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1 Corporate Presentation Organización Terpel S.A. April 2013
1
Corporate
PresentationOrganización Terpel S.A.
April 2013
2
Organización Terpel: more than just fuel
Colombia's largest
distributor of fuels
42% liquid fuels
Mkt. share*
46% VNG Mkt. share*
Consolidated income
as of Dec. 2012**
COP $12.1trillion COP
The most extensive
network of Service
Stations in
Colombia
2,013 liquid fuels
and VNG SS**
Sales as of Dec.
2012
1,873 MM gals. of
fuel,
421M m³ of VNG
and 7.8 MM gals. of
lubricants
Corporate risk
rating and
issuance rating
AAA
Fitch Ratings
Colombia
Consolidated
EBITDA as of Dec.
2012***
COP $482,168 million COP
Presence in 6
countries of the
region in different
lines of business
USD $11.1 MM
Investments for the
benefit of groups of
interest from
2004 to 2012
(*) Source: Issuer's calculations based on the volume reported by Colombian Ministry of Treasury and Public Credit
Tax Support Direction Office, through the collection of the overall surcharge. Figures as of Dec. 2012
** Figures as of March, 2013
*** Figures do not include Peru
3
More than 40 years providing Colombia with
mobilization solutions
1968 1972-1993 2000-2001 2004-2006 2007 2008-2009 2010 2011 2012
Foundation
of Terpel
Entrance to
aviation and
marine
businesses
1st lubricant
factory
Foundation of
the other
Terpel
companiesCreation
Organización
Terpel (OT)
Creation of
SIE
Capitalization
of OT
Acquisition of
Ecomex &
Lutexsa
Acquisition
of Gazel
COPEC
acquires
control
Entrance
into the
Dominican
Republic
OT - Gazel
merger
Acquisition
of Repsol
YPF Chile
Acquisition
of
Petrolera
Nacional
4
Wide National and Regional Coverage
No. No. Ranking% Mkt.
share*
Lines of
business
4 -- 1 100%(VNG
only)
-- 4 2 43% Aviation
88 -- 3 19%
2,013** 20 1
42% SS
46% VNG
64% Aviation
57 -- 6 7%
20 -- 2 10%(VNG
only)
(*) Source: Issuer's calculations. Figures as of March, 2013
(**) 1,877 liquid fuel SS and 284 VNG SS, of which 148 SS are both VNG and liquid fuels.
5
Corporate Structure
34.61%28.46%
67.41%
52.7%
98.2%
14.4%4.13%
Terpel
Centro
99% 99%100%99% 100% 100%
Organización
Terpel
Dominican
Republic
Other
shareholders
Organización
Terpel Chile
S.A.
Inversiones
Organización
Terpel Chile
Ltda
GNC
Inversiones SAS
Petrolera
Nacional S.A.
(Panama)
Operaciones y
Servicios de
Combustibles
SAS
C.I. Terpel
Combustibles
S.A.S
PGN Gas Sur
S.A.C
PGN Gas Norte
S.A.C.
Combustibles
Ecológicos
Mexicanos S.A.
Peruana
de Gas
95%
100%* 96,64%
50% 50%
(*) After January, 2013, demerger
6
GAZEL MARKET SHARE**2012 SALES VOLUME OF LIQUID VNG
TERPEL MARKET SHARE*2012 SALES VOLUME OF LIQUID FUELS
42%58%
Others
TERPEL VOLUME GROWTH VS. MARKET*
Terpel in Colombia
GAZEL VOLUME GROWTH VS. MARKET**
46%54%
Others
(*) Source: Issuer's calculations based on the volume reported by the Tax Support Direction Office, through the
collection of the overall surcharge. Figures as of December, 2012
(**) Source: Issuer's calculations
7
Pillars of Our Corporate Strategy
In 2017, thanks to a highly
effective team, we will be
the leaders in market
share, with the best brand
positioning, and we will be
recognized for being the
number one in service
and for our commitment to
the country.
