AES Gener 2013 Year-End Results

Contacts: Paola Lara (562) 2686 8713 paola.lara@aes.com Constanza López (562) 2686 8968 constanza.lopez@aes.com AES Gener 2013 Year-End Results AES Gener recorded EBITDA of ThUS$623.028 and net income of ThUS$201,321 in the year ended December 31, 2013. Net income was similar between 2012 and 2013, decreasing by 1%. The principal variations include a decrease in gross margin and a negative effect in foreign currency differences in 2013, which were offset by a decrease in income tax expense related to lower deferred taxes and a higher contribution from affiliate Empresa Eléctrica Guacolda S.A. (Guacolda) in equity in earnings from associates. EBITDA decreased by 6% and gross margin decreased by 14% when compared to 2012, principally as a result of the negative impact from the drier hydrology in Colombia and the combination of lower spot sales and higher withdrawal costs in the Greater Northern Interconnected System (SING) in Chile, partially offset by the positive contribution from the start-up of Ventanas IV in the Central Interconnected System (SIC) in Chile. EBITDA decreased by 18% between the fourth quarter of 2012 and 2013, principally due to lower contribution from the SING due to lower spot sales and higher withdrawal costs, in addition to the planned maintenance of one Norgener unit in the fourth quarter of 2013. CONSOLIDATED FINANCIAL SUMMARY FINANCIAL SUMMARY THUS$ 2013 2012 Revenue 2,244,790 2,327,721 Gross Profit 510,079 589,893 EBITDA 1 623,028 660,701 Net Income 201,321 202,933 Net Operating Cash 140,362 253,325 Earnings per Share 2 0.025 0.025 1 EBITDA is calculated as the sum of gross profit plus depreciation plus other minor adjustments. 2 Earnings per share shown in US$/share. 1

2013 HIGHLIGHTS In March 2013, construction and commissioning of the 270 MW Ventanas IV coal plant owned by subsidiary Empresa Eléctrica Campiche (Eléctrica Campiche) in the SIC was successfully concluded. The Company s total efficient generation increased by approximately 1,900 GWh/year as a result of the initiation of commercial operations of this plant. In late March 2013, the Company closed the financing process for the Cochrane coal-fired project in the SING, with the execution of a project finance credit facility for up to US$1.0 billion. Construction of the project was initiated in March. The Cochrane thermoelectric plant, a 532 MW coal facility in the SING, is owned by subsidiary Empresa Eléctrica Cochrane S.A. (Eléctrica Cochrane), whose shareholders are AES Gener (60%) and Mitsubishi Corporation (Mitsubishi) (40%). At the close of December 2013, the project had advanced with construction progress of 27%. The start-up of commercial operations of Cochrane is expected in mid-2016. In August, local rating agency Feller Rate upgraded AES Gener s local credit rating from A positive to A+ stable. On October 3, 2013, AES Gener s shareholders approved a capital increase of up to US$450 million, to raise funds necessary for the equity contributions for expansion investments which include the Alto Maipo run-of-river hydroelectric plant and the Cochrane thermoelectric plant. The Board of Directors expects to issue between US$150 US$200 million. On December 10, 2013, AES Gener closed the financing process for the Alto Maipo hydroelectric project (531 MW) in the SIC, with the execution of a project finance credit facility for up to US$1.2 billion. The financing was granted by a syndicate of multilateral and commercial banks, both Chilean and international. Principal construction works were initiated with the delivery of the notice to proceed to the three main contractors on December 11 and 13, 2013. The run-of-river hydroelectric facility is owned by subsidiary Alto Maipo SpA (Alto Maipo), whose shareholders are AES Gener (60%) and Antofagasta Minerals S.A. (AMSA) (40%) The start-up of commercial operations of Alto Maipo is expected in 2018. It should be noted that Alto Maipo was awarded the Latin America Power Deal of the Year, granted by Project Finance International magazine which selected the project as the best energy project in Latin America in 2013. On December 12, 2013, the Company issued US$450 million subordinated corporate bonds with 60 year tenor in the international market. The bonds were issued pursuant to 144-A and Regulation S of the U.S. Securities Act. It should be noted that on January 27, 2014, the Company used a portion of these proceeds to prepay the Senior Bond due in March, 2014 for a total of ThUS$147,050. During the fourth quarter of 2013, construction works for the installation of new emission control equipment ( retrofits ) continued at the Ventanas I and II and Norgener I and II coal plants. As of December 31, 2013, the retrofit capital expenditures totaled ThUS$155,400. Additionally, in late August 2013, Guacolda initiated construction works for the installation of 2

emission control equipment at Units I, II and IV, reaching a total investment of ThUS$36,900 as of December 31, 2013. Construction of Unit V (152 MW) at the Guacolda Complex by equity-method investee Guacolda continued as scheduled during the twelve-month period ended December 31, 2013, achieving progress of 50% by the end of the period. The start-up of commercial operations is expected in the second half of 2015. Colombian subsidiary AES Chivor & Cía. S.C.A.E.S.P (AES Chivor) continued construction of the 20 MW Tunjita hydroelectric plant throughout 2013, reaching construction progress of 71% as of December 31, 2013. The start-up of commercial operations is expected in the second half of 2014. On February 19, 2014, Guacolda sold its 133 km 2x220 kv Maitencillo-Cardones transmission line to Transelec S.A. (Transelec) for a total of ThUS$54,720. EXTERNAL FACTORS Annual inflation rate of 3.0% in Chile, 1.9% in Colombia and 10.7% in Argentina as of December 31, 2013. Chilean peso exchange rate depreciated by 9% from 479.9 Ch$/USD to 524.6 Ch$/USD as of December 31, 2012 and 2013, respectively. Colombian peso exchange rate depreciated by 9% from 1,767.0 Col$/USD to 1,925.5 Col$/USD as of December 31, 2012 and 2013, respectively Argentine peso exchange rate depreciated by 32.6% from 4.918 Ar$/USD to 6.521 Ar$/USD as of December 31, 2012 and 2013, respectively GDP increased by 4.7%, 5.1% and 5.7% in Chile, Colombia and Argentina, respectively, in the twelve month period ended September 30, 2013. Growth in electricity consumption between December 31, 2012 and December 31, 2013 was: 3.3% in the SIC 3 3.9% in the SING 4 13.8% in Argentina 2.6% in Colombia 3 Central Interconnected System in Chile 4 Greater Northern Interconnected System in Chile 3

REVIEW OF 2013 RESULTS NET INCOME In the year ended December 31, 2013, AES Gener S.A. (AES Gener or the Company) registered net income of ThUS$201,321, similar to the earnings of ThUS$202,939 recorded in 2012. EBITDA totaled ThUS$623,028, 6% lower than in 2012, principally the result of the negative impact from drier hydrology in Colombia and the combination of lower spot sales and higher withdrawal costs in the SING in Chile, partially offset by the positive contribution from the start-up of the Ventanas IV plant in the SIC in Chile. In the fourth quarter of 2013, EBITDA totaled ThUS$151,369, 18% lower when compared to the EBITDA of ThUS$185,535 registered in the fourth quarter of 2012. This negative variation is principally explained by a lower contribution from the SING market as a result of lower spot sales, higher withdrawal costs and scheduled maintenance of one Norgener s unit in the fourth quarter of 2013. As of December 31, 2013, gross profit totaled ThUS$510,079, a decrease of 14% when compared to the total of ThUS$589,892 recorded in the same period in the previous year. This negative variation is principally due to lower operating results in Colombia and, additionally, lower gross profit in the SING and the SIC in Chile, which was partially offset by higher operating results in the Argentine Interconnected System (SADI). In the SIC, gross profit decreased by 9%. The principal negative variations include lower spot energy sales associated with lower dispatch of the Nueva Renca back-up plant, owned by subsidiary Sociedad Eléctrica Santiago S.A. (Eléctrica Santiago), after the start-up of new coal plants since 2012, including the Ventanas IV plant in March 2013 resulting in lower spot prices, and higher energy purchases, particularly in the third and fourth quarter during the scheduled maintenance of Units I and III (Nueva Ventanas plant) of Ventanas Complex. These negative variations were largely offset by higher coal generation associated with the start-up of Ventanas IV in March 2013 and a reduction in fuel consumption related to the lower dispatch of the Nueva Renca plant, as mentioned above, as well as the scheduled major maintenance of the plant between May and September 2013. In the SING, lower gross profit of 21% was registered between 2012 and 2013, as a result of a decrease in spot sales explained by lower spot prices and higher energy purchases associated with higher withdrawal costs and the scheduled maintenance of Norgener Units I and II in the third and fourth quarter of 2013. These effects were offset by higher sales to unregulated customers due to the increase in Empresa Eléctrica Angamos S.A. s (Eléctrica Angamos) contract volumes and lower fuel consumption. In Colombia, the decrease of 16% in gross profit is principally due to lower operating results in Colombia driven by drier hydrology in the system, and in particular in the AES Chivor basin, which resulted in lower generation and higher net spot purchases at higher prices. This effect was partially offset by higher contract sales. 4

