INABENSA

In 2008, a year of uncertainty in which world economic performance did not lend itself to growth of the industrial sectors Inabensa operates in, the company demonstrated its capacity to meet the objectives established in its Strategic Plan, thanks to the management systems utilized, and its human and technical team.

Therefore, at Inabensa, our quality and commitment to customer service are a differential that has allowed us to continue to grow and further consolidate our leadership in the lines of activity we develop.

The positive results of us focusing on our customers are to be seen in the increase (more than 40%) in the number of letters of congratulations received in 2008, and the prizes awarded in recent years in recognition of our excellence in management, corporate social responsibility, and occupational and environmental risk prevention. As an example, we would mention “GE’s Excellence in Lean” prize awarded this year by General Electric.

And lastly, also of note during the year was the continuation of Inabensa’s expansion plans, resulting in consolidation of subsidiaries and permanent offices in Portugal, France, Morocco, India, Costa Rica, Abu Dhabi, China, and Saudi Arabia, and extension of our presence in Central Europe and Central America.

In short, this year demonstrated the correctness of the “sustainable growth” strategy implemented years ago and of the company’s trust in focusing on its customers, work quality and employees.

Electric Installations

In the electric sector, work continued under the framework contracts for minor works related with energy distribution, line and substation maintenance, for Iberdrola; 220 kV and 400 kV line maintenance works, for REE; construction and maintenance of HV lines and underground laying of lines up to 220 kV, for Endesa.

Also of note in this sector were the works executed as a consequence of the ServicesAffected by the construction of the Madrid-Barcelona-French Border, and the Madrid-Valencia AVE (High-Speed) lines, for Adif; the construction of Line 9 of Barcelona Metro; the conditioning to European Legislation of the tunnels on the Madrid-Barcelona-French Border High-Speed Line, and of the San Pedro tunnel system on the Madrid-Segovia-Valladolid High-Speed Line, for Adif; and the rectifi er substations, energy and communications systems for Madrid Metro and Barcelona Metro.

In the automotive sector, of note were the installations executed at Renault’s factories in Seville, Palencia and Valladolid; at Ford’s factory in Valencia; and for Peugeot-Citroen at new concessionaire premises and at its Vigo and Mangualde factories; and also for the auxiliary automotive companies Gkn Drive Line, Denso, Gestamp, Valeo, Aimen, Gomvarri, and Faulecia (Portugal).

In the foodstuff sector, MV and LV works were executed for El Pozo, Heineken, Nestle, Mercadona, Sola Ricca, and at Jabugo’s Drying Plant.

In the industrial sector, the expansion of the electric installations for the new furnace at Financiera y Minera’s cement factory, in Malaga, and the outdoor high-voltage electric network, transformation centers and generating sets at the new EADS-Casa factory, in Seville, were of note.Also of note were the LV, MV and HV installations at Mutual Ciclops’s building, for Natur System; the Torraspapel factory in Zaragoza; several educational centers for the Basque Government; the Canary Islands Institute of Technology for the Regional Government; Grupo Santander’s City of Finance in Boadilla del Monte (Madrid); Caja Madrid’s DPCs (Data Processing Centers); NASA’s tracking station in

Of note among the works initiated in the Spanish market, continued or completed by Inabensa in 2008, in its different fi elds of activity, were:

Robledo de Chavela (Madrid); the City Walls of Tarifa (Cadiz); and the installation at Abengoa’s new HQ in Palmas Altas (Seville).

The Picasso Transformation Center and the DPC at Malaga Airport; the CELA enlargement at Madrid’s Barajas Airport; and the remodeling of the beaconing system at Madrid’s Cuatro Vientos Airport, were of note for Aena; as were several works executed at different SIEP Penitentiaries.

Also worthy of mention were the conditioning and boosting of Substations to 66 kV and maintenance of electric installations at Cepsa’s refi nery in Algeciras (Cadiz); the two new 132/20 kV substations in Calasparras and Mayordomos (Murcia), for Asetym; and the new power center isolated from the grid and the safety control system for the Teide Mountain Cable Railway System (Tenerife).

