Samba Digital SGPS S.A

Interim / Quarterly Report • Sep 1, 2010

SONAE CAPITAL, SGPS, SA Head Office: Lugar do Espido, Via Norte, Maia Share Capital: 250,000,000 Euro Maia Commercial Registry and Fiscal Number 508 276 756 Sociedade Aberta

REPORT AND ACCOUNTS 30 JUNE 2010

(Translation from the Portuguese Original)

Index

I. Report of the Board of Directors

1.	Executive Summary	4
2.	Selected Main Events	6
3.	Consolidated Financial Statements Review	6
4.	Appendix	13
5.	Own Shares	16
6.	Share Price Performance	16
	- Glossary	17

II. Consolidated Financial Statements 22

III. Individual Financial Statements	57

IV. Limited Review Report 74

REPORT OF THE BOARD OF DIRECTORS 30 JUNE 2010

(Translation from the Portuguese Original)

Report of the Board of Directors 30 June 2010

Disclaimer:

Unless otherwise stated, comparable figures (presented within brackets), percent or absolute changes mentioned in this report refer to the comparable period of the previous year for performance figures and to the year 2009 for financial position figures.

Like for like comparisons exclude the contributions of the Plysorol Group and Elmo (discontinued operations) to 2009 consolidated financial statements.

Following the internal reorganization process carried out during 2009, SC Assets, SGPS, SA was made independent from Sonae Turismo, SGPS, SA at the beginning of 2010, and is now responsible for real estate investments and for property management of real estate assets. Comparable figures presented in this report, regarding the year of 2009, were restated to reflect the new business portfolio configuration around the three existing sub‐holdings: Sonae Turismo, SGPS, SA, SC Assets, SGPS, SA and Spred, SGPS, SA.

1. Executive Summary

• Turnover 6M10: 89.3 M.€ (162.4 M.€)
• EBITDA 6M10: 2.0 M.€ (43.6 M.€)
• Net Profit 6M10: ‐5.4 M.€ (+22.9 M.€)

Sales deeds for 9 residential units at troiaresort were signed in the quarter, 7 of which were Beach Apartments sold to building companies, as part of payment agreements signed for construction work at troiaresort.

Resort Development contributed 9.3 million euro to the half year's consolidated turnover and with 1.0 million euro to consolidated operational cash‐flow (EBITDA) for the same period. Any direct comparison with the same period last year is not meaningful, since the majority of sales deeds with underlying promissory purchase agreements were signed between the fourth quarter of 2008 and the first half of 2009. On a like for like basis, despite real estate sales activity continuing to be hampered by the unfavourable credit and macroeconomic conditions, 2 new contracts were signed (9 in the first half of 2009).

The Selfrio Group continued to be the quarter's and half year's largest contributor to consolidated turnover and consolidated operational cash‐flow (EBITDA). Year to date contributions amounted to 35.3 million euro and 2.2 million euro, respectively, despite decreases in contributions from the Cold Engineering and HVAC business segments.

The Net loss for the period, of 5.4 million euro, includes positive 1.5 million euro of results of associated undertakings, most of which relate to the Imosede Fund, and negative 0.5 million euro of investment income, made up of a 1.5 million euro gain from the sale of Essences Fines as well as impairment losses on shareholdings in associated undertakings.

Values i n 106 Selected Financial data euro
		2Q		1H
	2010	2009 1	% Chg.	2010	2009 1	% Chg.
Turnover	47.2	66.3	‐28.9%	89.3	162.4	‐45.0%
EBITDA	2.5	19.3	‐86.8%	2.0	43.6	‐95.5%
EBIT	‐0.7	15.8	‐	‐6.7	34.9	‐
Net Financial Expenses	‐1.8	‐1.8	‐3.0%	‐3.9	‐5.1	+23.0%
Investment Income	0.1	2.1	‐94.1%	‐0.5	2.1	‐
Net Profit	‐0.2	13.0	‐	‐5.4	22.9	‐
1 Continued Operations.
	30.06.10 31.12.09		% Chg.

Capex 1.9 46.6 ‐96.0% Net Debt 285.3 277.9 +2.7%

Main Contributions to Consolidated Turnover

Main Contributions to Consolidated EBITDA

2. Selected Main Events

Up to the date of this report, the following events were announced to the market:

Asset disposals

14 April 2010

Sonae Capital, SGPS, SA informed about the sale of 100% of the share capital of Societé des Essences Fines Isoroy, as well as loans to Essences Fines, for 2 euro, to Essences Fines Holding, SAS, a French company owned by third parties. The positive impact of this transaction on the first half 2010 consolidated results amounted to 1.5 million euro.

5 August 2010

Sonae Capital, SGPS, SA informed about the agreement signed with Via Marítima – SGPS, Lda, a company owned by Sousa Investimentos Group, regarding the terms of the sale of the whole of the share capital of Box Lines – Navegação, SA. This transaction will only take place after obtaining the non opposition by the Portuguese Competition Authority and will result in a cash inflow of around 10.5 million euro, with an estimated impact of circa 7 million euro on the 2010 consolidated results of Sonae Capital.

Both transactions are part of Sonae Capital's programme to divest from non strategic assets which are available for sale.

3. Consolidated Financial Statements Review

Notes:

The consolidated financial statements of Sonae Capital as at 30 June 2009, include the following contributions from the Plysorol Group (Plywood business) and Elmo (sole shareholder of Plysorol) under discontinued operations:

• the consolidated income statement includes 6 months contribution from Elmo;
• the consolidated financial position includes that of Elmo as at 30 June 2009 and that of Plysorol as at 30 September 2008 (last available information).

Following the sale, on 30 December 2009, of the shareholding in Elmo (sole shareholder of Plysorol) and the subsequent loss of control over the Plysorol Group (Plywood business) these businesses no longer contributed to the consolidated financial position of Sonae Capital as at 30 June 2010.

In view of the above considerations, like for like comparisons regarding consolidated financial statements do not take into account discontinued operations (in the consolidated profit and loss statement) and are used consistently throughout the report when applicable.

3.1. Consolidated Profit and Loss Statement

3.1.1. Year to Date Profit and Loss Statement

Values in 103 euro
		1H 09	1H 09	1H 09
	1H 10	Total	Discontinued	Continued	∆ (A/B)
		Operations	Operations	Operations
	(A)			(B)
Turnover	89,287.2	162,384.7	0.0	162,384.7	‐45.0%
Other Operational Income	3,968.2	15,392.8	0.0	15,392.8	‐74.2%
Total Operational Income	93,255.4	177,777.5	0.0	177,777.5	‐47.5%
Cost of Goods Sold	‐17,355.2	‐25,477.3	0.0	‐25,477.3	+31.9%
Change in Stocks of Finished Goods	‐5,209.2	‐8,593.7	0.0	‐8,593.7	+39.4%
External Supplies and Services	‐43,406.2	‐73,521.8	‐2.5	‐73,519.3	+41.0%
Staff Costs	‐22,453.4	‐24,041.2	0.0	‐24,041.2	+6.6%
Other Operational Expenses	‐2,131.8	‐2,233.1	‐0.1	‐2,233.0	+4.5%
Total Operational Expenses	‐90,555.8	‐133,867.2	‐2.6	‐133,864.6	+32.4%
Operational Cash‐Flow (EBITDA)	1,967.4	43,567.6	‐2.6	43,570.1	‐95.5%
Amortisation and Depreciation	‐6,846.0	‐5,892.1	0.0	‐5,892.1	‐16.2%
Provisions and Impairment Losses	‐2,594.2	‐3,075.8	0.0	‐3,075.8	+15.7%
Operational Profit/(Loss) (EBIT)	‐6,740.6	34,942.4	‐2.6	34,945.0	‐
Net Financial Expenses	‐3,946.3	‐6,122.8	‐997.8	‐5,124.9	+23.0%
Share of Results of Associated Undertakings	1,505.4	992.1	0.0	992.1	+51.7%
Investment Income	‐477.8	2,140.7	0.0	2,140.7	‐
Profit before Taxation	‐9,659.3	31,952.5	‐1,000.4	32,952.9	‐
Taxation	4,279.8	‐10,084.3	‐0.2	‐10,084.1	‐
Net Profit	‐5,379.5	21,868.2	‐1,000.6	22,868.8	‐
Attributable to Equity Holders of Sonae Capital	‐5,426.2	20,876.2	‐1,000.6	21,876.8	‐
Attributable to Non‐Controlling Interests	46.8	992.0	0.0	992.0	‐95.3%

In the first half of the year consolidated turnover amounted to 89.3 million euro (162.4 million euro), with the main contributions being:

Consolidated turnover decreased 73.1 million euro, with the main contributor to the decrease being the real estate sales deeds completed at troiaresort (16 sales deeds in 1H10 and a 9.3 million euro contribution, compared to 128 sales deeds and 71.4 million euro contribution in 1H09). This fall reflects the fact that the majority of sales deeds for residential units at troiaresort, with prior promissory purchase agreements, were signed between the fourth quarter of 2008 and the first half of 2009. In the first half of 2009, the real estate sales activity slowed down substantially and 9 new contracts were signed. In the first half of 2010, 2 new contracts were signed.

On a like for like basis, i.e., excluding the contribution of the catering activity in Porto Palácio Hotel (1.3 million euro) and Tróia (0.1 million euro), discontinued in 2010, hotels delivered, in a strongly adverse environment, a positive contribution of 5.6 million euro, up 0.2 million euro (4%) compared to the same period last year. Porto Palácio Hotel contributed 3.8 million euro, a 0.1 million euro increase (3%) over the previous year. Occupancy rate improved 3.4% on the first half of 2010 and average revenue per room was 92.2 euro in the period. The contribution of Aqualuz troiaresort aparthotels of 1.5 million euro remained in line with the comparable period of last year. Average revenue per room amounted to 78.4 euro. The contribution of the Aqualuz aparthotel in Lagos remained unchanged at 0.4 million euro, although, in 2010, the aparthotel was closed, for the first time, during the month of January for annual maintenance. Average revenue per room stood at 55.7 euro.

The Fitness business showed significant resilience and posted an increase (3%) in its contribution to consolidated turnover, which grew 0.3 million euro to 9.6 million euro, mostly due to increased revenues from value added services (mostly personal trainer) and to a 2% increase in membership numbers.

Contribution from the Other Real Estate Assets business to consolidated turnover decreased by 2.0 million euro, to 2.2 million euro. The Imosede Fund (accounted for using the equity method as from the end of May 2009) made a 2.7 million euro contribution to 1H09 consolidated turnover, thus explaining most of the decrease in the period. The higher contribution from sales of real estate assets has partially offset that negative impact.

The Selfrio Group's contribution to consolidated turnover totalled 35.3 million euro, down 5.3 million euro on the same period of last year, as a result of depressed construction activity and delays in refrigeration projects for food retail operators. The Cold Engineering business saw its contribution decrease by 4.3 million euro to 15.6 million euro, and the HVAC followed that trend, decreasing by 1.3 million euro to 16.6 million euro. Contribution from General Maintenance services increased by 0.2 million euro, to 3.1 million euro.

Box Lines' contribution decreased 1.4 million euro, the main reason being the termination of its international operations business (at the end of 2009) explaining 1.9 million euro of the change. On a like for like basis, turnover grew 2% compared to the same period of last year.

Concerning other business segments, the most significant changes in the period were:

• 2.3 million euro increase in the contribution of the Energy and Environment business area, to 2.5 million euro, led by the cogeneration business unit, acquired in September 2009;
• 1.3 million euro contribution from Residential Property Development (currently under SC Assets), equal to an increase of 1.0 million euro, explained by sales deeds completed for 4 City Flats/City Lofts apartments (2 sales deeds in the first half of 2009) and of one apartment in another SC Assets residential condominium, which were signed in the first half of 2010;
• Decrease of 0.4 million euro in Atlantic Ferries' contribution, to 1.6 million euro, as a result of a 16% decrease in total traffic, both in terms of number of passengers and vehicles, with the latter explaining most of the decrease in turnover from the business.

Consolidated operational cash‐flow (EBITDA) for the first half of the year totalled 2.0 million euro (43.6 million euro), with the main contributions being:

As for turnover, Resort Development, through lower sales at troiaresort, explains most of the decrease in consolidated operational cash‐flow (EBITDA). Contribution in the half year amounted to 1.0 million euro compared to 38.1 million euro in the same period last year.

Contribution from hotels improved by 0.6 million euro to negative 3.8 million euro, with Aqualuz troiaresort delivering the biggest improvement with a 0.6 million euro increase, to negative 2.0 million euro. The Porto Palácio Hotel increased its contribution by 0.2 million euro, but still posted negative 0.9 million euro. Efforts to optimise costs, together with the implementation of a centralized management team with responsibility for all hotel units, explain these improvements. The contribution from the Aqualuz Lagos aparthotel was negative 0.9 million euro, a slight decrease over last year's figure.

Fitness improved profitability, due to a growing proportion of value added services and an increase in the membership base, while operational costs were kept under tight control. Contribution to consolidated operational cash‐flow (EBITDA) increased 0.5 million euro to 2.0 million euro.

The contribution of the Other Real Estate Assets business was 1.9 million euro, down 6.2 million euro which corresponds mainly to the contribution of the Imosede Fund to consolidated operational cash‐flow (EBITDA) in the first half of 2009.

The Selfrio Group's contribution decreased 1.5 million euro in the period to 2.2 million euro (3.7 million euro), reflecting lower profitability in both the Cold Engineering and HVAC business segments.

Box Lines improved its contribution to consolidated operational cash‐flow (EBITDA) by 0.5 million euro to 0.3 million euro (negative 0.2 million euro), mostly explained by a 44% decrease in staff costs, since first half 2009 figures included non‐recurrent staff costs of around 0.4 million euro and still included staff costs from the international operations business area (discontinued in the second half 2009).

Other contributions to consolidated operational cash‐flow (EBITDA) worthy of mention include:

• Energy and Environment business area, with a 0.4 million euro contribution, up 0.5 million euro, most of which from the cogeneration business unit;
• Residential Property Development delivered negative 0.5 million euro, in line with its contribution in the second half of 2009;
• Atlantic Ferries' contribution amounted to negative 0.7 million euro, in line with the same period last year despite the lower number of tickets sold, and reflecting the cost optimization made possible by changes in transport schedules.

Depreciation and amortisation increased 16% to 6.8 million euro, as result of full period contributions from:

• Aparthotel units at troiaresort (namely those opened in January and March 2009);
• The two new Atlantic Ferries catamarans (which began operating at the end of July 2009), and;
• Ecociclo II, cogeneration unit acquired in September 2009.

Provisions and impairment losses for the period include costs relating to the overall upgrade of troiaresort and infrastructures built during the development phase, assigned to real estate projects for sale in the Central and Beach areas (UNOP's 1 and 2), which will be expensed as the revenue from sales of those residential units is recorded. Thus, the amount of provisions and impairment losses recorded in the half year includes 0.9 million euro associated with assets for which impairment losses had already been recorded in previous quarters (expensed following the sale of 16 residential units in the first half of 2010) and 0.7 million euro associated with assets for which impairment losses were recorded for the first time (expensed following the sale of 215 residential units up to the end of the first half of 2010). Around 0.7 million euro were booked in the period as provisions and impairment losses for other real estate assets.

Net financial expenses decreased 23% to 3.9 million euro (5.1 million euro), as a result of a significant decrease in the average cost of debt following the sharp fall in market interest rates.

Results of associated undertakings amounted to positive 1.5 million euro in the half year, including 1.0 million euro from TP and 1.2 million euro from the Imosede Fund, the latter accounted for under the full consolidation methoduntil the end of May of 2009.

Investment income was negative 0.5 million euro, explained by the sale of Essences Fines, which generated a 1.5 million euro capital gain, and from 2.1 million euro of impairment losses on shareholdings in associated undertakings, which were accounted for during the period.

Net profit for the period amounted to negative 5.4 million euro (positive 22.9 million euro), including the impact of higher deferred tax assets arising from impairment losses and from tax losses carried forward.

