Edgar Filing: IRSA INVESTMENTS & REPRESENTATIONS INC

form6k.htm

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 March, 2015

IRSA Inversiones y Representaciones Sociedad Anónima

(Exact name of Registrant as specified in its charter)

IRSA Investments and Representations Inc.

(Translation of registrant´s name into English)

Republic of Argentina

(Jurisdiction of incorporation or organization)

Bolívar 108

(C1066AAB)

Buenos Aires, Argentina

(Address of principal executive offices)

Form 20-F x Form 40-F o

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 o No x

IRSA INVERSIONES Y REPRESENTACIONES SOCIEDAD ANÓNIMA

(THE “COMPANY”)

REPORT ON FORM 6-K

Attached is the English translation of the Financial Results for the nine month periods ended March 31, 2015 and March 31, 2014, filed by the Company with the Bolsa de Comercio de Buenos Aires and the Comisión Nacional de Valores:

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Financial Statements

as of March 31, 2015 and for the nine-month periods

ended March 31, 2015 and 2014

Legal information

Denomination: IRSA Inversiones y Representaciones Sociedad Anónima.

Fiscal year N°.: 72, beginning on July 1, 2014.

Legal address: 108 Bolívar St., 1st floor, Autonomous City of Buenos Aires, Argentina.

Company activity: Real estate investment and development.

Date of registration of the by-laws in the Public Registry of Commerce: June 23, 1943.

Date of registration of last amendment of the by-laws in the Public Registry of Commerce: March 15, 2013.

Expiration of the Company’s by-laws: April 5, 2043.

Registration number with the Superintendence: 213,036.

Capital: 578,676,460 shares.

Common Stock subscribed, issued and paid up (in thousands of Ps.): 578,676.

Parent Company: Cresud Sociedad Anónima, Comercial, Inmobiliaria, Financiera y Agropecuaria (Cresud S.A.C.I.F. y A.).

Legal Address: 877 Moreno St., 23rd. floor, Autonomous City of Buenos Aires, Argentina.

Main activity: Real estate, agricultural, commercial and financial activities.

Interest of the Parent Company on the capital stock: 373,877,127 common shares.

Percentage of votes of the Parent Company on the shareholders’ equity: 64.61%.

Type of stock	CAPITAL STATUS
Type of stock	Authorized for Public Offer of Shares (*)	Subscribed, Issued and Paid up (in thousands of Pesos)
Common stock with a face value of Ps. 1 per share and entitled to 1 vote each	578,676,460	578,676

(*) Company not included in the Optional Statutory System of Public Offer of Compulsory Acquisition.

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Financial Position

as of March 31, 2015 and June 30, 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

	Note		03.31.2015		06.30.2014
ASSETS
Non- Current Assets
Investment properties		10	3,515,371		3,269,595
Property, plant and equipment		11	225,304		220,013
Trading properties		12	129,847		130,657
Intangible assets		13	128,293		124,085
Investments in associates and joint ventures		8,9	2,462,101		2,260,805
Deferred income tax assets		25	215,285		368,641
Income tax and minimum presumed income tax ("MPIT") credit			124,771		110,185
Trade and other receivables		17	99,046		92,388
Investments in financial assets		18	499,759		274,716
Derivative financial instruments		19	172,642		-
Total Non-Current Assets			7,572,419		6,851,085
Current Assets
Trading properties		12	1,354		4,596
Inventories		14	21,096		16,963
Restricted assets		16	9,148		-
Income tax and minimum presumed income tax ("MPIT") credit			5,617		15,866
Assets held for sale		39	-		1,357,866
Trade and other receivables		17	1,030,467		706,846
Investments in financial assets		18	336,185		234,107
Derivative financial instruments		19	48,476		12,870
Cash and cash equivalents		20	237,647		609,907
Total Current Assets			1,689,990		2,959,021
TOTAL ASSETS			9,262,409		9,810,106
SHAREHOLDERS’ EQUITY
Capital and reserves attributable to equity holders of the parent
Share capital			573,771		573,771
Treasury stock			4,905		4,905
Inflation adjustment of share capital and treasury stock			123,329		123,329
Share premium			793,123		793,123
Cost of treasury stock			(37,906	)	(37,906	)
Changes in non-controlling interest			(5,343	)	(21,808	)
Reserve for share-based compensation		33	71,361		53,235
Legal reserve			116,840		116,840
Special reserve			3,825		375,487
Reserve for new developments			-		413,206
Cumulative translation adjustment			275,809		398,931
Retained earnings			(243,919	)	(784,869	)
Total capital and reserves attributable to equity holders of the parent			1,675,795		2,008,244
Non-controlling interest			373,916		548,352
TOTAL SHAREHOLDERS’ EQUITY			2,049,711		2,556,596
LIABILITIES
Non-Current Liabilities
Trade and other payables		21	237,788		202,652
Borrowings		24	3,641,850		3,756,003
Derivative financial instruments		19	271,056		320,847
Deferred income tax liabilities			166,182		345,607
Salaries and social security liabilities		22	2,386		3,749
Provisions		23	309,210		205,228
Total Non-Current Liabilities			4,628,472		4,834,086
Current Liabilities
Trade and other payables		21	727,981		678,725
Income tax and minimum presumed income tax ("MPIT") liabilities			199,765		64,677
Liabilities held for sale		39	-		806,612
Salaries and social security liabilities		22	101,844		99,276
Derivative financial instruments		19	242,627		14,225
Borrowings		24	1,172,333		737,477
Provisions		23	139,676		18,432
Total Current Liabilities			2,584,226		2,419,424
TOTAL LIABILITIES			7,212,698		7,253,510
TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES			9,262,409		9,810,106

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Income

for the nine and three-month periods beginning on July 1st, 2014 and 2013 and January 1 st, 2015 and 2014, respectively and ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

			Nine months					Three months
	Note			03.31.15		03.31.14			03.31.15		03.31.14
Revenues		27		2,509,034		2,022,219			812,477		664,284
Costs		28		(1,109,221	)	(926,549)			(376,057)		(298,235)
Gross Profit				1,399,813		1,095,670			436,420		366,049
Gain from disposal of investment properties		10		801,052		115,362			-		107,881
General and administrative expenses		29		(261,807)		(193,902)			(99,215)		(64,523)
Selling expenses		29		(135,565)		(100,534)			(51,390)		(34,773)
Other operating results, net		31		63,256		(27,793)			(4,731)		(10,449)
Profit from operations				1,866,749		888,803			281,084		364,185
Share of profit of associates and joint ventures		8,9		(842,497)		102,69			(161,753)		51,507
Profit before financial results and income tax				1,024,252		991,493			119,331		415,692
Finance income		32		84,477		93,809			36,091		31,085
Finance cost		32		(825,302)		(1,520,883	)		(290,484)		(807,309)
Other financial results		32		(57,242)		244,441			(64,735)		202,778
Financial results, net		32		(798,067)		(1,182,633	)		(319,128)		(573,446)
Profit / (Loss) before income tax				226,185		(191,140)			(199,797)		(157,754)
Income tax		25		(389,626)		112,298			(10,529)		104,986
Loss for the period				(163,441)		(78,842)			(210,326)		(52,768)

Attributable to:
Equity holders of the parent				(244,696)		(92,030)			(249,210)		(70,352)
Non-controlling interest				81,255		13,188			38,884		17,584

Loss per share attributable to equity holders of the parent during the period:
Basic				(0.426	)	(0.160	)		(0.434	)	(0.122	)
Diluted				(0.426	)	(0.160	)		(0.434	)	(0.122	)

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Comprehensive Income

for the nine and three-month periods beginning on July 1 st, 2014 and 2013 and January 1st, 2015 and 2014, respectively and ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

	Nine months					Three months
		03.31.15		03.31.14			03.31.15		03.31.14
Loss for the period		(163,441	)	(78,842	)		(210,326	)	(52,768	)
Other comprehensive income:
Items that may be reclassified subsequently to profit or loss:
Currency translation adjustment		(106,513	)	149,786			29,367		78,010
Other comprehensive income for the period (i)		(106,513	)	149,786			29,367		78,010
Total comprehensive income for the period		(269,954	)	70,944			(180,959	)	25,242

Attributable to:
Equity holders of the parent		(367,818	)	14,099			(220,230	)	(15,659	)
Non-controlling interest		97,864		56,845			39,271		40,901

(i)	Components of other comprehensive income have no impact on income tax.

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

	Attributable to equity holders of the parent
	Share capital	Treasury stock	Inflation adjustment of share capital and treasury stock (2)	Share premium	Cost of treasury stock	Changes in non-controlling interest	Reserve for share-based compensation	Legal reserve	Special reserve (1)	Reserve for new development	Cumulative translation adjustment	Retained earnings	Subtotal	Non-controlling interest	Total shareholders' equity
Balance at July 1st, 2014	573,771	4,905	123,329	793,123	(37,906)	(21,808)	53,235	116,840	375,487	413,206	398,931	(784,869)	2,008,244	548,352	2,556,596
Loss for the period	-	-	-	-	-	-	-	-	-	-	-	(244,696)	(244,696)	81,255	(163,441)
Other comprehensive income for the period	-	-	-	-	-	-	-	-	-	-	(123,122)	-	(123,122)	16,609	(106,513)
Total comprehensive income for the period	-	-	-	-	-	-	-	-	-	-	(123,122)	(244,696)	(367,818)	97,864	(269,954)
Appropriation of retained earnings approved by Shareholders’ meeting held 11.14.14	-	-	-	-	-	-	-	-	(371,662)	(413,206)	-	784,868	-	-	-
Reserve for share-based compensation (Note 33)	-	-	-	-	-	-	18,126	-	-	-	-	-	18,126	-	18,126
Capital reduction	-	-	-	-	-	-	-	-	-	-	-	-	-	(228,101)	(228,101)
Changes in non-controlling interest	-	-	-	-	-	16,465	-	-	-	-	-	-	16,465	(22,185)	(5,720)
Reimbursement of expired dividends	-	-	-	-	-	-	-	-	-	-	-	778	778	35	813
Dividends distribution of non-controlling interest	-	-	-	-	-	-	-	-	-	-	-	-	-	(22,312)	(22,312)
Capital contribution of non-controlling interest	-	-	-	-	-	-	-	-	-	-	-	-	-	263	263
Balance at March 31, 2015	573,771	4,905	123,329	793,123	(37,906)	(5,343)	71,361	116,840	3,825	-	275,809	(243,919)	1,675,795	373,916	2,049,711

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

(1)	Related to CNV General Resolution No. 609/12. See Note 26.

(2)	Includes Ps. 1,045 of Inflation adjustment treasury stock. See Note 26.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

	Attributable to equity holders of the parent
	Share capital	Treasury stock	Inflation adjustment of share capital and treasury stock (2)	Share premium	Cost of treasury stock	Changes in non-controlling interest	Reserve for share-based compensation	Legal reserve	Special reserve (1)	Reserve for new development	Cumulative translation adjustment	Retained earnings	Subtotal	Non-controlling interest	Total shareholders' equity
Balance at July 1st, 2013	578,676	-	123,329	793,123	-	(20,782)	8,258	85,140	395,249	492,441	50,776	239,328	2,745,538	385,151	3,130,689
Loss for the period	-	-	-	-	-	-	-	-	-	-	-	(92,030)	(92,030)	13,188	(78,842)
Other comprehensive income for the period	-	-	-			-	-	-	-	-	106,129	-	106,129	43,657	149,786
Total comprehensive income for the period	-	-	-	-	-	-	-	-	-	-	106,129	(92,030)	14,099	56,845	70,944
Appropriation of retained earnings approved by Shareholders’ meeting held 10.31.13	-	-	-	-	-	-	-	31,700	(19,762)	(22,610)	-	10,672	-	-	-
Dividends distribution – approved by Shareholders’ meeting held 10.31.13	-	-	-	-	-	-	-	-	-	-	-	(250,000)	(250,000)	-	(250,000)
Reserve for share-based compensation (Note 33)	-	-	-	-	-	-	12,117	-	-	-	-	-	12,117	424	12,541
Purchase of Treasury stock	(4,488)	4,488	-	-	(32,998)	-	-	-	-	-	-	-	(32,998)	-	(32,998)
Distribution of share capital of subsidiaries	-	-	-	-	-	-	-	-	-	-	-	-	-	(3,917)	(3,917)
Reimbursement of expired dividends	-	-	-	-	-	-	-	-	-	-	-	750	750	33	783
Dividends distribution of non-controlling interest	-	-	-	-	-	-	-	-	-	-	-	-	-	(10,503)	(10,503)
Capital contribution of non-controlling interest	-	-	-	-	-	-	-	-	-	-	-	-	-	587	587
Balance at March 31, 2014	574,188	4,488	123,329	793,123	(32,998)	(20,782)	20,375	116,840	375,487	469,831	156,905	(91,280)	2,489,506	428,620	2,918,126

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

(1)	Related to CNV General Resolution No. 609/12. See Note 26.

(2)	Includes Ps. 957 of Inflation adjustment treasury stock. See Note 26.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

	Note		03.31.2015		03.31.2014
Operating activities:
Cash generated by operations		20	1,022,950		914,162
Income tax and Minimum Presumed Income tax paid			(287,376	)	(227,742	)
Net cash generated by operating activities			735,574		686,420
Investing activities:
Capital contributions in associates and joint ventures		8,9	(39,277	)	(1,580	)
Purchases of associates and joint ventures		8,9	(1,062,313	)	(13,045	)
Purchases of investment properties		10	(369,790	)	(178,630	)
Proceeds from sale of investment properties			2,050,008		254,650
Purchases of property, plant and equipment		11	(28,715	)	(10,804	)
Purchases of intangible assets		13	(4,586	)	(11,605	)
Purchase of investments in financial assets			(1,836,411	)	(1,757,417	)
Proceeds from sale of investments in financial assets			1,437,594		1,109,381
Advanced payments			(14,858	)	(28,999	)
Proceeds from sale of equity interest in associates and joint ventures			55,830		15,536
Interest received from financial assets			92,296		8,551
Loans granted to associates and joint ventures			40		-
Dividends received			21,110		16,402
Net cash generated by / (used in) investing activities			300,928		(597,560	)
Financing activities:
Proceeds from borrowings			633,838		142,002
Repayments of borrowings			(971,422	)	(363,044	)
Payment of non-convertible notes			-		(255,824	)
Payment of financial leasing			(1,868	)	(1,215	)
Dividends paid			(55,411	)	(106,391	)
Acquisition of non-controlling interest in subsidiaries			(5,720	)	-
Capital contribution of non-controlling interest			263		587
Interest paid			(476,178	)	(346,248	)
Capital reduction of subsidiaries			-		(3,917	)
Loans from associates and joint ventures, net			22,009		17,138
Distribution of capital of non-controlling interest in subsidiaries			(228,101	)	-
Repurchase of treasury stock			-		(32,998	)
Payment of seller financing of shares			(105,861	)	(1,640	)
Issuance of non-convertible notes			-		218,262
Payments of derivative financial instruments			-		(903	)
Acquisition of derivative financial instruments			(109,239	)	-
Proceeds from derivative financial instruments			131		45,696
Net cash used in financing activities			(1,297,559	)	(688,495	)
Net Increase / (decrease) in cash and cash equivalents			(261,057	)	(599,635	)
Cash and cash equivalents at beginning of year		20	609,907		796,902
Foreign exchange (loss) gain on cash and cash equivalents			(111,203	)	42,010
Cash and cash equivalents at end of period			237,647		239,277

The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

1.	The Group’s business and general information

IRSA Inversiones y Representaciones Sociedad Anónima (“IRSA”, “the Company”, “Us” or “the Society”) was founded in 1943 and is engaged in a diversified range of real estate activities in Argentina since 1991.

IRSA and its subsidiaries are collectively referred to hereinafter as “the Group”.

As of March 31, 2015, the Group operates in six business segments. See Note 6 to the Consolidated Financial Statements as of June 30, 2014 for a description of such segments.

The group’s real estate business operations are conducted primarily through IRSA and its principally subsidiary, IRSA Propiedades Comerciales S.A. ("IRSA Propiedades Comerciales" formerly company due to change of corporate name from Alto Palermo S.A. (APSA)). Through IRSA Propiedades Comerciales and IRSA, the Group owns, manages and develops shopping centers across Argentina, a portfolio of office and other rental properties in the Autonomous City of Buenos Aires, and it entered the US real estate market in 2009, mainly through the acquisition of non-controlling interests in office buildings and hotels. Through IRSA or IRSA Propiedades Comerciales, the Group also develops residential properties for sale. The Group, through IRSA, is also involved in the operation of branded hotels. The Group uses the term “real estate” indistinctively in these consolidated financial statements to denote investment, development and/or trading properties activities.

During fiscal year 2014, the Group made an investment in the Israeli market, through Dolphin Fund Ltd. (“DFL”) and Dolphin Netherlands B.V. (“DN B.V.”, and together with DFL “Dolphin”), in IDB Development Corporation (IDBD) (an Israeli Company), of an initial interest of 26.65%. As of March 31, 2015 the indirect equity interest in IDBD amounts to 49.0%. IDBD is one of the Israeli biggest and most diversified investment groups, which is involved, through its subsidiaries, in several markets and industry, including real estate, retail, agribusiness insurance, telecommunications, etc.; controlling companies as: Clal Insurance (Insurance Company), Cellcom (Mobile phone services), Adama (Agrochemicals), Super-Sol (supermarket), PBC (Real Estate), among others. IDBD went public in Tel Aviv Exchange in May, 2014.

The activities of the Group’s segment “Financial operations and others” is carried out mainly through Banco Hipotecario S.A. (“BHSA”), where we have a 29.99% interest (without considering treasury shares of our own). BHSA is a commercial bank offering a wide variety of banking activities and related financial services to individuals, small and medium-sized companies and large corporations, including the provision of mortgaged loans. BHSA’s shares are listed on the Buenos Aires Stock Exchange (“BASE”). Besides that, the Group has a 43.15% interest in Tarshop S.A (“Tarshop”), which main activities are credit card and loan origination transactions.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

1.	The Group’s business and general information (Continued)

IRSA’s shares are listed and traded on both the BASE and the New York Stock Exchange (“NYSE”). IRSA Propiedades Comerciales’s shares are listed and traded on both the BASE and the NASDAQ.

Cresud S.A.C.I.F y A. is our ultimate parent company and is a corporation incorporated and domiciled in Argentina. The address of its registered office is 877 Moreno St., Floor 23, Autonomous City of Buenos Aires, Argentina.

These Unaudited Condensed Interim Consolidated Financial Statements have been approved for issue by the Board of Directors on May 8, 2015.

2.	Basis of preparation of the Unaudited Condensed Interim Consolidated Financial Statements

2.1.	Basis of preparation

These Unaudited Condensed Interim Consolidated Financial Statements have been prepared in accordance with IAS 34 “Interim Financial Reporting”. Furthermore, some additional issues were included as required by the Business Companies Act and/or regulations of the CNV, including supplementary information provided in the last paragraph of section 1, Chapter III, Title IV of General Ruling 622/13 of the CNV. Such information is included in the Notes to the Unaudited Condensed Consolidated Interim Financial Statements.

These Unaudited Condensed Interim Consolidated Financial Statements should be read together with the Annual Consolidated Financial Statements of the Group as of June 30, 2014 prepared in accordance with IFRS in force. These Unaudited Condensed Interim Consolidated Financial Statements are presented in thousands of Argentine Pesos.

These Unaudited Condensed Interim Consolidated Financial Statements corresponding to the nine-month periods ended March 31, 2015 and 2014 have not been audited. The management believes they include all necessary adjustments to fairly present the results of each period. The Company’s nine-month periods ended March 31, 2015 and 2014 results do not necessarily reflect the proportion of the Group’s full-year results.

2.2. Significant accounting policies

The principal accounting policies applied in the presentation of these Unaudited Condensed Interim Consolidated Financial Statements are consistent with those applied in the preparation of the information under IFRS as of June 30, 2014, except for those mentioned below which were applied in these financial statements. The principal accounting policies are described in Note 2 of the Annual Consolidated Financial Statements.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

2.	Basis of preparation of the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

Acquisition of assets carried out between entities under common control

The Group has elected to recognize acquisition of assets or group of assets carried out between entities under common control who also qualify as “Business Combination” according to IFRS 3, using acquisition method.

Total or partial disposal of foreign operation

The disposal of a Group’s interest in any foreign operation amounts to any reduction of such ownership interest in the operation. The Group may fully or partially dispose its interest in foreign operation through sale, liquidation or return of contributed capital.

In the case of total or partial disposals of foreign operations and once such disposal becomes effective, the Group proportionally reclassifies the disposal made, the accumulated exchange differences related to the foreign operations recognized under Other comprehensive income and accumulated under a separate item in shareholders’ equity.

Onerous contract

An onerous contract is defined under IAS 37 (Provisions, Contingent Liabilities and Contingent Assets) as a contract in which the unavoidable costs of meeting the obligations under the contract exceed the economic benefits expected to be received under it. Current obligations under an onerous contract are recognized and valued in the Group financial statements as a provision.

2.3.	Use of estimates

The preparation of financial statements at a certain date requires the Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the period. Actual results might differ from the estimates and evaluations made at the date of preparation of these financial statements.

In the preparation of these Unaudited Condensed Interim Consolidated Financial Statements, the significant judgments made by Management in applying the Group’s accounting policies and the main sources of uncertainty were the same applied by the Group in the preparation of the Annual Consolidated Financial Statements for the year ended June 30, 2014, save for changes in accrued income tax, provision for legal claims, allowance for bad debts and accrued supplementary rental.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

2.	Basis of preparation of the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

2.4.	Comparative Information

Balance items as of March 31, 2014 and June 30, 2014 shown in these financial statements for comparative purposes arise from Consolidated Financial Statements then ended. Certain reclassifications have been made in order to present figures comparatively with those of this period.

3.	Seasonal effects on operations

The operations of the Group’s shopping centers are subject to seasonal effects, which affect the level of sales recorded by lessees. During summer time (January and February), the lessees of shopping centers experience the lowest sales levels in comparison with the winter holidays (July) and year-end holidays (December) when they tend to record peaks of sales. Apparel stores generally change their collections during the spring and the fall, which impacts positively on shopping mall sales. Sale discounts at the end of each season also affect the business. As a consequence, a higher level of revenues is generally expected in the second half of the year rather than the first in shopping center operations.

4.	Acquisitions and dispositions

For the nine-month period ended as of March 31, 2015

Sale of investment properties

On July 7, 2014, IRSA signed the transfer deed for the sale of the 19th and 20th floors of the building Maipú 1300. The total price of the transaction was Ps. 24.7 million. Such transaction generated a gain before tax of approximately Ps. 21.0 million.

On September 29, 2014, the Group through its subsidiary Rigby 183 LLC (“Rigby 183”), finalized the sale of the Madison 183 Building, located in the city of New York, United States, in the sum of US$ 185 million, thus paying off the mortgage levied on the asset in the amount of US$ 75 million. Such transaction generated a gain before tax of approximately Ps. 296.5 million.

On October 8, 2014, the Group through IRSA signed the transfer deed for the sale of the 22nd and 23th floors of the building Bouchard 551. The total price of the transaction was Ps. 168.7 million. Such transaction generated a gain before tax of approximately Ps. 151.4 million.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

On October 22, 2014, the Group through IRSA signed the transfer deep for the sale of the 10th floor, two parking units of the Building Maipú 1300 and one parking unit of the building Libertador 498. The total price of the transaction was Ps. 12.0 million. Such transaction generated a gain before tax of approximately Ps. 10.4 million.

On October 28, 2014, the Group through IRSA signed the transfer deed for the sale of 9th, 10th and 11th floors of the building Bouchard 551. The total price of the transaction was Ps. 279.4 million. Such transaction generated a gain before tax of approximately Ps. 240.5 million.

On November 7, 2014, the Group through IRSA signed the transfer deed for the sale of the 21st floor of the Building Bouchard 551. The total price of the transaction was Ps. 75.6 million. Such transaction generated a gain before tax of approximately Ps. 66.7 million.

On December 10, 2014, the Group through IRSA signed the transfer deed for the sale of the 9th floor of the Building Maipú 1300. The total price of the transaction was Ps. 12.5 million. Such transaction generated a gain before tax of approximately Ps. 11.0 million.

All sales mentioned above led to a combined profit for the Group of Ps. 801.1 million, disclosed within the line “Gain from disposal of investment properties” in the statement of income.

Decreased shareholding in Avenida Inc.

On July 18, 2014, the Group - through Torodur S.A. - exercised the warrant held associated to this investment and consequently its interest in Avenida Inc. was increased to 6,172,840 shares or 35.46%. However, simultaneously, the Group’s holding was reduced to 23.01% as a result of the acquisition of 35.12% interest in the Company by a new investor.

Subsequently, on September 2, 2014, Torodur S.A. sold 1,430,000 shares representing 5% of the Avenida Inc.’s capital stock in the amount of Ps. 19.1 million (US$ 2.3 million), thus reducing equity interest to 17.68% of its share capital. Such transaction generated a gain of Ps. 8.8 million which are shown in the line "Other operating results, net" in the income statements.

As a result of the sale of the interest, the Group has forborne to recognize the equity interest in Avenida Inc. as investment in associates and began to consider it as a financial asset at fair value in the financial statements at March 31, 2015.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

Purchases of investment properties

On July 31, 2014, IRSA acquired from Cresud SACIFyA five plots of farmland of approximately 1,058 hectares located in the district of Luján and General Rodriguez, Province of Buenos Aires. The total price of the transaction was Ps. 210 million. Such property is disclosed in offices and other rental properties.

Acquisition of additional interest in BHSA

During the period ended March 31, 2015, the Group acquired 3,289,029 additional shares of BHSA in a total amount of Ps. 14.2 million, thus increasing its interest in such company from 29.77% to 29.99%, without consideration of Treasury shares.

Investment in IDBD

On July 1, 2014 Dolphin exercised all rights granted and acquired on June 30, 2014 to purchase additional shares of IDBD. As a result of exercising the mentioned rights, Dolphin received 23.1 million shares and 16 million warrants of Series 1, 2 and 3. ETH had the same amount of rights and, as a result, acquired the same amount of shares and warrants as Dolphin.

Between July 9 and 14, 2014, Dolphin acquired 0.42 million shares and 0.34 million warrants Series 2 through open market transactions in the amount of NIS 1.77 million (equal to approximately US$ 0.52 million at such date). 50% of such shares and warrants Series 2 were sold to ETH in accordance with the terms and conditions of the agreement opportunely entered into between the parties.

On November 2, 2014, Dolphin exercised 15,998,787 warrants Series 1 and ETH its corresponding portion.

On January 19, 2015, Dolphin acquired in the open market 94,000 shares of IDBD for a total amount of NIS 0.13 million (equal to US$ 0.03 million on the purchase date) and later sold 50% to ETH in accordance with the terms and conditions of the agreement opportunely entered into between the parties. Additionally, Dolphin acquired 42,564 shares of Discount Investment Corporation Ltd, ("DIC") a subsidiary of IDBD, for a consideration of NIS 0.24 million (equal to US$ 0.06 million on the purchase date), 50% of which were offered to ETH in accordance with the terms and conditions of the agreement entered into between the parties. This time, ETH decided not to acquire the 50% of such shares.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

Moreover, on January 19, 2015, IDBD issued a prospectus for a rights offering (the “Rights Offering”) for approximately NIS 800 million (the “Maximum Immediate Payment”) pursuant to an irrevocable tender offer of Dolphin, granting on January 26, 2015 1 right (a “New Right”) for each 25 shares of IDBD held. Each New Right would allow to subscribe on February 10, 2015 an amount of 45 common shares of IDBD at a price of NIS 68.04 (NIS 1.512 per share) and 20 Warrants Series 4, 19 Warrants Series 5 and 17 Warrants Series 6 issued by IDBD, with no charge. Each warrant issued by IDBD would allow the acquisition of one common share of IDBD. Series 4 falls due on February 10, 2016 and will be exercisable at NIS 1.663 per warrant. Series 5 falls due on February 12, 2017 and will be exercisable at NIS 1.814 per warrant. Series 6 falls due on February 12, 2018 and will be exercisable at NIS 1.966 per warrant.

Furthermore, Dolphin agreed to (i) exercise Series 4 of Warrants for a total amount of NIS 150 million (equal to US$ 37.6 million as of March 31, 2015) provided it is so requested by the Board of IDBD within 6 to 12 months of the Rights Offering date, and (ii) exercise the remaining Warrants of Series 4, and Series 5 and 6 received as part of the Rights Offering, if two conditions are simultaneously met: (a) that IDBD and its lenders reach an agreement to amend some covenants, and (b) that the Commissioner of Capital Markets, Insurance and Savings of Israel approves control over Clal Insurance Company Ltd. (“Clal”).

As a result of the Rights Offering described above, on January 26, 2015, Dolphin received 3.7 million New Rights. ETH received the same amount of New Rights in accordance with its equity participation. The Rights Offering prospectus also provided that on February 5, 2015, rights received could be traded in the open market only the mentioned date.

As a result of the issuance of New Rights, the prices corresponding to committed Tender Offers mentioned in Note 9 have been adjusted accordingly to NIS 7.798 and NIS 8.188 per share for the 2015 and 2016 commitments, respectively (from NIS 8.344 and 8.761 per share, respectively), and the number of shares pledged by Dolphin were adjusted accordingly.

Additionally, on February 5, 2015, Dolphin acquired 2.05 million New Rights for a total amount of NIS 0.94 million (equal to US$ 0.24 million on the purchase date), 50% of which were offered to ETH pursuant to the terms and conditions of the agreement opportunely entered into between the parties. This time ETH decided not to acquire the 50% of such New Rights.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

On February 10, 2015 Dolphin executed all New Rights received and acquired in the market. Following the execution of those New Rights, Dolphin received 258,970,184 shares, 115,097,859 warrants Series 4, 109,342,966 warrants Series 5 and 97,833,180 warrants Series 6. ETH did not execute any of the New Rights it held. On that same date, Dolphin sold 71.39 million IDBD shares to IFISA, an entity indirectly controlled by Eduardo Elsztain, at the closing price of NIS 1.39 per share, making a total of NIS 99.23 million, equal to US$ 25.65 million at the exchange rate prevailing on the transaction date.

Additionally, between February 9 and February 16, 2015, Dolphin acquired in the market 0.36 million shares of DIC for a total amount of NIS 2.88 million, equal to US$ 0.74 million at the exchange rate prevailing on each transaction date, 50% of which was offered to ETH under the terms of the agreement entered into between the parties. This time, ETH decided not to acquire 50% of such shares.

As a result of transactions described above, on March 31, 2015, Dolphin had a total of 280,247,664 shares, 16,170,392 warrants Series 2, 15,988,787 warrants Series 3, 115,097,859 warrants Series 4, 109,342,966 warrants Series 5 and 97,833,180 warrants Series 6, which represents an equity interest of 49.0% held of IDBD. Additionally, on March 31, 2015, Dolphin held 406,978 DIC shares, which represents a direct holding of 0.48%.

During February and March 2015, Dolphin and ETH exchanged communications mainly in relation to claims raised by ETH in relation to the Rights Offering and ETH’s claim to acquire its pro rata shares in IDBD owned by Dolphin, subscribed during the Rights Offering and all of the shares subsequently acquired by IFISA raising in this last case its right of first refusal. On these premises, and in accordance with the provisions agreed between Dolphin and ETH in relation to the resolution of controversies, an arbitrage proceeding has been commenced in English in Tel Aviv under Israeli Law. On the balance sheet date, an arbitrator has been appointed and the time limit applicable for Dolphin to be notified of the arbitrage claim has already started to run.

At March 31, 2015, IDBD’s Board of Directors consists of nine members, three of whom have been designated by Dolphin: Eduardo Sergio Elsztain, Alejandro Gustavo Elsztain and Saúl Zang.

Disposal of financial assets

During August 2014, IRSA has sold through its subsidiary REIG IV the balance of 1 million shares of Hersha Hospitality Trust, at an average price of US$ 6.74 per share.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

Changes in non-controlling interest

IRSA Propiedades Comerciales

During the period, the Group, through IRSA, acquired an additional equity interest of 0.10% in IRSA Propiedades Comerciales for a total consideration of Ps. 5.6 million. As a result of this transaction, the non-controlling interest was reduced by Ps. 0.9 million and the interest attributable to the shareholders’ of the controlling parents was reduced by Ps. 4.7 million. The equity interest in IRSA Propiedades Comerciales as of March 31, 2015 amounts to 95.80%. The effect on shareholders’ equity of this change in the equity interest in IRSA Propiedades Comerciales is summarized as follows:

	Ps.
Carrying value of the equity interests acquired by the Group		915
Price paid for the non-controlling interest		(5,639	)
Reserve recognized in the Shareholders’ equity		(4,724	)

Dolphin

On October 30, 2014, the Group, through its subsidiaries, subscribed an additional sum of US$ 21 million in Dolphin. Such amount was allocated to increase Dolphin’s investment in IDBD.

Furthermore, during February 2015 the Group through its subsidiaries, contributed an amount of US$ 105 million in Dolphin. Such amount was also allocated to increase Dolphin’s investment in IDBD.

As a result, Group’s economic interest in Dolphin amounts to approximately 99.9%. Consequently, the Company recognized a decrease in non-controlling interest for an amount of Ps. 21.2 million and an increase in equity attributable to holders of the parent

Sale of Associates

On February 5, 2014, the Group, through Ritelco, sold its interest in Bitania 26 S.A., representing 49% of its capital stock, for an amount of US$ 4.2 million. Such transaction generated a net gain of approximately Ps. 13.3 million which are shown in the line "Other operating results, net" in the income statements.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

4.	Acquisition and disposals (Continued)

Rigby 183 LLC Capital reduction

On October 17, 2014, Rigby 183 LLC reduced its capital stock by distributing among existing shareholders, proportionally to their shareholdings, the gain made on the sale of the Madison building. The total amount distributed is US$ 103.8 million, of which the Group received US$ 77.4 million (US$ 26.5 million through IRSA International and US$ 50.9 million through IMadison LLC) and US$ 26.4 were distributed to other shareholders. As a result of such reduction, the Group has decided to reverse the corresponding accumulated conversion difference on a pro rata basis, which amounted to Ps. 188.3 million. This reversal has been recognized in the line “"Other operating results, net" in the income statements.

Conil Barter Agreement

On November 5, 2014, the Group executed a conveyance deed evidencing a barter to convey title on four plots of land located in Avellaneda district. The agreement provides for the development by the acquirer of two building construction undertakings. In consideration for such work, the compensation agreed included the amount of US$ 0.01 million and delivery, within 24 months as from such agreement execution; of two functional units for commercial purposes and one functional unit for office purposes (the non-monetary compensation was valued at US$ 0.7 million).

5. Financial risk management and fair value estimates

5.1	Financial risk

The group´s diverse activities are exposed to a variety of financial risk: market risk (including foreign currency risk, interest rate risk and price risk), credit risk, liquidity risk and capital risk.

