REPORT AND ACCOUNTS - altri.pt/media/Files/A/Altri-V2/reports-and-presentations/reports/english/2018/... · - Celtejo – Empresa de Celulose do Tejo, S.A. (Vila Velha de Ródão)

REPORT AND ACCOUNTS

30 June 2018

RELATÓRIO DO CONSELHO DE ADMINISTRAÇÃO

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REPORT AND ACCOUNTS 1H2018

TABLE OF CONTENTS

INTRODUCTION .......................................................................................................................................... 4

STOCK EXCHANGE EVOLUTION .............................................................................................................. 6

GROUP’S ACTIVITY .................................................................................................................................... 8

FINANCIAL REVIEW ................................................................................................................................. 10

OUTLOOK .................................................................................................................................................. 12

SUBSEQUENT EVENTS ............................................................................................................................ 13

CORPORATE GOVERNANCE .................................................................................................................. 14

LEGAL MATTERS ..................................................................................................................................... 15

CLOSING REMARKS ................................................................................................................................ 17

STATEMENT UNDER THE TERMS OF ARTICLE 246, PARAGRAPH 1, C) OF THE SECURITIES MARKET CODE ......................................................................................................................................... 19

STATEMENT OF RESPONSABILITY ....................................................................................................... 19

CONSOLIDATED FINANCIAL STATEMENTS AND NOTES………………………………………………... 21

Management Report


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REPORT AND ACCOUNTS 1H2018 I. Management Report

(This is a translation of a document originally issued in Portuguese.

In the event of discrepancies, the Portuguese language version prevails – Note 20)

To the Shareholders

Pursuant to the legal requirements, the Board of Directors of Altri, SGPS, S.A. (“Altri”) hereby presents its Management Report for the first half of 2018.

INTRODUCTION Altri was incorporated as of March 2005, as a result of Cofina’s demerger. Altri is a reference European producer of bleached eucalyptus pulp and is a listed company included in Euronext Lisbon, integrating the PSI 20 (Portuguese Stock Index), the benchmark stock market index. In addition to pulp and dissolving pulp production, the company is also present in the sector of renewable energy based on forest resources, namely industrial cogeneration from black liquor and biomass. The forestry strategy is based on full use of all the components provided by the forest: pulp, black liquor and forest wastes. Over the past years, Altri invested in Portugal more than 600 million Euro on its industrial units. Currently, Altri owns three pulp mills in Portugal with a total capacity over 1 million tons/year of bleached eucalyptus pulp in 2017. Forest is a strategic asset of Altri, with a forest area under management amounting 79,000 hectares in Portugal. Eucalyptus stands out as the main production of Altri’s forest, ensuring a self-supply of wood and biomass that complements the market supply. This forest area is certified by the Forest Stewardship Council® (FSC®)1 and by the Programme for the Endorsement of Forest Certification (PEFC), two of the most worldwide acknowledged certification entities. Altri Florestal management practices are certified by the main sustainable forest management certification systems, ensuring the achievement of the company’s current and future goals. Although Altri’s forests are scattered across the country, the vast majority is concentrated in Tejo’s valley close to the group’s mills, increasing its relevance. This proximity has a strategy importance as it allows the optimisation of transportation costs, as well as an increase in efficiency in wood mobility when compared to productions held at higher distances. Altri’s industrial strategy implementation is based on integrated forest management in Portugal. This model is based on forest optimisation, ensuring a full recovery of all its components. Thus, the eucalyptus is processed in Altri mills, producing pulp and power (cogeneration). The bark, the branches and forest waste are used to produce electric energy from biomass. Altri’s development strategy is clearly based on strengthening its operating efficiency and, at the same time, the diversification of revenue into segments with higher value added, enabling an increase in the value chain. In order to compete in the commodities market and with an adverse exchange rate environment, the Company has to cut its operating costs to invest on the production of higher value-added products, allowing for future growth, despite the increases of pulp production capacity in recent years and despite the investments already announced for the near future all over the world. Altri aims to be the most efficient producer in placing pulp at the client’s facilities. Since the beginning of its activity Altri carried out various acquisitions (Celtejo in 2005 and in 2006 Celbi) that allowed Altri to reinforce its position in its operating markets through the development of several capacity increase projects.

1 FSC‐C004615


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For a better valuation of forest resources, Altri acquired in 2005, 50% of EDP Produção – Bioeléctrica, S.A., in a joint venture with EDP to produce electricity from forest biomass. This company is leader in its market segment with a share of 50% of licenses to produce electricity through forest biomass.


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STOCK EXCHANGE EVOLUTION (Note: in order to enable a better comparison of the stock fluctuations, the PSI 20 index has been considered as being equal in value to the opening price of the shares.)

Altri’s share price closed in the first half of 2018 at 8.650 Euro per share, an increase of 67.3% over the end of 2017. The market capitalization at the end of that period was around 1,774 million Euro. During the first half of 2018, Altri’s shares were traded at a maximum price of 8.840 Euro per share and at a minimum of 4.410 Euro per share. In total, 41.9 million shares were traded in the first half of the year.

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Stock Exchange evolution of Altri's shares and PSI20 (%)

Altri PSI-20


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The main events that marked the evolution of the Company’s shares in the first half of 2018 can be described chronologically as follows:

On March 8th, 2018, the Group announced its financial performance for the year 2017, reaching a consolidated net profit of 96.1 million Euro. Total revenue amounted to 665.8 million Euro. Consolidated EBITDA amounted to 191 million Euro, being a record year in terms of production and pulp sales. On that date, shares closed at 4.78 Euro per share;

As of 20 April 2018, Altri announced to the market the issuance, by its subsidiary Celbi, of “CELBI 2018/2026” bonds, in the nominal amount of 50,000,000 Euro;

In the press release issued on May 10th, 2018, Altri announced that the dividends for the 2017 fiscal year, corresponding to 0.30 Euro per share, would be paid as from May 30th;

Through an announcement made on May 11th, the Group released the results for the first quarter of 2018. In that period, total revenue amounted to 173.4 million Euro, EBITDA reached about 63.3 million Euro, while the consolidated net profit amounted to 32.7 million Euro;

As of 28 May 2018, Altri announced to the market the issuance, by its subsidiary Celbi, of “CELBI 2018/2028” bonds, in the nominal amount of 50,000,000 Euro.

