UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 6-K

REPORT OF FOREIGN ISSUER

PURSUANT TO RULE 13a-16 OR 15b-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

For the month of April 2014

 Commission File Number 001-35591

GRAÑA Y MONTERO S.A.A.

(Exact name of registrant as specified in its charter)

GRAÑA Y MONTERO GROUP

(Translation of registrant’s name into English)

Republic of Peru

(Jurisdiction of incorporation or organization)

Avenida Paseo de la República 4667, Lima 34,

Surquillo, Lima

Peru

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ___X____ Form 40-F _______

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ]

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes _______ No ___X____

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): Not applicable.

____________________

/s/Dennis Gray Febres

Stock Market Representative

Graña y Montero S.A.A.

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

GRAÑA Y MONTERO S.A.A.

By: /s/ DENNIS GRAY FEBRES

Name: Dennis Gray Febres

Title: Stock Market Representative

April 29, 2014

(All amounts are expressed in thousands of S/. unless otherwise stated)

UNAUDITED

GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AT MARCH 31, 2013 AND 2014 AND FOR THE THREE-MONTH PERIOD ENDED IN THIS DATE

GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AT MARCH 31, 2013 AND 2014 AND FOR THE THREE-MONTH PERIOD ENDED IN THIS DATE

CONTENTS

Condensed Interim Consolidated Statement of Financial Position

Condensed Interim Consolidated Income Statement

Condensed Interim Consolidated Statement of Comprehensive Income

Condensed Interim Consolidated Statement of Shareholders’ Equity                                                                                                                                  

Condensed Interim Consolidated Statement of Cash Flows

Notes to the Condensed Interim Consolidated Financial Statements

S/.= New Peruvian Sol

US$ = United States dollar

(All amounts are expressed in thousands of S/. unless otherwise stated)
GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED STATEMENT OF INCOME
UNAUDITED
			For the three-month period
			ended March 31,
	Note		2013			2014
Revenues from construction activities				845,259			1,052,435
Revenues from services provided				361,630			391,874
Revenue from real estate and sale of goods				61,184			77,753
				1,268,073			1,522,062
Cost of construction activities				(727,493	)		(928,457	)
Cost of services provided				(299,604	)		(313,415	)
Cost of real estate and goods sold				(41,719	)		(53,002	)
		15		(1,068,816	)		(1,294,874	)
Gross profit				199,257			227,188
Administrative expenses		15		(76,181	)		(96,511	)
Other income and expenses				8,519			3,587
Other (losses) gains, net				(149	)		160
Operating profit				131,446			134,424
Financial expenses				(86,220	)		(95,629	)
Financial income				63,122			71,391
Dividends received				-			6,924
Share of the profit or loss in associates and joint
ventures under the equity method of accounting				14,738			6,114
Profit before income tax				123,086			123,224
Income tax		16		(40,108	)		(39,833	)
Profit for the period				82,978			83,391
Profit attributable to:
Owners of the Company				64,038			71,094
Non-controlling interest				18,940			12,297
				82,978			83,391
Earnings per share from continuing operations
attributable to owners of the Company during
the three-month period ended				0.149			0.126
Weighted average number of shares in issue
at S/.1.00 each, at March 31				558,284			660,054

The accompanying notes on pages 7 to 21 are an integral part of the consolidated financial statements.

(All amounts are expressed in thousands of S/. unless otherwise stated)
GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AT DECEMBER 31, 2013 (AUDITED) AND AT MARCH 31, 2014 (UNAUDITED)
ASSETS
			At
			December 31,		March 31,
	Note		2013		2014
Current assets
Cash and cash equivalents				959,415		865,431
Trade accounts receivables				521,872		388,181
Outstanding work in progress				971,743		1,183,788
Accounts receivable from related parties		9		83,850		80,522
Other accounts receivable				553,218		604,260
Inventories				762,797		854,452
Prepaid expenses				25,686		38,362
Non-current assets classified as held for sale				21,473		20,558
Total current assets				3,900,054		4,035,554
Non-current assets
Long-term trade accounts receivable				591,917		601,170
Other long-term accounts receivable				38,151		36,561
Available-for-sale financial assets		8		88,333		88,333
Investments in associates and joint ventures		10		87,967		105,210
Investment property				36,945		37,356
Property, machinery and equipment		11		952,596		944,315
Intangible assets		11		481,392		486,296
Deferred income tax asset				135,521		135,359
Total non-current assets				2,412,822		2,434,600
				6,312,876		6,470,154

LIABILITIES AND EQUITY
			At
			December 31,		March 31,
	Note		2013		2014
Current Liabilities
Borrowings		12		486,119		473,546
Trade accounts payable				991,397		990,350
Accounts payable to related parties				25,585		33,631
Current taxes				159,235		139,994
Other accounts payable				745,094		925,466
Other provisions		13		8,895		16,475
Total current liabilities				2,416,325		2,579,462
Non-current liabilities
Borrowings		12		309,703		300,698
Long-term trade accounts payable				2,157		2,157
Other long-term accounts payable				205,396		272,471
Other provisions		13		40,387		39,842
Derivative financial instruments				3,911		3,318
Deferred income tax liability				138,157		126,664
Total non-current liabilities				699,711		745,150
Total liabilities				3,116,036		3,324,612
Equity		14
Capital				660,054		660,054
Legal reserve				111,657		132,011
Premium for share issuance				1,027,533		1,027,533
Other comprehensive income				18,423		15,179
Retained earnings				948,112		885,327
Equity attributable to controlling interest in the Company				2,765,779		2,720,104
Non-controlling interest				431,061		425,438
Total equity				3,196,840		3,145,542
				6,312,876		6,470,154

The accompanying notes on pages 7 to 21 are an integral part of the consolidated financial statements.

(All amounts are expressed in thousands of S/. unless otherwise stated)
GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
UNAUDITED
	For the three-month period
	ended March 31,
	2013			2014
Profit for the period		82,978			83,391
Other comprehensive income:
Items that will not be reclassified to profit or loss
Adjustment for actuarial gains and losses, net of tax		(1,103	)		(1,864	)
Items that may be subsequently  reclassified to profit or loss
Cash flow hedge, net of tax		2,156			158
Foreign currency translation adjustment, net of tax		2,803			(6,636	)
		4,959			(6,478	)
Other comprenhensive income for the period, net of tax		3,856			(8,342	)
Total comprehensive income for the period		86,834			75,049
Comprehensive income attributable to:
Controlling interest in the Company		67,173			66,452
Non-controlling interest		19,661			8,597
		86,834			75,049

The accompanying notes on pages 7 to 21 are an integral part of the consolidated financial statements.

