Good morning, everyone, and welcome to IRSA’s Fourth Quarter 2019 Results Conference Call. Today's live webcast, both audio and slide show, may be accessed through the company's Investor Relations website at www.irsa.com.ar by clicking on the banner webcast/link. The following presentation and the earnings release issued yesterday are also available for download on the company website. After management's remarks, there will be a question-and-answer session for analysts and investors. At that time, further instructions will be given. [Operator Instructions].Before we begin, I would like to remind you that this call is being recorded and information discussed today may include forward-looking statements regarding the company's financial and operating performance. All projections are subject to risks and uncertainties and actual results may differ materially. Please refer to the detailed note in the company's earnings release regarding forward-looking statements. I would now turn the call over to Mr. Alejandro Elsztain, II-Vice President. Please go ahead, sir.

Thank you very much. Good morning everybody. We are beginning our Annual Report. This is finishing our fiscal year 2019 of 30 of June. We can begin in Page number 2, seeing that we are achieving a very big loss. When we see the company was affected by some mainly fair value, but we talk about the adjusted EBITDA. The adjusted EBITDA of the businesses that we are running was a very positive number. We achieved ARS 19.7 billion, and this is 13% comparing to last year numbers, the EBITDA.And when we divided the two segments, the Argentinian and the Israeli, we see that the Argentina Business Center is ARS 5.6 billion, that is a drop of 2.4% comparing to last year numbers. Remember that this year we’re adjusting by inflation more than 50% inflation. And in the case of Israel, we achieved ARS 14 billion, that is 18.6% comparing to last year numbers, not to 2019, to 2018 numbers. When we see related to Argentina, we see an increase of 6.8%, and this is the EBITDA growth. And there are two segments that they were very benefit and Daniel will explain later that office business and the hotels. The two are driven by dollars and because of the evaluation and dilution in cost, we had much more benefit on the year comparing to last year numbers not in the shopping center that we added in real decrease on the sales.And as we speak about the Israel numbers and we remember that we have a delay of three months in the result of Israel, we see an increase of 39% and that was mainly driven because of the revenue recognition according to IFRS in the residential business. This up to here the segment is not showing an increase but the rental is increasing too in the next segment. So Israel business, rental business is working very well on the year. If we see related to the net income of the company, it is a net loss of ARS 26.8 billion comparing to a gain of last year of ARS 23 billion.The main explanation of this, we're going to see later with Matias that is because of the fair value of investment properties in Argentina Business Center. This is the evaluation of the shopping centers of the company in Argentina. We had two material effects on the balance sheet in this annual report, one is the opening of the Zetta building in the North that we are going to see the result of that business and from the other side in Israel, the other big material thing was the sale of 19.5% of the class shares and we have today 35% directly are through swaps and we are going to show what we were doing recently paying to bondholders with those shares. So now, I will introduce Daniel Elsztain please.

Thank you, Alejandro. Good morning, everyone. On Page number 3, we’ll start with Argentina numbers on the left side of the page with the shopping centers numbers. In terms of total GLA, we see a small reduction this year compared to last year. This is mainly explained by the end of the concession of the Buenos Aires Design. It was more dedicated to construction and decoration that belongs to the city, we gave back. So the total GLA now is 332,000 square meters, occupation is 95%. It's a small drop also compared to last year. This is mainly explained by Walmart that or by shopping centers that we closed. So we have that empty space if we would exclude that specific supermarket, the total occupancy would have been 98.5% compared to last year of 99%.Regarding more sales, we see in real terms reduction of 13.5% compared to last year. But we see in the trend that we are this quarter was a little bit better that it was the previous quarter. When we see this in nominated terms, we see an increase of 36% and if we could exclude the effect of the sales of Walmart, this could have been a 12 reduction in real terms of 12.6% compared to last year.Just as a note, at the end of this quarter, we were seeing a reduction in inflation, we were seeing an increase on consumption. That changed after the primaries, but it was at least it was a good or a better ending of the fiscal year that we were seeing in previous quarters. Regarding the office segment, we see from this year compared to last year, we see an increase in the total GLA, we're running from 83,000 square meters to 115,000 square meters. This is incorporating the Zetta…