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Stock Exchange evolution

Altri

May 10:Div idends pay ment announcement

Mar 8:2017 Earnings announcement

May 11:1Q18 Earnings announcement


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GROUP’S ACTIVITY With its genesis in the reorganization process of Cofina, held in 2005, with the purpose of setting into a separate holding the industrial operations, Altri held until June 1, 2008 the investments in pulp and in steel and storage systems. On that date, the steel and storage systems business was demerged to F. Ramada – Investimentos, SGPS, S.A. (currently named Ramada Investimentos e Indústria, S.A.). This reorganization was part of a focusing and business transparency strategy, aiming at giving greater visibility to each area and increasing market’s perception of value.

The main investments held by Altri are as follows:

- Caima – Indústria de Celulose, S.A. (Constância) – producer and distributor of dissolving pulp;

- Celulose Beira Industrial (Celbi), S.A. (Figueira da Foz) – producer and distributor of paper pulp;

- Celtejo – Empresa de Celulose do Tejo, S.A. (Vila Velha de Ródão) – producer and distributor of paper pulp;

- Altri Florestal, S.A. (Constância) – manager of the Group’s forestry resources.

Moreover, in order to fulfil its energetic needs and expand its activity in a strategic sector, the Group holds a participation of 50% of the share capital of EDP Bioeléctrica.

Altri’s complete structure of participation as of 30 June 2018 is as follows:


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Pulp market

According to the latest data from the Pulp and Paper Products Council (PPPC World Chemical Market Pulp Global 100 Report - May 2018), during the first five months of 2018, total demand for hardwood pulp grew 4.3% over the same period of 2017, corresponding to an additional consumption of approximately 0.6 million tons, reaching around 14.0 million tons.

Analysing in terms of geography, it is noted that in Europe the consumption of hardwood pulp increased by about 5.5%, while in China the growth was 7.8%.

In terms of BEKP pulp price evolution, the second quarter of 2018 was characterised by a 3% increase in the price in USD, when compared to the previous quarter, and a 6% increase in the price in Euro. The average price recorded in the period under analysis achieved 1,043 USD/ton (vs. 1,009 USD/ton in the previous quarter), while in Euros it stood at 871 EUR/ton (vs. 824 EUR/ton in the previous quarter).

Market price evolution in BEKP pulp in Europe since 2003 until July 2018

Source: FOEX

During the first half of 2018, Altri’s industrial units produced 527.9 thousand tons of pulp, from which 54.5 thousand tons were dissolving pulp, comparatively with 528.4 thousand tons produced in the same period of the previous year. In the first half, Altri sold 528 thousand tons of pulp, from which 54.2 thousand tons were dissolving pulp. When compared to the same period of 2017, there was a decrease of 2.5% on the quantity sold. In terms of exports, during the first half of 2018, Altri exported 464.2 thousand tons (vs. 492.9 thousand tons in the same period of 2017). In monetary terms, total pulp sales recorded in the first half of 2018 reached to 327.7 million Euro, which corresponds to an increase of approximately 24% over the same period of the previous year, where sales amounted to 264.9 million Euro.

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FINANCIAL REVIEW The consolidated financial information of Altri was prepared in accordance with the International Financial Reporting Standards (IFRS), as adopted by the European Union. The main indicators and data of Altri Group are as follows:

Altri’s total revenue amounted, in the first half of 2018, to 378.4 million Euro, which corresponds to an increase of 16.3% over the same period of 2017. In the first half of 2018, total costs excluding amortisation, financial expenses and taxes, amounted to around 242.4 million Euro. On the other hand, EBITDA reached to 136.0 million Euro, which corresponds to an increase of 55.4% over the first half of 2017. The half-year net result reached 73.8 million Euro, a 77.6% increase when compared to the same period of 2017.

thousand Euro1H 2018 1H 2017

1H18/1H17 Var%

Total revenue 378,425 325,253 16.3%

Cost of sales 133,352 137,962 -3.3%External supplies and services 88,855 81,832 8.6%Payroll expenses 16,911 16,181 4.5%Other expenses 4,501 1,776 153.5%Provisions and impairment losses -1,199 - -Variation of the fair value in the biological assets

Total expenses (a) 242,420 237,750 2.0%

EBITDA (b) 136,004 87,503 55.4%Margin 35.9% 26.9% +9.0 pp

Depreciation and amortisation 25,584 27,833 -8.1%

EBIT (c) 110,421 59,670 85.1%Margin 29.2% 18.3% +10.9 pp

Gains and losses in associated companies 1,172 1,420 -17.5%Financial expenses -12,220 -12,194 0.2%Financial income 5,361 1,698 215.6%

Financial profit -5,687 -9,075 -37.3%

Profit before income tax 104,734 50,595 107.0%

Income tax -30,924 -9,042 242.0%

Net consolidated profit 73,810 41,552 77.6%

(a) Operating costs excluding amortisation, f inancial expenses and taxes

(b) EBITDA = Earnings before interest, taxes, depreciation and amortisation

(c) EBIT = Earnings before interest and taxes


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Balance sheet key indicators

The total net investment (CAPEX) made until the end of June 2018 by the Group’s industrial units amounted to 40 million Euro.

The nominal net debt of Altri as of June 30, 2018 amounted to 375.6 million Euro, which corresponds to an increase of 10 million Euro over the nominal net debt recorded at the end of March 2018, which materialised about 61.5 million Euro delivered to the shareholders of the company.

Relatively to risk management, Altri uses exchange rate derivatives to hedge future cash flows. Hence, Altri has contracted European-style call and put options (exchange rate collars) on USD 10 million per month, covering all 2018 financial year. Moreover, as of June 30, 2018, Altri had contracted Asian-style exchange collars, in the amount of USD 12 per month, covering all 2019 financial year.

thousand Euro Jun-18 Dec-17 Var%

Biological assets 95,413.1 94,848.3 1%

Tangible f ixed assets 396,841.6 396,515.7 0%

Goodw ill 265,531.4 265,531.4 0%

Investments available for sale 27,129.4 17,456.9

Other non current assets 58,439.6 52,609.1 11%

Non current assets 843,355.1 826,961.4 2%

Inventories 63,233.8 50,728.0 25%

Customers 126,223.3 113,284.7 11%

Cash and cash equivalents 332,099.0 193,599.7 72%

Other current assets 15,467.5 25,514.6 -39%

Current assets 537,023.5 383,127.1 40%

Total assets 1,380,378.7 1,210,088.5 14%

Shareholders' funds and non-controlling interests 400,520.2 394,567.1 2%

Bank loans 33,500.0 39,500.0 -15%

Other loans 587,436.0 442,483.9 33%

Reimbursable subsidies 10,560.2 14,565.8 -27%

Other non current liabilities 52,420.7 45,427.5 15%

Non current liabilities 683,916.8 541,977.1 26%

Bank loans 9,964.8 6,216.6 60%

Other loans 77,472.0 94,830.7 -18%

Reimbursable subsidies 4,805.4 3,121.5 54%

Suppliers 114,101.8 95,373.3 20%

Other current liabilities 89,597.7 74,002.2 21%

Current liabilities 295,941.7 273,544.3 8%


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OUTLOOK For the third quarter of 2018, in terms of BHKP pulp selling price, it is expected to be maintained the level of prices in USD. Regarding operational terms, it is expected an operational efficiency growth, due to the conclusion of Celtejo’s investment project, which occurs in the scheduling time and it is expectable to finish during this quarter.


