B2-SH-10-A Passenger elevators Apron conveyors Escala Bevel-helical gear reducers B2

Flender/Flender Gear Units/Bevel-helical gear reducers B2

le yields as result of various improvements in the irrigation system and field cultivation practices. 0 The number of field workers is reduced to achieve reasonable field productivity levels. 0 The number of factory workers is reduced to achieve reasonable factory productivity levels. * The number of administrative workers is reduced according to work force reductions expected by management. * The milling rate of the factory is increased to keep the crop season within 4.5 2-day periods. 4. Scenario 4 assumes, in addition to the assumptions in Scenario 3, that an additional 6,6 manzanas of land is put into cultivation in order to reach total amount of cane land, both colono and IVJ, of 2,0 manzanas. Of the 6,6 new manzanas, 5,4 are assumed to be owned and cultivated by IVJ and 1,2 are assumFed to be owned and cultivated by colonos. VIII - 2 5. Scenario 5 assumes, in addition to the assumptions in Scenario 4, that management is able to instail two turbo-generators that it owns but which are not currently in operation in order to meet all of its electricity needs and sell excess energy to the national power grid. All of the scenarios assume that IVJ will not have to repay any of the debt on its balance sheet. The results of the DCF analysis for the five scenarios are summarized below. The range of results for each scenario reflects the sensitivity of IVJ' value to different sugar price and discount rate assumptions. The sugar price of $1.7 per quintal was the weighted average price to producers for 1/9. The price of $1.8 would be the weighted average price assuming the world market price returned to its historical average (see Section III for further discussion of sugar prices). The price of $1.6 represents 5% increase over $1.8. All negative results are recorded below with dash. Value of Ingenio Victoria de Julio (Millions of Cordobas) Pessimistic Mid-Range Ootimisitic Avg. Sugar Price $1.7 $1.8 $1.6 Discount Rate 2% 1% 1%