The Unaudited Condensed Interim Consolidated Financial Statements do not include all the information and disclosures on financial risk management; therefore they should be read along with the annual consolidated financial statements for the year ended June 30, 2014. There have been no changes in the risk management or risk management policies applied by the Group since year end.

5.2	Fair value estimates

Since June 30, 2014 there have been no significant changes in business or economic circumstances affecting the fair value of the Group's assets or liabilities (either measured at fair value or amortized cost). Furthermore, there have been no transfers between the different hierarchies used to assess the fair value of the Group’s financial instruments.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6.	Segment information

Segment information has been prepared and classified according to different types of businesses in which the Group conducts its activities. The Group operates in an area of “Investment and Development Properties business” which comprises the following segments:

· The “Shopping Centers” segment includes the operating results of the Group’s shopping centers portfolio principally comprised of lease and service revenues related to rental of commercial space and other spaces in the shopping centers of the Group.

· The “Offices and others” segment includes the operating results of the Group’s lease revenues of office and other rental space and other service revenues related to the office activities.

· The “Sales and Development” segment includes the operating results of the sales of Undeveloped parcels of land and/or trading properties, as the results related with its development and maintenance. Also included in this segment are the results of the sales of real property intended for rent.

· The "Hotel" segment includes the operating results of the Group’s hotels mainly comprised of room, catering and restaurant revenues.

· The “International” segment includes profit or loss on investments in subsidiaries and/or associates that mainly operate in the United States in relation to the lease of office buildings and hotels in that country, and the results arising from investment in IDBD at fair value.

· The “Financial operations and others” segment primarily includes the financial activities carried out by the associates Banco Hipotecario S.A. and Tarshop S.A., and consumer finance residual financial operations of Apsamedia S.A. (currently merged with IRSA CP). The e-commerce activities conducted through the associate Avenida Inc. are also included until the first quarter of the current fiscal year. This investment began to be considered a financial asset as from the second quarter of this fiscal year.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6.	Segment information (Continued)

The Group’s Executive Board periodically reviews the results and certain asset categories corresponding to these segments. The valuation criteria used in preparing this information are consistent with IFRS standards used for the preparation of the consolidated financial statements, except for the investments in joint ventures: Cyrsa S.A., Nuevo Puerto Santa Fe S.A., Puerto Retiro S.A., Baicom Networks S.A. and Quality Invest S.A., which are reported to the Group’s Executive Board, applying proportional consolidation method. Under this method the income/loss generated and assets, are reported in the income statement line-by-line rather than in a single item as required by IFRS. Under this method, each reported asset contains the Group’s proportionate share in the same asset class in these joint ventures. As an example, the amount of investment properties reported to the Executive Board includes (i) the balance of investment properties as stated in the statement of financial position, plus (ii) the Group’s share in the balances of investment properties of joint ventures. Management believes that the proportional consolidation method provides more useful information to understand the business return. Moreover, operating results of Entertainment Holding S.A. ("EHSA") joint venture is accounted for under the equity method. Management believes that, in this case, this method provides more adequate information for this type of investment, given its low materiality and considering it is a company without direct trade operations, where the main asset consists of an indirect interest of 25% of la Rural S.A..

The following asset categories are reviewed by the Group’s Executive Board: investment properties, property, plant and equipment; trading properties, goodwill, rights to receive future units through barter agreements, inventories, investment in associates and investment in EHSA joint venture. The sum of these assets, classified by business segment, is reported under “assets by segment”. Assets are allocated to each segment based on the operations and/or their physical location.

Goods and services exchanged between segments are calculated on the basis of market prices. Intercompany transactions between segments, if any, are eliminated.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6.	Segment information (Continued)

Below is a summarized analysis of the lines of business of the Group for the period ended March 31, 2015:

	March 31, 2015
	Shopping Center			Offices and others			Sales and developments			Hotels			International			Financial operations and others			Total Urban Properties and Investment
Revenues		1,879,195			304,805			11,543			316,733			28,131			95			2,540,502
Costs		(805,474	)		(88,185	)		(14,156	)		(211,177	)		(9,379	)		(29	)		(1,128,400	)
Gross Profit / (Loss)		1,073,721			216,620			(2,613	)		105,556			18,752			66			1,412,102
Gain from disposal of investment properties		-			-			504,543			-			296,509			-			801,052
General and administrative expenses		(91,276	)		(40,446	)		(35,319	)		(56,823	)		(40,342	)		-			(264,206	)
Selling expenses		(77,590	)		(13,082	)		(6,919	)		(39,754	)		-			(270	)		(137,615	)
Other operating results, net		(20,149	)		(112,816	)		(2,006	)		12,895			187,434			(1,821	)		63,537
Profit / (Loss) from operations		884,706			50,276			457,686			21,874			462,353			(2,025	)		1,874,870
Share of profit / (loss) of associates and joint ventures		-			3,041			1,554			1,254			(973,216	)		113,351			(854,016	)
Segment Profit / (Loss)		884,706			53,317			459,240			23,128			(510,863	)		111,326			1,020,854
Investment properties		2,347,366			917,279			338,618			-			-			-			3,603,263
Property, plant and equipment		38,081			24,682			1,243			160,548			1,376			-			225,930
Trading properties		-			-			134,341			-			-			-			134,341
Goodwill		1,324			9,392			-			-			-			-			10,716
Right to receive future units under barter agreements		9,264			5,409			75,813			-			-			-			90,486
Inventories		14,000			-			738			6,754			-			-			21,492
Investments in associates and joint ventures		-			26,350			47,192			-			858,570			1,361,226			2,293,338
Operating assets		2,410,035			983,112			597,945			167,302			859,946			1,361,226			6,379,566

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6. Segment information (Continued)

Below is a summarized analysis of the lines of business of the Group for the period ended March 31, 2014:

	March 31, 2014
	Shopping Center			Offices and others			Sales and developments			Hotels			International			Financial operations and others			Total Urban Properties and Investment
Revenues		1,454,461			242,889			46,451			253,971			64,322			457			2,062,551
Costs		(648,374	)		(78,129	)		(25,440	)		(158,915	)		(42,492	)		(241	)		(953,591	)
Gross Profit		806,087			164,760			21,011			95,056			21,830			216			1,108,960
Gain from disposal of investment properties		-			-			115,362			-			-			-			115,362
General and administrative expenses		(72,207	)		(31,430	)		(27,726	)		(44,609	)		(19,421	)		(55	)		(195,448	)
Selling expenses		(49,275	)		(13,962	)		(8,314	)		(31,604	)		-			250			(102,905	)
Other operating results, net		(23,007	)		(1,765	)		(2,414	)		(761	)		423			(2,001	)		(29,525	)
Profit / (Loss) from operations		661,598			117,603			97,919			18,082			2,832			(1,590	)		896,444
Share of profit / (loss) of associates and joint ventures		-			(244	)		3,874			556			(80,848	)		160,159			83,497
Segment Profit / (Loss) before financing and taxation		661,598			117,359			101,793			18,638			(78,016	)		158,569			979,941
Investment properties		2,240,329			796,565			367,897			-			1,085,925			-			4,490,716
Property, plant and equipment		18,224			19,645			3,806			160,331			263			-			202,269
Trading properties		-			-			146,620			-			-			-			146,620
Goodwill		1,667			9,392			-			-			75,844			-			86,903
Right to receive future units under barter agreements		9,264			-			75,813			-			-			-			85,077
Inventories		9,860			-			582			8,022			-			-			18,464
Investments in associates and joint ventures		-			23,850			35,795			21,895			1,637			1,245,266			1,328,443
Operating assets		2,279,344			849,452			630,513			190,248			1,163,669			1,245,266			6,358,492

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6.	Segment information (Continued)

The following tables present a reconciliation between the total results of segment operations and the results of operations as per the statements of income. The adjustments relate to the presentation of the results of operations of joint ventures accounted for under the equity method under IFRS and the non-elimination of the inter-segment transactions.

	March 31, 2015
	Total segment information			Adjustment for share of profit / (loss) of joint ventures			Adjustment to income for elimination of inter-segment transactions			Total as per Statement of income
Revenues		2,540,502			(27,507	)		(3,961	)		2,509,034
Costs		(1,128,400	)		16,214			2,965			(1,109,221	)
Gross profit		1,412,102			(11,293	)		(996	)		1,399,813
Gain from disposal of investment properties		801,052			-			-			801,052
General and administrative expenses		(264,206	)		638			1,761			(261,807	)
Selling expenses		(137,615	)		1,775			275			(135,565	)
Other operating results, net		63,537			759			(1,040	)		63,256
Profit from operations		1,874,870			(8,121	)		-			1,866,749
Share of (loss) / profit of associates and joint ventures		(854,016	)		11,519			-			(842,497	)
Net segment profit before financing and taxation		1,020,854			3,398			-			1,024,252

	March 31, 2014
	Total segment information			Adjustment for share of profit / (loss) of joint ventures			Adjustment to income for elimination of inter-segment transactions			Total as per Statement of income
Revenues		2,062,551			(37,282	)		(3,050	)		2,022,219
Costs		(953,591	)		24,210			2,832			(926,549	)
Gross profit		1,108,960			(13,072	)		(218	)		1,095,670
Gain from disposal of investment properties		115,362			-			-			115,362
General and administrative expenses		(195,448	)		636			910			(193,902	)
Selling expenses		(102,905	)		2,261			110			(100,534	)
Other operating results, net		(29,525	)		2,534			(802	)		(27,793	)
Profit from operations		896,444			(7,641	)		-			888,803
Share of profit / (loss) of associates		83,497			19,193			-			102,690
Net segment profit before financing and taxation		979,941			11,552			-			991,493

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6.	Segment information (Continued)

The following tables present a reconciliation between total segment assets as per segment information and total assets as per the statement of financial position.

	March 31, 2015			March 31, 2014
Total Assets per segment based on segment information		6,379,566			6,358,492
Less:
Proportionate share in assets per segment of joint ventures (2)		(97,289	)		(149,775	)
Plus:
Investment in joint ventures (1)		168,763			284,513
Other non-reportable assets		2,811,369			2,966,733
Total Consolidated Assets as per Statement of financial position		9,262,409			9,459,963

(1)	Represents the proportionate equity value of joint ventures that were proportionately consolidated for information by segment purposes.

(2)	Below is a detail of the proportionate share in assets by segment of joint ventures included in the information reported by segment:

	March 31, 2015		March 31, 2014
Investment properties		87,892		137,908
Trading properties		3,140		6,339
Goodwill		5,235		5,235
Property, plant and equipment		626		104
Inventories		396		189
Total proportionate share in assets per segment of joint ventures		97,289		149,775

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

7.	Information about main subsidiaries

The Group conducts its business through several operating and holding subsidiaries. The Group considers that the subsidiaries below are the ones with non-controlling interests material to the Group.

Summarized statements of financial position

	Panamerican Mall S.A. (“PAMSA”)				Rigby				Dolphin Fund Ltd.
	March 31, 2015		June 30, 2014		March 31, 2015		June 30, 2014		March 31, 2015		June 30, 2014
ASSETS
Total Non-current assets		551,768		474,207		-		-		1,008,229		595,991
Total Current assets		406,103		361,857		18,459		1,288,300		330,079		448,539
TOTAL ASSETS		957,871		836,064		18,459		1,288,300		1,338,308		1,044,530
LIABILITIES
Total Non-current liabilities		15,139		17,895		-		-		271,056		320,847
Total Current liabilities		90,116		76,329		109		817,275		386,135		187,825
TOTAL LIABILITIES		105,255		94,224		109		817,275		657,191		508,672
NET ASSETS		852,616		741,840		18,350		471,025		681,117		535,858

Summarized statements of income and statements of comprehensive income

	PAMSA						Rigby						Dolphin Fund Ltd.
	March 31, 2015			March 31, 2014			March 31, 2015			March 31, 2014			March 31, 2015 (*)
Revenues		251,126			189,382			28,131			64,322			-
Profit / (Loss) before income tax		170,462			149,947			397,866			(1,831	)		(974,126	)
Income tax expense		(59,686	)		(52,496	)		-			-			-
Profit / (Loss) for the period		110,776			97,451			397,866			(1,831	)		(974,126	)
Other comprehensive income		-			-			(195,512	)		171,824			13,929
Total comprehensive income / (loss) for the period		110,776			97,451			202,354			169,993			(960,197	)
Profit attributable to non-controlling interest		22,155			19,490			108,887			41,792			(99,955	)
Dividends paid to non-controlling interest		-			-			-			-			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

7.	Information about principal subsidiaries (Continued)

Summarized statement of cash flows

	PAMSA						Rigby
	March 31, 2015			March 31, 2014			March 31, 2015			March 31, 2014
Net cash generated by operating activities		77,480			82,603			178			16,650
Net cash used in investing activities		(108,397	)		(17,436	)		1,517,780			(7,275	)
Net cash generated by financing activities		5,869			43			(1,516,847	)		(15,362	)
Net (decrease) / increase in cash and cash equivalents.		(25,048	)		65,210			1,111			(5,987	)
Foreign exchange gain on cash and cash equivalents		1,995			2,675			680			1,661
Cash and cash equivalents at beginning of period		44,387			11,416			7,520			13,907
Cash and cash equivalents at end of period		21,334			79,301			9,311			9,581

The information above is the amount before inter-company eliminations.

(*)	As of March 31, 2014 Dolphin Fund Ltd did not accomplish with materiality criteria.

8.	Interests in joint ventures

As of March 31, 2015 and June 30, 2014, the joint ventures of the Group were Cyrsa S.A., Puerto Retiro S.A., Baicom Networks S.A., Quality Invest S.A., NPSF, Entretenimiento Universal S.A. and EHSA. The shares in these joint ventures are not publicly traded.

Evolution of Group’s investments in joint ventures for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 was as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		316,658			287,846
Capital contribution		8,369			3,343
Cash dividends (ii)		(33,614	)		-
Share of profit		14,560			25,469
Capital reduction (iii)		(110,860	)		-
End of the period / year (i)		195,113			316,658

(i)	As of June 30, 2014 Includes Ps. (59) reflecting interests in companies with negative equity, which were disclosed in “Provisions” (see Note 23).

(ii)	During the period, the Group cashed dividends from Cyrsa and Nuevo Puerto Santa Fe S.A. in the amount of Ps. 31.0 million and Ps. 2.6 million, respectively.

(iii)

During the nine-month period ended March 31, 2015, Cyrsa S.A. distributed dividends due to capital reduction in the amount of Ps. 110.9 million.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

9.	Interests in associates

As of June 30, 2014, the associates of the Group were New Lipstick LLC, BHSA, IDBD, Tarshop S.A., Manibil S.A., Lipstick Management LLC, Banco de Crédito y Securitización S.A. (“BACS”), Bitania 26 S.A. and Avenida Inc.

As of March 31, 2014, the associates of the Group were New Lipstick LLC, BHSA, IDBD, Tarshop S.A., Manibil S.A., Lipstick Management LLC and Banco de Crédito y Securitización S.A. (“BACS”).

Changes in the Group’s investments in associates for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		1,767,165			1,096,999
Acquisition / Increase in equity interest in associates (see Note 4)		1,062,313			1,131,806
Capital contributions		30,908			16,716
Share of (loss) / profit		(1,020	)		77,721
Currency translation adjustment		41,154			(29,133	)
Cash dividends (ii)		(12,873	)		(9,983	)
Sale of equity interest (see Note 4)		(33,755	)		-
Reclassification to financial instruments (see Note 4)		(30,089	)		-
Net loss on investments at fair value		(856,037	)		(516,961	)
End of the period / year (i)		1,967,766			1,767,165

(i) Includes Ps. (299,222) and Ps. (176,923) reflecting interests in companies with negative equity as of March 31, 2015 and June 30, 2014, respectively, which are disclosed in “Provisions” (see Note 23).

(ii) During the period, the Group cashed dividends from BHSA in the amount of Ps. 12.9 million. During the year ended June 30, 2014, the Group cashed dividends from BHSA and Manibil S.A. in the amount of Ps. 9.2 million and Ps. 0.8 million, respectively.

Restrictions, commitments and other matters in respect of associates

IDBD

As part of the purchase agreement, Dolphin and ETH have agreed to participate jointly and severally in capital increases resolved by the Board of Directors of IDBD to carry out its business plan during 2014 and 2015, in amounts of at least NIS 300 million in 2014 and NIS 500 million in 2015 (approximately equal to US$ 75.4 million and US$ 125.6 million at the exchange rate prevailing on March 31, 2015). As of March 31, 2015, Dolphin has made a total capital contribution of NIS 595.1 million (which includes NIS 400 million as advance payment of the commitment assumed) and ETH has contributed NIS 203.5 million in IDBD. As a result, Dolphin has completed the required contributions, while IDBD is still claiming ETH for the payment of the remaining balance committed by ETH for a total of NIS 196.5 million, with joint and several liability of Dolphin.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

9.	Interests in associates (Continued)

Furthermore, under the purchase agreement, Dolphin and ETH have agreed jointly and severally to make one or more Tender Offers for the purchase of shares in IDBD for an aggregate amount of NIS 512.09 million (equal to approximately US$ 128.7 million at the exchange rate prevailing on March 31, 2015), based on the following scheme: (i) before December 31, 2015, an amount of at least NIS 249.8 million at a share price of NIS 7.798 (adjusted for Rights Offering as of March 31, 2015, subject to adjustments) and (ii) before December 31, 2016 an amount of at least NIS 512.09 million less the tender offer conducted in 2015, at a share price of NIS 8.188 (adjusted for Rights Offering as of March 31, 2015, subject to adjustments). To secure compliance with the tender offers, an aggregate amount of 34,130,119 shares of IDBD were pledged as of March 31, 2015. Additionally, as of March 31, 2015, 49,695,135 shares, 23,950,072 warrants Series 4, 22,752,569 warrants Series 5 and 20,357,561 warrants Series 6 of IDBD held by Dolphin were deposited in an escrow account and pledged, and they should be shortly transferred to an account without restrictions. As of the balance sheet date, Tender Offers have not been carried out.

On the other hand, the purchase agreement provides that Dolphin and ETH shall jointly and severally pay to creditors who participated in the restructuring arrangement indicated above the additional sum of NIS 100 million (equal approximately to US$ 26 million at the exchange rate prevailing on December 31, 2014), in the event that IDBD executes the sale of its equity interest in the subsidiary Clal Insurance Enterprises Holdings Ltd. before December 31, 2014 and provided that: (i) the sale price shall not be lower than NIS 4,200 million (equal to approximately US$ 1,078 million at the exchange rate prevailing on December 31, 2014) and (ii) the transaction is closed before June 30, 2015, provided that IDBD has received by the latter date a payment of at least NIS 1,344 million (gross) (equal to approximately US$ 345 million at the exchange rate prevailing on December 31, 2014). As of December 31, 2014, IDBD did not execute the sale of its interest in Clal Insurance Enterprises Holdings Ltd. Given that, as of December 31, 2014, IDBD did not perfect the above mentioned sale, the additional commitment assumed by Dolphin and ETH ceased to have effect.

On May 12, 2014, the shares of IDBD started to trade in the Tel Aviv Stock Exchange, Israel; as a result, all of the shares (including pledged shares) were held in trust at Bank Leumi Le-Israel to secure compliance with lock-up provisions of Chapter D of the Tel Aviv Stock Exchange Rules, whereby shares listed under an IPO (initial public offering) may not be freely disposed of for a term of 18 months, which are then released at a rate of 2.5% per month beginning on the fourth month of the IPO date.

Hence, in accordance with Tel Aviv Rules applicable as of March 31, 2015, 47,489,037 shares and 335,715 warrants of each of the Series 2 and 3 were still subject to lock-up provisions under the terms described above.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

9.	Interests in associates (Continued)

Furthermore, as established in Note 4, Dolphin agreed to (i) exercise Series 4 of warrants for a total amount of NIS 150 million (equal to US$ 37.6 million as of March 31, 2015) provided it is so requested by the Board of IDBD within 6 to 12 months of the Rights Offering date, and (ii) exercise the remaining warrants of Series 4, and Series 5 and 6 received as part of the Rights Offering, if two conditions are simultaneously met, to wit: (a) that IDBD and its lenders reach an agreement to amend some covenants, and (b) that the Commissioner of Capital Markets, Insurance and Savings of Israel approves control over Clal Insurance Company Ltd. (“Clal”).

Finally, Dolphin agreed to a capital injection, directly or through any of its affiliates, to IDBD in an amount ranging between NIS 256 million and NIS 400 million, as follows: (i) NIS 256 million by exercising New Rights of Dolphin resulting from the Rights Offering; (ii) an additional investment (the “Additional Investment”) in a sum equal to (a) the Maximum Immediate Payment less (b) the amount received by IDBD as a result of the Rights Offering, excluding the exercise of the New Warrants, but in no case will it exceed the amount of NIS 144 million. The Additional Investment would be made by Dolphin or any of its affiliates by exercising the additional rights to be acquired by them, or –should such rights not be acquired – by participating in another rights offering to be executed by IDBD. On February 10, 2015 Dolphin subscribed a total of NIS 391.6 million, with a remaining commitment to contribute NIS 8.4 million.

See Note 41 "Subsequent events".

BHSA

On October 31, 2014 the Bank was notified of Ruling 685 dated October 29, 2014 issued by the Superintendence of Financial Entities and Exchange Offices in proceedings conducted pursuant to Financial Investigation Case Number 1320, whereby the Bank and its officers were charged with alleged infringements to rulings on assistance to Non-Financial Public Sector, excess credit risk exposure to non-financial public sector, excess collateralization, failure to comply with minimum capital requirements and objections to the accounting treatment afforded to the transaction “Cer Swap Linked to PG08 and External Debt”; and moreover, delays in communicating the appointment of new members of the board and to file documentation related to new members of the board designated by the Shareholders’ Meetings. Such a ruling assessed a fine in the amount of Ps. 4.04 million to BHSA and fines of diverse amounts to incumbent and former members of the Board and managers. Against such penalty, on November 25, 2014 BHSA and other affected parties filed a writ of appeal, as per the provisions of section 42 of the Financial Entities Act, which was sent by the BCRA to the National Court of Appeals in Administrative Litigation Matters, and will be decided by Division I of said Court of Appeals. Moreover, the same Division will also decide on motions for injunctions filed on December 30, 2014 by the Bank and the persons affected by the collection proceedings filed by the BCRA for the collection of penalties. Notwithstanding the expectations to get a judicial revocation of the penalties applied by the BCRA, Banco Hipotecario S.A. has set up an allowance equal to 100% of the penalty applied by the ruling.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

10.	Investment properties

Changes in the Group’s investment properties for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Shopping Center portfolio			Office buildings and other rental properties portfolio			Undeveloped parcel of lands			Properties under development (ii)			Total
At July 1, 2013:
Costs		3,099,729			1,756,964			367,591			185,185			5,409,469
Accumulated amortization		(1,239,831	)		(186,372	)		-			-			(1,426,203	)
Residual value		1,859,898			1,570,592			367,591			185,185			3,983,266
Year ended June 30, 2014
Opening residual value		1,859,898			1,570,592			367,591			185,185			3,983,266
Additions		61,108			23,988			454			156,927			242,477
Currency translation adjustment		-			375,263			-			-			375,263
Reclassification of held for sale		-			(1,098,990	)		-			-			(1,098,990	)
Disposals		(35	)		(46,977	)		-			(684	)		(47,696	)
Transfers		(25,332	)		15,076			(174	)		(803	)		(11,233	)
Financial costs capitalized		-			-			-			22,376			22,376
Depreciation (i)		(130,394	)		(65,474	)		-			-			(195,868	)
Closing residual value		1,765,245			773,478			367,871			363,001			3,269,595
At June 30, 2014:
Costs		3,135,470			1,022,389			367,871			363,001			4,888,731
Accumulated amortization		(1,370,225	)		(248,911	)		-			-			(1,619,136	)
Residual value		1,765,245			773,478			367,871			363,001			3,269,595
Period ended March 31, 2015:
Opening residual value		1,765,245			773,478			367,871			363,001			3,269,595
Additions		26,394			216,737			-			174,855			417,986
Transfers (iii)		502,104			-			-			(502,104	)		-
Transfers to property, plant and equipment		-			7,545			-			(3,922	)		3,623
Disposals		-			(59,008	)		(1,687	)		(2,806	)		(63,501	)
Depreciation (i)		(86,555	)		(25,777	)		-			-			(112,332	)
Closing residual value		2,207,188			912,975			366,184			29,024			3,515,371
At March 31, 2015:
Costs		3,533,574			1,125,124			366,184			29,024			5,053,906
Accumulated amortization		(1,326,386	)		(212,149	)		-			-			(1,538,535	)
Residual value		2,207,188			912,975			366,184			29,024			3,515,371

(i) Depreciation charges of investment property were included in “Costs” in the statement of income (Note 29).

(ii) As of March 31, 2015, include Ps. 27,713 corresponding to works in Alto Comahue Shopping Center and Ps. 1,311 in Distrito Arcos Shopping Center.

(iii) Includes transfers due to the inauguration of Alto Comahue and Distrito Arcos Shopping Centers.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

10. Investment properties (Continued)

The following amounts have been recognized in the statement of income:

	March 31, 2015			March 31, 2014
Rental and service income		2,185,840			1,741,858
Direct operating expenses		(888,628	)		(757,004	)
Development expenditures		(2,376	)		(3,756	)
Gain from disposal of investment property		801,052			115,362

Borrowing costs incurred during the nine-month period ended March 31, 2015 of Ps. 12,956, were capitalized at the rate of the Company’s general borrowings, which amounts to 15%. Those costs correspond to Alto Comahue. Capitalization of financial costs has ceased since the completion of the shopping mall.

In respect of Arcos del Gourmet S.A., in December 2013, the Judicial Branch confirmed an injunction order that suspended the opening of the shopping center on the grounds that it did not have certain governmental permits in the context of two legal proceedings, where a final decision has been rendered for the company.

The plaintiff filed a petition for the continuation of the preliminary injunction by means of an extraordinary appeal of unconstitutionality which was by the lower and appellate courts; consequently, it filed an appeal with the CABA Higher Court of Justice, which so far has not rendered a decision.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

10.	Investment properties (Continued)

The following is a detailed summary of the Group's investment properties by type at March 31, 2015 and June 30, 2014:

	Net book amount
Name	March 31, 2015		June 30, 2014
Shopping centers:
Abasto de Buenos Aires		261,954		273,575
Alto Palermo Shopping		253,541		258,200
Alto Avellaneda		132,989		134,822
Paseo Alcorta		102,114		103,065
Alto Noa		30,033		31,638
Buenos Aires Design		14,275		15,722
Patio Bullrich		113,282		116,539
Alto Rosario		115,701		119,968
Mendoza Plaza		103,049		107,509
Dot Baires Shopping		411,756		421,430
Córdoba Shopping		61,997		64,951
Patio Olmos		27,585		29,192
Soleil Factory		85,159		88,634
Alto Comahue		262,995		-
Distrito Arcos		230,758		-
Subtotal Shopping Centers		2,207,188		1,765,245
Office building and other rental properties portfolio:
Bouchard 551		7,762		60,893
Bouchard 710		60,306		61,354
Dique IV		52,653		55,100
Intercontinental Plaza		50,862		49,279
Libertador 498		3,997		3,257
Maipú 1300		17,242		23,685
Suipacha 652		7,868		8,432
Torre BankBoston		138,328		142,085
República building		195,184		200,755
Dot building		95,617		97,967
Building annexed to DOT		25,332		25,332
La Adela		214,594		-
Santa María del Plata		12,513		12,504
Ocampo parking space		14,638		15,349
Others		16,079		17,486
Total Office and Other rental properties portfolio		912,975		773,478
Undeveloped parcels of lands:
Santa María del Plata		158,951		158,951
Catalinas Norte		109,494		109,494
Pilar		1,550		1,550
Luján plot of land		41,973		41,973
Caballito - Ferro		45,814		45,814
Others		8,402		10,089
Total undeveloped parcels of land		366,184		367,871
Properties under development:
Distrito Arcos		1,311		236,202
Alto Comahue		27,713		126,799
Total properties under development		29,024		363,001
Total		3,515,371		3,269,595

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

11.	Property, plant and equipment

Changes in the Group’s property, plant and equipment for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Hotel buildings and facilities			Buildings and facilities			Furniture and fixtures			Machinery and equipment			Vehicles			Total
At July 1st, 2013:
Cost		380,543			62,773			14,336			87,846			512			546,010
Accumulated depreciation		(212,343	)		(37,252	)		(10,296	)		(72,934	)		(512	)		(333,337	)
Residual value		168,200			25,521			4,040			14,912			-			212,673
Year ended June 30, 2014
Opening residual value		168,200			25,521			4,040			14,912			-			212,673
Additions		9,980			1,596			2,818			9,481			-			23,875
Currency translation adjustment		-			-			92			-			-			92
Disposals		(24	)		-			-			(36	)		-			(60	)
Transfers		-			12,231			-			-			-			12,231
Depreciation charge (i)		(13,770	)		(7,044	)		(906	)		(7,078	)		-			(28,798	)
Closing residual value		164,386			32,304			6,044			17,279			-			220,013
At June 30, 2014:
Cost		390,499			76,600			17,246			97,291			512			582,148
Accumulated depreciation		(226,113	)		(44,296	)		(11,202	)		(80,012	)		(512	)		(362,135	)
Residual value		164,386			32,304			6,044			17,279			-			220,013
Period ended March 31, 2015
Opening residual value		164,386			32,304			6,044			17,279			-			220,013
Additions		6,786			1,507			1,527			16,729			2,863			29,412
Currency translation adjustment		-			-			74			-			-			74
Transfers of investment properties		-			(7,545	)		2,112			1,810			-			(3,623	)
Depreciation charge (i)		(10,623	)		(1,865	)		(1,081	)		(6,669	)		(334	)		(20,572	)
Closing residual value		160,549			24,401			8,676			29,149			2,529			225,304
At March 31, 2015:
Cost		383,515			63,518			20,053			108,752			3,375			579,213
Accumulated depreciation		(222,966	)		(39,117	)		(11,377	)		(79,603	)		(846	)		(353,909	)
Residual value		160,549			24,401			8,676			29,149			2,529			225,304

(i) Depreciation charges of property, plant and equipment were included in “General and administrative expenses” and “Costs” in the statement of income (Note 29).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

11.	Property, plant and equipment (Continued)

The following is a detailed summary of hotels and facilities included in property, plant and equipment of the Group by type at March 31, 2015 and June 30, 2014:

	Net book amount
Name	March 31, 2015		June 30, 2014
Hotels:
Llao Llao		82,574		83,211
Hotel Intercontinental		45,475		46,026
Sheraton Libertador		32,500		35,149
Total Hotels		160,549		164,386

12.	Trading properties

Changes in the Group’s trading properties for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Completed properties			Properties under development			Undeveloped sites			Total
At July 1st, 2013		6,794			88,864			10,495			106,153
Additions		1,400			2,694			-			4,094
Currency translation adjustment		-			27,630			-			27,630
Transfers		7,897			-			(747	)		7,150
Disposals		(9,774	)		-			-			(9,774	)
At June 30, 2014		6,317			119,188			9,748			135,253
Additions		-			920			-			920
Currency translation adjustment		-			(3,919	)		-			(3,919	)
Disposals		(1,053	)		-			-			(1,053	)
At March 31, 2015		5,264			116,189			9,748			131,201

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

12.	Trading properties (Continued)

The following is a detailed summary of the Group´s trading properties by type as of March 31, 2015 and June 30, 2014:

	Net book Amount
Description	March 31, 2015		June 30, 2014
Under developed sites:
Air space Coto		8,945		8,945
Neuquén Project		803		803
Total under developed sites		9,748		9,748
Properties under development:
Vista al Muelle		44,200		45,368
Zetol		63,789		65,620
Pereiraola		8,200		8,200
Total properties under development		116,189		119,188
Completed properties:
Abril		2,357		2,357
El Encuentro		-		79
San Martín de Tours		124		124
Entre Rios 465/9 apartment		1,400		1,400
Condominio I		415		956
Condominio II		945		1,122
Caballito Nuevo		23		279
Total completed properties		5,264		6,317
Total		131,201		135,253

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

13.

Intangible assets

Changes in the Group’s intangible assets for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Goodwill			Computer software			Rights of use (ii)			Right to receive future units under barter agreements (iii)			Others			Total
At July 1st, 2013
Cost		56,893			17,752			20,873			93,225			907			189,650
Accumulated depreciation		-			(15,998	)		-			-			(774	)		(16,772	)
Residual value		56,893			1,754			20,873			93,225			133			172,878
Year ended June 30, 2014
Opening residual value		56,893			1,754			20,873			93,225			133			172,878
Additions		-			785			-			-			10,954			11,739
Currency translation adjustment		26,016			-			-			-			-			26,016
Disposals		-			(162	)		-			-			-			(162	)
Transfers		-			-			-			(8,148	)		-			(8,148	)
Reclassification of held for sale		(77,085	)		-			-			-			-			(77,085	)
Amortization charges (i)		-			(1,073	)		-			-			(80	)		(1,153	)
Residual value at year end		5,824			1,304			20,873			85,077			11,007			124,085
At June 30, 2014
Cost		5,824			18,324			20,873			85,077			11,861			141,959
Accumulated depreciation		-			(17,020	)		-			-			(854	)		(17,874	)
Residual value		5,824			1,304			20,873			85,077			11,007			124,085
Period ended March 31, 2015:
Opening residual value		5,824			1,304			20,873			85,077			11,007			124,085
Additions		-			843			-			5,409			-			6,252
Disposals		(343	)		(91	)		-			-			-			(434	)
Amortization charges (i)		-			(773	)		(235	)		-			(602	)		(1,610	)
Residual value at period end		5,481			1,283			20,638			90,486			10,405			128,293
Period ended March 31, 2015:
Cost		5,481			19,076			20,873			90,486			11,861			147,777
Accumulated depreciation		-			(17,793	)		(235	)		-			(1,456	)		(19,484	)
Residual value		5,481			1,283			20,638			90,486			10,405			128,293

(i)	Amortization charges of intangible assets are included in “General and administrative expenses” in the statement of income (Note 29). There are no impairment charges for any of the years / period presented.

(ii)	Correspond to Distrito Arcos. Depreciation began in January, 2015, upon delivery of the shopping center.

(iii)

Correspond to receivables in kind representing the right to receive residential apartments in the future by way of barter agreements.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

14.	Inventories

Breakdown of Group’s inventories as of March 31, 2015 and June 30, 2014 were as follows:

	March 31, 2015		June 30, 2014
Current
Hotel supplies		6,754		6,011
Materials and others items of inventories		14,342		10,952
Current inventories		21,096		16,963
Total inventories		21,096		16,963

15.	Financial instruments by category

Determination of fair values

IFRS 9 defines the fair value of a financial instrument as the amount for which an asset could be exchanged, or a financial liability settled, between knowledgeable, willing parties in an arm’s length transaction. All financial instruments recognized at fair value are allocated to one of the valuation hierarchy levels of IFRS 7. This valuation hierarchy provides for three levels.

