Good morning, everyone, and welcome to the IRSA Third 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 today are also available for download on the company’s 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 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 afternoon, everybody. We are beginning our third quarter fiscal year 2019. And if we move to Page number 2, we can see the main events for the nine first months of the year. We achieved ARS 13.8 billion adjusted EBITDA that is almost 7% increase comparing to last year numbers. And if we compare it from Argentine side, we are achieving ARS 4 billion, that is a little drop comparing to last year number, almost 4%. And in the case of Israel, achieving ARS 9.8 billion, it is an increase of 12% to last year numbers. Remember that, every number that we are going to discuss today are numbers adjusted by inflation. And here we can see that the Argentine rental EBITDA growth in Argentina was 7%, mainly driven by office and hotels, the two that are very related to dollars and the evaluation came to the country, that they've made a positive effect on the currency. And in the case of the Israeli, the growth of 42% mainly because of the real estate EBITDA growth and this is because of some effects of IFRS, that Matias will explain later. But this is an explanation of changing the method of valuation of the delivery of the apartments of the residential. If we compare just the pure rental, there was some increase, same stores increased and because of the new buildings that we are finishing, so the combination is positive too. So when we see related to the final, the net, there's a loss of ARS 9.1 billion comparing to heavy gain of last year in the nine months. And they are attributable to our shareholders of ARS 8.8 billion. And the main two explanations are the lower results on the fair value of the properties…

Thank you, Alejandro. Good afternoon, everyone. On Page number 3, we'll see some figures of our shopping – some shopping malls and offices in Argentina. Starting with the top-left corner, we're going to see that our total GLA was reduced a little bit by the end of the concession of the Buenos Aires Design Shopping Center, so now totaling 332, 000 square meters of GLA. Occupancy is below what we used to have in the past, it's now at 95%. This is mainly explained by the wide vacancy generated by Walmart at Dot Baires Shopping. If we exclude that vacancy of Walmart, occupancy would have been 98.3%. There is some reduction, but not that so big as we can see here. In the case of Walmart, we are working on making that big, big space into smaller space into smaller stores and we are working on to the construction and the leasing of the space during this year. On the bottom of the left side, we can see the growth of sales. We see a growth of 29%, but if we do it in nominal terms, just in nominal terms, but if we do it in the real terms, it's a drop of 14.7% what we've reduced in the sales of our tenant. Excluding the effect of Walmart, because Walmart is not selling, the nominal terms would have been 32% – 31.2% and in real terms, 13.6% drop. This is also affected a lot by the reduction in sales of electronics. Remember last year, we had the World Cup and also this year, there's no financing to buy these kind of products without financing, we can see that the drop in the sales of electronics is way higher than these numbers. So that's why we see these numbers affected. And…

We – here, we see the pictures that shows the shareholder – the shares structures, where we have every company. The only change and we are going to more spend time is in the Clal, that we sold a portion to some investors – local investors in Israel. The rest, we have to keep working on the year to reduce one more layer, the concentration law that we spoke many times on the conferences that we need to comply with that. So we are working on that process in the year 2019, not to have the three layers on the DIC, PBC, Gav-Yam and Mehadrin side. So if we move to next page, in Page number 7, we can see that from one side, we presented the control permit request on March 2019 and this is under process. We expect to receive that permit to keep the shares that we still own. From the other side, we sold some – 10% directly to two companies, two private investors, at a discount 47.7 per share. And with – from other side, we're giving to them an option to buy more shares. And – so we in one side, we're trying to get permit and from other side, they are going to get a part of the 10%, 8% more shares like an option. And – so after the sale, IDB total exposure would reduce from 45% to 20% directly and 24% through swaps. And we can see here, the evolution of the book value from one side and the market value, and how positive market reaction we saw there was an increase of the price of 20%, the three dates following the sale. Because the one who's buying, one of the three, it was the former CEO for the more profitable…

Thank you, Alejandro. Going to Page 9, we have here, the evolution of Banco Hipotecario, our investment, where we have 30% stake. The presented results that generated a loss for IRSA of ARS 533 million compared with a gain that we had last year of ARS 348 million. The main reason was the increase in a – in the provision of doubtful accounts. So basically that was the main reason of the decrease in the results. When we see the evolution of other market volume to IRSA, remain 20% below, a little more 30% below of the last year of ARS 179 million was last year, our share now is now ARS 133 million at the end of the period. The bank is still working in some different fronts, trying to strength the liquidity of the bank and strength of the balance sheet and reserve the cash flow on short-term. if we move to Page 11, here we have the – our financial statements for the nine months period. So on the right; you have the total of the period that we achieved a loss of ARS 9 billion, compared with a gain of ARS 10.5 billion in the period year. The main reason here is in the line four, that you can see the change in the fair value, mainly in the part of Argentina, the Argentina business center, that decreased from a gain of ARS 5.8 billion in last year to ARS 5.9 billion gain – sorry ARS 5.9 billion loss during this year. Remember that all our figures now our adjusted by inflation. So if our investment properties are not matching the evolution of the inflation, we will generate a loss. And we surpass inflation, part of the gain will go to the inflation line and the…

I am seeing no questions at this point. Mr. Elsztain, would you like to move to closing remarks?

Just to conclude, we are finishing nine months, next is the final fiscal year 2019. We keep doing business – building all over the world, developing where the thing deserves the effort. So the company is going to dilute those costs – those revenues that are going to come in the margins of the company. So we are very optimistic on the future of the company. So thank you very much to everybody and have a very good day. Bye.

Thank you. This concludes today's presentation. You may disconnect your lines at this time, and have a nice day.