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SUBSEQUENT EVENTS

In the end of July, Altri announced that has reached an agreement with EDP – Energias de Portugal, S.A. (EDP), to buy, directly and through its subsidiary Caima Indústria, 50% of the share capital, credits and voting rights that EDP holds, directly and indirectly, in the share capital of EDP Produção – Bioeléctrica, S.A., hence assuming, as a consequence of this agreement, the control of 100% of this Company. The transaction amounts to an estimated global value of Euro 55,000,000.00 (fifty-five million Euro). The transaction is subject to prior notification to the Competition Authority, under the terms established in the competition legal regime and, therefore, contingent to the decision of non-opposition by the Competition Authority, being its conclusion estimated to occur during the second half of 2018.


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CORPORATE GOVERNANCE According to legal provisions, the Company is not required to provided information relating to corporate governance, since it is compulsory only together with the annual management report. The detailed annual corporate governance report is part of the Annual Report and Accounts of 2017 and is available on the website (www.altri.pt).


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LEGAL MATTERS

Treasury Shares Pursuant to the requirements of article 66 of the Portuguese Companies Act, the Directors inform as of 30 June 2018 that Altri had no treasury shares and did not acquire nor sell any treasury shares during this semester. Shares held by Altri’s corporate boards As of 30 June 2018, hereby informs that the Directors of the Company held the following shares:

Paulo Jorge dos Santos Fernandes (a) 24,324,874 João Manuel Matos Borges de Oliveira (b) 30,000,000 Domingos José Vieira de Matos (c) 24,250,110 Ana Rebelo de Carvalho Menéres de Mendonça (d) 42,954,552 José Manuel de Almeida Archer 11,500

(a) – The 24,324,874 shares correspond to Altri, SGPS, S.A. total shares held by the company ACTIUM CAPITAL, S.A., of which Paulo Jorge dos

Santos Fernandes is director and dominant shareholder. (b) – The 30,000,000 shares correspond to Altri, SGPS, S.A. total shares held by the company CADERNO AZUL, S.A., of which João Manuel Matos

Borges de Oliveira is director and shareholder. (c) – The 24,250,110 shares correspond to Altri, SGPS, S.A. total shares held by the company LIVREFLUXO, S.A., of which Domingos José Vieira

de Matos is director and dominant shareholder. (d) – The 42,954,552 shares correspond to Altri, SGPS, S.A. total shares held by the company PROMENDO – SGPS, S.A., of which Ana Rebelo de

Carvalho Menéres de Mendonça is director and dominant shareholder. As of 30 June 2018, the Statutory Auditor, the members of the Supervisory Board and the members of the Board of the General Shareholders’ Meeting held no shares of Altri.


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Participation in the Company’s share capital Pursuant to the requirements of articles 16 and 20 of the Securities Market Code and article 448 of the Portuguese Companies Act, the Directors inform that, in accordance with the notifications received at Altri’s head office until 30 June 2018, the companies and/or individuals that hold qualified participations exceeding 2%, 5%, 10%, 20%, 33% and 50% of the voting rights are as follows:

Altri was not informed of any participation exceeding 33% of voting rights.

Norges Bank

No. of shares held on 30 June 2018

% share capital with voting

rightsDirectly 4,149,572 2.02%

Total attributable 4,149,572 2.02%

Lazard Frères Gestion



rightsDirectly 4,150,000 2.02%


Indumenta Pueri, S.L.



rightsThrough Global Portfolio Investments, S.L. 10,093,768 4.92%


1 Thing, Investments, S.A.



rights

Directly (a) 14,359,708 7.00%


(a) - The 14,359,708 shares represent Altri, SGPS, S.A. total shares held directly by 1 THING, INVESTMENTS, S.A.

w hose board of directors includes Altri's director Pedro Miguel Matos Borges de Oliveira.

Domingos José Vieira de Matos



rightsThrough Livrefluxo, S.A. (of which he is dominant shareholder and director) 24,250,110 11.82%


Paulo Jorge dos Santos Fernandes



rightsThrough Actium Capital, S.A. (of which he is dominant shareholder and director) 24,324,874 11.86%


João Manuel Matos Borges de Oliveira



rightsThrough CADERNO AZUL, S.A. (of which he is shareholder and director) 30,000,000 14.62%


Promendo - SGPS, S.A.



rights

Directly (a) 42,954,552 20.94%

Through its director José Manuel de Almeida Archer 11,500 0.01%


(a) - The 42,966,052 shares represent Altri, SGPS, S.A. total shares held by Promendo - SGPS, S.A. that are considered equally attributable to Ana Rebelo de Carvalho Menéres de

Mendonça, director and dominant shareholder of Promendo - SGPS, S.A. and director of Altri, SGPS, S.A.


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CLOSING REMARKS The Board of Directors concludes by expressing a vote of gratitude to all of the Group’s Stakeholders, for the trust demonstrated in our organization. We would like to thank the Statutory Audit Board for the continued monitoring of our operations. Oporto, July 26, 2018 The Board of Directors __________________________________ Paulo Jorge dos Santos Fernandes __________________________________ João Manuel Matos Borges de Oliveira __________________________________ Domingos José Vieira de Matos __________________________________ Laurentina da Silva Martins __________________________________ Pedro Miguel Matos Borges de Oliveira __________________________________ Ana Rebelo Carvalho Menéres Mendonça __________________________________ José Manuel de Almeida Archer

Appendixes to the management report

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REPORT AND ACCOUNTS 1H2018 II. Appendixes to the management report

STATEMENT UNDER THE TERMS OF ARTICLE 246, PARAGRAPH 1, C) OF THE SECURITIES MARKET CODE The signatories individually declare that, to the best of their knowledge, the Condensed Consolidated Financial Statements prepared in accordance with the International Accounting Standard 34 – Interim Financial Reporting, and other accounting documents required by law or regulation, giving a truthful (fairly) and appropriate image, in all material respects, of the assets and liabilities, financial position and the consolidated results of Altri, SGPS, S.A. and of the companies included in the consolidation perimeter and contains a description of the major risks and uncertainties that they face.

