CSAV Subsidiaries

Chilean Subsidiaries

Sudamericana, Agencias Aéreas y Marítimas S.A. (SAAM) was constituted in Valparaiso under public deed before the public notary Mr.Rafael Luis Barahona Stahr, on November 15, 1961, by the Ministry of Finance Decree number 2.009, dated February 15, 1962, at the time when its creation, and bylaws were approved and thus declared a legal entity. SAAM has its legal addresses in Valparaiso and Santiago; its Tax ID is 92.048.000-4.

The Company line of business is to carry out procurement business activities in Chile and overseas by providing services to vessels, ship-owners, ocean, air and land transport companies; shipping, fares and tourism, as well as commercial freight and agency representation; coastal trade and port services; forwarding, loading and unloading of goods, warehousing; tug, launch and mooring services. Additionally, it performs development, bidding, construction and operation of ports and port terminals; besides financial participation in other ventures and any other business related to the line of business of the Company.

SAAM provides the following services to ship-owners, importers and exporters:

Vessel Services
Stowage port services

Port services consist of planning, execution and control of all work related to loading and unloading of goods to and from vessels for which SAAM operates as the stevedore agent.

Port services in private terminals.
Tug services.

Since its creation, SAAM has operated tugs services in port and at sea assistance services, by providing support to vessels during docking and sailing operations, when they are unable to do so at their own steam.

Container storage and maintenance services

SAAM has strategically located container depots at different Chilean ports and in some ports in Latin America such as in Colombia, Ecuador, Peru and Brazil, operated through its related companies.

Vessel procurement service

Focused on the planning, management and control of activities involved in providing vessel procurement services (Port Agent), Documentation/Protector Agent, to regular as well as intermittent vessel services.

Aircraft services at airports
Launch and pilotage services

SAAM provides the following cargo services:
Shipping agent
Wine and fruit comprehensive logistic services
Inland water transport services
Barge and ferry services
Warehouse and storage services
Cold and reefer services
Anchoring and net maintenance services (salmon)
Port and airport FTZ services
Mass and bulk cargo service

Tug Fleet of SAAM S.A., Subsidiaries and Associates

Relevant Information

During 2004, SAAM continued to be the leading port operator in the country, bidding and being awarded together with other members of Consorcio Portuario Arica S.A., the 20-year concession to operate sites 1 to 7 in the port of Arica. This company initiated the construction of a mineral bulk-shipment terminal, and made improvements to the breakwater, the coming into operations of the mineral bulk-shipment facility in the port of Antofagasta stands out, as well as the construction of an earthquake proof site; the acquisition of a traveling crane "Gottwald", which will facilitate the transfer of goods. All this, may bring new partners to the venture, such as Empresas Navieras S.A. and FCAB Embarcadores Ltda.. All this will aid in the consolidation of this important port in the northern region of Chile. Also, in the port of Iquique, began the construction of an earthquake proof site for Post-Panamax vessels. In San Antonio, main port in Chile, docking site Nº 3 was paved. New services began to operate which together with market growth, made it essential to develop an expansion project in the Molo Sur terminal. The engineering stage is already completed and the work is soon to begin. San Vicente continued to be the main port in the Eighth Region, adding a third traveling crane "Gottwald" and increasing 57% of its share in the container market.

The certification of all port terminals, which SAAM operates and participates in the International Ship and Port Facility Security Code (ISPS), should also be highlighted. This is a World Maritime Organization (WMO) code. Its environmental protection ISO 14001 certification in the port of San Vicente and of ISO 9001:2000 in the concession port of Iquique, as well as in the ocean terminal in Quintero and in offline stores in Valparaiso and San Antonio, endorse its high standard services. The remarkable reward obtained for the concession of port San Antonio also having been granted the national good labor practice award, in terms of equal gender opportunities, under the non-traditional female employment category, awarded by the Servicio Nacional de la Mujer.

In terms of business management in Chile, SAAM was awarded the 10-year operation of a container terminal in the port of San Antonio in a public bidding offered by Empresa Portuaria de San Antonio, with 4.7 hectares of usable land. The wine export logistic service consolidation, should also be highlighted, adding 12 chassis especially designed for the transport of this cargo, and by building a new storage center in Placilla with a capacity of 4.200 m2, and another in San Antonio with a capacity of 8.000 square meters. These were built for San Pedro, Santa Rita and Gori (Concha y Toro) clients, with a global potential volume of 10 million cases, thus making SAAM the leading logistical operator in the wine export business. The beginning of activities of its subsidiary Servicios de Aviación S.A. should also be noted, initiating its operations in the Punta Arenas airport, which will provide airport services to the new airline "Aerolíneas del Sur".