Gross margin in the SADI increased by 10% due to higher contract revenue under the Energía Plus program, partially offset by higher fuel consumption associated with the increase in energy generation in this market. Non-operating income increased between 2012 and 2013, with positive variations of ThUS$62,253 in income tax expense, principally associated with lower deferred taxes, and ThUS$29,339 in earnings of associates, as a result of improved results from affiliate Guacolda. These effects were partially offset by a negative variation in foreign exchange differentials, mainly due to depreciation of the Chilean, Colombian and Argentine peso. 5

2013 INCOME STATEMENT INCOME STATEMENT 2013 ThUS$ 2012 ThUS$ Operating Revenue Energy and capacity sales 2,121,950 2,171,489 Other operating revenue 122,839 156,232 Total Operating Revenue 2,244,790 2,327,721 COST OF SALES Fuel consumption (632,160) (824,856) Fuel cost of sales (1,877) (51,056) Energy and capacity purchases (518,546) (340,593) Transmission tolls (95,837) (97,492) Other cost of sales (260,492) (209,812) Depreciation and amortization (225,800) (214,020) Total Cost of Sales (1,734,711) (1,737,828) GROSS PROFIT 510,079 589,892 Other operating revenues 972 2,057 Selling, general and administrative expenses (113,366) (145,120) Other operating expense (4,608) (3,066) Other income / (expense) 5,239 7,433 Financial income 8,962 8,407 Financial expense (123,906) (115,452) Equity in earnings of associates 38,526 9,187 Foreign currency exchange differences (38,856) (3,633) NET INCOME (LOSS) BEFORE TAX AND NON-CONTROLLING INTEREST 283,042 349,705 Income tax income (expense) (84,525) (146,778) Net Income (Loss) After Tax 198,517 202,927 Income (loss) from discontinued operations, net of tax - - Net Income 198,517 202,927 6

INCOME (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF PARENT 201,321 202,933 Non-controlling interest (2,804) (5) NET INCOME 198,517 202,928 EBITDA In the period ended December 31, 2013, EBITDA totaled ThUS$623,028, compared with EBITDA of ThUS$660,701 recorded in the same period of 2012. This reduction of ThUS$37,674 is primarily the result of lower EBITDA in Colombia of ThUS$36,254, and lower EBITDA in the SING of ThUS$24,948, partially offset by higher EBITDA in the SIC of ThUS$24,430. It should be noted that as a result of a modification in the internal accounting chart of accounts and classification criteria which resulted in the movement of certain expenses previously classified as SG&A to costs of production, gross profit in the SIC decreased by 11%. In Colombia, the negative variation is mainly explained by lower water availability in the AES Chivor basin as a result of drier hydrology in 2013, as compared to 2012, while the decrease in EBITDA in the SING is explained by lower spot sales and higher withdrawal costs. The positive contribution from the SIC is mainly related to the start-up of commercial operations of Unit IV at the Ventanas Complex in March 2013, which permitted the Company to reduce the cost of supplying these contracts. EBITDA in the SADI decreased by ThUS$900. EBITDA (THUS$) 2013 2012 Gross Profit 510,079 589,892 Depreciation and amortization (-) 225,800 214,020 Other operating revenues 972 2,057 Selling, general and administrative expenses (113,366) (145,120) Other operating expense (4,608) (3,066) Other costs not included in EBITDA 4,151 2,918 EBITDA 632,028 660,701 AES Gener operates in four independent markets, the Central Interconnected System or SIC, and the Greater Northern Interconnected System or SING, both in Chile. It also operates in the National Interconnected System or SIN in Colombia and the Argentine Interconnected System or SADI in Argentina. In the years ended December 31, 2013 and 2012, the EBITDA contribution from the SIC, SING, Colombia and SADI were the following: 7

EBITDA (%) 2013 2012 SIC 32.5% 26.9% SING 24.5% 26.8% Colombia 33.5% 37.1% SADI 9.6% 9.1% GROSS PROFIT Gross profit decreased by ThUS$79,814, principally explained by lower gross profit in Colombia, and to a lesser extent in the SING and the SIC, which was slightly offset by higher gross profit the SADI. Gross profit decreased by ThUS$17,537 in Colombia, while it decreased by ThUS$26,446 and ThUS$21,021 in the SING and the SIC, respectively. Gross profit in the SADI increased by ThUS$3,272. The consolidation adjustment represents intercompany coal sales from AES Gener to subsidiaries Norgener and Eléctrica Angamos in the SING. GROSS PROFIT (THUS$) 2013 2012 OPERATING REVENUE SIC 1,308,253 1,396,260 SING 525,498 539,535 Colombia 522,332 453,076 SADI 173,481 167,660 Consolidation adjustments (284,774) (228,810) Total Operating Revenue 2,244,790 2,327,721 COST OF SALES SIC (1,140,880) (1,211,351) SING (426,152) (413,742) Colombia (313,776) (205,416) SADI (138,678) (136,130) Consolidation adjustments 284,774 228,810 Total Cost of Sales (1.734.712) (1.737.828) TOTAL GROSS PROFIT 510,079 589,892 8

The variations in gross margin in each of the four principal markets are explained below. Central Interconnected Grid (SIC) In the SIC, gross profit decreased by ThUS$17,537, equivalent to 9%, comparing 2012 and 2013, principally related to a reduction in the net spot margin, as a result of lower spot sales due to lower dispatch of the Nueva Renca back-up plant owned by subsidiary Eléctrica Santiago. The cost of depreciation, driven by the start-up of commercial operations of the Ventanas IV plant, and other cost of sales, related to a reclassification from SG&A expenses, also increased. These effects were largely offset by lower fuel consumption, mainly resulting from less generation with liquefied natural gas (LNG) by Eléctrica Santiago. It should be noted that the lower dispatch of the Nueva Renca plant is the result of higher availability of efficient generation in the system due to the start-up of new coal plants since 2012, including Ventanas IV plant in March 2013 and consequently lower spot prices. The following table presents gross profit in the SIC for both periods: SIC GROSS PROFIT (THUS$) 2013 2012 OPERATING REVENUE Regulated customer sales 531,041 544,664 Unregulated customer sales 267,245 254,909 Spot sales 115,074 222,587 Other operating revenues 394,893 374,100 Total Operating Revenue 1,308,253 1,396,260 COST OF SALES Fuel consumption (351,639) (539,804) Energy and capacity purchases (183,706) (156,512) Transmission tolls (92,283) (93,643) Fuel cost of sales (271,714) (238,572) Depreciation and amortization (104,213) (86,929) Other cost of sales (137,325) (95,891) Total Cost of Sales (1,140,880) (1,211,351) TOTAL GROSS PROFIT 167,372 184,909 Spot sales decreased by ThUS$107,513 comparing the twelve months of 2012 and 2013, driven by the lower sales volume of 430 GWh due to less dispatch of the Nueva Renca plant as a result of higher availability of efficient generation in the system in 2013 and maintenance of this plant between May and September 2013. Additionally, spot prices decreased, from an average of 189.8 US$/MWh as of December 31, 2012 to an average of 148.3 US$/MWh in the same period of 2013 (at the Quillota 220 kv substation). Additionally, energy purchases, including spot market purchases 9