(All amounts are expressed in thousands of S/. unless otherwise stated)
GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED STATEMENT OF CHANGES IN NET SHAREHOLDERS' EQUITY
FOR THE PERIODO ENDED MARCH 31, 2013 AND MARCH 31, 2014
UNAUDITED
			Attributable to the controlling interests of the Company
	Number						Premium			Other
	of shares				Legal		for issuance			comprehensive			Retained						Non-controlling
	In thousands		Capital		reserve		of shares			income			earnings			Total			interest			Total
Balances as of January 1, 2013		558,284		558,284		107,011		6,656			(3,716	)		723,972			1,392,207			391,035			1,783,242
Profit for the period		-		-		-		-			-			64,038			64,038			18,940			82,978
Cash flow hedge		-		-		-		-			2,048			-			2,048			108			2,156
Adjustment for actuarial gains and losses		-		-		-		-			-			(1,103	)		(1,103	)		-			(1,103	)
Foreign currency translation adjustment		-		-		-		-			2,190			-			2,190			613			2,803
Comprehensive income of the period		-		-		-		-			4,238			62,935			67,173			19,661			86,834
Transactions with shareholders:
- Transfer to legal reserve		-		-		4,646		-			-			(4,646	)		-			-			-
- Dividend distribution		-		-		-		-			-			(86,986	)		(86,986	)		(1,465	)		(88,451	)
- Deconsolidation of subsidiaries		-		-		-		-			-			-			-			(6,842	)		(6,842	)
- Contributions of non-controlling shareholders		-		-		-		-			-			-			-			23,495			23,495
- Additional acquisition of non-controlling		-		-		-		(2,787	)		-			-			(2,787	)		(542	)		(3,329	)
- Others						-					-			(322	)		(322	)		-			(322	)
Total transactions with shareholders		-		-		4,646		(2,787	)		-			(91,954	)		(90,095	)		14,646			(75,449	)
Balances as of March 31, 2013		558,284		558,284		111,657		3,869			522			694,953			1,369,285			425,342			1,794,627
Balances as of January 1, 2014		660,054		660,054		111,657		1,027,533			18,423			948,112			2,765,779			431,061			3,196,840
Profit for the period		-		-		-		-			-			71,094			71,094			12,297			83,391
Cash flow hedge		-		-		-		-			150			-			150			8			158
Adjustment for actuarial gains and losses		-		-		-		-			-			(1,398	)		(1,398	)		(466	)		(1,864	)
Foreign currency translation adjustment		-		-		-		-			(3,394	)		-			(3,394	)		(3,242	)		(6,636	)
Comprehensive income of the period		-		-		-		-			(3,244	)		69,696			66,452			8,597			75,049
Transactions with shareholders:
- Transfer to legal reserve		-		-		20,354		-			-			(20,354	)		-			-			-
- Dividend distribution		-		-		-		-			-			(112,127	)		(112,127	)		(36,128	)		(148,255	)
- Contributions of non-controlling shareholders		-		-		-		-			-			-			-			19,085			19,085
- Additional acquisition of non-controlling		-		-		-					-			-			-			2,823			2,823
Total transactions with shareholders		-		-		20,354		-			-			(132,481	)		(112,127	)		(14,220	)		(126,347	)
Balances as of March 31, 2014		660,054		660,054		132,011		1,027,533			15,179			885,327			2,720,104			425,438			3,145,542

The accompanying notes on pages 7 to 21 are an integral part of the consolidated financial statements.

(All amounts are expressed in thousands of S/. unless otherwise stated)
GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
UNAUDITED
		For the three-month period
		ended March 31,
	Note	2013			2014
OPERATING ACTIVITIES
Profit before income tax			123,086			123,224
Adjustments to  profit not affecting cash flows from
operating activities:
Depreciation	15		46,308			40,008
Amortization of other assets	15		21,981			19,768
Other Provisions			-			8,344
Share of the profit and loss in associates
under the equity method of accounting			(14,738	)		(6,114	)
Reversal of provisions			(3,870	)		(2,426	)
Profit on sale of property, plant and equipment			(246	)		(7,060	)
Foreign exchange losses on operating activities			1,776			428
Net variations in assets and liabilities:
Increase (Decrease) trade accounts receivable			28,684			(82,964	)
Decrease in other accounts receivable			(73,426	)		(49,451	)
Increase in other accounts receivable from related parties			4,082			3,328
Decrease in inventories			(5,973	)		(91,300	)
Decrease in pre-paid expenses and other assets			(2,947	)		(10,835	)
Decrease in trade accounts payable			(129,822	)		(4,823	)
(Decrease) increase in other accounts payable			(22,747	)		127,503
Increase in other accounts payable to related parties			593			8,046
Increase (decrease) in other provisions			635			(3,752	)
Payments for intangible purchase - Concessions			(6,626	)		(551	)
Payment of income tax			(119,826	)		(69,507	)
Net cash provided by (applied to) operating activities			(153,076	)		1,866
INVESTING ACTIVITIES
Sale of property, machinery and equipment			598			15,861
Dividends received			1,285			-
Payment for Investment in associates			-			(13,791	)
Payment for purchase of property investments			(762	)		(935	)
Payments for intangible purchase			(4,579	)		(4,516	)
Direct cash inflow (outflow) from acquisition of subsidiaries			-			(6,594	)
Payments for fixed asset purchase			(54,150	)		(41,062	)
Net cash applied to investing activities			(57,608	)		(51,037	)
FINANCING ACTIVITIES
Loans received			386,087			268,151
Amortization of loans received			(303,574	)		(302,576	)
Interest payment			(11,067	)		(10,471	)
Dividends paid to non-controlling interest			(1,465	)		(21,397	)
Cash received (contribution return) to non-controlling shareholders			22,004			19,085
Acquisition or sale of interest in a subsidiary of non-controlling shareholders			(3,329	)		-
Capital contribution			-			2,823
Net cash (applied to) provided by financing activities			88,656			(44,385	)
(Net decrease) net increase in cash			(122,028	)		(93,556	)
Cash decrease in deconsolidation			(3,270	)		-
Exchange losses on cash and cash equivalents			(1,776	)		(428	)
Cash and cash equivalents at the beginning of the year			780,114			959,415
Cash and cash equivalents at the end of the period			653,040			865,431
NON-CASH TRANSACTIONS:
Acquisition of assets through finance leases			8,533			23,318
Dividends declared			86,986			126,858
Increase of participation in associate			1,491			-
The accompanying notes on pages 7 to 22 are an integral part of the consolidated financial statements.