In the case of Level 1, valuation is based on quoted prices (unadjusted) in active markets for identical assets and liabilities that the Company can refer to at the date of valuation. A market is deemed active if transactions of assets and liabilities take place with frequency and in sufficient quantity. Since a quoted price in an active market is the most reliable indicator of fair value, this should always be used if available. The financial instruments the Group has allocated to this level mainly comprise equity investments, mutual funds and mortgage bonds for which quoted prices in active markets are available. In the case of securities, the Group allocates them to this level when either a stock market price is available or prices are provided by a price quotation on the basis of actual market transactions.

In the case of Level 2, fair value is determined by using valuation methods based on inputs directly or indirectly observable in the market. If the financial instrument concerned has a fixed contract period, the inputs used for valuation must be observable for the whole of this period. The financial instruments the Group has allocated to this level mainly comprise interest rate swaps and foreign currency future contracts.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15. Financial instruments by category (Continued)

In the case of Level 3, the Group uses valuation techniques not based on inputs observable in the market. This is only permissible insofar as no market data are available. The inputs used reflect the Group’s assumptions regarding the factors which market players would consider in their pricing. The Group uses the best available information for this, including internal company data. The Group has allocated to this level shares and warrants of Supertel, the call option of Arcos del Gourmet S.A. (with a fair value of zero at the end of the period) and commitment to tender offer of shares in IDBD.

The Group’s Finance Division has a team in place in charge of estimating valuation of financial assets required to be reported in the financial statements, including the fair value of Level-3 instruments. The team directly reports to the Chief Financial Officer (“CFO”).

The CFO and the valuation team discuss the valuation methods and results upon the acquisition of an asset and, if necessary, on a quarterly basis, in line with the Group’s quarterly reports.

According to the Group’s policy, transfers among the several categories of valuation tiers are recognized when occurred, or when there are changes in the prevailing circumstances requiring the transfer.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15. Financial instruments by category (Continued)

The following tables present the Group’s financial assets and financial liabilities that are measured at fair value as of March 31, 2015 and June 30, 2014 and their allocation to the fair value hierarchy:

	March 31, 2015
	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss:
- Investment in equity securities of TGLT		72,242		-		-		72,242
- Investment in preferred shares of Supertel		-		-		251,739		251,739
- Investment in equity securities of Avenida Inc.		65,856		-		-		65,856
- Mutual funds		68,445		-		-		68,445
- Banco Macro bonds		1,722		-		-		1,722
- Public companies securities		17,138		-		-		17,138
- Government bonds		248,880		-		-		248,880
Derivative financial instruments:
- Warrants of IDBD		173,495		47,623		-		221,118
Cash and cash equivalents:
- Mutual funds		1,396		-		-		1,396
Investment in associates:
- IDBD		834,882		-		-		834,882
Total assets		1,484,056		47,623		251,739		1,783,418

	March 31, 2015
	Level 1		Level 2		Level 3		Total
Liabilities
Derivative financial instruments:
- Commitment to tender offer shares in IDBD		-		-		513,683		513,683
Borrowings:
- Other borrowings		-		16,431		-		16,431
Provisions:
- Onerous contracts		-		89,438		-		89,438
Total liabilities		-		105,869		513,683		619,552

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15. Financial instruments by category (Continued)

	June 30, 2014
	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss:
- Investment in equity securities of TGLT		63,546		-		-		63,546
- Investment in equity securities of Hersha		53,901		-		-		53,901
- Investment in preferred shares of Supertel		-		-		211,170		211,170
- Mutual funds		140,095		-		-		140,095
- Banco Macro bonds		1,438		-		-		1,438
- Government bonds		10,276		-		-		10,276
- Public companies securities		14,318		-		-		14,318
Derivative financial instruments:
- Foreign-currency future contracts		-		1,200		-		1,200
- IDBD preemptive rights		10,986		-		-		10,986
- Interest rate swaps (i)		-		684		-		684
Cash and cash equivalents:
- Mutual funds		2,616		-		-		2,616
Investment in associates:
- IDBD		595,342		-		-		595,342
Total assets		892,518		1,884		211,170		1,105,572

(i)	Includes Ps. 299 in the line Assets held for sale (See note 39).

	June 30, 2014
	Level 1		Level 2		Level 3		Total
Liabilities
Derivative financial instruments:
- Foreign-currency future contracts		-		14,225		-		14,225
- Commitment to tender offer shares in IDBD		-		-		320,847		320,847
Borrowings
- Other borrowings		22,901		51,443		-		74,344
Total liabilities		22,901		65,668		320,847		409,416

The following table presents the changes in Level 3 instruments for the period ended March 31, 2015 and June 30, 2014:

	Shares of Supertel		Warrants of Supertel			Commitment to tender offer of shares in IDBD			Total
Total as of July 1, 2013		139,121		16,949			-			156,070
Currency translation adjustment		-		-			(5,247	)		(5,247	)
Total gains / (losses) for the year 2014 (i)		72,049		(16,949	)		(315,600	)		(260,500	)
Balance at June 30, 2014		211,170		-			(320,847	)		(109,677	)
Currency translation adjustment		-		-			(33,336	)		(33,336	)
Total gain / (losses) for the period (i)		40,569		-			(159,500	)		(118,931	)
Balance at March 31, 2015		251,739		-			(513,683	)		(261,944	)

(i) The gain / (loss) is not realized as of March 31, 2015 and June 30, 2014 and is accounted for under “Financial results, net” in the statement of income (Note 32).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15. Financial instruments by category (Continued)

Upon initial recognition (January, 2012), the consideration paid for the Shares and Warrants of Supertel was assigned to both instruments based on the relative fair values of those instruments upon acquisition. The fair values of these instruments exceeded the price of the transaction and were assessed using a valuation method that incorporates unobservable market data. Given the fact that the fair value of these instruments was estimated by applying the mentioned method, the Group did not recognize a gain of US$ 7.9 million at the time of initial recognition. As of June 30, 2014, the fair value of the Warrants of Supertel determined using the mentioned technique was minor than the gain not recognized at the time of initial recognition; remaining thus the Warrants remain valued at an amount of zero.

According to Group estimates, all things being constant, a 10% decline in the price of the underlying assets of Shares and Warrants of Supertel (data observed in the market) of Level 3 as of March 31, 2015, would reduce pre-tax income by Ps. 28.5 million.

According to Group estimates, all things being constant, a 10% increase in the credit spread (data which is not observable in the market) of the Shares and Warrants of Supertel used in the valuation model applied to Level 3 financial instruments as of March 31, 2015, would increase pre-tax income by Ps. 1.8 million. The rate used as of March 31, 2015 was 13.94%.

When no quoted prices in an active market are available, fair values (particularly with derivatives) are based on recognized valuation methods. The Group uses a range of valuation models for the measurement of Level 2 and Level 3 instruments, details of which may be obtained from the following table:

Description	Pricing model	Pricing method	Parameters	Range
Derivative on tender offer IDBD	Black-Scholes	Theoretical price	Underlying asset price; share price volatility (historical) and money market interest-rate curve (ILS rate curve).	Underlying asset price 1.1 to 1.6 Share price volatility 60% to 80% Money market interest-rate 0.25% to 0.4%
Onerous contract and warrant IDBD	Black-Scholes	Theoretical price	Underlying asset price; share price volatility (historical) and money market interest-rate curve (ILS rate curve).	Underlying asset price 1.1 to 1.6 Share price volatility 60% to 80% Money market interest-rate 0.25% to 0.4%
Loan for the purchase of IDBD shares	Market price of underlying asset	Theoretical price	Underlying asset price	-
Interest rate swaps	Cash flow	Theoretical price	Interest rate and cash flow forward contract.	-
Preferred shares of Supertel	Binomial tree	Theoretical price	Underlying asset price (Market price); share price volatility (historical) and money market interest-rate curve (Libor rate).	Underlying asset price 1.58 to 1.93 Share price volatility 56% to 75% Money market interest-rate 0.95% to 1.19%
Warrants of Supertel	Black-Scholes	Theoretical price	Underlying asset price (Market price); share price volatility (historical) and money market interest-rate curve (Libor rate).	Underlying asset price 1.58 to 1.93 Share price volatility 56% to 75% Money market interest-rate 0.95% to 1.19%
Call option of Arcos	Discounted cash flow	-	Projected income and discounted interest rate.	-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

16.	Restricted assets

Group’s restricted assets as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Current
Deposit in escrow		9,148		-
Total current restricted assets		9,148		-
Total restricted assets		9,148		-

17.	Trade and other receivables

Group’s trade and other receivables as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015			June 30, 2014
Non-current
Trade, leases and services receivables		60,658			55,105
Less: allowance for trade receivables		(2,208	)		(2,208	)
Non-current trade receivables		58,450			52,897
Trade receivables of joint venture		3,489			3,213
VAT receivables		24,039			19,710
Prepaid expenses		11,431			14,332
Others		395			1,093
Non-current other receivables		39,354			38,348
Related parties (Note 34)		1,242			1,143
Total non-current trade and other receivables		99,046			92,388

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

17.	Trade and other receivables (Continued)

	March 31, 2015			June 30, 2014
Current
Consumer financing receivables		14,661			14,861
Trade, leases and services receivables		333,991			256,110
Receivables from hotel operations		44,317			33,861
Checks to be deposited		243,134			183,422
Trade and lease debtors under legal proceedings		64,179			59,397
Less: allowance for trade receivables		(87,653	)		(79,926	)
Current trade receivables		612,629			467,725
VAT receivables		6,512			8,788
Other tax receivables		14,710			16,085
Loans granted		10,372			9,084
Prepaid expenses		65,056			54,626
Advance from vendors		51,692			74,521
Contributions to be paid in by non-controlling interests		-			12,840
Others		23,563			19,749
Less: allowance for other receivables		(165	)		(175	)
Current other receivables		171,740			195,518
Related parties (Note 34)		246,098			43,603
Current trade and other receivables		1,030,467			706,846
Total trade and other receivables		1,129,513			799,234

Movements on the Group’s allowance for trade and other receivables are as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		82,309			79,148
Additions		15,720			17,671
Unused amounts reversed		(6,636	)		(6,045	)
Used during the period / year		(1,367	)		(8,465	)
End of the period / year		90,026			82,309

The creation and release of provision for impaired receivables have been included in “Selling expenses” in the statement of income (Note 29). Amounts charged to the provision account are generally written off, when there is no expectation of recovering additional cash.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

18.	Investments in financial assets

Group’s investments in financial assets as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Non-current
Financial assets at fair value
Investment in equity securities in TGLT		72,242		63,546
Investment in preferred shares of Supertel		251,739		211,170
Investment in equity securities in Avenida Inc. (see Note 4)		65,856		-
Financial assets at amortized cost
Non-Convertible Notes related parties (Note 34)		109,922		-
Total investments in non-current financial assets		499,759		274,716
Current
Financial assets at fair value
Mutual funds		68,445		140,095
Investment in equity securities in Hersha (see Note 4)		-		53,901
Banco Macro bonds		1,722		1,438
Public companies securities		17,138		14,318
Government bonds		248,880		10,276
Financial assets at amortized cost
Non-Convertible Notes related parties (Note 34)		-		14,079
Total investments in current financial assets		336,185		234,107
Total investments in financial assets		835,944		508,823

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

19.	Derivative Financial Instruments

Group’s derivative financial instruments as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Assets
Non-current
Warrants of IDBD (see Note 4)		172,642		-
Total non-current derivative financial instruments		172,642		-

Current
Interest rate swaps	-		684
Warrants of IDBD (see Note 4)	48,476		-
Foreign-currency future contracts	-		1,200
IDBD preemptive rights (see Note 4)	-		10,986
Total current derivative financial instruments	48,476		12,870
Total assets	221,118		12,870

Liabilities
Non-current
Commitment to tender offer shares in IDBD (see Note 4)	(271,056	)	(320,847	)
Total non-current derivative financial instruments	(271,056	)	(320,847	)

Current
Commitment to tender offer shares in IDBD (see Note 4)	(242,627	)	-
Foreign currency future contracts (Note 34)	-		(14,225	)
Total current derivative financial instruments	(242,627	)	(14,225	)
Total liabilities	(513,683	)	(335,072	)

20.	Cash flow information

The following table shows the amounts of cash and cash equivalents as of March 31, 2015 and June 30, 2014:

	March 31, 2015		June 30, 2014
Cash at bank and on hand		236,251		607,291
Mutual funds		1,396		2,616
Total cash and cash equivalents		237,647		609,907

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

20.	Cash flow information (Continued)

Following is a detailed description of cash flows generated by the Group’s operations for the nine-month periods ended March 31, 2015 and 2014:

	Note		March 31, 2015			March 31, 2014
Loss for the period				(163,441	)		(78,842	)
Adjustments for:
Income tax expense		25		389,626			(112,298	)
Retirement of obsolete property, plant and equipment		11		-			60
Amortization and depreciation		29		134,514			168,726
Gain from disposal of investment property		10		(801,052	)		(115,362	)
Dividends received		32		(12,449	)		(10,741	)
Share-based payments		33		18,126			12,541
Gain from derivative financial instruments		32		54,604			(27,492	)
Changes in fair value of investments in financial assets		32		2,638			(229,823	)
Interest expense, net		32		440,059			316,905
(Loss) from disposal of associates		31		(22,075	)		-
Provisions and allowances				93,137			71,012
Share of profit / (loss) of associates and joint ventures		8.9		842,497			(102,690	)
Gain on repurchase of Non-Convertible notes		32		-			12,874
Unrealized foreign exchange loss, net				292,806			1,108,603
Changes in operating assets and liabilities:
Increase in inventories				(4,133	)		(1,954	)
Decrease in trading properties				133			2,373
(Increase) / Decrease in trade and other receivables				(291,044	)		3,658
Increase / (Decrease) in trade and other payables				51,445			(108,363	)
Decrease in salaries and social security liabilities				1,205			6,653
Decrease in provisions				(3,646	)		(1,678	)
Net cash generated by operating activities before income tax paid				1,022,950			914,162

The following table shows a detail of non-cash transactions occurred in the periods ended March 31, 2015 and 2014:

	March 31, 2015		March 31, 2014
Decrease in borrowings through a decrease in equity investments in subsidiaries, associates and joint ventures		136,685		-
Reimbursement of expired dividends		813		784
Dividends payable		12,524		-
Increase in investment properties through a decrease in financial assets		48,196		-
Increase in borrowings through a decrease in dividends payable		-		160,173
Increase in financial assets through a decrease in equity investments in associates and joint ventures		30,089		-
Increase in restricted assets through a decrease in assets held for sale		8,742		-
Increase in Property, Plant and Equipment through an increase in borrowings		697		539
Increase in investment properties, through a decrease in property, plant and equipment		3,623		-
Decrease in investment properties through an increase in intangible assets		1,666		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

21.	Trade and other liabilities

Group’s trade and other payables as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Non-current
Admission rights		135,661		113,617
Sale and rent payments received in advance		68,422		51,638
Guarantee deposits		6,053		6,759
Non-current trade payables		210,136		172,014
Tax payment facilities plan		11,269		14,813
Deferred income tax		7,543		7,914
Others		8,789		7,716
Non-current other payables		27,601		30,443
Related parties (Note 34)		51		195
Non-current trade and other payables		237,788		202,652
Current
Trade payables		78,372		64,217
Accrued invoices		86,512		107,982
Guarantee deposits		16,401		9,985
Admission rights		131,462		111,024
Sale and rent payments received in advance		202,909		180,985
Current trade payables		515,656		474,193
VAT payables		39,423		28,509
Deferred revenue		495		495
Other tax payables		25,815		27,478
Dividends payable to non-controlling shareholders		26,490		23,940
Capital contributions paid in by minority shareholders		13,161		-
Others		7,163		7,449
Current other payables		112,547		87,871
Related parties (Note 34)		99,778		116,661
Current trade and other payables		727,981		678,725
Total trade and other payables		965,769		881,377

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

22.	Salaries and social security liabilities

Group’s Salaries and social security liabilities as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Non-current
Social security payable		2,386		3,749
Total non-current salaries and social security liabilities		2,386		3,749

Current
Provision for vacation, bonuses and others	83,768	80,577
Social security payable	17,024	18,098
Others	1,052	601
Total current salaries and social security liabilities	101,844	99,276
Total salaries and social security liabilities	104,230	103,025

23.	Provisions

The table below shows the movements in the Group's provisions for other liabilities categorized by type of provision:

	Labor, legal and other claims (i)			Tax and social security claims (i)			Investments in associates and joint ventures (ii)			Onerous contracts (iii)		Total
At July 1st, 2013		31,010			1,686			39,091			-		71,787
Additions		23,641			478			115,359			-		139,478
Recovery		(7,529	)		(574	)		-			-		(8,103	)
Used during the period		(2,034	)		-			-			-		(2,034	)
Contributions		-			-			(16,667	)		-		(16,667	)
Foreign exchange gain		-			-			39,199			-		39,199
At June 30, 2014		45,088			1,590			176,982			-		223,660
Additions		29,401			217			104,825			86,115		220,558
Recovery		(12,027	)		(397	)		(59	)		-		(12,483	)
Used during the period		(3,646	)		-			-			-		(3,646	)
Contributions		-			-			(1,502	)		-		(1,502	)
Foreign exchange gain		-			-			18,976			3,323		22,299
At March 31, 2015		58,816			1,410			299,222			89,438		448,886

(i) Additions and recoveries are included in "Other operating results, net".

(ii)	Corresponds to equity interests in affiliates with negative equity, principally New Lipstick LLC. Additions and recoveries are included in "Share of profit / (loss) of associates and joint ventures".

(iii)

See Note 9. Additions and recoveries are included in "Other financial results".

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

23.	Provisions (Continued)

Disclosure of total provisions in current and non-current is as follows:

	March 31, 2015		June 30, 2014
Non-current		309,210		205,228
Current		139,676		18,432
		448,886		223,660

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

24.	Borrowings

The breakdown of the Group borrowings as of March 31, 2015 and June 30, 2014 was as follows:

								Book value
	Secured / unsecured	Currency	Rate	Effective interest rate %		Nominal Value of share capital		March 31, 2015		June 30, 2014
Non-current
NCN IRSA due 2015	Unsecured	Ps.	Floating	Badlar + 395ps			-		-		209,297
NCN IRSA due 2017	Unsecured	US$	Fixed		8.5%		149,000		1,316,364		1,210,359
NCN IRSA due 2017	Unsecured	Ps.	Floating	Badlar + 450 ps			10,790		8,059		10,734
NCN APSA due 2017	Unsecured	US$	Fixed		7.875%		116,000		994,577		866,549
NCN IRSA due 2020	Unsecured	US$	Fixed		11.5%		145,700		1,207,806		1,111,449
Seller financing of plot of land (v)	Secured	US$	Fixed		3.5%		2,334		20,626		19,072
Seller financing of Soleil Factory (i)	Secured	US$	Fixed		5%		-		-		80,126
Seller financing of Zetol S.A. (ii)	Secured	US$	Fixed		3.5%		4,500		47,834		22,058
Bank loans	Unsecured	Ps.	Fixed		15.25%		13,988		13,185		6,938
Syndicated loan (iii)	Unsecured	Ps.	Fixed	(iii)			126,455		10,504		74,964
Banco Provincia de Buenos Aires loan (iv)	Unsecured	Ps.	Fixed		-		-		-		6,421
Related parties (Note 34)	Unsecured	Ps.	Fixed		15.25%		5,000		1,875		3,750
Related parties (Note 34)	Unsecured	Ps.	Fixed		24.00%		7,000		6,872		-
Related parties (Note 34)	Unsecured	Ps.	Floating	Badlar			12,735		13,791		133,314
Finance leases obligations	Secured	US$	Fixed	7% to 14.5%			5,327		357		972
Total Non-current borrowings									3,641,850		3,756,003

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

24.	Borrowings (Continued)

										Book value
	Secured / unsecured	Currency		Rate		Effective interest rate %		Nominal Value of share capital		March 31, 2015		June 30, 2014
Current
NCN IRSA due 2015	Unsecured	Ps.		Floating		Badlar + 395ps			209,398		213,584		4,325
NCN IRSA due 2017	Unsecured	US$		Fixed			8.5%		149,000		17,126		41,472
NCN IRSA due 2017	Unsecured	Ps.		Floating		Badlar + 450ps			10,790		211		255
NCN APSA due 2017	Unsecured	US$		Fixed			7.875%		116,000		30,201		8,968
NCN IRSA due 2020	Unsecured	US$		Fixed			11.5%		145,700		26,813		57,281
Short-term loans	Unsecured	Ps.		Fixed			15.25%		14,488		6,732		2,873
Bank overdrafts	Unsecured	Ps.		Floating			-		-		630,837		401,963
Syndicated loan (iii)	Unsecured	Ps.		Fixed		(iii)			126,455		88,563		101,339
Banco Provincia de Buenos Aires loan (iv)	Unsecured	Ps.		Fixed			-		132,889		130,491		12,886
Seller financing of plot of land (v)	Secured	US$		Fixed			3.5%		-		-		2,335
Seller financing of Soleil Factory (i)	Secured	US$		Fixed			5%		-		-		5,128
Seller financing of Zetol S.A. (ii)	Secured	US$		Fixed			3.5%		-		-		21,207
Other borrowings	Unsecured		-		-		-		-		16,431		74,344
Related parties (Note 34)	Unsecured	Ps.		Fixed			15.25%		5,000		2,427		71
Related parties (Note 34)	Unsecured	Ps.		Floating		Badlar + 300bps			6,635		7,437		1,250
Finance leases obligations	Secured	US$		Fixed		7% to 14.5%			2,244		1,480		1,780
Total Current borrowings											1,172,333		737,477
Total borrowings											4,814,183		4,493,480

NCN: Non-convertible Notes

(i) Seller financing of Soleil Factory (investment properties): Mortgage financing of US$ 20.7 million with a fixed 5% interest rate due in June 2017. As of the date of these financial statements, the mentioned capital is fully canceled.

(ii)

Seller financing of Zetol S.A. (trading properties): Mortgage financing of US$ 7 million with a fixed 3.5% interest rate. The balance is payable, by choice of the seller, in money or with the delivery of units in buildings to be built representative of 12% of the total marketable square meters built.

(iii)

On November 16, 2012, the Company subscribed a syndicated loan for Ps. 118,000. Principal will be payable in 9 quarterly consecutive installments and shall accrue interest at rate of 15.01%. On June 12, 2013 the Company subscribes a new syndicated loan for Ps. 111,000. Principal will be payable in 9 quarterly consecutive installments and shall accrue interest at rate of 15.25%. Both loans have been entered into with various banking institutions, one of which is Banco Hipotecario (Note 34).

(iv)

On December 12, 2012, the Group subscribed a loan with Banco Provincia de Buenos Aires for Ps. 29 million. Principal will be repaid in 9 quarterly consecutive installments beginning in December 2013. Additionally, on February 3, 2014 a new loan has been subscribed for Ps. 20 million. As of the date of these financial statements, the mentioned capital is fully canceled. On December 23, 2014, a new loan with Banco Provincia de Buenos Aires for Ps. 120 million has been subscribed. Principal will be payable in only one installment due on June 19, 2015.

(v)	Seller financing of plot of land - Vista al Muelle S.A. in Canelones, Uruguay (Trading properties).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

25.

Taxes

The details of the provision for the Group’s income tax, is as follows:

	March 31, 2015			March 31, 2014
Current income tax		(633,163	)		(185,112	)
Deferred income tax		246,056			297,410
Minimum Presumed Income tax (MPIT)		(2,519	)		-
Income tax		(389,626	)		112,298

The gross movement on the deferred income tax account is as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		23,034			(310,700	)
Use of tax loss carryforwards		(185,405	)		-
Cumulative translation adjustment		(1,236	)		(17,948	)
Assets held for sale		(33,346	)		33,346
Income tax expense and deferred income tax		246,056			318,336
End of period / year		49,103			23,034

The Group did not recognize deferred income tax assets of Ps. 25.3 million and Ps. 22.9 million as of March 31, 2015 and June 30, 2014, respectively. Although management believes that it will become profitable in the foreseeable future, as a result of the history of recent losses incurred during the development phase of certain Group’s business operations and the lack of verifiable and objective evidence due to the limited operating history of such Group’s operations, the Board of Directors has determined that there is sufficient uncertainty as to the generation of sufficient taxable income to utilize the losses within a reasonable timeframe, therefore, no deferred tax asset is recognized in relation to these losses.

Below is a reconciliation between income tax recognized and that which would result applying the prevailing tax rate on Profit before income tax for the nine-month periods ended March 31, 2015 and 2014:

	March 31, 2015			March 31, 2014
Tax calculated at the tax rates applicable to profits in the respective countries		12,640			(62,138	)
Permanent differences:
Share of profit / (loss) of associates and joint ventures		390,203			(35,942	)
Unrecognized tax losses		4,529			(754	)
Change of measurement and partial disposal of Avenida Inc.		(14,602	)		-
Non-taxable income and others		(5,663	)		(13,464	)
Income tax		387,107			(112,298	)
Minimum Presumed Income tax (MPIT)		2,519			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

26.	Shareholders’ equity

Special reserve

Pursuant to CNV General Ruling No. 609/12, the Company set up a special reserve reflecting the positive difference between the balance at the beginning of retained earnings disclosed in the first financial statements prepared according to IFRS and the balance at closing of retained earnings disclosed in the last financial statements prepared in accordance with previously effective accounting standards. This reserve may not be used to make distributions in kind or in cash, and may only be reversed to be capitalized, or otherwise to absorb potential negative balances in Retained Earnings.

Repurchase plan involving common shares and GDS issued by IRSA

On July 25, 2013, IRSA’s Board of Directors set forth the terms and conditions governing the purchase of the Company’s own stock pursuant to Section 64 of Law No. 26,831 and the CNV’s regulations, for up to an aggregate amount of Ps. 200.0 million and up to 5% of the capital stock. During the year ended June 30, 2014, the Company repurchased 533,947 common shares (nominal value Ps. 1 per share) for a total of Ps. 5.2 million and 437,075 GDS (representing 4,370,750 common shares) for a total amount of US$ 5.2 million.

On June 10, 2014, the Board of Directors of IRSA resolved to terminate the stock repurchase plan that was approved by resolution of the Board on July 25, 2013, and modified by resolutions adopted on September 18, 2013, October 15, 2013 and October 22, 2013. During the term of the Stock Repurchase Plan, IRSA has repurchased 4,904,697 shares for an aggregate amount of Ps. 37.9 million.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

27.

Revenues

	March 31, 2015		March 31, 2014
Base rent		914,206		779,963
Contingent rent		340,034		230,725
Admission rights		113,147		92,538
Averaging scheduled rent escalation		24,871		14,038
Parking fees		78,627		59,446
Letting fees		33,747		32,824
Service charges		670,541		525,603
Property management fee		4,507		3,245
Others		6,160		3,476
Total rental and service income		2,185,840		1,741,858
Sale of trading properties		6,366		25,933
Hotel operations		316,733		253,971
Consumer financing		95		457
Total other revenue		323,194		280,361
Total revenues		2,509,034		2,022,219

28.

Costs

	March 31, 2015		March 31, 2014
Costs of rental and services costs		888,628		757,004
Cost of sale and development		9,387		10,389
Costs from hotel operations		211,177		158,915
Costs from consumer financing		29		241
Total costs		1,109,221		926,549

29.	Expenses by nature

The Group disclosed expenses the statements of income by function as part of the line items “Costs”, “General and administrative expenses” and “Selling expenses”.

The following tables provide the additional required disclosure of expenses by nature and their relationship to the function within the Group.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Expenses by nature (Continued)

For the period ended March 31, 2015:

	Group Costs
	Cost of sale and development		Costs of rental and services		Costs from consumer financing		Costs from hotel operations		General and administrative expenses		Selling expenses		Total
Salaries, social security costs and other personnel expenses		551		289,254		-		121,146		85,633		21,872		518,456
Maintenance, security, cleaning, repair and others		4,194		231,147		10		26,034		14,397		1,524		277,306
Advertising and others selling expenses		111		136,861		-		5,193		-		23,778		165,943
Taxes, rates and contributions		2,423		77,321		-		245		7,373		69,117		156,479
Amortization and depreciation		211		120,735		-		8,587		4,785		196		134,514
Director´s fees		-		-		-		-		66,859		-		66,859
Fees and payments for services		176		4,846		19		1,570		54,356		4,554		65,521
Food, beverage and other lodging expenses		-		-		-		47,704		6,377		3,645		57,726
Other expenses		104		18,538		-		423		19,028		772		38,865
Leases and service charges		773		9,926		-		275		2,999		1,023		14,996
Allowance for trade and other receivables (charge and recovery)		-		-		-		-		-		9,084		9,084
Cost of sales of properties		844		-		-		-		-		-		844
Total expenses by nature		9,387		888,628		29		211,177		261,807		135,565		1,506,593

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Expenses by nature (Continued)

For the period ended March 31, 2014:

	Group Costs
	Cost of sale and development		Costs of rental and services		Costs from consumer financing		Costs from hotel operations		General and administrative expenses		Selling expenses		Total
Salaries, social security costs and other personnel expenses		106		215,906		-		90,079		63,305		16,104		385,500
Maintenance, security, cleaning, repair and others		2,627		181,554		3		18,778		11,390		482		214,834
Advertising and others selling expenses		11		118,212		-		3,352		-		18,489		140,064
Taxes, rates and contributions		1,823		62,543		-		-		6,307		50,741		121,414
Amortization and depreciation		4		156,105		-		8,285		4,161		171		168,726
Director´s fees		-		-		-		-		58,953		-		58,953
Fees and payments for services		34		2,806		236		1,726		30,333		3,977		39,112
Food, beverage and other lodging expenses		-		-		-		36,105		4,802		2,788		43,695
Other expenses		24		11,492		2		305		8,290		1,579		21,692
Leases and service charges		974		8,386		-		285		6,323		811		16,779
Allowance for trade and other receivables (charge and recovery)		-		-		-		-		38		5,392		5,430
Cost of sales of properties		4,786		-		-		-		-		-		4,786
Total expenses by nature		10,389		757,004		241		158,915		193,902		100,534		1,220,985

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

30.	Employee costs

	March 31, 2015		March 31, 2014
Salaries, bonuses and social security expenses		459,705		345,106
Costs of equity incentive plan and defined contribution plan		26,707		14,755
Other employee costs and benefits		32,044		25,639
Total employee costs		518,456		385,500

31.	Other operating results, net

	March 31, 2015			March 31, 2014
Gain from disposal of equity interest in associates		22,075			-
Expenses related to transfers of investment property to subsidiaries (1)		(110,482	)		-
Reversal of currency translation adjustment (2)		188,323			-
Donations		(13,677	)		(15,966	)
Judgments and other contingencies (3)		(17,515	)		(8,350	)
Tax on shareholders’ personal assets		(3,705	)		(3,691	)
Others		(1,763	)		214
Total other operating results, net		63,256			(27,793	)

(1) On December 22, 2014, IRSA conveyed title on the properties located in Bouchard 710, Suipacha 652, Torre BankBoston, República Building, Intercontinental Plaza and the plot of land next to the latter, to its subsidiary IRSA Propiedades Comerciales, which as from such date continue to operate such properties. This transfer has had no effects whatsoever in the consolidated financial statements of the Group other than the expenses and taxes associated to the transfer.

(2) Corresponds to the reversal of the translation reserve generated in Rigby following the partial repayment of principal of the company (see Note 4).

(3) Includes legal costs and expenses.

32.	Financial results, net

	March 31, 2015			March 31, 2014
Finance income:
- Interest income		43,756			46,955
- Foreign exchange		28,272			36,113
- Dividends income		12,449			10,741
Total finance income		84,477			93,809
Finance costs:
- Interest expense		(483,815	)		(359,495	)
- Foreign exchange		(300,830	)		(1,138,470	)
- Other finance costs		(53,614	)		(40,124	)
Subtotal finance costs		(838,259	)		(1,538,089	)
Less: Capitalized finance costs		12,957			17,206
Total finance costs		(825,302	)		(1,520,883	)
Other financial results:
- Fair value gain of financial assets and liabilities at fair value through profit or loss, net		(2,638	)		229,823
- (Loss) / Gain on derivative financial instruments, net		(54,604	)		27,492
- Loss on repurchase of Non-Convertible Notes		-			(12,874	)
Total other financial results		(57,242	)		244,441
Total financial results, net		(798,067	)		(1,182,633	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

33.	Share-based payments

Equity incentive plan

The Group incurred a charge of Ps. 24,170 and Ps. 12,541 for the nine-month periods ended March 31, 2015 and 2014, respectively.

34.	Related party transactions

During the normal course of business, the Group conducts transactions with different entities or parties related to it. An individual or legal entity is considered a related party where:

-	An entity, individual or close relative of such individual or legal entity exercises control, or joint control, or significant influence over the reporting entity, or is a member of the Board of Directors or the Senior Management of the entity or its controlling company.

-	An entity is a subsidiary, associate or joint venture of the entity or its controlling or controlled company.

The main transactions conducted with related parties are described in the annual Financial Statements for the fiscal year ended June 30, 2014.

Below is a description of new operations made during the nine-month periods:

Transfer of tax credits

In February 2015, “Exportaciones Agroindustriales S.A.” (EAASA) (a company owned by CRESUD S.A.C.I.F. y A.) assigned upon IRSA Propiedades Comerciales S.A. (successor due to a change in name of Alto Palermo S.A. (APSA)), Ps. 19 million pertaining to VAT refunds for exports originated in such company’s economic activity.