The best infrastructure
The best price
The best service
NETWORK
8
The market leader with 42% of share in liquid
fuels and 46% in VNG*
The largest distribution network of liquid
fuels and VNG in Colombia (2,013 SS**)
Wide national coverage: presence in 30 states
Conversions to VNG in exchange for
consumption Financing Program
It represents Colombia's 67% of the volume,
74% of EBITDA, and 68% of CAPEX
VOLUME (MM gals.)
CAGR:4.7%
SS (Service Stations)
(*) Source: Issuer's calculations based on the volume reported by the Tax Support Direction, through the collection
of the overall surcharge. Figures as of March, 2013 (**), 1,877 liquid fuel SS and 284 VNG SS, of which 148 SS
supply both VNG and liquid fuels.
9
A new model of convenience stores that
offers a unique experience thanks to the
sale of traditional food products of the
region.
A smaller format of supplementary service
stores with a wide range of services (food,
WiFi).
A modern, agile and innovative system of
auto-car wash.
A fast and agile service where you can
find snacks and other products while
pumping gas.
Self-service with vending and teller
machines for customers.
A wide network of ATMs, flat tire service,
and filter sales that completes Terpel
services.
Supplementary Services
Other SS
10
Corporate Mobility (Fleets)
Presence in the main road corridors, logistic,
and tourist centers in the country
Pioneer in the decentralized supply and
centralized billing model
Chip for the electronic fuel pump
Fuel control and management system
180 fuel customers
209 VNG customers
VOLUME (MM gals.)
CAGR:23.2%
28.7 31.640.6
53.6
0.0
10.0
20.0
30.0
40.0
50.0
60.0
2009 2010 2011 2012
11
Lubricants
The Bucaramanga plant supplies the local
market and exports to Ecuador and Chile
ICONTEC certified plant (ISO 9001, ISO 14001)
and accredited laboratory that meets ISO/IEC
17025 (2005) international standards
Automotive lubricants with state-of-the-art
technology and environmental benefits
20.8% market share in 2012*. Second place in
sales in the retail channel
In 2012, Terpel Celerity Bio Anti-Smoke (for 2-
stroke motorcycles) was nominated to the
Accenture Innovation Award
It represents Colombia's 0.5% of volume, 6% of
EBITDA and 6% of CAPEX
VOLUME (MM gals.)
CAGR: 8.8%
(*) Source: AC Nielsen
5.7 6.2 7.1 7.3
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
2009 2010 2011 2012
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Industrial Customers
Focus on mining, petroleum, transportation,
construction and agro-industry sectors
Fuel supply to internal facilities of industrial
customers
Portfolio of products and integrated services
Fuel supply to more than 700 customers
It represents Colombia's 14% of the volume, 8% of
EBITDA and 3% of CAPEX
VOLUME (MM gals.)
CAGR:13.4%
114.5167.2 188.6 210.5
0.0
50.0
100.0
150.0
200.0
250.0
2009 2010 2011 2012
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Aviation
Market leader with 64% of market share
Supply of JET-A1 and Avgas fuel in 20
airports in Colombia
Leading operator of El Dorado airport
IATA strategic partner, the International Air
Transport Association, thanks to the high
operation standards
Business with ISO certification (Quality,
Safety and Environment)
It represents Colombia's 15% of the
volume, 9% of EBITDA and 4% of CAPEX
VOLUME (MM gals.)
CAGR:12.9%
(*) Source: Issuer's calculations based on information from Ecopetrol
155 175.5 178.4 222.2
0
50
100
150
200
250
2009 2010 2011 2012
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Marine Sector
Incursion into supply of bunker fuel for
large vessels that move cargo arriving in
Colombian ports.
Growing market in which Terpel begins
operations.
Trading through:
CI Terpel combustible (IFOS)
Terpel (marine diesel)
VOLUME (MM gals.)