(All amounts are expressed in thousands of S/. unless otherwise stated)

UNAUDITED

GRAÑA Y MONTERO S.A.A. AND SUBSIDIARIES

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AT MARCH 31, 2013 AND 2014 (UNAUDITED), AND AT DECEMBER 31, 2013 (AUDITED)

1 GENERAL INFORMATION

The Company is the parent company of the Graña y Montero Group (hereinafter the Group) and its principal activity is the holding of investments in the different companies of the Group. Additionally, the Company provides services of general management, financial management, commercial management, legal advisory and human resources management to Group companies; it is also engaged in the leasing of offices to Group companies and third parties.

The Group is a conglomerate of companies with operations including different business activities, of which the most significant are engineering and construction, infrastructure (public concession operation), real estate businesses and technology services.

These condensed interim consolidated financial statements as of March 31, 2014 have been prepared and authorized for issuance by the Chief Financial Officer on April 29, 2014.

2 BASIS OF PREPARATION

These condensed interim consolidated financial statements for the three -month period ended March 31, 2014 have been prepared in accordance with (IAS 34) “Interim financial reporting”.  The condensed interim consolidated financial statements should be read in conjunction with the annual consolidated financial statements for the year ended December 31, 2013, which have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).

3 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accounting policies used in the preparation of these interim condensed consolidated financial statements are consistent with those applied in the preparation of the year-end financial statements at December 31, 2013

4 FINANCIAL RISK MANAGEMENT

4.1   Financial risk factors

The Group’s activities expose it to a variety of financial risks: market risk (including currency risk, price risk, fair value interest rate risk and cash flow interest rate risk), credit risk and liquidity risk.

The condensed interim consolidated financial statements do not include all financial risk management information and disclosures required in the annual financial statements; these should be read in conjunction with the Group’s annual financial statements as of December 31, 2013.  There have been no changes since year-end in the risk management department of the Group or in any risk management policies.

4.1.1     Market risk –

Compared to year end, no new material market risk hedging arrangements have occurred.

4.1.2   Credit risk –

Compared to year end, the Group has no exposure to any new relevant credit risk.

4.1.3   Liquidity risk -

Compared to year end, no major changes in undiscounted contractual cash flows have occurred, except for changes in the structure of the Group’s liabilities, resulting from an increase in the short-term debt, mainly for working capital.

The following table categorizes the Group’s financial liabilities into relevant maturity groupings based on the remaining period from the date of the statement of financial position to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows:

	Less than 1		From 1 to 2		From 2 to 5		Over
	year		years		years		5 years		Total
As of December 31, 2013
Borrowing (except for
finance leases)		371,302		118,347		64,698		-		554,347
Finance leases liabilities		115,698		82,492		87,829		22,912		308,931
Trade accounts payable		991,397		2,157		-		-		993,554
Accounts payable to related parties		25,585		-		-		-		25,585
Other accounts payable		215,413		28,745		2,166		2,354		248,678
Trading and net settled derivative
financial instruments
(interest rate swaps)		1,773		2,138		-		-		3,911
		1,721,168		233,879		154,693		25,266		2,135,006
As of March 31, 2014
Borrowing (except for
finance leases)		390,304		109,737		31,820		-		531,861
Finance leases liabilities		103,083		79,508		88,807		20,942		292,340
Trade accounts payable		990,350		2,157		-		-		992,507
Accounts payable to related parties		33,631		-		-		-		33,631
Other accounts payable		375,919		51,414		17,045		2,512		446,890
Trading and net settled derivative
financial instruments
(interest rate swaps)		1,180		2,138		-		-		3,318
		1,894,467		244,954		137,672		23,454		2,300,547

4.2 Capital management -

The Group monitors capital on the basis of the gearing ratio. This ratio is calculated as net debt divided by total capital. Net debt is calculated as total borrowings (including current and non-current borrowings), less cash and cash equivalents. Total capital is calculated as total ‘equity’ as shown in the consolidated statement of financial position plus net debt.

As of December 31, 2013 and March 31,2014, no gearing ratio was part of the analysis because cash surpluses were higher than financial obligations and equity had not been used to secure compliance with financial obligations as it is shown in the table below.

	December 31,			March 31,
	2013			2014
Total borrowing		795,822			774,244
Less: Cash and cash equivalents		(959,415	)		(865,431	)
Net debt		(163,593	)		(91,187	)
Total equity		3,196,840			3,145,542
Total capital		3,033,247			3,054,355
Gearing ratio		0.00			0.00

4.3   Fair value estimation -

For the classification of the type of valuation used by the Group for its financial instruments at fair value, the following levels of measurement have been established:

- Level 1: Measurement based on quoted prices in active markets for identical assets or liabilities.

- Level 2: Measurement based on inputs other than quoted prices included within Level 1 that are observable for the asset or liability (level 1), either directly (that is, as prices) or indirectly (that is, derived from prices).

- Level 3: Measurement based on inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs, generally based on internal estimates and assumptions of the Group).

The only financial instruments measured at fair value by the Group are interest rate swaps (variable to fixed), forward foreign exchange contracts (mostly euros and U.S. dollars) and available-for-sale investments.  The measurement at fair value of these instruments corresponds to the characteristics of Level 2 and has been determined based on the present value of discounted future cash flows.  During the three-month period ended March 31, 2014 there were no changes in the levels of measurement of financial instruments at fair value.

The carrying amount of cash and cash equivalents corresponds to its fair value.  The Group considers that the carrying amount of short-term accounts receivable and payable approximates fair value. The fair value of financial liabilities has been estimated by discounting the future contractual cash flows at the interest rate currently prevailing in the market and which is available to the Group for similar financial instruments.

Fair value hierarchy -

The following table presents the Group’s financial assets and liabilities that are measured at fair value as of March 31, 2014.

	Level 1		Level 2		Level 3		Total
Liabilities:
Derivative financial instruments - Cash
flow hedging		-		3,318		-		3,318
Total liabilities		-		3,318		-		3,318

There were no transfers between Levels 1, 2 and 3 during the period.

5 CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS

Preparation of the condensed interim consolidated financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

In preparing these condensed interim consolidated financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of uncertainty were the same as those that applied to the consolidated financial statements for the year ended  December 31, 2013.

6 SEASONALITY OF OPERATIONS

The Group shows no material seasonality in the operations of any of its subsidiaries; operations are carried out regularly during the course of the period.