and contract purchases from affiliate Guacolda and other generators, principally qualified Non- Conventional Renewable Energy (ERNC) suppliers, increased by ThUS$27,194, in volume terms from 1,004 GWh in 2012 to 1,329 GWh in the period ended December 31, 2013, driven by lower availability of the Company s coal plants during the third and fourth quarter 2013 principally due to scheduled maintenance of Units I and III of the Ventanas Complex and outages at Ventanas Unit II, which have been repaired. It should be noted that spot purchases includes 138 GWh that AES Gener purchased from Eléctrica Campiche during commissioning tests. Fuel consumption decreased by ThUS$188,165 mainly driven by lower LNG generation at Eléctrica Santiago and lower diesel generation by AES Gener and subsidiaries, partially offset by higher coal generation. LNG generation decreased from 1,483 GWh in the year ended December 31, 2012 to 556 GWh in the same period of 2013, as a result of lower dispatch of the Nueva Renca back-up plant and scheduled major maintenance. Additionally, diesel generation decreased by 235 GWh and biomass generation decreased by 45 GWh. In contrast, coal generation increased by 1,533 GWh between the years ended December 31, 2012 and 2013, principally related to the start-up of commercial operations of the Ventanas IV plant in mid-march 2013. It should be noted that generation from AES Gener s hydroelectric facilities increased by 31 GWh in 2013, as compared to 2012. Sales to unregulated customers increased by ThUS$12,336 between the 2012 and 2013. This positive variation is driven by an increase in sales volumes of 593 GWh, from 1,944 GWh at the close of December 2012 to 2,537 GWh in the same period of 2013, due the start-up of new long term contracts during the second half of 2012 and second quarter of 2013. Regulated sales revenue decreased by ThUS$13,623, despite higher sales volumes which increased from 5,406 GWh to 5,606 GWh between 2012 and 2013, respectively, as a result of lower average sales prices due to price indexation associated with the reduction in coal prices. Other cost of sales increased by ThUS$41,435 principally driven by a modification in the internal accounting chart of accounts and classification criteria which resulted in the reclassification of certain expenses of approximately ThUS$26,818 previously registered as SG&A to costs of production. Additionally, higher depreciation of ThUS$17,285 was recorded at the close of December 2013, associated with the start-up of commercial operations at Unit IV of the Ventanas Complex in March of this year. Greater Northern Interconnected Grid (SING) Between the years ended December 31, 2012 and 2013, gross profit in the SING decreased by ThUS$26,446, equivalent to 21%, principally associated with lower spot sales, in addition to higher withdrawal costs associated with the enactment of the Decree N 130 in December 2012, partially offset by higher contract sales and lower fuel consumption. The following table presents gross profit in the SING for both periods: SING GROSS PROFIT (THUS$) 2013 2012 OPERATING REVENUE Unregulated customer sales 455,056 421,328 10

Spot sales SING 57,834 107,300 Other operating revenues 12,608 10,907 Total Operating Revenue 525,498 539,535 COST OF SALES Fuel consumption (192,514) (231,991) Energy and capacity purchases (73,026) (38,384) Transmission tolls (2,983) (2,985) Fuel cost of sales (5,963) (3,883) Depreciation and amortization (70,403) (69,367) Other cost of sales (81,264) (67,132) Total Cost of Sales (426,152) (413,742) TOTAL GROSS PROFIT 99,347 125,793 Spot sales decreased by ThUS$49,466, principally due to the 23% reduction in the average marginal cost from 103.0 US$/MWh as of December 31, 2012 to 79.1 US$/MWh in the same period in 2013 (at the 220 kv Crucero substation), in addition to lower physical sales of 76 GWh. Additionally, spot purchases increased by ThUS$34,642 mainly driven by higher withdrawal costs associated with Decree N 130 and maintenance of Norgener Units I and II in July and November 2013. It should be noted that a new calculation methodology was established in Ministerial Decree N 130 which became effective on December 31, 2012. Under the new methodology, system marginal costs are determined without regard to the simulation of plants operating at minimum technical load, thereby modifying Ministerial Resolution N 39. This new calculation methodology resulted in a significant decrease in the marginal cost of the system. Sales to unregulated customers increased by ThUS$33,728 between 2012 and 2013, principally due to higher physical volumes which rose from 3,908 GWh as of December 31, 2012 to 4,332 GWh in the same period in 2013. This increase, equivalent to 11%, was primarily driven by the step-up in long term contract volumes supplied by Eléctrica Angamos in June 2012, in accordance with the terms of its existing supply contracts. Fuel consumption decreased by ThUS$39,447, despite higher coal generation at Angamos of 206 GWh, partially offset by lower coal generation at Norgener of 36 GWh, as a result of lower coal prices. Additionally, other cost of sales increased by ThUS$13,903, mainly related to higher maintenance costs and other operational costs. Colombian National Grid (SIN) In Colombia, gross profit decreased by ThUS$39,104, equivalent to 16%, between 2012 and 2013. This negative variation is principally associated with higher net spot purchases, partially offset by higher contract sales to distribution companies. The following table presents gross profit in Colombia for both periods: 11

COLOMBIA GROSS PROFIT (THUS$) 2013 2012 OPERATING REVENUE Contract sales 257,628 248,855 Spot sales 264,591 204,184 Other operating revenues 112 36 Total Operating Revenue 522,332 453,076 COST OF SALES Energy and capacity purchases (261,812) (145,696) Depreciation and amortization (16,278) (18,794) Other cost of sales (35,686) (40,926) Total Cost of Sales (313,776) (205,416) TOTAL GROSS PROFIT 208,556 247,660 Spot purchases increased by ThUS$116,115 due to higher purchase volumes, which rose from 2,117 GWh during the year ended December 31, 2012 to 2,780 GWh during the same period in 2013, and higher spot prices as a result of drier hydrological conditions. Spot prices increased from an average of 63.4 US$/MWh in the twelve-month period ended December 31, 2012 to an average of 96.1 US$/MWh in the same period in 2013. Spot and ancillary service sales increased by ThUS$60,407, despite lower volume sales of 760 GWh, primarily as a result of the higher spot prices mentioned above. Contract sales to distribution companies increased by ThUS$6,773 due to higher physical sales of 127 GWh, while contract prices remained practically the same, with an average of 73.6 US$/MWh and 2012 to 73.4 US$/MWh in 2013. Interconnected Argentine System (SADI) Gross profit in the SADI increased by ThUS$3,272, equivalent to 10%, between the years ended December 31, 2012 and 2013, associated with higher contract sales under the Energía Plus program, partially offset by lower spot sales and higher fuel consumption related to additional generation by TermoAndes. The following table presents gross profit in the SADI for both periods: SADI GROSS PROFIT (THUS$) 2013 2012 OPERATING REVENUE Contract sales 99,508 84,870 Spot sales 73,973 82,790 Total Operating Revenue 173,481 167,660 COST OF SALES 12

Fuel consumption (91,683) (84,666) Transmission tolls (399) (615) Depreciation and amortization (34,906) (38,930) Other cost of sales (11,690) (11,918) Total Cost of Sales (138,678) (136,130) TOTAL GROSS PROFIT 34,803 31,530 Between 2012 and 2013, contract sales increased by ThUS$14,638 associated with the increase in sales volumes from 1,362 GWh in the year ended December 31, 2012 to 1,473 GWh in the same period of 2013, equivalent to an increase of 8% in Energía Plus contract volumes. In contrast, spot sales in the SADI decreased by ThUS$8,817 principally associated with lower spot prices in dollars, which fell from an average of 26.4 US$/MWh in 2012 to an average of 22.0 US$/MWh in 2013, in addition to lower physical sales of 63 GWh between both periods. Fuel costs rose by ThUS$7,017 associated with additional natural gas consumption at TermoAndes as a result of the higher generation of 46 GWh between the two periods. Energy Sales by Segment Physical energy sales in each market were as follows in the year ended December 31, 2013 and 2012: PHYSICAL SALES (GWH) 2013 2012 SIC 8,858 8,496 Distribution companies 5,606 5,406 Spot (CDEC) 716 1,146 Other customers 2,537 1,944 SING 5,497 5,150 Distribution companies - - Spot (CDEC) 1,165 1,242 Other customers 4,332 3,908 Colombia 6,178 6,811 Spot and other 2,662 3,422 Distribution companies 3,517 3,389 SADI - Argentina 4,185 4,138 Customers 1,473 1,362 Spot 2,713 2,776 TOTAL SALES 24,719 24,595 13