In the international arena, the development of its overseas subsidiaries continued. TRAMARSA in Peru added to its operations the first traveling crane "Gottwald". The gypsum ferry-transport was initiated from the port of Bayovar to Guayaquil, and the contract for the rendering of tug services for Pluspetrol in Camisea began operations. In Mexico the implementation of a new tugging contract for Petróleos Mexicanos (PEMEX) began, this means operating a tugboat in the Dos Bocas Zone. In Uruguay, the contract for the shipping of wood chips operation in the port of M´Bopicuá was signed with Terminal Logística e Industrial M´Bopicuá S.A. This partnership is linked to the ENCE Group (Empresa Nacional de Celulosa de España), and the contract was awarded for a 15-year term, this allowed underwriting two new operational contracts in the port of Montevideo, becoming the leading wood chips operator in Uruguay. In Ecuador a second traveling crane "Gottwald" began to operate in the port of Guayaquil. It is also important to mention substantial earnings obtained in Colombia and Ecuador.

In terms of SAAM total fleet and its subsidiaries or related companies, they reached a total of 61 of its own tugboats in Latin America in 2004, out of which four of them are in the building stage to be delivered by January 2005. Tugboats "Saam Jarocho" and "Saam Purepecha" sailed from Mexico, and from Chile sailed the tugboat "Fardela III", which were repositioned in the port of Antofagasta, Chile; in Nueva Palmira, Uruguay; and in Altamira, Mexico. These were renamed as "Choroy", "Matrero" and "Saam Ixcateca", respectively. "Saam Zapoteca" and "Saam Ixcateca" in Mexico, and "Choroy" in Chile replaced these tugboats. At the same time, new tugboat operations were initiated during 2004 in the shipping terminals of Quintero and Los Vilos, serviced by tugboat "Alondra". In the port of Chañaral, where the tugboat "Tagua" operates and in the port of Punta Arenas, where "Aguila III" operates, being this one the most powerful in the Pacific Coast. The operation of launches "Carancho" and "Minero" also began in the Patillos terminal having 430 Horse Power, primarily used for the transport of canal pilots, and thus increasing the fleet to seven units.

Although the year ended marked by natural disasters, an important domestic growth, and the high volatility of the exchange rate, together with the appreciation of the Chilean peso against the US dollar, SAAM and its subsidiaries continued to obtain positive results.

The Company's profit reached Ch$15.746,647 thousand equivalent to US$28,250 thousand.

By December 31, 2003 the authorized, subscribed and paid-in capital reached Ch$51.893.104,439 equivalent to US$93,098,501, having CSAV an equity share of 99.9995% of the capital, the remaining 0.0005% belongs to Global Commodity Investment Inc.

A Board of Directors formed by the following 11 members elected to a three-year term manages the partnership:

Chairman
Víctor Pino Torche

Vice Chairman
Jaime Claro Valdés
(Director CSAV)

Directors
Luis Alvarez Marín
(Director CSAV)
Joaquín Barros Fontaine
(Director CSAV)
Arturo Claro Fernández
(Director CSAV)
Ricardo Claro Valdés
(CSAV Chairman of the Board)
Patricio García Domínguez

(Director CSAV)
Felipe Lamarca Claro
(CSAV Vice Chairman of the Board)
Baltazar Sánchez Guzmán
(Director CSAV)
Alfonso Swett Saavedra
Patricio Valdés Pérez
(Director CSAV)

General Manager
Alejandro García-Huidobro Ochagavía

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Chile or overseas.

b. To operate shipping agencies and carry out general shipping operations in Chile or overseas.
c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Chilean or foreign companies.

d. To purchase and trade in shares or equity, and by and large, undertake any other shipping, financial, real estate or business operation, allowed by Chilean law or that would be allowed in the future.

In 2004 there was a profit of US$1,315,212.

The following form the Board of Directors and General Management:

Chairman
Ignacio Jiménez Olmo
(Vice President of Insurance & Claims)

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Fernando Bustamante Feres
(Senior Vice President Operations & Logistics CSAV)

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Chile or overseas.

b. To operate shipping agencies and carry out general shipping operations in Chile or overseas.

c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Chilean or foreign companies.

d. To purchase and trade in shares or equity, by and large, undertake any other shipping, financial, real estate or business operation, allowed by Chilean law or that would be allowed in the future.

By December 31, 2004 its, paid-in capital reached US$1,033,439.

CSAV owns an equity share of 51% of the capital; the remaining 49% belongs to Storli ASA.

The Company's profit reached US$1,698,677.

The following form the Board of Directors and General Management:

Chairman
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)

Directors
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Bjorn Sjaastad
Arturo López Titus
General Manager

Héctor Arancibia Sánchez
(Senior Vice President Shipmanagement CSAV)

Foreign Subsidiaries

Corvina Shipping Co. S.A.

