Diversified generation base (47% coal, 35% natural gas, and the remainder diesel oil, fuel oil, and hydro); High power prices in the Chilean SING mainly due to high natural gas shortages and growing demand for power; and Significant increase in debt service coverage ratios as from the second quarter of 2007 due to the strong increase in power prices in the SING; Significantly increase in contracted sales (60% of total revenues in the first 9 months of fiscal 2007) after the closing of new power sale contracts at relatively high prices; A smooth debt maturity schedule. A highly volatile market environment; Excess generation capacity in the SING when natural gas is available and very tight supply situation when natural gas