SELLING, GENERAL AND ADMINISTRATIVE EXPENSES SG&A decreased by 18%, from ThUS$145,120 in the year ended December 31, 2012 to ThUS$113,366 in 2013, principally related to a modification in the internal accounting chart of accounts and classification criteria which resulted in transfer of certain expenses previously classified as SG&A to costs of production. Assuming the same expense classification criteria as in the previous year, there would be no significant variation SG&A expense. FINANCIAL RESULTS The non-ebitda variables which experienced the most significant changes between years ended December 31, 2012 and 2013, include a negative variation in foreign currency exchange differentials of ThUS$35,223, partially offset by higher equity in earnings of associates of Th$29,339. The following table details the variations in the principal non-ebitda items: FINANCIAL RESULTS (THUS$) 2013 2012 Other income / (loss) 5,239 7,433 Finance income 8,962 8,407 Finance expense (123,906) (115,452) Equity in earnings of associates 38,526 9,187 Foreign currency exchange differences (38,856) (3,633) The negative variation in foreign currency exchange differentials between 2012 and 2013 is principally due to the depreciation of the Chilean peso and the Company s net monetary position in this currency, mainly related to receivables in Chilean pesos. In addition, negative variations between the two reporting periods were also recorded in Colombia from the depreciation of the Colombian peso and lower level of US dollar bank account balances held by AES Chivor and in Argentina from the depreciation of the Argentine pesos and the effect on cash and cash equivalent in Argentine pesos. It should be noted that between December 31, 2012 and December 31, 2013 the Chilean dolar observado exchange rate depreciated by 9%, from $479.9 to $524.6, respectively, while the exchange rate appreciated by 8% from $519.2 to $479.9 between December 31, 2011 and December 31, 2012. The Colombian peso exchange rate depreciated by 9% from Col$1,767.0 to Col$1,925.5 between December 31, 2012 and December 31, 2013, while the exchange rate appreciated by 9% from Col$1,938.5 to Col$1,767.0 between December 31, 2011 and December 31, 2012. The Argentine peso exchange rate depreciated by 33% from Ar$4.918 to Ar$6.521 14

between December 31, 2012 and December 31, 2013, while it depreciated by 14% from Ar$4.304 to Ar$4.918 between December 31, 2011 and December 31, 2012. The increase of ThUS$29,339 recorded in earnings of associates is the result of higher earnings from equity-method investee Guacolda explained by lower energy purchases as a result of higher generation driven by higher availability of the Guacolda units. Finance expenses increased by ThUS$8,454 between the first nine months of 2012 and 2013 as a result of a reduction in capitalized interest, partially offset by lower financing fees at Eléctrica Angamos. Other income decreased by ThUS$2,194 between the years ended December 31, 2012 and 2013, principally explained by the negative variation of ThUS$8,473 in fixed and intangible assets sales, in addition to lower dividends received from GasAndes of ThUS$2,081. These effects were partially offset by an increase in other income from AES Chivor associated with the reversal of an equity tax provision made in 2005 and 2006. The agreement with the tax authority, or DIAN (Dirección de Impuestos y Aduanas Nacionales de Colombia, for its acronym in Spanish), permitted the Company to pay the disputed taxes without applicable penalties and interest. INCOME TAX Income tax expense decreased by 42% between the years 2012 and 2013, from ThUS$146,778 as of December 31, 2012 to ThUS$84,525 in the same period of 2013. This variation is explained by lower deferred taxes in Chile, in addition to lower income tax expense. The positive variation of ThUS$51,316 in deferred taxes is related to a reversal of deferred tax liabilities registered during 2013. Additionally, the decrease of income tax expense of ThUS$10,936 is principally explained by the reduction in AES Chivor s net income before tax. CASH FLOW Total net cash in the year ended December 31, 2013 registered a positive inflow of ThUS$707,516, which is 78% higher than the positive net cash position of ThUS$397,204 registered in 2012. Total cash flow during the twelve months of 2013 was equal to an inflow of ThUS$334,141, which positively compares with the outflow of ThUS$24,508 recorded at the end of December 2012. This increase is due to a positive variation in financing activities, partly offset by a negative variation in investing activities and in operating activities. 15

CASH FLOW (THUS$) 2013 2012 Net cash from operating activities 140,362 253,325 Net cash from investing activities (536,422) (239,139) Net cash from financing activities 730,201 (38,694) Total Net Cash for the Period 334,141 (24,508) Total Cash at the End of the Period 707,516 397,204 Net cash from operating activities registered a negative variation of ThUS$112,963 in the year ended December 31, 2013, compared to the same period in 2012. This decrease is principally the result of lower receivables from customers of ThUS$182,123 and lower receivables from operating activities of ThUS$87,470. These effects were partially offset by lower dividend payments of ThUS$106,775. Net cash from financing activities registered a positive variation of ThUS$768,895 in period ended December 31, 2013, when compared to 2012. This increase relates to the issuance of the AES Gener subordinated hybrid bond for a total of ThUS$450,000 in December 2013 and the initial disbursements under the Eléctrica Cochrane project finance credit facility. Additionally, cash associated with the incorporation of AMSA as minority partner in Alto Maipo and Mitsubishi Corporation as minority partner in Eléctrica Cochrane was registered in 2013. These effects were partially offset by other financing outflows of ThUS$50,716 mainly related to the Cochrane financing. Net cash from investment activities registered a negative variation of ThUS$297,283 between the years ended December 31, 2012 and 2013. The principal variations relate to lower cash from investing activities of ThUS$181,064 associated with the collection of financial investments at AES Gener and Eléctrica Santiago and the recovery of Value Added Taxes (VAT) for projects, both registered during the period ended December 31, 2012. Additionally, there was an increase in purchases of plant, property and equipment of ThUS$112,432, principally related to the start of construction of Cochrane and Alto Maipo projects, in addition to investments in emission control equipment, partially offset by the completion of the construction of the Ventanas IV plant in March 2013. FINANCIAL DEBT Consolidated financial debt, including principal, interest and issuance costs, increased from ThUS$2,278,883 as of December 31, 2012 to ThUS$2,826,029 as of December 31, 2013. As of December 31, 2013, approximately 89% of AES Gener s credit agreements were stipulated at a fixed rate, including a significant portion of the debt held by subsidiaries Empresa Eléctrica Ventanas S.A. (Eléctrica Ventanas), Eléctrica Angamos and Eléctrica Cochrane for which interest rate swap agreements have been executed. The remaining 11% of the Company s consolidated debt maintains a variable interest rate. 16

As of December 31, 2013, approximately 97% of AES Gener s long-term debt accruing interest was denominated in U.S. dollars, including the Chilean bond issued in December 2007 for which a cross currency swap was executed. Of the remaining debt, 2% was denominated in Chilean UF (Eléctrica Santiago s bond) and 1% was denominated in Colombian pesos (the leasing executed by AES Chivor to finance the Tunjita Project). It should be noted that in December 2013, AES Gener issued a subordinated hybrid bond pursuant to 144-A and Regulation S of the U.S. Securities Act, for a total of ThUS$450,000. The bond has a tenor of 60 years. The following graph details AES Gener s consolidated amortization schedule for the outstanding principal of ThUS$2,891,313 as of December 31, 2013, excluding issuance costs and including non-recourse project finance debt. 1,400 1,200 1,000 800 600 400 200 0 380 113 Total Consolidated Debt (US$ million) 64 89 120 230 136 527 1,231 2014 2015 2016 2017 2018 2019 2020 2021 2022+ 17

AES GENER GROUP OPERATING STATISTICS 2013 2012 GENERATION (GWH) 2013 2012 Installed Capacity SIC 12,464 11,463 SIC (1) MW 2,616 2,344 Gener Hydro 1,237 1,206 SING (2) MW 822 822 Gener Thermal 2,095 2,370 SADI MW 643 643 Eléctrica Campiche 1,824 0 Colombia MW 1,000 1,000 Eléctrica Ventanas 1,972 2,008 TOTAL MW 5,081 4,810 Eléctrica Santiago 610 1,797 Guacolda 4,726 4,082 Net Generation SING 5,155 4,985 SIC (1) GWh 12,464 11,463 Norgener 1,964 2,000 SING (2) GWh 5,155 4,985 Eléctrica Angamos 3,191 2,985 Colombia GWh 3,373 4,664 Colombia 3,373 4,664 SADI - Argentina GWh 4,183 4,137 AES Chivor 3,373 4,664 TOTAL GWh 25,175 25,249 SADI Argentina 4,183 4,137 TermoAndes 4,183 4,137 TOTAL 25,175 25,249 (1) Includes AES Gener, Eléctrica Ventanas, Eléctrica Santiago, Eléctrica Campiche and Guacolda (2) Includes Norgener and Eléctrica Angamos 18