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Panama or overseas.

b. To operate shipping agencies and carry out general shipping operations in Panama or overseas.

c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Panamanian or foreign companies.

d. To purchase and trade in shares or equity, by and large, undertake any other shipping, financial, real estate or business operation, allowed by laws in the Republic of Panama or that would be allowed in the future.

By December 31, 2003 its paid-in capital reached US$40,600,000, having CSAV an equity share of 99.98%.

The 2004 results reflect a profit of US$10,233,584.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)

Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Alexander Abfalterer
Juerg Chr. Plattner
Mario Da-Bove Andrade
(Senior Vice President North America CSAV)

General Manager
Alexander Abfalterer

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Panama or overseas.

b. To operate shipping agencies and carry out general shipping operations in Panama or overseas.

c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Panamanian or foreign companies.

d. To purchase and trade in shares or equity, by and large, undertake any other shipping, financial, real estate or business operation, allowed by the laws of the Republic of Panama or that would be allowed in the future.

By December 31, 2004 its paid-in capital is US$91,840,000, having Compañía Sud Americana de Vapores S.A. a share equity of 99.999%.

The 2004 profits were US$40,849,452.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Alexander Abfalterer
Juerg Chr. Plattner
Mario Da-Bove Andrade
(Senior Vice President North America CSAV)

General Manager
Alexander Abfalterer

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Panama or overseas.

b. To operate shipping agencies and carry out general shipping operations in Panama or overseas.

c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Panamanian or foreign companies.

d. To purchase and trade in shares or equity, by and large, undertake any other shipping, financial, real estate or business operation, allowed by the laws of the Republic of Panama or that would be allowed in the future.

Its paid-in capital by December 31, 2004 is U$37,500,000 having Compañía Sud Americana de Vapores S.A. a share equity of 99.997%.

In September, the Board approved the sale of its 50% share in SKS OBO Holding Limited, Bermuda; SKS OBO Limited, Bermuda and OBO MAR AS, Norway companies to KGJS/Nordship for US$149,500 million. This sale generated a profit of US$49,232,478.

The 2004 profit is US$85,406,049.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Alexander Abfalterer
Juerg Chr. Plattner
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Mario Da-Bove Andrade
(Senior Vice President North America CSAV)

General Manager
Alexander Abfalterer

The line of business of this company is:

a. To purchase, sell, charter and the general management of vessels, as well as to operate shipping lines in Panama or overseas.

b. To operate shipping agencies and carry out general shipping operations in Panama or overseas.

c. To purchase, sell, barter, lease and trade of goods and property of any kind and any other business or financial operation, related to and under its line of business, as well as to take holdings in other Panamanian or foreign companies.

d. To purchase and trade in shares or equity, by and large, undertake any other shipping, financial, real estate or business operation, allowed by the laws of the Republic of Panama or that would be allowed in the future.

Its paid-in capital by December 31, 2004 is US$10,000 having Compañía Sud Americana de Vapores S.A. a share equity of 99.99%.

The 2004 results reflect a loss of US$285,786.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Alexander Abfalterer
Juerg Chr. Plattner
Mario Da-Bove Andrade
(Senior Vice President North America CSAV)
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)

General Manager
Alexander Abfalterer

American Transportation Group, LLC (ATG) provides procurement services to CSAV Group in United States and Canada, being accountable for all business and commercial operations.

ATG provides documentation, logistics, interposal, port operations services, and equipment positioning and maintenance for more than two thousand clients, mainly in the United States and Canada.

The subscribed and paid-in capital is US$900,000.

The 2004 profit is US$62,359.

Chairman
Mario Da-Bove Andrade

Is a limited liability partnership its purpose being to represent Compañía Sud Americana de Vapores S.A.

The subscribed and paid-in capital is €250.000.

The 2004 profit is €15.390.

General Manager
Arturo Ricke Guzmán

Is a limited liability partnership its purpose being to promote the shipping business of vessels owned or chartered by CSAV, freight contracts, and operate joint services.

The subscribed and paid-in capital is US$1 million.

The 2004 profit is US$506,959.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Alejandro Pattillo Moreira
(Senior Vice President Asia CSAV)

It is a limited liability partnership its purpose being to reserve and fill containers, their repair and maintenance, to coordinate operations with cargo terminals, storage, sign cargo receipts, and contract cargo transport services.

The subscribed and paid-in capital is US$150,000.

The 2004 results reflect a loss in the amount of US$11,323.

Directors
Ricardo de Tezanos Pinto Domínguez
(General Manager CSAV)
Juan Antonio Alvarez Avendaño
(Deputy General Manager CSAV)
Alejandro Pattillo Moreira
(Senior Vice President Asia CSAV