Thank you, Danny and good morning everybody. So going to Page 8, we have the evolution of our investment in Banco Hipotecario. Unfortunately, what happened after the primary generated, the valuation of the shares decreased significantly similar than the rest of the banks in Argentina and similar than the rest of the stocks in Argentina. So now what you see that was the market value of our investment around last year decreasing significantly to levels of $87 million.Regarding the results this year, we posted a loss of ARS 1.7 billion against a gain last year of ARS 291 million is basically due to the impairment of an investment property at Banco Hipotecario level, they built building to develop a headquarters, they made an impairment on that building and also because of the inflation assessment, we are recognizing losses because of that Banco Hipotecario still they don’t have the obligation, yet to assess value on their balance sheets, but when we recognize the result from them, we have to do it. So going to Page 9, Alejandro will continue with the Israeli investment.

We can see the current corporate structure between IDB and DIC, how we are running 100% of IDB and 82% of DIC. We can as you remember, we were because of the concentration law resolution, we had to solve the layer, the third layer of the company. And so we had to decide what to do with Mehadrin, Gav-Yam and Ispro. From the case of Ispro, Ispro was 100% in our hands, but now we are privatizing the public debt. With that, we’ll be sold.In the case of DIC -- of Gav-Yam sorry, Gav-Yam we had, we came from 70%. And now we are showing here that we went to 35% of the shares. This Gav-Yam is the rental properties in Israel, mainly office buildings and logistics center. And so we decided how to solve is to deconsolidate these Gav-Yam, so we sold the last quarter 16.7% of the shares of Gav-Yam. We had 51 now after those two sales, we have below the 35, with that we are not having more than 100% control of the company. So now we are deconsolidating for the balance sheet, we are complying to the concentration law.The last one that we need to solve is Mehadrin that would need to be defined before the end of the year. We have here 45% of the shares and we need to go out to 100% or below the 35% that is under discussion today. So the concentration law is close to be sold, and from the other side, we have the Clal issue of the sale that we’re going to explain little later what we were doing till last quarter.Related to the CEO appointment, we are in the process of appointing a new CEO as you know, the headhunting that we were doing was close…

Thank you, Alejandro. So regarding our investment in Israel as Alejandro mentioned, we used to have two main challenges. One was related to concentration law. So we already solve it. And the second one close to solving it because we have a minor, minor issue with one of our company, so the second one was regarding our investment in Clal.So since the beginning, the regulators haven't allowed us to, to have the control permit, and then they force us to sell in the market. So you can see in the graph that since the beginning, our strategy was to maintain our stake. So we started since the beginning with all our stake direct held by the company. And then we start to do swap transactions in order to avoid missing the economic rights on the shares. So finally, in August 2018, the regulators started to force us to sell in the market.At that moment, we requested to have the control permits for the first time since our original investment, we submitted request for control. But finally, we decided to pull back the control permit in August 2019, when we realized that the chances to get the control in this stage was very limited. So, we decided to pull back and then the regulator ask us to not renew the swaps. So, we have to start selling the swaps or closing the swaps losing the economic rights. So you can see that in June 2019, we started to sell the economic rights, so we decreased from the 54.8% to 44.3%. At that moment instead of going to the market and sell the shares, we entered an agreement with three, two families in very well known families in Israel.And we gave an option to a third-party that used to be the CEO…

It was a very active year. A lot of things, and resolution in Israel and Argentina and under construction, the real estate companies are doing a lot, office buildings in Israel and Argentina. The portfolio is improving its ability and its quality. So we are closing in valuation year but very good in activities and resolution on assets and shares. So we expect to keep the company doing what we knew, what we know is to do more real estate globally as we were doing actively last year. So thanks to everybody to the conference call. And next let's work a lot for the next fiscal year that begins now. Thank you very much and have a very good day.