REPORT AND ACCOUNTS

PART I REPORT OF THE BOARD OF DIRECTORS

"During the first quarter of 2016 we remained focused on the improvement of each Business Unit competitive position and on the implementation of the defined strategy of selling non-strategic assets.

With respect to the reinforcement of the competitive position, it should be highlighted, compared to the same period last year, the growth achieved at the Top Line level in Fitness (+18.2%), Hospitality (+15.4%) and Refrigeration & HVAC (+13.0%), with the respective positive implications at the Ebitda level. On the other hand, and as already expected, due to the reduction of the number of cogeneration plants in operation, Energy decreased both Top Line and Ebitda, notwithstanding the improvement when compared to the previous quarters. Additionally, the number of signed deeds at Troia Resort has also decreased, driven by the announced slowdown of the Golden Visa market.

In what respects the sale of non-strategic assets, although no material sales were registered during the quarter, major steps were taken regarding the implementation of our corporate strategy and, already in April, it was announced the sale of Norscut, for a total amount of 42M€, a long desired milestone. This transaction is subject to the approval of the competent authorities and is expected to be completed until the end of the first semester. Considering the dividends distribution and the reimbursement of shareholder loans realised during the 4T15, the overall transaction for Sonae Capital amounted to, approximately, 70M€.

During the quarter we also have started the study of potential sectors and businesses to incorporate in the portfolio, in order to fulfill the defined corporate strategy.

Finally, it should also be pointed out that, once again, driven by a positive Free Cash Flow, Net Debt has reduced to 146.12M€."

Cláudia Azevedo, CEO

Consolidated TURNOVER amounted to 37.4M€: It should be positively highlighted the continued improvement of performance of the segments Hospitality (+15.4%) and Fitness (+18.2%) and also the 13.0% growth achieved by the Refrigeration & HVAC segment,
following the strategic repositioning process implemented during 2015; As expected, driven by the discontinuation of a cogeneration plant and the change of the licensing framework in another plant during 2015, and also due to the adverse evolution of prices, the Energy segment registered a Top Line decrease of 3.84M€ to 11.74M€. However, it should be pointed out
the positive performance when compared to the previous quarters; Resorts' Turnover amounted to 3.88M€, having been signed 6 deeds of real estate residential units in Troia Resort, to which it should be added a stock of 8 promissory purchase and reserve agreements.
Consolidated EBITDA amounted to 1.59M€, being worth to highlight: The continued growth of Hospitality (+9.6%) and Fitness (+63.9%) segments and, due to the strategic repositioning process mentioned in previous reports, the growth of more than the double (or 0.47M€)
registered at Refrigeration & HVAC segment; The Energy segment registered in 1Q15 the best quarter ever and due to the above-mentioned Turnover performance, experienced, in 1Q16, a decrease of 26.8% compared to the same period last year. However, it has registered
an improvement when compared to the previous quarters; The Resorts segment, driven by a lower number and value of deeds signed and the adverse weather conditions that produced a negative impact on the

operations and businesses that support the Resort, registered a decrease of

Consolidated NET RESULTS of the period amounted to negative 3.88M€, showing a decrease of 1.2M€ when compared to the same period last year. It should be pointed out the Net Financial Expenses that registered a reduction of 0.43M€, excluding exchange rate differences, driven by the Net Debt trend and the continuous optimization of financing costs.

FREE CASH FLOW (levered), sustained by the current operations, amounted to positive 3.2M€, notwithstanding the lower Troia Real Estate sales volume in the quarter.

Following the trend of previous quarters, NET DEBT registered, once again, a decrease of 3.1M€ compared to YE2015 to 146.12M€, the lowest level since the Group's spin-off.

OVERALL PERFORMANCE The financial and operational performance during the 1Q16, when compared to the same period last year, was marked by a mixed combination of effects namely, the evolution of oil and consequently energy prices and the slowdown of Real Estate sales in Tróia, that have led to an overall financial performance below the level achieved last year. However, it should be highlighted the continued reduction of the Net Debt level that amounted to 146.12M€ at the end of the period.

2.1. CONSOLIDATED PROFIT & LOSS STATEMENT

In 1Q16 Consolidated Turnover reached 37.42M€, registering a decrease of 4.0% over the same period last year, driven by a combination of several effects. On the negative side: (i) Energy (-24.7%) mainly driven by prices evolution (1Q15 was the best quarter ever in this segment) and the reduction of cogeneration plants in operation. However, it should be pointed out that Turnover reported a positive performance when compared to the previous quarters; and (ii) Resorts (-39.7%) due to a lower number of deeds signed and adverse weather conditions when compared to the same period last year that have caused a negative impact in "traffic" and consequently on the Turnover of the operations that support the Resort. On the positive side, it should be highlighted: (i) Fitness, (+18.2%) supported on the increased number of active members and higher average monthly fees; (ii) Hospitality (+15.4%) following the trend registered in previous quarters; and (iii) Refrigeration & HVAC (+13.0%) due to the delivery of several projects.

1Q16 Consolidated EBITDA amounted to 1.59M€, correspondent to a margin of 4.3%, registering a decrease of 46.1% or 1.36M€ when compared to 1Q15. As a consequence of the Top Line performance, the comparison to the same period last year is penalized by the: (i) Energy segment (-26.8%; -0.86M€) which registered the best performance ever in 1Q15 also at this level (and despite the positive performance when compared to previous quarters); and (ii) the Resorts segment that registered a decrease of 0.83M€ driven by a lower number and value of deeds signed in 1Q16 when compared to 1Q15. On the positive side, it should be highlighted the performance of: (i) the Refrigeration & HVAC business that posted an improvement of 0.47M€ (more than the double when compared to 1Q15) following the complete implementation of the new strategic positioning; (ii) the Fitness segment (+63.9%) driven by the Top Line performance; and (iii) the Hospitality segment that registered an improvement of 9.6%.

1Q16 Net Results were negative 3.88M€, driven by the following contributions: (i) besides the already highlighted reduction at the EBITDA level (-1.36M€); (ii) the negative contribution of non-recurrent costs of approximately 0.38M€ comparing to non-recurrent income of 0.76M€ recorded in 1Q15; and (iii) the increase in Net Financial Expenses of 0.18M€, fully explained by the exchange rate losses registered on the international businesses, notwithstanding the lower financing costs driven by

2.2. CAPEX Capex in the quarter amounted to 1.0M€, registering a decrease of 4.2M€ when compared to last year, with no significant investment to report in any of the business segments.

2.3. CAPITAL STRUCTURE At the end of 1Q16, Net Debt amounted to 146.1M€, 3.1M€ below the level registered at the end of 2015 and, as in previous reporting seasons, the lowest level since the Group's spin-off in 2007. This result was driven by the consolidated FCF performance and, particularly, the cash generated by current operations, as there

were no extraordinary sales in the quarter. It should also be highlighted that, when compared to the same period last year, Net

Debt shows a reduction of 82.4M€. Capital structure, due to the Net Debt reduction, has also posted continuous improvements, visible on the favourable evolution of 0.4pp of the Debt to Equity

ratio, to 47.7%. Taking into consideration the different types of assets that are part of Sonae Capital's portfolio, capital structure should be evaluated considering the coexistence of businesses that generate recurrent EBITDA, measured by a Net Debt/EBITDA ratio and Real Estate Assets, that should be evaluated according to its fair market value. Assuming the Group Real Estate Assets valuations, at the end of 1Q16, the implied ratios of Loan to Value (LTV) and non real estate Net Debt/EBITDA businesses amounted to 21.8% and 2.0x, respectively, reflecting a conservative and comfortable capital structure taking into consideration Sonae Capital business portfolio structure.

Consolidated Balance Sheet
Million euro	Mar 2016	Dec 2015	Δ Mar16/Dec15
Total Assets	5433	574.0	$-5.4%$
Tangible and Intangible Assets	2543	258.8	18%
Goodwill	609	609	$+0.0%$
Non-Current Investments	147	13.6	$+81%$
Other Non-Current Assets	314	31.5	$-0.2%$
Stocks	125.9	1268	$-0.7%$
Trade Debtors and Other Current Assets	50.5	472	$+71%$
Cash and Cash Equivalents	5.7	35.3	$-83.8%$
Total Equity	306.6	3101	$-11%$
Total Equity attributable to Equity Holders of Sonae Capital	2961	299.9	13%
Total Equity attributable to Non-Controlling Interests	10.6	10 ₂	$+3.2%$
Total Liabilities	236.7	263.9	$-10.3%$
Non-Current Liabilities	119.0	121.0	$-1.6%$
Non-Current Borrowings	1022	1039	17%
Deferred Tax Liabilities	10.9	109	$-0.8%$
Other Non-Current Liabilities	6.0	6.1	14%
Current Liabilities	117.6	142.9	$-17.7%$
Current Borrowings	497	80.6	-38.3%
Trade Creditors and Other Current Liabilities	679	623	+9.0%
Total Equity and Liabilities	5433	574.0	$-5.4%$

Net Capital Employed	452.8	459.3	$-1.4%$
Fixed Assets	3151	319.7	14%
Non-Current Investments (net)	29.2	28.0	$+4.3%$
Working Capital	108.4	111.6	$-2.9%$
Capex (end of period)	1.0	14.6	$-93.3%$
% Fixed Assets	0.3%	46%
Net Debt	146.1	149.2	$-2.1%$
% Net Capital Employed	32.3%	32.5%
Debt to Equity	477%	48.1%
Net Debt excludina Enerav	1270	126.2	+0.6%

Net Capital Employed reduced 1.4% compared to YE2015, to 452.8M€. This performance was mainly driven by the reduction of 3.2M€ at the Working Capital

3. SEGMENTS PERFORMANCE 3.1. RESORTS

Profit and Loss Account Million euro
Resorts	1Q 2016	1Q 2015	$\triangle$ 16/15
Total Operational Income	4.57	7.32	$-37.5%$
Turnover	3.88	6.44	-39.7%
Other Operational Income	0.69	0.88	$-21.4%$
Total Operational Costs	$-4.57$	$-6.28$	$+27.2%$
Cost of Goods Sold Change in Stocks of Finished Goods External Supplies and Services Staff Costs Other Operational Expenses	$-122$ $-0.47$ $-172$ $-0.85$ $-0.30$	$-0.96$ $-164$ $-2.38$ $-0.85$ $-0.45$	-273% $+71.2%$ $+276%$ $+0.3%$ +327%
EBITDA excluding Guaranteed Income Provisions (1)	0.01	1.04	$-99.4%$
Provisions for Guaranteed Income	$-0.07$	$-0.28$	$+74.1%$
EBITDA	$-0.07$	0.76
Capex EBITDA-Capex	0.16 $-0.22$	0.11 0.65	$+37.3%$

During 1Q16, 6 deeds of residential units in Troia Resort were signed, a reduction compared to the 9 deeds registered in 1Q15 and the 8 deeds signed during the 4Q15. Additionally, it should be added a stock of 8 promissory purchase and reserve agreements with advance payments. As at the 31 March 2016, a total of 357 deeds

Mainly driven by the lower number of signed deeds in the quarter, and due to the adverse weather conditions that have caused a negative impact on the resort operations, Top Line amounted to 3.88M€, showing a decrease of 39.7% when compared to 1Q15. Consequently, 1Q16 EBITDA was negative by 0.07M€ (positive of

0.76M€ in the same period last year). Capex, despite 37.3% higher than the same period last year, stood at controllable levels and contributed, as well as EBITDA, to a reduction of EBITDA-Capex from 0.65M€ in 1Q15 to negative 0.22M€ in 1Q16.

3.2. FITNESS In the Fitness segment, the dynamism and the positive competitive position trend, reflected in both turnover and profitability, remained in the quarter. The average number of active members registered a growth of 6% when compared to 1Q15.

During 1Q16, Top Line grew 18.2% to 4.14M€, as a result of the above-mentioned growth in the number of active members and the positive average monthly fee performance, that has increased 7% when compared to 1Q15. EBITDA amounted to 0.38M€, an improvement of 63.9% when compared to the same period last year, correspondent to a margin of 9.2%, 2.6pp above the level achieved in 1Q15.

Profit and Loss Account Million euro
Fitness	1Q 2016	1Q 2015	$\triangle$ 16/15
Total Operational Income	4.19	3.59	$+16.5%$
Turnover	4.14	3.50	+18.2%
Other Operational Income	0.04	0.09	-50.8%
Total Operational Costs	$-3.80$	$-3.36$	$-13.2%$
Cost of Goods Sold External Supplies and Services Staff Costs Other Operational Expenses	$-0.02$ $-2.28$ $-123$ $-0.28$	$-0.04$ $-211$ $-106$ $-0.16$	$+45.1%$ -79% $-16.4%$ -76.4%
EBITDA	0.38	0.23	+63.9%
Capex EBITDA-Capex	0.26 0.13	0.18 0.05	$+40.4%$ $>100\%$

Capex in the quarter amounted to 0.26M€, 40.4% above the same period last year, mainly as a result of initial investments to support the opening of new clubs (Maia, Guimarães, Ermesinde and Foz).

