Proposed Dividend of Ps. 1,485 million Approved at Annual Meeting of Stockholders
Monterrey, Mexico, March 29, 2007 Fomento Económico Mexicano, S.A.B. de C.V. ("FEMSA") (NYSE: FMX; BMV: FEMSAUBD) held its Annual General Ordinary Stockholders Meeting today, at which shareholders approved the annual report for 2006 presented by the Board of Directors, the consolidated financial statements for 2006, the declaration of the dividend corresponding to fiscal year 2006, and the composition of the Board of Directors for 2007.
The stockholders approved the payment of an ordinary dividend in the amount of 1,485 million pesos, representing a 51% increase over last year's amount of 986 million pesos.
The dividend will be paid as of May 15, 2007, upon submittal of Coupon Number 1, as follows: 0.22217 pesos for each Series B share and 0.27771 pesos for each Series D share. This corresponds to actual dividend payments of 1.33301 pesos for each BD Unit and 1.11085 pesos for each B Unit. Therefore, each ADR (NYSE:FMX) will receive a dividend payment of 13.3301 pesos.
In addition, stockholders approved a three-for-one stock split, which is expected to take place during the second quarter of 2007, and 3,000 million pesos as the maximum amount that could potentially be used in stock repurchases, as per Mexican legislation.
José Antonio Fernández Carbajal, Chairman and CEO of FEMSA, commented, "In 2006, we achieved important accomplishments both operationally and strategically, delivering strong results across our business sectors and geographic markets and completing several important transactions that position us to further capture growth opportunities and leverage our business model. The acquisition of Kaiser in Brazil, the announced agreement of Coca-Cola FEMSA to acquire Jugos del Valle, S.A.B. de C.V. jointly with The Coca-Cola Company, and our new cooperative framework with The Coca-Cola Company position FEMSA to compete and create value in complex and challenging environments."
"I would like to thank the more than ninety-seven thousand men and women that form part of the FEMSA family. These great results were made possible thanks to your talent, creativity, discipline and hard work", concluded José Antonio Fernández.
FEMSA is the leading beverage company in Latin America. It controls an integrated beverage platform that comprises Coca-Cola FEMSA, the largest Coca-Cola bottler in the region; FEMSA Cerveza, one of the leading brewers in Mexico and important beer exporter to the United States; and Oxxo, the largest and fastest growing convenience store chain in Mexico with over 4,800 stores.
FORWARD LOOKING STATEMENTS
This report may contain certain forward-looking statements concerning our future performance that should be considered as good faith estimates made by us. These forward-looking statements reflect management's expectations and are based upon currently available data. Actual results are subject to future events and uncertainties, which could materially impact our actual performance.