7 SEGMENT REPORTING

Operating segments are reported consistent with the internal reports that are reviewed by the Corporate General Manager, who is the chief operating decision maker, responsible for allocating resources and evaluating the performance of each operating segment.

The Group's operating segments are assessed by the activity of the following business units: (i) engineering and construction, (ii) infrastructure, (iii) real estate, (iv) technical services and (v) the operation of the Parent Company (Holding).

As set forth under IFRS 8, reportable segments by significance of income are: ‘engineering and construction’ and ‘technical services’. However, the Group has voluntarily decided to report on all its operating segments as detailed in this Note.

Inter-segmental sales transactions are entered into at prices that are similar to those that would have been agreed to with unrelated third parties. Revenues from external customers reported to the Corporate General Manager are measured in a manner consistent with the basis of preparation of the financial statements.

Group sales and receivables are not concentrated on a few customers.

(All the amounts are expressed in thousand of S/. unless otherwise stated)
Operating segments financial position
Segment reporting	Engineering		Infrastructure												Parent
As of December 31, 2013	and construction		Energy		Toll roads		Mass transit		Water treatment		Real estate		Technical services		Company Operations		Eliminations			Consolidated
Assets
Cash and cash equivalents		265,788		17,764		80,785		23,318		445		43,026		46,469		481,820		-			959,415
Trade Accounts receivable		265,544		29,527		12,347		4,090		-		17,938		192,382		44		-			521,872
Outstanding work in progress		734,976		6,966		2,433		31,187		37,489		-		158,692		-		-			971,743
Accounts receivable from related parties		107,732		4,083		18,660		163		-		561		53,845		733,645		(834,839	)		83,850
Other accounts receivable		360,939		26,840		11,180		34,263		4,557		17,939		65,794		33,469		(1,763	)		553,218
Inventories		90,671		7,741		-		11,927		-		590,567		63,912		487		(2,508	)		762,797
Prepaid expenses		7,440		1,318		5,442		4,394		3		2,596		4,130		363		-			25,686
Non-current assets classified as held for sale		21,473		-		-		-		-		-		-		-		-			21,473
Total Current assets		1,854,563		94,239		130,847		109,342		42,494		672,627		585,224		1,249,828		(839,110	)		3,900,054
Long-term trade accounts receivable		-		-		-		591,917		-		-		-		-		-			591,917
Other long-term accounts receivable		-		-		10,081		-		1,858		11,811		12,301		2,100		-			38,151
Long-term trade accounts receivable from related parties		-		-		-		-		-		-		-		57,501		(57,501	)		-
Available-for-sale financial asset		-		1,058		-		-		-		-		2		88,333		(1,060	)		88,333
Investments in associates and joint ventures		153,556		7,287		-		-		-		16,297		10,454		837,889		(937,516	)		87,967
Investment property		-		-		-		-		-		36,945		-		-		-			36,945
Property, plant and equipment		533,757		190,844		3,919		6,724		-		5,636		114,081		103,840		(6,205	)		952,596
Intangible assets		175,275		101,978		145,711		6,450		1,151		957		18,883		15,282		15,705			481,392
Deferred income tax asset		68,699		644		4,258		8,765		-		4,860		42,119		1,264		4,912			135,521
Total non-current assets		931,287		301,811		163,969		613,856		3,009		76,506		197,840		1,106,209		(981,665	)		2,412,822
Total assets		2,785,850		396,050		294,816		723,198		45,503		749,133		783,064		2,356,037		(1,820,775	)		6,312,876
Liabilities
Borrowings		195,083		33,847		46,007		-		5,869		77,854		126,872		587		-			486,119
Trade accounts payable		751,097		19,950		3,353		9,912		280		42,484		160,104		4,217		-			991,397
Accounts payable to related parties		43,373		877		25,572		642,510		24,058		21,493		77,613		24,928		(834,839	)		25,585
Current taxes		117,088		3,477		2,515		81		366		3,161		30,498		2,049		-			159,235
Other accounts payable		526,994		10,882		42,891		879		-		72,617		79,050		11,781		-			745,094
Other provisions				4,207		3,846		-		-		-		842		-		-			8,895
Total current liabilities		1,633,635		73,240		124,184		653,382		30,573		217,609		474,979		43,562		(834,839	)		2,416,325
Borrowings		127,067		86,334		9,780		-		-		52,318		31,367		2,837		-			309,703
Long-term trade accounts payable		-		-		-		2,157		-		-		-		-		-			2,157
Accounts payables to related parties		-		-		-		-		-		28,500		29,001		-		(57,501	)		-
Other long-term accounts payable		124,344		-		462		-		-		9,723		69,957		910		-			205,396
Other provisions		11,801		4,668		-		-		-		-		23,918		-		-			40,387
Derivative financial instruments		-		3,563		-		201		-		147		-		-		-			3,911
Deferred income tax liability		118,970		453		166		-		340		7,074		5,864		3,599		1,691			138,157
Total non-current liabilities		382,182		95,018		10,408		2,358		340		97,762		160,107		7,346		(55,810	)		699,711
Total liabilities		2,015,817		168,258		134,592		655,740		30,913		315,371		635,086		50,908		(890,649	)		3,116,036
Equity		623,246		211,431		120,407		50,594		14,590		152,713		125,736		2,295,245		(828,183	)		2,765,779
Non-controlling interest		146,787		16,361		39,817		16,864		-		281,049		22,242		9,884		(101,943	)		431,061
Total liabilities and equity		2,785,850		396,050		294,816		723,198		45,503		749,133		783,064		2,356,037		(1,820,775	)		6,312,876

