Cencosud and Scotiabank receive regulatory approval for their Credit Card Partnership

Santiago, April 13, 2015.- Cencosud (NYSE: CNCO, SSE: CENCOSUD), the leading multi-format retailer in Latin America with a presence in five countries, announced today the receipt of regulatory approval for the joint development of the Retail financial business with Bank of Nova Scotia ("Scotiabank").

Today, April 13, 2015, the transaction was approved by all relevant regulators in Chile and Canada, and its closure is expected in early May 2015.

The partnership means that the 2.5 million credit cardholders in Chile will have access to Scotiabank's expertise and financial products while enjoying the benefits of being a Cencosud customer in the Company's stores and shopping centers.

Under the terms of the agreement, Scotiabank will participate with a 51% stake in the Retail Financial business in Chile for a period of 15 years. Scotiabank will acquire a 51% stake in Cencosud Administradora de Tarjetas for USD 280 million and will finance 100% of the credit portfolio. The exchange rate observed for the Chilean peso on the previous business day before the agreement's closure will be used. Scotiabank will consolidate the partnership, although both companies will share the benefits and risks of the business.

The size of the portfolio will be determined based on the accounts receivable as of the quarter ending on March 31, 2015. As of December 31, 2014, Cencosud had a credit portfolio of approximately CLP 426,562 million in Chile, with an average debt of CLP 314,403.

Additionally, Banco Paris had a portfolio of CLP 185,291 million with an average debt of approximately CLP 737,095. The transaction is expected to close in early May 2015. The funds will be used to fully reduce Banco Paris' debt and the remainder at the Cencosud S.A. level.