Mozal Finance EXCEL Group 15Dec2013

Exhibit1A

Exhibit 1A

Gencor and Alusaf Income Statements on June 30, 1996 (US$ millions)

Turnover Subsidiary turnover Cost of sales Other operating cost Operating Income Investment income Net finance cost Other costs/income Profit before taxation Taxation Profit after taxation

Gencor Group

Alusaf Group

$3,342.3 (1,182.1) (1,653.8) (53.0) 453.3

$657.3 0.0 (551.3) 0.0 106.0

217.6 (26.5) 41.9 686.3

5.8 (47.1) 0.0 64.7

(121.4) 564.9

(23.0) 41.7

Source: Company Annual Reports Note: Assumes 3.996 South African Rand equal $1.00 U.S.

Page 1

Exhibit1B

Exhibit 1B

Gencor and Alusaf Balance Sheets on June 30, 1996 ($US millions) Gencor Group

Alusaf Group

$2,752.6 610.3 679.5 293.1 130.5 4,466.0

$872.9 0.0 563.7 0 187.0 1,623.6

1,820.2 1,834.8 300.1

1,455.1 52.6 0.0

433.2 578.8 0.0 852.4 1,864.4 5,819.5

184.1 145.1 63.7 0.0 392.9 1,900.7

Current liabilities Loans and payables Dividends payable Total current liabilities

1,287.6 65.9 1,353.5

262.6 14.4 277.1

Total employment

4,466.0

1,623.6

Capital Employed Shareholders’ interest Outside interests Long-term loans Long-term provisions Deferred taxation Total capital Employment of Capital Fixed assets Investments Other non-current assets Current assets Trading stock Amounts receivable Other Cash resources Total current assets Total assets

Source: Company Annual Reports Note: Assumes 3.996 South African Rand equal $1.00 U.S.

Page 2

Exhibit4

Exhibit 4

Sources and Uses of Cash (US$ millions) Uses of Cash

Sources of Cash

Total direct costs

$772

Total indirect costs Capital costs Contingency Price escalation Total Start-up costs Initial working capital Pre-completion interest Total Total Uses

Source:

226

75 90 165

49 153 202 1,365

Equity Gencor/Alusaf IDC Others Total Quasi-equity (subordinated debt) IFC Other development financial institutions Total Cash generation Export credit IDC--arranged Coface insured Loans IFC Other development financial institutions Total Senior Debt Total Sources

Company documents

Page 3

$125 125 250 500

37%

150

11

35

2

680 1,365

50 100

65 85

35

400 140 55 85

Exhibit6

Exhibit 6

Summary of Financial Projections in Constant 1997 Dollars ($ millions) 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Total assets

163

Current senior debt Net senior debt Subordinated debt (quasi-equity) Retained Earnings Share capital Total capital Senior debt/Total capital Current ratio

778 1,252 1,328 1,272 1,202 1,132 1,062

DSCR (total debt)

b

Equity investment Dividends and subordinate debt interest Subordinated debt principal repayment Equity cash flow=

687

607

570

530

70 311

70 240

70 170

70 100

33 67

53 13

13 0

0 0

0 0

144

100 163

150 150 150 150 150 13 13 13 13 13 327 484 500 500 500 500 500 778 1,252 1,312 1,255 1,184 1,114 1,044

150 13 500 973

150 13 500 903

150 13 500 833

120 13 500 733

90 13 500 669

60 13 500 586

30 13 500 543

0 13 500 513

39%

47%

50%

Sales Cash flow (pre interest) Interest on senior debt Senior debt principal repayment 100

312

216

49% 1.3

47% 1.4

44% 1.6

40% 1.8

36% 2.0

32% 2.1

27% 2.3

20% 2.5

14% 4.0

10% 3.2

2% 7.1

0% 12.8

0% 16.1

5.2

1.7

1.6

1.7

1.8

1.9

2.0

2.0

2.1

4.3

3.0

12.1

NA

4.6

1.6

1.5

1.6

1.6

1.7

1.8

1.7

1.4

2.2

1.8

3.4

5.2

394 170 12

429 189 52

429 190 47

429 190 41

429 186 35

429 187 29

429 187 23

429 171 17

429 170 11

429 171 7

429 170 4

429 170 1

429 170 0

29

57

70

70

70

70

70

70

70

33

53

13

0

51

57

63

66

72

79

68

73

79

106

125

140

30

30

30

30

30

103

109

136

155

170

22 63

-100

-312

-216

70 381

750

85

a

70 451

851

366

DSCR (senior debt)a

70 522

921

29 595

63

57 592

991

41

51

57 Page 4

63

66

72

79

68

Exhibit6

irr= Source:

7% Company documents, IFC analysis, and casewriter estimates.

a

DSCR = debt service coverage ratio = cash flow (principal + interest).

b

The equity investment includes both equity and subordinated debt (quasi-equity) investments.

