|
| 10,485 |
|
| 15,229 |
|
| 5,062 |
|
74
REASONED ANALYSIS OF THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF DECEMBER 31ST, 2006
(In thousands of US$)
A. Comparative analysis of the main observed trends:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Liquidity Indexes |
|
|
|
|
|
|
|
Regular Liquidity |
|
| 1.78 |
|
| 1.11 |
|
Acid Ratio |
|
| 0.06 |
|
| 0.03 |
|
The outstanding assets have decreased approximately in 9.74%, which is explained by the decrease in short term financial investments and inventories. The first of these decreases is due to payments related to the construction of a new productive plant in Chile, and the second one is due to a higher rotation of inventories due to higher sales registered during this last period.
In addition, the outstanding liabilities decreased in approximately 43.75%, which is mainly due to a restructuring debt of bonds from short term to long term.
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Indebtedness Indexes |
|
|
|
|
|
|
|
Indebtedness Ratio (times) |
|
| 0.65 |
|
| 0.72 |
|
Short Term Debt/Total Debt |
|
| 33.04 | % |
| 58.77 | % |
Long Term Debt/Total Debt |
|
| 66.94 | % |
| 41.23 | % |
Financial Expenses Coverage (times) |
|
| 2.06 |
|
| 1.81 |
|
The variation observed in the indebtedness ratio, is mainly related to the capital increase carried out between the first quarter of 2006, for US$44 millions, the increase in the period’s results and other net worth increases, mainly in the forestry reserve. Debt level (Outstanding liability and long-term liability) maintains the same levels between both periods.
The increase in the coverage index is mainly due to a higher net income before taxes and minoritary interest during the 2006 period in relation to the previous period, as is explained further on in this section.
75
|
|
| 2006 |
| 2005 |
| ||
|
|
|
|
| ||||
Activity Index |
|
|
|
|
|
|
| |
1. | Total Assets |
|
| 2,016,334 |
|
| 1,965,921 |
|
Investments of the period |
|
|
|
|
|
|
| |
- | In Fixed asset |
|
| 121,843 |
|
| 67,289 |
|
Dispositions: |
|
|
|
|
|
|
| |
- | Fixed asset sales |
|
| 1,565 |
|
| 2,193 |
|
2. | Inventory Rotation |
|
| 3.33 |
|
| 2.62 |
|
3. | Inventory Permanence |
|
| 108.23 |
|
| 137.22 |
|
4. | Accounts Payable Rotation |
|
| 12.97 |
|
| 10.22 |
|
5. | Accounts Payable Permanence |
|
| 27.76 |
|
| 32.23 |
|
6. | Accounts Receivable Rotation |
|
| 6.16 |
|
| 5.34 |
|
7. | Accounts Receivable Permanence |
|
| 58.41 |
|
| 67.33 |
|
|
| 2006 |
| 2005 |
| |||
|
|
|
| |||||
Result Indexes |
|
|
|
|
| |||
Operating Income |
|
| 886,507 |
|
| 743,488 |
| |
- | Internal market |
|
| 816,439 |
|
| 682,826 |
|
- | External market |
|
| 70,068 |
|
| 60,662 |
|
Operating Costs |
|
| (678,956 | ) |
| (549,501 | ) | |
- | Internal market |
|
| (625,292 | ) |
| (524,551 | ) |
- | External market |
|
| (53,664 | ) |
| (24,950 | ) |
Operating Result |
|
| 83,579 |
|
| 81,393 |
| |
Financial Expenses |
|
| (35,371 | ) |
| (38,251 | ) | |
Non-Operating Result |
|
| (45,997 | ) |
| (50,481 | ) | |
R.A.I.I.D.A.I.E. |
|
| 124,040 |
|
| 121,780 |
| |
Net Earnings (loss) after taxes |
|
| 24,933 |
|
| 22,981 |
|
Operating income increased during the 2006 period in 19.24% regarding 2005 and gross margin was 6.99%.