AES GENER CONSOLIDATED 2013 ENERGY GENERATION, PURCHASES & SALES SIC SING SADI SIN ENERGY (GWH) AES GENER ELÉCTRICA SANTIAGO ELÉCTRICA VENTANAS EMPRESA CAMPICHE NORGENER TERMO ANDES ELÉCTRICA ANGAMOS TERMO ANDES AES CHIVOR TOTAL GENERATION Hydro 1,237 - - - - - - - 3,373 4,609 Thermo 2,095 618 1,972 1,824 (2) 1,964-3,191 4,183-15,847 TOTAL GENERATION 3,332 618 1,972 1,824 1,964-3,191 4,183 3,373 20,457 PURCHASES Spot 343 31 - - 382 100 - - 2,780 3,636 Other generators 818 - - - - - - - - 818 Intercompany 4,014 (2) - - - - - - - - 4,014 TOTAL PURCHASES 5,175 31 - - 382 100 - - 2,780 8,468 Losses (78) - - - (54) (26) (61) 2 25 (192) Sales Regulated (1) 5,595 11 - - - - - - 3,517 9,123 Unregulated 2,537 - - - 2,291 68 1,972 1,473-8,341 Spot 297 419 - - - 7 1,159 2,713 2,662 7,255 Intercompany - 219 1,972 1,824 (2) - - - - - 4,014 TOTAL SALES 8,428 649 1,972 1,824 2,291 75 3,131 4,185 6,178 28,733 (1) Regulated sales include obligatory sales to distribution customers of a generation company which was declared bankrupt in September 2011. (2) Includes 138 GWh that AES Gener purchased from Eléctrica Campiche during commissioning tests period. 19

MARKET INFORMATION In Chile, AES Gener does business principally in two large interconnected electric systems: the Central Interconnected System or SIC, that runs from the southern part of Region II to Region X, and the Greater Northern Interconnected System or SING, that encompasses Region I and Region XV, as well as part of Region II. AES Gener s Colombian subsidiary, AES Chivor, is one of the principal electric generators in the Colombian National Interconnected System or SIN. AES Gener s Argentine subsidiary, TermoAndes currently only operates in the Argentine market. SIC The SIC has experienced dry hydrological conditions during the last four years (from 2012 to date). With lower rain and snowmelt, in 2013 reservoir levels remained lower than the historical average, however slightly higher comparing year end 2013 and 2012. Despite hydrological conditions, the average marginal cost decreased by 22% between 2012 and 2013, principally associated with the start-up of commercial operations of new coal-fired plants since 2012, including the Ventanas IV coal plant. In the year ended December 31, 2013, the AES Gener Group companies, including Guacolda, accounted for 26% of the net generation in the SIC. The table below shows certain principal variables in the SIC for the years ended December 31, 2013 and 2012. DECEMBER DECEMBER SIC 2013 2012 Demand growth (%) 3.3 5.7 Average monthly consumption (GWh) 3,986 3,857 Average annual marginal cost (Quillota 220 kv) US$/MWh 148.3 189.8 SING As of December 31, 2012, the methodology for calculating the marginal cost in the SING was modified by Ministerial Decree N 130, which modified Ministerial Resolution N 39. Under the new decree, system marginal costs are determined without regard to the simulation of plants operating at minimum technical load. The average marginal cost decreased by 23% between 2013 and 2012. In the year ended December 31, 2013, the AES Gener Group companies contributed 33% of the net generation in the SING. The table below shows certain principal variables in the SING for the year ended December 31, 2013 and 2012. 20

DECEMBER DECEMBER SING 2013 2012 SING demand growth (%) 3.9 3.9 SING average monthly consumption (GWh) 1,284 1,236 SING average annual marginal cost (Crucero 220 kv) US$/MWh 79.1 103.0 Colombia In Colombia, spot prices in U.S. dollars increased significantly, by 58%, between 2012 and 2013, as a result of drier and volatile hydrological conditions in Colombia which worsened during second quarter 2013 resulting in lower water levels in reservoirs. In the year ended December 31, 2013, AES Chivor s generation represented 6% of total demand in Colombia. The table below presents certain principal variables in Colombia for the years ended December 31, 2013 and 2012: DECEMBER DECEMBER COLOMBIA 2013 2012 Demand growth (%) 2.6 3.8 Average monthly consumption (GWh) 5,074 4,946 Average annual marginal cost US$/MWh 96.1 63.4 SADI As of December 31, 2013, spot prices remained at $120 Argentine pesos per MWh, although when compared to the same period in 2012, the spot price decreased by 17% in U.S. dollars due to the depreciation of the Argentine peso. In the twelve months of 2013, TermoAndes contribution to the SADI represented approximately 4% of total system demand. The table below shows certain principal variables in the SADI for the years ended December 31, 2013 and 2012. DECEMBER DECEMBER SADI 2013 2012 Demand growth (%) 13.8 (4.7) Average monthly consumption (GWh) 9,446 8,298 Average annual marginal cost US$/MWh 22.0 26.4 21

RISK ANALYSIS Market and Financial Risks Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate due to a change in market prices. Market risks include the following three categories: foreign currency risk, interest rate risk and commodity price risk. Financial risk relates to the potential occurrence of events which could have a negative financial impact on the Company and specifically includes: credit risk and liquidity risk. Foreign currency risk With the exception of its Colombian operations, the Company's functional currency is the U.S. dollar, given that its revenue, costs, investments in equipment and financial debt are principally determined in dollars. Additionally, the Company has been authorized to file and pay its taxes in U.S. dollars. Foreign currency risk is associated with revenues, costs, investments and debt denominated in currencies other than the U.S. dollar. The principal components denominated in Chilean pesos include the accumulated credit balances from electricity sales and tax credits mainly associated with VAT. As of December 31, 2013, AES Gener maintained several currency forwards with banks to mitigate its exposure to foreign exchange variations associated with energy sales, given that even though most of the Company s energy supply agreements have prices denominated in US dollars, payments are made in Chilean pesos at an exchange rate that is fixed for a specific period of time. As of December 31, 2013, given the net asset position in Chilean pesos, the impact of a depreciation of 10% in the Chilean peso to U.S. dollar exchange rate would have resulted in a negative variation of approximately ThUS$3,059 in AES Gener s net income. In the year ended December 31, 2013, approximately 85.2% of the Company s revenue and 90.5% of its costs of sale were denominated in U.S. dollars, while in the year ended December 31, 2012 approximately 85.8% of the revenue and 92.0% of costs of sale were denominated in U.S. dollars. With regard to Colombia, it should be noted that AES Chivor s functional currency is the Colombian peso since most of its revenue, specifically contract sales, and its operating costs are linked primarily to the Colombian peso. As of December 31, 2013, sales in Colombian pesos represented 11.5% of consolidated revenue, while in the year period ended December 31, 2012 these sales represented 10.7% of consolidated revenue. Additionally, AES Chivor s dividends are determined in Colombian pesos, although financial coverage mechanisms are utilized to fix the amounts in U.S. dollars. In the year ended December 31, 2013, the impact of a depreciation of 10% in the Colombian peso to U.S. dollar exchange rate would have resulted in a negative variation of approximately ThUS$14,809 in AES Gener s net income, given AES Chivor net liability position in dollars. In Argentina, spot prices are set in Argentine pesos and these sales represented 3.3% of consolidated revenue in year ended December 31, 2013, while at the close of the twelve months of 2012 these sales represented 3.6%. As of December 31, 2013, the impact of a variation of 10% in the Argentinean peso to U.S. dollar exchange rate would have resulted in a variation of 22

