In our capacity as members of the Audit Committee of Quilmes Industrial (Quinsa) S.A. (the “Company”) we submit the following annual report corresponding to the 2005 fiscal year, which covers activities through June 5, 2006 This report received the unanimous approval of the Committee members.

The report has been divided into the following sections:

    a) Summary of Report;
    b) Composition of the Audit Committee;
    c) Main responsibilities;
    d) Main activities performed during 2005; and
    e) Results of the work

a) Summary of Audit Committee Report

The following is a summary of the principal actions taken and conclusions reached by the Audit Committee. The Committee met and held discussions with management and the Company's independent registered public accounting firm (the external auditors) regarding the fair and complete presentation of the Company's results and the assessment of the Company's internal control over financial reporting. The Committee reviewed and discussed the consolidated financial statements with management and the external auditors. The Committee has discussed significant accounting policies applied by the Company, as well as alternative treatments. The Committee discussed with the external auditors the matters required to be discussed by Statement on Auditing Standards No. 61 (Communications with Audit Committees).

In addition, the Committee reviewed and discussed with the external auditors the auditor's independence from the Company and its management. As part of that review, the Committee received the written disclosures and letter required by the Independence Standards Board Standard No. 1 and by all relevant professional and regulatory standards relating to PwC's independence from the Company. The company has also considered whether the external auditors' provision of non-audit services to the Company is compatible with the auditor's independence. The Committee has concluded that the external auditing firm is independent from the Company and its management.

The Committee reviewed and discussed with the Company policies with respect to risk assessment and risk management. The Committee discussed with the Company's internal auditor and external auditors the overall scope and plans for their respective audits and met with both of the internal and external auditors to discuss the results of their examinations, the evaluation of the Company's internal controls, and the overall quality of the Company's financial reporting.

In reliance on the reviews and discussions referred to in this summary and throughout this report, the Committee recommended to the Board of Directors, that the audited financial statements be included in the Company's annual report on Form 20-F for the year ended


©2003 Quilmes Industrial (QUINSA) S.A., all rights reserved.