(All the amounts are expressed in thousand of S/. unless otherwise stated)
Operating segments financial position
Segment reporting	Engineering		Infrastructure												Parent
As of March 31, 2014	and construction		Energy		Toll roads		Mass transit		Water treatment		Real estate		Technical services		Company Operations		Eliminations			Consolidated
Assets
Cash and cash equivalents		211,717		16,104		104,115		2,609		4,638		61,304		62,566		402,378		-			865,431
Trade Accounts receivable		249,171		41,156		13,016		4,971		-		9,825		69,998		44		-			388,181
Outstanding work in progress		876,726		2,336		4,288		64,438		31,572		-		204,428		-		-			1,183,788
Accounts receivable from related parties		93,424		3,018		355		168		-		121		49,355		842,409		(908,328	)		80,522
Other accounts receivable		369,500		25,567		12,589		39,068		4,653		10,686		68,899		72,239		1,059			604,260
Inventories		127,327		7,980		-		11,980		-		645,050		64,473		487		(2,845	)		854,452
Prepaid expenses		9,433		1,188		5,128		13,014		433		2,283		4,834		2,049		-			38,362
Non-current assets classified as held for sale		20,558		-		-		-		-		-		-		-		-			20,558
Total Current assets		1,957,856		97,349		139,491		136,248		41,296		729,269		524,553		1,319,606		(910,114	)		4,035,554
Long-term trade accounts receivable		-		-		-		601,170		-		-		-		-		-			601,170
Other long-term accounts receivable		-		-		10,081		-		-		11,780		12,593		2,107		-			36,561
Long-term trade accounts receivable from related parties		-		-		-		-		-		-		-		73,642		(73,642	)		-
Available-for-sale financial asset		-		1,058		-		-		-		-		2		88,333		(1,060	)		88,333
Investments in associates and joint ventures		152,786		7,532		-		-		-		16,299		10,705		853,218		(935,330	)		105,210
Investment property		-		-		-		-		-		37,356		-		-		-			37,356
Property, plant and equipment		528,205		177,535		4,067		7,590		-		5,736		122,100		108,099		(9,017	)		944,315
Intangible assets		165,863		108,512		143,599		6,388		1,138		988		28,474		15,893		15,441			486,296
Deferred income tax asset		73,168		684		3,328		5,820		-		1,840		48,174		1,209		1,136			135,359
Total non-current assets		920,022		295,321		161,075		620,968		1,138		73,999		222,048		1,142,501		(1,002,472	)		2,434,600
Total assets		2,877,878		392,670		300,566		757,216		42,434		803,268		746,601		2,462,107		(1,912,586	)		6,470,154
Liabilities
Borrowings		211,291		24,928		56,876		-		8,612		77,139		94,102		598		-			473,546
Trade accounts payable		727,064		14,277		3,420		14,303		64		90,769		136,461		3,992		-			990,350
Accounts payable to related parties		122,292		1,548		23,136		661,915		18,386		33,970		76,872		4,183		(908,671	)		33,631
Current taxes		109,551		4,390		1,352		175		139		1,215		19,690		3,482		-			139,994
Other accounts payable		592,925		7,939		54,722		1,017		-		63,084		84,821		120,958		-			925,466
Other provisions		-		4,853		2,786		5,018		-		-		3,818		-		-			16,475
Total current liabilities		1,763,123		57,935		142,292		682,428		27,201		266,177		415,764		133,213		(908,671	)		2,579,462
Borrowings		119,046		82,485		6,905		-		-		52,266		37,313		2,683		-			300,698
Long-term trade accounts payable		-		-		-		2,157		-		-		-		-		-			2,157
Accounts payables to related parties		-		-		-		-		-		44,298		29,435		-		(73,733	)		-
Other long-term accounts payable		170,320		-		464		-		-		9,920		90,857		910		-			272,471
Other provisions		11,511		4,636		-		-		-		-		23,695		-		-			39,842
Derivative financial instruments		-		3,318		-		-		-		-		-		-		-			3,318
Deferred income tax liability		106,949		402		106		-		341		3,210		6,924		8,732		-			126,664
Total non-current liabilities		407,826		90,841		7,475		2,157		341		109,694		188,224		12,325		(73,733	)		745,150
Total liabilities		2,170,949		148,776		149,767		684,585		27,542		375,871		603,988		145,538		(982,404	)		3,324,612
Equity		569,692		226,496		112,876		54,474		14,892		145,087		118,244		2,306,823		(828,480	)		2,720,104
Non-controlling interest		137,237		17,398		37,923		18,157		-		282,310		24,369		9,746		(101,702	)		425,438
Total liabilities and equity		2,877,878		392,670		300,566		757,216		42,434		803,268		746,601		2,462,107		(1,912,586	)		6,470,154

(All amounts are expressed in thousands of S/. unless otherwise stated)
Operating segment performance
Segment Reporting
	Engineering			Infrastructure																		Parent
	and construction			Energy			Toll roads			Mass transit			Water treatment			Real estate			Technical services			Company operations			Eliminations			Consolidated
For the three-month period
ended March  31, 2013
Revenue		889,239			64,363			29,929			21,299			12,122			46,711			244,097			13,544			(53,231	)		1,268,073
Gross profit		120,596			23,698			13,010			286			1,627			18,424			39,281			(4,154	)		(13,511	)		199,257
Administrative expenses		(49,689	)		(3,719	)		(1,668	)		(1,957	)		(98	)		(3,793	)		(29,211	)		(1,515	)		15,469			(76,181	)
Other income (expenses)		7,113			(120	)		-			130			-			(354	)		3,918			(2,408	)		240			8,519
Other (losses) gains, net		-			41			-			-			-			(190	)		-			-			-			(149	)
Profit before interests
and taxes (EBIT)		78,020			19,900			11,342			(1,541	)		1,529			14,087			13,988			(8,077	)		2,198			131,446
Financial expenses		(50,601	)		(5,224	)		(4,652	)		(7,533	)		(728	)		(5,290	)		(7,984	)		(5,113	)		905			(86,220	)
Financial income		41,185			2,684			2,617			4,434			-			3,269			5,329			8,625			(5,021	)		63,122
Dividends received		-			-			-			-			-			-			-			17,473			(17,473	)		-
Share of the profit or loss
In associates under the equity
method of accounting		15,986			89			-			-			-			71			-			-			(1,408	)		14,738
Profit before income tax (EBT)		84,590			17,449			9,307			(4,640	)		801			12,137			11,333			12,908			(20,799	)		123,086
Income tax		(24,795	)		(6,638	)		(2,907	)		1,335			(240	)		(3,431	)		(2,914	)		(1,648	)		1,130			(40,108	)
Net profit for the period		59,795			10,811			6,400			(3,305	)		561			8,706			8,419			11,260			(19,669	)		82,978
Profit attributable to:
Controlling interest in the Group		47,983			10,684			3,379			(2,479	)		281			3,154			8,000			11,299			(18,263	)		64,038
Non-controlling interest		11,812			127			3,021			(826	)		280			5,552			419			(39	)		(1,406	)		18,940
Net profit for the period		59,795			10,811			6,400			(3,305	)		561			8,706			8,419			11,260			(19,669	)		82,978