STATEMENT OF RESPONSABILITY The members of the Board of Directors of Altri, SGPS, S.A. declare that they assume responsibility for this information and affirm that the items included herein are true and that, to the best of their knowledge, there are no omissions. As required by article 8 paragraph 3 of the Securities Market Code, the Board of Directors informs that these condensed consolidated financial statements were not subject to a limited review. As required by article 210 of the Social Security Contributions Plan Code (approved by Law 110/2009 of 16 September), the Board of Directors informs that there are no overdue debts to the State, namely with respect to Social Security.

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REPORT AND ACCOUNTS 1H2018 II. Appendixes to the management report

Article 14, paragraph 7 of Portuguese Securities Market Commission (CMVM) Regulation no. 5/2008

Disclosure of shares and other securities held by members of the Board of Directors and by those discharging managerial responsibilities, as well as by people closely connected with them (article 248-B of the Portuguese Securities Code), and disclosure of the respective transactions during the first semester involving such shares and other securities:

Members of the Board of Directors

Shares held at

31-Dec-2017 Acquisitions Disposals

Shares held at

30-Jun-2018

Paulo Jorge dos Santos Fernandes (imputation through ACTIUM CAPITAL, S.A.) 24,324,874 - - 24,324,874

João Manuel Matos Borges de Oliveira (imputation through CADERNO AZUL, S.A.) 30,000,000 - - 30,000,000

Domingos José Vieira de Matos (imputation through LIVREFLUXO, S.A.) 24,150,110 - - 24,150,110

Ana Rebelo Carvalho Menéres de Mendonça (imputation through PROMENDO - SGPS, S.A.) 42,954,552 - - 42,954,552

José Manuel de Almeida Archer 11,500 - - 11,500

DEMONSTRAÇÕES FINANCEIRAS CONSOLIDADAS E NOTAS ANEXAS

Consolidated financial statements and notes


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REPORT AND ACCOUNTS 1H2018 III. Consolidated financial statements and notes

CONSOLIDATION STATEMENTS OF FINANCIAL POSITIONAS OF 30 JUNE 2018 AND 31 DECEMBER 2017

(Translation of financial statements orignally issued in Portuguese - Note 21)(Amounts expressed in Euro)

ASSETS Notes 30.06.2018 31.12.2017

NON CURRENT ASSETS:Biological assets 95,413,133 94,848,275Tangible fixed assets 396,841,599 396,515,699Investments property 4,497,546 113,310Goodwill 265,531,404 265,531,404Intangible assets 849,989 1,019,232Investments in associated companies and joint ventures 4.2 27,129,400 17,456,932Investments available for sale 4.3 8,695,730 8,692,628Other non current assets 3,210,260 3,210,260Derivative financial instruments 11 544,006 1,796,781Deferred tax assets 7 40,642,043 37,776,892

Total non current assets 843,355,110 826,961,413

CURRENT ASSETS:Inventories 63,233,824 50,728,047Biological assets 628,172 628,172Customers 126,223,310 113,284,683Other debtors 2,413,477 1,304,931State and other public entities 8,875,513 16,435,629Other current assets 1,986,456 2,242,035Derivative financial instrument 11 1,563,835 4,903,860Cash and cash equivalents 6 332,098,956 193,599,737

Total current assets 537,023,543 383,127,094

Total assets 1,380,378,653 1,210,088,507

SHAREHOLDERS' FUNDS AND LIABILITIES 30.06.2018 31.12.2017

SHAREHOLDERS' FUNDS:Share capital 8 25,641,459 25,641,459Legal reserve 5,128,292 5,128,292Other reserves 295,940,574 267,729,157Consolidated net profit / (loss) 73,809,856 96,068,168Total shareholders' funds attributable to the parent company's shareholders 400,520,181 394,567,076

Non controlling interests - -

Total shareholders' funds 400,520,181 394,567,076

LIABILITIES:NON CURRENT LIABILITIES:

Bank loans 9 33,500,000 39,500,000Other loans 9 587,435,961 442,483,927Reimbursable subsidies 9 10,560,172 14,565,750Other non current liabilities 16,931,105 14,627,018Deferred tax liabilities 7 24,288,276 23,003,709Pensions liabilities 2,771,471 2,771,471Derivative financial instruments 11 3,281,647 -Provisions 10 5,148,164 5,025,260

Total non current liabilities 683,916,796 541,977,135

CURRENT LIABILITIES:Bank loans 9 9,964,759 6,216,583Other loans 9 77,471,990 94,830,698Reimbursable subsidies 9 4,805,438 3,121,502Suppliers 114,101,760 95,373,275Other current creditors 10,994,835 21,489,230State and other public entities 37,599,265 10,308,029Other current liabilities 40,224,387 40,398,914Derivative financial instruments 11 779,242 1,806,065

Total current liabilities 295,941,676 273,544,296

Total shareholders' funds and liabilities 1,380,378,653 1,210,088,507

The accompanying notes form an integral part of the consolidated financial statements

The official chartered accountant The Board of Directors


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CONSOLIDATED STATEMENTS OF PROFIT AND LOSSFOR THE SIX AND THREE MONTHS PERIODS ENDED 30 JUNE 2018 AND 2017

(Translation of financial statements originally issued in Portuguese - Note 21)(Amounts expressed in Euro)

SIX MONTHS PERIOD ENDED THREE MONTHS PERIOD ENDED

Notes 30.06.2018 30.06.2017 30.06.2018 30.06.2017

Sales 370,948,109 316,662,824 201,055,291 161,663,673Services rendered 4,629,002 4,726,357 2,313,546 2,314,724Other income 14 2,847,448 3,863,837 1,670,935 1,438,807Cost of sales (133,351,653) (137,961,937) (74,657,293) (68,700,477)External supplies and services (88,854,954) (81,831,799) (47,868,835) (40,048,706)Payroll expenses (16,911,500) (16,180,527) (8,596,528) (8,461,466)Amortisation and depreciation (25,583,541) (27,833,269) (11,720,587) (13,918,157)Provisions and impairment losses 10 1,198,930 - 1,198,930 -Other costs 15 (4,500,993) (1,775,842) (2,390,046) (825,606)Gains and losses in associated companies and joint ventures 4.2 1,172,468 1,420,490 449,241 925,277Financial expenses 12 (12,220,137) (12,194,054) (7,353,578) (7,112,344)Financial income 12 5,361,032 1,698,434 3,127,370 1,249,983

