IMPSA S.A. — Interim / Quarterly Report 2003

Dec 12, 2003

IMPSA CBK Projects B.V.

Amsterdam

Quarterly report as at March 31, 2003

IMPSA CBK Projects B.V.

Table of contents page

Quarterly report as at March 31, 2003

Report of the management 3

Accounts

Balance sheet as at March 31, 2003 4

Profit and loss account as at March 31, 2003 5

Notes to the accounts as at March 31, 2003 6 - 8

Other information

Appropriation of results 9

Review report 10

IMPSA CBK Projects B.V.

Report of the management

The management herewith presents to the shareholder the accounts of IMPSA CBK Projects B.V. (hereinafter: “the Company”) as at March 31, 2003.

General

The Company is a limited liability company incorporated under the laws of The Netherlands and acts as a holding company.

Overview of activities

During the 3 months period the Company did not star up new activities.

Results

The net asset value of the Company as at March 31, 2003 amounts to EUR 167.545 (December 31, 2002: EUR 190.797).

The result for the period January 1, 2003 up to March 31, 2003 amounts to a profit of EUR 48.233 (Full year 2002: EUR 71.485 loss)

Future outlook

The management is of the opinion that the present level of activities will be maintained during the next financial year.

Rotterdam, 27 August 2003

Directors

E.M. Pescarmona G.F. Rossi

J.C. Fernández MeesPierson Intertrust B.V.

F.R. Valenti

IMPSA CBK Projects B.V.

Balance sheet as at March 31, 2003

(Before the proposed appropriation of the result and expressed in euro´s)

Notes 31-03-2003 31-12-2002

Fixed assets

Financial fixed assets

Interests in group entities 1 203.246 140.544

Total fixed assets 203.246 140.544

Current assets

Cash at banks 2 6.803 76

Total current assets 6.803 76

Current liabilities (due within one year)

Amounts due to group entities 3 28.607 8.607

Accruals and deferred income 4 13.897 12.701

Total current liabilities 42.504 21.308

Current assets less current liabilities (35.701) (21.232)

Net asset value 167.545 119.312

========== ==========

Capital and reserves 5

Paid-up and called up share capital 18.250 18.250

Share premium account 260.000 260.000

Other reserves (158.938) (87.453)

Unappropriated results 48.233 (71.485)

Total shareholders` equity 167.545 119.312

========== ==========

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

IMPSA CBK Projects B.V.

Profit and loss account as at March 31, 2003

Notes 31-03-2003 31-12-2002

(Expressed in euro´s)

Holding activities

Result interests in group entities 6 62.702 (30.756)

62.702 (30.756)

Other financial income and expenses

Other interests income 7 - 84

Total other financial income and expenses - 84

Other income and expenses

General and administrative expenses 8 (14.469) (40.813)

Total other income and expenses (14.469) (40.813)

Result before taxation 48.233 (71.485)

Corporate income tax - -

Result after taxation 48.233 (71.485)

========== ==========

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

IMPSA CBK Projects B.V.

Notes to the accounts for the period ended March 31, 2003

General

The Company was incorporated as a limited liability company under the laws of The Netherlands on 14 September 2000 and has its statutory seat in Amsterdam. The ultimate holding company is Industrias Metalurgicas Pescarmona Sociedad Anonima, Argentina.

The principal activity of the Company is to act as a holding company.

Basis of presentation

The accompanying accounts have been prepared in accordance with accounting principles generally accepted in The Netherlands, the most significant of which are as follows:

1. Financial fixed assets

Interests in group entities are valued at historical cost. Permanent impairment of cost price with net asset value will lead to a diminution in value to this lower market value.

1. Foreign currencies

Other assets and liabilities in foreign currencies are translated into euro´s at their exchange rates prevailing on the balance sheet date. Transactions in foreign currencies are translated into euro´s at the exchange rates in effect at the time of the transactions. The resulting currency exchange rate differences are taken to the profit and loss account.

1. Assets and liabilities

All other assets and liabilities are shown at face value, unless stated otherwise in the notes.

1. Consolidation

In conformity with article 408, Book 2 of the Dutch Civil Code, the Company does not prepare consolidated annual accounts. The annual accounts of the Company and its subsidiaries are included in the consolidated accounts of the ultimate holding company, which are filed with the Chamber of Commerce in Amsterdam.

1. Recognition of income

Dividends from group entities are recorded as income when received. Other income and expenses, including taxation, are recognised and reported on accrual basis.