3.1.2. Quarterly Profit and Loss Statement

(A) (B) Turnover 47,155.7 66,334.7 0.0 66,334.7 ‐28.9% Other Operational Income 2,521.6 13,253.8 0.0 13,253.8 ‐81.0% Total Operational Income 49,677.3 79,588.5 0.0 79,588.5 ‐37.6% Cost of Goods Sold ‐10,595.2 ‐14,619.2 0.0 ‐14,619.2 +27.5% Change in Stocks of Finished Goods ‐2,112.7 13,602.0 0.0 13,602.0 ‐ External Supplies and Services ‐21,448.7 ‐45,418.9 ‐1.3 ‐45,417.6 +52.8% Staff Costs ‐11,184.5 ‐12,651.2 0.0 ‐12,651.2 +11.6% Other Operational Expenses ‐1,059.0 ‐1,093.3 0.0 ‐1,093.3 +3.1% Total Operational Expenses ‐46,400.0 ‐60,180.6 ‐1.3 ‐60,179.3 +22.9% Operational Cash‐Flow (EBITDA) 2,546.6 19,276.3 ‐1.3 19,277.6 ‐86.8% Amortisation and Depreciation ‐3,481.8 ‐3,070.2 0.0 ‐3,070.2 ‐13.4% Provisions and Impairment Losses ‐477.5 ‐491.5 0.0 ‐491.5 +2.9% Operational Profit/(Loss) (EBIT) ‐682.0 15,846.1 ‐1.3 15,847.4 ‐ Net Financial Expenses ‐1,809.0 ‐2,195.1 ‐438.3 ‐1,756.9 ‐3.0% Share of Results of Associated Undertakings 1,028.3 637.9 0.0 637.9 +61.2% Investment Income 126.7 2,140.7 0.0 2,140.7 ‐94.1% Profit before Taxation ‐1,336.0 16,429.6 ‐439.6 16,869.2 ‐ Taxation 1,174.3 ‐3,845.7 0.2 ‐3,846.0 ‐ Net Profit ‐161.7 12,583.9 ‐439.4 13,023.3 ‐ Attributable to Equity Holders of Sonae Capital ‐219.8 11,752.7 ‐439.4 12,192.1 ‐ Attributable to Non‐Controlling Interests 58.1 831.2 0.0 831.2 ‐93.0% 2Q 10 2Q 09 Total Operations 2Q 09 Discontinued Operations ∆ (A/B) 2Q 09 Continued Operations

Consolidated turnover for the quarter decreased 19.2 million euro to 47.2 million euro, due mainly to:

• Lower contribution from sales deeds of residential units at troiaresort (9 sales deeds in 2Q10 vs 25 in 2Q09), amounting to 5.3 million euro, 11.2 million euro down on the same period last year;
• A 4.9 million euro decrease in Selfrio Group's contribution, to 18.7 million euro, mostly explained by the Cold Engineering business;
• Lower contribution from the Hotel business, which amounted to 3.4 million euro (4.3 million euro), explained by a 0.8 million euro decrease in Porto Palácio Hotel's contribution, with the negative impact of discontinued catering operations being partially offset by higher occupancy rates in the quarter, and by a 0.1 million euro decrease in the contribution of the Aqualuz troiaresort aparthotels, as a result of lower Food and Beverage revenues, reflecting lower levels of catering services provided;
• A decrease of 1.2 million euro in the contribution from Asset Management, explained by the change in the consolidation method of the Imosede Fund (contribution of 1.7 million euro in the second quarter of 2009) since it has been accounted for using the equity method in 2010.

Quarterly consolidated operational cash‐flow (EBITDA) for the period amounted to 2.5 million euro (19.3 million euro). The decrease was mostly due to lower contributions from sales of residential units at troiaresort (down 11.8 million euro to 1.0 million euro) and from the Asset Management business unit (down 5.4 million euro to 0.6 million euro), the latter mainly due to the change in the consolidation method of the Imosede Fund.

Values in 10³ euro

The Selfrio Group posted a lower quarterly contribution to consolidated operational cash‐flow (EBITDA), down 1.3 million euro to 1.0 million euro, as a consequence of lower profitability in both Cold Engineering and HVAC business segments.

During the quarter, Box Lines inverted the trend of last year's and the first quarter's negative contributions, posting a positive 0.4 million euro contribution to consolidated operational cash‐ flow (EBITDA) (negative 0.1 million euro), driven by a reduction in staff costs.

The share of results of associated undertakings increased 0.4 million euro in the quarter, to 1.0 million euro, due to the 3 month contribution from the Imosede Fund which, in the second quarter of 2009 contributed only 1 month to this caption (since the reduction in the percentage of capital held and consequent change in the consolidation method occurred at the end of May 2009).

Investment income amounted to 0.1 million euro, a 2.0 million euro decrease in the quarter, since the figures for the second quarter of 2009 included the impact of the reduction in the percentage of capital held in the Imosede Fund (1.4 million euro), and of the sale of a 0.442% shareholding in Sonae Indústria (0.6 million euro).

	30.06.2010	31.12.2009	∆
Tangible and Intangible Assets	271,511.6	291,421.5	‐6.8%
Goodwill	61,350.0	61,350.0	0.0%
Non‐Current Investments	71,526.9	71,837.9	‐0.4%
Other Non‐Current Assets	33,044.1	36,243.0	‐8.8%
Stocks	232,341.6	227,548.6	+2.1%
Trade Debtors and Other Current Assets	70,383.1	78,560.6	‐10.4%
Cash and Cash Equivalents	4,052.9	2,805.3	+44.5%
Total Assets	744,210.1	769,766.7	‐3.3%
Total Equity attributable to Equity Holders of Sonae
Capital	327,378.2	333,620.1	‐1.9%
Total Equity attributable to Non‐Controlling
Interests	11,395.5	11,319.2	+0.7%
Total Equity	338,773.7	344,939.4	‐1.8%
Non‐Current Borrowings	236,648.3	235,922.5	+0.3%
Deferred Tax Liabilities	3,341.4	3,143.0	+6.3%
Other Non‐Current Liabilities	40,276.6	40,815.6	‐1.3%
Non‐Current Liabilities	280,266.4	279,881.1	+0.1%
Current Borrowings	52,662.6	44,800.6	+17.5%
Trade Creditors and Other Current Liabilities	71,328.3	97,766.6	‐27.0%
Provisions	1,179.0	2,379.0	‐50.4%
Current Liabilities	125,169.9	144,946.2	‐13.6%
Total Liabilities	405,436.3	424,827.3	‐4.6%
Total Equity and Liabilities	744,210.1	769,766.7	‐3.3%

3.2 Consolidated Balance Sheet

Values in 10³ euro

Capex in the first half amounted to 1.9 million euro, significantly below last year's levels, as a result of the implementation of a stricter investment policy. Fitness was the sole major contributor to Capex, accounting for 0.6 million euro. Spred businesses contributed 0.6 million euro, of which 0.2 million euro relate to Atlantic Ferries and 0.2 million euro to the Selfrio Group. troiaresort's marginal 0.3 million euro contribution, compared to previous year's figures, reflects the conclusion of major projects within UNOP's 1 and 2 in 2009.

Investment, recorded as changes in work in progress for real estate projects under development, amounted to 1.2 million euro (0.8 in troiaresort and 0.4 in Efanor), with the conclusion of the Ácala building being the most significant contributor during the period.

It should be noted that public discussion of the detailed plan for UNOP 4 took place between 14 June and 13 July 2010, which represents another milestone in the project and licensing process of the Ecoresort.

As at 30 June 2010, net debt was 285.3 million euro, 7.4 million euro up on the 31 December 2009 figure.

Gearing reached 84.2% (80.6% as at 31 December 2009) and interest cover for the last 12 months was 1.5 (5.6 as at 31 December 2009).

4. Appendix

4.1. Contributions Per Business Area

Turnover	2Q 10	2Q 09		1H 10	1H 09	
Tourism Operations	14,657.5	26,417.5	‐44.5%	26,342.3	89,427.0	‐70.5%
Resort Development	5,295.3	16,401.1	‐67.7%	9,269.1	71,398.7	‐87.0%
Resort Management (Golf, Marina and Market)	475.3	458.3	+3.7%	684.7	741.9	‐7.7%
Hotels	3,419.6	4,296.1	‐20.4%	5,602.1	6,842.2	‐18.1%
Fitness	4,899.2	4,690.4	+4.5%	9,606.1	9,289.4	+3.4%
Entertainment	568.1	571.6	‐0.6%	1,180.2	1,154.9	+2.2%
Other	0.5	2.5	‐81.5%	1.2	2.8	‐59.3%
Turismo's contribution	14,658.0	26,420.1	‐44.5%	26,343.4	89,429.8	‐70.5%
Residential Property Development	492.5	182.5	>100%	1,330.1	343.1	>100%
Efanor	40.0	34.5	+16.0%	80.0	69.0	+16.0%
City Flats	195.5	124.5	+57.0%	736.2	250.2	>100%
Other	257.0	23.5	>100%	513.9	23.9	>100%
Other Real Estate Assets	1,008.8	750.3	+34.5%	2,209.5	1,457.3	+51.6%
Other	0.0	1,731.5	‐	0.0	2,737.7	‐
SC Assets's contribution	1,501.4	2,664.4	‐43.6%	3,539.6	4,538.1	‐22.0%
Atlantic Ferries	1,010.6	1,198.1	‐15.7%	1,581.6	2,029.2	‐22.1%
Box Lines	9,104.0	9,424.3	‐3.4%	17,539.9	18,901.8	‐7.2%
Selfrio Group	18,744.8	23,677.1	‐20.8%	35,303.2	40,651.4	‐13.2%
Other	2,108.3	2,865.3	‐26.4%	4,917.9	6,702.4	‐26.6%
Spred's contribution	30,967.7	37,164.8	‐16.7%	59,342.7	68,284.8	‐13.1%

Values in 10³ euro

Values in 10³ euro

Operational Cash‐Flow (EBITDA)	2Q 10	2Q 09		1H 10	1H 09	
Tourism Operations	276.6	11,515.8	‐97.6%	‐1,267.2	34,502.5	‐
Resort Development	956.9	12,828.7	‐92.5%	966.6	38,137.6	‐97.5%
Resort Management (Golf, Marina and Market)	‐184.1	‐260.5	29.3%	‐478.7	‐540.2	+11.4%
Hotels	‐1,453.3	‐1,605.3	+9.5%	‐3,811.0	‐4,474.3	+14.8%
Fitness	943.3	592.3	+59.3%	1,998.7	1,466.1	+36.3%
Entertainment	13.7	‐39.5	‐	57.2	‐86.6	‐
Other	343.2	‐113.7	‐	361.0	‐84.7	‐
Turismo's contribution	619.8	11,402.1	‐94.6%	‐906.2	34,417.8	‐
Residential Property Development	‐453.3	‐309.1	‐46.7%	‐530.9	‐577.9	+8.1%
Efanor	‐147.6	‐92.8	‐59.1%	‐221.5	‐123.7	‐79.0%
City Flats	82.6	6.1	>100%	173.1	16.9	>100%
Other	‐388.3	‐222.4	‐74.6%	‐482.5	‐471.1	‐2.4%
Other Real Estate Assets	1,029.2	4,700.6	‐78.1%	1,944.7	5,748.6	‐66.2%
Other	‐8.6	1,573.3	‐	‐20.9	2,388.3	‐
SC Assets's contribution	567.3	5,964.8	‐90.5%	1,392.9	7,559.0	‐81.6%
Atlantic Ferries	‐38.0	‐400.8	+90.5%	‐655.3	‐717.8	+8.7%
Box Lines	327.1	‐113.1	‐	275.8	‐227.2	‐
Selfrio Group	1,032.3	2,363.1	‐56.3%	2,194.2	3,667.6	‐40.2%
Other	380.6	‐430.2	‐	226.2	‐676.1	‐
Spred's contribution	1,702.0	1,419.0	19.9%	2,040.8	2,046.5	‐0.3%

4.2. Operational Data

Sales data troiaresort sales information as at 24 August 2010

	Promissory Purchase Agreements		# Deeds			Total # Units
	1 #	Area2	Price3	#	Area2	Price3	(Sold + Pre Sold)	% of Total
Beach Apartments
[211 uni ts ]	1	119.9	4,337	139	125.8	4,088	140	66%
Marina Apartments [78 uni ts ]	1	103.1	3,870	45	82.3	3,949	46	59%
Beach, Lake and Golf Land Plots4 [96 uni ts ]	1	343.8	2,164	31	343.8	3,227	32	33%
Aqualuz troiamar [35 uni ts ]	0	0.0	0	1	87.7	4,002	1	3%
Aqualuz troialagoa [40 uni ts ]	0	0.0	0	1	171.0	4,678	1	3%
troiaresort Village [90 uni ts ]	0	0.0	0	1	159.0	3,646	1	3%
Ácala Building [71 uni ts ]	0	0.0	0	0	0.0	0	0	0%

¹ Number of pre sold units (Promissory Purchase Agreement) net of units with deeds already signed.

² Average areas (m2 ), including indoor areas as well as balcony and terrace areas.

³ Average sales price (€/m2 ).

⁴ Average sales price of the plot of land, since the buyer is responsible for construction. All plots have an approved GCA of 343.8 m2 . Since the last reporting date (20 May 2010) and up to 24 August 2010, 5 new units were sold: sales deeds for 3 Beach apartments, 1 troiaresort Village townhouse and 1 new PPA for a Beach, Lake and Golf Land Plot.

As at 24 August 2010, there were 3 outstanding reservations for apartment units at troiaresort, 1 for Beach apartments and 2 for troiavillage townhouses.

Sales data	Residential Development sales information as at 24 August 2010
	Apartments Sold1	Average Area (m2 2 )	Average sales price (€/m2 )	Rentals3
City Flats / Lofts [212 uni ts ] Efanor ‐ Delfim Pereira da Costa Building [40 uni ts ]	101 0	51.0 0	2,000 0	30 n.a.

¹ 98 sales deeds already signed.

² Includes indoor area as well as balcony and terrace areas.

³ 5 of these rental contracts have an embedded purchase option.

n.a. ‐ not applicable.

Between the last reporting date and up to 24 August 2010, City Flats/Lofts apartments sold increased by 2 units (new promissory purchase agreements signed during this period, one of which already converted into a sales deed as at the date of this report).

Selected Operational Data (24 August 2010)		Sales informa tion
	Total # Units (Sold + Pre Sold)	Total # Available Units
Total troiaresort	221	400
City Flats/Lofts	101	111
Efanor ‐ Delfim Pereira da Costa Building	0	40

Rental yields	30 June 2010
Residential*	6.2%

Capital employed in Other Real Estate

Rental yields	30 June 2010	Assets(M.€)	30 June 2010
	Yield		Capital employed
Warehouses	8.9%	Assets forsale	28.5
Offices	12.0%	Assets under operation	191.8
Retail	5.8%	Real estate projects	113.9
Parking	1.7%	Other assets	29.2
Residential*	6.2%
Hotels	5.2%	Total	363.4

* Excluding the Duque de Loulé project, where rental activity is being discontinued.

5. Own Shares

As at 30 June 2010, Sonae Capital, SGPS, SA had no treasury stock nor had it bought or sold own shares in the period.

6. Share Price Performance

The share price of Sonae Capital (SONAC LS; SONC.PL) decreased 42.2% since the beginning of the year up until the end of the first half 2010, compared to a 16.5% decrease in the Portuguese Stock Market reference index (PSI‐20).

Up to 24 August 2010, Sonae Capital's share price decreased 39.8%, closing at 0.50€, compared to a 13.5% decrease in the PSI‐20.

Performance of Sonae Capital's share price and volumes traded in the period, in Euronext Lisbon, was as follows:

Maia, 25 August 2010

Glossary

• Average Daily Revenue = Lodging Revenues / Number of rooms sold.
• Capex = Investment in Tangible and Intangible Assets.
• GCA (Gross Construction Area) = Area measured by the exterior perimeter of the exterior walls.
• Gearing = Net Debt / Equity.
• HVAC = Heating, Ventilation and Air Conditioning
• Interest Cover Ratio = EBITDA (last 12 months) / Financial Charges.
• Net Debt = Non Current Loans + Current Loans Cash and Cash Equivalents Current Investments.
• Operational Cash‐Flow (EBITDA) = Operational Profit (EBIT) + Amortisation and Depreciation + Provisions and Impairment Losses + Impairment Losses of Real Estate Assets in Stocks (included in Cost of Goods Sold) – Reversal of Impairment Losses and Provisions (included in Other Operating Income).
• PPA = Promissory Purchase Agreement
• UNOP (Operational Planning Unit) = Planning and management operational units as set out by the Tróia Urbanisation Plan through Cabinet Resolution nr. 23/2000.

Statement Under the terms of Article 246, paragraph 1, c) of the Portuguese Securities Code (Translation of a Statement originally issued in Portuguese)

The signatories individually declare that, to their knowledge, the Report of the Board of Directors, the Consolidated and Individual Financial Statements and other accounting documents required by law or regulation were prepared in accordance with applicable International Financial Reporting Standards, and give a true and fair view, in all material respects, of the assets and liabilities, financial position and the consolidated and individual results of Sonae Capital, SGPS, SA, and of the companies included in the consolidation perimeter, where appropriate, and that the Report of the Board of Directors faithfully describes major events that occurred during the first half of 2010 and their impacts, if any, in the business performance and financial position of Sonae Capital, SGPS, SA and of the companies included in the consolidation perimeter, and contains an appropriate description of the major risks and uncertainties that they face.