Profit before income tax 104,734,211 50,594,514 57,228,446 28,525,708

Income tax (30,924,355) (9,042,390) (16,063,935) (4,097,673)Profit after income tax 73,809,856 41,552,124 41,164,511 24,428,035

Consolidated net profit 73,809,856 41,552,124 41,164,511 24,428,035

Attributable to:Parent company's shareholders 73,809,856 41,552,124 41,164,511 24,428,035Non controlling interests - - - -

73,809,856 41,552,124 41,164,511 24,428,035Earnings per share

Basic 13 0.36 0.20 0.20 0.12Diluted 13 0.36 0.20 0.20 0.12




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CONSOLIDATED STATEMENTS OF PROFIT AND LOSS AND OTHER COMPREHENSIVE INCOMEFOR THE SIX AND THREE MONTHS PERIODS ENDED 30 JUNE 2018 AND 2017


SIX MONTHS PERIOD ENDED THREE MONTHS PERIOD ENDED

Notes 30.06.2018 30.06.2017 30.06.2018 30.06.2017

Net consolidated profit / (loss) for the period 73,809,856 41,552,124 41,164,511 24,428,035

Other comprehensive income:Items that may be reclassified to profit and loss

Change in fair value of cash flow hedging derivatives (6,329,424) 3,989,443 (6,151,752) 2,016,116Change in exchange currency reserves 13,365 (12,208) 20,524 (14,430)Others (1,189) 32,225 (1,157) 18,296

(6,317,248) 4,009,460 (6,132,385) 2,019,981

Other comprehensive income for the period (6,317,248) 4,009,460 (6,132,385) 2,019,981

Total comprehensive income for the period 67,492,608 45,561,584 35,032,126 26,448,016

Attributable to:Parent company's shareholders 67,492,608 45,561,584 35,032,126 26,448,016Non controlling interests - - - -



DO CONSELHO DE ADMINISTRAÇÃO

25


CONSOLIDATED STATEMENTS OF CHANGES IN EQUITYFOR THE SIX MONTHS PERIODS ENDED 30 JUNE 2018 AND 2017

(Translation of financial statements originally issued in Portuguese - Note 21)

(Amounts expressed in Euro)

Attributable to the parent company's shareholders

Notes Share capital Legal reserveOther

reserves Net profit Total

Non controlling interests

Total shareholders'

funds

Balance as of 1 January 2017 8 25,641,459 5,128,292 235,894,619 76,977,826 343,642,196 - 343,642,196Appropriation of the consolidated net profit of 2016 - - 76,977,826 (76,977,826) - - -Dividend distribution - - (51,282,918) - (51,282,918) - (51,282,918)Total comprehensive income for the period - - 4,009,460 41,552,124 45,561,584 - 45,561,584

Balance as of 30 June 2017 8 25,641,459 5,128,292 265,598,987 41,552,124 337,920,862 - 337,920,862

Balance as of 1 January 2018 8 25,641,459 5,128,292 267,729,157 96,068,168 394,567,076 - 394,567,076Appropriation of the consolidated net profit of 2017 - - 96,068,168 (96,068,168) - - -Dividend distribution - - (61,539,503) - (61,539,503) - (61,539,503)Total comprehensive income for the period - - (6,317,248) 73,809,856 67,492,608 - 67,492,608

Balance as of 30 June 2018 8 25,641,459 5,128,292 295,940,574 73,809,856 400,520,181 - 400,520,181




26


CONSOLIDATED STATEMENTS OF PROFIT AND LOSSFOR THE SIX AND THREE MONTHS PERIODS ENDED 30 JUNE 2018 AND 2017


SIX MONTHS PERIOD ENDED THREE MONTHS PERIOD ENDEDNotes 30.06.2018 30.06.2017 30.06.2018 30.06.2017

Operating activitiesCash flow from operating activities (1) 144,836,965 84,817,260 89,306,621 48,425,853

Investment activities:Receipts relating to:

Tangible assets 177,651 55,086 171,673 38,277Financial investments 6 96,000 - 48,000 -Interest and similar income 1,782,495 316,817 431,777 223,816Other financial assets 6,000,000 - 6,000,000 -Dividends distribution - 55,000 - 55,000Investment subsidies 1,747,075 - 1,747,075 -

Payments relating to: -Investment subsidies (877,048) (1,729,914) (875,988) (1,729,914)Financial investments 6 (8,500,000) - (8,500,000) -Tangible assets (40,033,127) (47,699,292) (16,600,309) (23,264,075)Intangible assets - (36,772) - (34,708)Other financial assets (9,450,636) - (7,033,490) -

Cash flow from investment activities (2) (49,057,590) (49,039,075) (24,611,262) (24,711,604)

Financing activitiesReceipts relating to:

Loans obtained 155,666,807 37,400,461 70,666,807 14,289,416Other financial operations 153,764 - 52,715 -

Payments relating to: -Loans obtained (47,125,888) (123,473,361) (42,799,607) (383,479)Interest and similar costs (8,154,880) (8,488,465) 34,517,363 (2,923,678)Dividends distribution (61,539,503) (51,282,918) (61,539,503) (51,282,918)

Cash flow from financing activities (3) 39,000,300 (145,844,283) 897,775 (40,300,659)

Cash and cash equivalents at the beginning of the period 6 193,599,737 300,094,254 262,786,279 206,614,566Exchange rate effects - - - -Variation of cash and cash equivalents: (1)+(2)+(3) 134,779,675 (110,066,098) 65,593,134 (16,586,410)Cash and cash equivalents at the end of the period 6 328,379,412 190,028,156 328,379,412 190,028,156




27


1. INTRODUCTORY NOTE Altri, SGPS, S.A. (“Altri” or “Company”) is a public company incorporated as of 1 March 2005, has its

head-office located at Rua General Norton de Matos, 68, r/c – Porto, Portugal and its shares are listed in the Euronext Lisbon Stock Exchange. Its main activity is the management of investments.

Altri is the parent company of a group of companies listed in Note 4 known as Altri Group. The current

activity of Altri Group focuses on the production of bleached pulp of eucalyptus through three mills (Celbi in Figueira da Foz, Caima in Constância do Ribatejo and Celtejo in Vila Velha de Ródão).

Due to this reality of Altri Group, the Board of Directors believes that there is only one business

segment (production and commercialization of bleached pulp from eucalyptus) and the management information is also analysed on this basis, for which the segmental information mentioned in Note 16 is limited by this.

The consolidated financial statements of Altri Group are presented in Euro rounded off to the unit,

which is the currency used by the Group in its operations and considered as the functional currency.

