IMPSA S.A. — Interim / Quarterly Report 2002

May 15, 2003

Impsa Construction and Services B.V.

Amsterdam

Quarterly report as at September 30, 2002

Impsa Construction and Services B.V.

Table of contents: page

Quarterly report as at September 30, 2002

Report of the management 3

Accounts

Balance sheet as at September 30, 2002 4

Profit and loss account as at September 30, 2002 5

Notes to the accounts as at September 30, 2002 6

Other information

Review report

Impsa Construction and Services B.V.

Report of the management

The management herewith presents to the shareholder the accounts of Impsa Construction and Services B.V. (hereinafter: “the Company”) as at September 30, 2002.

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 9 months period the Company did not star up new activities.

Results

The net asset value of the Company as at September 30, 2002 amounts to EUR 326.052 (2001: EUR 111.929).

The result for the period January 1, 2002, up to September 30, 2002 amounts to a profit of EUR 94.924 (2001: 158.856 EUR profit)

Future outlook

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

Amsterdam, October 2002

Directors

E.M. Pescarmona G.F. Rossi

J.C. Fernández MeesPierson Trust B.V.

F.V. Valenti

Impsa Construction and Services B.V.

Balance sheet as at September 30, 2002

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

Notes 30-09-2002 31-12-2001

Fixed assets

Financial fixed assets

Interests in group entities 1 307.523 307.523

Total fixed assets 307.523 307.523

Current assets

Cash and banks 2 (4.342) 678

Total current assets (4.342) 678

Current liabilities (due within one year)

Amounts due to group entities 3 (42.191) 184.199

Accruals and deferred income 4 19.320 12.073

Total current liabilities (22.871) 196.272

Current assets less current liabilities 18.529 (195.594)

Net asset value 326.052 111.929

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

Capital and reserves 5

Paid-up and called up share capital 18.250 18.250

Share premium account 307.523 188.324

Other reserves (94.645) (253.501)

Unappropriated results 94.924 158.856

Total shareholders` equity 326.052 111.929

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

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

Impsa Construction and Services B.V.

Profit and loss account as at September 30, 2002

Notes 30-09-2002 31-12-2001

(Expressed in euro´s)

Holding activities

Dividend from group entity 6 141.366 -

Result group entities 7 - 188.324

Result holding activities 141.366 188.324

Other financial income and expenses

Other interest income 8 10 14

Other income charges 9 (29) (148)

Currency exchange rate differences 10 (11.209) -

Total other financial income and expenses (11.228) (134)

Other income and expenses

General and administrative expenses 11 (35.214) (29.334)

Total other income and expenses (35.214) (29.334)

Result before taxation 94.924 158.856

Corporate income tax - -

Result after taxation 94.924 158.856

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

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

Impsa Construction and Services B.V.

Notes to the annual accounts for the period ended September 30, 2002

General

The Company was incorporated as a limited liability company under the laws of The Netherlands on August 5, 1999 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.

The exchange rate used in the annual account is:

USD US dollar 30.09.2002 31.12.2001

1,01630 1,13314

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 Rotterdam.

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 2000.

Impsa Construction and Services B.V.

30-09-2002 31-12-2001

EUR EUR

Balance sheet

1 Interests in group entities

Name Domicile Owned

(Prior year)

Impsa Construction Corporation Philippines 99,99% 188.324 188.324

Kalayaan Power Management Co. Philippines 49,997% 119.199 119.199

307.523 307.523

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

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 307.523

Acquisitions -

Disposals -

Write down of book value -

Balance as per 30 September 307.523

==========

The net asset value per group entity is:

Name

Impsa Construction Corporation Philippines 99,99% 580.795 333.334

Kalayaan Power Management Co. Philippines 49,997% 223.348 270.747

804.143 604.081

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

2 Cash at banks

Current account (4.342) 678

(4.342) 678

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

3 Amounts due to group entities

Intercompany account shareholder (42.191) 184.199

(42.191) 184.199

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

4 Accruals and deferred income

Accruals 19.320 12.073

19.320 12.073

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

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 01.01.2001	18.250		188.324		(253.501)		-
Paid-in / (repaid)
Transfer			119.199
Dividend
Result for the period							158.856
Balance as per 01.01.2002	18.250		307.523		(253.501)		158.856
Paid-in / (repaid)
Transfer					158.856		(158.856)
Dividend
Result for the period							94.924
Balance as per 30.09.2002	18.250		307.523		(94.645)		94.924

Impsa Construction and Services B.V.

30-09-2002 31-12-2001

EUR EUR

Profit and loss account

6 Dividend from group entity

Kalayaan Power Management Corp. 141.366 -

141.366 -

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

7 Result group entities

Release provision for Impsa Construction Corp. - 188.324

• 188.324

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

8 Other interest income

Bank interest on current accounts 10 14

10 14

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

9 Other interest charges

Interest on bank overdrafts 29 148

29 148

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

10 Currency exchange rate differences

On other items (11.209) -

(11.209) -

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

11 General and administrative expenses

Management and administration fees 16.852 16.941

Legal advice 1.962 2.857

Tax advice 9.626 1.135

Auditors 6.146 7.290

Bank charges 481 285

Capital tax - 655

General expenses 147 171

35.214 29.334

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

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.

Amsterdam, October 2002

Directors

E.M. Pescarmona G.F. Rossi

J.C. Fernández MeesPierson Trust B.V.

F.R. Valenti

Impsa Construction and Services B.V.

Other information

Deloitte

& Touche

To the directors of

Impsa Construction and Services B.V.

Date Reference

October 22, 2002 E.R. Termaten

Review report

Introduction

In accordance with your instructions, we have reviewed the financial statements of Impsa Construction and Services B.V. at Amsterdam for the nine months period ended September 30, 2002. 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 standards for review engagements in the Netherlands. These standards require that we plan and perform review to obtain moderate assurance 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.