EARNINGS RELEASE 2010 SACI Falabella

1 March 2011

Main Facts
Consolidated Income Statements

Business Units

Investment Plan

MAIN FACTS OF THE YEAR

Strong Growth in Revenues +16.6%, EBITDA 35.8% and Net Income 69.1% Investment Plan for 2010: 27 stores, 3 Shopping malls 16 stores and 2 Shopping malls were opened during the 4th Quarter UF 5.6 Million of corporate bonds were prepaid by Falabella ( 4.5 Mill) and Sodimac (1.1 Mill) Mall Plaza issued UF 5 Million in local bonds Falabella sold its stake in Farmacias Ahumada S.A.

HIGHER REVENUES & EBITDA MARGIN

2.801

4th QUARTER

2.346

+ 19,4%
18,1%

16,4%

4Q2009
Revenues

4Q2010
EBITDAMg(%)

FULL YEAR
8.117

9.467

+ 16,6 %
15,9% 13,7%

2009

2010
Revenues EBITDAMg(%)

(*) Revenues in MMUS$ translated at ER of December 2010

DIVERSIFICATION OF REVENUES
2009 MMUS$ 8.117
3,2% 6,2% 19,1%

2010 MMUS$ 9.467

4,6% 7,0% 18,7% Chile Per Argentina Colombia 69,6%

71,5%

Higher growth of Revenues in Colombia

5
(*) IFRS Revenues in US$ translated at ER of December 2010

FINANCIAL SITUATION
LEVERAGE (times)
0,94 0,87 0,85 0,84 0,90

NET FINANCIAL LEVERAGE (times)

0,54 0,52 0,51 0,52 0,49

Dic09

Mar10

Jun10

Sep10

Dic10

Dic09

Mar10

Jun10

Sep10

Dic10

Financial Debt / EBITDA (times)

3,34 3,15 2,91 2,69 2,39

DURATION: Increasing from 4,1x in 2009 to 4,6x in 2010

Dic09

Mar10

Jun10

Sep10

Dic10

NOTE: Banco Falabella Chile, Banco Falabella Per and CMR Colombia are not included

Main Facts

Consolidated Income Statements

Business Units

Investment Plan

QUARTERLY INCOME STATEMENT

OCTOBER - DECEMBER of 2010
Mill of CLP Revenues from non banking Operations Revenues from banking Operations Total Revenues COGS from non banking Operations COGS from banking Operations Gross Margin SG&A Expenses Operational Income EBITDA Non-Operating Profit Profit before tax expenses Income Tax Minority Interest Net Profit /(Loss)

4Q 2009
1.038.635 59.399 1.098.035 (672.438) (24.396) 401.200 (245.322) 155.878 179.979 868 156.746 (29.984) (12.732) 114.031

% Rev.

4Q 2010
1.244.067 66.938 1.311.005 (764.230) (25.317) 521.458 (312.812) 208.646 237.897 14.026 222.672 (37.856) (15.723) 169.092

% Rev.

Change 10/09

36,5% -22,3% 14,2% 16,4% 0,1% 14,3%

39,8% -23,9% 15,9% 18,1% 1,1% 17,0%

19,8% 12,7% 19,4% 13,7% 3,8% 30,0% 27,5% 33,9% 32,2% 1515,6% 42,1% 26,3% 23,5% 48,3%

10,4%

12,9%

CUMULATIVE INCOME STATEMENT

CUMULATIVE JANUARY - DECEMBER of 2010
Mill of CLP Revenues from non banking Operations Revenues from banking Operations Total Revenues COGS from non banking Operations COGS from banking Operations Gross Margin SG&A Expenses Operational Income EBITDA Non-Operating Profit Profit before tax expenses Income Tax Minority Interest Net Profit /(Loss)

2009
3.575.153 223.817 3.798.970 (2.383.579) (99.299) 1.316.092 (901.061) 415.031 519.054 2 88 (66.318) 348.713 (72.307) (31.949) 244.458

% Rev.

2010
4.179.424 251.005 4.430.429 (2.725.727) (91.938) 1.612.764 (1.017.822) 594.942 704.737 0 9 (48.181) 546.761 (93.482) (39.931) 413.347

% Rev.