CAGR: -8.7%
12.7 11.37.9 9.6
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
2009 2010 2011 2012
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Regional Operations
PANAMA ECUADOR DOMINICAN
REPUBLIC
MEXICO PERU
16 MM gals. in
2012 sales
Exclusive supply to
Lima's mass transit
system
7 MM gals. in 2012
sales
The only VNG
marketer
40 MM gals. in
2012 sales
Operation in 4 of
the most important
airports
124 MM gals. in
2012 sales
Average sales per
SS 25% above
market**
164 MM gals. in
2012 sales
% growth of
market share : 13%
(2006) vs. 18%
(2012)*
(*) Source: Issuer's calculations based on information from the Energy Secretariat of Panama
(**) Source: Issuer's calculations based on information from Petroecuador
SS network
expansion plan
Business
consolidation
Assessing
incursion into SS
and sales to
industrial
customers
SS network
expansion plan
Brand positioning
and
strengthening of
the SS network
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INITIATIVES / PROGRAMS / CERTIFICATIONS
ISO Certifications
Signatories of the United Nations Global
Pact
Sustainability Report: B +
Terpel training schools
Committed to sustainable development
Strengthening, growth, and
sustainability
To be the best option for our
customers
To generate value, trust, and
development in our supply chain
To operate with respect for the
environment
To contribute to the well-being of
society and our communities
To promote Terpel staff talent
To act ethically, transparently,
and with respect for human
rights
Sust
ain
abilit
y
stra
tegic
appro
aches
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OT Team’s Experience in the Industry
Daniel PereaCorporate and Legal Affairs VP
7 years
Sylvia EscovarPresident
10 years
Olga Lucia MoraHuman and Administrative Resources VP
10 years
Kenneth SiefkenMarketing VP
11 years
Oscar BravoCFO
8 years
Tony QuinteroCommercial VP: Fuels
15 years
Juan Pablo GiraldoLubricants VP
5 years
José Carlos BarretoOperations and Logistics VP
6 years
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Corporate Government Structure
Audit and
Corporate
Governance
Committee
Compensation
and Benefits
Committee
BOARD OF DIRECTORS7 Members
GENERAL SHAREHOLDERS ASSEMBLY
PRESIDENT
Control Bodies
Tax Auditor
Internal
Audit
Authorities
(CFS, SISoc.)
PRESIDENT
MAIN Substitute
Gabriel Sanchez Juan Fernando Múnera
Lorenzo Gazmuri Frederic Chaveyriat
Jorge Andueza Eduardo Navarro
Ramiro Méndez Claudia Betancourt
Arturo Natho Jorge Garcés
José Oscar Jaramillo Gabriel Jaramillo
Tulio Rabinovich Bernardo Dyner
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90%
7%
1%
2%
82%
9%7%
0.4%
3%
EBITDA GENERATION % PER COUNTRY(*) 2012
SALES VOLUME EVOLUTION (MM gals.)CAGR: 8.4%
SALES VOLUME % BY COUNTRY(*) 2012
Consolidated Operating Results
EBITDA EVOLUTION (*) (thousand MM COP$)
CAGR: 8.0%
(*) It does not include Peru
1,458 1,565 1,683 1,858
-
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2009 2010 2011 2012
381 434 453
482
5.3% 5.2%
4.4% 4.2%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
-
100
200
300
400
500
600
2009 2010 2011 2012
EBITDA margin
20
8.66.9
6.0 5.7
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
10.0
2009 2010 2011 2012
CAGR: -13%
3.74.5 4.6 6.4
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
2009 2010 2011 2012
364.9 410.7 421.8 439.3
-
50.0
100.0
150.0
200.0
250.0
300.0
350.0
400.0
450.0
500.0
2009 2010 2011 2012
15.0 17.3
25.431.5
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
2009 2010 2011 2012
C CAGR: 6.4% CAGR: 28% CAGR: 19.9%
Regional Value Generation
CAGR: N.A. CAGR: N.A.
EBITDA (COP thousand million)
0.7
6.5
0
1
2
3
4
5
6
7
2009 2010 2011 2012
-7.9
-1.2 -0.7 ---0.8
-9.0
-8.0
-7.0
-6.0
-5.0
-4.0
-3.0
-2.0
-1.0
0.0
2009 2010 2011 2012
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Indicators
TRENDS OF INDEBTEDNESS INDICATOR TRENDS OF COVERAGE INDICATOR