1. Corporate income tax

Provisions for taxation have been made in accordance with the standard ruling practice for holding companies in The Netherlands. Final corporate income tax assessments have been received for the financial years through 2001.

IMPSA CBK Projects B.V.

31-03-2003 31-12-2002

EUR EUR

Balance sheet

1 Interests in group entities

Name Domicile Owned

CBK Power Corporation Philippines 99,99% 203.246 140.544

203.246 140.544

=========== ===========

The Company has made use of article 389.9, Book 2 of the Dutch Civil Code, which enables departure from valuing subsidiaries at equity value if the Company forms part of an international group which values its subsidiaries at cost.

Movements in the interests in group entities have been as follows:

Balance as per 1 January 140.544

Acquisitions -

Disposals -

Reversal previous depreciation CBK Power Corporation 62.702

Balance as per 31 March 203.246

==========

The net asset value per group entity is:

Name Domicile Owned

CBK Power Corporation Philippines 99,99% 562.456 140.554

562.456 140.554

=========== ===========

2 Cash at banks

Current account 6.803 76

6.803 76

=========== ===========

3 Amounts due to group entities

Intercompany account shareholder 28.607 8.607

28.607 8.607

=========== ===========

4 Accruals and deferred income

Accruals 13.897 12.701

13.897 12.701

=========== ===========

5 Capital and reserves

The authorised share capital of the Company amounts to EUR 90.760 divided into

9.076 shares of EUR 10 each. Issued and paid up are 1.825 shares of EUR 10.

	Share capital		Share premium		Other reserves		Unappr.results
Balance as per 01.01.2002	18.250		260.000		(57.717)		-
Paid-in / (repaid)
Transfer
Dividend					(29.736)		29.736
Result for the period							(71.485)
Balance as per 01.01.2003	18.250		260.000		(87.453)		(71.485)
Paid-in / (repaid)
Transfer					(71.485)		71.485
Dividend
Result for the period							48.233
Balance as per 31.03.2003	18.250		260.000		(158.938)		48.233

IMPSA CBK Projects B.V.

2002 2001

EUR EUR

Profit and loss account

6 Result interests in group entities

CBK Power Corporation 62.702 (30.756)

62.702 (30.756)

=========== ==========

7 Other interest income

Bank interest on current accounts - 84

• 84

=========== ==========

6 General and administrative expenses

Management and administration fees 5.587 17.237

Tax advisory fees 6.318 12.790

Auditors fees 1.666 8.834

Legal fees 572 1.350

Bank charges 170 455

General expenses 156 147

Capital tax - -

14.469 40.813

=========== ==========

Staff numbers and employment costs

The Company has no employees and hence incurred no wages, salaries or related social security charges during the reporting period, nor during the previous year.

Directors

The Company has five (previous year: five) managing directors.

The Company has no (previous year: none) supervisory directors.

Rottterdam, 27 August 2003

Directors

E.M. Pescarmona G.F. Rossi

J.C. Fernández MeesPierson Intertrust B.V.

F.R. Valenti

IMPSA CBK Projects B.V.

Other information

Appropriation of results

Subject to the provisions under Dutch law that no dividends can be declared until all losses have been recovered, other reserves and unappropriated results are at the disposal of the shareholder in accordance with the Company´s articles of association.

Furthermore, Dutch law prescribes that any profit distribution may only be made to the extent that the shareholder´s equity exceeds the amount of the issued capital and other reserves.

Deloitte

& Touche

To the Directors of

Impsa CBK Projects B.V.

Date From Reference

August 27, 2003 J. Penon

Review report

Introduction

In accordance with your instructions, we have reviewed the financial statements of Impsa CBK Projects B.V. at Amsterdam for the three months period, ended March 31, 2003. These financial statements are the responsibility of the company´s management. Our responsibility is to issue a report on these statements based on our review.

Scope

We conducted our review in accordance with generally accepted for review engagements in the Netherlands. These standards require that we plan and perform review to obtain moderate assurance about as to whether the financial statements are free of material misstatement. A review is limited primarily to inquiries of representatives of the company and analytical procedures applied to financial data and therefore provides less assurance than an audit. We have not performed an audit and, accordingly, we do not express an audit opinion.

Opinion

Based on our review, nothing has come to our attention that causes us to believe that the financial statements do not give a true and fair view in accordance with accounting principles generally accepted in the Netherlands.