Acquisition of financial assets

In March 2015, through Emprendimientos Recoleta S.A. (ERSA) and Panamerican Mall S.A. (PAMSA), the Group purchased 12,072,900 non-convertible Notes at nominal value from CRESUD S.A.C.I.F. y A., for a total amount of Ps. 109.9 million.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

The following is a summary of the balances with related parties as of March 31, 2015:

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Parent Company							-
Cresud S.A.C.I.F. y A.	Reimbursement of expenses		-		-		-		37		-			(9,673	)		-			-			-
	Sale of good and/or services		-		-		-		216		-			-			-			-			-
	Share-based payments		-		-		-		-		-			(14,863	)		-			-			-
	Long-term incentive plan		-		-		-		-		-			(6,491	)		-			-			-
	Management Fees		-		-		-		-		-			(12	)		-			-			-
	Corporate services		-		-		-		-		-			(35,125	)		-			-			-
	Non-Convertible Notes		109,923		-		-		-		-			-			(52,977	)		(1,305	)		-
	Leases and/or rights of use		-		-		-		569		-			-			-			-			-
Total Parent Company			109,923		-		-		822		-			(66,164	)		(52,977	)		(1,305	)		-
Associates
Banco Hipotecario S.A.	Reimbursement of expenses		-		-		-		122		-			(24	)		-			-
	Borrowings		-		-		-		-		-			-			(11,528	)		(20,356	)		-
	Leases and/or rights of use		-		-		-		121		-			-			-			-			-
	Mortgage bonds		-		-		-		8		-			-			-			-			-
	Commissions per stands		-		-		-		47		-			-			-			-			-
Lipstick Management LLC	Reimbursement of expenses		-		-		-		829		-			-			-			-			-
New Lipstick LLC	Reimbursement of expenses		-		-		-		2,492		-			-			-			-			-
Banco de Crédito y Securitización S.A.	Leases and/or rights of use		-		-		-		44		-			-			-			-			-
Tarshop S.A.	Leases and/or rights of use		-		-		-		-		(31	)		(271	)		-			-			-
Tarshop S.A.	Reimbursement of expenses		-		-		-		815		-			-			-			-			-
Total Associates			-		-		-		4,478		(31	)		(295	)		(11,528	)		(20,356	)		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Joint Ventures
Baicom Networks S.A.	Contributions to be paid in		-				-		10		-
	Management fees		-		-		-		12		-		-			-			-			-
	Borrowings		-		-		1,242		212		-		-			-			-			-
	Reimbursement of expenses		-		-		-		742		-		-			-			-			-
Entertainment Holding S.A.	Reimbursement of expenses		-		-		-		249		-		-			-			-			-
Entertainment Holding S.A.	Borrowings		-		-		-		69		-		-			-			-			-
Entretenimiento Universal S.A.	Reimbursement of expenses		-		-		-		139		-		-			-			-			-
Entretenimiento Universal S.A.	Borrowings		-		-		-		77		-		-			-			-			-
Boulevard Norte S.A.	Reimbursement of expenses		-		-		-		915		-		-			-			-			-
Boulevard Norte S.A.	Borrowings		-		-		-		5		-		-			-			-			-
Cyrsa S.A.	Borrowings		-		-		-				-		-			(13,791	)		-			-
	Reimbursement of expenses		-		-		-		21		-		(13	)		-			-			-
	Credit due to capital reduction		-		-		-		8,841		-		-			-			-			-
Nuevo Puerto Santa Fe S.A.	Reimbursement of expenses		-		-		-		1,059		-		(5	)		-			-			-
	Proceeds from leasing		-		-		-		-		-		(4	)		-			-			-
	Leases and/or rights of use		-		-		-		-		-		(424	)		-			-			-
	Management fees		-		-		-		2,179		-		-			-			-			-
	Share-based payments		-		-		-		-		-		-			-			-			-
	Borrowings		-		-		-		-		-		-			-			(7,437	)		-
Puerto Retiro S.A.	Borrowings		-		-		-		2,049		-		-			-			-			-
Puerto Retiro S.A.	Reimbursement of expenses		-		-		-		221		-		-			-			-			-
Quality Invest S.A.	Management fees		-		-		-		22		-		(6	)		-			-			-
Quality Invest S.A.	Reimbursement of expenses		-		-		-		91		-		-			-			-			-
Total Joint Ventures			-		-		1,242		16,913		-		(452	)		(13,791	)		(7,437	)		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current		Borrowings current		Derivative financial instruments current
Subsidiaries of the parent company
Futuros y Opciones.com S.A.	Reimbursement of expenses		-		-		-		84		-		(29	)		-		-		-
FyO Trading S.A.	Reimbursement of expenses		-		-		-		1		-		-			-		-		-
Total Subsidiaries of the parent company			-		-		-		85		-		(29	)		-		-		-
Other related parties
Consultores Asset Management S.A.	Reimbursement of expenses		-		-		-		3,231		-		-			-		-		-
Estudio Zang, Bergel y Viñes	Advances		-				-		34		-		-			-		-		-
Estudio Zang, Bergel y Viñes	Legal services		-		-		-		14		-		(493	)		-		-		-
Dolphin Fund Ltd.	Reimbursement of expenses		-		-		-		-		-		-			-		-		-
Austral Gold	Reimbursement of expenses		-		-		-		2		-		(1	)		-		-		-
EMP	Management fees		-		-		-		-		-		(33	)		-		-		-
Consultores Venture Capital Uruguay	Reimbursement of expenses		-		-		-		787		-		-			-		-		-
Ogden Argentina S.A.	Reimbursement of expenses		-		-		-		312		-		-			-		-		-
Ogden Argentina S.A.	Borrowings		-		-		-		5		-		-			-		-		-
Fundación IRSA	Reimbursement of expenses		-		-		-		95		-		-			-		-		-
Inversiones Financieras del Sur	Borrowings		-		-		-		191,770		-		-			-		-		-
Supertel	Borrowings		-		-		-		24,531		-		-			-		-		-
Museo de los Niños	Reimbursement of expenses		-		-		-		92		-		-			-		-		-
Museo de los Niños	Leases and/or rights of use		-		-		-		762		-		-			-		-		-
Total Other related parties			-		-		-		221,635		-		(527	)		-		-		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Directors and Senior Management
Directors	Fees		-		-		-		-		-			(32,307	)		-			-			-
	Reimbursement of expenses		-		-		-		-		-			(4	)		-			-			-
	Advances		-		-		-		2,165		(20	)		-			-			-			-
Total Directors and Senior Management			-		-		-		2,165		(20	)		(32,311	)		-			-			-
Total			109,923		-		1,242		246,098		(51	)		(99,778	)		(78,296	)		(29,098	)		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

The following is a summary of the balances with related parties as of June 30, 2014:

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Parent Company
Cresud S.A.C.I.F. y A.	Reimbursement of expenses		-		-		-		16		-			(3,723	)		-			-			-
	Corporate services		-		-		-		-		-			(33,710	)		-			-			-
	Sale of good and/or services		-		-		-		701		-			-			-			-			-
	Dividends payable		-		-		-		-		-			(36,462	)		-			-			-
	Leases and/or rights of use		-		-		-		1,598		-			-			-			-			-
	Non-Convertible Notes		-		14,079		-		-		-			-			(56,972	)		(2,023	)		-
	Long-term incentive plan		-		-		-		-		-			(10,557	)		-			-			-
	Share-based payments		-		-		-		-		-			(3,673	)		-			-			-
Total Parent Company			-		14,079		-		2,315		-			(88,125	)		(56,972	)		(2,023	)		-
Associates
Banco Hipotecario S.A.	Reimbursement of expenses		-		-		-		-		-			(1,547	)		-			-
	Borrowings		-		-		-		-		-			-			(17,781	)		(23,285	)
	Derivatives		-		-		-		-		-			-			-			-			(5,225	)
	Leases and/or rights of use		-		-		-		200		-			-			-			-			-
	Commissions per stands		-		-		-		59		-			-			-			-			-
Lipstick Management LLC	Reimbursement of expenses		-		-		-		765		-			-			-			-			-
New Lipstick LLC	Reimbursement of expenses		-		-		-		2,297		-			-			-			-			-
Banco de Crédito y Securitización S.A.	Leases and/or rights of use		-		-		-		19		-			(80	)		-			-			-
Tarshop S.A.	Leases and/or rights of use		-		-		-		-		(175	)		(677	)		-			-			-
	Reimbursement of expenses		-		-		-		687		-			-			-			-			-
	Commissions per stands		-		-		-		19		-			-			-			-			-
Supertel	Dividends received		-		-		-		11,778		-			-			-			-			-
Total Associates			-		-		-		15,824		(175	)		(2,304	)		(17,781	)		(23,285	)		(5,225	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Joint Ventures
	Contributions to be paid in		-		-		-		10		-		-			-			-			-
Baicom Networks S.A.	Management fees		-		-		-		2		-		-			-			-			-
	Borrowings		-		-		1,143		-		-		-			-			-			-
	Reimbursement of expenses		-		-		-		193		-		-			-			-			-
Entertainment Holding S.A.	Reimbursement of expenses		-		-		-		165		-		-			-			-			-
Entertainment Holding S.A.	Borrowings		-		-		-		20		-		-			-			-			-
Entertainment Universal S.A.	Reimbursement of expenses		-		-		-		103		-		-			-			-			-
Entertainment Universal S.A.	Borrowings		-		-		-		68		-		-			-			-			-
Boulevard Norte S.A.	Reimbursement of expenses		-		-		-		864		-		-			-			-			-
Boulevard Norte S.A.	Borrowings		-		-		-		4		-		-			-			-			-
Cyrsa S.A.	Borrowings		-		-		-		-		-		-			(133,314	)		-			-
Cyrsa S.A.	Reimbursement of expenses		-		-		-		66		-		(9	)		-			-			-
Nuevo Puerto Santa Fe S.A.	Reimbursement of expenses		-		-		-		223		-		(72	)		-			-			-
	Proceeds from leasing		-		-		-		-		-		(18	)		-			-			-
	Leases and/or rights of use		-		-		-		-		-		(630	)		-			-			-
	Management fees		-		-		-		1,338		-		-			-			-			-
	Share-based payments		-		-		-		304		-		-			-			-			-
	Borrowings		-		-		-		-		-		-			-			(71	)		-
Puerto Retiro S.A.	Contributions to be paid in		-		-		-		160		-		-			-			-			-
	Borrowings		-		-		-		3,230		-		-			-			-			-
	Reimbursement of expenses		-		-		-		213		-		-			-			-			-
Quality Invest S.A.	Management fees		-		-		-		22		-		(45	)		-			-			-
Quality Invest S.A.	Reimbursement of expenses		-		-		-		64		-		-			-			-			-
Total Joint Ventures			-		-		1,143		7,049		-		(774	)		(133,314	)		(71	)		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

Related party	Description of transaction	Investments in financial assets non-current		Investments in financial assets current		Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current			Derivative financial instruments current
Subsidiaries of the parent company
Cactus Argentina S.A.	Reimbursement of expenses		-		-		-		2		-			(515	)		-			-			-
Exportaciones Agroindustriales	Borrowings		-		-		-		2,134		-			-			-			-			-
Futuros y Opciones.com S.A.	Reimbursement of expenses		-		-		-		138		-			(29	)		-			-			-
FyO Trading S.A.	Reimbursement of expenses		-		-		-		1		-			-			-			-			-
Total Subsidiaries of the parent company			-		-		-		2,275		-			(544	)		-			-			-
Other related parties
Consultores Asset Management S.A.	Reimbursement of expenses		-		-		-		14,378		-			(11,099	)		-			-			-
Estudio Zang, Bergel y Viñes	Advances		-		-		-		4		-			-			-			-			-
Estudio Zang, Bergel y Viñes	Legal services		-		-		-		-		-			(513	)		-			-			-
Austral Gold	Reimbursement of expenses		-		-		-		8		-			(1	)		-			-			-
Ogden Argentina S.A.	Reimbursement of expenses		-		-		-		228		-			-			-			-			-
Ogden Argentina S.A.	Borrowings		-		-		-		4		-			-			-			-			-
EMP	Management fees		-		-		-		-		-			(31	)		-			-			-
Fundación IRSA	Reimbursement of expenses		-		-		-		72		-			-			-			-			-
IRSA Real Estate Strategies LP	Capital contribution		-		-		-		-		-			(8	)		-			-			-
Inversiones Financieras del Sur S.A.	Borrowings		-		-		-		378		-			(5	)		-			-			-
IRSA Developments LP	Capital contribution		-		-		-		-		-			(13	)		-			-			-
Museo de los Niños	Reimbursement of expenses		-		-		-		767		-			(9	)		-			-			-
Total Other related parties			-		-		-		15,839		-			(11,679	)		-			-			-
Directors and Senior Management
Directors	Fees		-		-		-		301		-			(13,225	)		-			-			-
	Reimbursement of expenses		-		-		-		-		-			(10	)		-			-			-
	Tenant deposits		-		-		-		-		(20	)		-			-			-			-
Total Directors and Senior Management			-		-		-		301		(20	)		(13,235	)		-			-			-
Total			-		14,079		1,143		43,603		(195	)		(116,661	)		(208,067	)		(25,379	)		(5,225	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

The following is a summary of the transactions with related parties for the nine-month period ended March 31, 2015:

Related party	Leases and/or rights of use			Management fees			Corporate services			Legal services			Financial operations			Donations			Fees and salaries			Letting fees
Parent Company
Cresud S.A.C.I.F. y A.		3,258			(80	)		(68,356	)		-			(7,696	)		-			-			-
Total Parent company		3,258			(80	)		(68,356	)		-			(7,696	)		-			-			-
Associates
Banco Hipotecario S.A.		1,547			-			-			-			450			-			-			5
Banco de Crédito y Securitización S.A.		3,219			-			-			-			-			-			-			-
Tarshop S.A.		7,302			-			-			-			-			-			-			21
Total Associates		12,068			-			-			-			450			-			-			26
Joint Ventures
Baicom Networks S.A.		-			-			-			-			116			-			-			-
Cyrsa S.A.		-			-			-			-			(8,530	)		-			-			-
Nuevo Puerto Santa Fe S.A.		(542	)		1,663			-			-			(1,010	)		-			-			-
Entertainment Universal S.A.		-			-			-			-			10			-			-			-
Entertainment Holding S.A.		-			-			-			-			9			-			-			-
Puerto Retiro S.A.		-			-			-			-			463			-			-			-
Quality Invest S.A.		-			162			-			-			-			-			-			-
Total Joint Ventures		(542	)		1,825			-			-			(8,942	)		-			-			-
Subsidiaries Cresud S.A.C.I.F. y A.
Exportaciones Agroindustriales Argentinas		-			-			-			-			133			-			-			-
Total Subsidiaries Cresud S.A.C.I.F. y A.		-			-			-			-			133			-			-			-
Other related parties
Estudio Zang, Bergel & Viñes		-			-			-			(2,719	)		-			-			-			-
Isaac Elsztain e Hijos S.C.A.		(401	)		-			-			-			-			-			-			-
Consultores Asset Management S.A.		243			-			-			-			-			-			-			-
Fundación IRSA		-			-			-			-			-			(2,949	)		-			-
Hamonet S.A.		(210	)		-			-			-			-			-			-			-
Inversiones Financieras del Sur S.A.		-			-			-			-			57			-			-			-
Total Other related parties		(368	)		-			-			(2,719	)		57			(2,949	)		-			-
Directors and Senior Management
Directors		-			-			-			-			-			-			(55,197	)		-
Senior Management		-			-			-			-			-			-			(10,219	)		-
Total Directors and Senior Management		-			-			-			-			-			-			(65,416	)		-
Total		14,416			1,745			(68,356	)		(2,719	)		(15,998	)		(2,949	)		(65,416	)		26

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Related party transactions (Continued)

The following is a summary of the transactions with related parties for the nine-month period ended March 31, 2014:

Related party	Leases and/or rights of use			Management fees			Corporate services			Legal services			Financial operations			Donations			Fees and salaries
Parent Company
Cresud S.A.C.I.F. y A.		1,303			-			(75,285	)		-			(3,123	)		-			-
Total Parent Company		1,303			-			(75,285	)		-			(3,123	)		-			-
Associates
Banco Hipotecario S.A.		344			-			-			-			43,614			-			-
Banco de Crédito y Securitización S.A.		530			-			-			-			-			-			-
Tarshop S.A.		4,399			(239	)		-			-			-			-			-
Total Associates		5,273			(239	)		-			-			43,614			-			-
Joint Ventures
Baicom Networks S.A.		-			9			-			-			96			-			-
Cyrsa S.A.		-			-			-			-			(14,596	)		-			-
Nuevo Puerto Santa Fe S.A.		(426	)		1,090			-			-			-			-			-
Puerto Retiro S.A.		-			-			-			-			790			-			-
Quality Invest S.A.		-			162			-			-			-			-			-
Total Joint Ventures		(426	)		1,261			-			-			(13,710	)		-			-
Other related parties
Estudio Zang, Bergel & Viñes		-			-			-			(2,220	)		-			-			-
Fundación IRSA		-			-			-			-			-			(2,250	)		-
Isaac Elsztain e Hijos S.C.A.		(358	)		-			-			-			-			-			-
Hamonet S.A.		(191	)		-			-			-			-			-			-
Inversiones Financieras del Sur S.A.		-			-			-			-			232			-			-
Total Other related parties		(549	)		-			-			(2,220	)		232			(2,250	)		-
Directors and Senior Management
Senior Management		-			-			-			-			-			-			(5,971	)
Directors		-			-			-			-			-			-			(58,953	)
Total Directors and Senior Management		-			-			-			-			-			-			(64,924	)
Total		5,601			1,022			(75,285	)		(2,220	)		27,013			(2,250	)		(64,924	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

35.	CNV General Ruling N° 629/14 – Storage of documentation

On August 14, 2014, the Argentine Securities Exchange Commission (CNV) issued General Ruling N° 629 whereby it introduced amendments to rules related to storage and conservation of corporate books, accounting books and commercial documentation. In this sense, it should be noted that the Group has entrusted the storage of certain non-sensitive and old information to the following providers:

Storage of documentation	Location
Iron Mountain Argentina S.A.	Av. Amancio Alcorta 2482, C.A.B.A.
Iron Mountain Argentina S.A.	Pedro de Mendoza 2143, C.A.B.A.
Iron Mountain Argentina S.A.	Saraza 6135, C.A.B.A.
Iron Mountain Argentina S.A.	Azara 1245, C.A.B.A. (i)
Iron Mountain Argentina S.A.	Polígono Industrial Spegazzini, Au. Ezeiza-Cañuelas KM 45
Iron Mountain Argentina S.A.	Cañada de Gomez 3825 – C.A.B.A.

(i) On February 5, 2014 there was a widely known fire in Iron Mountain’s warehouse. To the date of these financial statements, the Group has not been notified whether the documentation submitted has been actually affected by the fire and its condition after the accident. Nevertheless, based on the internal review carried out by the Group, duly reported to the Argentine Securities Exchange Commission on February 12, 2014, the information kept at the Iron Mountain premises that were on fire do not appear to be sensitive or capable of affecting normal business operations.

It is further noted that a detailed list of all documentation held in custody by providers, as well as documentation required in section 5 a.3) of section I, Chapter V, Title II of the RULES (2013 as amended) are available at the registered office.

36.	CNV General Resolution N° 622

As required by Section 1°, Chapter III, Title IV of CNV General Resolution No. 622, below there is a detail of the notes to the Unaudited Condensed Interim Consolidated Financial Statements that disclosure the information required by the Resolution in Exhibits.

Exhibit A - Property, plant and equipment	Note 10 Investment properties and Note 11 Property, plant and equipment
Exhibit B - Intangible assets	Note 13 Intangible assets
Exhibit C - Equity investments	Note 37 Equity investments
Exhibit D - Other investments	Note 15 Financial instruments by category
Exhibit E - Provisions	Note 17 Trading and other receivables and Note 23 Provisions
Exhibit F - Cost of sales and services provided	Note 12 Trading properties
Exhibit G - Foreign currency assets and liabilities	Note 38 Foreign currency assets and liabilities

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

37.	Equity investments

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
						Main activity	Registered office	Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders' Equity
Joint Ventures
Baicom Networks S.A.	Common shares 1 vote	4,701,455	2,724	2,950	Not publicly traded	Real estate	Argentina	03.31.15	9,403	(1,130)	5,449	50.00%
	Irrevocable contributions		-	340
	Higher value		276	276

Cyrsa S.A.	Common shares 1 vote	8,748,269	16,752	152,229	Not publicly traded	Real estate	Argentina	03.31.15	17,497	12,745	33,503	50.00%

Entertainment Holdings S.A.	Common shares 1 vote	22,395,574	22,773	19,092	Not publicly traded	Investment	Argentina	03.31.15	44,791	4,964	44,051	50.00%
	Irrevocable contributions		100	721
	Lower value		(23,192)	(23,192)
	Goodwill		26,647	26,647

Entretenimiento Universal S.A.	Common shares 1 vote	300	22	(59)	Not publicly traded	Event organization and others	Argentina	03.31.15	12	2,990	1,298	2.5%

Nuevo Puerto Santa Fe S.A.	Common shares 1 vote	138,750	22,350	21,566	Not publicly traded	Commercial real estate	Argentina	03.31.15	27,750	6,819	44,702	50.00%
	Higher value		3,848	3,980
	Goodwill		1,323	1,323

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

37.	Equity investments (Continued)

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
						Main activity	Registered office	Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders' Equity
Puerto Retiro S.A.	Common shares 1 vote	23,067,250	14,613	13,868	Not publicly traded	Real estate	Argentina	03.31.15	46,135	(2,071)	32,764	50.00%
	Irrevocable contributions		1,769	1,781
	Higher value		29,209	29,209

Quality Invest S.A.	Common shares 1 vote	70,314,342	68,379	64,402	Not publicly traded	Real estate	Argentina	03.31.15	140,629	6,953	149,757	50.00%
	Irrevocable contributions		6,500	500
	Goodwill		3,911	3,911
	Higher value		(2,891)	(2,886)
Total Joint Ventures			195,113	316,658
Associates
Avenida Inc.	Preferred shares 1 vote	4,742,836	-	2,023	-	Investment	United States	03.31.15	-	-	-	17.68%
Avenida Inc.	Goodwill		-	9,073	-	Investment	United States	03.31.15	-	-	-	17.68%

Banco de Crédito & Securitización S.A. (1)	Common shares 1 vote	3,984,375	15,367	13,610	Not publicly traded	Financial	Argentina	03.31.15	62,500	7,014	246,906	6.38%

Banco Hipotecario S.A. (1)	Common shares 1 vote	449,804,237	1,307,918	1,212,781	5.95	Financial	Argentina	03.31.15	1,500,000	176,081	4,531,034	29.99%
Banco Hipotecario S.A. (1)	Higher value		(578)	(1,156)	5.95	Financial	Argentina	03.31.15	1,500,000	176,081	4,531,034	29.99%
	Goodwill		4,881	-

Bitania 26 S.A.	Common shares 1 vote	4,724,203	-	12,308	Not publicly traded	Real estate	Argentina	03.31.15	-	-	-	49.00%
	Goodwill		-	1,736
	Higher value		-	8,085

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

37.	Equity investments (Continued)

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
						Main activity	Registered office	Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders' Equity
IDB Development Corporation Ltd	Common shares 1 vote	280,247,664	834,882	595,342	(3) 1.344	Investment	Israel	03.31.15	N/A	N/A	N/A	49.00%

Lipstick Management LLC	Common shares 1 vote	N/A	2,452	1,689	Not publicly traded	Management company	United States	03.31.15	N/A	(2) 142	(2) 584	49.00%
	Irrevocable contributions		56	50	Not publicly traded	Management company	United States	03.31.15	N/A	(2) 142	(2) 584	49.00%

Manibil S.A.	Common shares 1 vote	37,747,880	39,832	38,279	Not publicly traded	Real estate	Argentina	03.31.15	77,037	3,170	96,291	49.00%
	Irrevocable contributions		7,350	-
	Goodwill		10	10

New Lipstick LLC	Common shares 1 vote	N/A	(300,724)	(193,590)	Not publicly traded	Real State	United States	03.31.15	N/A	(2) (24,796)	(2) (97,224)	49.82%
New Lipstick LLC	Irrevocable contributions		1,502	16,667	Not publicly traded	Real State	United States	03.31.15	N/A	(2) (24,796)	(2) (97,224)	49.82%

Supertel	Common shares 1 vote	1,261,723	21,180	31,577	1.75	Hotel	United States	03.31.15	47	(2) (6,243)	(2) (14,875)	25.63%

Tarshop S.A.	Common shares 1 vote	48,759,288	15,785	23,530	Not publicly traded	Consumer financing	Argentina	03.31.15	-	-	-	20.00%
	Irrevocable contributions		22,000	-
	Higher value		(4,147)	(4,849)
Total Associates			1,967,766	1,767,165
Total investments in associates and joint ventures			2,162,879	2,083,823

(1) The balances correspond to the financial statements of Banco Hipotecario S.A. and Banco de Crédito & Securitización S.A. prepared in accordance with the Central Bank of the Argentine Republic (“BCRA”) standards. For the purpose of the valuation of the investment in the Company, adjustments necessary to adequate the financial statements to the professional accounting standards have been considered.

(2) Amounts stated in US dollars (US$).

(3) Market value in NIS.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

38.	Foreign currency assets and liabilities

Book amounts of foreign currency assets and liabilities are as follows:

Items (3)	Amount of foreign currency (1)	Prevailing exchange rate (2)	Total as of 03.31.15	Amount of foreign currency (1)	Prevailing exchange rate (2)	Total as of 06.30.14
Assets
Trade and other receivables
US Dollar	6,242	8.82	55,065	5,977	8.03	47,811
Euros	-	9.48	3	2	10.99	26
Swiss francs	75	9.07	683	27	9.05	242
Uruguayan Pesos	963	0.34	329	1,100	0.35	392
Receivables with related parties:
US Dollar	4,839	8.72	42,202	1,993	8.13	16,208
Total trade and other receivables			98,282			64,679
Investments in financial assets
US Dollar	5,378	8.82	47,442	35,240	8.03	283,083
Pounds	787	13.11	10,323	1,021	13.91	14,206
New Israel Shekel	3,029	2.22	6,724	5	2.37	13
Investments with related parties:
US Dollar	1,169	8.72	10,200	-	8.13	-
Total investments in financial assets			74,689			297,302
Derivative financial instruments
New Israel Shekel	99,603	2.22	221,118	4,622	2.37	10,986
Total derivative financial instruments			221,118			10,986
Cash and cash equivalents
US Dollar	17,864	8.82	157,597	15,147	8.03	121,674
Euros	108	9.48	1,020	116	10.99	1,278
Brazilian Reais	9	3.60	32	2	3.55	6
Swiss francs	-	8.72	-	-	9.05	1
Uruguayan Pesos	164	0.34	56	90	0.35	32
New Israel Shekel	4,160	2.22	9,235	116,210	2.37	276,235
Pounds	2	13.11	30	2	13.91	32
Total cash and cash equivalents			167,970			399,258
Total assets as of 03.31.15			562,059
Total assets as of 06.30.14						772,225

Liabilities
Trade and other payables
US Dollar	9,464	8.72	82,548	13,637	8.13	110,908
Uruguayan Pesos	44	0.34	15	1,486	0.38	567
Payables with related parties:
US Dollar	-	8.72	-	1,506	8.13	12,248
Total trade and other payables			82,563			123,723
Borrowings
US Dollar	418,321	8.72	3,648,600	426,670	8.13	3,470,110
Total borrowings			3,648,600			3,470,110
Derivative Financial Instruments
New Israel Shekel	231,389	2.22	513,683	134,980	2.37	320,847
Total derivative financial instruments			513,683			320,847
Provisions
US Dollar	10	8.72	88	200	8.13	1,627
New Israel Shekel	40,288	2.22	89,439	-	2.37	-
Total Provisions			89,527			1,627
Salaries and social security liabilities
Uruguayan Pesos	586	0.34	200	-	0.38	-
Total Salaries and social security liabilities			200			-
Total liabilities as of 03.31.15			4,334,573
Total liabilities as of 06.30.14						3,916,307

(1) Considering foreign currencies those that differ from Company’s functional currency at each period/year-end.

(2) Exchange rate as of March 31, 2015 and June 30, 2014 according to Banco Nación Argentina records.

(3) The Company uses derivative instruments as complement in order to reduce its exposure to exchange rate movements (See Note 15).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

39.	Group of assets and liabilities held for sale

Assets and liabilities related to the operation of the building located in 183 Madison Av., NY, United States, owned by the subsidiary of the Group, Rigby 183 LLC, and that have form part of the international business segment, have been reported in the balance sheet as of June 30, 2014 as available for sale as per the contract for the sale of the building entered into on May 16, 2014. The transaction was subject to compliance with certain conditions which were complied during September 2014. Once conditions are met, the company should left the amount of US$ 1 million in escrow for nine months, because of possible latent defects. Such amount is included in Restricted Assets.

Pursuant to IFRS 5, assets and liabilities available for sale were valued at the lower of their book value or fair value less selling cost. Since fair value is higher than book value of the pool of assets available for sale including goodwill related to the acquisition, no impairment has been recorded as of June 30, 2014.

The following table shows the main assets and liabilities available for sale:

Assets held for sale

	June 30, 2014
Investment properties		1,098,990
Intangible assets – Goodwill		77,086
Restricted assets		163,501
Trade and other receivables		17,990
Derivative financial instruments		299
Total		1,357,866

Liabilities directly associated with assets classified as held for sale

	June 30, 2014
Trade and other liabilities		170,245
Deferred income tax liabilities		33,346
Borrowings		603,021
Total		806,612

As indicated in note 4, on September 29, 2014, the sale of the Madison 183 Building was finalized in the amount of US$ 185 million. Proceeds from the sale were Ps. 1,535 million, while associated costs amounted to Ps. 1,238 million, thus making a gain on the transaction of Ps. 296.5 million, included in the line item Gain / (loss) on sale of investment properties in the Statement of income.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

40. Negative working capital

As of the period-end, the Group has recorded negative working capital which is currently under consideration of the Board of Directors and Management.

41.	Subsequent events

Investment in IDBD

After the balance sheet date, on May 6, 2015, Dolphin submitted for approval of the IDBD Board a binding and irrevocable proposal that provides as follows:

(i) Appointment of Eduardo Sergio Elsztain as single Chairmen of the Board of IDBD;

(ii)

Commitment by Dolphin (directly or through any other vehicle controlled by Eduardo Sergio Elsztain) to an early exercise of warrants Series 4 issued by IDBD in the amount of NIS 150 million (the “Warrants”); as a result, IDBD may request that they be exercised as from May 20, 2015, provided that before such date, IDBD should receive an irrevocable written commitment by bondholders’ representatives that they won’t call for a Bondholders Meeting until July 20, 2015 (unless they are required to do so by applicable laws) including any of the following items of the agenda:

(a) appointment of advisors (financial, legal or any other type of advisors);

(b) appointment of a committee to represent IDBD bondholders;

(d) demand for acceleration and immediate payment of any debt held by IDBD.

(iii)

The Board of Directors of IDBD shall set up a committee, composed by two members of IDBD monitoring committee and two members of IDBD Board appointed by Dolphin, which will be in charge of the following tasks, subject to applicable legislation:

(a)	lead, discuss, negotiate and finalize negotiations with representatives of IDBD bondholders with respect to their requests;

(b)	negotiate with IDBD financial creditors a new set of commitments governing IDBD financial liabilities; and

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

41.	Subsequent events (Continued)

Investment in IDBD (Continued)

(iv)	Dolphin (directly or through any vehicle controlled by Eduardo Sergio Elsztain) commits to make an additional capital contribution for up to NIS 100 million in IDBD, subject to –but not limited to- the following conditions:

(a)	IDBD should make a public offering of shares, with terms and conditions acceptable to the market and approved by the IDBD Board, in an amount of at least NIS 100 million which should not exceed NIS 125 million, such public offering should be made between October 1, 2015 and November 15, 2015.

(b)

The commitment assumed by Dolphin will automatically expire upon occurrence of any of the following events before the public offering date: (i) if any of IDBD creditors or any of the representatives of IDBD bondholders start legal actions against IDBD, including a claim for acceleration and immediate payment of any debt owed by IDBD; (ii) should a meeting of IDBD bondholders is called to discuss any of the items specified under Section 2 above; (iii) should IDBD receive capital contributions for a total amount of NIS 100 million in any way, whether through a rights offering, the exercise of warrants, a private offering, and whether such capital contributions are made by Dolphin directly or through any vehicle controlled by Eduardo Sergio Elsztain (apart from the capital contributions to discharge the obligation of NIS 158.5 million pursuant to the irrevocable proposal made by Dolphin on December 29, 2014), or by any other person or entity, or by the public, and in the event that the aggregate amount of such capital contributions under subsection 5 (d) (iii), of the submitted proposal is lower than NIS 100 million, Dolphin’s commitment under section 5 (c) above shall be reduced accordingly; or (iv) should an adverse event or change occur in IDBD or its control structure or in any of its material affiliates.

On May 7, the Board of IDBD approved the proposal; nevertheless, the proposal is yet to be approved by the representatives of IBDB’s bondholders.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Consolidated Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

41.	Subsequent events (Continued)

Other subsequent events

· On April 24, 2015, our associate Tarshop S.A. issued corporate notes Class XX and XXI for a nominal value of Ps. 149,600. On April 14, 2015, this issuance was authorized by the Issue Activity Department at the National Securities Exchange Commission, for a joint nominal value of Ps. 40,000, or a greater or lower amount as determined by the Company, for a total authorized sum of Ps. 300,000. As of April 24, 2015 Class XX was placed for a total nominal value of Ps. 69,100 and Class XXI for a total nominal value of Ps. 80,500. Class XX will accrue interests at an annual nominal fixed rate of 27.50%. Payment dates of mentioned interests will be: July 24, 2015, October, 24, 2015 and January 24, 2016. The payment date for capital is January 24, 2016. CN Class XXI will accrue interest from the date of issue at a bid nominal fixed rate of 28.50% p.a., until the end of the twelfth month, and at an annual floating nominal rate equal to BADLAR Private rate plus 500 basis points, beginning on the thirteenth month until its maturity date. Net funds resulting from placing both classes XX and XXI were earmarked for paying in working capital in Argentina in accordance with the corporate objective of the Company.

· On May 5, 2015, the Group has signed a bill of sale to transfer to a non-related party 8,470 square meters corresponding to nine offices floors and 72 parking units, of Intercontinental Plaza building. The transaction price was Ps. 376.4 million, which has already been fully paid by the purchaser. The gross income of the transaction amounts to approximately Ps. 315.1 million, which will be reflected in the Group’s financial statements upon execution of the transfer deed and delivery of possession, scheduled for July this year.

Free translation from the original prepared in Spanish for publication in Argentina

REVIEW REPORT ON THE UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

To the Shareholders, President and Directors of

IRSA Inversiones y Representaciones Sociedad Anónima

Legal address: Bolivar 108 – 1° floor

Autonomous City Buenos Aires

Tax Code No. 30-52532274-9

Introduction

We have reviewed the unaudited condensed interim consolidated financial statements attached of IRSA Inversiones y Representaciones Sociedad Anónima and its subsidiaries (hereinafter “the Company”) which included the unaudited condensed interim consolidated statements of financial position as of March 31, 2015, and the unaudited condensed interim consolidated statement of income and comprehensive income for the nine and three-month periods ended March 31, 2015 and the unaudited condensed interim consolidated statement of changes in shareholders’ equity and unaudited condensed interim consolidated statement of cash flows for the nine-month period ended March 31, 2015 and selected explanatory notes.

The balances and other information corresponding to the fiscal year ended June 30, 2014 and the interim periods within that fiscal period are an integral part of these financial statements and, therefore, they should be considered in relation to these financial statements.

Management responsibility

The Board of Directors of the Company is responsible for the preparation and presentation of these unaudited condensed interim consolidated financial statements in accordance with the International Financial Reporting Standards , adopted by the Argentine Federation of Professional Councils in Economic Sciences (FACPCE) as professional accounting standards and added by the National Securities Commission (CNV) to its regulations as approved by the International Accounting Standard Board (IASB) and , for this reason, is responsible for the preparation and presentation of the unaudited condensed interim consolidated financial statements mentioned in first paragraph according to the International Accounting Standard No 34 "Interim Financial Reporting" (IAS 34). Our responsibility is to express a conclusion based on the review that we have performed with the scope detailed in paragraph “Scope of our review”.

