6.1 Summary of Financial Statements

ANCAP's total assets had an increase of 1.36% in the 2015 fiscal year, amounting to $64,259,049,064, which represents a variation of $863,721,194.

The total asset variation is explained by a 6,84% increase in the non-current assets, which represents an increase of $2,652,332,423 and a decrease of the current assets of 7.26% reaching a sum of $1,788,611,229.

The non-current asset had an increase of $2,652,332,423 as a consequence of the acknowledgment of an asset due to Deferred tax of $5,944,894,273 and the decrease of $2,314,373,293 in the company's plant, property and equipment.

The asset variation due to the Deferred tax comes from the temporary differences defined between the accounting and fiscal base of the assets and liabilities and the fiscal losses accumulated up to 31/Dec/2015.

Regarding the temporary differences that explain the variation between the accounting and fiscal bases of the assets and debts, they are caused by an increase in the taxable difference, mainly in property, plant and equipment.

In regards to the fiscal losses accrued in 2015, a Deferred tax is acknowledged that is caused by the possibility of recovery due to the approval of Law 19.638 which establishes that the equity increase granted by this law is gross income when it comes to the income tax for economic activities.

The variation of the Property, Plant and Equipment section corresponds to: i) the acknowledgment of the deterioration of the Portland and like business segment by $5,484,705,926, ii) the increase of the area at ALUR as a result of conversion and the progress of the bioethanol project in Paysandú.

The variation in the current asset corresponds mainly to the variations that took place in the Inventory section.

The balance of the Inventory section had a decrease of $1,823,996,078, which amounts to an 11.70% decrease from the balance at the end of 2014. This corresponds, on the one hand, to a lower balance of Inventory at ANCAP by $2,887,110,707 that is better explained by a lower balance in Imports in Process, due to the lack of crude shipments in process in December (at the end of the 2014 fiscal year one import shipment was in process). Likewise, at the end of the 2015 fiscal year, there is a decrease in the cost of finished and in process products that is mainly explained by the decrease in the value of crude and petroleum products. At the same time, ALUR increased its inventory by $1,032,538,383, mainly due to the increase in the raw material inventories (grain sorghum and granola).

ANCAP's total liabilities increased by $5,784,343,928 compared to the end of the previous year, which, in percentage terms, represents a 10.94% increase.

This increase is mainly due to an increase on financial debts by $12,881,534,096, which is mainly due to the exchange rate difference created by the loans the ANCAP group has both in dollars and indexed units amounting to $4,988,480,335 and the increase in the debt for the indexed units loan with the Ministry of Economy and Finances to cancel the debt with PDVSA which in the end of the fiscal year amounted to $7,874,541,971. It should be noted than on February 2, 2016, the debt with the Ministry of Economy and Finances was capitalized.

On the other hand, there was a decrease on commercial debts and other debts amounting to $7,183,969,426, that mainly corresponds to the in advance debt retirement with PDVSA mentioned in the previous paragraph.

Complying with what is established in regulation Nº 81 of the Court of Audit, we inform that the reserves that are shown in the net worth and are detailed in the Net Worth Evolution Statement maintain their face value. They correspond to the following sections:

The reinvestment reserve corresponds to the tax exemption reserve for investment of Section 447 of Law N°15.903 and on December 31, 2015 it amounts, just like at the end of the previous year, to $1,252,629,057. During the 2015 fiscal year, no reserves were added for this concept as we did not have profits in the fiscal year that ended on December 31, 2014.

During the 2015 fiscal year there were no versions to General Income Tax.

ANCAP's net result for the fiscal year ending in December 31, 2015 was a loss of $5,974,018,997, of which a loss of $30,005,579 is attributable to minority interest.

The operating income of the ANCAP group in the year 2015 was of $85,353,623,971, having a decrease of $2,010,372,308 (2.3%) in billing.

The sales to the internal market had an increase of $880,581,552 (1.1%) due to the increase in volumes sold, which was counteracted by the price decrease that was approximately 2% lower than the previous year.

Of the main products, the volume of gasoline sold was 6% higher than the previous year, while gasoil decreased by 1.4%.

Export decreased by $881,684,230, and bunker sales by $2,009,269,630.

Discounts, allowances, and taxes increased $3,176,249,668 due to: i) $2,474,129,941 in IMESI, due to the increase in both gasoline volume sold in the internal market and the increase of the value of IMESI in comparison to the year 2014; ii) $928,218,039 in discounts and allowances due to the increase in the margins and allowances applicable in the fiscal year; iii) $226,940,288 decrease in the Contribution to the Transportation Trust as a result of both the decrease in the gasoil volumes sold as well as the price per liter of contribution.

The sales cost decreased $9,989,411,697 due to the decrease in volumes sold and the decrease in crude prices counteracted in part by the increase of the exchange rate.

Lastly, regarding the operative income, the main variation took place in other expenses, which increased $5,668,621,857 due to the acknowledgment of the deterioration of the Portland and the like business segment previously mentioned by $5,484,705,926.

The Net Financial costs increased by $1,664,200,178.

The variation is mainly due to loss due to exchange rate that in 2015 resulted in a loss of $7,411,381,312, while in the previous year it was of $3,858,998,887. This loss is due to the impact due to the debt monetary position both in dollars and indexed units, and the strengthening of the dollar in relation to the Uruguayan peso, as well as the increase of the indexed unit.

Likewise, on September 24, 2015 the debt ANCAP had with PDVSA for the purchase of oil was retired in advance. The sum of the assigned debt at that date was of US$425,989,170 for nominal values and US$348,102,241 was its corresponding carrying amount. As a result of this operation, a profit of $2,344,098,083 on financial incomes was recorded in the income statement.

Lastly, the variation in the Income due to Income Tax, of $4,857,030,991, mainly corresponds to the accounting of the profit by the Deferred Tax already explained.