2. MAIN ACCOUNTING POLICIES AND BASIS FOR PRESENTATION The consolidated financial statements as of 30 June 2018 were prepared using accounting policies

consistent with the International Financial Reporting Standards and in accordance with the International Accounting Standard and International Accounting Standard 34 – Interim Financial Reporting and includes the statement of financial position, the statement of profit and loss, the statement of comprehensive income, the statement of changes in equity and the condensed statement of cash flows as well as the selected explanatory notes.

The accounting policies used in the preparation of the consolidated financial statements of Altri are

consistent with those used in the year ended 31 December 2017, except regarding the adoption of the new policies whose application became effective as of January 1st, 2018, being that the application of IFRS 9 and IFRS 15 have not a significant impact in these financial statements.

3. CHANGES IN ACCOUNTING POLICIES AND CORRECTION OF MISTAKES

During the period there were no changes in accounting policies and were identified no material mistakes related to previous years.


28


4. INVESTMENTS 4.1 INVESTMENTS IN SUBSIDIARIES

The companies included in the consolidated financial statements by the full consolidation method, its headquarters, percentage participation held and main activity as of 30 June 2018 and 31 December 2017, are as follows:

All the above companies were included in the Altri Group consolidated financial statements in accordance with the full consolidation method.

4.2 INVESTMENTS IN ASSOCIATED COMPANIES AND JOINT VENTURES

The associated companies and joint ventures, percentage of capital held and main activity as of 30 June 2018 and 31 December 2017 were as follows:

Company Head Office Main Activity

2018 2017

Parent-Company:

Altri, SGPS, S.A. Porto Investment management

Subsidiaries:

Altri Abastecimento de Madeira, S.A. Figueira da Foz 100% 100% Wood commercialization

Altri Florestal, S.A. Figueira da Foz 100% 100% Forest management

Altri Sales, S.A. Nyon, Suíça 100% 100% Group management support services

Altri, Participaciones Y Trading, S.L.Pontevedra,

Espanha 100% 100% Commercialization of pulp

Caima Energia – Empresa de Gestão e Exploração de Energia, S.A. Constância 100% 100% Production of energy

Caima Indústria de Celulose, S.A. Constância 100% 100% Production and commercialization of pulp

Captaraíz Unipessoal, Lda. Figueira da Foz 100% 100% Purchase and sale of properties

Celtejo – Empresa de Celulose do Tejo, S.A. Vila Velha de Ródão 100% 100% Production and commercialization of pulp

Celulose Beira Industrial (Celbi), S.A. Figueira da Foz 100% 100% Production and commercialization of pulp

Inflora – Sociedade de Investimentos Florestais, S.A. Figueira da Foz 100% 100% Forest management

Pedro Frutícola, Sociedade Frutícola, S.A. (a) Constância --- 100% Agriculture production

Sociedade Imobiliária Porto Seguro - Investimentos Imobiliários, S.A. Porto 100% 100% Purchase and sale of properties

Viveiros do Furadouro Unipessoal, Lda. Óbidos 100% 100%Production of plants in nurseries and services

related w ith forests and landscapes

(a) - Company liquidated during the f irst half of 2018

Percentage Held

Company Head Off ice Statement of f inancial position Percentage Held Activity2018 2017 2018 2017

Associated companies:

Operfoz – Operadores do Porto da Figueira da Foz, Lda. Figueira da Foz 762,158 701,421 33.33% 33.33% Harbor operations

Joint ventures:

EDP Produção – Bioeléctrica, S.A. Lisboa 26,367,242 16,755,511 50% 50% Energy production

27,129,400 17,456,932


29


Associated companies and joint ventures were included in the Altri Group consolidated financial statements in accordance with the equity method.

The movements occurred in the balance of this caption in the six months periods ended in 30 June 2018 and 2017 were as follows:

(a) – Includes loans granted.

EDP Produção – Bioeléctrica, S.A. owns shares representing the total share capital of Ródão Power – Energia e Biomassa do Ródão, S.A., of Biorodão, S.A. and of Sociedade Bioeléctica do Mondego, S.A.. The accounting policies used by these companies do not differ significantly from those used by Altri Group, fact that led to no accounting policies harmonization.

4.3 INVESTMENTS AVAILABLE FOR SALE As of 30 June 2018 and 31 December 2017 the investments available for sale are as follows:

It is the understanding of the Altri Group that the caption “Investments available for sale” includes financial investments under 20%, in companies where Altri Group has no significant influence on its management and is stated at acquisition cost, reduced by impairment losses, does not differ significantly from their fair value.

5. CHANGES OCCURRED IN THE CONSOLIDATION PERIMETER

During the six months period ended as of 30 June 2018, there was the disposal of the subsidiary Pedro Frutícola, Sociedade Frutícola, S.A.. This operation did not have any relevant material impacts in these financial statements.

6. CASH AND CASH EQUIVALENTS As of 30 June 2018 and 2017, the caption “Cash and cash equivalents” can be detailed as follows:

30.June.2018 30.June.2017

OperfozEDP Bioeléctrica

(a) OperfozEDP Bioeléctrica

(a)

Opening balance 701,421 16,755,511 719,057 14,264,044

Loans granted (Note 6) - 8,500,000 - -

Equity method:Effects on gains and losses in associated companies and joint ventures 60,737 1,111,731 65,166 1,300,324

Closing balance 762,158 26,367,242 784,223 15,564,368

Statement of financial position

2018 2017

Rigor Capital - Produção de Energia, Lda. 7,957,111 7,957,111

Other investments 738,619 735,517

8,695,730 8,692,628

Statement of f inancial position


30


During the six months period ended at 30 June 2018, payments related to financial investments refer to loans granted to EDP Bioeléctrica (Note 4.2).

During the six months period ended at 30 June 2018, receipts related to financial investments refer to partial receipt from the sales of subsidiary Sócasca – Recolha e Comércio de Recicláveis, S.A. (sold at 2011).

7. CURRENT AND DEFERRED TAXES

In accordance with current legislation, tax returns are subject to review and correction by the tax authorities during a four-year period (five years for Social Security), with the exception when there have been tax losses, cases when there have been granted tax benefits, or tax inspections or claims are in progress, in which cases the periods may be extended or suspended. Therefore, the Company tax returns since 2014 might be subjected to review. The Board of Directors of Altri believes that any potential corrections resulting from reviews/inspections of these tax returns by the tax authorities will not have a significant effect on the consolidated financial statements as of 30 June 2018. The movements occurred in deferred tax assets and liabilities in the six months periods ended at 30 June 2018 and 2017 were as follows:

30.06.2018 30.06.2017

Cash 36,157 49,249

Bank deposits 332,062,799 189,978,907

Total available cash w ithin balance sheet 332,098,956 190,028,156

Bank overdrafts (Note 9) (3,719,544) -

Cash and cash equivalents 328,379,412 190,028,156

2018

Deferred tax assets Deferred tax liabilities

Opening balance as of 1.1.2018 37,776,892 23,003,709

Effects on income statement:

Harmonization of depreciation rates (492,770) (57,836)

Total effect on income statement (492,770) (57,836)

Effects on shareholders' funds:

Fair value of derivatives 3,357,921 1,342,403

Closing balance as of 30.06.2018 40,642,043 24,288,276


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8. SHARE CAPITAL As of 30 June 2018 and 2017, the Company’s fully subscribed and paid up capital consisted of

205,131,672 shares with a nominal value of 12.5 cents of Euro each.