approximately ThUS$25,852 in AES Gener s net income given TermoAndes net asset position in Argentine pesos. It should be noted that in January 2014, the Argentine Government devalued the Peso by approximately 20%, the most rapid depreciation since 2002. Further weakening of the Argentine Peso and local economic activity could cause significant volatility in TermoAndes results of operations, cash flows, the ability to pay dividends to the AES Gener, and the value of its assets. Additionally, investments in new plants and maintenance equipment are principally set in U.S. dollars. Short-term investments are also mostly held in U.S. dollars. As of December 31, 2013, 82.3% of AES Gener s short-term investments and bank account balances were denominated in U.S. dollars, 8.9% in Argentinean pesos, 6.9% in Chilean pesos and 1.9% in Colombian pesos. Cash balances in Argentine pesos are subject to foreign exchange restrictions and exchange rate volatility inherent to the Argentine market. At the close of December 2012, 75.4% of AES Gener s short-term investments and bank account balances were denominated in U.S. dollars, 12.8% in Argentine pesos, 8.6% in Chilean pesos and 3.2% in Colombian pesos. With regard to debt (bank loans and bonds payable) denominated in currencies other than the U.S. dollar, AES Gener has executed coverage in the form of cross currency swaps to reduce exchange rate risk. AES Gener executed a cross currency swap for the UF-denominated bonds issued in 2007 for approximately ThUS$219,527 and the swaps extend throughout the duration of the debt. As of December 31, 2013, 97.4% of AES Gener and its subsidiaries debt was denominated in U.S. dollars, including the local bonds mentioned above and the associated swaps. The following table details the debt composition by currency for the years ended December 31, 2013 and December 31, 2012: CURRENCY (%) DECEMBER 2013 DECEMBER 2012 US$ 97.4 97.5 UF 1.5 2.1 Col$ 1.1 0.4 Interest rate risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. AES Gener s exposure to the risk of changes in market interest rates relates primarily to its long-term debt obligations with floating interest rates. AES Gener manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans. Additionally, the Company has entered into interest rate swaps to mitigate interest rate risk for long-term obligations. Currently, AES Gener has interest rate swaps for an important part of the debt associated with subsidiaries Eléctrica Ventanas, Eléctrica Angamos and Eléctrica Cochrane. It should be noted that the impact of a variation of 10% in variable interest rates would not have had a 23

significant impact on AES Gener s net income given that 88.6% of its total debt is at a fixed interest rate. The following table shows the composition of debt by type of interest rate as of December 31, 2013 and December 31, 2012: RATE (%) DECEMBER 2013 DECEMBER 2012 Fixed 88.6 89.8 Variable 11.4 10.2 It should be noted that the subordinated hybrid bond issued in December 2013 for a total of ThUS$450,000 with tenor of 60 years, is at a 8.375% fixed interest rate of until year 5.5 from the issuance. From that period onwards, the interest rate is recalculated based on the 5-year swap rate published by Bloomberg plus a margin (spread) established in the offer and subsequently recalculated, based on the same conditions, every 5 years to maturity of debt. Commodity price risk AES Gener is affected by the volatility of certain commodity prices. The fuels used by the Company, primarily coal, diesel and LNG, are commodities with international prices set by external market factors. Diesel and LNG are purchased from local suppliers under bilateral agreements, based on the international price of diesel. In Argentina, subsidiary TermoAndes purchases natural gas at a fixed price under a medium-term contract. Fuel price risk is associated with fluctuations in these prices. The price of fuel is a key factor for dispatch and spot prices in both Chile and Colombia. The change in the price of fuels, such as coal, diesel and natural gas, can modify the Company's cost composition through changes in the marginal cost. Since AES Gener is a company with primarily a thermoelectric generation mix, fuel costs represent an important part of operating costs. Currently, the majority of the Company s power purchase agreements include indexation mechanisms that adjust prices based on the increase and decrease in the price of coal in accordance with the indices and adjustment periods specified under each contract, in order to align AES Gener s generation costs with energy sales contract revenue. Additionally, AES Gener has structured a coal purchase strategy, maintaining part at fixed price and part at variable price, in order to align costs with revenue generation associated with the energy sales contract. At present, given that AES Gener s contracted energy is generally balanced with its efficient generation, back-up facilities which utilize diesel or LNG are expected to generate and sell energy on the spot market only during periods with limited market supplies such as dry hydrological conditions in the SIC. Currently, derivative instruments are not utilized for diesel and LNG purchases, as spot sales allows to transfer variations in fuel prices to sales prices. However, as mentioned above, given that the price of fuel, particularly diesel and LNG, is a key factor for determining spot prices and plants dispatch, the Company estimates that an increase of 10% in the cost of diesel during the period ended December 31, 2013 would have resulted in a negative 24

variation of approximately ThUS$17,520 in gross profit, while a decrease of 10% would have resulted in a positive variation of the same proportion. It should be noted that Eléctrica Santiago s Nueva Renca plant is able to alternatively utilize diesel and LNG and it acquires defined volumes of LNG under short-term contracts when the price of LNG is more competitive than diesel. Credit risk Credit risk relates to the credit quality of counterparties with which AES Gener and its subsidiaries establish relationships. These risks are reflected primarily in accounts receivables and financial assets including bank and other deposits and other financial instruments. With regard to accounts receivable, AES Gener s counterparties in Chile are principally distribution companies and industrial customers of elevated solvency and over 90% of these customers or their parent companies have local and/or international investment grade credit ratings. Sales made by the AES Gener Group companies in the spot market are obligatorily made to other generators, members of the CDEC, in accordance with the economic dispatch determined by this entity. It should be noted that one generator participant of the CDEC was declared in bankruptcy in September 2011 as a result of the financial losses caused by the low hydrological conditions experienced in the SIC. In the proceeding, AES Gener and Eléctrica Santiago presented evidence of the outstanding debt owed by such generator, equal to ThUS$70 and ThUS$2,937 plus applicable interest, of which the Company has received ThUS$1,169. Additional payments are not expected and the respective provision has been registered as irrecoverable debt. In Colombia, AES Chivor performs risk assessments of its counterparties based on an internal credit quality evaluation, which in some cases may include guarantees. In 2010, also in low hydrological conditions, AES Chivor suffered collection problems with an energy trader and eventually registered a loss of ThUS$1,300. In this case, the trader was suspended from participating in the Bolsa or spot market and AES Chivor presented actions to recover the outstanding amount. In Argentina, the Company estimates that TermoAndes does not face significant credit risk given that its principal counterparties are CAMMESA (Compañía Administradora del Mercado Mayorista Eléctrico S.A.) and large unregulated consumers with contracts under the Energía Plus program. It should be noted that on March 26, 2013, Resolution 95-2013 was issued. This resolution amended the current regulatory framework and will be applied to electric generation companies with certain exceptions. In accordance with this regulation, a new remuneration system was established which is based on compensating fixed costs, variable non-fuel costs and an additional margin. Based on Note 2053, sent by the Ministry of Energy in March 2013, it is understood that TermoAndes units are not affected by the resolution. As a result, the Company does not expect this amendment to have an impact on TermoAndes operations. Financial investments by AES Gener and its subsidiaries such as mutual funds, time deposits and derivatives, are executed with local and foreign financial institutions which have national and/or international credit ratings greater than or equal to A under the S&P and Fitch scale and A2 under the Moody s scale. Similarly, derivatives for financial debt are executed with first class international entities. Cash, investment and treasury policies direct the management of the Company's cash portfolio and minimize credit risk. 25

Liquidity risk Liquidity risk relates to the funding requirements to meet payment obligations. The Company's objective is to maintain a balance between continuity of funding and financial flexibility through internally generated cash flows, bank loans, bonds, short-term investments, committed credit lines and uncommitted credit lines. As of December 31, 2013, AES Gener s available liquid funds totaled ThUS$727,521 which includes cash and cash equivalents equal to ThUS$707,516 and term deposits and immediate liquidity funds in U.S. dollars for a total of ThUS$20,005, which are registered in other current financial assets. At the close of December 2012, available liquid funds equaled ThUS$405,504, including cash and cash equivalents of ThUS$397,204 and term deposits and immediate liquidity funds in U.S. dollars for a total of ThUS$8,300. It should be noted that the balance of cash and cash equivalents includes cash, term deposits with expiration of less than 90 days, securities, low risk immediately available mutual funds in U.S. dollars and re-sale and fiduciary agreements. In addition, as of December 31, 2013, AES Gener has in place unused committed credit facilities for approximately ThUS$266,593, in addition to unused uncommitted lines of credit for approximately ThUS$228,895. In December 2013, the Company issued a subordinated hybrid bond for ThUS$450,000 with maturity in 2073, to refinance the outstanding ThUS$147,050 from the 144A AES Gener bond due in March 2014 and to finance the construction of new projects, among other corporate purposes. The prepayment of the ThUS$147,050 144A bond took place on January 27, 2014. The Company also has plans to refinance the AES Chivor s 144A bond for a total of ThUS$170,000 which mature in December 2014. OPERATIONAL RISKS Operational risks relate to the possibility of future outages or deficiencies that can negatively affect the Company s strategic, operational and/or financial objectives. Hydrology AES Gener s operations in the SIC and Colombia may be affected by hydrological conditions, as hydrology is key to plant dispatch and prices in both systems. The Company uses its own statistical models to evaluate the risks associated with its contractual commitments. In general terms, AES Gener s commercial strategy in Chile is to execute long-term contracts for its efficient generation plants, reserving other more expensive units for sales in the spot market. In Colombia, the commercial strategy focuses on optimal use of the reservoir with the general objective of contracting 75% to 85% of expected generation on average during normal hydrological conditions. 26