3.3. HOSPITALITY

In order to present comparable information, the contribution of the Lagos hotel operation (Aqualuz Lagos), was excluded from the 2015 segment results.

Compared to 1Q15 and following the trend registered in previous quarters, Top Line of the Hospitality segment showed a growth of 15.4% to 2.10M€. This performance resulted, mainly, from the 6.2pp increase in occupancy rate. In the same period, the number of room nights sold rose 27.1% in the total Group's hotel properties and RevPar also revealed an improvement of 24.3%.

As a result of the positive business indicators performance and of the Top Line increase, combined with the optimization measures and cost rationalization implemented over the past few years, EBITDA, in 1Q16, showed an improvement of 9.6% over the same period last year. It should be noted that the first quarter already includes a set of costs related to the opening of a new hotel, in Porto, with no revenues attached; so, on a comparable basis, the EBITDA improvement amounted to 13.5%.

Excluding rents, it should be highlighted that the Hospitality segment EBITDAR, in 1Q16, was negative 0.63M€, registering an improvement of 22.8% when compared to 1Q15. Pointing out the turnover seasonality, the first and fourth quarters usually

register negative EBITDARs that are more than compensated by the positive results of the second and, mainly, the third quarters' activity.

Hospitality Capex level amounted to 0.18M€ reflecting the investment in the opening of the new hotel "The House Ribeira Porto Hotel". As such, EBITDA-Capex has only

increased 0.8% compared to 1Q15. As mentioned above, in April and therefore not considered in 1Q16 results, a new hotel, "The House Ribeira Porto Hotel" was inaugurated. Developed following a capital light approach, it is a unit with 56 rooms, a multifunctional area with bar and lounge, located in Ribeira, the heart of the historic centre of Porto. It is targeted to address an urban, modern, demanding and informed audience that seeks the authenticity of Porto city.

3.4. ENERGY

In 1Q16, Top Line of the Energy segment registered a reduction of 24.7% to 11.7M€. This performance is explained by: (i) the reduction of selling energy prices as a result of the evolution of oil price; and (ii) the lower number of cogeneration plants in operation, due to the discontinuation, in 4Q15, of a cogeneration plant and the

change, also in 4Q15, of the licensing framework in another plant. As expected, EBITDA, in the quarter, registered a decrease of 26.8% when compared to the same period last year, to 2.36M€, as a result of discontinued operations and the combination of electricity and natural gas prices, the main raw material of cogeneration plants.

It should be noted that 1Q15 was the best quarter ever in the history of the segment, and above of that seen in the remaining quarters of the year. In effect, over the previous quarter (4T15), both Top Line and EBITDA improved 14.1% and 56.3%, respectively.

Capex registered 0.22M€, 79.6% lower than 1Q15. The EBITDA-Capex level showed a slight decrease of 1.0% to 2.14M€.

3.5. REFRIGERATION & HVAC

In order to present comparable information, the contribution of the General Maintenance business (UPK), subject to a Management Buy Out in 4Q15, was excluded from the 2015 segment results.

1Q16 Top Line amounted to 14.27M€, registering an increase of 13.0% when compared to the same period last year, due to the improved domestic operation. Backlog, on the Portuguese operation, at the end of quarter, amounted to, approximately, 32.5M€, representing 7 months of turnover.

International Top Line of Refrigeration & HVAC (consolidating exports and direct sales abroad) represented 41% of the consolidated turnover, 8pp above the level

registered in 1Q15. Due to the Top Line performance in Portugal, EBITDA amounted to 0.89M€, registering an improvement of more than the double when compared to 1Q15 and reaching a margin of 6.2%, 2.9pp above 1Q15.

EBITDA in the domestic operation (excluding the discontinued operations) amounted to 0.83M€ in 1Q16, registering an improvement of 0.63M€ when compared to last year.

Capex stood at low levels, 0.05M€ (42.6% lower than 1Q15) and most of the increase of EBITDA-Capex is a result of the EBITDA positive performance.

3.6. OTHER ASSETS

Sonae Capital owns a set of non-strategic assets and thus available for sale, including Real Estate Assets and Financial Shareholdings.

Addressing current market trends and the demand profile for real estate assets included in current portfolio (diversified group of assets, with different licensing and construction stages, including land plots with and without construction viability, residential units, construction projects, offices, industrial premises and commercial areas, with widespread geographical dispersion), during the 1Q16, 6 sales deeds regarding City Flats were signed and 1 sale deed signed over a land plot.

As at 31st of March, Capital Employed in this set of real estate assets amounted to 117.3M€.

Already in April, Sonae Capital sold its 36% shareholding participation in Norscut, for a total value of 42M€ (process pending the approval of the competent authorities that is expected to be completed during the first half of 2016), and there were no other material operations to highlight.

As at March 7, 2016, following the annual review of PSI20, Sonae Capital has been informed by Euronext of its integration in the main Portuguese stock index. This

As at April 5, 2016, Sonae Capital announced that has reached an agreement with Meridiam Infrastructure Europe II SCA SICAR, to sell the 36% indirect holding in Norscut - Concessionária de Auto-Estradas, S.A., for a total value of 42M€. The enforcement of abovementioned agreement is conditional upon a set of conditions precedent, namely the non-opposition of the Portuguese Competition Authority.

METHODOLOGICAL NOTES The consolidated financial statements presented in this report are non-audited and have been prepared in accordance with International Financial Reporting Standards ("IAS/IFRS"), issued by International Accounting Standards Board ("IASB"), as adopted by European Union.

With the aim of continuing to improve the quality and transparency of the information provided, not only at the Consolidated level, but also, at the Business Unit level, and aligned with the best market practices, the units sold during the year 2015, namely, the hotel operation of Lagos (Aqualuz Lagos) and business of General Maintenance (UPK) of Refrigeration and HVAC segment, are now reported as discontinued operations. In accordance the restated 2015 information is presented in appendix.

The present document is a translation from the Portuguese original version.

GLOSSARY HVAC = Heating, Ventilation and Air Conditioning
Operational Cash Flow = EBITDA Capex
EBITDA = Operational Profit (EBIT) + Amortization and Depreciation + Provisions and Impairment Losses + Impairment Losses of Real Estate Assets in Stocks (included in Costs of Goods Sold) – Reversal of Impairment Losses and
Provisions (including in Other Operation Income) EBITDA excluding Guaranteed Income Provisions = EBITDA + Provisions related to the estimated present value of potential costs for the full period of the
Guaranteed Income from real estate sales at Troia Resort EBITDAR = EBITDA + Rents for buildings
Net Debt = Non-Current Loans + Current Loans Cash and Cash Equivalents –
Current Investments Capex = Investment in Tangible and Intangible Assets
Gearing = Debt to Equity = Net Debt / Equity
Loan to Value = Net Debt of real estate assets / Real estate assets Valuation

APPENDIX

PART II CONSOLIDATED FINANCIAL STATEMENTS

(Amounts expressed in euro)

ASSETS	Notes	31-03-2016	31-12-2015
NON-CURRENT ASSETS:	7	246,956,947	251,495,972
Tangible assets	7	7,298,889	7,338,337
Intangible assets	8	60,892,528	60,892,528
Goodwill	5	14,051,755	12,960,514
Investments in associated companies and joint ventures	6 e 9	602,887	597,515
Other investments
Deferred tax assets	13	23,505,582	23,620,310
Other non-current assets	10	7,916,282 361,224,870	7,871,931 364,777,107
Total non-current assets
CURRENT ASSETS:
Inventories	11	125,860,394	126,761,744
Trade account receivables and other current assets	12	50,507,480	47,175,228
Cash and cash equivalents	14	5,723,357	35,318,251
Total Current Assets		182,091,231	209,255,223

TOTAL ASSETS		543,316,101	574,032,330

EQUITY AND LIABILITIES
EQUITY:
Share capital	15	250,000,000	250,000,000
Own Shares	15	(1,404,226)	(1,426,791)
Reserves and retained earnings		51,676,490	51,609,194
Profit/(Loss) for the year attributable to the equity holders of Sonae Capital		(4,193,144)	(294,678)
Equity attributable to the equity holders of Sonae Capital		296,079,120	299,887,725
Equity attributable to non-controlling interests TOTAL EQUITY	16	10,570,039 306,649,159	10,247,125 310,134,850

LIABILITIES:
NON-CURRENT LIABILITIES:
Loans	17	102,155,198	103,923,602
Other non current liabilities	19	2,947,337	3,033,619
Deferred tax liabilities	13	10,861,241	10,948,548
Provisions	22	3,079,824	3,079,824
Total Non-Current Liabilities		119,043,600	120,985,593

CURRENT LIABILITIES:
Loans	17	49,686,696	80,592,682
Trade creditors and other current liabilities	21	62,463,166	56,961,279
Provisions	22	5,473,480	5,357,926
Total Current Liabilities		117,623,342	142,911,887
TOTAL LIABILITIES		236,666,942	263,897,480

TOTAL EQUITY AND LIABILITIES		543,316,101	574,032,330

(Amounts expressed in euro)

	Notes	31-03-2016	31-03-2015

Sales		25,660,057	20,830,086
Services rendered		10,706,637	17,147,313
Other operating income		1,070,804	3,840,282
Cost of sales		(13,992,577)	(15,026,576)
Changes in stocks of finished goods and work in progress		(462,944)	(2,249,268)
External supplies and services		(12,268,819)	(11,585,787)
Staff costs		(8,239,208)	(8,275,985)
Depreciation and amortisation		(3,919,689)	(3,899,575)
Provisions and impairment losses (Increases/Decreases)		(357,608)	(83,555)
Impairment losses		(430,339)	(222,743)
provisions		(157,429)	(291,389)
reversal of depreciation and amortisation		-	-
reversal of provisions and impairment losses		188,284	136,291
Gains on provisions		41,876	294,286
Other operating expenses Operational profit/(loss)		(912,248) (2,715,595)	(956,693) (259,758)
Financial Expenses
Financial Income		(2,580,616)	(2,571,158)
		201,252	370,528
Net financial income / (expenses)		(2,379,365)	(2,200,630)
Profit/(Loss) in associated and jointly controlled companies	5	1,050,196	1,247,978
Investment income Profit/(Loss) before taxation		(1) (4,044,764)	(39,576) (1,251,986)
taxation	24	163,236	(862,525)

Profit/(Loss) for the year - continued operations		(3,881,528)	(2,114,511)
Profit/(Loss) for the year - discontinued operations		-	(563,249)
Profit/(Loss) for the year	25	(3,881,528)	(2,677,760)
Attributable to:
Equity holders of Sonae Capital		(4,193,144)	(2,926,079)
Non-controlling interests	16	311,616	248,319

Profit/(Loss) per share
Basic	27	(0.016994)	(0.011884)
Diluted	27	(0.016994)	(0.011884)

SONAE CAPITAL, SGPS, SA CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015
(Amounts expressed in euro)
	31-03-2016	31-03-2015
Consolidated net profit/(loss) for the period	(3,881,528)	(2,677,760)
Items that may be reclassified subsequently to net profit / (loss):
Changes in the currency translation differences	110,766	(44,296)
Share of other comprehensive income of associates and joint ventures accounted for by the equity method (Note 5)	41,045	(53,267)
Change in the fair value of assets available for sale	-	340,149
Change in the fair value of cash flow hedging derivatives	5,934	203,382
Tax related to other comprehensive income captions	(1,246)	(73,001)
Other comprehensive income for the period	156,499	372,967
Total comprehensive income for the period	(3,725,029)	(2,304,793)
Attributable to: Equity holders of Sonae Capital Non-controlling interests	(4,049,570) 324,541	(2,540,236) 235,443

REPORT AND ACCOUNTS - MARCH 2016 Consolidated Financial Statements

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(Amounts expressed in euro)

		Attributable to Equity Holders of Sonae Capital
	Share Capital	Own Shares	Demerger Reserve (Note 15)	Translation Reserves	Fair Value Reserves	Hedging Reserves	Other Reserves and Retained Earnings	Sub total	Net Profit/(Loss)	Total	Non Controlling Interests	Total Equity
Balance as at 1 January 2015	250,000,000	(1,486,301)	132,638,253	(130,882)	(750,961)	(239,276)	(75,237,394)	56,279,740	(6,832,009)	297,961,430	9,375,864	307,337,294