As regards singular buildings for public administrations and the private sector, of note were those for the General Directorate of Heritage and the Andalusia Health Service of the Regional Government of Andalusia, the new CARE and SHARE building, in Cordoba; the Campus de la Salud hospital complex, in Granada; the reforming and conditioning of theadministrative building in Zaragoza St., in Seville; theCity of Justice, in Malaga; the offi ce building in Almanjayar (Granada); the remodeling of the NewZealand Pavilion at Isla de la Cartuja, Seville; Emasesa’snew PICA building, in Seville; the enlargement of Fibes-Sevilla exhibition center; the new Badajoz Trade Fair Center (Ifeba); the new IDEA building, in Aeropolis (Seville); and the new HQ of the Energy Agency of Andalusia; and the new Konecta building, in Almendralejo (Badajoz).

In the overhead high-voltage lines sector, we continued to participate in the construction of the North Corridor for REE, on the 400 kV Soto-Penagos, Penagos-Güeñes, and Pesoz-Salas lines (Asturias – Cantabria). OPGW stringing works also continued for REE with lines in operation, as did the installation of high capacity conductors on the 220 kV Caparacena-Atarfe line (Granada) while keeping one of its two circuits in operation. The relocation of the 400 kV Vandellos-Pierola HV line (Tarragona) and repowering of the Colon-Onuba HV line (Huelva) were also executed.

Works continued for Unión Fenosa on the 132 kV Loeches-Atalayuela HV line and the 220 kV Loeches-Coslada HV line (Madrid), and different works, related with connections at Tajo de la Encantada substation (Malaga) were executed for Iberinco.

Large HV Lines

On conventional Adif railway lines, of note were theRenovation of the Electrifi cation System on the Mataporquera-Reinosa section (Cantabria); Upgrading of the Overhead Contact Wire on the Gallur-Castejon section (Navarra); and Integral Renovation of the Overhead Contact Wire on the El Escorial-Santa Maria de la Alameda section (Madrid).

Noteworthy in relation to Adif’s high-speed network were the Electrifi cation of the Overhead Contact Wire and Associated Systems on the Motilla del Palancar-Valencia and Motilla del Palancar-Albacete sections, and maintenance works on the Madrid-Lerida and Zaragoza-Tardienta AVE (High-Speed) lines.

Railways

Electric InstallationsHydroelectric and thermal power plantsRenewable energy and cogeneration power plants

Combined cycle power plants Substations and transformation center Industrial installationsAirport installationsIntegral installations in buildings and commercial centers Urbanizations and industrial estatessSubstations for railway tractionSubstations for railway traction

Large HV LinesTransmission lines up to 800 kV In-vicinity works Live line worksLine maintenance works

Mechanical InstallationsHydroelectric, thermal and concentrated solar power plantsCombined cycle power plantsCogeneration, biomass and renewable (solar) power plantsPetrochemical plantViaducts and metal bridgesGas and oil pipelinesGas distributionConduits

Insulation/Refractory/Passive Fire ProtectionThermal and acoustic insulationRefractory material linings Fire protection

Maintenance and Instrumentation Chemical and gas production plantsNuclear and thermal power plantsMilitary basesState bodiesSingular buildingsProgrammable automation

RailwaysRailway electrifi cationOverhead 3 kV dc lineOverhead 25 kV ac (50 Hz) AVE (High-Speed) lineCommunication systemsRailway line maintenance

CommunicationsCommunication system engineeringStationary and mobile communication infrastructuresNetworks and radio systems

ManufacturingMotor control centersMV cabinetsLV boardsRelay racksAuxiliary services boardsElectronic cardsControl panels

ConcessionsSingular buildingHospitalsPublic transport (railways and metros) Energy transportationSolar photovoltaic power plantEnergy effi ciency

The most important activities in the Maintenance and Instrumentation sector included replacing of the Control Systems of Units I, II and III at Andorra Teruel Thermal Power Station and maintenance of substations in the Cadiz and Huelva areas, both for Endesa; the instrumentation for the BP-Castellon delayed coking plant; the electric assembly and instrumentation works at Cepsa’s Vacuum Plant, in San Roque (Cadiz); the new HPP plant belonging to SABIC Innovative Plastics, in Cartagena (Murcia); the TES thermal storage plant and the Solnova 1 parabolic trough solar fi eld, for Abener; the new hydrocarbon reception station for the Zaragoza-Torrejon oil pipeline, for C.L.H. Torrejon; and the Lesseps 4x2000 kW rectifi er substation on line 3 of Barcelona Metro, for Gisa.

Maintenance and Instrumentation

In 2008, heat-insulating works were executed at the biodiesel facility in San Roque (Cadiz) and on the Tes and Eureka 5 units of Solucar’s solar power plant (Seville), for Abener. Fireproofi ng of the delayed coking unit and insulation of the cogeneration unit at BP’s refi nery in Castellon, and fi reproofi ng of the new vacuum, crude and Gascon units at Cepsa’s La Rabida (Huelva) refi nery were executed.