Page 5

Exhibit7

Exhibit 7

Mozambican Macroeconomic Data (1980-1996)

Real GDP (1987 $)

Real GNP per Capita

CPI Inflation

Year 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 6/97 Sources:

1,564 1,746 1,686 1,471 1,215 1,207 1,179 1,353 1,464 1,559 1,574 1,651 1,638 1,946 2,033 2,061 2,193

NA NA 189 160 120 140 170 140 110 90 90 90 80 90 90 80 90

NA NA NA NA NA 47.8 12.2 175.8 55.0 42.1 49.2 33.3 45.1 42.3 63.1 54.4 44.6

National Exports ($ mil.) 399 460 400 298 214 184 192 176 188 200 229 309 304 312 355 407 479

Net Institutional Current Foreign Total Government Human Investor Account Direct External Budget Development Country Balance (as Investment Debt (as % Balance Index Risk % of GDP) -20.9 -17.8 -20.2 -18.2 -15.9 -11.7 -13.6 -51.2 -61.1 -63.8 -59.9 -51.1 -59.4 -58.5 -60.4 -46.3 -38.9

0 0 0 0 0 0 2 6 5 3 9 23 25 32 35 45 73

0.0 0.0 0.0 3.6 61.6 104.4 115.0 303.4 344.8 327.4 323.3 327.4 413.7 369.4 394.3 395.4 332.1

-11.4 NA NA NA NA -18.4 -24.4 -22.9 -27.0 -24.8 -29.2 -24.9 -26.3 -22.2 -29.7 -20.8 -17.0

NA NA NA NA NA NA NA NA NA NA 0.239 0.155 0.246 0.261 0.281 0.281 NA

NA NA NA NA NA NA NA NA NA 7.6 7.3 7.0 7.0 7.5 11.9 12.8 14.0

African Development Indicators (various years), World Bank, World Economic Outlook, International Monetary Fund (various years), Human Developm UNDP (various years), Institutional Investor International Edition, and International Country Risk Guide.

a

The HDI is an index used by the United Nations Development Program (UNDP) to measure the overall achievements in a country in three basic dimensions of huma development—longevity, knowledge and a decent standard of living. b The Institutional Investor rating is based on a survey of 75-100 international bankers who were asked to grade each country on a scale of 1 (very high chance of def to 100 (least chance of default). c The International Country Risk Guide (ICRG) provides a rating composed of 22 variables in three subcategories or risk: political (100 points), financial (50 points), and economic (50 points). ICRG provides ratings for 140 countries on a monthly basis where higher numbers indicate lower risk. The political risk rating measure a country’s political stability. The financial risk rating measures a country's ability to finance its official, commercial, and trade debt obligations. The economic risk rating measures the country's current economic strengths and weaknesses. The composite risk rating equals the sum of the individual ratings divided by two: 0.0-49.5 (very high risk), 80.0 to 100.0 (very low risk) Page 6

Exhibit7

ICRG Risk Ratingsc Political Financial Economic Composite NA NA NA NA NA 42.0 40.0 43.0 50.0 49.0 46.0 45.0 38.0 41.0 52.0 58.0 54.0 56.0

NA NA NA NA NA 23.0 22.0 25.0 26.0 26.0 26.0 26.0 24.0 24.0 24.0 24.0 24.0 24.0

NA NA NA NA NA 6.0 6.0 4.5 7.0 8.0 13.5 14.5 15.5 19.5 17.5 13.0 19.5 20.0

NA NA NA NA NA 35.5 34.0 36.3 41.5 41.5 42.8 42.8 38.8 42.3 46.8 47.5 48.8 50.0

years), Human Development Report,

asic dimensions of human

1 (very high chance of default)

), financial (50 points),

Page 7

Exhibit8

Exhibit 8

Sub-Saharan African Macroeconomic Data (1996 unless otherwise noted)

Life Population Expectancy (millions) (Years)

Country

United Nations HDI (1995) a Rank Score

Nominal GDP ($ mil.)

