Ontario Teachers' Pension Plan completes purchase of controlling interest in Esval S.A.

    TORONTO, Dec. 24 /CNW/ - The Ontario Teachers' Pension Plan (Teachers')
has completed the purchase of 69.4 percent of shares in Chilean water services
operator Esval S.A. and its subsidiary Aguas del Valle S.A. for C$570 million
(US$570 million).
    Teachers' agreed last August to acquire a 48.92 percent stake in Esval
from Consorcio Financiero and other shareholders. The agreement was
conditional on securing a 50.1 percent interest through a subsequent public
tender for all outstanding shares, as required under Chilean law.
    Complementing Teachers' interest, CORFO, a Chilean government agency,
continues to hold approximately 30 percent of the company; other investors own
less than one percent. Esval continues as a public company traded on the
Santiago Stock Exchange and the local management team, led by Gustavo Gonzalez
Doorman, remains in place.
    "Esval is a well-run company operating businesses that will generate
predictable returns over many years to help meet the plan's pension
obligations," said Stephen Dowd, Teachers' Vice-President, Infrastructure. "As
a strong, long-term shareholder in Esval, Teachers' looks forward to
supporting the company's future development and its delivery of high-quality
services to the community for many years."
    Mr. Dowd added he is pleased to have CORFO's continued participation as a
shareholder and that Chile's growing economy, openness to foreign investment,
stable political environment and mature regulatory environment are factors
that have created a strong environment for investment.
    Mr. Gonzalez said having Teachers' - an institutional investor seeking
long-term returns - as a new shareholder provides stability to the company.
"Esval is a good company meeting high-quality standards for drinking water and
wastewater services. It has had a positive impact on the standard of living of
its customers and has been a key element in the economic development of the
regions of Coquimbo and Valparaiso. We continually challenge ourselves to
provide excellent service to our clients, contributing to the health and
standard of living of people and achieving long-term sustainable development,"
he said.
    Esval is one of the three largest water services operators in Chile,
providing water services to more than 500,000 customers. Its subsidiary, Aguas
del Valle, provides sanitary services to more than 165,000 clients. They
provide services in the regions of Coquimbo and Valparaiso, and together
represent 16.5 percent of Chile's regulated market.

    The Ontario Teachers' Pension Plan is the largest single-profession
pension plan in Canada, with C$106 billion in net assets at Dec. 31, 2006. An
independent corporation, it invests the pension fund's assets and administers
the pensions of Ontario's 167,000 elementary and secondary school teachers and
104,000 retired teachers. Teachers' Infrastructure portfolio focuses on the
acquisition and long-term retention of assets that have a long economic life
and offer low-risk, reliable returns linked to inflation to pay
inflation-indexed pensions over the long term.
    For more information, please visit www.otpp.com and www.esval.cl.

For further information:

For further information: Carol Dunsmore, Ontario Teachers' Pension Plan,
(416) 730-5302, carol_dunsmore@otpp.com; Cecilia Aguirre V., Esval S.A.,
56-32-2209341, caguirre@esval.cl

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