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Investment Booklet

December 2010

1. ATTRACTIVE INCENTIVES FOR INVESTORS
The most competitive Free Trade Zone in Latin America: 15% Income Tax as well as the possibility to sell to local markets • • • • • A single 15% income tax rate, allowing sales in the local market. No customs taxes (VAT and customs duties). VAT exemption for raw materials, inputs and finished goods sold from the national customs territory to industrial Free Trade Zone users. Exports made from Free Trade Zones to foreign countries (except Peru) benefit from international trade agreements. No customs taxes on machinery, related directly to the business operation which is imported from abroad and entered into the FTZ.

Single Enterprise Free Trade Zone (SEFTZ): Investors can take advantage of the benefits provided by the Free Trade Zones even by locating out of a Permanent Free Trade Zone. Investors can sign Legal Stability Contracts with the Colombian Government In order to promote new investments and expand existing ones, the government provides investors the option to sign a Legal Stability Contract, securing key conditions for investment promotion. Companies must meet the following requirements: • • • Minimum investment of USD 1,930,000 . Investors must pay a premium to the government equivalent to 1% of the investment. The period of the contract can last between 3 and 20 years.
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. Income Tax deductible expenses Among the deductions included are the following: • 100% of the amount paid for industry and commerce, signs and billboards, and property taxes during the corresponding taxable year, as long as these are directly related to the taxpayer’s economic activity. 25% of the tax paid on financial transactions may be deducted, regardless of their relationship to the taxpayer’s economic activity. 125% income tax deduction over investments in scientific and technological developments. 200% income tax deduction over salaries and social benefits paid to handicapped employees.

• • •

Other Tax incentives by sector: exemption from Income Tax for 20 years in different sectors Income Tax exemptions are granted in various strategic sectors: • •
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Tourism: income tax exemption for 30 years on building new hotels or refurnishing already existing hotels. Eco-Tourism: Income tax exemption for 20 years beginning in 2003.

The investment amount required to sign the Legal Stability Contract is calculated in Minimum Monthly Legal Wages (M.M.L.W.). This information is presented in dollars using USD 1 = COP 2,000 exchange rate and the minimum wage for 2010 is COP 515.000. For 2010, the M.M.L.W. as well as the exchange rate are subject to variations.

• • •

Late-Yield Crops: Income tax exemption on the use of oil, palm, rubber, cocoa, citrus trees and other late-yield crops planted between 2003 and 2013 and intended for exports. Forestry: Income tax exemption on new forest and timber tree plantations and sawmills. Publishing: Income tax exemption until 2013 for publishing companies of books, magazines, brochures, scientific or cultural collectible series.

2. INVESTMENT OPPORTUNITIES
The Ministry of Commerce, Industry and Tourism has developed the Productive Transformation Policy. This is based on two strategies: greater quantity and quality; and, the development of New, Emerging and Agribusiness sectors. These are designed to achieve sustained growth in both the economy and employment.

After completing an analysis with the assistance of the private industry, some sectors were identified as offering unique business opportunities for investors and having government support in their development. Biofuels • Income tax exemption for ten years. • 6.5 million hectares (16.1 million acres) suitable for biofuel production. • World’s fifth largest palm oil producer. • Productivity of 9,000 liters of ethanol per hectare every year. • Growing market. For 2020, a production of 1.4 billion liters of ethanol and 1.2 billion liters of biodiesel per year. • Assured demand. In 2020, E20 and B20. • Creation of a “green seal” to identify the national biofuel production with good environmental and social practices. Cosmetics • Market of USD 2.6 million and production of USD 2.4 million. • Cosmetics exports grew by 23% between 2003 and 2007. • Country with the second largest flora biodiversity in Latin America. • Market for men’s cosmetics is expected to grow 20% per year.

• • •

Colombian women cosmetics pocket share duplicates the European women share. More than 242,000 professionals and technicians available to work in the cosmetic industry. Products with natural ingredients grew 9% between 2003 and 2008.

IT Services • 27,000 business graduates and 13,000 engineering graduates per year. • Seven cities with more than 500,000 inhabitants. • Neutral Spanish accent. • Market: USD 1 billion, growing at a rate of 42% in three years. Tourism • 1.45 million foreign travellers visited Colombia in 2008. • Tourism growth to Colombia (9.73%) more than doubled the worldwide growth (2%). • Income tax exemption for new or remodeled hotels. Medical Tourism • Pioneer Program in reproduction immunology; the first test tube baby born in Latin America; first pacemaker in the world. • Colombia is the second best country for scientific and health infrastructure in Latin America: (IMD, 2008). • 3,000 medical graduates per year.