Maia, 25 August 2010

Belmiro Mendes de Azevedo Rafael Cerezo Laporta Chairman of the Board of Directors Member of the Board of Directors

Member of the Board of Directors Member of the Board of Directors

José Luís dos Santos Lima Amorim Paulo José Jubilado Soares de Pinho Member of the Board of Directors Member of the Board of Directors

Mário Pereira Pinto Pedro Manuel Bastos Mendes Rezende

Francisco de La Fuente Sánchez Member of the Board of Directors

Qualified Shareholdings

As required by number 1, c) of article 9 of CMVM Regulation Nr. 05/2008, the following shareholders held more than 2% of the company's share capital, as at 30 June 2010:

Shareholder	Nr. of Shares	% of Share Capital	% of Voting Rights
Efanor Investimentos, SGPS, S.A.
Directly Owned	88.859.200	35,544%	35,544%
Through Pareuro, BV (controlled by Efanor)	50.000.000	20,000%	20,000%
Through Belmiro Mendes de Azevedo (Chairman of the Board of Directors of Efanor)	837.000	0,335%	0,335%
Through Maria Margarida Carvalhais Teixeira de Azevedo (Member of the Board of Directors of Efanor)	1.862	0,001%	0,001%
Through Linhacom, SGPS, S.A. (controlled by the Member of the Board of Directors of Efanor Maria Cláudia Teixeira de Azevedo)	43.912	0,018%	0,018%
Through Migracom, SGPS, S.A. (controled by the Member of the Board of Directors of Efanor Duarte Paulo Teixeira de Azevedo)	161.250	0,065%	0,065%
Through descendents of Duarte Paulo Teixeira de Azevedo (Member of the Board of Directors of Efanor)	411	0,000%	0,000%
Through descendents of Nuno Miguel Teixeira de Azevedo (Member of the Board of Directors of Efanor)	1.312	0,001%	0,001%
Total attributable	139.904.947	55,962%	55,962%
Banco BPI, S.A.
Directly Owned	16.888.797	6,756%	6,756%
Through Banco Português de Investimento, S.A. (controlled by Banco BPI)	53.409	0,021%	0,021%
Through Fundos de Pensões do Banco BPI (controlled by Banco BPI)	5.008.922	2,004%	2,004%
Through BPI Vida ‐ Companhia de Seguros de Vida, S.A. (controlled by Banco BPI)	638.576	0,255%	0,255%
Total attributable	22.589.704	9,036%	9,036%
Mohnish Pabrai
Through Pabrai Investment Fund II, L.P. (controlled by Mohnish Pabrai )	3.957.000	1,583%	1,583%
Through Pabrai Investment Fund 3, L.P. (controlled by Mohnish Pabrai )	5.624.000	2,250%	2,250%
Through Pabrai Investment Fund IV, L.P. (controlled by Mohnish Pabrai )	7.422.315	2,969%	2,969%
Through Dalal Street, L.L.C. (controlled by Mohnish Pabrai )	28.000	0,011%	0,011%
Through Dakshana Foundation (controlled by Mohnish Pabrai )	132.625	0,053%	0,053%
Through Harina Kapoor (spouse of Mohnish Pabrai )	2.500	0,001%	0,001%
Total attributable	17.166.440	6,867%	6,867%

Governing Bodies

As required by number 1, a) of article 9 of CMVM Regulation Nr. 5/2008, the following is a summary of the information about shares and other securities issued by the holding company, affiliates or group companies held by members of the Governing Bodies:

					Balance as at
	Date	Quantity	Purchases Aver. Price €	Quantity	Sales Aver. Price €	30.06.2010 Quantity
			Board of Directors of Sonae Capital, SGPS, SA
Belmiro Mendes de Azevedo
(Chairman of the Board of Directors)
Efanor Investimentos, SGPS, SA (1)	‐	‐	‐	‐	‐	49.999.997
Sonae Capital, SGPS, SA (a)	‐	‐	‐	‐	‐	838.862
José Luís dos Santos Lima Amorim (b)
(Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	8.125
Mário Pereira Pinto (c)
(Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	8.125
Francisco de La Fuente Sánchez (Non Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
Rafael Cerezo Laporta (Non Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
Paulo José Jubilado Soares de Pinho (Non Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	12.650
Pedro Manuel Bastos Mendes Rezende (Non Executive Member of the Board of Directors)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
		Fiscal Board of Sonae Capital, SGPS, SA
Manuel Heleno Sismeiro
(Chairman of the Fiscal Board)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
Armando Luís Vieira de Magalhães
(Member of the Fiscal Board)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
Jorge Manuel Felizes Morgado
(Member of the Fiscal Board)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
			Board of the Shareholders' General Meeting of Sonae Capital, SGPS, SA
António Agostinho Cardoso da Conceição Guedes
(Chairman of the Board of the Shareholders' General Meeting)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	3.724
Maria Daniela Farto Baptista Passos
(Secretary of the Board of the Shareholders' General Meeting)
Sonae Capital, SGPS, SA	‐	‐	‐	‐	‐	0
						Balance as at
			Purchases		Sales	30.06.2010
	Date	Quantity	Aver. Price €	Quantity	Aver. Price €	Quantity
(1) Efanor Investimentos, SGPS, SA Sonae Capital, SGPS, SA						88.859.200

(a) Includes 1,862 shares owned by the spouse.

(2) Pareuro, BV

(b) Through Change Partners, SCR, S.A., company of which he is a Member of the Board of Directors.

(c) Through Change Partners, SCR, S.A., company of which he is the Chairman of the Board of Directors.

Pareuro, BV (2) 2.000.000

Sonae Capital, SGPS, SA 50.000.000

Transactions of Securities made by persons discharging managerial responsabilities and their connected persons during the 1st Half of 2010

As required by number 6 article 14 of CMVM Regulation Nr. 5/2008, we inform that no person discharging managerial responsabilities and their connected person has carried out transactions of Sonae Capital's securities during the 1st Hal f of 2010.

CONSOLIDATED FINANCIAL STATEMENTS 30 JUNE 2010

(Translation from the Portuguese Original)

CONSOLIDATED BALANCE SHEET AS AT 30 JUNE 2010 AND 31 DECEMBER 2009

(Amounts expressed in euro)

ASSETS	Notes	30 June 2010	31 December 2009
NON-CURRENT ASSETS:
Tangible assets	8	264,104,945	283,922,679
Intangible assets	8	7,406,655	7,498,780
Goodwill	9	61,349,970	61,349,970
Investments in associated companies	5	70,190,004	69,233,729
Other investments	6 and 10	1,336,862	2,604,144
Deferred tax assets	14	16,969,704	10,643,346
Other non-current assets	11	16,074,363	25,599,607
Total Non-Current Assets		437,432,503	460,852,255
CURRENT ASSETS:
Stocks	12	232,341,625	227,548,617
Trade account receivables and other current assets Investments held for trading	13	70,383,062 -	78,560,576 -
Cash and cash equivalents	15	4,052,894	2,805,280
Total Current Assets		306,777,581	308,914,473
TOTAL ASSETS		744,210,084	769,766,728
EQUITY AND LIABILITIES
EQUITY:
Share capital	16	250,000,000	250,000,000
Reserves and retained earnings		82,804,477	60,545,880
Profit/(Loss) for the year attributable to the equity holders of Sonae Capital		(5,426,249)	23,074,268
Equity attributable to the equity holders of Sonae Capital		327,378,228	333,620,148
Equity attributable to non-controlling interests	17	11,395,515	11,319,241
TOTAL EQUITY		338,773,743	344,939,389
LIABILITIES:
NON-CURRENT LIABILITIES:
Bank Loans	18	236,648,337	235,922,518
Other non-current liabilities	20	37,090,660	36,820,270
Deferred tax liabilities	14	3,341,436	3,142,990
Provisions	23	3,185,974	3,995,369
Total Non-Current Liabilities		280,266,407	279,881,147
CURRENT LIABILITIES:
Bank Loans	18	52,662,630	44,800,559
Trade creditors and other non-current liabilities	22	71,328,302	97,766,631
Provisions	23	1,179,002	2,379,002
Total Current Liabilities		125,169,934	144,946,192
TOTAL LIABILITIES		405,436,341	424,827,339
TOTAL EQUITY AND LIABILITIES		744,210,084	769,766,728

The accompanying notes are part of these financial statements.

CONSOLIDATED INCOME STATEMENTS BY NATURE

FOR THE SIX MONTHS ENDED AT 30 JUNE 2010 AND 2009

(Amounts expressed in euro)

Total Continued Discontinued Total Notes Operations Operations Operations Operations Operational income Sales 42,437,321 111,372,156 - 111,372,156 Services rendered 46,849,829 51,012,543 - 51,012,543 Other operational income 3,968,229 15,392,783 - 15,392,783 Total operational income 93,255,379 177,777,482 - 177,777,482 Operational expenses Cost of goods sold and materials consumed (17,355,191) (25,477,291) - (25,477,291) Changes in stocks of finished goods and work in progress (5,209,174) (8,593,713) - (8,593,713) External supplies and services (43,406,203) (73,519,305) (2,461) (73,521,766) Staff costs (22,453,403) (24,041,244) - (24,041,244) Depreciation and amortisation 8 (6,845,965) (5,892,094) - (5,892,094) Provisions and impairment losses 8 (2,594,184) (3,075,797) - (3,075,797) Other operational expenses (2,131,835) (2,233,048) (93) (2,233,141) Total operational expenses (99,995,955) (142,832,495) (2,553) (142,835,048) Operational profit/(loss) (6,740,576) 34,944,987 (2,553) 34,942,434 Financial Expenses (4,853,597) (6,532,760) (997,834) (7,530,594) Financial Income 907,308 1,407,837 - 1,407,837 Net financial expenses (3,946,289) (5,124,923) (997,834) (6,122,757) Share of results of associated undertakings 5 1,505,425 992,125 - 992,125 Investment income (477,837) 2,140,738 - 2,140,738 Profit/(Loss) before taxation (9,659,277) 32,952,927 (1,000,387) 31,952,540 Taxation 26 4,279,810 (10,084,097) (245) (10,084,342) Profit/(Loss) for the year 27 (5,379,467) 22,868,830 (1,000,632) 21,868,198 Attributable to: Equity holders of Sonae Capital (5,426,249) 21,876,799 (1,000,632) 20,876,167 Non-controlling interests 17 46,782 992,031 - 992,031 Profit/(Loss) per share Basic 28 (0.021705) 0.087507 (0.004003) 0.083505 Diluted 28 (0.021705) 0.087507 (0.004003) 0.083505		30 June 2010	30 June 2009

The accompanying notes are part of these financial statements.

CONSOLIDATED INCOME STATEMENTS BY NATURE

FOR THE 2nd QUARTERS OF 2010 AND 2009

(Amounts expressed in euro)

			Continued Operations
	Notes	2nd Quarter 10 1	2nd Quarter 09 1
Operational income:
Sales		22,315,528	39,468,709
Services rendered		24,840,172	26,866,024
Other operational income		2,521,649	13,253,761
Total operational income		49,677,349	79,588,494
Operational expenses
Cost of goods sold and materials consumed		(10,595,196)	(14,619,205)
Changes in stocks of finished goods and work in progress		(2,112,652)	13,602,048
External supplies and services		(21,448,666)	(45,417,610)
Staff costs		(11,184,541)	(12,651,194)
Depreciation and amortisation		(3,481,844)	(3,070,227)
Provisions and impairment losses		(477,476)	(491,531)
Other operational expenses		(1,058,962)	(1,093,324)
Total operational expenses		(50,359,337)	(63,741,046)
Operational profit/(loss)		(681,988)	15,847,448
Financial Expenses		(2,194,499)	(2,457,381)
Financial Income		385,467	700,524
Net financial expenses		(1,809,032)	(1,756,857)
Share of results of associated undertakings		1,028,314	637,891
Investment income		126,670	2,140,738
Profit/(Loss) before taxation		(1,336,036)	16,869,220
Taxation		1,174,323	(3,845,958)
Profit/(Loss) for the period		(161,713)	13,023,262
Attributable to:
Equity holders of Sonae Capital		(219,801)	12,192,078
Non-controlling interests		58,088	831,184
Profit/(Loss) per share
Basic		(0.000879)	0.048768
Diluted		(0.000879)	0.048768

The accompanying notes are part of these financial statements.

¹ Prepared in accordance with IAS 34 - Interim Financial Reporting. Not subject to limited review.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Amounts expressed in euro)

			30 June 2009
	30 June 2010	Continued Operations	Discontinued Operations	Total Operations
Consolidated net profit/(loss) for the period	(5,379,467)	22,868,830	(1,000,632)	21,868,198
Exchange differences on translating foreign operations	157,830	543,719	-	543,719
Share of other comprehensive income of associates and joint ventures accounted for by the equity method (Note 5)	17,772	-	-	- -
Change in the fair value of assets available for sale	-	6,679,214	-	6,679,214
Change in the fair value of cash flow hedging derivatives	(1,156,151)	304,749	-	304,749
Other comprehensive income for the period	(980,549)	7,527,682	-	7,527,682
Total comprehensive income for the period	(6,360,016)	30,396,512	(1,000,632)	29,395,880
Attributable to:
Equity holders of Sonae Capital Non-controlling interests	(6,438,400) 78,384	29,338,661 1,057,851	(1,000,632) -	28,338,029 1,057,851

The accompanying notes are part of these financial statements.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE 2nd QUARTERS OF 2010 AND 2009

(Amounts expressed in euro)

			2nd Quarter 09 1
	2nd Quarter 10 1	Continued Operations	Discontinued Operations	Total Operations
Consolidated net profit/(loss) for the period	(161,713)	13,023,262	(439,361)	12,583,901
Exchange differences on translating foreign operations	102,951	349,581	-	349,581
Share of other comprehensive income of associates and joint ventures accounted for by the equity method (Note 5)	3,127	(122,918)	-	(122,918)
Change in the fair value of assets available for sale		5,965,243	-	5,965,243
Change in the fair value of cash flow hedging derivatives	(308,320)	153,196	-	153,196
Other comprehensive income for the period	(202,242)	6,345,102	-	6,345,102
Total comprehensive income for the period	(363,955)	19,368,364	(439,361)	18,929,003
Attributable to: Equity holders of Sonae Capital Non-controlling interests	(445,691) 81,736	18,492,165 876,199	(439,361) -	18,052,804 876,199

The accompanying notes are part of these financial statements.

¹ Prepared in accordance with IAS 34 - Interim Financial Reporting. Not subject to limited review.

SONAE CAPITAL, S.G.P.S., S.A.

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

FOR THE SIX MONTHS ENDED AT 30 JUNE 2010 AND 2009

(Amounts expressed in Euro)

			Att ribu tab le to Eq uity Ho lder f So Ca pita l s o nae
	Not es	Sha re Cap ital	Dem erg er Res erve	Tra nsla tion Res erve s	Fai r Va lue Res erve s	Hed ging Res erve s	Oth er R ese rves and Re tain ed Ear ning s	Sub al tot	Net Pro fit/( Los s)	Tot al	-Co Non ntro lling Inte rest s	Tot al Equ ity
Bal t 1 Jan 20 09 anc e a s a uary		250 ,000 ,000	132 ,638 ,253	(1,8 01, 935 )	1,9 52, 931	(30 4,7 49)	(97 ,032 ,344	) 2 85, 452 ,156	21, 393 ,605	306 ,845 ,76 1	49, 319 ,413	356 ,165 ,174
Tot al c olid ate d c hen sive inc e fo r th erio d ons om pre om e p		-	-	477 ,899	6,6 79, 214	304 ,749	-	7,4 61, 862	20, 876 ,167	28, 338 ,029	1,0 57, 851	29, 395 ,880
App riat ion of p rofit of 200 8: rop Tra nsfe leg al r d re tain ed ning r to ese rves an ear s Divi den ds Oth han er c ges		- - -	- - -	- - -	- - -	- - -	21, 393 ,605 - 136 ,749	21, 393 ,605 - 136 ,749	(21 ,393 ,605 ) - -	- - 136 ,749	- - (47 ) ,796 ,964	- - (47 ) ,660 ,215
Bal Ju t 30 ne 2 009 anc e a s a		250 ,000 ,000	132 ,638 ,253	(1,3 ) 24, 036	8,6 32, 145	-	(75 0) ,50 1,99	314 ,444 ,372	20, 876 ,167	335 ,320 ,539	2,5 80, 300	337 ,90 0,8 39
Bal t 1 Jan 20 10 anc e a s a uary		250 ,000 ,000	132 ,638 ,253	(1,2 ) 39, 053	-	-	(70 ,853 ,320	) 3 10,5 45, 880	23, 074 ,268	333 ,620 ,148	11, 319 ,24 1	344 ,939 ,389
Tot al c olid d c hen sive inc e fo r th erio d ate ons om pre om e p		-	-	110 ,48 1	-	(1,1 40, 404 )	17, 772	(1,0 12, 151 )	(5,4 26, 249 )	(6,4 38, 400 )	78, 384	(6,3 60, 016 )
ApT fer to l l re d re tain ed ning rans ega ser ves an ear s Divi den ds		- -	- -	- -	- -	- -	23, 074 ,268 -	23, 074 ,268 -	(23 ,074 ,268 ) -	- -	- -	- -
Oth han er c ges		-	-	-	-	-	196 ,480	196 ,480	-	196 ,480	(2,1 10)	194 ,370
Bal Ju t 30 ne 2 010 anc e a s a		250 ,000 ,000	132 ,638 ,253	(1,1 ) 28, 572	-	(1,1 ) 40, 404	(47 ,564 ,800	) 3 32, 804 ,477	(5,4 ) 26, 249	327 ,378 ,228	11, 395 ,515	338 ,773 ,743

The accompanying notes are part of these consolidated financial statements.

CONSOLIDATED STATMENTS OF CASH FLOWS

FOR THE SIX MONTHS ENDED AT 30 JUNE 2010 AND 2009

(Amounts expressed in Euro)

	Notes	30.06.2010	30.06.2009	2nd quarter 10 1	2nd quarter 09 1
OPERATING ACTIVITIES:
Cash receipts from trade debtors Cash receipts from trade creditors Cash paid to employees		92,397,975 (79,722,065) (22,411,146)	141,264,032 (85,476,060) (23,355,223)	42,754,154 (40,382,240) (11,643,884)	56,663,578 (42,157,281) (13,136,269)
Cash flow generated by operations		(9,735,236)	32,432,749	(9,271,970)	1,370,028
Income taxes (paid) / received Other cash receipts and (payments) relating to operating activities		(4,817,054) 2,870,382	(3,739,537) (1,409,873)	(4,131,044) 4,767,729	(1,923,040) 3,410,649
Net cash flow from operating activities (1)		(11,681,908)	27,283,339	(8,635,285)	2,857,637
INVESTMENT ACTIVITIES:
Cash receipts arising from: Investments Tangible assets		388,548 1,194,346	1,626,674 11,002,794	25,001 456,185	1,626,674 10,731,342
Intangible assets Grants		- -	117 976,490	- -	117 976,490
Interest and similar income Loans granted Dividends		142,019 11,401,460 228,233	4,035 - 233,223	(500,457) 9,343,505 201,747	(87,041) - 233,223
Pagamentos respeitantes a: Investments Tangible assets Intangible assets Loans granted Others		13,354,606 (976,574) (2,978,357) (31,275) (12,000) -	13,843,333 (348,600) (25,330,441) (130,540) (2,009,749) (625,402)	9,525,981 (357,728) (1,238,063) (3,145) - -	13,480,805 (185,100) (3,348,772) 415,035 (1,999) (10,922)
Net cash used in investment activities (2)		(3,998,206) 9,356,400	(28,444,732) (14,601,399)	(1,598,936) 7,927,045	(3,131,758) 10,349,047
FINANCING ACTIVITIES:
Cash receipts arising from: Loans obtained Capital increases, additional paid in capital and share premiums		9,644,246 - 9,644,246	5,441,987 132,531 5,574,518	2,407,616 - 2,407,616	(696,468) 132,531 (563,937)
Cash Payments arising from: Loans obtained Interest and similar charges Others		(2,366,343) (3,421,888) (292,784)	(22,271,789) (7,190,186) (918,223)	(2,080,998) (162,873) 522,738	(10,227,648) (3,158,657) (918,223)
		(6,081,015)	(30,380,198)	(1,721,133)	(14,304,528)
Net cash used in financing activities (3)		3,563,231	(24,805,680)	686,483	(14,868,465)
Net increase in cash and cash equivalents (4) = (1) + (2) + (3) Effect of foreign exchange rate Cash and cash equivalents at the beginning of the period	15	1,237,723 (37,103) 1,943,023	(12,123,740) (86,288) 16,960,564	(21,757) (21,016) 3,218,590	(1,661,781) (58,149) 6,526,744
Cash and cash equivalents at the end of the period	15	3,217,849	4,923,112	3,217,849	4,923,112

The accompanying notes are part of these financial statements.