Total consolidated comprehensive income for the period	-	-	-	(28,585)	340,149	200,549	(126,270)	385,843	(2,926,079)	(2,540,236)	235,443	(2,304,793)
Appropriation of profit of 2014:	-	-	-	-	-	-	-	-	-	-	-	-
Transfer to legal reserves and retained earnings	-	-	-	-	-	-	(6,832,009)	(6,832,009)	6,832,009	-	-	-
Dividends paid	-	-	-	-	-	-	-	-	-	-	(1,082,019)	(1,082,019)
(Acquisition)/Sales of own shares	-	-	-	-	-	-	-	-	-	-	-	-
Changes in the percentage of capital held in affiliated companies	-	-	-	-	-	-	-	-	-	-	-	-
Other changes	-	-	-	-	-	-	22	22	-	22	-	22
Balance as at 31 March 2015 Balance as at 1 January 2016	250,000,000 250,000,000	(1,486,301) (1,426,791)	132,638,253 132,638,253	(159,467) (23,350)	(410,812) -	(38,727) (11,956)	(82,195,651) (80,993,753)	49,833,596 51,609,194	(2,926,079) (294,678)	295,421,216 299,887,725	8,529,288 10,247,125	303,950,504 310,134,850

Total consolidated comprehensive income for the period	-	-	-	97,841	-	5,934	39,799	143,574	(4,193,144)	(4,049,570)	324,541	(3,725,029)
Appropriation of profit of 2015:	-	-	-	-	-	-	-	-	-	-	-	-
Transfer to legal reserves and retained earnings	-	-	-	-	-	-	(294,678)	(294,678)	294,678	-	-	-
Dividends paid	-	-	-	-	-	-	-	-	-	-	(1,627)	(1,627)
(Acquisition)/Sales of own shares	-	22,565	-	-	-	-	-	-	-	22,565	-	22,565
Changes in the percentage of capital held in affiliated companies	-	-	-	-	-	-	-	-	-	-	-	-
Other changes Balance as at 31 March 2016	- 250,000,000	- (1,404,226)	- 132,638,253	- 74,491	- -	- (6,022)	218,400 (81,030,232)	218,400 51,676,490	- (4,193,144)	218,400 296,079,120	- 10,570,039	218,400 306,649,159

SONAE CAPITAL, SGPS, SA
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

(Amounts expressed in euro)

	Notes	31-03-2016	31-03-2015
OPERATING ACTIVITIES:

Cash receipts from trade debtors		35,449,271	43,440,923
Cash receipts from trade creditors		(22,130,135)	(26,497,705)
Cash paid to employees		(7,227,987)	(7,739,642)
Cash flow generated by operations		6,091,149	9,203,576
Income taxes (paid) / received		(163,279)	(54,627)
Other cash receipts and (payments) relating to operating activities		(406,116)	(794,997)
Net cash from operating activities (1)		5,521,754	8,353,952

INVESTMENT ACTIVITIES:
Cash receipts arising from:
Investments		567	2,886,963
Tangible assets		1,096,642	1,542,378
Interest and similar income		114,221	766,456
		1,211,430	5,195,797
Cash Payments arising from:
Investments		(5,939)	(2,763)
Tangible assets		(1,518,167)	(4,716,563)
Intangible assets		(142,731)	(230,340)
Loans granted		(41,503)	(987,797)
		(1,708,340)	(5,937,463)
Net cash used in investment activities (2)		(496,910)	(741,666)
FINANCING ACTIVITIES:

Cash receipts arising from: Loans obtained		30,726,297	6,000,000
		30,726,297	6,000,000

Cash Payments arising from:
Loans obtained		(63,288,856)	(13,673,638)
Interest and similar charges		(1,823,473)	(2,182,705)
Dividends		(156,250)	-
		(65,268,579)	(15,856,343)
Net cash used in financing activities (3)		(34,542,282)	(9,856,343)

Net increase in cash and cash equivalents (4) = (1) + (2) + (3)		(29,517,438)	(2,244,057)
Effect of foreign exchange rate		260,910	(41,410)
Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period	14 14	35,318,251 5,539,903	8,148,876 5,946,229

SONAE CAPITAL, SGPS, SA

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR

(Translation from the Portuguese Original)

(Amounts expressed in Euro)

INTRODUCTION SONAE CAPITAL, SGPS, SA ("Company", "Group" or "Sonae Capital") whose headoffice 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 5 to 7 ("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.

Reflecting the current management structure, the reporting segments were revised, addressing the strategic business areas identified in the Group:

Resorts;
Hotels;
Fitness;
Energy, Refrigeration and HVAC;
Other Assets.

The non-strategic assets (including non-tourism real estate assets and financial shareholdings) are included in the segment "Other assets".

MAIN ACCOUNTING POLICIES The main accounting policies adopted in preparing the accompanying consolidated

Basis of preparation Interim financial statements were 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, on a going concern basis and under the historical cost convention, except for derivative financial instruments which are stated at fair value.

CHANGES IN ACCOUNTING POLICIES Changes to international accounting standards that came into force on or after 1 January 2016, did not have material impacts in the financial statements as at 31 March 2016.

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 31 March 2016

				Percentage of capital held
				31 March 2016			31 December 2015
	Company		Head Office	Direct	Total	Direct	Total
	Sonae Capital SGPS, SA		Maia	Holding	Holding	Holding	Holding
	Hotels
	Porto Palácio Hotel, SA	a)	Porto	100,00%	100,00%	100,00%	100,00%
	Sonae Turismo, SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	The Artist Porto Hotel & Bistrô - Actividades Hoteleiras, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	The Artist Ribeira, SA	a)	Maia	100,00%	100,00%	-	-
	Aqualuz Tróia, SA	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Resorts
	Atlantic Ferries-Tráf.Loc,Flu.e Marít,SA	a)	Grândola	95,77%	95,77%	83,41%	83,41%
	Golf Time-Golfe e Invest. Turísticos, SA	a)	Maia	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, S.A.	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Marina de Tróia, SA.	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Marmagno-Expl.Hoteleira Imob.,SA	a)	Grândola	100,00%	100,00%	100,00%	100,00%

	Marvero-Expl.Hotel.Im.,SA SII - Soberana Invest. Imobiliários, SA	a) a)	Grândola Grândola	100,00% 100,00%	100,00% 100,00%	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%
	Tróia Market, S.A.	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Tróia Natura, S.A.	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Troiaresort-Investimentos Turísticos, SA	a)	Grândola	100,00%	100,00%	100,00%	100,00%
1)	Troiaresort, SGPS, SA	a)	Matosinhos	100,00%	100,00%	100,00%	100,00%
	Tulipamar-Expl.Hoteleira Imob.,SA	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Fitness
	Solinca - Health & Fitness, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Energy
	Atelgen - Produção Energia, ACE	a)	Barcelos	51,00%	51,00%	51,00%	51,00%
	CAPWATT - Brainpower, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	CAPWATT - ACE, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Colombo - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Engenho Novo - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Hectare - Heat Power, ACE	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt II - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt III - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Maia - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Martim Longo - Solar Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Vale do Caima - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Capwatt Vale do Tejo - Heat Power, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	CAPWATT - SCSGPS, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%

	Carvemagere - Manutenção e Energias Renováveis, Lda	a)	Barcelos	65,00%	65,00%	65,00%	65,00%
	Companhia Térmica SERRADO, ACE	a)	Maia	70,00%	70,00%	70,00%	70,00%
	Companhia Térmica Tagol, Lda.	a)	Oeiras	100,00%	100,00%	100,00%	100,00%
	CTE - Central Termoeléctrica do Estuário, Lda	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Enerlousado - Recursos Energéticos, Lda.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Ronfegen - Recursos Energéticos, Lda.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Soternix - Produção de Energia, ACE	a)	Barcelos	51,00%	51,00%	51,00%	51,00%
	Refrigeration and HVAC
	QCE - Desenvolvimento e fabrico de Equipamentos, SA	a)	Matosinhos	100,00%	70,00%	-	-
	Sistavac, SA	a)	Matosinhos	100,00%	70,00%	100,00%	70,00%
	Sistavac, SGPS, SA	a)	Matosinhos	70,00%	70,00%	70,00%	70,00%
	Sistavac Sistemas HVAC-R do Brasil, Ltda	a)	São Paulo	100,00%	70,00%	100,00%	70,00%
	Sopair, S.A.	a)	Madrid	100,00%	70,00%	100,00%	70,00%
	Spinarq Moçambique, Lda	a)	Maputo	70,00%	70,00%	100,00%	100,00%
	Spinarq-Engenharia,Energia e Ambiente,SA	a)	Luanda	99,90%	99,90%	99,90%	99,90%

	Other Assets
	Bloco Q-Soc.Imobil.SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Casa da Ribeira-Sociedade Imobiliária, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Centro Residencial da Maia,Urban.,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Cinclus Imobiliária,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Contacto Concessões, SGPS, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Contry Club da Maia-Imobiliaria,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Empreend.Imob.Quinta da Azenha,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Fundo Esp.Inv.Imo.Fec. WTC	a)	Maia	99,82%	99,82%	99,82%	99,82%
	Imoclub-Serviços Imobilários,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Imodivor - Sociedade Imobiliária, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Imohotel-Emp.Turist.Imobiliários,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Imoponte - Sociedade Imobiliária, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Imosedas-Imobiliária e Seviços,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Implantação - Imobiliária, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Inparvi SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Interlog-SGPS,SA	a)	Lisbon	98,98%	98,98%	98,98%	98,98%
	Porturbe-Edifícios e Urbanizações,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Praedium - Serviços, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Praedium II-Imobiliária,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Prédios Privados Imobiliária,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Predisedas-Predial das Sedas,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Promessa Sociedade Imobiliária, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	SC-Eng. e promoção imobiliária,SGPS,S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
2)	SC Assets, SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Sete e Meio Herdades-Inv. Agr. e Tur.,SA	a)	Grândola	100,00%	100,00%	100,00%	100,00%
	Société de Tranchage Isoroy SAS.	a)	Honfleur	100,00%	100,00%	100,00%	100,00%
	Soira - Soc. Imobiliária de Ramalde, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Sótaqua - Soc. de Empreend. Turisticos	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Spinveste - Promoção Imobiliária, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Spinveste-Gestão Imobiliária SGII,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Urbisedas-Imobiliária das Sedas, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Vistas do Freixo-Emp.Tur.Imobiliários,SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	Others
	Imobeauty, S.A.	a)	Maia	100,00%	100,00%	100,00%	100,00%
	SC - Sociedade de Consultadoria, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
	SC Finance BV	a)	Amsterdam	100,00%	100,00%	100,00%	100,00%

SC For - Ser.Formação e Desenvolv.Recursos Humanos, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
SC Hospitality, SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
SC, SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%
Solinfitness - Club Málaga, S.L.	a)	Málaga	100,00%	100,00%	100,00%	100,00%
Spred, SGPS, SA	a)	Maia	100,00%	100,00%	100,00%	100,00%

¹⁾ Ex-Imoareia - Invest. Turísticos, SGPS, SA;

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 31 March 2016 and 31 December 2015 are as follows:

			Percentage of capital held

	Company	Head Office	31 March 2016 Direct	Total	31 December 2015 Direct	Total	31 March 2016	Book Value 31 December 2015
	Other Assets

1)	Andar - Sociedade Imobiliária, SA Sociedade de Construções do Chile, SA	Maia Maia	50.00% 100.00%	50.00% 50.00%	50.00% 100.00%	50.00% 50.00%	- -	- -
1)	Vastgoed One - Sociedade Imobiliária, SA	Maia	100.00%	50.00%	100.00%	50.00%	-	-
1)	Vastgoed Sun - Sociedade Imobiliária, SA	Maia	100.00%	50.00%	100.00%	50.00%	-	-
	Lidergraf - Artes Gráficas, Lda	Vila do Conde	24.50%	24.50%	24.50%	24.50%	962,722	975,156
	Norscut - Concessionária de Scut Interior Norte, SA	Lisbon	36.00%	36.00%	36.00%	36.00%	12,833,393	11,761,812
	Operscut - Operação e Manutenção de Auto estradas, SA	Lisbon	15.00%	15.00%	15.00%	15.00%	24,000	24,000
	Energy
	Feneralt – Produção de Energia, ACE	Barcelos	25.00%	25.00%	25.00%	25.00%	231,640	199,546
	Total						14,051,755	12,960,514

1) Null investment values result from the adoption of the equity method in Andar – Sociedade Imobiliária, SA, holder of all

Associated and jointly controlled companies are consolidated using the equity

method. Nil balances resulted 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. As at 31 March 2016 and 31 December 2015, aggregate values of main financial indicators of jointly controlled companies can be resumed as follows:

	31 March 2016	31 December 2015
Total Assets	55,451,555	55,448,333
Total Liabilities	16,698,151	16,439,200
Income	-	97,288
Expenses	259,726	1,392,801

a) Majority of voting rights

During the periods ended 31 March 2016 and 2015, movements in investments of associated and jointly controlled companies may be summarized as follows:

	31 March 2016	31 March 2015
Opening balance as at 1 January	12,992,457	20,762,638
Equity method	1,103,675	1,194,710
Dividends received	(12,434)	-
Closing balance as at 31 December	14,083,698	21,957,348
Accumulated impairment losses (Note 22)	(31,943)	(31,944)
	14,051,755	21,925,404

The use of the equity method had the following impacts: 1,050,196 euro recorded on share of results of associated undertakings (1,247,978 euro at 31 March 2015), and 41,045 euro in changes in reserves (-53,267 euro at 31 March 2015).