Infrastructure: Projects that add up to more than 25 billion USD, just in 2009.

3. COLOMBIA’S KEY STATISTICS
GDP (USD Billion) GDP Per Capita (USD) GDP (Annual Variation in %) Unemployment (%) Exports (USD Billion) Imports (USD Billion) FDI (USD Billion) Exchange Rate (vs. USD End-Of-Period) Inflation (%) Population (millions)

2005 147 3.142 5,7 11,8 21,2 21,2 10,2 2.320 4,9 42,9

2006 163 3.471 6,8 12 24,4 26,2 6,4 2.357 4,5 43,4

2007 207 4.338 7,6 11,2 29,9 32,9 9 2.078 5,7 43,9

2008 244 5.027 2,5 11,3 37,6 39,7 10,6 1.966 7,7 44,5

2009 234 5.542 0,4 12 32,8 32,8 7,2 2.044 2 44,9

Source: National Statistics Administrative Department (DANE), Latinfocus, Economist Intelligence Unit (EIU, 2009). GDP at current prices of 2000. * Forecast: Economist Intelligence Unit (EIU)

Foreign Direct Investment by Sector (1994-2009)
Agriculture Community Services Construction Electricity, Gas and Water Retail, Hotels and Restaurants Transport Financial Sector Mining Petroleum Manufacturing 0% 0,4% 1,1% 2,1% 3,9% 6,9% 9,4% 13,4%
BRASIL CANADA BERMUDAS MEXICO ANGUILLA ISLAS CAYMAN ISLAS VIRGENES OTROS INGLATERRA ESPAÑA PANAMA ESTADOS UNIDOS

Main Investing Countries (1994-2009)
1,7% 2,6% 4,8% 4,8% 6,1% 6,3% 6,7% 9,6% 9,8% 10,6% 10,9% 26,1% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0%

5%

10%

15%

20%

Total: US$ 71.015 millions Source: Banco Central (Banco de la República)

Total: US$ 46.856,7 millions Source: Banco Central (Banco de la República) Do not include petroleum sector or profits reinvestment

4. WORLD CLASS SERVICES FOR INVESTORS
The Colombian Government creates favorable conditions and offers the best support for investors. Proexport occupied position 16 in the list of the best investment promotion agencies of the world and provides the following services to foreign investors: • • • • • Information requests (economic, sector specific information, legal, procedural, etc). Contacts with public and private sectors. Set up of agendas when investors decide to visit Colombia. Aftercare services for investors that are already established in the country. Assessment and improvement of business climate.

All services are free of charge. The primary goal is to create an efficient and friendly process for the development of new businesses. All information will be handled with discretion.

Proexport has Investment Promotion Teams in 20 cities around the World. We will be delighted to assist you. HEADQUARTERS Bogota, Colombia Calle 28 No. 13A -15, 35th Floor Phone: +57 (1) 561-1804 Fax: +57 (1) 341-5689 infoinversion@proexport.com.co OVERSEAS OFFICES United States New York (North East), USA 140 East 57th Street, 2nd Floor

New York, NY 10022 Phone: +1 (212) 922-9114 Fax: +1 (212) 922-9115 Investment Director USA: Sara Bojanini sbojanini@proexport.com.co Chicago (Midwest), USA Phone: +1 (312) 316-2266 Investment Specialist: Alejandro Tribin atribin@proexport.com.co Miami (South East), USA 601 Brickell Key Drive, Suite 608 Miami, FL 33131 Phone: +1 (305) 374-3144 Fax: +1 (305) 372-9365 General Director USA: Jaime Echavarria jechavarria@proexport.com.co Investment Specialist: Sergio Rodriguez srodriguez@proexport.com.co

California (West Coast), USA Phone: +1 (562) 217-9712 Investment Specialist: Alejandro Botero abotero@proexport.com.co

EUROPE Frankfurt, Germany Fürstenbergerstrasse 223 60323 Frankfurt am Main Phone: +49 (69) 1302-3832 Fax: +49 (69) 1302-4719 Director: Sergio Calderon scalderon@proexport.com.co Investment Specialist: Juan Carlos Escallon jescallon@proexport.com.co London, United Kingdom Colombian Government Trade Bureau 2 Conduit Street, 6th Floor London, W1S 2XB Phone: +44 (207) 491-3535 Fax: +44 (207) 491-4295 Director: Juan Guillermo Perez gperez@proexport.com.co Investment Specialist: Nicolas Ingram ningram@proexport.com.co Madrid, Spain