¹ Prepared in accordance with IAS 34 - Interim Financial Reporting. Not subject to limited review.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the consolidated financial statements originally issued in Portuguese)

(Amounts expressed in euro)

1. INTRODUCTION

SONAE CAPITAL, SGPS, SA ("Company", "Group" or "Sonae Capital") whose head‐office is at Lugar do Espido, Via Norte, Apartado 3053, 4471‐907 Maia, Portugal, is the parent company of a group of companies, as detailed in Notes 4 to 6 ("Sonae Capital Group") and was set up on 14 December 2007 as a result of the demerger of the shareholding in SC, SGPS, SA (previously named Sonae Capital, SGPS, SA) from Sonae, SGPS, SA, which was approved by the Board of Directors on 8 November 2007 and by the Shareholder's General Meeting held on 14 December 2007.

Sonae Capital's business portfolio was reorganized according to its strategic objective, set on the development of three distinct and autonomous business areas:

• The first business area, headed by Sonae Turismo, SGPS, SA, includes businesses in tourism, through the development and management of tourism resorts, in hotels, through management of hotels with an integrated offer of services (SPA, congress centre and food court), and in health and fitness, through management of health clubs;
• The second business area, headed by SC Assets, SGPS, SA, which became autonomous from Sonae Turismo, SGPS, SA in the beginning of 2010, is focused on investment and management of real estate property, comprising the ownership and management of real estate assets for the development of both tourism resorts and residential property, and services regarding land and buildings, among which management of leased buildings, technical management of buildings and condominium management.
• The third business area, headed by Spred, SGPS, SA, includes businesses in three segments: mature businesses with generation of steady cash‐flows in refrigeration, air conditioning and maintenance segments; energy and environment businesses (cogeneration, energy efficiency and sustainable buildings); identifying new business opportunities in emerging sectors or sectors undergoing restructuring and management of a financial portfolio.

2. MAIN ACCOUNTING POLICIES

The accounting policies adopted are consistent with those used in the financial statements presented for the year ended 31 December 2009, except for the changes described in Note 3.

Basis of preparation

Interim financial statements are presented quarterly, in accordance with IAS 34 – "Interim Financial Reporting".

The accompanying consolidated financial statements have been prepared from the books and accounting records of the Company and of its affiliated undertakings (Notes 4 to 6), on a going concern basis and under the historical cost convention, except for derivative financial instruments which are stated at fair value.

3. CHANGES IN ACCOUNTING POLICIES

During the period amendments to IFRS 3 – Business combinations and IAS 27 – Consolidated and separated financial statements (2008 revision) were adopted for the first time.

These amendments introduced changes regarding the accounting of business combinations, namely: (a) goodwill calculation; (b) measurement of non‐controlling interests (formerly known as minority interests); (c) recognition and subsequent measurement of contingent consideration; (d) treatment of acquisition‐related costs; (e) accounting for acquisitions in entities already controlled and for changes in a parent's ownership interests that result in the loss of control and (f) calculation of the result of changes in a parent's ownership interests that result in loss of control and lead to remeasuring remaining controlling interests; these amendments had no significant impact in the first half of 2010 financial statements.

4. GROUP COMPANIES INCLUDED IN THE CONSOLIDATED FINANCIAL STATEMENTS

Group companies included in the consolidated financial statements, their head offices and percentage of the share capital held by the Group as at 30 June 2010 and 31 December 2009, are as follows:

			Percentage of capital held
			30 June 2010			31 December 2009
Company		Head Office	Direct	Total	Direct	Total
Sonae Capital SGPS, SA		Maia	Holding	Holding	Holding	Holding
Tourism
Aqualuz ‐ Turismo e Lazer, Lda	a)	Lagos	100.00%	100.00%	100.00%	100.00%
Casa da Ribeira ‐ Hotelaria e Turismo, SA	a)	Marco de Canaveses	100.00%	100.00%	100.00%	100.00%
Golf Time ‐ Golfe e Inv.Turisticos, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
Imoareia Investimentos Turísticos, SGPS, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
Imopenínsula ‐ Sociedade Imobiliária, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
Imoresort ‐ Sociedade Imobiliária, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
Investalentejo, SGPS, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
Marimo ‐Exploração Hoteleira Imobiliária, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
Sonae Capital, SGPS, SA		Report and	Accounts			31

	Marina de Tróia, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Marina Magic ‐ Exploração de Centros Lúd, SA	a)	Lisbon	100.00%	100.00%	100.00%	100.00%
	Marmagno‐Expl.Hoteleira Imob., SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Martimope ‐ Sociedade Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Marvero‐Expl.Hoteleira Imob., SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Modus Faciendi – Gestão e Serviços, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	SII ‐ Soberana Investimentos Imobiliários, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Sete e Meio ‐ Investimentos e Consultadoria, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Solinca ‐ Health & Fitness, SA	a)	Lisbon	100.00%	100.00%	100.00%	100.00%
	Solinca‐Investimentos Turísticos, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Solinfitness ‐ Club Malaga, SL	a)	Malaga (Spain)	100.00%	100.00%	100.00%	100.00%
	Soltroia‐Imob.de Urb.Turismo de Tróia, SA	a)	Lisbon	100.00%	100.00%	100.00%	100.00%
	Sonae Turismo ‐ SGPS, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Sontur, BV	a)	Amsterdam (The Netherlands)	100.00%	100.00%	100.00%	100.00%
	Tróia Market, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Tróia Natura, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Troiaresort ‐ Investimentos Turísticos, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Troiaverde‐Expl.Hoteleira Imob., SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Tulipamar‐Expl.Hoteleira Imob., SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
	Assets
1)	Bloco Q‐Sociedade Imobiliária, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
1)	Bloco W‐Sociedade Imobiliária, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Empreend.Imob.Quinta da Azenha, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Centro Residencial da Maia,Urban., SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
1)	Cinclus Imobiliária, SA	a)	Porto	100.00%	87.74%	100.00%	87.74%
1)	Country Club da Maia‐Imobiliaria, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Imobiliária da Cacela, SA	a)	Matosinhos	100.00%	87.74%	100.00%	87.74%
1)	Imoclub‐Serviços Imobiliários, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Imodivor ‐ Sociedade Imobiliária, SA	a)	Maia	100.00%	87.74%	100.00%	87.74%
1)	Imoferro‐Soc.Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Imohotel‐Emp.Turist.Imobiliários, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Imoponte‐Soc.Imobiliaria, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Imosedas‐Imobiliária e Serviços, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Implantação – Imobiliária, SA	a)	Matosinhos	100.00%	87.74%	100.00%	87.74%
1)	Porturbe‐Edificios e Urbanizações, SA	a)	Maia	100.00%	87.74%	100.00%	87.74%
1)	Praedium II‐Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Praedium – Serviços, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Praedium‐SGPS, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
1)	Prédios Privados Imobiliária, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Predisedas‐Predial das Sedas, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Promessa Sociedade Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	SC Assets, SGPS, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Sete e Meio Herdades ‐ Investimentos Agrícolas e Turismo, SA	a)	Grândola	100.00%	100.00%	100.00%	100.00%
1)	Soconstrução, BV	a)	Amsterdam (The Netherlands)	100.00%	100.00%	100.00%	100.00%

1)	Soira‐Soc.Imobiliária de Ramalde, SA	a)	Porto	100.00%	87.74%	100.00%	87.74%
1)	Sótaqua ‐ Soc. de Empreendimentos Turísticos,	a)	Maia	100.00%	87.74%	100.00%	87.74%
	SA
1)	Spinveste ‐ Promoção Imobiliária, SA	a)	Porto	87.74%	87.74%	87.74%	87.74%
1)	Spinveste‐Gestão Imobiliária SGII, SA	a)	Porto	87.74%	87.74%	87.74%	87.74%
1)	Torre São Gabriel‐Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Urbisedas‐Imobiliária das Sedas, SA	a)	Matosinhos	100.00%	100.00%	100.00%	100.00%
1)	Venda Aluga‐Sociedade Imobiliária, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
1)	Vistas do Freixo‐Emp.Tur.imobiliários,SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
1)	World Trade Center Porto, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Spred
	Atlantic Ferries ‐ Traf.Loc.Flu.e Marit., SA	a)	Grândola	80.00%	80.00%	80.00%	80.00%
	Box Lines Navegação, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Contacto Concessões, SGPS, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Cronosaúde – Gestão Hospitalar, SA	a)	Porto	100.00%	50.00%	100.00%	50.00%
	Ecociclo II – Energias, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Edifícios Saudáveis Consultores ‐ Ambiente e Energia em Edifícios, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Friengineering, SA	a)	São Paulo (Brazil)	100.00%	70.00%	100.00%	70.00%
	Inparvi SGPS, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Integrum‐Energia, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Integrum‐Serviços Partilhados, SA	a)	Maia	100.00%	70.00%	100.00%	70.00%
	Invsaúde – Gestão Hospitalar, SA	a)	Maia	100.00%	50.00%	100.00%	50.00%
	PJP ‐ Equipamento de Refrigeração, Lda	a)	Matosinhos	100.00%	70.00%	100.00%	70.00%
	Saúde Atlântica ‐ Gestão Hospitalar, SA	a)	Maia	50.00%	50.00%	50.00%	50.00%
	SC ‐ Engenharia e Promoção Imobiliária, SGPS, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	Selfrio, SGPS, SA	a)	Matosinhos	70.00%	70.00%	70.00%	70.00%
	Selfrio‐Engenharia do Frio, SA	a)	Matosinhos	100.00%	70.00%	100.00%	70.00%
	Sistavac‐Sist.Aquecimento,V.Ar C., SA	a)	Matosinhos	100.00%	70.00%	100.00%	70.00%
	SKK Distribucion de Refrigeración, S.R.L.	a)	Spain	100.00%	70.00%	100.00%	70.00%
	SKK‐Central de Distr., SA	a)	Porto	100.00%	70.00%	100.00%	70.00%
	SKKFOR ‐ Ser. For. e Desen. de Recursos, SA	a)	Maia	100.00%	70.00%	100.00%	70.00%
	SMP‐Serv. de Manutenção Planeamento, SA	a)	Matosinhos	100.00%	70.00%	100.00%	70.00%
	Société de Tranchage Isoroy SAS	a)	Honfleur (France)	100.00%	100.00%	100.00%	100.00%
2)	Société des Essences Fines Isoroy	a)	Honfleur (France)	100.00%	100.00%	100.00%	100.00%
	Sopair, SA	a)	Madrid (Spain)	100.00%	70.00%	100.00%	70.00%
	Spred SGPS, SA	a)	Maia	100.00%	100.00%	100.00%	100.00%
	Others
	Interlog‐SGPS, SA	a)	Lisbon	98.98%	98.98%	98.98%	98.98%
	Rochester Real Estate, Ltd	a)	Kent (U.K.)	100.00%	100.00%	100.00%	100.00%
	SC – Sociedade de Consultadoria, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	SC‐SGPS, SA	a)	Porto	100.00%	100.00%	100.00%	100.00%
	SC Finance, BV	a)	Amsterdam (The Netherlands)	100.00%	100.00%	100.00%	100.00%

1) Company incorporated in the Tourism segment in 2009

2) Company sold in the period

a) Majority of voting rights

5. INVESTMENTS IN ASSOCIATED AND JOINTLY CONTROLLED COMPANIES

Associated and jointly controlled companies included in the consolidated financial statements, their head offices and the percentage of share capital held by the Group as at 30 June 2010 and 31 December 2009 are as follows:

				Percentage of capital held
		30 June 2010			31 December 2009	Book Value
						30 June	31 December
Company	Head Office	Direct	Total	Direct	Total	2010	2009
Tourism
Andar ‐ Sociedade Imobiliária, SA	Maia	50.00%	50.00%	50.00%	50.00%	935,429	1,023,043
Sociedade de Construções do Chile, SA	Lisbon	100.00%	50.00%	100.00%	50.00%	‐	‐
Fundo de Investimento Imobiliário Fechado Imosede	Maia	45.45%	45.45%	45.45%	45.45%	53,996,532	52,802,751
Sociedade Imobiliária Tróia ‐ B3, SA	Grândola	20.00%	20.00%	20.00%	20.00%	441,706	440,476
Vastgoed One ‐ Sociedade Imobiliária, SA	Maia	100.00%	50.00%	100.00%	50.00%	‐	‐
Vastgoed Sun ‐ Sociedade Imobiliária, SA	Maia	100.00%	50.00%	100.00%	50.00%	‐	‐
Spred
Cinclus‐Plan. e Gestão de Projectos, SA	Porto	25.00%	25.00%	25.00%	25.00%	726,098	662,209
Change, SGPS, SA	Porto	50.00%	50.00%	50.00%	50.00%	73,634	1,186,964
Lidergraf ‐ Artes Gráficas, Lda	Vila do Conde	24.50%	24.50%	24.50%	24.50%	536,287	597,067
Norscut ‐ Concessionária de Scut Interior Norte, SA	Lisbon	36.00%	36.00%	36.00%	36.00%	‐	‐
Operscut ‐ Operação e Manutenção de Auto‐estradas, SA	Lisbon	15.00%	15.00%	15.00%	15.00%	24,000	24,000
Sodesa, SA	Porto	50.00%	50.00%	50.00%	50.00%	16,344	24,890
TP ‐ Sociedade Térmica, SA	Porto	50.00%	50.00%	50.00%	50.00%	13,439,974	12,472,327
Total						70,190,004	69,233,729

Associated and jointly controlled companies are consolidated using the equity method.

Nil balances shown result from the reduction to acquisition cost of amounts determined by the equity method, discontinuing the recognition of its part of additional losses under the terms of IAS 28.

Investments in associated and jointly controlled companies include 624,760 euro of impairment losses.

As at 30 June 2010 and 31 December 2009, aggregate values of main financial indicators of associated and jointly controlled companies can be analysed as follows:

	30 June 2010	31 December 2009
Total Assets	969,340,940	1,650,136,557
Total Liabilities	820,609,090	1,468,288,692
Income	84,966,443	182,413,148
Expenses	77,316,619	190,184,798

During the periods ended 30 June 2010 and 2009, movements in investments in associated companies may be summarised as follows:

	30 June 2010	30 June 2009
Opening balance as at 1 January	69,233,729	14,882,648
Changes in the consolidation method during the period	‐	51,468,593
Acquisitions in the period	52,380	241,000
Impairments in the period	(592,817)	‐
Disposals in the period	‐	‐
Equity method	1,523,198	992,125
Dividends received	(26,486)	(107,133)
Transfers	‐	‐
Closing balance as at 30 June	70,190,004	67,477,233

The use of the equity method had the following impacts: 1,505,425 euro are recorded in Share of results of associated undertakings (992,125 euro at 30 June 2009) and 17,772 of other changes recorded in Reserves (no changes were recorded in Reserves as at 30 June 2009).

6. GROUP COMPANIES, JOINTLY CONTROLLED COMPANIES AND ASSOCIATED COMPANIES EXCLUDED FROM CONSOLIDATION AND INVESTMENTS HELD FOR SALE

Group companies, jointly controlled companies and associated companies excluded from consolidation, their head offices, percentage of share capital held and book value as at 30 June 2010 and 31 December 2009 are made up as follows:

					Percentage of capital held
				30 June 2010		31 December 2009
	Reason
	for	Head					30 June	31 December
Company	exclusion	Office	Direct	Total	Direct	Total	2010	2009
Tourism
Delphinus – Soc. de Tur. e Div. de Tróia, SA	a)	Grândola	79.00%	79.00%	79.00%	79.00%	‐	‐
Infratroia – Emp. De Infraest. De Troia, E.N.	a)	Grândola	25.90%	25.90%	25.90%	25.90%	64,747	64,747
Spidouro S.P.E.I. Douro e Trás‐os‐Montes, SA		Vila Real	8.30%	8.30%	8.30%	8.30%	‐	‐

Spred
Net, SA		Lisbon	2.80%	2.80%	2.80%	2.80%	11,132	11,132
Sear ‐ Sociedade Europeia de Arroz, SA		Santiago do Cacém	15.00%	15.00%	15.00%	15.00%	150,031	150,031
Real Change FCR ‐ Fundo		Porto	13.33%	13.33%	13.33%	13.33%	267,000	1,706,667
Fundo de Capital de Risco F‐HITEC		Lisbon	7.14%	7.14%	7.14%	7.14%	250,000	250,000
Spinarq – Engenharia, Energia e Ambiente, SA	a)	Luanda	99.90%	99.90%	‐	‐	191,459	‐
Other investments							402,493	421,567
Total (Note 10)							1,336,862	2,604,144

a) Group company, jointly controlled company or associated company for which, at the date of the issuance of these financial statements, complete financial information was not available.