Foret’s furnace in La Zaida (Zaragoza) and changing of the lining of the FCC, HDT and vacuum units at Repsol’s refi nery in La Coruña were the main refractory works carried out during the year.

Insulation/Refractory/Passive Fire Protection

Of note in this sector were the assembly of the Photovoltaic Plants for Abengoa inLinares (Jaen), Casaquemada and Las Cabezas (Seville), and the mechanical installations, weak signals, air-conditioning and/or ventilation systems at Centro Bahia de Cadiz of EADS-Casa, in Santa Maria Port; at Vigil de Quiñonez Hospital, in Seville; at the Museum of Human Evolution, in Burgos; and at Palmas Altas Technology Park; and the installation of the HFT loops of Solnova 1 solar power plant.

Mechanical Installations

Of note in this fi eld was the installation of Huawei equipment, for 2G/3G as well as FTTH technology for Telefónica and Vodafone, and the SWAP works to upgrade Orange’s UMTS network throughNokia-Siemens Networks (NSN).

GSM-R infrastructure (houses, towers) for NSN was supplied and installed on the Madrid-Valencia High-Speed line. Work continued on the Project for FEVE to Develop the Internal Communications Network on the Parteayer-Collanzo line (Asturias). The company also participated in the construction of sites and the installation of communication towers for Telefónica Móviles, in Catalonia and Aragon, and in the Public Telecommunications Infrastructures Network of Aragonesa de Servicios Telemáticos.

In addition, as in previous years, engineering, installation and commissioning projects continued for France Telecom and BT, as did switching equipment design and installation projects for Ericsson.

Communications

In the health sector, works commenced on the construction of the hospital building, out-patients’ area, underground car park and complementary infrastructures of Costa del Sol Hospital, in Marbella.

Tajo Hospital, in Aranjuez (Madrid) and the Olot, Cerdañola and Santa Coloma courthouse buildings are now fully operational.

Concessions

The photovoltaic power plants at Casaquemada (Seville), Linares (Jaen) and Las Cabezas (Seville), those on the Expo Zaragoza roofs and on the awning and parking area at our Torrecuellar CIL facilities are producing and supplying energy to the public grid.

Manufacturing

On the Spanish market, in addition to attending to the needs of the company’s conventional sector, Auxiliary Services Panels, Relay Racks and Centralization Boxes were manufactured for REE.

In the energy and control section, protection and auxiliary services cabinets were supplied for different Endesa Generación substations, as were 3,700 meters for telereading.

In the Nuclear sector, reloading services continued to be provided and different medium and low voltage equipment was manufactured and installed, and commissioning of the same supervised.

Of note as regards Combined Cycle Thermal Power Plants was the supply of MV Cabinets and LV Distribution Boards for Endesa Generación’s Granadilla II (Tenerife) Power Plant and the Ain Beni (Morocco) Combined Cycle integrated with ISCC solar power plant, for Abener. For the Solar Sector, we supplied MV Cabinets and LV Boards for the PS20 and Solnovas solar thermal power plants, also for Abener. Diesel unit low voltage and auxiliary services boards were manufactured for Endesa Generación’s Melilla and Ceuta Diesel-Fired Power Plants, respectively.

Of note in the petrochemical sector were the equipment supplies for Repsol’s Algeciras (Cadiz), La Rabida, Somorostro (Vizcaya) and Cartagena (Murcia) refi neries, and those of Cepsa, BP Oil in Castellon, Petronor and Enagas.

In the traffi c sector, the company supplied traffi c regulators, urban and interurban, as well as different ticketing and access control units, for Telvent.

International References

Among the references undertook outside the Spanish market, in September 2008, in Serbia, we were awarded the construction contract for a 400 kV high voltage, single circuit duplex transmission line between Lescovak and the border with Macedonia, in Republic of Serbia territories.

Work continued in Central America on the 220 kV Central American Electric Interconnection System (Siepac) project which will connect the grids of Guatemala, Honduras, El Salvador, Nicaragua, Costa Rica, and Panama.

As part of the General Electricity Company of Libya’s plan to establish a 400 kV network across the country to connect Egypt with Tunisia, Inabensa is currently executing a project comprising 575 km of 400 kV line.