Natural gas supply As a result of restrictions in the supply of natural gas, combined cycle plants in Chile, including Eléctrica Santiago s plant, currently operate alternatively with diesel or LNG. From mid-december 2011, 100% of TermoAndes production has been utilized to supply demand in the SADI. It should be noted that the export permit to deliver energy to the SING in Chile expired on January 31, 2013 and its renewal and other alternatives are being evaluated by the Company. Currently, TermoAndes maintains a medium-term natural gas supply contract with Argentine producers and the Company estimates that in the case of potential gas supply restrictions, TermoAndes has certain alternatives to mitigate the impact of gas supply interruptions which include contract price indexation mechanisms, spot gas purchases and back-up supply from other generators. Operational failures Mechanical failure, accidents or unplanned maintenance affecting the availability of the Company s efficient capacity could have a material adverse effect on results. Although the Company performs regular maintenance and operational enhancements to guarantee the commercial availability of its generation plants and operational insurance policies remains in effect, mechanical failure or accidents could result in periods of commercial unavailability. Significant periods of unavailability of AES Gener s efficient plants would require the Company to meet its contractual obligations by using more expensive back up generation or by purchasing energy on the spot market, both of which could result in higher costs that would adversely affect operating results. Investment projects The execution of the investment projects being developed by the Company depends on numerous factors, including fuel availability, the cost and availability of construction equipment and financing, and the effect of delays or difficulties in the regulatory authorization and permitting process, including potential litigation or lawsuits. It should be noted that adequate project development includes making investments related to diverse project areas such as studies, easements, land preparation and construction of roads, among others, before the approval and final execution of the project. REGULATORY RISKS AES Gener, its subsidiaries and related companies are subject to regulation in diverse aspects of their businesses in the countries in which they operate. Regulatory risk is related to potential modifications in existing legislation that could adversely affect the Company s financial results. 27

Regulatory framework As electric generation companies, AES Gener, its subsidiaries and related companies are subject to regulation in diverse aspects of their business. The current regulatory framework which governs all electricity supply companies has been in effect in Chile since 1982 and in Colombia since 1994. In Chile, the latest changes in the regulation includes a modification made in the law that requires that a portion of contractual obligations has to be supplied by Non-Conventional Renewable Energy (NCRE). In October 2013, this modification was performed, increasing the requirements of NCRE. For contracts executed between August 31, 2007 and July 31, 2013, requirements of NCRE are 5% in 2014, with annual increases of 0.5%, reaching 10% in 2024, excluding from this progressive increases, contracts with distribution companies with adjudication processes beginning before April 2008. Contracts executed after July 1, 3013, have NRCE requirements equal to 5% in 2013, with annual increases of 1%, reaching 20% in 2025. Bids organized by the National Energy Commission are also included in this modification. Additionally, in October 2013, Electric Concession Law was enacted, whose principal effects would ease and reduce time in concessions granting for electric and transmission projects. In early 2014, the Independent Electric Systems Interconnection Law was enacted, with the aim of promoting the SIC-SING interconnection through a 600 kilometers transmission line connecting both systems. This law allows the National Energy Commission to incorporate in the study of trunk transmission lines, the interconnection of independent systems or other works they consider necessary. Currently in Chile, situations in which distribution companies do not have valid energy supply contracts is not addressed in existing legislation. In the past, and most recently as a result of the Campanario bankruptcy in 2011, the government has implemented additional and specific measures to maintain uninterrupted energy supply to distribution companies. In this case, the authorities required all the CDEC-SIC generators to supply Campanario s contracts with two distribution companies based on their pro rata contributions of effective injections to the system. In the future, and depending on demand and supply conditions in the electricity market in Chile, the Company could have an impact on its financial statements. However, the diversified portfolio of AES Gener, which includes non-contracted back-up plants, partially mitigates this risk. In the past few years, Colombian authorities have discussed proposals to make certain regulatory changes. One proposal is to replace or complement the current public auction system in which each distribution company holds an auction for its specific requirements and subsequently executes bilateral contracts with generation or trading companies, with a centralized auction in which the market administrator purchases energy for all distribution companies. Additionally, a proposal has been discussed which would allow authorities to dictate emergency energy situations, in cases such as severe drought conditions, in order to implement measures to prevent shortages and other negative economic impacts. In Argentina, since 2001, significant modifications have been made to the electricity regulatory framework. These modifications include tariff conversion to Argentinean Pesos, freezing of tariffs, the cancelation of inflation adjustment mechanisms and the introduction of a complex pricing system, which have materially affected electricity generators and other market agents, and generated substantial price differences within the market. On March 26, 2013, the Argentine government introduced a resolution (Resolution 95-2013) which amended the current regulatory framework and will be applied to electric generation companies with certain exceptions. In 28

accordance with this regulation, a new remuneration system, moving from a marginal cost to average cost market, which is based on compensating fixed costs, variable non-fuel costs and an additional margin. Based on Note 2053, sent by the Ministry of Energy in March 2013, it is understood that TermoAndes units are not affected by the resolution. As a result, the Company does not expect this amendment to have an impact on TermoAndes operations. AES Gener cannot guarantee that the laws or regulations in the countries in which it operates or has investments will not be modified or interpreted in a manner which could adversely affect the Company or that governmental authorities will effectively grant any approval requested. AES Gener actively participates in the development of the regulatory framework, submitting comments and proposals to the proposed regulations presented by authorities. Environmental Regulation AES Gener is also subject to environmental regulations, which, among others, require that it perform environmental impact studies for its future projects and obtain regulatory permits. AES Gener cannot guarantee that governmental authorities will effectively grant any environmental approval requested. It should be noted that in June 2011, a new regulation on air emission standards was enacted which established new emission limits for particulate matter and gases produced of thermoelectric power generation. For existing plants, including those currently under construction, the new limits for particulate matter emission will go into effect by the end of 2013 and the new limits for SO2, NOX and mercury emission will begin to apply by mid-2016, with the exception of plants that operates in zones declared as latent or saturated, where the limits will go into effect in June 2015. In order to comply with the new emission standards, between 2012 and 2015, AES Gener will invest approximately US$251 million, at a consolidated level, in emissions reduction equipment in four older coal plants (constructed between 1964 and 1997) and approximately US$110 million in the coal units owned by equity-method investee Guacolda. Both AES Gener and Guacolda have already executed contracts with equipment suppliers and initiated works in order to comply within the required timeframe. It should be noted that works at AES Gener Group are currently underway, in compliance with current regulation. AES Gener initiated these investments in 2012, and the total investment reached approximately ThUS$155,400 million as of December 31, 2013. Additionally, in 2013, Guacolda initiated the installation of emission control equipment at Units I, II and IV, totaling, as of December 31, 2013, an investment of ThUS$36,900. AES Gener s coal plants that initiated operations in recent years (Nueva Ventanas and Ventanas IV in the SIC and Angamos Units I and II in the SING) will not require additional investments. Tax Regulation AES Gener, its subsidiaries and affiliates are subject to existing tax legislation in each country where they operate. Amendments to laws or modification in tax rates may have a direct effect on earnings. 29

In Chile, on September 27, 2012, Tax Reform Law 20,630 was published, the principal impact of which was a permanent increase in the first category corporate tax rate from 17% to 20%. Similarly, in Colombia, on December 26, 2012, Tax Reform Law 1620 was published. Under this amendment, the corporate income tax rate was reduced 33% to 25%; additionally, however, a new tax called the "Equality Income Tax" (CREE) equivalent to 8% was adopted. Nonetheless, the tax reform specified that this new tax will temporarily be equal to 9% in years 2013, 2014 and 2015, before being reduced to the permanent rate of 8%. Finally, in Argentina in 2012, the government announced the termination of the tax treaty between Chile and Argentina which prevented double taxation, effective from January 1, 2013. 30