(All amounts are expressed in thousands of S/. unless otherwise stated)
Operating segment performance
Segment Reporting
	Engineering			Infrastructure																		Parent
	and construction			Energy			Toll roads			Mass transit			Water treatment			Real estate			Technical services			Company operations			Eliminations			Consolidated
For the three-month period
ended March  31, 2014
Revenue		1,104,921			79,623			35,901			44,277			6,416			53,620			246,202			12,294			(61,192	)		1,522,062
Gross profit		141,283			29,145			14,674			15,697			523			13,144			22,604			(291	)		(9,591	)		227,188
Administrative expenses		(63,159	)		(3,914	)		(1,635	)		(2,004	)		(81	)		(5,381	)		(28,667	)		(7,163	)		15,493			(96,511	)
Other income (expenses)		(1,724	)		(627	)		237			(3,028	)		(4	)		(341	)		2,650			7,038			(614	)		3,587
Other (losses) gains, net		-			166			-			-			-			(6	)		-			-			-			160
Profit before interests
and taxes (EBIT)		76,400			24,770			13,276			10,665			438			7,416			(3,413	)		(416	)		5,288			134,424
Financial expenses		(46,353	)		(5,142	)		(8,982	)		(6,858	)		(11	)		(3,945	)		(8,625	)		(17,223	)		1,510			(95,629	)
Financial income		34,184			3,263			2,768			4,311			5			1,904			3,278			30,968			(9,290	)		71,391
Dividends received		-			-			-			-			-			-			-			115,423			(108,499	)		6,924
Share of the profit or loss
In associates under the equity
method of accounting		6,909			245			-			-			-			-			693			-			(1,733	)		6,114
Profit before income tax (EBT)		71,140			23,136			7,062			8,118			432			5,375			(8,067	)		128,752			(112,724	)		123,224
Income tax		(21,635	)		(7,193	)		(2,278	)		(2,945	)		(131	)		(2,310	)		1,570			(5,190	)		279			(39,833	)
Net profit for the period		49,505			15,943			4,784			5,173			301			3,065			(6,497	)		123,562			(112,445	)		83,391
Profit attributable to:
Controlling interest in the Group		38,143			14,915			3,375			3,880			301			684			(4,082	)		123,704			(109,826	)		71,094
Non-controlling interest		11,362			1,028			1,409			1,293			-			2,381			(2,415	)		(142	)		(2,619	)		12,297
Net profit for the period		49,505			15,943			4,784			5,173			301			3,065			(6,497	)		123,562			(112,445	)		83,391

No major changes occurred in total assets as compared to the amount stated in the year-end financial statements.

There are no differences as compared to the year-end financial statements based on segmentation or measurement of financial performance by segment.

8 FINANCIAL ASSETS AVAILABLE FOR SALE

This account comprises the investment maintained by the Company directly and indirectly in Transportadora de Gas del Perú S.A. (TGP), a local entity that operates gas transportation systems.  At December 31, 2012 the investment corresponded to shares representing the 0.6% of interest in the TGP’s capital.

In December 2013, the Group acquired from one of the TGP’s shareholders, Pluspetrol Resources Corporation (hereinafter Pluspetrol), an additional 1.04% interest in TGP paying a consideration of US$20 million (equivalent to S/.56.1 million). At December 31, 2013, the fair value of the Group´s interest in TGP equals S/.88.3 million.   The change in fair value from 2012 to 2013 of S/.19.1 million, net of the income tax of S/.8.2 million is recorded within other comprehensive income.

Together with the acquisition of the 1.04% interest, the Company acquired from Pluspetrol on behalf of the Canada Pension Plan Investment Board (CPPIB) an additional indirect interest of 11.34% in TGP. The investment for US$217 million was funded entirely by CPPIB. The risk and rewards of the entire investment are assumed by CPPIB.

Given the features of the transaction, it has been treated as an off-balance transaction because, in substance, the Company is acting as an agent for CPPIB. Therefore, the Company has not recognized neither the investment in TGP nor any obligation to CPPIB.

On February 27, 2014 the Company transferred 10.43% to CPPIB and 0.91% to CFI, retaining the 1.04% interest.

9 TRANSACTIONS WITH RELATED PARTIES

a)      Transactions with related parties -

Major transactions between the Company and its related parties are summarized as follows:

	From the three-month
	period ended March 31,
	2013		2014
Revenue from sale of goods and services:
- Associates		373		-
- Joint operations		11,790		10,149
		12,163		10,149

Inter-company services were agreed upon under market terms as if they had been agreed to with third parties.

b)      Balances of transactions with related parties

	At December 31,				At March 31,
	2013				2014
	Receivable		Payable		Receivable		Payable
Consorcio Peruano de Conservación		15,080		-		11,286		-
Consorcio Rio Mantaro		3,822		-		5,628		4,268
Consorcio Brocal Pasco		1,913		41		-		-
Consorcio La Gloria		3,696		3,398		3,782		3,612
Consorcio GyM Conciviles		33,405		-		39,235		-
Consorcio Toromocho		62		34		-		107
Consorcio Rio Urubamba		2,798		-		3,108		-
Consorcio Tren Electrico		2,499		-		418		6,027
Consorcio Atocongo		712		-		1,438		-
Consorcio Constructor Alto Cayma		566		4,881		1,629
Consorcio Lima		312		-		-		-
Consorcio Rio Pallca		3,903		-		238		-
Consorcio Norte Pachacutec		556		952		562		808
Consorcio Vial Ipacal		283		-		-		-
Consorcio Terminales		4,294		-		3,196		-
Consorcio Vial Quinua		37		1,315		-		989
Consorcio Vial Sullana		470		-		-		-
Consorcio Ancon Pativilca		-		-		-		397
Consorcio La Chira				51		187		-
Consorcio Alto Cayma		5,557		666		-		792
Comerciales Sur		206		-		2,263		32
Consorcio Proyecto Chiquintirca		134		-		134		-
Consorcio Ingenieria y Construcción Bechtel		-		3,924		-		-
Consorcio Vial Sur		737		-		-		-
Consorcio JV PAnamá		1,323		-		1,002		-
Consorcio Construcciones y Montajes		-		-		-		866
Inversiones y Construcciones		-		-		311		-
Consorcio Sistemas SEC		-		-		1,648		-
Stracon Motta Engil JV		-		-		3,172		-
Consorcio Pasco		-		-		264		-
Other minor		1,485		965		1,021		434
		83,850		16,227		80,522		18,332
Other related parties:
Ferrovias Argentina				8,771		-		11,799
Besco		-		587		-		3,040
El Condor Combustibles		-		-		-		460
		-		9,358		-		15,299
		83,850		25,585		80,522		33,631

Accounts receivable and payable are of current maturity and have no specific guarantees.