In the railways sector, the commercial start-up of theBuenavista-Cuautitlan line in Mexico FD is noteworthy. The electrifi cation of the line was executed by Inabensautilizing in-house technology for 25 kV ac.

The main references for equipment manufactured forexport for the traffi c and transport sector include thecabinets contracted by Alstom for the signaling systemof the Light Rail Train BOT Project and the SOS posts and associated electronics for Ireland’s motorway network. Also noteworthy was the manufacturing of Gas Turbine and Generator control containers for projects in Morocco, Pakistan, Korea, Norway, Ghana, Egypt, China, Portugal, Angola, Romania, Nigeria, Russia, and Iraq. The MV Cabinets, Distribution Boards and LV Motor Control

In the telecommunications sector, we designed a data fi ber optic network for ADWEA that provides coverage for the entire Emirate of Abu Dhabi.

Furthermore, of note in the energy sector was the supply and installation of a suite of 33/11 kV Compact Substations in the eastern area of the country, for ADDC.

Inabensa Abu Dhabi

Inabensa Bharat

In the transmission lines sector, Inabensa Bharat built 135 km of 400 kV D/C line from Baripada to Bhaddrak.

Moreover, Inabensa Bharat supplied the structures for different types of photovoltaic panels to be utilized on construction of solar power plants in Spain.

The most important projects under way include 542 traffi c regulating units and their associated electronics for Panama City, Mumbai and the Spanish market,and 31 automatic ticket vending machines (ATVM) for Venezuela Metro, bothfor Telvent.

Also noteworthy are the 9 turbine control units, including 5 motor control centers for GE Energy, for Europe.

Inabensa Tianjin

Centers for Minjur Desalination Plant, in India, and the compression stations for TFT Phase 2 Boosting and for Beni Saf, in Algeria, were also noteworthy.

As regards engineering, we mention the diagnostic studies carried out on more than 270 km of high voltage lines managed by RTE EDF Transport in the Southwest (TESO) and West (TEO) regions.

Noteworthy construction works included the 400 kV Marlenheim-Vigy double circuit line. The noteworthy high voltage overhead line strengthening works included those on the 400 kV Avelin-Warande / Warande-Weppes double circuit line, where the 2008 campaign dedicated replacing conductors with Azale 707 cable was also completed.

Inabensa FranceInabensa Maroc

In the energy sector, Inabensa Maroc successfully completed the supply and installation of the 60/6.9 kVsubstation for the Ain Beni Mathar ISCC power plant, and the THT 225 kV and 400 kV lines for Autopistas de Marruecos (ADM). The company also completed execution of the PERG Rural Electrifi cation contract signed with ONE.

As regards Telecommunication infrastructures, the construction and electrifi cation of 200 Greenfi eld and Rooftop sites for the operators Wana and Meditelecom were noteworthy. The company also continued to construct Meditel’s fi ber optic network in the cities of Casablanca and Rabat.

The noteworthy Electric Installation and Instrumentation activities included the electric and mechanical installation project at the 470 MW Ain Beni Mathar Solar Thermal Power Plant.

Quality, Environment, Prevention and Social Responsibility

Inabensa has renewed, through its Continuous Improvement Policy, its QualityManagement, Environmental Management, and Occupational Risk Prevention Management Systems pursuant to ISO 9001, ISO 14001, and OHSAS 18001. These now cover all its activities and work centers. In addition to the aforementioned, Inabensa’s management systems now conform to the PECAL 2120 and ISO 17020 standards.

As a consequence of dedication to, and the implementation of prevention Spanish measures in Inabensa, the company’s accident fi gures are below the Sector’s average according to the latest data published by the Ministry of Work. This resulted in the company being awarded the Good Practices in Occupational Risk Prevention Matters Prize presented by the Regional Government of Andalusia’s Ministry of Employment and its General Directorate of Occupational Safety and Health, and the National Safety Trophy presented by the Association for the Prevention of Accidents (APA) for the work being undertaken in relation to Occupational Risk Prevention.

A clear indication of Inabensa’s efforts to ensure it is a highly competitive company within a framework of sustainability and, especially, the fi ght against climate change is to be seen in the project initiated this year to establish a Greenhouse Gas (GHG) Emissions Inventory. There is a three-fold aim to this project: to obtain in-depth knowledge of the direct and indirect GHG emissions associated with each activity to allow assessment of the situation and identifi cation of improvement opportunities; to label Inabensa’s products and services while identifying the GHG emissions associated with the production of each of them; and to assess its providers in function of the quality, veracity and traceability of the GHG emissions associated with the development of the products and services they provide.