2017

Deferred tax assets Deferred tax liabilities

Opening balance as of 1.1.2017 39,508,901 18,731,619

Effects on income statement:

Harmonization of depreciation rates (176,570) -

Goodw ill tax amortization (Spain) - 500,000

Others (979,258) -

Total effect on income statement (1,155,828) 500,000

Effects on shareholders' funds:

Fair value of derivatives (801,274) 356,951

Closing balance as of 30.06.2017 37,551,799 19,588,570


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9. BANK LOANS, OTHER LOANS AND REIMBURSABLE SUBSIDIES As of 30 June 2018 and 31 December 2017, the captions “Bank loans”, “Other loans” and

“Reimbursable subsidies” can be detailed as follows:

The expenditures with the constitution of the loans were deducted from its nominal value, being these

recognise as financial expenses along the loan’s life period (Note 12).

10. ACCUMULATED PROVISIONS AND IMPAIRMENT LOSSES

The movements occurred in provisions and impairment losses for the six months periods ended at 30 June 2018 and 2017 can be detailed as follows:

The amount recorded under the caption “Provisions” as of 30 June 2018 and 2017 is the best estimate of the Board of Directors in order to face all the losses that may be supported due to claims in force.

30.06.2018Nominal value Book value

Current Non current Total Current Non current Total

Bank loans 6,000,000 33,500,000 39,500,000 6,245,215 33,500,000 39,745,215Bank overdrafts 3,719,544 - 3,719,544 3,719,544 - 3,719,544

Bank loans 9,719,544 33,500,000 43,219,544 9,964,759 33,500,000 43,464,759

Commercial paper 10,000,000 103,500,000 113,500,000 9,979,901 103,485,821 113,465,722Bonds 20,000,000 485,900,000 505,900,000 22,732,176 483,662,140 506,394,316Other loans 44,759,913 288,000 45,047,913 44,759,913 288,000 45,047,913

Other loans 74,759,913 589,688,000 664,447,913 77,471,990 587,435,961 664,907,951

Reimbursable subsidies 4,805,438 10,560,172 15,365,610 4,805,438 10,560,172 15,365,610

89,284,895 633,748,172 723,033,067 92,242,187 631,496,133 723,738,320

31.12.2017Nominal value Book value

Current Non current Total Current Non current Total

Bank loans 6,000,000 39,500,000 45,500,000 6,216,583 39,500,000 45,716,583

Bank loans 6,000,000 39,500,000 45,500,000 6,216,583 39,500,000 45,716,583

Commercial paper - 58,500,000 58,500,000 34,654 58,500,000 58,534,654Bonds 55,000,000 384,900,000 439,900,000 57,439,917 383,599,927 441,039,844Other loans 37,356,127 384,000 37,740,127 37,356,127 384,000 37,740,127

Other loans 92,356,127 443,784,000 536,140,127 94,830,698 442,483,927 537,314,625

Reimbursable subsidies 3,121,502 14,565,750 17,687,253 3,121,502 14,565,750 17,687,253

101,477,629 497,849,750 599,327,380 104,168,783 496,549,677 600,718,461

30.06.2018

ProvisionsImpairment losses in accounts receivable

Impairment losses in inventories and biological

assets TotalOpening balance 5,025,260 3,604,839 7,803,018 16,433,117Increases 129,006 - 200,000 329,006Reversals and utilisations (6,102) (1,518) (1,526,418) (1,534,038)Closing balance 5,148,164 3,603,321 6,476,600 15,228,085

30.06.2017

ProvisionsImpairment losses in accounts receivable

Impairment losses in inventories and biological

assets TotalOpening balance 5,064,402 3,717,961 8,319,880 17,102,243Increases - - - -Reversals and utilisations (6,102) (1,518) - (7,620)Closing balance 5,058,300 3,716,443 8,319,880 17,094,623


33


11. DERIVATIVE FINANCIAL INSTRUMENTS

As of 30 June 2018 and 2017, the companies of the Group operated with derivatives contracts to hedge interest rate variations and derivatives contracts to hedge exchange rate variations. As if 30 June 2018, Altri Group’s companies have also derivatives contracts to hedge the paper pulp price variations, being these derivatives recorded at its fair value. Altri Group’s companies only use derivatives to hedge cash flows associated with operations created related with their activities. As of 30 June 2018 and 31 December 2017, the detail of the financial derivative instruments is as follows:

12. FINANCIAL RESULTS

The financial results for the six months period ended at 30 June 2018 and 2017 are detailed as follows:

The caption “Other financial expenses” includes, mainly, expenses with loans setup, which are recognised in the profit and loss statement through the duration of those loans (Note 9). The caption “Other financial expenses” includes, mainly, exchange rate earnings.

13. EARNINGS PER SHARE

Earnings per share for the six months periods ended as of 30 June 2018 and 2017 were determined taking into consideration the following amounts:

30.06.2018 31.12.2017

Assets Liabilities Assets LiabilitiesCurrent Non current Current Non current Current Non current Current Non current

Interest rate derivatives - - 779,242 - - - 557,215 -Exchange rate derivatives 914,741 544,006 99,801 4,048,407 1,796,781 - -Pulp price derivatives 649,094 - - 3,181,846 855,453 - 1,248,850 -

1,563,835 544,006 779,242 3,281,647 4,903,860 1,796,781 1,806,065 -

30.06.2018 30.06.2017

Financial expensesInterests 8,663,888 7,281,807Other f inancial expenses 3,556,249 4,912,247

12,220,137 12,194,054

Financial incomeInterests 235,566 310,964Other f inancial income 5,125,466 1,387,470

5,361,032 1,698,434

30.06.2018 30.06.2017

Share number considered for the computation of basic and diluted earnings 205,131,672 205,131,672

Net profit considered for the computation of basic and diluted earnings 73,809,856 41,552,124

Earnings per share

Basic 0.36 0.20

Diluted 0.36 0.20


34


14. OTHER INCOME

As of 30 June 2018 and 2017 the caption of the statement of profit and loss “Other income” is detailed as follows:

15. OTHER EXPENSES As of 30 June 2018 and 2017 the caption of the statement of profit and loss “Other expenses” is detailed as follows:

The caption “Other expenses” includes, among others, losses with derivative financial instruments to hedge changes in pulp prices.