OTHER INVESTMENTS Group companies, jointly controlled companies and associated companies excluded from consolidation, their head offices, percentage of share capital held and book

		Percentage of capital held
		31 March 2016 31 December 2015
Company	Head Office	Direct	Total	Direct	Total	31 March 2016	31 December
Resorts							2015
Infratroia – Emp. de Infraest. de Troia, E.N.	Grândola	25.90%	25.90%	25.90%	25.90%	64,747	64,747


Other Assets Fundo de Investimento Imobiliário Imosonae Dois	Maia	0.06%	0.06%	0.06%	0.06%	124,892	124,892

Net, SA Fundo de Capital de Risco F	Lisbon Lisbon	0.98% 6.48%	0.98% 6.48%	2.80% 6.48%	2.80% 6.48%	23,034 250,950	23,034 250,950
HITEC Other investments						139,264	133,892

Total (Note 9)						602,887	597,515

TANGIBLE ASSETS AND INTANGIBLE ASSETS During the three month period ended 31 March 2016, 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	Tangible Assets in progress	Total Tangible Assets
Gross Cost:
Opening balance as at 1 January 2016	224,435,722	192,766,256	2,081,623	14,715,753	433,999,354
Changes in consolidation perimeter	-	-	-	-	-
Capital expenditure	88,691	75,761	-	671,304	835,756
Disposals	(507,509)	(443,615)	-	(150,754)	(1,101,878)
Exchange rate effect	-	(126,077)	765	-	(125,312)
Transfers	211,385	4,596,028	440	(5,513,043)	(705,190)
Closing balance as at 31 March 2016	224,228,289	196,868,353	2,082,828	9,723,260	432,902,730
Accumulated depreciation and
impairment losses Opening balance as at 1 January 2016	83,514,782	97,307,652	1,680,948	-	182,503,382
Changes in consolidation perimeter	-	-	-	-	-
Charges for the period 1)	729,003	3,045,235	18,556	-	3,792,794
Disposals	(27,646)	(142,186)	-	-	(169,832)
Exchange rate effect	-	(85,912)	813	-	(85,099)
Transfers	(380)	(95,082)	-	-	(95,462)
Closing balance as at 31 March 2016	84,215,759	100,029,707	1,700,317	-	185,945,783
Carrying amount as at 1 January 2016	140,920,940	95,458,604	400,675	14,715,753	251,495,972
Carrying amount as at 31 March 2016	140,012,530	96,838,646	382,511	9,723,260	246,956,947

1) Includes impairment losses amounting to 37.236 eur

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

	31 March 2016	31 December 2015
Tróia	8,091,116	8,091,116
Cogeneration Project	108,982	52,083
Health Clubs Refurbishment	1,104,479	1,208,506
Others	418,683	5,364,048
	9,723,260	14,715,753

	Intangible Assets
	Patents and other similar	Software	Other Intangible Assets	Intangible Assets in progress	Total Intangible Assets
Gross Cost:	rights
Opening balance as at 1 January 2016	7,789,237	3,281,292	155,474	225,546	11,451,549
Changes in consolidation perimeter	-	-	-	-	-
Capital expenditure	-	-	-	141,775	141,775
Disposals	-	-	-	-	-
Exchange rate effect	-	(484)	-	-	(484)
Transfers	-	123,235	-	(140,562)	(17,327)
Closing balance as at 31 March 2016	7,789,237	3,404,043	155,474	226,760	11,575,513
Accumulated depreciation and impairment losses

Opening balance as at 1 January 2016	1,522,646	2,581,146	9,421	-	4,113,213
Changes in consolidation perimeter	-	-	-	-	-
Charges for the period	45,302	118,828	-	-	164,130
Disposals	-	-	-	-	-
Exchange rate effect	-	(718)	-	-	(718)
Transfers	-	-	-	-	-
Closing balance as at 31 March 2016	1,567,948	2,699,256	9,421	-	4,276,625

Carrying amount as at 1 January 2015	6,266,592	700,146	146,053	225,546	7,338,337

Carrying amount as at 31 March 2016	6,221,290	704,787	146,053	226,760	7,298,889

As at March 2016 the net assets of Marina de Troia in Patents and other similar rights, amounts to 5,812,731 euro (5,849,778 euro at December 2015).

GOODWILL During the periods ended 31 March 2016 and 31 December 2015, movements in goodwill, as well as in corresponding impairment losses, are as follows:

	31 March 2016	31 December 2015

Gross amount:
Opening balance Decreases - disposals of affiliated companies	62,194,124 -	62,291,840 (97,716)

Closing balance	62,194,124	62,194,124
Accumulated impairment losses: Opening balance	1,301,596	1,301,596

Closing balance Total	1,301,596 60,892,528	1,301,596 - 60,892,528

OTHER INVESTMENTS As at 31 March 2016 and 31 December 2015, movements in investments were as

	31 March 2016		31 December 2015
Investments at acquisition cost	Non current	Current	Non current	Current
Opening balance as at 1 January	889,353	-	879,446	-
Acquisitions in the period	5,372	-	9,907	-

Closing balance as at 31 March	894,725	-	889,353	-
Accumulated impairment losses (Note 22)	(291,838)	-	(291,838)	-
	602,887	-	597,515	-
Investments held for sale
Fair value as at 1 January	-	-	39,493,884	-
Disposals in the period	-	-	(34,244,847)	-
Increase/(Decrease) in fair value	-	-	750,963	-
Fair value as at 31 March	-	-	-	-
Accumulated impairment losses (Note 22) Fair value (net of impairment losses) as at 31 March	- -	- -	- -	- -

Other Investments	602,887	-	597,515	-

These investments are recorded at acquisition cost less impairment losses.

OTHER NON-CURRENT ASSETS As at 31 March 2016 and 31 December 2015, other non-current assets are detailed as follows:

	31 March 2016	31 December 2015
Loans granted to related parties
Norscut - Concessionária de Scut Interior Norte, SA	5,924,085	5,911,400
Others	841,424	812,606
	6,765,509	6,724,006
Impairment losses (Note 22)	(34,916)	(34,916)
	6,730,593	6,689,090
Trade accounts receivable and other debtors
Others	1,185,689	1,182,841
Impairment losses (Note 22)	-	-
	1,185,689	1,182,841
Other non current assets	7,916,282	7,871,931

Loans granted to related parties do not have a defined maturity, and therefore are

INVENTORIES Inventories as at 31 March 2016 and 31 December 2015 can be detailed as follows, highlighting the value attributable to real estate developments:

		31 March 2016		31 Decembre 2015
	Total	of which Real Estate Developments	Total	of which Real Estate Developments
Raw materials, by-products and consumables	1,547,210	-	1,441,888	-
Goods for sale	31,532,056	30,338,953	30,394,043	29,000,343
Finished goods	23,053,497	23,053,497	23,487,868	23,487,868
Work in progress	80,948,210	77,909,142	77,389,696	75,405,755
	137,080,973	131,301,592	132,713,495	127,893,966
Accumulated impairment losses on stocks (Note 22)	(11,220,579)	(11,210,018)	(5,951,751)	(5,939,087)
	125,860,394	120,091,574	126,761,744	121,954,879

As at 31 March 2016 and 31 December 2015, trade accounts receivable and other

	31 March 2016	31 December 2015

Trade accounts receivable	22,745,392	23,362,034
Accumulated impairment losses on trade debtors (Note 22)	(4,173,784)	(3,986,937)
	18,571,608	19,375,097
Taxes recoverable	13,857,118	12,626,936
Loans granted to and other amounts to be received from related parties	42,959	74,506
Other current assets
Suppliers with a debtor balance	563,045	458,365
Other debtors	4,252,670	4,369,117
Accounts receivable from the sale of financial investments	4,668,650	4,656,580
Accounts receivable from the sale of tangible assets	196,220	10,525
Interest receivable	83,504	42,156
Deferred costs - Rents	662,605	291,265
Deferred costs - External supplies and services	1,257,992	1,121,317
Other current assets	6,916,005	4,714,764
	18,600,691	15,664,089
Accumulated impairment losses on other current assets (Note 22)	(564,896)	(565,400)
Trade accounts receivable and other current assets	50,507,480	47,175,228

DEFERRED TAXES Deferred tax assets and liabilities as at 31 March 2016 and 31 December 2015 can be detailed as follows, split between the different types of temporary differences:

	Deferred tax assets
	31 March 2016	31 December 2015	31 March 2016	Deferred tax liabilities 31 December 2015

Amortisation and Depreciation harmonisation adjustments	577,975	592,345	3,679,295	3,754,439
Provisions and impairment losses of non-tax deductible	6,637,517	6,682,330	-	-
Write off of tangible and intangible assets	71,250	71,250	-	-
Write off of accruals	-	-	-	-
Revaluation of tangible assets	-	-	93,738	93,307
Tax losses carried forward	16,199,128	16,252,396	-	-
Financial instruments	-	-	-	-
Write off of stocks Taxable temporary differences arising from the fair value of non-current liabilities	- -	- -	548,376 6,539,832	548,376 6,543,174

Others	19,712 23,505,582	21,990 23,620,310	- 10,861,241	9,252 10,948,548

In accordance with the tax statements presented by companies that recorded deferred tax assets arising from tax losses carried forward, as at 31 March 2016 and 31 December 2015, and using exchange rates effective at that time, tax losses

	31 March 2016				31 December 2015
	Tax losses carried forward	Deferred tax assets	Time limit	Tax losses carried forward	Deferred tax assets	Time limit
With limited time use
Generated in 2012	19,769,442	4,151,583	2017	20,023,107	4,204,852	2017
Generated in 2013	18,024,639	3,785,174	2018	18,024,639	3,785,174	2018
Generated in 2014	11,725,573	2,462,370	2026	11,725,573	2,462,370	2026
Generated in 2015	27,619,048	5,800,000	2027	27,619,048	5,800,000	2027
Generated in 2016	-	-	2028	-	-	2028
	77,138,702	16,199,128		77,392,368	16,252,396
With a time limit different from the above mentioned	-	-		-	-
	77,138,702	16,199,128		77,392,368	16,252,396

An analysis was made on the relevance of the recognition of deferred taxes, taking into account the possibility of them to be recovered in accordance with the medium

and long term prospects of the Group. Deferred tax assets arising from tax losses have been recorded only when it is likely to occur taxable income in the future.

As at 31 March 2016, tax losses carried forward amounting to 75,088,936 euro (75,631,592 euro as at 31 December 2015), have not originated deferred tax assets for prudential reasons and are detailed as follows:

	31 March 2016				31 December 2015
	Tax losses carried forward	Tax Credit	Time limit	Tax losses carried forward	Tax Credit	Time limit
With limited time use
Generated in 2012	13,872,225	2,913,167	2017	15,178,378	3,187,459	2017
Generated in 2013	26,068,950	5,474,480	2018	22,917,452	4,812,665	2018
Generated in 2014	22,249	4,672	2026	22,249	4,672	2026
Generated in 2015	18,638,746	3,914,137	2027	18,638,746	3,914,137	2027
Generated in 2016	4,724,621	992,170	2028	-	-	2028
	63,326,791	13,298,626		56,756,825	11,918,933

Without limited time use	11,369,868	2,842,467		-	-
With a time limit different from the above mentioned	392,277	77,039		18,874,767	4,758,800
	11,762,145	2,919,506		18,874,767	4,758,800
	75,088,936	16,218,132		75,631,592	16,677,733

CASH AND CASH EQUIVALENTS As at 31 March 2016 and 31 December 2015, cash and cash equivalents can be

	31 March 2016	31 December 2015

Cash at hand	72,776	111,450
Bank deposits	5,645,453	35,201,904
Treasury applications	5,128	4,897
Cash and cash equivalents on the balance sheet	5,723,357	35,318,251
Bank overdrafts - (Note 17)	(183,454)	-
Cash and cash equivalents in the statement of cash-flows	5,539,903	35,318,251

Bank overdrafts include creditor balances of current accounts in financial institutions, and are disclosed in the balance sheet under current bank loans (Note 17).

EQUITY 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. As at 31 March 2016, Sonae Capital SGPS, S.A. owns 5,516,226 own shares (5,914,571 own shares at 31 December 2015) booked for 1,404,226 euro (1,426,791 euro at 31

December 2015). Other reserves includes amounts equal to the value of own shares held by the Group's parent company. This reserve should be unavailable while these shares are kept by the company.