Nil balances shown above result from deduction of impairment losses.

7. CHANGES TO THE CONSOLIDATION PERIMETER

Disposals of companies over the six month period ended 30 June 2010 were as follows:

		At the date of disposal of shareholding
Company	Head Office	Direct	Total
Spred
Société des Essences Fines Isoroy	Honfleur (France)	100.00%	100.00%

Percentage of capital held

Net assets of the affiliated company at the exclusion date are the following:

	Date of disposal of shareholding	31 December 2009
Net assets excluded
Stocks	1,246,393	1,316,823
Other assets	422,774	(2,663,566)
Cash and cash equivalents	31,464	11,848
Other liabilities	(6,788,583)	(2,070,560)
	(5,087,952)	(3,405,455)
Impairment of assets	3,560,012	3,560,012
	(1,527,940)	154,557
Gain/(Loss) on exclusion	1,527,942	‐
	2	154,557

Impacts in the consolidated profit and loss at the exclusion date were as follows:

Sales and services rendered 893,166	5,491,251
Other operational income 16,736	119,690
Other operational expenses (1,182,548)	(6,725,962)
Net financial expenses (29,826)	(128,873)
Profit/(Loss) before taxation (302,472)	(1,243,894)
Taxation ‐	‐
Profit/(Loss) for the period (302,472)	(1,243,894)

8. TANGIBLE AND INTANGIBLE FIXED ASSETS

During the six months period ended 30 June 2010, movements in tangible and intangible fixed assets, as well as in amortisation and accumulated impairment losses, are made up as follows:

	Tangible assets
	Land and Buildings	Equipment	Other Tangible Assets	Assets in progress	Total Tangible Assets
Gross Cost:
Opening balance as at 1 January 2010	206,122,259	126,089,177	3,764,326	30,525,157	366,500,919
Changes in consolidation perimeter (Note 7)	(4,459,919)	(3,266,870)	(5,950)	‐	(7,732,739)
Capital expenditure	16,677	211,328	3,104	1,619,353	1,850,462
Disposals	(667,867)	(1,123,555)	(7,862)	(278,110)	(2,077,394)
Exchange rate effect	45,057	7,767	7,703	‐	60,527
Transfers	2,723,327	3,150,096	(198,574)	(18,565,596)	(12,890,747)
Closing balance as at 30 June 2010	203,779,534	125,067,943	3,562,747	13,300,804	345,711,028
Accumulated depreciation and impairment losses:
Opening balance as at 1 January 2010	45,544,496	34,326,952	2,706,792	‐	82,578,240
Changes in consolidation perimeter (Note 7)	(4,459,919)	(3,266,870)	(5,950)	‐	(7,732,739)
Charge for the period 1)	3,108,906	4,867,774	112,353	‐	8,089,033
Disposals 2)	(780,972)	(393,157)	(7,500)	‐	(1,181,629)
Exchange rate effect	10,598	5,380	4,901	‐	20,879
Transfers	1,232	(3,104)	(165,829)	‐	(167,701)
Closing balance as at 30 June 2010	43,424,341	35,536,975	2,644,767	‐	81,606,083
Carrying amount as at 30 June 2010	160,355,193	89,530,968	917,980	13,300,804	264,104,945

1) Includes impairment losses amounting to 1,442,486 euro.

2) Includes reversal of impairment losses amounting to 627,028 euro.

Transfers from Tangible assets in progress include transfers to stocks of amounts related with real estate projects under commercialization at Troia, in the amount of 11,070,352 euro.

Major amounts included in the caption Tangible assets in progress, refer to the following projects:

				30 June 2010
	Tróia			7,920,161
		Infrastructures in Setúbal piers and other related with the ferry crossing to Tróia		595,784
		Boavista complex refurbishment		1,418,528
		Ecoresort Project (Tróia)		2,096,396
	Others			1,269,935
				13,300,804
				Intangible assets
		Patents and other similar rights	Software	Other intangible assets	Assets in progress	Total intangible assets
Gross cost:
Opening balance as at 1 January 2010		7,446,843	2,716,769	37,262	100,915	10,301,789
Capital expenditure		‐	2,990	‐	28,285	31,275
Disposals		(1,613)	‐	(23,863)	‐	(25,476)
Exchange rate effect		‐	2,612	‐	‐	2,612
Transfers		(15,842)	363,218	‐	(118,433)	228,943
Closing balance as at 30 June 2010		7,429,388	3,085,589	13,399	10,767	10,539,143
Accumulated amortization and impairment losses:
Opening balance as at 1 January 2010		692,598	2,073,376	37,035	‐	2,803,009
Charge for the period		81,532	117,658	227	‐	199,417
Disposals		(1,613)	‐	(23,863)	‐	(25,476)
Exchange rate effect		‐	1,502	‐	‐	1,502
Transfers		(15,842)	169,878	‐	‐	154,036
Closing balance as at 30 June 2010		756,675	2,362,414	13,399	‐	3,132,488
Carrying amount as at 30 June 2010		6,672,713	723,175	‐	10,767	‐ 7,406,655

9. GOODWILL

During the six months period ended 30 June 2010, movements in goodwill, as well as in corresponding impairment losses, are as follows:

	30 June 2010
Gross amount:
Opening balance	62,651,566
Increases	‐
Decreases	‐
Closing balance	62,651,566
Accumulated impairment losses:
Opening balance	1,301,596
Increases	‐
Decreases	‐
Closing balance	1,301,596
Carrying amount:	61,349,970

10. INVESTMENTS

As at 30 June 2010 this caption can be detailed as follows:

		30 June 2010
		Non current	Current
Investments in group companies, jointly controlled companies or associated companies excluded from consolidation
Opening balance as at 1 January		8,229,277	‐
Acquisitions in the period		734,604	‐
Disposals in the period		(639,680)	‐
Transfers		‐	‐
Closing balance as at 30 June		8,324,201	‐
Accumulated impairment losses (Note 23)		(7,707,935)	‐
		616,266	‐
Investments held for sale
Fair value as at 1 January		2,289,261	‐
Acquisitions in the period		‐	‐
Disposals in the period		‐	‐
Increase/(decrease) in fair value		‐	‐
Liquidations in the period		‐	‐
Fair value as at 30 June		2,289,261	‐
Accumulated impairment losses (Note 23)		(1,568,665)	‐
Fair value (net of impairment losses) as at 30 June		720,596	‐
Other investments (Note 6)		1,336,862	‐
Sonae Capital, SGPS, SA	Report and Accounts 30 June 2010		39

Investments in group companies, jointly controlled companies or associated companies excluded from consolidation and investments held for sale are recorded at acquisition cost less impairment losses. The Group considers that it is not reasonable to estimate a fair value for these investments as there is no visible market data.

11. OTHER NON CURRENT ASSETS

As at 30 June 2010 and 31 December 2009, Other non current assets are detailed as follows:

	30 June 2010	31 December2009
Loans granted to related parties
Norscut ‐ Concessionária de Scut Interior Norte, SA	14,564,633	23,837,775
Others	156,214	238,225
	14,720,847	24,076,000
Impairment losses (Note 23)	(99,512)	(34,916)
	14,621,335	24,041,084
Trade accounts receivable and other debtors
Others	1,453,028	1,558,523
	1,453,028	1,558,523
Impairment losses (Note 23)	‐	‐
	1,453,028	1,558,523
Other non current assets	16,074,363	25,599,607

12. STOCKS

Stocks as at 30 June 2010 and 31 December 2009 can be detailed as follows, highlighting the value attributable to real estate developments:

		30 June 2010	31 December 2009
	Total	of which Real Estate Developments	Total	of which Real Estate Developments
Raw materials, by‐products and consumables	1,098,186	‐	2,371,413	‐
Goods for sale	45,470,654	43,290,082	45,133,938	42,966,231
Finished products	121,247,385	121,247,385	104,620,642	104,502,986
Work in progress	72,191,736	66,512,973	83,212,537	76,428,112
Payments on account	68,459	‐	68,459	‐
	240,076,420	231,050,440	235,406,989	223,897,329
Accumulated impairment losses on stocks (Note 23)	(7,734,795)	(7,666,337)	(7,858,372)	(7,674,640)
Stocks	232,341,625	223,384,103	227,548,617	216,222,689

13. TRADE ACCOUNTS RECEIVABLE AND OTHER CURRENT ASSETS

As at 30 June 2010 and 31 December 2009, Trade accounts receivable and Other current assets are detailed as follows:

	30 June 2010	31 December 2009
Trade accounts receivable	42,568,135	47,929,830
Taxes recoverable	13,971,113	13,276,150
Loans granted and other accounts receivable from related parties
Sit B3	2,559,886	2,559,886
TP	‐	2,000,000
Change, SGPS, SA	2,064,000	2,052,000
Others	148,507	230,381
	4,772,393	6,842,267
Other current assets
Suppliers with debtor balances	1,090,504	1,137,398
Other debtors	11,671,446	12,746,812
Accounts receivable from the sale of financial investments	26,746,339	27,041,348
Accounts receivable from the sale of tangible assets	333,914	124,232
Interest receivable	737,970	18,716
Deferred costs ‐ rents	166,663	256,528
Deferred costs ‐ external supplies and services	1,611,378	1,688,111
Other current assets	1,426,266	1,534,041
	43,784,480	44,547,186
Accumulated impairment losses (Note 23)	(34,713,059)	(34,034,857)
Trade accounts receivable and other current assets	70,383,062	78,560,576

14. DEFERRED TAXES

Deferred tax assets and liabilities as at 30 June 2010 and 31 December 2009, split between the different types of temporary differences, can be detailed as follows:

	Deferred tax assets		Deferred tax liabilities
	30 June 2010	31 December 2009	30 June 2010	31 December 2009
Amortisation and Depreciation harmonisation adjustments	1,342,693	1,249,564	1,223,053	1,031,460
Provisions and impairment losses of non‐tax deductible	2,938,096	‐	‐	‐
Write off of tangible and intangible assets	1,396,357	1,446,714	‐	‐
Write off of accruals	638,455	636,463	‐	‐
Revaluation of tangible assets	‐	‐	733,622	741,120

Tax losses carried forward	10,646,719	7,305,682	36,510	‐
Write off of stocks	‐	‐	1,138,330	1,138,330
Others	7,384	4,923	209,921	232,080
	16,969,704	10,643,346	3,341,436	3,142,990

In accordance with the tax statements presented by companies that recorded deferred tax assets arising from tax losses carried forward, as at 30 June 2010 and 31 December 2009, and using exchange rates effective at that time, tax losses carried forward can be summarised as follows:

		30 June 2010		31 December 2009 Tax losses carried Deferred tax forward assets 317,411 4,289,549 7,098,052 2,851,068 6,940,535 7,770,683 ‐
	Tax losses carried forward	Deferred tax assets	Time limit			Time limit
With limited time use
Generated in 2004	58,171	14,543	2010		79,353	2010
Generated in 2005	3,678,356	919,589	2011		1,072,387	2011
Generated in 2006	7,098,052	1,774,513	2012		1,774,513	2012
Generated in 2007	2,851,068	712,767	2013		712,767	2013
Generated in 2008	6,940,535	1,735,134	2014		1,735,134	2014
Generated in 2009	11,429,082	2,857,270	2015		1,906,161	2015
Generated in 2010	10,378,188	2,594,547	2014		‐
	42,433,452	10,608,363		29,267,298	7,280,315
With a time limit different from the above mentioned	153,488	38,356		101,535	25,367
	153,488	38,356		101,535	25,367
	42,586,940	10,646,719		29,368,833	7,305,682

As at 30 June 2010 and 31 December 2009, Deferred tax assets resulting from tax losses carried forward were re‐assessed against each company's business plans, which are regularly updated, and available tax planning opportunities. Deferred tax assets have only been recorded to the extent that future profits will arise which may be offset against available tax losses or against deductible temporary differences.

As at 30 June 2010, tax losses carried forward amounting to 154,767,805 euro (150,762,305 euro as at 31 de December 2009), have not originated deferred tax assets for prudential reasons:

	30 June 2010			31 December 2009
	Tax losses carried forward	Tax Credit	Time limit	Tax losses carried forward	Tax Credit	Time limit
With limited time use
Generated in 2004	2,695,637	660,030	2010	2,905,101	712,395	2010
Generated in 2005	5,463,294	1,302,730	2011	5,733,190	1,370,204	2011
Sonae Capital, SGPS, SA		Report and	Accounts			42
		30 June	2010

Generated in 2006	10,726,618	2,505,276	2012	11,126,174	2,605,166	2012
Generated in 2007	19,361,420	4,728,355	2013	21,669,751	5,305,437	2013
Generated in 2008	31,452,195	7,630,652	2014	31,452,496	7,630,728	2014
Generated in 2009	52,723,889	13,067,101	2015	53,480,303	13,256,163	2015
Generated in 2010	11,492,559	2,792,519	2014	‐	‐
	133,915,612	32,686,663		126,367,015	30,880,093
Without limited time use	1,186,715	395,532		5,607,982	1,869,140
With a time limit different from the above mentioned	19,665,478	5,635,477		18,787,308	5,418,039
	20,852,193	6,031,009		24,395,290	7,287,179
	154,767,805	38,717,672		150,762,305	38,167,272

15. CASH AND CASH EQUIVALENTS

As at 30 de June 2010 and 31 December 2009, Cash and Cash equivalents can be detailed as follows:

	30 June 2010	31 December 2009
Cash at hand	194,771	202,538
Bank deposits	3,853,123	2,196,282
Treasury applications	5,000	406,460
Cash and cash equivalents in the balance sheet	4,052,894	2,805,280
Bank overdrafts (Note 18)	(335,045)	(362,257)
Guarantee deposit	(500,000)	(500,000)
Cash and cash equivalents in the statement of cash‐flows	3,217,849	1,943,023

Bank overdrafts include creditor balances of current accounts in financial institutions, and are disclosed in the balance sheet under Current bank loans (Note 18).

16. SHARE CAPITAL

The share capital of Sonae Capital SGPS, SA is represented by 250,000,000 ordinary shares, which do not have the right to a fixed remuneration, with a nominal value of 1 euro each.

The demerger originated a reserve in the amount of 132,638,253 euro, which has a treatment similar to that of a Legal Reserve. According to Company Law, it cannot be distributed to shareholders, unless the company is liquidated, but can be used to make good prior year losses, once other reserves have been used fully, or for capital increases.

17. NON‐CONTROLLING INTERESTS

Movements in Non‐controlling interests in the periods ended 30 June 2010 and 31 December 2009 are as follows:

	30 June 2010	31 December 2009
Opening balance as at 1 January	11,319,241	49,319,413
Change in consolidation method	‐	(47,911,935)
Changes in percentage by acquisition / increase capital	‐	14,006
Changes by disposals	‐	7,135,202
Changes in percentage by sale of shares	‐	1,115,855
Changes resulting from currency translation	47,349	102,101
Other changes	(17,857)	197,227
Profit for the period attributable to non‐controlling interests	46,782	1,347,372
Closing balance	11,395,515	11,319,241

18. BORROWINGS

As at 30 June 2010 and 31 December 2009, Borrowings are made up as follows:

	30 June 2010		31 December 2009
	Outstanding amount		Outstanding amount		Repayable
	Current	Non current	Current	Non current
Bank loans
Sonae Capital SGPS ‐ commercial paper a)	‐	30,000,000	‐	30,000,000	Mar/2013
Sonae Capital SGPS ‐ commercial paper b) e)	47,100,000	‐	39,100,000	‐	2011
Sonae Capital SGPS ‐ commercial paper c) d)		49,500,000	‐	48,550,000	Aug/2011
Sonae Capital SGPS ‐ commercial paper d)	‐	24,800,000	‐	24,250,000	Aug/2011
Invesaúde	250,000	‐	500,000	‐	Aug/2010
Selfrio Engenharia ‐ commercial paper	1,400,000	1,400,000	1,400,000	2,100,000	May/2012
Up‐front fees	‐	(42,161)	‐	(49,893)
Others	131,246	‐	‐	‐
	48,881,246	105,657,839	41,000,000	104,850,107
Bank overdrafts (Note 15)	335,045	‐	362,257	‐
Bank loans	49,216,291	105,657,839	41,362,257	104,850,107
Bond loans
Sonae Capital 2007/2012 Bonds	‐	20,000,000	‐	20,000,000	Dec/2012
Sonae Capital 2007/2012 Bonds	‐	30,000,000	‐	30,000,000	Dec/2012
SC, SGPS, S.A. 2008/2018 Bonds	‐	50,000,000	‐	50,000,000	Mar/2018
Up‐front fees	‐	(675,841)	‐	(756,745)
Bond loans	‐	99,324,159	‐	99,243,255
Other loans	58,772	2,986,459	131,532	2,986,459
Derivatives (Note 19)	‐	1,399,699	‐	‐
Sonae Capital, SGPS, SA	Report	and Accounts			44

30 June 2010

Obligations under finance leases	3,387,566	27,411,646	3,306,770	28,987,580
Up‐front fees on finance leases	‐	(131,466)	‐	(144,883)
	52,662,630	236,648,337	44,800,559	235,922,518

a) Commercial paper programme, with subscription guarantee, issued on 14 March 2008 and valid for a 5 year period.

b) Short term commercial paper programme, issued on 28 March 2008 and valid for a 10 year period.

c) Sonae Turismo, SGPS, SA is a co-guarantor in this loan.

d) Commercial paper programme, issued on 28 August 2009 and valid up to 29 August 2011.

e) Commercial paper programme, with short term subscription guarantee, issued on 22 December 2008, with annual renewals up to a maximum of 3 years.