GDP

1990-96 Real

per Capita (dollars)

GDP Growth (percent)

Total Debt (% GDP)

ICRG Ratingsb Political Risk

Mozambique

18.0

45

0.281

166

1,715

90

5.5

355

50.0

Angola Botswana Burundi Congo (Zaire) Gabon Kenya Lesotho Madagascar Malawi Namibia Rwanda South Africa Swaziland Tanzania Uganda Zambia Zimbabwe

11.1 1.5 6.4 45.2 1.1 27.4 2.0 13.7 10.0 1.6 6.7 37.6 0.9 30.5 19.8 9.2 11.6

46 51 47 53 55 58 58 58 43 56 41 65 57 50 43 44 56

0.344 0.678 0.241 0.383 0.568 0.463 0.469 0.348 0.334 0.644 NA 0.717 0.597 0.358 0.340 0.378 0.507

156 97 170 143 120 137 134 153 161 107 NA 89 115 150 160 146 130

NA NA 899 19,437 5,704 9,272 NA 4,156 NA 3,026 1,330 126,301 1,069 NA 6,005 4,168 7,509

340 NA 140 NA 3,620 330 670 240 180 2,080 190 3,140 NA 130 290 430 620

-2.9 4.8 -2.6 -7.0 2.5 1.9 5.0 0.3 3.0 4.3 -8.7 0.8 2.1 3.4 6.9 0.0 1.0

37 15 103 142 76 58 70 113 134 NA 77 NA 22 136 52 120 42

50.0 80.5 NA 37.0 67.5 69.0 NA 58.5 63.0 78.5 NA 75.5 NA 63.0 57.5 61.5 61.0

Sources:

African Development Indicators (various years), World Bank, United Nations, and Institutional Investor International Edition.

a

The United Nations Human Development Index (HDI) is a rating of human development across 174 countries. The score ranges from 0 (low) to 1.00 (high); the rank ranges from 1 (high) to 174 (low). b The International Country Risk Guide (ICRG) provides a rating composed of 22 variables in three subcategories of risk: political (100 points), financial (50 points), and economic (50 points). ICRG provides ratings for 140 countries on a monthly basis. The political risk rating measure a country’s political stability. The composite risk rating equals the sum of the individual ratings divided by two: 0.0-49.5 (very high risk), 80.0 to 100.0 (very low risk). c The Institutional Investor rank is out of 135 rated countries (low numbers represent less risky countries). d The Institutional Investor rating is based on a survey of 75-100 international bankers who were asked to grade each country on a scale of 1 to 100, with 100 representing the least chance of default.

Page 8

Exhibit8

Institutional Investor b

ICRG Ratings Composite Risk

March 1997 c Rank

March 1997 d Rating

March 1990 d Rating

56.0

116

14.9

7.5

54.0 72.0 NA 36.0 58.0 68.0 NA 60.0 66.0 80.0 NA 75.0 NA 62.0 52.0 66.0 65.0

123 45 NA 131 92 81 NA NA 101 NA NA 51 74 105 107 113 71

12.5 49.5 NA 8.1 24.1 27.9 NA NA 19.8 NA NA 46.0 31.8 18.1 17.7 16.1 32.3

12.2 NA NA 8.3 29.8 29.7 NA NA 15.2 NA NA 34.0 18.7 10.1 5.4 9.0 27.8

Page 9

Exhibit9A

Exhibit 9A

Year 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997

Source: Notes:

Summary of IFC Financial and Operating Statistics Total Approved Total Number of Number of Financing Committed Firms in Non-Accrual Principal in Projects for Own Portfolio for Committed Loans as Arrears as Net Income Approved Account Own Account Portfolio % of Total % of Total (millions) 55 56 65 58 62 75 85 92 95 92 122 152 167 185 231 213 264 276

$681 811 612 845 696 937 1,156 920 1,039 1,292 1,505 1,540 1,773 2,133 2,463 2,877 3,248 3,317

$402 749 1,049 1,267 1,622 1,979 2,518 3,260 3,374 4,045 4,752 5,494 6,423 7,132 7,893 9,461 9,844 10,521

288 314 333 341 349 366 377 404 454 468 495 618 703 798 868 939 985 1,046

n/a n/a n/a n/a n/a n/a 18.0% 15.8 11.1 7.5 5.2 5.6 6.7 8.3 7.2 6.5 5.6 4.9

n/a n/a n/a n/a n/a n/a 4.1% 6.1 5.0 3.2 2.5 2.3 3.7 4.3 4.0 3.9 3.3 2.7

International Finance Corporation, Annual Reports. Non-accrual means the loans are not accruing interest in a timely fashion. Principal in arrears means the amount of principal not paid when it was due.

Page 10

$20.70 19.5 21.6 23.0 26.3 28.3 25.4 53.8 100.6 196.5 157.0 165.9 180.2 141.7 258.2 188.0 345.8 431.9

Exhibit9A

Total Assets (millions) $908 1,085 1,233 1,314 1,390 1,673 2,236 2,814 3,427 4,006 5,606 6,648 8,133 8,913 14,723 18,228 22,640 28,975

Page 11

Exhibit9B

Exhibit 9B

IFC Investments by Region as of June 30, 1997 ($ millions) Investments Held for IFC ($ millions) Equity Percent at Cost of Total Loans Total

Region Latin America and the Caribbean Asia Europe Central Asia, Middle East, and North Africa Sub-Saharan Africa Worldwide investments Total

Source:

3278.2 2284.5 1080.3 1003.2 594.4 82.0

773.2 606.6 335.7 246.3 188.1 87.3

4051.4 2891.0 1416.0 1249.5 782.5 169.3

38.4 27.4 13.4 11.8 7.4 1.6

8322.5

2237.7

10559.7

100

International Finance Corporation: 1997 Investment Portfolio.