The Reserves and retained earnings of Sonae Capital Group in the periods ended 31

	31 March 2016	31 December 2015

Demerger reserve	132,638,253	132,638,253
Translation reserves	74,491	(23,350)
Hedging reserves	(6,022)	(11,956)
Other reserves and retained earnings	(81,030,232)	(80,993,753)
Reserves and retained earnings	51,676,490	51,609,194

Demerger reserve 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

Translation reserves This reserves are comprised by the conversion into euro of the financial statements of the subsidiaries that have other functional currency.

Fair Value Reserves This reserves are comprised by the fair value of assets available for sale.

Hedging Reserve The reserve is comprised by the fair value of hedging derivatives and the accued interest of that derivative, and it is transferred to profit and loss when its subsidiaries are sold or liquidated.

NON CONTROLLING INTERESTS Movements in non-controlling interests in the periods ended 31 March 2016 and 31 December 2015 are as follows:

	31 March 2016	31 December 2015
Opening balance as at 1 January	10,247,125	9,375,864
Changes in hedging reserves	-	721
Changes in the percentage of capital held in affiliated companies	-	219,830
Changes resulting from currency translation	12,925	38,920
Dividends paid	(1,627)	(1,079,240)
Others	-	(1)
Profit for the period attributable to minority interests	311,616	1,691,031
Closing balance	10,570,039	10,247,125

The non-controlling interests, are primarily from companies in the refrigeration and HVAC segment.

BORROWINGS As at 31 March 2016 and 31 December 2015, Borrowings are made up as follows:

	31 March 2016		31 December 2015
		Outstanding amount		Outstanding amount
	Current	Non Current	Current	Non Current	Repayable on
Bank loans
Sonae Capital SGPS - commercial paper a)	21,750,000	-	-	-	Mar/2018
Sonae Capital SGPS - commercial paper d)	8,250,000	-	8,250,000	-	Dec/2016
Sonae Capital SGPS - commercial paper b)	7,550,000	-	-	-	Aug/2018
Sonae Capital SGPS - commercial paper c)	-	30,000,000	-	30,000,000	Dec/2017
Sonae Capital SGPS - commercial paperf)	3,250,000	1,500,000	3,250,000	1,500,000	May/2017
Sonae Capital SGPS - commercial paper g)	1,200,000	3,600,000	1,200,000	4,800,000	Mar/2020
Sonae Capital SGPS e)	3,290,000	8,225,000	3,290,000	9,047,500	Set/2019
Up-front fees	-	(206,855)	-	(255,080)
Others	1,324,456	1,302,491	1,735,702	1,600,754
	46,614,456	44,420,636	17,725,702	46,693,174
Bank overdrafts (Note 14)	183,454	-	-	-
Bank loans	46,797,910	44,420,636	17,725,702	46,693,174

Bond Loans
Sonae Capital 2011/2016 Bonds	-	-	10,000,000	-	Jan/2016
SC, SGPS, S.A. 2008/2018 Bonds	-	-	50,000,000	-	Mar/2018
Sonae Capital 2014/2019 Bonds	-	42,500,000	-	42,500,000	May/2019
Up-front fees	-	(348,868)	(17,938)	(376,402)
Bond Loans	-	42,151,132	59,982,062	42,123,598

Other loans	311,968	297,289	311,968	297,289
Derivatives (Note 18)	13,297	-	25,952	-

Obligations under finance leases Up-front fees on finance leases	2,563,521 -	15,359,938 (73,797)	2,546,998 -	14,886,301 (76,760)
	49,686,696	102,155,198	80,592,682	103,923,602

a) Short term commercial paper programme, issued on 28 March 2008 and valid for a 10 year period, which may be extended at the option of Sonae Capital. Placed in investors or financial institutions and guaranteed by credit lines, with

commitment of at least six months to a year, placed in relationship banks. b) Commercial paper programme, with subscription guarantee, issued on 31 March 2011 and valid up to August 2018, except if the reimbursement is anticipated under the contracted terms of the call/put option, in August 2016. This loan is

guaranteed by a mortgage on real estate assets. c) Commercial paper programme, with subscription guarantee, issued on 27 December 2012 and valid up to December

d) Commercial paper programme, with subscription guarantee, issued on 31 December 2013, with automatic annual renewals up to 3 years, unless denounciated by either party.

e) Bank loan guaranteed by a mortgage on real estate, started on 2 June 2011 and valid up to September 2019, with quarterly payments.

f) Commercial paper programme, with subscription guarantee, issued on 7 May 2014 and valid for a 3 year period, with semi-annual payments. g) Commercial paper programme, with subscription guarantee, issued on 18 march 2015 and valid up to March 2020, with

As at 31 March 2016, borrowings of the Group were as follows:

annual payments.

Sonae Capital, SGPS, SA, 2014/2019 bond loan in the amount of 42,500,000 euro, with a 5 year maturity, and a sole reimbursement on 28 May 2019. This bond loan bears interest every six months.

The interest rate on bonds and bank loans in force on 31 March 2016 was on

average 2.99% (2.83% in December 2015) Bank loans pay interest rates that are indexed to the Euribor market rates of the

period, and its fair value is considered close to its book value. Other non-current loans include government reimbursable grants to group

companies, which do not bear interest. The repayment schedule of the nominal value of borrowings may be summarised as

	31 March 2016		31 December 2015
	Nominal value	Interest	Nominal value	Interest
N+1 a)	42,101,987	4,139,257	80,584,669	4,867,436
	44,333,164	3,119,706	39,321,659	3,938,199
N+2	10,334,216	2,118,377	7,644,816	2,421,339
N+3	48,446,766	1,030,796	49,335,366	1,074,827
N+4	2,284,593	75,929	3,505,904	87,101
N+5	4,773,936	98,195	4,824,098	109,720
After N+5	152,274,662	10,582,260	185,216,512	12,498,622

a) Includes amounts drawn under commercial paper programmes. Of the total amount maturing in N+1, 71% concerns to commercial paper taken under lines of credit with commitment exceeding one year. Taking into account the policies and measures to manage liquidity risk, no risks that could jeopardize the continuity of operations are anticipated.

In the case any Bank institution or commercial paper investor do not renew, at the maturity date, its respective loans, the Group has credit lines available to overcome

18. DERIVATIVES

Interest rate derivatives Hedging instruments used by the Group as at 31 March 2016 were mainly interest rate options (cash-flow hedges) contracted with the goal of hedging interest rate risks on loans in the amount of 386,525 euro, whose fair value of 13,297 euro (25,952 euro at 31 December 2015) is recorded as liabilities in other loans (Note 17). As at 31

March 2016 and 31 December 2015, 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 fair value of derivatives is calculated using valuation models based on assumptions which are confirmed by market benchmarks, thus complying with level 2 requirements set on the IFRS 7.

Risk coverage guidelines generally used by the Group in contractually arranged 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.

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 recognized merit. Counterparts for derivatives are top level, highly prestigious financial institutions which are recognized nationally

Fair value of derivatives

	Assets		Liabilities
	31March 2016	31 December 2015	31March 2016	31 December 2015

Non-Hedge accounting derivatives Interest rate	-	-	-	-
Hedge accounting derivatives
Interest rate (Note 17)	-	-	13,297	25,952
Other derivatives	-	-	-	-
	-	-	13,297	25,952

OTHER NON-CURRENT LIABILITIES As at 31 March 2016 and 31 December 2015 other current liabilities can be detailed

	31 March 2016	31 December 2015
Loans and other amounts payable to related parties
Plaza Mayor Parque de Ocio, SA (Note 26)	1,903,194	1,928,510
Others	230,847	230,846
	2,134,041	2,159,356
Other creditors
Creditors in the restructuring process of Torralta	575,745	561,891
Others	-	-
	575,745	561,891
Deferred income	-	-
Obligations by share-based payments (Note 20)	237,551	312,372
	237,551	312,372
Other non current liabilities	2,947,337	3,033,619

SHARE-BASED PAYMENTS In 2012 and in previous years, the Sonae Capital Group granted deferred performance bonuses to employees, based on shares of Sonae Capital SGPS, SA 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.

As at 31 March 2016 and 31 December 2015, the market value of total liabilities arising from share-based payments, which have not yet vested, may be summarised

	Year of grant	Vesting year	Number of participants	Fair Value 31 March 2016	31 December 2015
Shares
	2013	2016	7	-	579,291
	2014	2017	6	301,600	272,420
	2015	2018	6	380,502	335,036
	2016	2019	6	273,626	-
Total				955,728	1,186,747

As at 31 March 2016 and 31 December 2015, 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:

Other non current liabilities (Note 19)	31 March 2016 237,551	31 Dezembro 2015 312,372
Other current liabilities	169,994	579,291
Reserves	170,768	34,317
Staff Costs	236,777	857,346

TRADE ACCOUNTS PAYABLE As at 31 March 2016 and 31 December 2015 trade accounts payable can be detailed

	31 March 2016	31 December 2015
Trade creditors	21,654,170	17,167,600
Loans granted by and other payables to related parties	132,320	318,490
Other current liabilities Fixed assets suppliers	800,161	1,273,301
Advances from customers and down payments	7,910,339	8,291,899
Other creditors	2,460,980	1,678,532
Taxes and contributions payable	4,803,431	3,570,359
Accrued staff costs	5,420,213	5,902,111
Amounts invoiced for works not yet completed	2,536,323	3,219,828
Accrued expenses with purchases - Energy Segment	2,540,739	2,321,743
Interest payable	701,388	611,463
Investment aid	1,435,700	1,447,902
Other liabilities	12,067,402	11,158,051
	40,676,676	39,475,189
Trade accounts payable and other current liabilities	62,463,166	56,961,279

PROVISIONS AND ACUMULATED IMPAIRMENT LOSSES Movements in provisions and accumulated impairment losses over the period ended 31 March 2016 were as follows:

	Balance as at 1 January					Balance as at 31 March
Captions Accumulated impairment losses on:	2016	Increases	Decreases	Utilisations	Transfers	2016
Tangible Assets (Note 7)	39,129,797	37,236	-	-	-	39,167,033
Goodwill (Note 8)	1,301,596	-	-	-	-	1,301,596
Other Investments (Notes 5 and 9)	323,781	-	-	-	-	323,781
Other non current assets (Note 10)	34,916	-	-	-	-	34,916
Trade accounts receivable (Note 12)	3,986,937	390,667	(176,003)	(27,817)	-	4,173,784
Other current assets (Note 12)	565,400	27,212	(27,234)	(482)	-	564,896
Stocks (Note 11)	5,951,751	-	(2,103)	-	5,270,931	11,220,579
Non current provisions	3,079,824	-	-	-	-	3,079,824
Current provisions	5,357,926	157,429	(32,515)	(9,361)	-	5,473,480
	59,731,928	612,544	(237,855)	(37,660)	5,270,931	65,339,889

During an inventory of assets at 31 March 2016, it was detected that the recording of the impairment costs of previous years, in some assets, was made in the account of the gross amount of the asset, and not in the impairment account as it should

have been. It was decided to transfer these amounts to the correct impairment account, and disclose this event under transfers.

As at 31 March 2016 and 31 December 2015 detail of other provisions was as follows:

	31 March 2016	31 December 2015

Judicial claims	2,090,312	2,033,391
Provision for secured income	3,911,222	3,838,298
Others	2,551,769	2,566,061
	8,553,304	8,437,750

The amount in provision for guaranteed income is the estimate of the difference between the amount to be charged through the properties sold in "Tróia" and the

guaranteed income to property owners. The amount to be charged through the marketing of real estate, is estimated based on the average of the values obtained in previous years.

CONTINGENT ASSETS AND LIABILITIES As at 31 March 2016 and 31 December 2015 the most important contingent liabilities

referred to guarantees given and were made up as follows:
	31 March 2016	31 December 2015
Guarantees given:
on VAT reimbursements	5,104,475	5,105,475
on tax claims	17,711,491	9,956,905
on municipal claims	1,134,224	1,134,224

Others include the following guarantees: 6,480,071 euro as at 31 March 2016 (6,114,365 euro as at 31 December 2015)
of guarantees on construction works given to clients; 3,766,391 euro as at 31 March 2016 (5.264.966 euro as at 31 December 2015)

of guarantees given concerning building permits in the Resorts segments. 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.