As at 30 June 2010, Bond loans of the Group were as follows:

• Sonae Capital SGPS ‐ 2007/2012 Bond loan 1st emission in the amount of 20,000,000 euro, with a 5 year maturity, and a sole reimbursement on 31 December 2012, except if the reimbursement is anticipated, fully or partially, which can happen on 31 December 2010.
• Sonae Capital SGPS ‐ 2007/2012 Bond loan 2nd emission in the amount of 30,000,000 euro, with a 5 year maturity, and a sole reimbursement on 31 December 2012.
• SC, SGPS, SA, 2008/2018 Bond loan in the amount of 50,000,000 euro, with a 10 year maturity, and a sole reimbursement on 3 March 2018, except if the reimbursement is anticipated, fully or partially, which can happen on 3 March 2016.

These bond loans bear interest every six months at 6 months Euribor interest rates plus spreads that range between 0.50% and 0.95%.

In spite of Bond loans in the amount of 20,000,000 euro containing call / put options, they are disclosed at the latest maturity date on the assumption that the Group will be able to refinance those loans if the options are exercised, thus maintaining its capital structure.

Other loans include reimbursable grants to affiliated undertakings, which do not bear interest.

The repayment schedule of the nominal value of borrowings may be summarised as follows:

	30 June 2010	31 December 2009
	Nominal value	Interest	Nominal value	Interest
N+1 a)	52,662,630	6,593,084	44,800,560	6,395,144
N+2	78,968,121	2,838,738	77,707,365	4,052,843
N+3	82,897,291	2,714,799	53,447,792	3,133,980
N+4	3,008,636	1,401,644	32,986,141	1,869,353
N+5	3,048,076	1,354,195	3,034,952	1,373,606
After N+5	68,175,981	4,299,835	69,697,789	4,944,349
	288,760,736	19,202,295	281,674,599	21,769,275

a) Includes amounts drawn under commercial paper programmes.

19. DERIVATIVES

Interest rate derivatives

The hedging instruments used by the Group as at 30 June 2010 were mainly interest rate options ("cash flow hedges") contracted with the goal of hedging interest rate risks on loans in the amount of 55,000,000 euro, whose net fair value was negative 1,399,699 euro. As at 30 June 2010 all derivatives are hedging derivatives.

These interest rate hedging instruments are valued at fair value as at the balance sheet date, determined by valuations made by the Group using derivative valuation calculation schedules and external valuations when these schedules do not permit the valuation of certain instruments. For options, fair value is determined using the Black‐Scholes model and its variants.

The risk cover principles generally used by the Group to contractually arrange hedging instruments are as follows:

• Matching between cash‐flows received and paid, i.e., there is a perfect match between the dates of the re‐fixing of interest rates on financing contracted with the bank and the dates of the re‐fixing of interest rates on the derivative;
• Perfect matching between indices: the reference index for the hedging instrument and that for the financing to which the underlying derivative relates are the same;
• In the case of extreme rises in interest rates, the maximum cost of financing is limited.

The counterparts for derivatives are selected based on their financial strength and credit risk profile, with this profile being generally measured by a rating note attributed by rating agencies of recognised merit. The counterparts for derivatives are top level, highly prestigious financial institutions which are recognised nationally and internationally.

Fair value of derivatives

The fair value of derivatives is as follows:

	Assets		Liabilities
	30 June 2010	31 December 2009	30 June 2010	31 December 2009
Non‐Hedge accounting derivatives
Interest rate	‐	‐	‐	‐
Hedge accounting derivatives
Interest rate (Note 18)	‐	‐	1,399,699	‐
Other derivatives	‐	‐	‐	‐
	‐	‐	1,399,699	‐

20. OTHER NON CURRENT LIABILITIES

As at 30 June 2010 and 31 December 2009 Other non current liabilities can be detailed as follows:

	30 June 2010	31 December 2009
Loan and other amounts payable to related
parties
Plaza Mayor Parque de Ocio, SA	2,270,653	2,288,446
Others	973,001	960,002
	3,243,654	3,248,448
Others creditors
Creditors in the restructuring process of Torralta	30,141,462	30,141,462
Fixed assets suppliers	‐	‐
Others	544,553	12,553
	30,686,015	30,154,015
Deferred income	3,160,991	3,281,604
Pension fund liabilities	‐	136,203
Other non current liabilities	37,090,660	36,820,270

Other creditors include 30,141,462 euro payable to creditors of an affiliated undertaking under the terms of a judicial restructuring process. The court decision dated 27 November 1997 (which confirms the terms approved in the creditors meeting of 23 September 1997) states that these credits will be payable 50 years from the date that the decision was confirmed (30 January 2003).

21. SHARE‐BASED PAYMENTS

In 2010 and in previous years, the Sonae Capital Group granted deferred performance bonuses to employees, based on shares (until 2007 based on Sonae SGPS, SA shares) to be acquired at nil cost, three years after they were attributed to the employee. In any case, the acquisition can be exercised during the period commencing on the third anniversary of the grant date and the end of that year. The company has the choice to settle in cash instead of shares. The option can only be exercised if the employee still works for the Sonae Capital Group on the vesting date. On 28 January 2008 existing liabilities based on Sonae, SGPS, SA's shares have been recalculated to reflect liabilities based on Sonae Capital, SGPS, SA's shares. Closing share prices as at that date were used in this recalculation.

As at 30 June 2010 and 31 December 2009, the market value of total liabilities arising from share‐based payments, which have not yet vested, may be summarised as follows:

			Number of	Fair value
	Year of grant	Vesting year	participants	30 June 2010	31 December 2009
Shares
	2007	2010	4	‐	75,080
	2008	2011	6	120,150	207,760
	2009	2012	7	242,987	420,165
	2010	2013	6	218,739	‐
Total				581,876	703,005

As at 30 June 2010 and 31 December 2009, the financial statements include the following amounts corresponding to the period elapsed between the date of granting and those dates for each deferred bonus plan, which have not yet vested:

30 June 2010	31 December 2009
157,950	278,562
100,125	75,080
293,939	37,509
(35,864)	316,133

22. TRADE ACCOUNTS PAYABLE AND OTHER CURRENT LIABILITIES

As at 30 June 2010 and 31 December 2009, Trade accounts payable and Other current liabilities can be detailed as follows:

30 June 2010	31 December 2009
34,907,272	50,444,177
201,741	209,181
1,015,403	2,553,533
2,922,185	5,081,527
2,671,746	3,572,044
5,392,271	10,622,710
7,212,526	6,975,657
6,264,594	6,821,540
1,425,649	1,143,909
1,423,829	1,329,796
1,107,104	1,534,444

Investment aid	2,032,126	2,278,884
Other liabilities	4,751,856	3,791,964
	36,219,289	47,113,273
Trade accounts payable and other current liabilities	71,328,302	97,766,631

23. PROVISIONS AND ACCUMULATED IMPAIRMENT LOSSES

Movements in provisions and accumulated impairment losses over the period ended 30 June 2010 were as follows:

Captions	Balance as at 1 January 2010	Increases	Decreases	Balance as at 30 June 2010
Accumulated impairment losses on:
Investments (Note 10)	7,946,337	2,032,483	(77,460)	9,901,360
Other non current assets (Note 11)	34,916	64,596		99,512
Trade accounts receivable (Note 13)	5,073,127	93,480	(415,757)	4,750,850
Other current debtors (Note 13)	28,961,730	1,060,511	(60,032)	29,962,209
Stocks (Note 12)	7,858,373		(123,578)	7,734,795
Non current provisions	3,995,369	1,280,000	(2,089,395)	3,185,974
Current provisions	2,379,002		(1,200,000)	1,179,002
	56,248,854	4,531,070	(3,966,222)	56,813,702

As at 30 June 2010 and 31 December 2009, detail of other provisions was as follows:

	30 June 2010	31 December 2009
Judicial claims	1,632,000	2,709,600
Others	2,732,976	3,664,771
	4,364,976	6,374,371

Impairment losses are deducted from the book value of the corresponding asset.

24. CONTINGENT ASSETS AND LIABILITIES

As at 30 June 2010 and 31 December 2009 the most important contingent liabilities referred to guarantees given and were made up as follows:

	30 June 2010	31 December 2009
Guarantees given:
on VAT reimbursements	2,985,908	691,424
on tax claims	2,735,893	2,547,537
on judicial claims	1,897,406	1,897,406
on municipal claims	3,175,168	3,175,167
Others	46,580,569	46,176,125

Other include the following guarantees:

• 7,429,482 euro (7,019,255 euro as at 31 December 2009) of guarantees on construction works given to clients;
• 37,191,755 euro (37,406,741 euro as at 31 December 2009) of guarantees given concerning building permits in the Tourism business.

The Group has not registered provisions for the events/disagreements for which these guarantees were given since the Group believes that the above mentioned events will not result in a loss for the group.

25. RELATED PARTIES

Balances and transactions during the periods ended 30 June 2010 and 2009 with related parties are detailed as follows:

	Sales and services rendered		Purchases and services obtained
Transactions	30 June 2010	30 June 2009	30 June 2010	30 June 2009
Parent company and group companies excluded from consolidation (a)	‐	157,722	‐	134,267
Associated companies	754,799	4,755	266,218	48,984
Other partners and shareholders	27,405,220	37,156,232	3,384,636	5,628,579
	28,160,019	37,318,709	3,650,854	5,811,830
	Interest income		Interest expense
Transactions	30 June 2010	30 June 2009	30 June 2010	30 June 2009
Parent company and group companies excluded from consolidation (a)	‐	‐	‐	‐
Associated companies	716,803	896,410	‐	‐
Other partners and shareholders	1,645	‐	76,980	65,049
	718,448	896,410	76,980	65,049
	Accounts receivable		Accounts payable
Balances	30 June 2010	31 December 2009	30 June 2010	31 December 2009
Parent company and group companies excluded from consolidation (a)	‐	‐	‐	115
Associated companies	948,252	954,616	53,624	39,774
Other partners and shareholders	14,040,404	14,076,242	3,949,973	4,391,160

14,988,656 15,030,858 4,003,597 4,431,049

	Loans obtained		Loans granted
Balances	30 June 2010	31 December 2009	30 June 2010	31 December 2009
Parent company and group companies excluded from consolidation (a)	‐	‐	‐	‐
Associated companies	‐	‐	16,630,335	28,262,784
Other partners and shareholders	2,270,653	2,288,445	‐	1
	2,270,653	2,288,445	16,630,335	28,262,785

(a) The parent company is Efanor Investimentos, SGPS, SA; balances and transactions with Sonae, SGPS, SA and with Sonae Industria, SGPS, SA are included on Other partners and shareholders.

26. TAXATION

Income tax for the six months periods ended 30 June 2010 and 2009 was made up as follows:

	30 June 2010	30 June 2009
Current tax	1,850,483	6,358,976
Deferred tax	(6,130,293)	3,725,366
	(4,279,810)	10,084,342

27. RECONCILIATION OF CONSOLIDATED NET PROFIT

As at 30 June 2010 and 2009, the reconciliation of consolidated net profit can be analysed as follows:

	30 June 2010	30 June 2009
Agregate net profit	3,861,194	178,788,363
Harmonisation adjustments	1,997,209	2,711,381
Elimination of intra‐group dividends	(45,141,464)	(179,117,014)
Equity Method (Note 5)	1,505,425	992,125
Elimination of intra‐group capital gains/(losses)	27,251,640	509,741
Elimination of intra‐group impairments	(6,158,467)	12,217,683
Reversal of impairments	3,457,708	‐
Adjustments of gains/(losses) on the sale of assets	‐	3,604,856
Adjustments of gains/(losses) on the sale of financial shareholdings	7,816,779	2,152,886
Others	30,507	8,177
Consolidated net profit for the period	(5,379,467)	21,868,198

28. EARNINGS PER SHARE

Earnings per share for the periods ended 30 June 2010 and 2009 were calculated taking into consideration the following amounts:

	30 June 2010	30 June 2009
Net Profit
Net profit taken into consideration to calculate basic earnings per share (net profit for the period)	(5,426,249)	20,876,167
Effect of dilutive potential shares Interest related to convertible bond (net of tax)	‐ ‐	‐ ‐
Net profit taken into consideration to calculate diluted earnings per share	(5,426,249)	20,876,167
Number of shares
Weighted average number of shares used to calculate basic earnings per share	250,000,000	250,000,000
Effect of dilutive potential ordinary shares from convertible bonds	‐	‐
Weighted average number of shares used to calculate diluted earnings per share	250,000,000	250,000,000
Earnings per share (basic and diluted)	(0.021705)	0.083505

There are no convertible instruments included in Sonae Capital, SGPS, SA's shares, hence there is no dilutive effect.

29. SEGMENT INFORMATION

In the periods ended 30 June 2010 and 2009, the following were identified as segments:

• Sonae Turismo:
• ‐ Tourism Operations
• ‐ Other
• SC Assets:
• ‐ Residential Development
• ‐ Other Real Estate Assets
• ‐ Other
• Spred:
• ‐ Atlantic Ferries
• ‐ Box Lines
• ‐ Selfrio Group
• ‐ Other
• Holding and Others

No secondary business segments were disclosed since Group activities are almost all carried out in Portugal. Foreign activities are not significant enough to justify disclosure of a different geographical segment.

The contributionof the business segments to the income statement for the half year periods ended on 30 June 2010 and 2009 can be detailed as follows:

								30 J 201 une	0
fit & Pro Lo Acc t ss oun	Tou rism Ope ratio ns	Oth er	Inte t Inco rseg men me	ism Tot al T our	Res tial Prop iden erty Dev elop t men	eal Esta Oth er R te A ts sse	Oth er	Inte t Inco rseg men me	al S C A Tot ts sse	Atla ntic Ferr ies	Box Lin es	Self rio Gro up	Oth er	Inte t Inco rseg men me	al S Tot d pre	Hol din g & Oth ers	Inte ent rse gm Inco me	Con idat sol ed
Ope ratio nal Inco me
Sale s	9,4 18,8 93	-	-	9,41 8,89 3	1,05 6,10 0	640 ,500	-	-	1,69 6,60 0	-	-	28,5 49,3 25	2,90 0,07 2	-	31,4 49,3 97	-	(12 7,56 9)	42,4 37,3 21
Ser vice nde red s re	16,9 62,5 79	1,46 2,88 4	(1,2 26) 66,8	17,1 58,6 37	534 ,848	3,50 7,56 6	-	(16 1) 2,97	3,87 9,44 3	1,58 1,64 1	17,5 47,3 37	7,22 1,93 3	2,13 3,06 7	(22 ) ,306	28,4 61,6 72	2,25 3,19 4	(4,9 03,1 17)	46,8 49,8 29
Oth tion al in er o pera com e	2,22 2,57 0	412 ,384	(63 ,322 )	2,57 1,63 2	98,0 31	646 ,871	109	-76 ,643	668 ,368	25,0 05	58,9 26	241 ,276	436 ,479	(26 1)	761 ,425	305 ,497	(33 3) 8,69	3,96 8,22 9
	28,6 04,0 42	1,87 5,26 8	(1,3 30,1 48)	29,1 49,1 62	1,68 8,97 9	4,79 4,93 7	109	-23 9,61 4	6,24 4,41 1	1,60 6,64 6	17,6 06,2 63	36,0 12,5 34	5,46 9,61 8	(22 ,567 )	60,6 72,4 94	2,55 8,69 1	(5,3 69,3 79)	93,2 55,3 79
Ope rati l ca sh- flow (EB ITD A) ona	(1,2 73,8 45)	360 ,992	(2,0 41)	(91 4,89 4)	(55 2,61 3)	1,94 4,70 1	(20 ,925 )	21,7 56	1,37 1,16 3	(65 5,30 7)	275 ,753	2,19 8,55 0	226 ,156	159	2,04 5,31 1	(56 0,15 2)	4,17 4	1,96 7,35 8

								30 J 200 une	9
Pro fit a nd Los s A unt cco	Tou rism Ope ratio ns	Oth er	Inte t Inco rseg men me	Tot al T ism our	Res tial Prop iden erty Dev elop t men	eal Esta Oth er R te A ts sse	Oth er	Inte t Inco rseg men me	Tot al S C A ts sse	Atla ntic Ferr ies	Box Lin es	Self rio Gro up	Oth er	Inte t Inco rseg men me	Tot al S d pre	Hol din g & Oth ers	Inte t Inco rseg men me	Con sol idat ed
Ope ratio nal Inco me
Sale s	71,8 40,2 26	-	-	71,8 40,2 26	215 ,250	25,6 50	-	-	240 ,900	-	-	36, 141 ,782	4,25 6,88 5	(71 ,136 )	40,3 27,5 31	-	(1,0 36,5 01)	111 ,372 ,156
Ser vice nde red s re	17,6 02,4 22	1,35 6,50 0	(1,2 20,2 24)	17,7 38,6 98	510 ,330	3,28 4,23 8	2,87 2,69 4	(44 6,39 8)	6,22 0,86 4	2,02 9,20 2	18,9 47,9 76	6,25 8,96 9	2,50 1,51 6	(61 ,454 )	29,6 76,2 09	2,50 9,78 5	(5,1 13) 33,0	51,0 12,5 43
Oth tion al in er o pera com e	9,2 17,2 49	147 ,671	(11 7,68 7)	9,24 7,23 3	7,92 9	4,30 7,01 3	39, 182	(1,0 68,6 20)	3,28 5,50 4	24,1 24	94,5 28	529 ,527	295 ,790	-	943 ,969	142 ,582	1,77 3,49 5	15,3 92,7 83
	98,6 59,8 97	1,50 4,17 1	(1,3 11) 37,9	98,8 26,1 57	733 ,509	7,6 16,9 01	2,9 11,8 76	-1,5 15,0 18	9,74 7,26 8	2,05 3,32 6	19,0 42,5 04	42,9 30,2 78	7,05 4,19 1	(13 0) 2,59	70,9 47,7 09	2,65 2,36 7	-4,3 96,0 19	177 ,777 ,482
Ope ratio nal h-flo w ( EBIT DA) cas	34,4 74,8 81	(84 ,689 )	540	34,3 90,7 32	(577 ,330 )	5,74 8,61 1	2,38 8,26 1	(1,0 22,9 45)	6,53 6,59 7	(717 ,767 )	(22 7,21 0)	3,66 7,63 0	(68 0,46 5)	200	2,04 2,38 8	(45 6) 3,21	1,05 1,08 6	43,5 67,5 87