Free translation from the original prepared in Spanish for publication in Argentina

REVIEW REPORT ON THE UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Continued)

Scope of our review

Our review was limited to the application of the procedures established in the International Standard on Review Engagements ISRE 2410 "Review of interim financial information performed by the independent auditor of the entity", which was adopted as a review standard in Argentina through Technical Resolution No. 33 of the FACPCE as approved by the International Auditing and Assurance Standards Board (IAASB). A review of interim financial information consists of making inquiries of persons responsible for the preparation of the information included in the unaudited condensed interim consolidated financial statements, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion on the consolidated statement of financial position, the consolidated statement of income, the consolidated statement of comprehensive income and consolidated statement of cash flow of the Company.

Conclusion

Nothing came to our attention as a result of our review that caused us to believe that these unaudited condensed interim consolidated financial statements mentioned in the first paragraph of this report have not been prepared in all material respects in accordance with the regulations of the International Accounting Standard No. 34.

Report on compliance with current regulations

In accordance with current regulations, we report about IRSA Inversiones y Representaciones Sociedad Anónima that:

the unaudited condensed interim consolidated financial statements of IRSA Inversiones y Representaciones Sociedad Anónima are recorded in the "Inventory and Balance Sheet Book", and comply, as regards those matters that are within our competence, with the provisions set forth in the Commercial Companies Law and in the corresponding resolutions of the National Securities Commission;

b)	the unaudited condensed interim separate financial statements of IRSA Inversiones y Representaciones Sociedad Anónima arise from accounting records carried in all formal respects in accordance with applicable legal provisions;

Free translation from the original prepared in Spanish for publication in Argentina

REVIEW REPORT ON THE UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Continued)

c)	we have read the Business Summary (“Reseña Informativa”) on which, as regards these matters that are within our competence, we have no observations to make;

d)	at March 31, 2015, the debt of IRSA Inversiones y Representaciones Sociedad Anónima owed in favor of the Argentina Integrated Pension System which arises from accounting records and submissions amounted to Ps. $ 423,836 which was no callable at that date.

Autonomous City of Buenos Aires, May 8, 2015

PRICE WATERHOUSE & CO. S.R.L.		ABELOVICH, POLANO & ASOCIADOS S.R.L.


(Partner)		(Partner)
C.P.C.E.C.A.B.A. Tº 1 Fº 17		C.P.C.E. C.A.B.A. T° 1 F° 30
Eduardo A. Loiácono		José Daniel Abelovich
Public Accountant (UBA)		Public Accountant (U.B.A.)
C.P.C.E.C.A.B.A. Tº 326 Fº 94		C.P.C.E.C.A.B.A. T° 102 F° 191

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Financial Statements as of March 31, 2015 and for the nine-month periods ended March 31, 2015 and 2014

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Financial Position

as of March 31, 2015 and June 30, 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina

	Note		03.31.2015		06.30.2014
ASSETS
Non-current Assets
Investment properties		6	415,584		736,865
Property, plant and equipment		7	2,681		8,164
Trading properties		8	10,704		8,387
Intangible assets		9	57,773		57,893
Investments in subsidiaries, associates and joint ventures		5	2,367,591		3,441,214
Deferred income tax assets		20	-		327,789
Income tax and minimum presumed income tax credit			116,311		102,695
Trade and other receivables		12	2,263,205		400,860
Investments in financial assets		13	104		91
Total Non-current Assets			5,233,953		5,083,958
Current Assets
Trading properties		8	-		2,652
Inventories		10	738		584
Trade and other receivables		12	456,569		105,491
Income tax and minimum presumed income tax ("MPIT") credit			2,243		14,657
Investments in financial assets		13	49,552		54,330
Derivative financial instruments			-		650
Cash and cash equivalents		15	7,838		43,440
Total Current Assets			516,940		221,804
TOTAL ASSETS			5,750,893		5,305,762
SHAREHOLDERS’ EQUITY
Share capital			573,771		573,771
Treasury stock			4,905		4,905
Inflation adjustment of share capital			123,329		123,329
Share premium			793,123		793,123
Cost of treasury stock			(37,906	)	(37,906	)
Changes in non-controlling interest			(5,343	)	(21,808	)
Reserve for share-based payments			71,361		53,235
Legal reserve			116,840		116,840
Special reserve			3,825		375,487
Reserve for new developments			-		413,206
Cumulative translation adjustment			275,809		398,931
Retained earnings			(243,919	)	(784,869	)
TOTAL SHAREHOLDERS’ EQUITY			1,675,795		2,008,244
LIABILITIES
Non-Current Liabilities
Trade and other payables		16	979		4,793
Borrowings		19	2,665,728		2,815,958
Deferred income tax liabilities		20	426,757		-
Provisions		18	879		4,196
Other Liabilities		5	217,929		-
Total Non-Current Liabilities			3,312,272		2,824,947
Current Liabilities
Trade and other payables		16	170,807		147,948
Salaries and social security liabilities		17	7,429		6,735
Borrowings		19	559,478		303,832
Provisions		18	25,112		14,056
Total Current Liabilities			762,826		472,571
TOTAL LIABILITIES			4,075,098		3,297,518
TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES			5,750,893		5,305,762

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Income

for the nine and three-month periods beginning on July 1st, 2014 and 2013 and January 1st, 2015 and 2014, respectively and ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

			Nine months					Three months
	Note			03.31.2015		03.31.2014			03.31.2015		03.31.2014
Revenues		22		202,634		219,276			34,710		81,212
Costs		23		(67,741	)	(69,148	)		(19,633	)	(23,209	)
Gross profit				134,893		150,128			15,077		58,003
Gain from disposal of investment properties		6		2,612,773		115,362			-		107,881
General and administrative expenses		24		(73,090	)	(58,444	)		(30,300	)	(19,314	)
Selling expenses		24		(16,045	)	(18,233	)		(6,577	)	(5,156	)
Other operating results, net		26		(15,767	)	(5,603	)		(10,480	)	(918	)
Profit / (Loss) from operations				2,642,764		183,210			(32,280	)	140,496
Share of profit of subsidiaries, associates, and joint ventures		5		(1,664,576	)	447,229			(132,775	)	189,449
Profit / (Loss) from operations before financial results and income tax				978,188		630,439			(165,055	)	329,945
Finance income		27		163,543		123,177			129,134		64,956
Finance cost		27		(529,760	)	(1,127,645	)		(183,056	)	(600,778	)
Other financial results		27		(102,006	)	(5,940	)		(92,224	)	(4,029	)
Financial results, net		27		(468,223	)	(1,010,408	)		(146,146	)	(539,851	)
Profit / (Loss) before income tax				509,965		(379,969	)		(311,201	)	(209,906	)
Income tax		20		(754,661	)	287,939			61,991		139,554
Loss for the period				(244,696	)	(92,030	)		(249,210	)	(70,352	)


Loss per share for the period:
Basic				(0.426	)	(0.160	)		(0.434	)	(0.122	)
Diluted				(0.426	)	(0.160	)		(0.434	)	(0.122	)

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Comprehensive Income

for the nine and three-month periods beginning on July 1st, 2014 and January 1st, 2015 and 2014 and ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

	Nine months					Three months
		03.31.2015		03.31.2014			03.31.2015		03.31.2014
Loss for the period		(244,696	)	(92,030	)		(249,210	)	(70,352	)
Other Comprehensive Income:
Items that may be reclassified subsequently to profit or loss:
Currency translation adjustment of subsidiaries, associates, and joint ventures		(123,122	)	106,129			28,980		54,693
Other comprehensive income for the period (i)		(123,122	)	106,129			28,980		54,693
Total comprehensive income for the period		(367,818	)	14,099			(220,230	)	(15,659	)

(i)	Components of other comprehensive income have no impact on income tax.

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Changes in Shareholders’ Equity

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

	Share capital		Treasury Stock		Inflation adjustment of Share Capital and Treasury Stock (2)		Share premium		Cost of treasury stock			Changes in non-controlling interest			Cumulative translation adjustment			Reserve for share-based compensation		Legal reserve		Special reserve (1)			Reserve for new developments			Retained earnings			Total Shareholders’ equity
Balance at June 30, 2014		573,771		4,905		123,329		793,123		(37,906	)		(21,808	)		398,931			53,235		116,840		375,487			413,206			(784,869	)		2,008,244
Loss for the period		-		-		-		-		-			-			-			-		-		-			-			(244,696	)		(244,696	)
Other comprehensive income for the period		-		-		-		-		-			-			(123,122	)		-		-		-			-			-			(123,122	)
Total comprehensive income for the period		-		-		-		-		-			-			(123,122	)		-		-		-			-			(244,696	)		(367,818	)
Reserve for share-based compensation		-		-		-		-		-			-			-			18,126		-		-			-			-			18,126
Reimbursement of expired dividends		-		-		-		-		-			-			-			-		-		-			-			778			778
Appropriation of retained earnings approved by Shareholders’ meeting held 11.14.14		-		-		-		-		-			-			-			-		-		(371,662	)		(413,206	)		784,868			-
Acquisition of non-controlling interest		-		-		-		-		-			16,465			-			-		-		-			-			-			16,465
Balance at March 31, 2015		573,771		4,905		123,329		793,123		(37,906	)		(5,343	)		275,809			71,361		116,840		3,825			-			(243,919	)		1,675,795

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

(1) Related to CNV General Resolution No. 609/12. See Note 21.

(2) Includes Ps. 1,045 of inflation adjustment of Treasury Stock. See Note 21

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Changes in Shareholders’ Equity

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

	Share capital			Treasury Stock		Inflation adjustment of Share Capital and Treasury Stock (2)		Share premium		Cost of treasury stock			Acquisition of additional interest in subsidiaries			Reserve for share-based compensation		Legal reserve		Special reserve (1)			Reserve for new developments			Cumulative translation adjustment		Retained earnings			Total Shareholders’ equity
Balance at June 30, 2013		578,676			-		123,329		793,123		-			(20,782	)		8,258		85,140		395,249			492,441			50,776		239,328			2,745,538
Loss for the period		-			-		-		-		-			-			-		-		-			-			-		(92,030	)		(92,030	)
Other comprehensive income for the period		-			-		-		-		-			-			-		-		-			-			106,129		-			106,129
Total comprehensive income for the period		-			-		-		-		-			-			-		-		-			-			106,129		(92,030	)		14,099
Appropriation of retained earnings approved by Shareholders’ meeting held 10.31.13		-			-		-		-		-			-			-		31,700		(19,762	)		(22,610	)		-		10,672			-
Distribution of dividends approved by Shareholders’ meeting held 10.31.13		-			-		-		-		-			-			-		-		-			-			-		(250,000	)		(250,000	)
Reserve for share-based compensation		-			-		-		-		-			-			12,117		-		-			-			-		-			12,117
Purchase of Treasury stock		(4,488	)		4,488		-		-		(32,998	)		-			-		-		-			-			-		-			(32,998	)
Reimbursement of expired dividends		-			-		-		-		-			-			-		-		-			-			-		750			750
Balance at March 31, 2014		574,188			4,488		123,329		793,123		(32,998	)		(20,782	)		20,375		116,840		375,487			469,831			156,905		(91,280	)		2,489,506

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

(1)	Related to CNV General Resolution No. 609/12. See Note 21.

(2)	Includes Ps. 957 of inflation adjustment of Treasury Stock. See Note 21.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Unaudited Condensed Interim Separate Statements of Cash Flows

for the nine-month periods ended March 31, 2015 and 2014

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

	Note		03.31.2015		03.31.2014
Operating activities:
Cash generated from the operations		15	113,603		84,664
Income tax and minimum presumed income tax paid			(1,484	)	(20,847	)
Net cash generated by operating activities			112,119		63,817
Investing activities:
Capital contributions to subsidiaries, associates and joint ventures		5	(514,388	)	(36,917	)
Additions of investment properties		6	(169,100	)	(2,964	)
Proceeds from transfers of assets to IRSA Propiedades Comerciales		3	37,922		-
Proceeds from sale of investment properties		6	560,472		254,650
Proceeds from sale of joint ventures			-		15,536
Additions of property, plant and equipment		7	(955	)	(555	)
Additions of intangible assets		9	(28	)	-
Additions of investments in financial assets			(1,069,728	)	(147,274	)
Proceeds from sale of investments in financial assets			1,013,848		159,443
Interest received from subsidiaries, associates and joint ventures			-		1,986
Loans granted to subsidiaries, associates and joint ventures			(2,178	)	(150,608	)
Proceeds from loans granted to subsidiaries, associates and joint ventures			-		7,267
Share-holding increase in subsidiaries, associates and joint ventures			(5,639	)	-
Dividends received			134,860		162,498
Net cash generated by investing activities			(14,914	)	263,062
Financing activities:
Bank overdrafts, net			198,350		(63,010	)
Proceeds from borrowings			110,000		25,000
Payment of non-convertible notes			-		(214,593	)
Payments of borrowings			(110,000	)	-
Reissuance of non-convertible notes			36,447		-
Dividends paid		21	(48,179	)	(89,827	)
Interest paid			(330,741	)	(230,197	)
Repurchase of treasury stock			-		(32,998	)
Payment of liquidation from derivative financial instruments			(735	)	(903	)
Payment of borrowings from subsidiaries, associates and joint ventures			(2,940	)	-
Proceeds from borrowings from subsidiaries, associates and joint ventures			15,017		35,663
Issuance of non-convertible notes			-		218,262
Net cash used in financing activities			(132,781	)	(352,603	)
Net decrease in cash and cash equivalents			(35,576	)	(25,724	)
Cash and cash equivalents at the beginning of the year		15	43,440		62,788
Foreign exchange (loss) / gain on cash and cash equivalents			(26	)	8,184
Cash and cash equivalents at end of period			7,838		45,248

The accompanying notes are an integral part of these Unaudited Condensed Interim Separate Financial Statements.

Eduardo S. Elsztain

President

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for publication in Argentina.

1.	General information and company’s business

IRSA Inversiones y Representaciones Sociedad Anónima (“IRSA” or the “Company”) was founded in 1943, primarily engaged in managing real estate holdings in Argentina since 1991.

IRSA is a corporation incorporated and domiciled in Argentina. The registered office is Bolívar 108, 1st Floor, Autonomous City of Buenos Aires, Argentina.

The Company owns, manages and develops, directly and indirectly through its subsidiaries a portfolio of office and other rental properties in Buenos Aires. In addition, IRSA through its subsidiaries, associates and joint ventures manages and develops shopping centers and branded hotels across Argentina, and also office properties in the United States of America and Israel.

These Unaudited Condensed Interim Separate Financial Statements have been approved for issue by the Board of Directors on May 8, 2015.

2.	Basis of preparation of the Unaudited Condensed Interim Separate Financial Statements

2.1.	Basis of preparation

The Unaudited Condensed Interim Financial Statements have been prepared in accordance with the Technical Resolution No. 26 of the Argentine Federation of Professional Councils of Economic Science (“FACPCE”, as per its Spanish acronym) and with IAS 34 “Interim Financial Reporting”. Furthermore, some additional issues were included as required by the Business Companies Act and/or regulations of the CNV, including supplementary information provided in the last paragraph of section 1, Chapter III, Title IV of General Ruling 622/13 of the CNV. Such information is included in the Notes to these Unaudited Condensed Interim Separate Financial Statements according to IFRS.

These Financial Statements should be read together with the annual separate financial statements of the Company as of June 30, 2014 prepared in accordance with the Technical Resolution No. 26. These Unaudited Condensed Interim Separate Financial Statements are presented in Argentine Pesos.

These Unaudited Condensed Interim Separate Financial Statements corresponding to the nine and three-month periods ended March 31, 2015 and 2014 have not been audited. The Company’s Management believes they include all necessary adjustments to fairly present the results of each period. The Company’s nine and three-month periods ended March 31, 2015 and 2014 results do not necessarily reflect the proportion of the Company’s full-year results.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

2.	Basis of preparation of the Unaudited Condensed Interim Separate Financial Statements (Continued)

2.2. Significant accounting policies

The principal accounting policies adopted for the preparation of these Unaudited Condensed Interim Financial Statements are consistent with those applied in the preparation of the information under RT 26 as of June 30, 2014, and are based on those IFRS in force as of June 30, 2014 (except for the accounting of investments in subsidiaries, associates and joint ventures, which are accounted for under the equity method as required in RT 26). In addition, the most significant accounting policies are described in the Annual Separate Financial Statements.

2.3. Use of estimates

The preparation of financial statements at a certain date requires the Management to make estimates and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the period. Actual results might differ from the estimates and evaluations made at the date of preparation of these financial statements.

In the preparation of these Unaudited Condensed Interim Separate Financial Statements, the main significant judgments made by Management in applying the Company’s accounting policies and the major sources of uncertainty were the same that the Company used in the preparation of financial statements as of and for the fiscal year ended June 30, 2014, save for changes in accrued income tax, provision for legal claims, allowance for bad debts and accrued supplementary rental.

2.4.	Comparative Information

Balance items as of March 31, 2014 and June 30, 2014 shown in these financial statements for comparative purposes arise from financial statements then ended. Certain reclassifications have been made in order to present figures comparatively with those of this period.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

3. Acquisitions and disposals

On December 22, 2014, the Company executed several deeds with IRSA Propiedades Comerciales S.A. (“IRSA Propiedades Comerciales”, as formerly company due to a change of corporate name of Alto Palermo S.A. (APSA)) whereby it conveyed title to properties identified as Bouchard 710, Suipacha 652, Torre BankBoston, República building, Intercontinental Plaza building and the land next to Intercontinental Plaza, for a total agreed price of US$ 308 million, US$ 61.5 million of which were paid as follows: i) US$ 10.5 million in cash, ii) US$ 1.0 million in corporate notes Class I maturing in 2017 issued by IRSA, for a nominal value of 1,000,000, iii) US$ 14.7 million by netting off a receivable owed by IRSA Propiedades Comerciales to IRSA, iv) US$ 4.1 million in corporate notes Class II maturing in 2020, issued by IRSA for a nominal value of 3,482,000, v) US$ 10.0 in corporate notes Class I maturing in 2017 issued by APSA for a nominal value of 10,000,000, vi) US$ 21.3 million through an assignment of receivables due to IRSA Propiedades Comerciales by TYRUS; and the balance of US$ 246.4 million – that shall accrue interest at a nominal rate of 8.5% per annum shall be payable semiannually, starting on January 12, 2015; it shall be paid up according to the following schedule: i) US$ 150 million on January 23, 2017 and ii) US$ 96.4 million due on July 6, 2020, plus accrued interest as of those dates. Related expenses amounted to Ps. 51.9 million and are disclosed net of the gain/loss on the sale of investment properties.

See other acquisitions and disposals made by the Company for the nine-month period ended March 31, 2015 in Note 4 to the Unaudited Condensed Interim Consolidated Financial Statements.

4. Financial risk management and fair value estimates

4.1	Financial risks

The Company’s activities are exposed to a variety of financial risks: market risk (including foreign currency risk, interest rate risk and price risk), credit risk, liquidity risk and capital risk.

The Unaudited Condensed Interim Financial Statements do not include all the information and disclosures of the risk management, so they should be read together with the annual separate financial statements as of June 30, 2014. There have been no changes in the risk management or risk management policies applied by the Company since the end of the annual fiscal year.

4.2	Fair value estimates

Since June 30, 2014 there have been no significant changes in business or economic circumstances affecting the fair value of the Company's financial assets or liabilities (either measured at fair value or amortized cost) (see Note 5 to the Unaudited Condensed Interim Consolidated Financial Statements) nor any transfers between the different hierarchies used to assess the fair value of the Company's financial instruments.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

5.	Information about principal subsidiaries, associates and joint ventures

The Company conducts its business through several operating and holding subsidiaries, associates and joint ventures.

Set out below is the summarized financial information for investments in subsidiaries, associates and joint ventures for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014:

Subsidiaries, Associates and Joint ventures

	March 31, 2015			June 30, 2014
Beginning of the period /year		3,441,214			3,570,642
Capital contribution		1,051,008			201,276
Share of loss		(1,664,576	)		(260,724	)
Translation adjustment		(123,122	)		348,155
Cash dividends (i)		(454,670	)		(413,615	)
Reimbursement of expired dividends		778			1,618
Capital reduction (ii)		(123,075	)		-
Acquisition of non-controlling interest		22,105			182
Reserve for share-based payments		-			(6,320	)
End of the period /year	(iii) 2,149,662				3,441,214

(i) During the period ended March 31, 2015, IRSA Propiedades Comerciales, Cyrsa S.A., BHSA, Inversora Bolivar S.A. and E-commerce Latina S.A., distributed dividends for an amount of Ps. 418.4 million, Ps. 31.0 million, Ps. 2.2 million, Ps. 1.7 million, and Ps. 1.4 million, respectively. During the year ended June 30, 2014, BHSA, Palermo Invest S.A., Inversora Bolivar S.A., IRSA Propiedades Comerciales, E Commerce Latina S.A. and Manibil S.A., distributed dividends for an amount of Ps. 1.5 million, Ps. 6.3 million, Ps. 389.5 million, Ps. 7.7 million and Ps. 0.8 million, respectively.

(ii) During the period ended March 31, 2015, Cyrsa S.A. and Nuevas Fronteras S.A. made a capital reduction to the Company in the amount of Ps. 110.9 and Ps. 12.2, respectively.

(iii) As of March 31, 2015 includes (Ps. 217,929) corresponding to equity interest in IRSA Propiedades Comerciales S.A., included in Other liabilities non-current. Even though the Company has positive financial position and income (see note 32), under applicable accounting standards, the Company has recorded an adjustment to consolidated income items included in the asset balance of the subsidiary (transferred to this as part of the transaction indicated in Note 3), resulting in a negative accounting exposure. This effect will be reverting in future fiscal years by way of an amortization over the residual useful life of the real property transferred and/or by total or partial disposition of those assets.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6. Investment properties

Changes in Company’s investment properties for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Office buildings and other rental properties portfolio			Undeveloped parcel of lands			Total
At July 1st, 2013:
Costs		849,280			117,556			966,836
Accumulated depreciation		(162,048	)		-			(162,048	)
Residual value		687,232			117,556			804,788
Year ended June 30, 2014:
Additions		3,216			343			3,559
Disposals		(46,977	)		-			(46,977	)
Transfers		251			1,550			1,801
Depreciation charge (i)		(26,306	)		-			(26,306	)
Residual value at year end		617,416			119,449			736,865
At June 30, 2014:
Costs		802,835			119,449			922,284
Accumulated depreciation		(185,419	)		-			(185,419	)
Residual value		617,416			119,449			736,865
Period ended March 31, 2015:
Additions		217,296			-			217,296
Disposals		(524,712	)		(1,564	)		(526,276	)
Depreciation charge (i)		(12,301	)		-			(12,301	)
Residual value at period end		297,699			117,885			415,584
At March 31, 2015:
Costs		448,967			117,885			566,852
Accumulated depreciation		(151,268	)		-			(151,268	)
Residual value		297,699			117,885			415,584

(i) Depreciation charges of investment properties were included in “Costs” in the Statement of Income (Note 24).

The following amounts have been recognized in the statement of income:

	March 31, 2015			March 31, 2014
Rental and service income		199,941			212,403
Direct operating expenses		(63,884	)		(65,960	)
Development expenses		(2,281	)		(564	)
Gain from disposal of investment properties		2,612,773			115,362

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

6. Investment properties (Continued)

The following is a detailed summary of the investment properties of the Company by type as of March 31, 2015 and June 30, 2014.


Name	Net book amount
Name	March 31, 2015		June 30, 2014
Office building and other rental properties portfolio:
Bouchard 551		7,762		60,893
Bouchard 710		-		61,354
Dique IV		52,653		55,100
Intercontinental Plaza		-		60,332
Libertador 498		3,997		3,257
Madero 1020		119		134
Maipú 1300		17,579		23,990
Rivadavia 2768		305		364
Suipacha 652		-		8,432
Torre BankBoston		-		142,085
República building		-		200,749
La Adela		214,591		-
Constitución 1111		693		726
Total Office and Other rental properties portfolio		297,699		617,416
Undeveloped parcels of lands:
Catalinas Norte		109,496		109,496
Pilar		1,550		1,550
Others		6,839		8,403
Total of undeveloped land		117,885		119,449
Total		415,584		736,865

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

7. Property, plant and equipment

Changes in Company’s property, plant and equipment for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Buildings and facilities			Furniture and fixtures			Machinery and equipment			Vehicles			Total
At July 1st, 2013:
Costs		19,256			3,110			11,709			221			34,296
Accumulated depreciation		(12,013	)		(2,668	)		(10,713	)		(221	)		(25,615	)
Residual value		7,243			442			996			-			8,681
Year ended June 30, 2014:
Additions		108			14			545			-			667
Depreciation charge (i)		(598	)		(63	)		(523	)		-			(1,184	)
Residual value at year end		6,753			393			1,018			-			8,164
At June 30, 2014:
Costs		19,364			3,124			12,254			221			34,963
Accumulated depreciation		(12,611	)		(2,731	)		(11,236	)		(221	)		(26,799	)
Residual value		6,753			393			1,018			-			8,164
Period ended March 31, 2015:
Additions		141			66			748			-			955
Disposals		(5,602	)		(10	)		(349	)		-			(5,961	)
Depreciation charge (i)		(11	)		(51	)		(415	)		-			(477	)
Residual value at period end		1,281			398			1,002			-			2,681
At March 31, 2015:
Costs		13,903			3,180			12,653			221			29,957
Accumulated depreciation		(12,622	)		(2,782	)		(11,651	)		(221	)		(27,276	)
Residual value		1,281			398			1,002			-			2,681

(i) Depreciation charges of property, plant and equipment were included in “Cost” and “General and administrative expenses” in the statement of income (Note 24).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

8. Trading properties

Changes in the Company’s trading properties for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Completed properties			Properties under development		Under developed sites			Total
At July 1st, 2013		4,708			8,200		1,550			14,458
Disposals (i)		(1,618	)		-		-			(1,618	)
Transfers		(251	)		-		(1,550	)		(1,801	)
At June 30, 2014		2,839			8,200		-			11,039
Disposals (i)		(335	)		-		-			(335	)
At March 31, 2015		2,504			8,200		-			10,704

(i)	Corresponds to the carrying amount of properties transferred included in "Cost" in the statement of income (Note 24).

The following is a detailed summary of the properties for sale of the Company by type as of March 31, 2015 and June 30, 2014:

	Book Values
Description	March 31, 2015		June 30, 2014
Properties under development:
Pereiraola		8,200		8,200
Total properties under development		8,200		8,200
Completed properties:
Abril		2,357		2,357
El Encuentro		-		79
San Martín de Tours		124		124
Caballito Nuevo		23		279
Total completed properties		2,504		2,839
Total		10,704		11,039

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

9. Intangible assets

Changes in Company’s intangible assets for the nine-month period ended March 31, 2015 and for the year ended June 30, 2014 were as follows:

	Goodwill		Computer softwares			Units to be received from barters (ii)		Total
At July 1st, 2013:
Costs		5,481		1,825			52,205		59,511
Accumulated depreciation		-		(1,368	)		-		(1,368	)
Residual value		5,481		457			52,205		58,143
Year ended June 30, 2014:
Additions		-		17			-		17
Disposals		-		(46	)		-		(46	)
Amortization charges (i)		-		(221	)		-		(221	)
Residual value at year end		5,481		207			52,205		57,893
At June 30, 2014:
Costs		5,481		1,775			52,205		59,461
Accumulated depreciation		-		(1,568	)		-		(1,568	)
Residual value		5,481		207			52,205		57,893
Period ended March 31, 2015:
Additions		-		28			-		28
Amortization charges (i)		-		(148	)		-		(148	)
Residual value at period end		5,481		87			52,205		57,773
At March 31, 2015:
Costs		5,481		1,803			52,205		59,489
Accumulated depreciation		-		(1,716	)		-		(1,716	)
Residual value		5,481		87			52,205		57,773

(i) Amortization charges of intangible assets are included in “General and administrative expenses” in the statement of income (Note 24).

(ii) As of March 31, 2015 and June 30, 2014 receivables in kind representing the right to receive residential apartments in the future by way of barter agreements, are included in properties under development for an amount of Ps. 52.2 million (see Note 38 to the annual consolidated financial statements as of June 30, 2014).

10. Inventories

Company’s inventories as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Current
Materials and other inventories (i)		738		584
Total inventories		738		584

(i)	The cost of inventories is recorded in “Costs” in the statement of income (Note 24).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

11. Financial instruments by category

Determination of fair values

See determination of fair value in Note 15 to the Unaudited Condensed Interim Consolidated Financial Statements.

The following tables presents the financial assets and financial liabilities of the Company that are measured at fair value as of March 31, 2015 and June 30, 2014 and their allocation to the fair value hierarchy:

	March 31, 2015
	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss:
- Investment in equity securities in TGLT		104		-		-		104
- Mutual funds		4,650		-		-		4,650
- Non-Convertible Notes (Note 29)		35,481		-		-		35,481
- Governments Bonds		9,421		-		-		9,421
Cash and cash equivalents:
- Mutual funds		109		-		-		109
Total assets		49,765		-		-		49,765

	June 30, 2014
	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss:
- Investment in equity securities in TGLT		91		-		-		91
- Mutual funds		51,282		-		-		51,282
- Governments Bonds		3,048		-		-		3,048
Derivative financial instruments:
- Interest rate swaps		-		650		-		650
Cash and cash equivalents:
- Mutual funds		100		-		-		100
Total assets		54,521		650		-		55,171

The derivative financial instruments are classified as Level 2 since their fair value is calculated under the discounted cash flow method. The main parameter used in that model is interest rate futures (see Note 14).

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

11.	Financial instruments by category (Continued)

When no quoted prices in an active market are available, fair values (particularly with derivatives) are based on recognized valuation methods. The Company uses a range of valuation models for the measurement of Level 2 instruments, details of which may be obtained from the following table:

Description		Pricing model		Pricing method		Parameters
Interest rate swaps		Cash flows		Theoretical price		Interest rate forward contract and cash flow.

As of March 31, 2015 and June 30, 2014 the Company does not have liabilities measured at fair value.

12.	Trade and other receivables

Company’s trade and other receivables, as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015			June 30, 2014
Non-current
Sale, leases and services receivable		599			788
Non-current trade receivables		599			788
VAT receivables		171			-
Trade accounts receivables of joint venture		3,489			3,213
Others		343			210
Non-current other receivables		4,003			3,423
Related parties (Note 29)		2,258,603			396,649
Total non-current trade and other receivables		2,263,205			400,860
Current
Sale, leases and services receivable		18,364			15,484
Checks to be deposited		89			129
Overdue debtors and debtors under legal proceedings		7,141			6,672
Less: Allowance for trade accounts receivables		(8,761	)		(8,114	)
Trade accounts receivables		16,833			14,171
Gross sales tax credit		2,063			5,818
Other tax receivables		5,450			1,440
Prepaid expenses		2,526			5,089
Expenses and services to recover		7,358			5,084
Advance payments		3,165			3,670
Others		1,620			1,422
Current other receivables		22,182			22,523
Related parties (Note 29)		417,554			68,797
Current trade and other receivables		456,569			105,491
Total trade and other receivables		2,719,774			506,351

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

12.	Trade and other receivables (Continued)

Movements on the Company’s allowance for trade and other receivables are as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		8,114			5,382
Charges for the period / year		1,224			7,252
Unused amounts reversed		(577	)		(2,009	)
Used during the period / year		-			(2,511	)
End of the period / year		8,761			8,114

The creation and release of provision for impaired receivables have been included in “Selling expenses” in the statement of income (Note 24). Amounts charged to the allowance account are generally written off, when there is no expectation of recovering additional cash.

13. Investments in financial assets

Company’s investments in financial assets as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Non-current
Financial assets at fair value
Investment in equity securities in TGLT		104		91
Total Non-current investments in financial assets		104		91
Current
Financial assets at fair value
Mutual funds		4,650		51,282
Non-Convertible Notes (Note 29)		35,481		-
Government bonds		9,421		3,048
Total current investments in financial assets		49,552		54,330
Total investments in financial assets		49,656		54,421

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

14.	Derivative financial instruments

Company’s derivative financial instruments as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Assets
Current
Interest rate swaps (i)		-		650
Total assets		-		650

(i) During the year ended June 30, 2014, the Company entered into interest rate swaps with diverse financial institutions. The total amount of underlying assets for these agreements amounted to Ps. 180 million and due in September, October and December 2014.