TAXATION As at 31 March 2016 and 31 March 2015, Taxation was made up as follows:

	31 March 2016	31 March 2015

Current tax Deferred tax	(188,980) 25,744	858,290 4,235
Taxation	(163,236)	862,525

RECONCILIATION OF CONSOLIDATED NET PROFIT As at 31 March 2016 and 2015, the reconciliation of consolidated net profit can be analysed as follows:

	31 March 2016	31 March 2015
Aggregate net profit	(2,261,175)	(6,681,185)
Harmonisation adjustments	(28,496)	18,443
Elimination of intragroup dividends	(916,053)	(33,314,290)
Share of gains/(losses) of associated undertakings	1,050,196	1,247,978
Elimination of intragroup capital gains/(losses)	(1,726,000)	(3,221,077)
Elimination of intragroup impairment	-	(5,564,515)
Adjustments of gains/(losses) on assets disposals	-	-
Adjustments of gains/(losses) of financial shareholdings sale	-	44,836,886
Others	-	-
	(3,881,528)	(2,677,760)
Consolidated net profit for the year

RELATED PARTIES Balances and transactions during the periods ended 31 March 2016 and 31 December 2015 with related parties are detailed as follows:

	Sales and services rendered		Purchases and services obtained
Transactions	31 March 2016	31 March 2015	31 March 2016	31 March 2015
Parent company (a)	-	-	-	-

Associated companies	18,419	126,930	4,374	9,122
Other partners and Group companies (b)	8,967,724 8,986,143	4,349,978 4,476,908	634,365 638,739	924,048 933,170

			Interest expenses
Transactions	Interest income 31 March 2016 31 March 2015		31 March 2016	31 March 2015

Parent company (a)	-	-	-	-
Associated companies	82,850	250,448	-	-

Other partners and Group companies (b)	- 82,850	- 250,448	24,655 24,655	28,106 28,106

	Accounts receivable		Accounts payable
Balances	31 March 2016	31 December 2015	31 March 2016	31 December 2015

Parent company (a)	-	-	-	-
Associated companies	106,811	79,083	5,240	6,302
Other partners and Group companies (b)	10,199,789	10,106,073	9,174,702	8,946,752
	10,306,600	10,185,156	9,179,942	8,953,054

	Loans obtained		Loans granted
Balances	31 March 2016	31 December 2015	31 March 2016	31 December 2015

Parent company (a)	-	-	-	-
Associated companies	-	-	6,730,593	6,689,090
Other partners and Group companies (b)	1,903,194	1,928,510	-	-
	1,903,194	1,928,510	6,730,593	6,689,090

a) The parent company is Efanor Investimentos, SGPS, SA; b) Balances and transactions with Group Sonae, SGPS and Group Sonae Indústria, SGPS, SA are included under Other partners in

EARNINGS PER SHARE Earnings per share for the periods ended 31 March 2016 and 2015 were calculated

taking into consideration the following amounts: There are no convertible instruments included in Sonae Capital, SGPS, SA's shares,

Net profit	31 March 2016	31 March 2015
Net profit taken into consideration to calculate basic earnings per share (Net profit for the period )	(4,193,144)	(2,926,079)
Net profit taken into consideration to calculate diluted earnings per share	(4,193,144)	(2,926,079)
Number of shares
Weighted average number of shares used to calculated basic earnings per share	246,740,156	246,211,552
Weighted average number of shares used to calculated diluted earnings per share	246,740,156	246,211,552
Earnings per share (basic and diluted)	(0.016994)	(0.011884)

There are no convertible instruments included in Sonae Capital, SGPS, SA's shares,

SEGMENTS INFORMATION In 31 March 2016 and 31 December 2015, the following were identified as segments:
Resorts
Hotels
Fitness
Energy
Refrigeration and HVAC
Other Assets:

The contribution of the business segments to the income statement of the periods

Profit and Loss Account	Resorts	Hotels	Fitness	31 March 2016 Energy	Refrigeration and HVAC	Other Assets	Intersegment Adjustments	Consolidated
Turnover	2,831,526	2,104,296	4,141,559	11,735,384	14,273,969	3,957,867	-2,677,907	36,366,694

Other operational	1,009,248	120,329	66,974	19,657	139,066	109,024	-393,494	1,070,804
income
Total operational	3,840,774		2,224,625 4,208,533	11,755,041		14,413,035 4,066,891	-3,071,401	37,437,498
income
Operational cash flow (EBITDA)		-66,440 -1,755,243		381,860 2,358,362	889,547	-214,329	-	1,593,757

Profit and Loss Account	Resorts	Hotels	Fitness	31 March 2015 Energy	Refrigeration and HVAC	Other Assets	Intersegment Adjustments	Consolidated
Turnover	5,440,895	1,822,911	3,503,340	15,580,533	12,634,212	3,476,997	-4,481,488	37,977,399

Other operational income	1,320,579	107,500	108,684	697,003	282,447	50,652	1,273,417	3,840,282

Total operational	6,761,474	1,930,411		3,612,024 16,277,536		12,916,659 3,527,649	-3,208,071	41,817,681
income
Operational cash flow (EBITDA)		762,744 -1,942,170	232,926	3,221,029	416,861	263,368	-	2,954,758

The contribution of the business segments to the Balance sheets as at 31 March

Balance Sheet	Resorts	Hotels	Fitness	31 March 2016 Energy	Refrigeration and HVAC	Other Assets	Intersegment Adjustments	Consolidated
Fixed Assets Tangible, Intangible and	147,913,097	12,368,443	8,708,240	26,139,885	9,957,965	110,066,743	-6,010	315,148,364
Goodwill Investments	41,798,068	10,706,257	29,143	245,843	5,755	361,966,973	-400,097,398	14,654,642
Other Assets	75,460,637	7,959,258	2,720,256	11,964,315	45,861,913	591,468,597	-521,921,881	213,513,095
Total Assets				265,171,802 31,033,959 11,457,639 38,350,044		55,825,634 1,063,502,313	-922,025,290	543,316,101
Total Liabilities	232,363,255			31,592,931 8,954,080 34,599,860	21,538,289	405,475,230	-497,856,704	236,666,942
Technical investment	156,873	181,383	256,571	215,539	51,648	112,508	-	974,522
Gross Debt	13,234,467	0	142,857	7,305,075	391,295	130,768,200	-	151,841,895
Net Debt	13,125,073	-176,667	-31,450	5,614,359	-204,716	127,791,938	-	146,118,538

Balance Sheet	Resorts	Hotels	Fitness	31 December 2015 Energy	Refrigeration and HVAC	Other Assets	Intersegment Adjustments	Consolidated
Fixed Assets Tangible, Intangible and	149,956,529	12,436,077	9,005,028	26,895,189	9,993,052	111,446,972	-6,010	319,726,837
Goodwill Investments	41,797,580	10,705,291	27,638	213,433	4,283	360,907,202	-400,097,398	13,558,029
Other Assets	76,197,823	8,070,031	2,747,073	10,745,078	42,435,788	593,656,434	-493,104,764	240,747,465
Total Assets	267,951,933	31,211,399		11,779,739 37,853,700		52,433,123 1,066,010,608	-893,208,172	574,032,331

Total Liabilities		231,646,193 29,764,342		9,121,409 35,009,190	18,086,642		433,849,763 -493,580,059	263,897,480

Technical investment	1,437,829	575,136	1,312,420	6,242,443	191,289	4,805,144	-	14,564,262

Gross Debt	13,654,719	0	261,161	6,693,808	684,942	163,221,655	-	184,516,284

Net Debt	13,471,474	-104,405	221,797	6,306,008	-813,557	130,116,717	-	149,198,033

SUBSEQUENT EVENTS No significant events, requiring further disclosure, have occurred after 31 March 2016.
APPROVAL OF THE FINANCIAL STATEMENTS These consolidated financial statements were approved by the Board of Directors and authorized for issue on 5 May 2016.

The Board of Directors

PART III INDIVIDUAL FINANCIAL STATEMENTS

SONAE CAPITAL, SGPS, SA

INDIVIDUAL BALANCE SHEETS AS AT 31 MARCH 2016 AND 31 DECEMBER 2015

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

	ASSETS	Notes	31 March 2016	31 December 2015
NON CURRENT ASSETS: Tangible assets Investments Deferred tax assets Other non current assets	Total Non Current Assets	4 7 5	29,413 352,789,105 8,275,218 376,561,628 737,655,364	29,790 352,789,105 8,275,218 376,801,628 737,895,741
CURRENT ASSETS: Income tax Other current assets Cash and cash equivalents	Total Current Assets	6 6 8	2,085,190 47,688,301 556,329 50,329,820	1,525,643 49,145,079 30,562,977 81,233,698
TOTAL ASSETS			787,985,184	819,129,439
	EQUITY AND LIABILITIES
EQUITY: Share Capital Own shares Legal reserve Other reserves Retained earnings Profit / (Loss) for the period TOTAL EQUITY		9 9 1 0 1 0	250,000,000 (1,404,226) 9,463,225 309,895,278 12,198,782 3,340,134 583,493,193	250,000,000 (1,426,791) 9,463,225 309,676,446 - 12,198,782 579,911,662
LIABILITIES: NON CURRENT LIABILITIES: Bank loans Bonds Other non current liabilities	Total Non Current Liabilities	1 1	43,149,640 42,151,132 76,523 85,377,295	45,125,994 42,123,598 107,760 87,357,352
CURRENT LIABILITIES Suppliers Bank loans Other creditors Other current liabilities	Total Current Liabilities	1 1 1 3 1 1 1 2	27,211 45,290,000 72,367,131 1,430,354 119,114,696	101,559 25,990,000 124,763,497 1,005,369 151,860,425

TOTAL EQUITY AND LIABILITIES	The accompanying notes are an integral part of these financial statements	1 3	787,985,184	819,129,439

SONAE CAPITAL, SGPS, SA

INDIVIDUAL INCOME STATEMENTS BY NATURE

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

(Amounts expressed in euro)

	Notes	31 March 2016	31 March 2015
Operational income
Other operational income Total operational income		12,478 12,478	7,098 7,098

Operational expenses
External supplies and services	14	(251,915)	(258,060)
Staff costs	15	(363,871)	(452,577)
Depreciation and amortisation		(377)	(1,010)
Other operational expenses		(75,110)	(20,542)
Total operational expenses Operational profit/(loss)		(691,273) (678,795)	(732,188) (725,090)

Financial income	16	4,721,438	7,065,685
Financial expenses	16	(1,715,872)	(2,367,147)
Net financial income/(expenses)		3,005,566	4,698,538
Investment income Profit/(loss) before taxation	16	777,933 3,104,704	22,287,656 26,261,103

Taxation Profit/(loss) for the period	17	235,430 3,340,134	311,996 26,573,098

Profit/(loss) per share

SONAE CAPITAL, SGPS, SA

INDIVIDUAL STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

	31 March 2016	31 March 2015
Net profit for the period	3,340,134	26,573,098
Items that may subsequently be reclassified to net income:
Change in currency translation reserve	-	-
Share of other comprehensive income of associated undertakings and joint ventures accounted for by the equity method	-	-
Change in the fair value of assets available for sale	-	-
Change in the fair value of cash flow hedging derivatives	-	-
Income tax relating to components of other comprehensive income Other comprehensive income for the period	- -	- -
Total comprehensive income for the period	3,340,134	26,573,098

REPORT AND ACCOUNTS - MARCH 2016 Individual Financial Statements

SONAE CAPITAL SGPS, SA

INDIVIDUAL STATEMENTS OF CHANGES IN EQUITY

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

(Amounts expressed in euro)

	Share	Own	Legal	Other	Retained	Sub total	Net	Total Equity
Balance as at 1 January 2015	Capital 250,000,000	Shares (1,486,301)	Reserve 8,611,464	Reserves 293,493,001	Earnings -	302,104,465	profit / (loss) 17,035,205	567,653,369
Total comprehensive income for the period	-	-	-	-	-	-	26,573,098	26,573,098
Appropriation of profits: Transfer to legal reserve and retained earnings Dividends distributed Acquisition/(disposal) of own shares	- - -	- - -	851,760 - -	16,183,445 - -	- - -	17,035,205 - -	(17,035,205) - -	- - -
Balance as at 31 March 2015	250,000,000	(1,486,301)	9,463,225	309,676,446	-	319,139,670	26,573,098	594,226,468
Balance as at 1 January 2016	250,000,000	(1,426,791)	9,463,225	309,676,446	-	319,139,671	12,198,782	579,911,662
Total comprehensive income for the period	-	-	-	-	-	-	3,340,134	3,340,134
Appropriation of profits: Transfer to legal reserve and retained earnings Dividends distributed Acquisition/(disposal) of own shares	- - -	- - 22,565	- - -	- - 218,832	12,198,782 - -	12,198,782 - 218,832	(12,198,782) - -	- - 241,397
Balance as at 31 March 2016	250,000,000	(1,404,226)	9,463,225	309,895,278	12,198,782	331,557,285	3,340,134	583,493,193

SONAE CAPITAL, SGPS, SA

INDIVIDUAL CASH FLOW STATEMENTS

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

(Amounts expressed in euro)

OPERATING ACTIVITIES	Notes	31 March 2016	31 March 2015

Cash paid to trade debtors		9,632	-
Cash paid to trade creditors		217,271	178,099
Cash paid to employees		266,498	197,543
Cash flow generated by operations		(474,137)	(375,642)
Income taxes (paid)/received		232,030	1,019
Other cash receipts/(payments) relating to operating activities Net cash flow from operating activities [1]		(211,627) (917,794)	(228,023) (604,685)
INVESTMENT ACTIVITIES

Cash receipts arising from:
Investments	21	-	346,551,390
Interest and similar income		16,235,520	5,275,827
Dividends		-	-
Others Loans obtained		777,933 240,000	- 346,560,000
		17,253,453	698,387,217
Cash payments arising from:
Investments	21
Tangible assets		1,250	9,515
Loans granted		9,760,098	700,680,000
		9,761,348	700,689,515
Net cash flow from investment activities [2]		7,492,105	(2,302,298)
FINANCING ACTIVITIES

Cash receipts arising from:
Sale of own shares Loans obtained		- 29,300,000	- 10,966,430
		29,300,000	10,966,430
Cash Payments arising from:
Interest and similar costs		1,370,245	1,296,371
Acquisition of own shares		-	-
Loans obtained		64,510,715	11,026,300
		65,880,960	12,322,671
Net cash flow from financing activities [3]		(36,580,960)	(1,356,241)

Net increase/(decrease) in cash and cash equivalents [4] = [1]+[2]+[3] Cash and cash equivalents at the beginning of the period	8	(30,006,649) 30,562,977	(4,263,224) 5,112,291
Cash and cash equivalents at the end of the period	8	556,329	849,067

SONAE CAPITAL, SGPS, SA

NOTES TO THE INDIVIDUAL FINANCIAL STATEMENTS FOR THE THREE MONTHS ENDED 31 MARCH 2016 (Translation from the Portuguese Original) (Amounts expressed in Euro)

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 158/2009 of 13 July of 2009, the Company's financial statements have been prepared in accordance with International Financial Reporting Standards

2. MAIN ACCOUNTING POLICIES

The main accounting policies adopted in preparing the accompanying individual financial statements are consisting with those used in the financial statements presented for the year ended 31 December 2015.