Accounts receivable from related parties mainly arise from sales transactions for goods and services with a maturity period of 60 days. These balances are non-interest-bearing because they have short-term maturities and do not require a provision for impairment.

Accounts payable to related parties mainly arise from transactions to provide services of engineering, construction, maintenance and others and have a maturity period of 60 days. Such accounts are not interest bearing because they are short-term.

10 INVESTMENTS IN ASSOCIATES AND JOINT VENTURES

As of March 31, 2014, associates in which the Group has significant influence are substantially the same as those existing as of December 31, 2013.

The movement of our investments in associates for the three-month period ended March 31, 2013 and March 31, 2014 is as follows:

	At March			At March
	31, 2013			31, 2014
Beginning balance		37,446			87,967
Acquisition and/or contributions received		1,491			-
Capital contributions		-			13,791
Share of the profit and loss in associates
under the equity method of accounting		14,738			6,114
Dividends received		(1,285	)		-
Adjustment LQS		7,409			-
Other		-			(2,662	)
Ending balances		59,799			105,210

On December 2013, the Company was awarded the concession for the operation of Chavimochic Irrigation Project. The project consists of the following activities: i) design and construction work of the third phase of the Chavimochic Irrigation Project, in La Libertad; ii) operation and work maintenance; and iii) water supply to the project users. Construction works will begin in 2015, concession has a 25-year period and total investment amounts to US$647 million.

For the operation of the concession, Concesionaria Chavimochic S.A. was formed by the Company together with Constructora Norberto Odebrecht S.A. and Odebrecht Partipacoes e Investimentos S.A, where it holds a 26.5% interest. As of March 14, 2014 the Company has issued S/.13.3 million equity.

11 PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS

For the three-month period ended March 31,2013 and 2014, the movement in property, plant and equipment and intangible assets accounts was as follows:

	Property,
	plant and			Intangible
	equipment			assets
At January 1, 2013		953,531			480,398
Additions		62,683			11,205
Transfers, disposals and adjustments		(36,400	)		11,663
Deductions for sale of assets		(352	)		-
Depreciation, amortization and impairment charges		(45,959	)		(21,981	)
Net cost at March 31, 2013		933,503			481,825
At January 1, 2014		952,596			481,392
Additions		64,380			5,067
Acquisition of subsidiary - net		567			9,069
Transfers, disposals and adjustments		(24,944	)		10,536
Deductions for sale of assets		(8,800	)		-
Depreciation, amortization and impairment charges		(39,484	)		(19,768	)
Net cost at March 31, 2014		944,315			486,296

Additions to property, plant and equipment comprise of acquisition of plant and equipment intended for the Group’s operations.

The amounts registered in Property, plant and equipment and intangible assets were obtained through the acquisition of Coasin Instalaciones Limitada (Note 19), direct control acquired by CAM Chile S.A. and Inversiones y Construcciones Ltda.

Goodwill -

Management reviews the results of its business operations based on the type of economic activity carried out. The economic activities that have given rise to goodwill for the Group were engineering and construction, electro-mechanical works, mining services, IT services and telecommunications services.

Goodwill by cash-generating units is broken down as follows:

	At December		At March
	31, 2013		31, 2014
Construction - Engineering		36,812		35,179
Construction - Mining services		13,366		13,366
Construction - Electromechanical		20,737		20,737
IT services		4,172		4,172
Telecommunications Services		-		7,648
		75,087		81,102

Goodwill from the telecommunications services corresponds to the acquisition of the subsidiary Coasin Instalaciones Limitada, which is subsidiary of CAM Chile S.A. (Note 19).

As a result of the impairment testing on goodwill performed by Management on an annual basis the recoverable amount of the related cash-generating unit (CGU) is determined based on its value in use. Value in use is determined based on the future cash flows expected to be generated by the assessed CGU. As a result of these assessments no provisions for impairment were required. As of March 31, 2014 same criteria were applied as those in test impairment at December 31, 2013.

12 BORROWINGS

This item comprises:

	Total				Current				Non-current
	At		At		At		At		At		At
	December		March		December		March		December		March
	31, 2013		31, 2014		31, 2013		31, 2014		31, 2013		31, 2014
Bank loans		514,228		507,844		381,005		380,739		133,223		127,105
Leases		281,594		266,400		105,114		92,807		176,480		173,593
		795,822		774,244		486,119		473,546		309,703		300,698

Bank loans -

As of December 31, 2013 and March 31, 2014, this item comprises bank loans in local and foreign currencies for working capital purposes. These obligations bear interest at fixed rates which fluctuated between 2% and 9% in 2013, and 2% and 8% in March 31,2014.

On April 2005, the subsidiary Norvial S.A.signed Loan Agreements with IFC and IDB to finance the construction of the first stage of the road Ancón – Huacho – Pativilca (Red Vial 5) for the amount of US$ 36 million (S/. 123.5 millions).  The remaining of this loan (S/. 42.6 millions) was prepaid at the end of 2013.  On January 15, 2014 the subsidiary Norvial S.A. signed a short term bridge loan with Banco de Crédito del Perú for the amount of S/. 50.0 million at an interest rate of 6.32%.  This loan will be canceled with the Bond Program to be issue in the local capital market that will finance the construction of the second stage of this road.

As of March 31, 2014, the Company maintained unused credit limits for S/.2,784 million, which expire within one year (S/.2,626 million as of December 31, 2013).

b)      Fair value of borrowings -

The carrying amount and fair value of borrowings are broken down as follows:

	Carrying amounts				Fair value
	At December		At March		At December		At March
	31, 2013		31, 2014		31, 2013		31, 2014
Loans from multilateral organizations		42,599		-		44,384		-
Other loans		753,223		774,244		642,842		757,131
		795,822		774,244		687,226		757,131

The fair value is based on cash flows discounted using a rate based on the borrowing rate of 3.27% and 7.35% (4.1% and 8.05% in 2013). It should be noted that the interest rate used are those applicable and negotiated by each Company.