Of note as regards the progress being made in implementing this system is the signing of emission reporting collaboration agreements with more than 1,000 providers and the development of an emissions catalog with more than 4,000 references for products and services that have been calculated utilizing life-cycle analysis (LCA).

Main Highlights

04-08

04-08

(CAGR: Compound Annual Growth Rate)

Sales CAGR

After-tax profit CAGR

Ebitda CAGR

04-08

INABENSA

www.inabensa.com

Offices in Spain Zip C. / City Telephone Fax

Head Offices Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.05

CIL Torrecuéllar Ctra. de la Esclusa s/n. Polg. Torrecuéllar 41011 Sevilla +(34) 95.498.35.00 +(34) 95.493.60.15

C.P. Alcalá de Henares Ctra. M-300, Km 28,6 28802 Alcalá de Henares (Madrid) +(34) 91.888.07.36 +(34) 91.882.73.41

Maintenance, Electricity Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.12and Instrumentation

Southern Regional Offices Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.14

Central Regional Offices Marqués de Encinares, 5 28029 Madrid +(34) 91.315.01.43 +(34) 91.315.87.18

Galicia Regional Offices Bajada a la Gándara, Nave 8 36330 Corujo (Vigo) +(34) 98.629.94.51 +(34) 98.629.80.14

Canarias Regional Offices Castillo, 7 35001 Las Palmas +(34) 92.832.31.15 +(34) 92.831.66.06

Railways Marqués de Encinares, 5 28029 Madrid +(34) 91.315.01.43 +(34) 91.315.32.89

Mechanical Assemblies Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.10

Protisa Los Vascos, 17 - 2ª Planta 28040 Madrid +(34) 91.129.24.47 +(34) 91.129.26.61

HV Lines Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.13

Levante Regional Offices Polg. El Molí Partida El Testar, s/n 46980 Paterna (Valencia) +(34) 96.360.28.00 +(34) 96.361.86.08

Catalonia/Aragon Regional Of. Perú, 214-226 08020 Barcelona +(34) 93.303.45.40 +(34) 93.307.00.94

Northern Regional Offices Santa Ana, 26. Plg. Barrondo 48450 Etxebarri (Vizcaya) +(34) 94.440.05.00 +(34) 94.440.02.52

Communications Los Vascos, 17 - 2ª Planta 28040 Madrid +(34) 91.129.24.47 +(34) 91.129.26.61

Concessions

Offices out of Spain

Manuel Velasco Pando, 7 41007 Sevilla +(34) 95.493.60.00 +(34) 95.493.60.10

Inabensa Maroc 179, Av. Moulay Hassan I - 1º étage - Esc. A 20000 Casablanca +(212-22) 22.50.66 +(212-22)22.97.36

Inabensa Bharat Flat no 902, 9th Floor Eros Corporate Tower Nehru Place

110019 New Delhi +(91-11) 416.081.68 +(91-11) 465.424.84

Inabensa France GVio Parc de la Bastide Blanche, Batiment D2 13127 Vitrolles +(33) 442.46.99.50 +(33) 442.89.01.35

Inabensa Portugal Rua Professor Henrique de Barros, 4 2685/338 Prior Velho - Lisboa +(351) 219.41.11.82 +(351) 219.41.11.69Edifi cio Sagres 6º C

Inabensa Tianjin D-3 Plant HongTai Industrial Garden , Teda TianJin (PR China) +(862) 266.29.81.76 +(862) 266.29.83.38No. 78 Taihua Road 300457

Inabensa Costa Rica 2ª Avenida de los Yoses. Casa esquinera San José de Costa Rica +(506) 234.86.14 +(506) 225.08.93100m. Sur del Automercado de los YosesP.O. Box 1508-1000

Inabensa Libya Gurji road nearby Hai Al-Andalus souk, Tripoli (Libia) +(218) 214.77.92.83 +(218) 214.77.45.55above Al-Gumhuria Bank 1st fl oor, fl at nº 3

Inabensa Abu Dhabi Al Falah street (passport road) Saeed Hilal Abu Dhabi +(971) 263.51.010 +(971) 263.51.015Al Dhahiri the Building no 160 mezzanine United Arab EmiratesFloor fl at no 2. P.O. Box106151

Inabensa Saudi Arabia King fahed airport road - Al faysalia area. Street 71. P.O.Box 1083

Dammam 31431 (Saudi Arabia) +(34) 95.493.61.11 +(34) 95.493.60.16