2.1 Basis of preparation Interim financial statements are presented quarterly, in accordance with IAS 34 –

"Interim Financial Reporting". The accompanying financial statements have been prepared from the books and accounting records on a going concern basis and under the historical cost convention, except for financial instruments which are stated at fair value.

CHANGES IN ACCOUNTING POLICIES During the period there were no changes in accounting policies or prior period
FINANCIAL INVESTMENTS

	31 March 2016	31 December 2015
Investments in affiliated and associated undertakings	360,864,815	360,864,815
Investments in other companies
Sonae RE - (0,04%)	1,200	1,200
Fundo Invest. Imob. Imosonae Dois - (0,001%)	2,546	2,546
Matadouro Alto Alentejo, SA - (0,89%)	1	1
NET Novas Tecnologias, SA - (2,80%)	23,034	23,034
Saúde Atlântica - Gestão Hospitalar, SA (0,01%)	-	-
Fundo F HITEC - (6,46%)	250,950	250,950
	361,142,546	361,142,546
Impairment	(8,353,441)	(8,353,441)
	352,789,105	352,789,105

4.1 Investments in affiliated and associated undertakings As at 31 March 2016 and 31 December 2015, the detail of Investments in Affiliated and Associated Companies is as shown in the table below:

Sociedade	% Held	Book Value	Equity	Profit / (Loss) for the
				period
CAPWATT, S.G.P.S., S.A.	100.00%	2,725,000	2,727,911	22,523
Fundo Esp de Invest. Imob Fechado WTC	59.57%	42,057,274	71,930,258	2,803,517
Troiaresort, SGPS, S.A.	100.00%	167,132,793	81,544,939	(1,267,436)
Interlog - SGPS, S.A.	98.94%	21,658,210	21,822,827	69,173
Lidergraf - Artes Gráficas, SA.	24.50%	1,125,301	5,657,875	920,936
SC Assets S.G.P.S., SA	100.00%	25,577,659	17,298,473	(2,965,535)
Sonae Turismo, S.G.P.S., S.A.	100.00%	5,857,175	6,441,284	(8,964,192)
SC Finance B.V.	100.00%	263,698	(9,872,274)	(10,166,776)
SC-Eng. e Promoção imobiliária, S.G.P.S., S.A.	100.00%	34,575,100	28,471,076	1,353,511
Sistavac, SGPS, S.A.	70.00%	32,492,436	41,890,333	742,129
Solinca - Health & Fitness, S.A.	100.00%	13,553,639	327,590	(892,854)
Spred, S.G.P.S., S.A. Total	100.00%	13,846,529 360,864,815	6,887,774	(1,923,514)

Spred, S.G.P.S., S.A. Total	4,884,029 8,353,441
SC Assets S.G.P.S., SA	3,469,412

Perdas por imparidade

Sociedade	% Held	Book Value	Equity	Profit / (Loss) for the
				period
CAPWATT, S.G.P.S., S.A.	100.00%	2,725,000	2,727,911	22,523
Fundo Esp de Invest. Imob Fechado WTC	59.57%	42,057,274	71,930,258	2,803,517
Troiaresort, SGPS, S.A.	100.00%	167,132,793	81,544,939	(1,267,436)
Interlog - SGPS, S.A.	98.94%	21,658,210	21,822,827	69,173
Lidergraf - Artes Gráficas, SA.	24.50%	1,125,301	5,657,875	920,936
SC Assets S.G.P.S., SA	100.00%	25,577,659	17,298,473	(2,965,535)
Sonae Turismo, S.G.P.S., S.A.	100.00%	5,857,175	6,441,284	(8,964,192)
SC Finance B.V.	100.00%	263,698	(9,872,274)	(10,166,776)
SC-Eng. e Promoção imobiliária, S.G.P.S., S.A.	100.00%	34,575,100	28,471,076	1,353,511
Sistavac, SGPS, S.A.	70.00%	32,492,436	41,890,333	742,129
Solinca - Health & Fitness, S.A.	100.00%	13,553,639	327,590	(892,854)
Spred, S.G.P.S., S.A. Total	100.00%	13,846,529 360,864,815	6,887,774	(1,923,514)

Perdas por imparidade

SC Assets S.G.P.S., SA	3,469,412
Spred, S.G.P.S., S.A.	4,884,029
Total	8,353,441

Investments carried at cost correspond to those in unlisted companies and for which

a fair value cannot be reliably estimated. In 2015, impairment tests on financial investments were performed, based on external valuations of the real estate of group companies or DCF methodology, to

assess the fair value of such investments. These assessments use discount rates that correspond to the weighted average rates of the cost of capital (WACC), calculated on the basis of the business type in which they operate and s target capital structures, and are in the range [6.98% - 11.86%]. 5 years projections were considered and growth rates in perpetuity were

considered void. As at 31 March 2016 and 31 December 2015, the detail of Impairments on Investments in Affiliated and Associated Companies is as shown in the table below:

	31 March 2016	31 December 2015
SC Hospitality, SGPS, S.A	(4,884,029)	(4,884,029)	-
Spred, SGPS, SA	(3,469,412)	(3,469,412)	-
	(8,353,441)	(8,353,441)	-

OTHER NON-CURRENT ASSETS As at 31 March 2016 and 31 December 2015, other non-current assets are detailed as

	31 March 2016	31 December 2015
Loans granted to group companies:
SC Assets, SGPS, SA	181,059,991	181,059,991
Troiaresort, S.G.P.S., SA	186,861,637	186,861,637
SC Finance BV	5,885,000	5,885,000
Solinca - Health & Fitness, SA	2,755,000	2,995,000
	376,561,628	376,801,628

These assets were not due or impaired as at 31 December 2015. The fair value of loans granted to Group companies is basically the same as their book value.

Loans to group companies interest at market rates and are repayable within a period exceeding one year. The interest rate as at 31 March 2016 stood, in average, at approximately 4.609%.

OTHER CURRENT ASSETS and INCOME TAX As at 31 March 2016 and 31 December 2015, other current assets and Income tax are made up as follows:

	31 March 2016	31 December 2015
Trade debtors	-	9,512
Other Debtors - Group	1,097,451	1,097,451
Loans granted	41,043,098	31,283,000
Other Debtors	155,894	28,188
Accrued income	4,714,823	16,240,101
Deferred costs	677,035	486,827
	47,688,301	49,145,079

Income tax withheld	2,085,190	1,525,643
	49,773,492	50,670,722

The balance registered at Shareholding, other Operations is related to the values

transferred from subsidiaries under the IRC regime (RETGS). As at 31 March 2016 and 31 December 2015, the item Loans Granted is related to financial operations with the following subsidiaries:

	31 March 2016	31 December 2015
SC Assets, SGPS, SA	1,626,500	10,000
SC Sociedade de Consultadoria, SA	-	5,000
Sonae Turismo, SGPS, SA	5,715,000	5,341,000
CAPWATT, SGPS, S.A.	13,511,500	16,711,000
Inparvi SGPS, SA	108,948	108,000
SC Finance BV	-	5,748,000
SC, SGPS, S.A.	13,388,850	-
Solinca - Health & Fitness, SA	764,800	1,147,000
Troiaresort, S.G.P.S., SA	5,927,500 41,043,098	2,213,000 31,283,000

Loans to group companies interest at market rates and are repayable within a period inferior to one year. The interest rate as at 31 March 2016 stood, in average, at approximately 3.174%.

As at 31 March 2016 and 31 December 2015, the item Income tax is made up as follows:

	31 March 2016	31 December 2015
Income tax withheld	807,971	576,441
Income tax (advanced payment)	1,663,268	1,570,680
Income tax	(386,049)	(621,478)
	2,085,190	1,525,643

The amount registered in Accrued Income includes 4,708,218 euro relative to

interest o loan granted to subsidiaries. Deferred Costs includes 636,199 euros relative to bank commissions that are deferred for the loan period.

DEFERRED TAXES Deferred tax assets and liabilities as at 31 March 2016 and 31 December 2015, can be detailed as follows, split between the different types of temporary differences:

	Deferred tax assets
				Deferred tax liabilities
Tax losses carried forward	31 March 2016 8,275,218	31 December 2015 8,275,218	31 March 2016	31 December 2015 - -

During the periods ended 31 March 2016 and 31 December 2015, movements in deferred tax are as follows:

	Activos por impostos diferidos
				Passivo por impostos diferidos
	31 March 2016	31 December 2015	31 March 2016	31 December 2015
Opening balance	8,275,218	8,275,218		- -
Effect in results	-	-		- -
Tax losses carried forward
Others	- 8,275,218	- 8,275,218		- - - -
Effect in reserves:	-	-		- -
Closing balance	8,275,218	8,275,218		- -

In accordance with the tax statements presented by companies that recorded deferred tax assets arising from tax losses carried forward, as at 31 March 2016 and

	31 March 2016		31 December 2015
	Prejuízo fiscal	Deferred tax assets	To be used until	Prejuízo fiscal	Deferred tax assets	To be used until

	61,175	12,847	2018	61,175	12,847	2018
Generated in 2013
Generated in 2014	11,725,573	2,462,370	2026	11,725,573	2,462,370	2026
Generated in 2015	27,619,048	5,800,000	2028	27,619,048	5,800,000	2028
	39,405,796	8,275,217		39,405,796	8,275,217

The constitution of deferred tax assets was based on the analysis of the relevance of its recognition, notably as regards the possibility of their recovered, given the prospects for medium and long term of the company.

The deferred tax assets recognized resulting from fiscal losses are recorded to the extent that it is probable that taxable profit will occur in the future.

The valuation of deferred tax assets is based on the business plans of the Group companies, periodically reviewed and updated.

Since fiscal year 2014, most of the Group's subsidiaries, based in Portugal, are part of the perimeter of the taxed Corporate Group in accordance with the Special Taxation

Regime for Company Groups (RETGS), whose parent company is the Sonae Capital,

The analysis carried out on 31 March 2016, resulted that there is reasonable expectation of recovery of deferred tax assets recorded before their date of expiry.

CASH AND CASH EQUIVALENTS As at 31 March 2016 and 31 December 2015, cash and cash equivalents can be

	31 March 2016	31 December 2015
Cash	-	-
Bank deposits	556,329	30,562,977
Cash and cash equivalents in the balance sheet	556,329	30,562,977

Bank overdrafts Cash and cash equivalents in the cash flow statement	- 556,329	- 30,562,977

EQUITY The share capital of Sonae Capital SGPS, SA both in December 2015 and 2014 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.

As at 31 March 2016, Sonae Capital SGPS, SA holds 5,516,226 own shares representing 2.206% of the share capital (5,914,571 shares at 31 December 2014), recorded by 1,404,226 euros (1,426,791 euros at 31 December 2014) (Note 10).

RESERVES As at 31 March 2016 and 31 December 2015 the caption Other Reserves can be detailed as follows:

	31 March 2016	31 December 2015
Free reserves	175,852,799	175,611,402
Demerger reserve	132,638,253	132,638,253
Own shares reserve	1,404,226	1,426,791
	309,895,278	309,676,446

Free Reserves: These reserves result from the transfer of the positive results obtained in retained exercises and can be distributed to shareholders provided they are not required to cover losses.