The contributionof the business segments to the balance sheets as at 30 June 2010 and 31 December 2009 can be detailed as follows:

30 J 201 0 une
Bala She et nce	Tou rism Ope ratio ns	Othe r	Inter t Adju seg men stme nts	Tot al T ism our	Res tial Prop iden erty Dev elop t men	Othe al Esta r Re te A ts sse	Othe r	Inter t Adju seg men stme nts	Tot al S C A ts sse	Atla ntic Ferr ies	Box Line s	Self rio G roup	Othe r	Inter t Adju seg men stme nts	Tot al S pre	d H oldi ng & Oth ers	Inte ent rse gm Adj ust nts me	Con soli date d
Fixe d As sets Tan gible and Inta ngib le	149 ,810 ,462	1,02 6,06 3	-	150 ,836 ,526	3,98 1,00 8	80,0 96,9 40	(0)	-	84,0 77,9 49	26,7 92,7 25	418 ,430	782 ,996	8,48 3,22 0	-	36,4 77,3 71	119 ,754	-	271 ,511 ,600
Inve stme nts	636 ,273	217 ,143	-	853 ,416	-	(0)	54,9 31,9 62	-	54,9 31,9 62	-	-	0	1,50 0,53 6	-	1,50 0,53 6	14,2 40,9 52	-	71,5 26,8 66
Othe r As sets	177 ,389 ,659	153 ,014 ,392	(151 ,417 ,518 )	178 ,986 ,533	46,4 72,0 14	63,3 62,7 57	152 ,672 ,808	(135 ,866 ,971 )	126 ,640 ,608	1,77 4,27 7	10,6 52,8 65	69,5 28,0 21	44,1 47,4 42	(8,6 67,1 62)	117 ,435 ,443	385 ,865 ,139	(407 ) ,756 ,104	401 ,171 ,618
Tot al A ts sse	327 ,836 ,394	154 ,257 ,598	(151 ,417 ,518 )	330 ,676 ,474	50,4 53,0 22	143 ,459 ,697	207 ,604 ,770	(135 ,866 ,971 )	265 ,650 ,519	28,5 67,0 02	11,0 71,2 95	70,3 11,0 17	54,1 31,1 98	(8,6 67,1 62)	155 ,413 ,350	400 ,225 ,845	(407 ,756 ,104 )	744 ,210 ,084
Tot al L iabi litie s	235 ,986 ,340	187 ,142 ,404	(151 ,415 ,885 )	271 ,712 ,859	49,3 37,0 76	90,2 78,7 68	182 ,404 ,035	(135 ,866 ,735 )	186 ,153 ,144	24,7 92,3 86	7,90 4,64 7	26,1 16,1 94	36,0 45,3 50	(8,6 67,0 97)	86,1 91,4 80	279 ,310 ,387	(417 ,931 ,530 )	405 ,436 ,340
Tec hnic al in tme nt ves	1,09 0,64 9	3,59 9	-	1,09 4,24 8	57,9 90	150 ,224	-	-	208 ,214	218 ,793	18,1 84	172 ,614	145 ,530	-	555 ,121	54 24,1	-	1,88 1,73 7
Gro ss D ebt	3,74 3,20 4	(0)	-	3,74 3,20 4	-	1,03 9,07 3	-	-	1,03 9,07 3	22,4 49,4 25	-	2,93 1,99 2	7,15 0,19 7	-	32,5 31,6 14	251 ,997 ,080	-	289 ,310 ,972
Net Deb t	3,43 5,05 5	(126 ,283 )	-	3,30 8,77 2	(508 ,609 )	999 ,427	(68, 180)	-	422 ,639	22,3 55,9 41	(563 ,619 )	806 ,554	7,05 2,97 7	-	29,6 51,8 53	251 ,874 ,811	-	285 ,258 ,075

	31 D mb er 2 009 ece
Bala She et nce	Tou rism Ope ratio ns	Othe r	Inter t seg men Adju stme nts	Tot al T ism our	Res tial Prop iden erty Dev elop t men	al Esta Othe r Re te A ts sse	Othe r	Inter t seg men Adju stme nts	Tot al S C A ts sse	Atla ntic Ferr ies	Box Line s	Self rio G roup	Oth er	Inter t seg men Adju stme nts	Tot al S pre	d H oldi ng & Oth ers	Inte ent rse gm Adj ust nts me	Con soli date d
Fixe d As sets Tan gible and Inta ngib le	166 ,749 ,384	822 ,600	-	167 ,571 ,984	4,02 7,78 9	81,5 33,7 67	(0)	-	85,5 61,5 56	27,4 12,9 37	516 ,419	716 ,407	9,51 1,89 5	-	38,1 57,6 58	130 ,262	-	291 ,421 ,459
Inve stme nts	635 ,044	217 ,143	-	852 ,187	-	-	53,8 25,7 93	-	53,8 25,7 93	-	-	-	2,83 7,14 6	-	2,83 7,14 6	14,3 22,7 47	-	71,8 37,8 73
Othe r As sets	188 ,538 ,286	357 ,554 ,871	(184 ) ,115 ,649	361 ,977 ,508	46,7 47,2 90	63,2 54,2 70	84,4 39,4 22	(81, ) 847 ,246	112 ,593 ,736	3,30 3,96 9	11,9 00,8 24	73,1 96,6 61	33,3 11,2 47	(7,0 88) 08,3	114 ,704 ,313	564 ,154 ,191	(746 ,922 ,353 )	406 ,507 ,395
Tot al A ts sse	355 ,922 ,713	358 ,594 ,614	(184 ,115 ,649 )	530 ,401 ,678	50,7 75,0 79	144 ,788 ,037	138 ,265 ,215	(81, 847 ,246 )	251 ,981 ,085	30,7 16,9 06	12,4 17,2 43	73,9 13,0 68	45,6 60,2 89	(7,0 08,3 88)	155 ,699 ,117	578 ,607 ,200	(746 ,922 ,353 )	769 ,766 ,727
Tot al L iabi litie s	261 ,844 ,584	549 ,141 ,750	(184 ,116 ,684 )	626 ,869 ,650	56,6 70,6 63	92,1 44,0 89	130 ,004 ,022	(81, 847 ,010 )	196 ,971 ,764	25,1 37,6 27	8,39 3,79 8	31,2 90,6 72	62,4 28,9 83	(7,0 09,0 61)	120 ,242 ,019	248 ,508 ,586	(767 ,764 ,680 )	424 ,827 ,339
Tec hnic al in tme nt ves	17,4 80,1 27	73,6 88	-	17,5 53,8 14	37,3 46	1,28 7,81 3	25,1 72,6 31	-	26,4 97,7 90	1,28 0,04 7	292 ,710	132 ,270	674 ,605	-	2,37 9,63 3	135 ,300	-	46,5 66,5 37
ss D ebt Gro	3,92 3,48 2	23,6 42	-	3,94 7,12 4	-	1,35 7,56 0	-	-	1,35 7,56 0	23,1 07,6 44	-	3,50 3,36 0	7,70 4,36 7	-	15,3 34,3 71	241 ,103 ,022	-	280 ,723 ,077
Net Deb t	3,53 7,89 1	10,0 33	-	3,54 7,92 4	(505 ,501 )	1,33 1,43 1	(17, 282 )	-	808 ,648	23,0 54,9 52	(233 ,532 )	2,40 9,03 1	7,64 6,25 0	-	32,8 76,7 01	240 ,684 ,524	-	277 ,917 ,797

30. SUBSEQUENT EVENTS

On 5 August 2010, Spred, SGPS, SA, a company wholly owned, directly and indirectly, by Sonae Capital, agreed with Via Marítima – SGPS, Lda, a company owned by Sousa Investimentos Group, the terms for the sale of the whole of the share capital of Box Lines – Navegação, SA (Box Lines). This transaction is subject to non opposition by the Portuguese Competition Authority and will result in a cash inflow of around 10.5 million euro, with an estimated impact of circa 7 million euro on the 2010 consolidated results of Sonae Capital.

31. APPROVAL OF THE FINANCIAL STATEMENTS

These consolidated financial statements were approved by the Board of Directors and atuthorized for issue on 25 August 2010.

The Board of Directors

INDIVIDUAL FINANCIAL STATEMENTS 30 JUNE 2010

(Translation from the Portuguese Original)

INDIVIDUAL BALANCE SHEETS AS AT 30 JUNE 2010 AND 31 DECEMBER 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	ASSETS	Notes	30 June 2010	31 December 2009
NON CURRENT ASSETS:
Tangible assets			1,321	2,643
Investments		4	542,139,453	382,639,453
Deferred tax assets			110,244	-
Other non current assets		5	198,681,043	343,547,500
	Total Non Current Assets		740,932,061	726,189,596
CURRENT ASSETS
Other current assets Cash and cash equivalents		6 7	32,133,254 27,842	12,860,560 55,597
	Total Current Assets		32,161,096	12,916,157
TOTAL ASSETS			773,093,157	739,105,753
	EQUITY AND LIABILITIES
EQUITY:
Share Capital		8	250,000,000	250,000,000
Legal Reserve			8,191,127	-
Other reserves		9	287,419,883	132,638,253
Retained earnings			-	(849,780)
Profit / (Loss) for the period			2,508,524	163,822,537
TOTAL EQUITY			548,119,534	545,611,010
LIABILITIES:
NON CURRENT LIABILITIES
Bank loans		10	104,257,839	102,750,107
Bonds		10	49,914,133	49,884,766
Other non current liabilities			83,532	140,821
Deferred tax liabilities			32,007	41,282
	Total Non Current Liabilities		154,287,511	152,816,976
CURRENT LIABILITIES
Suppliers			7,500	54,384
Bank overdrafts		10	47,100,000	39,100,000
Other creditors		11	20,364,177	2,350
Other current liabilities		12	3,214,435	1,521,033
	Total Current Liabilities		70,686,112	40,677,767
TOTAL EQUITY AND LIABILITIES			773,093,157	739,105,753

The accompanying notes are part of these financial statements

INDIVIDUAL INCOME STATEMENT BY NATURE

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	Notes	30 June 2010	30 June 2009
Operational income:
Other operational income		53,575	7,091
Total operational income		53,575	7,091
Operational expenses:
External supplies and services	13	(161,882)	(311,534)
Staff costs	14	(606,578)	(459,060)
Depreciation and amortisation		(1,321)	(1,321)
Other operational expenses		(98,247)	(45,304)
Total operational expenses		(868,028)	(817,220)
Operational profit/(loss)		(814,453)	(810,129)
Financial income	15	5,097,105	4,441,257
Financial expenses	15	(4,761,450)	(3,538,916)
Net financial income/(expenses)		335,655	902,341
Investment income	18	2,871,845	162,500,000
Profit/(loss) before taxation		2,393,047	162,592,212
Taxation	16	115,477	(26,056)
Profit/(loss) for the period		2,508,524	162,566,156
Profit/(loss) per share
Basic	17	0.010034	0.650265

The accompanying notes are part of these financial statements

INDIVIDUAL INCOME STATEMENT BY NATURE

FOR THE THREE MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	2nd Quarter 2010	2nd Quarter 2009
	(Unaudited)	(Unaudited)
Operational income:
Other operational income	40,588	-
Total operational income	40,588	-
Operational expenses:
External supplies and services	(103,240)	(77,233)
Staff costs	(294,937)	(309,946)
Depreciation and amortisation	(660)	(661)
Other operational expenses	(36,569)	(5,353)
Total operational expenses	(435,406)	(393,193)
Operational profit/(loss)	(394,818)	(393,193)
Financial income	2,254,406	2,630,273
Financial expenses	(2,286,573)	(1,722,305)
Net financial income/(expenses)	(32,167)	907,968
Investment income	2,871,845	-
Profit/(loss) before taxation	2,444,860	514,775
Taxation	102,524	(131,003)
Profit/(loss) for the period	2,547,384	383,772
Profit/(loss) per share
Basic	0.010190	0.001535
The accompanying notes are part of these financial statements

INDIVIDUAL STATEMENTS OF COMPREHENSIVE INCOME

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	30 June 2010	30 June 2009
Net profit for the period	2,508,524	162,566,156
Exchange differences on translating foreign operations	-	-
Share of other comprehensive income of associates and joint
ventures accounted by the equity method	-	-
Change in the fair value of assets available for sale	-	-
Change in the fair value of cash flow hedging derivatives	-	304,749
Gains on property revaluation	-	-
Income tax relating to components of other comprehensive income	-	-
Other comprehensive income for the period	-	304,749
Total comprehensive income for the period	2,508,524	162,870,905

The accompanying notes are part of these financial statements

INDIVIDUAL STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	2nd Quarter 2010 (Unaudited)	2nd Quarter 2009 (Unaudited)
Net profit for the period	2,547,384	383,772
Exchange differences on translating foreign operations	-	-
Share of other comprehensive income of associates and joint
ventures accounted by the equity method	-	-
Change in the fair value of assets available for sale	-	-
Change in the fair value of cash flow hedging derivatives	-	153,196
Gains on property revaluation	-	-
Income tax relating to components of other comprehensive income	-	-
Other comprehensive income for the period	-	153,196
Total comprehensive income for the period	2,547,384	536,968

The accompanying notes are part of these financial statements

INDIVIDUAL STATEMENT OF CHANGES IN EQUITY

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	Sha re Cap ital	Ow n Sha res	Leg al Res erve	Con ion vers Res erve	Res erve s Fai r Va lue Res erve	Hed ging Res erve	Oth er Res erve s	Ret aine d Ear ning s	Sub tot al	Net fit / (lo ss) pro	Tot al E quit y
Bal t 1 Jan 20 09 anc e a s a uary	250 ,000 ,000	-	-		(30 49) 4,7 -	-	132 ,638 ,253	(1,5 09)	132 ,33 1,99 5	(84 71) 8,2	381 ,483 ,724
Tot al c hen sive inc e fo r th erio d om pre om e p	-	-	-	-	304 ,749	-	-	-	304 ,749	162 ,566 ,156	162 ,870 ,905
App riat ion of p rofit rop s: nsfe Tra r to leg al r and ret aine d e ings ese rve arn Divi den ds dist ribu ted Acq uisi tion /(di sal) of sh spo own are s	- - -	- - -	- - -	- - -	- - -	- - -	- - -	(84 71) 8,2 - -	(84 71) 8,2 - -	848 ,27 1 - -	- - -
Oth ers	-	-	-	-	-	-	-	-	-	-	-
Bal t 30 Ju ne 2 009 anc e a s a	250 ,000 ,000	-	-	-	-	-	132 ,638 ,253	(84 9,7 80)	131 ,788 ,473	162 ,566 ,156	544 ,354 ,629
Bal t 1 Jan 20 10 anc e a s a uary	250 ,000 ,000	-	-	-	-	-	132 ,638 ,253	(84 9,7 80)	131 ,788 ,473	163 ,822 ,537	545 ,61 1,0 10
Tot al c hen sive inc e fo r th erio d om pre om e p	-	-	-	-	-	-	-	-	-	2,5 08, 524	2,5 08, 524
App riat ion of p rofit rop s: Tra nsfe leg al r and aine d e ings r to ret ese rve arn Divi den ds dist ribu ted Acq uisi tion /(di sal) of sh spo own are s	- - -	- - -	8,1 91, 127 - -	- - -	- - -	- - -	154 ,78 1,63 0 - -	849 ,780 - -	163 ,822 ,537 - -	(16 3,8 22, 537 ) - -	- - -
Oth ers	-	-	-	-	-	-	-	-	-	-	-
Bal t 30 Ju ne 2 010 anc e a s a	250 ,000 ,000	-	8,1 91, 127	-	-	-	287 ,419 ,883	-	295 ,61 1,0 10	2,5 08, 524	548 ,119 ,534

The accompanying notes are an integral part of these financial statements.