Depletion for the analyzed periods is detailed below:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Argentina |
|
| 1,288 |
|
| 2,837 |
|
Brazil |
|
| 5,562 |
|
| 7,278 |
|
Chile |
|
| 9,011 |
|
| 10,335 |
|
Venezuela |
|
| 3,307 |
|
| 4,157 |
|
Total |
|
| 19,168 |
|
| 24,607 |
|
|
|
| Jan-Dec |
| Jan-Dec |
| ||
|
|
|
|
| ||||
Profitability Indexes |
|
|
|
|
|
|
| |
1. | Net Worth Profitability |
|
| 2.58 | % |
| 2.81 | % |
2. | Asset Profitability |
|
| 1.48 | % |
| 1.37 | % |
3. | Operating Asset Performance |
|
| 4.13 | % |
| 4.11 | % |
4. | Net Income per Share (dollars) |
|
| 0.0052 |
|
| 0.0047 |
|
5. | Dividend Return |
|
| 1.01 | % |
| 2.79 | % |
Profitability Indexes reflect the said decrease of results.
76
B. Description and analysis of the main components of net flows
|
| 2006 |
| 2005 |
| |||
|
|
|
| |||||
Positive net flow generated by operating activities |
|
| 132,035 |
|
| 103,762 |
| |
- | Debtor collection by sales |
|
| 1,230,899 |
|
| 879,940 |
|
- | Suppliers and Personnel Payment |
|
| (1, 053,794 | ) |
| (748,178 | ) |
- | Others |
|
| (45,070 | ) |
| (28,000 | ) |
Net flow generated by Financing Activities |
|
| (32,963 | ) |
| 36,610 |
| |
- | Share placement payment |
|
| 44,012 |
|
| 75,383 |
|
- | Loan granting |
|
| 242,536 |
|
| 125,121 |
|
- | Obligations to the public |
|
| 162,965 |
|
| — |
|
- | Dividend payment |
|
| (11,491 | ) |
| (52,111 | ) |
- | Loan payment |
|
| (291,108 | ) |
| (82,901 | ) |
- | Obligations to the public payment |
|
| (178,338 | ) |
| (26,594 | ) |
- | Others |
|
| (1,539 | ) |
| (2,288 | ) |
Net flow generated by Investment Activities |
|
| (149,868 | ) |
| (101,044 | ) | |
- | Fixed assets sales |
|
| 1,565 |
|
| 2,193 |
|
- | Incorporation of fixed assets |
|
| (121,843 | ) |
| (67,289 | ) |
- | Others |
|
| (29,590 | ) |
| (35,948 | ) |
Total net flow for the period |
|
| (50,796 | ) |
| 39,328 |
| |
Inflation effect |
|
| (12 | ) |
| — |
| |
Initial cash balance and cash equivalent |
|
| 97,857 |
|
| 58,530 |
| |
Final cash balance and cash equivalent |
|
| 47,049 |
|
| 97,858 |
|
When analyzing flows, we can observe the incorporation of new resources due to the capital increase completed in January 2006, liabilities restructuring completed with the placement of a UF Bond in January 2006, and dividend payment for US$11.4 million carried out in 2006 and US$52.1 million in 2005.
C. Book and economic value of assets and liabilities
The company’s main assets are its production plants located in Chile, and its investments abroad, in countries such as Argentina, Brazil, the United States, Venezuela, and Mexico, all which are assessed according to the generally accepted accounting principles. The studies that the company usually carries out to analyze the economic value of its productive plants show that such values cover their respective book values and in those cases in which it is considered necessary, in light of evidence, provisions recognized to adjust such value to market values.
D. Analysis of the most important variations occurred during the period
The company carries out its businesses in various markets, concentrated mainly in Chile, the United States, Brazil, Mexico, Argentina and Venezuela. Due to this fact, the company’s sales as well as its financial results are exposed to the individual conditions of each market. The following chart sets forth the distribution of sales, grouped by destination market.