Page 12

Exhibit10A&B

Exhibit 10A

Largest IFC Investments as of June 30, 1997 ($ millions)

Project Name

Country

Sector

1) 2) 3) 4) 5) 6) 7) 8) 9) 10)

Thailand Thailand India Argentina Brazil Venezuela Brazil Philippines Thailand Argentina

Oil Refining Chemicals Mining/Extraction Infrastructure Food/Agribusiness Infrastructure Food/Agribusiness Infrastructure Infrastructure Mining/Extraction

Star Petroleum Thai Petrochemicals Ispat Industries Aguas Argentinas Ceval Alimentos Compañía Teléfonos Sadia Concórdia Hopewell Power Mass Transit System Bridas S.A.P.I.C.

Exhibit 10B

94 97 92,95,97 96,96 93,96 96 94,95,97 93 97 93,96

Original Commitment Total in Syndicate Total IFC 100.0 100.0 102.8 85.0 90.0 75.0 80.0 70.0 69.7 80.0

350.0 400.0 85.0 307.5 130.0 185.6 222.0 11.0 0.0 100.0

Investments Held for IFC Equity at Cost Loans 100.0 100.0 85.5 75.1 68.6 75.0 64.0 60.0 59.8 42.1

0.0 0.0 5.8 7.0 10.0 0.0 10.0 10.0 9.8 25.0

Largest IFC Investments in Sub-Saharan Africa as of June 30, 1997 ($ millions)

Project Name

Country

Sector

1) 2) 4) 3) 5) 6) 7) 8) 9) 10)

Pecten Cameroon Energy Haute Mer Mines d’Or Block CI-11 Panafrican Paper Minière de Syama Mobil/Nigeria SA Capital Growth Tourist Co. Goldfields Ltd.

Cameroon Congo Rep. Mali Côte d’Ivoire Kenya Mali Nigeria South Africa Nigeria Ghana

Mining/Extraction Mining/Extraction Mining/Extraction Mining/Extraction Timber/Paper Mining/Extraction Mining/Extraction Financial Services Hotels/Tourism Mining/Extraction

255 other investments

34 countries

Source:

Year of Investment

Year of Investment 92,96,97 96 95 93,95 70,90,96 94 91 96 94 90,92,97

International Finance Corporation: 1997 Investment Portfolio. Page 13

Original Commitment Total in Syndicate Total IFC $74.5 46.8 39.8 38.7 69.0 28.1 75.0 20.0 17.5 27.0

Investments Held for IFC Equity at Cost Loans

177.9 25.0 25.0 0.0 4.0 0.0 95.0 0.0 0.0 18.5

49.3 43.9 35.0 0.0 30.0 26.7 22.5 0.0 15.0 13.6

0 2.9 4.8 38.7 4.5 1.4 0.0 20.0 2.5 3.0

Total

236.0 594.4

77.8 188.1

Exhibit10A&B

ts Held for IFC Total 100.0 100.0 91.3 82.1 78.6 75.0 74.0 70.0 69.7 67.1

ts Held for IFC Total 49.3 46.8 39.8 38.7 34.5 28.1 22.5 20.0 17.5 16.6 313.8 782.5

Page 14

Exhibit11

Exhibit 11

IFC Investment Returns (1978-1995) Median Rates of Return (ROR) 347 IFC Projects Completed from 1978-1995

Region Africa Asia CAMENAe Europe f Latin America Average

Financial RORa c d Ex Ante Ex Post

Economic RORb c d Ex Ante Ex Post

18.0% 19.0

9.0% 14.0

19.0% 20.0

10.0% 13.0

20.5 19.4 20.0

11.4 12.0 13.0

24.0 19.9 20.0

13.6 15.0 12.0

19.0

12.0

20.0

12.0

Source: IFC Economics Department, cited in the Annex to Private Sector and Development: Five Case Studies, The World Bank, March 1, 1997. Notes and definitions: a

Financial rate of return (ROR) is the project’s internal rate of return based on constant price projections of pre-interest, after-tax cash flows, less project costs.

b

Economic rate of return (ROR) is the project’s internal rate of return based on constant price projections of pre-interest, pre-tax cash flows adjusted for economic distortions and transfer payments, less project costs. c Ex ante estimates were made prior to project implementation. d

Ex post estimates were made during an Investment Assessment Report which is typically done several years after project implementation. e CAMENA = Central Asia, Middle East, and North Africa. f

Includes the Caribbean.

Page 15