AES GENER AND SUBSIDIARIES CONSOLIDATED BALANCE SHEET AS OF DECEMBER 31, 2013 AND DECEMBER 31, 2012 INTERNATIONAL FINANCIAL REPORTING STANDARDS ASSETS 12-31-2013 12-31-2012 THUS$ THUS$ Current Assets Cash and Cash Equivalents 707,516 397,204 Other Current Financial Assets 25,462 10,108 Other Current Non-Financial Assets 15,263 7,612 Trade and Other Receivables 333,421 312,627 Related Party Receivables 1,680 8,754 Inventory 109,760 90,703 Taxes Receivables 23,346 28,568 Total Current Assets 1,216,448 855,576 Non-Current Assets Other Non-Current Financial Assets 83,377 14,140 Other Non-Current Non-Financial Assets 40,614 17,988 Trade and other Receivables 1,402 6,083 Investments in Associates 321,759 276,153 Intangible Assets 48,765 39,818 Goodwill 7,309 7,309 Property, Plant and Equipment 4,871,754 4,599,363 Deferred Taxes 474 14,976 Total Non-current Assets 5,375,454 4,975,830 TOTAL ASSETS 6,591,902 5,831,406 31

AES GENER AND SUBSIDIARIES CONSOLIDATED BALANCE SHEET AS OF DECEMBER 31, 2013 AND DECEMBER 31, 2012 INTERNATIONAL FINANCIAL REPORTING STANDARDS LIABILITIES AND SHAREHOLDERS' EQUITY 12-31-2013 12-31-2012 THUS$ THUS$ Current Liabilities Other Current Financial Liabilities 444,135 124,281 Trade and Other Payables 374,882 254,750 Related Party Payables 17,517 17,017 Provisions 2,624 4,588 Taxes Payable 13,266 49,870 Employee Benefits 1,244 2,333 Other Current Non-Financial Liabilities 38,581 38,459 Total Current Liabilities 892,249 491,298 Current Liabilities Other Non-Current Financial Liabilities 2,425,982 2,272,486 Trade and Other Payables 55,318 35,441 Related Party Payables 47,019 - Provisions 65,892 81,125 Deferred Taxes 417,144 412,365 Employee Benefits 36,505 38,305 Other Non-Current Non-Financial Liabilities 14,827 19,365 Total Non-Current Liabilities 3,062,687 2,859,087 Net Equity Issued Capital 1,901,720 1,901,720 Retained Earnings (Losses) 537,818 546,430 Share premium 49,908 49,908 Other Components of Equity 223,817 222,859 Other Reserves (169,907) (243,250) Total Equity Attributable to Shareholders of Parent 2,543,356 2,477,667 Non-Controlling Interest 93,610 3,354 Total Net Equity 2,636,966 2,481,021 TOTAL LIABILITIES AND EQUITY 6,591,902 5,831,406 32

AES GENER AND SUBSIDIARIES CONSOLIDATED INCOME STATEMENT FOR THE PERIOD DECEMBER 31, 2013 AND 2012 INTERNATIONAL FINANCIAL REPORTING STANDARDS INCOME STATEMENT 12M 2013 12M 2012 THUS$ THUS$ Operating Revenue 2,244,790 2,327,721 Cost of Sales (1,734,711) (1,737,828) Gross Profit 510,079 589,893 Other Operating Revenues 972 2,057 Selling, General and Administrative Expenses (113,366) (145,120) Other Operating Expenses (4,608) (3,066) Other Income / (Loss) 5,239 7,433 Financial Income 8,962 8,407 Financial Expense (123,906) (115,452) Equity Participation in Net Income of Associates 38,526 9,187 Foreign Currency Exchange Differences (38,856) (3,633) Net Income (Loss) before Taxes 283,042 349,706 Income Tax Income (Expense) (84,525) (146,778) Income (Loss) from Discontinued Activities - - Net Income (Loss) 198,517 202,928 Income Attributable to Shareholders of Parent 201,321 202,933 Income (Loss) Attributable to Non-Controlling Interests (2,804) (5) Net Income (Loss) 198,517 202,928 33

AES GENER AND SUBSIDIARIES CONSOLIDATED CASH FLOW STATEMENT AS OF DECEMBER 31, 2013 AND 2012 INTERNATIONAL FINANCIAL REPORTING STANDARDS CONSOLIDATED CASH FLOW STATEMENT FROM JAN 1, 2013 TO DECEMBER 31, 2013 THUS$ FROM JAN 1, 2012 TO DECEMBER 31, 2012 THUS$ Net Cash Flows provided by (used in) Operating Activities Receipts from Customers 2,886,910 3,069,033 Other Receipts from Operating Activities 14,851 102,321 Payments to Suppliers (2,240,386) (2,210,168) Payments made to Employees (69,759) (110,304) Other Payments for Operating Activities (17,296) (28,413) Payments of Dividends (209,932) (316,707) Receipt of Dividends 1,996 13,409 Payment of Interests (111,475) (99,028) Receipt of Interests 8,938 7,193 Income Taxes Paid (104,018) (79,055) Other Operating Outflows from Operating Activities (19,467) (94,956) NET CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES 140,362 253,325 Net Cash Flows provided by (used in) Investing Activities Proceeds from sales of Property, Plant and Equipment 348 893 Purchases of Property, Plant and Equipment (531,614) (419,182) Proceeds from Sale of Intangible Assets - 3,927 Purchases of Intangible Assets (6,139) (6,824) Other Inflows (Outflows) from Investing Activities 983 182,047 Net Cash Flows provided by (used in) Investing Activities (536,422) (239,139) 34

AES GENER AND SUBSIDIARIES CONSOLIDATED CASH FLOW STATEMENT AS OF DECEMBER 31, 2013 AND 2012 INTERNATIONAL FINANCIAL REPORTING STANDARDS CONSOLIDATED CASH FLOW STATEMENT (CONTINUED) FROM JAN 1, 2013 TO DECEMBER 31, 2013 THUS$ FROM JAN 1, 2012 TO DECEMBER 31, 2012 THUS$ Net Cash Flows provided by (used in) Financing Activities Proceeds from Share Issuance 108,695 12,361 Proceeds from Borrowings 706,619 - Repayments on Loans (32,435) (48,978) Payments on Financial Leasing Liabilities (2,042) (2,157) Other Financing Inflows (Outflows) of Cash and Cash Equivalent (50,636) 80 NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES 730,201 (38,694) INCREASE (DECREASE) IN NET CASH AND CASH EQUIVALENT 334,141 (24,508) Effects of Foreign Exchange Variations on Cash and Cash Equivalents (23,829) 12,555 Increase (Decrease) in Net Cash and Cash Equivalents 310,312 (11,953) Cash and Cash Equivalents at the Beginning of Period 397,204 409,157 CASH AND CASH EQUIVALENT AT THE END OF PERIOD 707,516 397,204 35

ABOUT AES GENER AES Gener generates and sells electricity in four markets, the Central Interconnected System (SIC) and the Greater Northern Interconnected System (SING) in Chile and the National Interconnected System (SIN) in Colombia. Additionally, the Company sells electricity to the Argentine Interconnected System (SADI). In Chile, AES Gener is the second largest electricity generation group in terms of generating capacity with installed capacity of 3,438 MW, composed of 3,167 MW of thermoelectric and 271 MW of hydroelectric capacity. The Company is the principal thermoelectric generator in the Chile, with a diversified plant portfolio that utilizes coal, natural gas, diesel and biomass as fuel. AES Gener also owns a dam-based hydroelectric plant in Colombia with a total nominal operating capacity of 1,000 MW and a natural gas fired combined cycle plant in Argentina with installed capacity of 643 MW. AES Gener possesses an attractive portfolio of development projects. AES Gener is 70.67% owned by The AES Corporation (AES). To learn more about AES Gener, please visit www.aesgener.com. ABOUT AES AES is one of the world s largest global power companies, with 2012 revenues of US$18 billion. With operations in 21 countries, AES s generation and distribution facilities have the capacity to serve 100 million people worldwide. The company s 9 regulated utilities amass annual sales of over 90,000 GWh and its generation facilities have the capacity to generate more than 37,000 megawatts. AES's global workforce of 25,000 people is committed to operational excellence and meeting the world s growing power needs. To learn more about AES, please visit www.aes.com or contact AES media relations at media@aes.com. 36