Letter fromthe CEO

All of us who work at Tanner are aware of the role we play in the Chilean society. We play an instrumental role in the SMEs economy, in promoting greater social mobility and increasing our customers’ profitability. That is why our team’s challenge is to be a constant contribution. Our efforts are focused on three core areas: to create value to our customers, to maximize profitability for our shareholders and to make Tanner a great place to work.

At Tanner, we are aware that our customers are our raison d’être. We must fulfill their current needs and develop innovative solutions that enable them to grow and to make their dreams come true.

SMEs, which are responsible for employing over 65% of the Chilean labor force, face major challenges every day, be it to grow their business or to make it sustainable. In our Company, we are devoted to overcome these challenges. We know that SMEs require rapid solutions to allow them to meet their obligations, but at the same time they need to understand their needs and capabilities and trust those capabilities in order to achieve the growth they desire. In parallel, we are committed to providing leading companies with agile and flexible financing solutions supported by good collateral.

To this end, we launched our new website in 2017, enabling factoring operations to be performed entirely online, and also made progress with the launch of innovative products, such as Real Estate Mezzanine Loans, which gives our customers access to the financing that they need.

At Tanner, we know that a car is much more than just a vehicle. It is an experience, a way of exploring the world, a means to save time, a way of creating opportunities, of experiencing independence and sharing with our loved ones. Therefore, in 2017, we set out to make considerable improvements in our level of service, implementing a new system that not only focuses on the end customer, but also includes a management module for the dealers. This, along with the implementation of various improvements and constant monitoring of NPS – a tool which measures customer loyalty –, will allow us to become the industry leader in service quality.

In the investment business, we have the objective to be the best advisors for our customers, enhancing a culture that seeks primarily to maximize the expected results. Listening to customer needs has been vital to expand our product list. That is why in 2017 we created Tanner Asset Management to offer alternative asset funds to our customers. In connection with this effort, we organized numerous seminars for our customers, providing them with relevant information for sound decision making as it relates to their investment goals. We ended 2017 with an increase in profit of 13.3%, boosted by a very good fourth quarter. During 2018, we hope to continue harvesting the rewards of the technology investments that have been made and to also increase our productivity indicators. We are convinced that we will be more efficient in managing our balance sheet after the expiration of the 144-A bond in March of this year.

Businesses, especially service businesses like ours, are built on the basis of their corporate culture. Every single staff member promotes the Tanner culture, with a commitment to delivering high quality services to our customers, with a unique agility.

Every day, our employees have more tools to develop as individuals. We have implemented successful leadership and internal mobility programs, which reinforce our stamp of meritocracy. We are proud of our good results when it comes to working environment, psychosocial health and accident rates, as well as the number of athletes involved in activities sponsored by Tanner, which demonstrates that we have made real progress with our people.

We expect 2018 to be a year in which we bear the fruits of our investments in culture, innovation and technology, and also a year in which our profitability indicators will continue to improve.

Antonio Turner

CEO