15.	Cash flow information

The following table shows the amounts of cash and cash equivalents as of March 31, 2015 and June 30, 2014:

	March 31, 2015		June 30, 2014
Cash at bank and on hand		7,729		43,340
Mutual funds		109		100
Total cash and cash equivalents		7,838		43,440

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15.	Cash flow information (Continued)

Following is a detailed description of cash flows generated by the Company’s operations for the nine-month periods ended March 31, 2015 and 2014:

	Note		March 31, 2015			March 31, 2014
Loss for the period				(244,696	)		(92,030	)
Adjustments for:
Income tax		20		754,661			(287,939	)
Depreciation and amortization		24		12,926			21,059
Gain from disposal of investment properties		6		(2,612,773	)		(115,362	)
Gain from disposal of trading properties				(2,358	)		-
Retirement of obsolete property, plant and equipment		7		8			-
Loss from repurchase of Non-Convertible Notes				3,588			-
Share-based payments		25, 28		7,124			2,706
Changes in fair value of investments in financial assets		27		97,033			9,517
Gain from derivative financial instruments				1,385			(3,577	)
Interest expense, net				234,197			223,501
Provisions and allowances				14,282			24,923
Share of (profit) from of subsidiaries, associates and joint ventures				1,664,576			(447,229	)
Unrealized foreign exchange loss, net				125,884			816,095
Increase in inventories				(154	)		(119	)
Decrease in trading properties				1,587			1,302
Increase in trade and other receivables				(638	)		(40,447	)
Increase / (Decrease) in trade and other payables				62,681			(23,678	)
Decrease in salaries and social security liabilities				(3,963	)		(2,454	)
Decrease in provisions				(1,747	)		(1,604	)
Net cash generated by operating activities				113,603			84,664

Additional information		03.31.2015	03.31.2014
Changes in non-controlling interest		16,465	-
Reimbursement of expired dividends	5	778	750
Reserve for share-based compensation	5	18,126	9,411
Cumulative translation adjustment		123,122	106,129
Increase in investments in financial assets through an increase in borrowings		7,258	-
Decrease in investments in financial assets through an increase in trade and other receivables		3,383	-
Decrease in investment in subsidiaries, associates and joint ventures through a decrease in borrowings from subsidiaries, associates and joint ventures		157,212	21,696
Increase in investment properties through a decrease in financial assets		48,196	-
Decrease in dividends payable through an increase in borrowings obtained		-	160,173
Increase in borrowings granted to subsidiaries, associates an joint ventures through an increase in borrowings obtained from subsidiaries, associates and joint ventures		-	15,599
Decrease in investments in financial assets through a decrease in borrowings obtained from subsidiaries, associates and joint ventures		7,404	-
Increase in borrowings granted to subsidiaries, associates and joint ventures through a decrease in investment in financial assets		3,237	36,091
Decrease in trade and other receivables through an increase in investments in financial assets		6,995	-
Decrease in investment in subsidiaries, associates and joint ventures through an increase in trade and other receivables		285,672	-
Increase in investment in subsidiaries, associates and joint ventures through a decrease in borrowings granted to subsidiaries, associates and joint ventures.		536,617	61,794

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

15.	Cash flow information (Continued)


Sale of properties to IRSA Propiedades Comerciales	03.31.2015		03.31.2014
Gain from disposal to IRSA Propiedades Comerciales	2,163,712		-
Property, plant and equipment	418		-
Investment properties	472,451		-
Value of disposal assets	472,869		-
Gain from disposal to IRSA Propiedades Comerciales	2,636,581		-
Trade and other receivables	(2,291,841	)	-
Investment in financial assets investment in financial assets	(85,512	)	-
Borrowings	(169,349	)	-
Total consideration paid not affecting funds	(2,546,702	)	-
Cash	89,879		-
Expenses	(51,957	)	-
Net cash	37,922		-

16. Trade and other liabilities

Company’s trade and other payables as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Non-current
Sales rent and services payments received in advance		11		227
Tenant deposits		239		4,544
Total Non-current trade payables		250		4,771
Tax on shareholders’ personal assets		592		-
Others		113		-
Non-current Other payables		705		-
Related parties (Note 29)		24		22
Total Non-current trade and other payables		979		4,793

Current
Trade payables		7,587		5,151
Accrued invoices to be received		4,630		9,159
Sales rent and services payments received in advance		6,425		35,925
Tenant deposits		1,219		8,128
Total current trade payables		19,861		58,363
VAT payables		-		3,619
Dividends payable to non-controlling shareholders		9,230		19,655
Tax on shareholders’ personal assets		2,800		2,874
Others		1,379		2,098
Total Current other payables		13,409		28,246
Related parties (Note 29)		137,537		61,339
Total Current trade and other payables		170,807		147,948
Total trade and other payables		171,786		152,741

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

17. Payroll and social security liabilities

Company’s Salaries and social security liabilities as of March 31, 2015 and June 30, 2014 are as follows:

	March 31, 2015		June 30, 2014
Current
Provision for vacation and bonuses		4,148		3,842
Social security payable		761		768
Other employee expenses and benefits		2,520		2,125
Total salaries and social security liabilities		7,429		6,735

18. Provisions

The table below shows the movements in Company's provisions:

	Labor, legal and other claims
At June 30, 2014		18,252
Additions		12,852
Decreases		(3,366	)
Used during the period		(1,747	)
At March 31, 2015		25,991

The breakdown of total current and non-current provisions is as follows:

	March 31, 2015		June 30, 2014
Non-current		879		4,196
Current		25,112		14,056
		25,991		18,252

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

19. Borrowings

Company’s borrowings as of March 31, 2015 and June 30, 2014 were as follows:

								Book value
	Secured/ unsecured	Currency	Fixed Rate/ floating	Effective interest rate %		Nominal value of share capital		March 31, 2015		June 30, 2014
Non-current
IRSA NCN due 2017 (Note 29)	Unsecured	US$	Fixed		8.50%		149,306		1,316,364		1,218,492
IRSA NCN due 2020	Unsecured	US$	Fixed		11.50%		150,000		1,304,228		1,196,902
IRSA NCN due 2017	Unsecured	Ps.	Floating	Badlar + 450 ps			10,790		10,757		10,734
IRSA NCN due 2015	Unsecured	Ps.	Floating	Badlar + 395 ps			-		-		209,297
Related parties (Note 29)	Unsecured	Ps.	Floating	Badlar			33,311		34,367		180,412
Finance lease obligations	Secured	US$	Fixed	7% to 12.8%			22		12		121
Total non-current borrowings									2,665,728		2,815,958
Current
IRSA NCN due 2017 (Note 29)	Unsecured	US$	Fixed		8.50%		149,306		17,163		41,756
IRSA NCN due 2020	Unsecured	US$	Fixed		11.50%		150,000		28,886		61,649
IRSA NCN due 2017	Unsecured	Ps.	Floating	Badlar + 450 ps			10,790		211		255
IRSA NCN due 2015	Unsecured	Ps.	Floating	Badlar + 395 ps			209,398		213,584		4,325
Bank overdrafts	Unsecured	Ps.	Floating		-		-		203,183		6,133
Finance lease obligations	Secured	US$	Fixed	7% to 12.8%			22		182		235
Related parties (Note 29)	Unsecured	US$	Fixed		3.60%		-		-		117,384
Related parties (Note 29)	Unsecured	US$	Floating	Libor 3 m 200 ps			70,683		72,136		66,140
Related parties (Note 29)	Unsecured	Ps.	Floating	Badlar			37,150		24,133		5,955
Total Current borrowings									559,478		303,832
Total borrowings									3,225,206		3,119,790

NCN: Non-convertible Notes

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

20. Current and deferred income tax

The details of the provision for the Company’s income tax are as follows:

	March 31, 2015		March 31, 2014
Current income tax		185,403		-
Deferred income tax		569,143		(287,939	)
Minimum Presumed Income tax (MPIT)		115		-
Income tax		754,661		(287,939	)

The gross movement on the deferred income tax account is as follows:

	March 31, 2015			June 30, 2014
Beginning of the period / year		327,789			47,144
Use of tax loss carryforwards		(185,403	)		-
Income tax		(569,143	)		280,645
End of period / year		(426,757	)		327,789

Below is a reconciliation between income tax expense and the amount that would arise using the income tax rate applicable to Profit Before Income Tax for the nine-month periods ended March 31, 2015 and 2014:

	March 31, 2015			March 31, 2014
Net income at tax rate		178,487			(132,989	)
Permanent differences:
Share of profit / (loss) from of subsidiaries, associates and joint ventures		582,602			(156,530	)
Non- deductible items		562			1,401
Others		(6,990	)		179
Income tax		754,661			(287,939	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

21. Shareholders’ Equity

See description of the different items of the Company's equity in Note 26 to the Unaudited Condensed Interim Consolidated Financial Statements.

22. Revenues

	March 31, 2015		March 31, 2014
Rental and scheduled rent increases		145,979		166,785
Expenses		48,608		42,010
Property management fee		4,165		3,245
Others		1,189		363
Rental and service income		199,941		212,403
Income from sale of trading properties		2,693		6,873
Total other revenues		2,693		6,873
Total revenues		202,634		219,276

23.

Costs

	March 31, 2015		March 31, 2014
Leases and services costs		63,884		65,960
Cost of sales and development		3,857		3,188
Total cost of property operations		67,741		69,148
Total costs		67,741		69,148

24.	Expenses by nature

The Company disclosed expenses in the statements of income by function as part of the line items “Costs”, “General and administrative expenses” and “Selling expenses”.

The following tables provide the additional required disclosure of expenses by nature and their relationship to the function within the Company.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

24. Expenses by nature (Continued)

For the period ended March 31, 2015:

	Costs
	Cost of rental and services		Cost of sale and development		General and administrative expenses		Selling expenses		Total
Salaries, social security costs and other personnel expenses		10,636		551		39,038		7,703		57,928
Maintenance, security, cleaning, repairs and others		27,999		989		2,630		398		32,016
Taxes, rates and contributions		10,690		1,405		100		4,477		16,672
Director’s fees		-		-		13,670		-		13,670
Amortization and Depreciation		12,397		-		459		70		12,926
Fees and payments for services		90		108		7,982		1,118		9,298
Other expenses		734		95		7,568		209		8,606
Leases and service charges		1,338		374		1,643		50		3,405
Advertising and others selling expenses		-		-		-		1,373		1,373
Allowances for trade and other receivables		-		-		-		647		647
Cost of sale of trading properties		-		335		-		-		335
Total expenses by nature		63,884		3,857		73,090		16,045		156,876

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

24. Expenses by nature (Continued)

For the period ended March 31, 2014:

	Costs
	Cost of rental and services		Cost of sale and development		General and administrative expenses		Selling expenses		Total
Salaries, social security costs and other personnel expenses		9,933		106		25,375		6,215		41,629
Maintenance, security, cleaning, repairs and others		25,092		147		1,987		152		27,378
Taxes, rates and contributions		6,508		1,231		95		5,436		13,270
Director´s fees		-		-		18,599		-		18,599
Amortization and Depreciation		20,279		3		693		84		21,059
Fees and payments for services		758		32		7,644		686		9,120
Other expenses		795		33		3,465		268		4,561
Leases and service charges		2,595		334		586		53		3,568
Advertising and others selling expenses		-		-		-		1,836		1,836
Allowances for trade and other receivables		-		-		-		3,503		3,503
Cost of sale of trading properties		-		1,302		-		-		1,302
Total expenses by nature		65,960		3,188		58,444		18,233		145,825

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

25.	Employee costs

	March 31, 2015		March 31, 2014
Salaries, bonuses and social security costs		46,587		35,239
Share-based payments		7,124		2,706
Pension costs - defined contribution plan		530		620
Other expenses and benefits		3,687		3,064
Total employee costs		57,928		41,629

26.	Other operating results, net

	March 31, 2015			March 31, 2014
Personal assets tax		(1,660	)		(2,827	)
Donations		(2,190	)		(512	)
Lawsuits and other contingencies (1)		(9,641	)		(3,277	)
Others		(2,276	)		1,013
Total other operating results, net		(15,767	)		(5,603	)

(1)	Includes judicial costs and expenses

27. Financial results, net

	March 31, 2015			March 31, 2014
Finance income:
- Interest income		60,553			21,053
- Foreign exchange gains		102,990			102,124
Total finance income		163,543			123,177

Finance costs:
- Interest expense		(294,750	)		(244,554	)
- Foreign exchange losses		(219,599	)		(871,896	)
- Other finance costs		(15,411	)		(11,195	)
Total finance costs		(529,760	)		(1,127,645	)
Other financial results:
- Fair value loss in financial assets		(97,033	)		(9,517	)
- (Loss) / gain on derivative financial instruments		(1,385	)		3,577
- Loss on repurchase of NCN		(3,588	)		-
Total other financial results		(102,006	)		(5,940	)
Total financial results, net		(468,223	)		(1,010,408	)

28. Share-based payments

For more details on share-based payments, see Note 33 to the Unaudited Condensed Interim Consolidated Financial Statements.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions

The following is a summary of the balances with related parties as of March 31, 2015:

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Investments in financial assets current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current
Parent Company
CRESUD S.A.C.I.F. y A.	Sale of good and/or services		-		216		-		-		-			-			-
	Management fees		-		-		-		-		(12	)		-			-
	Leases and/or rights of use		-		569		-		-		-			-			-
	Corporate services		-		-		-		-		(13,833	)		-			-
	Non-Convertible Notes		-		-		-		-		-			(37,935	)		(848	)
	Reimbursement of expenses		-		-		-		-		(3,507	)		-			-
	Long-term incentive program		-		-		-		-		(6,491	)		-			-
Total Parent company			-		785		-		-		(23,843	)		(37,935	)		(848	)
Subsidiaries
E Commerce Latina S.A.	Management fees		-		1		-		-		-			-			-
	Reimbursement of expenses		-		-		-		-		-			-			-
	Borrowings		-		-		-		-		-			-			(7,616	)
IRSA Propiedades Comerciales S.A.	Reimbursement of expenses		-		-		-		-		-			-			-
	Leases and/or rights of use		-		-		-		-		(26,187	)		-			-
	Proceed from leases		-		-		-		-		(84,532	)		-			-
	Non-Convertible Notes		-		-		35,481		-		-			-			-
	Long-term incentive program		-		45,354		-		-		-			-			-
	Dividends payable		-		285,672		-		-		-			-			-
	Sale of property		2,173,741		40,033		-		-		-			-			-
Solares de Santa María S.A.	Reimbursement of expenses		-		6,264		-		-		-			-			-
Solares de Santa María S.A.	Borrowings		7		-		-		-		-			-			-
Palermo Invest S.A.	Borrowings		3,477		-		-		-		-			-			-
Ritelco S.A.	Borrowings		-		-		-		-		-			-			(77,279	)
Ritelco S.A.	Non-Convertible Notes		-		-		-		-		-			(33,415	)		(724	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Investments in financial assets current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current
Subsidiaries
Inversora Bolivar S.A.	Reimbursement of expenses		-		8		-		-			-			-			-
Inversora Bolivar S.A.	Borrowings		-		-		-		-			-			-			(8,207	)
Hoteles Argentinos S.A.	Hotel services		-		104		-		-			(1,770	)		-			-
Tyrus S.A.	Borrowings		36		-		-		-			-			-			-
Tyrus S.A.	Reimbursement of expenses		-		-		-		-			(980	)		-			-
Llao Llao Resorts S.A.	Hotel services		-		3,417		-		-			-			-			-
Llao Llao Resorts S.A.	Guarantee deposits		-		-		-		(16	)		-			-			-
Nuevas Fronteras S.A.	Reimbursement of expenses		-		10		-		-			-			-			-
	Management fees		-		763		-		-			-			-			-
	Borrowings		-		-		-		-			-			(20,576	)		(3,167	)
Efanur S.A.	Borrowings		81,342		-		-		-			-			-			-
Total Subsidiaries			2,258,603		381,626		35,481		(16	)		(113,469	)		(53,991	)		(96,993	)
Subsidiaries CRESUD
Futuros y Opciones.com S.A.	Reimbursement of expenses		-		-		-		-			(29	)		-			-
Total Subsidiaries CRESUD			-		-		-		-			(29	)		-			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Investments in financial assets current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current
Subsidiaries IRSA Propiedades Comerciales
Arcos del Gourmet S.A.	Reimbursement of expenses		-		3		-		-		-			-			-
Emprendimiento Recoleta S.A.	Reimbursement of expenses		-		-		-		-		-			-			-
	Long-term incentive program		-		334		-		-		-			-			-
	Non-Convertible Notes		-		-		-		-		-			(12,730	)		(285	)
Fibesa S.A.	Reimbursement of expenses		-		-		-		-		(2	)		-			-
Fibesa S.A.	Long-term incentive program		-		11,004		-		-		-			-			-
	Leases and/or rights of use		-		38		-		-		-			-			-
Panamerican Mall S.A.	Reimbursement of expenses		-		356		-		-		-			-			-
	Long-term incentive program		-		1,094		-		-		-			-			-
	Non-Convertible Notes		-		-		-		-		-			(49,244	)		(1,101	)
Shopping Neuquén S.A.	Reimbursement of expenses		-		-		-		-		(4	)		-			-
Total Subsidiaries IRSA Propiedades Comerciales			-		12,829		-		-		(6	)		(61,974	)		(1,386	)
Subsidiaries TYRUS
Irsa International LLC	Reimbursement of expenses		-		455		-		-		-			-			-
Real Estate Investment Group LP	Reimbursement of expenses		-		6		-		-		-			-			-
Real Estate Investment Group V LP	Reimbursement of expenses		-		20		-		-		-			-			-
Real Estate Strategies LP	Reimbursement of expenses		-		2,313		-		-		-			-			-
New Lipstick LLC	Reimbursement of expenses		-		2,125		-		-		-			-			-
Imadison LLC	Reimbursement of expenses		-		1,489		-		-		-			-			-
Total Subsidiaries TYRUS			-		6,408		-		-		-			-			-
Associates
Banco de Crédito y Securitización S.A.	Leases and/or rights of use		-		44		-		-		-			-			-
Banco Hipotecario S.A.	Reimbursement of expenses		-		122		-		-		-			-			-
Total Associates			-		166		-		-		-			-			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Investments in financial assets current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current
Associates IRSA Propiedades Comerciales
Tarshop S.A.	Leases and/or rights of use		-		-		-		-			(33	)		-			-
Total Associates IRSA Propiedades Comerciales			-		-		-		-			(33	)		-			-
Joint Ventures
Cyrsa S.A.	Reimbursement of expenses		-		16		-		-			-			-			-
	Credit due to capital reduction		-		8,841		-		-			-			-			-
	Borrowings		-		-		-		-			-			(13,791	)		-
Baicom Networks S.A.	Reimbursement of expenses		-		740		-		-			-			-			-
Baicom Networks S.A.	Borrowings		-		212		-		-			-			-			-
Puerto Retiro S.A.	Reimbursement of expenses		-		221		-		-			-			-			-
Total Joint Ventures			-		10,030		-		-			-			(13,791	)		-
Joint Ventures IRSA Propiedades Comerciales
Nuevo Puerto Santa Fe S.A.	Reimbursement of expenses		-		-		-		-			(5	)		-			-
Nuevo Puerto Santa Fe S.A.	Long-term incentive program		-		438		-		-			-			-			-
Quality Invest S.A.	Reimbursement of expenses		-		58		-		-			-			-			-
Quality Invest S.A.	Customers advances		-		-		-		-			(6	)		-			-
Total Joint Ventures IRSA Propiedades Comerciales			-		496		-		-			(11	)		-			-
Other related parties
Consultores Asset Management S.A.	Reimbursement of expenses		-		2,985		-		-			-			-			-
Austral Gold S.A.	Reimbursement of expenses		-		-		-		-			(1	)		-			-
Estudio Zang, Bergel & Viñes	Advances		-		4		-		-			-			-			-
Estudio Zang, Bergel & Viñes	Legal services		-		-		-		-			(145	)		-			-
Fundación IRSA	Reimbursement of expenses		-		60		-		-			-			-			-
Total Other related parties					3,049				-			(146	)		-			-
Directors and Senior Management			-				-
Directors	Fees		-		-		-		-			-			-			-
	Advances		-		2,165		-		-			-			-			-
	Guarantee deposits		-		-		-		(8	)		-			-			-
Total Directors and Senior Management			-		2,165		-		(8	)		-			-			-
Total			2,258,603		417,554		35,481		(24	)		(137,537	)		(167,691	)		(99,227	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

The following is a summary of the balances with related parties as of June 30, 2014:

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current
Parent Company
CRESUD S.A.C.I.F. y A.	Sale of good and/or services		-		701		-		-			-			-
	Corporate services		-		-		-		(12,492	)		-			-
	Leases and/or rights of use		-		1,598		-		-			-			-
	Dividends payable		-		-		-		(36,462	)		-			-
	Non-Convertible Notes		-		-		-		-			(34,972	)		(1,787	)
	Reimbursement of expenses		-		-		-		(814	)		-			-
	Share-based payments		-		-		-		(3,673	)		-			-
Total Parent company			-		2,299		-		(53,441	)		(34,972	)		(1,787	)
Subsidiaries
E Commerce Latina S.A.	Reimbursement of expenses		-		25		-		-			-			-
	Management fees		-		4		-		-			-			-
	Borrowings		-		-		-		-			(7,165	)		-
IRSA Propiedades Comerciales	Reimbursement of expenses		-		-		-		(3,403	)		-			-
	Leases and/or rights of use		-		515		-		-			-			-
	Non-Convertible Notes				-		-		-			(36,452	)		(1,732	)
	Long-term incentive program		-		35,436		-		-			-			-
	Share-based payments		-		-		-		(160	)		-			-
	Borrowings		-		-		-		-			-			(117,384	)
Solares de Santa María S.A.	Reimbursement of expenses		-		5,255		-		-			-			-
Solares de Santa María S.A.	Borrowings		6		-		-		-			-			-
Palermo Invest S.A.	Reimbursement of expenses		-		46		-		-			-			-
Palermo Invest S.A.	Borrowings		-		-		-		-			(1,618	)		-
Ritelco S.A.	Borrowings		-		-		-		-			(4,603	)		(66,140	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current
Subsidiaries
Inversora Bolivar S.A.	Reimbursement of expenses		-		54		-			-			-			-
Inversora Bolivar S.A.	Borrowings		-		-		-			-			(8,127	)		-
Hoteles Argentinos S.A.	Hotel services		-		105		-			(1,632	)		-			-
Tyrus S.A.	Reimbursement of expenses		-		2,416		-			-			-			-
Tyrus S.A.	Borrowings		323,361		-		-			-			-			-
Llao Llao Resorts S.A.	Hotel services		-		3,085		-			-			-			-
Llao Llao Resorts S.A.	Guarantee deposits		-		-		(14	)		-			-			-
Nuevas Fronteras S.A.	Reimbursement of expenses		-		-		-			(2	)		-			-
	Management fees		-		970		-			-			-			-
	Borrowings		-		-		-			-			(25,585	)		(5,955	)
Efanur S.A.	Borrowings		73,282		-		-			-			-			-
Total Subsidiaries			396,649		47,911		(14	)		(5,197	)		(83,550	)		(191,211	)
Subsidiaries CRESUD
Futuros y Opciones.com S.A.	Reimbursement of expenses		-		-		-			(29	)		-			-
Cactus S.A.	Reimbursement of expenses		-		-		-			(515	)		-			-
Total Subsidiaries CRESUD			-		-		-			(544	)		-			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current		Trade and other payables current			Borrowings non-current			Borrowings current
Subsidiaries IRSA Propiedades Comerciales
Arcos del Gourmet S.A.	Reimbursement of expenses		-		46		-		-			-			-
Emprendimiento Recoleta S.A.	Reimbursement of expenses		-		-		-		(12	)		-			-
	Long-term incentive program		-		313		-		-			-			-
	Non-Convertible Notes		-		-		-		-			(11,736	)		(600	)
Fibesa S.A.	Reimbursement of expenses		-		9		-		-			-			-
	Long-term incentive program		-		7,047		-		-			-			-
	Leases and/or rights of use		-		151		-		-			-			-
Panamerican Mall S.A.	Reimbursement of expenses		-		204		-		-			-			-
	Long-term incentive program		-		944		-		-			-			-
	Non-Convertible Notes		-		-		-		-			(45,398	)		(2,320	)
Conil S.A.	Reimbursement of expenses		-		154		-		-			-			-
Total Subsidiaries IRSA Propiedades Comerciales			-		8,868		-		(12	)		(57,134	)		(2,920	)
Subsidiaries TYRUS
Irsa International LLC	Reimbursement of expenses		-		419		-		-			-			-
Real Estate Investment Group LP	Reimbursement of expenses		-		6		-		-			-			-
Real Estate Investment Group. V LP	Reimbursement of expenses		-		18		-		-			-			-
Real Estate Strategies LP	Reimbursement of expenses		-		2,132		-		-			-			-
New Lipstick LLC	Reimbursement of expenses		-		1,959		-		-			-			-
Imadison LLC	Reimbursement of expenses		-		1,373		-		-			-			-
Total Subsidiaries TYRUS			-		5,907		-		-			-			-
Associates
Banco de Crédito y Securitización S.A.	Leases and/or rights of use		-		19		-		-			-			-
Banco de Crédito y Securitización S.A.	Reimbursement of expenses		-		-		-		(80	)		-			-
Banco Hipotecario S.A.	Reimbursement of expenses		-		-		-		(784	)		-			-
Total Associates			-		19		-		(864	)		-			-
Associates IRSA Propiedades Comerciales
Tarshop S.A.	Reimbursement of expenses		-		-		-		-			-			-
Total Associates IRSA Propiedades Comerciales			-		-		-		-			-			-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Related party transactions (Continued)

Related party	Description of Transaction	Trade and other receivables non-current		Trade and other receivables current		Trade and other payables non-current			Trade and other payables current			Borrowings non-current			Borrowings current
Joint Ventures
Cyrsa S.A.	Reimbursement of expenses		-		-		-			(9	)		-			-
Cyrsa S.A.	Borrowings		-		-		-			-			(133,314	)		-
Baicom Networks S.A.	Reimbursement of expenses		-		191		-			-			-			-
Puerto Retiro S.A.	Reimbursement of expenses		-		211		-			-			-			-
Total Joint Ventures			-		402		-			(9	)		(133,314	)		-
Joint Ventures IRSA Propiedades Comerciales
Nuevo Puerto Santa Fe S.A.	Long-term incentive program		-		304		-			-			-			-
Nuevo Puerto Santa Fe S.A.	Reimbursement of expenses		-		3					-			-			-
Quality Invest S.A.	Reimbursement of expenses		-		59		-			-			-			-
Quality Invest S.A.	Customers advances		-		-		-			(45	)		-			-
Total Joint Ventures IRSA Propiedades Comerciales			-		366		-			(45	)		-			-
Other related parties
Consultores Asset Management S.A.	Reimbursement of expenses		-		2,672		-			-			-			-
Austral Gold S.A.	Reimbursement of expenses		-		-		-			(1	)		-			-
Estudio Zang, Bergel & Viñes	Advances		-		4		-			-			-			-
Estudio Zang, Bergel & Viñes	Legal services		-		-		-			(170	)		-			-
Fundación IRSA	Reimbursement of expenses		-		48		-			-			-			-
Total Other related parties			-		2,724		-			(171	)		-			-
Directors and Senior Management
Directors	Fees		-		301		-			(1,056	)		-			-
Directors	Guarantee deposits		-		-		(8	)		-			-			-
Total Directors and Senior Management			-		301		(8	)		(1,056	)		-			-
Total			396,649		68,797		(22	)		(61,339	)		(308,970	)		(195,918	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29. Related party transactions (Continued)

The following is a summary of the transactions with related parties for the nine-month period ended March 31, 2015:

Related party	Commissions	Leases and/or rights of use	Management fees	Corporate services	Legal services	Financial operations	Donations	Fees and salaries	Sale of properties
Related party	Commissions	Leases and/or rights of use	Management fees	Corporate services	Legal services	Financial operations	Donations	Fees and salaries	Sale of properties
Parent Company
Cresud S.A.C.I.F. y A.	-	2,574	(80)	(23,293)	-	(6,154)	-	-	-
Total Parent company	-	2,574	(80)	(23,293)	-	(6,154)	-	-	-
Subsidiaries
IRSA Propiedades Comerciales S.A.	(19)	3,292	-	-	-	55,975	-	-	2,636,480
E-Commerce Latina S.A.	-	-	-	-	-	(921)	-	-	-
Inversora Bolivar S.A.	-	-	-	-	-	(1,041)	-	-	-
Llao Llao Resorts S.A.	-	147	-	-	-	-	-	-	-
Ritelco S.A.	-	-	-	-	-	(8,509)	-	-	-
Hoteles Argentinos S.A.	-	-	-	-	-	(138)	-	-	-
Nuevas Fronteras S.A.	-	-	959	-	-	(3,167)	-	-	-
Efanur S.A.	-	-	-	-	-	8,060	-	-	-
Solares de Santa María S.A.						1	-	-	-
Tyrus S.A.	-	-	-	-	-	28,676	-	-	-
Palermo Invest S.A.	-	-	-	-	-	(420)	-	-	-
Total Subsidiaries	(19)	3,439	959	-	-	78,516	-	-	2,636,480
Subsidiaries IRSA Propiedades Comerciales
Fibesa S.A.	-	708	-	-	-	-	-	-	-
Panamerican Mall S.A.	-	-	-	-	-	(4,134)	-	-	-
Emprendimiento Recoleta S.A.	-	-	-	-	-	(1,071)	-	-	-
Total Subsidiaries IRSA Propiedades Comerciales	-	708	-	-	-	(5,205)	-	-	-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Related party transactions (Continued)

Related party	Commissions	Leases and/or rights of use	Management fees	Corporate services	Legal services	Financial operations	Donations	Fees and salaries	Sale of properties
Related party	Commissions	Leases and/or rights of use	Management fees	Corporate services	Legal services	Financial operations	Donations	Fees and salaries	Sale of properties
Subsidiaries Tyrus
REIG I	-	-	-	-	-	(2)	-	-	-
Total Subsidiaries Tyrus	-	-	-	-	-	(2)	-	-	-
Associates
Banco de Crédito y Securitización S.A.	-	1,993	-	-	-	-	-	-	-
Banco Hipotecario S.A.	-	664	-	-	-	-	-	-	-
Total Associates	-	2,657	-	-	-	-	-	-	-
Associates IRSA Propiedades Comerciales
Tarshop S.A.	-	3,468	-	-	-	-	-	-	-
Total Associates IRSA Propiedades Comerciales	-	3,468	-	-	-	-	-	-	-
Joint Ventures
Baicom S.A.	-	-	-	-	-	8	-	-	-
Cyrsa S.A.	-	-	-	-	-	(8,530)	-	-	-
Total Joint Ventures	-	-	-	-	-	(8,522)	-	-	-
Other related parties
Estudio Zang, Bergel & Viñes	-	-	-	-	(845)	-	-	-	-
Consultores Asset Management S.A.	-	243	-	-	-	-	-	-	-
Fundación IRSA	-	-	-	-	-	-	(1,226)	-	-
Isaac Elsztain e Hijos S.C.A.	-	(242)	-	-	-	-	-	-	-
Hamonet S.A.	-	(127)	-	-	-	-	-	-	-
Total Other related parties	-	(126)	-	-	(845)	-	(1,226)	-	-
Directors and Senior Management
Senior Management	-	-	-	-	-	-	-	(8,094)	-
Directors	-	-	-	-	-	-	-	(1,370)	-
Total Directors and Senior Management	-	-	-	-	-	-	-	(9,464)	-
Total	(19)	12,720	879	(23,293)	(845)	58,633	(1,226)	(9,464)	2,636,480

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Related party transactions (Continued)

The following is a summary of the transactions with related parties for the nine-month period ended March 31, 2014:


Related party	Leases and/or rights of use		Management fees		Corporate services			Legal services		Financial operations			Fees and salaries
Parent Company
Cresud S.A.C.I.F. y A		1,303		-		(22,016	)		-		(2,861	)		-
Total Parent company		1,303		-		(22,016	)		-		(2,861	)		-
Subsidiaries
IRSA Propiedades Comerciales S.A.		3,621		-		-			-		(6,562	)		-
E-Commerce Latina S.A.		-		4		-			-		(1,757	)		-
Inversora Bolivar S.A.		-		-		-			-		(2,144	)		-
Llao Llao Resorts S.A.		110		-		-			-
Ritelco S.A.		-		-		-			-		(22,645	)		-
Nuevas Fronteras S.A.		-		720		-			-		(3,928	)		-
Hoteles Argentinos S.A.
Efanur S.A.		-		-		-			-		23,135			-
Tyrus S.A.		-		-		-			-		101,582			-
Palermo Invest S.A.		-		-		-			-		(565	)		-
Total Subsidiaries		3,731		724		-			-		87,116			-
Subsidiaries IRSA Propiedades Comerciales S.A.
Fibesa S.A.		906		-		-			-		-			-
Panamerican Mall S.A.		-		-		-			-		(3,043	)		-
Emprendimiento Recoleta S.A.		-		-		-			-		(850	)		-
Total Subsidiaries IRSA Propiedades Comerciales S.A.		906		-		-			-		(3,893	)		-

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

29.	Related party transactions (Continued)

Related party	Leases and/or rights of use			Management fees		Corporate services			Legal services			Financial operations			Fees and salaries
Associates
Banco de Crédito y Securitización S.A.		530			-		-			-			-			-
Banco Hipotecario S.A.		458			-		-			-			-			-
Total Associates		988			-		-			-			-			-
Associates IRSA Propiedades Comerciales S.A.
Tarshop S.A.		2,679			-		-			-			-			-
Total Associates IRSA Propiedades Comerciales S.A.		2,679			-		-			-			-			-
Joint Ventures
Cyrsa S.A.		-			-		-			-			(14,596	)
Total Joint Ventures		-			-		-			-			(14,596	)
Other related parties
Estudio Zang, Bergel & Viñes		-			-		-			(750	)		-			-
Isaac Elsztain e Hijos S.C.A.		(179	)		-		-			-			-			-
Hamonet S.A.		(97	)		-		-			-			-			-
Total Other related parties		(276	)		-		-			(750	)		-			-
Directors and Senior Management
Senior Management		-			-		-			-			-			(1,984	)
Directors		-			-		-			-			-			(18,599	)
Total Directors and Senior Management		-			-		-			-			-			(20,583	)
Total		9,331			724		(22,016	)		(750	)		65,766			(20,583	)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

30. Special reserve

31.	CNV General Resolution No. 622

As required by Section 1°, Chapter III, Title IV of CNV General Resolution No. 622, below there is a detail of the notes to the Unaudited Condensed Interim Separate Financial Statements that disclosure the information required by the Resolution in Exhibits.