13 PROVISIONS

This item is broken down based on the expectation of liquidation as follows:

	At December		At March
	31, 2013		31, 2014
Current portion		8,895		16,475
Non-current portion		40,387		39,842
		49,282		56,317

The movement of this item for the three-month period ended March 31, 2013 and 2014 is as follows:

			Contingent			Provisions for the			Provision			Provision
	Legal		liabilities from			for the acquisition			for well			for periodic
	claims		acquisitions			of CAM			closure			maintenance			Total
At January 1, 2013		11,380		6,006			35,220			4,897			-			57,503
Additions		318		316			-			-			-			634
Reversals		-		-			(3,870	)		-			-			(3,870	)
At March 31, 2013		11,698		6,322			31,350			4,897			-			54,267
At January 1, 2014		12,217		6,821			21,546			4,852			3,846			49,282
Additions		839		-			-			-			7,505			8,344
Additions from business combinations		-		5,159			-			-			-			5,159
Reversals		-		(290	)		(2,426	)		-			-			(2,716	)
Payments		-		-			-			(205	)		(3,547	)		(3,752	)
At March 31, 2014		13,056		11,690			19,120			4,647			7,804			56,317

Reversals for the three-month period ended March 31, 2014 mainly consists of write-offs of provisions recognized in conjunction with the purchase price allocation related to acquisition of CAM Chile in S/. 2.43 million. (S/. 3.87 million as of March 31, 2013).

14 CAPITAL

As of March 31, 2014 and December 31, 2013, the authorized, subscribed and paid-in capital, according to the Company’s bylaws as amended, is represented by 660,053,790 common shares at S/.1.00 par value each.

Subsequently, a resolution of the General Meeting on March 26, 2013, as well as agreements adopted at meetings of the Board on May 30, July 23 and August 22 of 2013, mandated the issuance of common stock through a public offering of "American Depositary Shares" (ADS´s) registered in the Securities and Exchange Commission (SEC) and NYSE, increasing the capital sum from S/.558,284 to S/.660,054.

This capital increase was carried out in two tranches as follows:

(i)      The first tranche in the amount of S/.97,674 (representing the issuance of 97,674,420 common shares issued and 19,534,884 ADS’s, therefore, at 5 shares per ADS), and,

(ii)      A second tranche in the amount of S/.4,095 representing the issuance of 4,095,180 common shares and ADS’s 819,036 (issued at 5 shares per ADS rate).

As of March 31, 2014, the amount of 261,005,980 common shares is representing en ADSs (equivalents at 52,201,196 ADS’s therefore, at 5 shares per ADS).

15 EXPENSES BY NATURE

For the three-month period ended March 31, 2013 and 2014, this item comprises:

	Cost of		Adminis-
	services		trative
	and goods		expenses		Total
2013
Purchase of goods		18,520		-		18,520
Personnel charges		288,835		48,262		337,097
Services provided by third-parties		378,223		12,616		390,839
Taxes		3,016		209		3,225
Other management charges		155,361		10,092		165,453
Depreciation		42,972		3,336		46,308
Amortization		20,364		1,617		21,981
Variation of inventories		161,525		49		161,574
		1,068,816		76,181		1,144,997
2014
Purchase of goods		30,560		-		30,560
Personnel charges		384,660		52,253		436,913
Services provided by third-parties		511,209		33,875		545,084
Taxes		2,761		533		3,294
Other management charges		146,764		5,185		151,949
Depreciation		36,835		3,173		40,008
Amortization		18,279		1,489		19,768
Variation of inventories		163,806		3		163,809
		1,294,874		96,511		1,391,385

16 INCOME TAX

Income tax expense is recognised based on management’s estimate of the weighted average annual income tax rate expected for the full financial year. The estimated average annual tax rate used for the year to 31 december 2014 is 32.33%  (32.59% for the three-month period ended March 31, 2013).

17 CONTINGENCIES, COMMITTMENTS AND GUARANTEES

As of March 31, 2014, total contingencies amounted S/.29 million. In addition the Group had guarantee commitments with different financial institutions securing transactions in the amount of US$54 million and S/.39 million.

18 DIVIDENDS

For the period ended March 31, 2014, the Group paid dividends on its subsidiaries to its non-controlling entities for S/.36 million (S/.1.5 million for the same period of 2013).

Dividends from the year ended December 31, 2013, of S/.0.169 per share totaling S/.112,126,908 were approved at the General Shareholders’ meeting held on March 28, 2014, and will be paid on April 29, 2014.

19 BUSINESS COMBINATIONS

Acquisition of Coasin Instalaciones Limitada.

In March 2014, through the subsidiaries CAM Chile S.A. and Inversiones y Construcciones Ltda., the Group acquired control of Coasin Instalaciones Limitada with the purchase of 100.00% of its equity shares. Coasin is an entity domiciled in Chile, whose main economic activity is the provision of maintenance and installation services and telecommunications equipment..

This acquisition is part of the Group’s plan to increase its presence in markets that present high growth potential as in Chile, and in attractive industries, such as public services.

The Price paid by CAM Chile S.A. for the acquisition of Coasin amounted to US$2.3 million (equivalent to S/.6.6 million) and resulted in the recognition of goodwill for S/.7.6 million at the acquisition date.

The following tables summarize the consideration paid for Coasin and the preliminary determination of fair value of assets acquired, liabilities assumed a at the acquisition date:

	S/.000		US$000
Cash and cash equivalents	24			8
Trade accounts receivable	4,639			1,606
Inventories	355			123
Property, plant and equipment	567			196
Intangibles (“Order backlog”)	1,421			492
Deferred income tax	899			311
Trade accounts payable	(3,776	)		(1,308	)
Contingent liabilities	(5,159	)		(1,786	)
Fair value of net assets	(1,030	)		(358	)
Goodwill	7,648			2,648
Total paid for acquisition	6,618			2,290
Cash payment for acquisition	(6,618	)		(2,290	)
Cash and cash equivalent of the acquired subsidiary	24			8
Direct cash outflow from acquisition	6,594			2,282

The income and the losses generated for the period from the acquisition date to March 31, 2014 amounted to S/.5.4 million and S/.0.3 million, respectively.

The Group has a measurement period not exceeding one year from the acquisition of Coasin date on the additional assets and liabilities arising from new information could be obtained regarding the information that there are recognized in the date of acquisition and which is neither new events occurring after the acquisition date, in this case the Groupadjusts the initial amounts recognized in the business combination date.

20 EVENTS AFTER THE DATE OF THE STATEMENT OF FINANCIAL POSITION

On March 24, 2014 we reached an agreement with CPPIB for the purchase of a 51% equity interest in Compañía Operadora de Gas del Amazonas (“COGA”), the operator of TGP, for a total amount of US$25.5 million. CPPIB will also sell 30% of COGA to Enagás, and will retain the remaining19%. This purchase is in process and is subject to certain conditions in order to complete the transaction.