77
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
United States |
|
| 26.0 | % |
| 28.0 | % |
Chile |
|
| 16.3 | % |
| 16.5 | % |
Mexico |
|
| 13.2 | % |
| 15.0 | % |
Brazil |
|
| 16.4 | % |
| 14.0 | % |
Venezuela |
|
| 10.4 | % |
| 8.3 | % |
Argentina |
|
| 7.9 | % |
| 7.6 | % |
Others |
|
| 9.8 | % |
| 10.6 | % |
|
|
|
| ||||
Total |
|
| 100.0 | % |
| 100.0 | % |
In the past years, Masisa S.A. has increased the diversification of its market risk expanding its productive and commercial operations to other countries. As such, currently it owns plants in Chile, Argentina, Brazil, the United States, Venezuela, and Mexico. The company also owns commercial operations in Colombia, Peru and Ecuador, and exports to numerous countries in America, Asia and Europe. This way, the company avoids exposition to the risk of any market in particular.
In its markets, the company also faces the risk of an eventual intensification of competition or the appearance of new actors in the boards, wood products, and forestry markets.
Masisa S.A. thinks it has solid positions in each of the market in which it directly participates, which allows the company to maintain profitable operations in constant development. Nevertheless, the company cannot assure that in the future these conditions will not change due to the incorporation of new participants or the intensification of competition in the markets in which it operates. To face these risks, the company concentrates its efforts in actions aiming to maintain its leadership in costs, to maintain a strong distribution chain, constantly improve its product mix, and to obtain brand recognition, among other things.
The company is exposed, assets and liabilities wise, to the variation in foreign currency value other than the functional currency in which accounting is carried out (dollars). The existence of assets and liabilities in non-dollar currencies is mainly due to the company’s operations in the local market, national sales activities, investment activities in assets purchased in the local market, and obtaining internal financing. The non-dollar balances and/or denominated in a different currency other than the functional currency for the analyzed periods were the following:
78
Summary of asset and liabilities in non dollar currency
(expressed in thousands of US dollars)
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Assets |
|
| 190,197 |
|
| 189,113 |
|
Liabilities |
|
| 419,306 |
|
| 407,689 |
|
Asset position (liability) |
|
| (229,109 | ) |
| (218,576 | ) |
The company uses derivative instruments to reduce currency fluctuation risk, as shown in the respective derivative instruments’ note.
Based in market conditions, the company’s management establishes policies to obtain credits, invest in deposits and marketable securities with resale agreements and the use of derivative instruments. Depending on the amounts, the Board of Directors also approves these transactions before their execution. New long term financing to finance new investments or refinance existing liabilities, must be approved by the Company’s Board of Directors. In the countries in which Masisa S.A. has operations, local management may obtain new short-term loans for its capital work needs in the normal operation of business.
79
E. Risk Analysis
Risk Factors Analysis
During the normal course of business, the company faces various market, financing, and operating risk factors, among others.
- Financing and exchange rate risk:
The company’s management establishes policies to manage the financial risk through the use of derivative instruments such as swaps, forwards, options or futures, to cover exchange risks as well as interest rate fluctuation.
The company does not use derivative instruments for speculation.
- Operating risk:
In the regular course of business, Masisa S.A. faces raw material supplying risks, especially in chemical resins and wood, which are essential elements for the production of its products. To minimize this risk, the company maintains long term agreements with chemical resin suppliers.
In addition to the forests and plantations that the company directly holds in Chile, it is also the principal shareholder of Forestal Tornagaleones S.A., who has plantations in Chile and Argentina. Additionally, it maintains a diversification policy for its wood residue supply, reducing dependence from individual suppliers.
As part of the regular course of business, the company may face catastrophic risks in its plants, loss risk in its warehouses, third party damages, legal contingencies, commercial risks, and others. The company’s management intends to identify these risks to avoid its occurrence in any way possible; minimizing the potential adverse effects and/or covering through insurance policies the eventual losses if such evens should occur.
80
Relevant Events
A summary of Masisa S.A.’s relevant events for the period January – December 2006 is set forth below, and which the company’s management considers must be acknowledged by the Shareholders.