16. SEGMENTAL INFORMATION

In 2008, it was signed the Altri, SGPS, S.A. spin-off public deed. Under the terms of that project, the planned reorganization implies the split of Altri's two business units that manage equity holdings in the pulp and paper sector and in the steel and storage systems sector. This reorganization aimed a bigger focus and transparency on Altri’s business, and giving each of the areas an opportunity to be better seen and better evaluated by the market. This allows for the Altri Group to focus its activity on its core business, production and commercialization of bleached pulp from eucalyptus, so the Board of Directors believes that there is only one business segment and the management information is reported and analysed on this basis.

17. RELATED PARTIES

The subsidiary companies of the Group have between each other transactions that classify as transactions with related parties and which are made at market prices. In the consolidation procedures, the transactions between the companies included in consolidation by the full consolidation method are eliminated, once the consolidated financial statements present the owner and its subsidiaries information as one single company, therefore they are not disclosed in this note. During the six months periods ended at 31 June 2018 and 2017, there were no transactions or loans granted to the members of the Board of Directors.

30.06.2018 30.06.2017

Subsidies to investment and exploitation 2,076,578 2,368,049

Gains on disposal of f ixed assets 458,561 41,829

Other income 312,309 1,453,959

2,847,448 3,863,837

30.06.2018 30.06.2017

Direct taxes and charges 1,333,103 878,727Other costs 3,167,890 897,115

4,500,993 1,775,842


35


As of 30 June 2018 and 2017 the balances and transactions with related parties are as follow:

(a) All entities consolidated by the equity method as of 30 June 2018 and 2017 (Note 4.2); (b) Were considered as related parties the companies listed below.

Besides the companies included in consolidation (Note 4), entities considered as related parties as of 30 June 2018 can be detailed as follow:

Actium Capital, S.A. Adcom Media – Anúncios e Publicidade S.A A Nossa Aposta – Jogos e Apostas On-line, S.A. Caderno Azul, S.A. Cofihold, S.A. Cofihold II, S.A. Cofina Media, S.A. Cofina, SGPS, S.A. Destak Brasil – Editora de Publicações, S.A. Destak Brasil – Empreendimentos e Participações, S.A. Elege Valor, Lda. Expeliarmus – Consultoria, S.A. F. Ramada II, Imobiliária, S.A. Ramada Investimentos e Indústria, S.A. Grafedisport – Impressão e Artes Gráficas, S.A Livrefluxo, S.A. Mercados Globais – Publicação de Conteúdos, Lda. Planfuro Global, S.A. Préstimo – Prestígio Imobiliário, S.A. Promendo, SGPS, S.A. Ramada – Aços, S.A. Socitrel – Sociedade Industrial de Trefilaria, S.A. Universal Afir, S.A. Valor Autêntico, S.A. VASP – Sociedade de Transportes e Distribuições, Lda. 1 Thing, Investments, S.A.

18. APPLICATION OF THE NET PROFIT

Regarding 2017 financial year, the Board of Directors proposed, in its annual report, approved at the General Shareholders’ Meeting held on May 4, 2018, that the individual net profit of Altri, SGPS, S.A. amounting to 56,705,382.66 Euro, would be integrally allocated as dividends distribution. The Board of Directors proposed, as well, the distribution of free reserves amounting to 4,834,118.94 Euro as dividends, which corresponds to a total dividend of 0.30 Euro/share.

19. SUBSEQUENT EVENTS In a press release as of 31 July 2018, Altri announced to the market the achievement of an agreement, together with its subsidiary Caima Indústria, with EDP – Energias de Portugal, S.A. (EDP), to buy 50% of the share capital, credits and voting rights that EDP holds in the share capital of EDP Produção – Bioeléctrica, S.A., hence assuming, as a consequence of this agreement, the control of 100% of this Company. The transaction is subject to prior notification to the Competition Authority, under the terms established in the competition legal regime and, therefore, contingent to the decision of non-opposition by the Competition Authority, being its conclusion estimated to occur during the second half of 2018.

Transactions 30.06.2018 30.06.2017 30.06.2018 30.06.2017 30.06.2018 30.06.2017Associated companies and joint ventures (a) 1,349,143 1,223,508 7,781,083 8,478,506 60,552 152,732Other related parties (b) 353,518 1,050,010 - - - -

1,702,661 2,273,518 7,781,083 8,478,506 60,552 152,732

Balances 30.06.2018 30.06.2017 30.06.2018 30.06.2017 30.06.2018 30.06.2017Associated companies and joint ventures (a) 505,774 321,851 6,071,613 2,295,348 19,982,905 11,482,905Other related parties (b) 111,972 675,197 756,762 20,790 - -

617,746 997,048 6,828,375 2,316,138 19,982,905 11,482,905

Purchases and services obtained Sales and services rendered Interest income

Payable Accounts Accounts receivables Loans conceded


36


The transaction amounts to an estimated global value of € 55,000,000.00 (fifty-five million Euro).

20. FINANCIAL STATEMENT APPROVAL

The financial statements were approved by the Board of Directors and authorised for issuance on July 26, 2018.

21. EXPLANATION ADDED FOR TRANSLATION These condensed consolidated financial statements are a translation of financial statements originally issued in Portuguese, prepared using accounting policies consistent with the International Accounting Standard 34 – Interim Financial Reporting, some of which may not conform or be required by generally accepted accounting principles in other countries. In the event of discrepancies, the Portuguese language version prevails. The Board of Directors Paulo Jorge dos Santos Fernandes João Manuel Matos Borges de Oliveira Domingos José Vieira de Matos Laurentina da Silva Martins Pedro Miguel Matos Borges de Oliveira Ana Rebelo de Carvalho Menéres de Mendonça José Manuel de Almeida Archer


ALTRI, SGPS, S.A.

Rua do General Norton de Matos, 68 - R/C 4050 – 424 Porto PORTUGAL

Tel: + 351 22 834 65 02

www.altri.pt

Documents

REPORT AND ACCOUNTS - altri.pt/media/Files/A/Altri-V2/reports-and-presentations/reports/english/2018/... · - Celtejo – Empresa de Celulose do Tejo, S.A. (Vila Velha de Ródão)