C/Claudio Coello, 8–4o Izquierda Madrid 28001 Phone: +34 (91) 577-6781 Fax: +34 (91) 577-9736 Director: Juan Gabriel Pérez jgperez@proexport.com.co Investment Specialist: Paola Garcia pgarcia@proexport.com.co ASIA Beijing, China Embassy of Colombia, Commercial Office Guang Hua Lu 34 100600 Beijing Phone: + 86 (10) 6532-1969 Fax: +86 (10) 6532-3377 Director: Alejandro Ossa aossa@proexport.com.co Investment Specialist: Estella Sun esun@proexport.com.co

New Delhi, India Embassy of Colombia, Commercial Office 3 Palam Marg, First Floor Vasant Vihar New Delhi 110057 Phone: + 91 (11) 4166-2106 Investment Specialist: Alejandro Peláez apelaez@proexport.com.co Tokyo, Japan Investment Specialist: Ricardo Tokunaga rtokunaga@proexport.com.co

AMERICA Toronto, Canada 2 Bloor Street West, Suite 1005 Toronto, ON M4W 3E2 Phone: +1 (416) 363-9225 Fax: +1 (416) 363-0808 Director: Rodolfo Móseres rmoseres@proexport.com.co Investment Specialist: Alvaro Mendivelso amendivelso@proexport.com.co Santiago, Chile Av. Vitacura No. 3568, Of. 508 Phone: +56 (2) 953-5066

Fax: +56 (2) 953-5067 Director: Jorge Gutierrez jgutierrez@proexport.com.co Sao Paulo, Brazil Alameda Santos 1800, Andar 10B Sao Paulo, Brasil CEP 01418 200 Phone: +55 (11) 3171-0165 Fax: +55 (11) 288-2614 Director: Carlos Eduardo Rodriguez crodriguez@proexport.com.co Investment Specialist: Gloria Correa gpapalardo@proexport.com.co San Jose, Costa Rica Oficentro la Virgen No. 2 Pavas San José Phone: +50 (6) 2213-4876 Fax: +50 (6) 2231-4933 Director: Alvaro Gomez agomez@proexport.com.co Quito, Ecuador Av. 12 de Octubre 1942 y Cordero World Trade Center Of.1408, Torre A Phone: +593 (2) 222-2969 Fax: +593 (2) 250-4077 Mexico City, Mexico Paseo de la Reforma # 379, Piso 6 Colonia Cuauhthtemoc México DF, CP 06500 Phone: +52 (55) 5533-3760 Fax: +52 (55) 5525-0383 Director: Enrique Stellabatti estellabatti@proexport.com.co Investment Specialist: Ancizar Guerrero aguerrero@proexport.com.co Lima, Peru Av. Jorge Basadre 1580 San Isidro Phone: +51 (1) 222-1358 / 222-1359 / 222-1360 Fax: +51 (1) 222-2074 Caracas, Venezuela Avenida Francisco de Miranda, Edificio Parque Cristal, Torre Oeste, Piso 5, Of. TOP-05-04 Urbanización Los Palos Grandes Phone: +58 (212) 286-6333 Fax: +58 (212) 285-1235

Director: Luis Fernando Fuentes lfuentes@proexport.com.co Investment Specialist: Joan Vivas jvivas@proexport.com.co Caribbean 601 Brickell Key Drive, Suite 608 Miami, FL 33131 Phone: +1 (786) 315-4260 Fax: +1 (786) 272-5900 Director: Carlos González cgonzalez@proexport.com.co Guatemala City, Guatemala Boulevard Los Proceres 24-69 Zona 10 Edificio Empresarial Zona Prader, Torre 1 Of. 401 Phone: +502 (2) 269-6771 Fax: +502 (2) 269-6775 Director: Alvaro Concha aconcha@proexport.com.co

www.investincolombia.com.co

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Dance Sow

...to enjoy dance as a form of exercise activity. • To develop pupils creativity by setting tasks to create phrases of artistic movement. • Pupils will develop their body control and body awareness. • Pupils will individually improve their dancing ability and their overall coordination. • Pupils will compose and evaluate short dances individually and in groups. • Observation of pupils’ movements and attitude towards classmates and teacher. • Assessing pupils’ individual improvements. • Assessing the final performance of the groups taking into consideration movement, rhythm and use of space. Weekly structure Week 1: Focus of lesson is travelling and use of space Warm up Ice-breaking game – mimicking your partner Exploring different ways to travel across the hall (speed, height, transfer of weight Movement sequence Composing task Week 2: Focus of lesson is on levels and dynamics (how the body works) Warm up Pair work (mirroring, shadowing) The “Haka” routine Composing task Week 3: Focus of lesson is on...

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