Change 10/09

34,6% -23,7% 10,9% 13,7% -1,7% 9,2%

36,4% -23,0% 13,4% 15,9% -1,1% 12,3%

16,9% 12,1% 16,6% 14,4% -7,4% 22,5% 13,0% 43,3% 35,8% -27,3% 56,8% 29,3% 25,0% 69,1%

6,4%

9,3%

Main Facts

Consolidated Income Statements

Business Units
Investment Plan

10

DEPARTMENT STORES
CUMULATIVE REVENUES (MMUS$*)
2.892 + 21,9 % 3.525 1.681 + 18,2 % 1.987 629 705 376 473 206 360

Strong Revenues Growth

SSS increase in every country during 2010 Strong contribution of Colombia

Total

Chile

+ 12,1 %

Positive Outlook
Consumption Dynamism Efficient Inventory management Low exchange rates

Per

Argentina

+ 25,9 %

2009

2010

Colombia

+ 74,9 %

11
(*) IFRS Revenues in US$ at ER of December 2010

HOME IMPROVEMENT
CUMULATIVE REVENUES (MMUS$*)
3.399 + 18,1 % 4.014 2.281 + 16,3 % 2.652 255 + 14,8 % 292 92 + 61,1 % 149 771 + 19,5 % 922
2009 2010

Growth of Revenues
Recovery of consumption levels SSS increase in every country Contribution of new stores in Argentina

Total

Chile

Per

Efficiencies
Maturity of Peru and Argentinas stores Even with Pre operating pressures in Argentina and Peru

Argentina

Colombia

12
(*) IFRS Revenues in US$ at ER of December 2010

SUPERMARKETS
CUMULATIVE REVENUES (MMUS$*)

Total 1.118 + 13,2 % 1.266

Growth of revenues
SSS Chile: 6,1% SSS Peru: 14,3% 12 new stores

Chile

680 + 9,1 % 742 438 + 19,6 % 524

Controlled SG&A expenses

Per

2009

2010

Strengthening key areas in the value chain

Logistics Private Labels Store Operation

13

(*) IFRS Revenues in US$ at ER of December 2010

FINANCIAL RETAIL
GROSS LOANS (MMUS$*) + 21,4 % 3.572 4.429
1.585 1.898 + 19,7 % 1.340 1.560 414 + 23,7 % 512 85 188
+ 122,5 %
2009 2010
Gross Loans in US$ Mill and Provisions/ Gross Loans
3.572 3.628 3.854 4.045 4.429

Total CMR Chile Bco Chile Peru Argentina Colombia

4,49%

4,46%

4,04%

3,69%
Sep10

3,37%
Dic10

Dic09

Mar10

Jun10

+ 16,4 %

Loans Growth Controlled Risk

148 272 + 83,2 %

- NPL Provisions below historical levels

Strengthening value offering

- CMR Visa card

(*) Loans at US$ of December 2010

14

PLAZA S.A.
Evolution in Mall stores sales (Mill. of US$) Chile
2.729 1.978

+ 33,8 %

3.652

Revenues Growth
Consumption level recovery Peru Business improvement Format increase in attractiveness

2008 2009 2010

239

Investment in 2010
Existing Mall GLA increase in Chile New mall in Arequipa, Peru Entry to Colombia

Per
180 119

+ 32,8 %

15
2008 2009 2010

Main Facts

Consolidated Income Statements

Business Units

Investment Plan

16

STORES OPENED DURING 2010

7 Stores 13 Stores 3 Shopping Malls 3 Stores 4 Stores

Falabella
San Felipe

Saga Falabella
Angamos Piura Arequipa

Falabella
Tortugas

Falabella
Centromayor Santa Fe Pereira

Imperial
Hualpen

Sodimac
Vicente Lopez Tortugas

Sodimac
Angamos Piura Arequipa

Tottus
Padre Hurtado San Felipe Talca Pealoln Catedral

Sodimac
Bucaramanga

Tottus
Angamos Isil Naciones Unidas Tusilagos Piura Arequipa (2)

27 new Stores 3 Shopping Malls

17

Open Plaza (2) Aventura Plaza (1)

ACCELERATING INVESTMENT PLAN

MMUSD

911

1.035 637 467 461

US$3.511 Millions

2011

2012

2013

2014

2015

5 2

4 3 2

42

48

53 40 32

215 new Stores 16 Shopping Malls

2011

2012

2013
Stores Malls

2014

2015

Stores: 242 Malls : 19

Stores: 457 Malls : 35

18

DISCLAIMER
This presentation contains forward-looking statements, including statements regarding the intent, belief or current expectations of the Company and its management. Investors are cautioned that any such forward-looking statements are not guarantee of future performance and involve a number of risks and uncertainties including, but not limited to, the risks detailed in the companys financial statements, and the fact that actual results could differ materially from those indicated by such forward-looking statements.

19

CONTACT INFORMATION
Jordi Gaju N. Chief Development Officer (jgaju@falabella.cl)
Telfono: 56-2-380 2007

Alejandro Gonzlez D. Chief Financial Officer (alejgonzalez@falabella.cl)

Telfono: 56-2-380 2205

Humberto Solovera R.
Corp. Planning & Development Engineer / Investor Relations

Domingo Godoy U.
Corp. Planning & Development Engineer / Investor Relations

(hsolovera@falabella.cl)
Telfono: 56-2-380 2007

(dgodoy@falabella.cl)
Telfono: 56-2-380 2007
20

21 March 2011