INDIVIDUAL STATEMENTS OF CASH FLOWS

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	30 June 2010	30 June 2009
OPERATING ACTIVITIES
Cash paid to trade creditors	216,770	347,042
Cash paid to employees	564,627	542,872
Cash flow generated by operations	(781,397)	(889,914)
Income taxes (paid)/received	54,650	601
Other cash receipts/(payments) relating to operating activities	(82,838)	(145,055)
Net cash flow from operating activities [1]	(918,885)	(1,035,571)
INVESTMENT ACTIVITIES
Cash receipts arising from:
Interest and similar income	6,175,215	3,672,726
Dividends	2,871,845	162,500,000
Loans granted	191,096,257	-
	200,143,317	166,172,726
Cash payments arising from:
Investments	159,500,000	-
Tangible assets	-	-
Loans granted	67,245,984	161,612,700
	226,745,984	161,612,700
Net cash flow from investment activities [2]	(26,602,667)	4,560,026
FINANCING ACTIVITIES
Cash receipts arising from:
Loans obtained	29,863,907	3,216,000
	29,863,907	3,216,000
Cash Payments arising from:
Interest and similar costs	2,370,110	2,550,150
Loans obtained	-	208,200
	2,370,110	2,758,350
Net cash from financing activities [3]	27,493,797	457,650
Net increase/(decrease) in cash and cash equivalents [4] = [1]+[2]+[3]	(27,755)	3,982,105
Cash and cash equivalents at the beginning of the period	55,597	25,516
Cash and cash equivalents at the end of the period	27,842	4,007,621

The accompanying notes are part of these financial statements

INDIVIDUAL STATEMENTS OF CASH FLOWS

FOR THE THREE MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

	2nd Quarter 2010 (Unaudited)	2nd Quarter 2009 (Unaudited)
OPERATING ACTIVITIES
Cash paid to trade creditors	130,303	73,720
Cash paid to employees	394,166	379,214
Cash flow generated by operations	(524,469)	(452,934)
Income taxes (paid)/received	54,149	97
Other cash receipts/(payments) relating to operating activities	(172,921)	(76,309)
Net cash flow from operating activities [1]	(751,539)	(529,341)
INVESTMENT ACTIVITIES
Cash receipts arising from:
Interest and similar income	54,345	483
Dividends	2,871,845	162,500,000
Loans granted	191,096,257	-
	194,022,447	162,500,483
Cash payments arising from: Investments	-	-
Tangible assets	-	-
Loans granted	56,130,800	156,566,000
	56,130,800	156,566,000
Net cash flow from investment activities [2]	137,891,647	5,934,483
FINANCING ACTIVITIES
Cash receipts arising from:
Loans obtained	(136,690,657)	1,030,000
	(136,690,657)	1,030,000
Cash Payments arising from:
Interest and similar costs	492,977	2,227,542
Loans obtained	-	208,200
	492,977	2,435,742
Net cash from financing activities [3]	(137,183,634)	(1,405,742)
Net increase/(decrease) in cash and cash equivalents [4] = [1]+[2]+[3]	(43,526)	3,999,399
Cash and cash equivalents at the beginning of the period	71,368	8,222
Cash and cash equivalents at the end of the period	27,842	4,007,621

The accompanying notes are part of these financial statements

NOTES TO THE INDIVIDUAL FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED 30 JUNE 2010 AND 2009

(Translation of the individual financial statements originally issued in Portuguese)

(Amounts expressed in euro)

1. INTRODUCTION

Sonae Capital, SGPS, SA ("the Company" or "Sonae Capital") whose registered office is at Lugar do Espido, Via Norte, Apartado 3053, 4471‐907 Maia, Portugal, was set up on 14 December 2007 by public deed, following the demerger from Sonae, SGPS, SA of the whole of the shareholding in the company formerly named Sonae Capital, SGPS, SA, now named SC, SGPS, SA, in compliance with paragraph a) of article 118 of the Commercial Companies Code.

The Company's financial statements are presented as required by the Commercial Companies Code. According to Decree‐Law 35/2005 of 17 February 2007, the Company's financial statements have been prepared in accordance with International Financial Reporting Standards.

2. BASIS OF PREPARATION

Interim financial statements are presented quarterly, in accordance with IAS 34 – "Interim Financial Reporting".

3. PRINCIPAL ACCOUNTING POLICIES

The accounting policies adopted are consistent with those followed in the preparation of annual financial statements for the year ended 31 December 2009.

4. INVESTMENTS

As at 30 June 2010 and 31 December 2009 Investments are detailed as follows:

	30 June 2010	31 December 2009
Investments in affiliated and associated undertakings	542.138.253	382,638,253
Investments in other companies (Sonae RE - 0,04%)	1.200	1,200
	542,139,453	382,639,453

4.1 Investments in affiliated and associated undertakings

As at 30 June 2010 and 31 December 2009, the detail of Investments in Affiliated and Associated Companies is as shown in the table below.

Investments carried at cost correspond to those in unlisted companies and for which a fair value cannot be reliably estimated.

	30 June 2010		31 December 2009
Company	% Held	Fair Value	Book	Fair Value	% Held	Fair Value	Book	Fair Value
			Value	Reserve			Value	Reserve
SC, SGPS, SA	100.00%	$\sim$	382,638,253	٠	100.00%	٠	382,638,253	۰
Spred, SGPS SA	54.05%	$\overline{\phantom{a}}$	40,000,000	٠	۰	$\overline{\phantom{a}}$	۰	-
SC Assets, SGPS, SA	76.64%	$\overline{\phantom{a}}$	82,000,000	$\overline{\phantom{a}}$	۰	$\overline{\phantom{a}}$	۰	-
Sonae Turismo, SGPS SA	23.08%	$\overline{\phantom{a}}$	37,500,000	۰	-	۰	$\sim$
Total		$\overline{\phantom{a}}$	542,138,253	۰		۰	382,638,253	-

5. OTHER NON CURRENT ASSETS

As at 30 June 2010 and 31 December 2009 Other Non Current Assets are detailed as follows:

	30 June 2010	31 December 2009
Loans granted to group companies:
SC, SGPS, SA	162,592,243	343,547,500
SC Assets, SGPS, SA	36,088,800	-
	198,681,043	343,547,500

These assets were not due or impaired as at 30 June 2010. The fair value of loans granted to Group companies is basically the same as their book value.

6. OTHER CURRENT ASSETS

As at 30 June 2010 and 31 December 2009 Other Current Assets can be detailed as follows:

	30 June 2010	31 December 2009
Group companies - Short term loans:
Change, SGPS, SA	2,064,000	2,052,000
SC, SGPS, SA	8,589,800	3,862,000
SC Assets, SGPS, SA	16,276,384
Group companies - Interest:
SC, SGPS, SA	4,152,431	5,945,846
SC Assets, SGPS, SA	306,571
Income tax withheld	108,646	212,237
Other Debtors		2,632
Accrued income	421,808	9,063
Deferred costs	213,615	776,782
	32,133,254	12,860,560

7. CASH AND CASH EQUIVALENTS

As at 30 June 2010 and 31 December 2009 Cash and Cash Equivalents can be detailed as follows:

	30 June 2010	31 December 2009
Cash	1,003	1,003
Bank deposits	26,839	54,594
Cash and cash equivalents in the balance sheet	27,842	55,597
Bank overdrafts
Cash and cash equivalents in the cash flow statement	27,842	55,597

8. SHARE CAPITAL

As at 30 June 2010 Share Capital consisted of 250,000,000 ordinary shares of 1 euro each.

9. OTHER RESERVES

As at 30 June 2010, the caption Other Reserves can be detailed as follows:

	30 June 2010	31 Decembe r 2009
Free rese rves	154,781,631	‐
Deme rge r rese rve	132,638,252	132,638,252
	287,419,883	132,638,252

The Demerger reserve (Note 1), corresponds to the difference between the book value of the shareholding in SC, SGPS, SA (382,638,253 Euro) which was spun off from Sonae, SGPS, SA to the Company, and the value of the share capital of the Company (250,000,000 Euro).

10. LOANS

As at 30 June 2010 and 31 December 2009 this caption included the following loans:

	30 June 2010	31 December 2009
Bank loans ‐ Comme rcial pa per	104,300,000	102,800,000
Up‐front fees not yet cha rged to income s ta tement	(42,161)	(49,893)
Bank loans ‐ non current	104,257,839	102,750,107
Nominal value of bonds	50,000,000	50,000,000
Up‐front fees not yet cha rged to income s ta tement	(85,867)	(115,234)
Bonds	49,914,133	49,884,766
Non‐current loans	154,171,972	152,634,873
Bank loans ‐ Comme rcial pa per	47,100,000	39,100,000
Current bank loa ns	47,100,000	39,100,000

Bonds Sonae Capital 2007/2012 1st Bond issue, amounting to 20,000,000 euro, repayable after 5 years, in one instalment, on 31 December 2012, except if total or partial early repayment occurs, which can happen on 31 December 2010.

Bonds Sonae Capital 2007/2012 2nd Bond issue, amounting to 30,000,000 euro, repayable after 5 years, in one instalment, on 31 December 2012.

These bond issues pay interest every six months at Euribor six month interest rates plus spreads which vary between 0.50% and 0.60%.

Bonds totalling 20,000,000 euro are included in the financial statements based on their full lives, although prior call/put options exist. In the case of early repayment, it is considered that the borrowing could be refinanced on a similar basis and the borrowing structure maintained.

The caption Non Current Bank Loans, relates to amounts issued under four Commercial Paper Programmes with guaranteed subscription, one of which launched on 14 March 2008 with the maximum amount of 30,000,000 euro and valid for a period of 5 years, and three other launched on 26 and 28 August 2009 with the maximum amount of 36,600,000 euro each and valid for a period of 2 years.

The caption Current Bank Loans includes two issues of commercial paper programmes. One, with a maximum limit of 60,000,000 euro, without subscription guarantee, launched on 28 March 2008, valid for a ten year period, which may be extended at the option of the Company, and another, with a maximum limit of 11,250,000 euro, with subscription guarantee, launched on 22 December 2008, valid for one year period, extendable for two annual periods, which may not be renewed at the discretion of both parties.

The above loans are not guaranteed, and their fair value is considered to be close to their book value, in view of the fact that interest payable on them is at variable market rates.

There are no Derivatives.

11. OTHER CREDITORS

As at 30 June 2010 and 31 December 2009, these captions were made up as follows:

	30 June 2010	31 December 2009
Othe r credi tors
Group compa nies ‐ Short te rm loans:
Spred , SGPS, SA	18,313,907	‐
Se te e Meio Herda des, SA	2,050,000	‐
Other credi tors	270	2,350
	20,364,177	2,350

Loans obtained from group companies bear interest at market rates and are repayable within one year.

12. OTHER CURRENT LIABILITIES

As at 30 June 2010 and 31 December 2009, these captions were made up as follows:

	30 June 2010	31 December 2009
Othe r current liabili ties
Taxes payable	36,506	185,865
Accrual s:
Sta ff cos ts	401,330	344,130
Interes t payable	2,767,752	977,733
Other accrual s	7,939	6,947
De fe rred income	908	6,358
	3,214,435	1,521,033

13. EXTERNAL SUPPLIES AND SERVICES

As at 30 June 2010 and 30 June 2009, External Supplies and Services can be detailed as follows:

	30 June 2010	30 June 2009
Ope ra tional rents	32,897	6,917
Ins ura nce cos ts	22,049	21,348
Travelling expenses	22,298	28,755
Services obtained	72,460	246,917
Othe r servi ces	12,178	7,597
	161,882	311,534

14. STAFF COSTS

As at 30 June 2010 and 30 June 2009, Staff Costs are made up as follows:

	30 June 2010	30 June 2009
Governing bodies' remune ra tions	556,473	404,427
Social securi ty contributions	38,853	36,385
Othe r s ta ff cos ts	11,252	18,248
	606,578	459,060

15. NET FINANCIAL EXPENSES

As at 30 June 2010 and 30 June 2009, Net Financial Expenses can be detailed as follows:

	30 June 2010	30 June 2009
Inte res t paya ble and similar expenses
Inte res t a ri si ng from:
Bank loans	(1,773,016)	(999,834)
Bonds	(390,407)	(904,246)
Othe r	(1,678,140)	(1,467,231)
Othe r fina ncial expenses	(919,887)	(167,605)
	(4,761,450)	(3,538,916)
Inte res t receivable and similar income
Inte res t income	5,097,105	4,441,257
	5,097,105	4,441,257
Net financial expenses	335,655	902,341

16. TAXATION

As at 30 June 2010 and 30 June 2009, Taxation is made up as follows:

	30 June 2010	30 June 2009
Current tax	(4,042)	(2,821)
De fe rred tax	119,519	(23,235)
	115,477	(26,056)

17. EARNINGS PER SHARE

Earnings per share for the periods ended 30 June 2010 and 2009 were calculated taking into consideration the following amounts:

	30 June 2010	30 June 2009
Net profit
Net profi t taken into considera tion to calcula te basic
ea rni ngs per s ha re (Net profi t for the pe riod )	2,508,524	162,566,156
Effect of dilutive potential s ha res	-	-
Net profi t taken into considera tion to calcula te
diluted ea rnings per s ha re	2,508,524	162,566,156
Number of shares
Weighted average number of s ha res used to calcula te
basic ea rnings per s ha re	250,000,000	250,000,000
Weighted average number of s ha res used to calcula te
diluted ea rnings per s ha re	250,000,000	250,000,000
Earnings per share (basic and diluted)	0.010034	0.650265

18. APPROVAL OF THE FINANCIAL STATEMENTS

The accompanying financial statements were approved by the Board of Directors and authorized for issue on 25 August 2010.

19. INFORMATION REQUIRED BY LAW

Decree‐Law nr 318/94 art 5 nr 4

In the period ended 30 June 2010 shareholders' loan contracts were entered into with the following companies:

• SC, SGPS, SA
• SC Assets, SGPS, SA

In the period ended 30 June 2010 short‐term loan contracts were entered into with the following companies:

• SC, SGPS, SA
• SC Assets, SGPS, SA
• Spred SGPS, SA
• Sete e Meio Herdades, SA

As at 30 June 2010 amounts owed by affiliated companies can be summarized as follows:

Loa ns gra nted

Companies	Closing Balance
SC, SGPS, SA	171,182,043
Cha nge, SGPS, SA	2,064,000
SC As se ts, SGPS, SA	52,365,184
	225,611,226

As at 30 June 2010 amounts owed to affiliated companies can be summarized as follows:

Loa ns obtained

Compa nies	Closi ng Balance
Spred , SGPS, SA	18,313,907
Se te e Meio Herda des, SA	2,050,000
	20,363,907

LIMITED REVIEW REPORT

30 JUNE 2010

LIMITED REVIEW REPORT PREPARED BY THE AUDITOR REGISTERED WITH THE STOCK EXCHANGE REGULATOR ON HALF-YEAR FINANCIAL INFORMATION

(Translation of a report originally issued in Portuguese. In case of discrepancies the Portuguese version prevails)

Introduction

• 1. In accordance with the Securities Market Code, we hereby present our Limited Review Report on the financial information of Sonae Capital, SGPS, S.A. ("Company") for the half-year ended 30 June 2010 included in: the Report of the Board of Directors, the Consolidated and Individual Balance Sheets (which reflect total assets of 744.210.084 Euro and 773.093.157 Euro, respectively, and Consolidated and Individual equity of 338.773.743 Euro and 548.119.534 Euro respectively, including a consolidated net loss attributable to the Company's equity holders of 5.426.249 Euro and an individual net profit of 2.508.524 Euro), the Consolidated and Individual Statements of Profit and Loss, Comprehensive Income, Changes in Equity and Cash Flows for the half-year then ended and the related notes.
• 1. The amounts in the consolidated and individual financial statements, as well as the additional financial information, are in accordance with the accounting records of the companies included on consolidation.

Responsibilities

• 1. The Company's Board of Directors is responsible for: (i) the preparation of consolidated and individual financial information that present a true and fair view of the financial position of the Company and of the companies included on consolidation and the consolidated and individual results of their operations, comprehensive income, changes in equity and cash flows; (ii) the preparation of historical financial statements in accordance with International Financial Reporting Standards as adopted by the European Union for the purposes of interim financial reporting (IAS 34) which are complete, true, timely, clear, objective and licit, as required by the Securities Market Code; (iii) the adoption of adequate accounting policies and criteria; (iv) the maintenance of an appropriate internal control system; and (v) informing any significant facts that have influenced its operations and the operations of the companies included on consolidation, its financial position, comprehensive income or results.
• 1. Our responsibility is to review the financial information contained in the above mentioned documents, namely verifying that, in all material respects, the information is complete, true, timely, clear, objective and licit, as required by the Securities Market Code, and to issue a moderate assurance, professional and independent report on that financial information based on our work.

Scope

• 1. The objective of our work was to obtain moderate assurance as to whether the above mentioned financial information is free of material misstatement. Our work was performed in accordance with the Auditing Standards issued by the Portuguese Institute of Statutory Auditors, was planned in accordance with that objective and consisted essentially of enquiries and analytical procedures with the objective of reviewing: (i) the reliability of the assertions included in the financial information; (ii) the adequacy of the accounting principles used, taking into consideration the circumstances and the consistency of their application; (iii) the applicability, or not, of the going concern concept; (iv) the presentation of the financial information; and (v) whether, in all material respects, the consolidated and individual financial information is complete, true, timely, clear, objective and licit as required by the Securities Market Code.
• 1. Our work also included verifying that the consolidated and individual financial information included in the Report of the Board of Directors is consistent with the other above mentioned financial information.

• We believe that our work provides a reasonable basis for issuing the present limited review report on the half-year financial information.

Opinion

1. Based on our work, which was performed with the objective of obtaining moderate assurance, nothing came to our attention that leads us to believe that the consolidated and individual financial information for the half-year ended 30 June 2010 referred to in paragraph 1 above of Sonae Capital, S.G.P.S., S.A. is not exempt from material misstatement that affects its conformity with International Financial Reporting Standards as adopted by the European Union for the purposes of interim financial reporting (IAS 34) and that, in terms of the definitions included in the Auditing Standards referred to in paragraph 5 above, it is not complete, true, timely, clear, objective and licit.

Porto, 25 August 2010

Deloitte & Associados, SROC S.A. Represented by António Manuel Martins Amaral