On January 6th, 2006 the preference option period for the subscription of the capital increase that was agreed by the Extraordinary Shareholders Meeting held on August 29th, 2005 was completed. The amount of subscribed and paid shares - -from a total of de 650,000,000 shares- was 622,503,068 which increased the paid in capital of the Company in THUS$ 117,365.-
In an Extraordinary Board Meeting of the Company, held on January 11th, 2006, the following was agreed:
1) Summon a Bond Holder’s Meeting to be held during March 2006, to approve the following modifications to the issuance contract of the subscribed bonds line with the Securities Registry of that Superintendent’s Office under N° 440, dated November 15th, 2005, with charge to which the bonds Series D were issued which will be placed on January 12th, 2006.
a) Modify N° 14 of clause 4 of the issuance contract, replacing paragraph three of said number by the following text:
“The Bonds will be rescued –except in case of Series D Bonds corresponding to the first issuance with charge to the Line, which will be ruled in these aspects by the dispositions established in N° 8 of clause 7 of this Contract-, at a value equal to the unpaid capital balance, plus the accrued interests in the period between the next day from the maturing date of the last interest quote paid and the date established for the rescue”.
b) Modify N° 8 of clause 7 of the issuance contract:
“Eight / Anticipated recovery.- The Series D Bonds may be recovered as of April 15th, 2008, in the said manner stated in N° 14 of clause 4 of this instrument. Such Bonds will be recovered at value equivalent to the current value minus the future Bond flows, corresponding to the balance of unpaid capital and interests, at a 4.0% annual rate, compound, calculated over equal semesters of 180 days.”
2) Summon a Bond Holder’s Meeting to be held on the same date as the Meeting mentioned in N° 1 above, to approve the following modifications to the issuance contract of the bond line subscribed with the Securities Registry of that Superintendent’s Office under N° 439, dated November 14th, 2005, with charge to which the Series E bonds were issued which will be placed on January 12th, 2006.
a) Modify N° 14 of clause 4 of the issuance contract, replacing paragraph three of said number by the following:
“The Bonds will be recovered –except in case of the Series E Bonds corresponding to the first issuance with charge to the Line, that will be ruled on this aspect by the provisions established in N° 8 of clause 7 of this Contract-, at a value equal to the unpaid capital balance, plus the accrued interests in the period between the next day from the maturing date of the last interest quote paid and the date established for the rescue”.
b) Modify N° 8 of clause 7 of the issuance contract with charge to which the Series E is issued, replacing it by the following text:
“Eight / Anticipated recovery.- The Series D Bonds may be recovered as of April 15th, 2008, in the said manner stated in clause 4, N° 18 of this instrument. Such Bonds will be recovered at value equivalent to the current value minus the future Bond flows, corresponding to the balance of unpaid capital and interests, at a 4.4% annual rate, compound, calculated over equal semesters of 180 days.”
81
On January 12th, 2006, the Company informed the Superintendencia de Valores y Seguros (Chilean Securities and Insurance Superintendent’s Office), as well as the Security’s Exchanges, the following information:
1) With charge to the Line N° 439, today January 12th, 2006, Series E bonds for UF: 2,750,000, with a 21-year term and a 1-year grace period, at a rate of 4.79% were placed
2) With charge to the Line N° 440, today January 12th, 2006, Series D bonds for UF: 2,000,000, with a 7-year term and a 2-year grace period, at a rate of 4.59% were placed
The funds obtained through said placements will be destined to the payment of financial obligations of the company and/or its subsidiaries.
On April 20th, 2006, the Company informed the Superintendencia de Valores y Seguros (Chilean Securities and Insurance Superintendent’s Office), as well as the Security’s Exchanges, about the payment of a minimum an mandatory definite dividend and of an additional definitive dividend, with charge to net income for the period completed as of December 31st, 2005. The total amount of the dividend to be shared was for THUS$ 11,491.- or 50% of the net income distributable for the 2005 period. This dividend was paid on May 16th, 2006 in pesos, according to the exchange rate “dólar observado” (“observed dollar”) published in the Diario Oficial (Chilean Official Gazette) on May 12th, 2006.-
On July 3rd, 2006, the company has informed to the Superintendencia de Valores y Seguros (Chilean Securities and Insurance Superintendent’s Office), the following information as an important event:
“On June 30th, 2006, the company subscribed to the Securities and Exchange Commission (SEC) its financial statements under the US Gaap as of December 31st, 2005. While elaborating these financial statements a Chilean-ruled financial statement which reflects a lower than US$1.9 million net income, according to what was reported by that period’s FECU, presented on March 1st, 2006 to the Superintendencia de Valores y Seguros (Chilean Securities and Insurance Superintendent’s Office).