Exhibit A - Property, plant and equipment	Note 6 Investment properties and Note 7 Property, plant and equipment
Exhibit B - Intangible assets	Note 9 Intangible assets
Exhibit C - Equity investments	Note 32 Equity investments
Exhibit D - Other investments	Note 11 Financial instruments by category
Exhibit E - Provisions	Note 12 Trade and other receivables and Note 18 Provisions
Exhibit F- Cost of sales and services provided	Note 8 Trading properties and Note 24 Expenses by nature
Exhibit G - Foreign currency assets and liabilities	Note 33 Foreign currency assets and liabilities

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

32.	Equity investments

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
						Main activity	Registered office	Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders’ Equity
IRSA Propiedades Comerciales S.A.	Common shares 1 vote	120,500,167	783,239	777,737	87.00	Real estate	Argentina	03.31.15	126,014	441,367	818,409	95.70%
IRSA Propiedades Comerciales S.A.	Intergroup transactions and Higher value		(1,001,168)	389,197	87.00	Real estate	Argentina	03.31.15	126,014	441,367	818,409	95.70%

Banco Hipotecario S.A. (1)	Common shares 1 vote	75,000,000	218,079	203,693	5.95	Financial	Argentina	03.31.15	1,500,000	176,081	4,531,034	5.13%
Banco Hipotecario S.A. (1)					5.95	Financial	Argentina	03.31.15	1,500,000	176,081	4,531,034	5.13%

Banco de Crédito & Securitización S.A. (1)	Common shares 1 vote	3,984,375	15,367	13,610	Not publicly traded	Financial	Argentina	03.31.15	62,500	7,014	246,906	6.38%

Cyrsa S.A.	Common shares 1 vote	8,748,270	16,752	152,229	Not publicly traded	Real estate	Argentina	03.31.15	17,497	12,745	33,503	50.00%

E-Commerce Latina S.A.	Common shares 1 vote		253,034	236,735	Not publicly traded	Investment	Argentina	03.31.15	86,509	17,179	260,860	97.00%
	Irrevocable contributions	83,913,950	-	1,070
	Goodwill		(1,511)	(1,511)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

32.	Equity investments (Continued)

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
								Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders’ Equity
Efanur S.A.	Common shares 1 vote	213,743,711	112,789	95,849	Not publicly traded	Investment	Uruguay	03.31.15	47,598	14,846	112,968	100.00%
	Irrevocable contributions		179	221

Hoteles Argentinos S.A.	Common shares 1 vote	15,366,840	250	5,851	Not publicly traded	Hotel	Argentina	03.31.15	19,209	(7,000)	313	80.00%
	Higher value		684	785

Inversora Bolivar S.A.	Common shares 1 vote	78,909,867	276,443	261,218	Not publicly traded	Investment	Argentina	03.31.15	84,449	16,269	290,592	95.13%
	Irrevocable contributions		-	1,461
	Higher value		6,428	6,428

Llao Llao Resort S.A.	Common shares 1 vote	73,580,206	32,810	31,147	Not publicly traded	Hotel	Argentina	03.31.15	147,160	3,326	65,621	50.00%
	Higher value		91	101

Manibil S.A.	Common shares 1 vote	37,747,880	39,832	38,279	Not publicly traded	Real estate	Argentina	03.31.15	77,037	3,170	96,291	49.00%
	Irrevocable contributions		7,350	-
	Goodwill		10	10

Nuevas Fronteras S.A.	Common shares 1 vote	38,068,999	37,956	50,284	Not publicly traded	Hotel	Argentina	03.31.15	49,869	(148)	49,722	76.34%
	Lower value		(15,367)	(16,103)

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

32.	Equity investments (Continued)

Issuer and type of securities	Class / Items	Amount	Value recorded as of 03.31.15	Value recorded as of 06.30.14	Market value as of 03.31.15	Issuer's information						Interest in common stock
						Main activity	Registered office	Last financial statements issued
								Date	Common stock (nominal value)	Profit (loss) for the period	Shareholders’ Equity
Palermo Invest S.A.	Common shares 1 vote	153,283,989	231,121	214,149	Not publicly traded	Investment	Argentina	03.31.15	158,025	17,001	238,269	97.00%
	Irrevocable contributions		-	475
	Higher value		323	323
	Intergroup transactions		(29,987)	(29,987)

Ritelco S.A.	Common shares 1 vote	181,016,717	336,870	325,795	Not publicly traded	Investment	Uruguay	03.31.15	66,970	17,607	336,870	100.00%
	Irrevocable contributions		-	34
	Intergroup transactions		153	(190)

Solares de Santa María S.A.	Common shares 1 vote	306,706,975	283,750	285,078	Not publicly traded	Real estate	Argentina	03.31.15	338,693	(2,436)	314,288	90.57%
	Intergroup transactions		(166,521)	(166,521)
	Irrevocable contributions		885	880

Tyrus S.A.	Common shares 1 vote	3,761,514,117	(359,003)	339,468	Not publicly traded	Investment	Uruguay	03.31.15	1,832,384	(801,732)	683,330	100.00%
	Irrevocable contributions		1,042,333	196,884

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

32.	Equity investments (Continued)

Issuer and type of securities

Class / Items

Amount

Value recorded as of 03.31.15

Value recorded as of 06.30.14

Market value as of 03.31.15

Issuer's information

Interest in common stock

Main activity

Registered office

Last financial statements issued

Date

Common stock (nominal value)

Profit (loss) for the period

Shareholders’ Equity

Unicity S.A.

Common shares 1 vote

36,850,012

26,231

26,284

Not publicly traded

Investment

Argentina

03.31.15

41,588

(342)

29,892

88.62%

Irrevocable contributions

260

251

Total investments in subsidiaries, associates and joint ventures as of 03.31.15

2,149,662

Total investments in subsidiaries, associates and joint ventures as of 06.30.14

3,441,214

(1)

The amounts correspond to the financial statements of Banco Hipotecario S.A. and Banco de Crédito & Securitización S.A. prepared in accordance with the Central Bank of the Argentine Republic (“BCRA”) standards. For the purpose of the valuation of the investment in the Company, adjustments necessary to adequate the financial statements to the professional accounting standards have been considered.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

33.	Foreign currency assets and liabilities

Book amounts of foreign currency assets and liabilities are as follows:

Items	Amount of foreign currency (1)	Prevailing exchange rate (2)	Total as of 03.31.15	Amount of foreign currency (1)	Prevailing exchange rate (2)	Total as of 06.30.14
Assets
Trade and other receivables
US Dollar	2,604	8.82	22,973	2,223	8.033	17,855
Swiss Francs	75	9.08	683	27	9.051	242
Receivables with related parties:
US Dollar	264,134	8.72	2,303,779	49,855	8.133	405,467
Total trade and other receivables			2,327,435			423,564
Investments in financial assets
US Dollar	733	8.82	6,465	925	8.033	7,430
Investments with related parties:
US Dollar	4,068	8.72	35,481	-	-	-
Total investments in financial assets			41,946			7,430
Cash and cash equivalents
US Dollar	622	8.82	5,485	3,717	8.033	29,861
Euros	75	9.48	708	85	10.991	936
Brazilian Reais	-			1	3.55	2
Swiss Francs	-			-	9.051	1
Pounds	1	9.08	10	1	13.736	11
Total cash and cash equivalents			6,203			30,811
Total assets as of 03.31.15			2,375,584
Total assets as of 06.30.14						461,805
Liabilities
Trade and other payables
US Dollar	1,448	8.72	12,629	5,760	8.133	46,849
Payables with related parties:
US Dollar	10,302	8.72	89,856	361	8.133	2,936
Total trade and other payables			102,485			49,785
Borrowings
US Dollar	306,376	8.72	2,672,210	310,551	8.133	2,525,713
Borrowings with related parties:
US Dollar	8,271	8.72	72,136	22,565	8.133	183,524
Total borrowings			2,744,346			2,709,237
Total liabilities as of 03.31.15			2,846,831
Total liabilities as of 06.30.14						2,759,022

(1) Considering foreign currencies those that differ from Company’s functional currency at each period/year-end.

(2) Exchange rate as of March 31, 2015 and June 30, 2014 according to Banco Nación Argentina records.

IRSA Inversiones y Representaciones Sociedad Anónima

Notes to the Unaudited Condensed Interim Separate Financial Statements (Continued)

(All amounts in thousands of Argentine Pesos, except shares and per share data and as otherwise indicated)

Free translation from the original prepared in Spanish for the publication in Argentina

34.	Subsequent Events

· On April 15, 2015 the Board of Directors of IRSA Propiedades Comerciales announced dividends for Ps. 298.5 million available to the shareholders; those pertaining to the Company amounts to Ps. 284.8 million.

See other subsequent events in Note 41 to Unaudited Condensed Interim Consolidated Financial Statements.

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

1. Specific and significant systems that imply contingent lapsing or rebirth of benefits envisaged by such provisions.

None.

2. Significant changes in the Company’s activities or other similar circumstances that occurred during the fiscal years included in the financial statements, which affect their comparison with financial statements filed in previous fiscal years, or that could affect those to be filed in future fiscal years.

See Note 2.1.

3. Receivables and liabilities by maturity date.

Items		Falling due (Point 3.a.)	Without term (Point 3.b)	Without term (Point 3.b)	To be due (Point 3.c.)								Total
Items		03.31.15	Current	Non-current	Up to 3 months	From 3 to 6 months	From 6 to 9 months	From 9 to 12 months	From 1 to 2 years	From 2 to 3 years	From 3 to 4 years	From 4 years on	Total
Account	Trade and other receivables	36,838	2,895	315	260,417	63,683	92,731	5	4,384	2,372,615	39	(114,148)	2,719,774
receivable	Total	36,838	2,895	315	260,417	63,683	92,731	5	4,384	2,372,615	39	(114,148)	2,719,774
Liabilities	Trade and other payables	30,081	879	8	132,493	243	89	7,022	884	31	29	27	171,786
	Borrowings	-	-	-	275,997	48,470	234,274	737	2,690,714	1,056	-	(26,042)	3,225,206
	Salaries and social security liabilities	465	950	-	3,279	-	2,735	-	-	-	-	-	7,429
	Provisions	-	25,112	879	-	-	-	-	-	-	-	-	25,991
	Total	30,546	26,941	887	411,769	48,713	237,098	7,759	2,691,598	1,087	29	(26,015)	3,430,412

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

4.a. Breakdown of accounts receivable and liabilities by currency and maturity.

Items		Current			Non-current			Totals
		Local currency	Foreign currency	Total	Local currency	Foreign currency	Total	Local currency	Foreign currency	Total

Account	Trade and other receivables	388,214	68,355	456,569	4,125	2,259,080	2,263,205	392,339	2,327,435	2,719,774
receivables	Total	388,214	68,355	456,569	4,125	2,259,080	2,263,205	392,339	2,327,435	2,719,774
Liabilities	Trade and other payables	68,577	102,23	170,807	724	255	979	69,301	102,485	171,786
	Borrowings	439,533	119,945	559,478	41,327	2,624,401	2,665,728	480,86	2,744,346	3,225,206
	Salaries and social security liabilities	7,429	-	7,429	-	-	-	7,429	-	7,429
	Provisions	25,112	-	25,112	879	-	879	25,991	-	25,991
	Total	540,651	222,175	762,826	42,93	2,624,656	2,667,586	583,581	2,846,831	3,430,412

4.b.	Breakdown of accounts receivable and liabilities by adjustment clause.

As of March 31, 2015 there are not receivable and liabilities subject to adjustment clause.

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

4.c. Breakdown of accounts receivable and liabilities by interest clause.

Items		Current				Non-current				Accruing interest		Non- accruing interest	Total
		Accruing interest		Non-accruing interest	Total	Accruing interest		Non-accruing interest	Total	Accruing interest
		Fixed rate	Floating rate	Non-accruing interest	Total	Fixed rate	Floating rate	Non-accruing interest	Total	Fixed rate	Floating rate
Accounts	Trade and other receivables	-	-	456,569	456,569	78,075	-	2,185,130	2,263,205	78,075	-	2,641,699	2,719,774
receivables	Total	-	-	456,569	456,569	78,075	-	2,185,130	2,263,205	78,075	-	2,641,699	2,719,774
Liabilities	Trade and other payables	-	-	170,807	170,807	113	-	866	979	113	-	171,673	171,786
	Borrowings	72,136	202,725	284,617	559,478	2,637,473	33,325	(5,070)	2,665,728	2,709,609	236,050	279,547	3,225,206
	Salaries and social security liabilities	-	-	7,429	7,429	-	-	-	-	-	-	7,429	7,429
	Provisions	-	-	25,112	25,112	-	-	879	879	-	-	25,991	25,991
	Total	72,136	202,725	487,965	762,826	2,637,586	33,325	(3,325)	2,667,586	2,709,722	236,050	484,640	3,430,412

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

5. Related parties.

a.	Interest in related parties.


Name of the entity	% of ownership interest held by the Group
Direct Controlling interest of IRSA:
IRSA Propiedades Comerciales		95.80	%
E-Commerce Latina S.A.		100.00	%
Efanur S.A.		100.00	%
Hoteles Argentinos S.A.		80.00	%
Inversora Bolívar S.A.		100.00	%
Llao Llao Resorts S.A.		50.00	%
Nuevas Fronteras S.A.		76.34	%
Palermo Invest S.A.		100.00	%
Ritelco S.A.		100.00	%
Solares de Santa María S.A.		100.00	%
Tyrus S.A.		100.00	%
Unicity S.A.		100.00	%

See investments in equity securities (Note 32).

b.	Related parties debit/credit balances. See Note 29 to the Unaudited Condensed Interim Separate Financial Statements.

6.	Loans to directors.

See Note 29 to the Unaudited Condensed Interim Separate Financial Statements.

7.	Inventories.

In view of the nature of the inventories, no physical inventories are performed and there are no slow turnover assets.

8.	Current values.

See Note 2 to the Consolidated Financial Statements as of June 30, 2014.

9.	Appraisal revaluation of property, plant and equipment.

None.

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

10.	Obsolete unused property, plant and equipment.

None.

11.	Equity interest in other companies in excess of that permitted by section 31 of law N° 19,550.

None.

12.	Recovery values.

See Note 2 to the Consolidated Financial Statements as of June 30, 2014.

13.	Insurances.

Insured Assets.

Real Estate	Insured amounts (1)		Accounting values		Risk covered
REPÚBLICA BUILDING		96,361		195,184	All operational risk with additional coverage and minor risks
BOUCHARD 551		63,303		7,762	All operational risk with additional coverage and minor risks
MORENO 877		49,508		52,082	All operational risk with additional coverage and minor risks
BOUCHARD 710		39,587		60,306	All operational risk with additional coverage and minor risks
MAIPU 1300		25,787		17,579	All operational risk with additional coverage and minor risks
SUIPACHA 652		17,041		7,868	All operational risk with additional coverage and minor risks
LIBERTADOR 498		3,423		3,997	All operational risk with additional coverage and minor risks
DIQUE IV		3,056		52,653	All operational risk with additional coverage and minor risks
RIVADAVIA 2768		369		305	All operational risk with additional coverage and minor risks
MADERO 1020		216		119	All operational risk with additional coverage and minor risks
CONSTITUCIÓN 1111		191		693	All operational risk with additional coverage and minor risks
CASONA ABRIL		11,753		2,357	All operational risk with additional coverage and minor risks
CATALINA NORTE PLOT OF LAND		2,000		109,496	All operational risk with additional coverage and minor risks
SUBTOTAL		312,595		510,401
SINGLE POLICY		15,000			Third party liability

(1)	The insured amounts are in thousands of U.S. dollars.

In our opinion, the above-described insurance policies cover current risks adequately.

IRSA Inversiones y Representaciones Sociedad Anónima

Information required by Section 68 of the Buenos Aires Stock Exchange Regulations

and Section 12, Chapter III, Title IV of Resolution 622/13

Statement of Financial Position as of March 31, 2015

Stated in thousands of pesos

Free translation from the original prepared in Spanish for publication in Argentina

14.	Allowances and provisions that, taken individually or as a whole, exceed 2% of the shareholder’s equity.

None.

15.	Contingent situations at the date of the financial statements which probabilities are not remote and the effects on the Company´s financial position have not been recognized.

Not applicable.

16.	Status of the proceedings leading to the capitalization of irrevocable contributions towards future subscriptions.

Not applicable.

17.	Unpaid accumulated dividends on preferred shares.

None.

18.	Restrictions on distributions of profits.

According to the Argentine laws, 5% of the profit of the year is separated to constitute legal reserves until they reach legal capped amounts (20% of total capital). These legal reserves are not available for dividend distribution.

In addition, according to CNV General Resolution No. 609/12, a special reserve was constituted which could not be released to make distributions in cash or in kind. See Note 26 to the Unaudited Condensed Interim Consolidated Financial Statements.

IRSA NCN due 2017 and IRSA NCN due 2020 both contain certain customary covenants and restrictions, including amount others, limitations for the incurrence of additional indebtedness, restricted payments, disposal of assets, and entering into certain transactions with related companies. Restricted Payments include restrictions on the payment of dividends.

Autonomous City of Buenos Aires May 8, 2015.

Free translation from the original prepared in Spanish for publication in Argentina

REVIEW REPORT ON THE UNAUDITED CONDENSED

INTERIM SEPARATE FINANCIAL STATEMENTS

To the Shareholders, President and Directors of

IRSA Inversiones y Representaciones Sociedad Anónima

Legal address: Bolivar 108 – 1° floor

Autonomous City Buenos Aires

Tax Code No. 30-52532274-9

Introduction

We have reviewed the unaudited condensed interim separate financial statements attached of IRSA Inversiones y Representaciones Sociedad Anónima (hereinafter “the Company”) which included the unaudited condensed interim separate statements of financial position as of March 31, 2015, and the unaudited condensed interim separate statements of income and comprehensive income for the nine and three-month periods ended March 31, 2015 and the unaudited condensed interim separate statements of changes in shareholders’ equity and the unaudited condensed interim separate statements of cash flows for the nine-month period ended March 31, 2015 and selected explanatory notes.

Management responsibility

The Board of Directors of the Company is responsible for the preparation and presentation of these unaudited condensed interim separate financial statements in accordance with professional accounting standards of Technical Resolution No. 26 of the Argentine Federation of Professional Councils in Economic Sciences (FACPCE) added by the National Securities Commission (CNV) to its regulations. Those standards differ from the International Financial Reporting Standards (IFRS) and, especially, from the International Accounting Standard No 34 "Interim Financial Reporting" (IAS 34) approved by the International Accounting Standard Board (IASB) and used for the preparation of the unaudited condensed interim consolidated financial statements of IRSA Inversiones y Representaciones Sociedad Anónima with its subsidiaries as to the aspects mentioned in note 2.1 to the unaudited condensed interim separate financial statements attached. Our responsibility is to express a conclusion based on the review that we have performed with the scope detailed in paragraph “Scope of our review”.

Free translation from the original prepared in Spanish for publication in Argentina

Scope of our review

Our review was limited to the application of the procedures established in the International Standard on Review Engagements ISRE 2410 "Review of interim financial information performed by the independent auditor of the entity", which was adopted as a review standard in Argentina through Technical Resolution No. 33 of the FACPCE as approved by the International Auditing and Assurance Standards Board (IAASB). A review of interim financial information consists of making inquiries of persons responsible for the preparation of the information included in the unaudited condensed interim separate financial statements, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion on the separate statement of financial position, the separate statement of income, the separate statement of comprehensive income and separate statement of cash flow of the Company.

Conclusion

Nothing came to our attention as a result of our review that caused us to believe that these unaudited condensed interim separate financial statements mentioned in the first paragraph of this report have not been prepared in all material respects in accordance with the regulations of Technical Resolution No. 26 of the Argentine Federation of Professional Councils in Economic Sciences for separate financial statements of a parent company.

Report on compliance with current regulations

In accordance with current regulations, we report about IRSA Inversiones y Representaciones Sociedad Anónima that:

the unaudited condensed interim separate financial statements of IRSA Inversiones y Representaciones Sociedad Anónima are recorded in the "Inventory and Balance Sheet Book", and comply, as regards those matters that are within our competence, with the provisions set forth in the Commercial Companies Law and in the corresponding resolutions of the National Securities Commission;

b)	the unaudited condensed interim separate financial statements of IRSA Inversiones y Representaciones Sociedad Anónima arise from accounting records carried in all formal aspects in conformity with the applicable legal provisions;

we have read the additional information to the notes to the unaudited condensed interim separate statements required by section 68 of the listing regulations of the Buenos Aires Stock Exchange and by section 12 of Chapter III Title IV of the text of the National Securities Commission, on which, as regards those matters that are within our competence, we have no observations to make;

Free translation from the original prepared in Spanish for publication in Argentina

d)	at March 31, 2015, the debt of IRSA Inversiones y Representaciones Sociedad Anónima owed in favor of the Argentina Integrated Pension System which arises from accounting records and submissions amounted to Ps. 423,836 which was no callable at that date.

Autonomous City of Buenos Aires, May 8, 2015

PRICE WATERHOUSE & CO. S.R.L.		ABELOVICH, POLANO & ASOCIADOS S.R.L.


(Partner)		(Partner)
C.P.C.E.C.A.B.A. Tº 1 Fº 17		C.P.C.E. C.A.B.A. T° 1 F° 30
Eduardo A. Loiácono		José Daniel Abelovich
Public Accountant (UBA)		Public Accountant (U.B.A.)
C.P.C.E.C.A.B.A. Tº 326 Fº 94		C.P.C.E.C.A.B.A. T° 102 F° 191

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Buenos Aires, May 8, 2015 - IRSA Inversiones y Representaciones Sociedad Anónima (NYSE: IRS) (BASE: IRSA), Argentina’s leading real estate company, announces today the results of its operations for the first nine months of fiscal year 2015 ended March 31, 2015.

I. Brief comment on the Company’s activities during the period, including references to significant events occurred after the end of the period.

Consolidated Income

(in millions of ARS, excluding joint ventures)

	IIIQ 15			IIIQ 14			YoY Var		9M 15		9M 14		YoY Var
Revenues		812.5			664.3			22.3%	2,509.0		2,022.2			24.1%
Operating Income		281.1			364.2			(22.8)%	1,866.7		888.8			110.0%
Depreciation and Amortization		49.3			55.4			(11.0)%	134.5		168.7			(20.3)%
EBITDA(1)		330.4			419.6			(21.3)%	2,111.7		1,057.5			99.7%
Net Loss		(210.3	)		(52.8	)		298.3%	(163.4	)	(78.8	)		107.4%
Attributable to the parent company’s shareholders		(249.2	)		(70.4	)		254.0%	(244.7	)	(92.0	)		166.0%
Attributable to non-controlling interest		38.9			17.6			121.0%	81.3		13.2			515.9%

(1) EBITDA: Operating Income plus Depreciation and Amortization, excluding stamp tax expenses incurred in the transfer of assets.

„

Revenues were 24.1% higher than in the first nine months of the previous fiscal year, mainly explained by the “Shopping Centers” segment, whose revenues increased by 29.2%, and the “Offices” and “Hotels” segments, whose revenues increased by 25.5% and 24.7%, respectively, offset by lower revenues in the “International” segment due to the sale of the Madison building in September 2014.

„

The Company’s EBITDA decreased during the third quarter of 2015 by 21.3% compared to the same quarter of 2014 due to lower sales of investment properties. However, considering the first nine months of the previous fiscal year, EBITDA increased by 99.7%, reaching ARS 2,111.7 million, mainly due to the sale of Madison 183 building in the City of New York recorded in the first quarter of 2015, and the sale of various office floors in Maipú 1300, Libertador 498 and Bouchard Plaza buildings during the second quarter of 2015. Excluding the effect of these sales and the reversal of the cumulative translation adjustment generated in Rigby 183 as a result of the sale of Madison building for ARS 188.3 million, the Company’s EBITDA rose 19.1% compared to the same nine-month period of the previous fiscal year, reaching ARS 1,122.4 million.

„

Net Income for the first nine months of fiscal year 2015 was an ARS 163.4 million loss, explained mainly by lower financial results and an ARS 856.0 million loss generated by our investment in the Israeli company IDBD, whose stock prices decreased by 70.8%, from NIS 4.605 to NIS 1.344 and which is recorded at market value.

II. Shopping Centers.

New Opening

On March 17, 2015, we opened our fifteenth shopping center, “Alto Comahue”, located in the City of Neuquén, in the Argentine Patagonian region. It has a total area of 35,000 square meters and 10,000 square meters of gross leaseable area, approximately 1,000 parking spaces, including roofed and semi-roofed areas, and a large entertainment and leisure area. The shopping center

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

features 130 stores from the most renowned brands in Argentina. It includes 6 cinema screens and a thematic restaurant, which will become operational in the next months.

The project is part of a mixed-use complex that also includes a supermarket in operation and 2 additional parcels of land. In one of these parcels the development of a hotel is planned, while in the other, covering 18,000 sqm and owned by the company, a future housing development has been projected.

The investment made in this project amounted approximately to ARS 250 million.

Results

Our tenants’ sales reached ARS 15,381.6 million during the nine-month period of 2015, 32.9% higher than in the same period of 2014 (31.4% without considering sales from Distrito Arcos and Alto Comahue Shopping). During the third quarter, sales of the same shopping centers grew by 31.3% compared to 2014 and 35.4% if the recent openings of Distrito Arcos and Alto Comahue are considered. Our portfolio’s leaseable area was 333,432 square meters during the period under review, whereas the occupancy rate stood at 98.5%.

Financial indicators of the Shopping Centers segment

(in millions of ARS)

	IIIQ 15		IIIQ 14		YoY Var		9M 15	9M 14	YoY Var
Revenues		588.9		441.8		33.3%	1,879.2	1,454.5		29.2%
Operating Income		258.1		203.2		27.0%	884.7	661.6		33.7%
Depreciation and Amortization		36.6		34.4		6.4%	98.7	108.2		(8.8)%
EBITDA		294.7		237.6		24.0%	983.4	769.8		27.7%

Operating indicators of the Shopping Centers segment

(in millions of ARS, except as indicated)

	IIIQ 15		IIQ 15		IQ 15		IVQ 14		IIIQ 14
Gross Leaseable Area (sqm)(1)		333,432		320,761		310,254		311,261		310,257
Tenants’ Sales (3 month cumulative)(1)		4,725.2		6,097.4		4,559.0		4,560.7		3,488.9
Occupancy(1)		98.5%		98.4%		98.5%		98.4%		98.8%

(1) FP-15 includes Distrito Arcos (opened on Dec-14, 18th): Gross Leaseable Area (sqm) as of March: 12,127, Sales as of March (MM) 144.0 and Alto Comahue (opened on March-15, 17th): Gross Leaseable Area (sqm) as of March: 9,533, Sales as of March (MM) 26.5. Occupancy includes Distrito Arcos (97.3% during the IIIQ 15, 96.8% during the IIQ 15) and Alto Comahue (89.6% during the IIIQ 15).

Revenues from this segment grew 29.2% during the nine-month period, whereas Operating Income reached ARS 884.7 million (33.7% higher than in the same period of 2014). The EBITDA margin, excluding revenues from common expenses and collective promotion fund, reached 78.0%, in line with the margins observed during fiscal year 2014.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Operating data of our Shopping Centers

Shopping Center	Date of Acquisition	Gross Leaseable Area (sqm)(1)		Stores		IRSA Propiedades Comerciales S.A.’s Interest		Occupancy (2)		Book Value (ARS thousand) (3)
Alto Palermo	Nov-97		18,899		146		100.0%		99.0%		253,541
Abasto Shopping(4)	Jul-94		36,729		171		100.0%		100.0%		261,954
Alto Avellaneda	Nov-97		37,358		143		100.0%		99.6%		132,989
Alcorta Shopping	Jun-97		15,222		107		100.0%		100.0%		102,114
Patio Bullrich	Oct-98		11,904		85		100.0%		100.0%		113,282
Buenos Aires Design	Nov-97		13,888		63		53.7%		95.1%		14,275
Dot Baires Shopping	May-09		49,847		157		80.0%		100.0%		411,756
Soleil	Jul-10		13,993		78		100.0%		100.0%		85,159
Distrito Arcos(5)	Dec-14		12,127		63		90.0%		97.3%		230,758
Alto Noa Shopping	Mar-95		19,073		89		100.0%		100.0%		30,033
Alto Rosario Shopping(6)	Nov-04		28,320		144		100.0%		97.8%		115,701
Mendoza Plaza Shopping	Dec-94		42,146		145		100.0%		96.3%		103,049
Córdoba Shopping	Dec-06		15,352		107		100.0%		99.4%		61,997
La Ribera Shopping(7)	Aug-11		9,041		58		50.0%		96.7%		21,427
Alto Comahue(8)	Mar-15		9,533		104		99.1%		89.6%		262,995
Total Shopping Centers			333,432		1,660				98.5%		2,201,030

(1) Corresponds to gross leasable area in each property. Excludes common areas and parking spaces.

(2) Calculated dividing occupied square meters by leasable area on the last day of the period.

(3) Cost of acquisition plus improvements, less cumulative depreciation

(4) Excludes Museo de los Niños (3,732 sqm).

(5) Distrito Arcos: opened on Dec-14, 18th.

(6) Excludes Museo de los Niños (1,261 sqm).

(7) Through our joint ventures Nuevo Puerto Santa Fe S.A.

(8) Alto Comahue: opened on March-15, 17th.

Cumulative tenants’ sales as of March 31

(by Shopping Center, for the quarter and for the first nine months of each fiscal year, in millions of ARS)

Shopping Center	IIIQ 15		IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Alto Palermo		542.9		444.9		22.0	%	1,948.3	1,502.7		29.7	%
Abasto Shopping		685.7		518.0		32.4	%	2,306.7	1,771.9		30.2	%
Alto Avellaneda		628.9		489.7		28.4	%	2,086.0	1,678.8		24.3	%
Alcorta Shopping		292.8		235.8		24.2	%	1,074.1	802.7		33.8	%
Patio Bullrich		175.7		148.1		18.6	%	645.5	500.8		28.9	%
Buenos Aires Design		80.8		64.5		25.3	%	239.9	200.8		19.5	%
Dot Baires Shopping		557.3		435.7		27.9	%	1,881.9	1,454.3		29.4	%
Soleil		197.5		141.1		40.0	%	660.3	460.3		43.4	%
Distrito Arcos(1)		119.4		-		-		144.0	-		-
Alto Noa Shopping		262.5		183.7		42.9	%	777.5	547.2		42.1	%
Alto Rosario Shopping		438.2		303.5		44.4	%	1,389.4	981.1		41.6	%
Mendoza Plaza Shopping		449.7		336.0		33.8	%	1,380.8	1,077.0		28.2	%
Córdoba Shopping		168.4		117.3		43.6	%	541.9	392.4		38.1	%
La Ribera Shopping(2)		98.8		70.6		39.9	%	278.7	202.0		38.0	%
Alto Comahue(3)		26.6		-		-		26.6	-		-
Total(4)		4,725.2		3,488.9		35.4	%	15,381.6	11,572.0		32.9	%

(1) Distrito Arcos: Opened on Dec-14, 18th.

(2) Through our joint ventures Nuevo Puerto Santa Fe S.A.

(3) Alto Comahue: Opened on March-15, 17th.

(4) Excluding Distrito Arcos and Alto Comahue: Total IIIQ 15 (ARS MM) 4,579.3, Var 31.3%. Total 9M 15 (ARS MM) 15,211.0, Var 31.4%.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Cumulative tenants’ sales as of March 31

(by Type of Business, for the quarter and for the first nine months of each fiscal year, in millions of ARS)

Type of Business	IIIQ 15		IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Anchor Store		269.3		231.1		16.5	%	941.3	787.9		19.5	%
Clothes and Footwear		2,266.7		1,581.2		43.4	%	7,807.5	5,599.2		39.4	%
Entertainment		186.7		144.0		29.7	%	507.2	404.0		25.5	%
Home		853.0		693.6		23.0	%	2,617.6	2,176.7		20.3	%
Restaurant		488.2		373.9		30.6	%	1,408.1	1,095.3		28.6	%
Miscellaneous		595.3		432.6		37.6	%	1,948.1	1,415.5		37.6	%
Services		66.0		32.5		103.1	%	151.8	93.4		62.5	%
Total(1)		4,725.2		3,488.9		35.4	%	15,381.6	11,572.0		32.9	%

(1) Excluding Distrito Arcos and Alto Comahue: Total IIIQ 15 (ARS MM) 4,579.3, Var 31.3%. Total 9M 15 (ARS MM) 15,211.0, Var 31.4%.

Revenues from cumulative leases as of March 31

(Detailed revenues, for the quarter and for the first nine months of each fiscal year, in millions of ARS)

Detailed Revenues	IIIQ15			IIIQ14			YoY Var			9M 15	9M 14	YoY Var
Base Rent		240.2			185.8			29.3	%	685.6	549.4		24.8	%
Percentage Rent		84.9			52.9			60.5	%	345.1	234.1		47.4	%
Total Rent		325.1			238.7			36.2	%	1,030.7	783.5		31.6	%
Admission rights		41.7			32.5			28.3	%	113.3	92.6		22.4	%
Fees		12.9			16.0			(19.4	)%	33.7	32.8		2.7	%
Parking		25.6			19.4			32.0	%	78.5	59.4		32.2	%
Management fees		(13.0	)		(10.9	)		19.3	%	-	-		-
Other		1.8			1.3			38.5	%	4.5	3.3		36.4	%
Total Revenues before Common Expenses and Collective Promotion Fund		394.1			297.0			32.7	%	1,260.6	971.6		29.7	%
Common Expenses and Collective Promotion Fund		194.9			144.8			34.6	%	618.6	482.9		28.1	%
Total Revenues		588.9			441.8			33.3	%	1,879.2	1,454.5		29.2	%

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

III. Offices.

The A+ office market in the City of Buenos Aires remains robust. According to L.J. Ramos, there was a slight increase in rental and sales prices of premium spaces at the beginning of 2015. A+ buildings’ average rental price was USD 28 per sqm, while the premium sqm in Buenos Aires reached USD 4,000 per sqm. Contrary to this effect, the vacancy rate rose slightly in the City of Buenos Aires at the beginning of 2015, reaching 12.4%, 2.4 pp. above the rate recorded last year.

Evolution of A+ offices profitability in the City of Buenos Aires

(USD/sqm)

Source: LJ Ramos

In Millions of ARS	IIIQ 15		IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Revenues		102.8		92.4		11.3	%	304.8	242.9		25.5	%
Operating Income		51.4		52.2		(1.5	)%	50.3	117.6		(57.2	)%
Depreciation and Amortization		10.2		8.5		20.0	%	26.9	25.6		5.1	%
EBITDA(1)		61.6		60.8		1.5	%	187.7	143.2		31.1	%
(1) EBITDA: Operating Income plus Depreciation and Amortization excluding stamp tax expenses incurred in the transfer of assets.

	IIIQ 15			IIQ 15			IQ 15			IVQ 14			IIIQ 14
Gross Leaseable Area		112,895			112,925			121,380			122,470			127,342
Occupancy		98.4	%		98.4	%		97.9	%		97.5	%		98.7	%
Rental price ARS/sqm		223.7			218.1			215.4			196.4			196.5
Rental price USD/sqm		26.6			25.4			25.2			23.0			23.6

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

►

Revenues from the Offices segment increased by 11.3% in the quarter under analysis compared to the same quarter of the previous fiscal year and 25.5% in the first nine months of fiscal year 2015. The portfolio’s rental price was USD 26.6 per square meter, higher than the USD 25.4 per square meter observed in the previous fiscal year, whereas the occupancy rate remained stable during the third quarter of 2015.

►	EBITDA from this segment, excluding the effect of stamp tax expenses originated by the transfer of assets to our subsidiary IRSA Propiedades Comerciales S.A., increased by 31.1% during the first nine months of 2015 compared to 2014.

►	The EBITDA margin for the period, excluding revenues from common expenses and the expenses incurred in the above mentioned transfer, was 71.7%, similar to the past quarter and above the 69.5% recorded in the same quarter of 2014.

Below is information on our office segment and other rental properties as of March 31, 2015.

Offices Operating Data

(In thousands of ARS, except as indicated)

	Date of Acquisition		GLA sqm (1)		Occupancy (2)			Interest (7)			Book Value (3)
Offices
República building(7)	Apr-08			19,885		96.8	%		95.80	%		195,184
Torre Bankboston (Della Paolera)(7)	Aug-07			14,873		100.0	%		95.80	%		138,328
Bouchard 551	Mar-07			-		-			100.00	%		7,762
Intercontinental Plaza(7)	Nov-97			22,535		100.0	%		95.80	%		59,517
Bouchard 710(7) (9)	Jun-05			15,014		100.0	%		95.80	%		60,306
Dique IV, Juana Manso 295	Dec-97			11,298		99.5	%		100.00	%		52,653
Maipú 1300	Sep-95			5,701		92.4	%		100.00	%		17,579
Libertador 498	Dec-95			620		100.0	%		100.00	%		3,997
Suipacha 652/64(7)	Nov-91			11,453		96.7	%		95.80	%		7,868
Madero 1020	Dec-95			-		-			100.00	%		119
Dot Building (7)	Nov-06			11,242		100.0	%		76.60	%		95,617
Other Offices (4)		N/A		274		-			-			305
Subtotal Offices				112,895		98.4	%		-			639,235

Other Properties
Commercial Properties (5)		N/A		312		-			-			693
Santa María del Plata S.A.	Jul-97			96,100		100.0	%		100	%		12,513
Nobleza Piccardo (8)	May-11			98,610		100.0	%		50	%		4,307
Other Properties (6)		N/A		43,646		55.1	%		-			280,308
Subtotal Other Properties				238,668		91.7	%		-			297,821
TOTAL OFFICES AND OTHER				351,563		93.8	%		-			937,056

Notes:

(1) Total leaseable area for each property as of March 31, 2015. Excludes common areas and parking.