The overall value of the demerger reserve (Note 1), representing the difference between the book value of the stake in SC, SGPS, SA (382,638,252 euros) which was highlighted Sonae, SGPS, SA for the Company and the amount of capital social Society (250,000,000 euros) which is comparable to the legal Reserve, according to the Companies Code, may not be distributed to the shareholders except in the event of liquidation of the Company, but may be used to absorb accumulated losses, after other reserves are exhausted, or can be incorporated into capital.

Legal Reserve: Under the law, at least 5% of annual net profit is positive, should be allocated to the legal reserve until it represents 20% of the share capital. This reserve is not distributable except in the event of liquidation of the company, but can be

used to absorb losses after the other reserves, or increase capital. On 31 December

Reserve own shares: This reserve, established in accordance with article 342 of the CSC, is the same amount of the own shares value held by the company. This reserve is unavailable while the own shares are in possession of the company.

LOANS As at 31 March 2016 and 31 December 2015 this caption included the following loans:

	31 March 2016		31 December 2015

	Current	Non Current	Current	Non Current
Bank loans
Sonae Capital SGPS - commercial paper a)	21,750,000	-	-	-
Sonae Capital SGPS - commercial paper d)	8,250,000	-	8,250,000	-
Sonae Capital SGPS - commercial paper b)	7,550,000	-	-	-
Sonae Capital SGPS - commercial paper c)	-	30,000,000	-	30,000,000
Sonae Capital SGPS e)	3,290,000	8,225,000	3,290,000	9,047,500
Sonae Capital SGPS - commercial paper g)	3,250,000	1,500,000	3,250,000	1,500,000
Sonae Capital SGPS - commercial paper i)	1,200,000	3,600,000	1,200,000	4,800,000
Up-front fees not yet charged to income statement	-	(175,360)	-	(221,506)
	45,290,000	43,149,640	15,990,000	45,125,994
Bank overdrafts (Nota 8)	- 45,290,000	- 43,149,640	- 15,990,000	- 45,125,994

Bond Loans
Obrigações Sonae Capital 2011/2016 f)	-	-	10,000,000	-
Obrigações Sonae Capital 2014/2019 h)	-	42,500,000	-	42,500,000
Up-front fees not yet charged to income statement	- -	(348,868) 42,151,132	- 10,000,000	(376,402) 42,123,598
	45,290,000	85,300,772	25,990,000	87,249,592

a) Short term commercial paper programme, issued on 28 March 2008 and valid for a 10 year period, which may be extended at the option of Sonae Capital. Placed in investors or financial institutions and guaranteed by credit lines, with commitment of at least six months to a year, placed in relationship banks.
b) Commercial paper programme, with subscription guarantee, issued on 31 March 2011 and valid up to August 2018, except if the reimbursement is anticipated under the contracted terms of
the call/put option, in August 2016. This loan is guaranteed by a mortgage on real estate assets c) Commercial paper programme, with subscription guarantee, issued on 27 December 2012 and valid up to December 2017.
d) Commercial paper programme, with subscription guarantee, issued on 31 December 2014, with annual renewals up to 3 years.
e) Bank loan guarantee by a mortgage on real estate, started on 2 June 2011 and valid up to September 2019, with quarterly payments.
f) Bond loan Sonae Capital, SGPS 2011/2016, repayable after 5 years, in one instalment, on 17 January 2016. This bond issue pays interest every six months.
g) Commercial paper programme, with subscription guarantee, issued on 7 May 2014 and valid for a 3 year period, with semi-annual payments.
h) Bond loan Sonae Capital, SGPS 2014/2019, repayable after 5 years, in one instalment, on 28 May 2019. This bond issue pays interest every six months.
i) Commercial paper programme, with subscription guarantee, issued on 18 March 2015 and valid up to March 2020, with annual payments.

The interest rate on bank loans and bonds in force on 31 December 2015 was on average 3.162%

Bank loans pay interest rates that are indexed to the Euribor market rates of the

period, and its fair value is considered close to its book value. In case of any Bank institution or commercial paper investor do not renew, at the maturity date, its respective loans, the Group has credit lines available to overcome

OTHER CREDITORS As at 31 March 2016 and 31 December 2015 other creditors can be detailed as

	31 March 2016	31 December 2015
Other creditors
Group companies - Short term loans	70,425,550	122,913,765
Other creditors	1,941,581	1,849,732
	72,367,131	124,763,497

As at 31 March 2016 and 31 December 2015 the caption loans granted is relative to financial operations granted to the following subsidiaries:

	31 March 2016	31 December 2015
Group companies - Short term loans:
Interlog-SGPS,SA	21,836,500	21,836,500
SC Finance BV	-	5,885,051
SC, SGPS, SA	-	48,703,000
SC-Eng. e Promoção Imobiliária,SGPS,S.A.	21,259,500	21,292,214
SC For - Serv. de For. e Desenv. de Recur. Hum., Unipe., Lda 7,500		14,000
Sistavac, SGPS, S.A.	23,124,250	21,002,000
Spred, SGPS, SA	4,198,800 70,426,550	4,181,000 122,913,765

Loans obtained from group companies bear interest at market rates and are repayable within one year. The interest rate as at 31 December 2015 was, in average,

approximately 0.234%. The item Other Creditors - other, there are included 1,931,754 euros regarding transfers from subsidiaries of tax estimates under the special regime RETGS.

SUPLIERS, TAXES and OTHER CURRENT LIABILITIES As at 31 March 2016 and 31 December 2015 these items were as follows:

	31 March 2016	31 December 2015
Other current liabilities
Trade creditors Taxes payable - income tax	27,211 -	101,559 -

Taxes payable - other taxes	81,365	58,272
Other current liabilities
Accruals:
Staff costs	412,493	378,224
Interest payable	739,832	449,038
Other accruals	194,211	115,543
Deferred income	2,452	4,292
	1,430,354	1,005,369

As at 31 March 2016 and 31 December 2015 the Other taxes can be detailed as

	31 March 2016	31 December 2015
Income taxation	-	-
Income taxation - amounts withheld	18,307	39,568
VAT	69	462
Social security contributions	16,778	18,242
Stamp tax	46211	-
	81,365	58,272

EXTERNAL SUPPLIES AND SERVICES As at 31 March 2016 and 2015 External Supplies and services can be detailed as

	31 March 2016	31 March 2015
Operational rents	(2,415)	(10,711)
Insurance costs	(11,293)	(13,147)
Travelling expenses	(17,308)	(5,342)
Services obtained	(218,176)	(208,450)
Other services	(2,723)	(18,409)
	(251,915)	(256,060)

STAFF COSTS As at 31 March 2016 and 2015, staff costs were made up as follows:

	31 March 2016	31 March 2015
Governing bodies' remunerations	(336,059)	(409,785)
Social security contributions	(31,303)	(19,463)
Other staff costs	3,491	(23,329)
	(363,871)	(452,577)

NET FINANCIAL EXPENSES AND INVESTMENT INCOME As at 31 March 2016 and 2015, Net Financial Expenses and Investment Income can be

	31 March 2016	31 March 2015
Interest payable and similar expenses
Interest arising from:
Bank loans	(584,381)	(1,174,217)
Bonds	(446,424)	(558,463)
Other	(60,448)	(6,413)
Other financial expenses	(624,620)	(628,055)
	(1,715,872)	(2,367,148)
Interest receivable and similar income
Interest income	4,721,438	7,065,685
Net financial expenses	4,721,438 3,005,566	7,065,685 4,698,538

	-	159,628
Reversal of Impairment losses (Note 4.1)
Dividends received	-	22,128,028
Other income	777,933	-

Investment income 777,933 22,287,656

As at 31 Mar 2016, the amount mentioned in "Interest arising from Other" refers in its

entirety the interest incurred with current loans obtained from group companies. As at 31 December 2015, the amount of dividends received from affiliated company Spred SGPS, SA

As at 31 March 2016 the amount recorded under Other income regards to income

TAXATION As at 31 March 2016 and 2015, Taxation was made up as follows:

Current tax	235,430	311,996

EARNINGS PER SHARE Earnings per share for the periods ended at 31 March 2016 and 2015 were calculated

	31 March 2016	31 March 2015
Current tax	235,430	311,996
Sonae capital is taxable according to the RETGS.

18. EARNINGS PER SHARE Earnings per share for the periods ended at 31 March 2016 and 2015 were calculated
taking into consideration the following amounts:	31 March 2016	31 March 2015
Net profit Net profit taken into consideration to calculate basic earnings per share (Net profit for the period )	3,340,134 -	26,573,098 -
Effect of dilutive potential shares Net profit taken into consideration to calculate diluted earnings per share	3,340,134	26,573,098
Number of shares Weighted average number of shares used to calculate basic earnings per share	246,740,156	246,211,552
Weighted average number of shares used to calculate diluted earnings per share	246,740,156	246,211,552
Earnings per share (basic and diluted)	0.013537	0.107928


19. COMPLIANCE WITH LEGAL REQUIREMENTS Art 5 nr 4 of Decree-Law nr 495/88 of 30 December changed by art 1 of Decree Law nr 318/94 of 24 December.
In the period ended 31 March 2016 there was no shareholders' loan contracts entered.
In the period ended 31 March 2016 short-term loan contracts were entered with the companies Solinca-Health and Fitness,SA. and SC, SGPS, S.A

COMPLIANCE WITH LEGAL REQUIREMENTS Art 5 nr 4 of Decree-Law nr 495/88 of 30 December changed by art 1 of Decree-Law nr 318/94 of 24 December.

In the period ended 31 March 2016 there was no shareholders' loan contracts

In the period ended 31 March 2016 short-term loan contracts were entered with the

As at 31 March 2016 amounts due by affiliated companies can be summarized as follows:

Loans and Short term loans granted

Companies	Closing Balance
SC Assets, SGPS, SA	182,686,491
Sonae Turismo, SGPS, SA	5,715,000
CAPWATT, SGPS, S.A.	13,511,500
Inparvi SGPS, SA	108,948
SC Finance BV	5,885,000
SC, SGPS, S.A.	13,388,850
Solinca - Health & Fitness, SA	3,519,800
Troiaresort, S.G.P.S., SA	192,789,137 417,604,726

As at 31 March 2016 amounts due to affiliated companies can be summarized as follows:

Short term loans obtained

Companies	Closing Balance
Imobeauty, SA	12,513,000
Interlog-SGPS,SA	21,774,000
Porturbe-Edifícios e Urbanizações,SA	13,000
SC Finance BV	263,000
Sonae Turismo, S.G.P.S., SA	16,030,513
SC, SGPS, SA	232,684,567
Sistavac, SGPS, SA	14,301,000
Solinca-Investimentos Turísticos,SA	3,610,000
Soltroia-Imob.de Urb.Turismo de Tróia,SA	9,000
SC Hospitality, SGPS, SA	135,685,517
Spred, SGPS, SA	35,473,400 472,356,998

SUBSEQUENT EVENTS No significant events, requiring further disclosure, have occurred after 31 March 2016.
APPROVAL OF THE FINANCIAL STATEMENTS These financial statements were approved by the Board of Directors and authorized for issue on 4 May 2016.

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1901_10-q_2016-05-30_201f82b7-04d9-4a5d-a8f5-7f87327c4851.pdf

REPORT AND ACCOUNTS

PART I REPORT OF THE BOARD OF DIRECTORS

3. SEGMENTS PERFORMANCE 3.1. RESORTS

3.6. OTHER ASSETS

PART II CONSOLIDATED FINANCIAL STATEMENTS

SONAE CAPITAL, SGPS, SA

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR

4. GROUP COMPANIES INCLUDED IN THE CONSOLIDATED

5. INVESTMENTS IN ASSOCIATED AND JOINTLY CONTROLLED

18. DERIVATIVES

PART III INDIVIDUAL FINANCIAL STATEMENTS

SONAE CAPITAL, SGPS, SA

INDIVIDUAL BALANCE SHEETS AS AT 31 MARCH 2016 AND 31 DECEMBER 2015

SONAE CAPITAL, SGPS, SA

INDIVIDUAL INCOME STATEMENTS BY NATURE

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

(Amounts expressed in euro)

SONAE CAPITAL, SGPS, SA

INDIVIDUAL STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

SONAE CAPITAL SGPS, SA

INDIVIDUAL STATEMENTS OF CHANGES IN EQUITY

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

(Amounts expressed in euro)

SONAE CAPITAL, SGPS, SA

INDIVIDUAL CASH FLOW STATEMENTS

FOR THE THREE MONTHS ENDED 31 MARCH 2016 AND 2015

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

(Amounts expressed in euro)

SONAE CAPITAL, SGPS, SA

NOTES TO THE INDIVIDUAL FINANCIAL STATEMENTS FOR THE THREE MONTHS ENDED 31 MARCH 2016 (Translation from the Portuguese Original) (Amounts expressed in Euro)

2. MAIN ACCOUNTING POLICIES

Perdas por imparidade

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