This lower result is due to a lack of stock affecting the Packaging Material account balance, and therefore an error on parameterization of rates used to asses the consumption of these materials in the cost system used by the company was made.
When using material criteria to asses the impact of this error in the financial statements, it was concluded that the amount of this error is not significant. Notwithstanding, due to the fact that it was detected after the financial statements’ issuance under the Chilean rule (March 1st, 2006), but before the issuance of the 20-F financial statements under North American rule (June 30th, 2006), this error was incorporated in the basic financial statements reported to the SEC, according to the dispositions of current regulation.
Considering that this is not a significant error, the company, according to practices and accounting criteria applied in Chile, will recognize the aggregate effect of US$1.9 million as of December 31st, 2005, with charge to the aggregate results in the company’s Net Worth, and the January-March effect corresponding to the 2006 period, amounting to US$67 thousand, with charge to the result of this period. Both adjustments will be registered in the financial statements as of March 31st, 2006, which are the last financial statements reported by the company, for which the re-issuance of the respective FECU will be carried out.”
82
On September 5th, 2006, the company has informed to the Superintendencia de Valores y Seguros, (Chilean Securities and Insurance Superintendent’s Office), the following information as an important event:
The Company’s Board of Directors, in a meeting held on September 4th, 2006, approved the incorporation of Mr. Eugenio Arteaga Infante as the new Corporate Chief Financial Officer of Masisa S.A., who began to work for the Company on September 25th, 2006. Mr. Artega was General Finance Director for PPL Global Latin-America, controlling group of Empresas Emel S.A., among other companies.
On the other hand, the current Corporate Chief Financial Officer of the Company, Mr. Alejandro Droste Bertolo, by mutual agreement among the parties, leaves Masisa S.A. and his post as of September 8th, 2006.
On November 17th, 2006, the agreements adopted at Masisa S.A.’s Extraordinary Board Meeting held on November 16th, 2006, were communicated to the Superintendencia de Valores y Seguros (Chilean Securities and Insurance Superintendent’s Office). These agreements were the following:
Agree on certain modifications with Banco de Chile, in its role of bondholder’s representative, about non fulfillment events provided in the bond line issuance contract subscribed with the Securities registry of that Superintendence under N0356, dated November 10th, 2003 (the “Issuance contract”), to uniform and concord its causes with those obligations that Masisa maintains valid in its other bond issuances.
Grant Masisa’s Management the right to materialize issuance and placement of bond series oriented to the local market, with charge to the bond line mentioned in the Issuance Contract, for up to a total of 2,500,000 Unidades de Fomento (UF). These bonds will be destined to finance investments and/or payment or pre-payment of financial obligations of Masisa and/or its subsidiaries. The bonds’ main characteristics, such as amounts, maturities and probable interest rates, will be duly informed to that Superintendence at the time of the subscription and registration of the bond series issued with charge to the Issuance Contract.
Aside from the information above, it is important to say that during the period January - December 2006 there were no other relevant events regarding the Company, which pursuant to the dispositions of Article 9 and paragraph 2 of Article 10 of Law 18,045, Management had considered being relevant to inform or to disclose.
83
Report of the External Auditors regarding the Financial Statements
at December 31 2006.
Social Reason External Auditors: | PRICEWATERHOUSECOOPERS |
|
|
RUT External Auditors: | 81513400-1 |
INDEPENDENT AUDITORS REPORT
Santiago, February 28, 2007
Misters Shareholders and Directors
Masisa S.A.