(2) Calculated dividing occupied square meters by leaseable area as of March 31, 2015.

(3) Cost of acquisition, plus improvements, less accumulated depreciation, plus adjustment for inflation, less allowance for impairment.

(4) Includes the following properties: Rivadavia 2774.

(5) Includes the following properties: Constitución 1111.

(6) Includes the following properties: La Adela, Abasto, Dot Adjoining Plot, Anchorena 665, Zelaya 3102 and Ocampo Parking Spaces.

(7) Through IRSA Propiedades Comerciales as from December 22, 2014 as a result of the transfer of office buildings from its

Parent company IRSA Inversiones y Representaciones Sociedad Anónima.

(8) Through Quality Invest S.A.

(9) Leaseable area modified to reflect spaces pending permit.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

IV. Sales and Developments

As measured by the ISAC (construction business synthetic indicator), the construction business grew by 5.3% during the first calendar quarter of 2015 compared to 2014, continuing with the upward trend observed during the last months due to a positive change in businessmen’s expectations. As concerns the prices of new and used residential units, a slightly decreasing trend has been noted in terms of USD/sqm, with less real estate transactions closed. In our case, IRSA has a small number of units in its portfolio pending sale or execution of title deeds.

Sales and Developments in Millions of ARS	IIIQ 15			IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Revenues		5.0			5.5		(9.1	)%	11.5	46.5		(75.3	)%
Operating Income		(20.0	)		97.9		(120.4	)%	457.7	97.9		367.5	%
Depreciation and Amortization		-			-		-		-	-		-
EBITDA		(20.0	)		97.9		(120.4	)%	457.7	97.9		367.5	%

„

During the nine-month period of fiscal year 2015 sales totaled ARS 11.5 million, 75.3% lower than in 2014, mainly due to lower sales of Condominios del Alto I and II in the City of Rosario by our subsidiary IRSA Propiedades Comerciales. Operating income and EBITDA increased due to the higher revenues from sales of investment properties, originated in the sales of several floors of Bouchard 551, Maipú 1300 and Libertador 498 buildings. In particular, during the third quarter, lower sales of investments properties were recorded compared to the same quarter of 2014.

Sales and Developments Table

(In thousands of ARS except as indicated)

DEVELOPMENT	9M 15	9M 14	YoY Var
Residential Apartments
Condominios I & II(1)	3,673	19,059		(80.7	)%
Caballito Nuevo	1,587	177		796.6	%
Libertador 1703 & 1755 (Horizons)(2)	5,176	20,519		(74.8	)%
Other residential apartments(3)	-	44		(100.0	)%
Subtotal Residential Apartments	10,436	39,799		(73.8	)%
Residential Communities
Abril/Baldovinos(4)	646	1,750		(63.1	)%
El Encuentro	461	4,902		(90.6	)%
Subtotal Residential Communities	1,107	6,652		(83.4	)%
TOTAL	11,543	46,451		(75.2	)%

(1)	Through IRSA Propiedades Comerciales S.A.

(2)	Owned by CYRSA S.A.

(3)	Includes the following property: Torres Jardín.

(4)	Includes sale of shares in Abril.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Development	Company	Interest			Date of Acquisition		Land Area sqm		Saleable area sqm(1)		Buildable area sqm		Sold(2)			Title Deed Executed (3)			Location	Accumulated revenues as of March 2015		Accumulated revenues as of March 2014		Book Value
Residential Properties
Available for sale(4)
Condominios del Alto I	IRSA CP		100	%	04/30/1999			-		2,082		-		79	%		79	%	Santa Fe		3,673		19,059		415
Condominios del Alto II	IRSA CP		100	%	04/30/1999			-		5,009		-		96	%		96	%	Santa Fe		-		-		945
Caballito Nuevo	IRSA		100	%	11/03/1997			-		8,173		-		99	%		99	%	CABA		1,587		177		23
Barrio Chico	IRSA		100	%	03/01/2003			-		3,492		-		99	%		99	%	CABA		-		-		124
El Encuentro	IRSA		100	%	11/18/1997			-		122,795		-		100	%		99	%	Buenos Aires		461		4,902		-
Abril Club de Campo – Loteo	IRSA		100	%	01/03/1995			-		5,137		-		100	%		100	%	Buenos Aires		646		1,750		2,357
Abril Club de Campo - Casona(5)	IRSA		100	%	01/03/1995			31,224		34,605		-		-			-		Buenos Aires		-		-		-
Torres Jardín	IRSA		100	%	07/18/1996			-		-		-		-			-		CABA		-		-		-
Departamento Entre Ríos 465/9	IRSA CP		100	%		-		-		-				-			-		Buenos Aires		-		-		1,400
Alto Palermo Park	IRSA CP		100	%	11/18/1997			-		-		-		-			-		CABA		-		-		-
Horizons	IRSA		50	%	01/16/2007			-		71,512		-		100	%		100	%	Buenos Aires		5,176		20,519		3,140
Intangible – Units to be received
Beruti (Astor Palermo) (6)	IRSA CP		100	%	06/24/2008			-		2,632		-		-			-		CABA		-		44		32,872
Caballito Manzana 35	IRSA		100	%	10/22/1998			-		8,258		-		-			-		CABA		-		-		52,205
Pereiraola (Greenville)	IRSA		100	%	04/21/2010			-		39,634		-		-			-		Buenos Aires		-		-		8,200
CONIL - Güemes 836 – Mz. 99 and Güemes 902 – Mz. 95 y Commercial Stores	IRSA CP		100	%	07/19/1996			2,398		1,389		5,994		-			-		Buenos Aires		-		-		5,409
Canteras Natal Crespo (2 commercial plots)	IRSA		50	%	07/27/2005			39,546		-		59,319		-			-		Córdoba		-		-		-
Subtotal Residential Properties								73,168		304,718		65,313									11,543		46,451		107,090
Land Reserves
Isla Sirgadero	IRSA		100	%	02/16/2007			8,360,000		-		N/A		-			-		Santa Fe		-		-		2,895

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Pilar R8 Km 53	IRSA	100	%	05/29/1997		74,828	-		-	-		-		Buenos Aires	-	-	1,550
Pontevedra	IRSA	100	%	02/28/1998		730,994	-		-	-		-		Buenos Aires	-	-	918
Mariano Acosta	IRSA	100	%	02/28/1998		967,290	-		-	-		-		Buenos Aires	-	-	804
Merlo	IRSA	100	%	02/28/1998		1,004,987	-		-	-		-		Buenos Aires	-	-	639
Terreno Rosario	IRSA CP	100	%	04/30/1999		-	-		-	100	%	100	%	Santa Fe	-	-	-
Zelaya 3102	IRSA	100	%	07/01/2005		-	-		-	-		-		CABA	-	-	1,722
Terreno San Luis	IRSA	50	%	03/31/2008		3,250,523	-		-	-		-		San Luis	-	-	1,584
Subtotal Land Reserves						14,388,622	-		-						-	-	10,112
Future Developments
Mixed Uses
UOM Lujan(7)	IRSA CP	100	%	05/31/2008		1,160,000	-	no data		-		-		Buenos Aires	-	-	33,907
Nobleza Picardo(8)	IRSA CP	50	%	05/31/2011		159,995	-		127,996	-		-		Buenos Aires	-	-	-
Puerto Retiro	IRSA	50	%	05/18/1997		82,051	-	no data		-		-		CABA	-	-	22,128
Solares Santa María(9)	IRSA	100	%	07/10/1997		716,058	-	no data		-		-		CABA	-	-	158,951
Residential properties
Coto Abasto Air Space	IRSA CP	100	%	09/24/1997		-	-		21,536	-		-		CABA	-	-	8,945
Neuquén - Parcela Viviendas	IRSA CP	100	%	07/06/1999		13,000	-		18,000	-		-		Neuquén	-	-	803
La Adela	IRSA	100	%		-	10,600,000	-		-	-		-		Buenos Aires	-	-	-
Uruguay Zetol	IRSA	90	%	06/01/2009		152,977	62,756		-	-		-		Uruguay	-	-	63,789
Uruguay Vista al Muelle	IRSA	90	%	06/01/2009		102,216	62,737		-	-		-		Uruguay	-	-	44,200
Retail
Terreno Caballito Shopping(10)	IRSA CP	100	%		-	23,791	-	no data		-		-		CABA	-	-	-
Dot Potential Expansion	IRSA CP	80	%		-	15,881	-		47,643	-		-		CABA	-	-	-
Offices
Philips Adjoining Plots - Offices 1 and 2	IRSA CP	80	%	11/28/2006		12,800	-		38,400	-		-		CABA	-	-	25,332

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Baicom	IRSA	50	%	12/23/2009	6,905	-	34,500	-	-	CABA	-	-	4,183
Intercontinental Plaza II(11)	IRSA CP	100	%	02/28/1998	6,135	-	19,598	-	-	CABA	-	-	1,564
Terreno Catalinas Norte	IRSA	100	%	12/17/2009	3,649	-	35,300	-	-	CABA	-	-	109,494
Subtotal Future Developments					13,055,458	125,493	342,973				-	-	473,296
Total Land Reserves					27,517,248	430,211	408,286				11,543	46,451	590,498

(1)	Saleable Area is understood to be the individual sqm of each residential property, including parking and storage spaces. Computed at 100% before making any sales.

(2)	The % Sold comprises sales transactions in which a Preliminary Sale Agreement, Deed of Possession or Title Deed has been executed. Includes the individual sqm of each residential property, and parking and storage spaces.

(3)	% with Title Deed Executed comprises sales transactions in which a Title Deed has been executed. Includes the individual sqm of each residential property and parking and storage spaces.

(4)	In those cases where IRSA/IRSA PC received units under barter agreements, the “Saleable Area” corresponds to the area received rather than the total project area.

(5)	The Saleable Area includes 31,224 sqm of land and 4,712.81 total sqm of La Casona (deducting 1,331.76 sqm on the ground floor).

(6)	The Saleable Area does not include the 171 commercial parking spaces receivable or the units corresponding to the discount.

(7)	Feasibility of Mixed Uses requested, provincial approval pending.

(8)	The 127,996 sqm arise from the current regulations, a draft project for 479,415 buildable sqm is under way (pending approval).

(9)	Feasibility requested for 716,058 buildable sqm, pending approval by the Legislature of the City of Buenos Aires.

(10)	Draft project for 71,374 buildable sqm, approval or urban parameters pending.

(11)	The 6,135 sqm of Land correspond to the parcel, which includes Inter I & II.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

Hotels

Our hotels in the City of Buenos Aires and the Llao Llao resort owned by the company in the City of Bariloche maintain their historic average prices at around USD 196 per square meter and the average occupancy rate has slightly decreased during the third quarter of fiscal year 2015, accounting for 67.0%.

Hotels (in millions of ARS)	IIIQ 15		IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Revenues		103.7		93.4		11.0	%	316.7	254.0		24.7	%
Operating income		12.8		11.7		9.4	%	21.9	18.1		21.0	%
Depreciation and amortization		3.3		3.7		(10.8	)%	10.9	10.9		-
EBITDA		16.1		15.4		4.5	%	32.8	29.0		13.1	%

►	During the first nine months of fiscal year 2015, the hotel segment recorded an increase in revenues of around 24.7% and an EBITDA of ARS 32.8 million, 13.1% higher than in the first nine months of fiscal year 2014.

The following is information on our hotel segment as of March 31, 2015:

	Date of Acquisition	IRSA’s Interest			Number of Rooms		Average Occupancy(1)			Average Rate (ARS)(1)		Book Value (in thousands of ARS)
Intercontinental(2)	Nov-97		76.34	%		309		70.2	%		1,300		45,475
Sheraton Libertador(3)	Mar-98		80.00	%		200		75.4	%		1,135		32,500
Llao Llao(4)	Jun-97		50.00	%		205		58.3	%		2,862		82,574
Total						714		68.2	%		1,633		160,549

Notes:

(1) Cumulative average for the 9-month period.

(2) Through Nuevas Fronteras S.A. (IRSA’s subsidiary).

(3) Through Hoteles Argentinos S.A.

(4) Through Llao Llao Resorts S.A.

	IIIQ 15			IIQ 15			IQ 15			IVQ 14			IIIQ 14
Average occupancy*		67.0	%		72.6	%		65.0	%		59.7	%		71.2	%
Average rate per room (ARS/night)*		1,704			1,629			1,565			1,316			1,474
Average rate per room (USD/night)*		196			191			188			163			189

*Average for the 3-month period.

Revenues

(in Millions of ARS)

	IIIQ 15		IIIQ 14		YoY Var			9M 15	9M 14	YoY Var
Intercontinental		32.7		30.7		6.5	%	110.0	88.8		23.9	%
Sheraton Libertador		20.4		18.2		12.1	%	68.5	55.5		23.4	%
Llao Llao		50.6		44.5		13.7	%	138.2	109.7		26.0	%
Total		103.7		93.4		11.0	%	316.7	254.0		24.7	%

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

VI. International

	IIIQ 15			IIIQ 14			YoY Var			9M 15	9M 14	YoY Var
Revenues		-			24.9			(100.0	)%	28.1	64.3		(56.3	)%
Operating Income / (Loss)		(13.4	)		(0.4	)		-		462.4	2.8		-
Depreciation and Amortization		0.1			9.7			(99.0	)%	0.2	26.4		(99.2	)%
EBITDA		(13.3	)		9.3			(243.0	)%	462.6	29.2		1,484.2	%

The International segment recorded lower revenues during the first nine months of fiscal year 2015 due to the drop in revenues from leases in the Madison Building. Operating income and EBITDA grew significantly during the nine-month period, reflecting the sale of the Madison 183 building in the City of New York in the first quarter of 2015 for USD 185 million.

Interest in Metropolitan 885 Third Ave. LLC (“Metropolitan”) through New Lipstick LLC (“New Lipstick”)

IRSA indirectly holds a 49.8% interest in New Lipstick LLC, a holding company that is owner of Metropolitan, a company whose main asset is the so-called “Lipstick” office building.

The Lipstick Building is a landmark building in the City of New York, located in Midtown Manhattan, with a gross leaseable area over 57,500 sqm. As of March 31, 2015, the building reached an occupancy rate of 94.99%, thus generating an average rent of USD 70.5 per sqm.

Lipstick	Mar-15			Mar-14			YoY Var
Gross Leaseable Area (sqm)		58,019			58,019			-
Occupancy rate		94.99	%		86.1	%		8.89	%
Rental price (USD/sqm)		70.5			66.6			5.85	%

Sale of Building Located at 183 Madison Ave, New York, NY

In September past, the Company, acting through its subsidiary Rigby 183 LLC (“Rigby 183”) consummated the sale of the Madison 183 building, located in the City of New York, United States of America, for USD 185 million, and discharged the mortgage on this asset for USD 75 million. During the second quarter of 2015, we recorded a balance of ARS 188.3 million as reversal of the cumulative translation adjustment generated in Rigby 183 as a result of the partial repayment of principal of the Company.

Investment in Supertel Hospitality Inc.

As of March 31, 2015, jointly with other shareholders, we held the equivalent to 34% of the voting rights in Supertel Hospitality Inc., a REIT listed on NASDAQ under the symbol “SPPR”. Supertel Hospitality Inc. has a portfolio of 56 medium-class and long-stay hotels with 4,798 rooms in 20 states of the United States of America, which are operated by various operators and franchises such as Comfort Inn, Days Inn, Hampton Inn, Holiday Inn, Sleep Inn, and Super 8, among others.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

The company has appointed Bill Blackham as new CEO and is analyzing a strategy for the selective sale of part of its portfolio to be able to acquire new hotels with higher operating return.

Investment in IDB Development Corporation

IDBD is one of the largest and most diversified investment groups in Israel that participates through its subsidiaries in numerous markets and industry sectors, such as real estate, retail, agroindustry, oil and gas production, insurance, telecommunications, etc., controlling companies such as Clal Insurance (Insurance), Cellcom (Cell-phones), Adama (Agrochemicals), Super-Sol (supermarkets); PBC (Real Estate), among others.

In February 2015, the Company made an additional investment in IDBD for up to the amount of USD 105 million, which were allocated to the subscription of new shares and warrants convertible into shares in IDBD, which were offered within the framework of a capital increase. As a result, the Company’s indirect interest, through Dolphin Netherlands B.V., increased to 49% of IDBD’s capital stock.

Under the purchase agreement, Dolphin and Extra Holdings Limited (ETH) jointly and severally committed to make one or more tender offers (“Tender Offers”) for acquiring shares in IDBD for a total amount of NIS 512.09 million (equivalent to approximately USD 128.7 million at the exchange rate prevailing as of March 31, 2015) as per the following scheme: (i) before December 31, 2015, an amount of at least NIS 249.8 million for a price per share of NIS 7.798 (value adjusted by the Rights Offering as of March 31, 2015, subject to adjustment); and (ii) before December 31, 2016, an amount of at least NIS 512.09 million less the offer made in 2015, for a price per share of NIS 8.188 (value adjusted by the Rights Offering as of March 31, 2015, subject to adjustment).

Furthermore, Dolphin agreed to (i) exercise the Series 4 warrants for a total amount of NIS 150 million (equivalent to USD 37.6 million as of March 31, 2015), provided that it is requested to do so by IDBD’s Board of Directors within 6 to 12 months of the Rights Offering date; and (ii) exercise the remaining Series 4 and Series 5 and 6 warrants received in the Rights Offering, subject to the simultaneous satisfaction of two conditions: (a) that IDBD and its lenders reach an agreement to amend certain covenants; and (b) that a control permit on Clal Insurance Company Ltd. (“Clal”) is secured from the Capital Markets, Insurance and Savings Commissioner of Israel.

As of March 31, 2015, IDBD’s board of directors is composed of nine members. Dolphin appointed Eduardo Sergio Elsztain, Alejandro Gustavo Elsztain and Saúl Zang as regular members.

For further information see Note 4 to the Consolidated Condensed Interim Financial Statements “Acquisitions and Disposals – Investment in IDBD”.

VII. Financial Operations and Others

Interest in Banco Hipotecario S.A. (“BHSA”)

BHSA is a leading bank in the mortgage lending segment, in which IRSA held a 29.99% interest as of March 31, 2015 (excluding portfolio shares). The investment in Banco Hipotecario

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

generated results for ARS 98.7 million during the nine-month period of 2015, 39.8% lower than in the same quarter of 2014.

For further information visit http://www.cnv.gob.ar or http://www.hipotecario.com.ar.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

VIII.

EBITDA by Segment

	9M 15	Shopping Centers			Offices			Sales and Developments			Hotels			International			Financial Operations and others			Total
Operating income / (loss)			884.7			50.3			457.7			21.9			462.4			(2.0	)		1,875.0
Depreciation and Amortization			98.7			26.9			-			10.9			0.2			-			136.7
EBITDA (1)			983.4			187.7			457.7			32.8			462.6			(2.0	)		2,011.7
	9M 14	Shopping Centers			Offices			Sales and Developments			Hotels			International			Financial Operations and others			Total
Operating income / (loss)			661.6			117.6			97.9			18.1			2.8			(1.6	)		896.4
Depreciation and Amortization			108.2			25.6			-			10.9			26.4			-			171.1
EBITDA			769.8			143.2			97.9			29.0			29.2			(1.6	)		1,067.5

EBITDA Var			27.7	%		31.1	%		367.5	%		13.1	%		1,484.2	%		25.0	%		88.4	%

(1) EBITDA: Operating Income plus Depreciation and Amortization, excluding expenses and taxes incurred in the transfer of assets.

IX. Reconciliation with Consolidated Income Statement as of March 31

(in Millions of ARS)

Below is an explanation of the reconciliation of the company’s income by segment with its consolidated income statement. The difference lies in the presence of joint ventures included in the segment but not in the income statement.

	Segment Total					Joint Ventures(1)					Inter.-segment Deletions					Income Statement					YoY Var
		9M 15		9M 14			9M 15		9M 14			9M 15		9M 14			9M 15		9M 14
Revenues		2,540.5		2,062.6			(27.5	)	(37.3	)		(4.0	)	(3.0	)		2,509.0		2,022.2			24.1	%
Costs		(1,128.4	)	(953.6	)		16.2		24.2			3.0		2.8			(1,109.2	)	(926.5	)		19.7	%
Gross Profit /(Loss)		1,412.1		1,109.0			(11.3	)	(13.1	)		(1.0	)	(0.2	)		1,399.8		1,095.7			27.8	%
Result from sale of investment properties		801.1		115.4			-		-			-		-			801.1		115.4			594.2	%
General and administrative expenses		(264.2	)	(195.4	)		0.6		0.6			1.8		0.9			(261.8	)	(193.9	)		35.0	%
Selling expenses		(137.6	)	(102.9	)		1.8		2.3			0.3		0.1			(135.6	)	(100.5	)		34.9	%
Other operating income, net		63.5		(29.5	)		0.8		2.5			(1.0	)	(0.8	)		63.3		(27.8	)		(327.7	)%
Operating Income		1,874.9		896.6			(8.1	)	(7.7	)		0.1		-			1,866.8		888.9			110.0	%
Income / (loss) from interests in equity investees and joint ventures		(854.0	)	83.5			11.5		19.2			-		-			(842.5	)	102.7			(920.4	)%
Income before financial income / (loss) and income tax		1,020.9		980.1			3.4		11.5			0.1		-			1,024.3		991.6			3.3	%

(1) Includes Puerto Retiro, Baicom, CYRSA, Nuevo Puerto Santa Fe and Quality (San Martín Plot).

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

X. Financial Debt and Other Indebtedness

Consolidated Financial Debt as of March 31, 2015

Type of Debt

Currency

Amount (USD MM)(1)

Interest Rate

Maturity

Bank Overdraft

ARS

30.3

Variable

< 30 d

IRSA’s Tranche I Series I Notes(2)

USD

150.0

8.50%

Feb-17

IRSA’s Tranche II Series II(3)

USD

150.0

11.50%

Jul-20

IRSA’s Series V Notes

ARS

23.7

Badlar + 395 bps.

Aug-15

IRSA’s Series VI Notes

ARS

1.2

Badlar + 450 bps.

Feb-17

Nuevas Fronteras 5600 Mortgage Loan

ARS

0.8

Variable

Dec-17

Other Debt

ARS

0.9

15.25%

Dec-16

IRSA’s Total Debt

USD

356.9

Series I Notes due 2017 (int.)(4)

USD

120.0

7.88%

May-17

Short-term Debt

ARS

56.6

Variable

< 180 days

Syndicated Loan – Arcos

ARS

4.5

15.01%

Nov-15

Syndicated Loan – Neuquén

ARS

7.0

15.25%

Jun-16

Other Debt

ARS

3.8

Total IRSA PC’s Debt

191.9

Total Consolidated Debt(5)

548.8

Consolidated Cash

26.9

Debt Repurchase

13.4

Net Consolidated Debt

508,5

1 Principal face value in USD at an exchange rate of ARS 8.822 = USD 1, without considering elimination of balances with subsidiaries.

2 As of 03/31/15 IRSA held bonds for a principal amount of USD 0.7 million.

3 As of 03/31/15 ERSA held bonds for a principal amount of USD 1.4 million and PAMSA held bonds for a principal amount of USD 5.6 million.

4 As of 03/31/15 IRSA held bonds for a principal amount of USD 4.0 million, ERSA held bonds for a principal amount of USD 0.1 million and PAMSA

held bonds for a principal amount of USD 1.6 million.

5 Excludes loan receivable from IRSA Propiedades Comerciales S.A. under the asset transfer for USD 246.4 million on 12/23/2014.

XI. Material Events Occurred during the Period and Subsequent Events

February 2015: Sale of Interest in Bitania 26 S.A.

On February 5, 2015, the Company indirectly sold its entire interest in Bitania 26 S.A., owner of “Savoy” Hotel in the City of Rosario (Province of Santa Fe), representing 49% of its stock capital, for US$ 4.2 million. The sale resulted in a gain of approximately $ 13.3 million.

March 2015: General Ordinary and Extraordinary Shareholders’ Meeting

On March 26, 2015, the Shareholders’ Meeting of our subsidiary IRSA Propiedades Comerciales resolved upon the distribution of an interim cash dividend to its shareholders for ARS 298.5 million. The Company is entitled to ARS 285.7 million, which were made available on April 15, 2015.

May 2015: Partial Sale of offices and parking spaces of Intercontinental Plaza Building

On May 5, 2015, our subsidiary IRSA Propiedades Comerciales S.A. executed a preliminary sales agreement to transfer to a non-related party 8,470 sqm corresponding to nine office floors and 72 parking units of the Intercontinental Plaza building located in the neighborhood of Monserrat, City of Buenos Aires. The transaction amount was ARS 376.4 million.

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

May 2015: Investment in IDB Development Corporation

After period end, on May 6, 2015, Dolphin submitted to IDBD’s Board of Directors a binding and irrevocable proposal for its approval, which states as follows:

(i)	Election of Eduardo Sergio Elsztain as sole chairman of the Board of Directors of IDBD;

(ii)

Dolphin’s commitment (directly or through any vehicle controlled by Eduardo Sergio Elsztain) to advance performance of its obligation to exercise the Series 4 warrants issued by IDBD for NIS 150 million (the “Warrants”),as a result of which, IDBD will have the possibility to request their exercise as from May 20, 2015, provided that before such date, IDBD receives a written irrevocable commitment from the bondholders’ representatives stating that until July 20, 2015, they will not call on their own to a bondholders’ meeting (unless they were required to do so under the applicable law) whose agenda may include any of the following items:

(a)	Appointment of (financial, legal or other) advisors;

(b)	Appointment of a committee representing IDBD’s bondholders;

(c)	Start of legal actions against IDBD; and

(d)	Demand of early or immediate payment of any debt of IDBD.

(iii)

IDBD’s Board of Directors shall set up a committee, composed of two members from the supervising committee of IDBD and two members from IDBD’s Board of Directors appointed by Dolphin, and which, subject to the applicable law, will have the following duties:

(a)	Manage, discuss, negotiate and conclude negotiations with IDBD’s bondholders’ representatives as regards their requests;

(b)	Negotiate with IDBD’s financial creditors a new set of commitments applicable to IDBD’s financial debt; and

(c)	Create a business and financial plan for IDBD.

(iv)	Dolphin (directly or through any vehicle controlled by Eduardo Sergio Elsztain) promises to make an additional capital injection for up to NIS 100 million in IDBD, subject, among others, to the following conditions:

(a)	That IDBD makes a public offering of its shares, in terms acceptable for the market and approved by IDBD’s Board of Directors, for an amount of at least NIS 100 million and not exceeding NIS 125 million, and that the public offering is made between October 1, 2015 and November 15, 2015.

(b)

The commitment assumed by Dolphin will automatically expire upon the occurrence of any of the following events before the public offering’s public auction date: (i) if any of IDBD’s creditors or any of IDBD’s bondholders’ representatives bring legal actions against IDBD, including a demand for early or immediate payment of, or acceleration of, any part of IDBD’s debt; (ii) if a meeting of any of IDBD’s bondholders is called and its agenda includes any of the items specified in Section 2 above, (iii) if IDBD receives capital contributions for a total amount of NIS 100 million in any manner, either

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

through a rights offering, the exercise of warrants, a private placement or otherwise, and if such contributions are made by Dolphin directly or any vehicle controlled by Eduardo Sergio Elsztain (apart from the capital contributions on account of the

obligation of NIS 158.5 million pursuant to Dolphin’s irrevocable proposal dated December 29, 2014), or by any other person or entity, or by the public, and in any case provided that the aggregate amount of such capital contributions under subsection

5 (d) (iii) of the proposal is lower than NIS 100 million, Dolphin’s commitment under section 5 (c) above will be reduced accordingly; or (iv) if there occurs any adverse event or change in IDBD or in its control structure or in any of its material affiliates.

On May 7, IDBD’s board of directors approved the proposal. This notwithstanding, it is subject to the approval of IDBD’s bondholders’ representatives.

XII. Comparative Summary Consolidated Balance Sheet Data.

(In thousands of ARS)

	03.31.15	03.31.14	03.31.13
Non-Current assets	7,572,419	8,216,441	6,868,010
Current assets	1,689,990	1,243,522	1,242,841
Total	9,262,409	9,459,963	8,110,851
Non-Current liabilities	4,628,472	5,167,536	3,258,906
Current liabilities	2,584,226	1,374,301	1,527,731
Sub-total	7,212,698	6,541,837	4,786,637
Minority interest	373,916	428,620	505,460
Shareholders’ Equity	1,675,795	2,489,506	2,818,754
Total	9,262,409	9,459,963	8,110,851

XIII. Comparative Summary Consolidated Income Statement Data

(In thousands of ARS)

	03.31.15		03.31.14		03.31.13
Operating income	1,866,749		888,803		749,679
Income from interest in equity investees and joint ventures	(842,497	)	102,690		15,112
Income before financial income / (loss) and income tax	1,024,252		991,493		764,791
Financial income	84,477		93,809		103,479
Financial expenses	(825,302	)	(1,520,883	)	(553,530	)
Other financial income	(57,242	)	244,441		151,755
Financial income / (loss), net	(798,067	)	(1,182,633	)	(298,296	)
(Loss) / Income before income tax	226,185		(191,140	)	466,495
Income tax	(389,626	)	112,298		(87,234	)
Net (Loss) / Income	(163,441	)	(78,842	)	379,261
Other comprehensive net income	(106,513	)	149,786		40,306
Total comprehensive net income	(269,954	)	70,944		419,567
Attributable to:
Controlling company’s shareholders	(244,696	)	(92,030	)	320,638
Non-controlling interest	81,255		13,188		58,623

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

XIV.	Summary Comparative Consolidated Cash Flow.

(In thousands of ARS)

	03.31.15		03.31.14		03.31.13
Net cash generated by operating activities	735,574		686,420		540,756
Net cash used in investing activities	300,928		(597,560	)	(250,979	)
Net cash used in financing activities	(1,297,559	)	(688,495	)	(171,723	)
Net (decrease) / increase in cash and cash equivalents	(261,057	)	(599,635	)	118,054

XV.	Comparative Ratios.

(In thousands of ARS)

	03.31.2015		03.31.2014		03.31.2013
Liquidity
Current Assets	1,689,990	= 0.65	1,243,522	= 0.91	1,242,841	= 0.81
Current Liabilities	2,584,226	= 0.65	1,374,301	= 0.91	1,527,731

Indebtedness
Total Liabilities	7,212,698	= 4.30	6,541,837	= 2.63	4,786,637	= 1.70
Shareholders’ Equity	1,675,795	= 4.30	2,489,506	= 2.63	2,818,754

Solvency
Shareholders’ Equity	1,675,795	= 0.23	2,489,506	= 0.38	2,818,754	= 0.59
Total Liabilities	7,212,698	= 0.23	6,541,837	= 0.38	4,786,637

Capital Assets
Non-current Assets	7,572,419	= 0.82	8,216,441	= 0.87	6,868,010	= 0.85
Total Assets	9,262,409	= 0.82	9,459,963	= 0.87	8,110,851

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

XVI. Brief comment on prospects for the next quarter

During the third quarter of 2015 we maintained the rate of growth of our shopping centers’ sales and their occupation levels. We expect that the business will continue to be sound during the rest of the year.

In March, we opened the fifteenth shopping center in our portfolio, “Alto Comahue”, located in the City of Neuquén, in the Argentine Patagonian region. This shopping center features 130 stores from the most renowned brands in Argentina. We recorded good sales figures in its first days of operation, and we expect that this new shopping center, so much longed-for by the local population, will have a good performance.

The project is part of a mixed-use complex that includes a supermarket in operation and 2 additional parcels of land. In one of these parcels the development of a hotel is planned, while in the other, covering 18,000 sqm and owned by the company, a future housing development has been projected. Given the city’s upward flourishing trend in the real estate industry during the last year, we believe that our land reserves in this project offer an attractive potential for development.

We will remain active throughout the year by encouraging marketing actions, events and promotions in our shopping centers, as they have proved to be highly effective in terms of sales and have been eagerly endorsed by the public. Moreover, we expect to continue working with the aim of optimizing the performance of our current shopping centers through improvements that result in taking better advantage of the leaseable square meters and higher functionality and attractiveness for the benefit of consumers, stores and tenants.

As concerns the office business, we have continued to consolidate through our subsidiary IRSA Propiedades Comerciales the office buildings we transferred to this company during December, while we have kept approximately 18,000 square meters for potential sale. We will continue to optimize the best and most integrated premium office portfolio by selling selected non-strategic assets in our portfolio for attractive prices as we have been doing during the last months. Moreover, we will continue to work towards achieving maximum occupancy in our buildings and executing the most favorable lease agreements, attracting new firms wishing to relocate in our spaces.

In connection with the Sales and Developments segment, we expect to continue with the sale of non-strategic assets and small land reserves and to make progress in the sale and execution of title deeds in the remaining residential projects. Moreover, we hold a large land reserve for future developments which we will launch as soon as suitable financial, business and governmental conditions arise.

As concerns our investments outside of Argentina, we will continue working towards increasing occupancy levels and rental prices in our only rental property abroad: the Lipstick Building in Manhattan, New York. Concerning our investment in the hotel REIT, Supertel Hospitality Inc., we have appointed a new CEO and we are working on optimizing the company’s performance and regaining market trust so as to take advantage of future opportunity windows. Finally, despite the evolution of its stock prices during the last months, we are confident in the potential of our investment in IDBD, one of the largest and most diversified investment groups in Israel that

IRSA Inversiones y Representaciones Sociedad Anónima

Summary as of March 31, 2015

participates through its subsidiaries in numerous markets and industry sectors, such as real estate, retail, agroindustry, oil and gas production, insurance, telecommunications, etc.

As part of our continuous analysis of market opportunities, we could consider alternatives to improve our capital structure, subject to the conditions prevailing in the market. These alternatives may include various strategic initiatives and potential reorganizations of our investments. No assurance can be given that these initiatives will be materialized, as they are governed and defined in the opportunity, merit and convenience conditions.

Considering the quality of the real estate assets that compose our portfolio, the company’s financial position and low indebtedness level, experience in seizing market opportunities and franchise to access the capital markets, we are confident that we are on the right track of growth as we consolidate the best real estate portfolio in Argentina, taking advantage of the opportunities that arise in Argentina or abroad.

	IRSA Inversiones y Representaciones S.A.

	By:	/s/ Saúl Zang
		Saúl Zang
		Responsible for the relationship with the markets

June 17, 2015