Energy Development Corporation

38th Floor, One Corporate Centre Building, Julia Vargas corner Meralco Avenue

Ortigas Center, Pasig 1605, Philippines

Trunklines: +63 (2) 667-7332 (PLDT) / +63 (2) 755-2332 (Globe)

March 3, 2014

JANET A. ENCARNACION

HEAD, Disclosures Department

The Philippine Stock Exchange, Inc. Philippine Stock Exchange Plaza

Ayala Triangle, Ayala Avenue, Makati City

Dear Ms. Encarnacion:

In compliance with the disclosure requirements of the PSE, we submit the attached press release

entitled "EDC reports 2013 attributable recurring net income of Php 6.6 billion".

Thank you.

Energy Development Corporation

38th Floor, One Corporate Centre Building, Julia Vargas corner Meralco Avenue

Ortigas Center, Pasig 1605, Philippines

Trunklines: +63 (2) 667-7332 (PLDT) / +63 (2) 755-2332 (Globe)

Press Release

March 3, 2014

EDC reports 2013 attributable recurring net income of Php 6.6 billion

Energy Development Corporation today announced FY 2013 consolidated recurring net income attributable to equity holder's of the Parent of Php6.6 billion, a 20% decrease from the Php8.2 billion posted in the previous year mainly on account of lower energy sales by EDC's FG Hydro asset.
Consolidated revenues reached Php25.7 billion in 2013, down by Php2.7 billion, or
10%, from the Php28.4 billion in 2012. The revenue from FG Hydro dropped by Php2.2 billion and that booked from Leyte by Php0.6 billion.
Consolidated net income attributable to equity holders of the Parent stood at Php4.7 billion in 2013, 46% lower as compared with Php8.7 billion recorded in 2012. Principally contributing to the drop was a net loss of Php2.0 billion for non-recurring items in 2013 in contrast to a Php0.5 billion non-recurring gain for 2012. The non- recurring loss was primarily driven by realignment losses from the volatility in the peso- dollar exchange rate with the Php1.3 billion FX loss in 2013 as compared to the Php1.1 billion foreign exchange gain in 2012. Other major non-recurring item for 2013 includes material damage sustained due to typhoon Yolanda amounting to Php0.6 billion
The Company's financial position remained healthy with strong cash levels. It maintained a comfortable gearing level with consolidated net debt to equity of 1.17 to 1 and consolidated net debt to EBITDA of 2.72 to 1.
"2013 posed unprecedented challenges to EDC. We, however, remained steadfast and have exerted efforts to expedite the energization of the Leyte Plants. We remain on track to have the last of the Leyte plants energized by about June 2014." EDC Executive Vice President Ernesto B. Pantangco said.
EDC remains the largest producer of geothermal energy in the Philippines accounting for 62% of the country's total installed geothermal capacity and 132 MW of hydroelectric plants. As part of its aggressive growth program, it is on track for the commissioning of the 40 MW Nasulo Geothermal Project and the 87 MW Burgos Wind Energy Project by 3Q and 4Q of 2014, respectively.
For Bacman, its Unit 1 was energized last January 30, 2014 and has been operating at rated capacity. Unit 2 is expected to be re-commissioned by 2Q 2014.

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