We have audited the general consolidated balances of Masisa S.A. and branches at December 31 2006 and 2005 and those corresponding consolidated income states and of cash flows for the years finished in those dates. The preparation of these financial statements (that include their corresponding notes) is responsibility of the administration of Masisa S.A. Our responsibility consists on emitting an opinion on these financial states, wich is based on the auditing that we make. The reasoned analysis and the relevant events that are annexed are not integral part of these financial states, therefore, this report doesn’t extend to them.
Our report is based upon the generally accept norms of auditing in Chile. Such norms require that we plan and realize our work with the objective of achieving a reasonable grade of security that the financial states are exempt of significant errors. Auditing implies the exam based upon tests, of the evidences that support the informations revealed in the financial states. Auditing implies also an evaluation of the accounting principles used and of the significant estimates made by the administration of the Company, as well as an evaluation of the general presentation of the financial states. We consider that our report constitutes a reasonable base on which we can base or reasonable opinion.
In our opinion, the consolidated mentioned financial states, reasonably present, in all their significant aspects, the financial situation of Masisa S.A. and branches at December 31 of 2006 and 2005, the results of their operations and the flows of cash for the years finished in those dates, in accordance with generally accepted accounting principles in Chile.
Pedro Pelen De G.
RUT: 7.137.062-3
Name of the authorized person that signs | Peter Pelen de G. |
|
|
RUT of the authorized person that signs | 7137062-3 |
84
NOTE 34- Holdings
The remaining holdings as of December 31th, 2006 and 2005 are the following:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Tax Payable |
|
| 10.906 |
|
| 7.736 |
|
Social Laws |
|
| 2.046 |
|
| 2.659 |
|
Remuneration payable |
|
| 1.260 |
|
| 892 |
|
Others |
|
| 32 |
|
| 37 |
|
TOTAL |
|
| 14.244 |
|
| 11.324 |
|
85
NOTE 35- Recoverable taxes
At December 31 2006 the detail of the recoverable taxes, is the following:
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
First category tax |
|
| (5,069 | ) |
| (1,381 | ) |
Monthly provision payments |
|
| 14,360 |
|
| 11,454 |
|
Provisional payment for abrsobed utilities (1) |
|
| 22,905 |
|
| 15,158 |
|
IVA to recover exportations |
|
| 7,120 |
|
| 2,292 |
|
Fiscal Credit IVA |
|
| 17,236 |
|
| 20,189 |
|
Qualifications expenses |
|
| 744 |
|
| 490 |
|
Donations |
|
| 53 |
|
| 53 |
|
Other credits |
|
| 4,888 |
|
| 4,330 |
|
|
|
|
| ||||
TOTAL Tax to recover |
|
| 62,237 |
|
| 52,585 |
|
|
|
|
|
(1) During the year 2003, the merger was carried out in which the absorbed companies (Andinos S.A., Sociedad Forestal Millalemu S.A. and Forestal Terranova S.A.) registered tributary utilities of previous periods that had not been withdrawn, generating a right to recover in proportional form the paid tax over the referred utilities, that were absorbed by the accumulated tributary losses that existed in the subsequent Company.
During the year 2005 the Company received dividends of old Masisa S.A., which Allowed it to increase the amount of recoverable taxes over the same concept.
During the second trimester of 2005 the merger between old Masisa S.A. into Terranova, being generated a right to recover in proportional form the paid tax over the tributary utilities not withdrawn, that were absorbed by the tributary losses that were not retired and that were absorbed by the accumulated tributary losses that existed in the subsequent Company.
During the second trimester of the 2006, Masisa S.A. absorbed, due to a full right breakup, the Chilean companies Masisa Investments Ltda., Masisa Concepción Ltda. and Investments Colonel Ltda., all of which registered tributary utilities that were not retired and that had paid tax in previous years. Due to this fact and to that Masisa S.A. had accumulated tributary losses, the right was generated, for the absorbent one, to recover the taxes paid by the absorbed companies.
86
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized,
| MASISA S.A. | |
|
|
|
|
|
|
Date: March 16, 2007 | Conf: | /s/ Patricio Reyes U, |
|
| |
| Name: | Patricio Reyes U, |
|
| General Counsel |
87