2002

2001

Jan.-March

Jan.-March

TH.US$

TH.US$

ASSETS

Current Assets:

1,024,303

987,378

Cash

5,203

2,118

Time deposits and marketable securities

7,401

46,710

Trade accounts receivable

223,283

170,677

Other accounts receivable

276,916

186,967

Inventories

486,641

564,059

Prepaid expenses

13,153

15,463

Other current assets

11,706

1,384

Property, Plant and Equipment:

4,203,574

4,170,829

Land, infrastructure and equipment, net

3,440,182

3,336,202

Construction-in-progress

485,516

547,037

Mine development,net

277,876

287,590

Other Assets:

889,927

680,311

Other assets

477,978

323,424

Contribution and Investments

265,346

254,372

Long-term accounts receivable

146,603

102,515

Total Assets

6,117,804

5,838,518

2002

2001

Jan.- March

Jan.-March

TH.US$

TH.US$

LIABILITIES AND EQUITY

Current Liabilities:

810,908

834,245

Bank debt

404,010

451,746

Accounts payable

209,683

174,762

Accrued liabilities and withholdings

192,064

205,872

Income taxes

0

133

Other current liabilities

5,151

1,732

Long-Term Liabilities:

2,588,411

2,279,021

Bank debt

875,000

725,000

7,375 % Notes due May 1, 2009

300,000

300,000

Provisions

565,394

537,716

Deferred taxes

840,898

706,107

Other long-term liabilities

7,119

10,198

Equity:

2,718,485

2,725,252

Paid-in capital

1,524,423

1,524,423

Other reserves

1,175,518

1,226,797

Net income of the period

18,544

40,701

Less : Distribution advances from profits to the Chilean Treasury Department

0

-66,669

Total Liabilities and Equity

6,117,804

5,838,518

STATEMENT OF INCOME

2002

2001

Jan.-March

Jan.-March

TH.US$

TH.US$

Operating Income

Sales of copper

683,411

810,684

Sales of by-products

66,926

65,504

750,337

876,188

Cost of sales

-568,341

-672,324

Gross profit

181,996

203,864

Selling and administrative expenses

-37,170

-23,008

Other operating expenses

-23,203

-7,530

Exchange adjustments

1,797

5,709

Operating income

123,420

179,035

Non-Operating Income

Interest income

1,332

2,021

Other income

11,564

23,106

Interest expenses

-17,632

-27,103

Other expenses

-14,213

-10,429

Non-operating loss

-18,949

-12,405

Income before taxes and contribution

104,471

166,630

Contribution Law N° 13196

-59,440

-70,991

Income taxes

-26,487

-54,938

Net income for the period

18,544

40,701

STATEMENT OF CASH FLOWS

2002

2001

Jan.-March

Jan.-March

TH.US$

TH.US$

CASH FLOWS FROM OPERATING ACTIVITIES

Receipts from customers

764,386

844,169

Other receipts

3,199

14,754

Payments to supplier, salaries and other costs

-561,720

-607,856

V.A.T. paid

-91,216

-90,345

V.A.T. recovered

78,776

82,783

Interest received

275

1,654

Interest paid

-3,222

-18,400

Income taxes paid

0

-2,565

Hedging operations

-8,022

-852

Dividends received

0

0

Net cash flows from operating activities

182,456

223,342

CASH FLOWS FROM INVESTING ACTIVITIES

Proceeds from sale of fixed assets

0

0

Investments in related companies

-18,420

-28,008

Sale and liquidation of companies

0

0

Additions to property, plant, equipment and mine development

-193,200

-155,835

Collection of accounts receivable

8,040

35,680

Long-term loans and other

-7,139

-8,717

Net cash flows from investing activities

-210,719

-156,880

CASH FLOWS FROM FINANCING ACTIVITIES

Bank financing

100,000

175,000

Repayment of debt

-30,000

-80,000

Distribution advances from profits to the Chilean Treasury Department

0

-92,225

Contribution under Law N° 13196

-55,856

-67,898

Interest rate hedging

0

-24,197

Net cash flows from financing activities

14,144

-89,320

CHANGE IN CASH AND CASH EQUIVALENTS

-14,119

-22,858

BEGINNING BALANCE OF CASH AND CASH EQUIVALENTS

26,723

42,613

ENDING BALANCE OF CASH AND CASH EQUIVALENTS

12,604

19,755

STATEMENT OF CASH FLOW (Continuation)
Reconciliation of Net Income to Cash Flows from Operating Activities

2002

2001

Jan.-March

Jan.-March

TH.US$

TH.US$

Net income for the period

18,544

40,701

Contribution Law N° 13196

55,856

67,898

Operating income

74,400

108,599

Charges (credits) to income not representing movements of cash :

155,758

161,577

Depreciation and amortization

121,370

110,846

Write-off of fixed assets, net

2,232

382

Realized gain on invesments in other companies

-7,103

-14,214

Equity income of subsidiaries

0

0

Increase (decrease) in long-term provisions, including the impact of exchange rate variation

13,083

-11,907

Deferred income taxes, net

11,235

53,990

Accrual for financial transactions

13,383

7,037

Impact of exchange rate variation in other accounts

1,558

15,443

Decrease (increase) in current assets

-1,964

3,796

Trade accounts receivable

-6,168

-42,674

Other accounts receivable

33,163

39,808

Inventories

-11,499

17,319

Prepaid expenses

-6,235

-9,938

Other current assets

-11,225

-719

Increase (decrease) in current liabilities

-45,738

-50,630

Accounts payable

-32,865

-36,423

Accrued liabilities and withholdings

-14,464

-10,800

Other current liabilities

1,591

-425

Income taxes payable

0

-2,982

Net cash flows from operating activities

182,456

223,342